6/54 ... Short - $10 Million/Schools ... $27 Million/Sales But Stores Got $27 Raise!

6/54 - Six Months - 53 Drawings
Let's Compare

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Posted: Jan. 18, 2001
Revised: Jan. 28, 2001



Since Adding Those 4 Balls ...
Let's Compare the First 53 Drawings
With 53 Like Drawings ...
- Apples to Apples -

(53 Draws) - From July 17, 1999 thru January 15, 2000 (6/50)
(53 Draws) - From July 19, 2000 thru January 17, 2001 (6/54)


53
Drawings
Total
Winners
(6/50)
Total
Winners
(6/54)
$$ Paid
To Winners
(6/50)
$$ Paid
to Winners
(6/54)
Total
Sales
6/50
Total
Sales
6/54
6 of 6
Winners
19 Winners
(17 drawings won)
10 Winners
(8 drawings won)
$98,650,577 $136,816,979
5 of 6
Winners
4919 4004 $7,722,906 $10,165,027

Schools Get
38%
of
sales
($117,147,560)

 

Schools Get
33%
of sales
($120,296,289)

 

4 of 6
Winners
268,456 235,044 $27,809,337 $25,081,795
3 of 6
Winners
5,083,497 4,840,815 $15,250,491 $24,204,075
Totals 5,356,891 5,079,871 $149,433,311 $196,267,876 $308,283,054 $364,534,209

Negative
277,020
Winners!
(5% Fewer
winners but
18% more
play ... Sad ...)

Fewer winners
received 31%
more money but
most went to
the 10 jackpot
winners.
6/50
$308,283,054 Sales
-$149,433,311 Winners
$158,849,743 Net

6/54
$364,534,209 Sales
-$196,267,876 Winners
$168,266,333 Net

Comparison
$168,266,333 (6/54)
-$158,849,743 (6/50)

$9,416,590 Increase

-$2,800,000 Retailers
$6,616,590 Increase

Summary
In 6 months, the 6/54
plan increased the
TLC's earnings by
only $6.6 million.
But, my guess is,
they probably lost
this profit by losing
Cash 5 & Pick3
players as a result
of adding those 4 balls!


- A few notes about what you see here -


1. In a press release issued last May 2000, the TLC wrote,
"The proposed changes are projected to bring $166 million more in
yearly sales and to contribute $26 million more to the Foundation School Fund.
Over the next five years, more than $111 million in additional deposits
are anticipated which will help fund Texas' educational programs."

According to my calculations and based on the sales for the same time
period
, the School Fund only received an additional $3,148,729 - somewhat
short of projections - by $10 million! While Lotto Texas' gross sales increased by
$56 million - sales were short of projections by $27 million and to make matters worse,
the net income from Lotto Texas to the TLC only increased by $6.6 million. Now, retailers
received an extra $2.8 million (5%) - let's see - that means 17,000 stores received an
average raise of $27 per month ($164 for 6 months) from Lotto Texas sales - but -
they probably lost that profit to the decline in Cash5, Pick3 & Texas Million sales
as a result of unhappy players over the 4 new balls. I wonder, was it worth it?

2. The amounts paid to the 6 of 6 winner is based on 32% and 37.532% of sales.
Because they pay the amount required to cover the advertised amount, they
may have paid out more than what's shown here. By all rights, this is the
amount that should have been paid to the 6 of 6 winners.

3. Remember - sales are up because fewer people win the jackpot, forcing
the jackpot amounts to climb. Like scamming little ole ladies.
But, don't us normal people go to jail for this?

4. More money was paid out to the 3 of 6 winners because they
increased the amount from $3 to $5. Be sure and notice there
are fewer winners. That's because its sooo hard to win anything.

5. The poor 4 of 6 winners were really taken to the cleaners.

6. And finally, YES, sales are up by $9,416,590 ....
and the state of Texas really has a lot to be proud of! Huh?

 

 

The Texas Lottery Commission issued a press release on Jan. 17, 2001.
Below are excerpts from their press release with my remarks in blue.

