SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
FORM 11-K
ANNUAL REPORT PURSUANT TO SECTION 15(d) OF THE
SECURITIES EXCHANGE ACT OF 1934
(Mark one)
[X] Annual report pursuant to Section 15(d) of the Securities Exchange Act of
1934 (No fee required, effective October 7, 1996)
For the fiscal year ended December 31, 2000
Or
[ ] Transition Report pursuant to Section 15(d) of the Securities Exchange Act
of 1934 (No fee required)
For the transition period from ___________________ to __________________
Commission file number 0-16182
A. Full title of the plan and the address of the plan, if different
from that of the issuer named below:
Axsys Technologies, Inc. 401(k) Retirement Plan
B. Name of issuer of the securities held pursuant to the plan and the
address of its principal executive office:
Axsys Technologies, Inc., a Delaware Corporation
175 Capital Boulevard, Suite 103
Rocky Hill, CT 06067
REQUIRED INFORMATION
The following financial statements shall be furnished for the plan:
Axsys Technologies, Inc. 401(k) Retirement Plan and Trust Financial
Statements and Supplemental Schedule
Independent Auditor's Report
Statement of Net Assets Available for Benefits
Notes to Financial Statements
Schedule of Assets Held for Investment Purposes
AXSYS TECHNOLOGIES, INC.
401 (K) RETIREMENT PLAN & TRUST
FINANCIAL STATEMENTS AND SUPPLEMENTAL SCHEDULE
YEAR ENDED DECEMBER 31, 2000
AXSYS TECHNOLOGIES, INC.
401 (K) RETIREMENT PLAN & TRUST
FINANCIAL STATEMENTS AND SUPPLEMENTAL SCHEDULE
YEAR ENDED DECEMBER 31, 2000
CONTENTS
PAGE
FINANCIAL STATEMENTS:
Independent Auditor's Report 1
Statement of Net Assets Available for Benefits 2
Statements of Changes in Net Assets Available for Benefits 3
Notes to Financial Statements 5
Supplemental Schedule:
Schedule of Assets Held for Investment Purposes at End of Year 11
HERMAN BIRNBAUM
Certified Public Accountant
P.O. Box 296
Pluckemin, NJ 07978
------------------------------
(908) 781-9863
INDEPENDENT AUDITOR'S REPORT
To the Axsys Technologies, Inc. 401(K) Retirement Plan and Trust Participants:
I have audited the statement of net assets available for benefits of the Axsys
Technologies, Inc. 401(K) Retirement Plan and Trust (the "Plan") as of December
31, 2000 and 1999 and the statements of changes in net assets available for
benefits for the years ended December 31, 2000, 1999 and 1998. These financial
statements are the responsibility of the Plan's management. My responsibility is
to express an opinion on these financial statements based on my audits.
I conducted my audits in accordance with generally accepted auditing standards.
Those standards require that I plan and perform the audit to obtain reasonable
assurance about whether the financial statements are free of material
misstatement. An audit includes examining, on a test basis, evidence supporting
the amounts and disclosures in the financial statements. An audit also includes
assessing the accounting principles used and significant estimates made by
management, as well as evaluating the overall financial statement presentation.
I believe that my audits provide a reasonable basis for my opinion.
In my opinion, the financial statements referred to above present fairly, in all
material respects the net assets available for benefits of the Plan as of
December 31, 2000 and 1999 and the changes in net assets available for benefits
for the years ended December 31, 2000, 1999 and 1998 in conformity with
generally accepted accounting principles.
My audits were performed for the purpose of forming an opinion on the basic
financial statements taken as a whole. The supplemental schedule of assets held
for investment purposes as of December 31, 2000 is presented for the purpose of
additional analysis and is not a required part of the basic financial statements
but is supplementary information required by the Department of Labor's Rules and
Regulations for Reporting and Disclosure under the Employee Retirement Income
Security Act of 1974. This supplemental schedule is the responsibility of the
Plan's management. This supplemental schedule has been subjected to the auditing
procedures applied in the audit of the basic financial statements and, in my
opinion, is fairly stated in all material aspects in relation to the basic
financial statements taken as a whole.
