- Directors' Report
- CEO's commentary
- Four questions for the Chairman
- This is Svenska Spel
- The Swedish gaming market
- Svenska Spel's operations and structure
- Strategic orientation and objectives
- Objectives and target fulfilment
- Risks and risk management
- Brand management
- Svenska Spel's games
- Group financial results and position
- Svenska Spel's business areas
- Corporate Governance Report
- Board of Directors
- Executive management
- Report on internal control in conjunction with financial reporting
- Proposed distribution of profits
- Events after balance sheet date
Svenska Spel's operations and structure
Svenska Spel’s operations are based on the mandate from the owner, the Swedish State. During the year, the Company’s mission and values were reformulated. A new organisation was established, with effect from 1 September 2010.
Owner relationship
AB Svenska Spel was founded in 1997 following a merger between AB Tipstjänst (formed in 1934) and Svenska Penninglotteriet AB (formed in 1897), and is 100 % owned by the Swedish State.
Articles of Association
Svenska Spel’s Articles of Association state the business purpose as: "The Company’s business is, under licence from the government, to arrange lotteries for money and bookmaking in conjunction with competitions and pursue other compatible operations."
Current licences
The government issues various forms of licences to Svenska Spel. The current licences are the following:
Lotteries and bookmaking at sporting events
The government licensed AB Svenska Spel to arrange public lotteries and bookmaking for money for the period 1 January 2011 to 31 December 2011.
Video Lottery Terminals (VLTs)
The government licensed AB Svenska Spel to arrange public gaming on VLTs for the period 1 January 2011 to 31 December 2011.
Casino gaming
The government licensed AB Svenska Spel or its wholly owned subsidiaries to arrange public casino games including cash machines and other gaming machines as specified under section 6 of the Lotteries Act (1994:1000) for the period 1 January 2010 to 31 December 2011.
Internet poker
The Government licensed AB Svenska Spel or its wholly owned subsidiaries to arrange and supply poker gaming on the Internet for the period 1 January 2011 to 31 December 2011.
The owner’s financial requirements
Section 4 of AB Svenska Spel’s Articles of Association specifies that no dividend is to be made to shareholders when available profits are distributed. All profit available for distribution is to be allocated as specified by the government.
The government licence for AB Svenska Spel to arrange lotteries states that as much of the Company’s profits as possible be loaned to the National Debt Office of the Swedish State during the financial year. Payments are to be made quarterly, not later than 30 April, 31 July, 31 October and 16 February. Profits available for distribution are to be offset against AB Svenska Spel’s receivables from the Swedish National Debt Office. Remaining profits available for distribution after the offset of receivables, statutory funding, allocations determined by Parliament and government, and other generally accepted dispositions, are to be paid to the Swedish State.
Public Procurement Act at Svenska Spel
On 16 February, the Supreme Administrative Court decided not to grant Svenska Spel leave to appeal in a case involving re-examination of public procurement. The decision meant that the Company is compelled to adjust its operations to the rules governing public procurement. During 2010, Svenska Spel conducted a detailed review of all contracts and procurement processes. The objective was to introduce an overall procurement process throughout the Group.