Wednesday, October 7, 2009 – After Market Close

Green Baron New “Stock Pick”

(BB: GLXZ - $.45 per share)

www.GalaxyGaming.com  

Common Shares Outstanding / 30,059,000

Estimated Float / 5 million shares

Current Market Cap / $13.5 million

 52-Week High / $.50 per share

52-Week Low / $.40 per share

Second Largest Company in Proprietary Casino Table Games Goes Public after Successful 12 year Operating History

 Green Baron Believes that Strong Growth, Recurring Revenue Stream, and Experienced Management Make this a Sure Bet

Side Bets and Premium Games from Galaxy Gaming such as Lucky Ladies, Bonus Blackjack, Suited Royals, Texas Shootout, and Emperor’s Challenge Placed in Over 260 Casinos Throughout North America and Cruise Ships Worldwide – New Bonus Jackpot System (BJS) Generates Backlog of Orders

100% of Employees Purchased Company Stock during Last Private Placement (at same price of .40 as outside investors)

Based on our experience, the best stocks to buy are those that have a successful recurring revenue model and can show strong growth.  We are all familiar with “razor blade technology” – you give away the razor and make your money on selling blades.  Same with a computer printer – sell it at or under cost and make it up on the ink.

Today, we introduce our members to a Company that has carefully and methodically built its own recurring revenue model over the past twelve years, and we believe its growth is about to accelerate substantially due to several recent and ongoing fundamental developments.  This Company is already positioned for success, and now investors have what we consider a rare opportunity to purchase its shares near the same price as private placement investors and employees recently did.  We see this as a pure win-win situation.

The Green Baron Report is proud to announce that Galaxy Gaming, Inc. (BB: GLXZ) is officially our 80^th fully profiled focus “Stock Pick” and will be added to our storied list of previously profiled stocks on our home page.  Results compiled from the most recent trade possible prior to dissemination of this report to the subsequent high will be monitored at www.thegreenbaron.com.   Although we have very aggressive short and long term expectations for this stock, we still suggest our members try to accumulate as close to the profile price as possible.

TRADING NOTES:  GLXZ is a fully reporting Bulletin Board stock that recently began to trade publicly.  The stock has not been run up to a lofty price like some that go public through a reverse merger.  Previous volume and trading history has been very limited, but we anticipate activity will grow substantially over the near term as investors acknowledge this compelling story.  We believe the stock should maintain strong support at .40 per share, but a limited float and fantastic fundamental news could take the shares to several dollars over the near-term.  We have seen dozens of stocks with a similar share structure trade sharply higher early in its trading history, particularly when a milestone event is announced.

Galaxy Gaming develops, manufactures and distributes proprietary casino table games and innovative and enhanced electronic table game wagering platforms.  Casinos use proprietary table games and bonus jackpot products in lieu of those available in the public domain (e.g. blackjack, craps, roulette, etc.) because of their popularity with players and because the casinos generate significantly more profit.

If you have played table games in Las Vegas or other states where casino gaming is legal, then you have probably played a game or side bet developed by Galaxy Gaming.  Its side bet and premium table games are found at casinos such as MGM Mirage, Bally’s, Harrah’s, Flamingo Las Vegas, Caesars Palace, Station Casinos, The Tropicana, Binion’s, and Boyd Gaming just to name a few.  Cruise lines such as Royal Caribbean and Norwegian Cruise Line are also customers. 

Galaxy’s proprietary table games are currently authorized in The United States in 17 states and are pending in 5 more.  In Canada, proprietary table games are authorized in British Columbia, Alberta, Manitoba, Ontario and Nova Scotia.  Galaxy’s games can be found in over 260 casinos throughout North America. 

Galaxy now commands 18% of the market, and is second only to Shuffle Master (NASDAQ GS: SHFL).  The Company aims to continue building market share and revenue per table.  Revenues are gradually increasing quarter over quarter despite the economy.  It is anticipated that growth will even increase over the next six months.

