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RANK PLC TRADING UPDATE

Thursday June 23, 2011 : online bingo helps group grow interactive revenues by 28 percent in second quarter
 
Britain's Rank plc land and internet gambling group issued a trading update for the 25 weeks to June 19 this week, revealing that total group revenue rose by 4 percent and like-for-like revenue was also up 4 percent.
 
For the most recent ten weeks growth was even stronger, rising by 7 percent
 
On its internet and mobile operations Rank Interactive grew revenue by 28 percent in the ten-week period with a very strong performance from subsidiary Meccabingo.com.
 
For the year to 19 June, Rank Interactive has grown revenue by 26 percent as a result of cross-selling from Rank’s land-based venues and continued investment in the group’s online brands.
 
Particularly strong growth was achieved in mobile gaming with more than 70,000 customers downloading the Mecca Bingo and Blue Square (sportsbetting) iPhone apps since launch in January 2011 (see previous InfoPowa reports).
 
The trading update comments on the company's Value Added Tax situation, noting that since the start of the year, Rank has received more than GBP160 million in VAT refunds and associated interest from Her Majesty’s Revenue & Customs and is now in a net cash position.
 
Since 2008, Rank has received in total over GBP275 million in overpaid VAT and associated interest, following successful litigation at both the First Tier VAT Tribunal and the High Court.
 
Her Majesty’s Revenue & Customs (‘HMRC’) has lodged a final appeal against these rulings with the European Court of Justice, and this will be heard later this month with a ruling anticipated by the end of 2011.
 
Rank has disclosed that it has submitted further claims for at least another GBP275 million, which it expects will be resolved over the course of the next two to three years.
 
The Rank statement also makes reference to European Commission complaints by Danish taxpayers regarding the provision of reduced rates of duty for online gambling (compared with gambling in land-based venues), which - it is claimed - constitutes illegal state aid. Rank is an advocate of harmonised and equal online and land gambling tax rates.
 
Management gave an optimistic outlook for the coming months, saying the group has made a solid start to the year.

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Gambling News :

Betsoft Gaming In Deal With SuprNation - Betsoft Gaming’s latest content supply partnership will see its Slots3 collection launched on VoodooDreams.com, SuprNation’s primarily Swedish and Nordic focused online gaming operation.

Ladbrokes New SPonsor of The Hennessy Gold Cup - The longest sponsorship deal in the history of British horse racing has come to an end with Ladbrokes becoming the new sponsor of the race formerly known as The Hennessy Gold Cup for the next five years, Racing Post reports.

Ladbrokes Appoints Annemarie Durbin - Durbin, a qualified lawyer with over two decades of international banking experience, will also take up membership of the Audit, Remuneration, Social Responsibility and Nomination Committees with effect from March 1, 2017.

Olympus Slot Pays $210k Jackpot to USA Player - “I love slots, been playing a long time. I go to Vegas once a year. In between I play online. It’s so convenient. I play mostly Hold the Riches, Pyramid Plunder, Dollar Storm or Olympus. I’ve also started playing keno more.”

Divine Fortune SLot Launches - NetEnt has launched a new local jackpot title “Divine Fortune”, a five-reel, 3-row, twenty-fixed line video slot themed on ancient Greece and a world of mythical creatures, legendary riches, and golden coins.

BetatHome profit guidance for the 2016 financial year - bet-at-home.com AG has lifted its profit guidance for the 2016 financial year following what it terms a “supremely positive business development in the fourth quarter”.

Aussie Millions $1,150 buy-in No-limit Hold’em Accumulator Results - In the latest Aussie Millions event - the A$1,150 buy-in No-limit Hold’em Accumulator, local poker pro Bridges Roe prevailed against a field of 721 to claim the main prize of A$160,725, despite starting the final day at the bottom of the chip counts.

2 Huge Wins at Bovada Casino - Paul D. from Boston, MA, scored really big, earning $808,529.80 playing the Food Fight progressive jackpot slot on the Bovada online casino on a wager of $11.25. Unfortunately Bovada's press release does not give any further details.

China Internet Clean Up Campaigns - The advisory revealed that the current drive will run through to the end of March 2018, and that online gambling and other inappropriate or unacceptable content must be blocked because:

AOPA to campaign for poker to be left alone - The threat that amendments to the federal Australian Interactive Gaming Act aimed at stopping in-play action could spill over into an online poker ban has motivated Aussie players to form an action group in support of the game.

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