UNITED STATES
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
( ü ) Annual report pursuant to Section 15(d) of the Securities Exchange Act of 1934 (No Fee Required)
For the fiscal year ended December 31, 2013
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 1-10026
A. Full title of the plan and the address of the plan, if different from that of the issuer named below:
Albany International Corp. Prosperity Plus Savings Plan
B. Name of issuer of the securities held pursuant to the plan and the address of its principal executive office:
Albany International Corp.
216 Airport Drive, Rochester, New Hampshire 03867
Albany International Corp.
Prosperity Plus Savings Plan
Index
Page(s)
| * | Other supplemental schedules required by 29 CFR 2520.103-800 of the Department of Labor Rules and Regulations for Reporting and Disclosure under the Retirement Income Security Act of 1974 (ERISA) have been omitted because they are not applicable. |
| Signature | 15 |
| Exhibit | 16 |
Report of Independent Registered Public Accounting Firm
To the Participants, Administrator and Compensation Committee of
Albany International Corp. Prosperity Plus Savings Plan:
In our opinion, the accompanying statements of net assets available for benefits and the related statements of changes in net assets available for benefits present fairly, in all material respects, the net assets available for benefits of Albany International Corp. Prosperity Plus Savings Plan (the “Plan”) at December 31, 2013 and 2012, and the changes in net assets available for benefits for the years ended in conformity with accounting principles generally accepted in the United States of America. These financial statements are the responsibility of the Plan’s management. Our responsibility is to express an opinion on these financial statements based on our audits. We conducted our audits of these statements in accordance with the standards of the Public Company Accounting Oversight Board (United States). Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements, assessing the accounting principles used and significant estimates made by management, and evaluating the overall financial statement presentation. We believe that our audits provide a reasonable basis for our opinion.
Our audits were conducted for the purpose of forming an opinion on the basic financial statements taken as a whole. The supplemental schedule of Schedule H, Line 4i – Schedule of Assets (Held at End of Year) 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. The supplemental schedule has been subjected to the auditing procedures applied in the audits of the basic financial statements and, in our opinion, is fairly stated in all material respects in relation to the basic financial statements taken as a whole.
/s/ PricewaterhouseCoopers LLP
PricewaterhouseCoopers LLP
Albany, New York
June 20, 2014
Albany International Corp.
Prosperity Plus Savings Plan
Statements of Net Assets Available for Benefits
December 31, 2013 and 2012
| 2013 | 2012 | ||||||||||
| Assets | |||||||||||
| Investments, at fair value | |||||||||||
| Registered investment companies | $ | 118,811,745 | $ | 151,209,725 | |||||||
| Albany International Class A common stock | 32,167,951 | 25,209,623 | |||||||||
| Common stock | 642,343 | 472,563 | |||||||||
| Common collective trust | 114,383,013 | 48,140,818 | |||||||||
| Total investments at fair value | 266,005,052 | 225,032,729 | |||||||||
| Receivables | |||||||||||
| Employer contribution receivable | 1,468,652 | 1,847,993 | |||||||||
| Participant notes receivable | 5,098,956 | 4,212,594 | |||||||||
| Other assets | 7,339 | 411 | |||||||||
| Total assets | 272,579,999 | 231,093,727 | |||||||||
| Liabilities | |||||||||||
| Other liabilities | 9,502 | - | |||||||||
| Total liabilities | 9,502 | - | |||||||||
| Net assets reflecting investments at fair value | 272,570,497 | 231,093,727 | |||||||||
| Adjustment from fair value to contract value for interest in | |||||||||||
| collective trust relating to fully benefit-responsive | |||||||||||
| investment contracts | (1,257,025) | (2,423,527) | |||||||||
| Net assets available for benefits | $ | 271,313,472 | $ | 228,670,200 | |||||||
The accompanying notes are an integral part of these financial statements.
| 2 |
Albany International Corp.
Prosperity Plus Savings Plan
Statements of Changes in Net Assets Available for Benefits
As of December 31, 2013 and 2012
| 2013 | 2012 | ||||||||||
| Additions | |||||||||||
| Investment income | |||||||||||
| Interest and dividend income from investments | $ | 5,949,879 | $ | 6,042,848 | |||||||
| Net appreciation in fair value of investments | 42,199,251 | 14,841,832 | |||||||||
| 48,149,130 | 20,884,680 | ||||||||||
| Contributions | |||||||||||
| Employer | 5,574,222 | 5,673,095 | |||||||||
| Participant | 8,211,301 | 8,108,660 | |||||||||
| Interest income from participant notes receivable | 203,269 | 186,253 | |||||||||
| 13,988,792 | 13,968,008 | ||||||||||
| Deductions | |||||||||||
| Payment of benefits | (19,425,925) | (30,491,130) | |||||||||
| Administrative expenses and other deductions | (68,725) | (33,038) | |||||||||
| (19,494,650) | (30,524,168) | ||||||||||
| Net increase prior to transfers to other qualified plans | 42,643,272 | 4,328,520 | |||||||||
| Net transfers to other qualified plans (Note 1) | - | 909,613 | |||||||||
| Net increase in net assets available for benefits | 42,643,272 | 3,418,907 | |||||||||
| Net assets available for benefits | |||||||||||
| Beginning of year | 228,670,200 | 225,251,293 | |||||||||
| End of year | $ | 271,313,472 | $ | 228,670,200 | |||||||
The accompanying notes are an integral part of these financial statements.
