Wednesday March 25, 9:30 am Eastern Time
Company Press Release
SOURCE: Advanced Gaming Technology, Inc.
Advanced Gaming Technology Inc. and Sega Gaming
Technology Inc. Sign Letter of Understanding
VANCOUVER, Canada, March 25 /PRNewswire/ -- Advanced Gaming Technology, Inc. (OTC
Bulletin Board: AGTI - news), and SEGA Gaming Technology, Inc. (SGT) Las Vegas, Nevada
today announced the signing of a Letter of Understanding whereby it was agreed:
-- AGT and SGT shall, by way of incorporation, form a new
company, to jointly develop and market innovative software
products to the gaming industry. The first such product will
be Sonic Bingo;
-- Sonic Bingo, as it has been designated during the design and
developmental stage thus far, is a fast-paced, progressive linked
speed bingo game for use in Class II bingo halls throughout North
America;
-- The new company shall license from Sega Gaming Technology, Inc. its
rights to use of the "SEGA" brand name, and it shall license from
Advanced Gaming Technology, Inc. its MAX Bingo System software,
Prisms patented game technology, and rights to use the "Sonic
Bingo" trademark;
-- Start-up capital has been contributed by both companies which will
facilitate incorporation and product development costs for Sonic
Bingo. Hereinafter, capital expenditures and revenues shall be shared
on a 50/50 basis. AGT and SGT, within terms of an earlier
preliminary agreement (May 1996), have already expended co-operative
funds towards development of ten (10) proto-types for Sonic Bingo.
AGT and SGT have employed Mr. James Hammer, previously Vice President Sales and Marketing
for AGT, as Product Manager for Sonic Bingo. Mr. Hammer brings extensive years of experience in
Class II and Class III gaming as a corporate executive.
The 1998 Business Plan for Sonic Bingo contemplates finalization of the design and development of
Sonic Bingo, followed by a pilot programme with approximately one hundred (100) units linked
between multiple sites in the U.S. Sonic Bingo is targeted to be launched for commercial use in late
1998, with the prospective market including Class II bingo halls, and in Class III venues throughout
North America.
Sega Gaming Technology, Inc. with approval by its Board of Directors, has authorized a Purchase
Programme of up to 5 million common shares (approximately 5% of AGT's issued and outstanding
shares) in open market transactions as well as purchasing a portion by way of private placement with
AGT.
Doug Sanderson, CEO, Sega Gaming Technology, Inc., states, ''...Sonic Bingo is a game that we
believe has the potential to bring a new level of play to bingo halls on a world wide basis...we have
been working on this joint venture for a year...Sega looks forward to a long-term relationship with
AGT.''
Tom Nieman, Chief Executive Officer of AGT comments, ''...Sega Gaming provides an important
ingredient to development and launch of Sonic Bingo...We believe SGT's international marketing
skills and strategic business relationships are a perfect fit for AGT's platform of software technology.
This Agreement is consistent with AGT's new business strategy whereby the Company is exploiting
its technology in joint ventures as well as licensing and distribution agreements.''
CAUTIONARY STATEMENT REGARDING FORWARD-LOOKING STATEMENTS.
Certain matters contained herein regarding matters that are not historical facts are forward-looking
statements (as such term is defined in the Private Securities Litigation Reform Act of 1995). Because
such statements include risks and uncertainties, many of which cannot be predicted with accuracy
and some of which may not even be anticipated, future events and actual results may differ materially
from those expressed or implied by such forward-looking statements. Factors that could cause
actual results to differ materially include, but are not limited to, operating losses in recent periods;
future capital needs and uncertainty of additional financing; government regulation; risk of low priced
or penny stocks; trademark and patent protection; competition; and technological innovation. The
Company's operations are subject to numerous risks associated with establishing any new business,
including unforeseen expenses, delays and complications.
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.
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