11-K 1 a200111k.htm FORM 11K, 12/31/01

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM 11-K

(Mark One)

( x ) Annual report pursuant to Section 15(d) of the Securities Exchange Act of 1934 for the fiscal year ended December 31, 2001.

 

or

( ) Transition report pursuant to Section 15(d) of the Securities exchange Act of 1934 for the transition period from _________________ to _____________________.

 

Commission File No. 0-14714

A. Full title and address of the plan, if different from that of the issuer named below:

Astec Industries, Inc. 401(k) Retirement Plan
P.O. Box 72787
4101 Jerome Avenue
Chattanooga, Tennessee 37407
(423) 867-4210

B. Name of issuer of the securities held pursuant to the plan and the address of its principal executive office:

 

ASTEC INDUSTRIES, INC.
P.O. Box 72787
4101 Jerome Avenue
Chattanooga, Tennessee 37407
(423) 867-4210

 

 

 

 

REQUIRED INFORMATION

The following financial statements and schedules have been prepared in accordance with the financial reporting requirements of the Employee Retirement Income Security Act of 1974, as amended:

Astec Industries, Inc. 401(k) Retirement Plan
Audited Financial Statements and Supplemental Schedule
Year Ended December 31, 2001 and as of December 31, 2001 and 2000

Report of Independent Auditors

Audited Financial Statements:

Statements of Net Assets Available for Benefits

Statement of Changes in Net Assets Available for Benefits

Notes to Financial Statements

Supplemental Schedule

Schedule of Assets (Held at End of Year)
Exhibits

Exhibit 23 - Consent of Independent Auditors (EDGAR version only)

AUDITED FINANCIAL STATEMENTS AND SUPPLEMENTAL SCHEDULE

Astec Industries, Inc. 401(k) Retirement Plan


December 31, 2001 and 2000 and Year Ended December 31, 2001
with Report of Independent Auditors

 

 

 

 

 

 

 

 

 

 

 

Astec Industries, Inc. 401(k) Retirement Plan

Audited Financial Statements and Supplemental Schedule

December 31, 2001 and 2000 and Year Ended December 31, 2001

Contents

Report of Independent Auditors

1

Audited Financial Statements

Statements of Net Assets Available for Benefits

2

Statement of Changes in Net Assets Available for Benefits

3

Notes to Financial Statements

4

Supplemental Schedule

Schedule H, Line 4i - Schedule of Assets (Held at End of Year)

8

Consent of Independent Auditors (EDGAR version only)

 

 

 

 

 


Report of Independent Auditors



Plan Committee
Astec Industries, Inc. 401(k) Retirement Plan

We have audited the accompanying statements of net assets available for benefits of the Astec Industries, Inc. 401(k) Retirement Plan as of December 31, 2001 and 2000, and the related statement of changes in net assets available for benefits for the year ended December 31, 2001. These financial statements are the responsibility of the Plan's management. Our responsibility is to express an opinion on these financial statements based on our audits.

We conducted our audits in accordance with auditing standards generally accepted in the United States. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements. An audit also includes assessing the accounting principles used and significant estimates made by management, as well as evaluating the overall financial statement presentation. We believe that our audits provide a reasonable basis for our opinion.

In our opinion, the financial statements referred to above present fairly, in all material respects, the net assets available for benefits of the Plan at December 31, 2001 and 2000, and the changes in its net assets available for benefits for the year ended December 31, 2001, in conformity with accounting principles generally accepted in the United States.

Our audits were performed for the purpose of forming an opinion on the financial statements taken as a whole. The accompanying supplemental schedule of assets (held at end of year) as of December 31, 2001, is presented for purposes of additional analysis and is not a required part of the financial statements but is supplementary information required by the Department of Labor's Rules and Regulations for Reporting and Disclosure under the Employee Retirement Income Security Act of 1974. This supplemental schedule is the responsibility of the Plan's management. The supplemental schedule has been subjected to the auditing procedures applied in our audits of the financial statements and, in our opinion, is fairly stated in all material respects in relation to the financial statements taken as a whole.


