Segment Information

3 Months Ended

Mar. 31, 2014

Segment Reporting, Measurement Disclosures [Abstract]

Segment Information

Segment Information

Our reportable segments are general rentals and trench safety, power and HVAC (“heating, ventilating and air conditioning”). The general rentals segment includes the rental of construction, infrastructure, industrial and homeowner equipment and related services and activities. The general rentals segment’s customers include construction and industrial companies, manufacturers, utilities, municipalities, homeowners and government entities. The general rentals segment comprises 12 geographic regions—Eastern Canada, Gulf South, Industrial (which serves the geographic Gulf region and has a strong industrial presence), Mid-Atlantic, Mid-Central, Midwest, Mountain West, Northeast, Pacific West, South, Southeast and Western Canada—and operates throughout the United States and Canada. The trench safety, power and HVAC segment includes the rental of specialty construction products and related services. The trench safety, power and HVAC segment is comprised of the Trench Safety region, which rents trench safety equipment such as trench shields, aluminum hydraulic shoring systems, slide rails, crossing plates, construction lasers and line testing equipment for underground work, and the Power and HVAC region, which rents power and HVAC equipment such as portable diesel generators, electrical distribution equipment, and temperature control equipment including heating and cooling equipment. The trench safety, power and HVAC segment’s customers include construction companies involved in infrastructure projects, municipalities and industrial companies. This segment operates throughout the United States and in Canada. These segments align our external segment reporting with how management evaluates and allocates resources. We evaluate segment performance based on segment equipment rentals gross profit.

The following tables set forth financial information by segment.

	General rentals		Trench safety, power and  HVAC		Total
Three Months Ended March 31, 2014
Equipment rentals	$	924	$	81	$	1,005
Sales of rental equipment	106		4		110
Sales of new equipment	24		2		26
Contractor supplies sales	17		2		19
Service and other revenues	17		1		18
Total revenue	1,088		90		1,178
Depreciation and amortization expense	259		18		277
Equipment rentals gross profit	344		35		379
Capital expenditures	331		20		351
Three Months Ended March 31, 2013
Equipment rentals	$	854	$	62	$	916
Sales of rental equipment	119		4		123
Sales of new equipment	20		1		21
Contractor supplies sales	18		2		20
Service and other revenues	19		1		20
Total revenue	1,030		70		1,100
Depreciation and amortization expense	252		14		266
Equipment rentals gross profit	295		26		321
Capital expenditures	288		15		303

	March 31, 2014		December 31, 2013
Total reportable segment assets
General rentals	$	10,696	$	10,677
Trench safety, power and HVAC	551		554
Total assets	$	11,247	$	11,231

Equipment rentals gross profit is the primary measure management reviews to make operating decisions and assess segment performance. The following is a reconciliation of equipment rentals gross profit to income before provision for income taxes:

	Three Months Ended
	March 31,
	2014			2013
Total equipment rentals gross profit	$	379		$	321
Gross profit from other lines of business	69			64
Selling, general and administrative expenses	(168		)	(160		)
Merger related costs	(1		)	(6		)
Restructuring charge	(1		)	(6		)
Non-rental depreciation and amortization	(60		)	(64		)
Interest expense, net	(125		)	(118		)
Interest expense- subordinated convertible debentures	—			(2		)
Other income, net	1			1
Income before provision for income taxes	$	94		$	30