Delaware Delaware | 06-1522496 86-0933835 |
(States of Incorporation) | (I.R.S. Employer Identification Nos.) |
100 First Stamford Place, Suite 700, Stamford, Connecticut | 06902 |
(Address of Principal Executive Offices) | (Zip Code) |
Title of Each Class | Name of Each Exchange on Which Registered |
Common Stock, $.01 par value, of United Rentals, Inc. | New York Stock Exchange |
Large Accelerated Filer þ | Accelerated Filer o | Non-Accelerated Filer o | Smaller Reporting Company o |
10-K Part and Item No. | Page No. | |
PART I | ||
Item 1 | ||
Item 1A | ||
Item 1B | ||
Item 2 | ||
Item 3 | ||
Item 4 | ||
PART II | ||
Item 5 | ||
Item 6 | ||
Item 7 | ||
Item 7A | ||
Item 8 | ||
Item 9 | ||
Item 9A | ||
Item 9B | ||
PART III | ||
Item 10 | ||
Item 11 | ||
Item 12 | ||
Item 13 | ||
Item 14 | ||
PART IV | ||
Item 15 |
• | the possibility that companies that we have acquired or may acquire, in our specialty business or otherwise, could have undiscovered liabilities or involve other unexpected costs, may strain our management capabilities or may be difficult to integrate; |
• | the cyclical nature of our business, which is highly sensitive to North American construction and industrial activities; if construction or industrial activity decline, our revenues and, because many of our costs are fixed, our profitability may be adversely affected; |
• | our significant indebtedness (which totaled $7.8 billion at December 31, 2016) requires us to use a substantial portion of our cash flow for debt service and can constrain our flexibility in responding to unanticipated or adverse business conditions; |
• | inability to refinance our indebtedness on terms that are favorable to us, or at all; |
• | incurrence of additional debt, which could exacerbate the risks associated with our current level of indebtedness; |
• | noncompliance with financial or other covenants in our debt agreements, which could result in our lenders terminating the agreements and requiring us to repay outstanding borrowings; |
• | restrictive covenants and amount of borrowings permitted in our debt instruments, which can limit our financial and operational flexibility; |
• | overcapacity of fleet in the equipment rental industry; |
• | inability to benefit from government spending, including spending associated with infrastructure projects; |
• | fluctuations in the price of our common stock and inability to complete stock repurchases in the time frame and/or on the terms anticipated; |
• | rates we charge and time utilization we achieve being less than anticipated; |
• | inability to manage credit risk adequately or to collect on contracts with a large number of customers; |
• | inability to access the capital that our businesses or growth plans may require; |
• | incurrence of impairment charges; |
• | trends in oil and natural gas could adversely affect the demand for our services and products; |
• | the fact that our holding company structure requires us to depend in part on distributions from subsidiaries and such distributions could be limited by contractual or legal restrictions; |
• | increases in our loss reserves to address business operations or other claims and any claims that exceed our established levels of reserves; |
• | incurrence of additional expenses (including indemnification obligations) and other costs in connection with litigation, regulatory and investigatory matters; |
• | the outcome or other potential consequences of regulatory matters and commercial litigation; |
• | shortfalls in our insurance coverage; |
• | our charter provisions as well as provisions of certain debt agreements and our significant indebtedness may have the effect of making more difficult or otherwise discouraging, delaying or deterring a takeover or other change of control of us; |
• | turnover in our management team and inability to attract and retain key personnel; |
• | costs we incur being more than anticipated, and the inability to realize expected savings in the amounts or time frames planned; |
• | dependence on key suppliers to obtain equipment and other supplies for our business on acceptable terms; |
• | inability to sell our new or used fleet in the amounts, or at the prices, we expect; |
• | competition from existing and new competitors; |
• | risks related to security breaches, cybersecurity attacks and other significant disruptions in our information technology systems; |
• | the costs of complying with environmental, safety and foreign law and regulations, as well as other risks associated with non-U.S. operations, including currency exchange risk; |
• | labor disputes, work stoppages or other labor difficulties, which may impact our productivity, and potential enactment of new legislation or other changes in law affecting our labor relations or operations generally; |
• | increases in our maintenance and replacement costs and/or decreases in the residual value of our equipment; and |
• | other factors discussed under Item 1A-Risk Factors, and elsewhere in this annual report. |
December 31, | |||
2016 | 2015 | ||
PERFORMANCE MEASURES | |||
Total revenues (in millions) | $5,762 | $5,817 | |
Equipment rental revenue percent of total revenues | 86% | 85% | |
Year-over-year (decrease) increase in rental rates | (2.2)% | 0.5% | |
Year-over-year increase in the volume of equipment on rent | 3.1% | 3.2% | |
Time utilization | 67.9% | 67.3% | |
Key account percent of equipment rental revenue (1) | 70% | 64% | |
National account percent of equipment rental revenue | 45% | 44% | |
FLEET | |||
Fleet original equipment cost (“OEC”) (in billions) | $8.99 | $8.73 | |
Equipment classes | 3,200 | 3,300 | |
Equipment units | 440,000 | 430,000 | |
Fleet age in months | 45.2 | 43.1 | |
Percent of fleet that is current on manufacturer's recommended maintenance | 90% | 92% | |
Equipment rental revenue percent by fleet type: | |||
General construction and industrial equipment | 43% | 43% | |
Aerial work platforms | 32% | 32% | |
General tools and light equipment | 8% | 10% | |
Power and HVAC (heating, ventilating and air conditioning) equipment | 7% | 6% | |
Trench safety equipment | 6% | 5% | |
Pumps | 4% | 4% | |
LOCATIONS/PERSONNEL | |||
Rental locations | 887 | 897 | |
Approximate number of branches per district | 5-10 | 5-10 | |
Approximate number of districts per region | 7-9 | 6-9 | |
Total employees | 12,500 | 12,700 | |
INDUSTRY | |||
Estimated market share (2) | 9.7% | 10.1% | |
Estimated North American equipment rental industry revenue growth | 4% | 6% | |
United Rentals equipment rental revenue (decrease) increase | (0.2)% | 2.7% | |
2017 projected North American industry equipment rental revenue growth | 3.5% | - | |
CUSTOMERS/SUPPLIERS | |||
Largest customer percent of total revenues | 1% | 1% | |
Top 10 customers percent of total revenues | 6% | 6% | |
Largest supplier percent of capital expenditures | 22% | 21% | |
Top 10 supplier percent of capital expenditures | 62% | 66% |
(1) | The key account percent of equipment rental revenue reflects the customers designated as key accounts as of December 31, 2016 or 2015. The increase in the key account percent of equipment rental revenue in 2016 primarily reflects additional customers that were designated as key accounts in 2016. If the list of customers designated as key accounts as of December 31, 2016 was applied to 2015, the key account percent of equipment rental revenue for 2015 would have been 69 percent. |
(2) | Market share is calculated based on total equipment rental industry revenues as measured by the American Rental Association ("ARA"). In 2015, we reported an estimated market share of 11.7 percent. ARA subsequently increased the total amount of estimated equipment rental industry revenues based on new data from the economic census. The |
• | A consistently superior standard of service to customers, often provided through a single point of contact; |
• | The further optimization of our customer mix and fleet mix, with a dual objective: to enhance our performance in serving our current customer base, and to focus on the accounts and customer types that are best suited to our strategy for profitable growth. We believe these efforts will lead to even better service of our target accounts, primarily large construction and industrial customers, as well as select local contractors. Our fleet team's analyses are aligned with these objectives to identify trends in equipment categories and define action plans that can generate improved returns; |
• | A continued focus on “Lean” management techniques, including kaizen processes focused on continuous improvement. As of December 31, 2016, we have trained over 3,100 employees, over 70 percent of our district managers and over 60 percent of our branch managers on the Lean kaizen process. We continue to implement this program across our branch network, with the objectives of: reducing the cycle time associated with renting our equipment to customers; improving invoice accuracy and service quality; reducing the elapsed time for equipment pickup and delivery; and improving the effectiveness and efficiency of our repair and maintenance operations. As discussed in note 4 to our consolidated financial statements, in the fourth quarter of 2015, we initiated a restructuring program focused on cost savings throughout the organization partially due to the Lean initiatives not fully generating the anticipated cost savings due to lower than expected rental volume in 2015. We closed this restructuring program in the fourth quarter of 2016. We achieved the anticipated run rate savings from the Lean initiatives in 2016 and expect to continue to generate savings from these initiatives; |
• | The implementation of Project XL, which is a set of eight specific work streams focused on driving profitable growth through revenue opportunities and generating incremental profitability through cost savings across our business; and |
• | The continued expansion of our trench, power and pump footprint, as well as our tools offering, and the cross-selling of these services throughout our network. We plan to open at least 17 specialty rental branches/tool hubs in 2017 and continue to invest in specialty rental fleet to further position United Rentals as a single source provider of total jobsite solutions through our extensive product and service resources and technology offerings. |
• | Industrial and other non-construction rentals represented approximately 51 percent of our rental revenue, primarily reflecting rentals to manufacturers, energy companies, chemical companies, paper mills, railroads, shipbuilders, utilities, retailers and infrastructure entities; |
• | Commercial construction rentals represented approximately 45 percent of our rental revenue, primarily reflecting rentals related to the construction and remodeling of facilities for office space, lodging, healthcare, entertainment and other commercial purposes; and |
• | Residential rentals represented approximately four percent of our rental revenue, primarily reflecting rentals of equipment for the construction and renovation of homes. |
• | Equipment Sharing Among Branches. Each branch within a region can access equipment located elsewhere in the region. This fleet sharing increases equipment utilization because equipment that is idle at one branch can be marketed and rented through other branches. Additionally, fleet sharing allows us to be more disciplined with our capital spend. |
• | Customer Care Center. We have a Customer Care Center ("CCC") with locations in Tampa, Florida and Charlotte, North Carolina that handles all telephone calls to our customer service telephone line, 1-800-UR-RENTS. The CCC handles many of the 1-800-UR-RENTS telephone calls without having to route them to individual branches, and allows us to provide a more uniform quality experience to customers, manage fleet sharing more effectively and free up branch employee time. |
• | Consolidation of Common Functions. We reduce costs through the consolidation of functions that are common to our branches, such as accounts payable, payroll, benefits and risk management, information technology and credit and collection. |
• | enable branch personnel to (i) determine equipment availability, (ii) access all equipment within a geographic region and arrange for equipment to be delivered from anywhere in the region directly to the customer, (iii) monitor business activity on a real-time basis and (iv) obtain customized reports on a wide range of operating and financial data, including equipment utilization, rental rate trends, maintenance histories and customer transaction histories; |
• | permit customers to access their accounts online; and |
• | allow management to obtain a wide range of operational and financial data. |
• | enabling us to better serve National Account customers with multiple locations; |
• | helping us achieve favorable resale prices by allowing us to access used equipment resale markets across North America; and |
• | reducing our dependence on any particular customer. |
• | construction companies that use equipment for constructing and renovating commercial buildings, warehouses, industrial and manufacturing plants, office parks, airports, residential developments and other facilities; |
• | industrial companies—such as manufacturers, chemical companies, paper mills, railroads, ship builders and utilities—that use equipment for plant maintenance, upgrades, expansion and construction; |
• | municipalities that require equipment for a variety of purposes; and |
• | homeowners and other individuals that use equipment for projects that range from simple repairs to major renovations. |
• | a decrease in expected levels of infrastructure spending; |
• | a lack of availability of credit; |
• | an overcapacity of fleet in the equipment rental industry; |
• | a decrease in the level of exploration, development, production activity and capital spending by oil and natural gas companies; |
• | an increase in the cost of construction materials; |
• | an increase in interest rates; |
• | adverse weather conditions, which may temporarily affect a particular region; or |
• | terrorism or hostilities involving the United States or Canada. |
• | increasing our vulnerability to, and limiting our flexibility to plan for, or react to, adverse economic, industry or competitive developments; |
• | making it more difficult to pay or refinance our debts as they become due during periods of adverse economic, financial market or industry conditions; |
• | requiring us to devote a substantial portion of our cash flow to debt service, reducing the funds available for other purposes, including funding working capital, capital expenditures, acquisitions, execution of our growth strategy and other general corporate purposes, or otherwise constraining our financial flexibility; |
• | restricting our ability to move operating cash flows to Holdings. URNA’s payment capacity is restricted under the covenants in the indentures governing its outstanding indebtedness; |
• | affecting our ability to obtain additional financing for working capital, acquisitions or other purposes, particularly since substantially all of our tangible assets are subject to security interests relating to existing indebtedness; |
• | decreasing our profitability or cash flow; |
• | causing us to be less able to take advantage of significant business opportunities, such as acquisition opportunities, and to react to changes in market or industry conditions; |
• | causing us to be disadvantaged compared to competitors with less debt and lower debt service requirements; |
• | resulting in a downgrade in our credit rating or the credit ratings of any of the indebtedness of our subsidiaries, which could increase the cost of further borrowings; |
• | requiring our debt to become due and payable upon a change in control; and |
• | limiting our ability to borrow additional monies in the future to fund working capital, capital expenditures and other general corporate purposes. |
• | reducing or delaying capital expenditures; |
• | limiting our growth; |
• | seeking additional capital; |
• | selling assets; or |
• | restructuring or refinancing our indebtedness. |
• | unrecorded liabilities of acquired companies and unidentified issues that we fail to discover during our due diligence investigations or that are not subject to indemnification or reimbursement by the seller; |
• | greater than expected expenses such as the need to obtain additional debt or equity financing for any transaction; |
• | unfavorable accounting treatment and unexpected increases in taxes; |
• | adverse effects on our ability to maintain relationships with customers, employees and suppliers; |
• | inherent risk associated with entering a geographic area or line of business in which we have no or limited experience; |
• | difficulty in assimilating the operations and personnel of an acquired company within our existing operations, including the consolidation of corporate and administrative functions; |
• | difficulty in integrating marketing, information technology and other systems; |
• | difficulty in conforming standards, controls, procedures and policies, business cultures and compensation structures; |
• | difficulty in identifying and eliminating redundant and underperforming operations and assets; |
• | loss of key employees of the acquired company; |
• | operating inefficiencies that have a negative impact on profitability; |
• | impairment of goodwill or other acquisition-related intangible assets; |
• | failure to achieve anticipated synergies or receiving an inadequate return of capital; and |
• | strains on management and other personnel time and resources to evaluate, negotiate and integrate acquisitions. |
• | the seasonal rental patterns of our customers, with rental activity tending to be lower in the winter; |
• | changes in the size of our rental fleet and/or in the rate at which we sell our used equipment; |
• | an overcapacity of fleet in the equipment rental industry; |
• | changes in private non-residential construction spending or government funding for infrastructure and other construction projects; |
• | changes in demand for, or utilization of, our equipment or in the prices we charge due to changes in economic conditions, competition or other factors; |
• | commodity price pressures and the resultant increase in the cost of fuel and steel to our equipment suppliers, which can result in increased equipment costs for us; |
• | other cost fluctuations, such as costs for employee-related compensation and healthcare benefits; |
• | labor shortages, work stoppages or other labor difficulties; |
• | potential enactment of new legislation affecting our operations or labor relations; |
• | completion of acquisitions, divestitures or recapitalizations; |
• | increases in interest rates and related increases in our interest expense and our debt service obligations; |
• | the possible need, from time to time, to record goodwill impairment charges or other write-offs or charges due to a variety of occurrences, such as the adoption of new accounting standards, the impairment of assets, rental location divestitures, dislocation in the equity and/or credit markets, consolidations or closings, restructurings, the refinancing of existing indebtedness or the buy-out of equipment leases; and |
• | currency risks and other risks associated with international operations. |
• | announcements of developments related to our business; |
• | market perceptions of any proposed merger or acquisition and the likelihood of our involvement in other merger and acquisition activity; |
• | variations in our revenues, gross margins, earnings or other financial results from investors’ expectations; |
• | departure of key personnel; |
• | purchases or sales of large blocks of our stock by institutional investors or transactions by insiders; |
• | fluctuations in the results of our operations and general conditions in the economy, our market, and the markets served by our customers; |
• | investor perceptions of the equipment rental industry in general and our Company in particular; |
• | fluctuations in the prices of oil and natural gas; |
• | expectations regarding our share repurchase program; and |
• | the operating and stock performance of comparable companies or related industries. |
• | the level of supply and demand for oil and natural gas; |
• | governmental regulations, including the policies of governments regarding the exploration for, and production and development of, oil and natural gas reserves; |
• | weather conditions and natural disasters; |
• | worldwide political, military and economic conditions; |
• | the level of oil production by non-OPEC countries and the available excess production capacity within OPEC; |
• | oil refining capacity and shifts in end-customer preferences toward fuel efficiency and the use of natural gas; |
• | the cost of producing and delivering oil and natural gas; and |
• | potential acceleration of the development of alternative fuels. |
• | our insurance policies, reflecting a program structure that we believe reflects market conditions for companies our size, are often subject to significant deductibles or self-insured retentions; |
• | our director and officer liability insurance policy has no deductible for individual non-indemnifiable loss, but is subject to a deductible for company reimbursement coverage; |
• | we do not currently maintain Company-wide stand-alone coverage for environmental liability (other than legally required coverage), since we believe the cost for such coverage is high relative to the benefit it provides; and |
• | certain types of claims, such as claims for punitive damages or for damages arising from intentional misconduct, which are often alleged in third party lawsuits, might not be covered by our insurance. |
• | the market price for new equipment of a like kind; |
• | wear and tear on the equipment relative to its age and the performance of preventive maintenance; |
• | the time of year that it is sold; |
• | the supply of used equipment on the market; |
• | the existence and capacities of different sales outlets; |
• | the age of the equipment at the time it is sold; |
• | worldwide and domestic demand for used equipment; and |
• | general economic conditions. |
Item 1B. | Unresolved Staff Comments |
Item 2. | Properties |
United States | |||||
● | Alabama (GR 19, TPP 5) | ● | Maine (GR 2) | ● | Ohio (GR 12, TPP 4) |
● | Alaska (GR 2) | ● | Maryland (GR 10, TPP 4) | ● | Oklahoma (GR 23, TPP 4) |
● | Arizona (GR 12, TPP 2) | ● | Massachusetts (GR 6, TPP 2) | ● | Oregon (GR 9, TPP 2) |
● | Arkansas (GR 11, TPP 1) | ● | Michigan (GR 4, TPP 2) | ● | Pennsylvania (GR 12, TPP 5) |
● | California (GR 61, TPP 18) | ● | Minnesota (GR 9, TPP 3) | ● | Rhode Island (GR 1) |
● | Colorado (GR 11, TPP 3) | ● | Mississippi (GR 12) | ● | South Carolina (GR 12, TPP 4) |
● | Connecticut (GR 6, TPP 2) | ● | Missouri (GR 12, TPP 3) | ● | South Dakota (GR 2) |
● | Delaware (GR 2, TPP 1) | ● | Montana (GR 1) | ● | Tennessee (GR 16, TPP 4) |
● | Florida (GR 25, TPP 12) | ● | Nebraska (GR 3, TPP 1) | ● | Texas (GR 95, TPP 26) |
● | Georgia (GR 22, TPP 5) | ● | Nevada (GR 4, TPP 3) | ● | Utah (GR 2, TPP 3) |
● | Idaho (GR 2) | ● | New Hampshire (GR 1, TPP 1) | ● | Vermont (GR 1) |
● | Illinois (GR 14, TPP 3) | ● | New Jersey (GR 8, TPP 4) | ● | Virginia (GR 18, TPP 5) |
● | Indiana (GR 8, TPP 1) | ● | New Mexico (GR 8) | ● | Washington (GR 18, TPP 5) |
● | Iowa (GR 9, TPP 1) | ● | New York (GR 16) | ● | West Virginia (GR 5) |
● | Kansas (GR 12) | ● | North Carolina (GR 20, TPP 6) | ● | Wisconsin (GR 8, TPP 1) |
● | Kentucky (GR 9) | ● | North Dakota (GR 6, TPP 2) | ● | Wyoming (GR 5) |
● | Louisiana (GR 25, TPP 10) | ||||
Canada | |||||
● | Alberta (GR 22, TPP 9) | ||||
● | British Columbia (GR 17, TPP 4) | ||||
● | Manitoba (GR 4) | ||||
● | New Brunswick (GR 6, TPP 1) | ||||
● | Newfoundland (GR 6) | ||||
● | Nova Scotia (GR 4) | ||||
● | Ontario (GR 23, TPP 5) | ||||
● | Prince Edward Island (GR 1) | ||||
● | Quebec (GR 5, TPP 1) | ||||
● | Saskatchewan (GR 7, TPP 3) |
Item 3. | Legal Proceedings |
Item 4. | (Removed and Reserved) |
Item 5. | Market For Registrant’s Common Equity, Related Stockholder Matters and Issuer Purchases of Equity Securities |
High | Low | |||||||
2016: | ||||||||
First Quarter | $ | 71.51 | $ | 41.90 | ||||
Second Quarter | 76.04 | 56.01 | ||||||
Third Quarter | 84.63 | 61.92 | ||||||
Fourth Quarter | 109.90 | 70.58 | ||||||
2015: | ||||||||
First Quarter | $ | 103.85 | $ | 81.25 | ||||
Second Quarter | 105.83 | 86.88 | ||||||
Third Quarter | 87.99 | 56.66 | ||||||
Fourth Quarter | 80.18 | 57.41 |
Period | Total Number of Shares Purchased | Average Price Paid Per Share | Total Number of Shares Purchased as Part of Publicly Announced Plans or Programs (2) | Maximum Dollar Amount of Shares That May Yet Be Purchased Under the Program (2) | |||||||||
October 1, 2016 to October 31, 2016 | 506,380 | (1) | $ | 79.06 | 505,937 | — | |||||||
November 1, 2016 to November 30, 2016 | 153 | (1) | $ | 84.48 | — | — | |||||||
December 1, 2016 to December 31, 2016 | 1,267 | (1) | $ | 106.18 | — | — | |||||||
Total | 507,800 | $ | 79.13 | 505,937 | $ | 372,997,032 |
(1) | In October 2016, November 2016 and December 2016, 443, 153 and 1,267 shares, respectively, were withheld by Holdings to satisfy tax withholding obligations upon the vesting of restricted stock unit awards. These shares were not acquired pursuant to any repurchase plan or program. |
(2) | On July 21, 2015, our Board authorized a $1 billion share repurchase program. In October 2016, we paused repurchases under the program as we evaluated a number of potential acquisition opportunities. As discussed in note 18 to the consolidated financial statements, on January 25, 2017, we entered into a definitive merger agreement to acquire NES in an all cash transaction. We intend to complete the share repurchase program; however, we will re-evaluate the decision to do so as we integrate NES and assess other potential uses of capital. |
Item 6. | Selected Financial Data |
Year Ended December 31, | |||||||||||||||||||
2016 | 2015 | 2014 | 2013 | 2012 | |||||||||||||||
(in millions, except per share data) | |||||||||||||||||||
Income statement data: | |||||||||||||||||||
Total revenues | $ | 5,762 | $ | 5,817 | $ | 5,685 | $ | 4,955 | $ | 4,117 | |||||||||
Total cost of revenues | 3,359 | 3,337 | 3,253 | 2,968 | 2,530 | ||||||||||||||
Gross profit | 2,403 | 2,480 | 2,432 | 1,987 | 1,587 | ||||||||||||||
Selling, general and administrative expenses | 719 | 714 | 758 | 642 | 588 | ||||||||||||||
Merger related costs | — | (26 | ) | 11 | 9 | 111 | |||||||||||||
Restructuring charge | 14 | 6 | (1 | ) | 12 | 99 | |||||||||||||
Non-rental depreciation and amortization | 255 | 268 | 273 | 246 | 198 | ||||||||||||||
Operating income | 1,415 | 1,518 | 1,391 | 1,078 | 591 | ||||||||||||||
Interest expense, net | 511 | 567 | 555 | 475 | 512 | ||||||||||||||
Interest expense-subordinated convertible debentures | — | — | — | 3 | 4 | ||||||||||||||
Other income, net | (5 | ) | (12 | ) | (14 | ) | (5 | ) | (13 | ) | |||||||||
Income before provision for income taxes | 909 | 963 | 850 | 605 | 88 | ||||||||||||||
Provision for income taxes | 343 | 378 | 310 | 218 | 13 | ||||||||||||||
Net income | 566 | 585 | 540 | 387 | 75 | ||||||||||||||
Basic earnings per share | $ | 6.49 | $ | 6.14 | $ | 5.54 | $ | 4.14 | $ | 0.91 | |||||||||
Diluted earnings per share | $ | 6.45 | $ | 6.07 | $ | 5.15 | $ | 3.64 | $ | 0.79 |
December 31, | |||||||||||||||||||
2016 | 2015 | 2014 | 2013 | 2012 | |||||||||||||||
(in millions) | |||||||||||||||||||
Balance sheet data: | |||||||||||||||||||
Total assets | $ | 11,988 | $ | 12,083 | $ | 12,129 | $ | 10,876 | $ | 10,648 | |||||||||
Total debt | 7,790 | 8,162 | 7,962 | 7,078 | 7,196 | ||||||||||||||
Subordinated convertible debentures | — | — | — | — | 55 | ||||||||||||||
Stockholders’ equity | 1,648 | 1,476 | 1,796 | 1,828 | 1,543 |
Item 7. | Management’s Discussion and Analysis of Financial Condition and Results of Operations (dollars in millions, except per share data and unless otherwise indicated) |
• | A consistently superior standard of service to customers, often provided through a single point of contact; |
• | The further optimization of our customer mix and fleet mix, with a dual objective: to enhance our performance in serving our current customer base, and to focus on the accounts and customer types that are best suited to our strategy for profitable growth. We believe these efforts will lead to even better service of our target accounts, primarily large construction and industrial customers, as well as select local contractors. Our fleet team's analyses are aligned with these objectives to identify trends in equipment categories and define action plans that can generate improved returns; |
• | A continued focus on “Lean” management techniques, including kaizen processes focused on continuous improvement. As of December 31, 2016, we have trained over 3,100 employees, over 70 percent of our district managers and over 60 percent of our branch managers on the Lean kaizen process. We continue to implement this program across our branch network, with the objectives of: reducing the cycle time associated with renting our equipment to customers; improving invoice accuracy and service quality; reducing the elapsed time for equipment pickup and delivery; and improving the effectiveness and efficiency of our repair and maintenance operations. As discussed in note 4 to our consolidated financial statements, in the fourth quarter of 2015, we initiated a restructuring program focused on cost savings throughout the organization partially due to the Lean initiatives not fully generating the anticipated cost savings due to lower than expected rental volume in 2015. We closed this restructuring program in the fourth quarter of 2016. We achieved the anticipated run rate savings from the Lean initiatives in 2016 and expect to continue to generate savings from these initiatives; |
• | The implementation of Project XL, which is a set of eight specific work streams focused on driving profitable growth through revenue opportunities and generating incremental profitability through cost savings across our business; and |
• | The continued expansion of our trench, power and pump footprint, as well as our tools offering, and the cross-selling of these services throughout our network. We plan to open at least 17 specialty rental branches/tool hubs in 2017 and continue to invest in specialty rental fleet to further position United Rentals as a single source provider of total jobsite solutions through our extensive product and service resources and technology offerings. |
• | Rental rates decreased 2.2 percent year-over-year; |
• | The volume of OEC on rent increased 3.1 percent year-over-year; |
• | Time utilization was 67.9 percent, an increase of 60 basis points year-over-year; |
• | 70 percent of equipment rental revenue was derived from key accounts, as compared to 64 percent in 2015. The increase in the key account percent of equipment rental revenue primarily reflects additional customers that were designated as key accounts in 2016. If the list of customers designated as key accounts as of December 31, 2016 was applied to 2015, the key account percent of equipment rental revenue would have increased slightly from 2015. Key accounts are each managed by a single point of contact to enhance customer service; and |
