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April 7, 2010

Illinois Lottery Statement on Private Manager Contract

CHICAGO – The Illinois Lottery’s intent to hire a private manager has created public confusion.  We would like to make it absolutely clear that:  The State of Illinois is not privatizing, selling or leasing its Lottery.  

The Lottery is seeking a management agreement that will enable the business to more quickly react to dynamic market forces.  The Lottery will continue to be conducted by the State of Illinois, as a State agency, ensuring that operations are conducted with integrity and social responsibility. 

The new manager could potentially be in charge of the allocation of about $1 billion of goods and services over the course of the envisioned 10-year agreement.  The manager will be paid a fee for its services.  It is comparable to hiring a manager to run a family business – not selling the business and taking the money in a lump sum. 

The increased Lottery profits generated from these management changes will be used to fund the capital building program authorized last year by the General Assembly.  Lottery will continue to contribute $625 million (plus inflation year-over-year) to fund public education throughout the State. 


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