Press Release

Massachusetts State Lottery Awards Pollard Banknote Three-Year Contract

WINNIPEG, Manitoba, November 7, 2012 /CNW/ – Pollard Banknote Limited (TSX: PBL) (Pollard Banknote) is pleased to announce that the Massachusetts State Lottery has awarded the company a three-year contract to supply instant lottery printing and related marketing services. The contract, which includes options for two one-year contract extensions, takes effect immediately and continues to at least October 2015 (2017 with extensions).

In fiscal year 2012, the Lottery generated revenues of $4.7 billion, of which $3.3 billion were attributed to instant ticket sales. The Lottery earned over $983 million in net profit in 2012, $883.7 million of which was distributed in the form of unrestricted Direct Local Aid to 351 cities and towns.

Pollard Banknote has been an instant ticket supplier to the Massachusetts State Lottery since 1999 and will continue to supply the Lottery with instant tickets, game designs, and marketing services. “We look forward to continuing our long-standing relationship with Pollard Banknote,” said Massachusetts State Lottery Executive Director Paul Sternburg. “We’ll continue to work together to explore innovative ways to provide our players with the best games and exceptional entertainment and value, while maximizing revenues returned to Massachusetts’ municipalities,” Sternburg continued.

Along with other highly successful tickets, over the years Pollard Banknote has provided the Massachusetts State Lottery with $2, $5, and $10 Cashword tickets. This new contract will enable Pollard Banknote to bring its award-winning interactive, second-chance games (WebPlay™) and licensed products to the Massachusetts market. The Massachusetts State Lottery has the highest per capita instant sales in the world and ranks fifth in the world for total instant sales.

“Pollard Banknote is pleased to secure this latest contract with the Massachusetts State Lottery,” said Doug Pollard, Co-Chief Executive Officer of Pollard Banknote. “This contract demonstrates the Lottery’s confidence in our knowledge of the Massachusetts marketplace and in our ability to continue to deliver consumer benefits by way of innovative products and outstanding marketing services.”

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