• | The number of rental locations in our higher margin trench, power and pump (also referred to as "specialty") segment increased by eight year-over-year, after the addition of 14 cold starts. |
• | Redeemed all of our 5 3/4 percent Senior Secured Notes, 8 3/8 percent Senior Subordinated Notes, 8 1/4 percent Senior Notes and 7 3/8 percent Senior Notes; |
• | Redeemed $850 principal amount of our 7 5/8 percent Senior Notes; |
• | Issued $1 billion principal amount of 4 5/8 percent Senior Secured Notes due 2023; |
• | Issued $800 principal amount of 5 1/2 percent Senior Notes due 2025; |
• | Issued $750 principal amount of 5 7/8 percent Senior Notes due 2026; |
• | Issued $750 principal amount of 5 1/2 percent Senior Notes due 2027; |
• | Amended and extended our ABL facility, and increased the size of the facility to $2.5 billion; and |
• | Amended and extended our accounts receivable securitization facility, and increased the size of the facility to $625. |
Year Ended December 31, | |||||||||||
2016 | 2015 | 2014 | |||||||||
Net income | $ | 566 | $ | 585 | $ | 540 | |||||
Diluted earnings per share | $ | 6.45 | $ | 6.07 | $ | 5.15 |
Year Ended December 31, | |||||||||||||||||||||||
2016 | 2015 | 2014 | |||||||||||||||||||||
Tax rate applied to items below | 38.2 | % | 38.6 | % | 38.7 | % | |||||||||||||||||
Contribution to net income (after-tax) | Impact on diluted earnings per share | Contribution to net income (after-tax) | Impact on diluted earnings per share | Contribution to net income (after-tax) | Impact on diluted earnings per share | ||||||||||||||||||
Merger related costs (1) | $ | — | $ | — | $ | 17 | $ | 0.17 | $ | (7 | ) | $ | (0.06 | ) | |||||||||
Merger related intangible asset amortization (2) | (99 | ) | (1.12 | ) | (111 | ) | (1.15 | ) | (115 | ) | (1.10 | ) | |||||||||||
Impact on depreciation related to acquired RSC fleet and property and equipment (3) | — | — | 2 | 0.02 | 3 | 0.03 | |||||||||||||||||
Impact of the fair value mark-up of acquired RSC fleet (4) | (22 | ) | (0.25 | ) | (18 | ) | (0.19 | ) | (22 | ) | (0.21 | ) | |||||||||||
Impact on interest expense related to fair value adjustment of acquired RSC indebtedness (5) | 1 | 0.01 | 2 | 0.02 | 3 | 0.03 | |||||||||||||||||
Restructuring charge (6) | (9 | ) | (0.11 | ) | (4 | ) | (0.04 | ) | 1 | 0.01 | |||||||||||||
Asset impairment charge (7) | (2 | ) | (0.03 | ) | — | — | — | — | |||||||||||||||
Loss on extinguishment of debt securities and amendment of ABL facility | (62 | ) | (0.70 | ) | (75 | ) | (0.78 | ) | (48 | ) | (0.46 | ) |
(1) | This reflects transaction costs associated with the April 2014 National Pump acquisition. The income for the year ended December 31, 2015 reflects a decline in the fair value of the contingent cash consideration component of the National Pump purchase price. |
(2) | This reflects the amortization of the intangible assets acquired in the RSC and National Pump acquisitions. |
(3) | This reflects the impact of extending the useful lives of equipment acquired in the RSC acquisition, net of the impact of additional depreciation associated with the fair value mark-up of such equipment. |
(4) | This reflects additional costs recorded in cost of rental equipment sales associated with the fair value mark-up of rental equipment acquired in the RSC acquisition and subsequently sold. |
(5) | This reflects a reduction of interest expense associated with the fair value mark-up of debt acquired in the RSC acquisition. See note 11 to our consolidated financial statements for additional detail on the acquired debt. |
(6) | As discussed in note 4 to our consolidated financial statements, this reflects severance costs and branch closure charges associated with our restructuring programs, all of which were closed as of December 31, 2016. |
(7) | This reflects write-offs of leasehold improvements and other fixed assets in connection with our restructuring programs. |
Year Ended December 31, | |||||||||||
2016 | 2015 | 2014 | |||||||||
Net income | $ | 566 | $ | 585 | $ | 540 | |||||
Provision for income taxes | 343 | 378 | 310 | ||||||||
Interest expense, net | 511 | 567 | 555 | ||||||||
Depreciation of rental equipment | 990 | 976 | 921 | ||||||||
Non-rental depreciation and amortization | 255 | 268 | 273 | ||||||||
EBITDA | 2,665 | 2,774 | 2,599 | ||||||||
Merger related costs (1) | — | (26 | ) | 11 | |||||||
Restructuring charge (2) | 14 | 6 | (1 | ) | |||||||
Stock compensation expense, net (3) | 45 | 49 | 74 | ||||||||
Impact of the fair value mark-up of acquired RSC fleet (4) | 35 | 29 | 35 | ||||||||
Adjusted EBITDA | $ | 2,759 | $ | 2,832 | $ | 2,718 |
Year Ended December 31, | |||||||||||
2016 | 2015 | 2014 | |||||||||
Net cash provided by operating activities | $ | 1,953 | $ | 1,995 | $ | 1,801 | |||||
Adjustments for items included in net cash provided by operating activities but excluded from the calculation of EBITDA: | |||||||||||
Amortization of deferred financing costs and original issue discounts | (9 | ) | (10 | ) | (17 | ) | |||||
Gain on sales of rental equipment | 204 | 227 | 229 | ||||||||
Gain on sales of non-rental equipment | 4 | 8 | 11 | ||||||||
Merger related costs (1) | — | 26 | (11 | ) | |||||||
Restructuring charge (2) | (14 | ) | (6 | ) | 1 | ||||||
Stock compensation expense, net (3) | (45 | ) | (49 | ) | (74 | ) | |||||
Loss on extinguishment of debt securities and amendment of ABL facility | (101 | ) | (123 | ) | (80 | ) | |||||
Excess tax benefits from share-based payment arrangements | 58 | 5 | — | ||||||||
Changes in assets and liabilities | 101 | 194 | 182 | ||||||||
Cash paid for interest | 415 | 447 | 457 | ||||||||
Cash paid for income taxes, net | 99 | 60 | 100 | ||||||||
EBITDA | 2,665 | 2,774 | 2,599 | ||||||||
Add back: | |||||||||||
Merger related costs (1) | — | (26 | ) | 11 | |||||||
Restructuring charge (2) | 14 | 6 | (1 | ) | |||||||
Stock compensation expense, net (3) | 45 | 49 | 74 | ||||||||
Impact of the fair value mark-up of acquired RSC fleet (4) | 35 | 29 | 35 | ||||||||
Adjusted EBITDA | $ | 2,759 | $ | 2,832 | $ | 2,718 |
(1) | This reflects transaction costs associated with the April 2014 National Pump acquisition. The income for the year ended December 31, 2015 reflects a decline in the fair value of the contingent cash consideration component of the National Pump purchase price. |
(2) | As discussed in note 4 to our consolidated financial statements, this reflects severance costs and branch closure charges associated with our restructuring programs, all of which were closed as of December 31, 2016. |
(3) | Represents non-cash, share-based payments associated with the granting of equity instruments. |
(4) | This reflects additional costs recorded in cost of rental equipment sales associated with the fair value mark-up of rental equipment acquired in the RSC acquisition and subsequently sold. |
Year Ended December 31, | Change | ||||||||||||||
2016 | 2015 | 2014 | 2016 | 2015 | |||||||||||
Equipment rentals* | $ | 4,941 | $ | 4,949 | $ | 4,819 | (0.2)% | 2.7% | |||||||
Sales of rental equipment | 496 | 538 | 544 | (7.8)% | (1.1)% | ||||||||||
Sales of new equipment | 144 | 157 | 149 | (8.3)% | 5.4% | ||||||||||
Contractor supplies sales | 79 | 79 | 85 | —% | (7.1)% | ||||||||||
Service and other revenues | 102 | 94 | 88 | 8.5% | 6.8% | ||||||||||
Total revenues | $ | 5,762 | $ | 5,817 | $ | 5,685 | (0.9)% | 2.3% | |||||||
*Equipment rentals metrics: | |||||||||||||||
Year-over-year (decrease) increase in rental rates (1) | (2.2)% | 0.5% | |||||||||||||
Year-over-year increase in the volume of equipment on rent | 3.1% | 3.2% | |||||||||||||
Time utilization (2) | 67.9 | % | 67.3 | % | 68.8 | % | 60 bps | (150) bps |
(1) | Rental rate changes are calculated based on the year-over-year variance in average contract rates, weighted by the prior period revenue mix. |
(2) | Time utilization is calculated by dividing the amount of time an asset is on rent by the amount of time the asset has been owned during the year. |
General rentals | Trench, power and pump | Total | |||||||||
Year Ended December 31, 2016 | |||||||||||
Equipment rentals | $ | 4,166 | $ | 775 | $ | 4,941 | |||||
Sales of rental equipment | 459 | 37 | 496 | ||||||||
Sales of new equipment | 128 | 16 | 144 | ||||||||
Contractor supplies sales | 64 | 15 | 79 | ||||||||
Service and other revenues | 91 | 11 | 102 | ||||||||
Total revenue | $ | 4,908 | $ | 854 | $ | 5,762 | |||||
Year Ended December 31, 2015 | |||||||||||
Equipment rentals | $ | 4,241 | $ | 708 | $ | 4,949 | |||||
Sales of rental equipment | 504 | 34 | 538 | ||||||||
Sales of new equipment | 137 | 20 | 157 | ||||||||
Contractor supplies sales | 67 | 12 | 79 | ||||||||
Service and other revenues | 83 | 11 | 94 | ||||||||
Total revenue | $ | 5,032 | $ | 785 | $ | 5,817 | |||||
Year ended December 31, 2014 | |||||||||||
Equipment rentals | $ | 4,222 | $ | 597 | $ | 4,819 | |||||
Sales of rental equipment | 519 | 25 | 544 | ||||||||
Sales of new equipment | 113 | 36 | 149 | ||||||||
Contractor supplies sales | 73 | 12 | 85 | ||||||||
Service and other revenues | 75 | 13 | 88 | ||||||||
Total revenue | $ | 5,002 | $ | 683 | $ | 5,685 |
General rentals | Trench, power and pump | Total | |||||||||
2016 | |||||||||||
Equipment Rentals Gross Profit | $ | 1,725 | $ | 364 | $ | 2,089 | |||||
Equipment Rentals Gross Margin | 41.4 | % | 47.0 | % | 42.3 | % | |||||
2015 | |||||||||||
Equipment Rentals Gross Profit | $ | 1,819 | $ | 328 | $ | 2,147 | |||||
Equipment Rentals Gross Margin | 42.9 | % | 46.3 | % | 43.4 | % | |||||
2014 | |||||||||||
Equipment Rentals Gross Profit | $ | 1,790 | $ | 302 | $ | 2,092 | |||||
Equipment Rentals Gross Margin | 42.4 | % | 50.6 | % | 43.4 | % |
Year Ended December 31, | Change | ||||||||
2016 | 2015 | 2014 | 2016 | 2015 | |||||
Total gross margin | 41.7% | 42.6% | 42.8% | (90) bps | (20) bps | ||||
Equipment rentals | 42.3% | 43.4% | 43.4% | (110) bps | — | ||||
Sales of rental equipment | 41.1% | 42.2% | 42.1% | (110) bps | 10 bps | ||||
Sales of new equipment | 17.4% | 16.6% | 19.5% | 80 bps | (290) bps | ||||
Contractor supplies sales | 30.4% | 30.4% | 30.6% | — | (20) bps | ||||
Service and other revenues | 59.8% | 59.6% | 63.6% | 20 bps | (400) bps |
Year Ended December 31, | Change | ||||||||||||||
2016 | 2015 | 2014 | 2016 | 2015 | |||||||||||
Selling, general and administrative ("SG&A") expenses | $ | 719 | $ | 714 | $ | 758 | 0.7% | (5.8)% | |||||||
SG&A expense as a percentage of revenue | 12.5 | % | 12.3 | % | 13.3 | % | 20 bps | (100) bps | |||||||
Merger related costs | — | (26 | ) | 11 | (100.0)% | (336.4)% | |||||||||
Restructuring charge | 14 | 6 | (1 | ) | 133.3% | (700.0)% | |||||||||
Non-rental depreciation and amortization | 255 | 268 | 273 | (4.9)% | (1.8)% | ||||||||||
Interest expense, net | 511 | 567 | 555 | (9.9)% | 2.2% | ||||||||||
Other income, net | (5 | ) | (12 | ) | (14 | ) | (58.3)% | (14.3)% | |||||||
Provision for income taxes | 343 | 378 | 310 | (9.3)% | 21.9% | ||||||||||
Effective tax rate | 37.7 | % | 39.3 | % | 36.5 | % | (160) bps | 280 bps |
ABL facility: | |||
Borrowing capacity, net of letters of credit | $ | 809 | |
Outstanding debt, net of debt issuance costs | 1,645 | ||
Interest rate at December 31, 2016 | 2.3 | % | |
Average month-end debt outstanding during the year (1) | 1,439 | ||
Weighted-average interest rate on average month-end debt outstanding during the year | 2.1 | % | |
Maximum month-end debt outstanding during the year (1) | 1,747 | ||
Accounts receivable securitization facility: | |||
Borrowing capacity | 57 | ||
Outstanding debt, net of debt issuance costs | 568 | ||
Interest rate at December 31, 2016 | 1.5 | % | |
Average month-end debt outstanding during the year | 551 | ||
Weighted-average interest rate on average month-end debt outstanding during the year | 1.2 | % | |
Maximum month-end debt outstanding during the year | 621 |
(1) | The maximum month-end amount outstanding under the ABL facility exceeded the average amount outstanding during the year ended December 31, 2016 primarily due to the use of borrowings under the ABL facility to partially finance the debt redemptions discussed in note 11 to the consolidated financial statements. |
Corporate Rating | Outlook | ||
Moody’s | Ba3 | Stable | |
Standard & Poor’s | BB- | Stable |
Year Ended December 31, | |||||||||||
2016 | 2015 | 2014 | |||||||||
Net cash provided by operating activities | $ | 1,953 | $ | 1,995 | $ | 1,801 | |||||
Purchases of rental equipment | (1,246 | ) | (1,534 | ) | (1,701 | ) | |||||
Purchases of non-rental equipment | (93 | ) | (102 | ) | (120 | ) | |||||
Proceeds from sales of rental equipment | 496 | 538 | 544 | ||||||||
Proceeds from sales of non-rental equipment | 14 | 17 | 33 | ||||||||
Excess tax benefits from share-based payment arrangements | 58 | 5 | — | ||||||||
Free cash flow | $ | 1,182 | $ | 919 | $ | 557 |
2017 | 2018 | 2019 | 2020 | 2021 | Thereafter | Total | |||||||||||||||
Debt and capital leases (1) | $ | 597 | $ | 21 | $ | 12 | $ | 4 | $ | 1,656 | $ | 5,553 | $ | 7,843 | |||||||
Interest due on debt (2) | 363 | 356 | 356 | 355 | 334 | 891 | 2,655 | ||||||||||||||
Operating leases (1): | |||||||||||||||||||||
Real estate | 99 | 82 | 63 | 44 | 28 | 39 | 355 | ||||||||||||||
Non-rental equipment | 41 | 30 | 22 | 15 | 8 | 2 | 118 | ||||||||||||||
Service agreements (3) | 14 | 3 | — | — | — | — | 17 | ||||||||||||||
Purchase obligations (4) | 853 | — | — | — | — | — | 853 | ||||||||||||||
Total (5) | $ | 1,967 | $ | 492 | $ | 453 | $ | 418 | $ | 2,026 | $ | 6,485 | $ | 11,841 |
(1) | The payments due with respect to a period represent (i) in the case of debt and capital leases, the scheduled principal payments due in such period, and (ii) in the case of operating leases, the minimum lease payments due in such period under non-cancelable operating leases. |
(2) | Estimated interest payments have been calculated based on the principal amount of debt and the applicable interest rates as of December 31, 2016. |
(3) | These primarily represent service agreements with third parties to provide wireless and network services. |
(4) | As of December 31, 2016, we had outstanding purchase orders, which were negotiated in the ordinary course of business, with our equipment and inventory suppliers. These purchase commitments can generally be cancelled by us with 30 days notice and without cancellation penalties. The equipment and inventory receipts from the suppliers for these purchases and related payments to the suppliers are expected to be completed throughout 2017. |
(5) | This information excludes $4 of unrecognized tax benefits, which are discussed further in note 12 to our consolidated financial statements. It is not possible to estimate the time period during which these unrecognized tax benefits may be paid to tax authorities. |
Item 7A. | Quantitative and Qualitative Disclosures About Market Risk |
Item 8. | Financial Statements and Supplementary Data |
December 31, | |||||||
2016 | 2015 | ||||||
ASSETS | |||||||
Cash and cash equivalents | $ | 312 | $ | 179 | |||
Accounts receivable, net of allowance for doubtful accounts of $54 at December 31, 2016 and $55 at December 31, 2015 | 920 | 930 | |||||
Inventory | 68 | 69 | |||||
Prepaid expenses and other assets | 61 | 116 | |||||
Total current assets | 1,361 | 1,294 | |||||
Rental equipment, net | 6,189 | 6,186 | |||||
Property and equipment, net | 430 | 445 | |||||
Goodwill | 3,260 | 3,243 | |||||
Other intangible assets, net | 742 | 905 | |||||
Other long-term assets | 6 | 10 | |||||
Total assets | $ | 11,988 | $ | 12,083 | |||
LIABILITIES AND STOCKHOLDERS’ EQUITY | |||||||
Short-term debt and current maturities of long-term debt | $ | 597 | $ | 607 | |||
Accounts payable | 243 | 271 | |||||
Accrued expenses and other liabilities | 344 | 355 | |||||
Total current liabilities | 1,184 | 1,233 | |||||
Long-term debt | 7,193 | 7,555 | |||||
Deferred taxes | 1,896 | 1,765 | |||||
Other long-term liabilities | 67 | 54 | |||||
Total liabilities | 10,340 | 10,607 | |||||
Common stock—$0.01 par value, 500,000,000 shares authorized, 111,985,215 and 84,222,042 shares issued and outstanding, respectively, at December 31, 2016 and 111,586,585 and 91,776,436 shares issued and outstanding, respectively, at December 31, 2015 | 1 | 1 | |||||
Additional paid-in capital | 2,288 | 2,197 | |||||
Retained earnings | 1,654 | 1,088 | |||||
Treasury stock at cost—27,763,173 and 19,810,149 shares at December 31, 2016 and December 31, 2015, respectively | (2,077 | ) | (1,560 | ) | |||
Accumulated other comprehensive loss | (218 | ) | (250 | ) | |||
Total stockholders’ equity | 1,648 | 1,476 | |||||
Total liabilities and stockholders’ equity | $ | 11,988 | $ | 12,083 |
Year Ended December 31, | |||||||||||
2016 | 2015 | 2014 | |||||||||
Revenues: | |||||||||||
Equipment rentals | $ | 4,941 | $ | 4,949 | $ | 4,819 | |||||
Sales of rental equipment | 496 | 538 | 544 | ||||||||
Sales of new equipment | 144 | 157 | 149 | ||||||||
Contractor supplies sales | 79 | 79 | 85 | ||||||||
Service and other revenues | 102 | 94 | 88 | ||||||||
Total revenues | 5,762 | 5,817 | 5,685 | ||||||||
Cost of revenues: | |||||||||||
Cost of equipment rentals, excluding depreciation | 1,862 | 1,826 | 1,806 | ||||||||
Depreciation of rental equipment | 990 | 976 | 921 | ||||||||
Cost of rental equipment sales | 292 | 311 | 315 | ||||||||
Cost of new equipment sales | 119 | 131 | 120 | ||||||||
Cost of contractor supplies sales | 55 | 55 | 59 | ||||||||
Cost of service and other revenues | 41 | 38 | 32 | ||||||||
Total cost of revenues | 3,359 | 3,337 | 3,253 | ||||||||
Gross profit | 2,403 | 2,480 | 2,432 | ||||||||
Selling, general and administrative expenses | 719 | 714 | 758 | ||||||||
Merger related costs | — | (26 | ) | 11 | |||||||
Restructuring charge | 14 | 6 | (1 | ) | |||||||
Non-rental depreciation and amortization | 255 | 268 | 273 | ||||||||
Operating income | 1,415 | 1,518 | 1,391 | ||||||||
Interest expense, net | 511 | 567 | 555 | ||||||||
Other income, net | (5 | ) | (12 | ) | (14 | ) | |||||
Income before provision for income taxes | 909 | 963 | 850 | ||||||||
Provision for income taxes | 343 | 378 | 310 | ||||||||
Net income | $ | 566 | $ | 585 | $ | 540 | |||||
Basic earnings per share | $ | 6.49 | $ | 6.14 | $ | 5.54 | |||||
Diluted earnings per share | $ | 6.45 | $ | 6.07 | $ | 5.15 |
Year Ended December 31, | |||||||||||
2016 | 2015 | 2014 | |||||||||
Net income | $ | 566 | $ | 585 | $ | 540 | |||||
Other comprehensive income (loss): | |||||||||||
Foreign currency translation adjustments | 28 | (174 | ) | (90 | ) | ||||||
Fixed price diesel swaps | 4 | (2 | ) | (3 | ) | ||||||
Other comprehensive income (loss) (1) | 32 | (176 | ) | (93 | ) | ||||||
Comprehensive income | $ | 598 | $ | 409 | $ | 447 |
Common Stock | Additional | (Accumulated Deficit) | Treasury Stock | Accumulated Other | |||||||||||||||||||||
Number of Shares | Amount | Paid-in Capital | Retained Earnings | Number of Shares | Amount | Comprehensive Income (Loss) | |||||||||||||||||||
Balance at January 1, 2014 | 93 | $ | 1 | $ | 2,054 | $ | (37 | ) | 5 | $ | (209 | ) | $ | 19 | |||||||||||
Net income | 540 | ||||||||||||||||||||||||
Foreign currency translation adjustments | (90 | ) | |||||||||||||||||||||||
Fixed price diesel swaps | (3 | ) | |||||||||||||||||||||||
Stock compensation expense, net | 74 | ||||||||||||||||||||||||
Exercise of common stock options | — | 2 | |||||||||||||||||||||||
4 percent Convertible Senior Notes (1) | 10 | 58 | |||||||||||||||||||||||
Shares repurchased and retired | (20 | ) | |||||||||||||||||||||||
Repurchase of common stock | (5 | ) | 5 | (593 | ) | ||||||||||||||||||||
Balance at December 31, 2014 | 98 | $ | 1 | $ | 2,168 | $ | 503 | 10 | $ | (802 | ) | $ | (74 | ) |
Common Stock | Additional | Treasury Stock | Accumulated Other | ||||||||||||||||||||||
Number of Shares | Amount | Paid-in Capital | Retained Earnings | Number of Shares | Amount | Comprehensive Loss | |||||||||||||||||||
Balance at December 31, 2014 | 98 | $ | 1 | $ | 2,168 | $ | 503 | 10 | $ | (802 | ) | $ | (74 | ) | |||||||||||
Net income | 585 | ||||||||||||||||||||||||
Foreign currency translation adjustments | (174 | ) | |||||||||||||||||||||||
Fixed price diesel swaps | (2 | ) | |||||||||||||||||||||||
Stock compensation expense, net | 49 | ||||||||||||||||||||||||
Exercise of common stock options | — | 1 | |||||||||||||||||||||||
4 percent Convertible Senior Notes (1) | 4 | 5 | |||||||||||||||||||||||
Shares repurchased and retired | (31 | ) | |||||||||||||||||||||||
Repurchase of common stock | (10 | ) | 10 | (758 | ) | ||||||||||||||||||||
Excess tax benefits from share-based payment arrangements, net | 5 | ||||||||||||||||||||||||
Balance at December 31, 2015 | 92 | $ | 1 | $ | 2,197 | $ | 1,088 | 20 | $ | (1,560 | ) | $ | (250 | ) |
Common Stock | Additional | Treasury Stock | Accumulated Other | ||||||||||||||||||||||
Number of Shares | Amount | Paid-in Capital | Retained Earnings | Number of Shares | Amount | Comprehensive Loss (1) | |||||||||||||||||||
Balance at December 31, 2015 | 92 | $ | 1 | $ | 2,197 | $ | 1,088 | 20 | $ | (1,560 | ) | $ | (250 | ) | |||||||||||
Net income | 566 | ||||||||||||||||||||||||
Foreign currency translation adjustments | 28 | ||||||||||||||||||||||||
Fixed price diesel swaps | 4 | ||||||||||||||||||||||||
Stock compensation expense, net | 45 | ||||||||||||||||||||||||
Exercise of common stock options | — | 1 | |||||||||||||||||||||||
Shares repurchased and retired | (11 | ) | |||||||||||||||||||||||
Repurchase of common stock | (8 | ) | 8 | $ | (517 | ) | |||||||||||||||||||
Excess tax benefits from share-based payment arrangements, net | 56 | ||||||||||||||||||||||||
Balance at December 31, 2016 | 84 | $ | 1 | $ | 2,288 | $ | 1,654 | 28 | $ | (2,077 | ) | $ | (218 | ) |
Year Ended December 31, | |||||||||||
2016 | 2015 | 2014 | |||||||||
(In millions) | |||||||||||
Cash Flows From Operating Activities: | |||||||||||
Net income | $ | 566 | $ | 585 | $ | 540 | |||||
Adjustments to reconcile net income to net cash provided by operating activities: | |||||||||||
Depreciation and amortization | 1,245 | 1,244 | 1,194 | ||||||||
Amortization of deferred financing costs and original issue discounts | 9 | 10 | 17 | ||||||||
Gain on sales of rental equipment | (204 | ) | (227 | ) | (229 | ) | |||||
Gain on sales of non-rental equipment | (4 | ) | (8 | ) | (11 | ) | |||||
Stock compensation expense, net | 45 | 49 | 74 | ||||||||
Merger related costs | — | (26 | ) | 11 | |||||||
Restructuring charge | 14 | 6 | (1 | ) | |||||||
Loss on repurchase/redemption of debt securities and amendment of ABL facility | 101 | 123 | 80 | ||||||||
Excess tax benefits from share-based payment arrangements | (58 | ) | (5 | ) | — | ||||||
Increase in deferred taxes | 123 | 336 | 261 | ||||||||
Changes in operating assets and liabilities: | |||||||||||
Decrease (increase) in accounts receivable | 15 | (11 | ) | (101 | ) | ||||||
Decrease in inventory | 1 | 8 | 11 | ||||||||
Decrease (increase) in prepaid expenses and other assets | 77 | (38 | ) | (52 | ) | ||||||
Decrease in accounts payable | (29 | ) | (8 | ) | (23 | ) | |||||
Increase (decrease) in accrued expenses and other liabilities | 52 | (43 | ) | 30 | |||||||
Net cash provided by operating activities | 1,953 | 1,995 | 1,801 | ||||||||
Cash Flows From Investing Activities: | |||||||||||
Purchases of rental equipment | (1,246 | ) | (1,534 | ) | (1,701 | ) | |||||
Purchases of non-rental equipment | (93 | ) | (102 | ) | (120 | ) | |||||
Proceeds from sales of rental equipment | 496 | 538 | 544 | ||||||||
Proceeds from sales of non-rental equipment | 14 | 17 | 33 | ||||||||
Purchases of other companies, net of cash acquired | (28 | ) | (86 | ) | (756 | ) | |||||
Purchases of investments | (2 | ) | (3 | ) | — | ||||||
Net cash used in investing activities | (859 | ) | (1,170 | ) | (2,000 | ) | |||||
Cash Flows From Financing Activities: | |||||||||||
Proceeds from debt | 8,752 | 8,566 | 7,070 | ||||||||
Payments of debt | (9,223 | ) | (8,482 | ) | (6,283 | ) | |||||
Payment of contingent consideration | — | (52 | ) | — | |||||||
Payments of financing costs | (24 | ) | (27 | ) | (22 | ) | |||||
Proceeds from the exercise of common stock options | 1 | 1 | 2 | ||||||||
Common stock repurchased | (528 | ) | (789 | ) | (613 | ) | |||||
Cash received in connection with the 4 percent Convertible Senior Notes and related hedge, net | — | 3 | 42 | ||||||||
Excess tax benefits from share-based payment arrangements | 58 | 5 | — | ||||||||
Net cash (used in) provided by financing activities | (964 | ) | (775 | ) | 196 | ||||||
Effect of foreign exchange rates | 3 | (29 | ) | (14 | ) | ||||||
Net increase (decrease) in cash and cash equivalents | 133 | 21 | (17 | ) | |||||||
Cash and cash equivalents at beginning of year | 179 | 158 | 175 | ||||||||
Cash and cash equivalents at end of year | $ | 312 | $ | 179 | $ | 158 | |||||
Supplemental disclosure of cash flow information: | |||||||||||
Cash paid for interest | $ | 415 | $ | 447 | $ | 457 | |||||
Cash paid for income taxes, net | 99 | 60 | 100 |
Year Ended December 31, | ||||||||
2016 | 2015 | 2014 | ||||||
Primarily rented by our general rentals segment: | ||||||||
General construction and industrial equipment | 43 | % | 43 | % | 43 | % | ||
Aerial work platforms | 32 | % | 32 | % | 33 | % | ||
General tools and light equipment | 8 | % | 10 | % | 10 | % | ||
Primarily rented by our trench, power and pump segment: | ||||||||
Power and HVAC equipment | 7 | % | 6 | % | 6 | % | ||
Trench safety equipment | 6 | % | 5 | % | 5 | % | ||
Pumps | 4 | % | 4 | % | 3 | % |
General rentals | Trench, power and pump | Total | |||||||||
2016 | |||||||||||
Equipment rentals | $ | 4,166 | $ | 775 | $ | 4,941 | |||||
Sales of rental equipment | 459 | 37 | 496 | ||||||||
Sales of new equipment | 128 | 16 | 144 | ||||||||
Contractor supplies sales | 64 | 15 | 79 | ||||||||
Service and other revenues | 91 | 11 | 102 | ||||||||
Total revenue | 4,908 | 854 | 5,762 | ||||||||
Depreciation and amortization expense | 1,066 | 179 | 1,245 | ||||||||
Equipment rentals gross profit | 1,725 | 364 | 2,089 | ||||||||
Capital expenditures | 1,189 | 150 | 1,339 | ||||||||
Total assets | $ | 10,496 | $ | 1,492 | $ | 11,988 | |||||
2015 | |||||||||||
Equipment rentals | $ | 4,241 | $ | 708 | $ | 4,949 | |||||
Sales of rental equipment | 504 | 34 | 538 | ||||||||
Sales of new equipment | 137 | 20 | 157 | ||||||||
Contractor supplies sales | 67 | 12 | 79 | ||||||||
Service and other revenues | 83 | 11 | 94 | ||||||||
Total revenue | 5,032 | 785 | 5,817 | ||||||||
Depreciation and amortization expense | 1,071 | 173 | 1,244 | ||||||||
Equipment rentals gross profit | 1,819 | 328 | 2,147 | ||||||||
Capital expenditures | 1,439 | 197 | 1,636 | ||||||||
Total assets | $ | 10,561 | $ | 1,522 | $ | 12,083 | |||||
2014 | |||||||||||
Equipment rentals | $ | 4,222 | $ | 597 | $ | 4,819 | |||||
Sales of rental equipment | 519 | 25 | 544 | ||||||||
Sales of new equipment | 113 | 36 | 149 | ||||||||
Contractor supplies sales | 73 | 12 | 85 | ||||||||
Service and other revenues | 75 | 13 | 88 | ||||||||
Total revenue | 5,002 | 683 | 5,685 | ||||||||
Depreciation and amortization expense | 1,060 | 134 | 1,194 | ||||||||
Equipment rentals gross profit | 1,790 | 302 | 2,092 | ||||||||
Capital expenditures | 1,594 | 227 | 1,821 | ||||||||
Total assets | $ | 10,597 | $ | 1,532 | $ | 12,129 |
Year Ended December 31, | |||||||||||
2016 | 2015 | 2014 | |||||||||
Total equipment rentals gross profit | $ | 2,089 | $ | 2,147 | $ | 2,092 | |||||
Gross profit from other lines of business | 314 | 333 | 340 | ||||||||
Selling, general and administrative expenses | (719 | ) | (714 | ) | (758 | ) | |||||
Merger related costs | — | 26 | (11 | ) | |||||||
Restructuring charge | (14 | ) | (6 | ) | 1 | ||||||
Non-rental depreciation and amortization | (255 | ) | (268 | ) | (273 | ) | |||||
Interest expense, net | (511 | ) | (567 | ) | (555 | ) | |||||
Other income, net | 5 | 12 | 14 | ||||||||
Income before provision for income taxes | $ | 909 | $ | 963 | $ | 850 |
Domestic | Foreign (Canada) | Total | |||||||||
2016 | |||||||||||
Equipment rentals | $ | 4,524 | $ | 417 | $ | 4,941 | |||||
Sales of rental equipment | 444 | 52 | 496 | ||||||||
Sales of new equipment | 129 | 15 | 144 | ||||||||
Contractor supplies sales | 68 | 11 | 79 | ||||||||
Service and other revenues | 87 | 15 | 102 | ||||||||
Total revenue | 5,252 | 510 | 5,762 | ||||||||
Rental equipment, net | 5,709 | 480 | 6,189 | ||||||||
Property and equipment, net | 390 | 40 | 430 | ||||||||
Goodwill and other intangibles, net | $ | 3,699 | $ | 303 | $ | 4,002 | |||||
2015 | |||||||||||
Equipment rentals | $ | 4,452 | $ | 497 | $ | 4,949 | |||||
Sales of rental equipment | 480 | 58 | 538 | ||||||||
Sales of new equipment | 137 | 20 | 157 | ||||||||
Contractor supplies sales | 69 | 10 | 79 | ||||||||
Service and other revenues | 80 | 14 | 94 | ||||||||
Total revenue | 5,218 | 599 | 5,817 | ||||||||
Rental equipment, net | 5,657 | 529 | 6,186 | ||||||||
Property and equipment, net | 399 | 46 | 445 | ||||||||
Goodwill and other intangibles, net | $ | 3,838 | $ | 310 | $ | 4,148 | |||||
2014 | |||||||||||
Equipment rentals | $ | 4,217 | $ | 602 | $ | 4,819 | |||||
Sales of rental equipment | 478 | 66 | 544 | ||||||||
Sales of new equipment | 124 | 25 | 149 | ||||||||
Contractor supplies sales | 70 | 15 | 85 | ||||||||
Service and other revenues | 73 | 15 | 88 | ||||||||
Total revenue | $ | 4,962 | $ | 723 | $ | 5,685 |
Description | Beginning Reserve Balance | Charged to Costs and Expenses (1) | Payments and Other | Ending Reserve Balance | ||||||||||||
Year ended December 31, 2014: | ||||||||||||||||
Branch closure charges | $ | 33 | $ | (1 | ) | $ | (12 | ) | $ | 20 | ||||||
Severance costs | 2 | — | (2 | ) | — | |||||||||||
Total | $ | 35 | $ | (1 | ) | $ | (14 | ) | $ | 20 | ||||||
Year ended December 31, 2015: | ||||||||||||||||
Branch closure charges | $ | 20 | $ | 2 | $ | (9 | ) | $ | 13 | |||||||
Severance costs | — | — | — | — | ||||||||||||
Total | $ | 20 | $ | 2 | $ | (9 | ) | $ | 13 | |||||||
Year ended December 31, 2016: | ||||||||||||||||
Branch closure charges | $ | 13 | $ | — | $ | (5 | ) | $ | 8 | |||||||
Severance costs | — | — | — | — | ||||||||||||
Total | $ | 13 | $ | — | $ | (5 | ) | $ | 8 |
(1) | Reflected in our consolidated statements of income as “Restructuring charge.” The restructuring charges are not allocated to our segments. |
Description | Beginning Reserve Balance | Charged to Costs and Expenses (1) | Payments and Other | Ending Reserve Balance | ||||||||||||
Year ended December 31, 2015: | ||||||||||||||||
Branch closure charges | $ | — | $ | — | $ | — | $ | — | ||||||||
Severance costs | — | 4 | (1 | ) | 3 | |||||||||||
Total | $ | — | $ | 4 | $ | (1 | ) | $ | 3 | |||||||
Year ended December 31, 2016: | ||||||||||||||||
Branch closure charges | $ | — | $ | 10 | $ | (2 | ) | $ | 8 | |||||||
Severance costs | 3 | 4 | (6 | ) | 1 | |||||||||||
Total | $ | 3 | $ | 14 | $ | (8 | ) | $ | 9 |
(1) | Reflected in our consolidated statements of income as “Restructuring charge.” The restructuring charges are not allocated to our segments. |
December 31, | |||||||
2016 | 2015 | ||||||
Rental equipment | $ | 9,413 | $ | 9,022 | |||
