Progress on Plan for Installation of Units at Two Venues and Secures Agreement for Placement of 150 Units at New Venue
Elixir Gaming Technologies, Inc. (NYSE Amex: EGT) a provider of gaming technology solutions to the Pan-Asian gaming industry, today provided an update on the expansion of its electronic gaming machine operations in the Philippines market. Elixir Gaming is progressing on its plan to place approximately 200 units at two venues in the Philippines with 100 devices now installed at one venue and 95 additional units scheduled to be installed within the next thirty days. In addition, Elixir Gaming recently secured an agreement whereby the Company will install 150 electronic gaming units at a new venue in August. All of the Company's electronic gaming units are placed on a revenue share basis.
Elixir Gaming recently installed 100 units at a new venue located in a tourist-centric area of Manila and will install an additional 50 units in this facility in July. In addition, the Company will install 45 units at an existing venue in Las Pinas, a popular commercial and suburban district located approximately twenty minutes from Manila, in July. Elixir Gaming's placements at this facility will account for approximately one-third of the slot floor.
In August, Elixir Gaming will begin to operate in its eighth venue in the Philippines as the Company recently entered into an agreement to place 150 electronic gaming units at a new venue located near the Clark Special Economic Zone, in the province of Pampanga.
Clarence Chung, Chairman and Chief Executive Officer of the Company, commented, 'With these installations, our agreement for further placements at a new site in August, and an attractive pipeline of potential future venue projects, Elixir Gaming continues to make steady progress in executing against our expansion plans for the Philippines market. With 100 new units recently installed at a new venue and approximately 250 additional new units scheduled to be installed over the next few months across three venues, we remain on schedule with our previous expectations for adding approximately 400 machines in three to four new venues by the end of 2009.
'The three new venues at which we are adding units this summer are all attractively located in areas that generate consistent foot traffic, which we believe will benefit the performance of our operations. Notably, the build out of our installed base in the Philippines requires minimal capital expenditures, as these new machine installations will be sourced predominantly from our existing inventory. The progress we are making in ramping our Philippines operations provides further evidence of our ability to consistently execute against our strategic growth initiatives.'
As of March 31, 2009, the Company had a total of six venues in operation, comprised of five venues in the Philippines with a total of 831 installed units and 1 venue in Cambodia with a total of 237 installed units.
