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CORPORATE INFORMATION AND QUALIFICATIONS · 2014-01-14 · Multimedia Games was founded in 1986 by several pioneers of the traditional Bingo and on-line lottery industry. We have

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Page 1: CORPORATE INFORMATION AND QUALIFICATIONS · 2014-01-14 · Multimedia Games was founded in 1986 by several pioneers of the traditional Bingo and on-line lottery industry. We have

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CCOORRPPOORRAATTEE IINNFFOORRMMAATTIIOONN AANNDD

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AA RReeccoorrdd ooff SSuucccceessss,, aa HHiissttoorryy ooff IInnnnoovvaattiioonn

Multimedia Games was founded in 1986 by several pioneers of the traditional Bingo and on-line lottery industry. We have a team of over 500 employees, more than 80% of whom are dedicated to gaming technology and development.

Incorporated in 1992, Multimedia Games is a publicly-traded company with a market capitalization approaching $300 million. Traded under the symbol “MGAM” on the NASDAQ exchange, our current fiscal year revenues will exceed $100 million. We were ranked by USA Today newspaper as the fastest growing NASDAQ listed company in the country, and identified by Business Week magazine as the number four growth company in 2004.

Powered by innovations in gaming system technology, terminals and games titles, we have enjoyed unprecedented growth and success. Over the past 16 years, Multimedia Games’ central systems have processed more than $25 billion in wagers placed and have distributed more than $20 billion in prizes. This represents more than 70 billion individual

player transactions. Currently Multimedia Games has contracted to monitor over 21,000 Electronic Player Stations (“EPSs”) in over 400 gaming locations around the world. We are licensed by gaming and/or tribal authorities in over 80 jurisdictions, and have provided gaming systems and service to lotteries and charitable gaming sites in Texas, Nebraska, Wisconsin, Wyoming Minnesota, Iowa, Louisiana, Washington, Alabama, Mississippi, New York, Mexico and Israel. Of most significance to the MLC, we currently support approximately 75 facilities that play linked electronic Bingo.

EExxppeerriieennccee

Multimedia Games has grown from a one-market, one-product small business to a $300 million public company that provides a wide variety of gaming systems, products, and equipment to numerous markets. In 1995, the company began offering MegaMania®, a Class II

1 high-speed

networked “T.V.” bingo system played on terminals linked between and within halls. In 1999, Multimedia expanded into the Washington State Class III

2 market by adding Class III games,

networks, and player tracking systems to its roster of products, while continuing to design and develop ever faster and more profitable Class II games and systems. Multimedia Games public stock has split twice since May 2006.

Multimedia Games provides the back-office systems for managing Racinos across the state of New York. We provide electronic gaming systems in development or in operation at over 65 locations in Mexico and over 150 locations in Israel. In December 2005, the company began rolling out its new GenV platform, a system that not only enables progressive jackpots and bonus rounds, but also advanced management and player tracking options and features for the Traditional Bingo, Class II, Class III, racing, Tribal Instant Lottery, and charity markets. Despite challenges that might have slowed down a less innovative company, Multimedia has used technology to adapt to constant

1 Class II gaming is defined as the game of chance commonly known as bingo (whether or not electronic, computer, or other

technological aids are used in connection therewith). 2 Class III Games are games commonly played at casinos, such as slot machines, black jack, craps, and roulette.

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change, and create a place for itself as a leading provider of games and systems to Lotteries, domestic and international gaming facilities, and charity gaming markets.

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The list below provides a brief description of Multimedia Games’ offering of gaming projects and products. While we work to build upon our existing technology innovations, Multimedia Games places a strong emphasis on providing customized technology and financing solutions for each customer. Systems can be complete, end-to-end solutions or software-only solutions. Our systems operate on an individual, state-wide, and national basis in the U.S., Mexico and Israel with 99.9% up-time operation.

NNeeww YYoorrkk SSttaattee LLootttteerryy SSyysstteemm – The New York State Lottery (NYL) Central Determinant Video Lottery Electronic Scratch System, provides monitoring, reporting, and centrally determined outcomes to racetracks / Racinos throughout New York State. Currently in operation at five sites, the system will ultimately support eleven Racetracks / Racinos and up to 40,000 Electronic Player Stations. This is the first system of its kind, and is being successfully deployed at the fourth largest Lottery in the world. Through a competitive procurement process, Multimedia Games’ NYL system was judged technologically superior to other bidders, including GTECH, Scientific Games, and Standing Stone Gaming.