Less accumulated depreciation | (3,224 | ) | (2,836 | ) | |||
Rental equipment, net | $ | 6,189 | $ | 6,186 |
December 31, | |||||||
2016 | 2015 | ||||||
Land | $ | 96 | $ | 98 | |||
Buildings | 212 | 226 | |||||
Non-rental vehicles | 93 | 86 | |||||
Machinery and equipment | 87 | 78 | |||||
Furniture and fixtures | 188 | 171 | |||||
Leasehold improvements | 221 | 212 | |||||
897 | 871 | ||||||
Less accumulated depreciation and amortization | (467 | ) | (426 | ) | |||
Property and equipment, net | $ | 430 | $ | 445 |
General rentals | Trench, power and pump | Total | |||||||||
Balance at January 1, 2014 (1) | $ | 2,812 | $ | 141 | $ | 2,953 | |||||
Goodwill related to acquisitions (2) | 12 | 330 | 342 | ||||||||
Foreign currency translation and other adjustments | (20 | ) | (3 | ) | (23 | ) | |||||
Balance at December 31, 2014 (1) | 2,804 | 468 | 3,272 | ||||||||
Goodwill related to acquisitions (2) | 16 | — | 16 | ||||||||
Foreign currency translation and other adjustments | (34 | ) | (11 | ) | (45 | ) | |||||
Balance at December 31, 2015 (1) | 2,786 | 457 | 3,243 | ||||||||
Goodwill related to acquisitions (2) | 5 | 4 | 9 | ||||||||
Foreign currency translation and other adjustments | 6 | 2 | 8 | ||||||||
Balance at December 31, 2016 (1) | $ | 2,797 | $ | 463 | $ | 3,260 |
(1) | The total carrying amount of goodwill for all periods in the table above is reflected net of $1,557 of accumulated impairment charges, which were primarily recorded in our general rentals segment. |
(2) | Includes goodwill adjustments for the effect on goodwill of changes to net assets acquired during the measurement period, which were not significant to our previously reported operating results or financial condition. |
December 31, 2016 | |||||||||||||
Weighted-Average Remaining Amortization Period | Gross Carrying Amount | Accumulated Amortization | Net Amount | ||||||||||
Non-compete agreements | 28 months | $ | 70 | $ | 57 | $ | 13 | ||||||
Customer relationships | 10 years | $ | 1,465 | $ | 737 | $ | 728 | ||||||
Trade names and associated trademarks | 4 months | $ | 80 | $ | 79 | $ | 1 |
December 31, 2015 | |||||||||||||
Weighted-Average Remaining Amortization Period | Gross Carrying Amount | Accumulated Amortization | Net Amount | ||||||||||
Non-compete agreements | 31 months | $ | 69 | $ | 44 | $ | 25 | ||||||
Customer relationships | 11 years | $ | 1,453 | $ | 583 | $ | 870 | ||||||
Trade names and associated trademarks | 16 months | $ | 80 | $ | 70 | $ | 10 |
2017 | $ | 146 | |
2018 | 126 | ||
2019 | 111 | ||
2020 | 95 | ||
2021 | 80 | ||
Thereafter | 184 | ||
Total | $ | 742 |
December 31, | |||||||
2016 | 2015 | ||||||
Self-insurance accruals | $ | 35 | $ | 43 | |||
Accrued compensation and benefit costs | 55 | 41 | |||||
Property and income taxes payable | 23 | 22 | |||||
Restructuring reserves (1) | 17 | 16 | |||||
Interest payable | 79 | 91 | |||||
Deferred revenue (2) | 40 | 38 | |||||
National accounts accrual | 40 | 39 | |||||
Due to seller | 2 | 4 | |||||
Other (3) | 53 | 61 | |||||
Accrued expenses and other liabilities | $ | 344 | $ | 355 |
(1) | Relates to branch closure charges and severance costs. See note 4 for additional detail. |
(2) | Primarily relates to amounts billed to customers in excess of recognizable equipment rental revenue. See note 2 (“Revenue Recognition”) for additional detail. |
(3) | Other includes multiple items, none of which are individually significant. |
December 31, | |||||||
2016 | 2015 | ||||||
Self-insurance accruals | $ | 59 | $ | 47 | |||
Accrued compensation and benefit costs | 8 | 7 | |||||
Other long-term liabilities | $ | 67 | $ | 54 |
Location of income (expense) recognized on derivative/hedged item | Amount of income (expense) recognized on derivative | Amount of income (expense) recognized on hedged item | ||||||
Year ended December 31, 2016: | ||||||||
Derivatives designated as hedging instruments: | ||||||||
Fixed price diesel swaps | Other income (expense), net (1) | $ * | ||||||
Cost of equipment rentals, excluding depreciation (2), (3) | (6 | ) | (23 | ) | ||||
Derivatives not designated as hedging instruments: | ||||||||
Foreign currency forward contracts | Other income (expense), net | (3 | ) | 3 | ||||
Year ended December 31, 2015: | ||||||||
Derivatives designated as hedging instruments: | ||||||||
Fixed price diesel swaps | Other income (expense), net (1) | $ * | ||||||
Cost of equipment rentals, excluding depreciation (2), (3) | (7 | ) | (29 | ) | ||||
Derivatives not designated as hedging instruments: | ||||||||
Foreign currency forward contracts | Other income (expense), net | (5 | ) | 5 | ||||
Year ended December 31, 2014: | ||||||||
Derivatives designated as hedging instruments: | ||||||||
Fixed price diesel swaps | Other income (expense), net (1) | $ * | ||||||
Cost of equipment rentals, excluding depreciation (2), (3) | * | (40 | ) | |||||
Derivatives not designated as hedging instruments: | ||||||||
Foreign currency forward contracts | Other income (expense), net | (7 | ) | 7 |
(1) | Represents the ineffective portion of the fixed price diesel swaps. |
(2) | Amounts recognized on derivative represent the effective portion of the fixed price diesel swaps. |
(3) | Amounts recognized on hedged item reflect the use of 10.1 million, 10.6 million and 10.5 million gallons of diesel covered by the fixed price swaps during the years ended December 31, 2016, 2015 and 2014, respectively. |
December 31, 2016 | December 31, 2015 | ||||||||||||||
Carrying Amount | Fair Value | Carrying Amount | Fair Value | ||||||||||||
Level 1: | |||||||||||||||
Senior and senior subordinated notes | $ | 5,506 | $ | 5,715 | $ | 5,916 | $ | 6,030 | |||||||
Level 3: | |||||||||||||||
Capital leases (1) | 71 | 70 | 96 | 95 |
(1) | The fair value of capital leases reflects the present value of the leases using a 7.0 percent interest rate. |
December 31, | |||||||
2016 | 2015 | ||||||
Accounts Receivable Securitization Facility (1) | $ | 568 | $ | 571 | |||
$2.5 billion ABL Facility (1) | 1,645 | 1,579 | |||||
7 3/8 percent Senior Notes (2) | — | 740 | |||||
8 1/4 percent Senior Notes (2) | — | 315 | |||||
7 5/8 percent Senior Notes due 2022 (2) | 469 | 1,306 | |||||
6 1/8 percent Senior Notes due 2023 | 936 | 937 | |||||
4 5/8 percent Senior Secured Notes due 2023 | 991 | 989 | |||||
5 3/4 percent Senior Notes due 2024 | 839 | 838 | |||||
5 1/2 percent Senior Notes due 2025 | 792 | 791 | |||||
5 7/8 percent Senior Notes due 2026 (3) | 740 | — | |||||
5 1/2 percent Senior Notes due 2027 (3) | 739 | — | |||||
Capital leases | 71 | 96 | |||||
Total debt | 7,790 | 8,162 | |||||
Less short-term portion | (597 | ) | (607 | ) | |||
Total long-term debt | $ | 7,193 | $ | 7,555 |
(1) | $809 and $57 were available under our ABL facility and accounts receivable securitization facility, respectively, at December 31, 2016. The ABL facility availability is reflected net of $36 of letters of credit. At December 31, 2016, the interest rates applicable to our ABL facility and accounts receivable securitization facility were 2.3 percent and 1.5 percent, respectively. |
(2) | In 2016, we redeemed all of our 7 3/8 percent Senior Notes and 8 1/4 percent Senior Notes, and $850 principal amount of our 7 5/8 percent Senior Notes due 2022. Upon redemption, we recognized an aggregate loss of $100 in interest expense, |
(3) | In 2016, URNA issued $750 principal amount of 5 7/8 percent Senior Notes due 2026 and $750 principal amount of 5 1/2 percent Senior Notes due 2027. See below for additional detail. |
• | borrowings are permitted only to the extent that the face amount of the receivables in the collateral pool, net of applicable reserves, exceeds the outstanding loans by a specified amount. As of December 31, 2016, there were $655 of receivables, net of applicable reserves, in the collateral pool; |
• | the receivables in the collateral pool are the lenders’ only source of repayment; |
• | upon early termination of the facility, no new amounts will be advanced under the facility and collections on the receivables securing the facility will be used to repay the outstanding borrowings; and |
• | standard termination events including, without limitation, a change of control of Holdings, URNA or certain of its subsidiaries, a failure to make payments, a failure to comply with standard default, delinquency, dilution and days sales outstanding covenants, or breach of the fixed charge coverage ratio covenant under the ABL facility (if applicable). |
2017 | $ | 597 | |
2018 | 21 | ||
2019 | 12 | ||
2020 | 4 | ||
2021 | 1,656 | ||
Thereafter | 5,553 | ||
Total | $ | 7,843 |
Year ended December 31, | |||||||||||
2016 | 2015 | 2014 | |||||||||
Current | |||||||||||
Federal | $ | 186 | $ | 13 | $ | 2 | |||||
Foreign | 10 | 15 | 42 | ||||||||
State and local | 24 | 14 | 5 | ||||||||
220 | 42 | 49 | |||||||||
Deferred | |||||||||||
Federal | 119 | 300 | 240 | ||||||||
Foreign | (1 | ) | 5 | 2 | |||||||
State and local | 5 | 31 | 19 | ||||||||
123 | 336 | 261 | |||||||||
Total | $ | 343 | $ | 378 | $ | 310 |
Year ended December 31, | |||||||||||
2016 | 2015 | 2014 | |||||||||
Computed tax at statutory tax rate | $ | 318 | $ | 337 | $ | 297 | |||||
State income taxes, net of federal tax benefit | 21 | 41 | 22 | ||||||||
Non-deductible expenses and other | 9 | 8 | 8 | ||||||||
Foreign taxes | (5 | ) | (8 | ) | (17 | ) | |||||
Total | $ | 343 | $ | 378 | $ | 310 |
December 31, 2016 | December 31, 2015 | ||||||
Reserves and allowances | $ | 103 | $ | 112 | |||
Debt cancellation and other | 33 | 48 | |||||
Net operating loss and credit carryforwards | 28 | 73 | |||||
Total deferred tax assets | 164 | 233 | |||||
Property and equipment | (1,820 | ) | (1,714 | ) | |||
Intangibles | (231 | ) | (272 | ) | |||
Valuation allowance | (9 | ) | (12 | ) | |||
Total deferred tax liability | (2,060 | ) | (1,998 | ) | |||
Total deferred income tax liability | $ | (1,896 | ) | $ | (1,765 | ) |
2016 | 2015 | ||||||
Balance at January 1 | $ | 3 | $ | 7 | |||
Additions for tax positions of prior years | 1 | 1 | |||||
Reductions for tax positions of prior years | — | (1 | ) | ||||
Settlements | — | (4 | ) | ||||
Balance at December 31 | $ | 4 | $ | 3 |
Real Estate Leases | Non-Rental Equipment Leases | ||||||
2017 | $ | 99 | $ | 41 | |||
2018 | 82 | 30 | |||||
2019 | 63 | 22 | |||||
2020 | 44 | 15 | |||||
2021 | 28 | 8 | |||||
Thereafter | 39 | 2 | |||||
Total | $ | 355 | $ | 118 |
2016 | 2015 | 2014 | |||||||||
Depreciation of rental equipment | $ | 20 | $ | 20 | $ | 20 | |||||
Non-rental depreciation and amortization | 3 | 3 | 4 | ||||||||
Rental equipment | 190 | 186 | |||||||||
Less accumulated depreciation | (70 | ) | (56 | ) | |||||||
Rental equipment, net | 120 | 130 | |||||||||
Property and equipment, net: | |||||||||||
Non-rental vehicles | 7 | 8 | |||||||||
Buildings | 21 | 21 | |||||||||
Less accumulated depreciation and amortization | (16 | ) | (16 | ) | |||||||
Property and equipment, net | $ | 12 | $ | 13 |
2017 | $ | 32 | |
2018 | 23 | ||
2019 | 13 | ||
2020 | 4 | ||
2021 | 2 | ||
Thereafter | 3 | ||
Total | 77 | ||
Less amount representing interest (1) | (6 | ) | |
Capital lease obligations | $ | 71 |
(1) | The weighted average interest rate on our capital lease obligations as of December 31, 2016 was approximately 5.7 percent. |
Shares | Weighted-Average Exercise Price | |||||
Outstanding at January 1, 2014 | 875 | $ | 17.85 | |||
Granted | — | — | ||||
Exercised | (213 | ) | 11.21 | |||
Canceled | (10 | ) | 19.98 | |||
Outstanding at December 31, 2014 | 652 | 19.99 | ||||
Granted | — | — | ||||
Exercised | (87 | ) | 13.54 | |||
Canceled | (4 | ) | 20.29 | |||
Outstanding at December 31, 2015 | 561 | 20.99 | ||||
Granted | — | — | ||||
Exercised | (54 | ) | 17.42 | |||
Canceled | — | — | ||||
Outstanding at December 31, 2016 | 507 | 21.37 | ||||
Exercisable at December 31, 2014 | 564 | $ | 16.18 | |||
Exercisable at December 31, 2015 | 537 | $ | 19.49 | |||
Exercisable at December 31, 2016 | 507 | $ | 21.37 |
Options Outstanding | Options Exercisable | |||||||||||||||
Range of Exercise Prices | Amount Outstanding | Weighted Average Remaining Contractual Life (Years) | Weighted Average Exercise Price | Amount Exercisable | Weighted Average Exercise Price | |||||||||||
$0.01-5.00 | 100 | 2.2 | $ | 3.38 | 100 | $ | 3.38 | |||||||||
5.01-10.00 | 169 | 3.2 | 8.32 | 169 | 8.32 | |||||||||||
10.01-15.00 | 12 | 2.1 | 14.50 | 12 | 14.50 | |||||||||||
15.01-20.00 | 12 | 2.8 | 15.22 | 12 | 15.22 | |||||||||||
25.01-30.00 | 27 | 3.2 | 26.01 | 27 | 26.01 | |||||||||||
30.01-35.00 | 62 | 4.2 | 31.49 | 62 | 31.49 | |||||||||||
40.01-45.00 | 51 | 5.1 | 41.25 | 51 | 41.25 | |||||||||||
50.01-55.00 | 74 | 6.2 | 53.78 | 74 | 53.78 | |||||||||||
507 | $ | 21.37 | 507 | $ | 21.37 |
2016 | 2015 | 2014 | |||||||||
Intrinsic value of options outstanding as of December 31 | $ | 43 | $ | 29 | |||||||
Intrinsic value of options exercisable as of December 31 | 43 | 28 | |||||||||
Intrinsic value of options exercised | 4 | 7 | 17 | ||||||||
Weighted-average grant date fair value per option | $ | — | $ | — | $ | — |
Year Ended December 31, | |||||||||||
2016 | 2015 | 2014 | |||||||||
RSUs granted | 901 | 463 | 805 | ||||||||
Weighted-average grant date price per unit | $ | 60.55 | $ | 86.84 | $ | 92.28 |
Stock Units | Weighted-Average Grant Date Fair Value | |||||
Nonvested as of December 31, 2015 | 530 | $ | 81.94 | |||
Granted | 901 | 60.55 | ||||
Vested | (645 | ) | 64.62 | |||
Forfeited | (35 | ) | 79.19 | |||
Nonvested as of December 31, 2016 | 751 | $ | 71.29 |
First Quarter | Second Quarter | Third Quarter | Fourth Quarter | Full Year | |||||||||||||||
For the year ended December 31, 2016 (1): | |||||||||||||||||||
Total revenues | $ | 1,310 | $ | 1,421 | $ | 1,508 | $ | 1,523 | $ | 5,762 | |||||||||
Gross profit | 500 | 590 | 656 | 657 | 2,403 | ||||||||||||||
Operating income | 254 | 347 | 412 | 402 | 1,415 | ||||||||||||||
Net income | 92 | 134 | 187 | 153 | 566 | ||||||||||||||
Earnings per share—basic | 1.01 | 1.52 | 2.18 | 1.82 | 6.49 | ||||||||||||||
Earnings per share—diluted (3) | 1.01 | 1.52 | 2.16 | 1.80 | 6.45 | ||||||||||||||
For the year ended December 31, 2015 (2): | |||||||||||||||||||
Total revenues | $ | 1,315 | $ | 1,429 | $ | 1,550 | $ | 1,523 | $ | 5,817 | |||||||||
Gross profit | 524 | 618 | 690 | 648 | 2,480 | ||||||||||||||
Operating income | 300 | 375 | 446 | 397 | 1,518 | ||||||||||||||
Net income | 115 | 86 | 215 | 169 | 585 | ||||||||||||||
Earnings per share—basic | 1.19 | 0.89 | 2.28 | 1.82 | 6.14 | ||||||||||||||
Earnings per share—diluted (3) | 1.16 | 0.88 | 2.25 | 1.81 | 6.07 |
(1) | The fourth quarter of 2016 includes $6 of restructuring charges associated with the restructuring program we initiated in the fourth quarter of 2015 and closed in the fourth quarter of 2016, which is discussed further in note 4 to our consolidated financial statements. Additionally, as discussed in note 11 to our consolidated financial statements, in the |
(2) | The fourth quarter of 2015 included a decrease in stock compensation, net of $14 as compared to the fourth quarter of 2014 primarily due to lower than expected revenue and profitability. Additionally, as discussed in note 4 to our consolidated financial statements, in the fourth quarter of 2015, we initiated a restructuring program in response to recent challenges in our operating environment. Though we expected solid industry growth in 2016, the restructuring program was initiated in an effort to reduce costs in an environment with continuing pressures on volume and pricing. We recognized $4 of costs for the program in the fourth quarter of 2015. The program was completed in the fourth quarter of 2016. Additionally, during the fourth quarter of 2015, we reached agreement on a settlement that provided us with a $5 refund on previously paid property taxes. We recognized a reduction of $5 in cost of equipment rentals, excluding depreciation, associated with the settlement during the fourth quarter of 2015. Additionally, our provision for income taxes for the fourth quarter of 2015 includes the impact of a $5 increase in valuation allowances resulting from the enactment of Connecticut state limitations on net operating loss utilization. |
(3) | Diluted earnings per share includes the after-tax impacts of the following: |
First Quarter | Second Quarter | Third Quarter | Fourth Quarter | Full Year | |||||||||||||||
For the year ended December 31, 2016: | |||||||||||||||||||
Merger related intangible asset amortization (5) | $ | (0.30 | ) | $ | (0.28 | ) | $ | (0.28 | ) | $ | (0.29 | ) | $ | (1.12 | ) | ||||
Impact of the fair value mark-up of acquired RSC fleet (7) | (0.06 | ) | (0.06 | ) | (0.05 | ) | (0.06 | ) | (0.25 | ) | |||||||||
Impact on interest expense related to fair value adjustment of acquired RSC indebtedness (8) | — | — | — | — | 0.01 | ||||||||||||||
Restructuring charge (9) | (0.01 | ) | (0.02 | ) | (0.02 | ) | (0.05 | ) | (0.11 | ) | |||||||||
Asset impairment charge (11) | (0.02 | ) | — | — | — | (0.03 | ) | ||||||||||||
Loss on extinguishment of debt securities and amendment of ABL facility | — | (0.18 | ) | (0.07 | ) | (0.47 | ) | (0.70 | ) | ||||||||||
For the year ended December 31, 2015: | |||||||||||||||||||
Merger related costs (4) | $ | 0.17 | $ | — | $ | — | $ | — | $ | 0.17 | |||||||||
Merger related intangible asset amortization (5) | (0.32 | ) | (0.27 | ) | (0.28 | ) | (0.28 | ) | (1.15 | ) | |||||||||
Impact on depreciation related to acquired RSC fleet and property and equipment (6) | 0.01 | — | — | — | 0.02 | ||||||||||||||
Impact of the fair value mark-up of acquired RSC fleet (7) | (0.04 | ) | (0.04 | ) | (0.04 | ) | (0.07 | ) | (0.19 | ) | |||||||||
Impact on interest expense related to fair value adjustment of acquired RSC indebtedness (8) | 0.01 | — | — | — | 0.02 | ||||||||||||||
Restructuring charge (9) | — | — | — | (0.03 | ) | (0.04 | ) | ||||||||||||
Loss on extinguishment of debt securities | (0.01 | ) | (0.76 | ) | — | — | (0.78 | ) |
(4) | This reflects transaction costs associated with the National Pump acquisition discussed above. The income during the year ended December 31, 2015 reflects a decline in the fair value of the contingent cash consideration component of the National Pump purchase price. |
(5) | This reflects the amortization of the intangible assets acquired in the RSC and National Pump acquisitions. |
(6) | This reflects the impact of extending the useful lives of equipment acquired in the RSC acquisition, net of the impact of additional depreciation associated with the fair value mark-up of such equipment. |
(7) | This reflects additional costs recorded in cost of rental equipment sales associated with the fair value mark-up of rental equipment acquired in the RSC acquisition and subsequently sold. |
(8) | This reflects a reduction of interest expense associated with the fair value mark-up of debt acquired in the RSC acquisition. |
(9) | As discussed in note 4 to our consolidated financial statements, this reflects severance costs and branch closure charges associated with our restructuring programs. |
Year Ended December 31, | |||||||||||
2016 | 2015 | 2014 | |||||||||
Numerator: | |||||||||||
Net income available to common stockholders | $ | 566 | $ | 585 | $ | 540 | |||||
Denominator: | |||||||||||
Denominator for basic earnings per share—weighted-average common shares | 87,217 | 95,170 | 97,489 | ||||||||
Effect of dilutive securities: | |||||||||||
Employee stock options and warrants | 277 | 300 | 394 | ||||||||
4 percent Convertible Senior Notes | — | 660 | 6,386 | ||||||||
Restricted stock units | 281 | 249 | 687 | ||||||||
Denominator for diluted earnings per share—adjusted weighted-average common shares | 87,775 | 96,379 | 104,956 | ||||||||
Basic earnings per share | $ | 6.49 | $ | 6.14 | $ | 5.54 | |||||
Diluted earnings per share | $ | 6.45 | $ | 6.07 | $ | 5.15 |
Non-Guarantor Subsidiaries | |||||||||||||||||||||||||||
Parent | URNA | Guarantor Subsidiaries | Foreign | SPV | Eliminations | Total | |||||||||||||||||||||
ASSETS | |||||||||||||||||||||||||||
Cash and cash equivalents | $ | — | $ | 21 | $ | — | $ | 291 | $ | — | $ | — | $ | 312 | |||||||||||||
Accounts receivable, net | — | 38 | — | 96 | 786 | — | 920 | ||||||||||||||||||||
Intercompany receivable (payable) | 336 | (137 | ) | (188 | ) | (115 | ) | — | 104 | — | |||||||||||||||||
Inventory | — | 61 | — | 7 | — | — | 68 | ||||||||||||||||||||
Prepaid expenses and other assets | 5 | 51 | — | 5 | — | — | 61 | ||||||||||||||||||||
Total current assets | 341 | 34 | (188 | ) | 284 | 786 | 104 | 1,361 | |||||||||||||||||||
Rental equipment, net | — | 5,709 | — | 480 | — | — | 6,189 | ||||||||||||||||||||
Property and equipment, net | 38 | 326 | 26 | 40 | — | — | 430 | ||||||||||||||||||||
Investments in subsidiaries | 1,292 | 1,013 | 978 | — | — | (3,283 | ) | — | |||||||||||||||||||
Goodwill | — | 3,013 | — | 247 | — | — | 3,260 | ||||||||||||||||||||
Other intangibles, net | — | 686 | — | 56 | — | — | 742 | ||||||||||||||||||||
Other long-term assets | — | 6 | — | — | — | — | 6 | ||||||||||||||||||||
Total assets | $ | 1,671 | $ | 10,787 | $ | 816 | $ | 1,107 | $ | 786 | $ | (3,179 | ) | $ | 11,988 | ||||||||||||
LIABILITIES AND STOCKHOLDERS’ EQUITY (DEFICIT) | |||||||||||||||||||||||||||
Short-term debt and current maturities of long-term debt | $ | 1 | $ | 25 | $ | — | $ | 3 | $ | 568 | $ | — | $ | 597 | |||||||||||||
Accounts payable | — | 217 | — | 26 | — | — | 243 | ||||||||||||||||||||
Accrued expenses and other liabilities | — | 305 | 13 | 25 | 1 | — | 344 | ||||||||||||||||||||
Total current liabilities | 1 | 547 | 13 | 54 | 569 | — | 1,184 | ||||||||||||||||||||
Long-term debt | 2 | 7,076 | 111 | 4 | — | — | 7,193 | ||||||||||||||||||||
Deferred taxes | 20 | 1,805 | — | 71 | — | — | 1,896 | ||||||||||||||||||||
Other long-term liabilities | — | 67 | — | — | — | — | 67 | ||||||||||||||||||||
Total liabilities | 23 | 9,495 | 124 | 129 | 569 | — | 10,340 | ||||||||||||||||||||
Total stockholders’ equity (deficit) | 1,648 | 1,292 | 692 | 978 | 217 | (3,179 | ) | 1,648 | |||||||||||||||||||
Total liabilities and stockholders’ equity (deficit) | $ | 1,671 | $ | 10,787 | $ | 816 | $ | 1,107 | $ | 786 | $ | (3,179 | ) | $ | 11,988 |
Non-Guarantor Subsidiaries | |||||||||||||||||||||||||||
Parent | URNA | Guarantor Subsidiaries | Foreign | SPV | Eliminations | Total | |||||||||||||||||||||
ASSETS | |||||||||||||||||||||||||||
Cash and cash equivalents | $ | — | $ | 18 | $ | — | $ | 161 | $ | — | $ | — | $ | 179 | |||||||||||||
Accounts receivable, net | — | 41 | — | 104 | 785 | — | 930 | ||||||||||||||||||||
Intercompany receivable (payable) | 144 | 40 | (176 | ) | (109 | ) | — | 101 | — | ||||||||||||||||||
Inventory | — | 62 | — | 7 | — | — | 69 | ||||||||||||||||||||
Prepaid expenses and other assets | — | 98 | — | 18 | — | — | 116 | ||||||||||||||||||||
Total current assets | 144 | 259 | (176 | ) | 181 | 785 | 101 | 1,294 | |||||||||||||||||||
Rental equipment, net | — | 5,657 | — | 529 | — | — | 6,186 | ||||||||||||||||||||
Property and equipment, net | 45 | 334 | 20 | 46 | — | — | 445 | ||||||||||||||||||||
Investments in subsidiaries | 1,307 | 958 | 924 | — | — | (3,189 | ) | — | |||||||||||||||||||
Goodwill | — | 3,000 | — | 243 | — | — | 3,243 | ||||||||||||||||||||
Other intangibles, net | — | 838 | — | 67 | — | — | 905 | ||||||||||||||||||||
Other long-term assets | 3 | 7 | — | — | — | — | 10 | ||||||||||||||||||||
Total assets | $ | 1,499 | $ | 11,053 | $ | 768 | $ | 1,066 | $ | 785 | $ | (3,088 | ) | $ | 12,083 | ||||||||||||
LIABILITIES AND STOCKHOLDERS’ EQUITY (DEFICIT) | |||||||||||||||||||||||||||
Short-term debt and current maturities of long-term debt | $ | 1 | $ | 34 | $ | — | $ | — | $ | 572 | $ | — | $ | 607 | |||||||||||||
Accounts payable | — | 237 | — | 34 | — | — | 271 | ||||||||||||||||||||
Accrued expenses and other liabilities | — | 314 | 14 | 27 | — | — | 355 | ||||||||||||||||||||
Total current liabilities | 1 | 585 | 14 | 61 | 572 | — | 1,233 | ||||||||||||||||||||
Long-term debt | 4 | 7,430 | 110 | 11 | — | — | 7,555 | ||||||||||||||||||||
Deferred taxes | 18 | 1,677 | — | 70 | — | — | 1,765 | ||||||||||||||||||||
Other long-term liabilities | — | 54 | — | — | — | — | 54 | ||||||||||||||||||||
Total liabilities | 23 | 9,746 | 124 | 142 | 572 | — | 10,607 | ||||||||||||||||||||
Total stockholders’ equity (deficit) | 1,476 | 1,307 | 644 | 924 | 213 | (3,088 | ) | 1,476 | |||||||||||||||||||
Total liabilities and stockholders’ equity (deficit) | $ | 1,499 | $ | 11,053 | $ | 768 | $ | 1,066 | $ | 785 | $ | (3,088 | ) | $ | 12,083 |
Non-Guarantor Subsidiaries | |||||||||||||||||||||||||||
Parent | URNA | Guarantor Subsidiaries | Foreign | SPV | Eliminations | Total | |||||||||||||||||||||
Revenues: | |||||||||||||||||||||||||||
Equipment rentals | $ | — | $ | 4,524 | $ | — | $ | 417 | $ | — | $ | — | $ | 4,941 | |||||||||||||
Sales of rental equipment | — | 444 | — | 52 | — | — | 496 | ||||||||||||||||||||
Sales of new equipment | — | 129 | — | 15 | — | — | 144 | ||||||||||||||||||||
Contractor supplies sales | — | 68 | — | 11 | — | — | 79 | ||||||||||||||||||||
Service and other revenues | — | 87 | — | 15 | — | — | 102 | ||||||||||||||||||||
Total revenues | — | 5,252 | — | 510 | — | — | 5,762 | ||||||||||||||||||||
Cost of revenues: | |||||||||||||||||||||||||||
Cost of equipment rentals, excluding depreciation | — | 1,669 | — | 193 | — | — | 1,862 | ||||||||||||||||||||
Depreciation of rental equipment | — | 900 | — | 90 | — | — | 990 | ||||||||||||||||||||
Cost of rental equipment sales | — | 265 | — | 27 | — | — | 292 | ||||||||||||||||||||
Cost of new equipment sales | — | 107 | — | 12 | — | — | 119 | ||||||||||||||||||||
Cost of contractor supplies sales | — | 47 | — | 8 | — | — | 55 | ||||||||||||||||||||
Cost of service and other revenues | — | 35 | — | 6 | — | — | 41 | ||||||||||||||||||||
Total cost of revenues | — | 3,023 | — | 336 | — | — | 3,359 | ||||||||||||||||||||
Gross profit | — | 2,229 | — | 174 | — | — | 2,403 | ||||||||||||||||||||
Selling, general and administrative expenses | 43 | 579 | — | 72 | 25 | — | 719 | ||||||||||||||||||||
Restructuring charge | — | 7 | — | 7 | — | — | 14 | ||||||||||||||||||||
Non-rental depreciation and amortization | 15 | 216 | — | 24 | — | — | 255 | ||||||||||||||||||||
Operating (loss) income | (58 | ) | 1,427 | — | 71 | (25 | ) | — | 1,415 | ||||||||||||||||||
Interest (income) expense, net | (6 | ) | 509 | 3 | 2 | 8 | (5 | ) | 511 | ||||||||||||||||||
Other (income) expense, net | (471 | ) | 521 | — | 40 | (95 | ) | — | (5 | ) | |||||||||||||||||
Income (loss) before provision for income taxes | 419 | 397 | (3 | ) | 29 | 62 | 5 | 909 | |||||||||||||||||||
Provision for income taxes | 154 | 157 | — | 8 | 24 | — | 343 | ||||||||||||||||||||
Income (loss) before equity in net earnings (loss) of subsidiaries | 265 | 240 | (3 | ) | 21 | 38 | 5 | 566 | |||||||||||||||||||
Equity in net earnings (loss) of subsidiaries | 301 | 61 | 21 | — | — | (383 | ) | — | |||||||||||||||||||
Net income (loss) | 566 | 301 | 18 | 21 | 38 | (378 | ) | 566 | |||||||||||||||||||
Other comprehensive income (loss) | 32 | 32 | 28 | 22 | — | (82 | ) | 32 | |||||||||||||||||||
Comprehensive income (loss) | $ | 598 | $ | 333 | $ | 46 | $ | 43 | $ | 38 | $ | (460 | ) | $ | 598 |
Non-Guarantor Subsidiaries | |||||||||||||||||||||||||||
Parent | URNA | Guarantor Subsidiaries | Foreign | SPV | Eliminations | Total | |||||||||||||||||||||
Revenues: | |||||||||||||||||||||||||||
Equipment rentals | $ | — | $ | 4,452 | $ | — | $ | 497 | $ | — | $ | — | $ | 4,949 | |||||||||||||
Sales of rental equipment | — | 480 | — | 58 | — | — | 538 | ||||||||||||||||||||
Sales of new equipment | — | 137 | — | 20 | — | — | 157 | ||||||||||||||||||||
Contractor supplies sales | — | 69 | — | 10 | — | — | 79 | ||||||||||||||||||||
Service and other revenues | — | 80 | — | 14 | — | — | 94 | ||||||||||||||||||||
Total revenues | — | 5,218 | — | 599 | — | — | 5,817 | ||||||||||||||||||||
Cost of revenues: | |||||||||||||||||||||||||||
Cost of equipment rentals, excluding depreciation | — | 1,603 | — | 223 | — | — | 1,826 | ||||||||||||||||||||
Depreciation of rental equipment | — | 881 | — | 95 | — | — | 976 | ||||||||||||||||||||
Cost of rental equipment sales | — | 279 | — | 32 | — | — | 311 | ||||||||||||||||||||
Cost of new equipment sales | — | 115 | — | 16 | — | — | 131 | ||||||||||||||||||||
Cost of contractor supplies sales | — | 48 | — | 7 | — | — | 55 | ||||||||||||||||||||
Cost of service and other revenues | — | 33 | — | 5 | — | — | 38 | ||||||||||||||||||||
Total cost of revenues | — | 2,959 | — | 378 | — | — | 3,337 | ||||||||||||||||||||
Gross profit | — | 2,259 | — | 221 | — | — | 2,480 | ||||||||||||||||||||
Selling, general and administrative expenses | 5 | 596 | 1 | 79 | 33 | — | 714 | ||||||||||||||||||||
Merger related costs | — | (26 | ) | — | — | — | — | (26 | ) | ||||||||||||||||||
Restructuring charge | — | 5 | — | 1 | — | — | 6 | ||||||||||||||||||||
Non-rental depreciation and amortization | 15 | 228 | 1 | 24 | — | — | 268 | ||||||||||||||||||||
Operating (loss) income | (20 | ) | 1,456 | (2 | ) | 117 | (33 | ) | — | 1,518 | |||||||||||||||||
Interest (income) expense, net | (3 | ) | 559 | 8 | 3 | 5 | (5 | ) | 567 | ||||||||||||||||||
Other (income) expense, net | (471 | ) | 513 | — | 44 | (98 | ) | — | (12 | ) | |||||||||||||||||
Income (loss) before provision (benefit) for income taxes | 454 | 384 | (10 | ) | 70 | 60 | 5 | 963 | |||||||||||||||||||
Provision (benefit) for income taxes | 201 | 141 | (5 | ) | 18 | 23 | — | 378 | |||||||||||||||||||
Income (loss) before equity in net earnings (loss) of subsidiaries | 253 | 243 | (5 | ) | 52 | 37 | 5 | 585 | |||||||||||||||||||
Equity in net earnings (loss) of subsidiaries | 332 | 89 | 52 | — | — | (473 | ) | — | |||||||||||||||||||
Net income (loss) | 585 | 332 | 47 | 52 | 37 | (468 | ) | 585 | |||||||||||||||||||
Other comprehensive (loss) income | (176 | ) | (176 | ) | (175 | ) | (139 | ) | — | 490 | (176 | ) | |||||||||||||||
Comprehensive income (loss) | $ | 409 | $ | 156 | $ | (128 | ) | $ | (87 | ) | $ | 37 | $ | 22 | $ | 409 |
Non-Guarantor Subsidiaries | |||||||||||||||||||||||||||
Parent | URNA | Guarantor Subsidiaries | Foreign | SPV | Eliminations | Total | |||||||||||||||||||||
Revenues: | |||||||||||||||||||||||||||
Equipment rentals | $ | — | $ | 4,217 | $ | — | $ | 602 | $ | — | $ | — | $ | 4,819 | |||||||||||||
Sales of rental equipment | — | 478 | — | 66 | — | — | 544 | ||||||||||||||||||||
Sales of new equipment | — | 124 | — | 25 | — | — | 149 | ||||||||||||||||||||
Contractor supplies sales | — | 70 | — | 15 | — | — | 85 | ||||||||||||||||||||
Service and other revenues | — | 73 | — | 15 | — | — | 88 | ||||||||||||||||||||
Total revenues | — | 4,962 | — | 723 | — | — | 5,685 | ||||||||||||||||||||
Cost of revenues: | |||||||||||||||||||||||||||
Cost of equipment rentals, excluding depreciation | — | 1,558 | — | 248 | — | — | 1,806 | ||||||||||||||||||||
Depreciation of rental equipment | — | 820 | — | 101 | — | — | 921 | ||||||||||||||||||||
Cost of rental equipment sales | — | 277 | — | 38 | — | — | 315 | ||||||||||||||||||||
Cost of new equipment sales | — | 101 | — | 19 | — | — | 120 | ||||||||||||||||||||
Cost of contractor supplies sales | — | 49 | — | 10 | — | — | 59 | ||||||||||||||||||||
Cost of service and other revenues | — | 27 | — | 5 | — | — | 32 | ||||||||||||||||||||
