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Familiar faces bid to be slot suppliers
Roddey, Udin among those seeking licenses
Thursday, March 02, 2006

A former lieutenant governor, county executive, city councilman and Steelers player are among the host of local politicians, government appointees and private-sector investors who have signed up to supply slot machines to the state's casinos.

The state's 2004 gaming law, which allows casinos at 14 sites across Pennsylvania, for now includes a provision that says slot machine manufacturers can't sell their products directly to the casinos. Instead, they must deal with suppliers, a layer of in-state middlemen who position themselves between the manufacturers and the casinos, peeling a commission from their sales.

Proponents of the distributorships say the requirement will help create jobs in Pennsylvania, because the suppliers also will be responsible for maintaining the machines. Critics have said the distributorships are superfluous, a creation primarily devised to provide an investment outlet for buddies in the political and business communities.

So far, 13 applications have been received for supplier licenses, said Pennsylvania Gaming Control Board spokesman Nick Hays. The application deadline was Tuesday.

The gaming board said it would eventually release the full list of names, probably this month, but already some of the local applicants are known.

Former Allegheny County Chief Executive Jim Roddey, WQED Multimedia President George Miles and Doris Carson Williams, head of the African American Chamber of Commerce of Western Pennsylvania, are the principals of a company called New Century Entertainment.

They submitted their application this week.

They've recruited several other local and out-of-town investors, including former county solicitor Charles McCullough, Business Records Management president Steven Wright, Oxford Development official David Matter, Harrisburg lobbyist Neely Frye, and Mike Fetchko, president of 141 Worldwide Premiere, a sports marketing company.

Mr. Roddey said his group has been in discussions with International Game Technology, the largest slot machine manufacturer in the world, controlling about two-thirds of the U.S. slots market. But he's not the only one.

Revenco Gaming LLC is headed by Mark Singel, lieutenant governor under Bob Casey. He's joined by Jimmie Sacco, stadium director at Heinz Field; Tom Santone, founder of a financial services company; and John DiMuccio of the Lawrence County Economic Development Corp.

The investment group is joining with Cory Investments Ltd. and Stoken Games, two companies with experience in servicing coin-operated equipment. They've also been in talks with IGT, as have would-be suppliers from elsewhere in Pennsylvania.

Mr. Singel said that Revenco, like New Century Entertainment and everybody else, is waiting on whether the gaming board allows a statewide free-for-all among the suppliers, or forces the slots manufacturers to deal with regional suppliers, each servicing a geographic portion of the state.

For that reason, manufacturers haven't finalized deals with suppliers. "They are correctly waiting until the smoke clears a bit," Mr. Singel said.

A third southwestern Pennsylvania group is headed by Greg Spencer, a real estate investor and now president of Gaming Ventures LLC. That group includes former Pittsburgh city councilman Sala Udin, MDL Capital investor Mark D. Lay, former city fiscal oversight board member James Smith III, and J.T. Thomas, a Pro Bowl defensive back with the Steelers during the 1970s. Mr. Thomas also has been an investor with Applebee's Neighborhood Bar & Grill, a restaurant chain.

First published on March 2, 2006 at 12:00 am
Bill Toland can be reached at btoland@post-gazette.com or 412-263-1889.
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