GAMES BEGIN JULY 24 TH! RETAIL PRODUCT PLAN

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1 GAMES BEGIN JULY 24 TH! RETAIL PRODUCT PLAN JULY - AUGUST 2017 calottery.com

2 LOTTERY S AUGUST 2017 MEGA MILLIONS IS CHANGING * COMING OCTOBER 28, 2017, THE MEGA MILLIONS GAME WILL BE CHANGING TO $2. Players will now choose FIVE numbers from 1-70 and ONE MEGA number from BENEFITS More frequent jackpots over 0 million Each play costs $2.00 $40 million starting jackpot KEY DATES: 1. New playslips MUST be used starting OCTOBER 28, Look for new playslips delivered between October 20th and October 28th 2. OCTOBER 27th - last draw for current playslips. October 28th start using new playslips for October 31st draw. 3. AUGUST 22, 2017 is the LAST DRAW that allows the purchase of 20 Advance Plays. This will decrease by one Advance Play every draw until the October 28th draw. -- Advance Play for 10 draws resumes OCTOBER 29th More details to follow in the MEGA MILLIONS Game Change Sell Sheet. DRAW DATE Most Manual Advanced Plays available prior to Draw Date Most Playslip Advanced Plays available prior to Draw Date Tuesday, August 22, Friday, August 25, Tuesday, August 29, Friday, September 01, Tuesday, September 05, Friday, September 08, Tuesday, September 12, Friday, September 15, Tuesday, September 19, Friday, September 22, Tuesday, September 26, Friday, September 29, Tuesday, October 03, Friday, October 06, Tuesday, October 10, Friday, October 13, Tuesday, October 17, Friday, October 20, Tuesday, October 24, Friday, October 27, 2017 LAST OLD MATRIX DRAW Saturday, October 28, 2017 MATRIX Adv Play resumes Tuesday, October 31, 2017 MATRIX Draw #1 *pending commission approval

3 LOTTERY S AUGUST 2017 ANNOUNCING OUR FIRST CROSSWORD GAME CROSSWORD DELUXE Be sure to let all your crossword fans know about the newest member of our family Crossword Deluxe Scratchers! This is the first time that the California Lottery has offered a crossword game at a price point. There is PLENTY of play value plus the chance to win up to $2 MILLION! KEY GAME FEATURES 3 Full-Sized Puzzle Grids $2,000,000 Top Prize Chance to Multiply your Prize by 50X 2 Bonus Words A 0 FAST SPOT Overall Odds = 1:3.10 Prize Payout = 75% GAME INFORMATION Game # 1272 Price Point Pack Size 30 Cost Per Pack $600 Less 6% Commission/Handling Fee = 64 Dimensions 4 x 9 3