May 31, 2001
1
AXSYS TECHNOLOGIES, INC.
401(K) RETIREMENT PLAN AND TRUST
STATEMENTS OF NET ASSETS AVAILABLE FOR BENEFITS
December 31,
2000 1999
----------- -----------
Investments $23,863,745 $14,898,053
Contributions receivable:
Employees 166,207 84,859
Employer 231,226 107,981
----------- -----------
Total contribution receivable 397,433 192,840
----------- -----------
----------- -----------
Net assets available for benefits $24,261,178 $15,090,893
=========== ===========
See accompanying notes to the financial statements.
2
AXSYS TECHNOLOGIES, INC.
401(K) RETIREMENT PLAN AND TRUST
STATEMENT OF CHANGES IN NET ASSETS AVAILABLE FOR BENEFITS
FOUR MONTHS SEPTEMBER 1 - DECEMBER 31, 2000
Axsys Fidelity Fidelity Fidelity
Stable Growth Investment Fidelity Blue Chip
Value Company Grade Bond Balanced Growth
----------------------------------------------------------------------
ADDITIONS:
Contributions - Employees $ 28,691 $ 133,416 $ 32,817 $ 50,629 $ 143,077
Contributions - Employer, net 8,386 32,719 7,564 13,194 31,647
Interest and dividend income 95,287 20,531 10,851 118,596 319,980
Exchange in 81,646 55,883 111,515 83,224 15,149
Loan repayment (principal
and interest) 11,267 40,009 13,463 14,270 44,715
DEDUCTIONS:
Realized (gain)/loss -- 52 (15) 2,007 35,791
Distributions, etc -- 701 (237) -- 1,380
Transfer out -- -- -- -- --
Exchange out 10,408 1,762 783 17,273 105,646
Loan withdrawals 55,286 1,725 365 31,257 44,715
----------------------------------------------------------------------
Net increase/(decrease) in net
assets available for plan
benefits 159,583 278,318 175,314 229,376 367,036
Unrealized appreciation/
(depreciation) of investments -- (35,225) 11,396 (134,564) (1,751,772)
----------------------------------------------------------------------
Net assets, beginning of period -- -- -- -- --
Balances forwarded/transferred 4,685,149 99,905 586,963 2,532,072 8,257,825
----------------------------------------------------------------------
Net assets, end of period $ 4,844,732 $ 342,998 $ 773,673 $ 2,626,884 $ 6,873,089
======================================================================
Fidelity Fidelity Fidelity
Equity Stock Diversified
Income II Selector International
-----------------------------------------
ADDITIONS:
Contributions - Employees $ 11,006 $ 29,164 $ 36,927
Contributions - Employer, net 2,381 6,688 7,051
Interest and dividend income 2,832 282,908 77,274
Exchange in -- -- 448
Loan repayment (principal
and interest) 2,265 4,734 5,443
DEDUCTIONS:
Realized (gain)/loss (14) 37,249 6,558
Distributions, etc -- 341 --
Transfer out -- -- --
Exchange out 172 150,136 42,556
Loan withdrawals -- 12,751 767
-----------------------------------------
Net increase/(decrease) in net
assets available for plan
benefits 18,326 123,017 77,262
Unrealized appreciation/
(depreciation) of investments (2,103) (540,807) (179,858)
-----------------------------------------
Net assets, beginning of period -- -- --
Balances forwarded/transferred 7,423 2,012,332 1,416,173
-----------------------------------------
Net assets, end of period $ 23,646 $ 1,594,542 $ 1,313,577
=========================================
Fidelity Fidelity Spartan Retirement
Freedom Freedom US Equity Money Loans
2020 2030 Index Market Receivable
-----------------------------------------------------------------------------
ADDITIONS:
Contributions - Employees $ 48,232 $ 42,128 $ 48,911 $ 1,322 $ --