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IIssrraaeellii LLootttteerryy SSyysstteemm – Multimedia Games’ Electronic Instant Ticket (EIL) gaming system is a centrally determined distributive video lottery system. We have provided Mifal Hapayis (the operator of the Israel National Lottery) with a complete, end-to-end solution that includes games, terminals and central monitoring and reporting to over 500 units at over 150 sites. The system features the use of a cashless magnetic card based system.

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BBiigg HHiitt BBiinnggoo®® – Big Hit Bingo gaming system is the latest wide-area electronic session Bingo game from Multimedia Games. This EPS-based game links players via a wide-area network across the U.S. Players play up to nine Bingo cards simultaneously. Players are encouraged to play additional games in order to win progressive bonuses, based upon the number of player points accumulated in a 10-game session.

MMeeggaaBBiinnggoo®® – The original and largest nationally-broadcast LIVE “play with paper” Million Dollar Bingo Game, MegaBingo gaming system was hosted in over 40 locations and attracted over 30,000 players every night. Our updated version of MegaBingo will be deployed in the Minnesota charity market in May 2006.

MMeeggaammaanniiaa®® – Megamania is another of Multimedia Games’ linked multi-site, high-speed electronic Bingo games. Megamania was the first linked high-speed Bingo game to receive approval by the U.S. Government and validation by U.S. federal courts. Megamania is currently played in over 40 locations.

TTeelleevviissaa//AAppuueessttaass IInntteerrnnaacciioonnaalleess CCaassiinnoo aanndd BBiinnggoo SSyysstteemmss – Multimedia Games provides games, gaming terminals and consulting services to Apuestas Internacionales, the largest licensed gaming provider in Mexico. Multimedia Games retains a majority of floor space for our player stations in over 65 gaming venues across the country.

IIoowwaa MMVVMM SSyysstteemm – Multimedia Games’ MVM System of gaming is a commercially and lottery-approved central determinant electronic scratch ticket system currently in operation at the Iowa State Lottery Authority in coordination with the state’s Machine Operators Association. Our MVM System is designed to support 18,000 terminals in 6,000 sites.

RReeeell ttiimmee BBiinnggoo®® (Class II) – Reel time Bingo gaming system is Multimedia Games’ original, high-speed, electronic Bingo game with “slot-style” spinning reels. The first spinning reel Class II game to be certified as compliant with U.S. federal standards, Reel time Bingo is currently played on over 10,000 machines at over 80 locations across the United States.

TTIILLSS – TILS gaming system is Multimedia Games’ cashless video slot casino gaming system. TILS is the first cashless system to incorporate magnetic card-based technology. It is currently in play at eleven U.S. casinos.

VViiddeeoo BBiinnggoo SSlloott SSyysstteemm –– Our Video Bingo Slot System is a stand-alone Bingo / video slot machine. Designed for the domestic charity Bingo market, our Video Bingo Slot System

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is currently in deployment at charitable Bingo gaming facilities throughout the state of Louisiana.

MMGGAAMMee®® – MGAMe is Multimedia Games’ Casino Management System. The MGAMe system is comprised of stand-alone modules which include Table Games, Promotions, Cash and Cage, Slot Analysis, Slot Accounting, Unified Point-of-Sale, and Swipe Card System Entry which permits Player Tracking. Our Player Tracking modules deployed in Casinos and Racetracks in Oklahoma, Alabama, New York and Washington.

CCaassiinnoo CCoommmmaannddeerr®® – Initially deployed at the Winstar Casino outside of Ft. Worth, Texas, Casino Commander gaming system is Multimedia Games’ system with downloadable capabilities. The Casino Commander system allows slot game changes and tournament play via electronic system downloads from a central server directed from a handheld tablet computer. Changes may be made according to pre-set programs, or on-the-fly. The Casino Commander system is the first system of its kind to be deployed in the United States. Projected to increase promotion and slot revenues 2 to 4 times, we believe the Casino Commander system is the technology of the future for the gaming world.