| 3 |
Albany International Corp.
Prosperity Plus Savings Plan
December 31, 2013 and 2012
| 1. | Description of Plan |
The following description of the Albany International Corp. (the “Company”) Prosperity Plus Savings Plan (the “Plan”) provides only general information. Participants should refer to the Plan agreement for a more complete description of the Plan’s provisions.
General
The Plan is a defined contribution plan and is subject to the provisions of the Employee Retirement Income Security Act of 1974 (ERISA). The Plan covers all full time domestic employees of the Company and its subsidiaries, except those covered by a collective bargaining agreement that does not provide for participation in the Plan, temporary employees, leased employees, contractors, internal and co-op students. Eligible employees hired on or after January 1, 2009, automatically become participants in the Plan for purposes of making Pre-Tax Participant Contributions, unless otherwise elected by the participant.
Contributions
Employees may make voluntary contributions to the Plan of 1% to 15% of eligible compensation, subject to certain limitations, on a before-and/or after-tax basis as defined in the Plan. Participants may also contribute amounts representing distributions from other qualified defined benefit or defined contribution plans. Participants direct the investment of their contributions into various investment options offered by the Plan. The Plan currently offers various investment options including registered investment companies, common collective trusts, a participant directed brokerage option and Albany International Class A common stock. The Company makes a matching contribution to the Plan in varying percentages up to 5% of the participant’s eligible compensation.
Profit-Sharing Contribution
The Plan provides for a discretionary annual profit-sharing contribution. Profit-sharing contributions are based upon a minimum 1% employee participation in the Plan and are in addition to, and separate from, Company non-discretionary matching contributions. In order to receive a profit-sharing contribution, an employee must be an active contributing participant in the Plan on the last day of the year for which the profit-sharing contribution is made. If an employee is eligible, yet chooses to participate for less than a full year, the profit-sharing contribution will be pro-rated. The amount of the profit sharing contribution is based on a formula stated at the beginning of the year. The Company’s contribution for profit-sharing is in the form of cash and was $1,468,652 and $1,847,993 for the years ended December 31, 2013 and 2012, respectively.
Participant Accounts
Each participant’s account is credited with the participant’s contribution and allocations of (a) the Company’s contributions and (b) Plan earnings. Allocations are based on participant earnings or account balances, as defined in the Plan. The benefit to which a participant is entitled is the benefit that can be provided from the participant’s vested account.
Vesting
Participants are vested immediately in their and the Company’s contributions plus actual earnings thereon.
| 4 |
Albany International Corp.
Prosperity Plus Savings Plan
Notes to Financial Statements
December 31, 2013 and 2012
Payment of Benefits
Upon termination of service, total disability, death or retirement, participants have the option to receive an amount equal to the value of their accounts in a lump sum payment or, in the case of total disability or retirement, monthly installments over a period not to exceed 15 years. Participants may also elect prior to retirement to withdraw up to 100% of their after-tax contributions and up to 100% of before-tax contributions if the Internal Revenue Service’s criteria for “financial hardship” are met.
Plan Termination
The Company intends to continue the Plan indefinitely but reserves the right to modify, amend, suspend or terminate the Plan. In the event of plan termination, distributions would be allocated based on the value of the participant accounts.
Administrative Costs
The Plan stipulates that all direct costs incurred in administering the Plan shall be borne by the Company or, if the Compensation Committee so determines, by the Plan. The Company paid Plan administrative expenses of $125,676 and $123,358 during 2013 and 2012, respectively, which consisted of plan fiduciary services. Expenses paid by the Plan included investment advisory fees, and securities brokerage fees.
Notes Receivable From Participants
Participants may borrow from their fund accounts a minimum of $1,000 up to a maximum equal to the lesser of $50,000, minus the participant’s highest outstanding note balance over the last 12 months, or 50% of their account balance. Interest rates on notes are determined by the Compensation Committee from time to time with the rate remaining constant throughout the life of the note (rates range between 4.25% and 10.25% at December 31, 2013 and 2012). Notes are to be repaid through payroll deductions, although they may be repaid in a lump sum amount, generally over a period from 1 to 5 years except for notes for the purchase of a primary residence, which range from 5 to 20 years.
