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UNITED STATES
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, 2000
OR
TRANSITION REPORT PURSUANT TO SECTION 15(d) OF THE SECURITIES EXCHANGE
--- ACT OF 1934
For the transition period from __________ to ___________
Commission file number 1-13782
A. Full title of the plan and the address of the plan, if different from that
of the issuer named below:
Westinghouse Air Brake Company Savings Plan for Non-Pittsburgh Hourly Employees
B. Name of issuer of the securities held pursuant to the plan and the address
of the principal executive office.
Westinghouse Air Brake Technologies Corporation
1001 Air Brake Avenue
Wilmerding, PA 15148
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WESTINGHOUSE AIR BRAKE COMPANY SAVINGS PLAN FOR NON-PITTSBURGH HOURLY EMPLOYEES
Form 11-K Annual Report Pursuant To Section 15(D) of
the Securities Exchange Act of 1934
For The Fiscal Year Ended December 31, 2000
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WESTINGHOUSE AIR BRAKE COMPANY SAVINGS PLAN FOR NON-PITTSBURGH HOURLY EMPLOYEES
ANNUAL REPORT ON FORM 11-K
DECEMBER 31, 2000 AND 1999
TABLE OF CONTENTS
PAGE
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Report of Independent Public Accountants 1
Statements of Net Assets Available for Plan Benefits,
December 31, 2000 and 1999 2
Statement of Changes in Net Assets Available for Plan
Benefits for the Year Ended December 31, 2000 3
Notes to Financial Statements 4
Supplemental Schedule:
Item 4i - Schedule of Assets Held for Investment
Purposes, December 31, 2000 Schedule I
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REPORT OF INDEPENDENT PUBLIC ACCOUNTANTS
To the Westinghouse Air Brake Company Savings Plan for Non-Pittsburgh Hourly
Employees and Participants:
We have audited the accompanying statements of net assets available for benefits
of the Westinghouse Air Brake Company Savings Plan for Non - Pittsburgh Hourly
Employees (the Plan) as of December 31, 2000 and 1999, and the related statement
of changes in net assets available for benefits for the year ended December 31,
2000. These financial statements and the schedule referred to below are the
responsibility of the Plan's management. Our responsibility is to express an
opinion on these financial statements and schedule 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
audits 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 as of
December 31, 2000 and 1999, and the changes in its net assets available for
benefits for the year ended December 31, 2000, in conformity with accounting
principles generally accepted in the United States.
Our audit was made for the purpose of forming an opinion on the financial
statements taken as a whole. The supplemental Schedule of Assets Held for
Investment Purposes as of December 31, 2000, is presented for the purpose of
additional analysis and is not a required part of the basic financial statements
but is supplementary information required by the Department of Labor's Rules and
Regulations for Reporting and Disclosure under the Employee Retirement Income
Security Act of 1974. The supplemental schedule has been subjected to the
auditing procedures applied in the audit of the basic financial statements and,
in our opinion, is fairly stated in all material respects in relation to the
basic financial statements taken as a whole.
/s/ ARTHUR ANDERSEN LLP
Pittsburgh, Pennsylvania
June 13, 2001
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WESTINGHOUSE AIR BRAKE COMPANY
SAVINGS PLAN FOR NON-PITTSBURGH HOURLY EMPLOYEES
STATEMENTS OF NET ASSETS AVAILABLE FOR PLAN BENEFITS
DECEMBER 31, 2000 AND 1999
2000 1999
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INVESTMENTS, at market $ 550,805 $806,959
RECEIVABLE FOR PLAN MERGER 528,899 --
PARTICIPANT LOANS 28,863 34,813
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NET ASSETS AVAILABLE FOR PLAN BENEFITS $1,108,567 $841,772
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The accompanying notes are an integral part of these financial statements.
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WESTINGHOUSE AIR BRAKE COMPANY
SAVINGS PLAN FOR NON-PITTSBURGH HOURLY EMPLOYEES
STATEMENT OF CHANGES IN NET ASSETS AVAILABLE FOR PLAN BENEFITS
FOR THE YEAR ENDED DECEMBER 31, 2000
2000
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NET ASSETS AVAILABLE FOR PLAN BENEFITS, beginning of year $ 841,772
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INCREASES:
Employee contributions 52,902
Transfer in from plan merger 555,797
Investment income-
Interest and dividends 42,525
Net depreciation in fair value of investments (20,467)
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Net investment income 22,058
Total increases 630,757
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DECREASES:
Benefit payments 363,597
Administrative expenses 365
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Total decreases 363,962
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NET INCREASE 266,795
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NET ASSETS AVAILABLE FOR PLAN BENEFITS,
end of year $1,108,567
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The accompanying notes are an integral part of these financial statements.
