Progressive Gaming Establishes Toronto Headquartered Division to Support Product and Services Expansion in Growing Market

- Experienced Gaming Industry Executive, KC Flynn, to Lead Company’s Efforts in Driving Growth Across all Canadian Provinces –

Progressive Gaming International Corporation (NASDAQ: PGIC), a leading provider of diversified products and services used in the gaming industry worldwide, announced today that it established a new Canadian division headquartered in Toronto, Ontario. Progressive Gaming’s Toronto based operation will focus on providing best-in-industry customer service and generating revenue through the continued expansion of the Company’s installed base of system products and services provided to customers in all Canadian Provinces. KC Flynn, 56, a senior executive with more than 16 years of experience working with gaming operators in many Canadian Provinces, has been appointed Senior Vice President/General Manager of the new Canadian division. Mr. Flynn will report to Robert J. Parente, Executive Vice President, Americas, of Progressive Gaming.

As of March 31, 2008, Progressive Gaming had an installed base of over 35,000 slot management systems in 5 Canadian Provinces, which reflected year-over-year growth of 12%.

Russel McMeekin, President and Chief Executive Officer of Progressive Gaming, commented, “Establishing Toronto based, customer-centric operations focused exclusively on the Canadian market facilitates access to our valuable Crown Corporation clients as we collaborate on the introduction of products aimed at optimizing gaming revenues. There is a significant opportunity to further grow the installed base of our Casinolink® and Table iD systems in casinos across Canada through expansions at existing properties, new property openings and new contract wins. The Canadian gaming market continues to be a key element of our growth plan and this new division, in concert with our existing service center in Calgary, will further our geographical expansion opportunities.

“In addition, our recently announced agreement with IGT, which provides for the integration of IGT’s sb™ NexGen™ displays and related bonusing applications, represents an opportunity for our Canadian customers to update their slot floors with new, revenue-enhancing products. Implementing IGT’s sb™ NexGen displays with Casinolink provides a unique solution for casinos in markets such as Provinces in Canada where the promotion of gaming offerings and services is primarily restricted to in-casino opportunities. The approval of NexGen displays for Casinolink is expected to generate, in 2009, approximately $4 – $6 million in additional EBITDA, worldwide, on top of what we expect to generate for non-NexGen and related applications revenues. With the increased customer touch points enabled by our new Canadian division, we expect our Canadian customers will be a significant portion of this additional EBITDA. We also believe that EBITDA contributions from these offerings will accelerate in 2010 and beyond.”

McMeekin added, “KC brings to Progressive Gaming extensive experience in advertising, marketing and market research on behalf of clients such as the Ontario Lottery and Gaming Corporation, the British Columbia Lottery Corporation and the Canadian Gaming Association. As we continue to execute our growth strategy, KC is uniquely qualified to drive the continued expansion of our operations in gaming jurisdictions in all Canadian Provinces.”

About Progressive Gaming International Corporation®

Progressive Gaming is a trusted leader of enterprise gaming solutions and supplier of integrated casino and jackpot management systems for the gaming industry worldwide. This technology is widely used to enhance casino operations and drive greater revenues for existing products. Progressive Gaming is unique in the industry in offering casino management and progressive systems in a modular yet integrated solution. Products include multiple forms of regulated wagering solutions in wired, wireless and mobile formats. There are Progressive Gaming products in over 1,000 casinos throughout the world. For further information, visit www.progressivegaming.net.

©2008 Progressive Gaming International Corporation®. All rights reserved.

Safe Harbor Statements under The Private Securities Litigation Reform Act of 1995: This release contains forward-looking statements, including statements regarding the Canadian gaming market, Casinolink® and Table iD systems and IGT’s sb™ NexGen™ displays, the performance of the Company’s products, the expected benefits to be realized by the Company’s customers as a result of its products, and the anticipated impact of an increased installed base on the Company’s financial performance for 2008 and beyond. Such statements are subject to certain risks and uncertainties, and actual circumstances, events or results may differ materially from those projected in such forward-looking statements. Factors that could cause or contribute to differences include, but are not limited to, risks related to delays in the approval, introduction, installation and customer acceptance of existing and new products, the risk of delays related to the completion of Customer developments, the risk that additional capital for refinancing the Company’s 11.875% Senior Notes and other working capital needs may not be available to the Company on favorable terms, or at all, the risk that markets for the Company’s products are not as large as the Company anticipates or that competing products may reduce demand for the Company’s products, the risk that the on-going relationship related to the sale of the Company’s Table Games Division and the recent agreement with IGT regarding IGT’s sb™ NexGen™ displays may not provide anticipated benefits, the risk that the Company may not realize expected annual savings from certain cost reduction initiatives, the risk that regulatory approvals may not be obtained when expected, or at all, the status of rights licensed from content providers, risks related to the Company’s ability to enforce and develop its intellectual property rights, including rights licensed from third parties, the risk that patents may exist of which the Company is not aware, or that existing patents may provide benefits to third parties beyond those anticipated by the Company, the Company’s ability to meet its capital requirements, relationships with casino operators, the overall industry environment, customer acceptance of the Company’s new products, further approvals of regulatory authorities, adverse court rulings, production and/or quality control problems, the denial, suspension or revocation of privileged operating licenses by governmental authorities, competitive pressures, currency fluctuations and general worldwide economic, political and social conditions as well as the Company’s debt service obligations. For a discussion of these and other factors which may cause actual events or results to differ from those projected, please refer to the Company’s most recent annual report on Form 10-K and quarterly reports on Form 10-Q, as well as other subsequent filings with the Securities and Exchange Commission. The Company cautions readers not to place undue reliance on any forward-looking statements. The Company does not undertake, and specifically disclaims any obligation, to update or revise any forward-looking statements to reflect new circumstances or anticipated or unanticipated events or circumstances

Contacts

Progressive Gaming International Corporation
Heather A. Rollo, Chief Financial Officer, 702-263-2583
or
Jaffoni & Collins Incorporated
Richard Land/Dave Jacoby, 212-835-8500
pgic {at} jcir(.)com