Document_and_Entity_Informatio
Document and Entity Information | 9 Months Ended | ||
In Millions, unless otherwise specified | Sep. 30, 2014 | Oct. 17, 2014 | Oct. 17, 2014 |
Common Class A [Member] | Common Class B [Member] | ||
Document Type | '10-Q | ' | ' |
Amendment Flag | 'false | ' | ' |
Document Period End Date | 30-Sep-14 | ' | ' |
Entity Registrant Name | 'ALBANY INTERNATIONAL CORP /DE/ | ' | ' |
Entity Central Index Key | '0000819793 | ' | ' |
Current Fiscal Year End Date | '--12-31 | ' | ' |
Document Fiscal Year Focus | '2014 | ' | ' |
Document Fiscal Period Focus | 'Q3 | ' | ' |
Entity Filer Category | 'Large Accelerated Filer | ' | ' |
Entity Common Stock, Shares Outstanding | ' | 28.6 | 3.3 |
CONSOLIDATED_STATEMENTS_OF_INC
CONSOLIDATED STATEMENTS OF INCOME (USD $) | 3 Months Ended | 9 Months Ended | ||
In Thousands, except Per Share data, unless otherwise specified | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2014 | Sep. 30, 2013 |
CONSOLIDATED STATEMENTS OF INCOME [Abstract] | ' | ' | ' | ' |
Net sales | $179,861 | $183,147 | $553,686 | $567,775 |
Cost of goods sold | 111,242 | 115,146 | 334,915 | 349,572 |
Gross profit | 68,619 | 68,001 | 218,771 | 218,203 |
Selling, general, and administrative expenses | 33,618 | 39,143 | 112,787 | 117,690 |
Technical, product engineering, and research expenses | 14,924 | 13,347 | 43,190 | 41,040 |
Restructuring and other, net | 919 | 2,256 | 4,058 | 27,213 |
Operating income | 19,158 | 13,255 | 58,736 | 32,260 |
Interest expense, net | 2,486 | 3,484 | 8,121 | 11,056 |
Other (income)/expenses, net | -1,864 | 2,692 | -4,464 | 5,637 |
Income before income taxes | 18,536 | 7,079 | 55,079 | 15,567 |
Income tax expense | 6,762 | 2,381 | 21,435 | 6,386 |
Income from continuing operations | 11,774 | 4,698 | 33,644 | 9,181 |
Loss from operations of discontinued business | ' | ' | ' | -575 |
Income tax benefit on discontinued operations | ' | ' | ' | -224 |
Loss from discontinued operations | ' | ' | ' | -351 |
Net income | 11,774 | 4,698 | 33,644 | 8,830 |
Net loss attributable to the noncontrolling interest | -38 | ' | -8 | ' |
Net income attributable to the Company | $11,812 | $4,698 | $33,652 | $8,830 |
Earnings per share attributable to Company shareholders - Basic | ' | ' | ' | ' |
Income from continuing operations | $0.37 | $0.15 | $1.06 | $0.29 |
Discontinued operations | $0 | $0 | $0 | ($0.01) |
Net income attributable to the Company | $0.37 | $0.15 | $1.06 | $0.28 |
Earnings per share attributable to Company shareholders - Diluted | ' | ' | ' | ' |
Income from continuing operations | $0.37 | $0.15 | $1.05 | $0.29 |
Discontinued operations | $0 | $0 | $0 | ($0.01) |
Net income attributable to the Company | $0.37 | $0.15 | $1.05 | $0.28 |
Shares of the Company used in computing earnings per share: | ' | ' | ' | ' |
Basic | 31,848 | 31,719 | 31,822 | 31,615 |
Diluted | 31,946 | 31,841 | 31,924 | 31,744 |
Dividends per share | $0.16 | $0.15 | $0.47 | $0.44 |
CONSOLIDATED_STATEMENTS_OF_COM
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (USD $) | 3 Months Ended | 9 Months Ended | ||
In Thousands, unless otherwise specified | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2014 | Sep. 30, 2013 |
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME [Abstract] | ' | ' | ' | ' |
Net income | $11,774 | $4,698 | $33,644 | $8,830 |
Other comprehensive income, before tax: | ' | ' | ' | ' |
Foreign currency translation adjustments | -27,765 | 17,805 | -29,705 | 4,536 |
Pension/postretirement plan remeasurement | ' | 14,417 | ' | 14,417 |
Pension/postretirement plan amendment | ' | 7,974 | ' | 7,974 |
Amortization of pension liability adjustment: | ' | ' | ' | ' |
Transition obligation | ' | 17 | ' | 51 |
Prior service (credit)/cost | -1,108 | -974 | -3,325 | -2,791 |
Net actuarial loss | 1,343 | 1,635 | 4,026 | 4,963 |
Payments related to interest rate swaps included in earnings | 480 | 467 | 1,431 | 1,377 |
Derivative valuation adjustment | 446 | -865 | -869 | 1,096 |
Income taxes related to items of other comprehensive income: | ' | ' | ' | ' |
Pension/postretirement plan remeasurement | ' | -5,623 | ' | -5,623 |
Pension/postretirement plan amendment | ' | -3,110 | ' | -3,110 |
Amortization of pension liability adjustment | -94 | -265 | -280 | -806 |
Payments related to interest rate swaps included in earnings | -187 | -183 | -558 | -537 |
Derivative valuation adjustment | -174 | 338 | 339 | -427 |
Comprehensive income/(loss) | -15,285 | 36,331 | 4,703 | 29,950 |
Net loss and comprehensive income attributable to the noncontrolling interest | -31 | ' | -1 | ' |
Comprehensive income/(loss) attributable to the Company | ($15,316) | $36,331 | $4,702 | $29,950 |
CONSOLIDATED_BALANCE_SHEETS
CONSOLIDATED BALANCE SHEETS (USD $) | Sep. 30, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
ASSETS | ' | ' |
Cash and cash equivalents | $195,461 | $222,666 |
Accounts receivable, net | 147,483 | 163,547 |
Inventories | 121,592 | 112,739 |
Deferred income taxes | 13,666 | 13,873 |
Prepaid expenses and other current assets | 9,238 | 9,659 |
Total current assets | 487,440 | 522,484 |
Property, plant and equipment, net | 408,096 | 418,830 |
Intangibles | 443 | 616 |
Goodwill | 74,022 | 78,890 |
Income taxes receivable and deferred | 110,609 | 119,612 |
Other assets | 31,331 | 26,456 |
Total assets | 1,111,941 | 1,166,888 |
LIABILITIES AND SHAREHOLDERS' EQUITY | ' | ' |
Notes and loans payable | 551 | 625 |
Accounts payable | 32,211 | 36,397 |
Accrued liabilities | 100,809 | 112,331 |
Current maturities of long-term debt | 15 | 3,764 |
Income taxes payable and deferred | 5,898 | 5,391 |
Total current liabilities | 139,484 | 158,508 |
Long-term debt | 283,100 | 300,111 |
Other noncurrent liabilities | 96,991 | 106,014 |
Deferred taxes and other credits | 52,895 | 54,476 |
Total liabilities | 572,470 | 619,109 |
SHAREHOLDERS' EQUITY | ' | ' |
Preferred stock, par value $5.00 per share; authorized 2,000,000 shares; none issued | ' | ' |
Common Stock | 40 | 40 |
Additional paid-in capital | 418,546 | 416,728 |
Retained earnings | 453,286 | 434,598 |
Accumulated items of other comprehensive income: | ' | ' |
Translation adjustments | -30,841 | -138 |
Pension and postretirement liability adjustments | -46,964 | -48,383 |
Derivative valuation adjustment | -634 | -977 |
Treasury stock (Class A), at cost 8,459,498 shares in 2014 and 8,463,635 in 2013 | -257,481 | -257,571 |
Total Company shareholders' equity | 535,952 | 544,297 |
Noncontrolling interest | 3,519 | 3,482 |
Total equity | 539,471 | 547,779 |
Total liabilities and shareholders' equity | 1,111,941 | 1,166,888 |
Common Class A [Member] | ' | ' |
SHAREHOLDERS' EQUITY | ' | ' |
Common Stock | 37 | 37 |
Common Class B [Member] | ' | ' |
SHAREHOLDERS' EQUITY | ' | ' |
Common Stock | $3 | $3 |
CONSOLIDATED_BALANCE_SHEETS_Pa
CONSOLIDATED BALANCE SHEETS (Parenthetical) (USD $) | Sep. 30, 2014 | Dec. 31, 2013 |
Preferred Stock, par value per share | $5 | $5 |
Preferred Stock, shares authorized | 2,000,000 | 2,000,000 |
Preferred Stock, shares issued | 0 | 0 |
Common Stock, shares outstanding | 31,852,239 | ' |
Treasury stock, shares | 8,459,498 | 8,463,635 |
Common Class A [Member] | ' | ' |
Common Stock, par value per share | $0.00 | $0.00 |
Common Stock, shares authorized | 100,000,000 | 100,000,000 |
Common Stock, shares issued | 37,076,689 | 36,997,277 |
Common Class B [Member] | ' | ' |
Common Stock, par value per share | $0.00 | $0.00 |
Common Stock, shares authorized | 25,000,000 | 25,000,000 |
Common Stock, shares issued | 3,235,048 | 3,235,048 |
Common Stock, shares outstanding | 3,235,048 | 3,235,048 |
CONSOLIDATED_STATEMENTS_OF_CAS
CONSOLIDATED STATEMENTS OF CASH FLOWS (USD $) | 3 Months Ended | 9 Months Ended | ||
In Thousands, unless otherwise specified | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2014 | Sep. 30, 2013 |
OPERATING ACTIVITIES | ' | ' | ' | ' |
Net income | $11,774 | $4,698 | $33,644 | $8,830 |
Adjustments to reconcile net income to net cash provided by operating activities: | ' | ' | ' | ' |
Depreciation | 13,737 | 14,230 | 42,120 | 42,868 |
Amortization | 1,999 | 1,567 | 5,621 | 4,884 |
Change in long-term liabilities, deferred taxes and other credits | -2,637 | -283 | 95 | -4,274 |
Provision for write-off of property, plant and equipment | 557 | 264 | 1,286 | 329 |
Gain on disposition or involuntary conversion of assets | ' | ' | -961 | -3,763 |
Excess tax benefit of options exercised | -16 | -420 | -161 | -944 |
Compensation and benefits paid or payable in Class A Common Stock | 213 | 287 | 1,160 | -887 |
Changes in operating assets and liabilities that provide/(use) cash, net of business divestitures: | ' | ' | ' | ' |
Accounts receivable | -4,368 | 5,759 | 9,929 | -479 |
Inventories | -1,279 | 290 | -12,238 | -240 |
Prepaid expenses and other current assets | 661 | 327 | 275 | -1,706 |
Income taxes prepaid and receivable | 100 | 129 | 114 | 309 |
Accounts payable | -2,128 | 4,516 | -2,867 | 3,924 |
Accrued liabilities | 4,414 | 4,076 | -8,265 | 25,005 |
Income taxes payable | 1,819 | -4,101 | 760 | -8,978 |
Other, net | -2,383 | -593 | -6,512 | -1,824 |
Net cash provided by operating activities | 22,463 | 30,746 | 64,000 | 63,054 |
INVESTING ACTIVITIES | ' | ' | ' | ' |
Purchases of property, plant and equipment | -18,704 | -18,378 | -46,106 | -46,186 |
Purchased software | -189 | -728 | -504 | -1,376 |
Proceeds from sale or involuntary conversion of assets | ' | ' | 961 | 6,268 |
Proceeds from sale of discontinued operations, net of expenses | ' | 13,000 | ' | 13,000 |
Net cash used in investing activities | -18,893 | -6,106 | -45,649 | -28,294 |
FINANCING ACTIVITIES | ' | ' | ' | ' |
Proceeds from borrowings | 5,420 | 5,271 | 10,090 | 57,176 |
Principal payments on debt | -6,815 | -18,562 | -30,924 | -69,221 |
Proceeds from options exercised | 223 | 1,661 | 610 | 4,629 |
Excess tax benefit of options exercised | 16 | 420 | 161 | 944 |
Debt acquisition costs | ' | ' | ' | -1,639 |
Dividends paid | -5,094 | -4,747 | -14,633 | -9,170 |
Net cash used in financing activities | -6,250 | -15,957 | -34,696 | -17,281 |
Effect of exchange rate changes on cash and cash equivalents | -8,695 | 6,805 | -10,860 | 4,612 |
(Decrease)/increase in cash and cash equivalents | -11,375 | 15,488 | -27,205 | 22,091 |
Cash and cash equivalents at beginning of period | 206,836 | 197,321 | 222,666 | 190,718 |
Cash and cash equivalents at end of period | $195,461 | $212,809 | $195,461 | $212,809 |
Basis_of_Presentation
Basis of Presentation | 9 Months Ended |
Sep. 30, 2014 | |
Basis of Presentation [Abstract] | ' |
Basis of Presentation | ' |
1. Basis of Presentation | |
In the opinion of management, the accompanying unaudited consolidated financial statements contain all adjustments, consisting of only normal recurring adjustments and elimination of intercompany transactions necessary for a fair presentation of results for such periods. Albany International Corp. (“Albany”) consolidates the financial results of its subsidiaries for all periods presented. The results for any interim period are not necessarily indicative of results for the full year. The information included in this Quarterly Report on Form 10-Q should be read in conjunction with “Risk Factors,” “ Legal Proceedings,” “Management's Discussion and Analysis of Financial Condition and Results of Operation,” “Quantitative and Qualitative Disclosures about Market Risk” and the Consolidated Financial Statements and Notes thereto included in Items 1A, 3, 7, 7A and 8, respectively, of the Albany International Corp. Annual Report on Form 10-K for the fiscal year ended December 31, 2013. | |
The preparation of financial statements in accordance with U.S. generally accepted accounting principles (“GAAP”) requires management to make estimates and assumptions that affect the amounts reported in Albany International Corp.'s Consolidated Financial Statements and accompanying Notes. Actual results could differ materially from those estimates. |
Noncontrolling_Interest
Noncontrolling Interest | 9 Months Ended | |||
Sep. 30, 2014 | ||||
Noncontrolling Interest [Abstract] | ' | |||
Noncontrolling Interest | ' | |||
2. Noncontrolling Interest | ||||
Effective October 31, 2013, Safran S.A. (Safran) acquired a 10 percent equity interest in a new Albany subsidiary, Albany Safran Composites, LLC (ASC). Under the terms of the transaction agreements, ASC is the exclusive supplier to Safran of advanced 3D-woven composite parts for use in aircraft and rocket engines, thrust reversers and nacelles, and aircraft landing and braking systems (the “Safran Applications”). AEC may develop and supply parts other than advanced 3D-woven composite parts for all aerospace applications, as well as advanced 3D-woven composite parts for any aerospace applications that are not Safran Applications (such as airframe applications) and any non-aerospace applications. | ||||
The agreement provides Safran an option to purchase Albany's remaining 90 percent interest upon the occurrence of certain bankruptcy or performance default events, or if Albany's Engineered Composites business is sold to a direct competitor of Safran. The purchase price is based initially on the same valuation of ASC used to determine Safran's 10% equity interest, and increases over time as LEAP production increases. | ||||
In accordance with the operating agreement, Albany received a $28 million preferred holding in ASC which includes a preferred return based on the Company's revolving credit agreement. The common shares of ASC are owned 90 percent by Albany and 10 percent by Safran. | ||||
The table below presents a reconciliation of income attributable to the noncontrolling interest and noncontrolling equity: | ||||
(in thousands, except percentages) | Nine months ended | |||
30-Sep-14 | ||||
Net income of ASC | $ | 679 | ||
Less: Return attributable to the Company's preferred holding | 759 | |||
Net loss of ASC available for common ownership | (80 | ) | ||
Ownership percentage of noncontrolling shareholder | 10 | % | ||
Net loss attributable to noncontrolling interest | $ | (8 | ) | |
Noncontrolling interest as of December 31, 2013 | $ | 3,482 | ||
Adjustment to net assets contributed by Albany | 38 | |||
Net loss attributable to noncontrolling interest | (8 | ) | ||
Changes in other comprehensive income attributable to noncontrolling interest | 7 | |||
Noncontrolling interest as of September 30, 2014 | $ | 3,519 |
Reportable_Segments
Reportable Segments | 9 Months Ended | |||||||||||||||
Sep. 30, 2014 | ||||||||||||||||
Reportable Segments [Abstract] | ' | |||||||||||||||
Reportable Segments | ' | |||||||||||||||
3. Reportable Segments | ||||||||||||||||
Effective January 1, 2014, Albany International Corp. (the “Company”) changed its business segment reporting by recasting, for all prior periods, certain expenses previously identified as Research and Unallocated expenses to existing segments. The Company has two reportable segments: Machine Clothing (MC) and Albany Engineered Composites (AEC), and had Research and Unallocated expenses that were not allocated to these segments. Substantially all research and development expenses are now included in segment operating expenses. Prior to this change, Unallocated expenses included long-term incentive compensation for all Company employees. To the extent such programs are related to MC and AEC employees, such expenses are now included in segment operating expenses. Additionally, the amounts previously referred to as “Unallocated expenses,” is now referred to as “Corporate expenses.” These changes are being made to be consistent with how the chief operating decision-maker assesses Company performance. On April 10, 2014, we filed a Form 8-K to show the effect of these changes on previously reported results and, accordingly, the 2013 segment results in this report reflect the effect of this change. | ||||||||||||||||
The following tables show data by reportable segment, reconciled to consolidated totals included in the financial statements: | ||||||||||||||||
Three months ended September 30, | Nine months ended September 30, | |||||||||||||||
(in thousands) | 2014 | 2013 | 2014 | 2013 | ||||||||||||
Net sales | ||||||||||||||||
Machine Clothing | $ | 157,891 | $ | 162,864 | $ | 494,788 | $ | 507,809 | ||||||||
Albany Engineered Composites | 21,970 | 20,283 | 58,898 | 59,966 | ||||||||||||