Transfers Out to Other Qualified Plans
Net transfers to other qualified plans primarily related to participants who left the Company due to the divesture of Albany Doors in 2012.
| 2. | Summary of Significant Accounting Policies |
Basis of Accounting
The financial statements of the Plan are prepared on the accrual basis of accounting.
Use of Estimates
The preparation of the financial statements in conformity with accounting principles generally accepted in the United States of America requires Plan management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the Statement of Net Assets Available for Benefits date of the financial statements and the reported amounts of changes in net assets during the reporting period. Actual results could differ from those estimates.
| 5 |
Albany International Corp.
Prosperity Plus Savings Plan
Notes to Financial Statements
December 31, 2013 and 2012
Risks and Uncertainties
The Plan provides for various investment options in any combination of stocks, common collective trusts, registered investment companies and other investment securities. Investment securities are exposed to various risks, such as interest rate, market and credit risks. Due to the level of risk associated with certain investment securities and the level of uncertainty related to changes in the value of investment securities, it is at least reasonably possible that changes in risks in the near term would materially affect participants’ account balances and the amounts reported in the statements of net assets available for benefits and the statement of changes in net assets available for benefits.
Investment Valuation and Income Recognition
The Plan’s investments are reported at fair value. Accounting principles define fair value 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. The hierarchy is broken down into three general levels: Level 1 inputs are quoted prices in active markets for identical assets or liabilities; Level 2 inputs include data points that are observable, such as quoted prices for similar assets or liabilities in active markets, quoted prices for identical assets or similar assets or liabilities in markets that are not active, and inputs (other than quoted prices) such as interest rates and yield curves that are observable for the asset and liability, either directly or indirectly; 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. The asset’s or liability’s fair value measurement level within the fair value hierarchy is based on the lowest level of any input that is significant to the fair value measurement. Valuation techniques used need to maximize the use of observable inputs and minimize the use of unobservable inputs.
Investments in common collective trust funds are valued at the net asset values per share using available inputs to measure the fair value of such funds held by the Plan at year end. There are no penalties or restrictions for withdrawing assets from the common collective trust funds at any time.
Investments in registered investment companies are valued using the quoted sales price on the last business day of the year, which represents the net asset value of shares held by the Plan at year end.
Investment contracts held by a defined-contribution plan are required to be reported at fair value. However, contract value is the relevant measurement of fully benefit-responsive investment contracts because contract value is the amount participants would receive if they were to initiate permitted transactions under the terms of the plan. The Plan invests in investment contracts through the Vanguard Retirement Savings Trust, a common collective trust. The statements of net assets available for benefits present the fair value of the investment in the common collective trust as well as the adjustment of the investment in the collective trust from fair value to contract value relating to the investment contracts. The statement of changes in net assets available for benefits are prepared on a contract value basis. The investment in the common collective trust is recorded at net asset value (prior to adjustment to contract value) of shares held by the Plan at year end. The net asset value is provided by the trustee and is used as a practical expedient to estimate fair value. The net asset value is based on the fair value of the funds investments less its liabilities.
| 6 |
Albany International Corp.
Prosperity Plus Savings Plan
Notes to Financial Statements
December 31, 2013 and 2012
There are no penalties or restrictions for withdrawing assets from the common collective trust at any time.
The common stock of Albany International Corp. and exchange traded funds, which are classified as registered investment companies, are valued using active markets at the latest quoted sales price on the last business day of the year on its principal exchange.
These methods may produce a fair value calculation that may not be indicative of net realizable value or reflective of future fair values. Furthermore, while the Plan believes its valuation methods are appropriate and consistent with other market participants, the use of different methodologies or assumptions to determine the fair value of certain financial instruments could result in a different fair value measurement at the reporting date.
Security transactions are recorded on a trade-date basis. Gains or losses on sales of securities are based on average cost.
Dividend income is recorded on the ex-dividend date. Dividends declared by the Board of Directors of the Company on Albany International Corp. Class A common stock may be reinvested in the Plan or received as a cash distribution as elected by the participant. Total cash dividends received by participants were $340,632 and $650,568 for the years ended December 31, 2013 and 2012, respectively. Interest income is recorded as earned.
The Plan presents in the Statement of Changes in Net Assets Available for Benefits the net depreciation/appreciation in the fair value of its investments, which consists of realized gains and losses and unrealized appreciation/depreciation on those investments.
