SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 11-K
[X] ANNUAL REPORT PURSUANT TO SECTION 15(d) OF THE SECURITIES EXCHANGE ACT
OF 1934 [FEE REQUIRED]
For the fiscal year ended December 31, 1993
OR
[ ] TRANSITION REPORT PURSUANT TO SECTION 15(d) OF THE SECURITIES EXCHANGE
ACT OF 1934 [NO FEE REQUIRED]
For the transition period from to
Commission file number 001-10684
A. Full title of the plan and the address of the plan, if different
from that of the issuer named below:
INTERNATIONAL GAME TECHNOLOGY PROFIT SHARING PLAN
B. Name of issuer of the securities held pursuant to the plan and
the address of its principal executive office:
INTERNATIONAL GAME TECHNOLOGY
5270 Neil Road
Reno, Nevada 89509
<PAGE>
INTERNATIONAL GAME TECHNOLOGY
PROFIT-SHARING PLAN
Financial Statements for the Years Ended December 31, 1993
and 1992, Supplemental Schedules for the Year Ended
December 31, 1993, and Independent Auditors' Report
<PAGE>
INTERNATIONAL GAME TECHNOLOGY
PROFIT-SHARING PLAN
TABLE OF CONTENTS
Page
Independent Auditors' Report. . . . . . . . . . . . . . . . 1
Statements of Net Assets
Available for Benefits . . . . . . . . . . . . . . . . . 2
Statements of Changes in Net Assets Available
for Benefits . . . . . . . . . . . . . . . . . . . . . . 3
Notes to Financial Statements . . . . . . . . . . . . . . . 4
Item 27a - Supplemental Schedule of Assets Held
for Investment Purposes . . . . . . . . . . . . . . . . 8
Item 27d - Supplemental Schedule of Reportable Transactions -
Single Transactions in Excess of 5% of
Plan Assets . . . . . . . . . . . . . . . . . . . . . . 9
Item 27d - Supplemental Schedule of Reportable Transactions -
Series of Transactions in Excess of 5% of
Plan Assets. . . . . . . . . . . . . . . . . . . . . . . 10
<PAGE>
INDEPENDENT AUDITORS' REPORT
International Game Technology Profit-Sharing Plan:
We have audited the accompanying statements of net assets available for
benefits of International Game Technology Profit-Sharing Plan (the "Plan")
as of December 31, 1993 and 1992, and the related statements of changes in
net assets available for benefits for the years then ended. These
financial statements are the responsibility of the Plan's management. Our
responsibility is to express an opinion on these financial statements based
on our audits.
We conducted our audits in accordance with generally accepted auditing
standards. Those standards require that we plan and perform the audit to
obtain reasonable assurance about whether the financial statements are free
of material misstatement. An audit includes examining, on a test basis,
evidence supporting the amounts and disclosures in the financial
statements. An audit also includes assessing the accounting principles
used and significant estimates made by management, as well as evaluating
the overall financial statement presentation. We believe that our audits
provide a reasonable basis for our opinion.
In our opinion, such financial statements present fairly, in all
material respects, the net assets available for benefits of the Plan at
December 31, 1993 and 1992, and the changes in net assets available for
benefits for the years then ended in conformity with generally accepted
accounting principles.
Our audits were conducted for the purpose of forming an opinion on the
basic financial statements taken as a whole. The supplemental schedules
listed in the Table of Contents are presented for the purpose of additional
analysis and are not a required part of the basic financial statements, but
are supplementary information required by the Department of Labor's Rules
and Regulations for Reporting and Disclosure under the Employee Retirement
Income Security Act of 1974. These schedules are the responsibility of the
Plan's management. Such schedules have been subjected to the auditing
procedures applied in our audit of the basic 1993 financial
statements and, in our opinion, are fairly stated in all material respects
when considered in relation to the basic financial statements taken as a
whole.