Consolidated total | $ | 179,861 | $ | 183,147 | $ | 553,686 | $ | 567,775 | ||||||||
Operating income | ||||||||||||||||
Machine Clothing | $ | 33,308 | $ | 27,910 | $ | 103,329 | $ | 80,287 | ||||||||
Albany Engineered Composites | (2,765 | ) | (3,951 | ) | (9,785 | ) | (13,032 | ) | ||||||||
Corporate expenses | (11,385 | ) | (10,704 | ) | (34,808 | ) | (34,995 | ) | ||||||||
Operating income before reconciling items | 19,158 | 13,255 | 58,736 | 32,260 | ||||||||||||
Reconciling items: | ||||||||||||||||
Interest income | (527 | ) | (351 | ) | (1,079 | ) | (951 | ) | ||||||||
Interest expense | 3,013 | 3,835 | 9,200 | 12,007 | ||||||||||||
Other expense/ (income), net | (1,864 | ) | 2,692 | (4,464 | ) | 5,637 | ||||||||||
Income before income taxes | $ | 18,536 | $ | 7,079 | $ | 55,079 | $ | 15,567 | ||||||||
The table below presents restructuring costs by reportable segment (also see Note 5): | ||||||||||||||||
Three months ended September 30, | Nine months ended September 30, | |||||||||||||||
(in thousands) | 2014 | 2013 | 2014 | 2013 | ||||||||||||
Restructuring expense | ||||||||||||||||
Machine Clothing | $ | 968 | $ | 2,250 | $ | 3,127 | $ | 26,673 | ||||||||
Albany Engineered Composites | (49 | ) | 6 | 931 | 540 | |||||||||||
Consolidated total | $ | 919 | $ | 2,256 | $ | 4,058 | $ | 27,213 | ||||||||
Machine Clothing restructuring expense was principally related to the reduction in manufacturing capacity at the production facilities in France. Restructuring expenses in the Albany Engineered Composites operations were principally related to organizational changes and exiting certain aerospace programs. | ||||||||||||||||
There were no material changes in the total assets of the reportable segments during this period. |
Pensions_and_Other_Postretirem
Pensions and Other Postretirement Benefit Plans | 9 Months Ended | ||||||||||||||||
Sep. 30, 2014 | |||||||||||||||||
Pensions and Other Postretirement Benefit Plans [Abstract] | ' | ||||||||||||||||
Pensions and Other Postretirement Benefit Plans | ' | ||||||||||||||||
4. Pensions and Other Postretirement Benefit Plans | |||||||||||||||||
Pension Plans | |||||||||||||||||
The Company has defined benefit pension plans covering certain U.S. and non-U.S. employees. The U.S. qualified defined benefit pension plan has been closed to new participants since October 1998 and, as of February 2009, benefits accrued under this plan were frozen. As a result of the freeze, employees covered by the pension plan will receive, at retirement, benefits already accrued through February 2009, but no new benefits accrue after that date. Benefit accruals under the U.S. Supplemental Executive Retirement Plan ("SERP") were similarly frozen. The eligibility, benefit formulas, and contribution requirements for plans outside of the U.S. vary by location. | |||||||||||||||||
Other Postretirement Benefits | |||||||||||||||||
In addition to providing pension benefits, the Company provides various medical, dental, and life insurance benefits for certain retired United States employees. U.S. employees hired prior to 2005 may become eligible for these benefits if they reach normal retirement age while working for the Company. Benefits provided under this plan are subject to change. Retirees share in the cost of these benefits. Effective January 2005, any new employees who wish to be covered under this plan will be responsible for the full cost of such benefits. In September 2008, we changed the cost sharing arrangement under this program such that increases in health care costs are the responsibility of plan participants. In August 2013, we reduced the life insurance benefit for retirees and eliminated the benefit for active employees. | |||||||||||||||||
The Company also provides certain postretirement life insurance benefits to retired employees in Canada. The Company accrues the cost of providing postretirement benefits during the active service period of the employees. The Company currently funds the plan as claims are paid. | |||||||||||||||||
The composition of the net periodic benefit plan cost for the nine months ended September 30, 2014 and 2013 was as follows: | |||||||||||||||||
Pension plans | Other postretirement benefits | ||||||||||||||||
(in thousands) | 2014 | 2013 | 2014 | 2013 | |||||||||||||
Components of net periodic benefit cost: | |||||||||||||||||
Service cost | $ | 2,521 | $ | 2,526 | $ | 236 | $ | 789 | |||||||||
Interest cost | 7,217 | 5,999 | 2,057 | 2,374 | |||||||||||||
Expected return on assets | (7,260 | ) | (6,103 | ) | - | - | |||||||||||
Amortization of prior service cost/(credit) | 41 | 27 | (3,366 | ) | (2,818 | ) | |||||||||||
Amortization of transition obligation | - | 51 | - | - | |||||||||||||
Amortization of net actuarial loss | 1,845 | 2,357 | 2,181 | 2,606 | |||||||||||||
Curtailment | (710 | ) | - | - | - | ||||||||||||
Settlement | - | 315 | - | - | |||||||||||||
Net periodic benefit cost | $ | 3,654 | $ | 5,172 | $ | 1,108 | $ | 2,951 | |||||||||
In September 2014, certain participants of the U.S. pension plan were notified of a limited-time opportunity whereby they could elect to receive the value of their pension benefit in a lump-sum payment. All lump-sum payments will be funded from pension plan assets and are expected to be made before the end of 2014. As a result of this initiative, and depending on the number of participants that elect the lump-sum payment, the Company expects to record a non-cash settlement charge of approximately $5 to $10 million in 2014. The payments are not expected to have a significant impact on the plan's funded status. |
Restructuring
Restructuring | 9 Months Ended | ||||||||||||||||||||
Sep. 30, 2014 | |||||||||||||||||||||
Restructuring [Abstract] | ' | ||||||||||||||||||||
Restructuring | ' | ||||||||||||||||||||
5. Restructuring | |||||||||||||||||||||
During the second quarter of 2013, the Company commenced a program to restructure operations at the Company's Machine Clothing production facilities in France. The restructuring, when completed, will have reduced employment by approximately 200 positions at these locations. As of September 30, 2014, approximately 190 positions had been eliminated. | |||||||||||||||||||||
Under the terms of the restructuring plan, the Company provides training, outplacement and other benefits, the costs of which are recorded as restructuring when they are incurred. The Company recorded a curtailment gain of $0.7 million for the first nine months of 2014 related to the elimination of pension accruals, which reduced net restructuring expense as reflected in the table below. Such curtailment gains are recorded as employees terminate employment and, accordingly, we expect to record additional gains during 2014. Remaining costs for this program are expected to be between $1 and $2 million, and we expect these costs to occur over the next several quarters. | |||||||||||||||||||||
Restructuring expenses in the Albany Engineered Composites operations were principally related to organizational changes and exiting certain aerospace programs. | |||||||||||||||||||||
The following table summarizes charges reported in the Statements of Income under “Restructuring and other, net”: | |||||||||||||||||||||
Three months ended | Nine months ended | ||||||||||||||||||||
September 30, | |||||||||||||||||||||
September 30, | |||||||||||||||||||||
(in thousands) | 2014 | 2013 | 2014 | 2013 | |||||||||||||||||
Machine Clothing | $ | 968 | $ | 2,250 | $ | 3,127 | $ | 26,673 | |||||||||||||
Albany Engineered Composites | (49 | ) | 6 | 931 | 540 | ||||||||||||||||
Total | $ | 919 | $ | 2,256 | $ | 4,058 | $ | 27,213 | |||||||||||||
Nine months ended September 30, 2014 | Total | Termination and | Impairment of | Benefit plan | |||||||||||||||||
restructuring | other costs | plant and | curtailment/ | ||||||||||||||||||
(in thousands) | costs incurred | equipment | settlement | ||||||||||||||||||
Machine Clothing | $ | 3,127 | $ | 3,837 | $ | - | $ | (710 | ) | ||||||||||||
Albany Engineered Composites | 931 | 320 | 611 | - | |||||||||||||||||
Total | $ | 4,058 | $ | 4,157 | $ | 611 | $ | (710 | ) | ||||||||||||
Nine months ended September 30, 2013 | Total | Termination and | Impairment of | Benefit plan | |||||||||||||||||
restructuring | other costs | plant and | curtailment/ | ||||||||||||||||||
(in thousands) | costs incurred | equipment | settlement | ||||||||||||||||||
Machine Clothing | $ | 26,673 | $ | 26,837 | $ | - | $ | (164 | ) | ||||||||||||
Albany Engineered Composites | 540 | 452 | 88 | - | |||||||||||||||||
Total | $ | 27,213 | $ | 27,289 | $ | 88 | $ | (164 | ) | ||||||||||||
We expect that substantially all Accrued liabilities for restructuring will be paid within one year. The table below presents year-to-date changes in restructuring liabilities for 2014 and 2013 all of which related to termination costs: | |||||||||||||||||||||
December 31, | Restructuring | Currency | September 30, | ||||||||||||||||||
(in thousands) | 2013 | charges accrued | Payments | translation/other | 2014 | ||||||||||||||||
Total Termination costs | $ | 9,656 | $ | 4,148 | $ | (10,904 | ) | $ | (277 | ) | $ | 2,623 | |||||||||
December 31, | Restructuring | Currency | September 30, | ||||||||||||||||||
(in thousands) | 2012 | charges accrued | Payments | translation/other | 2013 | ||||||||||||||||
Total Termination costs | $ | 4,947 | $ | 25,860 | $ | (5,529 | ) | $ | 609 | $ | 25,887 | ||||||||||
Other_IncomeExpense_net
Other (Income)/Expense, net | 9 Months Ended | ||||||||||||||||
Sep. 30, 2014 | |||||||||||||||||
Other (Income)/Expense, net [Abstract] | ' | ||||||||||||||||
Other (Income)/Expense, net | ' | ||||||||||||||||
6. Other (Income)/Expenses, net | |||||||||||||||||
The components of Other (income)/expenses, net, are: | |||||||||||||||||
Three months ended September 30, | Nine months ended September 30, | ||||||||||||||||
(in thousands) | 2014 | 2013 | 2014 | 2013 | |||||||||||||
Currency transactions | $ | (1,916 | ) | $ | 1,975 | $ | (3,819 | ) | $ | 3,879 | |||||||
Bank fees and amortization of debt issuance costs | 271 | 203 | 868 | 1,201 | |||||||||||||
Gain on insurance recovery | (165 | ) | - | (1,126 | ) | - | |||||||||||
Organizational costs related to Albany Safran Composites | - | 500 | - | 500 | |||||||||||||
Other | (54 | ) | 14 | (387 | ) | 57 | |||||||||||
Total | $ | (1,864 | ) | $ | 2,692 | $ | (4,464 | ) | $ | 5,637 | |||||||
In July 2013, the Company's manufacturing facility in Germany was damaged by severe weather. At that time, the Company expensed the remaining book value of the damaged property, but that value was minimal. The gain recorded in the third quarter of 2014 represented the finalization of the insurance claim. |
Income_Taxes
Income Taxes | 9 Months Ended | ||||||||||||||||
Sep. 30, 2014 | |||||||||||||||||
Income Taxes [Abstract] | ' | ||||||||||||||||
Income Taxes | ' | ||||||||||||||||
7. Income Taxes | |||||||||||||||||
The following table presents components of income tax expense/(benefit) for the three and nine months ended September 30, 2014 and 2013: | |||||||||||||||||
Three months ended September 30, | Nine months ended September 30, | ||||||||||||||||
(in thousands) | 2014 | 2013 | 2014 | 2013 | |||||||||||||
Income tax based on income from continuing operations, at estimated tax rates of 34.9% and 41.0%, respectively | $ | 6,470 | $ | 2,902 | $ | 19,226 | $ | 6,382 | |||||||||
Provision for change in estimated tax rates | (243 | ) | 170 | - | - | ||||||||||||
Income tax before discrete items | 6,227 | 3,072 | 19,226 | 6,382 | |||||||||||||
Discrete tax expense/(benefit): | |||||||||||||||||
Provision for/adjustment to beginning of year valuation allowances | - | - | 437 | - | |||||||||||||
Provision for/resolution of tax audits and contingencies, net | 330 | - | 1,310 | 425 | |||||||||||||
Adjustments to prior period tax liabilities | 205 | (818 | ) | 459 | (734 | ) | |||||||||||
Enacted legislation change | - | (269 | ) | - | (269 | ) | |||||||||||
Repatriation of non-U.S. prior years' earnings | - | 396 | - | 582 | |||||||||||||
Other discrete tax adjustments, net | - | - | 3 | - | |||||||||||||
Total income tax expense/(benefit) | $ | 6,762 | $ | 2,381 | $ | 21,435 | $ | 6,386 | |||||||||
The third quarter estimated effective tax rate on continuing operations was 34.9 percent in 2014, as compared to 41.0 percent for the same period in 2013. The change in the estimated effective tax rate was primarily attributable to changes in the anticipated amount and distribution of income and loss among the countries in which we operate. | |||||||||||||||||
The Company records the residual U.S. and foreign taxes on certain amounts of current year foreign earnings that have been targeted for repatriation to the U.S. As a result, such amounts are not considered to be permanently reinvested, and the Company accrued as part of the income tax provision before discrete items, for the residual taxes on these earnings to the extent they cannot be repatriated in a tax-free manner. At September 30, 2014 the Company reported a deferred tax liability of $0.1 million on $3.6 million of prior year non-U.S. earnings that had been targeted for future repatriation to the U.S. | |||||||||||||||||
We conduct business globally and, as a result, the Company files income tax returns in the U.S. federal jurisdiction and various state and foreign jurisdictions. In the normal course of business we are subject to examination by taxing authorities throughout the world, including major jurisdictions such as the United States, Brazil, Canada, France, Germany, Italy, Mexico, and Switzerland. The open tax years in these jurisdictions range from 2000 to 2013. We are currently under audit in the U.S. and in other non-U.S. tax jurisdictions, including but not limited to Canada, Germany, and Italy. | |||||||||||||||||
It is reasonably possible that over the next twelve months the amount of unrecognized tax benefits may change within a range of a net increase of $0 million to a net decrease of $2.6 million, from the reevaluation of uncertain tax positions arising in examinations, in appeals, or in the courts, or from the closure of tax statutes. | |||||||||||||||||
Not included in the range is $24 million of tax benefits in Germany related to a 1999 reorganization that have been challenged by the German tax authorities in the course of an audit. In 2008 the German Federal Tax Court (FTC) denied tax benefits to other taxpayers in a case involving German tax laws relevant to our reorganization. One of these cases involved a non-German party, and in the ruling in that case, the FTC acknowledged that the German law in question may be violative of European Union (EU) principles and referred the issue to the European Court of Justice (ECJ) for its determination on this issue. In September 2009, the ECJ issued an opinion in this case that is generally favorable to the other taxpayer and referred the case back to the FTC for further consideration. In May 2010 the FTC released its decision, in which it resolved certain tax issues that may be relevant to our audit and remanded the case to a lower court for further development. In 2012, the lower court decided in favor of the taxpayer and the government appealed the findings to the FTC. On July 2, 2014, The FTC conducted a hearing in the aforementioned case involving the other taxpayer, and the taxpayer lost. The final written decision of the FTC will be issued in the fourth quarter of 2014. Although we believe that the relevant German tax law is violative of EU principles, management views the conclusion of this case as an opportunity to approach the German tax authorities with the goal of a settlement agreement. We were required to pay tax and interest of approximately $13 million to the German tax authorities in order to pursue our appeal position. In anticipation of a settlement, a portion of the prepaid taxes and interest along with certain deferred tax assets were adjusted downward by $6 million during the third quarter of 2014, which is included in Provision for/resolution of tax audits and contingencies in the above table. Also included on that line, for the third quarter of 2014, is a tax benefit related to the lapse of a tax statute. | |||||||||||||||||
Earnings_Per_Share