Payment of Benefits
Benefit payments are recorded when paid.
Notes Receivable From Participants
Notes receivable from participants are measured at their unpaid principal balance plus any accrued but unpaid interest. Interest income is recorded on the accrual basis. Beginning in 2013, fees related to participant loans are paid by the participants. Prior to 2013, those fees were paid by the company. In 2012, the fees totaled $6,628 and were included in administrative expenses. No allowance for credit losses has been recorded as of December 31, 2013 or 2012.
Expenses
Certain expenses of maintaining the Plan are paid directly by the Company and are excluded from these financial statements. Investment related expenses are included in net appreciation of fair value of investments.
Subsequent Events
Management has evaluated the events and transactions that have occurred through the date the financial statements were available to be issued and noted no items requiring adjustment of the financial statements or additional disclosures.
| 7 |
Albany International Corp.
Prosperity Plus Savings Plan
Notes to Financial Statements
December 31, 2013 and 2012
| 3. | Investments |
The following table sets forth by level, within the fair value hierarchy, the Plan’s investments at fair value as of December 31, 2013:
| Level 1 | Level 2 | Level 3 | Total | ||||||||||||||
| Registered investment companies | |||||||||||||||||
| Balanced funds | $ | 71,989 | $ | - | $ | - | $ | 71,989 | |||||||||
| Bond funds | 15,864,350 | - | - | 15,864,350 | |||||||||||||
| Domestic stock funds | 86,938,118 | - | - | 86,938,118 | |||||||||||||
| International stock funds | 14,296,865 | - | - | 14,296,865 | |||||||||||||
| Money market funds | 1,367,457 | - | - | 1,367,457 | |||||||||||||
| Commodities | 228,216 | - | - | 228,216 | |||||||||||||
| Exchange traded note | 44,750 | - | - | 44,750 | |||||||||||||
| Common stock | 642,343 | - | - | 642,343 | |||||||||||||
| Albany International Class A | |||||||||||||||||
| Common Stock | 32,167,951 | - | - | 32,167,951 | |||||||||||||
| Common collective trusts | |||||||||||||||||
| Balanced funds | - | 68,019,636 | - | 68,019,636 | |||||||||||||
| Stable trusts | - | 46,363,377 | - | 46,363,377 | |||||||||||||
| Total investments | $ | 151,622,039 | $ | 114,383,013 | $ | - | $ | 266,005,052 | |||||||||
The following table sets forth by level, within the fair value hierarchy, the Plan’s investments at fair value as of December 31, 2012:
| Level 1 | Level 2 | Level 3 | Total | ||||||||||||||
| Registered investment companies | |||||||||||||||||
| Balanced funds | $ | 57,095,922 | $ | - | $ | - | $ | 57,095,922 | |||||||||
| Bond funds | 18,174,758 | - | - | 18,174,758 | |||||||||||||
| Domestic stock funds | 65,444,767 | - | - | 65,444,767 | |||||||||||||
| International stock funds | 9,486,976 | - | - | 9,486,976 | |||||||||||||
| Money market funds | 922,508 | - | - | 922,508 | |||||||||||||
| Commodities | 46,919 | - | - | 46,919 | |||||||||||||
| Exchange traded note | 37,875 | - | - | 37,875 | |||||||||||||
| Common stock | 472,563 | - | - | 472,563 | |||||||||||||
| Albany International Class A | |||||||||||||||||
| Common Stock | 25,209,623 | - | - | 25,209,623 | |||||||||||||
| Stable value common/collective | |||||||||||||||||
| trust | - | 48,140,818 | - | 48,140,818 | |||||||||||||
| Total investments | $ | 176,891,911 | $ | 48,140,818 | $ | - | $ | 225,032,729 | |||||||||
There were no transfers between Level 1 and Level 2 for the years ended December 31, 2013 and 2012.
| 8 |
Albany International Corp.
Prosperity Plus Savings Plan
Notes to Financial Statements
December 31, 2013 and 2012
The following investments represent 5% or more of net assets available for benefits at December 31:
| 2013 | 2012 | ||||||||||
| PIMCO Total Return Fund | $ | 15,779,803 | $ | 14,852,142 | |||||||
| Vanguard Institutional Index Fund | 41,470,136 | 31,415,042 | |||||||||
| Vanguard Mid-Cap Index Fund | 15,345,254 | 10,918,113 | |||||||||
| Vanguard Target Retirement 2015 Fund Trust | 12,464,269 | - | |||||||||
| Vanguard Target Retirement 2025 Fund Trust | 21,173,559 | - | |||||||||
| Vanguard Target Retirement 2035 Fund Trust | 12,227,921 | - | |||||||||
| T.Rowe Price Equity Income Funds | 18,282,617 | - | |||||||||
| Dodge & Cox International Stock Fund (1) | 14,182,205 | 9,346,036 | |||||||||
| Albany International Class A Common Stock | 32,167,951 | 25,209,623 | |||||||||
| Vanguard Retirement Savings Trust | 46,363,377 | 48,140,818 | |||||||||
| Vanguard Target Retirement 2015 Fund | - | 11,990,725 | |||||||||
| Vanguard Target Retirement 2025 Fund | - | 18,354,253 | |||||||||
| Eaton Vance Large Cap Value Fund | - | 18,085,268 | |||||||||
(1) Investment at December 31, 2012 was less than 5% of net assets available for benefits.
