CENTREBETCENTREBET5 Year Strategic Plan

CENTREBET5 Year Strategic Plan“Project Rocket”

9 November 2010

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This document has been prepared by Centrebet International Limited (“Centrebet”) and comprises written materials/slides for a

DisclaimerThis document has been prepared by Centrebet International Limited (“Centrebet”) and comprises written materials/slides for apresentation concerning Centrebet's five year Strategic Plan. This is not a prospectus, disclosure document or offering document.

This document is for information purposes only and does not constitute or form part of any offer or invitation to acquire, sell or otherwisedispose of, or issue or any solicitation of any offer to sell or otherwise dispose of, purchase or subscribe for, any securities, nor does itconstitute investment advice, nor shall it or any part of it nor the fact of its distribution form the basis of, or be relied on in connectionwith, any contract or investment decision.with, any contract or investment decision.

Certain statements in this presentation are forward-looking statements. You can identify these statements by the fact that they usewords such as "anticipate", "estimate", "expect", "project", "intend", "plan", "believe", "target", “uplift", "may", "assume" and words ofsimilar import. These forward looking statements speak only as at the date of this presentation. These statements are based on currentexpectations and beliefs and, by their nature, are subject to a number of known and unknown risks and uncertainties that could cause theactual results, performances and achievements to differ materially from any expected future results, performance or achievementsexpressed or implied by such forward-looking statements. Further information regarding the basis upon which certain forward-lookingexpressed or implied by such forward-looking statements. Further information regarding the basis upon which certain forward-lookingstatements have been prepared is included in the slide ‘Basis of Preparation’.

No representation, warranty or assurance (express or implied) is given or made by Centrebet that the forward-looking statements in thispresentation are accurate, complete, reliable or adequate or that they will be achieved or prone to be correct. Except for any statutoryliability which cannot be excluded, each of Centrebet, its related companies and their respective officers, employees and advisersexpressly disclaim any responsibility for the accuracy or completeness of the forward-looking statements and exclude all liabilityexpressly disclaim any responsibility for the accuracy or completeness of the forward-looking statements and exclude all liabilitywhatsoever (including negligence) for any direct or indirect loss or damage which may be suffered by any person as a consequence of anyinformation in this presentation or any error or omission therefrom.

Subject to any continuing obligation under applicable law or any relevant listing rules of the ASX, Centrebet disclaims any obligation orundertaking to disseminate any updates or revisions to any forward-looking statements in these materials to reflect any change inexpectations in relation to any forward-looking statements or any change in events, conditions or circumstances on which any statement isexpectations in relation to any forward-looking statements or any change in events, conditions or circumstances on which any statement isbased. Nothing in these materials shall under any circumstances create an implication that there has been no change in the affairs ofCentrebet since the date of this presentation.

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Table of Contents

Executive Summary

Australia Market Overview

Project Rocket

Financial Impact

Appendices

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Centrebet announces today the commencement of a new Strategic Plan,

Executive Summary

Centrebet announces today the commencement of a new Strategic Plan, “Project Rocket”.

The goal of Project Rocket is to:

� Achieve a step change in Centrebet’s Australian corporate bookmaker market share from c.10% to 20% by FY15

� Derive a c.50% uplift in NPAT relative to a “status quo” growth scenario by FY15 (more than doubling FY10Underlying NPAT)

How will this goal be achieved?

� Targeted and significantly increased marketing� Drive a significant increase in customer

acquisition� Targeted and significantly increased marketing

investment programme in Australia

� Significant investment in product development

� Maximise cash flow in Europe to focus

acquisition

� Improve the customer product offering,maintaining a market leading position

� Drive growth in Australian revenues above

In order to…

� Maximise cash flow in Europe to focusinvestment on Australian growth

� Drive growth in Australian revenues abovestrong historical growth rates

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Why is now the right time?

