ON - Lotteries churn out cash for Ontario government

Star News Services, Wednesday, December 20, 2006, Windsor Star

TORONTO - Lotteries are still the biggest source of gambling revenue for the Ontario government, far outpacing casinos and slot machines at racetracks.

The Ontario Lottery and Gaming Corp. says it sold $2.3 billion in lottery tickets and instant scratch games in 2004-05.

The province’s four commercial casinos pulled in almost $1.6 billion in revenues in the last fiscal year, while charity casinos and slot machines at racetracks earned $1.9 billion.

After operating expenses were figured in, the $6.2 billion in total gaming revenues was reduced to $1.7 billion, but a so-called “win tax” of 20 per cent of revenues from casinos boosted the net cash flow to the province to $1.96 billion.

Most of the profits from the lotteries, charity casinos and slot machines — about $1.5 billion — will be used to fund hospitals, with another $100 million going to community groups through the Trillium Foundation, $36 million for a problem gambling strategy, and $3 million for amateur athletes.

Profits from the commercial casinos — about $334 million in 2004-05 — go into general government coffers.

© The Windsor Star 2006

© 2006 CanWest Interactive, a division of CanWest MediaWorks Publications Inc.

Posted: December 20, 2006

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