Earnings Per Share | 9 Months Ended | |||||||||||||||||||
Sep. 30, 2014 | ||||||||||||||||||||
Earnings Per Share [Abstract] | ' | |||||||||||||||||||
Earnings Per Share | ' | |||||||||||||||||||
8. Earnings Per Share | ||||||||||||||||||||
The amounts used in computing earnings per share and the weighted average number of shares of potentially dilutive securities are as follows: | ||||||||||||||||||||
Three months ended September 30, | Nine months ended September 30, | |||||||||||||||||||
(in thousands, except market price and earnings per share data) | 2014 | 2013 | 2014 | 2013 | ||||||||||||||||
Net income attributable to the Company | $ | 11,812 | $ | 4,698 | $ | 33,652 | $ | 8,830 | ||||||||||||
Weighted average number of shares: | ||||||||||||||||||||
Weighted average number of shares used in | ||||||||||||||||||||
calculating basic net income per share | 31,848 | 31,719 | 31,822 | 31,615 | ||||||||||||||||
Effect of dilutive stock-based compensation plans: | ||||||||||||||||||||
Stock options | 98 | 122 | 102 | 129 | ||||||||||||||||
Weighted average number of shares used in | ||||||||||||||||||||
calculating diluted net income per share | 31,946 | 31,841 | 31,924 | 31,744 | ||||||||||||||||
Average market price of common stock used | ||||||||||||||||||||
for calculation of dilutive shares | $ | 37.2 | $ | 34.43 | $ | 36.38 | $ | 30.53 | ||||||||||||
Net income per share: | ||||||||||||||||||||
Basic | $ | 0.37 | $ | 0.15 | $ | 1.06 | $ | 0.28 | ||||||||||||
Diluted | $ | 0.37 | $ | 0.15 | $ | 1.05 | $ | 0.28 | ||||||||||||
The following table presents the number of shares issued and outstanding: | ||||||||||||||||||||
Class A | Class B | Treasury | Net shares | |||||||||||||||||
Shares | Shares | Shares | Outstanding | |||||||||||||||||
30-Sep-14 | 37,076,689 | 3,235,048 | (8,459,498 | ) | 31,852,239 | |||||||||||||||
30-Jun-14 | 37,064,939 | 3,235,048 | (8,459,498 | ) | 31,840,489 | |||||||||||||||
30-Sep-13 | 36,954,027 | 3,236,098 | (8,463,635 | ) | 31,726,490 |
Accumulated_Other_Comprehensiv
Accumulated Other Comprehensive Income | 9 Months Ended | ||||||||||||||||
Sep. 30, 2014 | |||||||||||||||||
Accumulated Other Comprehensive Income [Abstract] | ' | ||||||||||||||||
Accumulated Other Comprehensive Income | ' | ||||||||||||||||
9. Accumulated Other Comprehensive Income | |||||||||||||||||
The table below presents changes in the components of Accumulated Other Comprehensive Income for the period December 31, 2013 to September 30, 2014: | |||||||||||||||||
(in thousands) | Translation | Pension and | Derivative | Total Other | |||||||||||||
adjustments | postretirement | valuation | Comprehensive | ||||||||||||||
liability | adjustment | Income | |||||||||||||||
adjustments | |||||||||||||||||
31-Dec-13 | ($138 | ) | ($48,383 | ) | ($977 | ) | ($49,498 | ) | |||||||||
Other comprehensive income before reclassifications | (30,703 | ) | 998 | (530 | ) | (30,235 | ) | ||||||||||
Interest expense related to swaps reclassified to the Statements of Income, net of tax | - | - | 873 | 873 | |||||||||||||
Pension and postretirement liability adjustments reclassified to Statements of Income, net of tax | - | 421 | - | 421 | |||||||||||||
Net current period other comprehensive income | (30,703 | ) | 1,419 | 343 | (28,941 | ) | |||||||||||
30-Sep-14 | ($30,841 | ) | ($46,964 | ) | ($634 | ) | ($78,439 | ) | |||||||||
The components of our Accumulated Other Comprehensive Income that are reclassified to the Statements of Income relate to our pension and postretirement plans and interest rate swaps. The table below presents the amounts reclassified, and the line items of the Statements of Income that were affected: | |||||||||||||||||
Three months ended September 30, | Nine months ended September 30, | ||||||||||||||||
Expense/(income)(in thousands) | 2014 | 2013 | 2014 | 2013 | |||||||||||||
Pretax Derivative valuation reclassified from Accumulated Other Comprehensive Income: | |||||||||||||||||
Payments made on interest rate swaps included in earnings | $480 | $467 | $1,431 | $1,377 | |||||||||||||
Income tax effect | (187 | ) | (183 | ) | (558 | ) | (537 | ) | |||||||||
Effect on net income due to items reclassified from Accumulated Other Comprehensive Income | $293 | $284 | $873 | $840 | |||||||||||||
Pretax pension and postretirement liabilities reclassified from Accumulated Other Comprehensive Income: | |||||||||||||||||
Amortization of prior service cost/(credit) | ($1,108 | ) | ($974 | ) | ($3,325 | ) | ($2,791 | ) | |||||||||
Amortization of transition obligation | - | 17 | - | 51 | |||||||||||||
Amortization of net actuarial loss | 1,343 | 1,635 | 4,026 | 4,963 | |||||||||||||
Total pretax amount reclassified (a) | 235 | 678 | 701 | 2,223 | |||||||||||||
Income tax effect | (94 | ) | (265 | ) | (280 | ) | (806 | ) | |||||||||
Effect on net income due to items reclassified from Accumulated Other Comprehensive Income | $141 | $413 | $421 | $1,417 | |||||||||||||
(a) | |||||||||||||||||
These accumulated other comprehensive income components are included in the computation of net periodic pension cost (see Note 4). |
Accounts_Receivable
Accounts Receivable | 9 Months Ended | ||||||||
Sep. 30, 2014 | |||||||||
Accounts Receivable [Abstract] | ' | ||||||||
Accounts Receivable | ' | ||||||||
10. Accounts Receivable | |||||||||
Accounts receivable includes trade receivables and revenue in excess of progress billings on long-term contracts in the Albany Engineered Composites business. The Company maintains allowances for doubtful accounts for estimated losses resulting from the inability of its customers to make required payments. The Company determines the allowance based on historical write-off experience, customer-specific facts and economic conditions. If the financial condition of the Company's customers were to deteriorate, resulting in an impairment of their ability to make payments, additional allowances may be required. | |||||||||
The components of Accounts receivable are summarized below: | |||||||||
(in thousands) | 30-Sep-14 | 31-Dec-13 | |||||||
Trade and other accounts receivable | $ | 146,348 | $ | 154,296 | |||||
Revenue in excess of progress billings | 9,799 | 20,525 | |||||||
Allowance for doubtful accounts | (8,664 | ) | (11,274 | ) | |||||
Total Accounts Receivable | $ | 147,483 | $ | 163,547 |
Inventories
Inventories | 9 Months Ended | ||||||||
Sep. 30, 2014 | |||||||||
Inventories [Abstract] | ' | ||||||||
Inventories | ' | ||||||||
11. Inventories | |||||||||
Inventories are stated at the lower of cost or market, and are valued at average cost, net of reserves. The Company maintains reserves for possible impairment in the value of inventories. Such reserves can be specific to certain inventory, or general based on judgments about the overall condition of the inventory. General reserves are established based on percentage write-downs applied to aged inventories, or for inventories that are slow-moving. If actual results differ from estimates, additional inventory write-downs may be necessary. These general reserves for aged inventory are relieved through income only when the inventory is sold. | |||||||||
As of September 30, 2014 and December 31, 2013, inventories consisted of the following: | |||||||||
(in thousands) | 30-Sep-14 | 31-Dec-13 | |||||||
Raw materials | $ | 29,208 | $ | 25,754 | |||||
Work in process | 47,383 | 45,998 | |||||||
Finished goods | 45,001 | 40,987 | |||||||
Total inventories | $ | 121,592 | $ | 112,739 | |||||
During the second quarter of 2014, the Company identified an error in the value of Machine Clothing inventories reported in prior periods. Included in cost of goods sold for the first nine months of 2014 is a charge of $1.6 million to correct the errors by reducing inventories to their proper carrying values. The error relates to intercompany transfers of inventory and originated when the Company transitioned to a new ERP system in the Americas in 2008 and Europe in 2011. |
Goodwill_and_Other_Intangible_
Goodwill and Other Intangible Assets | 9 Months Ended | ||||||||||||||||
Sep. 30, 2014 | |||||||||||||||||
Goodwill and Other Intangible Assets [Abstract] | ' | ||||||||||||||||
Goodwill and Other Intangible Assets | ' | ||||||||||||||||
12. Goodwill and Other Intangible Assets | |||||||||||||||||
Goodwill and intangible assets with indefinite useful lives are not amortized, but are tested for impairment at least annually. Goodwill represents the excess of the purchase price over the fair value of the net tangible and identifiable intangible assets acquired in each business combination. Our reporting units are consistent with our operating segments. | |||||||||||||||||
Determining the fair value of a reporting unit requires the use of significant estimates and assumptions, including revenue growth rates, operating margins, discount rates, and future market conditions, among others. Goodwill and other long-lived assets are reviewed for impairment whenever events, such as significant changes in the business climate, plant closures, changes in product offerings, or other circumstances indicate that the carrying amount may not be recoverable. | |||||||||||||||||
To determine fair value, we utilize two market-based approaches and an income approach. Under the market-based approaches, we utilize information regarding the Company as well as publicly available industry information to determine earnings multiples and sales multiples. Under the income approach, we determine fair value based on estimated future cash flows of each reporting unit, discounted by an estimated weighted-average cost of capital, which reflects the overall level of inherent risk of a reporting unit and the rate of return an outside investor would expect to earn. | |||||||||||||||||
The entire balance of goodwill on our books is attributable to the Machine Clothing business. In the second quarter of 2014, the Company applied the qualitative assessment approach in performing its annual evaluation of goodwill and concluded that no impairment provision was required. In addition, there were no amounts at risk due to the large spread between the fair and carrying values. | |||||||||||||||||
We are continuing to amortize certain patents, trade names, customer contracts and technology assets that have finite lives. The changes in intangible assets and goodwill from December 31, 2013 to September 30, 2014, were as follows: | |||||||||||||||||
(in thousands) | 31-Dec-13 | Amortization | Currency Translation | 30-Sep-14 | |||||||||||||
Amortized intangible assets: | |||||||||||||||||
AEC trade names | $ | 33 | $ | (4 | ) | $ | - | $ | 29 | ||||||||
AEC customer contracts | 404 | (151 | ) | - | 253 | ||||||||||||
AEC technology | 179 | (18 | ) | - | 161 | ||||||||||||
Total amortized intangible assets | $ | 616 | $ | (173 | ) | $ | - | $ | 443 | ||||||||
Unamortized intangible assets: | |||||||||||||||||
Goodwill | $ | 78,890 | $ | - | $ | (4,868 | ) | $ | 74,022 | ||||||||
Estimated amortization expense of intangibles for the years ending December 31, 2014 through 2018, is as follows: | |||||||||||||||||
Annual amortization | |||||||||||||||||
Year | (in thousands) | ||||||||||||||||
2014 | $ | 231 | |||||||||||||||
2015 | 231 | ||||||||||||||||
2016 | 29 | ||||||||||||||||
2017 | 29 | ||||||||||||||||
2018 | 29 |
Financial_Instruments
Financial Instruments | 9 Months Ended | ||||||||
Sep. 30, 2014 | |||||||||
Financial Instruments [Abstract] | ' | ||||||||
Financial Instruments | ' | ||||||||
13. Financial Instruments | |||||||||
Long-term debt, principally to banks and bondholders, consists of: | |||||||||
(in thousands, except interest rates) | 30-Sep-14 | 31-Dec-13 | |||||||
Private placement with a fixed interest rate of 6.84%, due 2015 and 2017 | $ | 100,000 | $ | 100,000 | |||||
Credit agreement with borrowings outstanding at an end of period interest rate of 2.62% in 2014 and 2.53% in 2013 (including the effect of interest rate hedging transactions, as described below), due in 2018 | 183,000 | 200,000 | |||||||
Various notes and mortgages relative to operations principally outside the United States, at an average end of period rate of 5.50% in 2014 and 3.10% in 2013, due in varying amounts through 2021 | 115 | 3,875 | |||||||
Long-term debt | 283,115 | 303,875 | |||||||
Less: current portion | (15 | ) | (3,764 | ) | |||||
Long-term debt, net of current portion | $ | 283,100 | $ | 300,111 | |||||
A note agreement and guaranty (“Prudential Agreement”) was entered into in October 2005, and was amended and restated as of September 17, 2010 and March 26, 2013, with the Prudential Insurance Company of America, and certain other purchasers with interest at 6.84% and a maturity date of October 25, 2017. The remaining obligation under the Prudential Agreement has a mandatory payment of $50 million due on October 25, 2015, and the final payment is due October 25, 2017. At the noteholders' election, certain prepayments may also be required in connection with certain asset dispositions or financings. The notes may not otherwise be prepaid without a premium, under certain market conditions. The Prudential Agreement contains customary terms, as well as affirmative covenants, negative covenants, and events of default comparable to those in our current principal credit facility (as described below). For disclosure purposes, we are required to measure the fair value of outstanding debt on a recurring basis. As of September 30, 2014, the fair value of this debt was approximately $112.2 million, and was measured using active market interest rates, which would be considered Level 2 for fair value measurement purposes. | |||||||||
On March 26, 2013, we entered into a $330 million, unsecured Five-Year Revolving Credit Facility Agreement (“Credit Agreement”), under which $183 million of borrowings were outstanding as of September 30, 2014. The Credit Agreement replaces the previous $390 million five-year Credit Agreement made in 2010. The applicable interest rate for borrowings under the Credit Agreement, as well as under the former agreement, is LIBOR plus a spread, based on our leverage ratio at the time of borrowing. At the time of the last borrowing on September 22, 2014, the spread was 1.375%. The spread is based on a pricing grid, which ranges from 1.25% to 1.875%, based on our leverage ratio. | |||||||||
Our ability to borrow additional amounts under the Credit Agreement is conditional upon the absence of any defaults, as well as the absence of any material adverse change. Based on our maximum leverage ratio and our consolidated EBITDA (as defined in the Credit Agreement), and without modification to any other credit agreements, as of September 30, 2014, we would have been able to borrow an additional $147 million under our agreement. | |||||||||
On July 16, 2010, we entered into interest rate hedging transactions that have the effect of fixing the LIBOR portion of the effective interest rate (before addition of the spread) on $105 million of the indebtedness drawn under the Credit Agreement at the rate of 2.04% until July 16, 2015. Under the terms of these transactions, we pay the fixed rate of 2.04% and the counterparties pay a floating rate based on the three-month LIBOR rate at each quarterly calculation date, which on July 16, 2014 was 0.24%. The net effect is to fix the effective interest rate on $105 million of indebtedness at 2.04%, plus the applicable spread, until these swap agreements expire. On September 30, 2014, the all-in rate on the $105 million of debt was 3.415%. | |||||||||
On May 20, 2013, we entered into interest rate hedging transactions for the period July 16, 2015 through March 16, 2018. These transactions have the effect of fixing the LIBOR portion of the effective interest rate (before addition of the spread) on $110 million of indebtedness drawn under the Credit Agreement at the rate of 1.414% during this period. Under the terms of these transactions, we pay the fixed rate of 1.414% and the counterparties pay a floating rate based on the one-month LIBOR rate at each monthly calculation date, which on September 30, 2014 was 0.1525%. The net effect is to fix the effective interest rate on $110 million of indebtedness at 1.414%, plus the applicable spread, during the swap period. | |||||||||
