U.S. gaming financial review: Oct. 1/06 (1 of 2)
The week that was in the world of U.S. gaming financials began with the announcement of Paltronics System Solutions Inc. launching a lawsuit against Progressive Gaming International Corp. for patent copyright infringement. Paltronic, manufacturers of various slots machines and video games such as Progressive Blackjack, Caribbean Stud and Texas Hold’em for assorted casinos, is claiming Progressive Gaming infringed upon its multi-screen gaming device video game system. A patent was obtained for the unit in March. In response, Progressive Gaming, the makers of casino software and games, has announced they intend to fight the suit and categorized the move as a “veiled attempt by one of (our) competitors to capture market share from us through the court system rather than through the marketplace.� Shares in Progressive closed up at $8.41 per share on the Friday NASDAQ.
In other litigious news, GWIN similarly announced a lawsuit of their own this week – this one against multiple companies for patent infringement. Included in the suit are Don Best.com (majority owned now by Liberty Media after their recent purchase of Fun Technologies) along with VegasInsider.com, VegasExperts.com and Sports Direct. Additionally, GWIN announced they may also name even more plaintiffs in the future, and is seeking damages in the millions for intellectual property rights infringement. GWIN is America’s only publicly-traded sports handicapping company, specializing in both developing as well as marketing sports handicapping advice and information via television, radio and the internet. In other GWIN news, the company will now be officially known as Winning Edge International Inc.. Their stock traded at 4.4 cents per share Friday.
Elsewhere, The Meadows harness racetrack harness racetrack outside Pittsburgh was one of five such operations to be awarded a slot machine license. Millennium Gaming Inc. of Las Vegas will operate the Washington County casino, having purchased the track back in July for $200 million from Magna Entertainment. In addition, the other companies that also received licenses were Harrah’s Chester Casino and Racetrack; Penn National Race Course near Harrisburg; Mohegan Sun at Pocono Downs (located on the outskirts of Wilkes-Barre) and Bensalem’s Philadelphia Park. According to a Pennsylvania Gaming Control Board news release, a decision for the Erie-based Presque Isle Downs was delayed. Some of the tracks plan to have slots open and operating by the end of the year, with the remainder spreading out their kick-offs throughout 2007. Magna Entertainment closed down at Friday close at $5.26 on the TSE, Harrah’s closed up at $66.43 per share, while Penn National also closed up at $36.52 per share.
We will have more U.S. gaming financials to follow in a later update. Come back soon - and every day - to AllGamingNews.com for all your gaming industry news.
- Rex Harris