Litigation

Shuffle Master, Inc. Settles Litigation, Secures Key Internet Rights, and Acquires Intellectual Property Licenses

LAS VEGAS, Nevada, Thursday, December 23, 2010 - Shuffle Master, Inc. (NASDAQ Global Select Market: SHFL) announced today an agreement with Prime Table Games, LLC and related parties (collectively "Prime Table Games") to settle pending litigation between the parties and to acquire important intellectual property licenses related to its table game business for an aggregate payment of $5.5 million. "This agreement will eliminate some outstanding litigation and related future legal expenses as well as expand our table game intellectual property rights," stated David Lopez, interim Chief Executive Officer.

In a separate agreement, Shuffle Master acquired from Prime Table Games licenses to the "Three Card Poker" internet rights in the British Isles for $1.5 million. The acquired internet rights include internet gambling and gambling via cell phones, in addition to certain social media uses such as play-for-fun applications on the internet. "This acquisition will help us build a stronger international and internet presence with our best known and most successful brand, Three Card Poker," Lopez added.