These interest rate swaps are accounted for as a hedge of future cash flows, as further described in Note 14 of the Notes to Consolidated Financial Statements. No cash collateral was received or pledged in relation to the swap agreements. | |||||||||
Under the Credit Agreement and Prudential Agreement, we are currently required to maintain a leverage ratio (as defined in the agreements) of not greater than 3.50 to 1.00 and minimum interest coverage (as defined) of 3.00 to 1.00. | |||||||||
As of September 30, 2014, our leverage ratio was 1.46 to 1.00 and our interest coverage ratio was 12.10 to 1.00. We may purchase our Common Stock or pay dividends to the extent our leverage ratio remains at or below 3.50 to 1.00, and may make acquisitions with cash provided our leverage ratio would not exceed 3.50 to 1.00 after giving pro forma effect to the acquisition. | |||||||||
Indebtedness under each of the Prudential Agreement and the Credit Agreement is ranked equally in right of payment to all unsecured senior debt. | |||||||||
We were in compliance with all debt covenants as of September 30, 2014. |
FairValue_Measurements
Fair-Value Measurements | 9 Months Ended | |||||||||||||||||||||
Sep. 30, 2014 | ||||||||||||||||||||||
Fair-Value Measurements [Abstract] | ' | |||||||||||||||||||||
Fair-Value Measurements | ' | |||||||||||||||||||||
14. Fair-Value Measurements | ||||||||||||||||||||||
Fair value is defined as the exchange price that would be received for an asset or paid to transfer a liability (an exit price) in the principal or most advantageous market for the asset or liability in an orderly transaction between market participants at the measurement date. Accounting principles establish a hierarchy for inputs used in measuring fair value that maximizes the use of observable inputs and minimizes the use of unobservable inputs by requiring that the most observable inputs be used when available. Level 3 inputs are unobservable data points for the asset or liability, and include situations in which there is little, if any, market activity for the asset or liability. As of September 30, 2014 and December 31, 2013, we have no Level 3 financial assets or liabilities. | ||||||||||||||||||||||
The following table presents the fair-value hierarchy for our Level 1 and Level 2 financial assets and liabilities measured at fair value on a recurring basis: | ||||||||||||||||||||||
30-Sep-14 | 31-Dec-13 | |||||||||||||||||||||
Quoted | Significant | Quoted | Significant | |||||||||||||||||||
prices | other | prices | other | |||||||||||||||||||
in active | observable | in active | observable | |||||||||||||||||||
markets | inputs | markets | inputs | |||||||||||||||||||
(in thousands) | (Level 1) | (Level 2) | (Level 1) | (Level 2) | ||||||||||||||||||
Fair Value | ||||||||||||||||||||||
Assets: | ||||||||||||||||||||||
Cash equivalents | $ | 37,037 | $ | - | $ | 25,073 | $ | - | ||||||||||||||
Other Assets: | ||||||||||||||||||||||
Common stock of foreign public company | 781 | - | 952 | - | ||||||||||||||||||
Interest rate swap | - | 830 | (a) | - | 1,517 | (c) | ||||||||||||||||
Liabilities: | ||||||||||||||||||||||
Other noncurrent liabilities: | ||||||||||||||||||||||
Interest rate swap | - | (1,869 | ) | (b) | - | (3,119 | ) | (d) | ||||||||||||||
(a) | Net of $4.9 million receivable floating leg and $4.1 million liability fixed leg | |||||||||||||||||||||
(b) | Net of $0.3 million receivable floating leg and $2.2 million liability fixed leg | |||||||||||||||||||||
(c) | Net of $5.6 million receivable floating leg and $4.1 million liability fixed leg | |||||||||||||||||||||
(d) | Net of $0.7 million receivable floating leg and $3.8 million liability fixed leg | |||||||||||||||||||||
During the nine months ended September 30, 2014, there were no transfers between levels 1, 2, and 3. | ||||||||||||||||||||||
Cash equivalents include short-term securities that are considered to be highly liquid and easily tradable. These securities are valued using inputs observable in active markets for identical securities. | ||||||||||||||||||||||
The common stock of a foreign public company is traded in an active market exchange. The shares are measured at fair value using closing stock prices and are recorded in the Consolidated Balance Sheets as Other assets. The securities are classified as available for sale, and as a result any unrealized gain or loss is recorded in the Shareholders' Equity section of the Consolidated Balance Sheets rather than in the Consolidated Statements of Income. When the security is sold or impaired, gains and losses are reported on the Consolidated Statements of Income. Investments are considered to be impaired when a decline in fair value is judged to be other than temporary. | ||||||||||||||||||||||
Foreign currency instruments are entered into periodically, and consist of foreign currency option contracts and forward contracts that are valued using quoted prices in active markets obtained from independent pricing sources. These instruments are measured using market foreign exchange prices and are recorded in the Consolidated Balance Sheets as Other current assets and Accounts payable, as applicable. Changes in fair value of these instruments are recorded as gains or losses within Other (income)/expenses, net. | ||||||||||||||||||||||
When exercised, the foreign currency instruments are net settled with the same financial institution that bought or sold them. For all positions, whether options or forward contracts, there is risk from the possible inability of the financial institution to meet the terms of the contracts and the risk of unfavorable changes in interest and currency rates, which may reduce the value of the instruments. We seek to control risk by evaluating the creditworthiness of counterparties and by monitoring the currency exchange and interest rate markets while reviewing the hedging risks and contracts to ensure compliance with our internal guidelines and policies. | ||||||||||||||||||||||
We operate our business in many regions of the world, and currency rate movements can have a significant effect on operating results. | ||||||||||||||||||||||
Changes in exchange rates can result in revaluation gains and losses that are recorded in Selling, General and Administrative expenses or Other (income)/expenses, net. Revaluation gains and losses occur when our business units have cash, intercompany (recorded in Other (income)/expenses, net) or third-party trade (recorded in Selling, General and Administrative expenses) receivable or payable balances in a currency other than their local reporting (or functional) currency. | ||||||||||||||||||||||
Operating results can also be affected by the translation of sales and costs, for each non-U.S. subsidiary, from the local functional currency to the U.S. dollar. The translation effect on the income statement is dependent on our net income or expense position in each non-U.S. currency in which we do business. A net income position exists when sales realized in a particular currency exceed expenses paid in that currency; a net expense position exists if the opposite is true. | ||||||||||||||||||||||
The interest rate swaps are accounted for as hedges of future cash flows. The fair value of our interest rate swaps are derived from a discounted cash flow analysis based on the terms of the contract and the interest rate curve, and is included in Other assets and Other noncurrent liabilities in the Consolidated Balance Sheets. Unrealized gains and losses on the swaps will flow through the caption Derivative valuation adjustment in the Shareholders' equity section of the Consolidated Balance Sheets, to the extent that the hedges are highly effective. As of September 30, 2014, these interest rate swaps were determined to be 100% effective hedges of interest rate cash flow risk. Gains and losses related to the ineffective portion of the hedges will be recognized in the current period in earnings. Amounts accumulated in Other comprehensive income are reclassified as Interest expense, net when the related interest payments (that is, the hedged forecasted transactions) affect earnings. Interest expense related to the swaps totaled $1.4 million each of the nine month periods ended September 30, 2014 and 2013. | ||||||||||||||||||||||
Gains/ (losses) related to changes in fair value of derivative instruments that were recognized in Other (income)/expenses, net in the Statements of Income were as follows: | ||||||||||||||||||||||
Three months ended | Nine months ended | |||||||||||||||||||||
September 30, | September 30, | |||||||||||||||||||||
(in thousands) | 2014 | 2013 | 2014 | 2013 | ||||||||||||||||||
Derivatives not designated as hedging instruments | ||||||||||||||||||||||
Forward currency options | $ | (142 | ) | $ | 108 | $ | 12 | $ | 108 |
Contingencies
Contingencies | 9 Months Ended | ||||||||||||||||||||
Sep. 30, 2014 | |||||||||||||||||||||
Contingencies [Abstract] | ' | ||||||||||||||||||||
Contingencies | ' | ||||||||||||||||||||
15. Contingencies | |||||||||||||||||||||
Asbestos Litigation | |||||||||||||||||||||
Albany International Corp. is a defendant in suits brought in various courts in the United States by plaintiffs who allege that they have suffered personal injury as a result of exposure to asbestos-containing products that we previously manufactured. We produced asbestos-containing paper machine clothing synthetic dryer fabrics marketed during the period from 1967 to 1976 and used in certain paper mills. Such fabrics generally had a useful life of three to twelve months. | |||||||||||||||||||||
We were defending 3,925 claims as of September 30, 2014. | |||||||||||||||||||||
The following table sets forth the number of claims filed, the number of claims settled, dismissed or otherwise resolved, and the aggregate settlement amount during the periods presented: | |||||||||||||||||||||
Year ended | Opening | Claims | New Claims | Closing | Amounts Paid | ||||||||||||||||
December 31, | Number of | Dismissed, | Number of | (thousands) to | |||||||||||||||||
Claims | Settled, or | Claims | Settle or | ||||||||||||||||||
Resolved | Resolve | ||||||||||||||||||||
2005 | 29,411 | 6,257 | 1,297 | 24,451 | $ | 504 | |||||||||||||||
2006 | 24,451 | 6,841 | 1,806 | 19,416 | 3,879 | ||||||||||||||||
2007 | 19,416 | 808 | 190 | 18,798 | 15 | ||||||||||||||||
2008 | 18,798 | 523 | 110 | 18,385 | 52 | ||||||||||||||||
2009 | 18,385 | 9,482 | 42 | 8,945 | 88 | ||||||||||||||||
2010 | 8,945 | 3,963 | 188 | 5,170 | 159 | ||||||||||||||||
2011 | 5,170 | 789 | 65 | 4,446 | 1,111 | ||||||||||||||||
2012 | 4,446 | 90 | 107 | 4,463 | 530 | ||||||||||||||||
2013 | 4,463 | 233 | 85 | 4,315 | 82 | ||||||||||||||||
As of September 30, 2014 | 4,315 | 466 | 76 | 3,925 | $ | 433 | |||||||||||||||
We anticipate that additional claims will be filed against the Company and related companies in the future, but are unable to predict the number and timing of such future claims. | |||||||||||||||||||||
Exposure and disease information sufficient to meaningfully estimate a range of possible loss of a particular claim is typically not available until late in the discovery process, and often not until a trial date is imminent and a settlement demand has been received. For these reasons, we do not believe a meaningful estimate can be made regarding the range of possible loss with respect to pending or future claims. | |||||||||||||||||||||
While we believe we have meritorious defenses to these claims, we have settled certain claims for amounts we consider reasonable given the facts and circumstances of each case. Our insurer, Liberty Mutual, has defended each case and funded settlements under a standard reservation of rights. As of September 30, 2014 we had resolved, by means of settlement or dismissal, 37,069 claims. The total cost of resolving all claims was $9.2 million. Of this amount, almost 100% was paid by our insurance carrier. The Company's insurer has confirmed that although the coverage limits under two (of approximately 23) primary insurance policies have been exhausted, there still remains approximately $3 million in coverage limits under other applicable primary policies, and $140 million in coverage under excess umbrella coverage policies that should be available with respect to current and future asbestos claims. | |||||||||||||||||||||
Brandon Drying Fabrics, Inc. (“Brandon”), a subsidiary of Geschmay Corp., which is a subsidiary of the Company, is also a separate defendant in many of the asbestos cases in which Albany is named as a defendant. Brandon was defending against 7,731 claims as of September 30, 2014. | |||||||||||||||||||||
The following table sets forth the number of claims filed, the number of claims settled, dismissed or otherwise resolved, and the aggregate settlement amount during the periods presented: | |||||||||||||||||||||
Year ended | Opening | Claims | New Claims | Closing | Amounts Paid | ||||||||||||||||
December 31, | Number of | Dismissed, | Number of | (thousands) to | |||||||||||||||||
Claims | Settled, or | Claims | Settle or | ||||||||||||||||||
Resolved | Resolve | ||||||||||||||||||||
2005 | 9,985 | 642 | 223 | 9,566 | $ | - | |||||||||||||||
2006 | 9,566 | 1,182 | 730 | 9,114 | - | ||||||||||||||||
2007 | 9,114 | 462 | 88 | 8,740 | - | ||||||||||||||||
2008 | 8,740 | 86 | 10 | 8,664 | - | ||||||||||||||||
2009 | 8,664 | 760 | 3 | 7,907 | - | ||||||||||||||||
2010 | 7,907 | 47 | 9 | 7,869 | - | ||||||||||||||||
2011 | 7,869 | 3 | 11 | 7,877 | - | ||||||||||||||||
2012 | 7,877 | 12 | 2 | 7,867 | - | ||||||||||||||||
2013 | 7,867 | 55 | 3 | 7,815 | - | ||||||||||||||||
As of September 30, 2014 | 7,815 | 86 | 2 | 7,731 | $ | - | |||||||||||||||
We acquired Geschmay Corp., formerly known as Wangner Systems Corporation, in 1999. Brandon is a wholly owned subsidiary of Geschmay Corp. In 1978, Brandon acquired certain assets from Abney Mills (“Abney”), a South Carolina textile manufacturer. Among the assets acquired by Brandon from Abney were assets of Abney's wholly owned subsidiary, Brandon Sales, Inc. which had sold, among other things, dryer fabrics containing asbestos made by its parent, Abney. Although Brandon manufactured and sold dryer fabrics under its own name subsequent to the asset purchase, none of such fabrics contained asbestos. Because Brandon did not manufacture asbestos-containing products, and because it does not believe that it was the legal successor to, or otherwise responsible for obligations of Abney with respect to products manufactured by Abney, it believes it has strong defenses to the claims that have been asserted against it. As of September 30, 2014, Brandon has resolved, by means of settlement or dismissal, 9,874 claims for a total of $0.2 million. Brandon's insurance carriers initially agreed to pay 88.2% of the total indemnification and defense costs related to these proceedings, subject to the standard reservation of rights. The remaining 11.8% of the costs had been borne directly by Brandon. During 2004, Brandon's insurance carriers agreed to cover 100% of indemnification and defense costs, subject to policy limits and the standard reservation of rights, and to reimburse Brandon for all indemnity and defense costs paid directly by Brandon related to these proceedings. | |||||||||||||||||||||
For the same reasons set forth above with respect to Albany's claims, as well as the fact that no amounts have been paid to resolve any Brandon claims since 2001, we do not believe a meaningful estimate can be made regarding the range of possible loss with respect to these remaining claims. | |||||||||||||||||||||
In some of these asbestos cases, the Company is named both as a direct defendant and as the “successor in interest” to Mount Vernon Mills (“Mount Vernon”). We acquired certain assets from Mount Vernon in 1993. Certain plaintiffs allege injury caused by asbestos-containing products alleged to have been sold by Mount Vernon many years prior to this acquisition. Mount Vernon is contractually obligated to indemnify the Company against any liability arising out of such products. We deny any liability for products sold by Mount Vernon prior to the acquisition of the Mount Vernon assets. Pursuant to its contractual indemnification obligations, Mount Vernon has assumed the defense of these claims. On this basis, we have successfully moved for dismissal in a number of actions. | |||||||||||||||||||||