Executive Summary

SUMMARY PROJECT ROCKET FINANCIAL IMPACTWhy is now the right time?� Industry dynamics are favourable given recent

deregulation in marketing, continued migration from landbased TABs to online and increased barriers to entry

� Centrebet is very well placed to exploit these conditions

SUMMARY PROJECT ROCKET FINANCIAL IMPACT

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Centrebet Adjusted/Underlying NPAT ($m)

Status quo estimated NPAT Strategic plan estimated NPAT$m

$32m

Historical adjusted/underlying NPAT

What is the financial impact of Project Rocket?� Given customer return profile (customers are earnings loss

making in the first year of acquisition), there is areduction in profitability in year 1 of the Plan (FY11)

15

20

25

30

$32m

$22m

� Profitability is expected to exceed “status quo” in year 3of the Plan (FY13)

� By FY15:

— significant increase in customer numbers

FY07 FY08 FY09 FY10 FY11 FY12 FY13 FY14 FY15

-

5

10

— significant increase in customer numbers

— c.50% uplift in NPAT relative to “status quo” (NPAT inexcess of $32m and growing)

� The outcome is a business which is much stronger and hasa higher growth profile given the market share position Return on investment of 35%(1)a higher growth profile given the market share positionand ability to leverage off fixed cost base

� Centrebet intends to pay dividends in FY11 and throughoutProject Rocket, with the payout ratio increasing in theshort-term compared to prior periods

Return on investment of 35%

Note:1. Based on FY15 Incremental EBITDA / Accumulated Increased Investment between FY11

and FY15. 30% return expected at the EBIT level and 20% return expected at the NPATlevel.

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short-term compared to prior periods

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Table of Contents

Executive Summary

Australia Market Overview

Project Rocket

Financial Impact

Appendices

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Corporate bookmakers have grown their market share of the Australian corporate bookmaker

Australian Wagering Industry – Background

� Total Australian wagering turnover has grown atCAGR 8% between FY03A and FY09A andestimated to have grown at 6% for FY10

Corporate bookmakers have grown their market share of the Australian corporate bookmakermarket significantly from 10% in FY03 to 27% in FY10E. This growth is expected to continuegoing forward, with an expected market share in FY15 in excess of 35%.

LONG-TERM MARKET SHARE ESTIMATE

estimated to have grown at 6% for FY10

� Corporate bookmakers (phone and internet) havegrown at CAGR 26% with total TABs growing at 5%over the same period resulting in significantgrowth in market share

626

583 80%

90%

$30,000

$35,000

Wagering Turnover (000's) Market Share (%)

Actual Management Estimate

� This trend is expected to continue going forwarddue to:

� Continued customer migration towards morecompetitive internet operators

� Increased brand awareness for Tier 1corporate bookmakers following advertising

1,390

2,895 3,394 3,569

4,488 5,108

5,679 6,332

7,067 7,893

8,823 9,869

11,048

1,046

1,149 1,067 988

822 741

837

795

756

721

672

626

30%

40%

50%

60%

70%

$15,000

$20,000

$25,000

$30,000

corporate bookmakers following advertisingderegulation

� Consolidation in the industry

� Assuming future CAGR % are:

� 6% for the total market; and

11,490 12,548 13,152 13,334 14,134 14,266 15,427 16,137 16,911 17,760 18,348 18,956 19,585

1,390

0%

10%

20%

30%

$0

$5,000

$10,000

FY03A FY04A FY05A FY06A FY07A FY08A FY09A FY10E FY11E FY12E FY13E FY14E FY15E

Wagering � 6% for the total market; and

� 12% for corporate bookmakers

Corporate bookmakers can expect to command

35% market share by FY15 from 27% in FY10

� This ongoing trend will drive growth inCentrebet’s market share and earnings profile

Bookmakers On Course Corporate Bookmakers (Phone & Internet) TABs (all sources)

TABs (all sources) Corporate Bookmakers (Phone & Internet) Bookmakers On Course

Wagering

Turnover

Market

Share

6

Source: Australian Racing Factbook (historical), Centrebet management (indicative estimates).Note:1. FY10 and subsequent years are Centrebet Management estimates based on high level indicative growth

assumptions made on thoroughbred racing, harness & greyhound and sports, split by TABs, corporatebookmakers (phone & internet) and on-course, based on recent industry trends and macro-industry dynamics.

Centrebet’s market share and earnings profileover the medium to long term

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There are at least 21 corporate bookmakers licensed in Australia.

Australian Competitive Landscape

AUSTRALIAN OPERATORS OVERVIEW

There are at least 21 corporate bookmakers licensed in Australia.

