2013 401K 11-K





 


UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, DC 20549
 
 
 
Form 11-K
 
 
 
x
ANNUAL REPORT PURSUANT TO SECTION 15(D) OF THE SECURITIES EXCHANGE ACT OF 1934
 
For the fiscal year ended December 31, 2013
 
or
 
¨
TRANSITION REPORT PURSUANT TO SECTION 15(D) OF THE SECURITIES EXCHANGE ACT OF 1934
 
For the transition period from              to             
 
Commission file number 001-16441
 
 
 
CROWN CASTLE INTERNATIONAL CORP. 401(k) PLAN
2000 Corporate Drive
Canonsburg, PA 15317
(Full title of the plan and the address of the plan,
if different from that of the issuer named below)
 
CROWN CASTLE INTERNATIONAL CORP.
1220 Augusta Drive, Suite 600
Houston, Texas 77057-2261
(Name of issuer of the securities held pursuant to the
plan and the address of principal executive office)
 
 


















CROWN CASTLE INTERNATIONAL CORP. 401(k) PLAN


INDEX

 
 
Page
REPORT OF BDO USA, LLP, INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM
 
 
 
 
 
 
Note: All other schedules required by 29 CFR 2520.103-10 of the Department of Labor's Rules and Regulations for Reporting and Disclosure under the Employee Retirement Income Security Act of 1974 have been omitted because they are not applicable.

 
 
 






Report of Independent Registered Public Accounting Firm



To the Plan Administrator
Crown Castle International Corp. 401(k) Plan
Canonsburg, Pennsylvania


We have audited the accompanying statement of net assets available for benefits of the Crown Castle International Corp. 401(k) Plan (the “Plan”) as of December 31, 2013, and the related statement of changes in net assets available for benefits for the year then ended. 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 audit.

We conducted our audit in accordance with the standards of the Public Company Accounting Oversight Board (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. The Plan is not required to have, nor were we engaged to perform, an audit of its internal control over financial reporting. Our audit included consideration of internal control over financial reporting as a basis for designing audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the Plan’s internal control over financial reporting. Accordingly, we express no such opinion. An audit also includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements, assessing the accounting principles used and significant estimates made by management, as well as evaluating the overall financial statement presentation. We believe that our audit provides 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, 2013, and the changes in net assets available for benefits for the year then ended, in conformity with accounting principles generally accepted in the United States of America.

Our audit was conducted for the purpose of forming an opinion on the basic financial statements taken as a whole. The accompanying supplemental schedule of assets (held at end of year) as of December 31, 2013 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. This supplemental schedule is the responsibility of the Plan’s management. 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/ BDO USA, LLP
Pittsburgh, Pennsylvania
June 24, 2014


1




Report of Independent Registered Public Accounting Firm
To the Participants and Administrator of Crown Castle International Corp. 401(k) Plan

In our opinion, the accompanying statement of net assets available for benefits and the related statement of changes in net assets available for benefits present fairly, in all material respects, the net assets available for benefits of Crown Castle International Corp. 401(k) Plan (the “Plan”) at December 31, 2012, and the changes in net assets available for benefits for the year then ended in conformity with accounting principles generally accepted in the United States of America. 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 audit. We conducted our audit of these statements in accordance with the standards of the Public Company Accounting Oversight Board (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, assessing the accounting principles used and significant estimates made by management, and evaluating the overall financial statement presentation. We believe that our audit provides a reasonable basis for our opinion.


/s/ PricewaterhouseCoopers LLP
Pittsburgh, Pennsylvania
June 24, 2013


2



CROWN CASTLE INTERNATIONAL CORP. 401(k) PLAN

STATEMENTS OF NET ASSETS AVAILABLE FOR BENEFITS

DECEMBER 31, 2013 AND 2012

 
2013
 
2012
Investments, at fair value (notes 3 and 4)
$
161,817,976

 
$
126,056,312

Receivables:
 
 
 
Employer contributions
2,876,028

 
2,547,080

Notes receivable from participants
2,744,691

 
2,392,523

Total receivables
5,620,719

 
4,939,603

Net assets available for benefits
$
167,438,695

 
$
130,995,915








See accompanying notes to financial statements.