Total cost of revenues | — | 2,832 | — | 421 | — | — | 3,253 | ||||||||||||||||||||
Gross profit | — | 2,130 | — | 302 | — | — | 2,432 | ||||||||||||||||||||
Selling, general and administrative expenses | 55 | 607 | 3 | 84 | 9 | — | 758 | ||||||||||||||||||||
Merger related costs | — | 11 | — | — | — | — | 11 | ||||||||||||||||||||
Restructuring charge | — | (1 | ) | — | — | — | — | (1 | ) | ||||||||||||||||||
Non-rental depreciation and amortization | 17 | 226 | 1 | 29 | — | — | 273 | ||||||||||||||||||||
Operating (loss) income | (72 | ) | 1,287 | (4 | ) | 189 | (9 | ) | — | 1,391 | |||||||||||||||||
Interest expense (income), net | 9 | 538 | 5 | 4 | 5 | (6 | ) | 555 | |||||||||||||||||||
Other (income) expense, net (1) | (149 | ) | 212 | (3 | ) | 17 | (91 | ) | — | (14 | ) | ||||||||||||||||
Income (loss) before provision for income taxes | 68 | 537 | (6 | ) | 168 | 77 | 6 | 850 | |||||||||||||||||||
Provision for income taxes | 1 | 236 | — | 43 | 30 | — | 310 | ||||||||||||||||||||
Income (loss) before equity in net earnings (loss) of subsidiaries | 67 | 301 | (6 | ) | 125 | 47 | 6 | 540 | |||||||||||||||||||
Equity in net earnings (loss) of subsidiaries | 473 | 172 | 125 | — | — | (770 | ) | — | |||||||||||||||||||
Net income (loss) | 540 | 473 | 119 | 125 | 47 | (764 | ) | 540 | |||||||||||||||||||
Other comprehensive (loss) income | (93 | ) | (93 | ) | (90 | ) | (72 | ) | — | 255 | (93 | ) | |||||||||||||||
Comprehensive income (loss) | $ | 447 | $ | 380 | $ | 29 | $ | 53 | $ | 47 | $ | (509 | ) | $ | 447 |
(1) | In 2015, the amount of royalties Holdings receives from URNA and its subsidiaries was adjusted as discussed above (see Item 7- Management’s Discussion and Analysis of Financial Condition and Results of Operations- Liquidity and Capital Resources- Relationship between Holdings and URNA). Other (income) expense, net for 2014 reflects the lower royalty rate that was used in 2014. |
Non-Guarantor Subsidiaries | |||||||||||||||||||||||||||
Parent | URNA | Guarantor Subsidiaries | Foreign | SPV | Eliminations | Total | |||||||||||||||||||||
Net cash provided by (used in) operating activities | $ | 9 | $ | 1,774 | $ | (3 | ) | $ | 136 | $ | 37 | $ | — | $ | 1,953 | ||||||||||||
Net cash used in investing activities | (9 | ) | (844 | ) | — | (6 | ) | — | — | (859 | ) | ||||||||||||||||
Net cash (used in) provided by financing activities | — | (927 | ) | 3 | (3 | ) | (37 | ) | — | (964 | ) | ||||||||||||||||
Effect of foreign exchange rates | — | — | — | 3 | — | — | 3 | ||||||||||||||||||||
Net increase in cash and cash equivalents | — | 3 | — | 130 | — | — | 133 | ||||||||||||||||||||
Cash and cash equivalents at beginning of period | — | 18 | — | 161 | — | — | 179 | ||||||||||||||||||||
Cash and cash equivalents at end of period | $ | — | $ | 21 | $ | — | $ | 291 | $ | — | $ | — | $ | 312 |
Non-Guarantor Subsidiaries | |||||||||||||||||||||||||||
Parent | URNA | Guarantor Subsidiaries | Foreign | SPV | Eliminations | Total | |||||||||||||||||||||
Net cash provided by (used in) operating activities | $ | 13 | $ | 1,804 | $ | (3 | ) | $ | 170 | $ | 11 | $ | — | $ | 1,995 | ||||||||||||
Net cash used in investing activities | (13 | ) | (1,035 | ) | — | (122 | ) | — | — | (1,170 | ) | ||||||||||||||||
Net cash (used in) provided by financing activities | — | (759 | ) | 3 | (8 | ) | (11 | ) | — | (775 | ) | ||||||||||||||||
Effect of foreign exchange rates | — | — | — | (29 | ) | — | — | (29 | ) | ||||||||||||||||||
Net increase in cash and cash equivalents | — | 10 | — | 11 | — | — | 21 | ||||||||||||||||||||
Cash and cash equivalents at beginning of period | — | 8 | — | 150 | — | — | 158 | ||||||||||||||||||||
Cash and cash equivalents at end of period | $ | — | $ | 18 | $ | — | $ | 161 | $ | — | $ | — | $ | 179 |
Non-Guarantor Subsidiaries | |||||||||||||||||||||||||||
Parent | URNA | Guarantor Subsidiaries | Foreign | SPV | Eliminations | Total | |||||||||||||||||||||
Net cash provided by (used in) operating activities | $ | 13 | $ | 1,644 | $ | 4 | $ | 223 | $ | (83 | ) | $ | — | $ | 1,801 | ||||||||||||
Net cash used in investing activities | (13 | ) | (1,773 | ) | — | (214 | ) | — | — | (2,000 | ) | ||||||||||||||||
Net cash provided by (used in) financing activities | — | 120 | (4 | ) | (3 | ) | 83 | — | 196 | ||||||||||||||||||
Effect of foreign exchange rate | — | — | — | (14 | ) | — | — | (14 | ) | ||||||||||||||||||
Net decrease in cash and cash equivalents | — | (9 | ) | — | (8 | ) | — | — | (17 | ) | |||||||||||||||||
Cash and cash equivalents at beginning of period | — | 17 | — | 158 | — | — | 175 | ||||||||||||||||||||
Cash and cash equivalents at end of period | $ | — | $ | 8 | $ | — | $ | 150 | $ | — | $ | — | $ | 158 |
Description | Balance at Beginning of Period | Charged to Costs and Expenses | Deductions | Balance at End of Period | ||||||||||||
Year ended December 31, 2016: | ||||||||||||||||
Allowance for doubtful accounts | $ | 55 | $ | 24 | $ | 25 | (a) | $ | 54 | |||||||
Reserve for obsolescence and shrinkage | 4 | 17 | 18 | (b) | 3 | |||||||||||
Self-insurance reserve | 90 | 108 | 104 | (c) | 94 | |||||||||||
Year ended December 31, 2015: | ||||||||||||||||
Allowance for doubtful accounts | $ | 43 | $ | 32 | $ | 20 | (a) | $ | 55 | |||||||
Reserve for obsolescence and shrinkage | 3 | 18 | 17 | (b) | 4 | |||||||||||
Self-insurance reserve | 92 | 110 | 112 | (c) | 90 | |||||||||||
Year ended December 31, 2014: | ||||||||||||||||
Allowance for doubtful accounts | $ | 49 | $ | 13 | $ | 19 | (a) | $ | 43 | |||||||
Reserve for obsolescence and shrinkage | 3 | 18 | 18 | (b) | 3 | |||||||||||
Self-insurance reserve | 94 | 105 | 107 | (c) | 92 |
(a) | Represents write-offs of accounts, net of recoveries. |
(b) | Represents write-offs. |
(c) | Represents payments. |
Item 9. | Changes in and Disagreements with Accountants on Accounting and Financial Disclosure |
Item 9A. | Controls and Procedures |
Item 9B. | Other Information |
Item 10. | Directors, Executive Officers and Corporate Governance |
Item 11. | Executive Compensation |
Item 12. | Security Ownership of Certain Beneficial Owners and Management and Related Stockholder Matters |
Item 13. | Certain Relationships and Related Transactions, and Director Independence |
Item 14. | Principal Accountant Fees and Services |
Item 15. | Exhibits and Financial Statement Schedules |
Exhibit Number | Description of Exhibit | ||
2 | (a) | Agreement and Plan of Merger, dated as of December 15, 2011, by and between United Rentals, Inc. and RSC Holdings Inc. (incorporated by reference to Exhibit 2.1 of the United Rentals, Inc. Report on Form 8-K filed on December 21, 2011) | |
2 | (b) | Agreement and Plan of Merger, dated as of April 30, 2012, by and between United Rentals (North America), Inc. and UR Merger Sub Corporation (incorporated by reference to Exhibit 1.1 of the United Rentals, Inc. Report on Form 8-K filed on May 3, 2012) | |
2 | (c) | Asset Purchase Agreement, dated as of March 7, 2014, by and among United Rentals (North America), Inc. and United Rentals of Canada, Inc., on the one hand, and LD Services, LLC, National Pump & Compressor, Ltd., Canadian Pump & Compressor Ltd., GulfCo Industrial Equipment, L.P. (collectively, the “Sellers”) and the general partner and limited partners, members, shareholders or other equity holders of each Seller, as the case may be, on the other hand (incorporated by reference to Exhibit 2.1 of the United Rentals, Inc. Report on Form 8-K filed on March 10, 2014) | |
3 | (a) | Restated Certificate of Incorporation of United Rentals, Inc., dated March 16, 2009 (incorporated by reference to Exhibit 3.1 of the United Rentals, Inc. Report on Form 8-K filed on March 17, 2009) | |
3 | (b) | By-laws of United Rentals, Inc., amended as of September 8, 2016 (incorporated by reference to Exhibit 3.1 of the United Rentals, Inc. Report on Form 8-K filed on September 14, 2016) | |
3 | (c) | Restated Certificate of Incorporation of United Rentals (North America), Inc., dated April 30, 2012 (incorporated by reference to Exhibit 3(c) of the United Rentals, Inc. Report on Form 10-Q for the quarter ended June 30, 2013) | |
3 | (d) | By-laws of United Rentals (North America), Inc., dated May 8, 2013 (incorporated by reference to Exhibit 3(d) of the United Rentals, Inc. Report on Form 10-Q for the quarter ended June 30, 2013) | |
4 | (a) | Form of Certificate representing United Rentals, Inc. Common Stock (incorporated by reference to Exhibit 4 of Amendment No. 2 to the United Rentals, Inc. Registration Statement on Form S-l, Registration No. 333-39117, filed on December 3, 1997) | |
Exhibit Number | Description of Exhibit | ||
4 | (b) | Indenture, dated as of March 9, 2012, relating to 7 5/8 percent Senior Notes due 2022, between UR Financing Escrow Corporation and Wells Fargo Bank, National Association, as Trustee (including the Form of Note) (incorporated by reference to Exhibit 4.1 of the United Rentals, Inc. Report on Form 8-K filed on March 12, 2012) | |
4 | (c) | First Supplemental Indenture, dated as of April 30, 2012, relating to 7 5/8 percent Senior Notes due 2022, among UR Financing Escrow Corporation, UR Merger Sub Corporation, United Rentals, Inc., the subsidiaries named therein and Wells Fargo Bank, National Association, as Trustee (incorporated by reference to Exhibit 4.1 of the United Rentals, Inc. Report on Form 8-K filed on May 3, 2012) | |
4 | (d) | Indenture, dated as of October 30, 2012, relating to 6 1/8 percent Senior Notes due 2023, among United Rentals (North America), Inc., United Rentals, Inc., the subsidiaries named therein and Wells Fargo Bank, National Association, as Trustee (including the Form of Note) (incorporated by reference to Exhibit 4.1 of the United Rentals, Inc. Report on Form 8-K filed on October 30, 2012) | |
4 | (e) | Indenture for the 5 3/4 percent Notes due 2024, dated as of March 26, 2014, among United Rentals (North America), Inc., United Rentals, Inc., United Rentals (North America), Inc.’s subsidiaries named therein and Wells Fargo Bank, National Association, as Trustee (including the Form of 2024 Note) (incorporated by reference to Exhibit 4.1 of the United Rentals, Inc. and United Rentals (North America), Inc. Report on Form 8-K filed on March 26, 2014) | |
4 | (f) | Indenture for the 4 5/8 percent Notes due 2023, dated as of March 26, 2015, among United Rentals (North America), Inc. (the “Company”), United Rentals, Inc., the Company’s subsidiaries named therein and Wells Fargo Bank, National Association, as Trustee and Notes Collateral Agent (including the Form of 2023 Note) (incorporated by reference to Exhibit 4.1 of the United Rentals, Inc. Report on Form 8-K filed on March 26, 2015) | |
4 | (g) | Indenture for the 5 1/2 percent Notes due 2025, dated as of March 26, 2015, among United Rentals (North America), Inc. (the “Company”), United Rentals, Inc., the Company’s subsidiaries named therein and Wells Fargo Bank, National Association, as Trustee (including the Form of 2025 Note) (incorporated by reference to Exhibit 4.2 of the United Rentals, Inc. Report on Form 8-K filed on March 26, 2015) | |
4 | (h) | Indenture for the 5 7/8 percent Notes due 2026, dated as of May 13, 2016, among United Rentals (North America), Inc. (the “Company”), United Rentals, Inc., the Company’s subsidiaries named therein and Wells Fargo Bank, National Association, as Trustee (including the Form of 2026 Note) (incorporated by reference to Exhibit 4.1 of the United Rentals, Inc. Report on Form 8-K filed on May 13, 2016) | |
4 | (i) | Indenture for the 5 1/2 percent Notes due 2027, dated as of November 7, 2016, among United Rentals (North America), Inc. (the “Company”), United Rentals, Inc., the Company’s subsidiaries named therein and Wells Fargo Bank, National Association, as Trustee (including the Form of 2027 Note) (incorporated by reference to Exhibit 4.1 of the United Rentals, Inc. Report on Form 8-K filed on November 7, 2016) | |
10 | (a) | 2001 Comprehensive Stock Plan of United Rentals, Inc. (formerly the 2001 Senior Stock Plan) (incorporated by reference to Exhibit 10(f) of the United Rentals, Inc. Report on Form 10-Q for the quarter ended June 30, 2006, Commission File No. 001-14387)‡ | |
10 | (b) | United Rentals, Inc. Deferred Compensation Plan, as amended and restated, effective December 16, 2008 (incorporated by reference to Exhibit 10.1 of the United Rentals, Inc. Report on Form 8-K, Commission File No. 001-14387, filed on December 19, 2008)‡ | |
10 | (c) | United Rentals, Inc. Deferred Compensation Plan for Directors, as amended and restated, effective January 1, 2013 (incorporated by reference to Exhibit 10(f) of the United Rentals, Inc. Report on Form 10-K for year ended December 31, 2012)‡ | |
10 | (d) | United Rentals, Inc. Deferred Compensation Plan for Directors, as amended and restated, effective December 16, 2008 (incorporated by reference to Exhibit 10.2 of the United Rentals, Inc. Report on Form 8-K, Commission File No. 001-14387, filed on December 19, 2008)‡ | |
10 | (e) | Amendment Number One to the United Rentals, Inc. Deferred Compensation Plan for Directors, as amended and restated, effective December 16, 2008 (incorporated by reference to Exhibit 10(h) of the United Rentals, Inc. Annual Report on Form 10-K for the year ended December 31, 2010)‡ | |
10 | (f) | United Rentals, Inc. 2014 Annual Incentive Compensation Plan, (incorporated by reference to Appendix B of the United Rentals, Inc. Proxy Statement on Schedule 14A filed on March 26, 2014)‡ | |
Exhibit Number | Description of Exhibit | ||
10 | (g) | United Rentals, Inc. Long-Term Incentive Plan, as amended and restated, effective December 16, 2008 (incorporated by reference to Exhibit 10.5 of the United Rentals, Inc. Report on Form 8-K, Commission File No. 001-14387, filed on December 19, 2008)‡ | |
10 | (h) | United Rentals, Inc. Second Amended and Restated 2010 Long Term Incentive Plan (incorporated by reference to Appendix C of the United Rentals, Inc. Proxy Statement on Schedule 14A filed on March 26, 2014)‡ | |
10 | (i) | Form of United Rentals, Inc. Restricted Stock Unit Agreement for Senior Management; effective for grants of awards beginning in 2015 (incorporated by reference to Exhibit 10(h) on Form 10-Q for the quarter ended March 31, 2015)‡ | |
10 | (j) | Form of United Rentals, Inc. 2015 Performance-Based Restricted Stock Unit Agreement for Senior Management (incorporated by reference to Exhibit 10(i) on Form 10-Q for the quarter ended March 31, 2015)‡ | |
10 | (k) | Form of United Rentals, Inc. 2010 Long-Term Incentive Plan Director Restricted Stock Unit Agreement (incorporated by reference to Exhibit 10(b) of the United Rentals, Inc. Report on Form 10-Q for the quarter ended June 30, 2010)‡ | |
10 | (l) | Form of United Rentals, Inc. 2010 Long Term Incentive Plan Restricted Stock Unit Agreement (Performance-Based) (incorporated by reference to Exhibit 10(a) of the United Rentals, Inc. Report on Form 10-Q for the quarter ended March 31, 2011)‡ | |
10 | (m) | United Rentals, Inc. Restricted Stock Unit Deferral Plan, as amended and restated, effective December 16, 2008 (incorporated by reference to Exhibit 10.3 of the United Rentals, Inc. Report on Form 8-K, Commission File No. 001-14387, filed on December 19, 2008)‡ | |
10 | (n) | Amendment Number One to the United Rentals, Inc. Restricted Stock Unit Deferral Plan, as amended and restated, effective December 16, 2008 (incorporated by reference to Exhibit 10(p) of the United Rentals, Inc. Annual Report on Form 10-K for the year ended December 31, 2010)‡ | |
10 | (o) | Form of United Rentals, Inc. Restricted Stock Unit Agreement for Senior Management (incorporated by reference to Exhibit 10(b) of the United Rentals, Inc. Report on Form 10-Q for the quarter ended June 30, 2006, Commission File No. 001-14387)‡ | |
10 | (p) | Form of United Rentals, Inc., Restricted Stock Unit Agreement for Senior Management, effective for grants of awards beginning in 2010 (incorporated by reference to Exhibit 10(e) of the United Rentals, Inc. Report on Form 10-Q for the quarter ended March 31, 2010)‡ | |
10 | (q) | Form of United Rentals, Inc. Restricted Stock Unit Agreement for Non-Employee Directors (incorporated by reference to Exhibit 10(c) of the United Rentals, Inc. Report on Form 10-Q for the quarter ended June 30, 2006, Commission File No. 001-14387)‡ | |
10 | (r) | Form of United Rentals, Inc. Stock Option Agreement for Senior Management (incorporated by reference to Exhibit 10.4 of the United Rentals, Inc. Report on Form 10-Q for the quarter ended June 30, 2009)‡ | |
10 | (s) | Form of United Rentals, Inc. Stock Option Agreement for Senior Management, effective for grants of awards beginning in 2010 (incorporated by reference to Exhibit 10(d) of the United Rentals, Inc. Report on Form 10-Q for the quarter ended March 31, 2010)‡ | |
10 | (t) | Form of Directors Option Agreement of United Rentals, Inc. (incorporated by reference to Exhibit 99.1 of the United Rentals, Inc. Report on Form 8-K, Commission File No. 001-14387, filed on March 8, 2005)‡ | |
10 | (u) | Form of United Rentals, Inc. 2012 Performance Award Agreement for Senior Management (incorporated by reference to Exhibit 10(j) of the United Rentals, Inc. Report on Form 10-Q for the quarter ended June 30, 2012)‡ | |
10 | (v) | Board of Directors compensatory plans, as described under the caption "Director Compensation" in the United Rentals, Inc. definitive proxy statement to be filed with the Securities and Exchange Commission (in connection with the Annual Meeting of Stockholders) on or before March 21, 2016, are hereby incorporated by reference‡ | |
10 | (w) | RSC Holdings Amended and Restated Stock Incentive Plan (incorporated by reference to Exhibit 4.1 of the United Rentals, Inc. Registration Statement on Form S-8, No. 333-181084 filed on May 1, 2012)‡ | |
Exhibit Number | Description of Exhibit | ||
10 | (x) | Employment Agreement, dated as of August 22, 2008, between United Rentals, Inc. and Michael J. Kneeland (incorporated by reference to Exhibit 10.1 of the United Rentals, Inc. Report on Form 8-K, Commission File No. 001-14387, filed on August 25, 2008)‡ | |
10 | (y) | First (renumbered Second) Amendment, dated January 15, 2009, to the Employment Agreement between United Rentals, Inc. and Michael J. Kneeland (incorporated by reference to Exhibit 10.1 of the United Rentals, Inc. Report on Form 8-K, Commission File No. 001-14387, filed on January 15, 2009)‡ | |
10 | (z) | Third Amendment, dated March 13, 2009, to the Employment Agreement between United Rentals, Inc. and Michael J. Kneeland (incorporated by reference to Exhibit 10.1 of the United Rentals, Inc. Report on Form 8-K filed on March 17, 2009)‡ | |
10 | (aa) | Fourth Amendment, effective as of August 22, 2008, to the Employment Agreement between United Rentals, Inc. and Michael J. Kneeland (incorporated by reference to Exhibit 10(dd) of the United Rentals, Inc. Annual Report on Form 10-K for the year ended December 31, 2010) ‡ | |
10 | (bb) | Fifth Amendment, effective October 22, 2012, to the Employment Agreement between United Rentals, Inc. and Michael J. Kneeland (incorporated by reference to Exhibit 10(gg) of the United Rentals, Inc. Report on Form 10-K for year ended December 31, 2012)‡ | |
10 | (cc) | Form of 2001 Comprehensive Stock Plan Restricted Stock Unit Agreement with Michael J. Kneeland (incorporated by reference to Exhibit 10.2 of the United Rentals, Inc. Report on Form 8-K, Commission File No. 001-14387, filed on August 25, 2008)‡ | |
10 | (dd) | Employment Agreement, dated as of December 1, 2008, between United Rentals, Inc. and William B. Plummer (including Restricted Stock Unit Agreement) (incorporated by reference to Exhibit 10.1 of the United Rentals, Inc. Report on Form 8-K, Commission File No. 001-14387, filed on November 25, 2008)‡ | |
10 | (ee) | Second Amendment, effective as of December 1, 2008, to the Employment Agreement between United Rentals, Inc. and William B. Plummer (incorporated by reference to Exhibit 10(gg) of the United Rentals, Inc. Annual Report on Form 10-K for the year ended December 31, 2010)‡ | |
10 | (ff) | Third Amendment, dated as of December 22, 2011, to the Employment Agreement between United Rentals, Inc. and William B. Plummer (incorporated by reference to Exhibit 10(hh) of the United Rentals, Inc. Annual Report on Form 10-K for the year ended December 31, 2011)‡ | |
10 | (gg) | Fourth Amendment, dated as of March 28, 2012, to the Employment Agreement between United Rentals, Inc. and William B. Plummer (incorporated by reference to Exhibit 10(g) of the United Rentals, Inc. Report on Form 10-Q for the quarter ended March 31, 2012) ‡ | |
10 | (hh) | Employment Agreement, dated August 30, 2006, between United Rentals, Inc. and John Fahey (incorporated by reference to Exhibit 10.2 of the United Rentals, Inc. Report on Form 8-K, Commission File No. 001-14387, filed on September 1, 2006)‡ | |
10 | (ii) | First Amendment, effective as of August 30, 2006, to the Employment Agreement between United Rentals, Inc. and John Fahey (incorporated by reference to Exhibit 10(ii) of the United Rentals, Inc. Annual Report on Form 10-K for the year ended December 31, 2010)‡ | |
10 | (jj) | Employment Agreement, dated as of February 2, 2009, between United Rentals, Inc. and Jonathan Gottsegen (incorporated by reference to Exhibit 10(gg) of the United Rentals, Inc. Report on Form 10-K for the year ended December 31, 2008)‡ | |
10 | (kk) | First Amendment, dated as of March 31, 2010, to the Employment Agreement between United Rentals, Inc. and Jonathan Gottsegen (incorporated by reference to Exhibit 10(c) of the United Rentals, Inc. Report on Form 10-Q for the quarter ended March 31, 2010)‡ | |
10 | (ll) | Second Amendment, effective as of February 2, 2009, to the Employment Agreement between United Rentals, Inc. and Jonathan Gottsegen (incorporated by reference to Exhibit 10(nn) of the United Rentals, Inc. Annual Report on Form 10-K for the year ended December 31, 2010) ‡ | |
10 | (mm) | Third Amendment, dated as of March 28, 2012, to the Employment Agreement between United Rentals, Inc. and Jonathan M. Gottsegen (incorporated by reference to Exhibit 10(h) of the United Rentals, Inc. Report on Form 10-Q for the quarter ended March 31, 2012) ‡ | |
10 | (nn) | Employment Agreement, dated as of March 12, 2010, between United Rentals, Inc. and Matthew Flannery (incorporated by reference to Exhibit 10(b) of the United Rentals, Inc. Report on Form 10-Q for the quarter ended March 31, 2010)‡ |
Exhibit Number | Description of Exhibit | ||
10 | (oo) | First Amendment, effective as of March 12, 2010, to the Employment Agreement between United Rentals, Inc. and Matthew Flannery (incorporated by reference to Exhibit 10(rr) of the United Rentals, Inc. Annual Report on Form 10-K for the year ended December 31, 2010)‡ | |
10 | (pp) | First Amendment, dated April 28, 2008, to the Employment Agreement between United Rentals, Inc. and Dale Asplund (incorporated by reference to Exhibit 10(b) of the United Rentals, Inc. Report on Form 10-Q for the quarter ended March 31, 2011) ‡ | |
10 | (qq) | Second Amendment, effective as of April 3, 2013, to the Employment Agreement between United Rentals, Inc. and Dale Asplund (incorporated by reference to Exhibit 10(b) of the United Rentals, Inc. Report on Form 10-Q for the quarter ended March 31, 2013) ‡ | |
10 | (rr) | Employment Agreement, effective as of December 1, 2014 between United Rentals, Inc. and Jessica Graziano‡ | |
10 | (ss) | Employment Agreement, effective as of January 20, 2016 between United Rentals, Inc. and Jeffrey Fenton‡ | |
10 | (tt) | Employment Agreement, effective as of January 20, 2016 between United Rentals, Inc. and Craig Pintoff‡ | |
10 | (uu) | Form of Indemnification Agreement for Executive Officers and Directors (incorporated by reference to Exhibit 10(a) of the United Rentals, Inc. Report on Form 10-Q for the quarter ended September 30, 2014)‡ | |
10 | (vv) | Second Amended and Restated Credit Agreement, dated as of March 31, 2015, among United Rentals, Inc., United Rentals (North America), Inc., certain subsidiaries of United Rentals, Inc. and United Rentals (North America), Inc. referred to therein, United Rentals of Canada, Inc., United Rentals Financing Limited Partnership, Bank of America, N.A., and the other financial institutions referred to therein (incorporated by reference to Exhibit 10.1 of the United Rentals, Inc. Report on Form 8-K filed on April 1, 2015) | |
10 | (ww) | Amendment No.1 to Second Amended and Restated Credit Agreement, dated as of June 8, 2016, among United Rentals, Inc., United Rentals (North America) Inc., certain subsidiaries of United Rentals (North America), Inc. referred to therein, United Rentals of Canada, Inc., United Rentals Financing Limited Partnership, Bank of America, N.A., and the other financial institutions referred to therein (incorporated by reference to Exhibit 10.1 of the United Rentals, Inc. Report on Form 8-K filed on June 8, 2016) | |
10 | (xx) | Second Amended and Restated U.S. Security Agreement, dated as of March 31, 2015, among United Rentals, Inc., United Rentals (North America), Inc., certain subsidiaries of United Rentals, Inc. and United Rentals (North America), Inc. referred to therein and Bank of America, N.A., as agent (incorporated by reference to Exhibit 10.2 of the United Rentals, Inc. Report on Form 8-K filed on April 1, 2015) | |
10 | (yy) | Amended and Restated U.S. Intellectual Property Security Agreement, dated as of October 14, 2011, by and among United Rentals, Inc., United Rentals (North America), Inc., certain subsidiaries of United Rentals, Inc. and United Rentals (North America), Inc. and Bank of America, N.A., as agent (incorporated by reference to Exhibit 10.3 of the United Rentals, Inc. Report on Form 8-K filed on October 17, 2011) | |
10 | (zz) | Supplement to the Intellectual Property Security Agreement, dated as of April 30, 2012, among InfoManager, Inc., United Rentals Realty, LLC and Wynne Systems, Inc. (incorporated by reference to Exhibit 10.9 of the United Rentals, Inc. Report on Form 8-K filed on May 3, 2012) | |
10 | (aaa) | Second Amended and Restated U.S. Guarantee Agreement, dated as of March 31, 2015, among United Rentals, Inc., United Rentals (North America), Inc., and certain subsidiaries of United Rentals, Inc. and United Rentals (North America), Inc. referred to therein in favor of Bank of America, N.A., as agent (incorporated by reference to Exhibit 10.3 of the United Rentals, Inc. Report on Form 8-K filed on April 1, 2015) | |
10 | (bbb) | Second Amended and Restated Canadian Security Agreement, dated as of March 31, 2015, among United Rentals of Canada, Inc., certain subsidiaries of United Rentals, Inc. and United Rentals (North America), Inc. referred to therein and Bank of America, N.A., as agent (incorporated by reference to Exhibit 10.4 of the United Rentals, Inc. Report on Form 8-K filed on April 1, 2015) | |
Exhibit Number | Description of Exhibit | ||
10 | (ccc) | Second Amended and Restated Canadian URFLP Guarantee Agreement, dated as of March 31, 2015, by United Rentals of Nova Scotia (No. 1), ULC and United Rentals of Nova Scotia (No. 2), ULC in favor of the U.S. secured parties referred to therein (incorporated by reference to Exhibit 10.5 of the United Rentals, Inc. Report on Form 8-K filed on April 1, 2015) | |
10 | (ddd) | Second Amended and Restated Canadian Guarantee Agreement, dated as of March 31, 2015, by United Rentals of Canada, Inc. and certain subsidiaries of United Rentals, Inc. and United Rentals (North America), Inc. referred to therein in favor of the Canadian secured parties referred to therein (incorporated by reference to Exhibit 10.6 of the United Rentals, Inc. Report on Form 8-K filed on April 1, 2015) | |
10 | (eee) | Amended and Restated Security Agreement, dated as of March 26, 2015, by and among United Rentals, Inc., United Rentals (North America), Inc., certain subsidiaries of United Rentals, Inc. and United Rentals (North America), Inc. and Wells Fargo Bank, N.A., as Note Trustee and Collateral Agent (incorporated by reference to Exhibit 10.1 of the United Rentals, Inc. Report on Form 8-K filed on March 26, 2015) | |
10 | (fff) | Intellectual Property Security Agreement, dated as of July 23, 2012, by and among United Rentals, Inc., United Rentals (North America), Inc., certain subsidiaries of United Rentals, Inc. and United Rentals (North America), Inc. and Wells Fargo Bank, N.A., as Collateral Agent (incorporated by reference to Exhibit 10.2 of the United Rentals, Inc. Report on Form 8-K filed on July 23, 2012) | |
10 | (ggg) | Third Amended and Restated Receivables Purchase Agreement, dated as of September 24, 2012, by and among The Bank of Nova Scotia, PNC Bank, National Association, The Bank of Tokyo-Mitsubishi UFJ, Ltd., New York Branch, Liberty Street Funding LLC, Market Street Funding LLC, Gotham Funding Corporation, United Rentals Receivables LLC II and United Rentals, Inc. (without annexes) (incorporated by reference to Exhibit 10.2 of the United Rentals, Inc. Report on Form 8-K filed on September 25, 2012) | |
10 | (hhh) | Assignment and Acceptance Agreement and Amendment No. 1 to Third Amended and Restated Receivables Purchase Agreement, dated as of February 1, 2013, among United Rentals Receivables LLC II, United Rentals, Inc., Liberty Street Funding LLC, Market Street Funding LLC, Gotham Funding Corporation, The Bank of Nova Scotia, PNC Bank National Association, The Bank of Tokyo-Mitsubishi UFJ, Ltd., New York Branch and Bank of America, N.A. (incorporated by reference to Exhibit 10.1 of the United Rentals, Inc. Report on Form 8-K filed on February 4, 2013) | |
10 | (iii) | Amendment No. 2 to the Third Amended and Restated Receivables Purchase Agreement and Amendment No. 1 to the Third Amended and Restated Purchase and Contribution Agreement, dated as of September 17, 2013, by and among United Rentals (North America), Inc., United Rentals Receivables LLC II, United Rentals, Inc., Liberty Street Funding LLC, Gotham Funding Corporation, Market Street Funding, LLC, The Bank of Nova Scotia, PNC Bank, National Association, Bank of America, National Association, and The Bank of Tokyo-Mitsubishi UFJ. Ltd., New York Branch (incorporated by reference to Exhibit 10.1 of the United Rentals, Inc. Report on Form 8-K filed on September 23, 2013) | |
10 | (jjj) | Amendment No. 3 to the Third Amended and Restated Receivables Purchase Agreement, dated as of September 18, 2014, by and among United Rentals (North America), Inc., United Rentals Receivables LLC II, United Rentals, Inc., Liberty Street Funding LLC, Gotham Funding Corporation, The Bank of Nova Scotia, PNC Bank, National Association, SunTrust Bank and The Bank of Tokyo-Mitsubishi UFJ, Ltd., New York Branch (incorporated by reference to Exhibit 10.1 of the United Rentals, Inc. Report on Form 8-K filed on September 19, 2014) | |
10 | (kkk) | Assignment and Acceptance Agreement and Amendment No. 4 to the Third Amended and Restated Receivables Purchase Agreement and Amendment No. 2 to the Third Amended and Restated Purchase and Contribution Agreement, dated as of September 1, 2015, by and among United Rentals (North America), Inc., United Rentals Receivables LLC II, United Rentals, Inc., Liberty Street Funding LLC, Gotham Funding Corporation, The Bank of Nova Scotia, PNC Bank, National Association, SunTrust Bank, The Bank of Tokyo-Mitsubishi UFJ, Ltd., New York Branch, and Bank of Montreal (incorporated by reference to Exhibit 10.1 of the United Rentals, Inc. Form 8-K filed on September 2, 2015) | |
