GAMING PARTNERS INTERNATIONAL CORPORATION

GAMING PARTNERS INTERNATIONAL CORPORATION

Previous company name
PAUL-SON GAMING CORPORATION
Name change date
9/1/2004
Company Overview
Gaming Partners International Corporation, abbreviated as GPI Corp, is the developer and the manufacturer of products for casinos, particularly chips and plaques as well as dice, wheels, cards and associated products such as layouts and gaming tables. The company, founded in 1963, is the result of the merger of Bourgogne et Grasset, The Bud Jones Company and Paul-Son Gaming Supplies, Inc behind the leadership of B&G. It has its headoffice in Las Vegas, Nevada in the United States.
GPI Corp is comprised of two subsidiaries, namely: Gaming Partners International USA (GPI USA) and Gaming Partners International, SAS (GPI SAS. The former was previously known as Paulson Gaming. It is engaged in the manufacture of the widest range of products for live games for licensed casinos. It acts as the exclusive distributor of B&G plaques for North America and the Caribbean. The latter specializes internationally in manufacturing B&G chips, plaques and jetsons. It distributes precision Bud Jones dice, synthetic and felt layouts and Paulson chips along B&G roulette wheels made in France.
Business Summary
Gaming Partners International Corporation (GPIC) manufactures and supplies casino chips, under the brand names of Paulson, Bourgogne et Grasset, and Bud Jones, (including low and high frequency radio frequency identification device (RFID) casino chips), low and high frequency RFID readers, table layouts, playing cards, dice, gaming furniture, roulette wheels, table accessories, and other products that are used with casino table games, such as blackjack, poker, baccarat, craps and roulette. GPIC has its offices in Beaune, France; San Luis Rio Colorado, Mexico; Atlantic City, New Jersey; and Gulfport, Mississippi. GPIC maintains global sales representation in all gaming jurisdictions that has table game operations and sells its products to licensed casinos worldwide. The Company operates in one segment and has two operating subsidiaries: GPI USA and GPI SAS, a French subsidiary.
Description and history
Gaming Partners International Corporation (GPIC) manufactures and supplies casino chips, under the brand names of Paulson, Bourgogne et Grasset, and Bud Jones, (including low and high frequency radio frequency identification device (RFID) casino chips), low and high frequency RFID readers, table layouts, playing cards, dice, gaming furniture, roulette wheels, table accessories, and other products that are used with casino table games, such as blackjack, poker, baccarat, craps and roulette. GPIC has its offices in Beaune, France; San Luis Rio Colorado, Mexico; Atlantic City, New Jersey; and Gulfport, Mississippi. GPIC maintains global sales representation in all gaming jurisdictions that has table game operations and sells its products to licensed casinos worldwide. The Company operates in one segment and has two operating subsidiaries: GPI USA and GPI SAS, a French subsidiary.

GPI USA sells in the Americas, primarily in the United States and Canada out of regional offices in the United States. GPI USA sells its full product line with products having been manufactured in Mexico with the remainder either manufactured in Las Vegas or France. GPI SAS sells internationally out of Beaune, France, with sales occurring in Europe and Asia. GPI SAS predominately sells casino chips, including both American-style casino chips and European-style casino chips, which are also known as plaques and jetons. The products sold by GPI SAS are manufactured in France, with the remainder manufactured in Mexico. The Company produces casino chips under the Paulson, Bud Jones, and Bourgogne et Grasset (B&G) brand names.

Table Layouts

The Company manufactures table layouts for the North American market. All live gaming tables are covered with a layout printed with artwork particular to each specific game and casino preference. The Company has developed a range of layout fabric and printing processes using wool, polyester, and its Paul-Son FX material, to give the customers maximum flexibility when developing their design preferences. Its printing processes include screen printing, custom hand painting, full graphic sublimation or digital direct printing. All graphic designs are developed by the Company’s art department in concert with its casino customer to ensure complete satisfaction.

Playing Cards

GPIC manufactures and sells two lines of paper casino playing cards under the Paulson brand. As of December 31, 2009, the Company added the second line of cards based on a different paper stock and also introduced pre-shuffled and multi-deck card packages. A deck of cards typically sells within a price range between $0.70 and $1.50. Based on casino controls and practices, cards, which are consumable products, are generally replaced at least every 24 hours. A casino typically enters into a one or two year purchase commitment with a supplier to supply its cards at regular intervals, generally monthly. Its cards are compatible with all card shufflers. Playing cards account for 9% of the Company’s total revenues during 2009.

Gaming Furniture

The Company sells a variety of casino gaming furniture. In 2009, the Company expanded its product offerings to include pit and other casino podiums. The Company produces hand-crafted gaming tables that are custom-designed to integrate seamlessly with its casino customer’s interior or branded design. It offers a variety of base, finish and accessory options, while having the ability to incorporate any third party casino equipment, such as card shufflers, card readers, monitors, bill validators, and information technology (IT) products, including RFID systems, as well as its accessories. Tables range in price between $2,000 and $8,000, depending degree of customization and table type, such as blackjack, roulette, baccarat, and craps. Gaming furniture is typically sold in combination with table accessories and accounts for 6% of the Company’s total revenues for 2009.

Table Accessories and Other Products

The Company offers its customers a full line of casino table game accessories. These table accessories include roulette reader boards, foot rails, chip trays, and drop boxes. These products are generally sold in conjunction with the sale of gaming tables and tend to have long useful lives. Consumable table accessories include shoes, cut cards, dice sticks, lammers, markers, buttons and its patented air ventilation device designed specifically for gaming tables called the Air Rail System, which creates an air flow at the gaming table to push odors away from the dealer.

Dice

The Company’s brands of dice are manufactured in conformity with the strictest standards of gaming regulations. It offers a variety of options, such as size, finish type, customer logo, color, serialization, and security features, such as laser pigment. The typical sales price of casino dice ranges between $2.50 and $3.70 per pair. In a busy casino, a stick of dice (two and one-half pair) does not generally remain in play for more than eight hours. Dice account for 3% of its total revenues for 2009.

The Company competes with Gemaco Inc., The United States Playing Card Company, Midwest Game Supply Co., TCS/John Huxley, Abbiati Casino Equipment and The United States Playing Card Company.

Business Line
The developer and the manufacturer of products for casinos, particularly chips and plaques as well as dice, wheels, cards and associated products such as layouts and gaming tables
Subsidiary
GAMING PARTNERS INTERNATIONAL
Advisor
MOSS ADAMS LLP
IPO date
3/1994
US SIC Code
3944
Company Address
1700, South Industrial Road

City province or state postal code
89102, LAS VEGAS, NV
Phone: +1 702 384 2425
Fax: +1 702 384 1965
Country address: UNITED STATES OF AMERICA
Website url: www.gpigaming.com