1. BUSINESS OVERVIEW We are a leading supplier of innovative gaming entertainment products and services worldwide. We design, develop, manufacture, distribute and market casino games and gaming machines, video lottery terminals ( VLTs ), video gaming terminals ( VGTs ) and interactive gaming products and services. As regulated markets legalize interactive gaming, we intend to enter and do business in those markets. We have production facilities in the United States with development and distribution offices located in the United States, Argentina, Australia, Canada, China, India, Mexico, South Africa and Spain, an online gaming operations center in the United Kingdom and with our acquisition of Jadestone Group AB and Jadestone Networks (Malta) Ltd. ( Jadestone ) in late fiscal 2012, we have a development, operations center and administrative office in Sweden (see Note 4.  Business Acquisitions ). In addition, we also acquired Genesis Communications Inc., d/b/a Phantom EFX, LLC ( Phantom ) in fiscal 2012 which has a development, distribution and administrative office in Iowa (see Note 4.  Business Acquisitions ). In fiscal 2011 we closed and sold our Orion Financement Company B.V. ( Orion Gaming ) manufacturing facility in the Netherlands and determined that we would wind down the manufacturing of the Orion Gaming product lines over fiscal 2012. We will continue to provide support for spare parts related to Orion Gaming product lines for several years. Orion Gaming was immaterial to our Consolidated Balance Sheets, Consolidated Statements of Income and Consolidated Statements of Cash Flows. In addition, the acquisition of Jadestone and Phantom were immaterial to our Consolidated Balance Sheets, Consolidated Statements of Income and Consolidated Statements of Cash Flows. In July 2012, we grouped together all of our worldwide online wagering, and social, casual and mobile gaming initiatives to focus on their growth, development and operational execution and to optimize the benefits of interactive gaming initiatives f