Exhibit Number | Description of Exhibit | ||
10 | (lll) | Assignment and Acceptance Agreement and Amendment No. 5 to the Third Amended and Restated Receivables Purchase Agreement and Amendment No. 3 to Third Amended and Restated Purchase and Contribution Agreement, dated as of August 30, 2016, by and among United Rentals (North America), Inc., United Rentals Receivables LLC II, United Rentals, Inc., Liberty Street Funding LLC, Gotham Funding Corporation, Fairway Finance Company, LLC, The Bank of Nova Scotia, PNC Bank, National Association, SunTrust Bank, The Bank of Tokyo-Mitsubishi UFJ, Ltd., New York Branch, and Bank of Montreal (incorporated by reference to Exhibit 10.1 of the United Rentals, Inc. Form 8-K filed on August 30, 2016) | |
10 | (mmm) | Third Amended and Restated Purchase and Contribution Agreement, dated as of September 24, 2012, by and among United Rentals Receivables LLC II, United Rentals, Inc. and United Rentals (North America), Inc. (without annexes) (incorporated by reference to Exhibit 10.1 of the United Rentals, Inc. Report on Form 8-K filed on September 25, 2012) | |
10 | (nnn) | Amended and Restated Performance Undertaking, dated as of September 24, 2012, executed by United Rentals, Inc. in favor of United Rentals Receivables LLC II (incorporated by reference to Exhibit 10.3 of the United Rentals, Inc. Report on Form 8-K filed on September 25, 2012) | |
10 | (ooo) | Master Exchange Agreement, dated as of January 1, 2009, among United Rentals Exchange, LLC, IPX1031 LLC, United Rentals (North America), Inc. and United Rentals Northwest, Inc. (incorporated by reference to Exhibit 10.3 of the United Rentals, Inc. Report on Form 8-K, Commission File No. 001-14387, filed on January 7, 2009) | |
10 | (ppp) | Intercreditor Agreement, dated as of March 9, 2012 among Bank of America, N.A. as credit agreement agent and Wells Fargo Bank, National Association as notes trustee and second lien collateral agent, acknowledged by UR Merger Sub Corporation, the Company and certain other grantors (incorporated by reference to Exhibit 10.5 of the United Rentals, Inc. Report on Form 8-K filed on March 12, 2012) | |
12 | * | Computation of Ratio of Earnings to Fixed Charges | |
21 | * | Subsidiaries of United Rentals, Inc. | |
23 | * | Consent of Ernst & Young LLP | |
31 | (a)* | Rule 13a-14(a) Certification by Chief Executive Officer | |
31 | (b)* | Rule 13a-14(a) Certification by Chief Financial Officer | |
32 | (a)** | Section 1350 Certification by Chief Executive Officer | |
32 | (b)** | Section 1350 Certification by Chief Financial Officer | |
101 | The following materials from the Annual Report on Form 10-K for the Company and URNA, for the year ended December 31, 2016, filed on January 25, 2017, formatted in XBRL (eXtensible Business Reporting Language): (i) Consolidated Balance Sheets, (ii) Consolidated Statements of Income, (iii) Consolidated Statements of Comprehensive Income, (iv) Consolidated Statement of Stockholders' Equity, (v) Consolidated Statements of Cash Flows, (vi) Notes to the Consolidated Financial Statements and (vii) Schedule to the Consolidated Financial Statements. |
* | Filed herewith. |
** | Furnished (and not filed) herewith pursuant to Item 601(b)(32)(ii) of Regulation S-K under the Exchange Act. |
‡ | This document is a management contract or compensatory plan or arrangement required to be filed as an exhibit to this form pursuant to Item 15(a) of this report. |
UNITED RENTALS, INC. | ||||
Date: | January 25, 2017 | By: | /s/ MICHAEL J. KNEELAND | |
Michael J. Kneeland, Chief Executive Officer |
Signatures | Title | Date | ||
/S/ JENNE K. BRITELL | Chairman | January 25, 2017 | ||
Jenne K. Britell | ||||
/S/ JOSÉ B. ALVAREZ | Director | January 25, 2017 | ||
José B. Alvarez | ||||
/S/ BOBBY J. GRIFFIN | Director | January 25, 2017 | ||
Bobby J. Griffin | ||||
/S/ SINGLETON B. MCALLISTER | Director | January 25, 2017 | ||
Singleton B. McAllister | ||||
/S/ BRIAN D. MCAULEY | Director | January 25, 2017 | ||
Brian D. McAuley | ||||
/S/ JOHN S. MCKINNEY | Director | January 25, 2017 | ||
John S. McKinney | ||||
/S/ JASON D. PAPASTAVROU | Director | January 23, 2017 | ||
Jason D. Papastavrou | ||||
/S/ FILIPPO PASSERINI | Director | January 25, 2017 | ||
Filippo Passerini | ||||
/S/ DONALD C. ROOF | Director | January 25, 2017 | ||
Donald C. Roof | ||||
/S/ L. “KEITH” WIMBUSH | Director | January 25, 2017 | ||
L. “Keith” Wimbush | ||||
/S/ MICHAEL J. KNEELAND | Director and Chief Executive Officer (Principal Executive Officer) | January 25, 2017 | ||
Michael J. Kneeland | ||||
/S/ WILLIAM B. PLUMMER | Chief Financial Officer (Principal Financial Officer) | January 25, 2017 | ||
William B. Plummer | ||||
/S/ JESSICA T. GRAZIANO | Vice President, Controller (Principal Accounting Officer) | January 25, 2017 | ||
Jessica T. Graziano |
Year Ended December 31, | |||||||||||||||
2012 | 2013 | 2014 | 2015 | 2016 | |||||||||||
Earnings: | |||||||||||||||
Income before provision for income taxes | $ | 88 | $ | 605 | $ | 850 | $ | 963 | $ | 909 | |||||
Add: | |||||||||||||||
Fixed charges, net of capitalized interest | 504 | 521 | 520 | 492 | 461 | ||||||||||
Total earnings available for fixed charges | 592 | 1,126 | 1,370 | 1,455 | 1,370 | ||||||||||
Fixed charges (1): | |||||||||||||||
Interest expense, net | 512 | 475 | 555 | 567 | 511 | ||||||||||
Add back interest income, which is netted in interest expense | 2 | 1 | 2 | 2 | 2 | ||||||||||
Add back refinance charges/losses on bond repurchases/retirement of subordinated convertible debentures, included in interest expense | (72 | ) | (3 | ) | (80 | ) | (123 | ) | (101 | ) | |||||
Interest expense—subordinated convertible debentures | 4 | 3 | — | — | — | ||||||||||
Capitalized interest | — | — | — | — | — | ||||||||||
Interest component of rent expense | 58 | 45 | 43 | 46 | 49 | ||||||||||
Fixed charges | $ | 504 | $ | 521 | $ | 520 | $ | 492 | $ | 461 | |||||
Ratio of earnings to fixed charges | 1.2x | 2.2x | 2.6x | 3.0x | 3.0x |
(1) | Fixed charges consist of interest expense, which includes amortization of deferred finance charges, interest expense-subordinated debentures, capitalized interest and imputed interest on our lease obligations. The interest component of rent was determined based on an estimate of a reasonable interest factor at the inception of the leases. |
Name of Company | Jurisdiction of Incorporation |
UNITED RENTALS, INC. (f/k/a United Rentals Holdings, Inc.) | Delaware |
A. United Rentals (North America), Inc. (f/k/a UR Merger Sub Corporation) | Delaware |
1. United Rentals Highway Technologies Gulf, LLC (f/k/a United Rentals Highway Technologies Gulf, Inc.) | Delaware |
(a) United Rentals of Canada, Inc. | Ontario |
2. United Rentals (Delaware), Inc. | Delaware |
(a) United Rentals of Nova Scotia (No.1), ULC | Nova Scotia |
(b) United Rentals of Nova Scotia (No.2), ULC | Nova Scotia |
(i) United Rentals Financing Limited Partnership (United Rentals of Nova Scotia (No. 1), ULC is 96.807% General Partner and United Rentals of Nova Scotia (No. 2), ULC is 3.193% Limited Partner) | Delaware |
(ii) UR Canadian Financing Partnership (United Rentals Financing Limited Partnership is 99.898% Managing Partner, United Rentals Nova Scotia (No.2), ULC is 0.102% Non-Managing Partner) | Nova Scotia |
3. United Rentals Realty, LLC (United Rentals (North America), Inc. is the sole member and United Rentals, Inc. is the manager) | Delaware |
4. United Rentals Receivables LLC II (United Rentals (North America), Inc. is the sole member and United Rentals, Inc. is the manager) | Delaware |
(1) | Registration Statement (Form S-8 No. 333-70345) pertaining to the 1997 Stock Option Plan, 1998 Stock Option Plan, and 1998 Supplemental Stock Option Plan of United Rentals, Inc., |
(2) | Registration Statement (Form S-8 No. 333-133256) pertaining to the 1998 Stock Option Plan, and 1998 Supplemental Stock Option Plan of United Rentals, Inc., |
(3) | Registration Statement (Form S-8 No. 333-60458) pertaining to the 2001 Stock Plan of United Rentals, Inc., |
(4) | Registration Statement (Form S-8 No. 333-139589) pertaining to the 2001 Comprehensive Stock Plan of United Rentals, Inc., |
(5) | Registration Statement (Form S-8 No. 333-113787) pertaining to the 2001 Senior Stock Plan of United Rentals, Inc., |
(6) | Registration Statement (Form S-8 No. 333-116882) pertaining to the Deferred Compensation Plan for Directors of United Rentals, Inc., |
(7) | Registration Statement (Form S-8 No. 333-166743) pertaining to the 2010 Long Term Incentive Plan of United Rentals, Inc., |
(8) | Registration Statement (Form S-8 No. 333-182008) pertaining to the 2010 Long Term Incentive Plan of United Rentals, Inc., |
(9) | Registration Statement (Form S-8 No. 333-181084) pertaining to the RSC Holdings Inc. Amended and Restated Stock Incentive Plan |
(10) | Registration Statement (Form S-8 No. 333-195773) pertaining to the 2010 Long Term Incentive Plan of United Rentals, Inc., and |
(11) | Registration Statement (Form S-3 No. 333-201927) and in the related Prospectuses for the registration of United Rentals, Inc. debt securities, shares of common stock, rights, shares of preferred stock, and warrants and United Rentals (North America), Inc. debt securities |
1. | I have reviewed this Annual Report on Form 10-K of United Rentals, Inc. and United Rentals (North America), Inc. for the year ended December 31, 2016; |
2. | Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report; |
3. | Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrants as of, and for, the periods presented in this report; |
4. | The registrants’ other certifying officer and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrants and have: |
a) | designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrants, including their consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared; |
b) | designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles; |
c) | evaluated the effectiveness of the registrants’ disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and |
d) | disclosed in this report any change in the registrants’ internal control over financial reporting that occurred during the registrants’ most recent fiscal quarter (the registrants’ fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrants’ internal control over financial reporting; and |
5. | The registrants’ other certifying officer and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrants’ auditors and the audit committee of the registrants’ board of directors (or persons performing the equivalent functions): |
a) | all significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrants’ ability to record, process, summarize and report financial information; and |
b) | any fraud, whether or not material, that involves management or other employees who have a significant role in the registrants’ internal control over financial reporting. |
January 25, 2017 |
/S/ MICHAEL J. KNEELAND |
Michael J. Kneeland |
Chief Executive Officer |
1. | I have reviewed this Annual Report on Form 10-K of United Rentals, Inc. and United Rentals (North America), Inc. for the year ended December 31, 2016; |
2. | Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report; |
3. | Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrants as of, and for, the periods presented in this report; |
4. | The registrants’ other certifying officer and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrants and have: |
a) | designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrants, including their consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared; |
b) | designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles; |
c) | evaluated the effectiveness of the registrants’ disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and |
d) | disclosed in this report any change in the registrants’ internal control over financial reporting that occurred during the registrants’ most recent fiscal quarter (the registrants’ fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrants’ internal control over financial reporting; and |
5. | The registrants’ other certifying officer and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrants’ auditors and the audit committee of the registrants’ board of directors (or persons performing the equivalent functions): |
a) | all significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrants’ ability to record, process, summarize and report financial information; and |
b) | any fraud, whether or not material, that involves management or other employees who have a significant role in the registrants’ internal control over financial reporting. |
January 25, 2017 |
/s/ WILLIAM B. PLUMMER |
William B. Plummer |
Chief Financial Officer |
1. | The Report fully complies with the requirements of Section 13(a) or 15(d) of the Securities Exchange Act of 1934, as amended (15 U.S.C. 78m); and |
2. | The information contained in the Report fairly presents, in all material respects, the financial condition and results of operations of the Companies. |
/s/ MICHAEL J. KNEELAND |
Michael J. Kneeland |
Chief Executive Officer |
1. | The Report fully complies with the requirements of Section 13(a) or 15(d) of the Securities Exchange Act of 1934, as amended (15 U.S.C. 78m); and |
2. | the information contained in the Report fairly presents, in all material respects, the financial condition and results of operations of the Companies. |
/s/ WILLIAM B. PLUMMER |
William B. Plummer |
Chief Financial Officer |
Document And Entity Information - USD ($) $ in Millions |
12 Months Ended | ||
---|---|---|---|
Dec. 31, 2016 |
Jan. 23, 2017 |
Jun. 30, 2016 |
|
Document And Entity Information [Abstract] | |||
Entity Registrant Name | United Rentals Inc /DE | ||
Entity Central Index Key | 0001067701 | ||
Current Fiscal Year End Date | --12-31 | ||
Entity Filer Category | Large Accelerated Filer | ||
Document Type | 10-K | ||
Document Period End Date | Dec. 31, 2016 | ||
Document Fiscal Year Focus | 2016 | ||
Document Fiscal Period Focus | FY | ||
Amendment Flag | false | ||
Entity Common Stock, Shares Outstanding | 84,310,531 | ||
Entity Well-known Seasoned Issuer | Yes | ||
Entity Voluntary Filers | No | ||
Entity Current Reporting Status | Yes | ||
Entity Public Float | $ 5,180 |
CONSOLIDATED BALANCE SHEETS (Parenthetical) - USD ($) $ in Millions |
Dec. 31, 2016 |
Dec. 31, 2015 |
---|---|---|
Statement of Financial Position [Abstract] | ||
Accounts receivable, allowance for doubtful accounts | $ 54 | $ 55 |
Common stock, par value (in dollars per share) | $ 0.01 | $ 0.01 |
Common stock, shares authorized | 500,000,000 | 500,000,000 |
Common stock, shares issued | 111,985,215 | 111,586,585 |
Common stock, shares outstanding | 84,222,042 | 91,776,436 |
Treasury stock, shares | 27,763,173 | 19,810,149 |
CONSOLIDATED STATEMENTS OF INCOME - USD ($) $ in Millions |
3 Months Ended | 12 Months Ended | |||||||||
---|---|---|---|---|---|---|---|---|---|---|---|
Dec. 31, 2016 |
Sep. 30, 2016 |
Jun. 30, 2016 |
Mar. 31, 2016 |
Dec. 31, 2015 |
Sep. 30, 2015 |
Jun. 30, 2015 |
Mar. 31, 2015 |
Dec. 31, 2016 |
Dec. 31, 2015 |
Dec. 31, 2014 |
|
Revenues: | |||||||||||
Equipment rentals | $ 4,941 | $ 4,949 | $ 4,819 | ||||||||
Sales of rental equipment | 496 | 538 | 544 | ||||||||
Sales of new equipment | 144 | 157 | 149 | ||||||||
Contractor supplies sales | 79 | 79 | 85 | ||||||||
Service and other revenues | 102 | 94 | 88 | ||||||||
Total revenues | $ 1,523 | $ 1,508 | $ 1,421 | $ 1,310 | $ 1,523 | $ 1,550 | $ 1,429 | $ 1,315 | 5,762 | 5,817 | 5,685 |
Cost of revenues: | |||||||||||
Cost of equipment rentals, excluding depreciation | 1,862 | 1,826 | 1,806 | ||||||||
Depreciation of rental equipment | 990 | 976 | 921 | ||||||||
Cost of rental equipment sales | 292 | 311 | 315 | ||||||||
Cost of new equipment sales | 119 | 131 | 120 | ||||||||
Cost of contractor supplies sales | 55 | 55 | 59 | ||||||||
Cost of service and other revenues | 41 | 38 | 32 | ||||||||
Total cost of revenues | 3,359 | 3,337 | 3,253 | ||||||||
Gross profit | 657 | 656 | 590 | 500 | 648 | 690 | 618 | 524 | 2,403 | 2,480 | 2,432 |
Selling, general and administrative expenses | 719 | 714 | 758 | ||||||||
Merger related costs | 0 | (26) | 11 | ||||||||
Restructuring charge | 14 | 6 | (1) | ||||||||
Non-rental depreciation and amortization | 255 | 268 | 273 | ||||||||
Operating income | 402 | 412 | 347 | 254 | 397 | 446 | 375 | 300 | 1,415 | 1,518 | 1,391 |
Interest expense, net | 511 | 567 | 555 | ||||||||
Other income, net | (5) | (12) | (14) | ||||||||
Income before provision for income taxes | 909 | 963 | 850 | ||||||||
Provision for income taxes | 343 | 378 | 310 | ||||||||
Net income | $ 153 | $ 187 | $ 134 | $ 92 | $ 169 | $ 215 | $ 86 | $ 115 | $ 566 | $ 585 | $ 540 |
Basic earnings per share (in dollars per share) | $ 1.82 | $ 2.18 | $ 1.52 | $ 1.01 | $ 1.82 | $ 2.28 | $ 0.89 | $ 1.19 | $ 6.49 | $ 6.14 | $ 5.54 |
Diluted earnings per share (in dollars per share) | $ 1.80 | $ 2.16 | $ 1.52 | $ 1.01 | $ 1.81 | $ 2.25 | $ 0.88 | $ 1.16 | $ 6.45 | $ 6.07 | $ 5.15 |
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME - USD ($) $ in Millions |
3 Months Ended | 12 Months Ended | |||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Dec. 31, 2016 |
Sep. 30, 2016 |
Jun. 30, 2016 |
Mar. 31, 2016 |
Dec. 31, 2015 |
Sep. 30, 2015 |
Jun. 30, 2015 |
Mar. 31, 2015 |
Dec. 31, 2016 |
Dec. 31, 2015 |
Dec. 31, 2014 |
|||
Statement of Comprehensive Income [Abstract] | |||||||||||||
Net income | $ 153 | $ 187 | $ 134 | $ 92 | $ 169 | $ 215 | $ 86 | $ 115 | $ 566 | $ 585 | $ 540 | ||
Other comprehensive income (loss): | |||||||||||||
Foreign currency translation adjustments | 28 | (174) | (90) | ||||||||||
Fixed price diesel swaps | 4 | (2) | (3) | ||||||||||
Other comprehensive income (loss) | [1] | 32 | (176) | (93) | |||||||||
Comprehensive income | $ 598 | $ 409 | $ 447 | ||||||||||
|
CONSOLIDATED STATEMENTS OF STOCKHOLDERS' EQUITY (Parenthetical) - 4 percent Convertible Senior Notes |
Dec. 31, 2016 |
Dec. 31, 2015 |
Dec. 31, 2014 |
---|---|---|---|
Stated interest rate | 4.00% | 4.00% | |
Convertible debt | |||
Stated interest rate | 4.00% | 4.00% | 4.00% |
CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Millions |
12 Months Ended | ||
---|---|---|---|
Dec. 31, 2016 |
Dec. 31, 2015 |
Dec. 31, 2014 |
|
Cash Flows From Operating Activities: | |||
Net income | $ 566 | $ 585 | $ 540 |
Adjustments to reconcile net income to net cash provided by operating activities: | |||
Depreciation and amortization | 1,245 | 1,244 | 1,194 |
Amortization of deferred financing costs and original issue discounts | 9 | 10 | 17 |
Gain on sales of rental equipment | (204) | (227) | (229) |
Gain on sales of non-rental equipment | (4) | (8) | (11) |
Stock compensation expense, net | 45 | 49 | 74 |
Merger related costs | 0 | (26) | 11 |
Restructuring charge | 14 | 6 | (1) |
Loss on repurchase/redemption of debt securities and amendment of ABL facility | 101 | 123 | 80 |
Excess tax benefits from share-based payment arrangements | (58) | (5) | 0 |
Increase in deferred taxes | 123 | 336 | 261 |
Changes in operating assets and liabilities: | |||
Decrease (increase) in accounts receivable | 15 | (11) | (101) |
Decrease in inventory | 1 | 8 | 11 |
Decrease (increase) in prepaid expenses and other assets | 77 | (38) | (52) |
Decrease in accounts payable | (29) | (8) | (23) |
Increase (decrease) in accrued expenses and other liabilities | 52 | (43) | 30 |
Net cash provided by operating activities | 1,953 | 1,995 | 1,801 |
Cash Flows From Investing Activities: | |||
Purchases of rental equipment | (1,246) | (1,534) | (1,701) |
Purchases of non-rental equipment | (93) | (102) | (120) |
Proceeds from sales of rental equipment | 496 | 538 | 544 |
Proceeds from sales of non-rental equipment | 14 | 17 | 33 |
Purchases of other companies, net of cash acquired | (28) | (86) | (756) |
Purchases of investments | (2) | (3) | 0 |
Net cash used in investing activities | (859) | (1,170) | (2,000) |
Cash Flows From Financing Activities: | |||
Proceeds from debt | 8,752 | 8,566 | 7,070 |
Payments of debt | (9,223) | (8,482) | (6,283) |
Payment of contingent consideration | 0 | (52) | 0 |
Payments of financing costs | (24) | (27) | (22) |
Proceeds from the exercise of common stock options | 1 | 1 | 2 |
Common stock repurchased | (528) | (789) | (613) |
Cash received in connection with the 4 percent Convertible Senior Notes and related hedge, net | 0 | 3 | 42 |
Excess tax benefits from share-based payment arrangements | 58 | 5 | 0 |
Net cash (used in) provided by financing activities | (964) | (775) | 196 |
Effect of foreign exchange rates | 3 | (29) | (14) |
Net increase (decrease) in cash and cash equivalents | 133 | 21 | (17) |
Cash and cash equivalents at beginning of year | 179 | 158 | 175 |
Cash and cash equivalents at end of year | 312 | 179 | 158 |
Supplemental disclosure of cash flow information: | |||
Cash paid for interest | 415 | 447 | 457 |
Cash paid for income taxes, net | $ 99 | $ 60 | $ 100 |
CONSOLIDATED STATEMENTS OF CASH FLOWS (Parenthetical) - 4 percent Convertible Senior Notes |
Dec. 31, 2016 |
Dec. 31, 2015 |
Dec. 31, 2014 |
---|---|---|---|
Stated interest rate | 4.00% | 4.00% | |
Convertible debt | |||
Stated interest rate | 4.00% | 4.00% | 4.00% |
Organization, Description of Business and Consolidation |
12 Months Ended |
---|---|
Dec. 31, 2016 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Organization, Description of Business and Consolidation | Organization, Description of Business and Consolidation United Rentals, Inc. ("Holdings") is principally a holding company and conducts its operations primarily through its wholly owned subsidiary, United Rentals (North America), Inc. (“URNA”), and subsidiaries of URNA. Holdings’ primary asset is its sole ownership of all issued and outstanding shares of common stock of URNA. URNA’s various credit agreements and debt instruments place restrictions on its ability to transfer funds to its stockholder. As used in this report, the terms the “Company,” “United Rentals,” “we,” “us,” and “our” refer to United Rentals, Inc. and its subsidiaries, unless otherwise indicated. We rent equipment to a diverse customer base that includes construction and industrial companies, manufacturers, utilities, municipalities, homeowners and others in the United States and Canada. In addition to renting equipment, we sell new and used rental equipment, as well as related contractor supplies, parts and service. The accompanying consolidated financial statements include our accounts and those of our controlled subsidiary companies. All significant intercompany accounts and transactions have been eliminated. We consolidate variable interest entities if we are deemed the primary beneficiary of the entity. |
Summary of Significant Accounting Policies |
12 Months Ended |
---|---|
Dec. 31, 2016 | |
Accounting Policies [Abstract] | |
Summary of Significant Accounting Policies | Summary of Significant Accounting Policies Cash Equivalents We consider all highly liquid instruments with maturities of three months or less when purchased to be cash equivalents. Our cash equivalents at December 31, 2016 consist of direct obligations of financial institutions rated A or better. Allowance for Doubtful Accounts We maintain allowances for doubtful accounts. These allowances reflect our estimate of the amount of our receivables that we will be unable to collect based on historical write-off experience. Our estimate could require change based on changing circumstances, including changes in the economy or in the particular circumstances of individual customers. Accordingly, we may be required to increase or decrease our allowances. Trade receivables that have contractual maturities of one year or less are written-off when they are determined to be uncollectible based on the criteria necessary to qualify as a deduction for federal tax purposes. Write-offs of such receivables require management approval based on specified dollar thresholds. Inventory Inventory consists of new equipment, contractor supplies, tools, parts, fuel and related supply items. Inventory is stated at the lower of cost or market. Cost is determined, depending on the type of inventory, using either a specific identification, weighted-average or first-in, first-out method. Rental Equipment Rental equipment, which includes service and delivery vehicles, is recorded at cost and depreciated over the estimated useful life of the equipment using the straight-line method. The range of estimated useful lives for rental equipment is two to 12 years. Rental equipment is depreciated to a salvage value of zero to 10 percent of cost. Rental equipment is depreciated whether or not it is out on rent. Costs we incur in connection with refurbishment programs that extend the life of our equipment are capitalized and amortized over the remaining useful life of the equipment. The costs incurred under these refurbishment programs were $18, $30 and $39 for the years ended December 31, 2016, 2015 and 2014, respectively, and are included in purchases of rental equipment in our consolidated statements of cash flows. Ordinary repair and maintenance costs are charged to operations as incurred. Repair and maintenance costs are included in cost of revenues on our consolidated statements of income. Repair and maintenance expense (including both labor and parts) for our rental equipment was $629, $628 and $604 for the years ended December 31, 2016, 2015 and 2014, respectively. Property and Equipment Property and equipment are recorded at cost and depreciated over their estimated useful lives using the straight-line method. The range of estimated useful lives for property and equipment is two to 39 years. Ordinary repair and maintenance costs are charged to expense as incurred. Leasehold improvements are amortized using the straight-line method over their estimated useful lives or the remaining life of the lease, whichever is shorter. Acquisition Accounting We have made a number of acquisitions in the past and may continue to make acquisitions in the future. The assets acquired and liabilities assumed are recorded based on their respective fair values at the date of acquisition. Long-lived assets (principally rental equipment), goodwill and other intangible assets generally represent the largest components of our acquisitions. The intangible assets that we have acquired are non-compete agreements, customer relationships and trade names and associated trademarks. Goodwill is calculated as the excess of the cost of the acquired entity over the net of the fair value of the assets acquired and the liabilities assumed. Non-compete agreements, customer relationships and trade names and associated trademarks are valued based on an excess earnings or income approach based on projected cash flows. When we make an acquisition, we also acquire other assets and assume liabilities. These other assets and liabilities typically include, but are not limited to, parts inventory, accounts receivable, accounts payable and other working capital items. Because of their short-term nature, the fair values of these other assets and liabilities generally approximate the book values on the acquired entities' balance sheets. Evaluation of Goodwill Impairment Goodwill is tested for impairment annually or more frequently if an event or circumstance indicates that an impairment loss may have been incurred. Application of the goodwill impairment test requires judgment, including: the identification of reporting units; assignment of assets and liabilities to reporting units; assignment of goodwill to reporting units; determination of the fair value of each reporting unit; and an assumption as to the form of the transaction in which the reporting unit would be acquired by a market participant (either a taxable or nontaxable transaction). We estimate the fair value of our reporting units (which are our regions) using a combination of an income approach based on the present value of estimated future cash flows and a market approach based on market price data of shares of our Company and other corporations engaged in similar businesses as well as acquisition multiples paid in recent transactions within our industry (including our own acquisitions). We believe this approach, which utilizes multiple valuation techniques, yields the most appropriate evidence of fair value. We review goodwill for impairment utilizing a two-step process. The first step of the impairment test requires a comparison of the fair value of each of our reporting units' net assets to the respective carrying value of net assets. If the carrying value of a reporting unit's net assets is less than its fair value, no indication of impairment exists and a second step is not performed. If the carrying amount of a reporting unit's net assets is higher than its fair value, there is an indication that an impairment may exist and a second step must be performed. In the second step, the impairment is calculated by comparing the implied fair value of the reporting unit's goodwill (as if purchase accounting were performed on the testing date) with the carrying amount of the goodwill. If the carrying amount of the reporting unit's goodwill is greater than the implied fair value of its goodwill, an impairment loss must be recognized for the excess and charged to operations. Financial Accounting Standards Board ("FASB") guidance permits entities to first assess qualitative factors to determine whether it is more likely than not that the fair value of a reporting unit is less than its carrying amount as a basis for determining whether it is necessary to perform the two-step goodwill impairment test. In connection with our goodwill impairment test that was conducted as of October 1, 2015, we bypassed the qualitative assessment for each of our reporting units and proceeded directly to the first step of the goodwill impairment test. Our goodwill impairment testing as of this date indicated that all of our reporting units, excluding our Pump Solutions reporting unit, had estimated fair values which exceeded their respective carrying amounts by at least 51 percent. In April 2014, we completed the acquisition of the following entities: National Pump & Compressor, Ltd., Canadian Pump and Compressor Ltd., GulfCo Industrial Equipment, LP and LD Services, LLC (collectively “National Pump”). Most of the assets in the Pump Solutions reporting unit were acquired in the National Pump acquisition. Based on the October 1, 2015 test, the Pump Solutions reporting unit’s estimated fair value exceeded its carrying amount by 3.3 percent. In light of continuing pressures on the Pump Solutions reporting unit related primarily to upstream oil and gas customers, we continued to monitor the Pump Solutions reporting unit for impairment through the end of 2015, and performed another impairment test as of November 30, 2015. As of the November 30, 2015 testing date, the estimated fair value of the Pump Solutions reporting unit exceeded its carrying amount by 1 percent. No additional impairment indicators were noted as of December 31, 2015. Given the narrow margin by which the estimated