International Game Technology kicked off its participation at this week’s Global Gaming Expo 2013 with an announcement that it has struck a deal with Caesars Entertainment to supply the casino giant with 7,000 of its AVP-branded video poker terminals.
Eric Tom, IGT’s vice president of Global Sales, called it the “next chapter” in a “longstanding great relationship, continuing our strong foothold in the video poker community”.
Caesars Senior Vice President of Gaming Melissa Price echoed the sentiment, saying the deal is “a reflection of the confidence we have in their products”.
Las Vegas-based Caesars (Nasdaq: CZR) is the largest operator in the US by number of properties, with more than 50 casinos nationwide, including 10 on or around the Las Vegas Strip. The company said the new machines will replace existing units in those casinos across the country and will be part of its largest gaming reinvestment in 10 years.
“We’re excited to deliver to our players the most modern, state-of-the-art gaming experience available and feel confident these units will serve us for years to come,” Ms Price said.
“Overall, this is a positive data point for IGT as it is a pretty sizeable order in a weak macro environment for slots,” said Las Vegas-based Union Gaming Group in a note to investors. The firm estimates the deal could be worth an extra six to seven cents per share to the bottom line for Reno, Nev.-based IGT (NYSE: IGT).
The contract calls for 3,600 of the machine gaming giant’s G20 Upright cabinets, 2,400 Universal Slant cabinets and 1,000 G20 Bar Tops.
