Cover
Cover - USD ($) $ in Billions | 12 Months Ended | ||
Dec. 31, 2022 | Feb. 17, 2023 | Jun. 30, 2022 | |
Entity Information [Line Items] | |||
Document Type | 10-K | ||
Document Annual Report | true | ||
Document Period End Date | Dec. 31, 2022 | ||
Current Fiscal Year End Date | --12-31 | ||
Document Transition Report | false | ||
Entity File Number | 1-10026 | ||
Entity Registrant Name | ALBANY INTERNATIONAL CORP. | ||
Entity Incorporation, State or Country Code | DE | ||
Entity Address, Address Line One | 216 Airport Drive | ||
Entity Address, City or Town | Rochester | ||
Entity Address, State or Province | NH | ||
Entity Tax Identification Number | 14-0462060 | ||
Entity Address, Postal Zip Code | 03867 | ||
City Area Code | 603 | ||
Local Phone Number | 330-5850 | ||
Entity Well-known Seasoned Issuer | Yes | ||
Entity Voluntary Filers | No | ||
Entity Current Reporting Status | Yes | ||
Entity Interactive Data Current | Yes | ||
Entity Filer Category | Large Accelerated Filer | ||
Entity Small Business | false | ||
Entity Emerging Growth Company | false | ||
ICFR Auditor Attestation Flag | true | ||
Entity Shell Company | false | ||
Entity Public Float | $ 2.4 | ||
Documents Incorporated by Reference | Portions of the Registrant’s Proxy Statement for the Annual Meeting of Shareholders to be held on May 12, 2023. | ||
Amendment Flag | false | ||
Document Fiscal Year Focus | 2022 | ||
Document Fiscal Period Focus | FY | ||
Entity Central Index Key | 0000819793 | ||
Common Class A | |||
Entity Information [Line Items] | |||
Title of 12(b) Security | Class A Common Stock, $0.001 par value per share | ||
Trading Symbol | AIN | ||
Security Exchange Name | NYSE | ||
Entity Common Stock, Shares Outstanding | 31,100,000 | ||
Common Class B | |||
Entity Information [Line Items] | |||
Title of 12(b) Security | Class B Common Stock, $0.001 par value per share | ||
Trading Symbol | AIN | ||
Security Exchange Name | NYSE | ||
Entity Common Stock, Shares Outstanding | 0 |
Audit Information
Audit Information | 12 Months Ended |
Dec. 31, 2022 | |
Audit Information [Abstract] | |
Auditor Name | KPMG LLP |
Auditor Location | Albany, New York |
Auditor Firm ID | 185 |
Consolidated Statements of Inco
Consolidated Statements of Income - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Income Statement [Abstract] | |||
Net sales | $ 1,034,887 | $ 929,240 | $ 900,610 |
Cost of goods sold | 645,105 | 550,849 | 529,538 |
Gross profit | 389,782 | 378,391 | 371,072 |
Selling, general and administrative expenses | 168,713 | 160,127 | 163,909 |
Technical and research expenses | 39,941 | 38,922 | 35,347 |
Restructuring expenses, net | 106 | 1,331 | 5,736 |
Operating income | 181,022 | 178,011 | 166,080 |
Interest income | (3,835) | (2,500) | (2,748) |
Interest expense | 17,835 | 17,391 | 16,332 |
Pension settlement expense | 49,128 | 0 | 0 |
Aviation Manufacturing Jobs Protection (AMJP) grant | 0 | (5,832) | 0 |
Other expense/(income), net | (14,086) | 3,021 | 13,422 |
Income before income taxes | 131,980 | 165,931 | 139,074 |
Income tax expense | 35,472 | 47,163 | 41,831 |
Net income | 96,508 | 118,768 | 97,243 |
Net income/(loss) attributable to the noncontrolling interest | 746 | 290 | (1,346) |
Net income attributable to the Company | $ 95,762 | $ 118,478 | $ 98,589 |
Earnings per share attributable to Company shareholders - Basic (in dollars per share) | $ 3.06 | $ 3.66 | $ 3.05 |
Earnings per share attributable to Company shareholders - Diluted (in dollars per share) | 3.04 | 3.65 | 3.05 |
Dividends declared per share, Class A and Class B (in dollars per share) | $ 0.88 | $ 0.81 | $ 0.77 |
Consolidated Statements of Comp
Consolidated Statements of Comprehensive Income - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Statement of Comprehensive Income [Abstract] | |||
Net income | $ 96,508 | $ 118,768 | $ 97,243 |
Other comprehensive income, before tax: | |||
Foreign currency translation and other adjustments | (40,971) | (20,808) | 38,927 |
Reclassification of loss on pension settlement | 42,657 | 0 | 411 |
Pension/postretirement plan remeasurement | (2,292) | (2,259) | 13,407 |
Amortization of pension and postretirement liability adjustments: | |||
Prior service credit | (4,497) | (4,475) | (4,474) |
Net actuarial loss | 3,260 | 4,625 | 5,004 |
Payments and amortization related to interest rate swaps included in earnings | 468 | 6,852 | 3,982 |
Derivative valuation adjustment | 25,396 | 3,764 | (12,622) |
Income taxes related to items of other comprehensive income: | |||
Reclassification of loss on pension settlement | (16,459) | 0 | (128) |
Pension/postretirement plan remeasurement | (370) | 1,463 | (3,017) |
Amortization of pension and postretirement liability adjustments | 408 | (52) | (148) |
Payments and amortization related to interest rate swaps included in earnings | (118) | (1,734) | (1,028) |
Derivative valuation adjustment | (6,425) | (952) | 3,259 |
Comprehensive income | 97,565 | 105,192 | 140,816 |
Comprehensive income/(loss) attributable to the noncontrolling interest | 856 | (161) | (207) |
Comprehensive income attributable to the Company | $ 96,709 | $ 105,353 | $ 141,023 |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) | Dec. 31, 2022 | Dec. 31, 2021 |
Current assets: | ||
Cash and cash equivalents | $ 291,776,000 | $ 302,036,000 |
Accounts receivable, net | 200,018,000 | 191,985,000 |
Contract assets, net | 148,695,000 | 112,546,000 |
Inventories | 139,050,000 | 117,882,000 |
Income taxes prepaid and receivable | 7,938,000 | 1,958,000 |
Prepaid expenses and other current assets | 50,962,000 | 32,394,000 |
Total current assets | 838,439,000 | 758,801,000 |
Property, plant and equipment, net | 445,658,000 | 436,417,000 |
Intangibles, net | 33,811,000 | 39,081,000 |
Goodwill | 178,217,000 | 182,124,000 |
Deferred income taxes | 15,196,000 | 26,376,000 |
Noncurrent receivables, net | 27,913,000 | 31,849,000 |
Other assets | 103,021,000 | 81,416,000 |
Total assets | 1,642,255,000 | 1,556,064,000 |
Current liabilities: | ||
Accounts payable | 69,707,000 | 68,954,000 |
Accrued liabilities | 126,385,000 | 124,325,000 |
Current maturities of long-term debt | 0 | 0 |
Income taxes payable | 15,224,000 | 14,887,000 |
Total current liabilities | 211,316,000 | 208,166,000 |
Long-term debt | 439,000,000 | 350,000,000 |
Other noncurrent liabilities | 108,758,000 | 107,794,000 |
Deferred taxes and other liabilities | 15,638,000 | 12,499,000 |
Total liabilities | 774,712,000 | 678,459,000 |
Commitments and Contingencies | ||
Shareholders’ Equity | ||
Preferred stock, par value $5.00 per share; authorized 2,000,000 shares; none issued | 0 | 0 |
Additional paid-in capital | 441,540,000 | 436,996,000 |
Retained earnings | 931,318,000 | 863,057,000 |
Accumulated items of other comprehensive income: | ||
Translation adjustments | (146,851,000) | (105,880,000) |
Pension and postretirement liability adjustments | (15,783,000) | (38,490,000) |
Derivative valuation adjustment | 17,707,000 | (1,614,000) |
Treasury stock (Class A), at cost; 9,674,542 shares in 2022 and 8,665,090 shares in 2021 | (364,923,000) | (280,143,000) |
Total Company shareholders’ equity | 863,049,000 | 873,967,000 |
Noncontrolling interest | 4,494,000 | 3,638,000 |
Total equity | 867,543,000 | 877,605,000 |
Total liabilities and shareholders’ equity | 1,642,255,000 | 1,556,064,000 |
Common Class A | ||
Shareholders’ Equity | ||
Common stock, par value | 41,000 | 41,000 |
Common Class B | ||
Shareholders’ Equity | ||
Common stock, par value | $ 0 | $ 0 |
Consolidated Balance Sheets (Pa
Consolidated Balance Sheets (Parenthetical) - $ / shares | Dec. 31, 2022 | Dec. 31, 2021 |
Preferred stock, par or stated value per share (in dollars per share) | $ 5 | $ 5 |
Preferred stock, shares authorized (in shares) | 2,000,000 | 2,000,000 |
Preferred stock, shares issued (in shares) | 0 | 0 |
Common stock, shares, outstanding (in shares) | 31,100,000 | 32,100,000 |
Treasury stock, shares (in shares) | 9,674,542 | 8,665,090 |
Common Class A | ||
Common stock, par or stated value per share (in dollars per share) | $ 0.001 | $ 0.001 |
Common stock, shares authorized (in shares) | 100,000,000 | 100,000,000 |
Common stock, shares, issued (in shares) | 40,785,434 | 40,760,577 |
Common Class B | ||
Common stock, par or stated value per share (in dollars per share) | $ 0.001 | $ 0.001 |
Common stock, shares authorized (in shares) | 25,000,000 | 25,000,000 |
Common stock, shares, issued (in shares) | 0 | 104 |
Common stock, shares, outstanding (in shares) | 0 | 104 |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
OPERATING ACTIVITIES | |||
Net income | $ 96,508 | $ 118,768 | $ 97,243 |
Adjustments to reconcile net income to net cash provided by operating activities: | |||
Depreciation | 62,480 | 65,130 | 63,328 |
Amortization | 6,569 | 9,125 | 9,377 |
Change in deferred taxes and other liabilities | (8,496) | 12,181 | 11,101 |
Impairment of property, plant, equipment, and inventory | 1,808 | 856 | 1,173 |
Non-cash interest expense | 1,118 | 875 | (290) |
Non-cash portion of pension settlement expense | 42,657 | 0 | 411 |
Compensation and benefits paid or payable in Class A Common Stock | 4,527 | 3,146 | 1,505 |
Provision/(recovery) for credit losses from uncollected receivables and contract assets | 1,408 | (1,299) | 1,628 |
Foreign currency remeasurement (gain)/loss on intercompany loans | (4,434) | (3,150) | 14,246 |
Fair value adjustment on foreign currency options | (509) | 169 | 0 |
Changes in operating assets and liabilities that provided/(used) cash: | |||
Accounts receivable | (14,301) | (7,734) | 31,522 |
Contract assets | (36,434) | 25,446 | (59,122) |
Inventories | (24,541) | (9,942) | (13,685) |
Prepaid expenses and other current assets | (4,134) | (998) | (7,811) |
Income taxes prepaid and receivable | (6,005) | 3,944 | 113 |
Accounts payable | 8,572 | 9,492 | (15,586) |
Accrued liabilities | 3,226 | (774) | (3,856) |
Income taxes payable | 183 | (477) | 5,939 |
Noncurrent receivables | 3,911 | 4,355 | 4,158 |
Other noncurrent liabilities | (10,133) | (13,713) | (2,437) |
Other, net | 4,234 | 2,075 | 1,296 |
Net cash provided by operating activities | 128,214 | 217,475 | 140,253 |
INVESTING ACTIVITIES | |||
Purchases of property, plant and equipment | (93,675) | (52,793) | (41,463) |
Purchased software | (2,673) | (906) | (927) |
Net cash used in investing activities | (96,348) | (53,699) | (42,390) |
FINANCING ACTIVITIES | |||
Proceeds from borrowings | 162,000 | 8,000 | 75,000 |
Principal payments on debt | (73,000) | (56,009) | (101,020) |
Principal payments on finance lease liabilities | (654) | (1,438) | (7,214) |
Debt acquisition costs | 0 | 0 | (2,432) |
Purchase of Treasury shares | (84,780) | (23,449) | 0 |
Taxes paid in lieu of share issuance | (770) | (998) | (490) |
Proceeds from options exercised | 17 | 153 | 55 |
Dividends paid | (26,465) | (25,894) | (24,568) |
Net cash used in financing activities | (23,652) | (99,635) | (60,669) |
Effect of exchange rate changes on cash and cash equivalents | (18,474) | (3,421) | 8,582 |
Increase/(decrease) in cash and cash equivalents | (10,260) | 60,720 | 45,776 |
Cash and cash equivalents at beginning of period | 302,036 | 241,316 | 195,540 |
Cash and cash equivalents at end of period | $ 291,776 | $ 302,036 | $ 241,316 |
Accounting Policies
Accounting Policies | 12 Months Ended |
Dec. 31, 2022 | |
Accounting Policies [Abstract] | |
Accounting Policies | Accounting Policies Basis of Consolidation The consolidated financial statements include the accounts of Albany International Corp. and its subsidiaries (the Company, Albany, we, us, or our) after elimination of intercompany transactions. A subsidiary within our Machine Clothing segment has held a 50 percent interest as partner in a joint venture (“JV”) that supplies paper machine clothing products to local papermakers in Russia. Our consolidated financial statements include our original investment in the entity, plus our share of undistributed earnings or losses, in the account “Other Assets.” In March 2022, we made the decision to cease doing business in Russia, including giving notice to our JV partner of our intent to exit the venture, resulting in our full write-off of the net book value of our investment. The Company owns 90 percent of the common equity of Albany Safran Composites, LLC (ASC) which is reported within the Albany Engineered Composites (AEC) segment. Additional information regarding that entity is included in Note 10. Estimates The preparation of the consolidated financial statements in conformity with accounting principles generally accepted in the United States of America requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the consolidated financial statements and the reported amounts of revenues and expenses during the reporting period. Estimates are used in the accounting for, among others, revenue recognition, contract profitability, allowances for doubtful accounts, rebates and sales allowances, inventory allowances, financial instruments, including derivatives, pension and other postretirement benefits, goodwill and intangible assets, contingencies, income taxes, and other accruals. Our estimates are based on historical experience and on various other assumptions, which are believed to be reasonable under the circumstances. Due to the inherent uncertainty involved in making estimates, actual results reported in future periods may differ from those estimates. Estimates and assumptions are reviewed periodically, and the effects of any revisions are reflected in the consolidated financial statements in the period they are determined to be necessary. Revenue Recognition In our Machine Clothing (MC) business segment, we recognize revenue at the point in time when we satisfy our performance obligations related to the manufacture and delivery of products. In our Albany Engineered Composites (AEC) business segment, revenue from most long-term contracts is recognized over time using an input method as the measure of progress. The classification of revenue in excess of progress billings on long-term contracts is included in Contract assets, net, which are rights to consideration that are conditional on something other than the passage of time, such as completion of remaining performance obligations. We are required to limit our estimate of contract values to the period of the legally enforceable contract. While certain contracts are expected to be profitable over the course of the program life when including expected renewals, our estimate of contract revenues and costs is limited to the estimated value of enforceable rights and obligations, excluding anticipated renewals. This contract period may result in a loss contract provision at contract inception. Expected losses on projects include losses on contract options that are probable of exercise, excluding profitable options that often follow. For contracts with anticipated losses, a provision for the entire amount of the estimated remaining loss is charged against income in the period in which the loss becomes known. Contract losses are determined considering all direct and indirect contract costs, exclusive of any selling, general or administrative cost allocations, which are treated as period expenses. Products and services provided under long-term contracts represent a significant portion of sales in the Albany Engineered Composites segment. We have a contract with a major customer for which revenue is recognized under a cost-plus-fee agreement. We also have fixed price long-term contracts, for which we use the percentage of completion (incurred cost to total estimated cost) method. That method requires significant judgment and estimation, which could be considerably different if the underlying circumstances were to change. When adjustments in estimated contract revenues or costs are required, any changes from prior estimates are included in earnings in the period the change occurs. The sum of net adjustments to the estimated profitability of long-term contracts increased AEC operating income by $0.5 million, $6.2 million and $9.9 million in 2022, 2021 and 2020, respectively. The favorable effects in 2021 and 2020 were largely due to changes in customer demand and to a lesser extent, efficiency improvements during the ramp-up of several programs, and the effects in 2022 were more muted. Additional accounting policies related to revenue from contracts with customers are set forth in Note 2. We limit the concentration of credit risk in receivables by closely monitoring credit and collection policies. We record allowances for sales returns as a deduction in the computation of net sales. Such provisions are recorded on the basis of written communication with customers and/or historical experience. Any value added taxes that are imposed on sales transactions are excluded from net sales. Cost of Goods Sold Cost of goods sold includes the cost of materials, provisions for obsolete inventories, labor and supplies, shipping and handling costs, depreciation of manufacturing facilities and equipment, purchasing, receiving, warehousing, and other expenses. Cost of goods sold also includes provisions for loss contracts and charges for the write-off of inventories that result from an exit activity. Selling, General, Administrative, Technical, and Research Expenses Selling, general, administrative, and technical expenses are primarily comprised of wages, incentive compensation, benefits, travel, professional fees, revaluation of trade foreign currency balances, and other costs, and are expensed as incurred. Selling expense includes costs related to contract acquisition and provisions for expected credit losses on financial assets measured at amortized cost. Research expenses are charged to operations as incurred and consist primarily of compensation, supplies, and professional fees incurred in connection with intellectual property. Total company research expense was $31.4 million in 2022, $29.6 million in 2021, and $25.8 million in 2020. The Albany Engineered Composites segment participates in both company-sponsored, and customer-funded research and development. Some customer-funded research and development may be on a cost-sharing basis and considered to be a collaborative arrangement, in which case both parties are active participants and are exposed to the risks and rewards dependent on the success of the activity. In such cases, amounts charged to the collaborating entity are credited against research and development expense. For customer-funded research and development in which we anticipate funding to exceed expenses, we include amounts charged to the customer in Net sales, while expenses are included in Cost of goods sold. Restructuring Expense We may incur expenses related to exiting a line of business or restructuring of our operations, which could include employee termination costs, costs to consolidate or close facilities, or costs to terminate contractual relationships. Restructuring expenses may also include impairment of Property, plant and equipment, as described below under “Property, Plant and Equipment”. Employee termination costs include severance pay and social costs for periods after employee service is completed. Termination costs related to an ongoing benefit arrangement are recognized when the amount becomes probable and estimable. Termination costs related to a one-time benefit arrangement are recognized at the communication date to employees. Costs related to contract termination, relocation of employees, outplacement and the consolidation or the closure of facilities, are recognized when incurred. Income Taxes Deferred income taxes are recognized for the tax consequences of temporary differences and tax attributes by applying enacted statutory tax rates applicable for future years to differences between existing assets and liabilities for financial reporting and income tax return purposes. The effect of tax rate changes on deferred taxes is recognized in the income tax provision in the period that includes the enactment date. A valuation allowance is established, as needed, to reduce net deferred tax assets to the amount expected to be realized. In the event it becomes more likely than not that some or all of the deferred tax asset valuation allowances will not be needed, the valuation allowance will be adjusted. In the ordinary course of business there is inherent uncertainty in quantifying our income tax positions. We assess our income tax positions and record tax benefits for all years subject to examination based upon management’s evaluation of the facts, circumstances, and information available at the reporting date. For those tax positions where it is more likely than not that a tax benefit will be sustained, we have determined the amount of the tax benefit to be recognized by estimating the largest amount of tax benefit that has a greater than 50 percent likelihood of being realized upon ultimate settlement with a taxing authority that has full knowledge of all relevant information. For those income tax positions where it is not more-likely-than-not that a tax benefit will be sustained, no tax benefit has been recognized in the financial statements. Where applicable, associated interest and penalties have also been recognized. We recognize accrued interest and penalties related to unrecognized tax benefits as a component of income tax expense. We have not elected to reclassify stranded tax effects from AOCI to retained earnings. Earnings Per Share Basic net income or loss per share is computed using the weighted average number of shares of Class A Common Stock and Class B Common Stock outstanding during each year. Diluted net income per share includes the effect of all potentially dilutive securities. If we report a net loss from continuing operations, the diluted loss per share is equal to the basic earnings per share calculation. Translation of Financial Statements Assets and liabilities of non-U.S. operations are translated at year-end rates of exchange, and the income statement accounts are translated at average monthly exchange rates. Gains or losses resulting from translating non-U.S. currency financial statements into U.S. dollars are recorded in other comprehensive income and accumulated in Shareholders’ equity in the caption “Translation adjustments”. Selling, general, and administrative expenses include foreign currency gains and losses resulting from third party balances, such as receivables and payables, which are denominated in a currency other than the entity’s functional currency. Gains or losses resulting from cash and short-term intercompany loans and balances denominated in a currency other than the entity’s functional currency, and foreign currency options are generally included in Other expense, net. Gains and losses on long-term intercompany loans not intended to be repaid in the foreseeable future are recorded in other comprehensive income. The following table summarizes foreign currency transaction gains and losses recognized in the income statement: (in thousands) 2022 2021 2020 (Gains)/losses included in: Selling, general, and administrative expenses $ (554) $ (263) $ 1,875 Other (income)/expense, net (9,996) (1,179) 13,569 Total transaction (gains)/losses $ (10,550) $ (1,442) $ 15,444 The following table presents foreign currency gains on long-term intercompany loans that were recognized in Other comprehensive income: (in thousands) 2022 2021 2020 Loss/(gain), before tax, on long-term intercompany loan $ — $ (66) $ (4,985) Cash and Cash Equivalents Cash and cash equivalents consist of cash and highly liquid short-term investments with original maturities of three months or less. Accounts Receivable Accounts receivable includes trade receivables and bank promissory notes. In connection with certain sales in Asia Pacific, the Company accepts a bank promissory note as customer payment. The notes may be presented for payment at maturity, which is less than one year. Effective January 1, 2020, the Company adopted the provisions of ASC 326, Current Expected Credit Losses (CECL), using the effective date (or modified retrospective) approach for transition. Under this transition method, periods prior to 2020 were not restated. The pre-tax cumulative effect of initially applying the new standard was an increase in credit loss reserves of $1.8 million, primarily for Accounts receivable and Contract assets. Including tax effects, Retained earnings was reduced by $1.4 million as a result of transitioning to the CECL standard. The overarching purpose of the CECL standard is to provide greater transparency and understanding of the Company’s credit risk. This accounting update replaces the incurred loss impairment methodology under previous GAAP with a methodology that reflects expected credit losses and requires consideration of a broader range of reasonable and supportable information to inform credit loss estimates. Under this standard, the Company recognizes an allowance for expected credit losses on financial assets measured at amortized cost, such as Accounts receivable, Contract assets and Noncurrent receivables. The allowance is determined using a CECL model that is based on an historical average three-year loss rate and is measured by financial asset type on a collective (pool) basis when similar risk characteristics exist, at an amount equal to lifetime expected credit losses. The estimate reflects the risk of loss due to credit default, even when the risk is remote, and considers available relevant information about the collectability of cash flows, including information about past events, current conditions, and reasonable and supportable expected future economic conditions. The Company also has Noncurrent receivables in the AEC segment that represent revenue earned which have extended payment terms. The Noncurrent receivables are invoiced to the customer, with 2% interest, over a 10-year period that started in 2020. See additional information, including accounting policies related to our adoption of the CECL update, set forth in Notes 2 and 11. Contract Assets and Contract Liabilities Contract assets includes unbilled amounts typically resulting from sales under contracts when the cost-to-cost method of revenue recognition is utilized, and revenue recognized exceeds the amount billed to the customer. Contract assets are transferred to Accounts receivable, net, when the entitlement to payment becomes unconditional. Contract liabilities include advance payments and billings in excess of revenue recognized. Contract liabilities are included in Accrued liabilities in the Consolidated Balance Sheet. See additional information, including accounting policies related to our adoption of the CECL update, set forth in Notes 11 and 12. Inventories Costs included in inventories are raw materials, labor, supplies and allocable depreciation and overhead. Raw materials inventory is valued on an average cost basis. Other inventory cost elements are valued at cost, using the first-in, first-out method. The Company writes down the inventories for estimated obsolescence, and to lower of cost or net realizable value based upon assumptions about future demand and market conditions. Write-downs of inventories are charged to Cost of goods sold. If actual demand or market conditions are less favorable than those projected by the Company, additional inventory write-downs may be required. Once established, the original cost of the inventory less the related write-down represents the new cost basis of such inventories. See additional information set forth in Notes 2 and 13. Leases We determine if an arrangement is a lease at inception. A contract is, or contains a lease if the contract conveys the right to control the use of an identified asset for a period of time in exchange for consideration. To assess whether a contract conveys the right to control the use of an identified asset, we assess whether: • The contract involves the use of an identified asset. This may be specified explicitly or implicitly, and should be physically distinct or represent substantially all of the capacity of a physically distinct asset, • The lessee has the right to obtain substantially all of the economic benefits from use of the asset throughout the period of use, and • The lessee has the right to direct the use of the asset, which is demonstrated when the lessee has decision-making rights that are most relevant to changing how and for what purpose the asset is used. Judgment is required in the determination of whether a contract contains a lease, the appropriate classification, allocation of consideration, and the determination of the discount rate for the lease. Key estimates and judgments include how the Company determines (1) the discount rate it uses to discount the unpaid lease payments to present value, (2) lease term and (3) lease payments. We have certain lease agreements with lease and non-lease components. For most of these leases, we account for the lease and non-lease components as a single lease component, in accordance with the practical expedient that is available for ongoing accounting. Additionally, for certain other leases, such as for vehicles, we apply a portfolio approach. Such new leases are classified as finance or operating, with classification affecting the pattern and classification of expense recognition in the income statement. Expenses related to operating leases are recognized on a straight-line basis, while those determined to be finance leases are recognized following a front-loaded expense profile, in which interest and amortization are presented separately in the income statement. Operating lease ROU assets are included in Other assets in the Consolidated Balance Sheets, while finance lease ROU assets are included in Property, plant, and equipment, net. Lease liabilities for both operating and finance leases are included in Accrued liabilities and Other noncurrent liabilities in the Consolidated Balance Sheets. See additional information set forth in Note 20. Property, Plant and Equipment Property, plant and equipment are recorded at cost, or if acquired as part of a business combination, at fair value. Depreciation is recorded using the straight-line method over the estimated useful lives of the assets for financial reporting purposes. In some cases, accelerated methods are used for income tax purposes. Significant additions or improvements extending assets’ useful lives are capitalized; normal maintenance and repair costs are expensed as incurred. The cost of fully depreciated assets remaining in use is included in the respective asset and accumulated depreciation accounts. When items are sold or retired, related gains or losses are included in net income. Computer software purchased for internal use, at cost, is amortized on a straight-line basis over five We capitalize internal and external costs incurred related to the software development stage. Capitalized salaries, travel, and consulting costs related to the software development were immaterial in 2022 and 2021. We review the carrying value of property, plant and equipment and other long-lived assets for impairment whenever events and circumstances indicate that the carrying value of an asset group may not be recoverable from the estimated future cash flows expected to result from its use and eventual disposition. See additional information set forth in Note 14. Goodwill, Intangibles, and Other Assets The assets and liabilities of acquired businesses are recorded under the acquisition method of accounting at their estimated fair values at the date of acquisition.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. Intangible assets from acquired businesses are recognized at fair value on the acquisition date and consist of customer relationships, customer contracts, technology, intellectual property and other intangible assets. Goodwill and intangible assets with indefinite useful lives are not amortized, but are tested for impairment at least annually. We perform an impairment test of our goodwill at least annually in the second quarter or more frequently whenever events or changes in circumstances indicate the carrying value of goodwill may be impaired. Such events or changes in circumstances may include a significant deterioration in overall economic conditions, changes in the business climate of our industry, a decline in our market capitalization, operating performance indicators, competition, reorganizations of our business, or the disposal of all or a portion of a reporting unit. Our goodwill has been allocated to and is tested for impairment at a level referred to as the reporting unit, which is our business segment level or a level below the business segment. The level at which we test goodwill for impairment requires us to determine whether the operations below the business segment constitute a self-sustaining business for which discrete financial information is available and segment management regularly reviews the operating results. We may use qualitative or quantitative approaches when testing goodwill for impairment. When we use the qualitative approach, we perform a qualitative evaluation of events and circumstances impacting the reporting unit to determine the likelihood of goodwill impairment. Based on that qualitative evaluation, if we determine it is more likely than not that the fair value of a reporting unit exceeds its carrying amount, no further evaluation is necessary. Otherwise, we perform a quantitative impairment test. To perform the quantitative impairment test, we compare the fair value of a reporting unit to its carrying value, including goodwill. If the fair value of a reporting unit exceeds its carrying value, goodwill of the reporting unit is not impaired. If the carrying value of the reporting unit, including goodwill, exceeds its fair value, a goodwill impairment loss is recognized in an amount equal to that excess. 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. 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. 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. In the second quarter of 2022, management applied the qualitative assessment approach in performing its annual evaluation of goodwill for the Company's Machine Clothing reporting unit and two AEC reporting units and concluded that each reporting unit’s fair value continued to exceed its carrying value. In addition, there were no amounts at risk due to the estimated excess between the fair and carrying values. Accordingly, no impairment charges were recorded. Impairment assessments inherently involve management judgments regarding a number of assumptions such as those described above. Due to the many variables inherent in the estimation of a reporting unit’s fair value and the relative size of our recorded goodwill, differences in assumptions could have a material effect on the estimated fair value of one or more of our reporting units and could result in a goodwill impairment charge in a future period. See additional information set forth in Note 18. For some AEC contracts, we perform pre-production or nonrecurring engineering services. These costs are normally considered a fulfillment activity, rather than a performance obligation. Fulfillment activities that create resources that will be used in satisfying performance obligations in the future, and are expected to be recovered, are capitalized to Other assets, which is classified as a noncurrent asset in the Consolidated Balance Sheets. The capitalized costs are amortized into Cost of goods sold over the period over which the asset is expected to contribute to future cash flows, which includes anticipated renewal periods. Included in Other assets is $16.2 million in 2022 and $32.5 million in 2021 for defined benefit pension plans where plan assets exceed the projected benefit obligations. Other assets also includes financial assets of $0.6 million in 2022 and $0.7 million in 2021. See additional information set forth in Note 18. Stock-Based Compensation We have incentive compensation plans that authorize the issuance of stock-based awards for key employees, which are designed to reward short and long-term contributions and provide incentives for recipients to remain with the Company. We issue stock-based awards in the form of restricted stock units and performance stock units that generally vest between one and five years from the grant date and can be settled in cash or shares. Expenses associated with these awards are recognized over each respective vesting period. Liability based awards are settled in cash, while equity based awards are settled in stock. See additional information for stock-based compensation plans in Note 22. Unexercised options generally terminate twenty years after the date of grant for all plans, and must be exercised within ten years of retirement. We recognized no stock option expense during 2022, 2021, or 2020 and there are currently no remaining unvested options for which stock-option compensation costs will be recognized in future periods. No stock options have been granted since 2002. Derivatives We use derivatives from time to time to reduce potentially large adverse effects from changes in currency exchange rates and interest rates. We monitor our exposure to these risks and evaluate, on an ongoing basis, the risk of potentially large adverse effects versus the costs associated with hedging such risks. We may use interest rate swaps in the management of interest rate exposures and foreign currency derivatives in the management of foreign currency exposure related to assets and liabilities (including net investments in subsidiaries located outside the U.S.) denominated in foreign currencies. When we enter into a derivative contract, we make a determination whether the transaction is deemed to be a hedge for accounting purposes. For those contracts deemed to be a hedge, we formally document the relationship between the derivative instrument and the risk being hedged. In this documentation, we specifically identify the asset, liability, forecasted transaction, cash flow, or net investment that has been designated as the hedged item, and evaluate whether the derivative instrument is expected to reduce the risks associated with the hedged item. To the extent these criteria are not met, we do not use hedge accounting for the derivative. All derivative contracts are recorded at fair value, as a net asset or a net liability. Changes in the fair value of the hedge are recorded, net of tax, in other comprehensive income. For transactions that are designated as hedges, we perform an evaluation of the effectiveness of the hedge. We measure the effectiveness of hedging relationships both at inception and on an ongoing basis. The related gains and losses of derivative instruments, including those designated in hedge accounting relationships, are included as operating activities in the consolidated statements of cash flows. For derivatives that are designated and qualify as hedges of net investments in subsidiaries located outside the United States, changes in the fair value of derivatives are reported in other comprehensive income as part of Translation adjustments. Pension and Postretirement Benefit Plans As described in Note 4, we have pension and postretirement benefit plans covering substantially all employees. Our Pension Plus Plan in the United States was settled during the third quarter of 2022.This was a qualified defined benefit pension plan that was previously terminated in the third quarter of 2021, and prior to that point was closed to new participants and had frozen accrual of benefits. We have liabilities for postretirement benefits in the U.S. and Canada. A majority of the liability relates to the U.S. plan. Effective January 2005, our postretirement benefit plan in the U.S. was closed to new participants, except for certain life insurance 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 and, in August 2013, we reduced the life insurance benefit for retirees and eliminated that benefit for active employees. The pension plans are generally trusteed or insured, and accrued amounts are funded as required in accordance with governing laws and regulations. The annual expense and liabilities recognized for defined benefit pension plans and postretirement benefit plans are developed from actuarial valuations. Inherent in these valuations are key assumptions, including discount rates and expected return on plan assets, which are updated on an annual basis. We consider current market conditions, including changes in interest rates, in making these assumptions. Discount rate assumptions are based on the population of plan participants and a mixture of high-quality fixed-income investments with durations that match expected future payments. The assumption for expected return on plan assets is based on historical and expected returns on various categories of plan assets. Government Grants The Company recognizes government grants only when there is reasonable assurance that we will comply with the conditions attached to them and the grants will be received. Government grants are recognized in the Consolidated Statements of Income on a systematic basis over the periods in which we recognize as expenses the related costs for which the grants are intended to compensate. A government grant that becomes receivable as compensation for expenses or losses already incurred or for the purpose of giving immediate financial support with no future related costs is recognized in the Consolidated Statements of Income of the period in which it becomes receivable. During the third quarter of 2021, the Company was awarded an Aviation Manufacturing Jobs Protection Program ("AMJP") grant of $5.8 million, under the American Rescue Plan of the U.S. Department of Transportation. The AMJP grant is an income related grant, the purpose of which is to provide payroll assistance to eligible U.S. aircraft manufacturing/repair businesses who were impacted due to the COVID-19 downturn during 2020. In order to receive the grant, AEC was required to make several commitments, including a commitment that the company would not involuntarily furlough or lay-off employees within this segment during the period the grant was intended to cover. All conditions were met and the Company recognized $5.8 million in its Consolidated Statements of Income for the year ended December 31, 2021. The Company received $2.9 million in cash during 2021 and the remainder during 2022 and reflected cash received as an operating activity within the Consolidated Statements of Cash Flows over the periods cash was received. Subsequent Events We review for subsequent events up through the date when our consolidated financial statements are available for issuance. |
