1045014--1/22/2008--GAMETECH_INTERNATIONAL_INC

related topics
{acquisition, growth, future}
{customer, product, revenue}
{regulation, change, law}
{competitive, industry, competition}
{product, market, service}
{stock, price, share}
{personnel, key, retain}
{financial, litigation, operation}
{control, financial, internal}
{property, intellectual, protect}
{stock, price, operating}
{cost, regulation, environmental}
{provision, law, control}
Our acquisition of Summit Gaming may not produce the results we We have incurred significant debt to finance the acquisition of Summit Gaming. We depend on the bingo, electronic bingo, and VLT industries. Our success depends on our ability to respond to rapid market changes and product enhancements. To compete successfully, we must retain and extend our existing relationships with customers and secure new customers. Some of our customers may terminate agreements with us on relatively short notice. Our compliance with several governmental and other regulations is costly and subjects our company to significant risks. We depend on our relationships with our distributors. We depend on Native American laws in the operation of a portion of our business. If our games were classified as Class III games under the Indian Gaming Regulatory Act, we may not be able to obtain the necessary approvals to operate our business, or we may have to modify our systems to be classified as Class II games. Compliance with Nevada regulations is time-consuming and expensive, and failure to comply could have a material adverse effect on our operations. We rely on the Texas and Montana markets for a significant portion of our revenue. The electronic bingo industry and VLT industry are extremely competitive. Investors may not be able to exercise control over our company as a result of principal stockholders ownership. We must be able to attract and retain skilled employees. Acquisitions could divert management s time and attention, dilute the voting power of existing stockholders, and have a material adverse effect on our business. Our failure to manage effectively our growth could impair our business. Sales of additional shares of common stock, or the potential for such sales, could have a depressive effect on the market price of our common stock. We have limited protection of our intellectual property. Our Stockholders Rights Plan may adversely affect existing stockholders. If we fail to maintain effective internal controls over financial reporting or remediate any future material weakness in our internal control over financial reporting, we may be unable to accurately report our financial results or prevent fraud, which could have a material adverse effect on our financial results and our stock price.

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