During 2013 and 2012, the Plan’s investments (including gains and losses on investments bought and sold, as well as held during the year) (depreciated)/appreciated in value as follows:
| 2013 | 2012 | ||||||||||
| Albany International Class A Common Stock | $ | 13,588,645 | $ | (801,664) | |||||||
| Registered investment companies | 28,582,774 | 15,669,306 | |||||||||
| Common stock | 27,832 | (25,810) | |||||||||
| $ | 42,199,251 | $ | 14,841,832 | ||||||||
During 2013 and 2012, the Plan’s investments earned interest and dividend income as follows:
| 2013 | 2012 | ||||||||||
| Registered investment companies | $ | 5,153,474 | $ | 4,999,666 | |||||||
| Common stock | 20,436 | 17,754 | |||||||||
| Common collective trust | 775,969 | 1,025,428 | |||||||||
| $ | 5,949,879 | $ | 6,042,848 | ||||||||
9
Albany International Corp.
Prosperity Plus Savings Plan
Notes to Financial Statements
December 31, 2013 and 2012
| 4. | Related Party Transactions |
The Plan invests in shares of mutual funds (including the Vanguard brokerage option) managed by an affiliate of Vanguard Fiduciary Trust Company (“VFTC”). VFTC acts as trustee for the investments held by the Plan. The Plan also invests in shares of the Plan Sponsor’s Albany International Class A common stock. The Plan purchased $9,021,734 and $9,363,950 and sold $15,652,051 and $13,399,298 of Albany International Class A common stock during the years ended December 31, 2013 and 2012. Transactions in such investments qualify as party-in-interest transactions which are exempt from the prohibited transaction rules. Participant loans also qualify as party-in-interest transactions.
| 5. | Tax Status |
The Internal Revenue Service has determined and informed the Company by a letter dated January 31, 2003, that the Plan is qualified and the trust established under the Plan is tax-exempt, under the appropriate sections of the Code. The Plan has been amended since receiving the determination letter. However, the Plan administrator believes that the Plan is currently designed and being operated in compliance with the applicable requirements of the Code. Therefore, the Plan administrator believes that the Plan was qualified and the related trust was tax-exempt as of the financial statement date.
Accounting principles generally accepted in the United States of America require plan management to evaluate tax positions taken by the Plan and recognize a tax liability if the organization has taken an uncertain position that more likely than not would not be sustained upon examination by the Internal Revenue Service. The plan administrator has analyzed the tax positions taken by the Plan, and has concluded that as of December 31, 2013 and 2012 there are no uncertain positions taken or expected to be taken that would require recognition of a liability (or asset) or disclosure in the financial statements. The plan is subject to routine audits by taxing jurisdictions; however, there are currently no audits for any tax periods in progress. The plan administrator believes it is no longer subject to income tax examinations for plan years prior to 2011.
| 6. | Reconciliation of Financial Statements to Form 5500 |
Certain fully benefit-responsive contracts of the Plan, such as the common/collective Vanguard Retirement Savings Trust, are recorded on the financial statements at contract value, but are recorded on Form 5500 at fair value.
In addition, notes receivable from participants that are in default continue to be treated on the financial statements as notes receivable, but are treated on Form 5500 as deemed distributions, which are considered taxable distributions from the Plan.
| 10 |
Albany International Corp.