� There is clear differentiation between Tier 1 and Tier 2 operators with respect to scale, win-rate and performance. Centrebet is a clear Tier 1 operator

� Tier 1 operators have been, and will continue to, take market share from land based TABs and Tier 2 operators

AUSTRALIAN OPERATORS OVERVIEW

TIER 1 Tier 1 –Increasing

market share1.

1.

Note:1. SportsBet and IASbet.com are subsidiaries of PaddyPower Plc. 7

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Australian Wagering Industry –Centrebet Historical Market ShareCentrebet’s current market share is 10% of the total corporate bookmaker market(1) withsubstantial room for growth in racing, in particular.

Centrebet Historical Market Share

CENTREBET HISTORICAL MARKET SHARE BY SPORT & RACING

� Centrebet has a leading market position in sports wagering with24% market share of corporate bookmakers, and growing

� A significant opportunity exists to increase Centrebet’s marketshare in racing, currently at 5% of corporate bookmakers,especially given it was late to market in racing

23%

20% 20%

24%

20%

25%

30%

15,000

20,000

25,000

Sports MarketWagering Turnover (000's) Market Share (%)

� Approximately 88 cents of every $1 wagered in Australia is spenton racing, for Centrebet this is approximately 41 cents of every$1

� Growth in racing market share is critical to Centrebet achieving20% or greater market share of the Australian corporatebookmaking market by FY15

0%

5%

10%

15%

-

5,000

10,000

FY07A FY08A FY09A FY10E

Total Sports Market Corporate Bookmakers (Phone & Internet) Centrebet Share of Corporate Bookmakers

bookmaking market by FY15

20%

25%

30%

15,000

20,000

25,000

Total MarketWagering Turnover (000's) Market Share (%)

20%

25%

30%

15,000

20,000

25,000

Racing MarketWagering Turnover (000's) Market Share (%)

8% 9% 9%10%

0%

5%

10%

15%

-

5,000

10,000

15,000

FY07A FY08A FY09A FY10E

Total Market Corporate Bookmakers (Phone & Internet) Centrebet Share of Corporate Bookmakers

4% 4%5% 5%

0%

5%

10%

15%

-

5,000

10,000

15,000

FY07A FY08A FY09A FY10E

Total Racing Market Corporate Bookmakers (Phone & Internet) Centrebet Share of Corporate Bookmakers

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Source: Australian Racing Factbook (historical), Centrebet management (indicative estimates).Notes:1. Using wagering turnover as a basis. Estimated to be 11% on a revenue basis.2. FY10 and subsequent years are Centrebet Management estimates based on high level indicative growth assumptions made on thoroughbred racing, harness &

greyhound and sports, split by TABs, corporate bookmakers (phone & internet) and on-course, based on recent industry trends and macro-industry dynamics.

Total Market Corporate Bookmakers (Phone & Internet) Centrebet Share of Corporate Bookmakers Total Racing Market Corporate Bookmakers (Phone & Internet) Centrebet Share of Corporate Bookmakers

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Centrebet Superior Win-RatesCentrebet’s superior wagering risk management provides unique advantages for product

COMPARATIVE WIN-RATES OVER TIME(1),(2),(3) � With increased scale and increased migrationof recreational TAB customers to corporatebookmakers, the trend amongst tier 1

Centrebet’s superior wagering risk management provides unique advantages for productdevelopment and win-rate management.

bookmakers, the trend amongst tier 1corporate bookmakers has been an increase inthe win-rate, despite more competitivepricing

� Superior win-rates compared to tier 1competitors due to unrivalled bookmaking

9%

Centrebet Australia Sportingbet Australia IASbet Sportsbet

Win Rates (%)

competitors due to unrivalled bookmakingexpertise, have enabled Centrebet to betterwithstand increased costs following theintroduction of Product Fees

� Centrebet has historically achieved higher

6.3%

7.8%

6.1%6.5%

7.3%

7.1%

5%

7%

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� Centrebet has historically achieved higherwin-rates on racing compared to sport

� Higher win-rate allows the launch of specificlower margin products (e.g. Best of the Best),driving growth in active clients and creating a