DELOITTE & TOUCHE
Reno, Nevada
June 15, 1994
<PAGE>
INTERNATIONAL GAME TECHNOLOGY PROFIT-SHARING PLAN
STATEMENTS OF NET ASSETS AVAILABLE FOR BENEFITS
DECEMBER 31, 1993 and 1992
<TABLE>
<CAPTION>
ASSETS NOTES 1993 1992
<S> <C> <C> <C>
Cash $ 248 $ 279,609
Investments, at fair value 2,3 40,139,380 31,081,145
Contributions receivable 1 82,299 11,671
Loans to participants 1,071,520 84,227
Total assets 41,293,447 31,456,652
LIABILITIES
Accrued expenses 2 - (19,287)
NET ASSETS AVAILABLE FOR
BENEFITS 1,2 $ 41,293,447 $ 31,437,365
</TABLE>
See accompanying notes to financial statements.
<PAGE>
INTERNATIONAL GAME TECHNOLOGY PROFIT-SHARING PLAN
STATEMENTS OF CHANGES IN NET ASSETS AVAILABLE FOR BENEFITS
FOR THE YEARS ENDED DECEMBER 31, 1993 and 1992
<TABLE>
<CAPTION>
NOTES 1993 1992
<S> <C> <C> <C>
ADDITIONS TO NET ASSETS
ATTRIBUTED TO:
Investment income:
Net appreciation in fair
value of investments 2,3 $ 3,234,593 $ 8,254,979
Interest 145,661 291,684
Dividends 183,741 50,419
3,563,995 8,597,082
Contributions:
Employer 1 6,591,299 4,920,782
Employee 1 1,829,436 796,823
Total additions 11,984,730 14,314,687
DEDUCTIONS FROM NET ASSETS
ATTRIBUTED TO:
Benefits paid to participants 1 2,011,838 832,625
Administrative expenses 1 116,810 78,538
Total deductions 2,128,648 911,163
NET INCREASE 9,856,082 13,403,524
NET ASSETS AVAILABLE FOR BENEFITS: 1,2
BEGINNING OF YEAR 31,437,365 18,033,841
END OF YEAR $ 41,293,447 $31,437,365
</TABLE>
See accompanying notes to financial statements.
<PAGE>
INTERNATIONAL GAME TECHNOLOGY PROFIT-SHARING PLAN
NOTES TO FINANCIAL STATEMENTS
FOR THE YEARS ENDED DECEMBER 31, 1993 and 1992
1. DESCRIPTION OF PLAN
The following brief description of the International Game Technology
Profit-Sharing Plan (the "Plan") provides only general information.
Participants should refer to the Plan agreement for a more complete
description of the Plan's provisions.
General
The Plan, adopted on December 10, 1980, and as restated on June 1, 1993, is
a defined contribution plan covering all eligible employees of
International Game Technology who were employed on or before December 31,
1980. Employees hired on or after January 1, 1981 are eligible for
participation on the anniversary date (December 31) after attaining the age
of 18 and completing 1,000 hours of service in any one-year period.
The Plan is subject to the provisions of the Employee Retirement Income
Security Act of 1974 ("ERISA"), as amended, and other provisions of the
Internal Revenue Code.
Contributions
Each year the amount of the employer contribution is determined by the
Board of Directors of International Game Technology. The maximum
contribution allowed is 15% of the wages paid to the participants in the
Plan. Prior to a January 1, 1989 amendment to the Plan, Plan participants
were not allowed to make voluntary contributions, other than a rollover
from another qualified plan by a new participant. Effective January 1,
1989, the Plan was amended to allow employees to make voluntary
contributions. Effective January 1, 1993, the Plan was amended to provide
for employer matching of employee contributions at 100% of each dollar
contributed up to $500, and 50% of each additional dollar contributed up to
$500.
Participant Accounts
Each participant's account is credited with an allocation of (a) the
employer's contribution where the participant is employed at year-end, (b)
forfeitures of terminated participants' nonvested accounts where the
participant is employed at year-end and (c) Plan earnings.
Allocations of employer contributions and forfeitures are based on
participant compensation, as defined. Plan earnings are allocated among
the participants' accounts in proportion to their account balance. The
benefit to which a participant is entitled is the vested amount that can be
provided from the participant's account.
