Bwin reports results

VIENNA, Austria -- (PRESS RELEASE) -- In the first nine months of 2007, bwin reported increased gross gaming revenues of EUR 248.0 million, a rise of 20.0% (excl. Turkey) compared to the same period the previous year (excl. US and Turkish operations). Reporting a sports betting margin of 8.4% gross gaming revenues from sports betting (excl. Turkish operations) rose by 14.6% compared to the first nine months of 2006 to EUR 132.3 million (Q1-Q3 2006: EUR 115.4 million excl. Turkish operations). The gross gaming revenues (excl. Turkish operations) generated from the poker, casino and games sectors amounted to EUR 60.5 million (Q1-Q3 2006: EUR 42.2 million excl. US and Turkish operations), EUR 44.9 million (Q1-Q3 2006: EUR 41.0 million excl. US and Turkish operations) and EUR 10.3 million (Q1-Q3 2006: EUR 8.1 million excl. US and Turkish operations) respectively.

The development of both active and new active real-money customers in the first nine months of 2007 was affected by a significant reduction in the marketing budget, and by the absence of a major event like the previous year's Soccer World Championships. The latter had an impact particularly on the growth of new customers. Furthermore, the marketing mix in the first nine months of 2007 was not optimal due to the inertia effects of sports sponsoring. However, a rising trend has been observed for both active and new active customers since Q3 2007. Compared to Q2 2007, the number of active customers rose 9.0% to 827,000. A total of 192,000 of these customers became active for the first time (Q2 2007: 173,000), an increase of 10.8% compared to the Q2 2007.

In the first nine months of 2007 bwin successfully implemented its strategic reorientation as announced, improving adjusted earnings before interest, taxes, depreciation and amortization (EBITDA) compared to the same period the previous year to EUR 49.7 million (Q1 Q3 2006: -EUR 8.1 million). The operating result improved from -EUR 53.9 million in the first nine months of 2006 to EUR 3.2 million in the first nine months of 2007. A loss after tax of EUR 0.8 million was reported for the first nine months of 2007, as compared to a loss of EUR 49.8 million for the same period the previous year.