3.8%2.9%

4.3% 4.8%

6.1%

4.0% 3.5%4.6%

5.4%

7.1%

4.8%

6.1%

-1%

1%

3%

2006 2007 2008 2009 2010

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Source: Company announcements.Notes:1. Centrebet’s win-rate is for Australia only, excluding the discontinued on-course products.2. Sportingbet Australian win-rate is gross of bonuses and betting taxes, consistent with the Centrebet

driving growth in active clients and creating acompetitive advantage

� The head room Centrebet enjoys from itssuperior win-rates allows Centrebet toconsider increasing market share by win-rate

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2. Sportingbet Australian win-rate is gross of bonuses and betting taxes, consistent with the Centrebettreatment.

3. Sportsbet 2009 win-rate calculated from Paddy Power Presentation on 14 May 2009. In 2010, Sportsbetand IAS win-rates presented on a combined basis.

consider increasing market share by win-ratemanagement

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Centrebet is a product innovator with unsurpassed product range and depth, with a strong new

Product Pioneer – Competitor ComparisonCentrebet is a product innovator with unsurpassed product range and depth, with a strong newproduct pipeline.

PRODUCT DESCRIPTION

PICK YOUR

� Proprietary product that allows the customer to choose the line(i.e. points start) that they wish to bet on in a designated match

� The chosen line is offered at a price which is based on extensive � � � � � �PICK YOUR OWN LINE � The chosen line is offered at a price which is based on extensive

statistical modelling designed to provide Centrebet with an optimal win-rate

� � � � � �

BEST OF BEST & SUPER PLUS

� Best Of Best product is leading in class for payout value providing the best price between Best Fluc & Best Tote

� Super Plus is a market leading ‘guarantee product’ providing the best price between the fixed-odds at the time of bet and Best

� � � � � �best price between the fixed-odds at the time of bet and Best Tote

PICK YOUR OWN TIME

� Proprietary Football product for Centrebet - up to 30 options per market

� Clients are able to bet whether goals are scored before or after a nominated time period

� � � � � �

PRE-POST BETTING

� Superior pre-post fixed-odds betting on metropolitan and feature races � � � � � �

FIXED-ODDS GREYHOUND AND

HARNESS � First to market in offering fixed-odds betting on greyhound &

harness racing � � � � � �HARNESS BETTING

harness racing � � � � � �

LIVE BETTING � Market leading Australian and International live betting coverage � � � � � �

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NEW PROPRIETARY PRODUCTS

� A range of new racing-focussed proprietary products are currently in development

Soon to be

launched? ? ? ? ?

Proprietary product

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Table of Contents

Executive Summary

Australia Market Overview

Project Rocket

Financial Impact

Appendices

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Project Rocket Overview

Lay the Foundations

� Strong business – built up over long period of success

� Ability to leverage off key strategic differentiators (refer overleaf)

� Sound underlying operational and financial performance supported by positivemarket dynamics

UP TO

2010

Invest for Growth in Australia and

market dynamics

� Undertake increased investment in

� Product developmentAustralia and

Maximise Cashflows in Europe

� Marketing and brand awareness

� Marginal staff headcount increase to support growth

� Maximise cash flow from Europe to focus investment on higher return Australianmarket

Project Rocket

Maximise Profitability� Profitability maximised in later years from return on prior years’ investment

� Develop a high growth, high yield business, with minimum 60% dividend payoutratioratio

2015 and beyond

Goal:(i) Achieve a step change in Centrebet’s Australian corporate bookmaker market share from c.10% to 20%

by FY15

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by FY15(ii) Derive c.50% uplift in NPAT relative to a “status quo” growth scenario by FY15 (more than doubling

FY10 Underlying NPAT)

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Lay the Foundations Centrebet has a strong underlying business which provides a strong platform for growth.

Key Business Differentiators

Centrebet has a strong underlying business which provides a strong platform for growth.