3



CROWN CASTLE INTERNATIONAL CORP. 401(k) PLAN

STATEMENTS OF CHANGES IN NET ASSETS AVAILABLE FOR BENEFITS

FOR THE YEARS ENDED DECEMBER 31, 2013 AND 2012

 
2013
 
2012
Additions (deductions) to net assets attributed to:
 
 
 
Investment income (loss):
 
 
 
Net appreciation (depreciation) in fair value of investments (note 3)
$
22,042,396

 
$
16,137,188

Dividends and interest
3,329,441

 
2,507,988

Total investment income (loss)
25,371,837

 
18,645,176

Contributions:
 
 
 
Employer cash contributions
6,435,136

 
5,342,779

Employer securities contributions

 
7,951,580

Participants
9,745,229

 
8,157,863

Rollovers
1,049,604

 
413,873

Total contributions
17,229,969

 
21,866,095

Total additions (deductions)
42,601,806

 
40,511,271

Deductions from net assets attributed to:
 
 
 
Benefits paid to participants
6,096,231

 
3,756,532

Administrative expenses
62,795

 
21,738

Total deductions
6,159,026

 
3,778,270

Transfers from Merged Plan (note 7)

 
2,438,384

Net increase (decrease)
36,442,780

 
39,171,385

Net assets available for benefits:
 
 
 
Beginning of year
130,995,915

 
91,824,530

End of year
$
167,438,695

 
$
130,995,915








See accompanying notes to financial statements.



4

CROWN CASTLE INTERNATIONAL CORP. 401(k) PLAN
NOTES TO FINANCIAL STATEMENTS
December 31, 2013 and 2012


1.
Plan Description
The following description of the Crown Castle International Corp. 401(k) Plan (the “Plan”) provides only general information. Participants should refer to the Plan agreement for a more complete description of the Plan's provisions.
(a)
General
The Plan is a defined contribution plan available to eligible employees of Crown Castle International Corp. (the “Company”). The Charles Schwab Trust Company is the trustee of the Plan. Schwab Retirement Plan Services, Inc. is the recordkeeper, and both Schwab Retirement Plan Services, Inc. and State Street Bank and Trust Company serve as custodians. The Company is the plan administrator for the Plan. The Plan was established on May 1, 1999, and has since been amended on an as-needed basis through the date of this report. The Plan is subject to the provisions of the Employee Retirement Income Security Act of 1974.
(b)
Contributions
Employees are eligible for participation in the Plan once they are twenty-one years of age and have completed three months of service with the Company. Employees can participate in the Plan on the first day of the month coinciding with or following three months of service. Participants may contribute any percentage of their eligible compensation up to and including any percentage that allows the participant to reach the section 401(k) pre-tax contribution limit of $17,500 and $17,000 in 2013 and 2012, respectively, for participants under age 50. Participants who are age 50 and older can contribute up to an additional $5,500 in both 2013 and 2012 for a total of $23,000 and $22,500, respectively. These employee contributions are made through salary reductions and are fully vested at all times. Participants may also contribute amounts representing distributions from other qualified plans. Participants direct the investment of their contributions into various investment options offered by the Plan. The Plan includes an auto-enrollment provision whereby all newly eligible employees who have not submitted an election to participate or not participate in the Plan are automatically enrolled in the Plan at a deferral rate of 3% and their contributions invested in a designated target date fund until changed by the participant. The deferral rates for participants who were auto enrolled increases by 1% each year until it reaches a maximum contribution of 6%, unless otherwise directed by the participant. A registered investment adviser is engaged to assist in monitoring the core investment options offered by the Plan (excluding the participant directed brokerage account investments and the Crown Castle International Corp. Unitized Common Stock Trust Fund ("CCIC Unitized Common Stock Trust Fund")). As of December 31, 2013, the Plan offered 13 mutual funds, six common collective funds, a money market account, a participant directed brokerage account and the CCIC Unitized Common Stock Trust Fund. Participants own shares of mutual funds, common stocks, money market funds, and unit investment trusts through the participant directed brokerage account.
The Company matches and contributes 100% of the first 3% of compensation that a participant contributes to the Plan. In addition, discretionary amounts may be contributed at the option of the Company's board of directors. Contributions are subject to certain limitations. The discretionary contribution for 2013 was 100% of the second 3% of compensation that participants contributed to the Plan. The discretionary contributions for 2012 consisted of (1) 100% of the second 3% of compensation that participants contributed to the Plan, and (2) 100 shares of the Company's common stock to employees (other than certain executive officers) participating in the Plan. On August 1, 2012, the discretionary stock contribution totaled 55,652 units of the CCIC Unitized Common Stock Trust Fund, or approximately $7,952,000. This discretionary stock contribution will vest in the same manner as the Company's standard and annual discretionary cash matches. See "vesting description" below. The Company's discretionary contributions were $2,932,856 (net of $56,828 of forfeitures) and $10,437,678 (net of $74,129 of forfeitures) for the years ended December 31, 2013 and 2012, respectively.
(c)
Participant Accounts
Participant accounts are maintained at fair market value. Each participant's account is credited with the participant's contribution and allocations of (1) the Company's matching and discretionary contributions and (2) Plan earnings and losses. The participant is entitled to the benefit that can be provided from the participant's vested account.
(d)
Vesting
Participants are vested immediately in their contributions plus actual earnings (losses) thereon. Vesting in the Company's contribution portion of their accounts is generally based on years of service. A participant is 33% vested after one year of credited service, 67% vested after two years of credited service, and 100% vested after three years

