New contract for CEO

Aug 16, 2005 6:50 AM

GTECH Holdings Corporation (GTK), the world’s largest supplier of lottery systems and equipment, has provided its president and CEO, W. Bruce Turner, with a new three-year contract while the company continues to issue press releases announcing new contracts or the extension of existing ones.

Turner’s new contract became effective on Aug. 6 and provides for an annual salary of $750,00 with the potential for a performance bonus that could equal twice his base salary.

A former Wall Street gaming analyst, Turner first joined the company in the late 90’s as a member of its board of directors. Following internal strife that led to the company’s top officers leaving the company, Turner took over the leadership of the firm and guided it through troubled waters.

In 2002, he agreed to a three-year term as president, CEO and a member of the board while abandoning the post of chairman.

As for the company’s expanding business activities, GTECH announced the following:

A five-year contract to provide ongoing software support and enhancements to the Westdeutsche Lotterie in Germany.

A long-term contract for a new online and instant lottery system, terminals and communications network for the Washington Lottery.

A new software/hardware maintenance and support services agreement with the Societe de la Lotterie de law Suisse Romande.

An agreement to provide the Lottery of Spain with 5,000 additional handheld lottery terminals.

A contract to provide the New Zealand Lotteries Commission with a complete lottery system conversion to include a new integrated online and instant lottery system and new terminals.

Upon initiating coverage of GTECH Holdings on Friday, analysts at Legg Mason issued a buy rating on the company’s shares.