Although we do not believe, based on currently available information and for the reasons stated above, that a meaningful estimate of a range of possible loss can be made with respect to such claims, based on our understanding of the insurance policies available, how settlement amounts have been allocated to various policies, our settlement experience, the absence of any judgments against the Company or Brandon, the ratio of paper mill claims to total claims filed, and the defenses available, we currently do not anticipate any material liability relating to the resolution of the aforementioned pending proceedings in excess of existing insurance limits. | |||||||||||||||||||||
Consequently, we currently do not anticipate, based on currently available information, that the ultimate resolution of the aforementioned proceedings will have a material adverse effect on the financial position, results of operations, or cash flows of the Company. Although we cannot predict the number and timing of future claims, based on the foregoing factors and the trends in claims against us to date, we do not anticipate that additional claims likely to be filed against us in the future will have a material adverse effect on our financial position, results of operations, or cash flows. We are aware that litigation is inherently uncertain, especially when the outcome is dependent primarily on determinations of factual matters to be made by juries. |
Changes_in_Shareholders_Equity
Changes in Shareholders' Equity | 9 Months Ended | ||||||||||||||||||||||||||||||||
Sep. 30, 2014 | |||||||||||||||||||||||||||||||||
Changes in Shareholders' Equity [Abstract] | ' | ||||||||||||||||||||||||||||||||
Changes in Shareholders' Equity | ' | ||||||||||||||||||||||||||||||||
16. Changes in Shareholders' Equity | |||||||||||||||||||||||||||||||||
The following table summarizes changes in Shareholders' Equity: | |||||||||||||||||||||||||||||||||
(in thousands) | Class A | Class B | Additional | Retained | Accumulated | Treasury | Noncontrolling | Total | |||||||||||||||||||||||||
Common | Common | paid | earnings | items of other | stock | Interest | Shareholders' | ||||||||||||||||||||||||||
Stock | Stock | in capital | comprehensive | Equity | |||||||||||||||||||||||||||||
income | |||||||||||||||||||||||||||||||||
31-Dec-13 | $ | 37 | $ | 3 | $ | 416,728 | $ | 434,598 | $ | (49,498 | ) | $ | (257,571 | ) | $ | 3,482 | $ | 547,779 | |||||||||||||||
Net income | - | - | - | 33,652 | - | - | (8 | ) | 33,644 | ||||||||||||||||||||||||
Dividends declared | - | - | - | (14,964 | ) | - | - | - | (14,964 | ) | |||||||||||||||||||||||
Changes in equity related to noncontrolling interest in ASC | - | - | (24 | ) | - | - | - | 38 | 14 | ||||||||||||||||||||||||
Compensation and benefits paid or payable in Class A Common Stock | - | - | 1,011 | - | - | - | - | 1,011 | |||||||||||||||||||||||||
Options exercised | - | - | 771 | - | - | - | - | 771 | |||||||||||||||||||||||||
Shares issued to Directors' | - | - | 60 | - | - | 90 | - | 150 | |||||||||||||||||||||||||
Cumulative translation adjustment | - | - | - | - | (30,703 | ) | - | 7 | (30,696 | ) | |||||||||||||||||||||||
Change in pension liability adjustment | - | - | - | - | 1,419 | - | - | 1,419 | |||||||||||||||||||||||||
Change in derivative valuation adjustment | - | - | - | - | 343 | - | - | 343 | |||||||||||||||||||||||||
30-Sep-14 | $ | 37 | $ | 3 | $ | 418,546 | $ | 453,286 | $ | (78,439 | ) | $ | (257,481 | ) | $ | 3,519 | $ | 539,471 |
Recent_Accounting_Pronouncemen
Recent Accounting Pronouncements | 9 Months Ended |
Sep. 30, 2014 | |
Recent Accounting Pronouncements [Abstract] | ' |
Recent Accounting Pronouncements | ' |
17. Recent Accounting Pronouncements | |
In March 2013, an accounting update was issued that addressed the accounting for the cumulative translation adjustment upon derecognition of subsidiaries. Upon the sale of part of a foreign entity, or if the parent no longer holds a controlling financial interest in a subsidiary or group of assets, the parent company must transfer the cumulative translation adjustment to net income. We adopted this update January 1, 2014, and it had no effect on our financial statements. | |
In July 2013, amended accounting guidance was issued regarding the financial statement presentation of an unrecognized tax benefit when a net operating loss carryforward, a similar tax loss or a tax credit carryforward exists. This guidance was adopted in the first quarter of 2014 and had the effect of reducing noncurrent deferred tax assets and noncurrent deferred tax liabilities by $7.1 million. | |
In April 2014, an accounting update was issued regarding which disposals qualify for reporting as discontinued operations. Additionally, new disclosures will apply for discontinued operations. This accounting update is to be applied prospectively to new disposals and new classifications of disposal groups as held for sale beginning in periods after December 15, 2014. We do not expect the adoption of this update to have a significant effect on our financial statements. | |
In June 2014, an accounting update was issued that replaces the existing revenue recognition framework regarding contracts with customers. This accounting update is effective for reporting periods beginning after December 15, 2016. We have not determined the impact of this update on our financial statements. | |
In June 2014, an accounting update was issued relating to accounting for share-based payments with a performance target that could be achieved after the requisite service period. The adoption of this accounting guidance will be effective for reporting periods beginning after December 15, 2015. We do not expect the adoption of this update to have a significant effect on our financial statements. | |
In August 2014, an accounting update was issued relating to how management assesses conditions and events that could raise substantial doubt about an entity's ability to continue as a going concern. This accounting update is effective for reporting periods beginning after December 15, 2016. We do not expect the adoption of this update to have a significant effect on our financial statements. |
Noncontrolling_Interest_Tables
Noncontrolling Interest (Tables) | 9 Months Ended | |||
Sep. 30, 2014 | ||||
Noncontrolling Interest [Abstract] | ' | |||
Schedule of Income Attributable to Noncontrolling Interest and Noncontrolling Equity | ' | |||
The table below presents a reconciliation of income attributable to the noncontrolling interest and noncontrolling equity: | ||||
(in thousands, except percentages) | Nine months ended | |||
30-Sep-14 | ||||
Net income of ASC | $ | 679 | ||
Less: Return attributable to the Company's preferred holding | 759 | |||
Net loss of ASC available for common ownership | (80 | ) | ||
Ownership percentage of noncontrolling shareholder | 10 | % | ||
Net loss attributable to noncontrolling interest | $ | (8 | ) | |
Noncontrolling interest as of December 31, 2013 | $ | 3,482 | ||
Adjustment to net assets contributed by Albany | 38 | |||
Net loss attributable to noncontrolling interest | (8 | ) | ||
Changes in other comprehensive income attributable to noncontrolling interest | 7 | |||
Noncontrolling interest as of September 30, 2014 | $ | 3,519 |
Reportable_Segments_Tables
Reportable Segments (Tables) | 9 Months Ended | |||||||||||||||
Sep. 30, 2014 | ||||||||||||||||
Reportable Segments [Abstract] | ' | |||||||||||||||
Schedule of Financial Data by Reporting Segment | ' | |||||||||||||||
The following tables show data by reportable segment, reconciled to consolidated totals included in the financial statements: | ||||||||||||||||
Three months ended September 30, | Nine months ended September 30, | |||||||||||||||
(in thousands) | 2014 | 2013 | 2014 | 2013 | ||||||||||||
Net sales | ||||||||||||||||
Machine Clothing | $ | 157,891 | $ | 162,864 | $ | 494,788 | $ | 507,809 | ||||||||
Albany Engineered Composites | 21,970 | 20,283 | 58,898 | 59,966 | ||||||||||||
Consolidated total | $ | 179,861 | $ | 183,147 | $ | 553,686 | $ | 567,775 | ||||||||
Operating income | ||||||||||||||||
Machine Clothing | $ | 33,308 | $ | 27,910 | $ | 103,329 | $ | 80,287 | ||||||||
Albany Engineered Composites | (2,765 | ) | (3,951 | ) | (9,785 | ) | (13,032 | ) | ||||||||
Corporate expenses | (11,385 | ) | (10,704 | ) | (34,808 | ) | (34,995 | ) | ||||||||
Operating income before reconciling items | 19,158 | 13,255 | 58,736 | 32,260 | ||||||||||||
Reconciling items: | ||||||||||||||||
Interest income | (527 | ) | (351 | ) | (1,079 | ) | (951 | ) | ||||||||
Interest expense | 3,013 | 3,835 | 9,200 | 12,007 | ||||||||||||
Other expense/ (income), net | (1,864 | ) | 2,692 | (4,464 | ) | 5,637 | ||||||||||
Income before income taxes | $ | 18,536 | $ | 7,079 | $ | 55,079 | $ | 15,567 | ||||||||
Schedule of Restructuring Costs by Reporting Segment | ' | |||||||||||||||
The table below presents restructuring costs by reportable segment (also see Note 5): | ||||||||||||||||
Three months ended September 30, | Nine months ended September 30, | |||||||||||||||
(in thousands) | 2014 | 2013 | 2014 | 2013 | ||||||||||||
Restructuring expense | ||||||||||||||||
Machine Clothing | $ | 968 | $ | 2,250 | $ | 3,127 | $ | 26,673 | ||||||||
Albany Engineered Composites | (49 | ) | 6 | 931 | 540 | |||||||||||
Consolidated total | $ | 919 | $ | 2,256 | $ | 4,058 | $ | 27,213 |
Pensions_and_Other_Postretirem1
Pensions and Other Postretirement Benefit Plans (Tables) | 9 Months Ended | ||||||||||||||||
Sep. 30, 2014 | |||||||||||||||||
Pensions and Other Postretirement Benefit Plans [Abstract] | ' | ||||||||||||||||
Schedule of Net Periodic Benefit Plan Cost | ' | ||||||||||||||||
The composition of the net periodic benefit plan cost for the nine months ended September 30, 2014 and 2013 was as follows: | |||||||||||||||||
Pension plans | Other postretirement benefits | ||||||||||||||||
(in thousands) | 2014 | 2013 | 2014 | 2013 | |||||||||||||
Components of net periodic benefit cost: | |||||||||||||||||
Service cost | $ | 2,521 | $ | 2,526 | $ | 236 | $ | 789 | |||||||||
Interest cost | 7,217 | 5,999 | 2,057 | 2,374 | |||||||||||||
Expected return on assets | (7,260 | ) | (6,103 | ) | - | - | |||||||||||
Amortization of prior service cost/(credit) | 41 | 27 | (3,366 | ) | (2,818 | ) | |||||||||||
Amortization of transition obligation | - | 51 | - | - | |||||||||||||
Amortization of net actuarial loss | 1,845 | 2,357 | 2,181 | 2,606 | |||||||||||||
Curtailment | (710 | ) | - | - | - | ||||||||||||
Settlement | - | 315 | - | - | |||||||||||||
Net periodic benefit cost | $ | 3,654 | $ | 5,172 | $ | 1,108 | $ | 2,951 |
Restructuring_Tables
Restructuring (Tables) | 9 Months Ended | ||||||||||||||||||||
Sep. 30, 2014 | |||||||||||||||||||||
Restructuring [Abstract] | ' | ||||||||||||||||||||
Schedule of Restructuring Charges | ' | ||||||||||||||||||||
The following table summarizes charges reported in the Statements of Income under “Restructuring and other, net”: | |||||||||||||||||||||
Three months ended | Nine months ended | ||||||||||||||||||||
September 30, | |||||||||||||||||||||
September 30, | |||||||||||||||||||||
(in thousands) | 2014 | 2013 | 2014 | 2013 | |||||||||||||||||
Machine Clothing | $ | 968 | $ | 2,250 | $ | 3,127 | $ | 26,673 | |||||||||||||
Albany Engineered Composites | (49 | ) | 6 | 931 | 540 | ||||||||||||||||
Total | $ | 919 | $ | 2,256 | $ | 4,058 | $ | 27,213 | |||||||||||||
Nine months ended September 30, 2014 | Total | Termination and | Impairment of | Benefit plan | |||||||||||||||||
restructuring | other costs | plant and | curtailment/ | ||||||||||||||||||
(in thousands) | costs incurred | equipment | settlement | ||||||||||||||||||
Machine Clothing | $ | 3,127 | $ | 3,837 | $ | - | $ | (710 | ) | ||||||||||||
Albany Engineered Composites | 931 | 320 | 611 | - | |||||||||||||||||
Total | $ | 4,058 | $ | 4,157 | $ | 611 | $ | (710 | ) | ||||||||||||
Nine months ended September 30, 2013 | Total | Termination and | Impairment of | Benefit plan | |||||||||||||||||
restructuring | other costs | plant and | curtailment/ | ||||||||||||||||||
(in thousands) | costs incurred | equipment | settlement | ||||||||||||||||||
Machine Clothing | $ | 26,673 | $ | 26,837 | $ | - | $ | (164 | ) | ||||||||||||
Albany Engineered Composites | 540 | 452 | 88 | - | |||||||||||||||||
Total | $ | 27,213 | $ | 27,289 | $ | 88 | $ | (164 | ) | ||||||||||||
Schedule of Restructuring Liability | ' | ||||||||||||||||||||
We expect that substantially all Accrued liabilities for restructuring will be paid within one year. The table below presents year-to-date changes in restructuring liabilities for 2014 and 2013 all of which related to termination costs: | |||||||||||||||||||||
December 31, | Restructuring | Currency | September 30, | ||||||||||||||||||
(in thousands) | 2013 | charges accrued | Payments | translation/other | 2014 | ||||||||||||||||
Total Termination costs | $ | 9,656 | $ | 4,148 | $ | (10,904 | ) | $ | (277 | ) | $ | 2,623 | |||||||||
December 31, | Restructuring | Currency | September 30, | ||||||||||||||||||
(in thousands) | 2012 | charges accrued | Payments | translation/other | 2013 | ||||||||||||||||
Total Termination costs | $ | 4,947 | $ | 25,860 | $ | (5,529 | ) | $ | 609 | $ | 25,887 |
Other_IncomeExpense_net_Tables
Other (Income)/Expense, net (Tables) | 9 Months Ended | ||||||||||||||||
Sep. 30, 2014 | |||||||||||||||||
Other (Income)/Expense, net [Abstract] | ' | ||||||||||||||||
Other (Income)/Expense, Net | ' | ||||||||||||||||
The components of Other (income)/expenses, net, are: | |||||||||||||||||
Three months ended September 30, | Nine months ended September 30, | ||||||||||||||||
(in thousands) | 2014 | 2013 | 2014 | 2013 | |||||||||||||
Currency transactions | $ | (1,916 | ) | $ | 1,975 | $ | (3,819 | ) | $ | 3,879 | |||||||
Bank fees and amortization of debt issuance costs | 271 | 203 | 868 | 1,201 | |||||||||||||
Gain on insurance recovery | (165 | ) | - | (1,126 | ) | - | |||||||||||
Organizational costs related to Albany Safran Composites | - | 500 | - | 500 | |||||||||||||
Other | (54 | ) | 14 | (387 | ) | 57 | |||||||||||
Total | $ | (1,864 | ) | $ | 2,692 | $ | (4,464 | ) | $ | 5,637 |
Income_Taxes_Tables
Income Taxes (Tables) | 9 Months Ended | ||||||||||||||||
Sep. 30, 2014 | |||||||||||||||||
Income Taxes [Abstract] | ' | ||||||||||||||||
Schedule of Components of Income Tax Expense | ' | ||||||||||||||||
The following table presents components of income tax expense/(benefit) for the three and nine months ended September 30, 2014 and 2013: | |||||||||||||||||
Three months ended September 30, | Nine months ended September 30, | ||||||||||||||||
(in thousands) | 2014 | 2013 | 2014 | 2013 | |||||||||||||
Income tax based on income from continuing operations, at estimated tax rates of 34.9% and 41.0%, respectively | $ | 6,470 | $ | 2,902 | $ | 19,226 | $ | 6,382 | |||||||||
Provision for change in estimated tax rates | (243 | ) | 170 | - | - | ||||||||||||
Income tax before discrete items | 6,227 | 3,072 | 19,226 | 6,382 | |||||||||||||
Discrete tax expense/(benefit): | |||||||||||||||||
Provision for/adjustment to beginning of year valuation allowances | - | - | 437 | - | |||||||||||||
Provision for/resolution of tax audits and contingencies, net | 330 | - | 1,310 | 425 | |||||||||||||
Adjustments to prior period tax liabilities | 205 | (818 | ) | 459 | (734 | ) | |||||||||||
Enacted legislation change | - | (269 | ) | - | (269 | ) | |||||||||||
Repatriation of non-U.S. prior years' earnings | - | 396 | - | 582 | |||||||||||||
Other discrete tax adjustments, net | - | - | 3 | - | |||||||||||||
Total income tax expense/(benefit) | $ | 6,762 | $ | 2,381 | $ | 21,435 | $ | 6,386 |
Earnings_Per_Share_Tables
Earnings Per Share (Tables) | 9 Months Ended | |||||||||||||||||||
Sep. 30, 2014 | ||||||||||||||||||||
Earnings Per Share [Abstract] | ' | |||||||||||||||||||
Schedule Computing Earnings Per Share | ' | |||||||||||||||||||
The amounts used in computing earnings per share and the weighted average number of shares of potentially dilutive securities are as follows: | ||||||||||||||||||||
Three months ended September 30, | Nine months ended September 30, | |||||||||||||||||||
(in thousands, except market price and earnings per share data) | 2014 | 2013 | 2014 | 2013 | ||||||||||||||||