5

CROWN CASTLE INTERNATIONAL CORP. 401(k) PLAN
NOTES TO FINANCIAL STATEMENTS
December 31, 2013 and 2012

of credited service. A participant automatically vests in any non-vested accounts upon attainment of age 65, upon retirement due to disability, upon death and upon termination of the Plan.
(e)
Notes Receivable From Participants
Participants are permitted to borrow from their account a minimum of $1,000 up to a maximum of 50% of the vested balance or $50,000, whichever is less. The notes are secured by the balance in the participant's account and bear interest at a fixed rate of prime plus 1%. As of December 31, 2013, the interest rate on all notes receivable from participants was 4.25%. The Plan recognized interest income on notes receivable from participants of $101,916 and $82,912 for the years ending December 31, 2013 and 2012, respectively. All notes are subject to specific repayment terms and must be repaid within a five-year period. Each participant is permitted one note at a time. No allowance for credit losses was recorded as of December 31, 2013 and 2012.
In the event of default, as described by the Plan, participants are considered to have received a distribution and are subject to income taxes on the distributed amount. Also, participants may be subject to an additional 10% tax on their taxable withdrawal if it occurs prior to age 59 1/2.
(f)
Payment of Benefits
Participants are permitted to withdraw any portion of their vested account balance due to death, permanent disability, retirement, attainment of age 59 1/2, in the event of financial hardship or termination of service. The participant may elect to receive a lump-sum payment, subject to federal income tax withholdings, or rollover the vested account balance to another qualified plan. These withdrawals, prior to retirement, may result in certain suspensions of future participation in the Plan.
(g)
Forfeitures
Company contributions and earnings (losses) thereon that have not become vested, and have been forfeited by participants in accordance with the applicable provisions of the Plan, are applied against the Company's contributions to the Plan and may be applied to reduce the administrative expenses of the Plan. During the years ended December 31, 2013 and 2012, the Plan has and anticipates continuing to predominately utilize participant forfeitures to reduce any annual discretionary contribution (see note 1(b)). Amounts forfeited were $91,013 and $46,187 during the years ended December 31, 2013 and 2012, respectively. Forfeited amounts of $727 and $5,413 were applied against administrative expenses for the years ended December 31, 2013 and 2012, respectively. There were no forfeited amounts unallocated to participants as of December 31, 2013 and 2012.
(h)
Administration Expenses
Plan administrative expenses, to the extent not paid by the Company, are charged to and paid from the Plan's assets as incurred. The Plan permits the application of forfeited assets to pay administrative expenses.
(i)
Termination of Plan
In the event of termination of the Plan, the plan administrator will continue to function during such period as is necessary to make remaining normal distributions and to administer and distribute the residual interests of the participants. 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. In the event of Plan termination, participants become 100% vested in their accounts. Any unallocated assets of the Plan shall be allocated to participant accounts and distributed in such a manner as the plan administrator may determine.
(j)
Risks and Uncertainties
The Plan invests in various investment securities. Investment securities are exposed to various risks such as interest rate, market, and credit risks. Due to the level of risk associated with certain investment securities, it is at least reasonably possible that changes in the values of investment securities will occur in the near term and that such changes could materially affect participants' account balances and the amounts reported in the statement of net assets available for benefits. For example, as of December 31, 2013 approximately 13% of the Plan's net assets are invested in the CCIC Unitized Common Stock Trust Fund that predominately consists of the common stock of the Company. See also note 3.