The Green Baron Report believes Galaxy Gaming is significantly undervalued based on its growth and potential to outpace expectations due to several fundamental developments.  Galaxy projects that it will report revenues of $750,000 for the third quarter giving it a $3,000,000 revenue run rate for the year.  This quarterly number is a 40% increase over the prior year, very impressive considering what happened to the economy over that same time frame. 

The rate of growth in revenues going forward is expected to increase to over 50% due to acceptance and placement of its highly profitable Bonus Jackpot Systems (BJS).  Only about 100 Bonus Jackpot Systems have been actively placed at this time, and this number is expected to grow substantially each quarter as the Company rolls it out.  Galaxy Gaming is using state-of-the-art technology for its new BJS, and these systems are viewed very positively by regulators.  Management at Galaxy believes its primary competitor will continue using old, outdated technology.

Galaxy expects to further build its own recurring revenue base, expand it distribution network by obtaining corporate regulatory approvals in additional jurisdictions, increase its per unit price point, and guard profits and cash flow despite its rapid expansion plans.  It is likely that Galaxy will achieve its goals due in large part to the talented, experienced management and employees it has been able to attract, particularly from its primary competitor Shuffle Master.

Great Management!

Galaxy Gaming has assembled perhaps the best management team possible. President and CEO Robert Saucier founded numerous start-up ventures including International Pacific, an INC 500 Company.  Bill O’Hara, COO, started Shuffle Master Gaming and built it from the ground up.  Subsequently, he played major roles at Casinovations and PDS Gaming. 

Bob Pietrosanto, Sales Manager, was a former Shuffle Master and Casinovations executive well known throughout the industry with both domestic and international sales management experience.  Dan Scott is the Company’s Chief Financial Advisor and is the former CFO of for Caesar’s Palace and MGM.  Mr. Dean Barnett, Regional Sales Manager, has former experience as National Sales Manager for Shuffle Master. 

Dan Evans, Technology Development Manager, with experience from Sun Microsystems and Zynx Networks has created state-of-the art technology demonstrated through Galaxy’s innovative new Bonus Jackpot Systems (BJS).  Dan is leading an engineering team that is responsible for its speed to market with this product that is expected to generate major revenue growth for the foreseeable future.

Below, we have included a portion of the Letter to Shareholders that was released on Monday, August 24 from CEO Robert Saucier.  It is important to recognize the importance of the Company’s growth expectations due to its Bonus Jackpot System (BJS), the expected more aggressive rollout due to the successful ruling on its petition to the Washington State Gambling Commission, and its plans to sell and install the BJS system beyond the current test market of Washington.

To our shareholders and friends of Galaxy Gaming:

These are exciting times for Galaxy Gaming! A number of significant events have occurred here since my last correspondence in February and I would like to take this opportunity to share them with you. In addition, I have received a number of great questions from many of you which I would like to address today. This marks our second such communication in this forum and is part of our continuing commitment to keep our investors informed. For those of you who are joining us for the first time, welcome aboard!

Q-3 Guidance

Since we are now more than halfway through our third quarter, we feel comfortable in predicting record recurring revenues for the quarter ending September 30, 2009. Specifically, we believe our revenues will top over $750,000 for the first time in our history which now puts us on a $3,000,000 annual run rate. That represents an over 40% increase relative to last year’s comparable third quarter.

The projected increase in revenue is expected because of continuing strong demand for our products led by the introduction of our Bonus Jackpot System (“BJS”) which debuted in March. Our BJS system has performed beyond our initial estimates and has quickly earned a solid reputation among casinos for boosting their profits. This has generated a significant backlog of orders. Initially, the BJS system was used solely in conjunction with our Emperor’s Challenge game. However, just this month we released and have installed the BJS system for Lucky Ladies. Preliminary reports show this to be an absolute winner as well. As of this writing, we now have 94 BJS units currently installed and additional BJS units scheduled for installation in the coming weeks. Therefore, we are ahead of schedule of our internal goal of 100 BJS units operational by the close of our third quarter. A little later I will provide more exciting news regarding our BJS system.