Revenue Recognition
Revenue Recognition | 12 Months Ended |
Dec. 31, 2022 | |
Revenue Recognition [Abstract] | |
Revenue Recognition | Revenue Recognition We account for a contract when it has approval and commitment from both parties, the rights of the parties are identified, payment terms are identified, the contract has commercial substance, and collectability of consideration is probable. Revenue is measured based on the consideration specified in the contract with the customer, and excludes any amounts collected on behalf of third parties. We recognize revenue when we satisfy a performance obligation by transferring control over a product or service, or a series of distinct goods or services, to the customer which occurs either at a point in time, or over time, depending on the performance obligation in the contract. A performance obligation is a promise in the contract to transfer a distinct good or service to the customer, and is the unit of account. “Control” refers to the ability to direct the use of, and obtain substantially all of the remaining benefits from the product. A contract’s transaction price is allocated to each material distinct performance obligation and is recognized as revenue when, or as, the performance obligation is satisfied. In our MC segment, our primary performance obligation in most contracts is to provide solution-based, custom-designed fabrics and belts to the customer. We satisfy this performance obligation upon transferring control of the product to the customer at a specific point in time. Contracts with customers in the MC segment have various terms that can affect the point in time when revenue is recognized. Generally, the customer obtains control when the product has been received at the location specified by the customer, at which time the only remaining obligations under the contract may be fulfillment costs, in the form of shipping and handling, which are accrued when control of the product is transferred. In the MC segment, contracts with certain customers may also obligate us to provide various product-related services at no additional cost to the customer. When this obligation is material in the context of the contract with the customer, we recognize a separate performance obligation and allocate revenue to those services on a relative estimated standalone selling price basis. The standalone selling price for these services is determined based upon an analysis of the services offered and an assessment of the price we might charge for such services as a separate offering. As we typically provide such services on a stand-ready basis, we recognize this revenue over time. Revenue allocated to such service performance obligations is the only MC revenue that is recognized over time. In our AEC segment, we primarily enter into contracts to manufacture and deliver highly engineered advanced composite products to our customers. A significant portion of AEC revenue is earned under short duration, firm-fixed-price orders that are placed under a master agreement containing general terms and conditions applicable to all orders placed under the master agreement. To determine the proper revenue recognition method, we evaluate whether two or more orders or contracts should be combined and accounted for as one single contract, and whether the combined or single contract contains single or multiple performance obligations. This evaluation requires significant judgment, and the decision to combine a group of contracts, or to allocate revenue from the combined or single contract among multiple performance obligations, could have a significant impact on the amount of revenue and profit recorded in a given period. For most AEC contracts, the nature of our promise (or our performance obligation) to the customer is to provide a significant service of integrating a complex set of tasks and components into a single project or capability, which will often result in the delivery of multiple highly interdependent and interrelated units. At the inception of a contract, we determine the transaction price based on the consideration we expect to receive for the products or services being provided under the contract. For contracts where a portion of the price may vary, we estimate variable consideration at the most likely amount, which is included in the transaction price to the extent it is probable that a significant reversal of cumulative revenue recognized will not occur. We analyze the risk of a significant revenue reversal and if necessary constrain the amount of variable consideration recognized in order to mitigate this risk. We estimate the transaction price based on our current rights, and do not contemplate future modifications (including unexercised options) or follow-on contracts until they become legally enforceable. Many AEC contracts are subsequently modified to include changes in specifications, requirements or price, which may create new or change existing enforceable rights and obligations. Depending on the nature of the modification, we consider whether to account for the modification as an adjustment to the existing contract or as a separate contract. Generally, we are able to conclude that such modifications are not distinct from the existing contract, due to the significant integration of the obligations, and the interrelated nature of tasks, provided for in the modification and the existing contract. Therefore, such modifications are accounted for as if they were part of the existing contract, and we accumulate the values of such modifications in our estimates of contract value. Revenue is recognized over time for a large portion of our contracts in AEC as most of our contracts have provisions that are deemed to transfer control to the customer over time. Revenue is recognized based on the extent of progress towards completion of the performance obligation. The selection of the method to measure progress toward completion requires judgment and is based on the nature of the products or services to be provided. We generally use the cost-to-cost measure of progress for our contracts because it best depicts the transfer of assets to the customer which occurs as we incur costs to produce the contract deliverables. Under the cost-to-cost measure of progress, the extent of progress toward completion is measured based on the ratio of costs incurred to date to the total estimated costs at completion of the performance obligation. Revenue, including profit, is recorded proportionally as costs are incurred. Accounting for long-term contracts requires significant judgment and estimation, which could be considerably different if the underlying circumstances were to change. When any adjustments of estimated contract revenue or costs are required, any changes from prior estimates are included in revenues or earnings in the period in which the change occurs. In other AEC contracts, revenue is recognized at a point in time because the products are offered to multiple customers, or we do not have an enforceable right to payment until the product is shipped or delivered to the location specified by the customer in the contract. AEC’s largest source of revenue is derived from the LEAP contract (see Note 10) under a cost-plus-fee agreement. The fee is variable based on our success in achieving certain cost targets. Revenue is recognized over time as costs are incurred. Under this contract, there is judgment involved in determining applicable contract costs and expected margin, and therefore, in determining the amount of revenue to be recognized. Payment terms granted to MC and AEC customers reflect general competitive practices. Terms vary with product, competitive conditions, and the country of operation. The following table provides a summary of the composition of each business segment: Segment Reporting Unit Principal Product or Service Principal Locations Machine Clothing (MC) Machine Clothing Paper machine clothing: Permeable and impermeable belts used in the manufacture of paper, paperboard, tissue and towel, and pulp World-wide Albany Engineered Composites (AEC) Albany Safran Composites (ASC) Airframe and engine Components (Other AEC) 3D-woven, injected composite components for aircraft engines Rochester, NH Commercy, France Queretaro, Mexico We disaggregate revenue earned from contracts with customers for each of our business segments and product groups based on the timing of revenue recognition, and groupings used for internal review purposes. The following table presents disaggregated revenue for each product group by timing of revenue recognition: For the year ended December 31, 2022 (in thousands) Point in Time Revenue Recognition Over Time Revenue Recognition Total Machine Clothing $ 605,863 $ 3,598 $ 609,461 Albany Engineered Composites ASC — 165,775 165,775 Other AEC 19,167 240,484 259,651 Total Albany Engineered Composites 19,167 406,259 425,426 Total revenue $ 625,030 $ 409,857 $ 1,034,887 For the year ended December 31, 2021 (in thousands) Point in Time Revenue Recognition Over Time Revenue Recognition Total Machine Clothing $ 615,556 $ 3,459 $ 619,015 Albany Engineered Composites ASC — 109,803 109,803 Other AEC 15,972 184,450 200,422 Total Albany Engineered Composites 15,972 294,253 310,225 Total revenue $ 631,528 $ 297,712 $ 929,240 For the year ended December 31, 2020 (in thousands) Point in Time Revenue Recognition Over Time Revenue Recognition Total Machine Clothing $ 569,563 $ 3,392 $ 572,955 Albany Engineered Composites ASC — 98,411 98,411 Other AEC 18,343 210,901 229,244 Total Albany Engineered Composites 18,343 309,312 327,655 Total revenue $ 587,906 $ 312,704 $ 900,610 The following table disaggregates MC segment revenue by significant product groupings (paper machine clothing (PMC) and engineered fabrics), and, for PMC, the geographical region to which the paper machine clothing was sold: For the year ended December 31, (in thousands) 2022 2021 2020 Americas PMC $ 321,170 $ 317,907 $ 297,490 Eurasia PMC 207,115 219,506 202,181 Engineered Fabrics 81,176 81,602 73,284 Total Machine Clothing Net sales $ 609,461 $ 619,015 $ 572,955 |
Reportable Segments and Geograp
Reportable Segments and Geographic Data | 12 Months Ended |
Dec. 31, 2022 | |
Segment Reporting [Abstract] | |
Reportable Segments and Geographic Data | Reportable Segments and Geographic Data In accordance with applicable disclosure guidance for enterprise segments and related information, the internal organization that is used by management for making operating decisions and assessing performance is used as the basis for our reportable segments. The accounting policies of the segments are the same as those described in Note 1. Corporate expenses include wages and benefits for corporate headquarters personnel, costs related to information systems development and support, and professional fees related to legal, audit, and other activities. These costs are not allocated to the reportable segments because the decision-making for these functions lies outside of the segments. Machine Clothing: The Machine Clothing (“MC”) segment supplies permeable and impermeable belts used in the manufacture of paper, paperboard, tissue and towel, pulp, nonwovens, fiber cement and several other industrial applications. We sell our MC products directly to customer end-users in countries across the globe. Our products, manufacturing processes, and distribution channels for MC are substantially the same in each region of the world in which we operate. We design, manufacture, and market paper machine clothing (used in the manufacturing of paper, paperboard, tissue and towel) for each section of the paper machine and for every grade of paper. Paper machine clothing products are customized, consumable products of technologically sophisticated design that utilize polymeric materials in a complex structure. Albany Engineered Composites : The Albany Engineered Composites (“AEC”) segment, provides highly engineered, advanced composite structures to customers in the commercial and defense aerospace industries. The segment includes Albany Safran Composites, LLC (“ASC”), in which our customer, SAFRAN Group, owns a 10 percent noncontrolling interest, AEC, through ASC, is the exclusive supplier to the LEAP program of advanced composite fan blades and fan cases under a long-term supply contract. The LEAP engine is used on the Airbus A320neo, Boeing 737 MAX, and COMAC 919 aircrafts. AEC’s largest aerospace customer is SAFRAN and sales to SAFRAN (consisting primarily of fan blades and cases for CFM’s LEAP engine) accounted for approximately 16 percent of the Company’s consolidated Net sales in 2022. In 2022, SAFRAN leased manufacturing space from AEC for the GE9X program. Rent paid by SAFRAN under this lease amounted to $0.9 million in both 2022 and 2021. AEC Net sales to SAFRAN were $169.3 million in 2022, $111.6 million in 2021, and $99.0 million in 2020. The total of Accounts receivable, Contract assets and Noncurrent receivable due from SAFRAN amounted to $80.8 million and $79.6 million as of December 31, 2022 and 2021, respectively. Other significant programs by AEC include the Sikorsky CH-53K, F-35, JASSM, and Boeing 787 programs. AEC also supplies vacuum waste tanks for the Boeing 7-Series programs, and specialty components for the Rolls Royce lift fan on the F-35. In 2022, approximately 46 percent of AEC sales were related to U.S. government contracts or programs. The following tables show data by reportable segment, reconciled to consolidated totals included in the financial statements: (in thousands) 2022 2021 2020 Net Sales Machine Clothing $ 609,461 $ 619,015 $ 572,955 Albany Engineered Composites 425,426 310,225 327,655 Consolidated total $ 1,034,887 $ 929,240 $ 900,610 Depreciation and amortization Machine Clothing 19,483 20,191 20,304 Albany Engineered Composites 46,202 50,402 48,496 Corporate expenses 3,364 3,662 3,905 Consolidated total $ 69,049 $ 74,255 $ 72,705 Operating income/(loss) Machine Clothing 206,214 215,654 190,805 Albany Engineered Composites 31,579 16,160 31,536 Corporate expenses (56,771) (53,803) (56,261) Operating income $ 181,022 $ 178,011 $ 166,080 Reconciling items: Interest income (3,835) (2,500) (2,748) Interest expense 17,835 17,391 16,332 Pension settlement expense 49,128 — — AMJP grant — (5,832) — Other expense, net (14,086) 3,021 13,422 Income before income taxes $ 131,980 $ 165,931 $ 139,074 A subsidiary within our Machine Clothing segment has been a partner in a joint venture (“JV”) that supplies paper machine clothing products to local papermakers in Russia. In March 2022, we made the decision to cease doing business in Russia, including giving notice to our JV partner of our intent to exit the venture. As a result, we recognized $1.5 million expense in the consolidated statement of operations, representing reserves against the risk of uncollectible customer receivables and obsolescence of certain inventory destined for Russian customers. We also wrote down the net book value of our investment in the aforementioned JV to reflect our intent to exit such venture, resulting in $0.8 million impairment loss during the first quarter of 2022. In the third quarter, we took actions to settle certain pension plan liabilities in the U.S., leading to charges totaling $49.1 million, which were included as Corporate expenses and other. This led to a reduction of unfunded pension liabilities of $6.2 million. The table below presents restructuring costs by reportable segment (also see Note 5): (in thousands) 2022 2021 2020 Restructuring expenses, net Machine Clothing $ 92 $ 1,202 $ 2,746 Albany Engineered Composites — 32 2,821 Corporate expenses 14 97 169 Consolidated total $ 106 $ 1,331 $ 5,736 In the measurement of assets utilized by each reportable segment, we include Inventories, Accounts receivable, net, Contract assets, net, Noncurrent receivables, net, Property, plant and equipment, net, Intangibles, net and Goodwill. The following table presents assets and capital expenditures by reportable segment: (in thousands) 2022 2021 2020 Segment assets Machine Clothing $ 455,390 $ 459,182 $ 443,476 Albany Engineered Composites 717,972 652,702 713,955 Reconciling items: Cash 291,776 302,036 241,316 Income taxes prepaid, receivable and deferred 23,134 28,334 44,697 Prepaid and Other assets 153,983 113,810 106,492 Consolidated total assets $ 1,642,255 $ 1,556,064 $ 1,549,936 Capital expenditures and purchased software Machine Clothing $ 20,093 $ 20,177 $ 15,792 Albany Engineered Composites 73,614 31,012 23,718 Corporate expenses 2,641 2,510 2,880 Consolidated total $ 96,348 $ 53,699 $ 42,390 In 2022, the Company extended the lease of its primary manufacturing facility in Salt Lake City, Utah, which resulted in a lease classification change from Finance to Operating and included a non-cash increase of $37.1 million to both Other assets and to Other noncurrent liabilities in the Consolidated Balance Sheets. Due to the non-cash nature of the transaction, those increases are excluded from amounts reported in the Consolidated Statements of Cash Flows. The following table shows data by geographic area. Net sales are based on the location of the operation recording the final sale to the customer. Net sales recorded by our entity in Switzerland are derived from products sold throughout Europe and Asia, and are invoiced in various currencies. (in thousands) 2022 2021 2020 Net sales United States $ 586,779 $ 497,231 $ 503,473 Switzerland 119,069 128,698 128,328 France 76,826 68,929 55,914 Brazil 66,175 62,925 60,259 China 63,914 67,098 57,007 Mexico 58,519 37,547 39,859 Italy 20,074 21,523 12,424 Other countries 43,531 45,289 43,346 Consolidated total $ 1,034,887 $ 929,240 $ 900,610 Property, plant and equipment, at cost, net United States $ 278,500 $ 258,453 $ 263,201 Mexico 42,320 40,699 41,738 China 33,432 41,039 40,898 France 31,382 33,802 41,107 Canada 14,264 14,139 9,672 Sweden 11,388 12,355 12,109 United Kingdom 9,699 10,156 10,731 Germany 9,562 9,652 10,808 Other countries 15,111 16,122 18,290 Consolidated total $ 445,658 $ 436,417 $ 448,554 |
Pensions and Other Postretireme
Pensions and Other Postretirement Benefit Plans | 12 Months Ended |
Dec. 31, 2022 | |
Retirement Benefits [Abstract] | |
Pensions and Other Postretirement Benefit Plans | Pensions and Other Postretirement Benefit Plans Pension Plans The Company has defined benefit pension plans covering certain U.S. and non-U.S. employees. In the third quarter of 2022, we took actions to settle pension plan liabilities related to the U.S. Pension Plus Plan, leading to charges totaling $49.1 million. This led to a reduction of unfunded pension liabilities of $6.2 million. This was a qualified defined benefit pension plan that was previously terminated in the third quarter of 2021, and prior to that point was closed to new participants and had frozen accrual of benefits. The December 31, 2022 benefit obligations for remaining U.S. pension and postretirement plans were calculated using the Pri-2012 mortality table with MP-2021 generational projection. For U.S. pension funding purposes, the Company uses the plan’s IRS-basis current liability as its funding target, which is determined based on mandated assumptions. Benefit accruals under the U.S. Supplemental Executive Retirement Plan (“SERP”), which is an unfunded plan, have been frozen. The eligibility, benefit formulas, and contribution requirements for plans outside of the U.S. vary by location. Benefits under the Company's pension plan in Switzerland utilize a cash balance interest crediting rate for determination of plan liabilities. As of December 31, 2022, the benefit obligation for that plan amounted to $2.9 million. 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. Any new employees hired after January 2005 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. As of December 31, 2022, the accrued postretirement liability was $34.8 million in the U.S. and $0.8 million in Canada. The Company accrues the cost of providing postretirement benefits during the active service period of the employees. The Company currently funds the plans as claims are paid. Accounting guidance requires the recognition of the funded status of each defined benefit and other postretirement benefit plan. Each overfunded plan is recognized as an asset and each underfunded plan is recognized as a liability. Company pension plan data for U.S. and non-U.S. plans has been combined for both 2022 and 2021, except where indicated below. The Company’s pension and postretirement benefit costs and benefit obligations are based on actuarial valuations that are affected by many assumptions, the most significant of which are the assumed discount rate, expected rate of return on pension plan assets, and mortality. Each of the assumptions is reviewed and updated annually, as appropriate. The assumed rates of return for pension plan assets are determined for each major asset category based on historical rates of return for assets in that category and expectations of future rates of return based, in part, on simulated future capital market performance. The assumed discount rate is based on yields from a portfolio of currently available high-quality fixed-income investments with durations matching the expected future payments, based on the demographics of the plan participants and the plan provisions. Gains and losses arise from changes in the assumptions used to measure the benefit obligations, and experience different from what had been assumed, including asset returns different than what had been expected. The Company amortizes gains and losses in excess of a “corridor” over the average future service of the plan’s current participants. The corridor is defined as 10 percent of the greater of the plan’s projected benefit obligation or market-related value of plan assets. The market-related value of plan assets is also used to determine the expected return on plan assets component of net periodic cost. The Company’s market-related value for its U.S. plan is measured by first determining the absolute difference between the actual and the expected return on the plan assets. The absolute difference in excess of 5 percent of the expected return is added to the market-related value over two years; the remainder is added to the market-related value immediately. To the extent the Company’s unrecognized net losses and unrecognized prior service costs, including the amount recognized through accumulated other comprehensive income, are not reduced by future favorable plan experience, they will be recognized as a component of the net periodic cost in future years. The following table sets forth the plan benefit obligations: As of December 31, 2022 As of December 31, 2021 (in thousands) Pension plans Other postretirement benefits Pension plans Other postretirement benefits Benefit obligation, beginning of year $ 230,790 $ 44,884 $ 245,800 $ 47,977 Service cost 1,371 114 2,192 132 Interest cost 4,917 1,221 5,467 1,103 Plan participants' contributions 132 — 175 — Actuarial (gain)/loss (46,995) (6,658) (7,163) (995) Benefits paid (7,946) (3,234) (9,399) (3,338) Settlements and curtailments (90,568) — (3,694) — Plan amendments and other (25) (605) (122) — Foreign currency changes (7,946) (64) (2,466) 5 Benefit obligation, end of year $ 83,730 $ 35,658 $ 230,790 $ 44,884 Accumulated benefit obligation $ 78,153 $ — $ 223,320 $ — Weighted average assumptions used to determine benefit obligations, end of year: Discount rate — U.S. plan 5.49 % 5.55 % 2.63 % 2.83 % Discount rate — non-U.S. plans 5.15 % 5.20 % 2.41 % 3.05 % Cash balance interest crediting rate - Switzerland pension plan 2.15 % — 0.25 % — Compensation increase — U.S. plan N/A N/A — — Compensation increase — non-U.S. plans 3.08 % 2.75 % 2.70 % 2.75 % During 2022, pension benefit obligations decrease d by $147 million, $91.6 million of which was related to the US Pension Plus plan settlement, and $47.0 million of which was driven by net actuarial gains, principally resulting from higher discount rates, in addition to employer contributions of $7.9 million. Other postretirement benefit obligations decreased by $9.2 million in 2022, primarily driven by net actuarial gains and payments made by the Company to participants of the plan . During 2021, pension benefit obligations decreased by $15.0 million, $7.2 million of which was driven by net actuarial gains, principally resulting from higher discount rates, in addition to employer contributions of $9.4 million. Other postretirement benefit obligations decreased by $3.1 million in 2021, primarily driven by payments made by the Company to participants of the plans. The following sets forth information about plan assets: As of December 31, 2022 As of December 31, 2021 (in thousands) Pension plans Other postretirement benefits Pension plans Other postretirement benefits Fair value of plan assets, beginning of year $ 225,327 $ — $ 239,051 $ — Actual return on plan assets, net of expenses (57,868) — (2,648) — Employer contributions 15,071 3,234 2,431 3,338 Plan participants' contributions 132 — 175 — Benefits paid (7,946) (3,234) (9,399) (3,338) Settlements (90,568) — (3,694) — Foreign currency changes (9,219) — (589) — Fair value of plan assets, end of year $ 74,929 $ — $ 225,327 $ — The funded status of the plans was as follows: As of December 31, 2022 As of December 31, 2021 (in thousands) Pension plans Other postretirement benefits Pension plans Other postretirement benefits Fair value of plan assets $ 74,929 $ — $ 225,327 $ — Benefit obligation 83,730 35,658 230,790 44,884 Funded status $ (8,801) $ (35,658) $ (5,463) $ (44,884) Accrued benefit cost, end of year $ (8,801) $ (35,658) $ (5,463) $ (44,884) Amounts recognized in the consolidated balance sheet consist of the following: Noncurrent asset $ 16,234 $ — $ 32,504 $ — Current liability (1,974) (3,660) (7,116) (3,627) Noncurrent liability (23,061) (31,998) (30,851) (41,257) Net amount recognized $ (8,801) $ (35,658) $ (5,463) $ (44,884) Amounts recognized in accumulated other comprehensive income consist of: Net actuarial loss $ 17,915 $ 8,958 $ 52,138 $ 17,483 Prior service cost/(credit) (134) (4,574) 256 (8,458) Net amount recognized $ 17,781 $ 4,384 $ 52,394 $ 9,025 The composition of the net pension plan funded status as of December 31, 2022 was as follows: (in thousands) U.S. plan Non-U.S. plans Total Pension plans with pension assets $ — $ 16,234 $ 16,234 Pension plans without pension assets (4,161) (20,874) (25,035) Total $ (4,161) $ (4,640) $ (8,801) The net underfunded balance in the U.S. principally relates to the Supplemental Executive Retirement Plan. The composition of the net periodic benefit plan cost for the years ended December 31, 2022, 2021, and 2020, was as follows: Pension plans Other postretirement benefits (in thousands) 2022 2021 2020 2022 2021 2020 Components of net periodic benefit cost: Service cost $ 1,371 $ 2,192 $ 2,279 $ 114 $ 132 $ 200 Interest cost 4,917 5,467 6,172 1,221 1,103 1,712 Expected return on assets (5,979) (6,564) (6,853) — — — Amortization of prior service cost/(credit) (8) 13 14 (4,488) (4,488) (4,488) Amortization of net actuarial loss 1,377 2,365 2,412 1,883 2,260 2,592 Settlement 49,128 — 148 — — — Curtailment (gain)/loss — — 263 — — — Net periodic benefit cost $ 50,806 $ 3,473 $ 4,435 $ (1,270) $ (993) $ 16 Weighted average assumptions used to determine net cost: Discount rate — U.S. plan 2.63 % 2.65 % 3.40 % 2.83 % 2.38 % 3.27 % Discount rate — non-U.S. plans 2.41 % 1.91 % 2.31 % 3.05 % 2.75 % 3.05 % Cash balance interest crediting rate - Switzerland pension plan 0.25 % 0.05 % 0.25 % — — — Expected return on plan assets — U.S. plan 3.07 % 2.74 % 3.54 % — — — Expected return on plan assets — non-U.S. plans 3.31 % 2.89 % 3.45 % — — — Rate of compensation increase — U.S. plan — — — — — — % Rate of compensation increase — non-U.S. plans 2.70 % 2.71 % 2.81 % 2.75 % 2.75 % 3.00 % Pretax (gains)/losses on plan assets and benefit obligations recognized in other comprehensive income for the years ended December 31, 2022, 2021, and 2020, was as follows: Pension plans Other postretirement benefits (in thousands) 2022 2021 2020 2022 2021 2020 Settlements/curtailments $ (49,128) $ — $ (411) $ — $ — $ — Asset/liability loss/(gain) 16,828 1,927 (8,053) (6,658) (995) (4,794) Amortization of actuarial (loss) (1,377) (2,365) (2,412) (1,883) (2,260) (2,592) Amortization of prior service cost/(credit) 8 (13) (14) 3,884 4,488 4,488 Other — — (204) — — — Currency impact (944) (612) 670 15 2 3 Cost/(benefit) in Other comprehensive income $ (34,613) $ (1,063) $ (10,424) $ (4,642) $ 1,235 $ (2,895) Investment Strategy Our investment strategy for pension assets differs for the various countries in which we have defined benefit pension plans. Some of our defined benefit plans do not require funded trusts and, in those arrangements, the Company funds the plans on a “pay as you go” basis. The largest of the funded defined benefit plans is in the United Kingdom. United States plan: Since the settlement of the U.S. Pension Plus Plan during the third quarter of 2022, there have been no investments made to the remaining plans in the United States. Non-United States plans: For the countries in which the Company has funded pension trusts, the investment strategy may also be liability driven or, in other cases, to achieve a competitive, total investment return, achieving diversification between and within asset classes and managing other risks. Investment objectives for each asset class are determined based on specific risks and investment opportunities identified. Actual allocations to each asset class vary from target allocations due to periodic investment strategy changes, market value fluctuations, the length of time it takes to fully implement investment allocation positions, and the timing of benefit payments and contributions. Fair-Value Measurements The following tables present plan assets as of December 31, 2022, and 2021, using the fair-value hierarchy, which has three levels based on the reliability of inputs used, as described in Note 18. Certain investments that are measured at fair value using net asset value (NAV) as a practical expedient are not required to be categorized in the fair value hierarchy table. The total fair value of these investments is included in the table below to permit reconciliation of the fair value hierarchy to amounts presented in the funded status table above. As of December 31, 2022 and 2021, there were no investments expected to be sold at a value materially different than NAV. Assets at Fair Value as of December 31, 2022 (in thousands) Quoted prices in active markets Level 1 Significant other observable inputs Level 2 Significant Total Common Stocks and equity funds $ — $ — $ — $ — Debt securities — 1,003 — 1,003 Insurance contracts — — 2,418 2,418 Cash and short-term investments 548 — — 548 Total investments in the fair value hierarchy $ 548 $ 1,003 $ 2,418 3,969 Investments at net asset value: Common Stocks and equity funds 13,069 Fixed income funds 57,891 Limited partnerships — Total plan assets $ 74,929 Assets at Fair Value as of December 31, 2021 (in thousands) Quoted prices in active markets Level 1 Significant other observable inputs Level 2 Significant unobservable inputs Level 3 Total Common Stocks and equity funds $ — $ — $ — $ — Debt securities — 98,252 — 98,252 Insurance contracts — — 3,861 3,861 Cash and short-term investments 724 — — 724 Total investments in the fair value hierarchy $ 724 $ 98,252 $ 3,861 102,837 Investments at net asset value: Common Stocks and equity funds 18,963 Fixed income funds 101,843 Limited partnerships 1,684 Total plan assets $ 225,327 The following tables present a reconciliation of Level 3 assets held during the years ended December 31, 2022 and 2021: (in thousands) December 31, 2021 Net realized gains Net unrealized gains Net purchases, issuances Net transfers (out of) Level 3 December 31, 2022 Insurance contracts - total level 3 assets $ 3,861 $ — $ 20 $ (1,463) $ — $ 2,418 (in thousands) December 31, 2020 Net realized gains Net unrealized gains Net purchases, issuances and settlements Net transfers (out of) Level 3 December 31, 2021 Insurance contracts - total level 3 assets $ 3,819 $ — $ 24 $ 18 $ — $ 3,861 The asset allocation for the Company’s U.S. and non-U.S. pension plans for 2022 and 2021, and the target allocation, by asset category, are as follows: United States Plan Non-U.S. Plans Target Allocation Percentage of plan assets at plan measurement date Target Allocation Percentage of plan assets at plan measurement date Asset category 2022 2021 2022 2021 Equity securities N/A N/A — % 14 % 15 % 13 % Debt securities N/A N/A 98 % 81 % 76 % 80 % Real estate N/A N/A 2 % 1 % 1 % 1 % Other (1) N/A N/A — % 4 % 8 % 6 % — % — % 100 % 100 % 100 % 100 % (1) Other includes hedged equity and absolute return strategies, and private equity. The Company has procedures to closely monitor the performance of these investments and compares asset valuations to audited financial statements of the funds. The targeted plan asset allocation is based on an analysis of the actuarial liabilities, a review of viable asset classes, and an analysis of the expected rate of return, risk, and other investment characteristics of various investment asset classes. At the end of 2022 and 2021, the projected benefit obligation, accumulated benefit obligation, and fair value of plan assets for pension plans with projected benefit obligation and an accumulated benefit obligation in excess of plan assets were as follows: Plans with projected benefit obligation in excess of plan assets (in thousands) 2022 2021 Projected benefit obligation $ 28,458 $ 142,007 Fair value of plan assets 3,422 104,041 Plans with accumulated benefit obligation in excess of plan assets (in thousands) 2022 2021 Accumulated benefit obligation $ 25,941 $ 139,600 Fair value of plan assets 3,422 104,041 Information about expected cash flows for the pension and other benefit obligations are as follows: (in thousands) Pension plans Other postretirement benefits Expected employer contributions and direct employer payments in the next fiscal year $ 2,151 $ 3,660 Expected benefit payments 2023 4,495 3,660 2024 4,809 3,541 2025 5,181 3,408 2026 5,513 3,281 2027 5,337 3,158 2028-2032 29,238 13,928 |
Restructuring
Restructuring | 12 Months Ended |
Dec. 31, 2022 | |
Restructuring and Related Activities [Abstract] | |
Restructuring | Restructuring Restructuring activities have decreased in the last two years. Restructuring expense, net during this period has been related primarily to the winding down of restructuring actions taken in years previous. The following table summarizes charges reported in the Consolidated Statements of Income under “Restructuring expenses, net”: Year ended December 31, 2022 (In thousands) Total restructuring costs incurred Termination and other costs Impairment of assets Machine Clothing $ 92 $ 92 $ — Albany Engineered Composites — — — Corporate expenses 14 14 — Total $ 106 $ 106 $ — Year ended December 31, 2021 (In thousands) Total restructuring costs incurred Termination and other costs Impairment of assets Machine Clothing $ 1,202 $ 1,202 $ — Albany Engineered Composites 32 32 — Corporate expenses 97 97 — Total $ 1,331 $ 1,331 $ — Year ended December 31, 2020 (In thousands) Total restructuring costs incurred Termination and other costs Impairment of assets Machine Clothing $ 2,746 $ 2,746 $ — Albany Engineered Composites 2,821 2,821 — Corporate expenses 169 169 — Total $ 5,736 $ 5,736 $ — In 2020, AEC reduced its workforce at various locations, principally in the United States, leading to restructuring charges, and MC recorded charges related to the discontinuance of operations in the Selestat, France location. As of December 31, 2022, there is no remaining balance in Accrued liabilities for restructuring. The table below presents the changes in restructuring liabilities for 2022 and 2021, all of which related to termination costs: (in thousands) December 31, 2021 Restructuring charges accrued Payments Currency translation/other December 31, 2022 Total termination and other costs $ 1,045 $ 106 $ (1,079) $ (72) $ — (in thousands) December 31, Restructuring charges accrued Payments Currency translation/other December 31, 2021 Total termination and other costs $ 2,195 $ 1,331 $ (2,469) $ (12) $ 1,045 |