6

CROWN CASTLE INTERNATIONAL CORP. 401(k) PLAN
NOTES TO FINANCIAL STATEMENTS
December 31, 2013 and 2012

2.
Summary of Significant Accounting Policies
(a)
Basis of Presentation
The accompanying financial statements have been prepared on an accrual basis. Accounts of participants who have elected to withdrawal from the plan, but to whom disbursements of funds from the plan has not been made, are included as a component of net assets available for benefits.
(b)
Use of Estimates
The preparation of the financial statements in conformity with accounting principles generally accepted in the United States of America requires the plan administrator to make estimates and assumptions that affect the amounts reported in the financial statements and notes thereto. Actual results could differ from those estimates.
(c)
Investment Income
Interest income from investments is recorded as earned on an accrual basis. Dividend income is recorded on the ex-dividend date.
(d)
Investments and Fair Value Measurements
The Company's assets and liabilities recorded at fair value are categorized based upon a fair value hierarchy that ranks the quality and reliability of the information used to determine fair value, in accordance with applicable accounting guidance (see note 4).
The following is a description of the levels of the fair value hierarchy:
Level 1 inputs are quoted prices (unadjusted) in active markets for identical assets or liabilities.
Level 2 inputs are inputs other than quoted prices included within Level 1 that are observable for the asset or liability, either directly or indirectly. Level 2 inputs include quoted prices for similar assets or liabilities in active markets, as well as inputs other than quoted prices that are observable for the asset or liability.
Level 3 inputs are unobservable inputs and are not corroborated by market data.
The following is a description of the valuation methodologies used for assets measured at fair value. There have been no changes in the methodologies used at December 31, 2013 and 2012.
Money market funds, unit investment trusts and equity securities: Valued at the closing price reported on the active market on which the individual securities are traded on the last business day of the Plan year.
Mutual funds: Valued at the NAV of shares held by the Plan at year-end based on quoted market price on active markets on the last business day of the Plan year.
CCIC Unitized Common Stock Trust Fund: Investments in the CCIC Unitized Common Stock Trust Fund are valued based on the current market value of the underlying assets of the fund. These investments include cash equivalents as well as shares of the common stock of the Company, which are valued at the closing price as reported by NYSE on the last business day of the Plan year. The CCIC Unitized Common Stock Trust Fund has daily redemptions and one day trading terms. The CCIC Unitized Common Stock Trust Fund has no unfunded commitments at December 31, 2013.
Common Collective Funds: Investments in collective trust funds are valued at the NAV of the respective funds on the last business day of the Plan year based on audited financial statements. The common collective funds have daily redemptions and one day trading terms. The common collective funds have no unfunded commitments at December 31, 2013.
The preceding described methods may produce a fair value calculation that may not be indicative of net realizable value or reflective of future fair values. Furthermore, although the Plan believes its valuation methods are appropriate and consistent with other market participants, the use of different methodologies or assumptions to determine the fair value of certain financial instruments could result in a different fair value measurement at the reporting date.

