Pa. taps British firm to run $3.5B state lottery

AP News
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Posted: Jan 11, 2013 6:41 PM

HARRISBURG, Pa. (AP) — The operator of the British national lottery is poised to take over the Pennsylvania Lottery in a privatization deal promising $34 billion in profits over the next 20 years.

Gov. Tom Corbett's administration awarded the contract to Camelot Global Services on Friday. Pennsylvania would join Illinois and Indiana as states that have hired private companies to run their lotteries.

The Pennsylvania Lottery is among the country's largest, with $3.5 billion in sales last year.

Secretary of Revenue Daniel Meuser says Camelot cannot begin work until the contract is executed. That's expected to happen next week.

Camelot still faces hurdles. The lottery employees' union is suing to block the contract and state Treasurer Rob McCord says he may not pay Camelot if he doesn't think its gambling expansion plans are legal.