Other expense_(income), net
Other expense/(income), net | 12 Months Ended |
Dec. 31, 2022 | |
Other Income and Expenses [Abstract] | |
Other expense/(income), net | Other expense/(income), net The components of Other expense/(income), net, are: (in thousands) 2022 2021 2020 Currency transactions $ (9,996) $ (1,179) $ 13,569 Sale of IP addresses (3,420) — — Bank fees and amortization of debt issuance costs 313 373 367 Components of net periodic pension and postretirement cost other than service (1,077) 156 1,561 Other 94 3,671 (2,075) Total $ (14,086) $ 3,021 $ 13,422 In 2022, Other (income)/expense, net included gains related to the revaluation of nonfunctional-currency balances of $10.0 million, as compared to a gain of $1.2 million during 2021, principally resulting from a weaker Euro throughout the course of 2022. As a result of changes in business conditions that occurred in the first quarter of 2020, certain loan repayments were no longer expected in the foreseeable future and, beginning April 1, 2020, the revaluation effects for those loans were recorded in Other comprehensive income, which resulted in a pre-tax gain of $5.0 million being recorded in Other comprehensive income in 2020. The same loans had an insignificant effect on Other comprehensive income in 2021 and 2022. |
Income Taxes
Income Taxes | 12 Months Ended |
Dec. 31, 2022 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | Income Taxes Provision for income taxes consisted of the following: For the year ended December 31 (in thousands) 2022 2021 2020 Income before income taxes: U.S. $ 20,422 $ 63,708 $ 63,375 Non-U.S. 111,558 102,223 75,699 $ 131,980 $ 165,931 $ 139,074 Income tax expense/(benefit) Current: Federal $ 9,781 $ 3,348 $ 1,415 State 5,126 2,663 2,028 Non-U.S. 28,605 29,319 26,916 $ 43,512 $ 35,330 $ 30,359 Deferred: Federal $ (9,592) $ 9,911 $ 11,211 State (1,866) (24) 192 Non-U.S. 3,418 1,946 69 $ (8,040) $ 11,833 $ 11,472 Total income tax expense $ 35,472 $ 47,163 $ 41,831 A reconciliation of the U.S. federal statutory tax rate to the Company’s effective income tax rate is as follows: For the year ended December 31 2022 2021 2020 U.S. federal statutory tax rate 21.0 % 21.0 % 21.0 % State taxes, net of federal benefit 2.5 1.8 1.8 Non-U.S. local income taxes 3.8 2.5 3.2 U.S. permanent adjustments 1.4 1.1 0.1 Foreign permanent adjustments (2.1) 0.3 — Foreign rate differential 3.1 1.2 0.6 Net U.S. tax on non-U.S. earnings and foreign withholdings 3.5 2.1 1.2 Provision for/(resolution) of tax audits and contingencies, net 0.3 0.1 0.5 U.S. Pension Settlement - Release of Residual Tax Effect (4.0) — — Tax effect of non-deductible foreign exchange loss on intercompany loan — — 2.7 Impact of amended tax returns (0.1) (1.3) — Return to provision (1.1) (1.4) (1.6) Other adjustments (1.4) 1.0 0.6 Effective income tax rate 26.9 % 28.4 % 30.1 % The Company recorded a net tax benefit of $5.2 million for the release of the residual tax effects that were stranded within other comprehensive income related to the U.S. pension settlement. The residual tax effects were created as a result of the remeasurement of deferred tax assets and liabilities originally established in other comprehensive income in accordance with the Tax Cuts and Jobs Act lowering the U.S. corporate tax rate from 35% to 21% as of December 31, 2017. The Company's subsidiary in Mexico has an intercompany loan payable in U.S. dollars. As a result of the weaker Mexican peso, the Company recorded a revaluation loss in 2020 which is not deductible under Mexican tax law, leading to a $3.8 million discrete tax charge. The Company has operations which constitute a taxable presence in 18 countries outside of the United States. The Company is subject to audit in the U.S. and various foreign jurisdictions. Our open tax years for major jurisdictions generally range from 2014-2022. During the periods reported, income outside of the U.S. was heavily concentrated within Brazil (34% tax rate), China (25% tax rate), and Mexico (30% tax rate). The foreign rate differential of these jurisdictions was partially offset by Switzerland (7.8% tax rate). As a result, the foreign income tax rate differential was primarily attributable to these tax rate differences. On August 16th, 2022, The Inflation Reduction Act (“IRA”) was enacted, including various provisions which become effective for tax years beginning after December 31, 2022. Included within the IRA were provisions for a newly enacted Stock Repurchase Excise Tax, Corporate Alternative Minimum Tax, among others. None of the enacted provisions within the IRA are expected to have a material effect to the Company. Deferred income taxes reflect the net tax effects of temporary differences between the carrying amounts of certain assets and liabilities for financial reporting purposes and income tax purposes. Significant components of the Company’s deferred tax assets and liabilities are as follows: For the year ended December 31 U.S. Non-U.S. (in thousands) 2022 2021 2022 2021 Deferred tax assets: Accounts receivable, net $ 436 $ 428 $ 1,300 $ 1,378 Inventories 1,807 1,450 1,111 1,752 Incentive compensation 4,619 4,580 1,333 1,084 Property, plant, equipment and intangibles, net — — 1,892 4,339 Pension, post retirement benefits - non-current 9,141 12,912 — — Tax loss carryforwards 239 217 14,201 19,821 Tax credit carryforwards 2,635 4,643 — — Derivatives — 468 — — Leases 7,597 1,658 — — Reserves 721 991 — — Deferred revenue 761 239 — — Other 47 329 1,707 1,791 Deferred tax assets before valuation allowance 28,003 27,915 21,544 30,165 Less: valuation allowance (8) (9) (9,778) (10,650) Total deferred tax assets $ 27,995 $ 27,906 $ 11,766 $ 19,515 Deferred tax liabilities: Unrepatriated foreign earnings $ 5,827 $ 6,308 $ — $ — Property, plant, equipment and intangibles, net 3,084 5,356 — — Basis difference in partner capital 2,161 2,466 — — Basis difference in investment 4,173 3,985 — — Derivatives 5,941 — — — Leases 11,609 2,950 — — Deferred revenue — — 6,440 10,829 Other — — 419 602 Total deferred tax liabilities 32,795 21,065 6,859 11,431 Net deferred tax (liability)/asset $ (4,800) $ 6,841 $ 4,907 $ 8,084 Deferred income tax assets, net of valuation allowances, are expected to be realized through the reversal of existing taxable temporary differences and future taxable income. In 2022, the Company recorded immaterial movements in its valuation allowance, which are included in Schedule II in Item 15. As of December 31, 2022, the Company's net operating loss, capital loss and tax credit carryforwards were as follows: (in thousands) Expiration Period Net Operating and Capital Loss Carryforwards Tax Credit Carryforwards Jurisdiction U.S. Federal 2025 - 2040 $ — $ 2,792 U.S. State 2027 - 2041 3,973 402 U.S. State Indefinite — — Non-U.S. 2025 - 2030 9,094 — Non-U.S. Indefinite 37,008 — Balance at end of year $ 50,075 $ 3,194 The Company records the residual U.S. and foreign taxes on certain amounts of foreign earnings that have been targeted for repatriation to the U.S. These amounts are not considered to be indefinitely reinvested, and the Company accrued for the tax cost on these earnings to the extent they cannot be repatriated in a tax-free manner. The Company has targeted for repatriation $215.3 million of current year and prior year earnings of the Company’s foreign operations. If these earnings were distributed, the Company would be subject to foreign withholding taxes of $4.4 million and U.S. income taxes of $1.5 million which have already been recorded. The accumulated undistributed earnings of the Company’s foreign operations not targeted for repatriation to the U.S. were approximately $201.6 million, and are intended to remain indefinitely invested in foreign operations. No additional income taxes have been provided on the indefinitely invested foreign earnings at December 31, 2022. If these earnings were distributed, the Company could be subject to income taxes and additional foreign withholding taxes. Determining the amount of unrecognized deferred tax liability related to any additional outside basis difference in these entities is not practical due to the complexities of the hypothetical calculation. The following table provides a reconciliation of the beginning and ending amount of unrecognized tax benefits. If recognized, $0.8 million would impact the effective tax rate at December 31, 2022: (in thousands) 2022 2021 2020 Unrecognized tax benefits balance at January 1, $ 1,459 $ 5,491 $ 5,834 Increase in gross amounts of tax positions related to prior years 399 278 540 Decrease in gross amounts of tax positions related to prior years (929) (4,236) (637) Increase in gross amounts of tax positions related to current years 37 — — Decrease due to settlements with tax authorities — — — Decrease due to lapse in statute of limitations — (39) (300) Currency translation (174) (35) 54 Unrecognized tax benefits balance at December 31, $ 792 $ 1,459 $ 5,491 |
Earnings Per Share
Earnings Per Share | 12 Months Ended |
Dec. 31, 2022 | |
Earnings Per Share [Abstract] | |
Earnings Per Share | 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: (in thousands, except market price and earnings per share) 2022 2021 2020 Net income attributable to the Company $ 95,762 $ 118,478 $ 98,589 Weighted average number of shares: Weighted average number of shares used in calculating basic net income per share 31,339 32,348 32,329 Effect of dilutive stock-based compensation plans: Stock options — 2 7 Long-term incentive plans 116 113 20 Weighted average number of shares used in calculating diluted net income per share 31,455 32,463 32,356 Average market price of common stock used for calculation of dilutive shares $ 87.27 $ 82.88 $ 58.56 Net income per share: Basic $ 3.06 $ 3.66 $ 3.05 Diluted $ 3.04 $ 3.65 $ 3.05 Shares outstanding, net of treasury shares, were 31.1 million as of December 31, 2022, 32.1 million as of December 31, 2021, and 32.3 million as of December 31, 2020. |
Accumulated Other Comprehensive
Accumulated Other Comprehensive Income (AOCI) | 12 Months Ended |
Dec. 31, 2022 | |
Accumulated Other Comprehensive Income (Loss), Net of Tax [Abstract] | |
Accumulated Other Comprehensive Income (AOCI) | Accumulated Other Comprehensive Income (AOCI) The table below presents changes in the components of AOCI from January 1, 2020 to December 31, 2022: (in thousands) Translation adjustments Pension and postretirement liability adjustments Derivative valuation adjustment Total Other Comprehensive Income January 1, 2020 $ (122,852) $ (49,994) $ (3,135) $ (175,981) Other comprehensive income/(loss) before reclassifications 39,649 (722) (9,363) 29,564 Pension/postretirement settlements and curtailments, net of tax — 283 — 283 Pension/postretirement plan remeasurement, net of tax — 10,390 — 10,390 Interest expense related to swaps reclassified to the Statements of Income, net of tax — — 2,954 2,954 Pension and postretirement liability adjustments reclassified to Statements of Income, net of tax — 382 — 382 Net current period other comprehensive income 39,649 10,333 (6,409) 43,573 December 31, 2020 $ (83,203) $ (39,661) $ (9,544) $ (132,408) Other comprehensive income/(loss) before reclassifications (22,677) 1,869 2,812 (17,996) Pension/postretirement plan remeasurement, net of tax — (796) — (796) Interest expense related to swaps reclassified to the Statements of Income, net of tax — — 5,118 5,118 Pension and postretirement liability adjustments reclassified to Statements of Income, net of tax — 98 — 98 Net current period other comprehensive income (22,677) 1,171 7,930 (13,576) December 31, 2021 $ (105,880) $ (38,490) $ (1,614) $ (145,984) Other comprehensive income/(loss) before reclassifications (40,971) — 18,971 (22,000) Pension settlement expense, net of tax — 26,198 — 26,198 Pension/postretirement plan remeasurement, net of tax — (2,663) — (2,663) Interest expense related to swaps reclassified to the Statements of Income, net of tax — — 350 350 Pension and postretirement liability adjustments reclassified to Statements of Income, net of tax — (828) — (828) Net current period other comprehensive income (40,971) 22,707 19,321 1,057 December 31, 2022 $ (146,851) $ (15,783) $ 17,707 $ (144,927) The components of our Accumulated Other Comprehensive Income that are reclassified to the Statement of Income relate to our pension and postretirement plans and interest rate swaps. The table below presents the expense/(income) amounts reclassified, and the line items of the Statement of Income that were affected for the years ended December 31, 2022, 2021, and 2020. (in thousands) 2022 2021 2020 Pretax Derivative valuation reclassified from Accumulated Other Comprehensive Income: Expense related to interest rate swaps included in Income before taxes (a) $ 468 $ 6,852 $ 3,982 Income tax effect (118) (1,734) (1,028) Effect on net income due to items reclassified from Accumulated Other Comprehensive Income $ 350 $ 5,118 $2,954 Pretax pension and postretirement liabilities reclassified from Accumulated Other Comprehensive Income: Pension/postretirement settlements and curtailments $ 42,657 $ — $ 411 Amortization of prior service credit (4,497) (4,475) (4,474) Amortization of net actuarial loss 3,260 4,625 5,004 Total pretax amount reclassified (b) 41,420 150 941 Income tax effect (16,051) (52) (276) Effect on net income due to items reclassified from Accumulated Other Comprehensive Income $ 25,369 $ 98 $ 665 ________________________ (a) Included in interest expense, net are payments related to the interest rate swap agreements and amortization of swap buyouts (see Notes 17 and 18). (b) These accumulated other comprehensive income components are included in the computation of net periodic pension cost (see Note 4). |
Noncontrolling Interest
Noncontrolling Interest | 12 Months Ended |
Dec. 31, 2022 | |
Noncontrolling Interest [Abstract] | |
Noncontrolling Interest | 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 will be 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 percent 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 the Company’s subsidiary Albany Safran Composites, LLC: (in thousands, except percentages) 2022 2021 Net income/(loss) of Albany Safran Composites (ASC) $ 8,720 $ 4,227 Less: Return attributable to the Company's preferred holding 1,262 1,325 Net income/(loss) of ASC available for common ownership $ 7,458 $ 2,902 Ownership percentage of noncontrolling shareholder 10 % 10 % Net income/(loss) attributable to noncontrolling interest $ 746 $ 290 Noncontrolling interest, beginning of year $ 3,638 $ 3,799 Net income/(loss) attributable to noncontrolling interest 746 290 Changes in other comprehensive income attributable to noncontrolling interest 110 (451) Noncontrolling interest, end of year $ 4,494 $ 3,638 |
Accounts Receivable
Accounts Receivable | 12 Months Ended |
Dec. 31, 2022 | |
Receivables [Abstract] | |
Accounts Receivable | Accounts Receivable As of December 31, 2022 and 2021, Accounts receivable consisted of the following: (in thousands) December 31, December 31, Trade and other accounts receivable $ 179,676 $ 168,046 Bank promissory notes 23,439 26,284 Allowance for expected credit losses (3,097) (2,345) Accounts receivable, net $ 200,018 $ 191,985 The Company has Noncurrent receivables in the AEC segment that represent revenue earned, which has extended payment terms. The Noncurrent receivables are invoiced to the customer over a 10-year period, which began in 2020. As of December 31, 2022 and December 31, 2021, Noncurrent receivables were as follows: (in thousands) December 31, December 31, Noncurrent receivables $ 28,053 $ 32,049 Allowance for expected credit losses (140) (200) Noncurrent receivables, net $ 27,913 $ 31,849 As described in Note 1, effective January 1, 2020, the Company adopted the provisions of ASC 326, Current Expected Credit Losses (CECL). This accounting update replaces the incurred loss impairment methodology under previous GAAP with a methodology that reflects expected credit losses and requires consideration of a broader range of reasonable and supportable information to inform credit loss estimates. Under this standard, the Company recognizes an allowance for expected credit losses on financial assets measured at amortized cost, such as Accounts receivable, Contract assets and Noncurrent receivables. The allowance is determined using a CECL model that is based on an historical average three-year loss rate and is measured by financial asset type on a collective (pool) basis when similar risk characteristics exist, at an amount equal to lifetime expected credit losses. The estimate reflects the risk of loss due to credit default, even when the risk is remote, and considers available relevant information about the collectability of cash flows, including information about past events, current conditions, and reasonable and supportable expected future economic conditions. While an expected credit loss allowance is recorded at the same time the financial asset is recorded, the Company monitors financial assets for credit impairment events to assess whether there has been a significant increase in credit risk since initial recognition, and considers both quantitative and qualitative information. The risk of loss due to credit default increases when one or more events occur that can have a detrimental impact on estimated future cash flows of that financial asset. Evidence that a financial asset is subject to greater credit risk includes observable data about significant financial difficulty of the customer, a breach of contract, such as a default or past due event, or it becomes probable that the customer will enter bankruptcy or other financial reorganization, among other factors. It may not be possible to identify a single discrete event, but rather, the combined effect of several events that may cause an increase in risk of loss. The probability of default is driven by the relative financial health of our customer base and that of the industries in which we operate, as well as the broader macro-economic environment. A changing economic environment or forecasted economic scenario can lead to a different probability of default and can suggest that credit risk has changed. At each reporting period, the Company will recognize the amount of change in current expected credit losses as an allowance gain or loss in Selling, general, and administrative expenses in the Consolidated Statements of Income. Financial assets are written-off when the Company has no reasonable expectation of recovering the financial asset, either in its entirety, or a portion thereof. This is the case when the Company determines that the customer does not have assets or sources of income that could generate sufficient cash flows to repay the amounts subject to the write-off. The following tables present the (increases)/decreases in the allowance for credit losses for Accounts receivable: (in thousands) December 31, (Charge)/ benefit Currency Other December 31, Specific customer reserves $ (1,392) $ (1,331) $ 50 $ 597 $ (2,076) Incremental expected credit losses (953) (93) 25 — (1,021) Accounts receivable expected credit losses $ (2,345) $ (1,424) $ 75 $ 597 $ (3,097) (in thousands) December 31, 2020 (Charge)/ benefit Currency translation Other December 31, 2021 Specific customer reserves $ (1,742) $ (187) $ 116 $ 421 $ (1,392) Incremental expected credit losses (2,065) 1,074 38 — (953) Accounts receivable expected credit losses $ (3,807) $ 887 $ 154 $ 421 $ (2,345) The following tables present the (increases)/decreases in the allowance for credit losses for Noncurrent receivables: (in thousands) December 31, (Charge)/ benefit Currency Other December 31, Noncurrent receivables expected credit losses $ (200) $ 62 $ (2) $ — $ (140) (in thousands) December 31, 2020 (Charge)/ benefit Currency translation Other December 31, 2021 Noncurrent receivables expected credit losses $ (274) $ 72 $ 2 $ — $ (200) |
Contract Assets and Liabilities
Contract Assets and Liabilities | 12 Months Ended |
Dec. 31, 2022 | |
Revenue from Contract with Customer [Abstract] | |
Contract Assets and Liabilities | Contract Assets and Liabilities Contract assets and Contract liabilities (included in Accrued liabilities) are reported in the Consolidated Balance Sheets in a net position, on a contract-by-contract basis at the end of each reporting period. Contract assets and contract liabilities are summarized as follows: (in thousands) December 31, December 31, Contract assets $ 149,443 $ 113,249 Allowance for expected credit losses (748) (703) Contract assets, net $ 148,695 $ 112,546 Contract liabilities $ 15,176 $ 6,959 Contract assets increased $36.1 million during the year ended December 31, 2022. The increase was primarily due to an increase in unbilled revenue related to the satisfaction of performance obligations, notably for the Sikorsky CH-53K program, in excess of the amounts billed. Other than the allowance for expected credit losses, there were no other provisions for losses related to our Contract assets during the years ended December 31, 2022 and 2021. The following tables present the (increases)/ decreases in the allowance for credit losses for Contract assets: (in thousands) December 31, (Charge)/ benefit Currency Other December 31, Contract assets expected credit losses $ (703) $ (45) $ — $ — $ (748) (in thousands) December 31, 2020 (Charge)/ benefit Currency translation Other December 31, 2021 Contract assets expected credit losses $ (1,059) $ 339 $ 16 $ 1 $ (703) Contract liabilities increased $8.2 million during the year ended December 31, 2022, primarily due to amounts invoiced to customers for contracts that were in a contract liability position exceeding the revenue recognition from satisfied performance obligations. Revenue recognized for the years ended December 31, 2022 and 2021 that was included in the Contract liability balance at the beginning of the year was $5.7 million and $5.8 million, respectively. |
Inventories
Inventories | 12 Months Ended |
Dec. 31, 2022 | |
Inventory Disclosure [Abstract] | |
Inventories | Inventories As of December 31, 2022 and 2021, inventories consisted of the following: (in thousands) December 31, 2022 December 31, 2021 Raw materials $ 74,631 $ 58,689 Work in process 50,516 44,839 Finished goods 13,903 14,354 Total inventories $ 139,050 $ 117,882 |
Property, Plant and Equipment
Property, Plant and Equipment | 12 Months Ended |
Dec. 31, 2022 | |
Property, Plant and Equipment [Abstract] | |
Property, Plant and Equipment | Property, Plant and Equipment The table below sets forth the components of property, plant and equipment as of December 31, 2022 and 2021: (in thousands) 2022 2021 Estimated useful life Land and land improvements $ 14,059 $ 14,832 25 years for improvements Buildings 247,136 243,584 15 to 40 years Right of use assets (a) — 10,971 10 to 15 years Machinery and equipment 1,053,700 1,067,059 5 to 15 years Furniture and fixtures 8,158 7,857 5 years Computer and other equipment 21,570 19,135 3 to 10 years Software 66,794 63,379 5 to 8 years Capital expenditures in progress 92,620 64,238 Property, plant and equipment, gross 1,504,037 1,491,055 Accumulated depreciation and amortization (1,058,379) (1,054,638) Property, plant and equipment, net $ 445,658 $ 436,417 (a) In 2022, the Company extended the lease of its primary manufacturing facility in Salt Lake City, Utah, which resulted in a lease classification change from Finance to Operating, resulting in the reclassification of the Right of use asset from Property, plant, and equipment to Other assets. Depreciation expense was $62.5 million in 2022, $65.1 million in 2021, and $63.3 million in 2020. Software amortization is recorded in Selling, general, and administrative expense and was $1.7 million in 2022, $1.9 million in 2021, and $2.1 million in 2020. Capital expenditures, including purchased software, were $96.3 million in 2022, $53.7 million in 2021, and $42.4 million in 2020. Unamortized software cost was $5.9 million, $3.9 million, and $4.8 million in each of the years ended December 31, 2022, 2021, and 2020, respectively. Expenditures for maintenance and repairs are charged to income as incurred and amounted to $20.7 million in 2022, $19.3 million in 2021, and $17.7 million in 2020. |
Goodwill and Other Intangible A
Goodwill and Other Intangible Assets | 12 Months Ended |
Dec. 31, 2022 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Goodwill and Other Intangible Assets | 15. Goodwill and Other Intangible Assets 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. Goodwill and intangible assets with indefinite useful lives are not amortized, but are tested for impairment at least annually at the reporting unit level, using either a qualitative or quantitative approach. Impairment is the condition that exists when the carrying amount of a reporting unit, including goodwill, exceeds its fair value. In the second quarter of 2022, management applied the qualitative assessment approach in performing its annual evaluation of goodwill for the Company's Machine Clothing reporting unit and two AEC reporting units and concluded that each reporting unit’s fair value continued to exceed its carrying value. In addition, there were no amounts at risk due to the estimated excess between the fair and carrying values. Accordingly, no impairment charges were recorded. We are continuing to amortize certain patents, trademarks and names, customer contracts, relationships and technology assets that have finite lives.The changes in intangible assets and goodwill from December 31, 2020 to December 31, 2022, were as follows: (in thousands, except for years) Amortization life in years Balance at December 31, 2021 Amortization Currency Translation Balance at December 31, 2022 Finite-Lived intangible assets: AEC Trademarks and trade names 6-15 $ 45 $ (11) $ — $ 34 AEC Technology 10-15 4,712 (554) (274) 3,884 AEC Intellectual property 15 1,077 (83) — 994 AEC Customer contracts 6 720 (720) — — AEC Customer relationships 8-15 32,527 (3,474) (154) 28,899 Total Finite-Lived intangible assets, net $ 39,081 $ (4,842) $ (428) $ 33,811 Indefinite-Lived intangible assets: MC Goodwill $ 68,329 $ — $ (2,888) $ 65,441 AEC Goodwill 113,795 — (1,019) 112,776 Total Indefinite-Lived intangible assets $ 182,124 $ — $ (3,907) $ 178,217 (in thousands, except for years) Amortization life in years Balance at December 31, Amortization Currency Balance at December 31, Finite-Lived intangible assets: AEC Trademarks and trade names 6-15 $ 57 $ (12) $ — $ 45 AEC Technology 10-15 5,744 (629) (403) 4,712 AEC Intellectual property 15 1,160 (83) — 1,077 AEC Customer contracts 6 3,632 (2,912) — 720 AEC Customer relationships 8-15 36,260 (3,503) (230) 32,527 AEC Other intangibles 5 16 (16) — — Total Finite-Lived intangible assets, net $ 46,869 $ (7,155) $ (633) $ 39,081 Indefinite-Lived intangible assets: MC Goodwill $ 72,290 $ — $ (3,961) $ 68,329 AEC Goodwill 115,263 — (1,468) 113,795 Total Indefinite-Lived intangible assets $ 187,553 $ — $ (5,429) $ 182,124 As of December 31, 2022, the gross carrying amount and accumulated amortization of Finite-Lived intangible assets was $77.8 million and $44.0 million, respectively. Amortization expense related to Finite-lived intangible assets was reported in the Consolidated Statement of Income as follows: $0.8 million in Cost of goods sold and $4.0 million in Selling, general and administrative expenses in 2022; $3.0 million in Cost of goods sold and $4.2 million in Selling, general and administrative expenses in 2021; and $3.0 million in Cost of goods sold and $4.3 million in Selling, general and administrative expenses in 2020. Estimated amortization expense of intangibles for the years ending December 31, 2023 through 2027, is as follows: Year Annual amortization (in thousands) 2023 $ 4,100 2024 4,100 2025 4,100 2026 4,100 2027 4,100 |
Accrued Liabilities
Accrued Liabilities | 12 Months Ended |
Dec. 31, 2022 | |
Payables and Accruals [Abstract] | |
Accrued Liabilities | 16. Accrued Liabilities Accrued liabilities consist of: (in thousands) 2022 2021 Salaries, wages and benefits $ 57,867 $ 54,254 Contract liabilities 15,176 6,959 Returns and allowances 9,084 9,798 Dividends 7,778 6,742 Pension and postretirement 6,683 10,742 Operating and Finance lease liabilities 5,929 5,336 Other tax 10,274 9,041 Contract loss reserve 2,359 3,608 Freight 1,966 4,031 Professional fees 3,439 3,926 Other 5,830 9,888 Total $ 126,385 $ 124,325 |
Financial Instruments
Financial Instruments | 12 Months Ended |
Dec. 31, 2022 | |
Long-Term Debt and Lease Obligation [Abstract] | |
Financial Instruments | Financial Instruments Long-term debt, principally to banks, consists of: (in thousands, except interest rates) 2022 2021 Revolving credit agreement with borrowings outstanding at an end of period interest rate of 3.16% in 2022 and 3.74% in 2021 (including the effect of interest rate hedging transactions, as described below), due in 2024 $ 439,000 $ 350,000 We had no current maturities of Long-term debt as of December 31, 2022 or December 31, 2021. Principal payments of $439 million are due on long-term debt in 2024. Cash payments of interest amounted to $16.0 million in 2022, $14.9 million in 2021 and $15.1 million in 2020. On October 27, 2020, we entered into a $700 million unsecured Four-Year Revolving Credit Facility Agreement (the “Credit Agreement”) which amended and restated the prior amended and restated $685 million Five-Year Revolving Credit Facility Agreement, which we had entered into on November 7, 2017 (the “Prior Agreement”). Under the Credit Agreement, $439 million of borrowings were outstanding as of December 31, 2022. The applicable interest rate for borrowings was LIBOR plus a spread, based on our leverage ratio at the time of borrowing. At the time of the last borrowing on December 30, 2022, the spread was 1.625%. The spread was based on a pricing grid, which ranged from 1.500% to 2.000%, based on our leverage ratio. Based on our maximum leverage ratio and our Consolidated EBITDA, and without modification to any other credit agreements, as of December 31, 2022, we would have been able to borrow an additional $261 million under the Agreement. The Credit Agreement contains customary terms, as well as affirmative covenants, negative covenants and events of default that are comparable to those in the Prior Agreement. The Borrowings are guaranteed by certain of the Company’s subsidiaries. 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 (as defined in the Credit Agreement). On June 14, 2021, we entered into interest rate swap agreements for the period October 17, 2022 through October 27, 2024. These transactions have the effect of fixing the LIBOR portion of the effective interest rate (before addition of the spread) on $350 million of indebtedness drawn under the Credit Agreement at the rate of 0.838% during the period. Under the terms of those transactions, we pay the fixed rate of 0.838% and the counterparties pay a floating rate based on the one-month LIBOR rate at each monthly calculation date. The monthly calculation date is the 16th of each month, and on December 16, 2022, one month LIBOR was 4.33%. On December 16, 2022, t he all-in-rate on the $350 million of debt was 2.463%. On October 17, 2022 our interest rate swap agreements that were in effect from December 18, 2017 terminated. These transactions had the effect of fixing the LIBOR portion of the effective interest rate (before addition of the spread) on $350 million of indebtedness drawn under the Credit Agreement at the rate of 2.11% during the period. Under the terms of those transactions, we paid the fixed rate of 2.11% and the counterparties paid a floating rate based on the one-month LIBOR rate at each monthly calculation date. The all-in-rate on the $350 million of debt was 3.735%. These interest rate swaps are accounted for as a hedge of future cash flows, as further described in Note 18. No cash collateral was received or pledged in relation to the swap agreements. Under the Credit Agreement, we are currently required to maintain a leverage ratio (as defined in the agreement) of not greater than 3.50 to 1.00 and minimum interest coverage (as defined) of 3.00 to 1.00. As of December 31, 2022, our leverage ratio was 1.25 and our interest coverage ratio was 15.17. We may purchase our Common Stock or pay dividends to the extent our leverage ratio remains at or below 3.50, and may make acquisitions with cash provided our leverage ratio does not exceed the limits noted above. Indebtedness under 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 December 31, 2022. Currently, our Credit Agreement and certain of our derivative instruments reference one-month USD LIBOR-based rates, which are set to discontinue after June 30, 2023. Regulators in the U.S. and other jurisdictions have been working to replace these rates with alternative reference interest rates that are supported by transactions in liquid and observable markets, such as the Secured Overnight Financing Rate (SOFR) for USD LIBOR. Our Credit Agreement contains provisions specifying alternative interest rate calculations to be employed when LIBOR ceases to be available as a benchmark and we have adhered to the ISDA IBOR Fallbacks Protocol, which will govern our derivatives upon the final cessation of USD LIBOR. Amendments to the Reference Rate Reform standard have helped limit the accounting impact from contract modifications, including hedging relationships, due to the transition from LIBOR to alternative reference rates that are completed by December 31, 2024. We adopted certain provisions of this standard during 2021. While we currently do not expect a significant impact to our operating results, financial position or cash flows from the transition from LIBOR to alternative reference interest rates, we will continue to monitor the impact of this transition until it is completed. |
Fair-Value Measurements
Fair-Value Measurements | 12 Months Ended |
Dec. 31, 2022 | |
Fair Value Disclosures [Abstract] | |
Fair-Value Measurements | Fair-Value MeasurementsFair 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. We had no Level 3 financial assets or liabilities at December 31, 2022, or at December 31, 2021, other than certain pension assets (see Note 4). The following table presents the fair-value hierarchy for our Level 1 and Level 2 financial and non-financial assets and liabilities, which are measured at fair value on a recurring basis: December 31, 2022 December 31, 2021 (in thousands) Quoted prices in active markets (Level 1) Significant other observable inputs (Level 2) Quoted prices in active markets (Level 1) Significant other observable inputs (Level 2) Fair Value Assets: Cash equivalents $ 6,533 $ — $ 20,665 $ — Other Assets: Common stock of unaffiliated foreign public company (a) 602 — 702 — Interest rate swaps — 23,605 — 3,328 Liabilities: Other noncurrent liabilities: Interest rate swaps — — — (5,176) _____________________ (a) Original cost basis $0.5 million 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 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/or Other noncurrent liabilities in the Consolidated Balance Sheets. Amounts determined to be due within one year are reclassified to Other current assets and/or Accrued liabilities in the Consolidated Balance Sheets. Unrealized gains and losses on the swaps flow through the caption Derivative valuation adjustment in the Shareholders’ equity section of the Consolidated Balance Sheets. As of December 31, 2022, these interest rate swaps were determined to be highly effective hedges of interest rate cash flow risk. Amounts accumulated in Other comprehensive income are reclassified as Interest expense, net when the related interest payments (that is, the hedged forecasted transactions), and amortization related to the swap buyouts, affect earnings. Interest (income)/expense related to payments under the active swap agreements totaled $0.5 million in 2022, $7.1 million in 2021 and $5.4 million in 2020. Additionally, non-cash interest income related to the amortization of swap buyouts totaled $0.0 million in 2022, $0.3 million in 2021, and $1.4 million in 2020. We operate our business in many regions of the world, and currency rate movements can have a significant effect on operating results. 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 assets and Accounts payable, as applicable. Changes in fair value of these instruments are recorded as gains or losses within Other (income)/expense, 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 mitigate 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. (Gains)/losses related to changes in fair value of derivative instruments that were recognized in Other (income)/expense, net in the Consolidated Statements of Income were as follows: (in thousands) 2022 2021 2020 Derivatives not designated as hedging instruments Foreign currency options (gains)/losses $ (509) 169 64 |
Other Noncurrent Liabilities
Other Noncurrent Liabilities | 12 Months Ended |
Dec. 31, 2022 | |
Other Liabilities Disclosure [Abstract] | |
Other Noncurrent Liabilities | 19. Other Noncurrent Liabilities As of December 31, 2022 and 2021, Other Noncurrent Liabilities consisted of the following: (in thousands) 2022 2021 Operating leases $ 50,190 $ 11,001 Finance leases — 14,515 Postretirement benefits other than pensions 31,998 41,257 Pension liabilities 23,061 30,850 Interest rate swap agreements — 5,176 Incentive and deferred compensation 1,395 3,257 Other 2,114 1,738 Total $ 108,758 $ 107,794 |
Leases
Leases | 12 Months Ended |
Dec. 31, 2022 | |
Lessee Disclosure [Abstract] | |