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PPrreessss RReelleeaasseess

The following provides a sampling of recent Multimedia Games press releases. Additional releases may be found at www.multimediagames.com.

WMS Industries and Multimedia Games Expand Relationship to Address Changes in Oklahoma Market and Opportunities in Mexico Electronic Bingo Market Monday July 10, 8:32 am ET

WAUKEGAN, Ill.--(BUSINESS WIRE)--July 10, 2006--WMS Industries Inc. (NYSE: WMS - News) announced today that the Company has expanded its existing relationship with Multimedia Games, Inc. (MGAM:Nasdaq) whereby Multimedia Games ("Multimedia") will distribute certain WMS products in Oklahoma and Mexico. The amended agreement provides for a term until April 30, 2009 for these markets and contemplates an increased annual gaming machine purchase commitment from Multimedia relative to the original agreement.

Under the terms of the agreement, Multimedia has secured the right to distribute WMS' Bluebird® gaming machines equipped with WMS game themes to certain Native American tribes in Oklahoma under regulatory transfer letters issued by Gaming Laboratories International Inc. ("GLI"), one of the approved independent gaming testing laboratories for Oklahoma. WMS has retained the right to market its Bluebird gaming products directly to certain Native American tribes in Oklahoma. GLI recently approved WMS' Bluebird gaming machine and over 30 game themes for placement in Oklahoma tribal gaming facilities.

The expanded agreement also authorizes Multimedia to place WMS OEM cabinets and game themes in the electronic bingo market in Mexico. Earlier this year, Multimedia entered into an agreement with a

Mexico-based company that has permits to open and operate 65 bingo and sports books facilities in Mexico, ten of which are expected to be operational by the end of calendar 2006. Under that contract, Multimedia will provide traditional and electronic bingo gaming, technical assistance, and related services. It is expected that WMS offerings will represent a minimum placement percentage of Multimedia's installed base in Mexico over the three-year term of the WMS/Multimedia agreement.

Brian R. Gamache, President and Chief Executive Officer of WMS Industries, commented, "Our relationship with Multimedia has proven beneficial over the last several years and extending our agreement with Multimedia in these two key markets where they have established leadership positions clearly provides more visibility to our future expectations. By working closely with Multimedia, we expect to provide operators and casino patrons in Oklahoma and Mexico with the high earning and entertaining content and products on which we have built our success in other markets."

Multimedia Games Awarded Contract to Supply Electronic Bingo Units and Consulting Services to Apuestas Internacionales

AUSTIN, Texas – March 17, 2006– Multimedia Games, Inc. announced today that it has been selected by Apuestas Internacionales S.A. de C.V. ("Apuestas"), a subsidiary of Grupo Televisa, S.A. , to provide traditional and electronic bingo gaming, technical assistance, and related services for Apuestas' locations in Mexico. Apuestas was granted a permit by the Ministry of the Interior of Mexico to open 65 facilities throughout Mexico to operate bingo and sports books.

Pursuant to the agreement, Multimedia Games ("Multimedia") will initially train Apuestas personnel in traditional bingo games, and provide all of the electronic bingo units for the first facility, which is expected to open during the second quarter of 2006. After the initial six months, Multimedia will

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provide 70% of the units in the establishments opened by Apuestas. During calendar 2006, approximately 10 facilities are expected to come online. Multimedia will place its electronic bingo units in consideration for a percentage of each unit's net win.

In addition to providing electronic bingo units and related services, Multimedia will install its MGAMe® System, including full-featured player tracking software, in each of Apuestas' facilities.

Clifton E. Lind, Multimedia's President and Chief Executive Officer, commented, "We are honored to enter into this relationship with Grupo Televisa. We look forward to working closely with Apuestas' staff to assist with the development of their traditional bingo games and to meet their electronic bingo

requirements. This exciting new market opportunity in Mexico extends our track record in deploying our technology base to further diversify our revenue sources."

Multimedia Games' Downloadable Gaming System Receives GLI Approval

AUSTIN, Texas – September 8, 2005– Multimedia Games, Inc. announced today that the

downloadable and configurable module of its Casino Commander(TM) game management system has received approval by Gaming Laboratories International Inc. ("GLI"), which has certified that the system meets the current GLI-21 national standard for server-based, downloadable gaming systems, the one now used by many of the tribes and racetracks in the Oklahoma jurisdiction.