Net income attributable to the Company | $ | 11,812 | $ | 4,698 | $ | 33,652 | $ | 8,830 | ||||||||||||
Weighted average number of shares: | ||||||||||||||||||||
Weighted average number of shares used in | ||||||||||||||||||||
calculating basic net income per share | 31,848 | 31,719 | 31,822 | 31,615 | ||||||||||||||||
Effect of dilutive stock-based compensation plans: | ||||||||||||||||||||
Stock options | 98 | 122 | 102 | 129 | ||||||||||||||||
Weighted average number of shares used in | ||||||||||||||||||||
calculating diluted net income per share | 31,946 | 31,841 | 31,924 | 31,744 | ||||||||||||||||
Average market price of common stock used | ||||||||||||||||||||
for calculation of dilutive shares | $ | 37.2 | $ | 34.43 | $ | 36.38 | $ | 30.53 | ||||||||||||
Net income per share: | ||||||||||||||||||||
Basic | $ | 0.37 | $ | 0.15 | $ | 1.06 | $ | 0.28 | ||||||||||||
Diluted | $ | 0.37 | $ | 0.15 | $ | 1.05 | $ | 0.28 | ||||||||||||
Schedule of Shares Issued and Outstanding | ' | |||||||||||||||||||
The following table presents the number of shares issued and outstanding: | ||||||||||||||||||||
Class A | Class B | Treasury | Net shares | |||||||||||||||||
Shares | Shares | Shares | Outstanding | |||||||||||||||||
30-Sep-14 | 37,076,689 | 3,235,048 | (8,459,498 | ) | 31,852,239 | |||||||||||||||
30-Jun-14 | 37,064,939 | 3,235,048 | (8,459,498 | ) | 31,840,489 | |||||||||||||||
30-Sep-13 | 36,954,027 | 3,236,098 | (8,463,635 | ) | 31,726,490 |
Accumulated_Other_Comprehensiv1
Accumulated Other Comprehensive Income (Tables) | 9 Months Ended | ||||||||||||||||
Sep. 30, 2014 | |||||||||||||||||
Accumulated Other Comprehensive Income [Abstract] | ' | ||||||||||||||||
Schedule of Accumulated Other Comprehensive Income | ' | ||||||||||||||||
The table below presents changes in the components of Accumulated Other Comprehensive Income for the period December 31, 2013 to September 30, 2014: | |||||||||||||||||
(in thousands) | Translation | Pension and | Derivative | Total Other | |||||||||||||
adjustments | postretirement | valuation | Comprehensive | ||||||||||||||
liability | adjustment | Income | |||||||||||||||
adjustments | |||||||||||||||||
31-Dec-13 | ($138 | ) | ($48,383 | ) | ($977 | ) | ($49,498 | ) | |||||||||
Other comprehensive income before reclassifications | (30,703 | ) | 998 | (530 | ) | (30,235 | ) | ||||||||||
Interest expense related to swaps reclassified to the Statements of Income, net of tax | - | - | 873 | 873 | |||||||||||||
Pension and postretirement liability adjustments reclassified to Statements of Income, net of tax | - | 421 | - | 421 | |||||||||||||
Net current period other comprehensive income | (30,703 | ) | 1,419 | 343 | (28,941 | ) | |||||||||||
30-Sep-14 | ($30,841 | ) | ($46,964 | ) | ($634 | ) | ($78,439 | ) | |||||||||
Schedule of Accumulated Other Comprehensive Income Components Reclassified to Statement of Income | ' | ||||||||||||||||
The components of our Accumulated Other Comprehensive Income that are reclassified to the Statements of Income relate to our pension and postretirement plans and interest rate swaps. The table below presents the amounts reclassified, and the line items of the Statements of Income that were affected: | |||||||||||||||||
Three months ended September 30, | Nine months ended September 30, | ||||||||||||||||
Expense/(income)(in thousands) | 2014 | 2013 | 2014 | 2013 | |||||||||||||
Pretax Derivative valuation reclassified from Accumulated Other Comprehensive Income: | |||||||||||||||||
Payments made on interest rate swaps included in earnings | $480 | $467 | $1,431 | $1,377 | |||||||||||||
Income tax effect | (187 | ) | (183 | ) | (558 | ) | (537 | ) | |||||||||
Effect on net income due to items reclassified from Accumulated Other Comprehensive Income | $293 | $284 | $873 | $840 | |||||||||||||
Pretax pension and postretirement liabilities reclassified from Accumulated Other Comprehensive Income: | |||||||||||||||||
Amortization of prior service cost/(credit) | ($1,108 | ) | ($974 | ) | ($3,325 | ) | ($2,791 | ) | |||||||||
Amortization of transition obligation | - | 17 | - | 51 | |||||||||||||
Amortization of net actuarial loss | 1,343 | 1,635 | 4,026 | 4,963 | |||||||||||||
Total pretax amount reclassified (a) | 235 | 678 | 701 | 2,223 | |||||||||||||
Income tax effect | (94 | ) | (265 | ) | (280 | ) | (806 | ) | |||||||||
Effect on net income due to items reclassified from Accumulated Other Comprehensive Income | $141 | $413 | $421 | $1,417 | |||||||||||||
(a) | |||||||||||||||||
These accumulated other comprehensive income components are included in the computation of net periodic pension cost (see Note 4). |
Accounts_Receivable_Tables
Accounts Receivable (Tables) | 9 Months Ended | ||||||||
Sep. 30, 2014 | |||||||||
Accounts Receivable [Abstract] | ' | ||||||||
Schedule of Accounts Receivable | ' | ||||||||
The components of Accounts receivable are summarized below: | |||||||||
(in thousands) | 30-Sep-14 | 31-Dec-13 | |||||||
Trade and other accounts receivable | $ | 146,348 | $ | 154,296 | |||||
Revenue in excess of progress billings | 9,799 | 20,525 | |||||||
Allowance for doubtful accounts | (8,664 | ) | (11,274 | ) | |||||
Total Accounts Receivable | $ | 147,483 | $ | 163,547 |
Inventories_Tables
Inventories (Tables) | 9 Months Ended | ||||||||
Sep. 30, 2014 | |||||||||
Inventories [Abstract] | ' | ||||||||
Schedule of Inventories | ' | ||||||||
As of September 30, 2014 and December 31, 2013, inventories consisted of the following: | |||||||||
(in thousands) | 30-Sep-14 | 31-Dec-13 | |||||||
Raw materials | $ | 29,208 | $ | 25,754 | |||||
Work in process | 47,383 | 45,998 | |||||||
Finished goods | 45,001 | 40,987 | |||||||
Total inventories | $ | 121,592 | $ | 112,739 | |||||
Goodwill_and_Other_Intangible_1
Goodwill and Other Intangible Assets (Tables) | 9 Months Ended | ||||||||||||||||
Sep. 30, 2014 | |||||||||||||||||
Goodwill and Other Intangible Assets [Abstract] | ' | ||||||||||||||||
Schedule of Changes in Intangible Assets and Goodwill | ' | ||||||||||||||||
We are continuing to amortize certain patents, trade names, customer contracts and technology assets that have finite lives. The changes in intangible assets and goodwill from December 31, 2013 to September 30, 2014, were as follows: | |||||||||||||||||
(in thousands) | 31-Dec-13 | Amortization | Currency Translation | 30-Sep-14 | |||||||||||||
Amortized intangible assets: | |||||||||||||||||
AEC trade names | $ | 33 | $ | (4 | ) | $ | - | $ | 29 | ||||||||
AEC customer contracts | 404 | (151 | ) | - | 253 | ||||||||||||
AEC technology | 179 | (18 | ) | - | 161 | ||||||||||||
Total amortized intangible assets | $ | 616 | $ | (173 | ) | $ | - | $ | 443 | ||||||||
Unamortized intangible assets: | |||||||||||||||||
Goodwill | $ | 78,890 | $ | - | $ | (4,868 | ) | $ | 74,022 | ||||||||
Schedule of Estimated Amortization Expense | ' | ||||||||||||||||
Estimated amortization expense of intangibles for the years ending December 31, 2014 through 2018, is as follows: | |||||||||||||||||
Annual amortization | |||||||||||||||||
Year | (in thousands) | ||||||||||||||||
2014 | $ | 231 | |||||||||||||||
2015 | 231 | ||||||||||||||||
2016 | 29 | ||||||||||||||||
2017 | 29 | ||||||||||||||||
2018 | 29 |
Financial_Instruments_Tables
Financial Instruments (Tables) | 9 Months Ended | ||||||||
Sep. 30, 2014 | |||||||||
Financial Instruments [Abstract] | ' | ||||||||
Schedule of Long-Term Debt | ' | ||||||||
Long-term debt, principally to banks and bondholders, consists of: | |||||||||
(in thousands, except interest rates) | 30-Sep-14 | 31-Dec-13 | |||||||
Private placement with a fixed interest rate of 6.84%, due 2015 and 2017 | $ | 100,000 | $ | 100,000 | |||||
Credit agreement with borrowings outstanding at an end of period interest rate of 2.62% in 2014 and 2.53% in 2013 (including the effect of interest rate hedging transactions, as described below), due in 2018 | 183,000 | 200,000 | |||||||
Various notes and mortgages relative to operations principally outside the United States, at an average end of period rate of 5.50% in 2014 and 3.10% in 2013, due in varying amounts through 2021 | 115 | 3,875 | |||||||
Long-term debt | 283,115 | 303,875 | |||||||
Less: current portion | (15 | ) | (3,764 | ) | |||||
Long-term debt, net of current portion | $ | 283,100 | $ | 300,111 |
FairValue_Measurements_Tables
Fair-Value Measurements (Tables) | 9 Months Ended | |||||||||||||||||||||
Sep. 30, 2014 | ||||||||||||||||||||||
Fair-Value Measurements [Abstract] | ' | |||||||||||||||||||||
Schedule of Fair Value of Financial Assets and Liabilities | ' | |||||||||||||||||||||
The following table presents the fair-value hierarchy for our Level 1 and Level 2 financial assets and liabilities measured at fair value on a recurring basis: | ||||||||||||||||||||||
30-Sep-14 | 31-Dec-13 | |||||||||||||||||||||
Quoted | Significant | Quoted | Significant | |||||||||||||||||||
prices | other | prices | other | |||||||||||||||||||
in active | observable | in active | observable | |||||||||||||||||||
markets | inputs | markets | inputs | |||||||||||||||||||
(in thousands) | (Level 1) | (Level 2) | (Level 1) | (Level 2) | ||||||||||||||||||
Fair Value | ||||||||||||||||||||||
Assets: | ||||||||||||||||||||||
Cash equivalents | $ | 37,037 | $ | - | $ | 25,073 | $ | - | ||||||||||||||
Other Assets: | ||||||||||||||||||||||
Common stock of foreign public company | 781 | - | 952 | - | ||||||||||||||||||
Interest rate swap | - | 830 | (a) | - | 1,517 | (c) | ||||||||||||||||
Liabilities: | ||||||||||||||||||||||
Other noncurrent liabilities: | ||||||||||||||||||||||
Interest rate swap | - | (1,869 | ) | (b) | - | (3,119 | ) | (d) | ||||||||||||||
(a) | Net of $4.9 million receivable floating leg and $4.1 million liability fixed leg | |||||||||||||||||||||
(b) | Net of $0.3 million receivable floating leg and $2.2 million liability fixed leg | |||||||||||||||||||||
(c) | Net of $5.6 million receivable floating leg and $4.1 million liability fixed leg | |||||||||||||||||||||
(d) | Net of $0.7 million receivable floating leg and $3.8 million liability fixed leg | |||||||||||||||||||||
Schedule of (Losses)/Gains on Changes in Fair Value of Derivative Instruments | ' | |||||||||||||||||||||
Gains/ (losses) related to changes in fair value of derivative instruments that were recognized in Other (income)/expenses, net in the Statements of Income were as follows: | ||||||||||||||||||||||
Three months ended | Nine months ended | |||||||||||||||||||||
September 30, | September 30, | |||||||||||||||||||||
(in thousands) | 2014 | 2013 | 2014 | 2013 | ||||||||||||||||||
Derivatives not designated as hedging instruments | ||||||||||||||||||||||
Forward currency options | $ | (142 | ) | $ | 108 | $ | 12 | $ | 108 |
Contingencies_Tables
Contingencies (Tables) | 9 Months Ended | ||||||||||||||||||||
Sep. 30, 2014 | |||||||||||||||||||||
Schedule of Changes in Claims | ' | ||||||||||||||||||||
The following table sets forth the number of claims filed, the number of claims settled, dismissed or otherwise resolved, and the aggregate settlement amount during the periods presented: | |||||||||||||||||||||
Year ended | Opening | Claims | New Claims | Closing | Amounts Paid | ||||||||||||||||
December 31, | Number of | Dismissed, | Number of | (thousands) to | |||||||||||||||||
Claims | Settled, or | Claims | Settle or | ||||||||||||||||||
Resolved | Resolve | ||||||||||||||||||||
2005 | 29,411 | 6,257 | 1,297 | 24,451 | $ | 504 | |||||||||||||||
2006 | 24,451 | 6,841 | 1,806 | 19,416 | 3,879 | ||||||||||||||||
2007 | 19,416 | 808 | 190 | 18,798 | 15 | ||||||||||||||||
2008 | 18,798 | 523 | 110 | 18,385 | 52 | ||||||||||||||||
2009 | 18,385 | 9,482 | 42 | 8,945 | 88 | ||||||||||||||||
2010 | 8,945 | 3,963 | 188 | 5,170 | 159 | ||||||||||||||||
2011 | 5,170 | 789 | 65 | 4,446 | 1,111 | ||||||||||||||||
2012 | 4,446 | 90 | 107 | 4,463 | 530 | ||||||||||||||||
2013 | 4,463 | 233 | 85 | 4,315 | 82 | ||||||||||||||||
As of September 30, 2014 | 4,315 | 466 | 76 | 3,925 | $ | 433 | |||||||||||||||
Brandon Drying Fabrics, Inc. [Member] | ' | ||||||||||||||||||||
Schedule of Changes in Claims | ' | ||||||||||||||||||||
The following table sets forth the number of claims filed, the number of claims settled, dismissed or otherwise resolved, and the aggregate settlement amount during the periods presented: | |||||||||||||||||||||
Year ended | Opening | Claims | New Claims | Closing | Amounts Paid | ||||||||||||||||
December 31, | Number of | Dismissed, | Number of | (thousands) to | |||||||||||||||||
Claims | Settled, or | Claims | Settle or | ||||||||||||||||||
Resolved | Resolve | ||||||||||||||||||||
2005 | 9,985 | 642 | 223 | 9,566 | $ | - | |||||||||||||||
2006 | 9,566 | 1,182 | 730 | 9,114 | - | ||||||||||||||||
2007 | 9,114 | 462 | 88 | 8,740 | - | ||||||||||||||||
2008 | 8,740 | 86 | 10 | 8,664 | - | ||||||||||||||||
2009 | 8,664 | 760 | 3 | 7,907 | - | ||||||||||||||||
2010 | 7,907 | 47 | 9 | 7,869 | - | ||||||||||||||||
2011 | 7,869 | 3 | 11 | 7,877 | - | ||||||||||||||||
2012 | 7,877 | 12 | 2 | 7,867 | - | ||||||||||||||||
2013 | 7,867 | 55 | 3 | 7,815 | - | ||||||||||||||||
As of September 30, 2014 | 7,815 | 86 | 2 | 7,731 | $ | - | |||||||||||||||
Changes_in_Shareholders_Equity1
Changes in Shareholders' Equity (Tables) | 9 Months Ended | ||||||||||||||||||||||||||||||||
Sep. 30, 2014 | |||||||||||||||||||||||||||||||||
Changes in Shareholders' Equity [Abstract] | ' | ||||||||||||||||||||||||||||||||
Schedule of Activity in Shareholders' Equity | ' | ||||||||||||||||||||||||||||||||
The following table summarizes changes in Shareholders' Equity: | |||||||||||||||||||||||||||||||||
(in thousands) | Class A | Class B | Additional | Retained | Accumulated | Treasury | Noncontrolling | Total | |||||||||||||||||||||||||
Common | Common | paid | earnings | items of other | stock | Interest | Shareholders' | ||||||||||||||||||||||||||
Stock | Stock | in capital | comprehensive | Equity | |||||||||||||||||||||||||||||
income | |||||||||||||||||||||||||||||||||
31-Dec-13 | $ | 37 | $ | 3 | $ | 416,728 | $ | 434,598 | $ | (49,498 | ) | $ | (257,571 | ) | $ | 3,482 | $ | 547,779 | |||||||||||||||
Net income | - | - | - | 33,652 | - | - | (8 | ) | 33,644 | ||||||||||||||||||||||||
Dividends declared | - | - | - | (14,964 | ) | - | - | - | (14,964 | ) | |||||||||||||||||||||||
Changes in equity related to noncontrolling interest in ASC | - | - | (24 | ) | - | - | - | 38 | 14 | ||||||||||||||||||||||||
Compensation and benefits paid or payable in Class A Common Stock | - | - | 1,011 | - | - | - | - | 1,011 | |||||||||||||||||||||||||
Options exercised | - | - | 771 | - | - | - | - | 771 | |||||||||||||||||||||||||
Shares issued to Directors' | - | - | 60 | - | - | 90 | - | 150 | |||||||||||||||||||||||||
Cumulative translation adjustment | - | - | - | - | (30,703 | ) | - | 7 | (30,696 | ) | |||||||||||||||||||||||
Change in pension liability adjustment | - | - | - | - | 1,419 | - | - | 1,419 | |||||||||||||||||||||||||
Change in derivative valuation adjustment | - | - | - | - | 343 | - | - | 343 | |||||||||||||||||||||||||
30-Sep-14 | $ | 37 | $ | 3 | $ | 418,546 | $ | 453,286 | $ | (78,439 | ) | $ | (257,481 | ) | $ | 3,519 | $ | 539,471 |
Noncontrolling_Interest_Detail
Noncontrolling Interest (Details) (USD $) | 3 Months Ended | 9 Months Ended | 1 Months Ended | 9 Months Ended | ||
Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2014 | Sep. 30, 2013 | Oct. 31, 2013 | Sep. 30, 2014 | |
Albany Safran Composites, LLC [Member] | Albany Safran Composites, LLC [Member] | |||||
Noncontrolling Interest [Line Items] | ' | ' | ' | ' | ' | ' |
Cash contribution | ' | ' | ' | ' | $28,000,000 | ' |
Net income | 11,774,000 | 4,698,000 | 33,644,000 | 8,830,000 | ' | 679,000 |
Less: Return attributable to the Company's preferred holding | ' | ' | ' | ' | ' | 759,000 |
Net income of ASC available for common ownership | 11,812,000 | 4,698,000 | 33,652,000 | 8,830,000 | ' | -80,000 |
Ownership percentage of noncontrolling shareholder | ' | ' | ' | ' | ' | 10.00% |
Net loss attributable to the noncontrolling interest | -38,000 | ' | -8,000 | ' | ' | -8,000 |
Ownership interest in ASC | ' | ' | ' | ' | ' | 90.00% |
Stockholders' Equity Attributable to Noncontrolling Interest [Roll Forward] | ' | ' | ' | ' | ' | ' |