7

CROWN CASTLE INTERNATIONAL CORP. 401(k) PLAN
NOTES TO FINANCIAL STATEMENTS
December 31, 2013 and 2012

Purchases and sales of securities are accounted for on a settlement-date basis. The difference between recording transactions on a trade date and a settlement date was not significant to the Plan's financial statements.
In accordance with the policy of stating investments at fair value, unrealized appreciation or depreciation on investments are reflected within investment income (loss) in the Statements of Changes in Net Assets Available for Benefits.
(e)
Contributions
Participant contributions are recorded as they are withheld from the participant's wages.
(f)
Distributions to Participants
Distributions to participants are recorded when paid by the Plan.
(g)
Notes Receivable from Participants
Notes receivable from participants are measured at their unpaid principal balance plus any accrued but unpaid interest (see note 1(e)).

3.
Investment Options
The following were the investment options as of December 31, 2013:
Alger Small Cap Growth Institutional I Fund
Schwab Managed Retirement Trust 2010 CL IV
Columbia Acorn Z Fund
Schwab Managed Retirement Trust 2020 CL IV
CCIC Unitized Common Stock Trust Fund
Schwab Managed Retirement Trust 2030 CL IV
DFA One Year Fixed Income Fund
Schwab Managed Retirement Trust 2040 CL IV
EII Global Property Institutional Fund
Schwab Managed Retirement Trust 2050 CL IV
Invesco Growth & Income R5 Fund
Schwab Managed Retirement Trust Income CL IV
JPMorgan Core Bond R6 Fund
Schwab U.S. Treasury Money Market Fund
Northern Small Cap Value Fund
Thornburg International Value R6 Fund
Personal Choice Retirement Account
T. Rowe Price Growth Stock Fund
PIMCO High Yield Fund
Vanguard Inflation-Protected Securities Fund
Schwab 1000 Index Fund
Vanguard Mid-Cap Index Institutional Fund
The following are investments that represent 5% or more of the Plan's assets (see note 4):
 
December 31,
 
2013
 
2012
Mutual Funds (valued at fair value):
 
 
 
Columbia Acorn Z Fund
$
9,656,536

 
$
7,443,158

Invesco Growth and Income R5 Fund
11,026,880

 
6,882,759

JPMorgan Core Bond R6 Fund(a)
7,268,101

 
7,764,331

Laudus Growth Investors Fund(a)

 
15,177,266

Schwab 1000 Index Fund
15,096,949

 
10,630,460

Schwab Managed Retirement Trust 2030 CL IV(b)
8,498,835

 
5,775,024

Schwab Managed Retirement Trust 2040 CL IV(b)
9,086,712

 
5,787,476

Thornburg International Value R6 Fund
12,520,505

 
10,316,277

T. Rowe Price Growth Stock Fund(b)
21,145,409

 

Vanguard Mid-Cap Index Institutional Fund(b)
10,306,411

 

Common Stock Unitized Trust Fund (valued at fair value):
 
 
 
CCIC Unitized Common Stock Trust Fund
$
21,830,458

 
$
21,953,668

    
(a) 
The fair values of the investments as of December 31, 2013 are not five percent or more of the Plan's total net assets available for benefits.
(b) 
The fair values of the investments as of December 31, 2012 are not five percent or more of the Plan's total net assets available for benefits.

8

CROWN CASTLE INTERNATIONAL CORP. 401(k) PLAN
NOTES TO FINANCIAL STATEMENTS
December 31, 2013 and 2012

For the years ended December 31, 2013 and 2012, the Plan's investments (including gains and losses on investments bought and sold, as well as held during the year) appreciated (depreciated) in fair value, as follows:
 
 
 
For the Years Ended December 31,
 
Level
 
2013
 
2012
Mutual funds and common stock
Level 1
 
$
17,242,353

 
$
7,622,175

Common collective funds
Level 2
 
4,403,661

 
2,240,265

CCIC Unitized Common Stock Trust Fund
Level 2
 
396,382

 
6,274,748

 
 
 
$
22,042,396

 
$
16,137,188


4.
Fair Values
Investments measured at fair value on a recurring basis consisted of the following types of instruments as of December 31, 2013 and 2012.
 