Leases | Leases We are generally the lessee in our lease transactions. Lessees are required to recognize a lease liability and a right of use (ROU) asset for leases with terms greater than 12 months, in accordance with the practical expedient that is available for ongoing accounting. ROU assets represent the right to use an underlying asset for the lease term and lease liabilities represent an obligation to make lease payments arising from the lease. Operating lease ROU assets and liabilities are recognized on the commencement date based on the present value of lease payments over the lease term, using the rate implicit in the lease. If that rate is not readily determinable, the rate is based on the Company’s incremental borrowing rate. The operating lease ROU asset also includes any lease payments made and excludes lease incentives. Our lease terms may include options to extend or terminate the lease. Our ROU assets include the values associated with the additional periods when it is reasonably certain that we will exercise the option. We review the carrying value of ROU assets for impairment whenever events and circumstances indicate that the carrying value of an asset group may not be recoverable from the estimated future cash flows expected to result from its use and eventual disposition. We have entered into operating and finance leases for offices, manufacturing facilities, warehouses, vehicles, and certain equipment. Our leases have remaining lease terms of 1 year to 12 years, some of which include options to extend the leases for up to 10 years, and some of which include options to terminate the leases within 1 year. The components of lease expense were as follows: For the years ended (in thousands) December 31, 2022 December 31, 2021 December 31, 2020 Finance lease Amortization of right-of-use asset $ 416 $ 997 $ 1,056 Interest on lease liabilities 529 1,353 1,475 Operating lease Fixed lease cost 6,036 5,283 5,448 Variable lease cost 438 (259) 314 Short-term lease cost 1,025 1,037 996 Total lease expense $ 8,444 $ 8,411 $ 9,289 Supplemental cash flow information related to leases was as follows: For the years ended (in thousands) December 31, 2022 December 31, 2021 December 31, 2020 Cash paid for amounts included in the measurement of lease liabilities: Operating cash outflows from operating leases $ 6,612 $ 5,233 $ 5,300 Operating cash outflows from finance leases 529 1,353 1,475 Financing cash outflows from finance leases 654 1,438 7,214 Right-of-use assets obtained in exchange for lease obligations: Operating leases $ 38,559 $ 2,189 $ 4,017 Finance leases — — — The initial recognition of each ROU asset and lease liability at lease commencement is a noncash transaction that is excluded from amounts reported in the Consolidated Statements of Cash Flows. In 2022, the Company extended the lease of its primary manufacturing facility in Salt Lake City, Utah, which resulted in a lease classification change from Finance to Operating and included a non-cash increase of $37.1 million to both Other assets and to Other noncurrent liabilities in the Consolidated Balance Sheets. Due to the non-cash nature of the transaction, those increases are excluded from amounts reported in the Consolidated Statements of Cash Flows. Supplemental balance sheet information related to leases was as follows: (in thousands) December 31, 2022 December 31, 2021 Operating leases Right of use assets included in Other assets $ 48,475 $ 14,366 Lease liabilities included in Accrued liabilities $ 5,929 $ 3,730 Other noncurrent liabilities 50,190 11,001 Total operating lease liabilities $ 56,119 $ 14,731 Finance leases Right-of-use assets included in Property, plant and equipment, net $ — $ 7,979 Lease liabilities included in Accrued liabilities $ — $ 1,606 Other noncurrent liabilities — 14,515 Total finance lease liabilities $ — $ 16,121 Additional information for leases existing at December 31, 2022 and 2021 was as follows: December 31, 2022 December 31, 2021 Weighted average remaining lease term Operating leases 11 years 6 years Finance leases 0 years 8 years Weighted average discount rate Operating leases 5.3 % 4.4 % Finance leases — 8.0 % Maturities of lease liabilities as of December 31, 2022 were as follows: (in thousands) Operating leases Year ending December 31, 2023 $ 8,734 2024 7,586 2025 6,970 2026 6,985 2027 6,775 Thereafter 36,834 Total lease payments 73,884 Less imputed interest (17,765) Total $ 56,119 Maturities of lease liabilities as of December 31, 2021 were as follows: (in thousands) Operating leases Finance leases Year ending December 31, 2022 $ 4,737 $ 2,838 2023 3,412 3,004 2024 2,199 3,004 2025 1,801 3,004 2026 1,782 3,004 Thereafter 2,789 6,501 Total lease payments 16,720 21,355 Less imputed interest (1,989) (5,234) Total $ 14,731 $ 16,121 |
Leases | Leases We are generally the lessee in our lease transactions. Lessees are required to recognize a lease liability and a right of use (ROU) asset for leases with terms greater than 12 months, in accordance with the practical expedient that is available for ongoing accounting. ROU assets represent the right to use an underlying asset for the lease term and lease liabilities represent an obligation to make lease payments arising from the lease. Operating lease ROU assets and liabilities are recognized on the commencement date based on the present value of lease payments over the lease term, using the rate implicit in the lease. If that rate is not readily determinable, the rate is based on the Company’s incremental borrowing rate. The operating lease ROU asset also includes any lease payments made and excludes lease incentives. Our lease terms may include options to extend or terminate the lease. Our ROU assets include the values associated with the additional periods when it is reasonably certain that we will exercise the option. We review the carrying value of ROU assets for impairment whenever events and circumstances indicate that the carrying value of an asset group may not be recoverable from the estimated future cash flows expected to result from its use and eventual disposition. We have entered into operating and finance leases for offices, manufacturing facilities, warehouses, vehicles, and certain equipment. Our leases have remaining lease terms of 1 year to 12 years, some of which include options to extend the leases for up to 10 years, and some of which include options to terminate the leases within 1 year. The components of lease expense were as follows: For the years ended (in thousands) December 31, 2022 December 31, 2021 December 31, 2020 Finance lease Amortization of right-of-use asset $ 416 $ 997 $ 1,056 Interest on lease liabilities 529 1,353 1,475 Operating lease Fixed lease cost 6,036 5,283 5,448 Variable lease cost 438 (259) 314 Short-term lease cost 1,025 1,037 996 Total lease expense $ 8,444 $ 8,411 $ 9,289 Supplemental cash flow information related to leases was as follows: For the years ended (in thousands) December 31, 2022 December 31, 2021 December 31, 2020 Cash paid for amounts included in the measurement of lease liabilities: Operating cash outflows from operating leases $ 6,612 $ 5,233 $ 5,300 Operating cash outflows from finance leases 529 1,353 1,475 Financing cash outflows from finance leases 654 1,438 7,214 Right-of-use assets obtained in exchange for lease obligations: Operating leases $ 38,559 $ 2,189 $ 4,017 Finance leases — — — The initial recognition of each ROU asset and lease liability at lease commencement is a noncash transaction that is excluded from amounts reported in the Consolidated Statements of Cash Flows. In 2022, the Company extended the lease of its primary manufacturing facility in Salt Lake City, Utah, which resulted in a lease classification change from Finance to Operating and included a non-cash increase of $37.1 million to both Other assets and to Other noncurrent liabilities in the Consolidated Balance Sheets. Due to the non-cash nature of the transaction, those increases are excluded from amounts reported in the Consolidated Statements of Cash Flows. Supplemental balance sheet information related to leases was as follows: (in thousands) December 31, 2022 December 31, 2021 Operating leases Right of use assets included in Other assets $ 48,475 $ 14,366 Lease liabilities included in Accrued liabilities $ 5,929 $ 3,730 Other noncurrent liabilities 50,190 11,001 Total operating lease liabilities $ 56,119 $ 14,731 Finance leases Right-of-use assets included in Property, plant and equipment, net $ — $ 7,979 Lease liabilities included in Accrued liabilities $ — $ 1,606 Other noncurrent liabilities — 14,515 Total finance lease liabilities $ — $ 16,121 Additional information for leases existing at December 31, 2022 and 2021 was as follows: December 31, 2022 December 31, 2021 Weighted average remaining lease term Operating leases 11 years 6 years Finance leases 0 years 8 years Weighted average discount rate Operating leases 5.3 % 4.4 % Finance leases — 8.0 % Maturities of lease liabilities as of December 31, 2022 were as follows: (in thousands) Operating leases Year ending December 31, 2023 $ 8,734 2024 7,586 2025 6,970 2026 6,985 2027 6,775 Thereafter 36,834 Total lease payments 73,884 Less imputed interest (17,765) Total $ 56,119 Maturities of lease liabilities as of December 31, 2021 were as follows: (in thousands) Operating leases Finance leases Year ending December 31, 2022 $ 4,737 $ 2,838 2023 3,412 3,004 2024 2,199 3,004 2025 1,801 3,004 2026 1,782 3,004 Thereafter 2,789 6,501 Total lease payments 16,720 21,355 Less imputed interest (1,989) (5,234) Total $ 14,731 $ 16,121 |
Commitments and Contingencies
Commitments and Contingencies | 12 Months Ended |
Dec. 31, 2022 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | Commitments and 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 paper machine clothing synthetic dryer fabrics marketed during the period from 1967 to 1976 and used in certain paper mills. We were defending 3,598 claims as of December 31, 2022. 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 December 31, Opening Number of Claims Claims Dismissed, Settled, or New Claims Closing Number of Claims Amounts Paid (thousands) to 2020 3,708 152 59 3,615 $57 2021 3,615 32 26 3,609 93 2022 3,609 43 32 3,598 $125 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. Due to the fact that information sufficient to meaningfully estimate a range of possible loss of a particular claim is typically not available until late in the discovery process, we do not believe a meaningful estimate can be made regarding the range of possible loss with respect to pending or future claims and therefore are unable to estimate a range of reasonably possible loss in excess of amounts already accrued for 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 insurance carrier has defended each case and funded settlements under a standard reservation of rights. As of December 31, 2022 we had resolved, by means of settlement or dismissal, 38,022 claims. The total cost of resolving all claims was $10.6 million. Of this amount, almost 100% was paid by our insurance carrier, who has confirmed that we have approximately $140 million of remaining coverage under primary and excess policies that should be available with respect to current and future asbestos claims. 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, the trends in claims filed against us, and available insurance, we also do not currently anticipate that potential future claims will have a material adverse effect on our financial position, results of operations, or cash flows. |
Incentive Plans
Incentive Plans | 12 Months Ended |
Dec. 31, 2022 | |
Share-Based Payment Arrangement [Abstract] | |
Incentive Plans | Incentive Plans We have incentive compensation plans that authorize the issuance of stock-based awards for key employees, which are designed to reward short and long-term contributions and provide incentives for recipients to remain with the Company. We issue stock-based awards in the form of restricted stock units and performance stock units that generally vest between one The Albany International 2017 Incentive Plan provides key members of management with incentive compensation based on achieving certain performance or service measures. Awards can be paid in cash, shares of Class A Common Stock, Options, or other stock-based or incentive compensation awards pursuant to the Plan. Participants may elect to receive shares net of applicable income taxes. Annual awards granted under this plan resulted in cash payments of $4.5 million in 2022 and $3.1 million in 2021 as a result of performance in the preceding year. The Compensation Committee granted the executive management team a multi-year incentive compensation award in each of 2020, 2021 and 2022. Each of these awards vests over three years from the grant date, and the extent of payout is dependent upon the achievement of certain performance metrics during the vesting period, as defined by the Compensation Committee. Payout is scheduled to occur no later than 90 days after the end of the vesting period. If a participant terminates employment prior to the award becoming fully vested, the person may forfeit all or a portion of the incentive compensation award. The grant date share price is determined when the awards are approved each year and that price is used to measure the cost for the share-based portion of an award. Expense associated with these awards is recognized over the vesting period. In connection with these awards, we recognized expense of $3.9 million in 2022, $3.7 million in 2021 and $4.8 million in 2020. The net impact to earnings for the respective years was $2.7 million, $2.6 million, and $3.4 million. Based on current estimates of achievement of certain performance metrics, we anticipate recognizing $1.2 million of expense in 2022 and $0.3 million of expense in 2023 and 2024, respectively. Beginning in 2021, the executive management team also receives restricted stock units that vest annually on December 31 and pay out no later than 90 days after the vesting period ends. The grant date share price is the date when the award is approved by the Compensation Committee and is used to measure the cost of the award. We recognized $1.5 million of expense in 2022 associated with these restricted stock units. The net impact to earnings was $1.0 million. As of December 31, 2022, there were 860,629 shares of Company stock authorized for the payment of awards under these plans. Information with respect to these plans is presented below: Number of shares Weighted average grant date value Year-end intrinsic value Shares potentially payable at January 1, 2020 81,712 $ 65.06 $ 5,316 Forfeitures — Payments (20,680) $ 47.35 Shares accrued based on 2020 performance 36,808 $ 73.43 Shares potentially payable at December 31, 2020 97,840 $ 71.95 $ 7,040 Forfeitures — Payments (31,722) $ 66.25 Shares accrued based on 2021 performance 41,512 $ 78.06 Shares potentially payable at December 31, 2021 107,630 $ 75.99 $ 8,179 Forfeitures — Payments (35,897) $ 84.27 Shares accrued based on 2022 performance 64,208 $ 86.00 Shares potentially payable at December 31, 2022 135,941 $ 79.11 $ 10,754 In 2012, the Company adopted a Phantom Stock Plan ("PSP") whereby awards under this program vest over a 5 year period and are paid annually in cash based on current market prices of the Company’s stock. Under this program, employees may earn more or less than the target award based on the Company’s results in the year of the award. Expense recognized for this plan amounted to $8.6 million in 2022, $6.6 million in 2021, and $5.4 million in 2020. The net impact to earnings for the respective years was $6.0 million, $4.6 million, and $3.9 million. Based on awards outstanding at December 31, 2022, we expect to record approximately $16 million of compensation cost from 2023 to 2026. The weighted average period for recognition of that cost is approximately 2 years. The determination of compensation expense for the PSP is based on the number of outstanding share units, the end-of-period share price, and Company performance. Information with respect to the PSP is presented below: Number of shares Weighted average value per Cash paid for share based Share units potentially payable at January 1, 2020 215,072 Grants 63,104 Changes due to performance 27,921 Payments (80,808) $ 73.04 $ 5,848 Forfeitures (11,441) Share units potentially payable at December 31, 2020 213,848 Grants 56,536 Changes due to performance 52,296 Payments (68,622) $ 74.22 $ 5,093 Forfeitures (5,644) Share units potentially payable at December 31, 2021 248,414 Grants 49,863 Changes due to performance 34,539 Payments (81,421) $ 85.69 $ 6,977 Forfeitures (24,644) Share units potentially payable at December 31, 2022 226,751 During 2020, 2021 and 2022, the Company granted restricted stock units to executives. The amount of compensation expense is subject to change in the market price of the Company’s stock and was recorded in Selling, general, and administrative expenses. The vesting and payments due under these grants will occur in various periods from 2020 to 2024. Expense recognized for these grants was $1.5 million in 2022, $0.6 million in 2021, and $0.4 million in 2020. The net impact to earnings for the respective years was $1.0 million, $0.4 million, and $0.3 million. Based on awards outstanding at December 31, 2022, we expect to record approximately $1.0 million of compensation cost during 2023. The Company maintains a voluntary savings plan covering substantially all employees in the United States. The Plan, known as the Prosperity Plus Savings Plan, is a qualified plan under section 401(k) of the U.S. Internal Revenue Code. The Company matches, in the form of cash, between 50 percent and 100 percent of employee contributions up to a defined maximum. The investment of employee contributions to the plan is self-directed. The Company’s cost of the plan amounted to $6.6 million in 2022, $6.2 million in 2021, and $6.5 million in 2020. The Company’s profit-sharing plan covers substantially all employees in the United States. After the close of each year, the Board of Directors reviews and approves the amount of the profit-sharing contribution. Company contributions to the plan are in the form of cash. The expense recorded for this plan was $4.6 million in 2022, $4.8 million in 2021, and $3.6 million in 2020. |
Shareholders' Equity
Shareholders' Equity | 12 Months Ended |
Dec. 31, 2022 | |
Stockholders' Equity Note [Abstract] | |
Shareholders' Equity | Shareholders’ Equity We have two classes of Common Stock, Class A Common Stock and Class B Common Stock, each with a par value of $0.001 and equal liquidation rights. Each share of our Class A Common Stock is entitled to one vote on all matters submitted to shareholders, and each share of Class B Common Stock is entitled to 10 votes. Class A and Class B Common Stock will receive equal dividends as the Board of Directors may determine from time to time. The Class B Common Stock is convertible into an equal number of shares of Class A Common Stock at any time. As of December 31, 2022, there were no Class B Common Stock outstanding nor any were anticipated to be issued. In 2019, a public offering of a portion of the Standish Family shares reduced the number of Class A Common Stock reserved for the conversion of Class B shares, by 1.6 million. In 2021, Standish Family Holdings, LLC and J.S. Standish Company (the "Selling Stockholders") agreed to sell to J.P. Morgan Securities LLC all of its ownership in the Company's Class A common stock. Such constituted a sale of nearly all of the remaining 1.6 million shares of the Company’s Class A Common Stock, par value $0.001 per share, to be issued upon conversion of an equal number of shares of the Company’s Class B common stock, par value $0.001 per share, at a price per share of $75.9656 (the "Transaction"). Immediately following the Transaction, the Selling Stockholders and related persons (including Christine L. Standish and John C. Standish) hold in the aggregate shares of the Company’s common stock entitling them to cast less than one percent of the combined votes entitled to be cast by all stockholders of the Company. In 2021, the Company's Board of Directors authorized the Company to repurchase shares of up to $200 million through open market purchases, privately negotiated transactions or otherwise, and to determine the prices, times and amounts. The program does not obligate the Company to acquire any particular amount of common stock, and it may be suspended or terminated at any time at the Company's discretion. The share repurchase program does not have an expiration date. The timing and amount of any share repurchases will be based on the Company’s liquidity, general business and market conditions, debt covenant restrictions and other factors, including alternative investment opportunities and capital structure. As of December 31, 2022, the Company has repurchased in total 1,308,003 shares for a total cost of $109.4 million. Of this, 1,022,717 shares were purchased in 2022 for $85.1 million and 285,286 shares were purchased in 2021 for $24.4 million. Activity in Shareholders’ equity for 2020, 2021, and 2022 is presented below: (in thousands) Class A Common Stock Class B Common Stock Additional paid-in capital Retained earnings Accumulated items of other Class A Treasury Stock Noncontrolling Interest Total Equity Shares Amount Shares Amount Shares Amount January 1, 2020 39,099 $ 39 1,618 $ 2 $ 432,518 $ 698,496 $ (175,981) 8,409 $ (256,391) $ 4,006 $ 702,689 Net income — — — — — 98,589 — — — (1,346) 97,243 Adoption of accounting standards (a) — — — — — (1,443) — — — — (1,443) Compensation and benefits paid or payable in shares 13 — — — 622 — — — — — 622 Options exercised 3 — — — 55 — — — — — 55 Shares issued to Directors' — — — — 501 — — (18) 382 — 883 Dividends declared Class A Common Stock, $0.77 per share — — — — — (23,651) — — — — (23,651) Class B Common Stock, $0.77 per share — — — — — (1,245) — — — — (1,245) Cumulative translation adjustments — — — — — — 39,649 — — 1,139 40,788 Pension and postretirement liability adjustments — — — — — — 10,333 — — — 10,333 (in thousands) Class A Common Stock Class B Common Stock Additional paid-in capital Retained earnings Accumulated items of other Class A Treasury Stock Noncontrolling Interest Total Equity Shares Amount Shares Amount Shares Amount Derivative valuation adjustment — — — — — — (6,409) — — — (6,409) December 31, 2020 39,115 $ 39 1,618 $ 2 $ 433,696 $ 770,746 $ (132,408) 8,391 $ (256,009) $ 3,799 $ 819,865 Net income — — — — — 118,478 — — — 290 118,768 Compensation and benefits paid or payable in shares 20 — — — 2,441 — — — — — 2,441 Options exercised 7 — — — 153 — — — — — 153 Shares issued to Directors' — — — — 706 — — (11) 241 — 947 Purchase of Treasury shares (b) — — — — — — — 285 (24,375) — (24,375) Class A Common Stock, $0.81 per share — — — — — (25,520) — — — — (25,520) Class B Common Stock, $0.81 per share — — — — — (647) — — — — (647) Conversion of Class B shares to Class A shares (c) 1,618 2 (1,618) (2) — — — — — — — Cumulative translation adjustments — — — — — — (22,677) — — (451) (23,128) Pension and postretirement liability adjustments — — — — — — 1,171 — — — 1,171 Derivative valuation adjustment — — — — — — 7,930 — — — 7,930 December 31, 2021 40,760 $ 41 — $ — $ 436,996 $ 863,057 $ (145,984) 8,665 $ (280,143) $ 3,638 $ 877,605 Net income — — — — — 95,762 — — — 746 96,508 Compensation and benefits paid or payable in shares 24 — — — 3,727 — — — — — 3,727 Options exercised 1 — — — 17 — — — — — 17 Shares issued to Directors' — — — — 800 — — (13) 285 — 1,085 Purchase of Treasury shares (d) — — — — — — — 1,023 (85,065) — (85,065) Dividends declared Class A Common Stock, $0.88 per share — — — — — (27,501) — — — — (27,501) Cumulative translation adjustments — — — — — — (40,971) — — 110 (40,861) Pension and postretirement liability adjustments — — — — — — (3,491) — — — (3,491) Settlement of certain pension liabilities — — — — — — 26,198 — — — 26,198 (in thousands) Class A Common Stock Class B Common Stock Additional paid-in capital Retained earnings Accumulated items of other Class A Treasury Stock Noncontrolling Interest Total Equity Shares Amount Shares Amount Shares Amount Derivative valuation adjustment — — — — — — 19,321 — — — 19,321 December 31, 2022 40,785 $ 41 — $ — $ 441,540 $ 931,318 $ (144,927) 9,675 $ (364,923) $ 4,494 $ 867,543 (a) As described in Note 1, the Company adopted the provisions of ASC 326, Current expected credit losses (CECL) effective January 1, 2020, which resulted in a decrease to Retained earnings of $1.4 million. (b) On October 25, 2021, the Company's Board of Directors authorized the Company to repurchase shares of up to $200 million through open market purchases, privately negotiated transactions or otherwise, and to determine the prices, times and amounts. In 2021, the Company repurchased 285,286 shares totaling $24.4 million. (c) In the third and fourth quarters of 2021, Standish Family Holdings, LLC executed a secondary offering of Albany shares. As a result of the offerings, 1.6 million shares of Class B Common Stock previously owned by Standish Family Holdings, LLC were converted to Class A Common Stock and then sold to third parties. Costs associated with the offering were charged directly to Standish Family Holdings, LLC. |
VALUATION AND QUALIFYING ACCOUN
VALUATION AND QUALIFYING ACCOUNTS | 12 Months Ended |
Dec. 31, 2022 | |
SEC Schedule, 12-09, Valuation and Qualifying Accounts [Abstract] | |
VALUATION AND QUALIFYING ACCOUNTS | SCHEDULE II ALBANY INTERNATIONAL CORP. AND SUBSIDIARIES VALUATION AND QUALIFYING ACCOUNTS (Dollars in thousands) Column A Column B Column C Column D Column E Description Balance at beginning of period Charge to expense Other (a) Balance at end of the period Allowance for doubtful accounts Year ended December 31: 2022 $ 3,248 $ 1,408 $ (672) $ 3,984 2021 5,140 (1,299) (593) 3,248 2020 (b) 1,719 1,628 1,793 5,140 Allowance for sales returns Year ended December 31: 2022 $ 9,552 $ 6,130 $ (6,612) $ 9,070 2021 9,668 6,022 (6,138) 9,552 2020 11,249 3,199 (4,780) 9,668 Valuation allowance deferred tax assets Year ended December 31: 2022 $ 10,659 $ (839) $ (34) $ 9,786 2021 10,270 $ 949 $ (560) 10,659 2020 9,102 391 777 10,270 __________________________ (a) Amounts sold, written off, or recovered, and the effect of changes in currency translation rates, are included in Column D. 2020 includes $1.8 million transition adjustment related to the adoption of ASC 326. (b) Beginning in 2020, Allowance for doubtful accounts includes valuation accounts established for contract assets and noncurrent receivables as a result of the adoption of ASC 326. See Notes 11 and 12 for details. |
Accounting Policies (Policies)
Accounting Policies (Policies) | 12 Months Ended |
Dec. 31, 2022 | |
Accounting Policies [Abstract] | |
Basis of Consolidation | Basis of Consolidation The consolidated financial statements include the accounts of Albany International Corp. and its subsidiaries (the Company, Albany, we, us, or our) after elimination of intercompany transactions. A subsidiary within our Machine Clothing segment has held a 50 percent interest as partner in a joint venture (“JV”) that supplies paper machine clothing products to local papermakers in Russia. Our consolidated financial statements include our original investment in the entity, plus our share of undistributed earnings or losses, in the account “Other Assets.” In March 2022, we made the decision to cease doing business in Russia, including giving notice to our JV partner of our intent to exit the venture, resulting in our full write-off of the net book value of our investment. The Company owns 90 percent of the common equity of Albany Safran Composites, LLC (ASC) which is reported within the Albany Engineered Composites (AEC) segment. Additional information regarding that entity is included in Note 10. |
Estimates | Estimates The preparation of the consolidated financial statements in conformity with accounting principles generally accepted in the United States of America requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the consolidated financial statements and the reported amounts of revenues and expenses during the reporting period. Estimates are used in the accounting for, among others, revenue recognition, contract profitability, allowances for doubtful accounts, rebates and sales allowances, inventory allowances, financial instruments, including derivatives, pension and other postretirement benefits, goodwill and intangible assets, contingencies, income taxes, and other accruals. Our estimates are based on historical experience and on various other assumptions, which are believed to be reasonable under the circumstances. Due to the inherent uncertainty involved in making estimates, actual results reported in future periods may differ from those estimates. Estimates and assumptions are reviewed periodically, and the effects of any revisions are reflected in the consolidated financial statements in the period they are determined to be necessary. |
Revenue Recognition | Revenue Recognition In our Machine Clothing (MC) business segment, we recognize revenue at the point in time when we satisfy our performance obligations related to the manufacture and delivery of products. In our Albany Engineered Composites (AEC) business segment, revenue from most long-term contracts is recognized over time using an input method as the measure of progress. The classification of revenue in excess of progress billings on long-term contracts is included in Contract assets, net, which are rights to consideration that are conditional on something other than the passage of time, such as completion of remaining performance obligations. We are required to limit our estimate of contract values to the period of the legally enforceable contract. While certain contracts are expected to be profitable over the course of the program life when including expected renewals, our estimate of contract revenues and costs is limited to the estimated value of enforceable rights and obligations, excluding anticipated renewals. This contract period may result in a loss contract provision at contract inception. Expected losses on projects include losses on contract options that are probable of exercise, excluding profitable options that often follow. For contracts with anticipated losses, a provision for the entire amount of the estimated remaining loss is charged against income in the period in which the loss becomes known. Contract losses are determined considering all direct and indirect contract costs, exclusive of any selling, general or administrative cost allocations, which are treated as period expenses. Products and services provided under long-term contracts represent a significant portion of sales in the Albany Engineered Composites segment. We have a contract with a major customer for which revenue is recognized under a cost-plus-fee agreement. We also have fixed price long-term contracts, for which we use the percentage of completion (incurred cost to total estimated cost) method. That method requires significant judgment and estimation, which could be considerably different if the underlying circumstances were to change. When adjustments in estimated contract revenues or costs are required, any changes from prior estimates are included in earnings in the period the change occurs. The sum of net adjustments to the estimated profitability of long-term contracts increased AEC operating income by $0.5 million, $6.2 million and $9.9 million in 2022, 2021 and 2020, respectively. The favorable effects in 2021 and 2020 were largely due to changes in customer demand and to a lesser extent, efficiency improvements during the ramp-up of several programs, and the effects in 2022 were more muted. Additional accounting policies related to revenue from contracts with customers are set forth in Note 2. We limit the concentration of credit risk in receivables by closely monitoring credit and collection policies. We record allowances for sales returns as a deduction in the computation of net sales. Such provisions are recorded on the basis of written communication with customers and/or historical experience. Any value added taxes that are imposed on sales transactions are excluded from net sales. |
Cost of Goods Sold | Cost of Goods Sold Cost of goods sold includes the cost of materials, provisions for obsolete inventories, labor and supplies, shipping and handling costs, depreciation of manufacturing facilities and equipment, purchasing, receiving, warehousing, and other expenses. Cost of goods sold also includes provisions for loss contracts and charges for the write-off of inventories that result from an exit activity. |
Selling, General, Administrative, Technical, and Research Expenses | Selling, General, Administrative, Technical, and Research Expenses Selling, general, administrative, and technical expenses are primarily comprised of wages, incentive compensation, benefits, travel, professional fees, revaluation of trade foreign currency balances, and other costs, and are expensed as incurred. Selling expense includes costs related to contract acquisition and provisions for expected credit losses on financial assets measured at amortized cost. Research expenses are charged to operations as incurred and consist primarily of compensation, supplies, and professional fees incurred in connection with intellectual property. Total company research expense was $31.4 million in 2022, $29.6 million in 2021, and $25.8 million in 2020. The Albany Engineered Composites segment participates in both company-sponsored, and customer-funded research and development. Some customer-funded research and development may be on a cost-sharing basis and considered to be a collaborative arrangement, in which case both parties are active participants and are exposed to the risks and rewards dependent on the success of the activity. In such cases, amounts charged to the collaborating entity are credited against research and development expense. For customer-funded research and development in which we anticipate funding to exceed expenses, we include amounts charged to the customer in Net sales, while expenses are included in Cost of goods sold. |
Restructuring Expense | Restructuring Expense We may incur expenses related to exiting a line of business or restructuring of our operations, which could include employee termination costs, costs to consolidate or close facilities, or costs to terminate contractual relationships. Restructuring expenses may also include impairment of Property, plant and equipment, as described below under “Property, Plant and Equipment”. Employee termination costs include severance pay and social costs for periods after employee service is completed. Termination costs related to an ongoing benefit arrangement are recognized when the amount becomes probable and estimable. Termination costs related to a one-time benefit arrangement are recognized at the communication date to employees. Costs related to contract termination, relocation of employees, outplacement and the consolidation or the closure of facilities, are recognized when incurred. |
Income Taxes | Income Taxes Deferred income taxes are recognized for the tax consequences of temporary differences and tax attributes by applying enacted statutory tax rates applicable for future years to differences between existing assets and liabilities for financial reporting and income tax return purposes. The effect of tax rate changes on deferred taxes is recognized in the income tax provision in the period that includes the enactment date. A valuation allowance is established, as needed, to reduce net deferred tax assets to the amount expected to be realized. In the event it becomes more likely than not that some or all of the deferred tax asset valuation allowances will not be needed, the valuation allowance will be adjusted. In the ordinary course of business there is inherent uncertainty in quantifying our income tax positions. We assess our income tax positions and record tax benefits for all years subject to examination based upon management’s evaluation of the facts, circumstances, and information available at the reporting date. For those tax positions where it is more likely than not that a tax benefit will be sustained, we have determined the amount of the tax benefit to be recognized by estimating the largest amount of tax benefit that has a greater than 50 percent likelihood of being realized upon ultimate settlement with a taxing authority that has full knowledge of all relevant information. For those income tax positions where it is not more-likely-than-not that a tax benefit will be sustained, no tax benefit has been recognized in the financial statements. Where applicable, associated interest and penalties have also been recognized. We recognize accrued interest and penalties related to unrecognized tax benefits as a component of income tax expense. |
Earnings Per Share | Earnings Per Share Basic net income or loss per share is computed using the weighted average number of shares of Class A Common Stock and Class B Common Stock outstanding during each year. Diluted net income per share includes the effect of all potentially dilutive securities. If we report a net loss from continuing operations, the diluted loss per share is equal to the basic earnings per share calculation. |
Translation of Financial Statements | Translation of Financial Statements Assets and liabilities of non-U.S. operations are translated at year-end rates of exchange, and the income statement accounts are translated at average monthly exchange rates. Gains or losses resulting from translating non-U.S. currency financial statements into U.S. dollars are recorded in other comprehensive income and accumulated in Shareholders’ equity in the caption “Translation adjustments”. |
Cash and Cash Equivalents | Cash and Cash Equivalents Cash and cash equivalents consist of cash and highly liquid short-term investments with original maturities of three months or less. |
Accounts Receivable | Accounts Receivable Accounts receivable includes trade receivables and bank promissory notes. In connection with certain sales in Asia Pacific, the Company accepts a bank promissory note as customer payment. The notes may be presented for payment at maturity, which is less than one year. Effective January 1, 2020, the Company adopted the provisions of ASC 326, Current Expected Credit Losses (CECL), using the effective date (or modified retrospective) approach for transition. Under this transition method, periods prior to 2020 were not restated. The pre-tax cumulative effect of initially applying the new standard was an increase in credit loss reserves of $1.8 million, primarily for Accounts receivable and Contract assets. Including tax effects, Retained earnings was reduced by $1.4 million as a result of transitioning to the CECL standard. The overarching purpose of the CECL standard is to provide greater transparency and understanding of the Company’s credit risk. This accounting update replaces the incurred loss impairment methodology under previous GAAP with a methodology that reflects expected credit losses and requires consideration of a broader range of reasonable and supportable information to inform credit loss estimates. Under this standard, the Company recognizes an allowance for expected credit losses on financial assets measured at amortized cost, such as Accounts receivable, Contract assets and Noncurrent receivables. The allowance is determined using a CECL model that is based on an historical average three-year loss rate and is measured by financial asset type on a collective (pool) basis when similar risk characteristics exist, at an amount equal to lifetime expected credit losses. The estimate reflects the risk of loss due to credit default, even when the risk is remote, and considers available relevant information about the collectability of cash flows, including information about past events, current conditions, and reasonable and supportable expected future economic conditions. The Company also has Noncurrent receivables in the AEC segment that represent revenue earned which have extended payment terms. The Noncurrent receivables are invoiced to the customer, with 2% interest, over a 10-year period that started in 2020. See additional information, including accounting policies related to our adoption of the CECL update, set forth in Notes 2 and 11. |
