AGTI-NEWS:
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Advanced Gaming Technology, Inc. Announces Completion Of Distribution Agreement With K&B Sales, Inc.
PR Newswire - March 04, 1998 12:19
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Jump to first matched term VANCOUVER, March 4 /CNW-PRN/ - Advanced Gaming Technology, Inc.
(OCTCBB:AGTI) today announced completion of a Distribution Agreement
(Agreement) with K&B Sales, Inc. (K&B) of Dallas, Texas for the exclusive
distribution of AGT's MAX(LITE) hand set in Texas. The State of Texas is the
dominant market in the U.S. for bingo, generating retail sales of
approximately $500 million per annum.
The alliance with K&B is in line with the Company's restructuring;
forming strategic relationships with established entities to deliver the MAX
Bingo System to the market in the most cost effective manner.
With the recently announced exclusive licensing agreement with Bingo
Technologies Corporation (BTC) for the MAX(PLUS) and TurboMAX systems, coupled
with this alliance with K&B, the Company is now fully represented in the State
of Texas, the largest bingo market in the U.S., for its full range of
products.
Under the terms of the Agreement with K&B:
- K&B is exclusively responsible for marketing, installing and servicing
of MAX(LITE) handset in the State of Texas for a period of 3 years;
- K&B will place the MAX(LITE) which will, on annualized bases, yield to
the Company in excess of $1,000 per unit placed;
- There is also a minimum placement target set for each year of the
term;
- AGT is responsible for providing the equipment, namely, the handset, a
controller's unit, and the peripheral equipment.
K&B Sales, Inc. is a private company, engaged in the distribution of
gaming products for the past 20 years. K&B has approximately 30 employees;
an established customer base of some 500 clients; and is one of the leading
distributors in the State of Texas in the bingo industry.
Mr. Ken Griffiths, owner and president of K&B Sales, Inc. states, ''...
the Texas Market for handsets like the MAX(LITE) is excellent, and we look
forward to introducing this product to our established customer base.
MAX(LITE) has the potential for significant market penetration in the State of
Texas.''
Mr. Tom Nieman, Chief Executive Officer of AGT, states, '' ... this
Agreement is consistent with the new AGT marketing strategy that was announced
earlier this year. AGT will be creating more strategic alliances with well
established partners to deliver our MAX Bingo Systems into their respective
markets.''
Information provided herein by AGT contains, and from time to time AGT
may disseminate materials and make statements which may contain
''forward-looking'' information, as that term is defined by the Private
Securities Litigation Reform Act of 1995 (the ''PSLRA''). These cautionary
statements are being made pursuant to the provisions of the PSLRA and with the
intention of obtaining the benefits of the ''safe harbour'' provisions of the
PSLRA. AGT cautions investors that any forward-looking statements made by AGT
are not guarantees of future performance and that actual results may differ
materially from those in the forward-looking statements as a result of various
factions, including but not limited to the contingencies noted above.
Advanced Gaming Technology, Inc. creates, designs, markets patented and
proprietary gaming systems and software including technologically advanced
electronic bingo systems. The Company is a major supplier of electronic
gaming systems, offering increased play potential and revenue to gaming
operators. Its stock trades under the symbol AGTI on the NASD Electronic
Bulletin Board.
SOURCE: Advanced Gaming Technology, Inc.
/CONTACT: Advanced Gaming Technology Inc. (604) 689-8841/
(AGTI) |
