OLG Selects Service Provider for Central Gaming Bundle

TORONTO, ON – Ontario Lottery and Gaming Corporation (OLG) has selected Gateway Casinos & Entertainment Limited (Gateway) as the service provider for the Central Gaming Bundle, following a competitive procurement process.

Gateway Casinos & Entertainment Limited (Gateway) is the largest and most diversified gaming company in Canada. Operating in British Columbia, Edmonton and Ontario, Gateway has over 6,100 employees and operates 26 gaming properties with 282 tables, over 9,500 slots, 68 restaurants and bars and 272 hotel rooms. Gateway is undertaking an ambitious growth strategy to dramatically improve the customer experience and attract new customers.

The Central Gaming Bundle includes OLG Slots at Georgian Downs and Casino Rama Resort. Gateway will have the opportunity to build a new gaming and entertainment facility in Wasaga Beach or Collingwood.

The proposed new facility will be subject to all necessary approvals.

Collingwood Mayor Sandra Cooper was in conversation with OLG Thursday morning (March 15th).

“It is welcome news to know who will be the provider. The Town of Collingwood has a data base of information useful to an operator including the current Official Plan and the motion approved by Council. I would expect Council may wish for an update from Town staff and a follow up from my phone call.”

Deputy Mayor Brian Saunderson said that he feels a gaming facility is an issue with far reaching social, economic and lifestyle impacts and public input is critical.

“The Town’s current position on a casino facility was adopted by the previous Council in a motion dated March 4, 2013, in which the Council of the day voted to advise the OLG that Collingwood was not interested in a standalone 300 slot machine gaming facility in the C7 Region but may be interested in an Integrated Destination Resort. Council further agreed to pursue negotiations with the OLG and any private sector operators about such opportunities and to engage the public in open discussions prior to any final decision.”

Now that OLG has announced the successful service provider, Gateway Casinos & Entertainment Limited, we will have to see what opportunities the service provider identifies in our region and whether such a facility is of the type Collingwood is prepared to consider. Under the current zoning restrictions, there is no area in Collingwood that is zoned to accommodate a casino, so there is a great deal of ground to cover and discussions to be had before any decisions can be made on this issue.”

Stephen Rigby, OLG’s President and CEO, says selecting Gateway is the latest step OLG is taking as they continue to bring new jobs and economic development to communities across Ontario.

“The investments Gateway will make in the central region will enhance the gaming experience for customers and help OLG increase its contribution to the Province of Ontario. We are very pleased to once again partner with OLG as the service provider in the Central Gaming Bundle. Gateway has become the standard for gaming and hospitality in Canada and the award of this bundle allows us to build on that leadership position,” said Tony Santo, Gateway’s Chief Executive Officer. “We look forward to working with our new team members at Casino Rama Resort and OLG Slots at Georgian Downs.”

To OLG, the integrity of its procurement process is of the utmost importance.

In order to ensure an open and transparent process for all proponents, OLG has engaged the services of an impartial Fairness Monitor to advise throughout the process and provide oversight on the fairness of the procurement.

While Gateway will be responsible for the day-to-day gaming operations in the bundle, OLG will continue to:

· Provide strategic oversight of the Central Gaming Bundle and Ontario gaming marketplace—including approvals related to material operational changes

· Conduct and manage gaming in the bundle

· Require compliance with applicable laws, regulations and standards

· Be the owner of key player information

· Require service providers to uphold the high standards of OLG’s Responsible Gambling program, including the self-exclusion program

· Make Municipality Contribution Agreement payments to host communities.

Gateway will be required to retain employees for a period of no less than 12 months in their current position and geographic location. Unionized employees will transfer to the service provider under the terms and conditions of their current collective agreement. Gateway will also be required to provide eligible employees with benefits and a registered pension plan.

OLG has entered into a Transition and Asset Purchase Agreement with Gateway for the Central Gaming Bundle, which sets out the customary closing conditions to be satisfied for OLG and Gateway to enter into a Casino Operating and Services Agreement (COSA).

OLG expects that the service provider will take over day-to-day operations in summer 2018.

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