Press Release

Pollard Banknote Awarded Eighteen-month Contract Extension By The New Jersey Lottery

WINNIPEG, Manitoba, August 28, 2012 /CNW/ – Pollard Banknote Limited (TSX: PBL) (Pollard Banknote) is pleased to announce that the New Jersey Lottery has awarded Pollard Banknote an eighteen-month extension to its existing contract for instant lottery tickets. This extension, under which Pollard Banknote will remain the primary supplier of instant tickets to the New Jersey Lottery, commenced on July 1, 2012 and ends December 31, 2013 and carries an estimated contract value of $18 million (US). 

Pollard Banknote has been the primary instant ticket supplier to the New Jersey Lottery since 1996. During this period, the Lottery’s annual instant ticket sales have grown from $339.7 million to $1.4 billion, or 302 percent.

“Pollard Banknote is pleased to secure this latest contract extension from the New Jersey Lottery,” said Doug Pollard, Co-Chief Executive Officer. “This extension demonstrates the Lottery’s confidence in our knowledge of the New Jersey marketplace and in our innovative products and services.”

The mission of the New Jersey Lottery is to support State education programs and institutions. It accomplishes this by providing entertaining products through a dynamic public business enterprise built upon honesty, integrity, customer satisfaction, teamwork, and public/private partnerships.

About Pollard Banknote

Pollard Banknote is a leading lottery partner to more than 60 lotteries worldwide, providing high quality instant ticket products, licensed games, Schafer Systems and Fastrak retail merchandising solutions, and a full suite of digital offerings, ranging from world-class mkodo game apps to comprehensive player engagement and iLottery solutions, including strategic marketing and management services. The company is a proven innovator and has decades of experience helping lotteries to maximize player engagement, sales, and proceeds for good causes. Pollard Banknote also provides pull-tab tickets, bingo paper, and its Diamond Game and Oasis-branded electronic ticket machines to charitable and other gaming markets in North America. Established in 1907, Pollard Banknote is owned approximately 67.5% by the Pollard family and 32.5% by public shareholders, and is publicly traded on the TSX (PBL). 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. -30-

For More Information

Doug Pollard
Co-Chief Executive Officer
dpollard@pbl.ca

John Pollard
Co-Chief Executive Officer
jpollard@pbl.ca

Rob Rose
Chief Financial Officer
rrose@pbl.ca