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Record $1.6bn US Powerball lottery has three winners | Record $1.6bn US Powerball lottery has three winners |
(about 1 hour later) | |
There are at least three winning tickets in the US for the record $1.6bn (£1.1bn) lottery jackpot, officials have said. | There are at least three winning tickets in the US for the record $1.6bn (£1.1bn) lottery jackpot, officials have said. |
The winning tickets in the Powerball jackpot were sold in California, Tennessee and Florida. | The winning tickets in the Powerball jackpot were sold in California, Tennessee and Florida. |
The previous draw was the 19th without a grand prize winner, which requires all six numbers to match. | The previous draw was the 19th without a grand prize winner, which requires all six numbers to match. |
Officials said it would take several hours to know if there were any other winning tickets. | |
The identity of the winners is not yet known. | |
Thousands of people queued up outside shops across the US on Wednesday, hoping to defy the odds of 292.2 million to one. | Thousands of people queued up outside shops across the US on Wednesday, hoping to defy the odds of 292.2 million to one. |
California Lottery tweeted that the winning ticket in the state was sold at a 7-Eleven store in Chino Hills, a suburb east of Los Angeles. | |
Television pictures showed a cheering crowd gathering at the shop after the result was announced. | |
The winners will share a prize of $1.586bn. They can collect their winnings in annual payments over 29 years, or opt to share a lump-sum payment of $930m. | |
The government will also share in the big prize, however, levying a 39.6% federal income tax on the winners - and the payout will also be subject any taxes that the winners' home states may impose. | |
Follow the money | Follow the money |
Is this really the biggest? | Is this really the biggest? |
The previous jackpot record was a March 2012 drawing of the US lottery Mega Millions which had a $656m (£457m) prize shared by three winners. Spain's El Gordo is the world's biggest lottery in financial terms - its prize in 2015 totalled €2.24bn ($2.43bn; £1.68 bn). But as there is no single jackpot - the same series are printed in multiple tickets - anyone who has the numbers wins a share of the prize. In Europe, the largest lottery prizes have been lower than in the US, but the jackpots are given as a lump sum rather than as an annuity and most countries do not tax the winnings. The biggest European prize was won in July 2011 by a ticketholder in the UK. That person took home a lump sum of $260m (£161.7m). | |
Where do Powerball profits go? | Where do Powerball profits go? |
Back to the participating states. For example, New Jersey has sold more than $50m in tickets during this current jackpot craze, and lottery officials said about $20m of that would return to the state. More than 15 states use the profits to fund education. However, schools aren't expecting a huge windfall. California officials estimate the lottery money accounts for about 1% of the state's education budget. In Wisconsin, the profits go towards lowering property taxes. | |
How did the jackpot get so big? | How did the jackpot get so big? |
No-one has won the draw since 4 November. The prize is based on ticket sales so high jackpots usually create a snowball effect until a winning combination is picked. A new format introduced in October makes these massive jackpots more likely, meaning more records could be broken in future. | |
Six of the 50 US states do not participate in the lottery, so some residents drive for hours to other states to buy tickets. | |
Alabama, Mississippi and Utah cite religious reasons, while Alaska has said it would not be economical in such a sparsely populated state. | Alabama, Mississippi and Utah cite religious reasons, while Alaska has said it would not be economical in such a sparsely populated state. |
In Hawaii, proposed legislation to start participating fails consistently, and in Nevada the lottery is rejected because the state's world-famous casinos prefer not to have competition. |