Q-4 Outlook

Although it is generally not our policy to provide guidance beyond the present quarter, the enthusiasm surrounding the release of our BJS permits us to announce that the fourth quarter of 2009 also looks like another record breaker. On Monday, August 17th we announced that the Washington State Gambling Commission unanimously approved our petition for a rule change. Although going in we felt good about our chances of getting the rule change request approved, we were extremely delighted that the Commission additionally approved our request to have the rule change effective in mid-September instead of having to wait until January 1st, which would have been the norm. Here’s why we believe this is significant… Although our BJS system has performed extremely well and the orders by casinos have been strong, there were a significant number of casino operators who were hesitant to place their orders because of their concern regarding the Commission’s restriction on the number of wagers associated with the Emperor’s Challenge BJS product. Now that this restriction will no longer apply, we have been actively scheduling additional casinos for installation after September 17th, (the effective date of the rule change.) As a result, revenues from these additional BJS installations are expected to impact this year’s fourth quarter which was not previously forecasted.

Galaxy Gaming vs. Shuffle Master Gaming Comparisons

It is unavoidable, but since Shuffle Master Gaming is the 800 lb. gorilla in the casino table game industry and our biggest competitor, we are frequently compared to them. Many of you have asked how we match up competitively against them, so in response, I ask you to consider the following:

·         As reported in Shuffle Master’s latest 10-Q (for the three months ending April 30), they reported that their revenues decreased 9.5% in their table game segment compared to the comparable quarter in 2008. Further, at the end of their current quarter, they had 215 fewer tables in service, a 5.3% decrease, giving them a total of 3,867 tables. In contrast, Galaxy Gaming’s second quarter ending June 30 we showed a 34.3% increase in revenue over 2008’s second quarter and an additional 313 tables were in service, a 24.1% increase giving us a total of 1,613 tables, which makes us the second largest table game company in the world.

·         Also in their latest 10-Q, Shuffle Master reported that they had increased the number of table game bonusing add-ons world-wide by 168 tables in the last year, a 35.1% increase. These bonusing add-ons compete head-to-head with our BJS systems. Although initially this seems impressive, consider this… As previously reported, we currently have 94 BJS tables installed, we expect a total of 100 by the end of this quarter and perhaps 200 by year end. Considering we just launched the BJS product line in March and had a very slow ramp-up during the first few months, reaching 200 BJS tables in only 9 months compared to Shuffle Master’s 168 in 12 months is quite an accomplishment. In fact, I believe it is even more significant given the following:

Galaxy’s BJS is now available on only two of our game titles. In contrast, Shuffle Master has their bonusing platform available for at least 11 of their game titles.

During our initial roll-out, we limited our installation to one jurisdiction only (Washington State). Shuffle Master sells their bonusing add-on worldwide.

Galaxy Gaming has one-third the size of sales force as does Shuffle Master.

Warmest regards,

Robert B. Saucier

Founder, President & CEO

About Galaxy Gaming, Inc.

Galaxy Gaming, (www.galaxygaming.com), is a leading developer, manufacturer and distributor of casino table games including Lucky Ladies, Texas Shootout and Emperor's Challenge and has developed innovative and enhanced electronic table game wagering platforms such as its Bonus Jackpot System. Headquartered in Las Vegas, Galaxy Gaming distributes its products throughout North America and on cruise ships worldwide and has become the world's second largest provider of such products.

Proprietary Table Games

Up until approximately twenty years ago, casino-operated table games consisted mainly of public domain games such as Blackjack, Craps, and Roulette. That began to change, however, in 1988 when a game called Caribbean Stud was invented and first played in an Aruban casino. The game, a variation of stud poker, was designed to be house-banked in a casino and played directly against a dealer, rather than the player vs. player style of traditional poker games. Caribbean Stud features an optional side wager whereby, for one dollar, players have the chance to win a progressive jackpot, which can reach as high as several hundred thousand dollars.

