USA: Washington D.C. Council OKs Intralot lottery contract

2009-12-02

The D.C. Council gave final approval Dec. 1 to a $37.3 million, five-year deal for Intralot, an international gaming firm based in Greece, to run the D.C. Lottery.

The contract was first put out to bid last year, and District CFO Natwar Gandhi recommended the city select a joint venture formed by Intralot and D.C.-based W2Tech, a venture by real estate developer Warren Williams.

Mayor Adrian Fenty submitted the contract twice to the D.C. Council, but the council rejected it after council members questioned the venture’s qualifications and political connections.

This time around, Intralot bid without any partner registered with the Department of Small and Local Business Development. Gandhi recommended its bid over those by Providence, R.I.-based GTECH Corp. and New York City-based Scientific Games Corp.

Under the terms, Intralot would get 2.599 percent of sales, which the lottery estimates could make it worth $37.3 million over the initial five-year period.

The contract has options for five one-year extensions.

Source:

BusinessJournal