Press Release

Pollard Banknote Announces Michigan’s New Instant Ticket, Sales Are 3 Times Higher Than Average

WINNIPEG, Manitoba, May 13, 2013 /CNW/ – Pollard Banknote Limited (TSX: PBL) (Pollard Banknote) is pleased to announce the successful launch of the Michigan Lottery’s latest $20 game, Diamond Payout. Based on sales in its first five weeks, Diamond Payout is the Lottery’s best-selling $20 game since 2002. Diamond Payout’s five-week average sales are more than triple that of all other $20 games launched in Michigan since 2006. 

Further evidence of this ticket’s success, Diamond Payout was a contributing factor in the Michigan Lottery reaching an all-time high for weekly sales – the Lottery logged record instant ticket sales of $26,994,000 for the week ending April 8, 2013.

Launched on March 5, 2013, Diamond Payout showcases Scratch FX®, a patented Pollard Banknote printing feature that uses sparkling effects to increase an instant ticket’s visual appeal. Scratch FX® products offer a high-value, eye-catching look that stands out at retail and attracts impulse buyers. 

Restructured prizing also contributes to the game’s attraction. Diamond Payout offers the same $1 million top prize as other recent $20 games, but offers more mid-level “chatter” prizes – prizes that are high enough that people will share their winning experiences with others. This change is supported by a two percent higher prize payout than the average $20 game.

“Pollard Banknote is delighted with the early performance of Michigan Lottery’s Diamond Payout,” said Doug Pollard, Co-Chief Executive Officer. “The success of this game exemplifies the ability of Pollard Banknote and the Michigan Lottery to collaborate and develop a winning ticket that combines enticing Scratch FX® graphics, a top prize of $1 million, and more mid-level prizes.”

“Our excitement for this ticket originated with its striking appearance – the Scratch FX® allows for a ticket design that emulates the appearance of actual diamonds – and continued because of its impressive sales results,” commented Tom Weber, Chief Deputy Commissioner, Michigan Lottery. “This is a great looking product with a high payout and, as sales indicate, our players are taking notice.”

Pollard Banknote and its predecessor companies have provided instant ticket services to the Michigan Lottery as their primary 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

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