The inventors applied for and obtained various U.S, and international patents. They then leased their game and its associated intellectual property to other casinos. The game quickly proved its popularity in U.S. and foreign markets. The popularity and financial success of Caribbean Stud led to the birth of the proprietary table game industry.

Numerous other proprietary table games and side bets have been invented by other individuals during the last twenty years as the industry has grown. The low overhead costs and steady revenue stream associated with maintaining successful proprietary table games have spurred the industry.

Gaming in general continues to expand both domestically and internationally. In certain jurisdictions (most notably Asia), the table game segment continues to increase in proportion to other forms of gaming. In other markets, such as North America, the ratio between table games and other segments of gaming appears to have stabilized. However, universally the ratio between proprietary table games and those table games found in the public domain has been steadily increasing in favor of proprietary games.

Although affected by current economic conditions, growth in the gaming sector is forecasted to continue for at least the next several decades. Recently, numerous jurisdictions both domestically and internationally have reported that they intend to allow gaming or expanded forms of gaming. Most visibly, numerous casino mega-resort projects have been announced or are under construction along the Las Vegas Strip, the Cotai Strip (Macau), the Ho Tram Strip (Vietnam), and in Singapore.

History and Development of Galaxy

In 1997, Galaxy’s founder and president, Robert Saucier, was an investor in a small casino in Washington State. The casino had ten table games, primarily blackjack. During his tenure there, Mr. Saucier invented a side bet for blackjack known as “Horseshoe Blackjack.” The side bet became very popular and the casino’s win from the games increased significantly. On October 7, 1997, a predecessor company, Galaxy Gaming Corporation, was formed and Mr. Saucier exchanged all of his rights, title and interest in his invention for stock in the corporation. Other Washington casinos recognized the popularity and profitability of this side bet and requested licenses to play Horseshoe Blackjack side bets at their casinos. The side bet was modified and its name was later changed to “Lucky Ladies™.”

Lucky Ladies remained Galaxy’s only product until late 2002, when it debuted a new casino poker game called “Texas Shootout®”. This game quickly became popular with casinos and their customers. At this time, Galaxy also increased its sales force and expanded distribution into new jurisdictions. Since then, Galaxy has grown methodically and intentionally by reinvesting earnings and introducing new products at a regular pace.

Galaxy has grown to become the second largest provider of casino table games (1,500+ tables) in the world behind industry giant Shuffle Master Gaming (4,000± tables). A significant portion of Shuffle Master’s growth has been through acquisitions of competitive companies and products. Galaxy has previously been unable to compete for these acquisitions due to a limited capital structure. Accordingly, most of its growth has been through direct sales leading to placements of its installed base of games.

In early 2008, Galaxy released Emperor’s Challenge® – which is generating additional revenues for the Company. In the fourth quarter of 2008, Galaxy introduced Lucky 8 Baccarat™ – which is also generating additional revenues.

Galaxy Gaming’s Products

Currently, Galaxy Gaming has an installed base of products on over 1,600 gaming tables. Its games are briefly described below. Additional information regarding its games may be found on Galaxy’s web site, www.galaxygaming.com.

Side Bets

Galaxy’s current line-up of table game products includes four side bets to the game of blackjack and one to the game of baccarat, as described below:

Lucky Ladies is an optional bonus side bet for blackjack that considers the first two cards the player receives. If the cards are equal to a point value of twenty, the player wins. The amount the player wins varies upon the construction of the hands (e.g. both cards of same suit, two Queen of Hearts, etc.) and ranges from 4 to 1 of their wager up to 1,000 to 1. Lucky Ladies was our first product and has grown to become the number one side bet in the world in terms of the number of tables in play.

