IN ORDER TO INCREASE ITS REVENUE: The Romanian Railways bet on lottery tickets

"Voiaj CFR" SA, the branch of CFR Călători that deals with the sale of train travel permits, wants to increase its revenue in an original manner, by gambling and betting activities.

On October 28th, the shareholders of "Voiaj CFR" decided to amend the company"s current line of business lines of business, "activities ancillary to land transportation activities", to include "gambling and betting activities", according to the Official Gazette.

The additions to the company"s line of business were necessary, as "Voiaj CFR" is aiming to set up a partnership with the Romanian Lottery to increase its revenues, the company officials say.

Contacted by "BURSA", company officials said: "The management of SC Voiaj CFR SA is currently looking for new activities that could take place in the travel offices of the CFR, activities which would allow it to supplement the revenue from its core business. In this respect, the company had discussions with the representatives of the National Company - Loteria Română SA (ed. note: Romanian Lottery) in order to distribute the products of the latter through the travel agencies of the Romanian Railway Company. In order for SC Voiaj CFR SA to be able to enter an agreement for the distribution of the products of the Romanian Lottery, its line of business needed to be amended to include < gambling and betting activities >, NACE code 9200".

It will take some time before the lottery tickets become available in the ticket offices of the Romanian Railroads.

The representatives of "Voiaj CFR" said that the discussions with the Romanian lottery for concluding a collaboration contract have not yet been finalized.

In 2009, "Voiaj CFR" SA had a net turnover of 22,092,774 lei, according to the balance sheet filed with the Ministry of Public Finance.

In 2009, the company posted a total revenue of 23,032,078 lei and expenses of 24,048,875 lei. The company had a loss of 1,016,797 lei, and debts of 2,693,525 lei.