Press Release

Pollard Banknote And The Michigan Lottery “Raise The Stakes” To Introduce A New Interactive Game

WINNIPEG, Manitoba, May 22, 2013 /CNW/ – Pollard Banknote Limited (TSX: PBL) (Pollard Banknote) is pleased to announce the launch of the Michigan Lottery’s latest innovative instant ticket, Raise The Stakes, which features Pollard Banknote’s patent-pending Social Instants™ program. Aimed at helping lotteries appeal to the 18 to 34 year-old emerging market and other users of mobile technology, Social Instants™ harnesses the marketing power of mobile and social media with traditional instant tickets to facilitate team play and winner awareness messaging. Raise The Stakes was launched at Michigan retailers on June 4, 2013.

The $2 Raise The Stakes game plays like a standard instant scratch ticket, but in addition, offers an interactive second chance promotion with never-before-seen features. Players can submit an entry code either via a game-specific website or through a Raise The Stakes mobile app. Once entry codes have been entered, players are eligible to win daily prizes of $100 and to compete in teams to win a bi-weekly progressive jackpot prize of up to $30,000. Players can invite friends to join their team and pool entries for the progressive jackpot drawings. Each entry increases the team’s potential progressive jackpot by $500. Each team member’s share of a winning jackpot is determined by the number of entries individually submitted. Another unique aspect of Raise The Stakes is that players can share their experiences socially by posting winning messages to the Raise The Stakes website and social networking sites such as Facebook and Twitter. Team members can also connect online using a chat feature.

Raise The Stakes and its integration of the Social Instants™ program highlights the Michigan Lottery’s innovative spirit and Pollard Banknote’s commitment to the development and use of technology-based solutions that support the retail network,” said Doug Pollard, Co-Chief Executive Officer, Pollard Banknote. “This game, with its use of social media’s word-of-mouth influence, has great potential to attract new players, particularly those in the elusive 18 to 34 year-old demographic. It does this while driving players back to retail outlets for purchase and to claim prizes, thereby capitalizing on the Lottery’s biggest asset, their retail network.”

“Given the Lottery’s successful foray into instant game apps and our recent successes in monetizing technology, we see Raise The Stakes as the next logical step. Many of our players have first-hand experience with the Lottery’s interactive presence through our Cashword and Bingo apps, and Raise The Stakes builds on our technological initiatives by offering a more robust program,” explained Tom Weber, Chief Deputy Commissioner, Michigan Lottery. “Our staff quickly understood the mechanics and benefits of Raise The Stakes, and we are confident that their excitement for this new game will carry over to retailers and, ultimately, to the players.”

Pollard Banknote and its predecessor companies have provided instant ticket services to the Michigan Lottery as its exclusive supplier since 1986. The Michigan Lottery reported annual sales of $2.4 billion in fiscal 2012, and generated over $770 million in net revenue for the state’s School Aid Fund, which supports public education programs throughout the state. Since 1972, the Lottery’s total contributions to schooling have grown to exceed $17 billion.

About Pollard Banknote Limited

Pollard Banknote Limited is one of the world’s leading full-service lottery vendors and is a major supplier to North America’s charitable gaming industry. The company manufactures instant lottery tickets and provides related programming, design, and marketing support. As well, Pollard Banknote manufactures pull-tab tickets and bingo paper, and supplies lottery management services (including warehousing and distribution). Established in 1907, Pollard Banknote is owned approximately 73.5% by the Pollard family and 26.5% by public shareholders and currently serves more than 50 lotteries worldwide, including some of the largest and most respected lotteries in the United States, Canada, Europe, Asia, and Central and South America. For more information, please visit our website at www.pollardbanknote.com.

Forward-looking Statements

Certain statements in this press release may constitute “forward-looking” statements and information, which involve known and unknown risks, uncertainties, and other factors that may cause actual results, performance, or achievements to be materially different from any future results, performance, or achievements expressed or implied by such forward-looking statements. When used in this document, such statements include such words as “may,” “will,” “expect,” “believe,” “plan,” and other similar terminology. These statements reflect management’s current expectations regarding future events and operating performance and speak only as of the date of this document. There should not be an expectation that such information will in all circumstances be updated, supplemented, or revised whether as a result of new information, changing circumstances, future events, or otherwise.

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FOR MORE INFORMATION, CONTACT:

Doug Pollard
Co-Chief Executive Officer         Telephone: (204) 474-2323
E-mail: dpollard@pbl.ca

John Pollard
Co-Chief Executive Officer         Telephone: (204) 474-2323
E-mail: jpollard@pbl.ca

Rob Rose
Chief Financial Officer         Telephone: (204) 474-2323
E-mail: rrose@pbl.ca