Assets at Fair Value as of December 31, 2013
 
Level 1
 
Level 2
 
Level 3
 
Total
Mutual funds:
 
 
 
 
 
 
 
Growth funds
$
45,784,395

 
$

 
$

 
$
45,784,395

Balanced funds
25,403,360

 

 

 
25,403,360

Bond funds
10,720,404

 

 

 
10,720,404

Value funds
14,844,663

 

 

 
14,844,663

Real estate funds
3,594,119

 

 

 
3,594,119

Total mutual funds
100,346,941

 

 

 
100,346,941

 
 
 
 
 
 
 
 
Money market fund:
 
 
 
 
 
 
 
Treasury fund

 
4,386,096

 

 
4,386,096

Total money market fund

 
4,386,096

 

 
4,386,096

 
 
 
 
 
 
 
 
Common collective funds:
 
 
 
 
 
 
 
Target date managed retirement funds(a)

 
29,007,874

 

 
29,007,874

Total common collective funds

 
29,007,874

 

 
29,007,874

 
 
 
 
 
 
 
 
Participant directed brokerage account:
 
 
 
 
 
 
 
Mutual funds
2,561,105

 

 

 
2,561,105

Common stocks
2,392,205

 

 

 
2,392,205

Money market funds
796,355

 

 

 
796,355

Unit investment trusts and other
496,942

 

 

 
496,942

Total participant directed brokerage account
6,246,607

 

 

 
6,246,607

CCIC Unitized Common Stock Trust Fund

 
21,830,458

 

 
21,830,458

Total
$
106,593,548

 
$
55,224,428

 
$

 
$
161,817,976

    
(a)
Primarily invested in a mix of equities and bonds based on target retirement year.

9

CROWN CASTLE INTERNATIONAL CORP. 401(k) PLAN
NOTES TO FINANCIAL STATEMENTS
December 31, 2013 and 2012

 
Assets at Fair Value as of December 31, 2012
 
Level 1
 
Level 2
 
Level 3
 
Total
Mutual funds:
 
 
 
 
 
 
 
Growth funds
$
34,352,039

 
$

 
$

 
$
34,352,039

Balanced funds
16,770,571

 

 

 
16,770,571

Bond funds
10,963,209

 

 

 
10,963,209

Value funds
9,237,872

 

 

 
9,237,872

Real estate funds
3,902,703

 

 

 
3,902,703

Total mutual funds
75,226,394

 

 

 
75,226,394

 
 
 
 
 
 
 
 
Money market fund:
 
 
 
 
 
 
 
Treasury fund

 
4,682,205

 

 
4,682,205

Total money market fund

 
4,682,205

 

 
4,682,205

 
 
 
 
 
 
 
 
Common collective funds:
 
 
 
 
 
 
 
Target date managed retirement funds(a)

 
19,700,610

 

 
19,700,610

Total common collective funds

 
19,700,610

 

 
19,700,610

 
 
 
 
 
 
 
 
Participant directed brokerage account:
 
 
 
 
 
 
 
Mutual funds
1,654,331

 

 

 
1,654,331

Common stocks
1,580,989

 

 

 
1,580,989

Money market funds
1,024,430

 

 

 
1,024,430

Unit investment trusts and other
233,685

 

 

 
233,685

Total participant directed brokerage account
4,493,435

 

 

 
4,493,435

CCIC Unitized Common Stock Trust Fund

 
21,953,668

 

 
21,953,668

Total
$
79,719,829

 
$
46,336,483

 
$

 
$
126,056,312

    
(a)
Primarily invested in a mix of equities and bonds based on target retirement year.
There were no transfers between Level 1 and 2 in the periods presented.

