INTERNATIONAL LOTTERY & TOTALIZATOR SYSTEMS, INC. (ILTS) (OTCBB: ITSI) announced today that the Company has signed an agreement with Sports Toto Malaysia Sdn. Bhd. (STM) to supply STM with a new ILTS DataTrakII lottery system and equipment, including central system hardware and software. Additionally, under the terms of this agreement valued at approximately $4.2 million, ILTS will also provide a number of services, including licensing, installation, training and technical support.

"ILTS is thrilled with this new contract with STM as it demonstrates their continued support and confidence in our products and services," said ILTS President Jeff Johnson. "STM and ILTS have been close partners for many years and we are excited to continue a beneficial long-term relationship."

International Lottery & Totalizator Systems, Inc. provides computerized wagering systems, equipment and services to lottery and racing organizations worldwide. ILTS can be found on the worldwide web at http://www.ilts.com.

This press release includes forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. This Act provides a "safe harbor" for forward-looking statements to encourage companies to provide prospective information about themselves so long as they identify these statements as forward-looking and provide meaningful cautionary statements identifying important factors that could cause actual results to differ from the projected results. All statements other than statements of historical fact, including statements regarding industry prospects and future results of operations or financial position, made in this press release are forward-looking. We use words such as "anticipate," "believe," "expect," "future," "intend" and similar expressions to identify forward-looking statements. Forward-looking statements reflect management's current expectations, plans or projections and are inherently uncertain. Our actual results may differ significantly from management's expectations, plans or projections. Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date hereof. We undertake no obligation to publicly release any revisions to these forward-looking statements that may be made to reflect events or circumstances after the date hereof or to reflect the occurrence of unanticipated events. Readers are urged, however, to review the factors set forth in reports that we file from time to time with the Securities and Exchange Commission.

CONTACT: Marketing Department International Lottery & Totalizator Systems, Inc. 760-598-1655 mktg@ilts.com