/s/ Ernst & Young LLP


Chattanooga, Tennessee
June 7, 2002

 

 

 

Astec Industries, Inc. 401(k) Retirement Plan

Statements of Net Assets Available for Benefits

 

December 31

 

2001

2000

Assets

 

 

Investments, at fair value (Note 3)

$ 76,201,098

$ 77,095,294

Cash and cash equivalents

39,989

50,241

Net assets available for benefits

$ 76,241,087

$ 77,145,535

See accompanying notes.

 

 

 

 

Astec Industries, Inc. 401(k) Retirement Plan

Statement of Changes in Net Assets Available for Benefits

Year ended December 31, 2001

Additions to net assets attributed to:

 

Investment income

$ 1,237,008

 

 

Contributions:

 

Participants

6,507,538

Employer

2,312,349

 

8,819,887

Total additions

10,056,895

 

 

Deductions from net assets attributed to:

 

Net depreciation in fair value of investments

6,405,663

Benefits paid to participants

4,536,918

Administrative expenses

18,762

Total deductions

10,961,343

 

 

Net decrease

(904,448)

Net assets available for benefits

 

Beginning of year

77,145,535

End of year

$ 76,241,087




See accompanying notes.

 

 

 

Astec Industries, Inc. 401(k) Retirement Plan

Notes to Financial Statements

December 31, 2001

1. Description of Plan

The following description of the Astec Industries, Inc. 401(k) Retirement Plan (the Plan) provides only general information. Participants should refer to the Plan document for a more complete description of the Plan's provisions.

General

The Plan is a defined contribution plan covering all employees of Astec Industries, Inc. and its subsidiaries (the Company) who have completed six months of continuous service and reached age eighteen. It is subject to the provisions of the Employee Retirement Income Security Act of 1974 (ERISA). The Plan is administered by a committee appointed by the Company.

Contributions

Participant contributions are withheld from each payroll in amounts equal to a percentage of the participant's compensation as elected by the participant. The maximum participant contribution for the plan year is the lesser of $10,500, as indexed by the Internal Revenue Service, or 20% of the participant's base salary. The Company matches 75% of the participant's contribution up to 4% of the employee's earnings. The Company's matching contribution for a participant who is an employee of Kolberg-Pioneer, Inc. is 50% of the participant's contribution up to 4% of the employee's earnings.

Participant Accounts

Each participant's account is credited with the participant's contributions and allocation of the Company's contributions and Plan investment results. Allocations are based on participant earnings or account balances, as defined. The benefit to which a participant is entitled is the benefit that can be provided from the participant's account.

Vesting

Participants are immediately vested with respect to their contributions, the Company's matching contributions, and the investment results thereon.

Participants may change their investment options daily.

 

Astec Industries, Inc. 401(k) Retirement Plan

Notes to Financial Statements (Continued)

1. Description of Plan (continued)

Participant Notes Receivable

Participants may borrow from their fund accounts a minimum of $1,000 up to a maximum of $50,000, reduced by certain items identified in the Plan, or 50% of their account balance, whichever is lower. Loan terms range from one to five years or up to twenty years for the purchase of a primary residence. The loans are secured by the balance in the participant's account and bear interest at a rate of prime plus one percent. Interest rates for loans outstanding at December 31, 2001 range from 6.0% to 10.5%. Principal and interest are paid ratably through payroll deductions.


Payment of Benefits

Upon termination of service, a participant may receive a lump-sum amount equal to the vested value of his or her account, or upon death, disability or retirement, elect to receive a life annuity or monthly, quarterly, semi-annual or annual installments over a period of time.

Plan Termination

Although it has not expressed any intent to do so, the Company has the right under the Plan to discontinue its contributions at any time and to terminate the Plan subject to the provisions of ERISA. If the Plan is terminated or contributions are permanently discontinued, benefits will be distributed in accordance with the provisions of the Plan.

2. Summary of Significant Accounting Policies

Basis of Presentation

The financial statements of the Plan are presented on the accrual basis of accounting.

Investments

The Plan's investments are stated at fair value. The shares of registered investment companies are valued at quoted market prices which represent the net asset values of shares held by the Plan at year end. Shares of common stock are valued at quoted market prices. The participant notes receivable are valued at their outstanding balances, which approximate fair value.