4 AUGUST 2017 $ 20 CROSSWORD DELUXE GAME #1272 WIN UP TO $2,000,000! 3 PUZZLES! FAST 0 SPOT! HOW TO PLAY ODDS & WINNERS * 1. Scratch YOUR LETTERS play area to reveal a total of 20 letters. 2. In each PUZZLE; scratch each letter that matches YOUR LETTERS. 3. In each PUZZLE; completely uncover three or more words, win corresponding prize shown in the PRIZE KEY. 4. Scratch PUZZLE 1 MULTIPLIER. Multiply your PUZZLE 1 winning prize by the number revealed in the PUZZLE 1 MULTIPLIER. 5. Scratch PUZZLE 2 MULTIPLIER. Multiply your PUZZLE 2 winning prize by the number revealed in the PUZZLE 2 MULTIPLIER. 6. Scratch PUZZLE 3 MULTIPLIER. Multiply your PUZZLE 3 winning prize by the number revealed in the PUZZLE 3 MULTIPLIER. 7. EACH PUZZLE PLAYS SEPARATELY. Words on each PUZZLE cannot be combined to win a higher prize. Prize level: Odds: Total Winners: TICKET $ $ $1,000 $2,000,000,000 $25,000 $2,000, ,500 4, , , ,000 1,200,000 2,080,000 1,664, , ,000 84,500 39,000 27,300 10,400 3, Overall odds: 1 in 3.10 Total Winners: 5,027,295 *Odds and winners are estimated. For final game odds and winners, please visit calottery.com. 4 PRIZE PAYOUT 75% After game start, some prizes, including top prizes, may have been claimed. Number of winners based on sales, number of tickets distributed, and claims. Prizes not exempt from Federal Tax. By law, the Lottery must notify the IRS of prize winnings of $600 or more. Must be at least 18 years or older to play. Use this to provide odds of winning prizes to your customers. 8. EACH MULTIPLIER PLAYS SEPARATELY. The number revealed in the Puzzle 1 MULTIPLIER cannot be combined with the number revealed in Puzzle 2 MULTIPLIER or Puzzle 3 MULTIPLIER to win a higher multiplier number. The number revealed in Puzzle 1 MULTIPLIER cannot be used to multiply a Puzzle 2 or Puzzle 3 winning prize. 9. THE BONUS WORDS PLAY SEPARATELY FROM EACH OTHER AND SEPARATELY FROM THE PUZZLES AND MULTIPLIERS. Completely uncover each BONUS WORD using YOUR LETTERS, win prize in corresponding PRIZE BOX. BONUS WORDS do not multiply. 10. FAST 0 SPOT: Uncover a 100 in the FAST 0 SPOT, win 0 instantly! FAST 0 SPOT does not multiply. Players can win up to six (6) times on this ticket. UPC CODE Retailer Cost of Pack: $600 Less 6% Commission/Handling Fee: 6 Final Cost per Pack 64

5 THE MULTIPLIER GAME AUGUST 2017 $ 5 GAME #1271 WIN UP TO 0,000! 20 CHANCES TO MULTIPLY YOUR PRIZE UP TO 20 TIMES! HOW TO PLAY Match any of YOUR NUMBERS to any of the five WINNING NUMBERS, win that prize. For each row, multiply each prize won by the MULTIPLIER shown for that row. Each row (across) plays separately. ODDS & WINNERS * Prize level: Odds: Total Winners: TICKET $6 $ $1,000,000 0, ,000 13, ,000 1,200,000 1,350,000 1,125, , , , ,000 97,200 45,000 6,000 1, Overall odds: 1 in 3.75 Total Winners: 4,799,595 *Odds and winners are estimated. For final game odds and winners, please visit calottery.com. PRIZE PAYOUT 68% After game start, some prizes, including top prizes, may have been claimed. Number of winners based on sales, number of tickets distributed, and claims. Prizes not exempt from Federal Tax. By law, the Lottery must notify the IRS of prize winning of $600 or more. Must be at least 18 years or older to play. Use this to provide odds of winning prizes to your customers. UPC CODE Retailer Cost of Pack: $400 Less 6% Commission/Handling Fee: $24 Final Cost per Pack 76 5

6 $ 3 GAME #1270 AUGUST X CROSSWORD BONUS MATCH WIN UP TO,000! BONUS MATCH PLAY! FAST SPOT! PRIZE PAYOUT 62% After game start, some prizes, including top prizes, may have been claimed. Number of winners based on sales, number of tickets distributed, and claims. Prizes not exempt from Federal Tax. By law, the Lottery must notify the IRS of prize winnings of $600 or more. Must be at least 18 years or older to play. Use this to provide odds of winning prizes to your customers. HOW TO PLAY 1. Scratch YOUR LETTERS to reveal a total of 18 letters. 2. Scratch the BONUS MATCH box to reveal up to 2 additional letters. Uncover two identical letters in the BONUS MATCH box, win that prize. Use the uncovered letter(s) as bonus letter(s) in the CROSSWORD PUZZLE. 3. Scratch each letter in the CROSSWORD PUZZLE that matches YOUR LETTERS and the BONUS MATCH letter(s). 4. Completely uncover two or more words in the CROSSWORD PUZZLE and win corresponding prize shown in PRIZE KEY. 5. MULTIPLIER: Uncover the spot and multiply your total winnings by that number. 6. FAST SPOT: Uncover a in the FAST SPOT, win instantly! ODDS & WINNERS * Prize level: Odds: Total Winners: TICKET $4 0 0 $1,000, ,200 80,000 1,200,000 1,440,000 2,640,000 1,968, , , ,000 20, Overall odds: 1 in 3.36 Total Winners: 7,146,320 *Odds and winners are estimated. For final game odds and winners, please visit calottery.com. UPC CODE Retailer Cost of Pack: 00 Less 6% Commission/Handling Fee: $18 Final Cost per Pack $282 6