Bonus Blackjack is an optional bonus side bet for blackjack that considers the first two cards the player receives and/or the first two cards the dealer receives. If the cards in either the player’s hand or the dealer’s hand are equal to a point value of twenty-one (a.k.a. “Blackjack”), the player wins, provided that they placed a wager on the corresponding triggering event. The game also has a progressive jackpot. If a player places a wager on both the dealer and player indicia and they receive an Ace and Jack of Spades, the player wins the progressive jackpot.

Suited Royals is an optional bonus side bet for blackjack that considers the first two cards the player receives. If the cards are of the same suit, the player wins and is paid odds according to a posted pay schedule. Higher odds are paid if the cards contain certain combinations such as two suited face cards, a King and Queen in suit, or a King and Queen of Diamonds – the highest triggering event, which results in the player being awarded odds of 100 to 1 of their wager.

Super Pairs is an optional bonus side bet for blackjack that considers the first two cards the player receives. If the first two cards are a pair, the player wins and is paid odds. Higher odds (up to 50 to 1) are paid if the cards are of a certain suit such as diamonds.

Lucky 8 Baccarat is an optional bonus side bet for the game of baccarat that considers the point total of either the player’s hand, the banker’s hand, or both. Players are afforded the opportunity to wager on whether or not the selected hand contains the point value of eight. Typically, players may win either odds from three to one up to 1,000 to one, or a bonus jackpot, depending upon the nature of the configuration of the corresponding hand and, at times, the opposing hand.

Premium Games

Galaxy Gaming also offers several stand-alone proprietary games. Typically these games generate more revenue per unit than the side bet games listed above. These games include:

Texas Shootout is a unique version of the popular game of Texas Hold’em. Whereas traditional poker is played against other players, in Texas Shootout each player competes against the casino dealer. The game is played with six decks of cards and the players receive four cards each. Players then select which two cards to play and discard the remaining two. Alternatively, players may split their four cards into two – two card hands and increase their wager. The dealer selects two of his four cards, then deals five community cards face-up on the table. The players and dealer each combine their two cards with the five community cards to form the best five card poker hand possible. The player wins if his hand has a greater value than the dealer’s hand. There is also a popular bonus side bet that pays each player at odds in the event their hand matches one of the qualifying events listed on the posted pay schedule. Players may be awarded up to 5,000 to 1 on this bonus side bet.

Emperor’s Challenge is a variation of the game Pai Gow Poker. Although Pai Gow Poker is an extremely popular casino game among players, casinos earn less money with the game because approximately 42% of all hands result in a push or tie. Emperor’s Challenge Pai Gow Poker offers multiple side bets and an opportunity for the player to engage in a tie-breaking system which increases the casino’s potential earnings. Players may be awarded up to 8,000 to 1 on one of the bonus side bets known as the “Emperor’s Treasure” bet. The other side bet is known as “Pai Gow Insurance” and provides the player an opportunity to protect against the outcome when receiving a poor hand.

Three Card Split - Players place up to four wagers and receive three cards each. Players then “split” their three card hand into a one card sub-hand and a two card sub-hand. The dealer also receives three cards and likewise, splits his hand into two sub-hands. As a result, the dealer and the players each have three sub-hands consisting of one, two and three cards each. If any of the players’ sub-hands are greater than the dealer’s, the player wins that corresponding wager. In addition, the game contains an optional bonus side bet whereby the player’s three cards are combined with a single community card to form a four card hand. The player’s four card hand is compared to a posted pay schedule and the player is paid at odds in the event he has a qualifying hand.

Table Game Electronic Enhancements

Bonus Jackpot System - Players place an optional wager to win significant jackpots in the event they have a qualifying hand. The Bonus Jackpot System (“BJS”) combines the automatic wager detection of our proprietary Bet Tabulator System and displays various jackpot awards using Galaxy Gaming’s proprietary TableVision System. The BJS was first installed in a casino in March 2009.

