Collided with iron package freighter PHILADELPHIA(qv) in a thick fog. There was some evidence that both vessels were going too fast for conditions, though each blamed the other. PHILADELPHIA took ALBANY in tow to try and save her, but she sank well offshore. Her crew transferred to PHILADELPHIA, which was soon abandoned to sink in her turn. The casualties of the ALBANY were lost when one of her lifeboats mysteriously failed to make it to shore in calm weather. It is speculated that the abandoned PHILADELPHIA, still underway, circled and ran their boat down in the fog.
Ashore with heavy damage near Cheboygan, MI 11/20/1887.