Press Release

Pollard Banknote Announces 1st Quarter Financial Results; Continued Growth In Revenue And EBITDA

WINNIPEG, Manitoba, May 5, 2014 /CNW/ – Pollard Banknote Limited (TSX: PBL) (Pollard Banknote) today released its financial results for the three months ended March 31, 2014.

“Our first quarter financial results reflect the continuing strong business fundamentals experienced by Pollard during the start of 2014 and we are pleased both about the actual results and the potential growth we see in our business,” stated John Pollard, Co-Chief Executive Officer. “The significant revenue growth, both compared to the same time last year and the more recent quarters, is reflective of both higher sales volumes and improved average selling price. Sales of our licensed games and proprietary products such as Scratch FX® were also very high during the quarter.”

“Particularly satisfying is the growth in our EBITDA of approximately 23% compared to the same period last year, indicating the investments we have made in our business are paying dividends through improved value creation.”

“Based on our confidence in the market, and our ongoing success in growing our top line and winning new work, we were very pleased to have announced recently the purchase of a new advanced press line. When operational in the spring of 2015, this press will provide substantial increased capacity as well the ability to reduce our ongoing operating cost structure.”

“The lottery industry, and in particular the instant ticket product segment, remains very robust and we are pursuing a number of strategies to both expand our market share and capitalize on new opportunities such as digital and internet related gaming (or iLottery).”