Recent Key Press Releases

Wednesday, September 23, 2009 – Galaxy Gaming Celebrates 100 Bonus Jackpot System Installations - LAS VEGAS, NV - (GLOBE NEWSWIRE) - Galaxy Gaming, Inc. (OTCBB: GLXZ), announced today it has installed over 100 of its electronically enhanced casino table game platforms known as the Bonus Jackpot System ("BJS"). The Company installed its first BJS system on March 13, 2009 at the Red Dragon Casino in Mountlake Terrace, Washington (north of Seattle) and after its initial ramp-up period, set a goal of 100 BJS system units installed by the third quarter ending September 30, 2009. The BJS platform contributes to the player's gaming experience by offering substantial bonus jackpot awards during the course of table game play.

"We believed from the beginning that our BJS platform would have a meaningful impact on the casino table games -- and it has," commented Robert B. Saucier, President/CEO of Galaxy Gaming. "It has been enthusiastically received by players and as a result, is becoming increasingly desired by casino operators."

Michel's Development owns and operates six casinos, all which recently installed Galaxy's BJS system. Bruce Meyer, Chief Operating Officer for Michel's stated, "We initially installed Galaxy Gaming's Bonus Jackpot System on their Emperor's Challenge games in all of our casinos. The positive response from players was immediate and we consequently saw revenue increases. We subsequently added their BJS system to their Lucky Ladies Blackjack games and are anxiously waiting for it to become available on Galaxy's other proprietary table games," Mr. Meyer added.

Mr. Saucier responded, "We sincerely want to thank Michel's development and all of our other clients who have chosen to use this technology. Clearly, the BJS platform is the major story for our company's success in 2009 and is expected to further enhance our rapidly expanding recurring revenue base in the years to come. Having surpassed our initial 100 unit goal, we are now committed to expanding the BJS platform to other casino tables including the more than 1,700 table games we currently have under contract."

Wednesday, September 2, 2009 – Galaxy Gaming Announces New Ticker Symbol - Galaxy Gaming, Inc., formerly known as Secured Diversified Investment, Ltd. (OTCBB: GLXZ), announced today that its shares now trade on the Over-the-Counter Bulletin Board (OTC-BB) quotation service under the new trading symbol "GLXZ.OB." The Company previously traded on the OTC-BB service under the ticker symbol "SECD.OB" and was issued its new symbol by the Financial Industry Regulatory Authority ("FINRA") as a result of a recent merger of the two companies.

"This event represents the final step in the transformation of Galaxy Gaming from a private company into a public one," stated Robert B. Saucier, Chief Executive Officer of Galaxy Gaming, Inc. "For over a decade we have been known throughout the industry as Galaxy Gaming. The Secured Diversified moniker, which was a result of our reverse merger in February, was confusing to many who followed us. We are excited to be now united as 'Galaxy Gaming' and to have been issued our new symbol by FINRA. Although our shareholders have been thrilled with our company's performance, they never could quite understand why we still had the SECD symbol. They welcome the new GLXZ symbol."

Monday, August 24, 2009 – Galaxy Gaming’s CEO Updates Progress - Secured Diversified Investment, Ltd., dba Galaxy Gaming (OTCBB: SECD now GLXZ), released today "An Open Letter to Shareholders" from the Company's Chief Executive Officer, Robert B. Saucier. The letter outlines Galaxy Gaming's year-to-date results and provides insight into anticipated future accomplishments.

The entire copy of the Open Letter to Shareholders is available at http://media.primezone.com/cache/11636/file/7261.pdf

Among the highlights included in the letter:

·         The Company's first quarter's revenues increased 30% compared to 2008's second quarter making it a record breaking quarter.

·         The Company's second quarter's revenues increased 34% compared to 2008's second quarter making it another record breaking quarter.

·         The Company projected that its third quarter's revenues would top $750,000, representing a 40% increase compared to 2008's third quarter resulting in another record breaking quarter.