Contract Assets and Contract Liabilities | Contract Assets and Contract Liabilities Contract assets includes unbilled amounts typically resulting from sales under contracts when the cost-to-cost method of revenue recognition is utilized, and revenue recognized exceeds the amount billed to the customer. Contract assets are transferred to Accounts receivable, net, when the entitlement to payment becomes unconditional. Contract liabilities include advance payments and billings in excess of revenue recognized. Contract liabilities are included in Accrued liabilities in the Consolidated Balance Sheet. |
Inventories | Inventories Costs included in inventories are raw materials, labor, supplies and allocable depreciation and overhead. Raw materials inventory is valued on an average cost basis. Other inventory cost elements are valued at cost, using the first-in, first-out method. The Company writes down the inventories for estimated obsolescence, and to lower of cost or net realizable value based upon assumptions about future demand and market conditions. Write-downs of inventories are charged to Cost of goods sold. If actual demand or market conditions are less favorable than those projected by the Company, additional inventory write-downs may be required. Once established, the original cost of the inventory less the related write-down represents the new cost basis of such inventories. See additional information set forth in Notes 2 and 13. |
Leases | Leases We determine if an arrangement is a lease at inception. A contract is, or contains a lease if the contract conveys the right to control the use of an identified asset for a period of time in exchange for consideration. To assess whether a contract conveys the right to control the use of an identified asset, we assess whether: • The contract involves the use of an identified asset. This may be specified explicitly or implicitly, and should be physically distinct or represent substantially all of the capacity of a physically distinct asset, • The lessee has the right to obtain substantially all of the economic benefits from use of the asset throughout the period of use, and • The lessee has the right to direct the use of the asset, which is demonstrated when the lessee has decision-making rights that are most relevant to changing how and for what purpose the asset is used. Judgment is required in the determination of whether a contract contains a lease, the appropriate classification, allocation of consideration, and the determination of the discount rate for the lease. Key estimates and judgments include how the Company determines (1) the discount rate it uses to discount the unpaid lease payments to present value, (2) lease term and (3) lease payments. We have certain lease agreements with lease and non-lease components. For most of these leases, we account for the lease and non-lease components as a single lease component, in accordance with the practical expedient that is available for ongoing accounting. Additionally, for certain other leases, such as for vehicles, we apply a portfolio approach. Such new leases are classified as finance or operating, with classification affecting the pattern and classification of expense recognition in the income statement. Expenses related to operating leases are recognized on a straight-line basis, while those determined to be finance leases are recognized following a front-loaded expense profile, in which interest and amortization are presented separately in the income statement. Operating lease ROU assets are included in Other assets in the Consolidated Balance Sheets, while finance lease ROU assets are included in Property, plant, and equipment, net. Lease liabilities for both operating and finance leases are included in Accrued liabilities and Other noncurrent liabilities in the Consolidated Balance Sheets. See additional information set forth in Note 20. |
Property, Plant and Equipment | Property, Plant and Equipment Property, plant and equipment are recorded at cost, or if acquired as part of a business combination, at fair value. Depreciation is recorded using the straight-line method over the estimated useful lives of the assets for financial reporting purposes. In some cases, accelerated methods are used for income tax purposes. Significant additions or improvements extending assets’ useful lives are capitalized; normal maintenance and repair costs are expensed as incurred. The cost of fully depreciated assets remaining in use is included in the respective asset and accumulated depreciation accounts. When items are sold or retired, related gains or losses are included in net income. Computer software purchased for internal use, at cost, is amortized on a straight-line basis over five We capitalize internal and external costs incurred related to the software development stage. Capitalized salaries, travel, and consulting costs related to the software development were immaterial in 2022 and 2021. We review the carrying value of property, plant and equipment and other long-lived assets for impairment whenever events and circumstances indicate that the carrying value of an asset group may not be recoverable from the estimated future cash flows expected to result from its use and eventual disposition. See additional information set forth in Note 14. |
Goodwill, Intangibles, and Other Assets | Goodwill, Intangibles, and Other Assets The assets and liabilities of acquired businesses are recorded under the acquisition method of accounting at their estimated fair values at the date of acquisition.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. Intangible assets from acquired businesses are recognized at fair value on the acquisition date and consist of customer relationships, customer contracts, technology, intellectual property and other intangible assets. Goodwill and intangible assets with indefinite useful lives are not amortized, but are tested for impairment at least annually. We perform an impairment test of our goodwill at least annually in the second quarter or more frequently whenever events or changes in circumstances indicate the carrying value of goodwill may be impaired. Such events or changes in circumstances may include a significant deterioration in overall economic conditions, changes in the business climate of our industry, a decline in our market capitalization, operating performance indicators, competition, reorganizations of our business, or the disposal of all or a portion of a reporting unit. Our goodwill has been allocated to and is tested for impairment at a level referred to as the reporting unit, which is our business segment level or a level below the business segment. The level at which we test goodwill for impairment requires us to determine whether the operations below the business segment constitute a self-sustaining business for which discrete financial information is available and segment management regularly reviews the operating results. We may use qualitative or quantitative approaches when testing goodwill for impairment. When we use the qualitative approach, we perform a qualitative evaluation of events and circumstances impacting the reporting unit to determine the likelihood of goodwill impairment. Based on that qualitative evaluation, if we determine it is more likely than not that the fair value of a reporting unit exceeds its carrying amount, no further evaluation is necessary. Otherwise, we perform a quantitative impairment test. To perform the quantitative impairment test, we compare the fair value of a reporting unit to its carrying value, including goodwill. If the fair value of a reporting unit exceeds its carrying value, goodwill of the reporting unit is not impaired. If the carrying value of the reporting unit, including goodwill, exceeds its fair value, a goodwill impairment loss is recognized in an amount equal to that excess. 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. 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. 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. In the second quarter of 2022, management applied the qualitative assessment approach in performing its annual evaluation of goodwill for the Company's Machine Clothing reporting unit and two AEC reporting units and concluded that each reporting unit’s fair value continued to exceed its carrying value. In addition, there were no amounts at risk due to the estimated excess between the fair and carrying values. Accordingly, no impairment charges were recorded. Impairment assessments inherently involve management judgments regarding a number of assumptions such as those described above. Due to the many variables inherent in the estimation of a reporting unit’s fair value and the relative size of our recorded goodwill, differences in assumptions could have a material effect on the estimated fair value of one or more of our reporting units and could result in a goodwill impairment charge in a future period. See additional information set forth in Note 18. For some AEC contracts, we perform pre-production or nonrecurring engineering services. These costs are normally considered a fulfillment activity, rather than a performance obligation. Fulfillment activities that create resources that will be used in satisfying performance obligations in the future, and are expected to be recovered, are capitalized to Other assets, which is classified as a noncurrent asset in the Consolidated Balance Sheets. The capitalized costs are amortized into Cost of goods sold over the period over which the asset is expected to contribute to future cash flows, which includes anticipated renewal periods. |
Stock-Based Compensation | Stock-Based Compensation We have incentive compensation plans that authorize the issuance of stock-based awards for key employees, which are designed to reward short and long-term contributions and provide incentives for recipients to remain with the Company. We issue stock-based awards in the form of restricted stock units and performance stock units that generally vest between one and five years from the grant date and can be settled in cash or shares. Expenses associated with these awards are recognized over each respective vesting period. Liability based awards are settled in cash, while equity based awards are settled in stock. See additional information for stock-based compensation plans in Note 22. Unexercised options generally terminate twenty years after the date of grant for all plans, and must be exercised within ten years of retirement. We recognized no stock option expense during 2022, 2021, or 2020 and there are currently no remaining unvested options for which stock-option compensation costs will be recognized in future periods. No stock options have been granted since 2002. |
Derivatives | Derivatives We use derivatives from time to time to reduce potentially large adverse effects from changes in currency exchange rates and interest rates. We monitor our exposure to these risks and evaluate, on an ongoing basis, the risk of potentially large adverse effects versus the costs associated with hedging such risks. We may use interest rate swaps in the management of interest rate exposures and foreign currency derivatives in the management of foreign currency exposure related to assets and liabilities (including net investments in subsidiaries located outside the U.S.) denominated in foreign currencies. When we enter into a derivative contract, we make a determination whether the transaction is deemed to be a hedge for accounting purposes. For those contracts deemed to be a hedge, we formally document the relationship between the derivative instrument and the risk being hedged. In this documentation, we specifically identify the asset, liability, forecasted transaction, cash flow, or net investment that has been designated as the hedged item, and evaluate whether the derivative instrument is expected to reduce the risks associated with the hedged item. To the extent these criteria are not met, we do not use hedge accounting for the derivative. All derivative contracts are recorded at fair value, as a net asset or a net liability. Changes in the fair value of the hedge are recorded, net of tax, in other comprehensive income. For transactions that are designated as hedges, we perform an evaluation of the effectiveness of the hedge. We measure the effectiveness of hedging relationships both at inception and on an ongoing basis. The related gains and losses of derivative instruments, including those designated in hedge accounting relationships, are included as operating activities in the consolidated statements of cash flows. For derivatives that are designated and qualify as hedges of net investments in subsidiaries located outside the United States, changes in the fair value of derivatives are reported in other comprehensive income as part of Translation adjustments. |
Pension and Postretirement Benefit Plans | Pension and Postretirement Benefit Plans As described in Note 4, we have pension and postretirement benefit plans covering substantially all employees. Our Pension Plus Plan in the United States was settled during the third quarter of 2022.This was a qualified defined benefit pension plan that was previously terminated in the third quarter of 2021, and prior to that point was closed to new participants and had frozen accrual of benefits. We have liabilities for postretirement benefits in the U.S. and Canada. A majority of the liability relates to the U.S. plan. Effective January 2005, our postretirement benefit plan in the U.S. was closed to new participants, except for certain life insurance 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 and, in August 2013, we reduced the life insurance benefit for retirees and eliminated that benefit for active employees. The pension plans are generally trusteed or insured, and accrued amounts are funded as required in accordance with governing laws and regulations. The annual expense and liabilities recognized for defined benefit pension plans and postretirement benefit plans are developed from actuarial valuations. Inherent in these valuations are key assumptions, including discount rates and expected return on plan assets, which are updated on an annual basis. We consider current market conditions, including changes in interest rates, in making these assumptions. Discount rate assumptions are based on the population of plan participants and a mixture of high-quality fixed-income investments with durations that match expected future payments. The assumption for expected return on plan assets is based on historical and expected returns on various categories of plan assets. |
Government Grants | Government Grants The Company recognizes government grants only when there is reasonable assurance that we will comply with the conditions attached to them and the grants will be received. Government grants are recognized in the Consolidated Statements of Income on a systematic basis over the periods in which we recognize as expenses the related costs for which the grants are intended to compensate. A government grant that becomes receivable as compensation for expenses or losses already incurred or for the purpose of giving immediate financial support with no future related costs is recognized in the Consolidated Statements of Income of the period in which it becomes receivable. |
Subsequent Events | Subsequent Events We review for subsequent events up through the date when our consolidated financial statements are available for issuance. |
Accounting Policies (Tables)
Accounting Policies (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Accounting Policies [Abstract] | |
Schedule of Foreign Currency Transaction Gains and Losses | The following table summarizes foreign currency transaction gains and losses recognized in the income statement: (in thousands) 2022 2021 2020 (Gains)/losses included in: Selling, general, and administrative expenses $ (554) $ (263) $ 1,875 Other (income)/expense, net (9,996) (1,179) 13,569 Total transaction (gains)/losses $ (10,550) $ (1,442) $ 15,444 |
Schedule of Intercompany Foreign Currency Balances | The following table presents foreign currency gains on long-term intercompany loans that were recognized in Other comprehensive income: (in thousands) 2022 2021 2020 Loss/(gain), before tax, on long-term intercompany loan $ — $ (66) $ (4,985) |
Revenue Recognition (Tables)
Revenue Recognition (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Revenue Recognition [Abstract] | |
Schedule of Summary of Composition of Each Business Segment | The following table provides a summary of the composition of each business segment: Segment Reporting Unit Principal Product or Service Principal Locations Machine Clothing (MC) Machine Clothing Paper machine clothing: Permeable and impermeable belts used in the manufacture of paper, paperboard, tissue and towel, and pulp World-wide Albany Engineered Composites (AEC) Albany Safran Composites (ASC) Airframe and engine Components (Other AEC) 3D-woven, injected composite components for aircraft engines Rochester, NH Commercy, France Queretaro, Mexico |
Schedule of Disaggregate Revenue for Each Business Segment | The following table presents disaggregated revenue for each product group by timing of revenue recognition: For the year ended December 31, 2022 (in thousands) Point in Time Revenue Recognition Over Time Revenue Recognition Total Machine Clothing $ 605,863 $ 3,598 $ 609,461 Albany Engineered Composites ASC — 165,775 165,775 Other AEC 19,167 240,484 259,651 Total Albany Engineered Composites 19,167 406,259 425,426 Total revenue $ 625,030 $ 409,857 $ 1,034,887 For the year ended December 31, 2021 (in thousands) Point in Time Revenue Recognition Over Time Revenue Recognition Total Machine Clothing $ 615,556 $ 3,459 $ 619,015 Albany Engineered Composites ASC — 109,803 109,803 Other AEC 15,972 184,450 200,422 Total Albany Engineered Composites 15,972 294,253 310,225 Total revenue $ 631,528 $ 297,712 $ 929,240 For the year ended December 31, 2020 (in thousands) Point in Time Revenue Recognition Over Time Revenue Recognition Total Machine Clothing $ 569,563 $ 3,392 $ 572,955 Albany Engineered Composites ASC — 98,411 98,411 Other AEC 18,343 210,901 229,244 Total Albany Engineered Composites 18,343 309,312 327,655 Total revenue $ 587,906 $ 312,704 $ 900,610 |
Schedule of Disaggregate MC Segment Revenue by Significant Product or Service | The following table disaggregates MC segment revenue by significant product groupings (paper machine clothing (PMC) and engineered fabrics), and, for PMC, the geographical region to which the paper machine clothing was sold: For the year ended December 31, (in thousands) 2022 2021 2020 Americas PMC $ 321,170 $ 317,907 $ 297,490 Eurasia PMC 207,115 219,506 202,181 Engineered Fabrics 81,176 81,602 73,284 Total Machine Clothing Net sales $ 609,461 $ 619,015 $ 572,955 |
Reportable Segments and Geogr_2
Reportable Segments and Geographic Data (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Segment Reporting [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: (in thousands) 2022 2021 2020 Net Sales Machine Clothing $ 609,461 $ 619,015 $ 572,955 Albany Engineered Composites 425,426 310,225 327,655 Consolidated total $ 1,034,887 $ 929,240 $ 900,610 Depreciation and amortization Machine Clothing 19,483 20,191 20,304 Albany Engineered Composites 46,202 50,402 48,496 Corporate expenses 3,364 3,662 3,905 Consolidated total $ 69,049 $ 74,255 $ 72,705 Operating income/(loss) Machine Clothing 206,214 215,654 190,805 Albany Engineered Composites 31,579 16,160 31,536 Corporate expenses (56,771) (53,803) (56,261) Operating income $ 181,022 $ 178,011 $ 166,080 Reconciling items: Interest income (3,835) (2,500) (2,748) Interest expense 17,835 17,391 16,332 Pension settlement expense 49,128 — — AMJP grant — (5,832) — Other expense, net (14,086) 3,021 13,422 Income before income taxes $ 131,980 $ 165,931 $ 139,074 |
Schedule of Restructuring Costs by Reporting Segment | The table below presents restructuring costs by reportable segment (also see Note 5): (in thousands) 2022 2021 2020 Restructuring expenses, net Machine Clothing $ 92 $ 1,202 $ 2,746 Albany Engineered Composites — 32 2,821 Corporate expenses 14 97 169 Consolidated total $ 106 $ 1,331 $ 5,736 |
Schedule of Operating Assets and Capital Expenditures by Reporting Segment | The following table presents assets and capital expenditures by reportable segment: (in thousands) 2022 2021 2020 Segment assets Machine Clothing $ 455,390 $ 459,182 $ 443,476 Albany Engineered Composites 717,972 652,702 713,955 Reconciling items: Cash 291,776 302,036 241,316 Income taxes prepaid, receivable and deferred 23,134 28,334 44,697 Prepaid and Other assets 153,983 113,810 106,492 Consolidated total assets $ 1,642,255 $ 1,556,064 $ 1,549,936 Capital expenditures and purchased software Machine Clothing $ 20,093 $ 20,177 $ 15,792 Albany Engineered Composites 73,614 31,012 23,718 Corporate expenses 2,641 2,510 2,880 Consolidated total $ 96,348 $ 53,699 $ 42,390 |
Schedule of Financial Data by Geographic Area | The following table shows data by geographic area. Net sales are based on the location of the operation recording the final sale to the customer. Net sales recorded by our entity in Switzerland are derived from products sold throughout Europe and Asia, and are invoiced in various currencies. (in thousands) 2022 2021 2020 Net sales United States $ 586,779 $ 497,231 $ 503,473 Switzerland 119,069 128,698 128,328 France 76,826 68,929 55,914 Brazil 66,175 62,925 60,259 China 63,914 67,098 57,007 Mexico 58,519 37,547 39,859 Italy 20,074 21,523 12,424 Other countries 43,531 45,289 43,346 Consolidated total $ 1,034,887 $ 929,240 $ 900,610 Property, plant and equipment, at cost, net United States $ 278,500 $ 258,453 $ 263,201 Mexico 42,320 40,699 41,738 China 33,432 41,039 40,898 France 31,382 33,802 41,107 Canada 14,264 14,139 9,672 Sweden 11,388 12,355 12,109 United Kingdom 9,699 10,156 10,731 Germany 9,562 9,652 10,808 Other countries 15,111 16,122 18,290 Consolidated total $ 445,658 $ 436,417 $ 448,554 |
Pensions and Other Postretire_2
Pensions and Other Postretirement Benefit Plans (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Retirement Benefits [Abstract] | |
Schedule of Plan Benefit Obligations | The following table sets forth the plan benefit obligations: As of December 31, 2022 As of December 31, 2021 (in thousands) Pension plans Other postretirement benefits Pension plans Other postretirement benefits Benefit obligation, beginning of year $ 230,790 $ 44,884 $ 245,800 $ 47,977 Service cost 1,371 114 2,192 132 Interest cost 4,917 1,221 5,467 1,103 Plan participants' contributions 132 — 175 — Actuarial (gain)/loss (46,995) (6,658) (7,163) (995) Benefits paid (7,946) (3,234) (9,399) (3,338) Settlements and curtailments (90,568) — (3,694) — Plan amendments and other (25) (605) (122) — Foreign currency changes (7,946) (64) (2,466) 5 Benefit obligation, end of year $ 83,730 $ 35,658 $ 230,790 $ 44,884 Accumulated benefit obligation $ 78,153 $ — $ 223,320 $ — Weighted average assumptions used to determine benefit obligations, end of year: Discount rate — U.S. plan 5.49 % 5.55 % 2.63 % 2.83 % Discount rate — non-U.S. plans 5.15 % 5.20 % 2.41 % 3.05 % Cash balance interest crediting rate - Switzerland pension plan 2.15 % — 0.25 % — Compensation increase — U.S. plan N/A N/A — — Compensation increase — non-U.S. plans 3.08 % 2.75 % 2.70 % 2.75 % |
Schedule of Plan Assets | The following sets forth information about plan assets: As of December 31, 2022 As of December 31, 2021 (in thousands) Pension plans Other postretirement benefits Pension plans Other postretirement benefits Fair value of plan assets, beginning of year $ 225,327 $ — $ 239,051 $ — Actual return on plan assets, net of expenses (57,868) — (2,648) — Employer contributions 15,071 3,234 2,431 3,338 Plan participants' contributions 132 — 175 — Benefits paid (7,946) (3,234) (9,399) (3,338) Settlements (90,568) — (3,694) — Foreign currency changes (9,219) — (589) — Fair value of plan assets, end of year $ 74,929 $ — $ 225,327 $ — |
Schedule of Funded Status of Plans | The funded status of the plans was as follows: As of December 31, 2022 As of December 31, 2021 (in thousands) Pension plans Other postretirement benefits Pension plans Other postretirement benefits Fair value of plan assets $ 74,929 $ — $ 225,327 $ — Benefit obligation 83,730 35,658 230,790 44,884 Funded status $ (8,801) $ (35,658) $ (5,463) $ (44,884) Accrued benefit cost, end of year $ (8,801) $ (35,658) $ (5,463) $ (44,884) Amounts recognized in the consolidated balance sheet consist of the following: Noncurrent asset $ 16,234 $ — $ 32,504 $ — Current liability (1,974) (3,660) (7,116) (3,627) Noncurrent liability (23,061) (31,998) (30,851) (41,257) Net amount recognized $ (8,801) $ (35,658) $ (5,463) $ (44,884) Amounts recognized in accumulated other comprehensive income consist of: Net actuarial loss $ 17,915 $ 8,958 $ 52,138 $ 17,483 Prior service cost/(credit) (134) (4,574) 256 (8,458) Net amount recognized $ 17,781 $ 4,384 $ 52,394 $ 9,025 |
Schedule of Composition of Accrued Pension Cost | The composition of the net pension plan funded status as of December 31, 2022 was as follows: (in thousands) U.S. plan Non-U.S. plans Total Pension plans with pension assets $ — $ 16,234 $ 16,234 Pension plans without pension assets (4,161) (20,874) (25,035) Total $ (4,161) $ (4,640) $ (8,801) |
Schedule of Net Periodic Benefit Plan Cost | The composition of the net periodic benefit plan cost for the years ended December 31, 2022, 2021, and 2020, was as follows: Pension plans Other postretirement benefits (in thousands) 2022 2021 2020 2022 2021 2020 Components of net periodic benefit cost: Service cost $ 1,371 $ 2,192 $ 2,279 $ 114 $ 132 $ 200 Interest cost 4,917 5,467 6,172 1,221 1,103 1,712 Expected return on assets (5,979) (6,564) (6,853) — — — Amortization of prior service cost/(credit) (8) 13 14 (4,488) (4,488) (4,488) Amortization of net actuarial loss 1,377 2,365 2,412 1,883 2,260 2,592 Settlement 49,128 — 148 — — — Curtailment (gain)/loss — — 263 — — — Net periodic benefit cost $ 50,806 $ 3,473 $ 4,435 $ (1,270) $ (993) $ 16 Weighted average assumptions used to determine net cost: Discount rate — U.S. plan 2.63 % 2.65 % 3.40 % 2.83 % 2.38 % 3.27 % Discount rate — non-U.S. plans 2.41 % 1.91 % 2.31 % 3.05 % 2.75 % 3.05 % Cash balance interest crediting rate - Switzerland pension plan 0.25 % 0.05 % 0.25 % — — — Expected return on plan assets — U.S. plan 3.07 % 2.74 % 3.54 % — — — Expected return on plan assets — non-U.S. plans 3.31 % 2.89 % 3.45 % — — — Rate of compensation increase — U.S. plan — — — — — — % Rate of compensation increase — non-U.S. plans 2.70 % 2.71 % 2.81 % 2.75 % 2.75 % 3.00 % |
Schedule of (Gains)/Losses Recognized in Other Comprehensive Income | Pretax (gains)/losses on plan assets and benefit obligations recognized in other comprehensive income for the years ended December 31, 2022, 2021, and 2020, was as follows: Pension plans Other postretirement benefits (in thousands) 2022 2021 2020 2022 2021 2020 Settlements/curtailments $ (49,128) $ — $ (411) $ — $ — $ — Asset/liability loss/(gain) 16,828 1,927 (8,053) (6,658) (995) (4,794) Amortization of actuarial (loss) (1,377) (2,365) (2,412) (1,883) (2,260) (2,592) Amortization of prior service cost/(credit) 8 (13) (14) 3,884 4,488 4,488 Other — — (204) — — — Currency impact (944) (612) 670 15 2 3 Cost/(benefit) in Other comprehensive income $ (34,613) $ (1,063) $ (10,424) $ (4,642) $ 1,235 $ (2,895) |
Schedule of Fair Value of Plan Assets | As of December 31, 2022 and 2021, there were no investments expected to be sold at a value materially different than NAV. Assets at Fair Value as of December 31, 2022 (in thousands) Quoted prices in active markets Level 1 Significant other observable inputs Level 2 Significant Total Common Stocks and equity funds $ — $ — $ — $ — Debt securities — 1,003 — 1,003 Insurance contracts — — 2,418 2,418 Cash and short-term investments 548 — — 548 Total investments in the fair value hierarchy $ 548 $ 1,003 $ 2,418 3,969 Investments at net asset value: Common Stocks and equity funds 13,069 Fixed income funds 57,891 Limited partnerships — Total plan assets $ 74,929 Assets at Fair Value as of December 31, 2021 (in thousands) Quoted prices in active markets Level 1 Significant other observable inputs Level 2 Significant unobservable inputs Level 3 Total Common Stocks and equity funds $ — $ — $ — $ — Debt securities — 98,252 — 98,252 Insurance contracts — — 3,861 3,861 Cash and short-term investments 724 — — 724 Total investments in the fair value hierarchy $ 724 $ 98,252 $ 3,861 102,837 Investments at net asset value: Common Stocks and equity funds 18,963 Fixed income funds 101,843 Limited partnerships 1,684 Total plan assets $ 225,327 |
Reconciliation of Level 3 Assets | The following tables present a reconciliation of Level 3 assets held during the years ended December 31, 2022 and 2021: (in thousands) December 31, 2021 Net realized gains Net unrealized gains Net purchases, issuances Net transfers (out of) Level 3 December 31, 2022 Insurance contracts - total level 3 assets $ 3,861 $ — $ 20 $ (1,463) $ — $ 2,418 (in thousands) December 31, 2020 Net realized gains Net unrealized gains Net purchases, issuances and settlements Net transfers (out of) Level 3 December 31, 2021 Insurance contracts - total level 3 assets $ 3,819 $ — $ 24 $ 18 $ — $ 3,861 |
Schedule of Asset Allocation | The asset allocation for the Company’s U.S. and non-U.S. pension plans for 2022 and 2021, and the target allocation, by asset category, are as follows: United States Plan Non-U.S. Plans Target Allocation Percentage of plan assets at plan measurement date Target Allocation Percentage of plan assets at plan measurement date Asset category 2022 2021 2022 2021 Equity securities N/A N/A — % 14 % 15 % 13 % Debt securities N/A N/A 98 % 81 % 76 % 80 % Real estate N/A N/A 2 % 1 % 1 % 1 % Other (1) N/A N/A — % 4 % 8 % 6 % — % — % 100 % 100 % 100 % 100 % (1) Other includes hedged equity and absolute return strategies, and private equity. The Company has procedures to closely monitor the performance of these investments and compares asset valuations to audited financial statements of the funds. |
Schedule of Pension Plans with Projected Benefit Obligation and Accumulated Benefit Obligation in Excess of Plan Assets | At the end of 2022 and 2021, the projected benefit obligation, accumulated benefit obligation, and fair value of plan assets for pension plans with projected benefit obligation and an accumulated benefit obligation in excess of plan assets were as follows: Plans with projected benefit obligation in excess of plan assets (in thousands) 2022 2021 Projected benefit obligation $ 28,458 $ 142,007 Fair value of plan assets 3,422 104,041 Plans with accumulated benefit obligation in excess of plan assets (in thousands) 2022 2021 Accumulated benefit obligation $ 25,941 $ 139,600 Fair value of plan assets 3,422 104,041 |
Schedule of Expected Cash Flows | Information about expected cash flows for the pension and other benefit obligations are as follows: (in thousands) Pension plans Other postretirement benefits Expected employer contributions and direct employer payments in the next fiscal year $ 2,151 $ 3,660 Expected benefit payments 2023 4,495 3,660 2024 4,809 3,541 2025 5,181 3,408 2026 5,513 3,281 2027 5,337 3,158 2028-2032 29,238 13,928 |
Restructuring (Tables)
Restructuring (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Restructuring and Related Activities [Abstract] | |
Schedule of Restructuring Charges | The following table summarizes charges reported in the Consolidated Statements of Income under “Restructuring expenses, net”: Year ended December 31, 2022 (In thousands) Total restructuring costs incurred Termination and other costs Impairment of assets Machine Clothing $ 92 $ 92 $ — Albany Engineered Composites — — — Corporate expenses 14 14 — Total $ 106 $ 106 $ — Year ended December 31, 2021 (In thousands) Total restructuring costs incurred Termination and other costs Impairment of assets Machine Clothing $ 1,202 $ 1,202 $ — Albany Engineered Composites 32 32 — Corporate expenses 97 97 — Total $ 1,331 $ 1,331 $ — Year ended December 31, 2020 (In thousands) Total restructuring costs incurred Termination and other costs Impairment of assets Machine Clothing $ 2,746 $ 2,746 $ — Albany Engineered Composites 2,821 2,821 — Corporate expenses 169 169 — Total $ 5,736 $ 5,736 $ — |
Schedule of Restructuring Liability | The table below presents the changes in restructuring liabilities for 2022 and 2021, all of which related to termination costs: (in thousands) December 31, 2021 Restructuring charges accrued Payments Currency translation/other December 31, 2022 Total termination and other costs $ 1,045 $ 106 $ (1,079) $ (72) $ — (in thousands) December 31, Restructuring charges accrued Payments Currency translation/other December 31, 2021 Total termination and other costs $ 2,195 $ 1,331 $ (2,469) $ (12) $ 1,045 |
Other expense_(income), net (Ta
Other expense/(income), net (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Other Income and Expenses [Abstract] | |
Schedule of Other (Income)/ Expense | The components of Other expense/(income), net, are: (in thousands) 2022 2021 2020 Currency transactions $ (9,996) $ (1,179) $ 13,569 Sale of IP addresses (3,420) — — Bank fees and amortization of debt issuance costs 313 373 367 Components of net periodic pension and postretirement cost other than service (1,077) 156 1,561 Other 94 3,671 (2,075) Total $ (14,086) $ 3,021 $ 13,422 |
Income Taxes (Tables)
Income Taxes (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Income Tax Disclosure [Abstract] | |
Schedule of Components of Income Tax Expense (Benefit) | Provision for income taxes consisted of the following: For the year ended December 31 (in thousands) 2022 2021 2020 Income before income taxes: U.S. $ 20,422 $ 63,708 $ 63,375 Non-U.S. 111,558 102,223 75,699 $ 131,980 $ 165,931 $ 139,074 Income tax expense/(benefit) Current: Federal $ 9,781 $ 3,348 $ 1,415 State 5,126 2,663 2,028 Non-U.S. 28,605 29,319 26,916 $ 43,512 $ 35,330 $ 30,359 Deferred: Federal $ (9,592) $ 9,911 $ 11,211 State (1,866) (24) 192 Non-U.S. 3,418 1,946 69 $ (8,040) $ 11,833 $ 11,472 Total income tax expense $ 35,472 $ 47,163 $ 41,831 |
Reconciliation of the U.S. Federal Statutory Tax Rate to the Company's Effective Income Tax Rate | A reconciliation of the U.S. federal statutory tax rate to the Company’s effective income tax rate is as follows: For the year ended December 31 2022 2021 2020 U.S. federal statutory tax rate 21.0 % 21.0 % 21.0 % State taxes, net of federal benefit 2.5 1.8 1.8 Non-U.S. local income taxes 3.8 2.5 3.2 U.S. permanent adjustments 1.4 1.1 0.1 Foreign permanent adjustments (2.1) 0.3 — Foreign rate differential 3.1 1.2 0.6 Net U.S. tax on non-U.S. earnings and foreign withholdings 3.5 2.1 1.2 Provision for/(resolution) of tax audits and contingencies, net 0.3 0.1 0.5 U.S. Pension Settlement - Release of Residual Tax Effect (4.0) — — Tax effect of non-deductible foreign exchange loss on intercompany loan — — 2.7 Impact of amended tax returns (0.1) (1.3) — Return to provision (1.1) (1.4) (1.6) Other adjustments (1.4) 1.0 0.6 Effective income tax rate 26.9 % 28.4 % 30.1 % |
Schedule of Deferred Tax Assets and Liabilities | Significant components of the Company’s deferred tax assets and liabilities are as follows: For the year ended December 31 U.S. Non-U.S. (in thousands) 2022 2021 2022 2021 Deferred tax assets: Accounts receivable, net $ 436 $ 428 $ 1,300 $ 1,378 Inventories 1,807 1,450 1,111 1,752 Incentive compensation 4,619 4,580 1,333 1,084 Property, plant, equipment and intangibles, net — — 1,892 4,339 Pension, post retirement benefits - non-current 9,141 12,912 — — Tax loss carryforwards 239 217 14,201 19,821 Tax credit carryforwards 2,635 4,643 — — Derivatives — 468 — — Leases 7,597 1,658 — — Reserves 721 991 — — Deferred revenue 761 239 — — Other 47 329 1,707 1,791 Deferred tax assets before valuation allowance 28,003 27,915 21,544 30,165 Less: valuation allowance (8) (9) (9,778) (10,650) Total deferred tax assets $ 27,995 $ 27,906 $ 11,766 $ 19,515 Deferred tax liabilities: Unrepatriated foreign earnings $ 5,827 $ 6,308 $ — $ — Property, plant, equipment and intangibles, net 3,084 5,356 — — Basis difference in partner capital 2,161 2,466 — — Basis difference in investment 4,173 3,985 — — Derivatives 5,941 — — — Leases 11,609 2,950 — — Deferred revenue — — 6,440 10,829 Other — — 419 602 Total deferred tax liabilities 32,795 21,065 6,859 11,431 Net deferred tax (liability)/asset $ (4,800) $ 6,841 $ 4,907 $ 8,084 |
Summary Of Operating And Capital Loss And Tax Credit Carryforwards | As of December 31, 2022, the Company's net operating loss, capital loss and tax credit carryforwards were as follows: (in thousands) Expiration Period Net Operating and Capital Loss Carryforwards Tax Credit Carryforwards Jurisdiction U.S. Federal 2025 - 2040 $ — $ 2,792 U.S. State 2027 - 2041 3,973 402 U.S. State Indefinite — — Non-U.S. 2025 - 2030 9,094 — Non-U.S. Indefinite 37,008 — Balance at end of year $ 50,075 $ 3,194 |
Schedule of Unrecognized Tax Benefits | The following table provides a reconciliation of the beginning and ending amount of unrecognized tax benefits. If recognized, $0.8 million would impact the effective tax rate at December 31, 2022: (in thousands) 2022 2021 2020 Unrecognized tax benefits balance at January 1, $ 1,459 $ 5,491 $ 5,834 Increase in gross amounts of tax positions related to prior years 399 278 540 Decrease in gross amounts of tax positions related to prior years (929) (4,236) (637) Increase in gross amounts of tax positions related to current years 37 — — Decrease due to settlements with tax authorities — — — Decrease due to lapse in statute of limitations — (39) (300) Currency translation (174) (35) 54 Unrecognized tax benefits balance at December 31, $ 792 $ 1,459 $ 5,491 |
Earnings Per Share (Tables)
Earnings Per Share (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Earnings Per Share [Abstract] | |
Schedule of Earnings Per Share, Basic and Diluted | The amounts used in computing earnings per share and the weighted average number of shares of potentially dilutive securities are as follows: (in thousands, except market price and earnings per share) 2022 2021 2020 Net income attributable to the Company $ 95,762 $ 118,478 $ 98,589 Weighted average number of shares: Weighted average number of shares used in calculating basic net income per share 31,339 32,348 32,329 Effect of dilutive stock-based compensation plans: Stock options — 2 7 Long-term incentive plans 116 113 20 Weighted average number of shares used in calculating diluted net income per share 31,455 32,463 32,356 Average market price of common stock used for calculation of dilutive shares $ 87.27 $ 82.88 $ 58.56 Net income per share: Basic $ 3.06 $ 3.66 $ 3.05 Diluted $ 3.04 $ 3.65 $ 3.05 |
