www.shufflemaster.com / NASDAQ: SHFL

Q3 2011 earnings callSHUFFLE MASTER, INC.

Q1 Q3 Q4Q2

ceo opening remarks 4

Q3 financials 5

coo update 19

ceo closing remarks 20

forward-looking statement During this presentation and the Q&A session, various remarks that are notpurely historical constitute forward-looking statements for purposes of the“safe harbor” provisions under the Private Securities Litigation Reform Act of1995. Our beliefs, expectations, forecasts, objectives, plans, prospects andstrategies for the company, including without limitation those concerningexpected operating results, revenues and earnings are not guarantees of futureperformance and are subject to risks and uncertainties that could cause actualresults to differ materially from results expressed or implied by the forward-looking statements. Additional information on risk factors that couldpotentially affect the Company’s financial results may be found in documentsfiled by the Company with the SEC, including the Company’s current reports onForm 8-K, quarterly reports on Form 10-Q and its latest annual report on Form10-K and are based on information available to us on the date hereof. We donot intend, and assume no obligation, to update any forward-lookingstatements. Readers are cautioned not to place undue reliance on forward-looking statements, which speak only as of the date hereof. We will also bediscussing certain financial measures such as adjusted EBITDA, whichrepresents a non-GAAP financial measure.

This presentation includes reclassifications for discontinued operations andsegment realignment.

3

ceo opening remarks

♦ SHFL is building momentum• record net income of $9.1M • record Adjusted EBITDA of $19.5M• continuing to grow recurring revenue• R&D investment is paying off

o EGM ship share at all-time higho EGMs are a sustainable, long-term business

♦ Q3 performance driven by new products in existing markets

♦ SHFL does not rely on the North American slot replacement cycle for growth

♦ different dynamics involved in SHFL’s upgrade initiatives♦ e-Tables are in an investment phase♦ SHFL’s fundamentals are strong

4

third quarter 2011 update

Q3 2011 actual

Q3 2010 actual

y-o-y increase

(in millions, except per share and % amounts)

total revenue $58.3 $51.5 13%

recurring revenue $26.6 $24.0 11%

gross margin 62.1% 61.4% 70 bps

capex $5.2 $5.5 -5%

adjusted ebitda $19.5 $15.5 26%

earnings per share $0.17 $0.11 55%

net debt $38.6 $63.9 -40%

5

revenue & eps

6

Q1' 10 Q2' 10 Q3' 10 Q4' 10 Q1' 11 Q2' 11 Q3' 11revenue $40 $51 $52 $59 $44 $60 $58gaap eps $0.07 $0.15 $0.11 $0.10 $0.09 $0.14 $0.17

$0.00

$0.02

$0.04

$0.06

$0.08

$0.10

$0.12

$0.14

$0.16

$0.18

$30

$35

$40

$45

$50

$55

$60

revenue gaap eps

(in millions, except per share amounts)

recurring revenue

7

0%

10%

20%

30%

40%

50%

60%

70%

$20.0

$21.0

$22.0

$23.0

$24.0

$25.0

$26.0

$27.0

Q1 10 Q2 10 Q3 10 Q4 10 Q1 11 Q2 11 Q3 11

recurring revenue recurring revenue as a percentage of total revenue

(in millions)

geographic distribution of revenue

canadaytd q3 ‘11: 4%

united statesytd q3 ‘11: 48%

europeytd q3 ‘11: 4%

australia/nzytd q3 ‘11: 35%

other americasytd q3 ‘11: 2%

asiaytd q3 ‘11: 7%

8

total quarterly revenue

21%

9

$22.6 

$11.0 

$6.8

$18.0 

$0

$10

$20

$30

$40

$50

$60

$70

Q1' 10 Q2' 10 Q3' 10 Q4' 10 Q1' 11 Q2' 11 Q3' 11

EGMETSPTGUtility

$40.3

$50.8

$58.3

$51.5

$58.6

$43.8

$59.9

(in millions)

electronic gaming machines

10

 ‐

 200

 400

 600

 800

 1,000

 1,200

Q1 '10 Q2 '10 Q3 '10 Q4 '10 Q1 '11 Q2 '11 Q3 '11

sold units during quarter

units

$0

$5

$10

$15

$20

$25

Q1 '10 Q2 '10 Q3 '10 Q4 '10 Q1 '11 Q2 '11 Q3 '11

total egm revenue

revenue(in millions)

utility

11

$0

$5

$10

$15

$20

$25

Q1 '10 Q2 '10 Q3 '10 Q4 '10 Q1 '11 Q2 '11 Q3 '11

leases sales

revenue(in millions)

-

1,000

2,000

3,000

4,000

5,000

6,000

7,000

8,000

9,000

Q1 '10 Q2 '10 Q3 '10 Q4 '10 Q1 '11 Q2 '11 Q3 '11lease installed base

0

100

200

300

400

500

600

700

800

Q1 '10 Q2 '10 Q3 '10 Q4 '10 Q1 '11 Q2 '11 Q3 '11

sold units during quarter

shuffler units

proprietary table games

12

$0

$2

$4

$6

$8

$10

$12

Q1 '10 Q2 '10 Q3 '10 Q4 '10 Q1 '11 Q2 '11 Q3 '11

leases sales

revenue(in millions)