Multimedia Games ("Multimedia") will demonstrate the GLI-approved Casino Commander technology, including Tournament Service capabilities and other Intelligent Casino(TM) features, at the fifth annual Global Gaming Expo ("G2E") to be held September 13-15 in Las Vegas (Las Vegas Convention Center: Booth #2356).

Clifton Lind, Multimedia Games' President and Chief Executive Officer, commented, "GLI's approval of the downloadable and configurable module of the Casino Commander gaming platform represents a significant milestone in our efforts to bring the next generation of casino management tools to operators as soon as possible. One of Casino Commander's innovative game management tools allows casino operators to configure gaming terminals, either on the fly or automatically, according to predetermined parameters. We believe GLI's approval allows us to maintain our 'time-to-market' lead for these advanced gaming solutions. We expect that Casino Commander, with its initial feature set, will be available for customer delivery in the fourth calendar quarter of 2005, subject to regulatory approval in various jurisdictions.

"At last year's G2E, we introduced Casino Commander's downloadable and configurable features. This year, we are excited to be able to preview new Casino Commander features, including the tournament service that allows for 'in revenue' game units to be converted to a slot tournament mode and then seamlessly integrated back into standard revenue play. Our system and game engineers continue to develop what we believe is already the industry's most advanced solution for downloadable gaming management tools, and we believe that current features and those being developed will emerge as the industry's most advanced and capable yield management tools."

About Casino Commander and Tournament Service:

Casino Commander provides casino operators a flexible game platform that dramatically increases an operator's control of game selection and configuration, game titles, denominations, payouts, promotions, and other management and marketing features. As with other Multimedia offerings, these technology solutions allow games to be downloaded from a server-based system controlled from a variety of locations, including a wireless tablet PC on the gaming floor.

The Tournament Service feature of Casino Commander is a dynamic revenue tool for operators. In the past, they have had to either dedicate certain machines to slot tournament play and leave them "dark" and out of revenue play when there was no tournament in progress, or manually reconfigure each

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machine before and after a slot tournament. This Intelligent Casino feature allows operators to keep more games earning revenue during peak periods of operation, but also enables them to fully utilize the powerful marketing advantages of slot tournament offerings during slower or other selected periods on the slot floor. During a tournament, Casino Commander Tournament Service configures "in revenue" machines for the tournament, signs up players, monitors the tournament's progress, and gives real time, interactive feedback to players. At its conclusion, the gaming machines are automatically or manually reconfigured to reflect the desired slot floor profile, and returned to revenue service.

Multimedia Games Selected to Supply Electronic Instant Lottery System to Israel National Lottery

AUSTIN, Texas – January 27, 2005– Multimedia Games Selected to Supply Electronic Instant

Lottery System to Israel National Lottery Thursday January 27, 7:00 am ET

Agreement Marks Company's Entrance into International Lottery Market

AUSTIN, Texas--Jan. 27, 2005-- Multimedia Games, Inc. (Nasdaq: MGAM) announced today that it has been selected by Mifal Hapayis, the operator of the Israel National Lottery, to provide an Electronic Instant Lottery System ("EIL"). Pursuant to the agreement, Multimedia Games ("Multimedia") will sell Mifal Hapayis a complete gaming system, including central determinant system technology; management, test, monitoring, and accounting systems; on-site training; game themes; and delivery of an initial 500 EIL point-of-sale terminals to be deployed at 150 retail locations throughout Israel. The initial minimum value of the purchase and service agreement is approximately $8.5 million, which includes a one-year system warranty. The system and initial player terminals are currently scheduled to begin operation in the second half of Multimedia's 2005 fiscal year.

The contract was awarded following a competitive procurement process involving several other multinational lottery providers. Multimedia's central system for the Israeli National Lottery has been designed to support Mifal Hapayis' planned future expansion of the system to as many as 5,000 player terminals located in approximately 1,500 retail locations throughout Israel.