 

Astec Industries, Inc. 401(k) Retirement Plan

Notes to Financial Statements (Continued)

2. Summary of Significant Accounting Policies (continued)

The Plan purchased shares of Astec Industries, Inc. (the Plan sponsor) common stock on the open market during 2001 at a cost of $1,682,179. The Plan sold shares of the Astec Industries, Inc. common stock on the open market during 2001 for $1,623,303 resulting in a gain of $133,939. As of December 31, 2001, the fair value of Astec Industries, Inc. common stock held for investment is $4,021,981.

Use of Estimates

The preparation of the financial statements in conformity with accounting principles generally accepted in the United States requires the Plan to make estimates that affect the amounts reported in the financial statements and accompanying notes. Actual results could differ from those estimates.

Administrative Expenses

All administrative and investment expenses are paid by the Plan.

3. Investments

During 2001, the Plan's investments depreciated in fair value as determined by quoted market prices as follows:

 

Net Realized
and Unrealized
(Appreciation)/
Depreciation
in Fair Value
of Investments

 

 

Common stock

$ (385,132)

Shares of registered investment companies

6,790,795

 

$ 6,405,663

 

 

Investments that represent 5% or more of fair value of the Plan's net assets are as follows:

December 31

2001

2000

American Century Growth Fund

$ 7,645,293

$8,815,809

American Century Ultra Fund

11,995,680

13,372,937

American Century Value Fund

9,106,378

7,164,785

Astec Industries Stock Fund

4,021,981

#

American Century Prime Money Market

10,471,189

9,023,255

American Century Income & Growth Fund

15,357,730

16,367,141

 

# - amount is less than 5% of net assets

 

4. Income Tax Status

The Plan has received a determination letter from the Internal Revenue Service dated November 2, 1994, stating that the Plan is qualified under Section 401(a) of the Internal Revenue Code (the "Code") and, therefore, the related trust is exempt from taxation. The Plan has been restated since receiving the determination letter and has applied for a new determination letter. Once qualified, the Plan is required to operate in conformity with the Code to maintain its qualification. The Plan Administrator believes the Plan is being operated in compliance with the applicable requirements of the Code and, therefore, believes that the Plan, as restated, is qualified and the related trust is tax exempt.

 

 

 

Astec Industries, Inc. 401(k) Retirement Plan

Employer I.D. No. 62-0873631 Plan No. 001

Schedule H Line 4(i)
Schedule of Assets (Held at End of Year)

December 31, 2001

 

 

(b) Identity of Issue

 

(c) Description of Investment

 

(e)Current
Value

Shares of Registered Investment Companies:

American Century

Strategic Allocation Conservative Fund

$ 2,628,822

American Century

Strategic Allocation Moderate Fund

3,688,318

American Century

Strategic Allocation Aggressive Fund

2,423,346

American Century

Income and Growth Fund

15,357,730

American Century

Value Fund

9,106,378

American Century

Growth Fund

7,645,293

American Century

Ultra Fund

11,995,680

American Century

Vista Fund

1,988,479

American Century

International Growth Fund

2,818,812

American Century

Prime Money Market Fund

10,471,189

Schwab

Money Market Fund

370,322

68,494,369

Shares of Common Stock:

*

Astec Industries, Inc.

Common Stock

4,021,981

Participant Notes Receivable

6-10.5%

3,684,748

$76,201,098

*--Indicates party-in-interest

Note: Cost information has not been included because all investments are participant directed.

EXHIBIT 23

CONSENT OF INDEPENDENT AUDITORS

We consent to the incorporation by reference in the Registration Statement (Form S-8 No. 33-61461) pertaining to the Astec Industries, Inc. 401(k) Retirement Plan (the "Plan") of our report dated June 7, 2002, with respect to the financial statements and schedule of the Astec Industries, Inc. 401(k) Retirement Plan included in this Annual Report (Form 11-K) for the year ended December 31, 2001.


/s/ Ernst & Young, LLP

Chattanooga, Tennessee
June 19, 2002

SIGNATURES


Pursuant to the requirements of the Securities Exchange Act of 1934, the trustees (or other persons who administer the employee benefit plan) have duly caused this Annual Report to be signed on its behalf by the undersigned, thereunto duly authorized, in the City of Chattanooga, State of Tennessee, on June 20, 2002.

ASTEC INDUSTRIES, INC.
401(k) RETIREMENT PLAN

By: /s/ J. Don Brock
J. Don Brock, Chairman
Astec Industries, Inc.
401(k) Retirement Plan Committee