WPT Enterprises Terminates Deal

October 28, 2008

In a notice that was filed Friday with the SEC, WPT Enterprises, Inc. announced that they would be terminating their contracts in regards to poker software that they offered. They said that they were terminating their agreements with CryptoLogic, Inc. and WagerLogic Limited.

The filing stated that the "Company will no longer operate the WPT-branded online gaming website on the Cryptologic network after November 14th, 2008." This breaks the three year contract that they had entered into with the companies previously.

CryptoLogic had signed with them in April of 2007. About a year earlier, the World Poker Tour had decided that they wanted to create software that would be exclusively theirs for a poker room. They licensed a software platform and hired a bunch of people to work on it for them.

Not long after that, WPT stopped working on their software package and signed with CryptoLogic instead. Their poker room has been running since June 28th of last year, and after the initial launch, they added more online casino games to the poker site. The deal with CryptoLogic said that they would give a minimum $750,000 to them each year, and if the revenues were less than what was coming in the WPT would have to make up the difference.

Since it didn’t work out as well as the poker site had hoped it would – one can only assume that they have decided to end the business arrangement and cut their losses.