Clifton E. Lind, President and CEO of Multimedia Games, commented, "Our selection by Mifal Hapayis confirms the robustness and unique flexibility of our central determinant system technology, and extends our success in deploying this technology in new markets. The award is significant because it validates Multimedia's strategy of diversifying its sources of revenue by using the success of our

lottery-proven central determinant system technology to win additional domestic and international video lottery contracts. Our selection by Mifal Hapayis, as well as recent domestic central system competitive procurements in which our system achieved the highest scores among all bidders for technology and system support, validates the strength of our technology, system engineering, and content development, as well as the talent embodied in our test, training, deployment and operations teams. We look forward to working with Mifal Hapayis to provide the Israel National Lottery with a scalable lottery system that will meet present and future electronic instant lottery needs, while providing an optimal interactive experience for its customers.

"This represents our initial win in an important, emerging market - delivery of instant lottery outcomes to remote locations. We plan to aggressively pursue other domestic and international opportunities for outcome distribution to both retail destinations, as in the Mifal Hapayis contract, and to a wide variety of communications channels for delivery to other types of remote locations."

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SSyysstteemm OOvveerrvviieeww

GGaammiinngg TTeerrmmiinnaallss

Multimedia Games offers a variety of attractive terminal styles including slant-top, sit-down, kiosk and upright styles. Multimedia Games has its own terminal manufacturing facility and has alliances with other terminal manufacturers including KIS, Cole Industries and WMS Inc.

All cabinet options are reliable, robust, attractive, and easily serviceable. The primary difference between each cabinet is the external appearance and the arrangement of the internal components. All Multimedia Games terminal cabinets encompass the same internal specifications, including identical computer units, LCD screens and card-readers.

All Gaming Terminals have been designed to meet UL product safety and will meet all specifications as stipulated by the customer.

Multimedia Games is typically able to fulfill Lottery production requests within 120-150 days of order placement, depending upon model type and required features and/or other modifications.

Dimensions

KT-135 Thinman Cole Slim Line Cole Kiosk

Height 1.52 Meters 1.04 Meters 1.32 Meters Width 0.57 Meters 0.52 Meters 0.56 Meters Depth 0.51 Meters 0.43 Meters 0.51 Meters Weight ~86 KG ~81 KG ~79 KG

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GGaammeess

Success in the gaming industry will always depend on developing great games that maximize the entertainment value for the players and financial returns for the operators. The greater variety of games you can put on the gaming floor, the more interesting the venue will be for a wider cross section of players, because everyone relates to games in a different way.

Gone are the days when gaming machines have a shelf life of five years. Now, with the advent of computer-driven multi-line, multi-coin, and branded theme games, games are becoming obsolete faster than ever before. Our goal has been to provide with the best games available, and then let the customers and the market tell us if we’re doing the right thing. In the end,

the players have the ultimate say on games. It all comes down to earning a place on the gaming floor.

At Multimedia Games, we’ve always looked at things this way. Our business model in many of the markets we serve is based on revenue sharing; that is, we are paid solely on performance, based on a small percentage of the actual machine win per day. This motivates us to be more creative in the design of new game themes.

When it comes to game themes, Multimedia Games is in the creative content business. Rather than treating our products and services as commodities, we measure our success in terms of entertainment value, creative content, technological innovation, and intellectual property. We strive to make every game that comes out of our door a great one.

Our game engineers and design group create incredible new games that are the centerpiece of the EPS industry. Incorporating sizzling graphics that “bounce” off the screen and amazing sounds that add to the player appeal, our game designers integrate enhancements that increase handle and net win per day.

Through our research and first-hand observations, we have come to know that people do not want to think of themselves as “gamblers”. They think of themselves as “players”. They are looking for entertainment time value and a chance at winning. Our game design research is aimed at delivering game themes and titles that meet the ultimate test: increased revenues.

A cornerstone of our game design process is market research. Continually, we go to the players and ask:

� What do you want?

� What will give you the most fun and enjoyment?