Excerpts from the TLC's Press Release

Texas Lottery players really had something to celebrate at the end of the millennium. Lottery players won more than $1.5 billion ($1,594,886,870) in prizes from the lottery’s on-line games and instant tickets in the year 2000! (You tell us how much players won, but how much did we spend? And does your figure include the unclaimed prizes too?)

“Last year was very exciting for the Lottery,” said Texas Lottery Executive Director, Linda Cloud. “By listening to the requests of our players, we developed changes to Lotto Texas that benefited everyone – especially our players, with bigger jackpots!” (Yes, we can certainly see how it was exciting for the "Lottery." But from the peoples point of view, there were 277,020 fewer winners in those first 53 drawings (6/54) than there were during the same time period last year. So I can't see how you can honestly say it was more exciting or beneficial for the players. And, as for listening to your players requests, you NEVER listened to the players. If you had, we would be playing Lotto Texas with 50 balls.)

Since four balls were added to Lotto Texas in July 2000, sales increased 34-percent in the six-month period following the change compared to the six-month period before the change. (Of course sales increased - although in the time frame you mention - I only get a 31% increase. Anyway, in 53 (6/54) drawings, there were only 8 jackpots won (10 winners) compared to 17 jackpot wins (19 winners) in 53 (6/50) drawings in the same time period last year. So, the jackpots had to grow. That enticed people to spend more money chasing that impossible dream you created. You should be ashamed of what you're doing to the people of Texas.)

“While last year was great for everyone, I think the new millennium will bring more enthusiasm and fun for the Texas Lottery, our retailers and our players,” Cloud said. “With a $40 million Lotto Texas jackpot earlier this month, we started 2001 off with a bang, and players can look for an exciting new game coming their way this spring!” (Counting those dollars are you? Let's see - For Lotto Texas, there's absolutely fewer winners = absolutely larger jackpots = absolutely more enticed spending with absolutely fewer chances of players winning. Yes, I can certainly see how you'll get a "bang" out of all this.)

- Attention Players -

I'm sure you have thoughts and comments after what you have just read. If you want to send your comments to the TLC, I am making a link that will send a copy to me too. Naturally, I'm curious to see what you have to say to them! If you don't want me to receive a copy, just delete the lottoreport address or use the link at the bottom of the page. Click here to tell us both what you think.

One more thing, if you would like to see sales figures for each and every drawing since inception of Lotto Texas, click here.

 

Some very interesting pages for you to read.
I wonder, do all Lotteries respond like Texas does?

(Please, share your comments.)

The Scratch Off Tickets - See the breakdown of the
"real" odds of winning in Texas. Click here.

A New York Post Headline ...
"The Odds Of Texas Are Upon You."
A fantastic story. Players - we're
making progress! Click here.

Players & Retailers Demands - A list of
objections. The players and retailers want
these specific things corrected
. Just click here.

The Commissioners Meeting - They approved the
6/54 rule! Even after receiving forensic reports from
The Lotto Report
and after hearing GTech and TFIA
"re-clarify" previous statements, Commissioners still voted to
add those 4 balls so the state could make more money.
Click here.

Communication Division suspends faxes to The Lotto Report -
Players said NO but they started 6/54 anyway - then the
TLC suspended all faxes to The Lotto Report.
The explanation - they say I am an "activist" and not a news
organization! But, by the rules they set forth, The Lotto Report
qualified yet they still refuse to give me the same information
they give to all other medias. Hear Keith Elkins explanation
yourself and read the letters. Just click here.

A Special EMail - Is the claim of
3000 "groups and organizations" in violation
of The Deceptive Trade Practice? Click here.

This is just a few of the many stories you'll
find on The Lotto Report web site.
Click on
the Table of Contents link
below to see a listing of all pages.



Comments - E-mail Us - Click here
Comments for the TLC, Newspapers, Politicians? Click here.

The Lotto Report
P. O. Box 495033
Garland, Texas 75049-5022
(972) 686-0660
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