Contributions - Employer, net 14,224 12,770 10,370 -- --
Interest and dividend income 4,672 3,096 4,969 3,267 --
Exchange in 26,259 16,686 8,531 -- --
Loan repayment (principal
and interest) 24,986 13,790 9,353 25 (156,869)
DEDUCTIONS:
Realized (gain)/loss -- -- 12,152 -- --
Distributions, etc -- -- -- 13 --
Transfer out -- -- -- 640,040 --
Exchange out -- -- 62,074 -- --
Loan withdrawals 298 41 11,117 -- (158,322)
-----------------------------------------------------------------------------
Net increase/(decrease) in net
assets available for plan
benefits 118,075 88,429 (3,209) (635,439) 1,453
Unrealized appreciation/
(depreciation) of investments (7,093) (5,317) (124,427) -- --
-----------------------------------------------------------------------------
Net assets, beginning of period -- -- -- -- --
Balances forwarded/transferred 14,899 14,507 1,019,490 636,922 1,225,597
-----------------------------------------------------------------------------
Net assets, end of period $ 125,881 $ 97,619 $ 891,854 $ 1,483 $ 1,227,050
=============================================================================
Axsys
Technologies
Common Stock Adjustments* Total
---------------------------------------------
ADDITIONS:
Contributions - Employees $ -- $ 91,024 $ 697,344
Contributions - Employer, net 16,534 151,307 314,835
Interest and dividend income -- (1) 944,262
Exchange in -- -- 399,341
Loan repayment (principal
and interest) -- 8 27,459
DEDUCTIONS:
Realized (gain)/loss 223 1 94,004
Distributions, etc -- 1 2,199
Transfer out -- -- 640,040
Exchange out 8,531 -- 399,341
Loan withdrawals -- -- --
---------------------------------------------
Net increase/(decrease) in net
assets available for plan
benefits 7,780 242,336 1,247,657
Unrealized appreciation/
(depreciation) of investments (522,660) (1) (3,292,431)
---------------------------------------------
Net assets, beginning of period -- -- --
Balances forwarded/transferred 8,641,597 155,098 26,305,952
---------------------------------------------
Net assets, end of period $ 3,126,717 $ 397,433 $ 24,261,178
=============================================
* REPRESENTS EMPLOYER AND EMPLOYEE CONTRIBUTIONS RECEIVABLE AS OF
DECEMBER 31, 2000.
See accompanying notes to the financial statements.
3
AXSYS TECHNOLOGIES, INC.
401(K) RETIREMENT PLAN AND TRUST
STATEMENT OF CHANGES IN NET ASSETS AVAILABLE FOR BENEFITS
EIGHT MONTHS JANUARY 1 - AUGUST 31, 2000
Axsys Stable CGM Capital Westpeak Back Bay Loomis Sayles
Value Fund Growth Equity Securities Advisors Bond Balanced Securities
----------------------------------------------------------------------------------------
ADDITIONS:
Contributions - employees $ 134,760 $ 227,341 $ 173,625 $ 24,776 $ 31,756
Contributions - employer, net 43,367 79,926 59,495 12,183 10,302
Interest income 131,598 -- -- -- --
Transfers in/(out) (91,308) 157,897 (12,441) 1,066 (27,249)
Loan repayment (principal &
interest) 112,846 53,092 22,296 6,336 2,871
DEDUCTIONS:
Distributions, etc 1,061,037 1,924,022 976,147 82,675 64,842
Account maintenance charges 8,935 12,740 11,197 995 1,015
----------------------------------------------------------------------------------------
Net increase/(decrease) in net
assets available for plan
benefits (738,709) (1,418,506) (744,369) (39,309) (48,177)
Unrealized appreciation/
(depreciation) of investments (11,935) (185,629) 81,681 11,992 (4,463)