7 AUGUST s IN A LINE $ 1 GAME #1269 WIN UP TO $999! CHANCE TO TRIPLE YOUR PRIZE! HOW TO PLAY ODDS & WINNERS * Get three in the same ROW, COLUMN or DIAGONAL line and win the prize in the PRIZE BOX. Uncover a symbol in the BONUS BOX for a chance to win TRIPLE your prize. Prize level: Odds: Total Winners: TICKET ,400 2,824 4,615 7, , ,000 3,024,000 1,935, , , , ,960 12,600 10,710 6,552 3, Overall odds: 1 in 4.89 Total Winners: 6,178,725 *Odds and winners are estimated. For final game odds and winners, please visit calottery.com. PRIZE PAYOUT 57% After game start, some prizes, including top prizes, may have been claimed. Number of winners based on sales, number of tickets distributed, and claims. Prizes not exempt from Federal Tax. By law, the Lottery must notify the IRS of prize winning of $600 or more. Must be at least 18 years or older to play. Use this to provide odds of winning prizes to your customers. UPC CODE Retailer Cost of Pack: $250 Less 6% Commission/Handling Fee: $15 Final Cost per Pack $235 7

8 DISPLAY STARTING JULY 24 TH AUGUST BIN GUIDE 0 Game # Game # 1250 Game # 1260 Game # 1260 RECOMMENDED SCRATCHERS TO REMOVE* Please return these Scratchers to your Lottery Sales Representative. Utilize Your Featured Game Display for Super Ticket (1256) and Set for Life (1268 & 1267). Game # 1230 Game # 1246 Game # 1272 Game # 1272 Game # 1234 Game # 1236 $1 Game # 1251 Contact Your Lottery Sales Representative for Display Questions. SALES TIP All Instant Fast Cash winning tickets will instantly payout either 0 or 0. Raising awareness of these instant winners will help increase your sales. Ask your Sales Rep for Instant Fast Cash Winner Awareness flyers! If more inventory is needed, call EZLOTTO and select option 1. If order is placed before 3pm, the Scratchers will arrive the next business day. SCRATCHERS PRICING Game # 1263 Game # 1256 Game # 1271 Game # 1242 Game # 1245 Game # 1262 Game # 1268 Game # 1249 Game # 1255 Game # 1268 Game # 1267 Game # 1253 Price Point Final Cost per Pack 0 $ $ $282 $2 $188 $1 $235 Game # 1259 Game # 1264 Game # 1261 Game # 1248 Contact Your Lottery Sales Representative for Instant Fast Cash winner awareness print-outs. 8 ATTENTION RETAILERS Games may change based on available inventory and rate of sale. * Games selected to be removed are based on statewide sales performance and available inventory levels. Continue to display your best-selling Scratchers for your location. Game # 1252 $2 Game # 1258 Game # 1270 $2 Game # 1266 Game # 1254 $1 Game # 1265 $2 Game # 1244 $1 Game # 1269

