IGT cutting its global workforce by seven percent

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IGT cutting its global workforce by seven percent

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International Game Technology

International Game Technology has announced it's reducing its global workforce by 7% in order to save $30 million this fiscal year and an estimated $50 million annually in the future.

It's not yet clear how IGT's approximately 2,500 employees in Reno will be affected by these cuts.

In a press release out Tuesday, IGT's CEO Patti Hart said that it's a challenging time for the gaming industry and the company did not expect such a sharp decline in North American gross gaming revenues this fiscal year after its success in 2013.

The release also states that IGT is lowering its earnings guidance by nearly 30 cents per share this fiscal year.

Hart says IGT is taking action to secure long-term earnings growth by signing a new global licensing agreement with Sony, which gives the company franchising rights for its Wheel of Fortune game for the next decade, along with launching Powerbucks, a new interstate jackpot beginning later this year.