·         The Bonus Jackpot System ("BJS"), which launched in March, has exceeded expectations and currently has 94 BJS units installed, well on the path to completing the Company's internal goal of 100 BJS units by the end of Q-3.

·         The Company announced expansion of its research and development effort by the hiring of additional engineers.

·         The Company expanded its sales force with the hiring of Deborah LaGrey-Steeno and Dean Barnett.  Galaxy Gaming provided examples whereby its performance has exceeded that of its primary competitor, Shuffle Master Gaming.

"As a public company, we have made a solid commitment to communicate to our investors and keep them informed as to our progress," commented Mr. Saucier. "Our periodic 'Open Letter to Shareholders' is just one of those methods. We are in the process of creating a new galaxygaming.com website which will include an extensive and informative 'For Investors' section designed to assist in evaluating investment opportunities with our company," added Mr. Saucier.

Monday, August 17, 2009 – Galaxy Gaming’s Petition Approved in Washington - Galaxy Gaming, Inc. announced today that on Friday, August 14th, the Washington State Gambling Commission unanimously approved its petition to amend rule WAC 230-15-040 (Requirements for authorized card games). The amended rule allows approximately 78 non-tribal casinos operating in Washington to fully implement all of the features of Galaxy Gaming's Emperor's Challenge Pai Gow Poker casino table game. In March of this year, Emperor's Challenge became the first table game available with Galaxy's Bonus Jackpot System ("BJS"), whereby players may place an optional fourth wager in order to obtain a substantial jackpot prize. However, the previous rule restricted players to place no more than three of the four available wages.

Also at its meeting, the Gambling Commission released a report showing the ranking of casino table games in the state. The report listed Emperor's Challenge as the number one proprietary casino poker game, a position formerly held by Shuffle Master's Fortune Pai Gow Poker, which dropped to second place.

"This rule change is huge for us," commented Robert Pietrosanto, Galaxy Gaming's Sales Manager. "Although Emperor's Challenge became number one, a large number of casino operators told us they were waiting for this rule change before placing their order for the BJS version. Since Friday's ruling, orders are pouring in. I anticipate at least another 50 units over and above our current backlog," declared Mr. Pietrosanto.

The Commission also granted Galaxy's request the rule be effective in 31 days instead of the typical implementation of January 1. "We are extremely grateful to the Commission for approving our petition for this important rule change and particularly for advancing the effective date," stated Robert Saucier, Galaxy Gaming's Chief Executive Officer. "Having the rule effective mid-September should positively impact our fourth quarter," he added.

Thursday, August 13, 2009 – Galaxy Gaming Expands Sales Force - Secured Diversified Investment, Ltd., doing business as Galaxy Gaming, announced that it recently added two seasoned gaming industry professionals to its sales department. Ms. Deborah LaGrey-Steeno and Mr. Dean Barnett accepted the positions of Sales Administrator and Regional Sales Manager, respectively.

Ms. LaGrey-Steeno formerly worked at WMS Gaming and has extensive experience in gaming support operations. Mr. Barnett was previously VP-Sales for Vending Data, formerly known as Casinovations. Prior to that, Mr. Barnett was the National Sales Manager for Shuffle Master Gaming. Mr. Barnett's gaming career spans nearly 25 years including 10 years in casino operations. Earlier in his career, he played in the NFL as Tight End for the Denver Broncos.

"Great companies are run by great people and accordingly we are honored to have added two top contributors such as Deborah and Dean to our exceptional sales team," declared Robert B. Saucier, Galaxy Gaming's Chief Executive Officer.

Mr. Barnett joins Robert Pietrosanto, Nina Reiger and Bill O'Hara as former Shuffle Master Gaming employees who have joined Galaxy Gaming. Commenting on Galaxy Gaming's connection to former Shuffle Master staff, Mr. Saucier said, "Although we do not specifically recruit people who have worked for our competitors, I am pleased to be surrounded by a group of energetic professionals who were largely responsible for Shuffle Master's early success. However, despite their previous accomplishments, they are now completely focused on a much higher target for Galaxy Gaming. I recognize that my most important task now is to get the heck out of their way and let them get on with it," joked Mr. Saucier.

