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Progressive Gaming proceeds with appeals process29 October 2007LAS VEGAS -- (PRESS RELEASE)-- Progressive Gaming International Corporation, (NASDAQ: PGIC) (the "Company"), announced today that following a ruling yesterday by the United States District Court for the Southern District of Mississippi on the Company's post-trial motions in the Derek Webb, et al ("Webb") v. Mikohn Gaming Corporation matter, the Company is moving forward with the appeals process on a dispute that was initiated nearly ten years ago. In February 2007 the Company filed post-trial claims for relief in the above noted District Court following a jury verdict that awarded the sum of $13 million to the plaintiff, which amount will be trebled in accordance with applicable law. Following the court's ruling yesterday to not grant Progressive's post-trial motions, the Company plans to post a bond of $20 million in conjunction with its plans to file an appeal of the case to the appropriate federal appellate court. The Company is in process of retaining nationally respected appellate counsel to handle the appeal. In order to begin the appeals process, the Company will be required to post the $20 million bond by November 8 and grant a separate subordinated security interest in the Company's assets to meet the remaining amount of the judgment subject to required consents. Progressive intends to secure the $20 million bond from available cash on hand, borrowings, or other available sources. Robert Ziems, Executive Vice President and General Counsel for the Company, stated, "We are disappointed in the trial court's rulings on our post-trial motions and will devote all of the necessary legal and financial resources to vigorously pursue a favorable outcome through the appellate process. We remain resolute in our belief that the claims asserted are unjust and not supported by the law and facts. We have faith in the judicial process and fully expect the appellate court to support our position." Russel McMeekin, President and Chief Executive Officer for the Company, stated, "While we are disappointed with the near term outcome, we believe that the ability to appeal this case to a higher court will allow us to prevail. In the meantime, we are focused on our financial and operational goals and believe we are progressing well on this front and look forward to reporting our third quarter financial results next week." |