Prosperity Plus Savings Plan
Notes to Financial Statements
December 31, 2013 and 2012
The following is a reconciliation of net assets available for benefits from the financial statements to Form 5500 at December 31, 2013 and 2012:
| 2013 | 2012 | ||||||||||
| Net assets available for benefits per the financial statements | $ | 271,313,472 | $ | 228,670,200 | |||||||
| Adjustment from contract value to fair value for fully | |||||||||||
| benefit-response investment contracts held by a common | |||||||||||
| collective trust | 1,257,025 | 2,423,527 | |||||||||
| Deemed distributions | (8,265) | (8,073) | |||||||||
| Net assets available for benefits per Form 5500 | $ | 272,562,232 | $ | 231,085,654 | |||||||
The following is a reconciliation of the changes in net assets available for benefits from the financial statements to Form 5500 for the years ended December 31, 2013 and 2012:
| 2013 | 2012 | ||||||||||
| Net (decrease)/increase in assets per the financial statements | $ | 42,643,272 | $ | 4,328,520 | |||||||
| Net appreciation in fair value of common/collective trust | (2,423,527) | 106,913 | |||||||||
| Deemed distributions | (192) | 9,026 | |||||||||
| Net increase in assets available for benefits | |||||||||||
| per Form 5500 | $ | 40,219,553 | $ | 4,444,459 | |||||||
| 11 |
Supplemental Schedule
Albany International Corp.
Prosperity Plus Savings Plan
Schedule H, Line 4i - Schedule of Assets (Held at End of Year)
December 31, 2013
EIN 14-0462060
Attachment to Form 5500, Schedule H, Line 4(i) - “Schedule of Assets (Held at End of Year)”
| (a) | (b) | (c) | (d) | (e) | |||||
| Description of Investments Including | |||||||||
| Identity of Issue/Borrower, | Maturity Date, Rate of Interest, | Cost ** | Current | ||||||
| Lessor or Similar Party | Collateral, Par, or Maturity Value | Value | |||||||
| * | Vanguard Tgt Retirement 2010 Tr II | Common Collective Trust | - | $ | 1,235,683 | ||||
| * | Vanguard Tgt Retirement 2015 Tr II | Common Collective Trust | - | 12,464,269 | |||||
| * | Vanguard Tgt Retirement 2020 Tr II | Common Collective Trust | - | 5,694,479 | |||||
| * | Vanguard Tgt Retirement 2025 Tr II | Common Collective Trust | - | 21,173,559 | |||||
| * | Vanguard Tgt Retirement 2030 Tr II | Common Collective Trust | - | 2,756,914 | |||||
| * | Vanguard Tgt Retirement 2035 Tr II | Common Collective Trust | - | 12,227,921 | |||||
| * | Vanguard Tgt Retirement 2040 Tr II | Common Collective Trust | - | 1,438,782 | |||||
| * | Vanguard Tgt Retirement 2045 Tr II | Common Collective Trust | - | 5,791,055 | |||||
| * | Vanguard Tgt Retirement 2050 Tr II | Common Collective Trust | - | 1,276,429 | |||||
| * | Vanguard Tgt Retirement 2055 Tr II | Common Collective Trust | - | 322,123 | |||||
| * | Vanguard Tgt Retirement 2060 Tr II | Common Collective Trust | - | 11,906 | |||||
| * | Vanguard Target Retirement Inc. Tr II | Common Collective Trust | - | 3,626,516 | |||||
| * | Vanguard Retire Savings Trust III | Common Collective Trust | - | 46,363,377 | |||||
| Avalon Rare Metals Inc | Common Stock | - | 6,136 | ||||||
| Quest Rare Minerals Ltd | Common Stock | - | 720 | ||||||
| Rare Element Resources Ltd | Common Stock | - | 388 | ||||||
| Aberdeen Asia Pacific Income Fund | Common Stock | - | 6,336 | ||||||
| Abtech Holdings Inc | Common Stock | - | 7,874 | ||||||
| Active Power Inc | Common Stock | - | 11,967 | ||||||
| Advanced Cell Technology Inc | Common Stock | - | 4,462 | ||||||
| Aer Energy Resources Inc | Common Stock | - | 346 | ||||||
| Alcoa Inc | Common Stock | - | 65,258 | ||||||
| Altria Group Inc | Common Stock | - | 3,987 | ||||||
| American Capital Agency Corp | Common Stock | - | 4,176 | ||||||
| Amyris Biotechnologies Inc | Common Stock | - | 6,549 | ||||||
| Ani Pharmaceuticals Inc | Common Stock | - | 1,948 | ||||||
| Annaly Mortgage Management Inc | Common Stock | - | 3,689 | ||||||
| Apple Inc | Common Stock | - | 70,128 | ||||||
| Arena Pharmaceuticals Inc | Common Stock | - | 8,190 | ||||||
| Ares Capital Corp | Common Stock | - | 3,199 | ||||||
| AT&T Inc | Common Stock | - | 42,478 | ||||||
| Atrinsic Inc | Common Stock | - | 8 | ||||||
| Axion International Holdings Inc | Common Stock | - | 2,080 | ||||||
| Axion Power International Inc | Common Stock | - | 7,557 | ||||||
| B&G Foods Inc | Common Stock | - | 10,386 | ||||||
| Baristas Coffee Co Inc | Common Stock | - | 1,015 | ||||||
| Capstead Mortgage Corp | Common Stock | - | 3,443 | ||||||
| Cell Therapeutics Inc | Common Stock | - | 4,139 | ||||||
| Ceres Inc | Common Stock | - | 2,070 | ||||||
| Cisco Systems Inc | Common Stock | - | 67,290 | ||||||
| Clean Energy Fuels Corp | Common Stock | - | 7,831 | ||||||
| Echo Therapeutics Inc | Common Stock | - | 6,280 | ||||||
| Energy Fuels Inc | Common Stock | - | 2,981 | ||||||
| Energy Transfer Partners LP | Common Stock | - | 16,059 | ||||||
| Exide Technolgies | Common Stock | - | 490 | ||||||
| Freedom Energy Holdings Inc | Common Stock | - | 1 | ||||||
| Geckosystems International Corp | Common Stock | - | 687 | ||||||
| Generex Biotechnology Corp | Common Stock | - | 4,938 | ||||||
| Hatteras Finl Corp | Common Stock | - | 2,288 | ||||||
Inelco Corp |
Common Stock | - | - | ||||||
| 12 |
Albany International Corp.
