Press Release

Pollard Banknote’s Exclusive PlayBook® One of Iowa Lottery’s Most Successful Instant Scratch Games

WINNIPEG, Manitoba, July 2, 2013 /CNW/ – Pollard Banknote Limited (TSX: PBL) (“Pollard Banknote”) is proud to share the success enjoyed by the Iowa Lottery’s launch of Pollard Banknote’s exclusive PlayBook® instant ticket product innovation. Launched in January 2013, the Iowa Lottery’s Game Book was its first-ever Pollard PlayBook®, and is heralded as one of the most successful instant scratch games in the Lottery’s 27-year history.

“We ordered what normally would have been a two-year supply of tickets in a $20 game and the Game Book sold out in just four months,” said Terry Rich, Chief Executive Officer, Iowa Lottery. “Our customers—and retailers—really responded to the concept of multiple games in one product.”

The strength of the Game Book’s performance in Iowa was obvious from the beginning—more than 95% of the Lottery’s retailers that sell scratch games carried the Game Book. The product’s popularity led to an increase of more than 25% in retailers carrying a $20 game. Another telling figure: More than half the Lottery’s retailers who had previously sold scratch tickets exclusively through instant ticket vending machines, added the Game Book as a product sold in a dispenser for the first time.

The new $20 PlayBook®, Blazing Hot 7s, launched June 17, 2013, with much anticipation from the Lottery. “We are delighted with how well the Game Book PlayBook® was received by Iowa Lottery’s players. Iowa’s exceptional sales of our innovative play style is just one success story of many,” stated Doug Pollard, Co-Chief Executive Officer, Pollard Banknote. “Nearly 30 PlayBook® games have been launched in eight lotteries in the United States—all with outstanding results. An additional five lotteries worldwide have also implemented PlayBook® games. We anticipate collaborating with more clients to maximize the reach and impact of the unique appeal and play value offered by the Pollard PlayBook®.

Pollard Banknote’s patented Pollard PlayBook® brings multiple games together in a unique booklet format, enabling players to enjoy a wide variety of play experiences and a number of different games in a new and exciting way. Games included in the Pollard PlayBook® may incorporate a single play style, such as a booklet of Crossword tickets, or may be designed to include several different play styles around a broader concept—like money, gems and diamonds, or a destination such as Las Vegas.

Since 1985, the Iowa Lottery has raised more than $1.4 billion for state programs that benefit all Iowans. Today, lottery proceeds in Iowa have three main purposes: support for veterans, help for a variety of significant projects through the state General Fund, and backing for the Vision Iowa program, which was implemented to create tourism destinations and community attractions in the state and build and repair schools.

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