Kinbasha Gaming International, Inc. Implements Gaming Environment Upgrades at Pachinko Parlor in Hitachi

Kinbasha
Gaming International, Inc. Implements Gaming
Environment Upgrades at Pachinko Parlor in Hitachi

Upgrades Include the Introduction of a Clean Air
Generator and New Smart Card System to Improve Customer Satisfaction and Reduce
Costs

HITACHI, Japan — April 30,
2013 — Kinbasha Gaming
International, Inc. (OTCQX: KNBA), owner
and operator of retail pachinko gaming centers nationally in Japan, today
announced that it has implemented a series of significant gaming environment upgrades
at one of its pachinko parlors in Hitachi.

Several
key areas of the Hitachi parlor have been targeted to improve the overall gaming
environment, and spur same-store revenue growth. One upgrade is the introduction of a new smart
card system, which eliminates the need to physically move metal balls from machine
to machine, and dramatically reduces labor costs in the parlor. As an example, at one of Kinbasha’s pachinko parlors
in Toride, Ibaraki, where this system has already been introduced, total expenditures
on part-time workers decreased by 25%-30%.

“We
are pleased to introduce our new parlor upgrades in Hitachi, including our
latest smart card system,” said Masatoshi Takahama, Chief Executive Officer of
Kinbasha. “Not only does the card system significantly improve customer
satisfaction, it also reduces our labor costs throughout the year. It’s a perfect example of a win-win situation
for both Kinbasha and our loyal patrons.”

As
part of its Hitachi parlor upgrades, Kinbasha also announced the roll-out of
the company’s latest clean air generator to remove unwanted dust and smoke within
designated smoking areas. In addition, pachinko machines are now separated by privacy
panels that have been installed to provide a more secluded environment for each
player to focus on the game. These
improvements are part of Kinbasha’s efforts to create a comfortable gaming
environment and appeal to as many demographics as possible.

“Kinbasha
is intently focused on the satisfaction of our customers,” continued Mr.
Takahama. “Although this equipment was first introduced at our largest parlors,
as we continue to implement our upgrade initiatives these new systems are
expected to be rolled-out at Kinbasha’s other locations as well.”

About Kinbasha Gaming
International, Inc.

Based
in Hitachi City, Japan, Kinbasha Gaming International, Inc. (OTCQX: KNBA) is a
retail gaming company that operates 21 pachinko parlors in the Japanese
prefectures of Ibaraki, Tokyo and Chiba.
For more than 50 years, the company's retail gaming establishments have
offered customers the opportunity to play the games of chance known as pachinko
and pachislo. Pachinko is played on a
device which resembles a vertical pinball machine and pachislo is played on a
machine that resembles a western style slot machine. Pachinko and pachislo are
collectively ranked as Japan’s largest leisure activity. For more information on Kinbasha, please
visit: www.kinbashainc.com

For comprehensive investor
relations material, including fact sheets, multimedia resources, and videos
regarding Kinbasha, please follow the appropriate link: Investor Portal, Overview Video and Investor Fact Sheet.

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