5.
Federal Income Tax
The Plan received a favorable determination letter from the Internal Revenue Service (“IRS”) dated October 29, 2004, which stated that the Plan and related trust are designed in accordance with the applicable sections of the Internal Revenue Code (“IRC”). Since receiving the determination letter, the Plan has been amended and restated, including the adoption of a non-standardized prototype adoption agreement effective January 1, 2009. On May 23, 2008, the prototype plan sponsor received a favorable opinion letter from the IRS. Accordingly, the accompanying financial statements do not include a provision for federal income taxes.
Accounting principles generally accepted in the United States of America require plan management to evaluate tax positions taken by the Plan and recognize a tax liability (or asset) if the Plan has taken an uncertain position that more likely than not would not be sustained upon examination by the Internal Revenue Service. The plan administrator has analyzed the tax positions taken by the Plan and has concluded that as of December 31, 2013, there are no uncertain positions taken or expected to be taken that would require recognition of a liability (or asset) or disclosure in the financial statements. The Plan is subject to routine audits by taxing jurisdictions; however, there are currently no audits for any tax periods in progress. The plan administrator believes it is no longer subject to income tax examinations for years prior to 2010.

6.
Party-In-Interest Transactions
Certain Plan investments are funds managed by The Charles Schwab Trust Company. As of December 31, 2013, there are eight such funds as plan investment options. The Charles Schwab Trust Company is the trustee of the Plan. Schwab Retirement Plan Services, Inc. is recordkeeper, and both Schwab Retirement Plan Services, Inc. and State Street Bank and Trust Company serve as custodians. Fees paid by the Plan for the investment management services are included in net appreciation (depreciation) in fair value of investments.

10

CROWN CASTLE INTERNATIONAL CORP. 401(k) PLAN
NOTES TO FINANCIAL STATEMENTS
December 31, 2013 and 2012

The CCIC Unitized Common Stock Trust Fund holds 287,015 shares and 294,995 shares of the Company's common stock as of December 31, 2013 and 2012, respectively. Purchases of the CCIC Unitized Common Stock Trust Fund totaled $2,821,339 and $10,416,383 (inclusive of the non-cash contribution of approximately $7,952,000) for the years ending December 31, 2013 and 2012, respectively. Sales of the CCIC Unitized Common Stock Trust Fund totaled $3,343,584 and $3,375,574 for the years ending December 31, 2013 and 2012, respectively. In addition, there were 2,805 and 3,324 shares of common stock of the Company held in the participant directed brokerage account worth approximately $205,971 and $239,860 as of December 31, 2013 and 2012, respectively.
Notes receivable outstanding to participants totaled $2,744,691 and $2,392,523 as of December 31, 2013 and 2012, respectively, representing borrowings by the participants from their individual participant accounts.
See Schedule H, Line 4i - Schedule of Assets for additional information on party-in-interest Plan investments.

7.
Plan Merger
In April 2012, the Company closed the acquisition ("NextG Acquisition") of NextG Networks, Inc. ("NextG"). In July 2012, the NextG Networks 401(k) Plan (the "NextG Plan"), which covered eligible employees of NextG merged into the Plan. Following the completion of the NextG Acquisition, NextG is an indirect subsidiary of the Company. All of the assets from the NextG Plan totaling $2,438,384 were transferred to the Plan in July 2012.

8.
Subsequent Events
In the first quarter of 2014, the Company's board of directors approved a discretionary equity contribution to all employees equal to approximately 4% of each employee's annualized base salary as of March 31, 2014 based on the closing price per share of CCIC common stock as of April 2, 2014. On May 30, 2014, the Company's board of directors approved certain amendments to the Plan document to facilitate this discretionary contribution. On June 13, 2014, an aggregate of 78,847 shares of Crown Castle International Corp. common stock, having a total market price of approximately $5,818,909 as of such date, were issued to the Plan in connection with this equity contribution. The discretionary contribution was then allocated to participants in units of the CCIC Unitized Common Stock Trust Fund. This equity contribution vests in the same manner as the Company's standard and annual discretionary cash matches. See Note 1 for "vesting description." This discretionary equity contribution is anticipated to be an annual discretionary employer contribution subject to the approval of the Company's board of directors.


