PRESS RELEASE

For Immediate Release                                              Contact: 512/472-1043

April 4, 2003

Supreme Court Ruling Mischaracterized

Eight-Liners are Not Banned

Cost to State May Approach $60 Million

“Eight-liners that are operated within the confines of the law are as legal today as they were yesterday,” – Ramsey Meredith, President, AMOT

Austin – Today, the Amusement and Music Operators of Texas issued a response to Thursday’s ruling from the Texas Supreme Court regarding eight-liner machines and their legal operation.

“The Court’s ruling addressed two very narrow issues relative to the legal operation of eight-liner machines.  Contrary to headlines and the glee emanating from various law enforcement and prosecutors, the ruling does not outlaw eight-liners,” said Ramsey Meredith, President of the Amusement and Music Operators of Texas.

The Court ruled that the use of gift certificates as awards from the machines is no longer permissible.  They further ruled that in the matter of civil seizures, that the burden of proof is incumbent upon the owner of the machines to show why those machines should not be subject to forfeiture and therefore returned.

The Amusement and Music Operators of Texas has been representative of the coin-operated industry in Texas for over 30 years.  Their membership includes over 350 members statewide comprised of distributors, manufacturers and vendors of coin-operated equipment.

“Let us be clear in what Attorney General Gregg Abbott said yesterday in his prepared statement: “Eight-liner gambling devices that operate OUTSIDE the strict limits established in the Penal code are illegal.”  AMOT has long held that eight-liners are legal within the confines of Chapter 47.01(4) (b) and the Supreme Court has as much affirmed that fact. As an association we have long advocated compliance within the strictest sense of the Penal Code.  We will continue to do so,” Meredith stated.

“It is unfortunate for the State of Texas.  Permit fees paid to the State and sales tax revenue from gift certificates awarded players, contribute approximately $60,000,000 annually in State revenue.  While the State of Texas faces a budget shortfall approaching $10 billion, you would hope the voice of reason would prevail.  This legislative session may very well determine the fate of that revenue,” Ramsey concluded.