Monday, August 10, 2009 – Galaxy Gaming’s Shares Available to the Public – Secured Diversified Investment, Ltd. doing business as Galaxy Gaming announced today that its shares began trading on the Over-the-Counter Bulletin Board (OTC-BB) quotation service under the trading symbol "SECD.OB."

"This event marks another significant milestone in the progress and growth of Galaxy Gaming and provides our investors not only with additional liquidity, but offers them an opportunity to see their investment grow concurrent with our Company," stated Robert B. Saucier, Chief Executive Officer. "For many years, interested parties who have watched us expand have expressed their desire to participate in our success through stock ownership. Now, that opportunity exists. It is also noteworthy that 100% of our employees purchased stock at the same price offered to non-employees," added Mr. Saucier.

The Company previously traded on the OTC-BB service under the ticker symbol "SDFD.OB" during its previous engagement involving its former real estate investment operations. In February of this year, Galaxy Gaming, then a privately owned company, completed a reverse merger with Secured Diversified, and through this process, Galaxy Gaming became a public company.

Mr. Saucier further stated, "Despite the current economic conditions, the timing of this event is actually extraordinary. We have been showing consistent recurring revenue growth since before the recession and recently reported this year's first and second quarter revenues jumped 30% and 34%, respectively, compared to last year's corresponding quarters. With the recent release of our casino table game bonusing platform known as the Bonus Jackpot System and the subsequent backlog of orders we have received, we expect the same growth pattern, or perhaps even greater for the remainder of 2009."

Green Baron Conclusion

Companies that build a successful recurring revenue model command a much higher price per share multiple to those revenues.  It is also quite common that companies like this become takeover targets once they reach a certain level of predictable success.  Based on anticipated sales growth and developments over the next six months, Galaxy Gaming could very well be that target.

The highly experienced management at Galaxy is a formula for success.  Galaxy’s COO, William O’Hara was the founder of Shuffle Master Gaming, its biggest competitor.  CEO Robert Saucier has proven how to carefully manage cash flow and growth based on his 12 years running Galaxy Gaming to date and previous successful ventures.  Bob Pietrosanto, Sales Manager, formerly an executive with Shuffle Master and Casinovations, is well known throughout the industry.  Mr. Dean Barnett, Regional Sales Manager, has former experience as National Sales Manager for Shuffle Master.  Dan Evans, Technology Development Manager, with experience from Sun Microsystems and Zynx Networks has created state-of-the art technology demonstrated through Galaxy’s innovative new Bonus Jackpot Systems (BJS).  Dan Scott is the Company’s Chief Financial Advisor and is the former CFO of for Caesar’s Palace and MGM.

Galaxy intends to increase its per table revenue base by adding its Bonus Jackpot Systems to its large, existing number of tables (now about 1700), and introduction of new, proprietary table games.  The Green Baron Report firmly believes that Galaxy has developed superior technology, and growth of its Bonus Jackpot Systems will confirm this over coming quarters.  We acknowledge that Shuffle Master achieves higher revenue per table, but Galaxy Gaming is now positioned to close that gap.

GLXZ is a newly traded stock, but it is one we strongly suggest members accumulate as close to our profile price as possible for the long term.  It is very possible GLXZ could rally to over $2 per share by year end, but we really think members should consider putting this one away.  Galaxy is managed by who we believe are the “best in the business”, and they are focused intently on building shareholder value. 

Company Contact:

Galaxy Gaming

Robert B. Saucier, CEO

(702)939-3254

Fax: (702)939-3255

Email: info@galaxygaming.com 

Headquarters:

Galaxy Gaming, Inc.

6980 O’Bannon Drive

Las Vegas, Nevada 89117