fair value of the Pump Solutions reporting unit exceeded its carrying amount, we also performed a sensitivity analysis related to the discount rate and long-term growth rate used in the November 30, 2015 test. Specifically, we performed the sensitivity analysis by: (i) increasing the discount rate by 50 basis points and (ii) reducing the long-term growth rate by 25 basis points. The Pump Solutions reporting unit failed step one of the goodwill impairment test under the sensitivity test, and would have required step two testing to determine potential goodwill impairment. We continued to monitor the Pump Solutions reporting unit for impairment following the November 30, 2015 test. In connection with our goodwill impairment test that was conducted as of October 1, 2016, we bypassed the qualitative assessment for each reporting unit and proceeded directly to the first step of the goodwill impairment test. Our goodwill impairment testing as of this date indicated that all of our reporting units, excluding our Pump Solutions reporting unit, had estimated fair values which exceeded their respective carrying amounts by at least 53 percent. The estimated fair value of our Pump Solutions reporting unit exceeded its carrying amount by approximately 15 percent. For the goodwill impairment test that was conducted as of October 1, 2016 for our Pump Solutions reporting unit, we utilized a discount rate of 14.0 percent and a long-term terminal growth rate of 3.0 percent beyond our planning period. The improvement in the margin by which the Pump Solutions reporting unit’s estimated fair value exceeded its carrying amount in the October 1, 2016 test as compared to the November 30, 2015 test primarily reflects (i) a reduction in the Pump Solutions reporting unit’s carrying value primarily due to the depreciation and amortization of its assets, as well as a reduction in its working capital and (ii) improvement in the Pump Solutions reporting unit’s revenue mix in its long term forecast largely due to having a smaller portion of revenue attributable to upstream oil and gas customers, which have experienced significant volatility in recent years, and a larger portion of revenue attributable to downstream oil and gas, construction, municipality and mining customers. We also performed a sensitivity analysis related to the discount rate and long-term growth rate used in the October 1, 2016 test by: (i) increasing the discount rate by 50 basis points and (ii) reducing the long-term growth rate by 25 basis points. The Pump Solutions reporting unit passed step one of the goodwill impairment test under the sensitivity test. The October 1, 2016 impairment test assumed earnings growth for the Pump Solutions reporting unit over the next 10 years. Should this growth not occur, if the reporting unit otherwise fails to meet its current financial plans, or if there were changes to any other key assumption used in the test, the Pump Solutions reporting unit could fail step one of the goodwill impairment test in a future period. As of December 31, 2016, there was $312 of goodwill in the Pump Solutions reporting unit. We will continue to monitor the Pump Solutions reporting unit for impairment. Restructuring Charges Costs associated with exit or disposal activities, including lease termination costs and certain employee severance costs associated with restructuring, branch closings or other activities, are recognized at fair value when they are incurred. Other Intangible Assets Other intangible assets consist of non-compete agreements, customer relationships and trade names and associated trademarks. The non-compete agreements are being amortized on a straight-line basis over initial periods of approximately 5 years. The customer relationships are being amortized either using the sum of the years' digits method or on a straight-line basis over initial periods ranging from 7 to 15 years. The trade names and associated trademarks are being amortized using the sum of the years' digits method over an initial period of 5 years. We believe that the amortization methods used reflect the estimated pattern in which the economic benefits will be consumed. Long-Lived Assets Long-lived assets are recorded at the lower of amortized cost or fair value. As part of an ongoing review of the valuation of long-lived assets, we assess the carrying value of such assets if facts and circumstances suggest they may be impaired. If this review indicates the carrying value of such an asset may not be recoverable, as determined by an undiscounted cash flow analysis over the remaining useful life, the carrying value would be reduced to its estimated fair value. Translation of Foreign Currency Assets and liabilities of our Canadian subsidiaries that have a functional currency other than U.S. dollars are translated into U.S. dollars using exchange rates at the balance sheet date. Revenues and expenses are translated at average exchange rates effective during the year. Foreign currency translation gains and losses are included as a component of accumulated other comprehensive (loss) income within stockholders’ equity. Revenue Recognition Our rental contract periods are hourly, daily, weekly or monthly and we recognize revenues from renting equipment on a straight-line basis. As part of this straight-line methodology, when the equipment is returned, we recognize as incremental revenue the excess, if any, between the amount the customer is contractually required to pay over the cumulative amount of revenue recognized to date. We record amounts billed to customers in excess of recognizable revenue as deferred revenue on our balance sheet. We had deferred revenue of $33 and $32 as of December 31, 2016 and 2015, respectively. Equipment rentals include our revenues from renting equipment, as well as revenue related to the fees we charge customers: for equipment delivery and pick-up; to protect the customer against liability for damage to our equipment while on rent; and for fuel. Delivery and pick-up revenue is recognized when the service is performed. Customers have the option of purchasing a damage waiver when they rent our equipment to protect against potential loss or damage; we refer to the fee we charge for the waiver as Rental Protection Plan (or "RPP") revenue. RPP revenue is recognized ratably over the contract term. Fees related to the consumption of fuel by our customers are recognized when the equipment is returned by the customer (and consumption, if any, can be measured). Revenues from the sale of rental equipment and new equipment are recognized at the time of delivery to, or pick-up by, the customer and when collectibility is reasonably assured. Sales of contractor supplies are also recognized at the time of delivery to, or pick-up by, the customer. Service revenue is recognized as the services are performed. Sales tax amounts collected from customers are recorded on a net basis. Delivery Expense Equipment rentals include our revenues from fees we charge for equipment delivery. Delivery costs are charged to operations as incurred, and are included in cost of revenues on our consolidated statements of income. Advertising Expense We promote our business through local and national advertising in various media, including television, trade publications, branded sponsorships, yellow pages, the Internet, radio and direct mail. Advertising costs are generally expensed as incurred. These costs may include the development costs for branded content and advertising campaigns. Advertising expense, net of the qualified advertising reimbursements discussed below, was immaterial for the years ended December 31, 2016, 2015 and 2014. We receive reimbursements for advertising that promotes a vendor’s products or services. Such reimbursements that meet the applicable criteria under U.S. generally accepted accounting principles (“GAAP”) are offset against advertising costs in the period in which we recognize the incremental advertising cost. The amounts of qualified advertising reimbursements that reduced advertising expense were $19, $17 and $16 for the years ended December 31, 2016, 2015 and 2014, respectively. Insurance We are insured for general liability, workers’ compensation and automobile liability, subject to deductibles or self-insured retentions per occurrence. Losses within the deductible amounts are accrued based upon the aggregate liability for reported claims incurred, as well as an estimated liability for claims incurred but not yet reported. These liabilities are not discounted. The Company is also self-insured for group medical claims but purchases “stop loss” insurance to protect itself from any one significant loss. Income Taxes We use the liability method of accounting for income taxes. Under this method, deferred tax assets and liabilities are determined based on the differences between the financial statement and tax bases of assets and liabilities and are measured using the tax rates and laws that are expected to be in effect when the differences are expected to reverse. Recognition of deferred tax assets is limited to amounts considered by management to be more likely than not to be realized in future periods. The most significant positive evidence that we consider in the recognition of deferred tax assets is the expected reversal of cumulative deferred tax liabilities resulting from book versus tax depreciation of our rental equipment fleet that is well in excess of the deferred tax assets. We use a two-step approach for recognizing and measuring tax benefits taken or expected to be taken in a tax return regarding uncertainties in income tax positions. The first step is recognition: we determine whether it is more likely than not that a tax position will be sustained upon examination, including resolution of any related appeals or litigation processes, based on the technical merits of the position. In evaluating whether a tax position has met the more-likely-than-not recognition threshold, we presume that the position will be examined by the appropriate taxing authority with full knowledge of all relevant information. The second step is measurement: a tax position that meets the more-likely-than-not recognition threshold is measured to determine the amount of benefit to recognize in the financial statements. The tax position is measured at the largest amount of benefit that is greater than 50 percent likely of being realized upon ultimate settlement. Differences between tax positions taken in a tax return and amounts recognized in the financial statements will generally result in one or more of the following: an increase in a liability for income taxes payable, a reduction of an income tax refund receivable, a reduction in a deferred tax asset or an increase in a deferred tax liability. Use of Estimates The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the amounts reported in the financial statements and accompanying notes. Significant estimates impact the calculation of the allowance for doubtful accounts, depreciation and amortization, income taxes, reserves for claims, loss contingencies (including legal contingencies) and the fair values of financial instruments. Actual results could materially differ from those estimates. Concentrations of Credit Risk Financial instruments that potentially subject us to significant concentrations of credit risk include cash and cash equivalents and accounts receivable. We maintain cash and cash equivalents with high quality financial institutions. Concentration of credit risk with respect to receivables is limited because a large number of geographically diverse customers makes up our customer base. Our largest customer accounted for less than one percent of total revenues in each of 2016, 2015, and 2014. Our customer with the largest receivable balance represented approximately two percent and one percent of total receivables at December 31, 2016 and 2015, respectively. We manage credit risk through credit approvals, credit limits and other monitoring procedures. Stock-Based Compensation We measure stock-based compensation at the grant date based on the fair value of the award and recognize stock-based compensation expense over the requisite service period. Determining the fair value of stock option awards requires judgment, including estimating stock price volatility, forfeiture rates and expected option life. Restricted stock awards are valued based on the fair value of the stock on the grant date and the related compensation expense is recognized over the service period. Similarly, for time-based restricted stock awards subject to graded vesting, we recognize compensation cost on a straight-line basis over the requisite service period. For performance-based restricted stock units ("RSUs"), compensation expense is recognized if satisfaction of the performance condition is considered probable. We classify cash flows from tax benefits resulting from tax deductions in excess of the compensation cost recognized for stock-based awards (“excess tax benefits”) as financing cash flows. New Accounting Pronouncements Revenue from Contracts with Customers. In May 2014, the Financial Accounting Standards Board (“FASB”) issued guidance to clarify the principles for recognizing revenue. This guidance includes the required steps to achieve the core principle that an entity should recognize revenue to depict the transfer of promised goods or services to customers in an amount that reflects the consideration to which the entity expects to be entitled in exchange for those goods or services. The FASB has agreed to a one-year deferral of the original effective date of this guidance and as a result it will be effective for fiscal years and interim periods beginning after December 15, 2017. The FASB's update allows entities to apply the new guidance as of the original effective date (for fiscal years and interim periods beginning after December 15, 2016). We expect to adopt this guidance when effective, and the impact on our financial statements is not currently estimable. Leases. In March 2016, the FASB issued guidance (“Topic 842”) to increase transparency and comparability among organizations by requiring i) recognition of lease assets and lease liabilities on the balance sheet and ii) disclosure of key information about leasing arrangements. The accounting applied by lessors under Topic 842 is largely unchanged from previous GAAP. Some changes to the lessor accounting guidance were made to align both of the following: i) the lessor accounting guidance with certain changes made to the lessee accounting guidance and ii) key aspects of the lessor accounting model with revenue recognition guidance. Topic 842 will be effective for fiscal years and interim periods beginning after December 15, 2018, and early adoption is permitted. A modified retrospective approach is required for adoption for all leases that exist at or commence after the date of initial application with an option to use certain practical expedients. We are currently assessing whether we will early adopt, and the impact on our financial statements is not currently estimable. Improvements to Employee Share-Based Payment Accounting. In March 2016, the FASB issued guidance to simplify several aspects of the accounting for share-based payment transactions, including the income tax consequences, classification of awards as either equity or liabilities, and classification on the statement of cash flows. The guidance will be effective for fiscal years and interim periods beginning after December 15, 2016, and early adoption is permitted. Different components of the guidance require prospective, retrospective and/or modified retrospective adoption. We expect to adopt this guidance when effective, and do not expect the guidance to have a significant impact on our financial statements. Statement of Cash Flows. In August 2016, the FASB issued guidance to reduce the diversity in the presentation of certain cash receipts and cash payments presented and classified in the statement of cash flows. The guidance addresses the following specific cash flow issues: (1) debt prepayment or debt extinguishment costs, (2) settlement of zero-coupon debt instruments or other debt instruments with coupon interest rates that are insignificant in relation to the effective interest rate of the borrowing, (3) contingent consideration payments made after a business combination, (4) proceeds from the settlement of insurance claims, (5) proceeds from settlement of corporate-owned life insurance policies, including bank-owned life insurance policies, (6) distributions received from equity method investees, (7) beneficial interests in securitization transitions and (8) separately identifiable cash flows and application of predominance principle. The guidance will be effective for fiscal years and interim periods beginning after December 15, 2017, and early adoption is permitted. The guidance requires retrospective adoption. We expect to adopt this guidance when effective, and do not expect the guidance to have a significant impact on our financial statements. The presentation of insurance proceeds received for damage to our equipment is the primary item that we expect to change as a result of this guidance. For the year ended December 31, 2016, $12 of insurance proceeds received for damage to equipment was included in operating activities on our consolidated statements of cash flows. Under the new guidance, these proceeds would be included in investing activities on our consolidated statements of cash flows. Measurement of Credit Losses on Financial Instruments. In June 2016, the FASB issued guidance that will require companies to present assets held at amortized cost and available for sale debt securities net of the amount expected to be collected. The guidance requires the measurement of expected credit losses to be based on relevant information from past events, including historical experiences, current conditions and reasonable and supportable forecasts that affect collectibility. The new guidance will be effective for fiscal years and interim periods beginning after December 15, 2019 and early adoption is permitted for fiscal years beginning after December 15, 2018, including interim periods within those fiscal years. Different components of the guidance require modified retrospective and/or prospective adoption. We are currently assessing whether we will early adopt, and the impact on our financial statements is not currently estimable. Intra-Entity Transfers of Assets Other Than Inventory. In October 2016, the FASB issued guidance that will require companies to recognize the income tax effects of intra-entity sales and transfers of assets other than inventory in the period in which the transfer occurs. The new guidance will be effective for fiscal years and interim periods beginning after December 15, 2017 and early adoption is permitted. The guidance requires modified retrospective adoption. We expect to adopt this guidance when effective, and do not expect the guidance to have a significant impact on our financial statements. |
Segment Information |
12 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Dec. 31, 2016 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Segment Reporting [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Segment Information | Segment Information Our two reportable segments are i) general rentals and ii) trench, power and pump. The general rentals segment includes the rental of i) general construction and industrial equipment, such as backhoes, skid-steer loaders, forklifts, earthmoving equipment and material handling equipment, ii) aerial work platforms, such as boom lifts and scissor lifts and iii) general tools and light equipment, such as pressure washers, water pumps and power tools. The general rentals segment reflects the aggregation of nine geographic regions—Industrial (which serves the geographic Gulf region and has a strong industrial presence), Mid-Atlantic, Midwest, Northeast, Pacific West, South-Central, South, Southeast and Western Canada—and operates throughout the United States and Canada. We periodically review the size and geographic scope of our regions, and have occasionally reorganized the regions to create a more balanced and effective structure. The trench, power and pump segment includes the rental of specialty construction products such as i) trench safety equipment, such as trench shields, aluminum hydraulic shoring systems, slide rails, crossing plates, construction lasers and line testing equipment for underground work, ii) power and HVAC equipment, such as portable diesel generators, electrical distribution equipment, and temperature control equipment and iii) pumps primarily used by energy and petrochemical customers. The trench, power and pump segment is comprised of the following regions, each of which primarily rents the corresponding equipment type described above: (i) the Trench Safety region, (ii) the Power and HVAC region, and (iii) the Pump Solutions region. The trench, power and pump segment’s customers include construction companies involved in infrastructure projects, municipalities and industrial companies. This segment operates throughout the United States and in Canada. The following table presents the percentage of equipment rental revenue by equipment type for the years ended December 31, 2016, 2015 and 2014:
These segments align our external segment reporting with how management evaluates business performance and allocates resources. We evaluate segment performance based on segment equipment rentals gross profit. The accounting policies for our segments are the same as those described in the summary of significant accounting policies in note 2. Certain corporate costs, including those related to selling, finance, legal, risk management, human resources, corporate management and information technology systems, are deemed to be of an operating nature and are allocated to our segments based primarily on rental fleet size. The following table sets forth financial information by segment as of and for the years ended December 31, 2016, 2015 and 2014:
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:
We operate in the United States and Canada. The following table presents geographic area information for the years ended December 31, 2016, 2015 and 2014, except for balance sheet information, which is presented as of December 31, 2016 and 2015:
|
Restructuring Charges |
12 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Dec. 31, 2016 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Restructuring and Related Activities [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Restructuring Charges | Restructuring Charges Closed Restructuring Programs We have two closed restructuring programs. The first was initiated in 2008 in recognition of a challenging economic environment and closed in 2011. The second closed restructuring program was initiated following the April 30, 2012 acquisition of RSC, and was completed in 2013. The restructuring charges under the closed restructuring programs include severance costs associated with headcount reductions, as well as branch closure charges which principally relate to continuing lease obligations at vacant facilities. The table below provides certain information concerning our restructuring charges under the closed restructuring programs:
_________________
As of December 31, 2016, we have incurred total restructuring charges under the closed restructuring programs of $216, comprised of $150 of branch closure charges and $66 of severance costs. 2015-2016 Cost Savings Restructuring Program In the fourth quarter of 2015, we initiated a restructuring program (the "2015/2016 restructuring program") in response to challenges in our operating environment. In particular, during 2015, we experienced volume and pricing pressure in our general rental business and our Pump Solutions region associated with upstream oil and gas customers. Additionally, our Lean initiatives did not fully generate the anticipated cost savings due to lower than expected growth. Though we expected solid industry growth in 2016, the 2015/2016 restructuring program was initiated in an effort to reduce costs in an environment with continuing pressures on volume and pricing. The program was completed in the fourth quarter of 2016. The table below provides certain information concerning our restructuring charges under the 2015/2016 restructuring program:
_________________
As of December 31, 2016, we incurred total restructuring charges under the 2015/2016 restructuring program of $18, comprised of $10 of branch closure charges and $8 of severance costs. |
Rental Equipment |
12 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Dec. 31, 2016 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Rental Equipment | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Property, Plant and Equipment [Line Items] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Rental Equipment | Rental Equipment Rental equipment consists of the following:
|
Property and Equipment |
12 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Dec. 31, 2016 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Property and Equipment | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Property, Plant and Equipment [Line Items] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Property and Equipment | Property and Equipment Property and equipment consist of the following:
|
Goodwill and Other Intangible Assets |
12 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Dec. 31, 2016 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Goodwill and Intangible Assets Disclosure [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Goodwill and Other Intangible Assets | Goodwill and Other Intangible Assets The following table presents the changes in the carrying amount of goodwill for each of the three years in the period ended December 31, 2016:
_________________
Other intangible assets were comprised of the following at December 31, 2016 and 2015:
Amortization expense for other intangible assets was $174, $193 and $204 for the years ended December 31, 2016, 2015 and 2014, respectively. As of December 31, 2016, estimated amortization expense for other intangible assets for each of the next five years and thereafter was as follows:
|
Accrued Expenses and Other Liabilities and Other Long-Term Liabilities |
12 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Dec. 31, 2016 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Payables and Accruals [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Accrued Expenses and Other Liabilities and Other Long-Term Liabilities | Accrued Expenses and Other Liabilities and Other Long-Term Liabilities Accrued expenses and other liabilities consist of the following:
_________________
Other long-term liabilities consist of the following:
|
Derivatives |
12 Months Ended | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Dec. 31, 2016 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Derivative Instruments and Hedging Activities Disclosure [Abstract] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Derivatives | Derivatives We recognize all derivative instruments as either assets or liabilities at fair value, and recognize changes in the fair value of the derivative instruments based on the designation of the derivative. We are exposed to certain risks relating to our ongoing business operations. During the year ended December 31, 2016, the risks we managed using derivative instruments were diesel price risk and foreign currency exchange rate risk. At December 31, 2016, we had outstanding fixed price swap contracts on diesel purchases which were entered into to mitigate the price risk associated with forecasted purchases of diesel. During the year ended December 31, 2016, we entered into forward contracts to purchase Canadian dollars to mitigate the foreign currency exchange rate risk associated with certain Canadian dollar denominated intercompany loans. At December 31, 2016, there were no outstanding forward contracts to purchase Canadian dollars. The outstanding forward contracts on diesel purchases were designated and qualify as cash flow hedges and the forward contracts to purchase Canadian dollars, which were all settled as of December 31, 2016, represented derivative instruments not designated as hedging instruments. Fixed Price Diesel Swaps The fixed price swap contracts on diesel purchases that were outstanding at December 31, 2016 were designated and qualify as cash flow hedges and the effective portion of the unrealized gain or loss on these contracts is reported as a component of accumulated other comprehensive income and is reclassified into earnings in the period during which the hedged transaction affects earnings (i.e., when the hedged gallons of diesel are used). The remaining gain or loss on the fixed price swap contracts in excess of the cumulative change in the present value of future cash flows of the hedged item, if any (i.e., the ineffective portion), is recognized in our consolidated statements of income during the current period. As of December 31, 2016, we had outstanding fixed price swap contracts covering 7.0 million gallons of diesel which will be purchased throughout 2017 and 2018. Foreign Currency Forward Contracts The forward contracts to purchase Canadian dollars, which were all settled as of December 31, 2016, represented derivative instruments not designated as hedging instruments and gains or losses due to changes in the fair value of the forward contracts were recognized in our consolidated statements of income during the period in which the changes in fair value occurred. During the year ended December 31, 2016, forward contracts were used to purchase $894 Canadian dollars, representing the total amount due at maturity for certain Canadian dollar denominated intercompany loans that were settled during the year ended December 31, 2016. Upon maturity, the proceeds from the forward contracts were used to pay down the Canadian dollar denominated intercompany loans. Financial Statement Presentation As of December 31, 2016 and 2015, immaterial amounts ($6 or less) were reflected in prepaid expenses and other assets, accrued expenses and other liabilities, and accumulated other comprehensive income in our consolidated balance sheets associated with the outstanding fixed price swap contracts that were designated and qualify as cash flow hedges. Insignificant amounts (less than $1) were reflected in our consolidated statement of cash flows for the years ended December 31, 2016, 2015 and 2014 associated with the forward contracts to purchase Canadian dollars. Operating cash flows in our consolidated statement of cash flows for the years ended December 31, 2016, 2015 and 2014 include $29, $35 and $41, respectively, associated with the fixed price diesel swaps, comprised of 1) the cost to purchase 10.1 million, 10.6 million and 10.5 million hedged gallons of diesel during the years ended December 31, 2016, 2015 and 2014, respectively, and 2) cash paid to or received from the counterparties to the fixed price swaps. The effect of our derivative instruments on our consolidated statements of income for the years ended December 31, 2016, 2015 and 2014 was as follows:
* Amounts are insignificant (less than $1).