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WESTINGHOUSE AIR BRAKE COMPANY
SAVINGS PLAN FOR NON-PITTSBURGH HOURLY EMPLOYEES
NOTES TO FINANCIAL STATEMENTS
DECEMBER 31, 2000 AND 1999
1. DESCRIPTION OF PLAN:
The following brief description of the Plan is provided for general information
purposes only. Participants should refer to the Plan document for more complete
information.
General
The Westinghouse Air Brake Company Savings Plan for Non-Pittsburgh Hourly
Employees (the Plan), effective May 1, 1999, is a contributory plan intended to
comply with the provisions of Sections 401(a), 401(k), and 401(m) of the
Internal Revenue Code (IRC).
The plan was amended during 1999 to reflect the transfer of assets from the
Technical Service & Marketing Profit Sharing 401(k) Plan and the Comet
Industries, Incorporated 401(k) Savings Plan.
As a result of the hourly employees at the Corporation's Plattsburgh, New York
work location being covered under the Savings Plan of Westinghouse Air Brake
Technologies Corporation (formerly Westinghouse Air Brake Company) and
Participating Subsidiary Companies, the plan is amended to clarify that the
above-mentioned employees are not covered under the Plan.
Contributions
Participants may contribute, through payroll deductions, employee elective
contributions from 1% to 16% of their compensation each Plan year, limited to
$10,500 in 2000. In addition, participants may contribute employee after tax
contributions from 1% to 16% of their compensation each Plan year.
Participant total annual contributions may not exceed the contribution limits
under Section 415(c) of the IRC. In addition, the combination of an employee's
elective contribution and after tax contribution cannot exceed 16% of his/her
compensation.
Withdrawals
Participants may make the following types of withdrawals:
In-Service Withdrawals--A participant may withdraw any amount of the vested
portion of his/her employer matching account, employer after-tax account, and
rollover accounts once in any six-month period. Once a participant has reached
age 59-1/2, he/she can withdraw any portion of his/her employee elective
account.
Hardship Withdrawals--In the case of hardship, as defined in the Plan document,
the participant can receive 100% of his/her employee elective account. Hardship
withdrawals are limited to once every Plan year.
Loans
Participants may receive loans from the Plan. At no time shall the loans of the
participant exceed the lesser of: 50% of the value of the participant's vested
balance of his/her accounts, reduced by any outstanding loan balance or $50,000.
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Vesting
Employee contributions are at all times 100% vested and nonforfeitable.
2. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES:
Basis of Accounting
The accounts of the Plan are maintained on the accrual basis of accounting.
Expenses incurred by the plan administrator, investment manager and trustee for
their services and costs in administering the Plan are paid directly by the
Company.
Investment Options
The trustee of the investments is Fidelity Management Trust Company (Fidelity)
per the Trust Agreement dated May 1, 1999. Fidelity maintains the investments
and provides record-keeping functions for the Plan. Each participant's account,
at the discretion of the participant, may be invested in any of the following
funds:
a. Fidelity Equity Income Fund--This fund invests approximately 80% of its
portfolio in common and preferred stocks and 20% in debt securities, usually
those convertible to common stock. The goal of this fund is to provide dividends
as well as price appreciation.
b. Fidelity Growth Company Fund--This fund invests in securities of companies
with above average growth characteristics as demonstrated in earnings or gross
sales. These securities include common stocks, securities convertible into
common stocks and occasionally debt obligations.
c. Fidelity Overseas Fund--This fund normally invests at least 65% of the fund's
total assets in securities of issuers from at least three countries outside the
United States. These securities include common stocks, securities convertible to
common stocks and debt instruments of foreign businesses and governments.
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d. Fidelity Blue Chip Growth Fund--This fund invests primarily in a diversified
portfolio of common stocks of well-known and established companies. Normally, at
least 65% of these securities are issued by "blue chip" companies. A blue chip
firm can generally be described as having a market value of at least $200
million in outstanding stock. Its securities usually are included in the
Standard & Poor's Composite Stock Price Index of 500 common stocks or the Dow
Jones Industrial Average. This fund seeks growth of capital over the long term.
e. Fidelity Asset Manager Fund--This fund invests in money market instruments,
intermediate and long-term bonds and equities. The goal of this fund is to seek
high total return with reduced investment risk over the long term.
f. Fidelity Managed Income Portfolio--This portfolio invests in contracts with
rates and maturities that are set monthly and provide current, competitive
interest rates. The portfolio also invests in longer term Guaranteed Investment
Contracts (GICs) with fixed rates of interest. This portfolio seeks preservation
of capital and a competitive level of income over time.
g. Spartan U.S. Equity Index Fund--This fund invests in common stocks of the
companies that make up the Standard and Poor's (S&P) 500 Index. The goal of this
account is to model the S&P 500 Index in such a way that the account's
performance is similar to that of the Index.
h. Wabtec Corporation Common Stock Fund - This fund consists entirely of Wabtec
Corporation common stock for investors who want to participate in the growth of
the Company as part owners.