<PAGE>
Vesting
Participants are immediately vested in their voluntary contributions and
rollover contributions from another qualified plan, plus earnings thereon.
Vesting in the remainder of their accounts is based on years of continuous
service. A participant is 100% vested after seven consecutive years of
service.
The full amount credited to a participant's account is 100% vested upon
termination of employment by normal retirement (retirement after age 65),
by deferred retirement, by death or by reason of total disability.
Plan Termination
In the event of Plan termination, participants will become 100% vested in
their accounts. Although it has not expressed any intent to do so,
International Game Technology has the right under the Plan to discontinue
its contributions at any time and to terminate the Plan subject to the
provisions of ERISA.
Payment of Benefits
On termination of service, a participant will receive a lump sum amount
equal to the value of his or her account.
Administrative Expenses
All Plan administrative expenses totalling $116,810 in 1993 and $78,538 in
1992 were paid by the Plan.
2. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
Basis of Accounting
The Plan is accounted for on the accrual basis of accounting.
Valuation of Investments
All investments of the Plan are valued at quoted market prices as of
December 31, 1993 and 1992.
<PAGE>
Benefits Payable
In 1993, the Plan changed its method of accounting for benefits payable to
comply with the 1993 AICPA Audit and Accounting Guide, Audits of Employee
Benefit Plans. The new guidance requires that benefits payable to persons
who have withdrawn from participation in a defined contribution plan be
disclosed in the footnotes to the financial statements rather than be
recorded as a liability of the Plan. As of December 31, 1993, net assets
available for benefits included benefits of $1,023,008 due to participants
who have withdrawn from participation in the Plan.
3. INVESTMENTS
All investments of the Plan are administered by an investment management
agent. The following table presents the fair value of investments at
quoted market prices at December 31:
<TABLE>
<CAPTION>
1993 1992
<S> <C> <C>
Common stock - International
Game Technology (Note 1) $20,059,705 $14,139,689
U.S. Treasury Bills 5,850,394 4,922,428
Shearson Money Market Funds 635,496 3,100,668
Alliance Short-Term Fund - 2,710,423
Navellier Fund - 1,900,444
Provident Money Market Funds - 1,369,408
Ashfield Balanced Fund - 1,249,330
Ashfield Growth Fund - 1,139,335
Hartwell Fund - 549,082
TRAK Government Money Fund 1,996,444 -
TRAK Intermediate Fixed Income Fund 2,766,799 -
TRAK Large Capitalization Value
Equity Fund 3,322,164 -
TRAK Large Capitalization Growth
Equity Fund 3,112,178 -
TRAK Small Capitalization Growth
Equity Fund 2,396,200 -
Other - 338
Total investments $40,139,380 $31,081,145
</TABLE>
<PAGE>
The Plan's investments appreciated in value by $3,234,593 in 1993 and
$8,254,979 in 1992 as follows:
<TABLE>
<CAPTION>
1993 1992
<S> <C> <C>
Common stock -
International Game Technology $2,733,296 $8,572,358
Alliance Short-Term Fund 4,442 (124,300)
Navellier Fund 39,975 (203,213)
Ashfield Balanced Fund (104,335) 9,404
Ashfield Growth Fund (126,990) 23,823
Hartwell Fund (20,791) (27,678)
U.S. Treasury Bills 21,434 -
TRAK Intermediate Fixed Income Fund (24,774) -
TRAK Large Capitalization Value
Equity Fund 147,273 -
TRAK Large Capitalization Growth
Equity Fund 208,937 -
TRAK Small Capitalization Growth
Equity Fund 354,681 -
Other, net 1,445 4,585
Net appreciation in fair value $3,234,593 $8,254,979
</TABLE>
4. FEDERAL INCOME TAXES
The Plan has received a determination letter dated October 4, 1985 from the
Internal Revenue Service qualifying it as an exempt organization under
Sections 401(a) and 501(a) of the Internal Revenue Code. Accordingly, no
provision for federal income taxes has been made in the accompanying
financial statements.