|
Fair Value Measurements |
12 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Dec. 31, 2016 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Fair Value Disclosures [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Fair Value Measurements | Fair Value Measurements We account for certain assets and liabilities at fair value, and categorize each of our fair value measurements in one of the following three levels based on the lowest level input that is significant to the fair value measurement in its entirety: Level 1—Inputs to the valuation methodology are unadjusted quoted prices in active markets for identical assets or liabilities. Level 2—Observable inputs other than quoted prices in active markets for identical assets and liabilities include: a) quoted prices for similar assets or liabilities in active markets; b) quoted prices for identical or similar assets or liabilities in inactive markets; c) inputs other than quoted prices that are observable for the asset or liability; d) inputs that are derived principally from or corroborated by observable market data by correlation or other means. If the asset or liability has a specified (contractual) term, the Level 2 input must be observable for substantially the full term of the asset or liability. Level 3—Inputs to the valuation methodology are unobservable (i.e., supported by little or no market activity) and significant to the fair value measure. Assets and Liabilities Measured at Fair Value As of December 31, 2016 and 2015, our only assets and liabilities measured at fair value were our fixed price diesel swaps contracts, which are Level 2 derivatives measured at fair value on a recurring basis. As of December 31, 2016 and 2015, immaterial amounts ($6 or less) were reflected in prepaid expenses and other assets, and accrued expenses and other liabilities in our consolidated balance sheets, reflecting the fair values of the fixed price swap contracts. As discussed in note 9 to the consolidated financial statements, we entered into the fixed price swap contracts on diesel purchases to mitigate the price risk associated with forecasted purchases of diesel. Fair value is determined based on observable market data. As of December 31, 2016, we have fixed price swap contracts covering 7.0 million gallons of diesel which we will buy throughout 2017 and 2018 at the average contract price of $2.56 per gallon, while the average forward price for the hedged gallons was $2.73 per gallon as of December 31, 2016. Fair Value of Financial Instruments The carrying amounts reported in our consolidated balance sheets for accounts receivable, accounts payable and accrued expenses and other liabilities approximate fair value due to the immediate to short-term maturity of these financial instruments. The fair values of our senior secured asset-based revolving credit facility (“ABL facility”) and accounts receivable securitization facility approximate their book values as of December 31, 2016 and 2015. The estimated fair values of our other financial instruments at December 31, 2016 and 2015 have been calculated based upon available market information or an appropriate valuation technique, and are as follows:
|
Debt |
12 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Dec. 31, 2016 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Debt Disclosure [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Debt | Debt Debt, net of unamortized original issue discounts or premiums, and unamortized debt issuance costs, consists of the following:
Short-term debt As of December 31, 2016, our short-term debt primarily reflects $568 of borrowings under our accounts receivable securitization facility. As discussed below, in 2016, we amended and extended our accounts receivable securitization facility. During the year ended December 31, 2016, the monthly average amount outstanding under the accounts receivable securitization facility was $551 and the weighted-average interest rate thereon was 1.2 percent. The maximum month-end amount outstanding under the accounts receivable securitization facility during the year ended December 31, 2016 was $621. Accounts Receivable Securitization Facility. In August 2016, we amended and extended our accounts receivable securitization facility. The amended facility expires on August 29, 2017, has a facility size of $625, and may be extended on a 364-day basis by mutual agreement of the Company and the lenders under the facility. Borrowings under the facility are reflected as short-term debt on our consolidated balance sheets. Key provisions of the facility include the following:
ABL Facility. In June 2008, Holdings, URNA, and certain of our subsidiaries entered into a credit agreement providing for a five-year $1.25 billion ABL facility, a portion of which is available for borrowing in Canadian dollars. The ABL facility was subsequently upsized and extended. The size of the ABL facility was $2.5 billion as of December 31, 2016. The ABL facility is subject to, among other things, the terms of a borrowing base derived from the value of eligible rental equipment and eligible inventory. The borrowing base is subject to certain reserves and caps customary for financings of this type. All amounts borrowed under the credit agreement must be repaid on or before June 2021. Loans under the credit agreement bear interest, at URNA’s option: (i) in the case of loans in U.S. dollars, at a rate equal to the London interbank offered rate or an alternate base rate, in each case plus a spread, or (ii) in the case of loans in Canadian dollars, at a rate equal to the Canadian prime rate or an alternate rate (Bankers' Acceptance Rate), in each case plus a spread. The interest rates under the credit agreement are subject to change based on the availability in the facility. A commitment fee accrues on any unused portion of the commitments under the credit agreement at a fixed rate per annum. Ongoing extensions of credit under the credit agreement are subject to customary conditions, including sufficient availability under the borrowing base. The credit agreement also contains covenants that, unless certain financial and other conditions are satisfied, require URNA to satisfy various financial tests and to maintain certain financial ratios. As discussed below (see “Loan Covenants and Compliance”), the only material financial covenant that currently exists in the ABL facility is the fixed charge coverage ratio. As of December 31, 2016, availability under the ABL facility has exceeded the required threshold and, as a result, this maintenance covenant is inapplicable. In addition, the credit agreement contains customary negative covenants applicable to Holdings, URNA and our subsidiaries, including negative covenants that restrict the ability of such entities to, among other things, (i) incur additional indebtedness or engage in certain other types of financing transactions, (ii) allow certain liens to attach to assets, (iii) repurchase, or pay dividends or make certain other restricted payments on, capital stock and certain other securities, (iv) prepay certain indebtedness and (v) make acquisitions and investments. The U.S. dollar borrowings under the credit agreement are secured by substantially all of our assets and substantially all of the assets of certain of our U.S. subsidiaries (other than real property and certain accounts receivable). The U.S. dollar borrowings under the credit agreement are guaranteed by Holdings and by URNA and, subject to certain exceptions, our domestic subsidiaries. Borrowings under the credit agreement by URNA’s Canadian subsidiaries are also secured by substantially all the assets of URNA’s Canadian subsidiaries and supported by guarantees from the Canadian subsidiaries and from Holdings and URNA, and, subject to certain exceptions, our domestic subsidiaries. Under the ABL facility, a change of control (as defined in the credit agreement) constitutes an event of default, entitling our lenders, among other things, to terminate our ABL facility and to require us to repay outstanding borrowings. As of December 31, 2016, the ABL facility was our only long-term variable rate debt instrument. During the year ended December 31, 2016, the monthly average amount outstanding under the ABL facility was $1.4 billion and the weighted-average interest rate thereon was 2.1 percent. The maximum month-end amount outstanding under the ABL facility during the year ended December 31, 2016 was $1.7 billion. 7 5/8 percent Senior Notes due 2022. In March 2012, Funding SPV issued $1.325 billion aggregate principal amount of 7 5/8 percent Senior Notes (the “7 5/8 percent Notes”), which are due April 15, 2022. The net proceeds from the sale of the 7 5/8 percent Notes were approximately $1.295 billion (after deducting the initial purchasers' fees and offering expenses). Upon consummation of the RSC merger, URNA assumed the 7 5/8 percent Notes. The 7 5/8 percent Notes are unsecured and are guaranteed by Holdings and, subject to limited exceptions, URNA's domestic subsidiaries. As of December 31, 2016, after the redemption of $850 principal amount of the 7 5/8 percent Notes in 2016, the outstanding principal amount of the notes was $475.The 7 5/8 percent Notes may be redeemed on or after April 15, 2017, at specified redemption prices that range from 103.813 percent in 2017, to 100 percent in 2020 and thereafter, plus accrued and unpaid interest. The indenture governing the 7 5/8 percent Notes contains certain restrictive covenants, including, among others, limitations on (i) liens; (ii) additional indebtedness; (iii) mergers, consolidations and acquisitions; (iv) sales, transfers and other dispositions of assets; (v) loans and other investments; (vi) dividends and other distributions, stock repurchases and redemptions and other restricted payments; (vii) dividends, other payments and other matters affecting subsidiaries; (viii) transactions with affiliates; and (ix) designations of unrestricted subsidiaries, as well as a requirement to timely file periodic reports with the SEC. Each of these covenants is subject to important exceptions and qualifications that would allow URNA and its subsidiaries to engage in these activities under certain conditions. The indenture also requires that, in the event of a change of control (as defined in the indenture), URNA must make an offer to purchase all of the then outstanding 7 5/8 percent Notes tendered at a purchase price in cash equal to 101 percent of the principal amount thereof, plus accrued and unpaid interest, if any, thereon. 6 1/8 percent Senior Notes due 2023. In October 2012, URNA issued $400 aggregate principal amount of 6 1/8 percent Senior Notes (the “6 1/8 percent Notes”), which are due June 15, 2023. In March 2014, URNA issued $525 principal amount of 6 1/8 percent Notes as an add on to the existing 6 1/8 percent Notes. The notes issued in March 2014 have identical terms, and are fungible, with the existing 6 1/8 percent Notes. The net proceeds from the issuances of the 6 1/8 percent Notes were $939 (after deducting offering expenses). The 6 1/8 percent Notes are unsecured and are guaranteed by Holdings and, subject to limited exceptions, URNA's domestic subsidiaries. The 6 1/8 percent Notes may be redeemed by URNA on or after December 15, 2017, at specified redemption prices that range from 103.063 percent in 2017 to 100 percent in 2020 and thereafter. The indenture governing the 6 1/8 percent Notes contains certain restrictive covenants, including, among others, limitations on (i) additional indebtedness; (ii) restricted payments; (iii) liens; (iv) asset sales; (v) preferred stock of certain subsidiaries; (vi) transactions with affiliates; (vii) dividends and other payments; (viii) designations of unrestricted subsidiaries; (ix) additional subsidiary guarantees and (x) mergers, consolidations or sales of substantially all of our assets. The indenture also requires that, in the event of a change of control (as defined in the indenture), URNA must make an offer to purchase all of the then outstanding 6 1/8 percent Notes tendered at a purchase price in cash equal to 101 percent of the principal amount thereof plus accrued and unpaid interest, if any, thereon. The carrying value of the 6 1/8 percent Notes includes the $21 unamortized portion of the original issue premium recognized in conjunction with the March 2014 issuance, which is being amortized through the maturity date in 2023. The effective interest rate on the 6 1/8 percent Senior Notes is 5.7 percent. 4 5/8 percent Senior Secured Notes due 2023. In March 2015, URNA issued $1.0 billion aggregate principal amount of 4 5/8 percent Senior Secured Notes (the “4 5/8 percent Notes”), which are due July 15, 2023. The net proceeds from the issuance were approximately $990 (after deducting offering expenses). The 4 5/8 percent Notes are guaranteed by Holdings and certain domestic subsidiaries of URNA and are secured on a second-priority basis by liens on substantially all of URNA’s and the guarantors’ assets that secure the ABL facility, subject to certain exceptions. The 4 5/8 percent Notes may be redeemed on or after July 15, 2018, at specified redemption prices that range from 103.469 percent in 2018, to 100 percent in 2021 and thereafter, plus accrued and unpaid interest, if any. The indenture governing the 4 5/8 percent Notes contains certain restrictive covenants, including, among others, limitations on (i) liens; (ii) additional indebtedness; (iii) mergers, consolidations and acquisitions; (iv) sales, transfers and other dispositions of assets; (v) loans and other investments; (vi) dividends and other distributions, stock repurchases and redemptions and other restricted payments; (vii) restrictions affecting subsidiaries; (viii) transactions with affiliates and (ix) designations of unrestricted subsidiaries, as well as a requirement to timely file periodic reports with the SEC. The indenture also includes covenants relating to the grant of and maintenance of liens for the benefit of the notes collateral agent. Each of the restrictive covenants is subject to important exceptions and qualifications that would allow URNA and its subsidiaries to engage in these activities under certain conditions. The indenture also requires that, in the event of a change of control (as defined in the indenture), URNA must make an offer to purchase all of the then-outstanding 4 5/8 percent Notes tendered at a purchase price in cash equal to 101 percent of the principal amount thereof, plus accrued and unpaid interest, if any, thereon. 5 3/4 percent Senior Notes due 2024. In March 2014, URNA issued $850 aggregate principal amount of 5 3/4 percent Senior Notes (the “5 3/4 percent Notes”), which are due November 15, 2024. The net proceeds from the issuance were $837 (after deducting offering expenses). The 5 3/4 percent Notes are unsecured and are guaranteed by Holdings and, subject to limited exceptions, URNA's domestic subsidiaries. The 5 3/4 percent Notes may be redeemed on or after May 15, 2019, at specified redemption prices that range from 102.875 percent in the 12-month period commencing on May 15, 2019, to 100 percent in the 12-month period commencing on May 15, 2022 and thereafter, plus accrued and unpaid interest. The indenture governing the 5 3/4 percent Notes contains certain restrictive covenants, including, among others, limitations on (i) liens; (ii) additional indebtedness; (iii) mergers, consolidations and acquisitions; (iv) sales, transfers and other dispositions of assets; (v) loans and other investments; (vi) dividends and other distributions, stock repurchases and redemptions and other restricted payments; (vii) restrictions affecting subsidiaries; (viii) transactions with affiliates and (ix) designations of unrestricted subsidiaries, as well as a requirement to timely file periodic reports with the SEC. Each of these covenants is subject to important exceptions and qualifications that would allow URNA and its subsidiaries to engage in these activities under certain conditions. The indenture also requires that, in the event of a change of control (as defined in the indenture), URNA must make an offer to purchase all of the then outstanding 5 3/4 percent Notes tendered at a purchase price in cash equal to 101 percent of the principal amount thereof, plus accrued and unpaid interest, if any, thereon. 5 1/2 percent Senior Notes due 2025. In March 2015, URNA issued $800 aggregate principal amount of 5 1/2 percent Senior Notes which are due July 15, 2025 (the “2025 5 1/2 percent Notes”). The net proceeds from the issuance were approximately $792 (after deducting offering expenses). The 2025 5 1/2 percent Notes are unsecured and are guaranteed by Holdings and certain domestic subsidiaries of URNA. The 2025 5 1/2 percent Notes may be redeemed on or after July 15, 2020, at specified redemption prices that range from 102.75 percent in 2020, to 100 percent in 2023 and thereafter, plus accrued and unpaid interest, if any. The indenture governing the 2025 5 1/2 percent Notes contains certain restrictive covenants, including, among others, limitations on (i) liens; (ii) additional indebtedness; (iii) mergers, consolidations and acquisitions; (iv) sales, transfers and other dispositions of assets; (v) loans and other investments; (vi) dividends and other distributions, stock repurchases and redemptions and other restricted payments; (vii) restrictions affecting subsidiaries; (viii) transactions with affiliates and (ix) designations of unrestricted subsidiaries, as well as a requirement to timely file periodic reports with the SEC. Each of the restrictive covenants is subject to important exceptions and qualifications that would allow URNA and its subsidiaries to engage in these activities under certain conditions. The indenture also requires that, in the event of a change of control (as defined in the indenture), URNA must make an offer to purchase all of the then-outstanding 2025 5 1/2 percent Notes tendered at a purchase price in cash equal to 101 percent of the principal amount thereof, plus accrued and unpaid interest, if any, thereon. 5 7/8 percent Senior Notes due 2026. In May 2016, URNA issued $750 aggregate principal amount of 5 7/8 percent Senior Notes (the “5 7/8 percent Notes”) which are due September 15, 2026. The net proceeds from the issuance were approximately $741 (after deducting offering expenses). The 5 7/8 percent Notes are unsecured and are guaranteed by Holdings and certain domestic subsidiaries of URNA. The 5 7/8 percent Notes may be redeemed on or after September 15, 2021, at specified redemption prices that range from 102.938 percent in 2021, to 100 percent in 2024 and thereafter, plus accrued and unpaid interest, if any. The indenture governing the 5 7/8 percent Notes contains certain restrictive covenants, including, among others, limitations on (i) liens; (ii) additional indebtedness; (iii) mergers, consolidations and acquisitions; (iv) sales, transfers and other dispositions of assets; (v) loans and other investments; (vi) dividends and other distributions, stock repurchases and redemptions and other restricted payments; (vii) restrictions affecting subsidiaries; (viii) transactions with affiliates; and (ix) designations of unrestricted subsidiaries, as well as a requirement to timely file periodic reports with the SEC. Each of the restrictive covenants is subject to important exceptions and qualifications that would allow URNA and its subsidiaries to engage in these activities under certain conditions. The indenture also requires that, in the event of a change of control (as defined in the indenture), URNA must make an offer to purchase all of the then-outstanding 5 7/8 percent Notes tendered at a purchase price in cash equal to 101 percent of the principal amount thereof, plus accrued and unpaid interest, if any, thereon. 5 1/2 percent Senior Notes due 2027. In November 2016, URNA issued $750 aggregate principal amount of 5 1/2 percent Senior Notes which are due May 15, 2027 (the “2027 5 1/2 percent Notes”). The net proceeds from the issuance were approximately $741 (after deducting offering expenses). The 2027 5 1/2 percent Notes are unsecured and are guaranteed by Holdings and certain domestic subsidiaries of URNA. The 2027 5 1/2 percent Notes may be redeemed on or after May 15, 2022, at specified redemption prices that range from 102.75 percent in 2022, to 100 percent in 2025 and thereafter, plus accrued and unpaid interest, if any. The indenture governing the 2027 5 1/2 percent Notes contains certain restrictive covenants, including, among others, limitations on (i) liens; (ii) additional indebtedness; (iii) mergers, consolidations and acquisitions; (iv) sales, transfers and other dispositions of assets; (v) loans and other investments; (vi) dividends and other distributions, stock repurchases and redemptions and other restricted payments; (vii) restrictions affecting subsidiaries; (viii) transactions with affiliates; and (ix) designations of unrestricted subsidiaries, as well as a requirement to timely file periodic reports with the SEC. Each of the restrictive covenants is subject to important exceptions and qualifications that would allow URNA and its subsidiaries to engage in these activities under certain conditions. The indenture also requires that, in the event of a change of control (as defined in the indenture), URNA must make an offer to purchase all of the then-outstanding 2027 5 1/2 percent Notes tendered at a purchase price in cash equal to 101 percent of the principal amount thereof, plus accrued and unpaid interest, if any, thereon. Loan Covenants and Compliance As of December 31, 2016, we were in compliance with the covenants and other provisions of the ABL facility, the accounts receivable securitization facility and the senior notes. Any failure to be in compliance with any material provision or covenant of these agreements could have a material adverse effect on our liquidity and operations. The only financial covenant that currently exists under the ABL facility is the fixed charge coverage ratio. Subject to certain limited exceptions specified in the ABL facility, the fixed charge coverage ratio covenant under the ABL facility will only apply in the future if specified availability under the ABL facility falls below 10 percent of the maximum revolver amount under the ABL facility. When certain conditions are met, cash and cash equivalents and borrowing base collateral in excess of the ABL facility size may be included when calculating specified availability under the ABL facility. As of December 31, 2016, specified availability under the ABL facility exceeded the required threshold and, as a result, this maintenance covenant is inapplicable. Under our accounts receivable securitization facility, we are required, among other things, to maintain certain financial tests relating to: (i) the default ratio, (ii) the delinquency ratio, (iii) the dilution ratio and (iv) days sales outstanding. The accounts receivable securitization facility also requires us to comply with the fixed charge coverage ratio under the ABL facility, to the extent the ratio is applicable under the ABL facility. Maturities Maturities of the Company’s debt (exclusive of any unamortized original issue discounts or premiums, and unamortized debt issuance costs) for each of the next five years and thereafter at December 31, 2016 are as follows:
|
Income Taxes |
12 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Dec. 31, 2016 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Income Tax Disclosure [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Income Taxes | Income Taxes The components of the provision for income taxes for each of the three years in the period ended December 31, 2016 are as follows:
A reconciliation of the provision for income taxes and the amount computed by applying the statutory federal income tax rate of 35 percent to the income before provision for income taxes for each of the three years in the period ended December 31, 2016 is as follows:
The components of deferred income tax assets (liabilities) are as follows:
The following table summarizes the activity related to unrecognized tax benefits, some of which would impact our effective tax rate if recognized:
We include interest accrued on the underpayment of income taxes in interest expense, and penalties, if any, related to unrecognized tax benefits in selling, general and administrative expense. Interest expense of less than $1 related to income tax was reflected in our consolidated statements of income for each of the years ended December 31, 2016, 2015 and 2014. We file income tax returns in the United States and in Canada. With few exceptions, we have completed our domestic and international income tax examinations, or the statute of limitations has expired in the respective jurisdictions, for years prior to 2010. The Internal Revenue Service (“IRS”) has completed audits for periods prior to 2010. Canadian authorities have concluded income tax audits for periods through 2010. Included in the balance of unrecognized tax benefits at December 31, 2016 are certain tax positions associated with Canadian transfer pricing and U.S. state inter-company royalty related issues. The Company has submitted a request to the Canadian Competent Authority for an Advanced Pricing Arrangement ("APA") associated with our intercompany transactions. The process has been delayed due to changes in the management and staff in the Canadian Revenue Agency ("CRA"). The latest communication received from the CRA indicated that the CRA's position on this matter should be expected within the next 12 months. It is not possible to estimate the amount of the change, if any, to the previously recorded uncertain tax positions. For financial reporting purposes, income before provision for income taxes for our foreign subsidiaries was $29, $70 and $168 for the years ended December 31, 2016, 2015 and 2014, respectively. At December 31, 2016, unremitted earnings of foreign subsidiaries were approximately $382. Since it is our intention to indefinitely reinvest these earnings, no U.S. taxes have been provided for these amounts. If we changed our reinvestment policy and decided to remit earnings as a dividend, a deferred tax liability would arise. Determination of the amount of unrecognized deferred tax liability on these unremitted taxes is not practicable. We have net operating loss carryforwards (“NOLs”) of $527 for state income tax purposes that expire from 2016 through 2036. We have recorded valuation allowances against this deferred asset of $9 and $12 as of December 31, 2016 and 2015, respectively. We have no NOLs recorded for federal income tax purposes. In 2016, the Company utilized $155 of existing NOLs to offset tax liabilities. |
Commitments and Contingencies |
12 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Dec. 31, 2016 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Commitments and Contingencies Disclosure [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Commitments and Contingencies | Commitments and Contingencies We are subject to a number of claims and proceedings that generally arise in the ordinary conduct of our business. These matters include, but are not limited to, general liability claims (including personal injury, product liability, and property and automobile claims), indemnification and guarantee obligations, employee injuries and employment-related claims, self-insurance obligations and contract and real estate matters. Based on advice of counsel and available information, including current status or stage of proceeding, and taking into account accruals included in our consolidated balance sheets for matters where we have established them, we currently believe that any liabilities ultimately resulting from these ordinary course claims and proceedings will not, individually or in the aggregate, have a material adverse effect on our consolidated financial position, results of operations or cash flows. Indemnification The Company indemnifies its officers and directors pursuant to indemnification agreements and may in addition indemnify these individuals as permitted by Delaware law. Operating Leases We lease rental equipment, real estate and certain office equipment under operating leases. Certain real estate leases require us to pay maintenance, insurance, taxes and certain other expenses in addition to the stated rental payments. Future minimum lease payments by year and in the aggregate, for non-cancelable operating leases with initial or remaining terms of one year or more are as follows at December 31, 2016:
Our real estate leases provide for varying terms, including customary escalation clauses. We evaluate our operating leases in accordance with GAAP. Our leases generally include default provisions that are customary, and do not contain material adverse change clauses, cross-default provisions or subjective default provisions. In these leases, the occurrence of an event of default is objectively determinable based on predefined criteria. Based on the facts and circumstances that existed at lease inception and with consideration of our history as a lessee, we believe that it is reasonable to assume that an event of default will not occur. Rent expense under all non-cancelable real estate, rental equipment and other equipment operating leases totaled $149, $139 and $131 for the years ended December 31, 2016, 2015 and 2014, respectively. Capital Leases Capital lease obligations consist primarily of vehicle and building leases with periods expiring at various dates through 2028. Capital lease obligations were $71 and $96 at December 31, 2016 and 2015, respectively. The following table presents capital lease financial statement information for the years ended December 31, 2016, 2015 and 2014, except for balance sheet information, which is presented as of December 31, 2016 and 2015:
Future minimum lease payments for capital leases for each of the next five years and thereafter at December 31, 2016 are as follows:
Employee Benefit Plans We currently sponsor a defined contribution 401(k) retirement plan, which is subject to the provisions of the Employee Retirement Income Security Act of 1974. We also sponsor a deferred profit sharing plan for the benefit of the full-time employees of our Canadian subsidiaries. Under these plans, we match a percentage of the participants’ contributions up to a specified amount. Company contributions to the plans were $23, $22 and $19 in the years ended December 31, 2016, 2015 and 2014, respectively. Environmental Matters The Company and its operations are subject to various laws and related regulations governing environmental matters. Under such laws, an owner or lessee of real estate may be liable for the costs of removal or remediation of certain hazardous or toxic substances located on or in, or emanating from, such property, as well as investigation of property damage. We incur ongoing expenses associated with the performance of appropriate remediation at certain locations. |
Common Stock |
12 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Dec. 31, 2016 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Equity and Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Common Stock | Common Stock We have 500 million authorized shares of common stock, $0.01 par value. At December 31, 2016 and 2015, there were 0.5 million and 0.6 million shares of common stock reserved for issuance pursuant to options granted under our stock option plans, respectively. As of December 31, 2016, there were an aggregate of 1.1 million outstanding time and performance-based RSUs and 3.7 million shares available for grant of stock and options under our 2010 Long Term Incentive Plan. A summary of the transactions within the Company’s stock option plans follows (shares in thousands):
As of December 31, 2016 (options in thousands):
The following table presents information associated with options as of December 31, 2016 and 2015, and for the years ended December 31, 2016, 2015 and 2014:
In addition to stock options, the Company issues time-based and performance-based RSUs to certain officers and key executives under various plans. The RSUs automatically convert to shares of common stock on a one-for-one basis as the awards vest. The time-based RSUs typically vest over a three year vesting period beginning 12 months from the grant date and thereafter annually on the anniversary of the grant date. The performance-based RSUs vest over the performance period which is currently the calendar year. There were 346 thousand shares of common stock issued upon vesting of RSUs during 2016, net of 190 thousand shares surrendered to satisfy tax obligations. The Company measures the value of RSUs at fair value based on the closing price of the underlying common stock on the grant date. The Company amortizes the fair value of outstanding RSUs as stock-based compensation expense over the requisite service period on a straight-line basis, or sooner if the employee effectively vests upon termination of employment under certain circumstances. For performance-based RSUs, compensation expense is recognized to the extent that the satisfaction of the performance condition is considered probable. A summary of RSUs granted follows (RSUs in thousands):
As of December 31, 2016, the total pretax compensation cost not yet recognized by the Company with regard to unvested RSUs was $32. The weighted-average period over which this compensation cost is expected to be recognized is 1.9 years. A summary of RSU activity for the year ended December 31, 2016 follows (RSUs in thousands):
The total fair value of RSUs vested during the fiscal years ended December 31, 2016, 2015 and 2014 was $39, $84, and $54, respectively. Stockholders’ Rights Plan. Our stockholders' rights plan expired in accordance with its terms on September 27, 2011. Our board of directors elected not to renew or extend the plan. |
Quarterly Financial Information (Unaudited) |
12 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Dec. 31, 2016 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Quarterly Financial Information Disclosure [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Quarterly Financial Information (Unaudited) | Quarterly Financial Information (Unaudited)
|
Earnings Per Share |
12 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Dec. 31, 2016 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Earnings Per Share [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Earnings Per Share | Earnings Per Share Basic earnings per share is computed by dividing net income available to common stockholders by the weighted-average number of common shares outstanding. Diluted earnings per share is computed by dividing net income available to common stockholders by the weighted-average number of common shares plus the effect of dilutive potential common shares outstanding during the period. The following table sets forth the computation of basic and diluted earnings per share (shares in thousands):
|
Condensed Consolidating Financial Information of Guarantor Subsidiaries |
12 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Dec. 31, 2016 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Condensed Financial Information of Parent Company Only Disclosure [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Condensed Consolidating Financial Information of Guarantor Subsidiaries | Condensed Consolidating Financial Information of Guarantor Subsidiaries URNA is 100 percent owned by Holdings (“Parent”) and, as of December 31, 2016 and/or December 31, 2015, had outstanding (i) certain indebtedness that is guaranteed by both Parent and, with the exception of its U.S. special purpose vehicle which holds receivable assets relating to the Company’s accounts receivable securitization facility (the “SPV”), all of URNA’s U.S. subsidiaries (the “guarantor subsidiaries”) and (ii) certain indebtedness that was guaranteed only by the guarantor subsidiaries (specifically, the 8 1/4 percent Senior Notes). As discussed in note 11 to the consolidated financial statements, in 2016, all of the 8 1/4 percent Senior Notes were redeemed. Other than the guarantee by certain Canadian subsidiaries of URNA's indebtedness under the ABL facility, none of URNA’s indebtedness is guaranteed by URNA's foreign subsidiaries or the SPV (together, the “non-guarantor subsidiaries”). The receivable assets owned by the SPV have been sold or contributed by URNA to the SPV and are not available to satisfy the obligations of URNA or Parent’s other subsidiaries. The guarantor subsidiaries are all 100 percent-owned and the guarantees are made on a joint and several basis. The guarantees are not full and unconditional because a guarantor subsidiary can be automatically released and relieved of its obligations under certain circumstances, including sale of the guarantor subsidiary, the sale of all or substantially all of the guarantor subsidiary's assets, the requirements for legal defeasance or covenant defeasance under the applicable indenture being met or designating the guarantor subsidiary as an unrestricted subsidiary for purposes of the applicable covenants. The guarantees are also subject to subordination provisions (to the same extent that the obligations of the issuer under the relevant notes are subordinated to other debt of the issuer) and to a standard limitation which provides that the maximum amount guaranteed by each guarantor will not exceed the maximum amount that can be guaranteed without making the guarantee void under fraudulent conveyance laws. Based on our understanding of Rule 3-10 of Regulation S-X ("Rule 3-10"), we believe that the guarantees of the guarantor subsidiaries comply with the conditions set forth in Rule 3-10 and therefore continue to utilize Rule 3-10 to present condensed consolidating financial information for Holdings, URNA, the guarantor subsidiaries and the non-guarantor subsidiaries. Separate consolidated financial statements of the guarantor subsidiaries have not been presented because management believes that such information would not be material to investors. However, condensed consolidating financial information is presented. URNA covenants in the ABL facility, accounts receivable securitization facility and the other agreements governing our debt impose operating and financial restrictions on URNA, Parent and the guarantor subsidiaries, including limitations on the ability to make share repurchases and dividend payments. As of December 31, 2016, the amount available for distribution under the most restrictive of these covenants was $377. The Company’s total available capacity for making share repurchases and dividend payments includes the intercompany receivable balance of Parent. As of December 31, 2016, our total available capacity for making share repurchases and dividend payments, which includes URNA’s capacity to make restricted payments and the intercompany receivable balance of Parent, was $713. The condensed consolidating financial information of Parent and its subsidiaries is as follows: CONDENSED CONSOLIDATING BALANCE SHEETS December 31, 2016
CONDENSED CONSOLIDATING BALANCE SHEETS December 31, 2015
CONDENSED CONSOLIDATING STATEMENTS OF INCOME For the Year Ended December 31, 2016
CONDENSED CONSOLIDATING STATEMENTS OF INCOME For the Year Ended December 31, 2015
CONDENSED CONSOLIDATING STATEMENTS OF INCOME For the Year Ended December 31, 2014
CONDENSED CONSOLIDATING CASH FLOW INFORMATION For the Year Ended December 31, 2016
CONDENSED CONSOLIDATING CASH FLOW INFORMATION For the Year Ended December 31, 2015
CONDENSED CONSOLIDATING CASH FLOW INFORMATION For the Year Ended December 31, 2014
|
Subsequent Events |
12 Months Ended |
---|---|
Dec. 31, 2016 | |
Subsequent Events [Abstract] | |
Subsequent Events | Subsequent Events On January 25, 2017, we entered into a definitive merger agreement with NES Rentals Holdings II, Inc. (“NES ”), pursuant to which we have agreed to acquire NES in an all cash transaction. The aggregate merger consideration paid to holders of NES common stock and options is expected to be approximately $965. The merger and related fees and expenses will be funded through available cash, drawings on current debt facilities and new debt issuances. NES is a provider of rental equipment with 73 branches located throughout the eastern half of the U.S., and had approximately 1,100 employees and approximately $900 of rental assets at original equipment cost as of December 31, 2016. NES has annual revenues of approximately $369. The proposed merger is subject to Hart-Scott-Rodino antitrust clearance and customary conditions. We expect the merger to close early in the second quarter of 2017. |
Schedule II - Valuation and Qualifying Accounts |
12 Months Ended | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Dec. 31, 2016 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Valuation and Qualifying Accounts [Abstract] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Schedule II - Valuation and Qualifying Accounts | SCHEDULE II—VALUATION AND QUALIFYING ACCOUNTS UNITED RENTALS, INC. (In millions)
The above information reflects the continuing operations of the Company for the periods presented. Additionally, because the Company has retained certain self-insurance liabilities associated with the discontinued traffic control business, those amounts have been included as well.