----------------------------------------------------------------------------------------
Net assets, beginning of period 2,883,493 4,303,653 3,483,107 301,511 370,775
Transfer to Fidelity 5,945 2,699,518 2,820,419 274,194 318,135
----------------------------------------------------------------------------------------
Net assets, end of period $2,126,904 $ -- $ -- $ -- $ --
=========================================================================================
YEAR ENDED DECEMBER 31,1999
Axsys Stable CGM Capital Westpeak Back Bay Loomis Sayles
Value Fund Growth Equity Securities Advisors Bond Balanced Securities
----------------------------------------------------------------------------------------
ADDITIONS:
Contributions - employees $ 292,799 $ 381,168 $ 277,577 $ 42,964 $ 61,277
Contributions - employer, net 67,445 110,681 70,917 20,670 16,267
Interest income 176,003 -- -- -- --
Transfers in/(out) (72,553) (223,574) 184,280 (771) (6,601)
Loan repayment (principal &
interest) (58,103) (18,306) (21,678) (5,354) (3,707)
DEDUCTIONS:
Distributions, etc 582,821 683,457 583,930 95,565 32,531
Account maintenance charges 16,335 17,611 12,923 1,362 1,459
----------------------------------------------------------------------------------------
Net increase/(decrease) in net
assets available for plan
benefits (193,565) (451,099) (85,757) (39,418) 33,246
Unrealized appreciation/
(depreciation) of investments -- 530,857 571,672 (1,911) (15,036)
----------------------------------------------------------------------------------------
Net assets, beginning of year 3,077,058 4,223,895 2,997,192 342,840 352,565
----------------------------------------------------------------------------------------
Net assets, end of year $ 2,883,493 $ 4,303,653 $ 3,483,107 $ 301,511 $ 370,775
========================================================================================
YEAR ENDED DECEMBER 31,1998
Axsys Stable CGM Capital Westpeak Back Bay Loomis Sayles
Value Fund Growth Equity Securities Advisors Bond Balanced Securities
----------------------------------------------------------------------------------------
ADDITIONS:
Contributions - employees $ 263,856 $ 398,214 $ 271,771 $ 51,355 $ 77,433
Contributions - employer, net 88,554 133,353 67,087 20,505 15,653
Roll-over 26,568 113,593 97,831 35,115 44,881
Interest income 161,786 -- -- -- --
Transfers in/(out) 160,099 (195,072) 14,510 (21,790) 26,271
Loan repayment (principal &
interest) (40,988) 28,530 3,111 (1,792) (4,236)
DEDUCTIONS:
Distributions, etc 641,526 318,637 161,837 95,577 12,545
Account maintenance charges 16,055 17,514 11,230 1,639 1,236
----------------------------------------------------------------------------------------
Net increase/(decrease) in net
assets available for plan
benefits 2,294 142,467 281,243 (13,823) 146,221
Unrealized appreciation/
(depreciation) of investments -- 1,030,302 645,864 24,859 19,601
----------------------------------------------------------------------------------------
Net assets, beginning of year 3,074,764 3,051,126 2,070,085 331,804 186,743
----------------------------------------------------------------------------------------
Net assets, end of year $ 3,077,058 $ 4,223,895 $ 2,997,192 $ 342,840 $ 352,565
----------------------------------------------------------------------------------------
See accompanying notes to the financial statements.
4
AXSYS TECHNOLOGIES, INC.