<PAGE>
INTERNATIONAL GAME TECHNOLOGY PROFIT-SHARING PLAN
ITEM 27a - SUPPLEMENTAL SCHEDULE OF ASSETS HELD FOR INVESTMENT PURPOSES
DECEMBER 31, 1993
<TABLE>
<CAPTION>
(b) (c) (d) (e)
Maturity Interest Current
Description Date Rate Units Cost Value
<S> <C> <C> <C>
Common Stock - IGT 679,990 $ 9,966,850 $20,059,705
U.S. Treasury Bills 58,700 5,845,385 5,850,394
Shearson Money Market Funds 635,496 635,496 635,496
TRAK Intermediate Fixed
Income Fund 330,167 2,795,998 2,766,799
TRAK Government Money Fund 1,996,444 1,996,444 1,996,444
TRAK Large Cap Growth
Equity Fund 318,219 2,938,316 3,112,178
TRAK Large Cap Value Equity Fund 360,712 3,206,719 3,322,164
TRAK Small Cap Growth Equity Fund 195,928 2,136,197 2,396,200
Total investments $29,521,405 $40,139,380
<FN>
Notes on Columns (a) through (e):
(a) Omitted from the Department of Labor format because the answer is none.
(b) General description of investments.
(c) Maturity dates and stated rates of interest are not applicable due to
the nature of these investments.
(d) Purchase price of investment.
(e) Market value of investment at December 31, 1993, as determined by
quoted market prices.
</TABLE>
<PAGE>
INTERNATIONAL GAME TECHNOLOGY PROFIT-SHARING PLAN
ITEM 27d - SUPPLEMENTAL SCHEDULE OF REPORTABLE TRANSACTIONs -
SINGLE TRANSACTIONS IN EXCESS OF 5% OF PLAN ASSETS
FOR THE YEAR ENDED DECEMBER 31, 1993
<TABLE>
<CAPTION>
(a) (b) (c) (d) (g) (h) (i)
Identity of Description Purchase Selling Cost of Value of Net
Party Involved of Transaction Price Price Asset Transaction Gain/Loss
<S> <C> <C> <C> <C> <C> <C>
Smith Barney Shearson, Inc. Purchase of money
market shares $1,844,511 $ - $ - $ - $ -
Smith Barney Shearson, Inc. Purchase of money
market shares 4,943,864 - - - -
Smith Barney Shearson, Inc. Purchase of money
market shares 5,945,103 - - - -
Smith Barney Shearson, Inc. Sale of money
market shares - 2,588,877 2,588,877 2,588,877 -
Smith Barney Shearson, Inc. Sale of money
market shares - 1,546,907 1,546,907 1,546,907 -
Smith Barney Shearson, Inc. Sale of money
market shares - 5,845,385 5,845,385 5,845,385 -
Alliance Short-Term Fund Sale of shares - 1,844,163 1,856,376 1,844,163 (12,213)
Alliance Short-Term Fund Withdrawal of cash - 1,844,511 1,844,511 1,844,511 -
Alliance Short-Term Fund Withdrawal of cash - 2,796,349 2,796,349 2,796,349 -
Ashfield Balanced Fund Withdrawal of cash - 1,870,256 1,870,256 1,870,256 -
Navellier Fund Withdrawal of cash - 2,958,165 2,958,165 2,958,165 -
Smith Barney Shearson, Inc. Purchase of money
market shares 8,253,017 - - - -
Smith Barney Shearson, Inc. Purchase of money
market shares 4,341,767 - - - -
TRAK Government Money Fund Purchase of money
market shares 2,013,802 - - - -
TRAK Large Cap Value
Equity Fund Purchase of shares 1,905,433 - - - -
TRAK Large Cap Growth
Equity Fund Purchase of shares 1,626,984 - - - -
Smith Barney Shearson, Inc. Sale of U.S.
Treasury bills - 4,943,863 4,917,144 4,943,863 26,719
Smith Barney Shearson, Inc. Purchase of U.S.