Investments are valued at their market values based on published quotations or,
in the absence of readily ascertainable market values, at such values as the
trustee will determine.
The investment information included in the financial statements and supplemental
schedules for the year ended December 31, 2000, has been certified by the
trustee of the Plan, Fidelity.
Tax Status
No determination letter has been received. However, the Plan administrator
believes that the Plan is currently designed and is being operated in compliance
with the applicable requirements of the Internal Revenue Code. Therefore, the
Plan administrator believes that the Plan was qualified and the related trust
was tax-exempt as of the financial statement dates.
Use of Estimates in the Preparation of Financial Statements
The preparation of financial statements in conformity with accounting principles
generally accepted in the United States requires the plan administrator to make
estimates and assumptions that affect the amounts reported in the financial
statements and accompanying notes. Actual results may differ from these
estimates.
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Adoption of SOP 99-3
The Accounting Standards Executive Committee issued Statement of Position 99-3
Accounting For And Reporting of Certain Defined Contribution Plan Investments
and Other Disclosure Matters, which eliminates the requirement for a defined
contribution plan to disclose the participant directed investment programs.
3. INVESTMENTS:
The trustee of the Plan held the Plan's investments and executed transactions
therein. The fair market values of individual assets that represent 5% or more
of the Plan's net assets as of December 31, 2000 and 1999, are as follows:
2000 1999
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Fidelity Managed Income Portfolio $318,610 $503,392
Fidelity Equity Income Fund 108,694 137,552
Fidelity Overseas Fund 42,967 82,566
Spartan U.S. Equity Index Fund 34,869 57,568
4. PLAN TERMINATION:
In the event the Plan is terminated, the Company will direct either (a) that the
investment manager and trustee continue to hold the participants' accounts in
accordance with the Plan, or (b) that the investment manager and trustee
immediately distribute to each participant all amounts in the participant's
account in a single lump-sum payment.
5. PLAN MERGER:
On December 31, 2000, the assets of the Motor Coils Manufacturing Company
Savings Plan were merged into the Plan. All participants transferred in the
merger were fully vested in their account balances as of such date. The
receivable for plan merger on the accompanying statement of net assets available
for plan benefits represents the assets in transit as of December 31, 2000.
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SCHEDULE 4i
WESTINGHOUSE AIR BRAKE COMPANY
SAVINGS PLAN FOR NON-PITTSBURGH HOURLY EMPLOYEES
EMPLOYER IDENTIFICATION NUMBER 25-1615902
SCHEDULE 4i SCHEDULE OF ASSETS HELD FOR INVESTMENT
PURPOSES
DECEMBER 31, 2000
Identity of Issue Description of Investment Current Value
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COMMON STOCK
* Wabtec Corporation Wabtec Corporation
2,056.770 Shares $ 19,910
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REGISTERED INVESTMENT COMPANIES
* Fidelity Management Trust Company Fidelity Equity Income Fund
2,034.317 Shares 108,694
* Fidelity Management Trust Company Fidelity Growth Company Fund
117.837 Shares 8,417
* Fidelity Management Trust Company Fidelity Overseas Fund
1,250.122 Shares 42,967
* Fidelity Management Trust Company Fidelity Blue Chip Growth Fund
174.291 Shares 8,981
* Fidelity Management Trust Company Fidelity Asset Manager Fund
496.849 Shares 8,357
* Fidelity Management Trust Company Fidelity Managed Income Portfolio
318,610.330 Shares 318,610
* Fidelity Management Trust Company Spartan US Equity Index Fund
744.907 Shares 34,869
LOAN FUND
* Participant Loans Outstanding Loan Balance 28,863
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$579,668
* Indicates party-in-interest.
The accompanying notes to financial statements are an integral
part of this schedule.
Schedule I
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SIGNATURE
Pursuant to the requirements of Section 13 or 15(d) of the Securities
Exchange Act of 1934, the Company has duly caused this report to be signed on
its behalf by the undersigned, thereunto duly authorized.
Westinghouse Air Brake Technologies
Corporation
By /s/ Robert J. Brooks
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Robert J. Brooks
Chief Financial Officer
June 29, 2001
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Exhibit 23
CONSENT OF INDEPENDENT PUBLIC ACCOUNTANTS
As independent public accountants, we hereby consent to the incorporation of our
report included in this Form 11-K, into the Company's previously filed
Registration Statement on Form S-8, Registration Number 333-33998, relating to
the Westinghouse Air Brake Company Savings Plan for Non-Pittsburgh Hourly
Employees.
/s/ Arthur Andersen LLP
Pittsburgh, Pennsylvania,
July 2, 2001
