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Subsequent Events
3 Months Ended
Mar. 31, 2014
Subsequent Events [Abstract]  
Subsequent Events
Subsequent Events
In March 2014, we announced that we had entered into a definitive asset purchase agreement to acquire National Pump, the second largest specialty pump rental company in North America. National Pump is a leading supplier of pumps for energy and petrochemical customers, with upstream oil and gas customers representing about half of its revenue. National Pump had a total of 35 branches, including four branches in western Canada. The acquisition is expected to expand our product offering, and supports our strategy of expanding our presence in industrial and specialty rental markets. The acquisition closed in April 2014. The total original equipment cost (“OEC”) of the acquired fleet was approximately $215 and National Pump had annual revenues of approximately $210. The purchase price was approximately $780, comprised of $765 in cash and $15 in stock. The acquisition also provides for the following additional cash consideration to be paid based on the achievement of the following financial targets:
1.A maximum payout of $75 if National Pump's trailing twelve months adjusted EBITDA (as defined below in “Management’s Discussion and Analysis of Financial Condition and Results of Operations- Financial Overview”) reaches $134 twelve months post-closing; and
2.An additional maximum payout of $50 if National Pump's trailing twelve months adjusted EBITDA reaches $161 eighteen months post-closing.
Contemporaneous with the National Pump acquisition, in March 2014, URNA issued $525 principal amount of 6 1/8 percent Senior Notes (as an add on to our existing 6 1/8 percent Senior Notes) and $850 principal amount of 5 3/4 percent Senior Notes, as discussed in note 6 to the condensed consolidated financial statements. In March 2014, the net proceeds from the debt issuances were used to temporarily reduce the outstanding balance under our ABL facility, and in April 2014, the net proceeds from the issuance of the 6 1/8 percent Senior Notes and cash on hand were used to redeem all our outstanding 9 1/4 percent Senior Notes. We paid a call premium of approximately $52 in connection with the redemption and recognized a loss of approximately $65 in interest expense upon redemption. The loss represented the difference between the net carrying amount and the total purchase price of the notes.