401(K) RETIREMENT PLAN AND TRUST
STATEMENT OF CHANGES IN NET ASSETS AVAILABLE FOR BENEFITS - CONTINUED
EIGHT MONTHS JANUARY 1 - AUGUST 31, 2000
Templeton Loans Axsys Technologies,
International Receivable Inc., Common Stock Adjustments* Total
------------------------------------------------------------------------------------------
ADDITIONS:
Contributions - employees $ 32,579 $ -- $ (441) $ (9,680) $ 614,716
Contributions - employer, net 16,716 -- 10,106 (28,062) 204,033
Interest income -- -- -- -- 131,598
Transfers in/(out) (27,966) -- 2,814 (2,813) --
Loan repayment (principal &
interest) 4,030 (153,853) -- (47,618) --
DEDUCTIONS:
Distributions, etc 192,408 72,930 1,181,213 (50,431) 5,504,843
Account maintenance charges 1,211 -- -- -- 36,093
------------------------------------------------------------------------------------------
Net increase/(decrease) in net
assets available for plan
benefits (168,260) (266,783) (1,168,734) (37,742) (4,590,589)
Unrealized appreciation/
(depreciation) of investments (28,748) -- 2,021,480 -- 1,884,378
Net assets, beginning of period 451,228 681,983 2,422,303 192,840 15,090,893
Transfer to Fidelity 254,220 -- -- -- 6,372,431
------------------------------------------------------------------------------------------
Net assets, end of period $ -- $ 455,200 $ 3,275,049 $ 155,098 $ 6,012,251
==========================================================================================
YEAR ENDED DECEMBER 31,1999
Templeton Loans Axsys Technologies,
International Receivable Inc., Common Stock Adjustments* Total
------------------------------------------------------------------------------------------
ADDITIONS:
Contributions - employees $ 48,998 $ -- $ -- $ (88,808) $ 1,015,975
Contributions - employer, net 19,196 -- 77,301 35,405 417,882
Interest income -- -- -- -- 176,003
Transfers in/(out) 119,219 -- -- -- --
Loan repayment (principal &
interest) (2,713) 85,843 -- 24,018 --
DEDUCTIONS:
Distributions, etc 14,522 -- 424,726 (37,356) 2,380,196
Account maintenance charges 974 -- -- -- 50,664
------------ ------------ ------------ ------------ ------------
Net increase/(decrease) in net
assets available for plan
benefits 169,204 85,843 (347,425) 7,971 (821,000)
Unrealized appreciation/
(depreciation) of investments 88,414 -- (140,001) -- 1,033,995
Net assets, beginning of year 193,610 596,140 2,909,729 184,869 14,877,898
------------ ------------ ------------ ------------ ------------
Net assets, end of year $ 451,228 $ 681,983 $ 2,422,303 $ 192,840 $ 15,090,893
============ ============ ============ ============ ============
YEAR ENDED DECEMBER 31,1998
Templeton Loans Axsys Technologies,
International Receivable Inc., Common Stock Adjustments* Total
------------------------------------------------------------------------------------------
ADDITIONS:
Contributions - employees $ 63,142 $ -- $ -- $ (9,886) $ 1,115,885
Contributions - employer, net 25,899 -- 180,528 (79,577) 452,002
Roll-over 46,925 -- -- (21,200) 343,713
Interest income -- -- -- -- 161,786
Transfers in/(out) 15,982 -- -- -- --
Loan repayment (principal &
interest) 1,710 207 -- 13,458 --
DEDUCTIONS:
Distributions, etc 1,333 -- 590,463 (207,362) 1,614,556
Account maintenance charges 626 -- -- -- 48,300
------------------------------------------------------------------------------------------
Net increase/(decrease) in net
assets available for plan
benefits 151,699 207 (409,935) 110,157 410,530
Unrealized appreciation/
(depreciation) of investments (15,517) -- (874,190) 19,153 850,072
Net assets, beginning of year 57,428 595,933 4,193,854 55,559 13,617,296
------------------------------------------------------------------------------------------
Net assets, end of year $ 193,610 $ 596,140 $ 2,909,729 $ 184,869 $14,877,898
==========================================================================================
* REPRESENTS EMPLOYER AND EMPLOYEE CONTRIBUTIONS RECEIVABLE FOR THE
APPROPRIATE REPORTING PERIOD.
See accompanying notes to the financial statements.
5
AXSYS TECHNOLOGIES, INC.
401(K) RETIREMENT PLAN & TRUST
NOTES TO FINANCIAL STATEMENTS
DECEMBER 31, 2000
1. SUMMARY OF SIGNIFICANT ACCOUNT POLICIES
METHOD OF ACCOUNTING
The financial statements of the Axsys Technologies, Inc. 401K
Retirement Plan and Trust (the "Plan") are presented on the accrual
basis of accounting.
INVESTMENTS
Investments consisting of guaranteed investment contracts are
recorded at contract value. All other investments are valued at fair
value on December 31, 2000 and 1999 using share values of the funds
as reported by Fidelity Investments Institutional Services Inc. in
2000 and the New England Life Insurance Company in 1999, the
custodians of the Plan.
