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UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
FORM 8-K
CURRENT REPORT
PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
Date of Report (Date of earliest event reported) August 3, 2006
ALBANY INTERNATIONAL CORP.
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(Exact name of registrant as specified in its charter)
Delaware 0-16214 14-0462060
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(State or other jurisdiction (Commission (I.R.S. Employer
of incorporation) File Number) Identification No.)
1373 Broadway, Albany, New York 12204
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(Address of principal executive offices) (Zip Code)
Registrant's telephone number, including area code (518) 445-2200
None
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(Former name or former address, if changed since last report.)
Check the appropriate box below if the Form 8-K filing is intended to
simultaneously satisfy the filing obligation of the registrant under any of the
following provisions:
[ ] Written communications pursuant to Rule 425 under the Securities
Act (17 CFR 230.425)
[ ] Soliciting material pursuant to Rule 14a-12 under the Exchange
Act (17 CFR 240.14a-12)
[ ] Pre-commencement communications pursuant to Rule 14d-2(b) under the
Exchange Act (17 CFR 240.14d-2(b))
[ ] Pre-commencement communications pursuant to Rule 13e-4(c) under the
Exchange Act (17 CFR 240.13a-4(c))
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ITEM 2.05. COSTS ASSOCIATED WITH EXIT OR DISPOSAL ACTIVITIES.
Albany International Corp. (the "Company") issued a press release on August 3,
2006 announcing plans to reduce manufacturing capacity in North America. As
announced, the Company intends to discontinue dryer fabric manufacturing
operations in Cowansville, Quebec, Canada, and to shut down seaming capacity at
its forming fabric operations in Menasha, Wisconsin.
The Company estimates that it will incur termination and severance charges of
approximately $2.0 million and other cash charges of approximately $0.5 million
in connection with these actions. These charges will be reflected in
third-quarter results, with the bulk of the cash payments to be made during the
third quarter.
In addition, the Company expects to incur additional charges of from $2.0 to
$2.5 million related to the relocation or retirement of equipment at the
affected locations. The timing and nature of these charges (i.e., cash or
non-cash; operating or restructuring/non-operating) has not been determined,
pending final determination by the Company of the ultimate disposition of each
item.
ITEM 9.01. FINANCIAL STATEMENTS AND EXHIBITS.
(d) Exhibits.
99.1 Press Release dated August 3, 2006.
SIGNATURE
Pursuant to the requirements of the Securities Exchange Act of 1934, the
registrant has duly caused this report to be signed on its behalf by the
undersigned hereunto duly authorized.
ALBANY INTERNATIONAL CORP.
By: /s/ Michael C. Nahl
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Name: Michael C. Nahl
Title: Executive Vice President and
Chief Financial Officer
Date: August 3, 2006
EXHIBIT INDEX
EXHIBIT NO. DESCRIPTION
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99.1 Press Release dated August 3, 2006
Exhibit 99.1
ALBANY INTERNATIONAL ANNOUNCES REDUCTION IN MANUFACTURING
CAPACITY IN NORTH AMERICA
ALBANY, N.Y., Aug. 3 /PRNewswire-FirstCall/ -- Albany International Corp.
(NYSE: AIN; PCX, FWB) announced today the intention to discontinue dryer fabric
manufacturing operations at its facility in Cowansville, Quebec, Canada, and to
shut down seaming capacity at its Menasha, Wisconsin, forming fabric operation.
These actions are the result of shifting paper machine clothing demand in the
Americas and the continuing closure of paper and paperboard machines in North
America, especially Canada.
The decision by the Company to discontinue operations is a business-driven
necessity and, therefore, does not reflect on the fine performance of the
affected Albany International employees. The 95 hourly and salaried employees
affected by this decision will receive severance packages and assistance with
outplacement.
The Company will complete the transfer of production to other Albany
facilities within the next several weeks.
The Company estimates that it will incur termination and severance charges
of approximately $2.0 million and other cash charges of approximately $0.5
million in connection with these actions. These charges will be reflected in
third-quarter results, with the bulk of the cash payments to be made during the
third quarter.
In addition, the Company expects to incur additional charges of from $2.0
to $2.5 million related to the relocation or retirement of equipment at the
affected locations. The timing and nature of these charges (i.e., cash or
non-cash; operating or restructuring/non-operating) has not been determined,
pending final determination by the Company of the ultimate disposition of each
item.
Albany International is the world's largest producer of custom-designed
paper machine fabrics and process belts that are essential to the manufacture of
paper and paperboard. In its family of businesses, Albany applies its core
competencies in advanced textiles and materials to other industries. Additional
information about the Company and its businesses and products is available at
http://www.albint.com.
SOURCE Albany International Corp.
-0- 08/03/2006
/CONTACT: Kenneth C. Pulver, Vice President-Global Marketing &
Communications of Albany International Corp., +1-518-445-2214/
/Web site: http://www.albint.com /
(AIN)