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| Gaming combination could hit the billion-dollar jackpot |
7/10/2001 Merger between IGT and Anchor Gaming Announced This week, International Game Technology and Anchor Gaming announced that the Boards of Directors of both companies had unanimously agreed to a merger between Anchor Gaming and a subsidiary of International Game Technology ("IGT"). The deal is valued at $1.365 billion, creating a company whose annual revenues will exceed $2 billion. President and Chief Executive Officer of Anchor Gaming, Thomas J. (T.J.) Matthews will join IGT as its Chief Operating Officer while continuing in his present position. He will also be appointed to the IGT Board of Directors, together with an additional director. "We are very enthusiastic about this business combination," said G. Thomas Baker, President and Chief Executive Officer of IGT. "IGT and Anchor Gaming have been joint venture partners since 1996 on the very successful Wheel of Fortune(R) product. Upon closing, IGT will be able to recognize 100% of the joint revenue and profits previously shared by the companies. This is a significant strategic benefit. We are also very excited about the addition of Anchor Gaming's significant executive talent which will contribute to the further growth of IGT." "No other company offers the depth of talent that IGT and Anchor Gaming will have together, from the executive level to design and manufacturing," said T.J. Matthews, Chairman, President and Chief Executive Officer of Anchor Gaming. "We are looking forward to the many possibilities that the combination presents." Although the merger is subject to the approval of both companies' shareholders and regulatory approvals, it is anticipated that the transaction will be completed in the first quarter of 2002. |
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