Narrower Losses -- Fun Technologies released first quarter results, which showed narrower losses as revenue rose 87 percent year-on-year. The London-listed operator reported an adjusted EBITDA loss of $904,000 compared to a loss of $1.97 million in Q4 2006. First quarter revenue totaled $14.54 million, an 87 percent increase against its Q1 2006 combined revenues. The company said revenue growth in the quarter was driven by consolidation across several business segments and player-spending on its real-money skill-games platforms.
Inked -- Harrah's affiliate Harrah's License Company LLC has announced that PartyPoker.net has renewed its product-placement agreement for the 2007 World Series of Poker. Financial terms of the deal have not been disclosed.
Buying Back -- After releasing its interim report on Wednesday, Unibet said its board will begin exercising a buy-back mandate received at its AGM on April 25. The buyback was initiated to achieve added value for its shareholders and to give the board increased flexibility with the company's capital structure, it said.
Vicious Cycle -- Various news sources are reporting that Unibet's cycling team will be excluded from this year's running of the Giro d'Italia. A Milan court said today that it expects to issue a ruling regarding Unibet's challenge to its exclusion from the race on May 21--nine days after the race starts. The delay effectively renders Unibet's effort useless. "Even if we win, we lose," said Unibet director Jacques Hanegraaf. "What difference will it make at this point?" Meanwhile, Cyclingnews.com says the Danish Sports Federation has asked the Danish Cycling Union to prevent Unibet from participating in the Tour of Denmark, scheduled to begin August 1.
Approved or Not? -- The Financial Times reports that, according to the China Association of Social Workers, the Chinese government has yet to grant formal approval to any Web site to operate as an online agent for the state-run welfare lottery. Last week, VODOne, the Hong-Kong-listed online video company, said it had won official approval from the social workers' association to sell welfare lottery tickets online through a China-based company that the association has partial stake in. However, Xu Ruixin, the association chairman, said it had not issued such approval and could not do so because China lacked the requisite regulatory framework. While a number of Web sites already offer online welfare lottery ticket sales, "none of them has clear permission," Xu told the FT.
Pooling Efforts -- New Zealand's totaliser pools will be included as part of Tabcorp's SuperTAB pool under a letter of intent singed today by the Victorian Racing Minister, Rob Hulls, and the New Zealand Racing Minister, Winston Peters. Thoroughbrednews.co.nz reports that the ministers expect Tabcorp and the New Zealand Racing Board to finalize the deal within weeks. "It is very much in the interests of punters and the racing industry as a whole to have as large a pool as possible," Hulls told the news source. The Daily Telegraph reported Thursday that Tabcorp confirmed it was in "active discussions" with the Hong Kong Jockey Club (HKJC) to combine pools. HKJC chief executive Winfried Englebrech-Bresges said last week that the club was "well advanced" in negotiations with Australia and the United States to combine pools for the September 2007 start of the Hong Kong racing season.
M&A Speculation -- The Telegraph says Sportingbet on Thursday dropped 0.25p to 60.50 "despite hopes that the online gaming group could soon receive a bid." In March, the company received a preliminary bid approach from bwin.
Exceeding Targets -- The FT says that, on Thursday, NetPlay TV--formerly Stream Group--closed at its highest level for a year. Shares closed up 2.1 percent at 36.75p, after having doubled in two months. The paper said its shares now trade well above housebroker Teather & Greenwood's 28p price target.
Red Alert -- The Guardian reports that William Hill is working to avert a "potentially damaging shareholder revolt over directors' pay by revamping a bonus scheme for its top executives" a week before its AGM next Thursday. After being warned by leading institutional shareholders that the proposed new share incentive scheme for senior management risked being voted down at its annual meeting, the paper says, the bookmaker announced "changes" in the hope of preventing a "full-scale rebellion." It added that, even with the changes to the performance criteria, the Association of British Insurers still has the company on red alert, which, according to the paper, indicates that there are still concerns for them to consider.
Privatizing? -- The Los Angeles Times reported Wednesday that California Governor Arnold Schwarzenegger is expected to call for privatizing the state's lottery in a revised budget proposal next week. Reuters also carries a piece on the move, which claims many state officials are reconsidering the value of lotteries because of the costs of managing them. "If California opts to let the private sector take on its lottery system, smaller states could follow," it said. The move to privatize would be the first of its kind in the United States.
More on Poland -- Warsaw-based business daily Puls Biznesu last Friday reported that "the decision of the Strasburg tribunal to amend the lottery law to make e-gambling illegal" in Poland may have a significant impact on Totlizator Sportowy (TS), the state-run operator, to monopolize I-gaming services in Poland. "At least 23 percent of our clients would like to play online," TS board member Slawomir Lopalewski told local media sources. "Between 4 and 9 percent of our sales could be generated in this niche operation." The paper noted that TS would likely encounter difficulties convincing the government to reconsider, "mainly because of the high cost of establishing the operation." The TS business plan reportedly provides for 2.6 percent of sales to be generated via the Internet, which in 2008 is expected to generate $14.08 million--$40.12 million by 2012.
Stock Watch -- In late afternoon trading on the LSE, CryptoLogic is down 100p to 1,225, Playtech--on the back of encouraging Q1 results--is up 5p to 380 and Ladbrokes is up 2.25p to 431.50.