Bermuda-based betting firm Creator Capital Ltd., a which has just provided the funds required for the Chinese Lottery, has posted its first ever net profit, the company announced yesterday.

The Hamilton-based start-up firm said it had filed its 10K Annual Report with the Securities and Exchange Commission on March 29, 2002 and had posted profits of $50,527 for 2001, compared to a loss of $791,147 in 2000.

The company said: "This figure is highly significant when one considers the fact that depreciation and amortisation of $243,239 is included."

The figures, for the year ending December 31, 200, showed gross revenues increased from $537,365 to $561,030.

The company said that the fiscal restraint practised by its management team had also enabled Capital Creator to provide the funds required for the Chinese Lottery investments entirely from internal cash flow generated by Capital Creator's Sky Play business.

Capital Creator said it anticipates a significant increase in company revenues and profits in the coming Fiscal Year 2002 from the soccer betting lottery/gaming and internet related divisions.

Creator Capital is a Bermuda exempted company and holds one of only two Soccer Betting Lottery Licenses in the People's Republic of China.

The company also introduced the in-flight "interactive gaming experience" to international airline passengers as a way of creating additional revenues for airlines.

Creator Capital's two products are Sky Games and Sky Play. Sky Games consists of interactive gaming, such as Blackjack (21), Draw Poker, and Slots.

Sky Play consists of interactive PC amusement games such as Mah Jong, Solitaire and Chess.