Unrivalled bookmaking � Market leading bookmaking experience with knowledge accumulated over more

Broad and unique product suite with

continued innovation

� Market leader with comprehensive and diverse set of products� Track record of being a “first-mover” with recent market-leading innovations

(e.g. PYOL)

Effective risk management

� Comprehensive proprietary systems with sophisticated reporting tools� Provision of real time analysis for management and bookmakers� Unique client-base profiling and segmentation (including authorisation controls)

Unrivalled bookmaking expertise

Market leading bookmaking experience with knowledge accumulated over morethan 30 years and expertise across a vast array of betting events and products

� 24/7 bookmaking team Provides strong platform for B2B strategy

Strong foundation to support

Innovative approach to marketing

� Maximise brand positioning� Ensure high customer acquisition and retention levels

management � Unique client-base profiling and segmentation (including authorisation controls)at sport and event level and by bet type

to support strategic initiatives

Maximise customer value

� Attractive recreational customer base with low average bet size� Increasing customer longevity and diversity

Supported by best practice technology infrastructure and architectureSupported by best practice technology infrastructure and architecture

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Successful B2B strategy

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In order for Centrebet to derive market share of 20% by FY15, a number of specific initiativeshave been identified:

Strategic Initiatives

have been identified:

FAST-TRACK PRODUCT

DEVELOPMENT & CONTINUED

� Bring forward development spend to fast track new product roll out

� Significant focus on new racing products (already in development) furtherdifferentiating the unique and superior product range

CONTINUED PRODUCT

INNOVATION

� Product campaigns have been scheduled around the new product releases

� Leveraging the successful introduction of Pick Your Own Line through specific product extensions

� Centrebet will significantly increase its marketing and advertising investment

Significant improvement in:

� Customer acquisitions

� Customer retention

� Brand positioning

SIGNIFICANT INCREASE IN MARKETING INVESTMENT

� Centrebet will significantly increase its marketing and advertising investmentaimed at increasing ‘top of mind’ brand awareness

� Centrebet will:

� target key media assets

� broaden its range of marketing channels (e.g. TV)

� increase focus on the racing market

� Brand positioning

� “Share of wallet” in racing

Market share gains from:

OTHER INITIATIVES� Various other commercially sensitive strategic initiatives have been developed

� increase focus on the racing market

� The brand campaign will be supported by extensive product based advertising promoting Centrebet’s proprietary products

from:

� TABs – shift to online gambling accelerates with increased market investment

OTHER INITIATIVES� Various other commercially sensitive strategic initiatives have been developed

and will be implemented as appropriate

B2B STRATEGY� Continued focus on delivering increased product range, increased turnover and

improved margins to the TABs� Actively pursue other opportunities

� Tier 2 operators

Further growth in B2B

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� Actively pursue other opportunities

Notes:1. Centrebet went live with its B2B strategy during May 2009, providing WA, ACT and Tasmanian TABs with fixed-odds management services.2. Delivered exceptional year-on-year fixed-odds turnover growth of 88% for the WA TAB, the largest operator within the TABs FOMS

contracts.

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Table of Contents

Executive Summary

Australia Market Overview

Project Rocket

Financial Impact

Appendices

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Strategic investment in Australian marketing and product development is estimated to generatean underlying revenue CAGR of 24% over the 5 years to FY15 in Australia.

Project Rocket Revenue Impact

an underlying revenue CAGR of 24% over the 5 years to FY15 in Australia.

Impact on Revenues

� Strategic investment in the Australian market todrive growth in Australian revenues above historicalgrowth rates

� The estimated 5 year CAGR for Australian revenues140

160

Centrebet Australia Adjusted/Underlying Revenue ($m)

Status quo estimated revenue Strategic plan estimated revenue$m Historical adjusted/underlying Revenue

� The estimated 5 year CAGR for Australian revenuesbetween FY10 to FY15 is 24%

� This compares to:

— a 18% CAGR between FY07 and FY10

— estimated “status quo” CAGR of 15% between

60

80

100

120

— estimated “status quo” CAGR of 15% betweenFY10 to FY15

� Revenue growth is maximised in the later years ofProject Rocket as returns are generated from the

FY07 FY08 FY09 FY10 FY11 FY12 FY13 FY14 FY15

0

20

40

Project Rocket as returns are generated from theprior years’ investment

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Impact of Customer AcquisitionWhilst there is strong revenue growth throughout the Plan, profitability is impacted in year 1given investment required to acquire a customer.