11

CROWN CASTLE INTERNATIONAL CORP. 401(k) PLAN
NOTES TO FINANCIAL STATEMENTS
December 31, 2013 and 2012

EIN: 76-0470458
Plan Number: 001

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

December 31, 2013

(a)
 
(b) Identity of Issuer, Borrower, Lessor or Similar Party
 
(c) Description of Investment
 
(e) Current Value
 
 
Mutual Funds:
 
 
 
 
 
 
Alger Small Cap Growth Institutional I Fund
 
Registered Investment Company
 
$
2,461,943

 
 
Columbia Acorn Z Fund
 
Registered Investment Company
 
9,656,536

 
 
DFA One Year Fixed Income Fund
 
Registered Investment Company
 
101,982

 
 
EII Global Property Institutional Fund
 
Registered Investment Company
 
3,594,119

 
 
Invesco Growth & Income R5 Fund
 
Registered Investment Company
 
11,026,880

 
 
JPMorgan Core Bond R6 Fund
 
Registered Investment Company
 
7,268,101

 
 
Northern Small Cap Value Fund
 
Registered Investment Company
 
3,817,783

 
 
PIMCO High Yield Fund
 
Registered Investment Company
 
2,103,724

*
 
Schwab 1000 Index Fund
 
Registered Investment Company
 
15,096,949

 
 
Thornburg International Value R6 Fund
 
Registered Investment Company
 
12,520,505

 
 
T. Rowe Price Growth Stock Fund
 
Registered Investment Company
 
21,145,409

 
 
Vanguard Inflation-Protected Securities Fund
 
Registered Investment Company
 
1,246,599

 
 
Vanguard Mid-Cap Index Institutional Fund
 
Registered Investment Company
 
10,306,411

 
 
Total Mutual Funds
 
 
 
100,346,941

 
 
Money Market Fund:
 
 
 
 
*
 
Schwab U.S. Treasury Money Market Fund
 
Money Market Fund
 
4,386,096

 
 
Total Money Market Funds
 
 
 
4,386,096

 
 
Common Collective Funds:
 
 
 
 
*
 
Schwab Managed Retirement Trust 2010 CL IV
 
Common Collective Funds
 
1,277,321

*
 
Schwab Managed Retirement Trust 2020 CL IV
 
Common Collective Funds
 
6,998,704

*
 
Schwab Managed Retirement Trust 2030 CL IV
 
Common Collective Funds
 
8,498,835

*
 
Schwab Managed Retirement Trust 2040 CL IV
 
Common Collective Funds
 
9,086,712

*
 
Schwab Managed Retirement Trust 2050 CL IV
 
Common Collective Funds
 
2,779,307

*
 
Schwab Managed Retirement Trust Income CL IV
 
Common Collective Funds
 
366,995

 
 
Total Common Collective Funds
 
 
 
29,007,874

 
 
Participant Directed Brokerage Account:
 
 
 
 
 
 
Personal Choice Retirement Account
 
Self- Directed Brokerage Account
 
6,246,607

 
 
Unitized Common Stock Trust Fund:
 
 
 
 
*
 
CCIC Unitized Common Stock Trust Fund
 
Employer Securities
 
21,830,458

 
 
Notes receivable from participants:
 
 
 
 
*
 
Participant Loans
 
299 participant loans with a interest rate of 4.25% and various maturity dates through January 2019
 
2,744,691

 
 
 
 
 
 
$
164,562,667

*Party-in interest
All investments are participant directed.


See accompanying report of independent registered public accounting firm.


12




SIGNATURE
 Pursuant to the requirements of the Securities Exchange Act of 1934, the Plan Administrator for the Plan has duly caused this annual report to be signed on its behalf by the undersigned hereunto duly authorized.

CROWN CASTLE INTERNATIONAL CORP.

 
 
 
 
 
401(k) PLAN
 
 
(Name of Plan)
 
 
 
 
By:
/s/ ROB A. FISHER
 
 
Rob A. Fisher
 
 
Vice President and Controller
(Principal Accounting Officer)
 

Date: June 24, 2014

13