Accumulated Other Comprehensi_2
Accumulated Other Comprehensive Income (AOCI) (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Accumulated Other Comprehensive Income (Loss), Net of Tax [Abstract] | |
Schedule of Accumulated Other Comprehensive Income (Loss) | The table below presents changes in the components of AOCI from January 1, 2020 to December 31, 2022: (in thousands) Translation adjustments Pension and postretirement liability adjustments Derivative valuation adjustment Total Other Comprehensive Income January 1, 2020 $ (122,852) $ (49,994) $ (3,135) $ (175,981) Other comprehensive income/(loss) before reclassifications 39,649 (722) (9,363) 29,564 Pension/postretirement settlements and curtailments, net of tax — 283 — 283 Pension/postretirement plan remeasurement, net of tax — 10,390 — 10,390 Interest expense related to swaps reclassified to the Statements of Income, net of tax — — 2,954 2,954 Pension and postretirement liability adjustments reclassified to Statements of Income, net of tax — 382 — 382 Net current period other comprehensive income 39,649 10,333 (6,409) 43,573 December 31, 2020 $ (83,203) $ (39,661) $ (9,544) $ (132,408) Other comprehensive income/(loss) before reclassifications (22,677) 1,869 2,812 (17,996) Pension/postretirement plan remeasurement, net of tax — (796) — (796) Interest expense related to swaps reclassified to the Statements of Income, net of tax — — 5,118 5,118 Pension and postretirement liability adjustments reclassified to Statements of Income, net of tax — 98 — 98 Net current period other comprehensive income (22,677) 1,171 7,930 (13,576) December 31, 2021 $ (105,880) $ (38,490) $ (1,614) $ (145,984) Other comprehensive income/(loss) before reclassifications (40,971) — 18,971 (22,000) Pension settlement expense, net of tax — 26,198 — 26,198 Pension/postretirement plan remeasurement, net of tax — (2,663) — (2,663) Interest expense related to swaps reclassified to the Statements of Income, net of tax — — 350 350 Pension and postretirement liability adjustments reclassified to Statements of Income, net of tax — (828) — (828) Net current period other comprehensive income (40,971) 22,707 19,321 1,057 December 31, 2022 $ (146,851) $ (15,783) $ 17,707 $ (144,927) |
Schedule of Items Reclassified to Statement of Income | The table below presents the expense/(income) amounts reclassified, and the line items of the Statement of Income that were affected for the years ended December 31, 2022, 2021, and 2020. (in thousands) 2022 2021 2020 Pretax Derivative valuation reclassified from Accumulated Other Comprehensive Income: Expense related to interest rate swaps included in Income before taxes (a) $ 468 $ 6,852 $ 3,982 Income tax effect (118) (1,734) (1,028) Effect on net income due to items reclassified from Accumulated Other Comprehensive Income $ 350 $ 5,118 $2,954 Pretax pension and postretirement liabilities reclassified from Accumulated Other Comprehensive Income: Pension/postretirement settlements and curtailments $ 42,657 $ — $ 411 Amortization of prior service credit (4,497) (4,475) (4,474) Amortization of net actuarial loss 3,260 4,625 5,004 Total pretax amount reclassified (b) 41,420 150 941 Income tax effect (16,051) (52) (276) Effect on net income due to items reclassified from Accumulated Other Comprehensive Income $ 25,369 $ 98 $ 665 ________________________ (a) Included in interest expense, net are payments related to the interest rate swap agreements and amortization of swap buyouts (see Notes 17 and 18). (b) These accumulated other comprehensive income components are included in the computation of net periodic pension cost (see Note 4). |
Noncontrolling Interest (Tables
Noncontrolling Interest (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
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 the Company’s subsidiary Albany Safran Composites, LLC: (in thousands, except percentages) 2022 2021 Net income/(loss) of Albany Safran Composites (ASC) $ 8,720 $ 4,227 Less: Return attributable to the Company's preferred holding 1,262 1,325 Net income/(loss) of ASC available for common ownership $ 7,458 $ 2,902 Ownership percentage of noncontrolling shareholder 10 % 10 % Net income/(loss) attributable to noncontrolling interest $ 746 $ 290 Noncontrolling interest, beginning of year $ 3,638 $ 3,799 Net income/(loss) attributable to noncontrolling interest 746 290 Changes in other comprehensive income attributable to noncontrolling interest 110 (451) Noncontrolling interest, end of year $ 4,494 $ 3,638 |
Accounts Receivable (Tables)
Accounts Receivable (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Receivables [Abstract] | |
Schedule of Accounts Receivable | As of December 31, 2022 and 2021, Accounts receivable consisted of the following: (in thousands) December 31, December 31, Trade and other accounts receivable $ 179,676 $ 168,046 Bank promissory notes 23,439 26,284 Allowance for expected credit losses (3,097) (2,345) Accounts receivable, net $ 200,018 $ 191,985 |
Schedule of Noncurrent Receivables | The Noncurrent receivables are invoiced to the customer over a 10-year period, which began in 2020. As of December 31, 2022 and December 31, 2021, Noncurrent receivables were as follows: (in thousands) December 31, December 31, Noncurrent receivables $ 28,053 $ 32,049 Allowance for expected credit losses (140) (200) Noncurrent receivables, net $ 27,913 $ 31,849 |
Accounts Receivable, Allowance for Credit Loss | The following tables present the (increases)/decreases in the allowance for credit losses for Accounts receivable: (in thousands) December 31, (Charge)/ benefit Currency Other December 31, Specific customer reserves $ (1,392) $ (1,331) $ 50 $ 597 $ (2,076) Incremental expected credit losses (953) (93) 25 — (1,021) Accounts receivable expected credit losses $ (2,345) $ (1,424) $ 75 $ 597 $ (3,097) (in thousands) December 31, 2020 (Charge)/ benefit Currency translation Other December 31, 2021 Specific customer reserves $ (1,742) $ (187) $ 116 $ 421 $ (1,392) Incremental expected credit losses (2,065) 1,074 38 — (953) Accounts receivable expected credit losses $ (3,807) $ 887 $ 154 $ 421 $ (2,345) The following tables present the (increases)/decreases in the allowance for credit losses for Noncurrent receivables: (in thousands) December 31, (Charge)/ benefit Currency Other December 31, Noncurrent receivables expected credit losses $ (200) $ 62 $ (2) $ — $ (140) (in thousands) December 31, 2020 (Charge)/ benefit Currency translation Other December 31, 2021 Noncurrent receivables expected credit losses $ (274) $ 72 $ 2 $ — $ (200) |
Contract Assets and Liabiliti_2
Contract Assets and Liabilities (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Revenue from Contract with Customer [Abstract] | |
Schedule of Contract Assets and Contract Liabilities | Contract assets and Contract liabilities (included in Accrued liabilities) are reported in the Consolidated Balance Sheets in a net position, on a contract-by-contract basis at the end of each reporting period. Contract assets and contract liabilities are summarized as follows: (in thousands) December 31, December 31, Contract assets $ 149,443 $ 113,249 Allowance for expected credit losses (748) (703) Contract assets, net $ 148,695 $ 112,546 Contract liabilities $ 15,176 $ 6,959 |
Contract with Customer, Contract Asset, Contract Liability, and Receivable | The following tables present the (increases)/ decreases in the allowance for credit losses for Contract assets: (in thousands) December 31, (Charge)/ benefit Currency Other December 31, Contract assets expected credit losses $ (703) $ (45) $ — $ — $ (748) (in thousands) December 31, 2020 (Charge)/ benefit Currency translation Other December 31, 2021 Contract assets expected credit losses $ (1,059) $ 339 $ 16 $ 1 $ (703) |
Inventories (Tables)
Inventories (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Inventory Disclosure [Abstract] | |
Schedule of Inventory | As of December 31, 2022 and 2021, inventories consisted of the following: (in thousands) December 31, 2022 December 31, 2021 Raw materials $ 74,631 $ 58,689 Work in process 50,516 44,839 Finished goods 13,903 14,354 Total inventories $ 139,050 $ 117,882 |
Property, Plant and Equipment (
Property, Plant and Equipment (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Property, Plant and Equipment [Abstract] | |
Property, Plant and Equipment | The table below sets forth the components of property, plant and equipment as of December 31, 2022 and 2021: (in thousands) 2022 2021 Estimated useful life Land and land improvements $ 14,059 $ 14,832 25 years for improvements Buildings 247,136 243,584 15 to 40 years Right of use assets (a) — 10,971 10 to 15 years Machinery and equipment 1,053,700 1,067,059 5 to 15 years Furniture and fixtures 8,158 7,857 5 years Computer and other equipment 21,570 19,135 3 to 10 years Software 66,794 63,379 5 to 8 years Capital expenditures in progress 92,620 64,238 Property, plant and equipment, gross 1,504,037 1,491,055 Accumulated depreciation and amortization (1,058,379) (1,054,638) Property, plant and equipment, net $ 445,658 $ 436,417 (a) In 2022, the Company extended the lease of its primary manufacturing facility in Salt Lake City, Utah, which resulted in a lease classification change from Finance to Operating, resulting in the reclassification of the Right of use asset from Property, plant, and equipment to Other assets. |
Goodwill and Other Intangible_2
Goodwill and Other Intangible Assets (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Schedule of Changes in Intangible Assets and Goodwill | The changes in intangible assets and goodwill from December 31, 2020 to December 31, 2022, were as follows: (in thousands, except for years) Amortization life in years Balance at December 31, 2021 Amortization Currency Translation Balance at December 31, 2022 Finite-Lived intangible assets: AEC Trademarks and trade names 6-15 $ 45 $ (11) $ — $ 34 AEC Technology 10-15 4,712 (554) (274) 3,884 AEC Intellectual property 15 1,077 (83) — 994 AEC Customer contracts 6 720 (720) — — AEC Customer relationships 8-15 32,527 (3,474) (154) 28,899 Total Finite-Lived intangible assets, net $ 39,081 $ (4,842) $ (428) $ 33,811 Indefinite-Lived intangible assets: MC Goodwill $ 68,329 $ — $ (2,888) $ 65,441 AEC Goodwill 113,795 — (1,019) 112,776 Total Indefinite-Lived intangible assets $ 182,124 $ — $ (3,907) $ 178,217 (in thousands, except for years) Amortization life in years Balance at December 31, Amortization Currency Balance at December 31, Finite-Lived intangible assets: AEC Trademarks and trade names 6-15 $ 57 $ (12) $ — $ 45 AEC Technology 10-15 5,744 (629) (403) 4,712 AEC Intellectual property 15 1,160 (83) — 1,077 AEC Customer contracts 6 3,632 (2,912) — 720 AEC Customer relationships 8-15 36,260 (3,503) (230) 32,527 AEC Other intangibles 5 16 (16) — — Total Finite-Lived intangible assets, net $ 46,869 $ (7,155) $ (633) $ 39,081 Indefinite-Lived intangible assets: MC Goodwill $ 72,290 $ — $ (3,961) $ 68,329 AEC Goodwill 115,263 — (1,468) 113,795 Total Indefinite-Lived intangible assets $ 187,553 $ — $ (5,429) $ 182,124 |
Schedule of Estimated Amortization Expense | Estimated amortization expense of intangibles for the years ending December 31, 2023 through 2027, is as follows: Year Annual amortization (in thousands) 2023 $ 4,100 2024 4,100 2025 4,100 2026 4,100 2027 4,100 |
Accrued Liabilities (Tables)
Accrued Liabilities (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Payables and Accruals [Abstract] | |
Schedule of Accrued Liabilities | Accrued liabilities consist of: (in thousands) 2022 2021 Salaries, wages and benefits $ 57,867 $ 54,254 Contract liabilities 15,176 6,959 Returns and allowances 9,084 9,798 Dividends 7,778 6,742 Pension and postretirement 6,683 10,742 Operating and Finance lease liabilities 5,929 5,336 Other tax 10,274 9,041 Contract loss reserve 2,359 3,608 Freight 1,966 4,031 Professional fees 3,439 3,926 Other 5,830 9,888 Total $ 126,385 $ 124,325 |
Financial Instruments (Tables)
Financial Instruments (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Long-Term Debt and Lease Obligation [Abstract] | |
Schedule of Long-Term Debt | Long-term debt, principally to banks, consists of: (in thousands, except interest rates) 2022 2021 Revolving credit agreement with borrowings outstanding at an end of period interest rate of 3.16% in 2022 and 3.74% in 2021 (including the effect of interest rate hedging transactions, as described below), due in 2024 $ 439,000 $ 350,000 |
Fair-Value Measurements (Tables
Fair-Value Measurements (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Fair Value Disclosures [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 and non-financial assets and liabilities, which are measured at fair value on a recurring basis: December 31, 2022 December 31, 2021 (in thousands) Quoted prices in active markets (Level 1) Significant other observable inputs (Level 2) Quoted prices in active markets (Level 1) Significant other observable inputs (Level 2) Fair Value Assets: Cash equivalents $ 6,533 $ — $ 20,665 $ — Other Assets: Common stock of unaffiliated foreign public company (a) 602 — 702 — Interest rate swaps — 23,605 — 3,328 Liabilities: Other noncurrent liabilities: Interest rate swaps — — — (5,176) _____________________ (a) Original cost basis $0.5 million |
Schedule of /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)/expense, net in the Consolidated Statements of Income were as follows: (in thousands) 2022 2021 2020 Derivatives not designated as hedging instruments Foreign currency options (gains)/losses $ (509) 169 64 |
Other Noncurrent Liabilities (T
Other Noncurrent Liabilities (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Other Liabilities Disclosure [Abstract] | |
Other Noncurrent Liabilities | As of December 31, 2022 and 2021, Other Noncurrent Liabilities consisted of the following: (in thousands) 2022 2021 Operating leases $ 50,190 $ 11,001 Finance leases — 14,515 Postretirement benefits other than pensions 31,998 41,257 Pension liabilities 23,061 30,850 Interest rate swap agreements — 5,176 Incentive and deferred compensation 1,395 3,257 Other 2,114 1,738 Total $ 108,758 $ 107,794 |
Leases (Tables)
Leases (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Lessee Disclosure [Abstract] | |
Schedule of Components of Lease Expense | The components of lease expense were as follows: For the years ended (in thousands) December 31, 2022 December 31, 2021 December 31, 2020 Finance lease Amortization of right-of-use asset $ 416 $ 997 $ 1,056 Interest on lease liabilities 529 1,353 1,475 Operating lease Fixed lease cost 6,036 5,283 5,448 Variable lease cost 438 (259) 314 Short-term lease cost 1,025 1,037 996 Total lease expense $ 8,444 $ 8,411 $ 9,289 |
Schedule of Supplemental Cash Flow Information Related to Leases | Supplemental cash flow information related to leases was as follows: For the years ended (in thousands) December 31, 2022 December 31, 2021 December 31, 2020 Cash paid for amounts included in the measurement of lease liabilities: Operating cash outflows from operating leases $ 6,612 $ 5,233 $ 5,300 Operating cash outflows from finance leases 529 1,353 1,475 Financing cash outflows from finance leases 654 1,438 7,214 Right-of-use assets obtained in exchange for lease obligations: Operating leases $ 38,559 $ 2,189 $ 4,017 Finance leases — — — |
Schedule of Supplemental Balance Sheet Information Related to Leases | Supplemental balance sheet information related to leases was as follows: (in thousands) December 31, 2022 December 31, 2021 Operating leases Right of use assets included in Other assets $ 48,475 $ 14,366 Lease liabilities included in Accrued liabilities $ 5,929 $ 3,730 Other noncurrent liabilities 50,190 11,001 Total operating lease liabilities $ 56,119 $ 14,731 Finance leases Right-of-use assets included in Property, plant and equipment, net $ — $ 7,979 Lease liabilities included in Accrued liabilities $ — $ 1,606 Other noncurrent liabilities — 14,515 Total finance lease liabilities $ — $ 16,121 |
Schedule of Additional Information Related to Leases | Additional information for leases existing at December 31, 2022 and 2021 was as follows: December 31, 2022 December 31, 2021 Weighted average remaining lease term Operating leases 11 years 6 years Finance leases 0 years 8 years Weighted average discount rate Operating leases 5.3 % 4.4 % Finance leases — 8.0 % |
Schedule of Maturities of Lease Liabilities | Maturities of lease liabilities as of December 31, 2022 were as follows: (in thousands) Operating leases Year ending December 31, 2023 $ 8,734 2024 7,586 2025 6,970 2026 6,985 2027 6,775 Thereafter 36,834 Total lease payments 73,884 Less imputed interest (17,765) Total $ 56,119 Maturities of lease liabilities as of December 31, 2021 were as follows: (in thousands) Operating leases Finance leases Year ending December 31, 2022 $ 4,737 $ 2,838 2023 3,412 3,004 2024 2,199 3,004 2025 1,801 3,004 2026 1,782 3,004 Thereafter 2,789 6,501 Total lease payments 16,720 21,355 Less imputed interest (1,989) (5,234) Total $ 14,731 $ 16,121 |
Schedule of Maturities of Lease Liabilities | Maturities of lease liabilities as of December 31, 2022 were as follows: (in thousands) Operating leases Year ending December 31, 2023 $ 8,734 2024 7,586 2025 6,970 2026 6,985 2027 6,775 Thereafter 36,834 Total lease payments 73,884 Less imputed interest (17,765) Total $ 56,119 Maturities of lease liabilities as of December 31, 2021 were as follows: (in thousands) Operating leases Finance leases Year ending December 31, 2022 $ 4,737 $ 2,838 2023 3,412 3,004 2024 2,199 3,004 2025 1,801 3,004 2026 1,782 3,004 Thereafter 2,789 6,501 Total lease payments 16,720 21,355 Less imputed interest (1,989) (5,234) Total $ 14,731 $ 16,121 |
Commitments and Contingencies (
Commitments and Contingencies (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Commitments and Contingencies Disclosure [Abstract] | |
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 December 31, Opening Number of Claims Claims Dismissed, Settled, or New Claims Closing Number of Claims Amounts Paid (thousands) to 2020 3,708 152 59 3,615 $57 2021 3,615 32 26 3,609 93 2022 3,609 43 32 3,598 $125 |
Incentive Plans (Tables)
Incentive Plans (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Share-Based Payment Arrangement [Abstract] | |
Schedules of Executive Management Share-based Compensation Activity | Information with respect to these plans is presented below: Number of shares Weighted average grant date value Year-end intrinsic value Shares potentially payable at January 1, 2020 81,712 $ 65.06 $ 5,316 Forfeitures — Payments (20,680) $ 47.35 Shares accrued based on 2020 performance 36,808 $ 73.43 Shares potentially payable at December 31, 2020 97,840 $ 71.95 $ 7,040 Forfeitures — Payments (31,722) $ 66.25 Shares accrued based on 2021 performance 41,512 $ 78.06 Shares potentially payable at December 31, 2021 107,630 $ 75.99 $ 8,179 Forfeitures — Payments (35,897) $ 84.27 Shares accrued based on 2022 performance 64,208 $ 86.00 Shares potentially payable at December 31, 2022 135,941 $ 79.11 $ 10,754 |
Schedules of Other Share-based Compensation Activity | The determination of compensation expense for the PSP is based on the number of outstanding share units, the end-of-period share price, and Company performance. Information with respect to the PSP is presented below: Number of shares Weighted average value per Cash paid for share based Share units potentially payable at January 1, 2020 215,072 Grants 63,104 Changes due to performance 27,921 Payments (80,808) $ 73.04 $ 5,848 Forfeitures (11,441) Share units potentially payable at December 31, 2020 213,848 Grants 56,536 Changes due to performance 52,296 Payments (68,622) $ 74.22 $ 5,093 Forfeitures (5,644) Share units potentially payable at December 31, 2021 248,414 Grants 49,863 Changes due to performance 34,539 Payments (81,421) $ 85.69 $ 6,977 Forfeitures (24,644) Share units potentially payable at December 31, 2022 226,751 |
Shareholders' Equity (Tables)
Shareholders' Equity (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Stockholders' Equity Note [Abstract] | |
Schedule of Stockholders Equity | Activity in Shareholders’ equity for 2020, 2021, and 2022 is presented below: (in thousands) Class A Common Stock Class B Common Stock Additional paid-in capital Retained earnings Accumulated items of other Class A Treasury Stock Noncontrolling Interest Total Equity Shares Amount Shares Amount Shares Amount January 1, 2020 39,099 $ 39 1,618 $ 2 $ 432,518 $ 698,496 $ (175,981) 8,409 $ (256,391) $ 4,006 $ 702,689 Net income — — — — — 98,589 — — — (1,346) 97,243 Adoption of accounting standards (a) — — — — — (1,443) — — — — (1,443) Compensation and benefits paid or payable in shares 13 — — — 622 — — — — — 622 Options exercised 3 — — — 55 — — — — — 55 Shares issued to Directors' — — — — 501 — — (18) 382 — 883 Dividends declared Class A Common Stock, $0.77 per share — — — — — (23,651) — — — — (23,651) Class B Common Stock, $0.77 per share — — — — — (1,245) — — — — (1,245) Cumulative translation adjustments — — — — — — 39,649 — — 1,139 40,788 Pension and postretirement liability adjustments — — — — — — 10,333 — — — 10,333 (in thousands) Class A Common Stock Class B Common Stock Additional paid-in capital Retained earnings Accumulated items of other Class A Treasury Stock Noncontrolling Interest Total Equity Shares Amount Shares Amount Shares Amount Derivative valuation adjustment — — — — — — (6,409) — — — (6,409) December 31, 2020 39,115 $ 39 1,618 $ 2 $ 433,696 $ 770,746 $ (132,408) 8,391 $ (256,009) $ 3,799 $ 819,865 Net income — — — — — 118,478 — — — 290 118,768 Compensation and benefits paid or payable in shares 20 — — — 2,441 — — — — — 2,441 Options exercised 7 — — — 153 — — — — — 153 Shares issued to Directors' — — — — 706 — — (11) 241 — 947 Purchase of Treasury shares (b) — — — — — — — 285 (24,375) — (24,375) Class A Common Stock, $0.81 per share — — — — — (25,520) — — — — (25,520) Class B Common Stock, $0.81 per share — — — — — (647) — — — — (647) Conversion of Class B shares to Class A shares (c) 1,618 2 (1,618) (2) — — — — — — — Cumulative translation adjustments — — — — — — (22,677) — — (451) (23,128) Pension and postretirement liability adjustments — — — — — — 1,171 — — — 1,171 Derivative valuation adjustment — — — — — — 7,930 — — — 7,930 December 31, 2021 40,760 $ 41 — $ — $ 436,996 $ 863,057 $ (145,984) 8,665 $ (280,143) $ 3,638 $ 877,605 Net income — — — — — 95,762 — — — 746 96,508 Compensation and benefits paid or payable in shares 24 — — — 3,727 — — — — — 3,727 Options exercised 1 — — — 17 — — — — — 17 Shares issued to Directors' — — — — 800 — — (13) 285 — 1,085 Purchase of Treasury shares (d) — — — — — — — 1,023 (85,065) — (85,065) Dividends declared Class A Common Stock, $0.88 per share — — — — — (27,501) — — — — (27,501) Cumulative translation adjustments — — — — — — (40,971) — — 110 (40,861) Pension and postretirement liability adjustments — — — — — — (3,491) — — — (3,491) Settlement of certain pension liabilities — — — — — — 26,198 — — — 26,198 (in thousands) Class A Common Stock Class B Common Stock Additional paid-in capital Retained earnings Accumulated items of other Class A Treasury Stock Noncontrolling Interest Total Equity Shares Amount Shares Amount Shares Amount Derivative valuation adjustment — — — — — — 19,321 — — — 19,321 December 31, 2022 40,785 $ 41 — $ — $ 441,540 $ 931,318 $ (144,927) 9,675 $ (364,923) $ 4,494 $ 867,543 (a) As described in Note 1, the Company adopted the provisions of ASC 326, Current expected credit losses (CECL) effective January 1, 2020, which resulted in a decrease to Retained earnings of $1.4 million. (b) On October 25, 2021, the Company's Board of Directors authorized the Company to repurchase shares of up to $200 million through open market purchases, privately negotiated transactions or otherwise, and to determine the prices, times and amounts. In 2021, the Company repurchased 285,286 shares totaling $24.4 million. (c) In the third and fourth quarters of 2021, Standish Family Holdings, LLC executed a secondary offering of Albany shares. As a result of the offerings, 1.6 million shares of Class B Common Stock previously owned by Standish Family Holdings, LLC were converted to Class A Common Stock and then sold to third parties. Costs associated with the offering were charged directly to Standish Family Holdings, LLC. |
Accounting Policies (Narrative)
Accounting Policies (Narrative) (Details) | 3 Months Ended | 12 Months Ended | ||||
Jun. 30, 2022 reporting_unit | Sep. 30, 2021 USD ($) | Dec. 31, 2022 USD ($) | Dec. 31, 2021 USD ($) | Dec. 31, 2020 USD ($) | Dec. 31, 2019 USD ($) | |
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | ||||||
Operating income Increase (decrease) | $ 389,782,000 | $ 378,391,000 | $ 371,072,000 | |||
Research and development expense | 31,400,000 | 29,600,000 | 25,800,000 | |||
Provision/(recovery) for credit losses from uncollected receivables and contract assets | 1,408,000 | (1,299,000) | 1,628,000 | |||
Total equity | $ (867,543,000) | (877,605,000) | (819,865,000) | $ (702,689,000) | ||
Receivable with imputed interest, effective yield (interest rate) | 2% | |||||
Noncurrent receivables invoice terms (in years) | 10 years | |||||
AEC reporting units | reporting_unit | 2 | |||||
Goodwill impairment charges | $ 0 | |||||
Assets for plan benefits, defined benefit plan | 16,200,000 | 32,500,000 | ||||
Government grants | $ 5,800,000 | $ 0 | 5,832,000 | 0 | ||
Proceeds from government grant | 2,900,000 | |||||
Software | Minimum | ||||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | ||||||
Useful life | 5 years | |||||
Software | Maximum | ||||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | ||||||
Useful life | 8 years | |||||
Share-based Payment Arrangement, Option | ||||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | ||||||
Expiration period | 20 years | |||||
Length of time options are valid after retirement, in years | 10 years | |||||
Assets | ||||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | ||||||
Assets for plan benefits, defined benefit plan | $ 600,000 | 700,000 | ||||
Retained earnings | ||||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | ||||||
Total equity | (931,318,000) | (863,057,000) | (770,746,000) | (698,496,000) | ||
Cumulative Effect, Period of Adoption, Adjustment | ||||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | ||||||
Provision/(recovery) for credit losses from uncollected receivables and contract assets | 1,800,000 | |||||
Total equity | 1,443,000 | |||||
Cumulative Effect, Period of Adoption, Adjustment | Retained earnings | ||||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | ||||||
Total equity | $ 1,443,000 | |||||
Long term contract | ||||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | ||||||
Operating income Increase (decrease) | $ 500,000 | $ 6,200,000 | $ 9,900,000 | |||
Entity In Russia | ||||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | ||||||
Noncontrolling interest, ownership percentage by parent | 50% | |||||
Albany Safran Composites, LLC | ||||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | ||||||
Noncontrolling interest, ownership percentage by parent | 90% |
Accounting Policies (Schedule o
Accounting Policies (Schedule of Foreign Currency Transaction Gains and Losses) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Accounting Policies [Abstract] | |||
Selling, general, and administrative expenses | $ (554) | $ (263) | $ 1,875 |
Other (income)/expense, net | (9,996) | (1,179) | 13,569 |
Total transaction (gains)/losses | $ (10,550) | $ (1,442) | $ 15,444 |
Accounting Policies (Schedule_2
Accounting Policies (Schedule of Foreign Currency Gains on Long-term Intercompany Loans) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Accounting Policies [Abstract] | |||
Loss/(gain), before tax, on long-term intercompany loan | $ 0 | $ (66) | $ (4,985) |
Revenue Recognition (Schedule o
Revenue Recognition (Schedule of Disaggregate Revenue for Each Business Segment) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Disaggregation of Revenue [Line Items] | |||
Total revenue | $ 1,034,887 | $ 929,240 | $ 900,610 |
Point in Time Revenue Recognition | |||
Disaggregation of Revenue [Line Items] | |||
Total revenue | 625,030 | 631,528 | 587,906 |
Over Time Revenue Recognition | |||
Disaggregation of Revenue [Line Items] | |||
Total revenue | 409,857 | 297,712 | 312,704 |
Machine Clothing | |||
Disaggregation of Revenue [Line Items] | |||
Total revenue | 609,461 | 619,015 | 572,955 |
Machine Clothing | Point in Time Revenue Recognition | |||
Disaggregation of Revenue [Line Items] | |||
Total revenue | 605,863 | 615,556 | 569,563 |
Machine Clothing | Over Time Revenue Recognition | |||
Disaggregation of Revenue [Line Items] | |||
Total revenue | 3,598 | 3,459 | 3,392 |
Albany Engineered Composites | |||
Disaggregation of Revenue [Line Items] | |||
Total revenue | 425,426 | 310,225 | 327,655 |
Albany Engineered Composites | Point in Time Revenue Recognition | |||
Disaggregation of Revenue [Line Items] | |||
Total revenue | 19,167 | 15,972 | 18,343 |
Albany Engineered Composites | Over Time Revenue Recognition | |||
Disaggregation of Revenue [Line Items] | |||
Total revenue | 406,259 | 294,253 | 309,312 |
ASC | |||
Disaggregation of Revenue [Line Items] | |||
Total revenue | 165,775 | 109,803 | 98,411 |
ASC | Point in Time Revenue Recognition | |||
Disaggregation of Revenue [Line Items] | |||
Total revenue | 0 | 0 | 0 |
ASC | Over Time Revenue Recognition | |||
Disaggregation of Revenue [Line Items] | |||
Total revenue | 165,775 | 109,803 | 98,411 |
Other AEC | |||
Disaggregation of Revenue [Line Items] | |||
Total revenue | 259,651 | 200,422 | 229,244 |
Other AEC | Point in Time Revenue Recognition | |||
Disaggregation of Revenue [Line Items] | |||
Total revenue | 19,167 | 15,972 | 18,343 |
Other AEC | Over Time Revenue Recognition | |||
Disaggregation of Revenue [Line Items] | |||
Total revenue | $ 240,484 | $ 184,450 | $ 210,901 |
Revenue Recognition (Schedule_2
Revenue Recognition (Schedule of Disaggregate MC Segment Revenue by Significant Product or Service) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Disaggregation of Revenue [Line Items] | |||
Net sales | $ 1,034,887 | $ 929,240 | $ 900,610 |
Machine Clothing | |||
Disaggregation of Revenue [Line Items] | |||
Net sales | 609,461 | 619,015 | 572,955 |
Machine Clothing | Americas PMC | |||
Disaggregation of Revenue [Line Items] | |||
Net sales | 321,170 | 317,907 | 297,490 |
Machine Clothing | Eurasia PMC | |||
Disaggregation of Revenue [Line Items] | |||
Net sales | 207,115 | 219,506 | 202,181 |
Machine Clothing | Engineered Fabrics | |||
Disaggregation of Revenue [Line Items] | |||
Net sales | $ 81,176 | $ 81,602 | $ 73,284 |
Revenue Recognition (Narrative)
Revenue Recognition (Narrative) (Details) - USD ($) $ in Millions | Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 |
Revenue Recognition [Abstract] | |||
Revenue, remaining performance obligation, amount | $ 553 | $ 278 | $ 86 |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | |||
Revenue, remaining performance obligation, amount | 553 | $ 278 | $ 86 |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2023-01-01 | |||
Revenue Recognition [Abstract] | |||
Revenue, remaining performance obligation, amount | 131 | ||
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | |||
Revenue, remaining performance obligation, amount | $ 131 | ||
Revenue, remaining performance obligation, expected timing of satisfaction, period | 1 year | ||
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2024-01-01 | |||
Revenue Recognition [Abstract] | |||
Revenue, remaining performance obligation, amount | $ 98 | ||
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | |||
Revenue, remaining performance obligation, amount | $ 98 | ||
Revenue, remaining performance obligation, expected timing of satisfaction, period | 1 year | ||
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2025-01-01 | |||
Revenue Recognition [Abstract] | |||
Revenue, remaining performance obligation, amount | $ 56 | ||
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | |||
Revenue, remaining performance obligation, amount | $ 56 | ||
Revenue, remaining performance obligation, expected timing of satisfaction, period | 1 year |
Reportable Segments and Geogr_3
Reportable Segments and Geographic Data (Narrative) (Details) - USD ($) $ in Thousands | 1 Months Ended | 12 Months Ended | ||||
Mar. 31, 2022 | Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | Sep. 30, 2022 | Oct. 31, 2013 | |
Segment Reporting Information [Line Items] | ||||||
Operating lease expense | $ 6,036 | $ 5,283 | $ 5,448 | |||
Net sales | 1,034,887 | 929,240 | 900,610 | |||
Reserve for uncollectable receivables and inventory | 1,424 | (887) | ||||
Pension charges | $ 49,100 | |||||
Reduction of unfunded pension liabilities | $ 6,200 | |||||
Salt Lake City, Utah | Other Operating Assets and Liabilities | ||||||
Segment Reporting Information [Line Items] | ||||||
Change from finance to operating and included a non-cash increase decrease | 37,100 | |||||
Machine Clothing | ||||||
Segment Reporting Information [Line Items] | ||||||
Net sales | $ 609,461 | 619,015 | 572,955 | |||
Machine Clothing | RUSSIAN FEDERATION | ||||||
Segment Reporting Information [Line Items] | ||||||
Reserve for uncollectable receivables and inventory | $ 1,500 | |||||
Impairment of investment | $ 800 | |||||
Revenue Benchmark | Customer Concentration Risk | SAFRAN Group | ||||||
Segment Reporting Information [Line Items] | ||||||
Concentration risk percentage | 16% | |||||
Revenue Benchmark | US Government Contracts Or Programs | Product Concentration Risk | ||||||
Segment Reporting Information [Line Items] | ||||||
Concentration risk percentage | 46% | |||||
Albany Aerostructures Composites LLC (AAC) | ||||||
Segment Reporting Information [Line Items] | ||||||
Receivables | $ 80,800 | 79,600 | ||||
Safran | ||||||
Segment Reporting Information [Line Items] | ||||||
Operating lease expense | 900 | 900 | ||||
Net sales | $ 169,300 | $ 111,600 | $ 99,000 | |||
Safran | Albany Safran Composites, LLC | ||||||
Segment Reporting Information [Line Items] | ||||||
Ownership percentage of noncontrolling shareholder | 10% | 10% | 10% |
Reportable Segments and Geogr_4
Reportable Segments and Geographic Data (Schedule of Financial Data by Reporting Segment) (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | ||
Sep. 30, 2021 | Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Segment Reporting Information [Line Items] | ||||
Net sales | $ 1,034,887 | $ 929,240 | $ 900,610 | |
Depreciation and amortization | 69,049 | 74,255 | 72,705 | |
Operating income/(loss) | 181,022 | 178,011 | 166,080 | |
Interest income | (3,835) | (2,500) | (2,748) | |
Interest expense | 17,835 | 17,391 | 16,332 | |
Pension settlement expense | 49,128 | 0 | 0 | |
Aviation Manufacturing Jobs Protection (AMJP) grant | $ (5,800) | 0 | (5,832) | 0 |
Other expense, net | (14,086) | 3,021 | 13,422 | |
Income before income taxes | 131,980 | 165,931 | 139,074 | |
Corporate expenses | ||||
Segment Reporting Information [Line Items] | ||||
Depreciation and amortization | 3,364 | 3,662 | 3,905 | |
Operating income/(loss) | (56,771) | (53,803) | (56,261) | |
Reconciling items: | ||||
Segment Reporting Information [Line Items] | ||||
Interest income | (3,835) | (2,500) | (2,748) | |
Interest expense | 17,835 | 17,391 | 16,332 | |
Pension settlement expense | 49,128 | 0 | 0 | |
Aviation Manufacturing Jobs Protection (AMJP) grant | 0 | (5,832) | 0 | |
Other expense, net | (14,086) | 3,021 | 13,422 | |
Machine Clothing | ||||
Segment Reporting Information [Line Items] | ||||
Net sales | 609,461 | 619,015 | 572,955 | |
Machine Clothing | Operating segments | ||||
Segment Reporting Information [Line Items] | ||||
Net sales | 609,461 | 619,015 | 572,955 | |
Depreciation and amortization | 19,483 | 20,191 | 20,304 | |
Operating income/(loss) | 206,214 | 215,654 | 190,805 | |
Albany Engineered Composites | ||||
Segment Reporting Information [Line Items] | ||||
Net sales | 425,426 | 310,225 | 327,655 | |
Albany Engineered Composites | Operating segments | ||||
Segment Reporting Information [Line Items] | ||||
Net sales | 425,426 | 310,225 | 327,655 | |
Depreciation and amortization | 46,202 | 50,402 | 48,496 | |
Operating income/(loss) | $ 31,579 | $ 16,160 | $ 31,536 |
Reportable Segments and Geogr_5
Reportable Segments and Geographic Data (Schedule of Restructuring Costs by Reporting Segment) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Restructuring expenses, net | |||
Consolidated total | $ 106 | $ 1,331 | $ 5,736 |
Corporate expenses | |||
Restructuring expenses, net | |||
Consolidated total | 14 | 97 | 169 |
Machine Clothing | Operating segments | |||
Restructuring expenses, net | |||
Consolidated total | 92 | 1,202 | 2,746 |
Albany Engineered Composites | Operating segments | |||
Restructuring expenses, net | |||
Consolidated total | $ 0 | $ 32 | $ 2,821 |
Reportable Segments and Geogr_6
Reportable Segments and Geographic Data (Schedule of Operating Assets and Capital Expenditures by Reporting Segment) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Segment Reporting, Asset Reconciling Item [Line Items] | |||
Segment assets | $ 1,642,255 | $ 1,556,064 | $ 1,549,936 |
Cash | 291,776 | 302,036 | |
Capital expenditures and purchased software | 96,348 | 53,699 | 42,390 |
Reconciling items: | |||
Segment Reporting, Asset Reconciling Item [Line Items] | |||
Cash | 291,776 | 302,036 | 241,316 |
Income taxes prepaid, receivable and deferred | 23,134 | 28,334 | 44,697 |
Prepaid and Other assets | 153,983 | 113,810 | 106,492 |
Corporate expenses | |||
Segment Reporting, Asset Reconciling Item [Line Items] | |||
Capital expenditures and purchased software | 2,641 | 2,510 | 2,880 |
Machine Clothing | Operating segments | |||
Segment Reporting, Asset Reconciling Item [Line Items] | |||
Segment assets | 455,390 | 459,182 | 443,476 |
Capital expenditures and purchased software | 20,093 | 20,177 | 15,792 |
Albany Engineered Composites | Operating segments | |||
Segment Reporting, Asset Reconciling Item [Line Items] | |||
Segment assets | 717,972 | 652,702 | 713,955 |
Capital expenditures and purchased software | $ 73,614 | $ 31,012 | $ 23,718 |
Reportable Segments and Geogr_7
Reportable Segments and Geographic Data (Schedule of Net Sales and Property, Plant, And Equipment by Geographic Area) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Revenues from External Customers and Long-Lived Assets [Line Items] | |||
Net sales | $ 1,034,887 | $ 929,240 | $ 900,610 |
Property, plant and equipment, net | 445,658 | 436,417 | 448,554 |
United States | |||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||
Net sales | 586,779 | 497,231 | 503,473 |