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SSyysstteemm FFeeaattuurreess

Multimedia Games’ experienced team of software, hardware, and field engineers has logged thousands of hours designing and installing bingo and video lottery systems. These field-proven systems meet the unique demands and challenges of today’s complex gaming operations. Critical features of each of Multimedia Games’ systems include:

Accurate accounting, reporting and tracking

Ability to use diverse terminals & game themes

Scalable and Expandable - Easily incorporate new terminals and game themes as needed

Ability to incorporate player tracking

High level of security, integrity, and reliability

Very low operating costs

Support of both wide and local area progressives

Centralized floor configuration management (see figure below)

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SSyysstteemm SSeeccuurriittyy

A hallmark feature of each Multimedia Games-designed system is security. The following bullets identify key security characteristics of all Multimedia Games Bingo, Class II and video lottery systems:

Network Operations Center monitoring 24/7, 365 days a year from our Austin, Texas Technology Center.

Only authorized users can control and monitor system functions.

Access to system features is organized according to user-level privileges.

The system fully utilizes digital certificates and secure authentication where applicable.

System site controllers constantly check line integrity every two seconds.

Any line break detection will trigger an automatic fail-over.

All data utilizes the latest encryption technology including 168-bit 3DES technology (or equivalent).

The system makes extensive use of high-performance Cisco system routers, PIX Firewalls and VPN Concentrators.

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PPllaayyeerr TTrraacckkiinngg//CCaassiinnoo MMaannaaggeemmeenntt

Multimedia Games systems feature the ability to interface to 3rd party player tracking systems. We also offer our MGAMe® Casino Management System. The MGAMe system is comprised of comprehensive stand-alone management modules which include:

Table Games

Promotions

Cash and Cage

Slot Analysis

Slot Accounting

Unified Point-of-Sale

Swipe Card System Entry which permits Player Tracking.

Our Player Tracking modules are currently deployed in Casinos and Racetracks in Oklahoma, Alabama, New York and Washington.

MMaarrkkeettiinngg SSeerrvviicceess

Multimedia Games provides extensive marketing support to many of our customers—from providing collateral materials such as posters, back-lit “duratrans” images, wobblers, and slot toppers to lending promotional assistance in generating increased volume during targeted time periods.

Existing customers have availed themselves of Multimedia Games’ marketing support for a variety of targeted promotions and general marketing purposes alike. Collateral materials call attention to Multimedia Games machines resulting in better understanding of game play and increased play levels, while promotional efforts have proved successful in increasing revenues during off-peak times of business levels. Most of Multimedia Games’ customers utilize a “Marketing Allocation Fund”, which is used for marketing efforts and financed jointly by the customer and Multimedia Games for a variety of expenses associated with promotions, collateral, and other marketing needs.

Multimedia Games can provide collateral materials to market and advertise our game offerings to VLT customers in a design and number to be discussed in contract negotiations.

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RReellaattiioonnsshhiippss // PPaarrttnneerrsshhiippss

Multimedia Games maintains productive business alliances with game product providers including WMS Gaming, Alliance/Bally Gaming, Mikhon Gaming, Infinity Gaming, and Sigma Game, Inc. We also contract for proprietary themes for use as content from brand-name entities such as Ed McMahon, Jeff Foxworthy, National Lampoon, Laugh-In Television, Laura Croft Tomb Raider, and Don Clemente’s La Loteria – Mexico’s traditional 100-year old picture game. By these successful partnerships, we have proven our ability to work with diverse manufacturers to adapt their game content to our systems. Further, we have developed the expertise to understand player preferences regarding game attributes and work continuously with our partners and customers to improve player experiences.

Multimedia Games is contracted to provide gaming systems in over 400 locations worldwide. Our customers include casinos; class II bingo gaming facilities; Racinos; charitable bingo facilities; racetracks; and state and international lotteries, such as the New York State Lottery and Israel’s linked National Lottery.

Multimedia Games is a company that is committed to aggressive development of innovative technology. We pioneered high-speed Bingo and related “progressive gaming systems” as well as the use of state-of-the-art technology incorporated into gaming support systems. We now supply systems to the New York State Lottery, which, when fully operational, will be the most lucrative lottery in the world.

While we are headquartered in Austin, Texas, our experience is accepted in the field at gaming venues across the country and in Israel and Mexico, where countless players enjoy our Class II, Class III, video lottery, and live paper bingo games. This acceptance is based on the latest gaming technology and our experience in delivering gaming laboratory-certified and field-proven bingo and video lottery systems, games, and terminals. The games and terminals that we propose not

only assure the greatest probability of immediate financial success for Televisa, but also go further by anticipating and delivering future technology needs. This offering minimizes risk while delivering the flexibility required to meet the needs of today’s players and the ever-changing dynamics of the gaming market.

