It is believed that demand for cash access products and related services will be driven by the underlying growth of the gaming industry, the importance of access to cash within gaming establishments, the migration from cash to electronic forms of payment, the continued innovation in cash access products and related services and the demand for effective patron marketing.

The historical growth of the United States gaming industry has resulted from the increased acceptance of gaming as a form of entertainment, as well as an increase in the number of jurisdictions where gaming is allowed. On a global basis, future gaming industry growth is expected to be driven by continued market expansion in the United States and from the development of European, Asian and other international markets. Since Nevada legalized gambling in 1931, the number of jurisdictions that allow some form of gaming has increased dramatically. As of 2003, there were 12 states with commercial casinos or race track casinos, or racinos, and 28 states with tribal casinos. According to the American Gaming Association, United States gaming revenue, exclusive of lotteries and charity gaming, grew to more than $50 billion in 2003, representing a compound annual growth rate of 6.3% since 1999.

The gaming industry is also experiencing strong growth in selected international markets. In the United Kingdom, proposed changes to existing regulation would allow for an increase in the number of gaming establishments and slot machines. In Macau, gaming revenues have become a key driver of economic growth, and both the entrance of international gaming operators as well as the lifting of travel restrictions is expected to lead to further gaming industry expansion. Other Asian countries, Russia and countries in Eastern Europe are expected to experience growth in gaming as governments consider proposals for gaming industry liberalization.

Casino Cash Plus 3-in-1 ATM is an unmanned, cash-dispensing machine that offers patrons a quick way to access cash through ATM cash withdrawals, POS debit card transactions and credit card cash advances using the Company’s patented “3-in-1 rollover” functionality. The “3-in-1 rollover” functionality allows a gaming patron to easily convert an unsuccessful ATM cash withdrawal into a POS debit card transaction or a credit card cash advance.

QuikCash is the brand name used for the Company’s stand-alone, non-ATM cash advance kiosks in the gaming industry. The QuikCash kiosks are customer-activated, touch screen terminals that provide patrons with access to credit card cash advances and POS debit card transactions. Available in countertop, wall-mount, free-standing and handheld models, the Company’s QuikCash terminals can be installed or used virtually anywhere in a gaming establishment.

Automated Cashier Machine (ACM) is an unmanned, cash-dispensing “virtual cashier” which was designed to provide casino patrons with credit card cash advances, POS debit card transactions and ATM cash withdrawals as well as check cashing services without the need to visit the cashier after the initial “registration transaction”. The Company’s ACMs use biometric facial recognition technology, as a surrogate for face-to-face interaction with the cashier, to verify the patron’s identity.

Check verification and warranty services allow gaming establishments to manage or eliminate risk on patron checks that they cash. A gaming establishment can query the Company’s Central Credit database to review the check cashing history of a casino patron before deciding whether to cash the patron’s check.

QuikCredit is a service through which the Company provides lines of credit to patrons in gaming establishments that choose not to offer in-house credit. The Company’s QuikCredit service allows a gaming establishment to increase the amount of cash available within the gaming establishment without incurring credit risk.

Money transfer services are provided through a contractual relationship with Western Union Financial Services, Inc., or Western Union. The Company is the worldwide exclusive marketer to the gaming industry of Western Union’s electronic and paper-based systems for receiving funds transfers at gaming establishments.

Gross profit increased 7.8%, from $123.3 million for the year ended December 31, 2003 to $132.9 million for the year ended December 31, 2004.

Operating expenses for the year ended December 31, 2004 were $45.3 million, a decrease of $0.1 million, or 0.2%, as compared to the year ended December 31, 2003.

Operating income for the year ended December 31, 2004 was $74.0 million, an increase of $10.3 million, or 16.1%, as compared to the year ended December 31, 2003.

Net income was $254.6 million for the year ended December 31, 2004, an increase of $196.2 million, or 336.0%, as compared to the year ended December 31, 2003.