9 DISPLAY STARTING JULY 24 TH AUGUST BIN GUIDE 0 Game # Game # 1250 Game # 1260 Game # 1230 RECOMMENDED SCRATCHERS TO REMOVE* Please return these Scratchers to your Lottery Sales Representative. Utilize Your Featured Game Display for Super Ticket (1256) and Set for Life (1268 & 1267). Game # 1246 Game # 1272 Game # 1272 Game # 1263 Game # 1234 Game # 1236 $1 Game # 1251 Contact Your Lottery Sales Representative for Display Questions. SALES TIP All Instant Fast Cash winning tickets will instantly payout either 0 or 0. Raising awareness of these instant winners will help increase your sales. Ask your Sales Rep for Instant Fast Cash Winner Awareness flyers! If more inventory is needed, call EZLOTTO and select option 1. If order is placed before 3pm, the Scratchers will arrive the next business day. SCRATCHERS PRICING Price Point Final Cost per Pack 0 $ $ $282 $2 $188 $1 $235 Game # 1242 Game # 1255 Game # 1262 Game # 1248 Game # 1245 Game # 1271 Game # 1259 Game # 1270 Game # 1268 Game # 1249 Game # 1264 Game # 1252 Game # 1267 Game # 1253 Game # 1254 Game # 1261 Contact Your Lottery Sales Representative for Instant Fast Cash winner awareness print-outs. ATTENTION RETAILERS Games may change based on available inventory and rate of sale. * Games selected to be removed are based on statewide sales performance and available inventory levels. Continue to display your best-selling Scratchers for your location. $2 Game # 1258 $2 Game # 1266 $1 Game # 1265 $1 Game #

10 DISPLAY STARTING JULY 24 TH AUGUST BIN GUIDE retailer clerk-facing side RECOMMENDED SCRATCHERS TO REMOVE* 0 Game # 1250 Game # 1260 Game # 1230 Game # 1272 Please return these Scratchers to your Lottery Sales Representative. Utilize Your Featured Game Display for Super Ticket (1256) and Set for Life (1268 & 1267). Contact Your Lottery Sales Representative for Display Questions. Game # 1242 Game # 1263 Game # 1245 Game # 1268 Game # 1234 Game # 1255 Game # 1236 SALES TIP All Instant Fast Cash winning tickets will instantly payout either 0 or 0. Raising awareness of these instant winners will help increase your sales. Ask your Sales Rep for Instant Fast Cash Winner Awareness flyers! Game # 1259 Game # 1253 Game # 1264 Game # 1267 $1 Game # 1251 If more inventory is needed, call EZLOTTO and select option 1. If order is placed before 3pm, the Scratchers will arrive the next business day. Game # 1249 Game # 1262 Game # 1271 Game # 1261 SCRATCHERS PRICING 10 Price Point Final Cost per Pack 0 $ $ $282 $2 $188 $1 $235 ATTENTION RETAILERS Games may change based on available inventory and rate of sale. * Games selected to be removed are based on statewide sales performance and available inventory levels. Continue to display your best-selling Scratchers for your location. Game # 1248 $2 Game # 1258 Game # 1270 $2 Game # 1266 Game # 1252 $1 Game # 1265 Game # 1254 $1 Game # 1269 customer-facing side Contact Your Lottery Sales Representative for Instant Fast Cash winner awareness print-outs.

11 COMING SOON AUGUST 2017 SEPTEMBER GAMES IS BACK GET READY! YOUR NEXT SET OF SCRATCHERS IS COMING AUGUST 23 RD! The California Black Premium Scratchers are printed on holographic paper. *Ticket artwork subject to change. 11

12 LOTTERY S AUGUST 2017 CALIFORNIA BLACK PREMIUM SCRATCHERS POS The California Black Premium Scratchers Point of Sale kit will be coming to your store this July! POS display dates are 9/1/17 9/29/17. Vending Machine Topper Wobbler Playcenter Topper Large Window Decal Freezer Decal Small Change Mat Several pieces of this kit are also available in Spanish! *Artwork not final and subject to change. Tell your customers about a special California Black Premium Scratchers 2nd Chance Bonus Draw for their chance to win $40,000 in cash prizes! This will be in addition to the weekly Scratchers 2nd Chance draw. 12

