21 May 2012 07:00
21 May 2012
bwin.party digital entertainment plc
('bwin.party', the 'Company' or, together with its subsidiaries, the 'Group')
Spain
Highlights:
·; Spain is expected to issue eGaming licences for all products (except slots) at the beginning of June 2012
·; The Spanish tax authority has required that online operators with customers in Spain pay back-taxes under two historic laws that previously were not applied to offshore online gaming
·; Having completed a tax self-assessment in accordance with the Spanish tax authority's requirements, the Group intends to make a payment of up to €33m (including surcharges and interest)
·; The payment is intended to secure the Group's position in Spain in the context of its application for eGaming licences
Spain is expected to issue eGaming licences for all product verticals at the beginning of June 2012. Some weeks ago, the Spanish tax authority contacted all of the major online gaming operators and made clear that, in their opinion, any online operator that has ever accepted customers from Spain has an obligation to pay Spanish taxes under two laws, one dating from 1966 and the other from 1977. Previously these laws were applied to operators based in Spain carrying out offline gaming activities and to certain kinds of bets (other than fixed odd bets).
As a result, together with a number of other operators we have today completed a tax self-assessment in accordance with the Spanish Tax Authority's requirements and as a result are making a payment of €25.6m plus surcharges and interest of up to €8m.
Having taken these steps, we believe we have now fulfilled all requirements and look forward to receiving our licence and entering the Spanish market.
Contacts:
bwin.party digital entertainment plc
Investors
Peter Reynolds +44 (0) 20 7337 0100
Media
John Shepherd +44 (0) 20 7337 0100
About bwin.party
bwin.party digital entertainment plc (LSE: BPTY) is the world's largest listed online gaming company. The Company was formed from the merger of bwin Interactive Entertainment AG and PartyGaming Plc on 31 March 2011. Incorporated, licensed and regulated in Gibraltar, the Group also has licences in France, Italy and Denmark. With offices in Europe, India, Israel and the US, the Group generated total pro forma revenue of €816.0m and pro forma Clean EBITDA of €199.3m in 2011. bwin.party commands leading market positions in each of its four key product verticals: online sports betting, poker, casino and bingo with some of the world's biggest online gaming brands including www.bwin.com, www.PartyPoker.com, www.PartyCasino.comand www.FoxyBingo.com. The Group's scale, technology and strong portfolio of games collectively differentiate its customer offer from those of its competitors. bwin.party is a constituent member of the FTSE 250 Index and the FTSE4Good Index Series, which identifies companies that meet globally recognised corporate responsibility standards. For more information about bwin.party, visit: www.bwinparty.com.