Reportable Segments

9 Months Ended

Sep. 30, 2016

Segment Reporting [Abstract]

Reportable Segments

3. Reportable Segments

The following tables show data by reportable segment, reconciled to consolidated totals included in the financial statements:

	Three months ended September 30,				Nine months ended September 30,
(in thousands)	2016		2015		2016		2015
Net sales
Machine Clothing	$143,248		$154,522		$437,445		463,577
Albany Engineered Composites	48,024		24,267		129,348		68,625
Consolidated total	$191,272		$178,789		$566,793		$532,202
Operating income/(loss)
Machine Clothing	$40,039		$41,956		$112,583		$110,969
Albany Engineered Composites	(4,529	)	(4,191	)	(14,083	)	(26,635	)
Corporate expenses	(10,690	)	(11,922	)	(33,554	)	(35,304	)
Operating income	24,820		25,843		64,946		49,030
Reconciling items:
Interest income	(675	)	(428	)	(1,347	)	(1,205	)
Interest expense	4,356		3,099		10,957		9,254
Other income, net	242		1,249		(2,103	)	784
Income before income taxes	$20,897		$21,923		$57,439		$40,197

Total assets of the AEC segment increased by approximately $242 million during 2016 due to the acquisition of AAC.

Total capital expenditures for the nine months of 2016 were $53.8 million, including amounts that were included in Accounts payable. In the Consolidated Statements of Cash Flows, capital expenditures and accounts payable were each adjusted by $2.5 million to reflect the non-cash nature of the transactions.

During the first nine months of 2016, the Company recorded expense of $5.4 million for costs directly related to the acquisition. These costs are included in Selling, general and administrative expenses of the AEC segment.

The table below presents restructuring costs by reportable segment (also see Note 5):

	Three months ended September 30,			Nine months ended June 30,
(in thousands)	2016		2015	2016		2015
Restructuring expenses, net
Machine Clothing	($212	)	$3,717	$5,921		$13,929
Albany Engineered Composites	640		-	1,787		-
Corporate expenses	(102	)	-	(55	)	-
Consolidated total	$326		$3,717	$7,653		$13,929