Property, plant and equipment, net | 278,500 | 258,453 | 263,201 |
Switzerland | |||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||
Net sales | 119,069 | 128,698 | 128,328 |
France | |||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||
Net sales | 76,826 | 68,929 | 55,914 |
Property, plant and equipment, net | 31,382 | 33,802 | 41,107 |
Brazil | |||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||
Net sales | 66,175 | 62,925 | 60,259 |
China | |||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||
Net sales | 63,914 | 67,098 | 57,007 |
Property, plant and equipment, net | 33,432 | 41,039 | 40,898 |
Mexico | |||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||
Net sales | 58,519 | 37,547 | 39,859 |
Property, plant and equipment, net | 42,320 | 40,699 | 41,738 |
Italy | |||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||
Net sales | 20,074 | 21,523 | 12,424 |
Other countries | |||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||
Net sales | 43,531 | 45,289 | 43,346 |
Property, plant and equipment, net | 15,111 | 16,122 | 18,290 |
Canada | |||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||
Property, plant and equipment, net | 14,264 | 14,139 | 9,672 |
Sweden | |||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||
Property, plant and equipment, net | 11,388 | 12,355 | 12,109 |
United Kingdom | |||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||
Property, plant and equipment, net | 9,699 | 10,156 | 10,731 |
Germany | |||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||
Property, plant and equipment, net | $ 9,562 | $ 9,652 | $ 10,808 |
Pensions and Other Postretire_3
Pensions and Other Postretirement Benefit Plans (Narrative) (Details) - USD ($) $ in Thousands | 12 Months Ended | |||
Dec. 31, 2022 | Dec. 31, 2021 | Sep. 30, 2022 | Dec. 31, 2020 | |
Defined Benefit Plan Disclosure [Line Items] | ||||
Pension charges | $ 49,100 | |||
Reduction of unfunded pension liabilities | $ 6,200 | |||
Benefit obligation, employer contributions | $ 7,900 | $ 9,400 | ||
Pension plans | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Reduction of unfunded pension liabilities | (8,801) | (5,463) | ||
Benefit obligation | 83,730 | 230,790 | $ 245,800 | |
Benefit obligation period increase (decrease) | (147,000) | (15,000) | ||
Benefit obligation, settlement | 91,600 | |||
Benefit obligation, net actuarial gain | 46,995 | 7,163 | ||
Other postretirement benefits | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Reduction of unfunded pension liabilities | (35,658) | (44,884) | ||
Benefit obligation | 35,658 | 44,884 | $ 47,977 | |
Benefit obligation period increase (decrease) | (9,200) | (3,100) | ||
Benefit obligation, net actuarial gain | 6,658 | $ 995 | ||
United States | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Accrued postretirement liability | 34,800 | |||
Switzerland | Pension plans | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Benefit obligation | 2,900 | |||
Canada | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Accrued postretirement liability | $ 800 |
Pensions and Other Postretire_4
Pensions and Other Postretirement Benefit Plans (Schedule of Plan Benefit Obligations) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Pension plans | |||
Defined Benefit Plan, Change in Benefit Obligation [Roll Forward] | |||
Benefit obligation, beginning of year | $ 230,790 | $ 245,800 | |
Service cost | 1,371 | 2,192 | $ 2,279 |
Interest cost | 4,917 | 5,467 | |
Plan participants' contributions | 132 | 175 | |
Actuarial (gain)/loss | (46,995) | (7,163) | |
Benefits paid | (7,946) | (9,399) | |
Settlements and curtailments | (90,568) | (3,694) | |
Plan amendments and other | (25) | (122) | |
Foreign currency changes | (7,946) | (2,466) | |
Benefit obligation, end of year | 83,730 | 230,790 | 245,800 |
Accumulated benefit obligation | $ 78,153 | $ 223,320 | |
Pension plans | United States | |||
Defined Benefit Plan, Weighted Average Assumptions Used in Calculating Benefit Obligation [Abstract] | |||
Discount rate | 5.49% | 2.63% | |
Compensation increase | 0% | ||
Pension plans | Foreign Plan | |||
Defined Benefit Plan, Weighted Average Assumptions Used in Calculating Benefit Obligation [Abstract] | |||
Discount rate | 5.15% | 2.41% | |
Compensation increase | 3.08% | 2.70% | |
Pension plans | Switzerland | |||
Defined Benefit Plan, Change in Benefit Obligation [Roll Forward] | |||
Benefit obligation, end of year | $ 2,900 | ||
Defined Benefit Plan, Weighted Average Assumptions Used in Calculating Benefit Obligation [Abstract] | |||
Cash balance interest crediting rate | 2.15% | 0.25% | |
Other postretirement benefits | |||
Defined Benefit Plan, Change in Benefit Obligation [Roll Forward] | |||
Benefit obligation, beginning of year | $ 44,884 | $ 47,977 | |
Service cost | 114 | 132 | 200 |
Interest cost | 1,221 | 1,103 | |
Plan participants' contributions | 0 | 0 | |
Actuarial (gain)/loss | (6,658) | (995) | |
Benefits paid | (3,234) | (3,338) | |
Settlements and curtailments | 0 | 0 | |
Plan amendments and other | (605) | 0 | |
Foreign currency changes | (64) | 5 | |
Benefit obligation, end of year | 35,658 | 44,884 | $ 47,977 |
Accumulated benefit obligation | $ 0 | $ 0 | |
Other postretirement benefits | United States | |||
Defined Benefit Plan, Weighted Average Assumptions Used in Calculating Benefit Obligation [Abstract] | |||
Discount rate | 5.55% | 2.83% | |
Compensation increase | 0% | ||
Other postretirement benefits | Foreign Plan | |||
Defined Benefit Plan, Weighted Average Assumptions Used in Calculating Benefit Obligation [Abstract] | |||
Discount rate | 5.20% | 3.05% | |
Compensation increase | 2.75% | 2.75% | |
Other postretirement benefits | Switzerland | |||
Defined Benefit Plan, Weighted Average Assumptions Used in Calculating Benefit Obligation [Abstract] | |||
Cash balance interest crediting rate | 0% | 0% |
Pensions and Other Postretire_5
Pensions and Other Postretirement Benefit Plans (Schedule of Plan Assets) (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2022 | Dec. 31, 2021 | |
Pension plans | ||
Defined Benefit Plan, Change in Fair Value of Plan Assets [Roll Forward] | ||
Fair value of plan assets, beginning of year | $ 225,327 | $ 239,051 |
Actual return on plan assets, net of expenses | (57,868) | (2,648) |
Employer contributions | 15,071 | 2,431 |
Plan participants' contributions | 132 | 175 |
Benefits paid | (7,946) | (9,399) |
Settlements | (90,568) | (3,694) |
Foreign currency changes | (9,219) | (589) |
Fair value of plan assets, end of year | 74,929 | 225,327 |
Other postretirement benefits | ||
Defined Benefit Plan, Change in Fair Value of Plan Assets [Roll Forward] | ||
Fair value of plan assets, beginning of year | 0 | 0 |
Actual return on plan assets, net of expenses | 0 | 0 |
Employer contributions | 3,234 | 3,338 |
Plan participants' contributions | 0 | 0 |
Benefits paid | (3,234) | (3,338) |
Settlements | 0 | 0 |
Foreign currency changes | 0 | 0 |
Fair value of plan assets, end of year | $ 0 | $ 0 |
Pensions and Other Postretire_6
Pensions and Other Postretirement Benefit Plans (Schedule of Funded Status of Plans and Composition of Accrued Pension Cost) (Details) - USD ($) $ in Thousands | Dec. 31, 2022 | Sep. 30, 2022 | Dec. 31, 2021 | Dec. 31, 2020 |
Defined Benefit Plan Disclosure [Line Items] | ||||
Funded status | $ 6,200 | |||
Noncurrent asset | $ 16,200 | $ 32,500 | ||
Pension plans | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair value of plan assets | 74,929 | 225,327 | $ 239,051 | |
Benefit obligation | 83,730 | 230,790 | 245,800 | |
Funded status | (8,801) | (5,463) | ||
Noncurrent asset | 16,234 | 32,504 | ||
Current liability | (1,974) | (7,116) | ||
Noncurrent liability | (23,061) | (30,851) | ||
Net amount recognized | (8,801) | (5,463) | ||
Net actuarial loss | 17,915 | 52,138 | ||
Prior service cost/(credit) | (134) | 256 | ||
Net amount recognized | 17,781 | 52,394 | ||
Other postretirement benefits | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Fair value of plan assets | 0 | 0 | 0 | |
Benefit obligation | 35,658 | 44,884 | $ 47,977 | |
Funded status | (35,658) | (44,884) | ||
Noncurrent asset | 0 | 0 | ||
Current liability | (3,660) | (3,627) | ||
Noncurrent liability | (31,998) | (41,257) | ||
Net amount recognized | (35,658) | (44,884) | ||
Net actuarial loss | 8,958 | 17,483 | ||
Prior service cost/(credit) | (4,574) | (8,458) | ||
Net amount recognized | $ 4,384 | $ 9,025 |
Pensions and Other Postretire_7
Pensions and Other Postretirement Benefit Plans (Schedule of Net Pension Plan Funded Status) (Details) - Pension plans - USD ($) $ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 |
Defined Benefit Plan Disclosure [Line Items] | ||
Assets for plan benefits, defined benefit plan | $ 16,234 | |
Pension plans without pension assets | (25,035) | |
Net amount recognized | (8,801) | $ (5,463) |
United States | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Assets for plan benefits, defined benefit plan | 0 | |
Pension plans without pension assets | (4,161) | |
Net amount recognized | (4,161) | |
Foreign Plan | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Assets for plan benefits, defined benefit plan | 16,234 | |
Pension plans without pension assets | (20,874) | |
Net amount recognized | $ (4,640) |
Pensions and Other Postretire_8
Pensions and Other Postretirement Benefit Plans (Schedule of Net Periodic Benefit Plan Cost) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Pension plans | |||
Defined Benefit Plan, Net Periodic Benefit Cost (Credit) [Abstract] | |||
Service cost | $ 1,371 | $ 2,192 | $ 2,279 |
Interest cost | 4,917 | 5,467 | 6,172 |
Expected return on assets | (5,979) | (6,564) | (6,853) |
Amortization of prior service cost/(credit) | (8) | 13 | 14 |
Amortization of net actuarial loss | 1,377 | 2,365 | 2,412 |
Settlement | 49,128 | 0 | 148 |
Curtailment (gain)/loss | 0 | 0 | 263 |
Net periodic benefit cost | $ 50,806 | $ 3,473 | $ 4,435 |
Pension plans | United States | |||
Defined Benefit Plan, Weighted Average Assumptions Used in Calculating Net Periodic Benefit Cost [Abstract] | |||
Discount rate | 2.63% | 2.65% | 3.40% |
Expected return on plan assets | 3.07% | 2.74% | 3.54% |
Rate of compensation increase | 0% | 0% | 0% |
Pension plans | Foreign Plan | |||
Defined Benefit Plan, Weighted Average Assumptions Used in Calculating Net Periodic Benefit Cost [Abstract] | |||
Discount rate | 2.41% | 1.91% | 2.31% |
Expected return on plan assets | 3.31% | 2.89% | 3.45% |
Rate of compensation increase | 2.70% | 2.71% | 2.81% |
Pension plans | Switzerland | |||
Defined Benefit Plan, Weighted Average Assumptions Used in Calculating Net Periodic Benefit Cost [Abstract] | |||
Cash balance interest crediting rate | 0.25% | 0.05% | 0.25% |
Other postretirement benefits | |||
Defined Benefit Plan, Net Periodic Benefit Cost (Credit) [Abstract] | |||
Service cost | $ 114 | $ 132 | $ 200 |
Interest cost | 1,221 | 1,103 | 1,712 |
Expected return on assets | 0 | 0 | 0 |
Amortization of prior service cost/(credit) | (4,488) | (4,488) | (4,488) |
Amortization of net actuarial loss | 1,883 | 2,260 | 2,592 |
Settlement | 0 | 0 | 0 |
Curtailment (gain)/loss | 0 | 0 | 0 |
Net periodic benefit cost | $ (1,270) | $ (993) | $ 16 |
Other postretirement benefits | United States | |||
Defined Benefit Plan, Weighted Average Assumptions Used in Calculating Net Periodic Benefit Cost [Abstract] | |||
Discount rate | 2.83% | 2.38% | 3.27% |
Expected return on plan assets | 0% | 0% | 0% |
Rate of compensation increase | 0% | 0% | 0% |
Other postretirement benefits | Foreign Plan | |||
Defined Benefit Plan, Weighted Average Assumptions Used in Calculating Net Periodic Benefit Cost [Abstract] | |||
Discount rate | 3.05% | 2.75% | 3.05% |
Expected return on plan assets | 0% | 0% | 0% |
Rate of compensation increase | 2.75% | 2.75% | 3% |
Other postretirement benefits | Switzerland | |||
Defined Benefit Plan, Weighted Average Assumptions Used in Calculating Net Periodic Benefit Cost [Abstract] | |||
Cash balance interest crediting rate | 0% | 0% | 0% |
Pensions and Other Postretire_9
Pensions and Other Postretirement Benefit Plans (Schedule of (Gains)/Losses Recognized in Other Comprehensive Income) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Other Comprehensive (Income) Loss, Defined Benefit Plan, after Reclassification Adjustment, before Tax [Abstract] | |||
Asset/liability loss/(gain) | $ 2,292 | $ 2,259 | $ (13,407) |
Amortization of actuarial (loss) | (3,260) | (4,625) | (5,004) |
Amortization of prior service cost/(credit) | 4,497 | 4,475 | 4,474 |
Pension plans | |||
Other Comprehensive (Income) Loss, Defined Benefit Plan, after Reclassification Adjustment, before Tax [Abstract] | |||
Settlements/curtailments | (49,128) | 0 | (411) |
Asset/liability loss/(gain) | 16,828 | 1,927 | (8,053) |
Amortization of actuarial (loss) | (1,377) | (2,365) | (2,412) |
Amortization of prior service cost/(credit) | 8 | (13) | (14) |
Other | 0 | 0 | (204) |
Currency impact | (944) | (612) | 670 |
Cost/(benefit) in Other comprehensive income | (34,613) | (1,063) | (10,424) |
Other postretirement benefits | |||
Other Comprehensive (Income) Loss, Defined Benefit Plan, after Reclassification Adjustment, before Tax [Abstract] | |||
Settlements/curtailments | 0 | 0 | 0 |
Asset/liability loss/(gain) | (6,658) | (995) | (4,794) |
Amortization of actuarial (loss) | (1,883) | (2,260) | (2,592) |
Amortization of prior service cost/(credit) | 3,884 | 4,488 | 4,488 |
Other | 0 | 0 | 0 |
Currency impact | 15 | 2 | 3 |
Cost/(benefit) in Other comprehensive income | $ (4,642) | $ 1,235 | $ (2,895) |
Pensions and Other Postretir_10
Pensions and Other Postretirement Benefit Plans (Schedule of Fair Value of Plan Assets) (Details) - Pension plans - USD ($) $ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 |
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | $ 74,929 | $ 225,327 | $ 239,051 |
Fair Value, Recurring | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | 74,929 | 225,327 | |
Fair Value, Inputs, Level 1 | Fair Value, Recurring | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | 548 | 724 | |
Fair Value, Inputs, Level 2 | Fair Value, Recurring | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | 1,003 | 98,252 | |
Fair Value, Inputs, Level 3 | Fair Value, Recurring | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | 2,418 | 3,861 | |
Fair Value, Inputs, Level 1, 2 and 3 | Fair Value, Recurring | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | 3,969 | 102,837 | |
Common Stocks and equity funds | Fair Value, Inputs, Level 1 | Fair Value, Recurring | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | 0 | 0 | |
Common Stocks and equity funds | Fair Value, Inputs, Level 2 | Fair Value, Recurring | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | 0 | 0 | |
Common Stocks and equity funds | Fair Value, Inputs, Level 3 | Fair Value, Recurring | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | 0 | 0 | |
Common Stocks and equity funds | Fair Value, Inputs, Level 1, 2 and 3 | Fair Value, Recurring | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | 0 | 0 | |
Common Stocks and equity funds | Fair Value Measured at Net Asset Value Per Share | Fair Value, Recurring | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | 13,069 | 18,963 | |
Debt securities | Fair Value, Inputs, Level 1 | Fair Value, Recurring | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | 0 | 0 | |
Debt securities | Fair Value, Inputs, Level 2 | Fair Value, Recurring | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | 1,003 | 98,252 | |
Debt securities | Fair Value, Inputs, Level 3 | Fair Value, Recurring | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | 0 | 0 | |
Debt securities | Fair Value, Inputs, Level 1, 2 and 3 | Fair Value, Recurring | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | 1,003 | 98,252 | |
Insurance contracts | Fair Value, Inputs, Level 1 | Fair Value, Recurring | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | 0 | 0 | |
Insurance contracts | Fair Value, Inputs, Level 2 | Fair Value, Recurring | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | 0 | 0 | |
Insurance contracts | Fair Value, Inputs, Level 3 | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | 2,418 | 3,861 | $ 3,819 |
Insurance contracts | Fair Value, Inputs, Level 3 | Fair Value, Recurring | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | 2,418 | 3,861 | |
Insurance contracts | Fair Value, Inputs, Level 1, 2 and 3 | Fair Value, Recurring | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | 2,418 | 3,861 | |
Cash and short-term investments | Fair Value, Inputs, Level 1 | Fair Value, Recurring | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | 548 | 724 | |
Cash and short-term investments | Fair Value, Inputs, Level 2 | Fair Value, Recurring | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | 0 | 0 | |
Cash and short-term investments | Fair Value, Inputs, Level 3 | Fair Value, Recurring | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | 0 | 0 | |
Cash and short-term investments | Fair Value, Inputs, Level 1, 2 and 3 | Fair Value, Recurring | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | 548 | 724 | |
Fixed income funds | Fair Value Measured at Net Asset Value Per Share | Fair Value, Recurring | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | 57,891 | 101,843 | |
Limited partnerships | Fair Value Measured at Net Asset Value Per Share | Fair Value, Recurring | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | $ 0 | $ 1,684 |
Pensions and Other Postretir_11
Pensions and Other Postretirement Benefit Plans (Reconciliation of Level 3 Assets) (Details) - Pension plans - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2022 | Dec. 31, 2021 | |
Defined Benefit Plan, Change in Fair Value of Plan Assets [Roll Forward] | ||
Fair value of plan assets, beginning of year | $ 225,327 | $ 239,051 |
Fair value of plan assets, end of year | 74,929 | 225,327 |
Insurance contracts | Fair Value, Inputs, Level 3 | ||
Defined Benefit Plan, Change in Fair Value of Plan Assets [Roll Forward] | ||
Fair value of plan assets, beginning of year | 3,861 | 3,819 |
Net realized gains | 0 | 0 |
Net unrealized gains | 20 | 24 |
Net purchases, issuances and settlements | (1,463) | 18 |
Net transfers (out of) Level 3 | 0 | 0 |
Fair value of plan assets, end of year | $ 2,418 | $ 3,861 |
Pensions and Other Postretir_12
Pensions and Other Postretirement Benefit Plans (Schedule of Asset Allocation) (Details) | Dec. 31, 2022 | Dec. 31, 2021 |
United States | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Target Allocation | 0% | |
Percentage of plan assets at plan measurement date | 0% | 100% |
United States | Common Stocks and equity funds | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Percentage of plan assets at plan measurement date | 0% | |
United States | Debt securities | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Percentage of plan assets at plan measurement date | 98% | |
United States | Real estate | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Percentage of plan assets at plan measurement date | 2% | |
United States | Other | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Percentage of plan assets at plan measurement date | 0% | |
Foreign Plan | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Target Allocation | 100% | |
Percentage of plan assets at plan measurement date | 100% | 100% |
Foreign Plan | Common Stocks and equity funds | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Target Allocation | 14% | |
Percentage of plan assets at plan measurement date | 15% | 13% |
Foreign Plan | Debt securities | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Target Allocation | 81% | |
Percentage of plan assets at plan measurement date | 76% | 80% |
Foreign Plan | Real estate | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Target Allocation | 1% | |
Percentage of plan assets at plan measurement date | 1% | 1% |
Foreign Plan | Other | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Target Allocation | 4% | |
Percentage of plan assets at plan measurement date | 8% | 6% |
Pensions and Other Postretir_13
Pensions and Other Postretirement Benefit Plans (Schedule of Pension Plans with Projected Benefit Obligation and Accumulated Benefit Obligation in Excess of Plan Assets) (Details) - USD ($) $ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 |
Defined Benefit Plan, Pension Plan with Project Benefit Obligation in Excess of Plan Assets [Abstract] | ||
Projected benefit obligation | $ 28,458 | $ 142,007 |
Fair value of plan assets | 3,422 | 104,041 |
Defined Benefit Plan, Plan with Accumulated Benefit Obligation in Excess of Plan Assets [Abstract] | ||
Accumulated benefit obligation | 25,941 | 139,600 |
Fair value of plan assets | $ 3,422 | $ 104,041 |
Pensions and Other Postretir_14
Pensions and Other Postretirement Benefit Plans (Schedule of Expected Cash Flows) (Details) $ in Thousands | Dec. 31, 2022 USD ($) |
Pension plans | |
Defined Benefit Plan Disclosure [Line Items] | |
Expected employer contributions and direct employer payments in the next fiscal year | $ 2,151 |
2023 | 4,495 |
2024 | 4,809 |
2025 | 5,181 |
2026 | 5,513 |
2027 | 5,337 |
2028-2032 | 29,238 |
Other postretirement benefits | |
Defined Benefit Plan Disclosure [Line Items] | |
Expected employer contributions and direct employer payments in the next fiscal year | 3,660 |
2023 | 3,660 |
2024 | 3,541 |
2025 | 3,408 |
2026 | 3,281 |
2027 | 3,158 |
2028-2032 | $ 13,928 |
Restructuring (Schedule of Rest
Restructuring (Schedule of Restructuring Charges) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Restructuring expenses, net | |||
Restructuring expenses, net | $ 106 | $ 1,331 | $ 5,736 |
Termination and other costs | |||
Restructuring expenses, net | |||
Restructuring expenses, net | 106 | 1,331 | 5,736 |
Impairment of assets | |||
Restructuring expenses, net | |||
Restructuring expenses, net | 0 | 0 | 0 |
Operating segments | Machine Clothing | |||
Restructuring expenses, net | |||
Restructuring expenses, net | 92 | 1,202 | 2,746 |
Operating segments | Albany Engineered Composites | |||
Restructuring expenses, net | |||
Restructuring expenses, net | 0 | 32 | 2,821 |
Operating segments | Termination and other costs | Machine Clothing | |||
Restructuring expenses, net | |||
Restructuring expenses, net | 92 | 1,202 | 2,746 |
Operating segments | Termination and other costs | Albany Engineered Composites | |||
Restructuring expenses, net | |||
Restructuring expenses, net | 0 | 32 | 2,821 |
Operating segments | Impairment of assets | Machine Clothing | |||
Restructuring expenses, net | |||
Restructuring expenses, net | 0 | 0 | 0 |
Operating segments | Impairment of assets | Albany Engineered Composites | |||
Restructuring expenses, net | |||
Restructuring expenses, net | 0 | 0 | 0 |
Corporate expenses | |||
Restructuring expenses, net | |||
Restructuring expenses, net | 14 | 97 | 169 |
Corporate expenses | Termination and other costs | |||
Restructuring expenses, net | |||
Restructuring expenses, net | 14 | 97 | 169 |
Corporate expenses | Impairment of assets | |||
Restructuring expenses, net | |||
Restructuring expenses, net | $ 0 | $ 0 | $ 0 |
Restructuring (Schedule of Re_2
Restructuring (Schedule of Restructuring Liability) (Details) - USD ($) | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Restructuring Reserve [Roll Forward] | |||
Restructuring expenses, net | $ 106,000 | $ 1,331,000 | $ 5,736,000 |
Ending balance | 0 | ||
Employee Severance | |||
Restructuring Reserve [Roll Forward] | |||
Beginning balance | 1,045,000 | 2,195,000 | |
Restructuring expenses, net | 106,000 | 1,331,000 | |
Payments | (1,079,000) | (2,469,000) | |
Currency translation/other | (72,000) | (12,000) | |
Ending balance | $ 0 | $ 1,045,000 | $ 2,195,000 |
Other expense_(income), net (De
Other expense/(income), net (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Other Income and Expenses [Abstract] | |||
Currency transactions | $ (9,996) | $ (1,179) | $ 13,569 |
Sale of IP addresses | (3,420) | 0 | 0 |
Bank fees and amortization of debt issuance costs | 313 | 373 | 367 |
Components of net periodic pension and postretirement cost other than service | (1,077) | 156 | 1,561 |
Other | 94 | 3,671 | (2,075) |
Total | $ (14,086) | $ 3,021 | $ 13,422 |
Other expense_(income), net (Na
Other expense/(income), net (Narrative) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Other Income and Expenses [Abstract] | |||
Current transactions | $ 9,996 | $ 1,179 | $ (13,569) |
Gain in OCI on loans impacted by business conditions | $ 5,000 | ||
Gain on sale of IP address | $ 3,400 |
Income Taxes (Narrative) (Detai
Income Taxes (Narrative) (Details) $ in Millions | 12 Months Ended | ||
Dec. 31, 2022 USD ($) state | Dec. 31, 2021 | Dec. 31, 2020 | |
Income Tax Disclosure [Line Items] | |||
Net tax benefit | $ 5.2 | ||
Other tax expense (benefit) | $ 3.8 | ||
Number of countries outside the United States which constitute a taxable presence | state | 18 | ||
U.S. federal statutory tax rate | 21% | 21% | 21% |
Current year and prior year earnings of Company's foreign operations | $ 215.3 | ||
Foreign withholding taxes | 4.4 | ||
Reduction in provisional transition tax | 1.5 | ||
Undistributed earnings of foreign subsidiaries | 201.6 | ||
Unrecognized tax benefit that would impact the effective tax rate | $ 0.8 | ||
Brazil | |||
Income Tax Disclosure [Line Items] | |||
U.S. federal statutory tax rate | 34% | ||
China | |||
Income Tax Disclosure [Line Items] | |||
U.S. federal statutory tax rate | 25% | ||
Mexico | |||
Income Tax Disclosure [Line Items] | |||
U.S. federal statutory tax rate | 30% | ||
Switzerland | |||
Income Tax Disclosure [Line Items] | |||
U.S. federal statutory tax rate | 7.80% |
Income Taxes (Schedule of Incom
Income Taxes (Schedule of Income/(Loss) From Continuing Operations) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Income Tax Disclosure [Abstract] | |||
Income/(loss) before income taxes, U.S. | $ 20,422 | $ 63,708 | $ 63,375 |
Income/(loss) before income taxes, Non-U.S. | 111,558 | 102,223 | 75,699 |
Income before income taxes | 131,980 | 165,931 | 139,074 |
Current: | |||
Federal | 9,781 | 3,348 | 1,415 |
State | 5,126 | 2,663 | 2,028 |
Non-U.S. | 28,605 | 29,319 | 26,916 |
Current income tax provision | 43,512 | 35,330 | 30,359 |
Deferred: | |||
Federal | (9,592) | 9,911 | 11,211 |
State | (1,866) | (24) | 192 |
Non-U.S. | 3,418 | 1,946 | 69 |
Deferred income tax provision | (8,040) | 11,833 | 11,472 |
Total income tax expense | $ 35,472 | $ 47,163 | $ 41,831 |
Income Taxes (Reconciliation of
Income Taxes (Reconciliation of the U.S. Federal Statutory Tax Rate to the Company's Effective Income Tax Rate) (Details) | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Income Tax Disclosure [Abstract] | |||
U.S. federal statutory tax rate | 21% | 21% | 21% |
State taxes, net of federal benefit | 2.50% | 1.80% | 1.80% |
Non-U.S. local income taxes | 3.80% | 2.50% | 3.20% |
U.S. permanent adjustments | 1.40% | 1.10% | 0.10% |
Foreign permanent adjustments | (2.10%) | 0.30% | 0% |
Foreign rate differential | 3.10% | 1.20% | 0.60% |
Net U.S. tax on non-U.S. earnings and foreign withholdings | 3.50% | 2.10% | 1.20% |
Provision for/(resolution) of tax audits and contingencies, net | 0.30% | 0.10% | 0.50% |
U.S. Pension Settlement - Release of Residual Tax Effect | (4.00%) | 0% | 0% |
Tax effect of non-deductible foreign exchange loss on intercompany loan | 0% | 0% | 2.70% |
Impact of amended tax returns | (0.10%) | (1.30%) | 0% |
Return to provision | (1.10%) | (1.40%) | (1.60%) |
Other adjustments | (1.40%) | 1% | 0.60% |
Effective income tax rate | 26.90% | 28.40% | 30.10% |
Income Taxes (Schedule of Defer
Income Taxes (Schedule of Deferred Tax Assets and Liabilities) (Details) - USD ($) $ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 |
U.S. | ||
Income Tax Disclosure [Line Items] | ||
Net deferred tax (liability)/asset | $ (4,800) | |
Net deferred tax (liability)/asset | $ 6,841 | |
Non-U.S. | ||
Income Tax Disclosure [Line Items] | ||
Net deferred tax (liability)/asset | 4,907 | 8,084 |
Deferred tax assets: | U.S. | ||
Income Tax Disclosure [Line Items] | ||
Accounts receivable, net | 436 | 428 |
Inventories | 1,807 | 1,450 |
Incentive compensation | 4,619 | 4,580 |
Property, plant, equipment and intangibles, net | 0 | 0 |
Pension, post retirement benefits - non-current | 9,141 | 12,912 |
Tax loss carryforwards | 239 | 217 |
Tax credit carryforwards | 2,635 | 4,643 |
Derivatives | 0 | 468 |
Leases | 7,597 | 1,658 |
Reserves | 721 | 991 |
Deferred revenue | 761 | 239 |
Other | 47 | 329 |
Deferred tax assets before valuation allowance | 28,003 | 27,915 |
Less: valuation allowance | (8) | (9) |
Total deferred tax assets | 27,995 | 27,906 |
Deferred tax assets: | Non-U.S. | ||
Income Tax Disclosure [Line Items] | ||
Accounts receivable, net | 1,300 | 1,378 |
Inventories | 1,111 | 1,752 |
Incentive compensation | 1,333 | 1,084 |
Property, plant, equipment and intangibles, net | 1,892 | 4,339 |
Pension, post retirement benefits - non-current | 0 | 0 |
Tax loss carryforwards | 14,201 | 19,821 |
Tax credit carryforwards | 0 | 0 |
Derivatives | 0 | 0 |
Leases | 0 | 0 |
Reserves | 0 | 0 |
Deferred revenue | 0 | 0 |
Other | 1,707 | 1,791 |
Deferred tax assets before valuation allowance | 21,544 | 30,165 |
Less: valuation allowance | (9,778) | (10,650) |
Total deferred tax assets | 11,766 | 19,515 |
Deferred tax liabilities: | U.S. | ||
Income Tax Disclosure [Line Items] | ||
Unrepatriated foreign earnings | 5,827 | 6,308 |
Property, plant, equipment and intangibles, net | 3,084 | 5,356 |
Basis difference in partner capital | 2,161 | 2,466 |
Basis difference in investment | 4,173 | 3,985 |
Derivatives | 5,941 | 0 |
Leases | 11,609 | 2,950 |
Deferred revenue | 0 | 0 |
Other | 0 | 0 |
Total deferred tax liabilities | 32,795 | 21,065 |
Deferred tax liabilities: | Non-U.S. | ||
Income Tax Disclosure [Line Items] | ||
Unrepatriated foreign earnings | 0 | 0 |
Property, plant, equipment and intangibles, net | 0 | 0 |
Basis difference in partner capital | 0 | 0 |
Basis difference in investment | 0 | 0 |
Derivatives | 0 | 0 |
Leases | 0 | 0 |
Deferred revenue | 6,440 | 10,829 |
Other | 419 | 602 |
Total deferred tax liabilities | $ 6,859 | $ 11,431 |
Income Taxes (Schedule of Opera
Income Taxes (Schedule of Operating and Capital Carryforwards and Tax Credit Carryforward) (Details) $ in Thousands | Dec. 31, 2022 USD ($) |
Income Tax Disclosure [Line Items] | |
Net Operating and Capital Loss Carryforwards | $ 50,075 |
Tax credit carryforward | 3,194 |
U.S. | 2025 - 2040 | |
Income Tax Disclosure [Line Items] | |
Tax credit carryforward | 2,792 |
State and Local Jurisdiction | 2027 - 2041 | |
Income Tax Disclosure [Line Items] | |
Net Operating and Capital Loss Carryforwards | 3,973 |
Tax credit carryforward | 402 |
State and Local Jurisdiction | Indefinite | |
Income Tax Disclosure [Line Items] | |
Net Operating and Capital Loss Carryforwards | 0 |
Non-U.S. | Indefinite | |
Income Tax Disclosure [Line Items] | |
Net Operating and Capital Loss Carryforwards | 37,008 |
Non-U.S. | 2025 - 2030 | |
Income Tax Disclosure [Line Items] | |
Net Operating and Capital Loss Carryforwards | $ 9,094 |
Income Taxes (Reconciliation _2
Income Taxes (Reconciliation of the Beginning and Ending Amount of Unrecognized Tax Benefits) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Reconciliation of Unrecognized Tax Benefits, Excluding Amounts Pertaining to Examined Tax Returns [Roll Forward] | |||
Unrecognized tax benefits balance at January 1, | $ 1,459 | $ 5,491 | $ 5,834 |
Increase in gross amounts of tax positions related to prior years | 399 | 278 | 540 |
Decrease in gross amounts of tax positions related to prior years | (929) | (4,236) | (637) |
Increase in gross amounts of tax positions related to current years | 37 | 0 | 0 |
Decrease due to settlements with tax authorities | 0 | 0 | 0 |
Decrease due to lapse in statute of limitations | 0 | (39) | (300) |
Currency translation | (174) | (35) | |
Currency translation | 54 | ||
Unrecognized tax benefits balance at December 31 | $ 792 | $ 1,459 | $ 5,491 |
Earnings Per Share (Details)
Earnings Per Share (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Earnings Per Share [Abstract] | |||
Net income attributable to the Company | $ 95,762 | $ 118,478 | $ 98,589 |
Weighted average number of shares: | |||
Weighted average number of shares used in calculating basic net income per share (in shares) | 31,339 | 32,348 | 32,329 |
Effect of dilutive stock-based compensation plans: | |||
Stock options | 0 | 2 | 7 |
Long-term incentive plans | 116 | 113 | 20 |
Weighted average number of shares used in calculating diluted net income per share (in shares) | 31,455 | 32,463 | 32,356 |
Average market price of common stock used for calculation of dilutive shares (in dollars per share) | $ 87.27 | $ 82.88 | $ 58.56 |
Net income per share: | |||
Earnings per share attributable to Company shareholders - Basic (in dollars per share) | 3.06 | 3.66 | 3.05 |
Earnings per share attributable to Company shareholders - Diluted (in dollars per share) | $ 3.04 | $ 3.65 | $ 3.05 |
Common stock, shares, outstanding (in shares) | 31,100 | 32,100 | 32,300 |
Accumulated Other Comprehensi_3
Accumulated Other Comprehensive Income (AOCI) (Schedule of Accumulated Other Comprehensive Income) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
AOCI Including Portion Attributable to Noncontrolling Interest, Net of Tax [Roll Forward] | |||
Balance at end of the period | $ 877,605 | $ 819,865 | $ 702,689 |
Pension settlement expense, net of tax | 26,198 | ||
Balance at end of the period | 867,543 | 877,605 | 819,865 |
Translation adjustments | |||
AOCI Including Portion Attributable to Noncontrolling Interest, Net of Tax [Roll Forward] | |||
Balance at end of the period | (105,880) | (83,203) | (122,852) |
Other comprehensive income/(loss) before reclassifications | (40,971) | (22,677) | 39,649 |
Pension settlement expense, net of tax | 0 | ||
Pension/postretirement settlements and curtailments, net of tax | 0 | ||
Pension/postretirement plan remeasurement, net of tax | 0 | 0 | 0 |
Interest expense related to swaps reclassified to the Statements of Income, net of tax | 0 | 0 | 0 |
Pension and postretirement liability adjustments reclassified to Statements of Income, net of tax | 0 | 0 | 0 |
Net current period other comprehensive income | (40,971) | (22,677) | 39,649 |
Balance at end of the period | (146,851) | (105,880) | (83,203) |
Pension and postretirement liability adjustments | |||
AOCI Including Portion Attributable to Noncontrolling Interest, Net of Tax [Roll Forward] | |||
Balance at end of the period | (38,490) | (39,661) | (49,994) |
Other comprehensive income/(loss) before reclassifications | 0 | 1,869 | (722) |
Pension settlement expense, net of tax | 26,198 | ||
Pension/postretirement settlements and curtailments, net of tax | 283 | ||
Pension/postretirement plan remeasurement, net of tax | (2,663) | (796) | 10,390 |
Interest expense related to swaps reclassified to the Statements of Income, net of tax | 0 | 0 | 0 |
Pension and postretirement liability adjustments reclassified to Statements of Income, net of tax | (828) | 98 | 382 |
Net current period other comprehensive income | 22,707 | 1,171 | 10,333 |
Balance at end of the period | (15,783) | (38,490) | (39,661) |
Derivative valuation adjustment | |||
AOCI Including Portion Attributable to Noncontrolling Interest, Net of Tax [Roll Forward] | |||
Balance at end of the period | (1,614) | (9,544) | (3,135) |
Other comprehensive income/(loss) before reclassifications | 18,971 | 2,812 | (9,363) |
Pension settlement expense, net of tax | 0 | ||
Pension/postretirement settlements and curtailments, net of tax | 0 | ||
Pension/postretirement plan remeasurement, net of tax | 0 | 0 | 0 |
Interest expense related to swaps reclassified to the Statements of Income, net of tax | 350 | 5,118 | 2,954 |
Pension and postretirement liability adjustments reclassified to Statements of Income, net of tax | 0 | 0 | 0 |
Net current period other comprehensive income | 19,321 | 7,930 | (6,409) |
Balance at end of the period | 17,707 | (1,614) | (9,544) |
AOCI Attributable to Parent | |||
AOCI Including Portion Attributable to Noncontrolling Interest, Net of Tax [Roll Forward] | |||
Balance at end of the period | (145,984) | (132,408) | (175,981) |
Other comprehensive income/(loss) before reclassifications | (22,000) | (17,996) | 29,564 |
Pension settlement expense, net of tax | 26,198 | ||
Pension/postretirement settlements and curtailments, net of tax | 283 | ||
Pension/postretirement plan remeasurement, net of tax | (2,663) | (796) | 10,390 |
Interest expense related to swaps reclassified to the Statements of Income, net of tax | 350 | 5,118 | 2,954 |
Pension and postretirement liability adjustments reclassified to Statements of Income, net of tax | (828) | 98 | 382 |
Net current period other comprehensive income | 1,057 | (13,576) | 43,573 |
Balance at end of the period | $ (144,927) | $ (145,984) | $ (132,408) |
Accumulated Other Comprehensi_4
Accumulated Other Comprehensive Income (AOCI) (Schedule of Items Reclassified to Statement of Income) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | |||
Expense related to interest rate swaps included in Income before taxes | $ 17,835 | $ 17,391 | $ 16,332 |
Income tax effect | (35,472) | (47,163) | (41,831) |
Effect on net income due to items reclassified from Accumulated Other Comprehensive Income | 95,762 | 118,478 | 98,589 |
Prior service credit | (4,497) | (4,475) | (4,474) |
Amortization of actuarial (loss) | 3,260 | 4,625 | 5,004 |
Total pretax amount reclassified | 131,980 | 165,931 | 139,074 |
Reclassification out of Accumulated Other Comprehensive Income | Derivative Valuation Adjustments | |||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | |||
Expense related to interest rate swaps included in Income before taxes | 468 | 6,852 | 3,982 |
Income tax effect | (118) | (1,734) | (1,028) |
Effect on net income due to items reclassified from Accumulated Other Comprehensive Income | 350 | 5,118 | 2,954 |
Reclassification out of Accumulated Other Comprehensive Income | Pension and postretirement liability adjustments | |||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | |||
Income tax effect | (16,051) | (52) | (276) |
Effect on net income due to items reclassified from Accumulated Other Comprehensive Income | 25,369 | 98 | 665 |
Reclassification of loss on pension settlement | 42,657 | 0 | 411 |
Prior service credit | (4,497) | (4,475) | (4,474) |
Amortization of actuarial (loss) | 3,260 | 4,625 | 5,004 |
Total pretax amount reclassified | $ 41,420 | $ 150 | $ 941 |
Noncontrolling Interest (Detail
Noncontrolling Interest (Details) - Albany Safran Composites, LLC - USD ($) $ in Millions | 1 Months Ended | ||
Oct. 31, 2013 | Dec. 31, 2022 | Dec. 31, 2021 | |
Noncontrolling Interest [Line Items] | |||
Subsidiary or equity method investee, cumulative percentage ownership after all transactions | 90% | ||
Subsidiary or equity method investee, cumulative proceeds received on all transactions | $ 28 | ||
Noncontrolling interest, ownership percentage by parent | 90% | ||