NET APPRECIATION OF INVESTMENTS
The net appreciation in the fair value of investments consists of
the realized gains or losses and the unrealized
appreciation/(depreciation) on those investments.
EXPENSES OF THE PLAN
Axsys Technologies, Inc. ("The Company") incurs administrative and
auditing expenses, which are not included in the financial
statements.
USE OF ESTIMATES
The preparation of financial statements in conformity with generally
accepted accounting principles requires management to make estimates
and assumptions that can affect the amounts reported in the
financial statements and accompanying notes. Actual results could
differ from those estimates.
DEPOSITS WITH INSURANCE COMPANY
Deposits backed by the assets of an insurance company are subject to
credit risk. If the Plan trustees/custodians fail to repay funds
held by the Plan, the asset value of the plan could be substantially
impaired.
INCOME TAX STATUS
The Plan has been amended and restated to comply with the Tax Reform
Act of 1986 and subsequent tax legislation. The Plan received a
favorable determination letter from the Internal Revenue Service in
1997 as to its qualified status under Section 401(a) of the Internal
Revenue Code. The Plan is operated in compliance with the Internal
Revenue Code to maintain its qualified status. The trustees are not
aware of any course of action or series of events that have occurred
that might adversely affect the Plan's status. Therefore, no
provision for income taxes has been included in the financial
statements.
2. DESCRIPTION OF THE PLAN
The Company has maintained the Plan, which qualifies under section 401(a)
and 401(k) of the Internal Revenue Code since April 1, 1985. All employees
who are not members of collective bargaining groups and who are 21 years
of age or older and have completed 1,000 hours of service during a
consecutive twelve month period, are eligible to participate in the Plan.
6
AXSYS TECHNOLOGIES, INC.
401(K) RETIREMENT PLAN & TRUST
NOTES TO FINANCIAL STATEMENTS
DECEMBER 31, 2000
2. DESCRIPTION OF THE PLAN - CONTINUED
Effective September 1, 2000, the Company amended and restated the Plan
pursuant to an Adoption Agreement adopting the Fidelity CORPORATEPLAN FOR
RETIREMENT Prototype Basic Plan Document. The Company has appointed
Fidelity Management Trust Company ("Fidelity") as trustee of a separate
trust established pursuant to the Fidelity Plan effective as of September
1, 2000 (the "Fidelity Trust"). Fidelity will be the trustee of all Plan
assets, other than the assets attributable to the Deposit Funds under the
New England group annuity contract and the guaranteed interest accounts
under the Principal group annuity contracts, which Deposit Funds and
guaranteed interest accounts will, effective September 1, 2000, comprise
part of the Axsys Stable Value Fund along with certain assets in the
Fidelity Trust (the transferred assets being referred to as "Transferred
Assets" and the remaining assets being referred to as the "Insurance
Contracts"). Stephen W. Bershad and Mark J. Bonney will continue to be the
co-trustees of the Trust, which, effective September 1, 2000, will hold
assets exclusively attributable to the Insurance Contracts.
In connection with the amendment and restatement of the Plan, the Company
intends to maintain the Trust separately from the Fidelity Trust until the
maturity or liquidation of the Insurance Contracts or participant
withdrawals or participant-directed investment transfers from the Axsys
Stable Value Fund to another investment fund, at which time those assets
will be transferred to the Fidelity Trust (unless otherwise directed by
the Investment Committee).
Once all assets attributable to the Insurance Contracts are transferred to
the Fidelity Trust or otherwise are distributed to satisfy withdrawals
from the Axsys Stable Value Fund, Stephen W. Bershad and Mark J. Bonney
will no longer serve as co-trustees of the Trust.
Although the Plan assets will be held in two separate trusts, the Plan is
a "single plan" as described in Treasury Regulation Section
1.414(l)-1(b)(1) and all assets of both the Trust and the Fidelity Trust
will be available to pay benefits to participants and beneficiaries of the
Plan.
