GVC HOLDINGS PLC
NOTES TO THE FINANCIAL STATEMENTS
3. CONTRACT WITH EAST PIONEER CORPORATION B.V.
As part of the agreement between the Group and EPC the Group agreed to guarantee the performance of EPC's
obligations to SBT and therefore entered into the acquisition agreement alongside EPC as its guarantor. A contingent
liability has been disclosed in respect of this guarantee as detailed in note 23.
4. OPERATING COSTS
Notes €000's €000's
Wages and salaries, including Directors remuneration 8,700 4,717
Amounts paid to long term contractors 868 588
Compulsory social security contributions 718 401
Compulsory pension contributions 195 139
Health and other benefits 45 22
Recruitment and training 285 161
Personnel expenditure (excluding share option charges) 10,811 6,028
Professional fees 1,177 932
Technology costs 1,463 617
Office, travel and other costs 1,909 1,329
Third party service costs* 3,925 3,088
Foreign exchange differences 346 174
Other operating costs 19,631 12,168
Share option charges 79 440
Exceptional items 4.1 (208) 3,919
Depreciation 248 197
Amortisation 2,299 1,827
*provided to Betboo by external providers
4.1 Exceptional Items
The Group incurred expenditure on exceptional items (as defined in accounting policy note 1.14). These are items
which are both exceptional in size and nature.
Notes €000's €000's
Transaction with East Pioneer Corporation B.V.
- legal and professional costs a - 2,275
- bonuses paid to Directors and staff a - 1,310
Boss dispute b (208) 334
Note a: On 21 November 2011 the Group entered into a service agreement and guarantee relating to the acquisition
by East Pioneer Corporation B.V. from Sportingbet plc of Superbahis. The pre contract costs of entering into this
agreement along with the Directors transaction success bonuses have been taken as an exceptional item.
Note b: The Group has been in a number of legal disputes with Boss Media and these have now ended. The net
costs incurred by the Group relating to these disputes has been taken as an exceptional item.