Safran | |||
Noncontrolling Interest [Line Items] | |||
Ownership percentage of noncontrolling shareholder | 10% | 10% | 10% |
Noncontrolling Interest - Incom
Noncontrolling Interest - Income attributable to the noncontrolling interest and noncontrolling equity (Details) - USD ($) $ in Thousands | 12 Months Ended | |||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | Oct. 31, 2013 | |
Noncontrolling Interest [Line Items] | ||||
Net income | $ 96,508 | $ 118,768 | $ 97,243 | |
Net income/(loss) of ASC available for common ownership | 95,762 | 118,478 | 98,589 | |
Net income/(loss) attributable to noncontrolling interest | 746 | 290 | (1,346) | |
Stockholders' Equity Attributable to Noncontrolling Interest [Roll Forward] | ||||
Noncontrolling interest, beginning of year | 3,638 | |||
Net income/(loss) attributable to noncontrolling interest | 746 | 290 | (1,346) | |
Noncontrolling interest, end of year | 4,494 | 3,638 | ||
Albany Safran Composites, LLC | ||||
Noncontrolling Interest [Line Items] | ||||
Net income | 8,720 | 4,227 | ||
Less: Return attributable to the Company's preferred holding | 1,262 | 1,325 | ||
Net income/(loss) of ASC available for common ownership | 7,458 | 2,902 | ||
Net income/(loss) attributable to noncontrolling interest | 746 | 290 | ||
Stockholders' Equity Attributable to Noncontrolling Interest [Roll Forward] | ||||
Noncontrolling interest, beginning of year | 3,638 | 3,799 | ||
Net income/(loss) attributable to noncontrolling interest | 746 | 290 | ||
Changes in other comprehensive income attributable to noncontrolling interest | 110 | (451) | ||
Noncontrolling interest, end of year | $ 4,494 | $ 3,638 | $ 3,799 | |
Safran | Albany Safran Composites, LLC | ||||
Noncontrolling Interest [Line Items] | ||||
Ownership percentage of noncontrolling shareholder | 10% | 10% | 10% |
Accounts Receivable (Schedule o
Accounts Receivable (Schedule of Accounts Receivable, Current) (Details) - USD ($) $ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 |
Receivables [Abstract] | |||
Trade and other accounts receivable | $ 179,676 | $ 168,046 | |
Bank promissory notes | 23,439 | 26,284 | |
Allowance for expected credit losses | (3,097) | (2,345) | $ (3,807) |
Accounts receivable, net | $ 200,018 | $ 191,985 |
Accounts Receivable (Schedule_2
Accounts Receivable (Schedule of Accounts Receivable, Noncurrent) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Receivables [Abstract] | |||
Noncurrent receivables invoice terms (in years) | 10 years | ||
Noncurrent receivables | $ 28,053 | $ 32,049 | |
Allowance for expected credit losses | (140) | (200) | $ (274) |
Noncurrent receivables, net | $ 27,913 | $ 31,849 |
Accounts Receivable (Schedule_3
Accounts Receivable (Schedule of Changes in Allowance for Credit Losses for Receivable) (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2022 | Dec. 31, 2021 | |
Accounts Receivable, Allowance for Credit Loss [Roll Forward] | ||
Accounts receivable expected credit losses, beginning balance | $ (2,345) | $ (3,807) |
(Charge)/ benefit | (1,424) | 887 |
Currency translation | 75 | 154 |
Other | 597 | 421 |
Accounts receivable expected credit losses, ending balance | (3,097) | (2,345) |
Specific Customer Reserves | ||
Accounts Receivable, Allowance for Credit Loss [Roll Forward] | ||
Accounts receivable expected credit losses, beginning balance | (1,392) | (1,742) |
(Charge)/ benefit | (1,331) | (187) |
Currency translation | 50 | 116 |
Other | 597 | 421 |
Accounts receivable expected credit losses, ending balance | (2,076) | (1,392) |
Incremental Expected Credit Losses | ||
Accounts Receivable, Allowance for Credit Loss [Roll Forward] | ||
Accounts receivable expected credit losses, beginning balance | (953) | (2,065) |
(Charge)/ benefit | (93) | 1,074 |
Currency translation | 25 | 38 |
Other | 0 | 0 |
Accounts receivable expected credit losses, ending balance | $ (1,021) | $ (953) |
Accounts Receivable (Schedule_4
Accounts Receivable (Schedule of Changes in Noncurrent Allowance for Credit Losses for Receivables) (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2022 | Dec. 31, 2021 | |
Receivables [Abstract] | ||
Noncurrent receivables expected credit losses, beginning balance | $ (200) | $ (274) |
(Charge)/ benefit | 62 | 72 |
Currency translation | (2) | 2 |
Other | 0 | 0 |
Noncurrent receivables expected credit losses, ending balance | $ (140) | $ (200) |
Contract Assets and Liabiliti_3
Contract Assets and Liabilities (Schedule of Contract Assets and Contract Liabilities) (Details) - USD ($) $ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 |
Revenue from Contract with Customer [Abstract] | |||
Contract assets | $ 149,443 | $ 113,249 | |
Allowance for expected credit losses | (748) | (703) | $ (1,059) |
Contract assets, net | 148,695 | 112,546 | |
Contract liabilities | $ 15,176 | $ 6,959 |
Contract Assets and Liabiliti_4
Contract Assets and Liabilities (Narrative) (Details) - USD ($) $ in Millions | 12 Months Ended | |
Dec. 31, 2022 | Dec. 31, 2021 | |
Revenue from Contract with Customer [Abstract] | ||
Increase (decrease) in contract with customer, asset | $ 36.1 | |
Increase (decrease) in contract liabilities | 8.2 | |
Contract liability, revenue recognized | $ 5.7 | $ 5.8 |
Contract Assets and Liabiliti_5
Contract Assets and Liabilities (Schedule of (Increases)/ Decreases in Allowance for Credit Losses) (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2022 | Dec. 31, 2021 | |
Contract with Customer, Asset, Allowance for Credit Loss [Roll Forward] | ||
Beginning balance | $ (703) | $ (1,059) |
(Charge)/ benefit | (45) | 339 |
Currency translation | 0 | 16 |
Other | 0 | 1 |
Ending balance | $ (748) | $ (703) |
Inventories (Details)
Inventories (Details) - USD ($) $ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 |
Inventory Disclosure [Abstract] | ||
Raw materials | $ 74,631 | $ 58,689 |
Work in process | 50,516 | 44,839 |
Finished goods | 13,903 | 14,354 |
Total inventories | $ 139,050 | $ 117,882 |
Property, Plant and Equipment_2
Property, Plant and Equipment (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Property, Plant and Equipment [Line Items] | |||
Property, plant and equipment, gross | $ 1,504,037 | $ 1,491,055 | |
Accumulated depreciation and amortization | (1,058,379) | (1,054,638) | |
Property, plant and equipment, net | 445,658 | 436,417 | $ 448,554 |
Depreciation expense | 62,480 | 65,130 | 63,328 |
Software, amortization | 1,700 | 1,900 | 2,100 |
Capital expenditures and purchased software | 96,348 | 53,699 | 42,390 |
Unamortized software cost | 5,900 | 3,900 | 4,800 |
Expenditures for maintenance and repairs | 20,700 | 19,300 | $ 17,700 |
Land and land improvements | |||
Property, Plant and Equipment [Line Items] | |||
Property, plant and equipment, gross | $ 14,059 | 14,832 | |
Useful life | 25 years | ||
Buildings | |||
Property, Plant and Equipment [Line Items] | |||
Property, plant and equipment, gross | $ 247,136 | 243,584 | |
Buildings | Minimum | |||
Property, Plant and Equipment [Line Items] | |||
Useful life | 15 years | ||
Buildings | Maximum | |||
Property, Plant and Equipment [Line Items] | |||
Useful life | 40 years | ||
Right of Use Assets | |||
Property, Plant and Equipment [Line Items] | |||
Property, plant and equipment, gross | $ 0 | 10,971 | |
Right of Use Assets | Minimum | |||
Property, Plant and Equipment [Line Items] | |||
Useful life | 10 years | ||
Right of Use Assets | Maximum | |||
Property, Plant and Equipment [Line Items] | |||
Useful life | 15 years | ||
Machinery and equipment | |||
Property, Plant and Equipment [Line Items] | |||
Property, plant and equipment, gross | $ 1,053,700 | 1,067,059 | |
Machinery and equipment | Minimum | |||
Property, Plant and Equipment [Line Items] | |||
Useful life | 5 years | ||
Machinery and equipment | Maximum | |||
Property, Plant and Equipment [Line Items] | |||
Useful life | 15 years | ||
Furniture and fixtures | |||
Property, Plant and Equipment [Line Items] | |||
Property, plant and equipment, gross | $ 8,158 | 7,857 | |
Useful life | 5 years | ||
Computer and other equipment | |||
Property, Plant and Equipment [Line Items] | |||
Property, plant and equipment, gross | $ 21,570 | 19,135 | |
Computer and other equipment | Minimum | |||
Property, Plant and Equipment [Line Items] | |||
Useful life | 3 years | ||
Computer and other equipment | Maximum | |||
Property, Plant and Equipment [Line Items] | |||
Useful life | 10 years | ||
Software | |||
Property, Plant and Equipment [Line Items] | |||
Property, plant and equipment, gross | $ 66,794 | 63,379 | |
Software | Minimum | |||
Property, Plant and Equipment [Line Items] | |||
Useful life | 5 years | ||
Software | Maximum | |||
Property, Plant and Equipment [Line Items] | |||
Useful life | 8 years | ||
Capital expenditures in progress | |||
Property, Plant and Equipment [Line Items] | |||
Property, plant and equipment, gross | $ 92,620 | $ 64,238 |
Goodwill and Other Intangible_3
Goodwill and Other Intangible Assets (Schedule of Changes in Intangible Assets and Goodwill) (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2022 | Dec. 31, 2021 | |
Finite-lived Intangible Assets [Roll Forward] | ||
Beginning balance | $ 39,081 | $ 46,869 |
Amortization | (4,842) | (7,155) |
Currency Translation | (428) | (633) |
Ending balance | 33,811 | 39,081 |
Beginning balance | 182,124 | 187,553 |
Currency Translation | (3,907) | (5,429) |
Ending balance | 178,217 | 182,124 |
Trade Names | ||
Finite-lived Intangible Assets [Roll Forward] | ||
Beginning balance | 45 | 57 |
Amortization | (11) | (12) |
Currency Translation | 0 | 0 |
Ending balance | $ 34 | $ 45 |
Trade Names | Minimum | ||
Finite-Lived Intangible Assets [Line Items] | ||
Amortization life in years | 6 years | 6 years |
Trade Names | Maximum | ||
Finite-Lived Intangible Assets [Line Items] | ||
Amortization life in years | 15 years | 15 years |
Developed Technology Rights | ||
Finite-lived Intangible Assets [Roll Forward] | ||
Beginning balance | $ 4,712 | $ 5,744 |
Amortization | (554) | (629) |
Currency Translation | (274) | (403) |
Ending balance | $ 3,884 | $ 4,712 |
Developed Technology Rights | Minimum | ||
Finite-Lived Intangible Assets [Line Items] | ||
Amortization life in years | 10 years | 10 years |
Developed Technology Rights | Maximum | ||
Finite-Lived Intangible Assets [Line Items] | ||
Amortization life in years | 15 years | 15 years |
Intellectual Property | ||
Finite-Lived Intangible Assets [Line Items] | ||
Amortization life in years | 15 years | 15 years |
Finite-lived Intangible Assets [Roll Forward] | ||
Beginning balance | $ 1,077 | $ 1,160 |
Amortization | (83) | (83) |
Currency Translation | 0 | 0 |
Ending balance | $ 994 | $ 1,077 |
Customer Contracts | ||
Finite-Lived Intangible Assets [Line Items] | ||
Amortization life in years | 6 years | 6 years |
Finite-lived Intangible Assets [Roll Forward] | ||
Beginning balance | $ 720 | $ 3,632 |
Amortization | (720) | (2,912) |
Currency Translation | 0 | 0 |
Ending balance | 0 | 720 |
Customer Relationships | ||
Finite-lived Intangible Assets [Roll Forward] | ||
Beginning balance | 32,527 | 36,260 |
Amortization | (3,474) | (3,503) |
Currency Translation | (154) | (230) |
Ending balance | $ 28,899 | $ 32,527 |
Customer Relationships | Minimum | ||
Finite-Lived Intangible Assets [Line Items] | ||
Amortization life in years | 8 years | 8 years |
Customer Relationships | Maximum | ||
Finite-Lived Intangible Assets [Line Items] | ||
Amortization life in years | 15 years | 15 years |
Other Intangible Assets | ||
Finite-Lived Intangible Assets [Line Items] | ||
Amortization life in years | 5 years | |
Finite-lived Intangible Assets [Roll Forward] | ||
Beginning balance | $ 0 | $ 16 |
Amortization | (16) | |
Currency Translation | 0 | |
Ending balance | 0 | |
MC Goodwill | ||
Finite-lived Intangible Assets [Roll Forward] | ||
Beginning balance | 68,329 | 72,290 |
Currency Translation | (2,888) | (3,961) |
Ending balance | 65,441 | 68,329 |
AEC Goodwill | ||
Finite-lived Intangible Assets [Roll Forward] | ||
Beginning balance | 113,795 | 115,263 |
Currency Translation | (1,019) | (1,468) |
Ending balance | $ 112,776 | $ 113,795 |
Goodwill and Other Intangible_4
Goodwill and Other Intangible Assets (Narrative) (Details) | 3 Months Ended | 12 Months Ended | ||
Jun. 30, 2022 reporting_unit | Dec. 31, 2022 USD ($) | Dec. 31, 2021 USD ($) | Dec. 31, 2020 USD ($) | |
Finite-Lived Intangible Assets [Line Items] | ||||
AEC reporting units | reporting_unit | 2 | |||
Goodwill impairment charges | $ 0 | |||
Amortized intangible assets, gross | 77,800,000 | |||
Amortized intangible assets, accumulated amortization | 44,000,000 | |||
Amortization of intangible assets | 4,842,000 | $ 7,155,000 | ||
Cost of Sales | ||||
Finite-Lived Intangible Assets [Line Items] | ||||
Amortization of intangible assets | 800,000 | 3,000,000 | $ 3,000,000 | |
Selling, General and Administrative Expenses | ||||
Finite-Lived Intangible Assets [Line Items] | ||||
Amortization of intangible assets | $ 4,000,000 | $ 4,200,000 | $ 4,300,000 |
Goodwill and Other Intangible_5
Goodwill and Other Intangible Assets (Schedule of Estimated Amortization Expense) (Details) $ in Thousands | Dec. 31, 2022 USD ($) |
Goodwill and Intangible Assets Disclosure [Abstract] | |
2023 | $ 4,100 |
2024 | 4,100 |
2025 | 4,100 |
2026 | 4,100 |
2027 | $ 4,100 |
Accrued Liabilities (Schedule o
Accrued Liabilities (Schedule of Accrued Liabilities) (Details) - USD ($) $ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 |
Payables and Accruals [Abstract] | ||
Salaries, wages and benefits | $ 57,867 | $ 54,254 |
Contract liabilities | 15,176 | 6,959 |
Returns and allowances | 9,084 | 9,798 |
Dividends | 7,778 | 6,742 |
Pension and postretirement | 6,683 | 10,742 |
Operating and Finance lease liabilities | 5,929 | 5,336 |
Other tax | 10,274 | 9,041 |
Contract loss reserve | 2,359 | 3,608 |
Freight | 1,966 | 4,031 |
Professional fees | 3,439 | 3,926 |
Other | 5,830 | 9,888 |
Total | $ 126,385 | $ 124,325 |
Financial Instruments (Narrativ
Financial Instruments (Narrative) (Details) | 12 Months Ended | ||||||||
Dec. 16, 2021 | Oct. 27, 2020 USD ($) | Nov. 07, 2017 USD ($) | Dec. 31, 2022 USD ($) | Dec. 31, 2021 USD ($) | Dec. 31, 2020 USD ($) | Dec. 16, 2022 USD ($) | Oct. 17, 2022 USD ($) | Jun. 14, 2021 USD ($) | |
Debt Instrument [Line Items] | |||||||||
Current maturities of long-term debt | $ 0 | $ 0 | |||||||
Principal payments due on long-term debt in two years | 439,000,000 | ||||||||
Cash payments of interest | $ 16,000,000 | $ 14,900,000 | $ 15,100,000 | ||||||
Maximum leverage ratio allowed | 3.50 | ||||||||
Minimum interest coverage ratio required | 3 | ||||||||
Leverage ratio | 1.25 | ||||||||
Interest coverage ratio | 15.17 | ||||||||
Interest Rate Swap | |||||||||
Debt Instrument [Line Items] | |||||||||
Cash collateral received | $ 0 | ||||||||
Cash collateral pledged | 0 | ||||||||
Line of Credit | |||||||||
Debt Instrument [Line Items] | |||||||||
Line of credit Facility, maximum borrowing capacity | $ 700,000,000 | $ 685,000,000 | |||||||
Debt instrument, term | 4 years | 5 years | |||||||
Borrowings outstanding | 439,000,000 | ||||||||
Basis spread on variable rate | 1.625% | ||||||||
Line of credit facility, remaining borrowing capacity | $ 261,000,000 | ||||||||
Line of Credit | Interest Rate Swap | |||||||||
Debt Instrument [Line Items] | |||||||||
Derivative, notional amount | $ 350,000,000 | $ 350,000,000 | $ 350,000,000 | ||||||
Derivative, fixed interest rate | 3.735% | 2.11% | 0.838% | ||||||
LIBOR rate | 2.463% | ||||||||
Line of Credit | Interest Rate Swap | London Interbank Offered Rate (LIBOR) | |||||||||
Debt Instrument [Line Items] | |||||||||
Derivative, basis spread on variable rate | 4.33% | ||||||||
Line of Credit | Minimum | |||||||||
Debt Instrument [Line Items] | |||||||||
Basis spread on variable rate | 1.50% | ||||||||
Line of Credit | Maximum | |||||||||
Debt Instrument [Line Items] | |||||||||
Basis spread on variable rate | 2% |
Financial Instruments (Schedule
Financial Instruments (Schedule of Long-Term Debt) (Details) - Line of Credit - USD ($) $ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 |
Debt Instrument [Line Items] | ||
Interest rate, effective percentage | 3.16% | 3.74% |
Long-term debt | $ 439,000 | $ 350,000 |
Fair-Value Measurements (Schedu
Fair-Value Measurements (Schedule of Fair Value of Financial Assets and Liabilities) (Details) - USD ($) $ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 |
Assets, Fair Value Disclosure [Abstract] | ||
Derivative Asset, Statement of Financial Position [Extensible Enumeration] | Other Assets, Noncurrent | Other Assets, Noncurrent |
Derivative Liability, Statement of Financial Position [Extensible Enumeration] | Other noncurrent liabilities | Other noncurrent liabilities |
Derivative Asset [Abstract] | ||
Equity securities, cost basis | $ 500 | |
Fair Value, Inputs, Level 1 | Fair Value, Recurring | ||
Assets, Fair Value Disclosure [Abstract] | ||
Cash equivalents | 6,533 | $ 20,665 |
Common stock of unaffiliated foreign public company | 602 | 702 |
Interest rate swaps | 0 | 0 |
Liabilities, Fair Value Disclosure [Abstract] | ||
Interest rate swaps | 0 | 0 |
Fair Value, Inputs, Level 2 | Fair Value, Recurring | ||
Assets, Fair Value Disclosure [Abstract] | ||
Cash equivalents | 0 | 0 |
Common stock of unaffiliated foreign public company | 0 | 0 |
Interest rate swaps | 23,605 | 3,328 |
Liabilities, Fair Value Disclosure [Abstract] | ||
Interest rate swaps | $ 0 | $ (5,176) |
Fair-Value Measurements (Narrat
Fair-Value Measurements (Narrative) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Interest Rate Swap | |||
Derivative [Line Items] | |||
Interest income (expense), net | $ 0.5 | $ 7.1 | $ 5.4 |
Interest Rate Swap Buyouts | |||
Derivative [Line Items] | |||
Interest income (expense), net | $ 0 | $ 0.3 | $ 1.4 |
Fair-Value Measurements (Sche_2
Fair-Value Measurements (Schedule of /Gains on Changes in Fair Value of Derivative Instruments) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Foreign Exchange Option | Not Designated as Hedging Instrument | |||
Derivative Instruments, Gain (Loss) [Line Items] | |||
Foreign currency options (gains)/losses | $ (509) | $ 169 | $ 64 |
Other Noncurrent Liabilities (D
Other Noncurrent Liabilities (Details) - USD ($) $ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 |
Other Liabilities Disclosure [Abstract] | ||
Operating leases | $ 50,190 | $ 11,001 |
Finance leases | 0 | 14,515 |
Postretirement benefits other than pensions | 31,998 | 41,257 |
Pension liabilities | 23,061 | 30,850 |
Interest rate swap agreements | 0 | 5,176 |
Incentive and deferred compensation | 1,395 | 3,257 |
Other | 2,114 | 1,738 |
Total | $ 108,758 | $ 107,794 |
Other Noncurrent Liabilities (N
Other Noncurrent Liabilities (Narrative) (Details) $ in Millions | 12 Months Ended |
Dec. 31, 2022 USD ($) | |
Salt Lake City, Utah | Other Operating Assets and Liabilities | |
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |
Change from finance to operating and included a non-cash increase decrease | $ 37.1 |
Leases (Narrative) (Details)
Leases (Narrative) (Details) - USD ($) $ in Millions | 12 Months Ended | |
Dec. 31, 2022 | Dec. 31, 2021 | |
Lessee, Lease, Description [Line Items] | ||
Operating leases, weighted average remaining lease term | 11 years | 6 years |
Term of lease contract | 1 year | |
Salt Lake City, Utah | Other Operating Assets and Liabilities | ||
Lessee, Lease, Description [Line Items] | ||
Change from finance to operating and included a non-cash increase decrease | $ 37.1 | |
Minimum | ||
Lessee, Lease, Description [Line Items] | ||
Remaining lease term | 1 year | |
Maximum | ||
Lessee, Lease, Description [Line Items] | ||
Remaining lease term | 12 years | |
Renewal lease term | 10 years |
Leases (Schedule of Components
Leases (Schedule of Components of Lease Expense) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Finance lease | |||
Amortization of right-of-use asset | $ 416 | $ 997 | $ 1,056 |
Interest on lease liabilities | 529 | 1,353 | 1,475 |
Operating lease | |||
Fixed lease cost | 6,036 | 5,283 | 5,448 |
Variable lease cost | 438 | (259) | 314 |
Short-term lease cost | 1,025 | 1,037 | 996 |
Total lease expense | $ 8,444 | $ 8,411 | $ 9,289 |
Leases (Schedule of Supplementa
Leases (Schedule of Supplemental Cash Flow Information Related to Leases) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Lessee Disclosure [Abstract] | |||
Operating cash outflows from operating leases | $ 6,612 | $ 5,233 | $ 5,300 |
Operating cash outflows from finance leases | 529 | 1,353 | 1,475 |
Financing cash outflows from finance leases | 654 | 1,438 | 7,214 |
Right-of-use asset obtained in exchange for operating lease liability | 38,559 | 2,189 | 4,017 |
Right-of-use asset obtained in exchange for finance lease liability | $ 0 | $ 0 | $ 0 |
Leases (Schedule of Supplemen_2
Leases (Schedule of Supplemental Balance Sheet Information Related to Leases) (Details) - USD ($) $ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 |
Operating leases | ||
Right of use assets included in Other assets | $ 48,475 | $ 14,366 |
Operating Lease, Right-of-Use Asset, Statement of Financial Position [Extensible Enumeration] | Other Assets, Noncurrent | Other Assets, Noncurrent |
Lease liability - operating leases, current | $ 5,929 | $ 3,730 |
Operating Lease, Liability, Current, Statement of Financial Position [Extensible Enumeration] | Accrued liabilities | Accrued liabilities |
Lease liability - operating lease, noncurrent | $ 50,190 | $ 11,001 |
Operating Lease, Liability, Noncurrent, Statement of Financial Position [Extensible Enumeration] | Other noncurrent liabilities | Other noncurrent liabilities |
Total operating lease liabilities | $ 56,119 | $ 14,731 |
Finance lease | ||
Right-of-use assets included in Property, plant and equipment, net | $ 0 | $ 7,979 |
Finance Lease, Right-of-Use Asset, Statement of Financial Position [Extensible Enumeration] | Property, plant and equipment, net | Property, plant and equipment, net |
Accrued liabilities | $ 0 | $ 1,606 |
Finance Lease, Liability, Current, Statement of Financial Position [Extensible Enumeration] | Accrued liabilities | Accrued liabilities |
Other noncurrent liabilities | $ 0 | $ 14,515 |
Finance Lease, Liability, Noncurrent, Statement of Financial Position [Extensible Enumeration] | Other noncurrent liabilities | Other noncurrent liabilities |
Total finance lease liabilities | $ 0 | $ 16,121 |
Leases (Schedule of Additional
Leases (Schedule of Additional Information Related to Leases) (Details) | Dec. 31, 2022 | Dec. 31, 2021 |
Lessee Disclosure [Abstract] | ||
Operating leases, weighted average remaining lease term | 11 years | 6 years |
Finance leases, weighted average remaining lease term | 0 years | 8 years |
Operating leases, weighted average discount rate | 5.30% | 4.40% |
Finance leases, weighted average discount rate | 0% | 8% |
Leases (Schedule of Maturities
Leases (Schedule of Maturities of Lease Liabilities) (Details) - USD ($) $ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 |
Operating leases | ||
Year one | $ 8,734 | |
Year two | 7,586 | |
Year three | 6,970 | |
Year four | 6,985 | |
Year five | 6,775 | |
Thereafter | 36,834 | |
Total lease payments | 73,884 | |
Less imputed interest | (17,765) | |
Total operating leases | 56,119 | $ 14,731 |
Finance lease | ||
Total finance leases | $ 0 | 16,121 |
Salt Lake City, Utah | ||
Operating leases | ||
Year one | 4,737 | |
Year two | 3,412 | |
Year three | 2,199 | |
Year four | 1,801 | |
Year five | 1,782 | |
Thereafter | 2,789 | |
Total lease payments | 16,720 | |
Less imputed interest | (1,989) | |
Total operating leases | 14,731 | |
Finance lease | ||
Year one | 2,838 | |
Year two | 3,004 | |
Year three | 3,004 | |
Year four | 3,004 | |
Year five | 3,004 | |
Thereafter | 6,501 | |
Total lease payments | 21,355 | |
Less imputed interest | (5,234) | |
Total finance leases | $ 16,121 |
Commitments and Contingencies_2
Commitments and Contingencies (Narrative) (Details) $ in Millions | Dec. 31, 2022 USD ($) claim | Dec. 31, 2021 claim | Dec. 31, 2020 claim | Dec. 31, 2019 claim |
Loss Contingencies [Line Items] | ||||
Number of pending claims | 3,598 | |||
Asbestos Litigation | ||||
Loss Contingencies [Line Items] | ||||
Number of pending claims | 3,598 | 3,609 | 3,615 | 3,708 |
Total resolved claims, by means of settlement or dismissal | 38,022 | |||
Total cost of resolution | $ | $ 10.6 | |||
Resolution costs paid by insurance carrier | 100% | |||
Confirmed insurance coverage | $ | $ 140 |
Commitments and Contingencies_3
Commitments and Contingencies (Schedule of Changes in Claims) (Details) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2022 USD ($) claim | Dec. 31, 2021 USD ($) claim | Dec. 31, 2020 USD ($) claim | |
Loss Contingency Accrual [Roll Forward] | |||
Closing Number of Claims | 3,598 | ||
Asbestos Litigation | |||
Loss Contingency Accrual [Roll Forward] | |||
Opening Number of Claims | 3,609 | 3,615 | 3,708 |
Claims Dismissed, Settled, or Resolved | 43 | 32 | 152 |
New Claims | 32 | 26 | 59 |
Closing Number of Claims | 3,598 | 3,609 | 3,615 |
Amounts Paid (thousands) to Settle or Resolve | $ | $ 125 | $ 93 | $ 57 |
Incentive Plans (Narrative) (De
Incentive Plans (Narrative) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Net impact to earnings | $ 95,762 | $ 118,478 | $ 98,589 |
Pension plans | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Deferred compensation expense | 6,600 | 6,200 | 6,500 |
Profit Sharing Plan | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Deferred compensation expense | $ 4,600 | 4,800 | 3,600 |
Minimum | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Vesting period | 1 year | ||
Minimum | Pension plans | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Employer matching contribution, percent of match | 50% | ||
Maximum | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Vesting period | 5 years | ||
Maximum | Pension plans | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Employer matching contribution, percent of match | 100% | ||
Long Term Incentive Plan | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Vesting period | 3 years | ||
Payout is scheduled to occur period no later than | 90 days | ||
Number of shares authorized (in shares) | 860,629 | ||
Long Term Incentive Plan | Management | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Cash payments in connection with long term incentive plan | $ 4,500 | 3,100 | |
Compensation expense | 3,900 | 3,700 | 4,800 |
Net impact to earnings | 2,700 | 2,600 | 3,400 |
Additional share based compensation expense expected to be recognized in next twelve months | 1,200 | ||
Additional share based compensation expense expected to be recognized in two years | $ 300 | ||
Phantom Share Units (PSUs) | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Vesting period | 5 years | ||
Compensation expense | $ 8,600 | 6,600 | 5,400 |
Net impact to earnings | 6,000 | 4,600 | 3,900 |
Compensation cost not yet recognized | $ 16,000 | ||
Cost not yet recognized, period for recognition | 2 years | ||
Restricted Stock | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Compensation expense | $ 1,500 | 600 | 400 |
Net impact to earnings | 1,000 | $ 400 | $ 300 |
Compensation cost not yet recognized | 1,000 | ||
Restricted Stock Units (RSUs) | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Compensation expense | 1,500 | ||
Net impact to earnings | $ 1,000 |
Incentive Plans (Schedules of E
Incentive Plans (Schedules of Executive Management Share-based Compensation Activity) (Details) - Performance Shares - USD ($) $ / shares in Units, $ in Thousands | 12 Months Ended | |||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Number of Shares [Roll Forward] | ||||
Shares potentially payable, beginning balance | 107,630 | 97,840 | 81,712 | |
Forfeitures (in shares) | 0 | 0 | 0 | |
Payments (in shares) | (35,897) | (31,722) | (20,680) | |
Shares accrued based on years performance | 64,208 | 41,512 | 36,808 | |
Shares potentially payable, ending balance | 135,941 | 107,630 | 97,840 | |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Weighted Average Grant Date Fair Value [Abstract] | ||||
Shares potentially payable, beginning balance | $ 75.99 | $ 71.95 | $ 65.06 | |
Forfeitures (in dollars per share) | ||||
Payments (in dollars per share) | 84.27 | 66.25 | 47.35 | |
Shares accrued based on years performance | 86 | 78.06 | 73.43 | |
Shares potentially payable, ending balance | $ 79.11 | $ 75.99 | $ 71.95 | |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Aggregate Intrinsic Value [Abstract] | ||||
Year-end intrinsic value | $ 10,754 | $ 8,179 | $ 7,040 | $ 5,316 |
Incentive Plans (Schedules of O
Incentive Plans (Schedules of Other Share-based Compensation Activity) (Details) - Restricted Stock - USD ($) $ / shares in Units, $ in Thousands | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Number of Shares [Roll Forward] | |||
Shares potentially payable, beginning balance | 248,414 | 213,848 | 215,072 |
Grants (in shares) | 49,863 | 56,536 | 63,104 |
Changes due to performance (in shares) | 34,539 | 52,296 | 27,921 |
Payments (in shares) | (81,421) | (68,622) | (80,808) |
Forfeitures (in shares) | (24,644) | (5,644) | (11,441) |
Shares potentially payable, ending balance | 226,751 | 248,414 | 213,848 |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Weighted Average Grant Date Fair Value [Abstract] | |||
Payments (in dollars per share) | $ 85.69 | $ 74.22 | $ 73.04 |
Cash paid for share based liabilities | $ 6,977 | $ 5,093 | $ 5,848 |
Shareholders' Equity (Narrative
Shareholders' Equity (Narrative) (Details) | 12 Months Ended | |||||
Dec. 31, 2022 USD ($) vote class_of_common_stock $ / shares shares | Dec. 31, 2021 USD ($) $ / shares shares | Oct. 25, 2021 USD ($) | Sep. 30, 2021 shares | Dec. 31, 2020 shares | Dec. 31, 2019 shares | |
Class of Stock [Line Items] | ||||||
Number of classes of common stock | class_of_common_stock | 2 | |||||
Common stock, shares, outstanding (in shares) | 31,100,000 | 32,100,000 | 32,300,000 | |||
Stock repurchase program, authorized amount | $ | $ 200,000,000 | $ 200,000,000 | ||||
Purchase of treasury shares | $ | $ 85,065,000 | $ 24,375,000 | ||||
2021 And 2022 Share Purchases | ||||||
Class of Stock [Line Items] | ||||||
Treasury stock, common shares (in shares) | 1,308,003 | |||||
Purchase of treasury shares | $ | $ 109,400,000 | |||||
Treasury Stock, Common | ||||||
Class of Stock [Line Items] | ||||||
Common stock, shares, outstanding (in shares) | 9,675,000 | 8,665,000 | ||||
Treasury stock, common shares (in shares) | 8,391,000 | 8,409,000 | ||||
Purchase of treasury shares | $ | $ 85,065,000 | $ 24,375,000 | ||||
Purchases of common stock (in shares) | 1,022,717 | 285,286 | ||||
Common Class A | ||||||
Class of Stock [Line Items] | ||||||
Number of votes entitled to shareholders per share of common stock | vote | 1 | |||||
Common stock, par or stated value per share (in dollars per share) | $ / shares | $ 0.001 | $ 0.001 | ||||
Common stock, shares, issued (in shares) | 40,785,434 | 40,760,577 | ||||
Common stock, capital shares reserved for future issuance (in shares) | 1,600,000 | 1,600,000 | ||||
Common Class A | IPO | Number of Shares Reduced | ||||||
Class of Stock [Line Items] | ||||||
Common stock, capital shares reserved for future issuance (in shares) | 1,600,000 | |||||
Common Class A | Selling Stockholders Public Offering | ||||||
Class of Stock [Line Items] | ||||||
Sale of stock, number of shares issued in transaction (in shares) | 1,600,000 | |||||
Sale of stock, price per share (in dollars per share) | $ / shares | $ 75.9656 | |||||
Common Class B | ||||||
Class of Stock [Line Items] | ||||||
Number of votes entitled to shareholders per share of common stock | vote | 10 | |||||
Common stock, par or stated value per share (in dollars per share) | $ / shares | $ 0.001 | $ 0.001 | ||||
Common stock, shares, outstanding (in shares) | 0 | 104 | ||||
Common stock, shares, issued (in shares) | 0 | 104 |
Shareholders' Equity (Schedule
Shareholders' Equity (Schedule of Activity in Shareholders' Equity) (Details) - USD ($) | 12 Months Ended | ||||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | Oct. 25, 2021 | Sep. 30, 2021 | |
Common stock, balance at the beginning of the period (in shares) | 32,100,000 | 32,300,000 | |||
Balance at end of the period | $ 877,605,000 | $ 819,865,000 | $ 702,689,000 | ||
Net income | 96,508,000 | 118,768,000 | 97,243,000 | ||
Compensation and benefits paid or payable in shares | 3,727,000 | 2,441,000 | 622,000 | ||
Options exercised | 17,000 | 153,000 | 55,000 | ||
Shares issued to Directors' | 1,085,000 | 947,000 | 883,000 | ||
Purchase of treasury shares | (85,065,000) | (24,375,000) | |||
Conversion of Class B shares to Class A shares | 0 | ||||
Cumulative translation adjustments | (40,861,000) | (23,128,000) | 40,788,000 | ||
Pension and postretirement liability adjustments | (3,491,000) | 1,171,000 | 10,333,000 | ||
Settlement of certain pension liabilities | 26,198,000 | ||||
Derivative valuation adjustment | $ 19,321,000 | $ 7,930,000 | $ (6,409,000) | ||
Accounting Standards Update [Extensible Enumeration] | ASC 326 | ||||
Common stock, balance at the end of the period (in shares) | 31,100,000 | 32,100,000 | 32,300,000 | ||
Balance at end of the period | $ 867,543,000 | $ 877,605,000 | $ 819,865,000 | ||
Stock repurchase program, authorized amount | 200,000,000 | $ 200,000,000 | |||
Cumulative Effect, Period of Adoption, Adjustment | |||||
Balance at end of the period | (1,443,000) | ||||
Common Class A | |||||
Dividends declared | $ (27,501,000) | $ (25,520,000) | $ (23,651,000) | ||
Dividends declared per share, Class A and Class B (in dollars per share) | $ 0.88 | $ 0.81 | $ 0.77 | ||
Common stock, capital shares reserved for future issuance (in shares) | 1,600,000 | 1,600,000 | |||
Common Class B | |||||
Common stock, balance at the beginning of the period (in shares) | 104 | ||||
Dividends declared | $ (647,000) | $ (1,245,000) | |||
Common stock, balance at the end of the period (in shares) | 0 | 104 | |||
Dividends declared per share, Class A and Class B (in dollars per share) | $ 0.81 | $ 0.77 | |||
Common Stock | Common Class A | |||||
Common stock, balance at the beginning of the period (in shares) | 40,760,000 | 39,115,000 | 39,099,000 | ||
Balance at end of the period | $ 41,000 | $ 39,000 | $ 39,000 | ||
Compensation and benefits paid or payable in shares (in shares) | 24,000 | 20,000 | 13,000 | ||
Options exercised (in shares) | 1,000 | 7,000 | 3,000 | ||
Conversion of Class B shares to Class A shares (in shares) | 1,618,000 | ||||
Conversion of Class B shares to Class A shares | $ 2,000 | ||||
Common stock, balance at the end of the period (in shares) | 40,785,000 | 40,760,000 | 39,115,000 | ||
Balance at end of the period | $ 41,000 | $ 41,000 | $ 39,000 | ||
Common Stock | Common Class B | |||||
Common stock, balance at the beginning of the period (in shares) | 0 | 1,618,000 | 1,618,000 | ||
Balance at end of the period | $ 0 | $ 2,000 | $ 2,000 | ||
Conversion of Class B shares to Class A shares (in shares) | (1,618,000) | ||||
Conversion of Class B shares to Class A shares | $ (2,000) | ||||
Common stock, balance at the end of the period (in shares) | 0 | 0 | 1,618,000 | ||
Balance at end of the period | $ 0 | $ 0 | $ 2,000 | ||
Additional paid-in capital | |||||
Balance at end of the period | 436,996,000 | 433,696,000 | 432,518,000 | ||
Compensation and benefits paid or payable in shares | 3,727,000 | 2,441,000 | 622,000 | ||
Options exercised | 17,000 | 153,000 | 55,000 | ||
Shares issued to Directors' | 800,000 | 706,000 | 501,000 | ||
Balance at end of the period | 441,540,000 | 436,996,000 | 433,696,000 | ||
Retained earnings | |||||
Balance at end of the period | 863,057,000 | 770,746,000 | 698,496,000 | ||
Net income | 95,762,000 | 118,478,000 | 98,589,000 | ||
Balance at end of the period | 931,318,000 | 863,057,000 | 770,746,000 | ||
Retained earnings | Cumulative Effect, Period of Adoption, Adjustment | |||||
Balance at end of the period | (1,443,000) | ||||
Retained earnings | Common Class A | |||||
Dividends declared | (27,501,000) | (25,520,000) | (23,651,000) | ||
Retained earnings | Common Class B | |||||
Dividends declared | (647,000) | (1,245,000) | |||
Accumulated items of other comprehensive income | |||||
Balance at end of the period | (145,984,000) | (132,408,000) | (175,981,000) | ||
Cumulative translation adjustments | (40,971,000) | (22,677,000) | 39,649,000 | ||
Pension and postretirement liability adjustments | (3,491,000) | 1,171,000 | 10,333,000 | ||
Settlement of certain pension liabilities | 26,198,000 | ||||
Derivative valuation adjustment | 19,321,000 | 7,930,000 | (6,409,000) | ||
Balance at end of the period | $ (144,927,000) | $ (145,984,000) | $ (132,408,000) | ||
Treasury Stock, Common | |||||
Common stock, balance at the beginning of the period (in shares) | 8,665,000 | ||||
Treasury stock, balance at the beginning of the period (in shares) | 8,391,000 | 8,409,000 | |||
Balance at end of the period | $ (280,143,000) | $ (256,009,000) | $ (256,391,000) | ||
Shares issued to Directors' | $ 285,000 | $ 241,000 | $ 382,000 | ||
Shares issued to Directors' (in shares) | (13,000) | (11,000) | (18,000) | ||
Purchase of treasury shares (in shares) | 1,022,717 | 285,286 | |||
Purchase of treasury shares | $ (85,065,000) | $ (24,375,000) | |||
Common stock, balance at the end of the period (in shares) | 9,675,000 | 8,665,000 | |||
Treasury stock, balance at the end of the period (in shares) | 8,391,000 | ||||
Balance at end of the period | $ (364,923,000) | $ (280,143,000) | $ (256,009,000) | ||
Noncontrolling Interest | |||||
Balance at end of the period | 3,638,000 | 3,799,000 | 4,006,000 | ||
Net income | 746,000 | 290,000 | (1,346,000) | ||
Cumulative translation adjustments | 110,000 | (451,000) | 1,139,000 | ||
Balance at end of the period | $ 4,494,000 | $ 3,638,000 | $ 3,799,000 |
VALUATION AND QUALIFYING ACCO_2
VALUATION AND QUALIFYING ACCOUNTS (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
ASC 326 | |||
SEC Schedule, 12-09, Movement in Valuation Allowances and Reserves [Roll Forward] | |||
Other | $ 1,800 | ||
Allowance for doubtful accounts | |||
SEC Schedule, 12-09, Movement in Valuation Allowances and Reserves [Roll Forward] | |||
Balance at beginning of period | $ 3,248 | $ 5,140 | 1,719 |
Charge to expense | 1,408 | (1,299) | 1,628 |
Other | (672) | (593) | 1,793 |
Balance at end of the period | 3,984 | 3,248 | 5,140 |
Allowance for sales returns | |||
SEC Schedule, 12-09, Movement in Valuation Allowances and Reserves [Roll Forward] | |||
Balance at beginning of period | 9,552 | 9,668 | 11,249 |
Charge to expense | 6,130 | 6,022 | 3,199 |
Other | (6,612) | (6,138) | (4,780) |
Balance at end of the period | 9,070 | 9,552 | 9,668 |
Valuation allowance deferred tax assets | |||
SEC Schedule, 12-09, Movement in Valuation Allowances and Reserves [Roll Forward] | |||
Balance at beginning of period | 10,659 | 10,270 | 9,102 |
Charge to expense | (839) | 949 | 391 |
Other | (34) | (560) | 777 |
Balance at end of the period | $ 9,786 | $ 10,659 | $ 10,270 |