Some States Consider Leasing Their Lotteries
Source: NELSON D. SCHWARTZ and RON NIXON, New York Times, Sunday, October 14, 2007
.... Like shoppers at convenience stores who can't resist placing bets when lotto jackpots get big enough, government officials in at least a dozen states are considering lottery privatizations -- what would collectively amount to the biggest privatization of a government enterprise in American history.
Wall Street, positioned to play an important role in orchestrating these deals, is looking at some very big prizes itself. If privatization plans now being considered in four large states -- California, Illinois, Texas and Florida -- were to go through, Wall Street could conservatively reap a minimum of $250 million in fees alone.