We are focused on optimizing our margins so that our business is well-positioned to benefit from the future opportunities that will arise when economic conditions improve," said Pat Cavanaugh, executive VP and CFO for IGT. "With that goal in mind, we will continue to look at all aspects of our business to improve efficiencies and reduce R&D and SG&A expenses where appropriate."
IGT recently completed an initial worldwide cost reduction effort that included an eight percent workforce reduction through early retirement buy-outs and involuntary separations.
Including those announced, total staff reductions in the current fiscal year represent just over ten percent of the total workforce worldwide, which remains at just over 5,000 employees.
"This effort is geared to better align IGT supply chain capacity and resources to the demands of the market," said Tony Ciorciari, executive VP of Operations for IGT. "This restructuring effort is targeted to be complete by April."
IGT’s manufacturing functions are based mainly in Reno with some related activities in Las Vegas.
"We have no plans to change existing charters for these facilities," said Ciorciari. "Reno is and will continue to be the main headquarters of our manufacturing function."