� As part of Project Rocket, Centrebet plans to drive a

New Client Return – First 3 Years

Whilst there is strong revenue growth throughout the Plan, profitability is impacted in year 1given investment required to acquire a customer.

New Client, First 3 Years Net Contribution Analysis 1,2� As part of Project Rocket, Centrebet plans to drive asignificant increase in new customer acquisitions

� By virtue of the expense incurred to acquire acustomer, the net contribution to earnings from acustomer is negative in year 1 of the customer life

New Client, First 3 Years Net Contribution Analysis 1,2

New client revenue New client net contribution

customer is negative in year 1 of the customer life

� However by years 2 and 3, the return is significant

Year 1 Year 2 Year 3Note:

1. New client net contribution is the average revenue generated from a new client, less acquisition and retention spend, betting and

banking costs, applicable to the new client.

2. No scale has been provided for commercially sensitive reasons.

Centrebet has historically been highly successful in driving new client acquisitions.

Australian active clients increased 38% year to date to 31 October 2010 against the prior period.

Centrebet will continue to leverage its strong brand, market position and successful marketing initiatives by committing greater and more targeted spend to drive a continued uplift in customer acquisitions.

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Project Rocket is expected to deliver a significant and sustainable step up in earnings and astrong return on investment, albeit with a near term earnings impact.

Financial ImpactProject Rocket is expected to deliver a significant and sustainable step up in earnings and astrong return on investment, albeit with a near term earnings impact.

Impact on Earnings

� The increased investment has a short-term earnings impact despiterevenue growth, as new clients generate a negative net contribution,

Centrebet Adjusted/Underlying NPAT ($m)revenue growth, as new clients generate a negative net contribution,on average, in their first year

� As a consequence, FY11 NPAT is estimated to be approximately $8mcompared to $16m under a “status quo” scenario, with a significantproportion of FY11 NPAT estimated to be generated in 2H FY1125

30

35

Centrebet Adjusted/Underlying NPAT ($m)

Status quo estimated NPAT Strategic plan estimated NPAT$m

$32m

$22m

Historical adjusted/underlying NPAT

� Whilst there is an estimated slight decrease in “status quo” FY11 NPATcompared to FY10, there is an estimated 12% growth in EBITDA. Theslight decline in NPAT is mostly due to an increase in the effective taxrate due to strong growth in Australian earnings

� Profitability is expected to exceed “status quo” in year 3 of the Plan(FY13)

5

10

15

20

$22m

(FY13)

� With the rate of growth of investment in the Australian marketreducing in the later years of the Plan and increased critical massbeing achieved, profitability is maximised in the later years

� Successful execution of the Plan is estimated to generate FY15 NPAT

FY07 FY08 FY09 FY10 FY11 FY12 FY13 FY14 FY15

-

� Successful execution of the Plan is estimated to generate FY15 NPATin excess of $32m and growing

� Significant shareholder value is expected to be generated with anFY15 NPAT estimated to be $10m in excess of an estimated “statusquo” FY15 NPAT of $22m

� The strength of the business and the ability to leverage on the

Return on investment of 35%(1)

Note:1. Based on FY15 Incremental EBITDA / Accumulated Increased Investment between FY11

and FY15. 30% return expected at the EBIT level and 20% return expected at the

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� The strength of the business and the ability to leverage on theincremental scale will create a higher growth business

and FY15. 30% return expected at the EBIT level and 20% return expected at theNPAT level.

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Centrebet is utilising its surplus cash position to invest in the Australian market. Centrebet

Financial ImpactCentrebet is utilising its surplus cash position to invest in the Australian market. Centrebetintends to maintain paying dividends throughout Project Rocket.

Balance sheet, Cashflow & Dividends

� Centrebet had surplus cash of $15.7m at 30 June 2010, prior to FY10 final dividend payment of$7.0m

� A working capital facility is currently in place with a limit of $10m from December 2010. Thefacility expires in December 2011facility expires in December 2011

� Whilst Project Rocket is not reliant on renewing the debt facility, this is expected to take placeduring mid-2011

� Given the nature of the Plan with increased investment in marketing and product development,combined with the timing of the final FY10 dividend and cash payouts from FY10 accruals, cashgeneration is expected to be negative in FY11

� Centrebet intends to pay dividends in FY11 and throughout the Plan� Centrebet intends to pay dividends in FY11 and throughout the Plan

� Given the short-term impact on NPAT, the payout ratio will be increased compared to priorperiods

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Table of Contents

Executive Summary

Australia – Market Overview

Project Rocket

Financial Impact

Appendices

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Business OverviewCentrebet is an online wagering and gaming company with a leading position in Australia and astrong international presence.

