Oregon State Lottery Selects ESI Integrity for ICS Contract

VANCOUVER, BC, February 27, 2007 – ESI Integrity Inc. (a subsidiary of ESI Entertainment Systems (TSX: ESY)) is pleased to announce that it has received a Notice of Award from the Oregon State Lottery to supply its Internal Control System to the Lottery.   The notice of award is the result of a comprehensive competitive procurement process undertaken by the Lottery.  The contract term is for the implementation period plus seven (7) years with a Lottery option for three (3) one-year extensions.  ESI proposes to supply its industry-leading Integrity Internal Control System as well as technical support and maintenance services for the independent monitoring of both the Lottery’s online and instant games.

“ESI Integrity Inc. has been identified as the successful proposer with the highest total score on its proposal and has been deemed responsive and responsible”, noted Dale Penn, Director of the Oregon Lottery. “We look forward to a successful completion of a contract for their ICS offering.”

“The Oregon RFP is probably the most comprehensive and demanding ICS procurement we have encountered.  Under these circumstances, we are particularly proud to have been selected by the Lottery”, said Alan Ahac, President of ESI Integrity. “We are also proud that we have been able to continue our success in winning competitive tenders for ICS systems.” 

Currently, Integrity Independent Monitoring Solutions monitor billions of dollars in annual wagering revenues for lottery and pari-mutuel organizations in North America, South America, Europe, Asia, and Africa. The Oregon State Lottery would represent the company’s 46th system license and its 20th lottery customer. The Integrity system will provide Lottery officials with near real-time regulatory compliance monitoring and independent auditing of the wagering activity.

About ESI Integrity Inc.

ESI Integrity Inc. is the leading supplier of independent software for Security and Risk Management in gaming. The ESI Integrity Continuous Monitoring System provides independent real-time monitoring of lottery and pari-mutuel gaming – auditing billions of dollars of gaming world-wide every year. ESI Integrity is currently licensed at over 40 lotteries and pari-mutuel wagering sites, spanning North America, South America, Europe, Asia, and Africa.

Forward- looking Statements

This news release contains forward-looking statements concerning ESI Entertainment Systems Inc, which statements can be identified by the use of forward-looking terminology such as “expect”, “proposed”, “may”, “plan”, “intend”, “will”, “would” or the negative thereof or any other variations thereon or comparable terminology referring to future events or results.  Forward-looking statements are statements about the future and are inherently uncertain, and the actual events or results could be materially different than those anticipated in those forward-looking statements as a result of numerous factors discussed more fully in the Company’s Final Prospectus dated March 22, 2006, Annual Information Form and elsewhere.  These risks include risks related to revenue growth, operating results, industry growth, changes in regulation and legislation, products, technology, financing, competition, personnel and other factors affecting the Company and its business, any of which could cause actual events or results to vary materially from ESI’s anticipated future results.  Forward-looking statements are based on beliefs, opinions and expectations of ESI’s management at the time they are made, and ESI does not assume any obligation to update its forward-looking statements if those beliefs, opinions or expectations, or other circumstances should change.  The Toronto Stock Exchange does not accept responsibility for this press release.

For More Information contact:
Alan Ahac
President, ESI Integrity Inc.
604-299-9530 ext 302
aahac@esiintegrity.com

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