Noncontrolling interest, beginning balance | ' | ' | 3,482,000 | ' | ' | 3,482,000 |
Adjustment to net assets contributed by Albany | ' | ' | 14,000 | ' | ' | 38,000 |
Net loss attributable to the noncontrolling interest | -38,000 | ' | -8,000 | ' | ' | -8,000 |
Changes in other comprehensive income attributable to noncontrolling interest | ' | ' | ' | ' | ' | 7,000 |
Noncontrolling interest, ending balance | $3,519,000 | ' | $3,519,000 | ' | ' | $3,519,000 |
Reportable_Segments_Schedule_o
Reportable Segments (Schedule of Financial Data by Reporting Segment) (Details) (USD $) | 3 Months Ended | 9 Months Ended | ||
In Thousands, unless otherwise specified | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2014 | Sep. 30, 2013 |
Segment Reporting Information [Line Items] | ' | ' | ' | ' |
Net sales | $179,861 | $183,147 | $553,686 | $567,775 |
Operating income | 19,158 | 13,255 | 58,736 | 32,260 |
Other expense/(income), net | -1,864 | 2,692 | -4,464 | 5,637 |
Income before income taxes | 18,536 | 7,079 | 55,079 | 15,567 |
Machine Clothing [Member] | ' | ' | ' | ' |
Segment Reporting Information [Line Items] | ' | ' | ' | ' |
Net sales | 157,891 | 162,864 | 494,788 | 507,809 |
Operating income | 33,308 | 27,910 | 103,329 | 80,287 |
Engineered Composites [Member] | ' | ' | ' | ' |
Segment Reporting Information [Line Items] | ' | ' | ' | ' |
Net sales | 21,970 | 20,283 | 58,898 | 59,966 |
Operating income | -2,765 | -3,951 | -9,785 | -13,032 |
Corporate Expenses [Member] | ' | ' | ' | ' |
Segment Reporting Information [Line Items] | ' | ' | ' | ' |
Operating income | -11,385 | -10,704 | -34,808 | -34,995 |
Significant Reconciling Items [Member] | ' | ' | ' | ' |
Segment Reporting Information [Line Items] | ' | ' | ' | ' |
Interest income | -527 | -351 | -1,079 | -951 |
Interest expense | 3,013 | 3,835 | 9,200 | 12,007 |
Other expense/(income), net | ($1,864) | $2,692 | ($4,464) | $5,637 |
Reportable_Segments_Schedule_o1
Reportable Segments (Schedule of Restructuring Costs by Reporting Segment) (Details) (USD $) | 3 Months Ended | 9 Months Ended | ||
In Thousands, unless otherwise specified | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2014 | Sep. 30, 2013 |
Restructuring expense | ' | ' | ' | ' |
Restructuring expense | $919 | $2,256 | $4,058 | $27,213 |
Machine Clothing [Member] | ' | ' | ' | ' |
Restructuring expense | ' | ' | ' | ' |
Restructuring expense | 968 | 2,250 | 3,127 | 26,673 |
Engineered Composites [Member] | ' | ' | ' | ' |
Restructuring expense | ' | ' | ' | ' |
Restructuring expense | ($49) | $6 | $931 | $540 |
Pensions_and_Other_Postretirem2
Pensions and Other Postretirement Benefit Plans (Details) (USD $) | 12 Months Ended | 9 Months Ended | ||||
In Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2014 | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2014 | Sep. 30, 2013 |
Scenario, Forecast [Member] | Scenario, Forecast [Member] | Pension Plans [Member] | Pension Plans [Member] | Other Postretirement Benefits [Member] | Other Postretirement Benefits [Member] | |
Minimum [Member] | Maximum [Member] | |||||
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' | ' | ' | ' |
Service cost | ' | ' | $2,521 | $2,526 | $236 | $789 |
Interest cost | ' | ' | 7,217 | 5,999 | 2,057 | 2,374 |
Expected return on assets | ' | ' | -7,260 | -6,103 | ' | ' |
Amortization of prior service cost/(credit) | ' | ' | 41 | 27 | -3,366 | -2,818 |
Amortization of transition obligation | ' | ' | ' | 51 | ' | ' |
Amortization of net actuarial loss | ' | ' | 1,845 | 2,357 | 2,181 | 2,606 |
Curtailment | ' | ' | -710 | ' | ' | ' |
Settlement | -5,000 | -10,000 | ' | 315 | ' | ' |
Net periodic benefit cost | ' | ' | $3,654 | $5,172 | $1,108 | $2,951 |
Restructuring_Narrative_Detail
Restructuring (Narrative) (Details) (USD $) | 9 Months Ended |
In Millions, unless otherwise specified | Sep. 30, 2014 |
employees | |
Restructuring Cost and Reserve [Line Items] | ' |
Reduction in employees | 200 |
Number of positions eliminated to date | 190 |
Minimum [Member] | ' |
Restructuring Cost and Reserve [Line Items] | ' |
Expected costs | 1 |
Maximum [Member] | ' |
Restructuring Cost and Reserve [Line Items] | ' |
Expected costs | 2 |
Restructuring_Schedule_of_Rest
Restructuring (Schedule of Restructuring Charges) (Details) (USD $) | 3 Months Ended | 9 Months Ended | ||
In Thousands, unless otherwise specified | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2014 | Sep. 30, 2013 |
Restructuring and other, net | ' | ' | ' | ' |
Restructuring and other, net | $919 | $2,256 | $4,058 | $27,213 |
Termination and Other Costs [Member] | ' | ' | ' | ' |
Restructuring and other, net | ' | ' | ' | ' |
Restructuring and other, net | ' | ' | 4,157 | 27,289 |
Impairment of Plant and Equipment [Member] | ' | ' | ' | ' |
Restructuring and other, net | ' | ' | ' | ' |
Restructuring and other, net | ' | ' | 611 | 88 |
Benefit Plan Curtailment/ Settlement [Member] | ' | ' | ' | ' |
Restructuring and other, net | ' | ' | ' | ' |
Restructuring and other, net | ' | ' | -710 | -164 |
Machine Clothing [Member] | ' | ' | ' | ' |
Restructuring and other, net | ' | ' | ' | ' |
Restructuring and other, net | 968 | 2,250 | 3,127 | 26,673 |
Machine Clothing [Member] | Termination and Other Costs [Member] | ' | ' | ' | ' |
Restructuring and other, net | ' | ' | ' | ' |
Restructuring and other, net | ' | ' | 3,837 | 26,837 |
Machine Clothing [Member] | Impairment of Plant and Equipment [Member] | ' | ' | ' | ' |
Restructuring and other, net | ' | ' | ' | ' |
Restructuring and other, net | ' | ' | ' | ' |
Machine Clothing [Member] | Benefit Plan Curtailment/ Settlement [Member] | ' | ' | ' | ' |
Restructuring and other, net | ' | ' | ' | ' |
Restructuring and other, net | ' | ' | -710 | -164 |
Engineered Composites [Member] | ' | ' | ' | ' |
Restructuring and other, net | ' | ' | ' | ' |
Restructuring and other, net | -49 | 6 | 931 | 540 |
Engineered Composites [Member] | Termination and Other Costs [Member] | ' | ' | ' | ' |
Restructuring and other, net | ' | ' | ' | ' |
Restructuring and other, net | ' | ' | 320 | 452 |
Engineered Composites [Member] | Impairment of Plant and Equipment [Member] | ' | ' | ' | ' |
Restructuring and other, net | ' | ' | ' | ' |
Restructuring and other, net | ' | ' | 611 | 88 |
Engineered Composites [Member] | Benefit Plan Curtailment/ Settlement [Member] | ' | ' | ' | ' |
Restructuring and other, net | ' | ' | ' | ' |
Restructuring and other, net | ' | ' | ' | ' |
Restructuring_Schedule_of_Rest1
Restructuring (Schedule of Restructuring Liability) (Details) (Termination Costs [Member], USD $) | 9 Months Ended | |
In Thousands, unless otherwise specified | Sep. 30, 2014 | Sep. 30, 2013 |
Termination Costs [Member] | ' | ' |
Restructuring Reserve [Roll Forward] | ' | ' |
Beginning balance | $9,656 | $4,947 |
Restructuring charges accrued | 4,148 | 25,860 |
Payments | -10,904 | -5,529 |
Currency translation/other | -277 | 609 |
Ending balance | $2,623 | $25,887 |
Other_IncomeExpense_net_Detail
Other (Income)/Expense, net (Details) (USD $) | 3 Months Ended | 9 Months Ended | ||
In Thousands, unless otherwise specified | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2014 | Sep. 30, 2013 |
Other (Income)/Expense, net [Abstract] | ' | ' | ' | ' |
Currency transactions | ($1,916) | $1,975 | ($3,819) | $3,879 |
Bank fees and amortization of debt issuance costs | 271 | 203 | 868 | 1,201 |
Gain on insurance recovery | -165 | ' | -1,126 | ' |
Organizational costs related to Albany Safran Composites | ' | 500 | ' | 500 |
Other | -54 | 14 | -387 | 57 |
Total | ($1,864) | $2,692 | ($4,464) | $5,637 |
Income_Taxes_Schedule_of_Compo
Income Taxes (Schedule of Components of Income Tax Expense) (Details) (USD $) | 3 Months Ended | 9 Months Ended | ||
In Thousands, unless otherwise specified | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2014 | Sep. 30, 2013 |
Income Taxes [Abstract] | ' | ' | ' | ' |
Income tax based on income from continuing operations, at estimated tax rates of 34.9% and 41.0%, respectively | $6,470 | $2,902 | $19,226 | $6,382 |
Provision for change in estimated tax rates | -243 | 170 | ' | ' |
Income tax before discrete items | 6,227 | 3,072 | 19,226 | 6,382 |
Provision for/adjustment to beginning of year valuation allowances | ' | ' | 437 | ' |
Provision for/resolution of tax audits and contingencies, net | 330 | ' | 1,310 | 425 |
Adjustments to prior period tax liabilities | 205 | -818 | 459 | -734 |
Enacted legislation change | ' | -269 | ' | -269 |
Repatriation of non-U.S. prior years' earnings | ' | 396 | ' | 582 |
Other discrete tax adjustments, net | ' | ' | 3 | ' |
Total income tax expense/(benefit) | $6,762 | $2,381 | $21,435 | $6,386 |
Estimated tax rate | ' | ' | 34.90% | 41.00% |
Income_Taxes_Narrative_Details
Income Taxes (Narrative) (Details) (USD $) | 3 Months Ended | 9 Months Ended | |
Sep. 30, 2014 | Sep. 30, 2014 | Sep. 30, 2013 | |
Income Tax Disclosure [Line Items] | ' | ' | ' |
Estimated tax rate | ' | 34.90% | 41.00% |
Unrepatriated foreign earnings | $100,000 | $100,000 | ' |
Estimated range of change, upper bound | 0 | 0 | ' |
Estimated range of change, lower bound | -2,600,000 | -2,600,000 | ' |
Provision for/resolution of tax audits and contingencies, net | 330,000 | 1,310,000 | 425,000 |
Scenario, Plan [Member] | ' | ' | ' |
Income Tax Disclosure [Line Items] | ' | ' | ' |
Foreign earnings targeted for repatriation | ' | 3,600,000 | ' |
Earliest Tax Year [Member] | ' | ' | ' |
Income Tax Disclosure [Line Items] | ' | ' | ' |
Open tax years | ' | '2000 | ' |
Latest Tax Year [Member] | ' | ' | ' |
Income Tax Disclosure [Line Items] | ' | ' | ' |
Open tax years | ' | '2013 | ' |
Federal Ministry of Finance, Germany [Member] | ' | ' | ' |
Income Tax Disclosure [Line Items] | ' | ' | ' |
Unrecognized tax benefits | 24,000,000 | 24,000,000 | ' |
Payment to taxing authority to pursue litigation | ' | 13,000,000 | ' |
Provision for/resolution of tax audits and contingencies, net | $6,000,000 | ' | ' |
Earnings_Per_Share_Schedule_Co
Earnings Per Share (Schedule Computing Earnings Per Share and Weighted Average Number of Shares) (Details) (USD $) | 3 Months Ended | 9 Months Ended | ||
In Thousands, except Per Share data, unless otherwise specified | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2014 | Sep. 30, 2013 |
Earnings Per Share [Abstract] | ' | ' | ' | ' |
Net income attributable to the Company | $11,812 | $4,698 | $33,652 | $8,830 |
Weighted average number of shares: | ' | ' | ' | ' |
Weighted average number of shares used in calculating basic net income per share | 31,848 | 31,719 | 31,822 | 31,615 |
Effect of dilutive stock-based compensation plans: | ' | ' | ' | ' |
Stock options | 98 | 122 | 102 | 129 |
Weighted average number of shares used in calculating diluted net income per share | 31,946 | 31,841 | 31,924 | 31,744 |
Average market price of common stock used for calculation of dilutive shares | $37.20 | $34.43 | $36.38 | $30.53 |
Net income per share: | ' | ' | ' | ' |
Basic | $0.37 | $0.15 | $1.06 | $0.28 |
Diluted | $0.37 | $0.15 | $1.05 | $0.28 |
Earnings_Per_Share_Schedule_of
Earnings Per Share (Schedule of Shares Issued and Outstanding) (Details) | Sep. 30, 2014 | Jun. 30, 2014 | Dec. 31, 2013 | Sep. 30, 2013 |
Class of Stock [Line Items] | ' | ' | ' | ' |
Treasury Shares | -8,459,498 | -8,459,498 | -8,463,635 | -8,463,635 |
Net shares Outstanding | 31,852,239 | 31,840,489 | ' | 31,726,490 |
Common Class A [Member] | ' | ' | ' | ' |
Class of Stock [Line Items] | ' | ' | ' | ' |
Common Stock, shares issued | 37,076,689 | 37,064,939 | 36,997,277 | 36,954,027 |
Common Class B [Member] | ' | ' | ' | ' |
Class of Stock [Line Items] | ' | ' | ' | ' |
Common Stock, shares issued | 3,235,048 | 3,235,048 | 3,235,048 | 3,236,098 |
Net shares Outstanding | 3,235,048 | ' | 3,235,048 | ' |
Accumulated_Other_Comprehensiv2
Accumulated Other Comprehensive Income (Schedule of Accumulated Other Comprehensive Income) (Details) (USD $) | 9 Months Ended |
In Thousands, unless otherwise specified | Sep. 30, 2014 |
Accumulated Other Comprehensive Income (Loss) [Line Items] | ' |
Beginning balance | ($49,498) |
Other comprehensive income before reclassifications | -30,235 |
Interest expense related to swaps reclassified to the Statement of Operations, net of tax | 873 |
Pension and postretirement liability adjustments reclassified to Statements of Income, net of tax | 421 |
Net current period other comprehensive income | -28,941 |
Ending balance | -78,439 |
Translation Adjustments [Member] | ' |
Accumulated Other Comprehensive Income (Loss) [Line Items] | ' |
Beginning balance | -138 |
Other comprehensive income before reclassifications | -30,703 |
Interest expense related to swaps reclassified to the Statement of Operations, net of tax | ' |
Pension and postretirement liability adjustments reclassified to Statements of Income, net of tax | ' |
Net current period other comprehensive income | -30,703 |
Ending balance | -30,841 |
Pension and Postretirement Liability Adjustments [Member] | ' |
Accumulated Other Comprehensive Income (Loss) [Line Items] | ' |
Beginning balance | -48,383 |
Other comprehensive income before reclassifications | 998 |
Interest expense related to swaps reclassified to the Statement of Operations, net of tax | ' |
Pension and postretirement liability adjustments reclassified to Statements of Income, net of tax | 421 |
Net current period other comprehensive income | 1,419 |
Ending balance | -46,964 |
Derivative Valuation Adjustment [Member] | ' |
Accumulated Other Comprehensive Income (Loss) [Line Items] | ' |
Beginning balance | -977 |
Other comprehensive income before reclassifications | -530 |
Interest expense related to swaps reclassified to the Statement of Operations, net of tax | 873 |
Pension and postretirement liability adjustments reclassified to Statements of Income, net of tax | ' |
Net current period other comprehensive income | 343 |
Ending balance | ($634) |
Accumulated_Other_Comprehensiv3
Accumulated Other Comprehensive Income (Schedule of Items Reclassified to Statement of Income) (Details) (USD $) | 3 Months Ended | 9 Months Ended | ||||||
In Thousands, unless otherwise specified | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2014 | Sep. 30, 2013 | ||||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ' | ' | ' | ' | ||||
Total pretax amount reclassified | ($18,536) | ($7,079) | ($55,079) | ($15,567) | ||||
Income tax effect | 6,762 | 2,381 | 21,435 | 6,386 | ||||
Effect on net income due to items reclassified from Accumulated Other Comprehensive Income | -11,812 | -4,698 | -33,652 | -8,830 | ||||
Derivative Valuation Adjustment [Member] | Reclassification out of Accumulated Other Comprehensive Income [Member] | ' | ' | ' | ' | ||||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ' | ' | ' | ' | ||||
Payments made on interest rate swaps included in earnings | 480 | 467 | 1,431 | 1,377 | ||||
Income tax effect | -187 | -183 | -558 | -537 | ||||
Effect on net income due to items reclassified from Accumulated Other Comprehensive Income | 293 | 284 | 873 | 840 | ||||
Accumulated Defined Benefit Plans Adjustment, Net Prior Service Cost (Credit) [Member] | Reclassification out of Accumulated Other Comprehensive Income [Member] | ' | ' | ' | ' | ||||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ' | ' | ' | ' | ||||
Total pretax amount reclassified | -1,108 | -974 | -3,325 | -2,791 | ||||
Accumulated Defined Benefit Plans Adjustment, Net Transition Asset (Obligation) [Member] | Reclassification out of Accumulated Other Comprehensive Income [Member] | ' | ' | ' | ' | ||||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ' | ' | ' | ' | ||||
Total pretax amount reclassified | ' | 17 | ' | 51 | ||||
Accumulated Defined Benefit Plans Adjustment, Net Unamortized Gain (Loss) [Member] | Reclassification out of Accumulated Other Comprehensive Income [Member] | ' | ' | ' | ' | ||||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ' | ' | ' | ' | ||||
Total pretax amount reclassified | 1,343 | 1,635 | 4,026 | 4,963 | ||||
Pension and Postretirement Liability Adjustments [Member] | Reclassification out of Accumulated Other Comprehensive Income [Member] | ' | ' | ' | ' | ||||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ' | ' | ' | ' | ||||
Total pretax amount reclassified | 235 | [1] | 678 | [1] | 701 | [1] | 2,223 | [1] |
