GOOD NEWS!!!!!!!!
Company Press Release
On-Point Technology Systems Inc. Announces Award of Exclusive ITVM Contract With the French Lottery
SAN MARCOS, Calif.--(BUSINESS WIRE)--Feb. 25, 1999--On-Point Technology Systems Inc. (''On-Point'') (Nasdaq/NMS Symbol:ONPT - news) today announced the award of an exclusive contract with La Francaise des Jeux (the ''French Lottery'') for the supply of instant ticket vending machines (ITVMs) for the entire country of France.
The French Lottery is the largest instant ticket lottery in the world, with annual sales in excess of $3 billion.
The contract was awarded to On-Point and its European distributor, Editec, after an extensive six month field test was performed to evaluate On-Point's ITVMs. The test results showed that the addition of On-Point ITVMs had a positive impact to instant ticket sales, to retailer performance, and to player satisfaction.
During the test, it was noted that one of the ITVMs located at a shopping mall in Paris sold over $12,000 in one week, establishing a weekly world record in ITVM sales. Overall, On-Point's ITVMs proved to be the most flexible at dispensing all of the French Lottery's available tickets.
Under the contract, On-Point has the exclusive right to provide up to 2,500 ITVMs to the French Lottery over the next three years. The first 500 ITVMs will begin to be manufactured and installed in April and May 1999. This will be the first significant implementation of ITVMs in Europe.
Frederick Sandvick, the chairman and chief executive officer of On-Point, commented, ''We are extremely pleased that La Francaise des Jeux selected On-Point's ITVMs over all the other competitive ITVM manufacturers. It is especially pleasing to be selected by La Francaise des Jeux because they performed the longest and most extensive test of any lottery before making a determination. On-Point's ITVMs are designed to maximize revenues for lotteries by allowing almost any type and size of instant ticket to be dispensed while also providing the players with an interactive vending experience in an efficient, reliable manner. La Francaise des Jeux will receive the benefits of these ITVMs and we look forward to working closely with La Francaise des Jeux in achieving their goals.
''We are also pleased to note that the award of the contract from La Francaise des Jeux marks the third lottery contract awarded to On-Point in the last five months for the supply of ITVMs. The aggregate value of the three contract awards during that period is estimated at approximately $27 million.''
On-Point provides effective technologies for transaction automation. On-Point designs, sells, leases and services high-security vending machines both domestically and internationally and is a premier supplier of automated, self-service lottery ticket vending machines and prepaid phone card vending machines.
Any forward-looking statements in this release are made pursuant to the ''safe harbor'' provisions of the Private Securities Litigation Act of 1995. Investors are cautioned that actual results may differ substantially from such forward-looking statements. Forward-looking statements involve risks and uncertainties including, but not limited to, continued acceptance of the company's products and services in the marketplace, competitive factors, new products and technological changes, dependence upon third-party vendors, a limited number of customers, political and other uncertainties related to customer purchases, and other risks detailed in the company's periodic filings with the Securities and Exchange Commission.
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Contact:
On-Point Technology Systems
Ken Hoitt, 760/510-4900
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