Jan 18, 2006. /Lesprom Network/. Albany International Corp. announced on Tuesday, January 17, that fourth-quarter earnings are expected to be approximately $0.36 per share, as compared to last year's fourth quarter of $0.38 per share. Restructuring charges reduced fourth-quarter 2004 net income per share by $0.20, which was partially offset by income tax adjustments that increased net income by $0.08 per share. Earnings for the full year are expected to be approximately $2.18 per share, compared to last year's $0.32 per share after restructuring charges of $1.16 per share. Net sales increased to a new quarterly high of $247.9 million, an increase of 4.0% over the same quarter last year and an increase of 6.7% excluding the effect of changes in currency translation rates. Net sales for the full year were $978.7 million, an increase of 6.4% over last year and an increase of 4.8% excluding the effect of changes in currency translation rates. The results reflect continued strength in net sales and cash generation, but lower-than-expected operating margins. Compared to the fourth quarter of 2004, the primary factors contributing to the lower-than-expected operating margins were: (a) increased material costs due to higher energy prices (approximately $0.11 per share); (b) lower prices for paper machine clothing (PMC) in certain European markets (approximately $0.08 per share); and (c) a number of expenses associated with the residual effects of the 2004 restructuring (approximately $0.07 per share). The company also reported that net sales for the first quarter of 2006 were likely to be reduced by approximately $8 million and earnings would be reduced between $0.05 and $0.07 per share, as the result of an anticipated change during the quarter in commercial terms with a major customer. President and CEO Joe Morone commented, "We had anticipated higher material costs, but competitive pricing pressures in Europe were greater than expected as were a number of expenses associated with the residual effects of the 2004 restructuring. While we are disappointed in the earnings, the record net sales and continuing strong cash from operations reinforce our commitment to our strategic plan for 2006 and beyond." The company also announced planned investments in Asia and Brazil, in support of paper machine clothing growth, and a strategic acquisition that will support growth of the Albany International Techniweave business in aerospace composites (Applied Technologies Segment). In PMC, the company will invest approximately $150 million over the next four years in a new manufacturing facility in Hangzhou, China, and in capacity expansions of existing plants in Brazil and Korea. The new facility in China will serve as the headquarters of the Pacific Business Corridor and will house major PMC operations for the manufacture of forming and press fabrics, used in the manufacture of paper and paperboard products. The company further announced that the board of directors has authorized the purchase of up to 3.5 million shares of its class A common stock. The board's action authorizes management to purchase shares from time to time, in the open market or otherwise, whenever it believes the available price makes such purchase advantageous to the company's shareholders. Albany International is the world's largest producer of paper machine clothing and high performance doors with manufacturing plants in 15 countries and sales worldwide.