13 LOTTERY S AUGUST 2017 BENEFITS TO PROMOTING HOT SPOT IN YOUR STORE You can increase your Hot Spot sales in just a few easy steps! Hot Spot Facts Hot Spot draws take place every 4 minutes, providing continuous entertainment on the Hot Spot monitor and thousands of winners daily. 3 4% of frequent players play at least once a day, with another 47% playing at least once a week giving you more sales traffic. layers spend an average of $4.36 on each P Hot Spot transaction. weekly investment for a Hot Spot monitor A can have big returns. -- S ales increase up to 500% when a monitor is placed at a retail location! MONITOR: Height 13.19, Width 22.27, Depth 1.85 UC-100 UNIT: Height 1.73, Width 8.94, Depth 6.10 Start growing your sales and profits with Hot Spot! Contact your Lottery Sales Representative today. SCAN TO TO LEARN LEARN SCAN HOW TO TO PLAY! PLAY! HOW

14 QUICK REFERENCE GUIDE AUGUST 2017 SCRATCHERS ORDER SCHEDULE My week (circle yours) orange is A blue is B My LTSS Phone EZLOTTO ( ). When prompted, press 1 to order Scratchers! If you call before 3:00 pm, Monday through Friday, your order will usually be shipped out the same day! JULY S M T W T F S AUGUST S M T W T F S SEPTEMBER S M T W T F S Lottery offices closed (state holiday) new game launch SUCCESSFUL SCRATCHERS SALES CHECKLIST: *See * Placement Guides for which games to replace with new games. *Safely * put aside removed games and return to your Lottery Sales Representative for credit. *Ask * your Lottery Sales Representative for a featured game display. *Ask * how to increase your Instant Fast Cash sales. ** Number of Games *Goal *$ Average Weekly Sales *Goal Next visit DSR TIPS 14 After game start, some prizes, including top prizes may have been claimed. Product Plan is published twelve times a year in California by The California Lottery, 700 North Tenth Street, Sacramento, CA Although every effort is made to ensure the accuracy of the information in the Product Plan, mistakes can occur. In the event of any discrepancies, federal law, state law and Lottery rules and regulations prevail California Lottery 48,630 6/17

15 Tip: Use in Scratchers displays. Tip: Use in Scratchers displays. Tip: Use in Scratchers displays. Tip: Use in Scratchers displays.

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17 LOTTERY RESOURCES AUGUST 2017 TIPS FOR LOTTERY RETAILERS How To Handle Misprinted Wagers Please remember, REPRINTS ARE NOT VALID TICKETS. Reprint Tickets CANNOT be validated and are NOT for sale. If a Player s ticket jams in the printer or is damaged while printing, please issue the Player a new wager. Do not charge the Player additional fees. The damaged ticket can be added to a Retailer Adjustment Form for reimbursement. If the original ticket does not print, then a reprint ticket can be made and used for a Retailer Adjustment only. If you have further questions regarding reprinting procedures, or if you need a Retailer Adjustment Form, please call your District Sales Representative.

18 LOTTERY RESOURCES AUGUST 2017 TIPS FOR LOTTERY RETAILERS Retailer Inspections Lottery Investigators may perform a site check on your Lottery-related operations to help you stay organized and in compliance with Lottery policies. Areas of review may include: Activated Scratchers inventory -- Accurate Scratchers inventory is important! -- Be consistent with Scratchers sold front to back or back to front (e.g or ) in case of stolen Scratchers tickets. Location of Lottery-related products -- Keep roll-stock for Draw Game Tickets stored in a secure area. -- Keep confirmed Scratchers packs stored in a secure area (e.g. away from customer areas: locked in a safe, file cabinet or office). Sign-on slip retention -- Retain terminal sign-on slips for at least 14 days. Preventing resubmission of redeemed Scratchers -- Mark, tear or destroy redeemed Scratchers before discarding. Video surveillance -- If you have video surveillance, ensure it has the correct date and time. Bookkeeping -- It is recommended that you conduct regular bookkeeping activities for Lottery products. Lottery Public Education materials shall be displayed in customer areas. Illegal gaming devices are not allowed on the premises.

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20 Tip: Use in Scratchers displays. Tip: Use in Scratchers displays. Tip: Use in Scratchers displays. Tip: Use in Scratchers displays.