Prosperity Plus Savings Plan
Schedule H, Line 4i - Schedule of Assets (Held at End of Year)
December 31, 2013
| (a) | (b) | (c) | (d) | (e) | ||||
| Description of Investments Including | ||||||||
| Identity of Issue/Borrower, | Maturity Date, Rate of Interest, | Cost ** | Current | |||||
| Lessor or Similar Party | Collateral, Par, or Maturity Value | Value | ||||||
| Itonis Inc | Common Stock | 816 | ||||||
| Kinder Morgan Energy Partners LP | Common Stock | - | 16,659 | |||||
| KiOR Inc | Common Stock | - | 3,360 | |||||
| Lime Energy Co | Common Stock | - | 1,737 | |||||
| LinnCo LLC | Common Stock | - | 10,008 | |||||
| Lynas Corp Ltd | Common Stock | - | 308 | |||||
| Mistral Ventures Inc | Common Stock | - | 70 | |||||
| Molycorp Inc | Common Stock | - | 3,169 | |||||
| Nuverra Enviromental Solutions Inc | Common Stock | - | 4,735 | |||||
| Nuvilex Inc | Common Stock | - | 2,550 | |||||
| Pepsico Inc | Common Stock | - | 4,234 | |||||
| Pharmagen Inc | Common Stock | - | 9 | |||||
| Plum Creek Timber Co Inc | Common Stock | - | 11,627 | |||||
| Potash Corp of Saskatchewan Inc | Common Stock | - | 4,614 | |||||
| Potlatch Corp | Common Stock | - | 20,870 | |||||
| Procter & Gamble Co | Common Stock | - | 39,342 | |||||
| Rayonier Inc | Common Stock | - | 31,575 | |||||
| Six Flags Entertainment Corp | Common Stock | - | 11,395 | |||||
| Solo International Inc | Common Stock | - | 60 | |||||
| Salta Med Inc | Common Stock | - | 2,950 | |||||
| Starbucks Corporation | Common Stock | - | 7,839 | |||||
| THQ Inc. | Common Stock | - | - | |||||
| Uranerz Energy Corp | Common Stock | - | 6,610 | |||||
| Verizon Communications Inc | Common Stock | - | 59,946 | |||||
| xG Technology Inc | Common Stock | - | 9,439 | |||||
| ZBB Energy Corp | Common Stock | - | 712 | |||||
| Zoom Technologies Inc | Common Stock | - | 335 | |||||
| * | Albany International Class A | Company Stock Fund | - | 32,167,951 | ||||
| Barclays Bank PLC iPath Dow Jones UBS Commodity | Exchange Traded Note | - | 44,750 | |||||
| * | Participant Note Receivable | Participant loans (for a term not exceeding 20 years at interest rates ranging from 4.25% to 10.25%), maturities from 1/15/2013 through 7/24/2032 | - | 5,098,956 | ||||
| Alps ETF Trust Alerian MLP ETF | Registered Investment Company | - | 8,895 | |||||
| Aston TAMRO Small Cap | Registered Investment Company | - | 5,866,756 | |||||
| Central Goldtrust Trust Unit | Registered Investment Company | - | 1,951 | |||||
| Dodge & Cox Intl Stock Fund | Registered Investment Company | - | 14,182,205 | |||||
| Doubleline Funds Trust | Registered Investment Company | - | 9,473 | |||||
| Fidelity Advisor Series VIII: Fidelity A | Registered Investment Company | - | 11,612 | |||||
| Fidelity Floating Rate High Income | Registered Investment Company | - | 64,567 | |||||
| Global X Funds Superdividend ETF | Registered Investment Company | - | 3,519 | |||||
| Global X Uranium New ETF | Registered Investment Company | - | 15,133 | |||||
| iShares Silver Trust | Registered Investment Company | - | 25,539 | |||||
| iShares Trust Dow Jones Select Dividend | Registered Investment Company | - | 15,483 | |||||
| Loomis Sayles Global Bond Fund | Registered Investment Company | - | 26,265 | |||||
| Matthews International Funds | Registered Investment Company | - | 15,395 | |||||
| Oppenheimer Developing Markets | Registered Investment Company | - | 17,729 | |||||
| PIMCO Total Return Fund Institutional | Registered Investment Company | - | 15,779,803 | |||||
