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CAI Wins Tender for New Casino in Belgrade

Concession for the new casino in the Serbian capital awarded to the Austria-based international casino operator.

Vienna, 16 December 2004 — Casinos Austria International (CAI) today announced that it has been awarded the exclusive license for the new casino in the Serbian capital, Belgrade. The Austrian company successfully outbid strong competition in a recent international tender process.

The CAI bid was backed by the company’s many years of experience and proven record of success in the international casino industry and its strong commitment to and focus on responsible gaming.

The introduction of a new Gaming Act in 2004 paved the way for the opening of a maximum of 10 casinos in the Republic of Serbia. A Government Resolution passed on 8 September 2005 based on this Act allows for the award of one casino license for the city of Belgrade in 2005 and a further four licenses outside the capital by the end of 2008.

The exlusive new casino, which is due to open in 2007, will be located in the heart of the Serbian capital, Belgrade. Initial plans foresee an extensive gaming area including around 20 live gaming tables and some 150 state-of-the art slot machines. The casino will also offer top class restaurant and bar facilities, as well as an exciting mix of other entertainment opportunities. Partnering CAI in the new project will be the Serbian National Lottery Company and Club Hotel Casino Loutraki in Greece.

„We are highly delighted with this award,“ said CEO Paul Herzfeld. „The new casino will be a valuable asset for Belgrade’s economy and will play a key role in establishing the casino industry in this new and dynamic market. We are extremely proud that the concession has been awarded to CAI.

CAI attributes its success to its extensive international experience and expertise, strong reputation for integrity and the know-how it has built up through its network of operations worldwide, including casinos in a number of other capital cities, such as Canberra, Copenhagen, Johannesburg, Prague, Vienna and the new casino in the Belgian capital, Grand Casino Brussels.

Casinos Austria International is a leading player in the international casino industry. CAI and its parent company, Casinos Austria AG, currently operate 72 casinos in 16 countries and on board 8 luxury international cruise liners. In 2004, the two companies together posted revenues (wins, registered tips, entrance) of EUR 996 million, welcomed a total of 17.3 million guests and employed around 9,200 staff. Casinos Austria’s revenues from the casino sector are expected to exceed EUR 1.1 billion in 2005.