Amendments to the Regulatory Manual

Philippine Amusement and Gaming Corporation A Sure Bet for Progress in Gaming, Entertainnent and Nation Building

AMENDMENTS TO THE REGULATORY MANUALS

A. CO-LOCATED GAMING SITES INSIDE A MALL,ARCADE OR COMMERCIAL

BUILDING

sites in a mall, arcade and commercial building, as follows: Section 3-(a) of Regulation 3 (Site Location Requirements) of the GSRMs for both Electronic Games and Bingo Games shall be amended to allow co-location of gaming

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1. Malls or Arcades Malls or Arcades

iii. Only one (1) gaming site can be located in one mall or arcade. XXX XXX iii. A gaming site can be co-located with another gaming site in a mall or arcade, as follows: XXX

A maximum of three (3) co-located gaming sites shall be allowed in a mall.

gaming sites shall be allowed in an A maximum of two (2) co-located

arcade. XXX

3. Commercial Buildings 3. Commercial Buildings

v. Only one (1) gaming site can be Iocated in a commercial building. XXX XXX v. A gaming site can be co-located with another gaming site in a commercial building as follows: XXX

commercial building. A maximum of two (2) co-located gaming sites shall be allowed in a XXX

The aforementioned amendments shall be applicable to the following regulatory manuals: 3. Gaming Site Regulatory Manual version 2.0 (Poker Games). 1. Gaming Site Regulatory Manual version 3.0 (Electronic Games): 2. Gaming Site Regulatory Manual version 3.0 (Bingo Games); and

B. EXEMPTION ON SENIOR CITIZENS TO WEAR SHORTS THAT ARE BELOW THE KNEE

Section 1-(d) of Regulation 16 (Gaming Site Operational Rules and Guidelines) of GSRMs for Electronic and Bingo Games* shall be amended as follows:

Page|1 PAGCOR HOUSE:1330 Roxas Boulevard Ermita, Metro Manila, Philippines 1000 - Tel. (632) 521-1542 Connecting All DepartmentsFax (632) 522-2969 Website: www.pagcor.ph

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(d) Dress Code for Men: Slippers, gaming site. Everyone within the shorts, sandos/jerseys and tattered Operator and personnel of the gaming site is expected to dress modestly and appropriately. clothes are not allowed to be worn by customers, employees of the (d) Dress Code for Men: Slippers, shorts, sandos/jerseys and tattered clothes are personnel of the gaming site. Wearing within the gaming site is expected to of shorts below the knee shall be allowed for senior citizens. Everyone dress modestly and appropriately. not allowed to be worn by customers, employees of the Operator and

The aforementioned amendments shall be applicable to the following regulatory manuals: 1 Gaming Site Regulatory Manual version 3.0 (Electronic Games):

2 3 Gaming Site Regulatory Manual version 2.0 (Poker Games). Gaming Site Regulatory Manual version 3.0 (Bingo Games); and

* Please note that Section 1-(d) of Regulation 16 (Gaming Site Operational Rules and Guidelines) of GSRM for Bingo Games is inadvertently labeled as Section 1-(b).

C. PROPOSED MARKETING ACTIVITIES ANDIOR PROMOTIONS TO BE APPROVED

BY GLDD PRIOR TO IMPLEMENTATION

Bingo and Poker Games Section 1-(b) of Regulation 19 (Marketing and Promotions) of GSRMs for Electronic,

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(b) The Operator shall notify GLDD of its marketing activities and/or implementation: promotionsbysubmitting following documents at least one (1) business day prior the to (b) The Operator shall request the approval of GLDD for its proposed marketing submitting the following documents at implementation: least fifteen (15) business days prior to activities and/or promotions by

The aforementioned amendments shall be applicable to the following regulatory manuals:

1. Gaming Site Regulatory Manual version 3.0 (Electronic Games): 2. 3. Gaming Site Regulatory Manual version 3.0 (Bingo Games); and Gaming Site Regulatory Manual version 2.0 (Poker Games)

D. TRANSFER OF ONLINE GAMING AND POKER MONITORING FUNCTIONS FROM

GLDD TO CMED

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Regulation 28 (Gaming Site Compliance Audit Group) of GSRMs for Electronic Games and Poker Games shall be deleted in its entirety and replaced by Regulation 28 (The PAGCOR Monitoring Team) of GSRM for Bingo Games.