Prior to September 2000, the New England Life Insurance Company was the
plan custodian and the plan was self-trusteed by Axsys.
Additionally, effective September 1, 2000 the Plan was amended to merge
the Speedring, Inc. Deferred Income Retirement Plan and Speedring Systems,
Inc. Deferred Income Retirement Plan. The net assets of the respective
plans at date of transfer were $6,252,730 and $5,288,030.
Participating employees may elect to defer a portion of their compensation
and contribute it to the Plan on a pre-tax basis. The minimum allowable
contribution under the Plan is 1% of annual gross pay. The maximum
contribution to the Plan is limited by the Tax Reform Act of 1986 and was
$10,500 in 2000. The Company matched 100% of the first 3% contributed and
50% of the next 2% contributed, for a maximum of 4% from September 2000
through December 2000. Prior to September 1, 2000, the Company matched
100% of the first 3% of employee contribution.
7
AXSYS TECHNOLOGIES, INC.
401(K) RETIREMENT PLAN & TRUST
NOTES TO FINANCIAL STATEMENTS
DECEMBER 31, 2000
Employees participating in the Plan are eligible to receive a benefit upon
their normal retirement date, early retirement date, or disability
retirement date equal to the amount in their individual accounts.
Participant contributions and related investment returns are 100% vested.
Employer matching contributions and related investment returns vest as
follows:
COMPLETED YEARS OF SERVICE PERCENTAGE VESTED
-------------------------- -----------------
less than 1 0%
1 20%
2 40%
3 60%
4 80%
5 100%
Participants are eligible to borrow from their vested accounts in
accordance with the Plan provisions. The maximum amount of any loan is the
lesser of (a) $50,000 or (b) one-half of the participant's vested balance
but not less than $1,000. In addition, no more than three loans may be
outstanding at any one time. All loans must be repaid, by payroll
deductions within five years, except those loans used for the purchase of
a principal residence, which must be repaid within twenty years.
Participant loans are charged interest at the prime rate plus 1%.
The participants of the Plan may elect to have their contributions
invested in any combination equal to a whole percentage of the following
investment alternatives:
EFFECTIVE SEPTEMBER 1, 2000 PRIOR TO SEPTEMBER 1, 2000
--------------------------- --------------------------
Axsys Stable Value Fund Axsys Stable Value Fund
Fidelity Growth Company Back Bay Advisors Bond Fund
Fidelity Investment Grade Bond Fund Loomis Sayles Balanced Securities Fund
Fidelity Balanced Fund CGM Capital Growth Fund
Fidelity Blue Chip Growth Fund Westpeak Equity Securities Fund
Fidelity Equity Income II Templeton International Fund
Fidelity Stock Selector
Fidelity Diversified International Fund
Fidelity Freedom 2020
Fidelity Freedom 2030
Spartan US Equity Index
The participants of the Plan, effective for all periods presented, may
elect to have the company match invested in the Axsys Technologies, Inc.
common stock or in the same investment alternatives as the employee
contributions.
While the Company has not expressed any intention to discontinue the Plan,
it is free to do so subject to the provisions of ERISA. No such
termination, however, shall permit the Plan's Assets to be used for any
purpose other than the exclusive benefit of the participating employees.
8
AXSYS TECHNOLOGIES, INC.
401(K) RETIREMENT PLAN & TRUST
NOTES TO FINANCIAL STATEMENTS
DECEMBER 31, 2000
The information presented previously is not a complete description of the
Plan. For more information see the Summary Plan Description available at
the office of the Company.
2. INVESTMENTS
The following investments are reported by the trustees/custodians and
represent 5% or more of the Plan's net assets:
December 31,
2000 1999
---- ----
Axsys Stable Value $ 4,844,732 $ 2,883,493
Axsys Technologies, Inc. Common Stock 3,126,717 2,422,303
Fidelity Balanced Fund 2,626,884 --
Fidelity Blue Chip Growth Fund 6,873,089 --
Fidelity Stock Selector 1,594,542 --
CGM Capital Growth Fund -- 4,303,653
West peak Equity Securities Fund -- 3,483,107
----------- -----------
$19,065,964 $13,092,556
The Plan has investments in guaranteed investment contracts that are
recorded at contract value. Contract value represents contributions made
under the contract, plus interest at the contract rate, less withdrawals
from the contract. The blended credited interest rate for 2000, 1999 and
1998 was 7.9%, 7.1% and 5.5% respectively. No valuation reserves have been
established to adjust contract amounts since, at December 31, 2000 there
is no concern with the credit worthiness of the contract issuer, the New
England Life Insurance Company.