CCoommpprreehheennssiivvee CCuussttoommeerr SSuuppppoorrtt

Multimedia Games’ personnel and our approach to Total Customer Support are the major reasons for our success. In addition to game content development, game system design and the application of the latest technology, our ability to teach and support our customer partners as they develop their facilities is what makes us a leader in the gaming industry, including the Class II electronic Bingo segment.

Multimedia Games has teams of experienced professionals who have succeeded in practicing their specialties in casino, Bingo and lottery markets. These teams partner with their customer counterparts operating the facility to teach, troubleshoot, and guide the customer in the start-up, operation, and growth of the enterprise. These teams include:

The Customer Service Team, which trains and re-trains the customer on how to operate the system on a day-to-day basis, including troubleshooting, dispute resolution, point-of-sale operations, player training, the use of reporting systems, and other features.

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The Technicians Support Team, which trains the facilities’ personnel on the physical repair of the system and terminals.

The Promotions and Marketing Team, which offers suggestions and options on effective promotions that will be appealing to the targeted demographic segment.

The Systems Engineering Team, which partners to train on the operation of the system and system security.

The Player Tracking Management System Team, which trains the customer on the use of the many MGAMe casino management modules including cash and cage, player tracking, slot analysis, etc.

The Network Operation Center (NOC) Team, which works with the system operator 24 hours a day, seven days a week to solve problems, negotiate player disputes, provide system upgrades, and troubleshoot on behalf of the customer. Our NOC team is continuously available when an emergency situation arises or when no local experts are available to immediately address an issue. The team provides support to facilities management whether it is at night, on a holiday or a weekend.

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PROPRIETARY AND CONFIDENTIAL Page 17

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Multimedia Games is a company that is Quick and Responsive. We have broad-based

international experience and a strong record of providing comprehensive gaming systems on-

time and on-budget.

New game titles roll off the Multimedia Games production line each and every week and are held

to the highest standards by Gaming Laboratories, Inc., the industry’s foremost, independent

game testing lab and include content from many Las Vegas gaming manufacturing partners.

Our systems offer linked, interactive progressive

jackpots. Currently Multimedia Games has thousands of

linked terminals, offering players a chance to win wide-area or

local-area jackpots. We understand the world of progressives

and how they play a part in delivering the overall gaming mix.

Multimedia Games’ electronic player stations can easily

be configured to allow for special events, such as game

tournaments, seasonal games, select game promotions, and linked or site-specific promotions, as well

as other special events related to the games.

Multimedia Games’ state-of-the art 32,000 sq-ft manufacturing plant in Austin, Texas can

currently build from scratch in excess of 50 terminals per shift. Additional capacity is provided

through our alliances with KIS, Cole Industries and WMS Inc.

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PROPRIETARY AND CONFIDENTIAL Page 18

RReeffeerreenncceess Reference: BJ’s Bingo Contact: Ms. Hope Halligan Address: 4411 Pacific Highway East Tacoma, WA 98424 Phone: 253-896-0882 Services Provided – For BJ’s Bingo, Multimedia Games provides Linked Electronic Bingo Games and Management System (Megamania, Big Cash Bingo, Flash 21 Bingo). The contract has been effect since April of 2000. Reference: Squaxin Island Gaming Entertainment Contact: Mr. Doug Boon General Manager Address: SE 70 Squaxin Lane Shelton WA 98584 Phone: 360-426-6577 Services Provided – For Squaxin Island Gaming Entertainment, Multimedia Games provides Class III Games and Linked Electronic Bingo Games and Management Systems (Megamania, Big Cash Bingo, Flash 21 Bingo). The contract has been in effect since June of 1999. Reference: Victory Land Gaming Center Contact: Milton McGregor Address: 8680 County Road 40 Shorter, AL 36075 Phone: 334-727-0540 Services Provided – For the Victoryland Gaming Center, Multimedia Games provides a turn-key Electronic Sweepstakes System. This contract has been in effect since December of 2005.