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Section 1. Designated Compliance Audit Section 1 Designated PAGCOR

Group for gaming sites Monitoring Team

(a) GLDD PAGCOR representatives, who may conduct ocular inspections Compliance may Audit assign Group, itsown i.e. a representatives, referred to as monitoring CMED shalldesignate team, who i.e. the shall be its own PAGCOR PAGCOR

and spot check the conduct of Monitoring Team (PMT): The PMT electronic games at gaming sites. may be assigned to monitor the operations of gaming sites.

(b) GLDD shall provide notice to the PAGCOR inspection team, prior to concerned Operators of the names and position title of members of the its gaming site inspections. (b) CMED shall provide advance written PMT's composition. the composition (names and position notice to the concerned Operators of title) of, and any changes to the

Section 2. Main functions of the Compliance Audit Group Section 2. Main functions of the PAGCOR Monitoring Team

The Compliance Audit Group may exercise the following functions: The PMT may exercise the following functions:

(a) Verifies and audits the Operator's other regulations that may be issued by PAGCOR from time to time; compliance to the terms and conditions of the License and to the regulations contained herein and to (a) Monitors the Operator's compliance to the terms and conditions of the License and to the regulations PAGCOR from time to time; regulations that may be issued by contained herein and to other

(b) Reports incidents of deviations from c the resolution of player's complaints, among other concerns. the Gaming Site Regulatory Manual; and, gaming site as may be necessary for Conducts investigations at the (b) Ensures the determination of Gross (c) Reports incidents of deviations from the Gaming Site Regulatory Manual. Gaming on the gaming site's Gross Gaming Revenues; and transactions that have a direct effect Revenues,andmonitor

Section 3. Records to be made available to the Compliance Audit Group Section 3. Records to be made available to the PAGCOR Monitoring Team

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(b) An Operator who willfully misstates (a) The Operator shall make available to Section 4. Access to gaming site premises the Compliance Audit Group the operations;i.e. liable for disciplinary action. marketing activity reports, others. refuses to provide any information or produce any report, record or copy thereof required records or Compliance Audit Group shall be without of reasonable electronic ofitbythe incident reports. gaming among excuse (b) The Operator shall retain and maintain or a operations: 2. Financial and accounting records Operator shall make available to the following six (6) years or such longer period as may be required by law. Gaming Site Regulatory Manual, the PMT and at no cost to PAGCOR, the 1. cause such books and records to be retained, maintained or stored for at least compliance conditions of the License and this For Records of gaming operations; and affecting Gross Gaming Revenue. the in with purpose respect the o of terms ensuring gaming and

from time to time. Audit Group access to premises such as the gaming areas, and other such areas as may be required by PAGCOR The Operator shall give the Compliance (c) The PMT shall furnish the Operator with a submitted to the PMT. letter request listing the reports and records, and indicating the frequency of such reports and records that shall be

1. The letter request shall be signed by the head of the supervising the PMT. department

2. Any amendment to the initial letter request and all other requests for the department supervising the PMT. other reports to be submitted to the PMT shall be signed by the head of

(d) An Operator who willfully misstates or disciplinary action. without reasonable excuse refuses to report, record or copy thereof required of it by the PMT, shall be liable for provide any information or produce any

Section 4. Access to gaming site premises

The Operator shall give the PMT access to monitoring room and other such areas as may be required by PAGCOR from time to time. premises such as the gaming areas,CCTV

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E. MIXED-USE COMMERCIAL AND RESIDENTIAL BUILDING AS PROPOSED GAMING SITE

LOCATION

Section 3 of Regulation 3 (Site Location Requirements) of the GSRMs shall be amended to include Subsection (c) and Subsection (d), as follows:

(c and residential building, whether classified as mall, arcade or commercial Gaming site shall be allowed to be located within a mixed-use commercial

building, subject to the following additional conditions: 1. The proposed site must have a separate entrance with the residential

2. The proposed site with the same entrance as the residential section of section of building.

3. The proposed site must be located in the commercial area of the the building shall not be allowed. building.

(d) If the proposed site shall be located in a mixed-use building classified as mall or arcade then the distance restrictions shall be waived, as prescribed in prescribed in Section 2** above shall apply. subsection (c)* of Section 2 above. Otherwise, the distance restrictions

Note: * Subsection (c) of Section 2 states the provision on non-application of distance

Department of Tourism. restrictions to malls or arcades and 3-star hotels and resorts accredited by the

** Section 2 stipulates the site location distance requirements.

The aforementioned amendments shall be applicable to the following regulatory

manuals: 1. Gaming Site Regulatory Manual (GSRM) version 3.0 for Electronic Games 2. Gaming Site Regulatory Manual (GSRM) version 3.0 for Bingo Games

The above amended provisions shall be effective immediately.

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