9
AXSYS TECHNOLOGIES, INC.
401(K) RETIREMENT PLAN & TRUST
NOTES TO FINANCIAL STATEMENTS
DECEMBER 31, 2000
RECONCILIATION OF FINANCIAL STATEMENTS TO FORM 5500
The following is a reconciliation of the net assets available for benefits
per the financial statements to the Form 5500 at December 31, 2000.
Net assets available for benefits per the financial statements $24,261,178
Less: Contributions receivable per the financial statements (397,433)
-------------
Net assets available for benefits per the Form 5500 $ 23,863,745
=============
The following is a reconciliation of the contributions made per the
financial statements to the Form 5500.
PARTICIPANTS EMPLOYER
Contributions made per the financial
statements (accrual basis) $ 1,312,060 $ 518,868
Less: Amounts currently receivable
at December 31, 2000 (166,207) (231,226)
Add: Amounts receivable at
December 31, 1999 84,859 107,981
----------- -----------
$ 1,230,712 $ 395,623
=========== ===========
3. PLAN INCOME
On September 28, 1999, the parent company of New England Financial, the
Metropolitan Life Insurance Company ("MetLife"), voted to convert MetLife
from a mutual insurance company to a stock insurance company. As a result
of this process, a demutualization, a special one-time payment, in the
form of shares of MetLife stock, was made to the Plan under the contract
issued by New England Financial.
The financial statements for the period ended December 31, 2000 include
approximately $635,000 from the proceeds of the sale of the Plan's 20,797
shares of Met Life received as part of the demutualization program. Plan
participants, in the New England Group Annuity Contract with account
balances on September 28, 1999, were allocated the proceeds as dividend
income in December 2000.
10
AXSYS TECHNOLOGIES, INC.
401(K) RETIREMENT PLAN & TRUST
SCHEDULE OF ASSETS HELD FOR INVESTMENT PURPOSES AT END OF YEAR
DECEMBER 31, 2000
IDENTITY OF ISSUE CURRENT VALUE
Axsys Stable Value Fund $4,884,732
Axsys Technologies, Inc. Common Stock 3,126,717
Fidelity Growth Company 342,998
Fidelity Investment Grade Bond Fund 773,673
Fidelity Balanced Fund 2,626,884
Fidelity Blue Chip Growth Fund 6,873,089
Fidelity Equity Income II 23,646
Fidelity Stock Selector 1,594,542
Fidelity Diversified International 1,313,577
Fidelity Freedom 2020 125,881
Fidelity Freedom 2030 97,619
Retirement Money Market 1,483
Spartan US Equity Index 891,854
Loans to Participants 1,227,050
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$23,863,745
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SIGNATURES
THE PLAN. Pursuant to the requirements of the Securities Exchange Act of
1934, the trustees (or other person who administer the employee benefit
plan) have duly caused this annual report to be signed on its behalf by
the undersigned hereunto duly authorized.
AXSYS TECHNOLOGIES, INC. 401(k)
RETIREMENT PLAN
(PLAN NAME)
DATE: 6/20/01 /s/ Stephen W. Bershad
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Stephen W. Bershad
Chief Executive Officer
DATE: 6/20/01 /s/ Mark J. Bonney
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Mark J. Bonney
President & Chief Operating Officer
DATE: 6/20/01 /s/ John E. Hanley
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John E. Hanley
Vice President & Chief Financial Officer
DATE: 6/20/01 /s/ Thomas F. Curtin, Jr.
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Thomas F. Curtin, Jr.
Vice President
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