4,000

4,200

4,400

4,600

4,800

5,000

5,200

5,400

5,600

Q1 '10 Q2 '10 Q3 '10 Q4 '10 Q1 '11 Q2 '11 Q3 '11lease installed base

0

10

20

30

40

50

60

Q1 '10 Q2 '10 Q3 '10 Q4 '10 Q1 '11 Q2 '11 Q3 '11sold units during quarter

units

electronic table games

13

$0

$2

$4

$6

$8

$10

$12

$14

Q1 '10 Q2 '10 Q3 '10 Q4 '10 Q1 '11 Q2 '11 Q3 '11

leases sales

revenue(in millions)

0

500

1,000

1,500

2,000

2,500

3,000

Q1 '10 Q2 '10 Q3 '10 Q4 '10 Q1 '11 Q2 '11 Q3 '11lease installed base

units

0

50

100

150

200

250

300

350

400

450

500

Q1 '10 Q2 '10 Q3 '10 Q4 '10 Q1 '11 Q2 '11 Q3 '11

sold seats during quarter

gross margin

leas

e &

sale

sby

pro

duc

t seg

men

t

14

20%

30%

40%

50%

60%

70%

80%

90%

All Products Utility PTG ETS EGM

Q2’ 11Q1’ 11Q4’ 10Q1’ 10 Q2’ 10 Q3’ 10 Q3’ 11

25%30%35%40%45%50%55%60%65%70%75%

Q1' 10 Q2' 10 Q3' 10 Q4' 10 Q1' 11 Q2' 11 Q3' 11

All Products Leases Sales

adjusted ebitda and free cash flow - trend

15

Q1' 10 Q2' 10 Q3' 10 Q4' 10 Q1' 11* Q2' 11 Q3' 11adjusted ebitda $12.7 $18.0 $15.5 $16.0 $13.5 $19.0 $19.5free cash flow $4.9 $4.6 $7.7 $11.3 ($3.5) $15.4 $14.0

($5)

$0

$5

$10

$15

$20

$0

$5

$10

$15

$20

$25

adjusted ebitda free cash flow

*

* Includes payments to acquire intellectual property assets of approximately $6.5 million

(in millions)

adjusted ebitda and free cash flow

16

reconciliation of income from continuing operations to adjusted ebitda:

2011 2010 2011 2010

net income 9.1$ 5.8$ 21.9$ 17.4$ other expense - 0.5 2.1 1.1 share-based compensation 0.7 1.5 2.2 3.3 income tax provision 3.6 2.1 7.9 6.8 depreciation and amortization 6.1 5.6 17.9 17.6

adjusted ebitda 19.5$ 15.5$ 52.0$ 46.2$

less cash paid for:products leases and held for sale (4.3)$ (3.6)$ (11.6)$ (16.7)$ purchases of property and equipment (0.7) (1.8) (2.7) (4.3) purchases of intangible property (0.1) - (6.3) (2.3) acquisition of business - - (6.5) - income taxes (0.4) (2.4) 0.9 (5.8)

free cash flow 14.0$ 7.7$ 25.8$ 17.1$

three months ended nine months endedjuly 31, july 31,

(in millions)

inventory trend

17

$0

$10

$20

$30

$40

$50

$60

$70

Q1' 10 Q2' 10 Q3' 10 Q4' 10 Q1' 11 Q2' 11 Q3' 11

raw materials work-in-progress finished goods Revenue

(in millions)

capital expenditures

18

* Includes payments to acquire intellectual property assets

$0

$2

$4

$6

$8

$10

$12

$14

$16

$18

1Q' 10 2Q' 10 3Q' 10 4Q' 10 1Q' 11* 2Q' 11 3Q' 11

leased capex intangibles / ip puchased other capex

(in millions)

coo update♦ operating highlights

♦ EGMs firing on all cylinders♦ MD2CR upgrade initiative underway

• 180 MD2CRs installed to date• target previous-generation MDs

o 7,000 sold units and 2,000 leased units• creates new recurring revenue • helps protect lease base• expand shuffler footprint

♦ enhancements to progressives• wireless• cross-property

♦ i-Table• 60 units installed on four continents• new content• back-of-house connectivity

♦ product diversity• creates a natural hedge for our businesses

19

ceo closing remarks♦ next chapter of growth:

♦ thoughtful investments in existing and emerging businesses• rightsize ETS business

o new leadershipo improving current offeringso leverage IPo focused rollout of i-Table

• Latin America and Asia expansion• i-Gaming

o licensing deals in the pipelineo server-based platform and play-for-fun appso content and infrastructure for expanded i-Gaming

♦ operational improvements and efficiencies• optimizing supply chain

♦ maintain focus on leasing• grow shuffler lease base

o upgrade initiativeso increased sales coverageo new marketing campaigno new shuffler model concepts

20

21

what we doslot machines

specialty games

shufflers

i-Gaming

e-Tables

Q & A

follow us:

22

notes