Income tax effect | -94 | -265 | -280 | -806 | ||||
Effect on net income due to items reclassified from Accumulated Other Comprehensive Income | $141 | $413 | $421 | $1,417 | ||||
[1] | These accumulated other comprehensive income components are included in the computation of net periodic pension cost (see Note 4). |
Accounts_Receivable_Details
Accounts Receivable (Details) (USD $) | Sep. 30, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Accounts Receivable [Abstract] | ' | ' |
Trade and other accounts receivable | $146,348 | $154,296 |
Revenue in excess of progress billings | 9,799 | 20,525 |
Allowance for doubtful accounts | -8,664 | -11,274 |
Total Accounts Receivable | $147,483 | $163,547 |
Inventories_Details
Inventories (Details) (USD $) | Sep. 30, 2014 | Dec. 31, 2013 | Sep. 30, 2014 |
Correction of Inventory Valuation Error [Member] | |||
Inventories [Abstract] | ' | ' | ' |
Raw materials | $29,208,000 | $25,754,000 | ' |
Work in process | 47,383,000 | 45,998,000 | ' |
Finished goods | 45,001,000 | 40,987,000 | ' |
Total inventories | 121,592,000 | 112,739,000 | ' |
Quantifying Misstatement in Current Year Financial Statements [Line Items] | ' | ' | ' |
Charge resulting from correction of error | ' | ' | $1,600,000 |
Goodwill_and_Other_Intangible_2
Goodwill and Other Intangible Assets (Schedule of Changes in Intangible Assets and Goodwill) (Details) (USD $) | 9 Months Ended |
In Thousands, unless otherwise specified | Sep. 30, 2014 |
Amortized intangible assets: | ' |
Beginning balance | $616 |
Amortization | -173 |
Currency Translation | ' |
Ending balance | 443 |
Goodwill | ' |
Beginning balance | 78,890 |
Amortization | ' |
Currency translation | -4,868 |
Ending balance | 74,022 |
AEC Trade Names [Member] | ' |
Amortized intangible assets: | ' |
Beginning balance | 33 |
Amortization | -4 |
Currency Translation | ' |
Ending balance | 29 |
AEC Customer Contracts [Member] | ' |
Amortized intangible assets: | ' |
Beginning balance | 404 |
Amortization | -151 |
Currency Translation | ' |
Ending balance | 253 |
AEC Technology [Member] | ' |
Amortized intangible assets: | ' |
Beginning balance | 179 |
Amortization | -18 |
Currency Translation | ' |
Ending balance | $161 |
Goodwill_and_Other_Intangible_3
Goodwill and Other Intangible Assets (Schedule of Estimated Amortization Expense) (Details) (USD $) | Sep. 30, 2014 |
In Thousands, unless otherwise specified | |
Goodwill and Other Intangible Assets [Abstract] | ' |
2014 | $231 |
2015 | 231 |
2016 | 29 |
2017 | 29 |
2018 | $29 |
Financial_Instruments_Schedule
Financial Instruments (Schedule of Long-Term Debt) (Details) (USD $) | 9 Months Ended | |
In Thousands, unless otherwise specified | Sep. 30, 2014 | Dec. 31, 2013 |
Debt Instrument [Line Items] | ' | ' |
Long-term debt | $283,115 | $303,875 |
Less: current portion | -15 | -3,764 |
Long-term debt, net of current portion | 283,100 | 300,111 |
Private Placement, Notes [Member] | ' | ' |
Debt Instrument [Line Items] | ' | ' |
Long-term debt | 100,000 | 100,000 |
Interest rate | 6.84% | ' |
Maturity date | 25-Oct-17 | ' |
Maturity date range, start | 1-Jan-15 | ' |
Maturity date range, end | 31-Dec-17 | ' |
Credit Agreement [Member] | ' | ' |
Debt Instrument [Line Items] | ' | ' |
Long-term debt | 183,000 | 200,000 |
Credit agreement, end of period interest rate | 2.62% | 2.53% |
Year of maturity | '2018 | ' |
Various Notes and Mortgages [Member] | ' | ' |
Debt Instrument [Line Items] | ' | ' |
Long-term debt | $115 | $3,875 |
Various notes and mortgages, average end of period rate | 5.50% | 3.10% |
Maturity date range, end | 31-Dec-21 | ' |
Financial_Instruments_Narrativ
Financial Instruments (Narrative) (Details) (USD $) | Sep. 30, 2014 | Sep. 30, 2014 | Sep. 22, 2014 | Sep. 30, 2014 | Jul. 16, 2014 | Dec. 31, 2010 | Sep. 30, 2014 | Sep. 30, 2014 | 20-May-13 | Jul. 16, 2010 |
In Millions, unless otherwise specified | Private Placement, Notes [Member] | Credit Agreement [Member] | Credit Agreement [Member] | Credit Agreement [Member] | Credit Agreement [Member] | Credit Agreement [Member] | Credit Agreement [Member] | Credit Agreement [Member] | Credit Agreement [Member] | |
Minimum [Member] | Maximum [Member] | Interest Rate Swap [Member] | Interest Rate Swap [Member] | |||||||
Debt Instrument [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Interest rate | ' | 6.84% | ' | ' | ' | ' | ' | ' | ' | ' |
Maturity date | ' | 25-Oct-17 | ' | ' | ' | ' | ' | ' | ' | ' |
Year of maturity | ' | ' | ' | '2018 | ' | ' | ' | ' | ' | ' |
Payment required on October 25, 2015 | ' | $50 | ' | ' | ' | ' | ' | ' | ' | ' |
Fair value of long-term debt | ' | 112.2 | ' | ' | ' | ' | ' | ' | ' | ' |
Amount of credit facility | ' | ' | ' | 330 | ' | 390 | ' | ' | ' | ' |
Amount of credit facility outstanding | ' | ' | ' | 183 | ' | ' | ' | ' | ' | ' |
Additional amount that can be borrowed on facility | ' | ' | ' | 147 | ' | ' | ' | ' | ' | ' |
Notional amount | ' | ' | ' | ' | ' | ' | ' | ' | $110 | $105 |
Fixed interest rate in swap | ' | ' | ' | ' | ' | ' | ' | ' | 1.41% | 2.04% |
LIBOR spread | ' | ' | 1.38% | ' | ' | ' | 1.25% | 1.88% | ' | ' |
Effective annual rate | ' | ' | ' | 3.42% | ' | ' | ' | ' | ' | ' |
Maximum leverage ratio allowed | 3.5 | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Minimum interest coverage ratio required | 3 | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Leverage ratio | 1.46 | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Interest coverage ratio | 12.1 | ' | ' | ' | ' | ' | ' | ' | ' | ' |
LIBOR rate | ' | ' | ' | 0.15% | 0.24% | ' | ' | ' | ' | ' |
FairValue_Measurements_Schedul
Fair-Value Measurements (Schedule of Fair Value of Financial Assets and Liabilities) (Details) (USD $) | Sep. 30, 2014 | Dec. 31, 2013 | ||
Fair Value, Measurements, Recurring [Member] | Quoted Prices in Active Markets (Level 1) [Member] | ' | ' | ||
Assets: | ' | ' | ||
Cash equivalents | $37,037,000 | $25,073,000 | ||
Common stock of foreign public company | 781,000 | 952,000 | ||
Interest rate swap | ' | ' | ||
Liabilities: | ' | ' | ||
Interest rate swap | ' | ' | ||
Fair Value, Measurements, Recurring [Member] | Significant Other Observable Inputs (Level 2) [Member] | ' | ' | ||
Assets: | ' | ' | ||
Cash equivalents | ' | ' | ||
Common stock of foreign public company | ' | ' | ||
Interest rate swap | 830,000 | [1] | 1,517,000 | [2] |
Liabilities: | ' | ' | ||
Interest rate swap | -1,869,000 | [3] | -3,119,000 | [4] |
Interest Rate Swap [Member] | ' | ' | ||
Derivative asset: | ' | ' | ||
Liability for fixed rate leg | 4,100,000 | 4,100,000 | ||
Receivable for floating rate leg | 4,900,000 | 5,600,000 | ||
Derivative liability: | ' | ' | ||
Liability for fixed rate leg | 2,200,000 | 3,800,000 | ||
Receivable for floating rate leg | $300,000 | $700,000 | ||
[1] | Net of $4.9 million receivable floating leg and $4.1 million liability fixed leg | |||
[2] | Net of $5.6 million receivable floating leg and $4.1 million liability fixed leg | |||
[3] | Net of $0.3 million receivable floating leg and $2.2 million liability fixed leg | |||
[4] | Net of $0.7 million receivable floating leg and $3.8 million liability fixed leg |
FairValue_Measurements_Narrati
Fair-Value Measurements (Narrative) (Details) (Interest Rate Swap [Member], USD $) | 9 Months Ended | |
In Thousands, unless otherwise specified | Sep. 30, 2014 | Sep. 30, 2013 |
Interest Rate Swap [Member] | ' | ' |
Derivative [Line Items] | ' | ' |
Interest expense | $1,400 | $1,400 |
Hedge effectiveness, percent | 100.00% | ' |
FairValue_Measurements_Schedul1
Fair-Value Measurements (Schedule of (Losses)/Gains on Changes in Fair Value of Derivative Instruments) (Details) (Foreign Currency Options [Member], Not Designated as Hedging Instrument [Member], USD $) | 3 Months Ended | 9 Months Ended | ||
In Thousands, unless otherwise specified | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2014 | Sep. 30, 2013 |
Foreign Currency Options [Member] | Not Designated as Hedging Instrument [Member] | ' | ' | ' | ' |
Derivative Instruments, Gain (Loss) [Line Items] | ' | ' | ' | ' |
(Losses)/gains recognized in income, net | ($142) | $108 | $12 | $108 |
Contingencies_Narrative_Detail
Contingencies (Narrative) (Details) (Asbestos Litigation [Member], USD $) | Sep. 30, 2014 | Dec. 31, 2003 |
In Millions, unless otherwise specified | claims | |
Loss Contingencies [Line Items] | ' | ' |
Total resolved claims, by means of settlement or dismissal | 37,069 | ' |
Total cost of resolution | $9.20 | ' |
Resolution costs paid by insurance carrier | 100.00% | ' |
Confirmed insurance coverage | 140 | ' |
Number of policies | 23 | ' |
Policies Exhausted [Member] | ' | ' |
Loss Contingencies [Line Items] | ' | ' |
Number of policies | 2 | ' |
Other Available Policies [Member] | ' | ' |
Loss Contingencies [Line Items] | ' | ' |
Confirmed insurance coverage | 3 | ' |
Brandon Drying Fabrics, Inc. [Member] | ' | ' |
Loss Contingencies [Line Items] | ' | ' |
Total resolved claims, by means of settlement or dismissal | 9,874 | ' |
Total cost of resolution | $0.20 | ' |
Resolution costs paid by insurance carrier | 100.00% | 88.20% |
Percent of resolution costs paid by entity | ' | 11.80% |
Contingencies_Schedule_of_Chan
Contingencies (Schedule of Changes in Claims) (Details) (Asbestos Litigation [Member], USD $) | 9 Months Ended | 12 Months Ended | ||||||||
In Thousands, unless otherwise specified | Sep. 30, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Dec. 31, 2010 | Dec. 31, 2009 | Dec. 31, 2008 | Dec. 31, 2007 | Dec. 31, 2006 | Dec. 31, 2005 |
claims | claims | claims | claims | claims | claims | claims | claims | claims | claims | |
Loss Contingencies [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Opening Number of Claims | 4,315 | 4,463 | 4,446 | 5,170 | 8,945 | 18,385 | 18,798 | 19,416 | 24,451 | 29,411 |
Claims Dismissed, Settled, or Resolved | 466 | 233 | 90 | 789 | 3,963 | 9,482 | 523 | 808 | 6,841 | 6,257 |
New Claims | 76 | 85 | 107 | 65 | 188 | 42 | 110 | 190 | 1,806 | 1,297 |
Closing Number of Claims | 3,925 | 4,315 | 4,463 | 4,446 | 5,170 | 8,945 | 18,385 | 18,798 | 19,416 | 24,451 |
Amounts Paid (thousands) to Settle or Resolve ($) | $433 | $82 | $530 | $1,111 | $159 | $88 | $52 | $15 | $3,879 | $504 |
Brandon Drying Fabrics, Inc. [Member] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Loss Contingencies [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Opening Number of Claims | 7,815 | 7,867 | 7,877 | 7,869 | 7,907 | 8,664 | 8,740 | 9,114 | 9,566 | 9,985 |
Claims Dismissed, Settled, or Resolved | 86 | 55 | 12 | 3 | 47 | 760 | 86 | 462 | 1,182 | 642 |
New Claims | 2 | 3 | 2 | 11 | 9 | 3 | 10 | 88 | 730 | 223 |
Closing Number of Claims | 7,731 | 7,815 | 7,867 | 7,877 | 7,869 | 7,907 | 8,664 | 8,740 | 9,114 | 9,566 |
Amounts Paid (thousands) to Settle or Resolve ($) | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Changes_in_Shareholders_Equity2
Changes in Shareholders' Equity (Details) (USD $) | 3 Months Ended | 9 Months Ended | ||
In Thousands, unless otherwise specified | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2014 | Sep. 30, 2013 |
Balance | ' | ' | $547,779 | ' |
Net income | 11,774 | 4,698 | 33,644 | 8,830 |
Dividends declared | ' | ' | -14,964 | ' |
Changes in equity related to noncontrolling interest in ASC | ' | ' | 14 | ' |
Compensation and benefits paid or payable in Class A Common Stock | ' | ' | 1,011 | ' |
Options exercised | ' | ' | 771 | ' |
Shares issued to Directors | ' | ' | 150 | ' |
Cumulative translation adjustment | ' | ' | -30,696 | ' |
Change in pension liability adjustment | ' | ' | 1,419 | ' |
Change in derivative valuation adjustment | ' | ' | 343 | ' |
Balance | 539,471 | ' | 539,471 | ' |
Common Stock [Member] | Common Class A [Member] | ' | ' | ' | ' |
Balance | ' | ' | 37 | ' |
Net income | ' | ' | ' | ' |
Dividends declared | ' | ' | ' | ' |
Changes in equity related to noncontrolling interest in ASC | ' | ' | ' | ' |
Compensation and benefits paid or payable in Class A Common Stock | ' | ' | ' | ' |
Options exercised | ' | ' | ' | ' |
Shares issued to Directors | ' | ' | ' | ' |
Cumulative translation adjustment | ' | ' | ' | ' |
Change in pension liability adjustment | ' | ' | ' | ' |
Change in derivative valuation adjustment | ' | ' | ' | ' |
Balance | 37 | ' | 37 | ' |
Common Stock [Member] | Common Class B [Member] | ' | ' | ' | ' |
Balance | ' | ' | 3 | ' |
Net income | ' | ' | ' | ' |
Dividends declared | ' | ' | ' | ' |
Changes in equity related to noncontrolling interest in ASC | ' | ' | ' | ' |
Compensation and benefits paid or payable in Class A Common Stock | ' | ' | ' | ' |
Options exercised | ' | ' | ' | ' |
Shares issued to Directors | ' | ' | ' | ' |
Cumulative translation adjustment | ' | ' | ' | ' |
Change in pension liability adjustment | ' | ' | ' | ' |
Change in derivative valuation adjustment | ' | ' | ' | ' |
Balance | 3 | ' | 3 | ' |
Additional Paid-in Capital [Member] | ' | ' | ' | ' |
Balance | ' | ' | 416,728 | ' |
Net income | ' | ' | ' | ' |
Dividends declared | ' | ' | ' | ' |
Changes in equity related to noncontrolling interest in ASC | ' | ' | -24 | ' |
Compensation and benefits paid or payable in Class A Common Stock | ' | ' | 1,011 | ' |
Options exercised | ' | ' | 771 | ' |
Shares issued to Directors | ' | ' | 60 | ' |
Cumulative translation adjustment | ' | ' | ' | ' |
Change in pension liability adjustment | ' | ' | ' | ' |
Change in derivative valuation adjustment | ' | ' | ' | ' |
Balance | 418,546 | ' | 418,546 | ' |
Retained Earnings [Member] | ' | ' | ' | ' |
Balance | ' | ' | 434,598 | ' |
Net income | ' | ' | 33,652 | ' |
Dividends declared | ' | ' | -14,964 | ' |
Changes in equity related to noncontrolling interest in ASC | ' | ' | ' | ' |
Compensation and benefits paid or payable in Class A Common Stock | ' | ' | ' | ' |
Options exercised | ' | ' | ' | ' |
Shares issued to Directors | ' | ' | ' | ' |
Cumulative translation adjustment | ' | ' | ' | ' |
Change in pension liability adjustment | ' | ' | ' | ' |
Change in derivative valuation adjustment | ' | ' | ' | ' |
Balance | 453,286 | ' | 453,286 | ' |
Accumulated Items of Other Comprehensive Income [Member] | ' | ' | ' | ' |
Balance | ' | ' | -49,498 | ' |
Net income | ' | ' | ' | ' |
Dividends declared | ' | ' | ' | ' |
Changes in equity related to noncontrolling interest in ASC | ' | ' | ' | ' |
Compensation and benefits paid or payable in Class A Common Stock | ' | ' | ' | ' |
Options exercised | ' | ' | ' | ' |
Shares issued to Directors | ' | ' | ' | ' |
Cumulative translation adjustment | ' | ' | -30,703 | ' |
Change in pension liability adjustment | ' | ' | 1,419 | ' |
Change in derivative valuation adjustment | ' | ' | 343 | ' |
Balance | -78,439 | ' | -78,439 | ' |
Treasury Stock [Member] | ' | ' | ' | ' |
Balance | ' | ' | -257,571 | ' |
Net income | ' | ' | ' | ' |
Dividends declared | ' | ' | ' | ' |
Changes in equity related to noncontrolling interest in ASC | ' | ' | ' | ' |
Compensation and benefits paid or payable in Class A Common Stock | ' | ' | ' | ' |
Options exercised | ' | ' | ' | ' |
Shares issued to Directors | ' | ' | 90 | ' |
Cumulative translation adjustment | ' | ' | ' | ' |
Change in pension liability adjustment | ' | ' | ' | ' |
Change in derivative valuation adjustment | ' | ' | ' | ' |
Balance | -257,481 | ' | -257,481 | ' |
Noncontrolling Interest [Member] | ' | ' | ' | ' |
Balance | ' | ' | 3,482 | ' |
Net income | ' | ' | -8 | ' |
Dividends declared | ' | ' | ' | ' |
Changes in equity related to noncontrolling interest in ASC | ' | ' | 38 | ' |
Compensation and benefits paid or payable in Class A Common Stock | ' | ' | ' | ' |
Options exercised | ' | ' | ' | ' |
Shares issued to Directors | ' | ' | ' | ' |
Cumulative translation adjustment | ' | ' | 7 | ' |
Change in pension liability adjustment | ' | ' | ' | ' |
Change in derivative valuation adjustment | ' | ' | ' | ' |
Balance | $3,519 | ' | $3,519 | ' |
Recent_Accounting_Pronouncemen1
Recent Accounting Pronouncements (Details) (Accounting Standards Update 2013-11 [Member], Scenario, Adjustment [Member], USD $) | Jun. 30, 2014 |
In Millions, unless otherwise specified | |
Accounting Standards Update 2013-11 [Member] | Scenario, Adjustment [Member] | ' |
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | ' |
Noncurrent deferred tax assets | ($7.10) |
Noncurrent deferred tax liabilities | ($7.10) |