| Pimco Corporate&Income Opportunity Fund | Registered Investment Company | - | 7,422 | |||||
| Powershares ETF Fund Trust II Senior Loan Portfolio | Registered Investment Company | - | 9,952 | |||||
| Powershares ETF Trust II | Registered Investment Company | - | 9,060 | |||||
| Powershares ETF Trust II CEF Income | Registered Investment Company | - | 9,736 | |||||
| Powershares S&P 500 Low Volatility | Registered Investment Company | - | 14,922 | |||||
| T.Rowe Price Equity Income R | Registered Investment Company | - | 18,282,617 | |||||
| United States Natural Gas Fund | Registered Investment Company | - | 169,699 | |||||
| * | Vanguard Dividend Appreciation ETF | Registered Investment Company | - | 94,246 | ||||
| * | Vanguard Dividend Growth Fund | Registered Investment Company | - | 13,819 | ||||
| 13 |
Albany International Corp.
Prosperity Plus Savings Plan
Schedule H, Line 4i - Schedule of Assets (Held at End of Year)
December 31, 2013
| (a) | (b) | (c) | (d) | (e) | |||||
| Description of Investments Including | |||||||||
| Identity of Issue/Borrower, | Maturity Date, Rate of Interest, | Cost ** | Current | ||||||
| Lessor or Similar Party | Collateral, Par, or Maturity Value | Value | |||||||
| * | Vanguard Emerging Markets ETF | Registered Investment Company | - | 177,614 | |||||
| * | Vanguard Emerging Markets Stock Index Fund | Registered Investment Company | - | 54,230 | |||||
| * | Vanguard Financials ETF | Registered Investment Company | - | 95 | |||||
| * | Vanguard Ftse AII- World Ex-U.S. Small | Registered Investment Company | - | 23,904 | |||||
| * | Vanguard Ftse All World Ex Us Small Cap | Registered Investment Company | - | 58,765 | |||||
| * | Vanguard High-Yield Corporate Fund Investor Shares | Registered Investment Company | - | 8,969 | |||||
| * | Vanguard Information Technology ETF | Registered Investment Company | - | 32,784 | |||||
| * | Vanguard Inst Index Fund | Registered Investment Company | - | 41,470,136 | |||||
| * | Vanguard Mid-Cap Index Fund Institutional | Registered Investment Company | - | 15,345,253 | |||||
| * | Vanguard Morgan Growth Inv | Registered Investment Company | - | 5,267,144 | |||||
| * | Vanguard Precious Metals Fund | Registered Investment Company | - | 8,603 | |||||
| * | Vanguard Prime Money Mkt | Registered Investment Company | - | 28,990 | |||||
| * | Vanguard Short-Term Investment Grade Fund | Registered Investment Company | - | 11,091 | |||||
| * | Vanguard Total Stock Market ETF | Registered Investment Company | - | 119,900 | |||||
| * | Vanguard Total World Stock ETF | Registered Investment Company | - | 58,237 | |||||
| * | Vanguard Wellesley Income Fund Admiral Shares | Registered Investment Company | - | 69,690 | |||||
| * | Vanguard World Fund ETF | Registered Investment Company | - | 8,167 | |||||
| * | Vanguard Brokerage Option Money Market Sweep Fund | Registered Investment Company | - | 1,338,468 | |||||
| WisdomTree Trust International Smallcap Dividend Fund | Registered Investment Company | - | 21,867 | ||||||
| Blackrock Global Energy & Res Tr | Registered Investment Company | - | 7,290 | ||||||
| Total assets | $ | 271,104,008 | |||||||
| * | Party-in-interest | ||||||||
| ** | Cost information is not required for participant-directed investments and therefore, is not included | ||||||||
| 14 |
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/ John B. Cozzolino_______________
Name: John B. Cozzolino
Title: Chief Financial Officer and Treasurer and Chairman, Albany International Corp. Pension Administration Committee
| 15 |