FY10 Underlying Revenue(1): $69.9m

FY10 Underlying EBITDA(1): $23.0m

strong international presence.

204 employees

Company Overview

FY10 Underlying EBITDA(1): $23.0m

FY10 Underlying NPAT(1): $15.9m

98,000 Active Clients(2)

>17,900 betting events weekly

FOMS (B2B)

5%

AUSTRALIA

FY10 Underlying Revenue: $47.7m (68%)

EUROPE

FY10 Underlying Revenue $22.2m (32%)

B2C + B2B

Download

Casino

Poker

10%

Sport

Racing

(Online)

39%

5%Casino

27%

10%

Sport

56%

39%

Sport &

Racing

43%

Instant

Casino

20%

GROUP FUNCTIONS

Note:1. As disclosed in Investor Presentation dated 26 August 2010.2. An active client (“Active Client”) is defined as a client who has placed a bet in the last

12 months.

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GROUP FUNCTIONS

(Bookmaking / Risk Management, Product Innovation, Marketing,

Customer Service, IT, Finance and HR)

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Basis of PreparationProject Rocket estimates and forecasts are based on:Project Rocket estimates and forecasts are based on:

� The Company’s operating budgets for the 5 year period ending FY15

� The Directors’ assessment of the current and likely future operating conditions

� The implementation of the Company’s business strategies and detailed plans prepared on a continuing business basis

� A number of material best estimate assumptions as determined by the Directors

The Directors have used reasonable care in the preparation of Project Rocket and consider their assumptions to bereasonable.

Undue reliance should not be placed on the forecast financial information. Forecasts by their nature are subject touncertainties and unexpected events outside the control of the Directors. Any change to the basis upon which theuncertainties and unexpected events outside the control of the Directors. Any change to the basis upon which theforecasts have been prepared could be either materially positive or materially negative to actual financial performance.The Directors are unable to warrant and therefore do not warrant the achievement of the Project Rocket forecasts.

AssumptionsThe general assumptions listed below should be read in conjunction with the risk factors outlined in this document:

� No significant change in prevailing economic conditions in the markets in which Centrebet operates

� Current exchange rates as at the date of this presentation

� No significant regulatory, operational, contractual or political disturbances affecting the continuity of operations

� No material amendment to, termination of loss of material agreements relating to the business

No significant changes in statutory, legal, or regulatory requirements that would have a material impact on operations� No significant changes in statutory, legal, or regulatory requirements that would have a material impact on operations

� No material changes in Australian Accounting Standards that would have a material impact on the financialperformance of Centrebet, its financial position or its cash flows

� No material contingent liabilities to the detriment of Centrebet

Risks

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RisksThe following risks might affect the future operating and financial performance of Centrebet, including general risksassociated with any form of business and specific risks associated with Centrebet.

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Basis of Preparation (cont’d)

Economic ConditionsEconomic ConditionsAdverse changes in economic conditions are outside the control of Centrebet, including interest rates, exchange rates,inflation, government policy, international economic conditions and employment rates.

Regulatory RisksCentrebet is exposed to any change in the regulatory conditions under which it operates including:

� Material adverse changes in product fees or the regulatory environment

� Taxation laws and policies

� Accounting laws, policies, standards and practices

CompetitionCentrebet faces competition. Centrebet might lose market share with consequent adverse effect upon operating andfinancial performance if there were new entrants or a change in strategy by existing competitors.

Exchange RatesCentrebet faces exposure to the European currencies and the US dollar through its European operations. The movementCentrebet faces exposure to the European currencies and the US dollar through its European operations. The movementin these exchange rates may impact the earnings.

TechnologyMuch of the business of Centrebet is dependent on various technologies. It is therefore financially and operationally atrisk to the extent that:risk to the extent that:

� Its technologies fail or become impaired or obsolete

� Competitors introduce superior technologies

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