Treasury bills 5,845,385 - - - -
<FN>
Notes to columns (c) through (i)
(c) Purchase price of investments bought during the year.
(d) Proceeds received from redemption of investments maturing or sold
during the year.
(e) and (f) Omitted from the Department of Labor format because the answer
is none.
(g) Purchase price of investment plus or minus the amortization of discount
or premium received or paid at the date of sale.
(h) Market value at the date of maturity or sale for each investment shown
in column (d).
(i) Difference between columns (d) and (g).
</TABLE>
<PAGE>
INTERNATIONAL GAME TECHNOLOGY PROFIT-SHARING PLAN
ITEM 27d - SUPPLEMENTAL SCHEDULE OF REPORTABLE TRANSACTIONS - SERIES OF
TRANSACTIONS IN EXCESS OF 5% OF PLAN ASSETS
FOR THE YEAR ENDED DECEMBER 31, 1993
<TABLE>
<CAPTION>
(a) (b) (c) (d) (g) (h) (i)
Identity of Description Purchase Selling Cost of Value of Net
Party Involved of Transaction Price Price Asset Transaction Gain/Loss
<S> <C> <C> <C> <C> <C> <C>
Smith Barney Shearson, Inc. Purchase of money
market shares $32,725,758 $ - $ - $ - $ -
Smith Barney Shearson, Inc. Sale of money
market shares - 35,079,623 35,079,623 35,079,623 -
Alliance Short-Term Fund Purchase of shares 1,919,718 - - - -
Alliance Short-Term Fund Withdrawal of cash - 4,653,009 4,653,009 4,653,009 -
Alliance Short-Term Fund Sale of shares - 2,703,683 2,705,825 2,703,683 (2,142)
Ashfield Balanced Fund Withdrawal of cash - 2,356,733 2,356,733 2,356,733 -
Navellier Fund Withdrawal of cash - 3,400,140 3,400,140 3,400,140 -
International Game Technology Purchase of shares 3,138,910 - - - -
International Game Technology Sale of shares - 4,382,241 1,630,657 4,382,241 2,751,584
TRAK Government Money Fund Purchase of shares 3,294,112 - - - -
TRAK Intermediate Fixed
Income Fund Purchase of shares 3,203,628 - - - -
TRAK Large Cap Value
Equity Fund Purchase of shares 3,988,392 - - - -
TRAK Large Cap Growth
Equity Fund Purchase of shares 3,581,730 - - - -
TRAK Small Cap Growth
Equity Fund Purchase of shares 3,174,178 - - - -
Smith Barney Shearson, Inc. Sale of U.S.
Treasury bills - 4,943,863 4,917,144 4,943,863 26,719
Smith Barney Shearson, Inc. Purchase of U.S.
Treasury bills 5,845,385 - - - -
<FN>
Notes to columns (c) through (i)
(c) Purchase price of investments bought during the year.
(d) Proceeds received from redemption of investments maturing
or sold during the year.
(e) and (f) Omitted from the Department of Labor format because
the answer is none.
(g) Purchase price of investment plus or minus the amortization
of discount or premium received or paid at the date of sale.
(h) Market value at the date of maturity or sale for each
investment shown in column (d).
(i) Difference between columns (d) and (g).
<PAGE>
SIGNATURES
The Plan. Pursuant to the requirements of the Securities and Exchange Act of
1934, the trustees (or other persons who administer the employee benefit plan)
have duly caused this annual report to be signed on its behalf by the
undersigned hereunto duly authorized.
International Game Technology
Profit Sharing Plan
Date: June 29, 1994 By: /s/ John J. Russell President and
Chief Executive Officer
</TABLE>
INDEPENDENT AUDITORS' CONSENT
We consent to the incorporation by reference in Registration Statement
No. 33-63608 of the International Game Technology Profit-Sharing Plan
on Form S-8 of our report dated June 15, 1994, appearing in this Annual
Report on Form 11-K of the International Game Technology Profit-Sharing
Plan for the year ended December 31, 1993.
DELOITTE & TOUCHE
Reno, Nevada
June 29, 1994