|
Summary of Significant Accounting Policies (Policies) |
12 Months Ended |
---|---|
Dec. 31, 2016 | |
Accounting Policies [Abstract] | |
Cash Equivalents | Cash Equivalents We consider all highly liquid instruments with maturities of three months or less when purchased to be cash equivalents. Our cash equivalents at December 31, 2016 consist of direct obligations of financial institutions rated A or better. |
Allowance for Doubtful Accounts | Allowance for Doubtful Accounts We maintain allowances for doubtful accounts. These allowances reflect our estimate of the amount of our receivables that we will be unable to collect based on historical write-off experience. Our estimate could require change based on changing circumstances, including changes in the economy or in the particular circumstances of individual customers. Accordingly, we may be required to increase or decrease our allowances. Trade receivables that have contractual maturities of one year or less are written-off when they are determined to be uncollectible based on the criteria necessary to qualify as a deduction for federal tax purposes. Write-offs of such receivables require management approval based on specified dollar thresholds. |
Inventory | Inventory Inventory consists of new equipment, contractor supplies, tools, parts, fuel and related supply items. Inventory is stated at the lower of cost or market. Cost is determined, depending on the type of inventory, using either a specific identification, weighted-average or first-in, first-out method. |
Rental Equipment and Property and Equipment | Rental Equipment Rental equipment, which includes service and delivery vehicles, is recorded at cost and depreciated over the estimated useful life of the equipment using the straight-line method. The range of estimated useful lives for rental equipment is two to 12 years. Rental equipment is depreciated to a salvage value of zero to 10 percent of cost. Rental equipment is depreciated whether or not it is out on rent. Costs we incur in connection with refurbishment programs that extend the life of our equipment are capitalized and amortized over the remaining useful life of the equipment. The costs incurred under these refurbishment programs were $18, $30 and $39 for the years ended December 31, 2016, 2015 and 2014, respectively, and are included in purchases of rental equipment in our consolidated statements of cash flows. Ordinary repair and maintenance costs are charged to operations as incurred. Repair and maintenance costs are included in cost of revenues on our consolidated statements of income. Repair and maintenance expense (including both labor and parts) for our rental equipment was $629, $628 and $604 for the years ended December 31, 2016, 2015 and 2014, respectively. Property and Equipment Property and equipment are recorded at cost and depreciated over their estimated useful lives using the straight-line method. The range of estimated useful lives for property and equipment is two to 39 years. Ordinary repair and maintenance costs are charged to expense as incurred. Leasehold improvements are amortized using the straight-line method over their estimated useful lives or the remaining life of the lease, whichever is shorter. |
Acquisition Accounting | Acquisition Accounting We have made a number of acquisitions in the past and may continue to make acquisitions in the future. The assets acquired and liabilities assumed are recorded based on their respective fair values at the date of acquisition. Long-lived assets (principally rental equipment), goodwill and other intangible assets generally represent the largest components of our acquisitions. The intangible assets that we have acquired are non-compete agreements, customer relationships and trade names and associated trademarks. Goodwill is calculated as the excess of the cost of the acquired entity over the net of the fair value of the assets acquired and the liabilities assumed. Non-compete agreements, customer relationships and trade names and associated trademarks are valued based on an excess earnings or income approach based on projected cash flows. When we make an acquisition, we also acquire other assets and assume liabilities. These other assets and liabilities typically include, but are not limited to, parts inventory, accounts receivable, accounts payable and other working capital items. Because of their short-term nature, the fair values of these other assets and liabilities generally approximate the book values on the acquired entities' balance sheets. |
Evaluation of Goodwill Impairment | Evaluation of Goodwill Impairment Goodwill is tested for impairment annually or more frequently if an event or circumstance indicates that an impairment loss may have been incurred. Application of the goodwill impairment test requires judgment, including: the identification of reporting units; assignment of assets and liabilities to reporting units; assignment of goodwill to reporting units; determination of the fair value of each reporting unit; and an assumption as to the form of the transaction in which the reporting unit would be acquired by a market participant (either a taxable or nontaxable transaction). We estimate the fair value of our reporting units (which are our regions) using a combination of an income approach based on the present value of estimated future cash flows and a market approach based on market price data of shares of our Company and other corporations engaged in similar businesses as well as acquisition multiples paid in recent transactions within our industry (including our own acquisitions). We believe this approach, which utilizes multiple valuation techniques, yields the most appropriate evidence of fair value. We review goodwill for impairment utilizing a two-step process. The first step of the impairment test requires a comparison of the fair value of each of our reporting units' net assets to the respective carrying value of net assets. If the carrying value of a reporting unit's net assets is less than its fair value, no indication of impairment exists and a second step is not performed. If the carrying amount of a reporting unit's net assets is higher than its fair value, there is an indication that an impairment may exist and a second step must be performed. In the second step, the impairment is calculated by comparing the implied fair value of the reporting unit's goodwill (as if purchase accounting were performed on the testing date) with the carrying amount of the goodwill. If the carrying amount of the reporting unit's goodwill is greater than the implied fair value of its goodwill, an impairment loss must be recognized for the excess and charged to operations. Financial Accounting Standards Board ("FASB") guidance permits entities to first assess qualitative factors to determine whether it is more likely than not that the fair value of a reporting unit is less than its carrying amount as a basis for determining whether it is necessary to perform the two-step goodwill impairment test. |
Restructuring Charges | Restructuring Charges Costs associated with exit or disposal activities, including lease termination costs and certain employee severance costs associated with restructuring, branch closings or other activities, are recognized at fair value when they are incurred. |
Other Intangible Assets | Other Intangible Assets Other intangible assets consist of non-compete agreements, customer relationships and trade names and associated trademarks. The non-compete agreements are being amortized on a straight-line basis over initial periods of approximately 5 years. The customer relationships are being amortized either using the sum of the years' digits method or on a straight-line basis over initial periods ranging from 7 to 15 years. The trade names and associated trademarks are being amortized using the sum of the years' digits method over an initial period of 5 years. We believe that the amortization methods used reflect the estimated pattern in which the economic benefits will be consumed. |
Long-Lived Assets | Long-Lived Assets Long-lived assets are recorded at the lower of amortized cost or fair value. As part of an ongoing review of the valuation of long-lived assets, we assess the carrying value of such assets if facts and circumstances suggest they may be impaired. If this review indicates the carrying value of such an asset may not be recoverable, as determined by an undiscounted cash flow analysis over the remaining useful life, the carrying value would be reduced to its estimated fair value. |
Translation of Foreign Currency | Translation of Foreign Currency Assets and liabilities of our Canadian subsidiaries that have a functional currency other than U.S. dollars are translated into U.S. dollars using exchange rates at the balance sheet date. Revenues and expenses are translated at average exchange rates effective during the year. Foreign currency translation gains and losses are included as a component of accumulated other comprehensive (loss) income within stockholders’ equity. |
Revenue Recognition | Revenue Recognition Our rental contract periods are hourly, daily, weekly or monthly and we recognize revenues from renting equipment on a straight-line basis. As part of this straight-line methodology, when the equipment is returned, we recognize as incremental revenue the excess, if any, between the amount the customer is contractually required to pay over the cumulative amount of revenue recognized to date. We record amounts billed to customers in excess of recognizable revenue as deferred revenue on our balance sheet. We had deferred revenue of $33 and $32 as of December 31, 2016 and 2015, respectively. Equipment rentals include our revenues from renting equipment, as well as revenue related to the fees we charge customers: for equipment delivery and pick-up; to protect the customer against liability for damage to our equipment while on rent; and for fuel. Delivery and pick-up revenue is recognized when the service is performed. Customers have the option of purchasing a damage waiver when they rent our equipment to protect against potential loss or damage; we refer to the fee we charge for the waiver as Rental Protection Plan (or "RPP") revenue. RPP revenue is recognized ratably over the contract term. Fees related to the consumption of fuel by our customers are recognized when the equipment is returned by the customer (and consumption, if any, can be measured). Revenues from the sale of rental equipment and new equipment are recognized at the time of delivery to, or pick-up by, the customer and when collectibility is reasonably assured. Sales of contractor supplies are also recognized at the time of delivery to, or pick-up by, the customer. Service revenue is recognized as the services are performed. Sales tax amounts collected from customers are recorded on a net basis. |
Delivery Expense | Delivery Expense Equipment rentals include our revenues from fees we charge for equipment delivery. Delivery costs are charged to operations as incurred, and are included in cost of revenues on our consolidated statements of income. |
Advertising Expense | Advertising Expense We promote our business through local and national advertising in various media, including television, trade publications, branded sponsorships, yellow pages, the Internet, radio and direct mail. Advertising costs are generally expensed as incurred. These costs may include the development costs for branded content and advertising campaigns. |
Advertising Reimbursements | We receive reimbursements for advertising that promotes a vendor’s products or services. Such reimbursements that meet the applicable criteria under U.S. generally accepted accounting principles (“GAAP”) are offset against advertising costs in the period in which we recognize the incremental advertising cost. |
Insurance | Insurance We are insured for general liability, workers’ compensation and automobile liability, subject to deductibles or self-insured retentions per occurrence. Losses within the deductible amounts are accrued based upon the aggregate liability for reported claims incurred, as well as an estimated liability for claims incurred but not yet reported. These liabilities are not discounted. The Company is also self-insured for group medical claims but purchases “stop loss” insurance to protect itself from any one significant loss. |
Income Taxes | Income Taxes We use the liability method of accounting for income taxes. Under this method, deferred tax assets and liabilities are determined based on the differences between the financial statement and tax bases of assets and liabilities and are measured using the tax rates and laws that are expected to be in effect when the differences are expected to reverse. Recognition of deferred tax assets is limited to amounts considered by management to be more likely than not to be realized in future periods. The most significant positive evidence that we consider in the recognition of deferred tax assets is the expected reversal of cumulative deferred tax liabilities resulting from book versus tax depreciation of our rental equipment fleet that is well in excess of the deferred tax assets. We use a two-step approach for recognizing and measuring tax benefits taken or expected to be taken in a tax return regarding uncertainties in income tax positions. The first step is recognition: we determine whether it is more likely than not that a tax position will be sustained upon examination, including resolution of any related appeals or litigation processes, based on the technical merits of the position. In evaluating whether a tax position has met the more-likely-than-not recognition threshold, we presume that the position will be examined by the appropriate taxing authority with full knowledge of all relevant information. The second step is measurement: a tax position that meets the more-likely-than-not recognition threshold is measured to determine the amount of benefit to recognize in the financial statements. The tax position is measured at the largest amount of benefit that is greater than 50 percent likely of being realized upon ultimate settlement. Differences between tax positions taken in a tax return and amounts recognized in the financial statements will generally result in one or more of the following: an increase in a liability for income taxes payable, a reduction of an income tax refund receivable, a reduction in a deferred tax asset or an increase in a deferred tax liability. |
Use of Estimates | Use of Estimates The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the amounts reported in the financial statements and accompanying notes. Significant estimates impact the calculation of the allowance for doubtful accounts, depreciation and amortization, income taxes, reserves for claims, loss contingencies (including legal contingencies) and the fair values of financial instruments. Actual results could materially differ from those estimates. |
Concentrations of Credit Risk | Concentrations of Credit Risk Financial instruments that potentially subject us to significant concentrations of credit risk include cash and cash equivalents and accounts receivable. We maintain cash and cash equivalents with high quality financial institutions. Concentration of credit risk with respect to receivables is limited because a large number of geographically diverse customers makes up our customer base. Our largest customer accounted for less than one percent of total revenues in each of 2016, 2015, and 2014. Our customer with the largest receivable balance represented approximately two percent and one percent of total receivables at December 31, 2016 and 2015, respectively. We manage credit risk through credit approvals, credit limits and other monitoring procedures. |
Stock-Based Compensation | Stock-Based Compensation We measure stock-based compensation at the grant date based on the fair value of the award and recognize stock-based compensation expense over the requisite service period. Determining the fair value of stock option awards requires judgment, including estimating stock price volatility, forfeiture rates and expected option life. Restricted stock awards are valued based on the fair value of the stock on the grant date and the related compensation expense is recognized over the service period. Similarly, for time-based restricted stock awards subject to graded vesting, we recognize compensation cost on a straight-line basis over the requisite service period. For performance-based restricted stock units ("RSUs"), compensation expense is recognized if satisfaction of the performance condition is considered probable. We classify cash flows from tax benefits resulting from tax deductions in excess of the compensation cost recognized for stock-based awards (“excess tax benefits”) as financing cash flows. |
New Accounting Pronouncements | New Accounting Pronouncements Revenue from Contracts with Customers. In May 2014, the Financial Accounting Standards Board (“FASB”) issued guidance to clarify the principles for recognizing revenue. This guidance includes the required steps to achieve the core principle that an entity should recognize revenue to depict the transfer of promised goods or services to customers in an amount that reflects the consideration to which the entity expects to be entitled in exchange for those goods or services. The FASB has agreed to a one-year deferral of the original effective date of this guidance and as a result it will be effective for fiscal years and interim periods beginning after December 15, 2017. The FASB's update allows entities to apply the new guidance as of the original effective date (for fiscal years and interim periods beginning after December 15, 2016). We expect to adopt this guidance when effective, and the impact on our financial statements is not currently estimable. Leases. In March 2016, the FASB issued guidance (“Topic 842”) to increase transparency and comparability among organizations by requiring i) recognition of lease assets and lease liabilities on the balance sheet and ii) disclosure of key information about leasing arrangements. The accounting applied by lessors under Topic 842 is largely unchanged from previous GAAP. Some changes to the lessor accounting guidance were made to align both of the following: i) the lessor accounting guidance with certain changes made to the lessee accounting guidance and ii) key aspects of the lessor accounting model with revenue recognition guidance. Topic 842 will be effective for fiscal years and interim periods beginning after December 15, 2018, and early adoption is permitted. A modified retrospective approach is required for adoption for all leases that exist at or commence after the date of initial application with an option to use certain practical expedients. We are currently assessing whether we will early adopt, and the impact on our financial statements is not currently estimable. Improvements to Employee Share-Based Payment Accounting. In March 2016, the FASB issued guidance to simplify several aspects of the accounting for share-based payment transactions, including the income tax consequences, classification of awards as either equity or liabilities, and classification on the statement of cash flows. The guidance will be effective for fiscal years and interim periods beginning after December 15, 2016, and early adoption is permitted. Different components of the guidance require prospective, retrospective and/or modified retrospective adoption. We expect to adopt this guidance when effective, and do not expect the guidance to have a significant impact on our financial statements. Statement of Cash Flows. In August 2016, the FASB issued guidance to reduce the diversity in the presentation of certain cash receipts and cash payments presented and classified in the statement of cash flows. The guidance addresses the following specific cash flow issues: (1) debt prepayment or debt extinguishment costs, (2) settlement of zero-coupon debt instruments or other debt instruments with coupon interest rates that are insignificant in relation to the effective interest rate of the borrowing, (3) contingent consideration payments made after a business combination, (4) proceeds from the settlement of insurance claims, (5) proceeds from settlement of corporate-owned life insurance policies, including bank-owned life insurance policies, (6) distributions received from equity method investees, (7) beneficial interests in securitization transitions and (8) separately identifiable cash flows and application of predominance principle. The guidance will be effective for fiscal years and interim periods beginning after December 15, 2017, and early adoption is permitted. The guidance requires retrospective adoption. We expect to adopt this guidance when effective, and do not expect the guidance to have a significant impact on our financial statements. The presentation of insurance proceeds received for damage to our equipment is the primary item that we expect to change as a result of this guidance. For the year ended December 31, 2016, $12 of insurance proceeds received for damage to equipment was included in operating activities on our consolidated statements of cash flows. Under the new guidance, these proceeds would be included in investing activities on our consolidated statements of cash flows. Measurement of Credit Losses on Financial Instruments. In June 2016, the FASB issued guidance that will require companies to present assets held at amortized cost and available for sale debt securities net of the amount expected to be collected. The guidance requires the measurement of expected credit losses to be based on relevant information from past events, including historical experiences, current conditions and reasonable and supportable forecasts that affect collectibility. The new guidance will be effective for fiscal years and interim periods beginning after December 15, 2019 and early adoption is permitted for fiscal years beginning after December 15, 2018, including interim periods within those fiscal years. Different components of the guidance require modified retrospective and/or prospective adoption. We are currently assessing whether we will early adopt, and the impact on our financial statements is not currently estimable. Intra-Entity Transfers of Assets Other Than Inventory. In October 2016, the FASB issued guidance that will require companies to recognize the income tax effects of intra-entity sales and transfers of assets other than inventory in the period in which the transfer occurs. The new guidance will be effective for fiscal years and interim periods beginning after December 15, 2017 and early adoption is permitted. The guidance requires modified retrospective adoption. We expect to adopt this guidance when effective, and do not expect the guidance to have a significant impact on our financial statements. |
Segment Information (Tables) |
12 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Dec. 31, 2016 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Segment Reporting [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Equipment rental revenue by equipment type | The following table presents the percentage of equipment rental revenue by equipment type for the years ended December 31, 2016, 2015 and 2014:
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Financial information by segment | The following table sets forth financial information by segment as of and for the years ended December 31, 2016, 2015 and 2014:
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Reconciliation of segment operating income to total Company operating income | The following is a reconciliation of equipment rentals gross profit to income before provision for income taxes:
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Geographic area information | We operate in the United States and Canada. The following table presents geographic area information for the years ended December 31, 2016, 2015 and 2014, except for balance sheet information, which is presented as of December 31, 2016 and 2015:
|
Restructuring Charges (Tables) |
12 Months Ended | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Dec. 31, 2016 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Closed Restructuring Programs | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Restructuring Cost and Reserve [Line Items] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Schedule of restructuring charges | The table below provides certain information concerning our restructuring charges under the closed restructuring programs:
_________________
|
|||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
2015-2016 Cost Savings Restructuring Program | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Restructuring Cost and Reserve [Line Items] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Schedule of restructuring charges | The table below provides certain information concerning our restructuring charges under the 2015/2016 restructuring program:
_________________
|
Rental Equipment (Tables) |
12 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Dec. 31, 2016 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Rental Equipment | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Property, Plant and Equipment [Line Items] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Schedule of rental equipment | Rental equipment consists of the following:
|
Property and Equipment (Tables) |
12 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Dec. 31, 2016 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Property and Equipment | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Property, Plant and Equipment [Line Items] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Schedule of property and equipment | Property and equipment consist of the following:
|
Goodwill and Other Intangible Assets (Tables) |
12 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Dec. 31, 2016 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Goodwill and Intangible Assets Disclosure [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Changes in carrying amount of goodwill | The following table presents the changes in the carrying amount of goodwill for each of the three years in the period ended December 31, 2016:
_________________
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Components of intangible assets | Other intangible assets were comprised of the following at December 31, 2016 and 2015:
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Estimated future amortization expense of intangible assets | As of December 31, 2016, estimated amortization expense for other intangible assets for each of the next five years and thereafter was as follows:
|
Accrued Expenses and Other Liabilities and Other Long-Term Liabilities (Tables) |
12 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Dec. 31, 2016 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Payables and Accruals [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Summary of accrued expenses and other liabilities | Accrued expenses and other liabilities consist of the following:
_________________
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Summary of other long-term liabilities | Other long-term liabilities consist of the following:
|
Derivatives (Tables) |
12 Months Ended | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Dec. 31, 2016 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Derivative Instruments and Hedging Activities Disclosure [Abstract] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Effect of derivatives on consolidated statements of income | The effect of our derivative instruments on our consolidated statements of income for the years ended December 31, 2016, 2015 and 2014 was as follows:
* Amounts are insignificant (less than $1).
|
Fair Value Measurements (Tables) |
12 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Dec. 31, 2016 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Fair Value Disclosures [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Summary of the fair value of financial instruments | The estimated fair values of our other financial instruments at December 31, 2016 and 2015 have been calculated based upon available market information or an appropriate valuation technique, and are as follows:
|
Debt (Tables) |
12 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Dec. 31, 2016 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Debt Disclosure [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Schedule of debt instruments | Debt, net of unamortized original issue discounts or premiums, and unamortized debt issuance costs, consists of the following:
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Schedule of the maturities of debt | Maturities of the Company’s debt (exclusive of any unamortized original issue discounts or premiums, and unamortized debt issuance costs) for each of the next five years and thereafter at December 31, 2016 are as follows:
|
Income Taxes (Tables) |
12 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Dec. 31, 2016 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Income Tax Disclosure [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Schedule of the components of the provision (benefit) for income taxes | The components of the provision for income taxes for each of the three years in the period ended December 31, 2016 are as follows:
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Schedule of effective income tax rate reconciliation | A reconciliation of the provision for income taxes and the amount computed by applying the statutory federal income tax rate of 35 percent to the income before provision for income taxes for each of the three years in the period ended December 31, 2016 is as follows:
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Schedule of deferred tax assets and liabilities | The components of deferred income tax assets (liabilities) are as follows:
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Schedule of unrecognized tax benefits | The following table summarizes the activity related to unrecognized tax benefits, some of which would impact our effective tax rate if recognized:
|
Commitments and Contingencies (Tables) |
12 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Dec. 31, 2016 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Commitments and Contingencies Disclosure [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Operating leases of lessee disclosure | Future minimum lease payments by year and in the aggregate, for non-cancelable operating leases with initial or remaining terms of one year or more are as follows at December 31, 2016:
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Schedule of capital leased assets | The following table presents capital lease financial statement information for the years ended December 31, 2016, 2015 and 2014, except for balance sheet information, which is presented as of December 31, 2016 and 2015:
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Schedule of future minimum capital lease payments | Future minimum lease payments for capital leases for each of the next five years and thereafter at December 31, 2016 are as follows:
|
Common Stock (Tables) |
12 Months Ended | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Dec. 31, 2016 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Equity and Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Schedule of stock option activity | A summary of the transactions within the Company’s stock option plans follows (shares in thousands):
|
|||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Schedule of share authorized under stock option plan, by exercise price range | As of December 31, 2016 (options in thousands):
|
|||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Summary of options outstanding | The following table presents information associated with options as of December 31, 2016 and 2015, and for the years ended December 31, 2016, 2015 and 2014:
|
|||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Summary of restricted stock units activity | A summary of RSU activity for the year ended December 31, 2016 follows (RSUs in thousands):
A summary of RSUs granted follows (RSUs in thousands):
|
Quarterly Financial Information (Unaudited) (Tables) |
12 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Dec. 31, 2016 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Quarterly Financial Information Disclosure [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Schedule of quarterly financial information |
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Schedule of after tax impact on diluted earnings per share | Diluted earnings per share includes the after-tax impacts of the following:
|
Earnings Per Share (Tables) |
12 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Dec. 31, 2016 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Earnings Per Share [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Schedule of earnings per share | The following table sets forth the computation of basic and diluted earnings per share (shares in thousands):
|
Condensed Consolidating Financial Information of Guarantor Subsidiaries (Tables) |
12 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Dec. 31, 2016 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Condensed Financial Information of Parent Company Only Disclosure [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Condensed Consolidating Balance Sheets | CONDENSED CONSOLIDATING BALANCE SHEETS December 31, 2016
CONDENSED CONSOLIDATING BALANCE SHEETS December 31, 2015
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Condensed Consolidating Statements of Income | CONDENSED CONSOLIDATING STATEMENTS OF INCOME For the Year Ended December 31, 2016
CONDENSED CONSOLIDATING STATEMENTS OF INCOME For the Year Ended December 31, 2015
CONDENSED CONSOLIDATING STATEMENTS OF INCOME For the Year Ended December 31, 2014
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Condensed Consolidating Cash Flow Information | CONDENSED CONSOLIDATING CASH FLOW INFORMATION For the Year Ended December 31, 2016
CONDENSED CONSOLIDATING CASH FLOW INFORMATION For the Year Ended December 31, 2015
CONDENSED CONSOLIDATING CASH FLOW INFORMATION For the Year Ended December 31, 2014
|
Summary of Significant Accounting Policies (Details) - USD ($) $ in Millions |
12 Months Ended | ||||||
---|---|---|---|---|---|---|---|
Oct. 01, 2016 |
Nov. 30, 2015 |
Dec. 31, 2016 |
Dec. 31, 2015 |
Dec. 31, 2014 |
Oct. 01, 2015 |
Dec. 31, 2013 |
|
Significant Accounting Policies [Line Items] | |||||||
Cost of service and other revenues | $ 41 | $ 38 | $ 32 | ||||
Percentage of fair value in excess of carrying amount | 53.00% | 51.00% | |||||
Goodwill | 3,260 | 3,243 | 3,272 | $ 2,953 | |||
Deferred revenue | 33 | 32 | |||||
Advertising reimbursements | 19 | $ 17 | 16 | ||||
Insurance proceeds included in operating activities | $ 12 | ||||||
Accounts receivable | Customer concentration risk | |||||||
Significant Accounting Policies [Line Items] | |||||||
Concentration risk, percentage (less than 1% of total revenues) | 2.00% | 1.00% | |||||
Trade names and trademarks | |||||||
Significant Accounting Policies [Line Items] | |||||||
Finite lived intangible assets life | 5 years | ||||||
Rental Equipment | |||||||
Significant Accounting Policies [Line Items] | |||||||
Property, plant and equipment additions | $ 18 | $ 30 | 39 | ||||
Cost of service and other revenues | $ 629 | $ 628 | $ 604 | ||||
Minimum | Customer relationships | |||||||
Significant Accounting Policies [Line Items] | |||||||
Finite lived intangible assets life | 7 years | ||||||
Minimum | Rental Equipment | |||||||
Significant Accounting Policies [Line Items] | |||||||
Property, plant and equipment useful life | 2 years | ||||||
Property, plant and equipment salvage value | 0.00% | ||||||
Minimum | Property and Equipment | |||||||
Significant Accounting Policies [Line Items] | |||||||
Property, plant and equipment useful life | 2 years | ||||||
Maximum | Non-compete agreements | |||||||
Significant Accounting Policies [Line Items] | |||||||
Finite lived intangible assets life | 5 years | ||||||
Maximum | Customer relationships | |||||||
Significant Accounting Policies [Line Items] | |||||||
Finite lived intangible assets life | 15 years | ||||||
Maximum | Rental Equipment | |||||||
Significant Accounting Policies [Line Items] | |||||||
Property, plant and equipment useful life | 12 years | ||||||
Property, plant and equipment salvage value | 10.00% | ||||||
Maximum | Property and Equipment | |||||||
Significant Accounting Policies [Line Items] | |||||||
Property, plant and equipment useful life | 39 years | ||||||
Largest customer | Maximum | Revenues | Customer concentration risk | |||||||
Significant Accounting Policies [Line Items] | |||||||
Concentration risk, percentage (less than 1% of total revenues) | 1.00% | 1.00% | 1.00% | ||||
Pump Solutions | |||||||
Significant Accounting Policies [Line Items] | |||||||
Percentage of fair value in excess of carrying amount | 15.00% | 1.00% | 3.30% | ||||
Goodwill | $ 312 | ||||||
Increase in discount rate | 0.50% | 0.50% | |||||
Reduction in long-term growth rate | 0.25% | 0.25% | |||||
Long-term terminal growth rate | 14.00% | ||||||
Discount rate | 3.00% | ||||||
Impairment test measurement period | 10 years |
Segment Information (Narrative) (Details) |
12 Months Ended |
---|---|
Dec. 31, 2016
reportable_segment
Region
| |
Segment Reporting Information [Line Items] | |
Number of reportable segments | reportable_segment | 2 |
Operating segments | General rentals | |
Segment Reporting Information [Line Items] | |
Number of geographic regions entity operates in (in locations) | Region | 9 |
Segment Information (Percentage of Equipment Rental Revenue by Equipment Type) (Details) - Equipment rental revenue - Product concentration risk |
12 Months Ended | ||
---|---|---|---|
Dec. 31, 2016 |
Dec. 31, 2015 |
Dec. 31, 2014 |
|
General construction and industrial equipment | General rentals | |||
Segment Reporting Information [Line Items] | |||
Percentage of equipment rental revenue | 43.00% | 43.00% | 43.00% |
Aerial work platforms | General rentals | |||
Segment Reporting Information [Line Items] | |||
Percentage of equipment rental revenue | 32.00% | 32.00% | 33.00% |
General tools and light equipment | General rentals | |||
Segment Reporting Information [Line Items] | |||
Percentage of equipment rental revenue | 8.00% | 10.00% | 10.00% |
Power and HVAC equipment | Trench, power and pump | |||
Segment Reporting Information [Line Items] | |||
Percentage of equipment rental revenue | 7.00% | 6.00% | 6.00% |
Trench safety equipment | Trench, power and pump | |||
Segment Reporting Information [Line Items] | |||
Percentage of equipment rental revenue | 6.00% | 5.00% | 5.00% |
Pumps | Trench, power and pump | |||
Segment Reporting Information [Line Items] | |||
Percentage of equipment rental revenue | 4.00% | 4.00% | 3.00% |
Segment Information (Financial information by segment) (Details) - USD ($) $ in Millions |
3 Months Ended | 12 Months Ended | |||||||||
---|---|---|---|---|---|---|---|---|---|---|---|
Dec. 31, 2016 |
Sep. 30, 2016 |
Jun. 30, 2016 |
Mar. 31, 2016 |
Dec. 31, 2015 |
Sep. 30, 2015 |
Jun. 30, 2015 |
Mar. 31, 2015 |
Dec. 31, 2016 |
Dec. 31, 2015 |
Dec. 31, 2014 |
|
Segment Reporting Information [Line Items] | |||||||||||
Equipment rentals | $ 4,941 | $ 4,949 | $ 4,819 | ||||||||
Sales of rental equipment | 496 | 538 | 544 | ||||||||
Sales of new equipment | 144 | 157 | 149 | ||||||||
Contractor supplies sales | 79 | 79 | 85 | ||||||||
Service and other revenues | 102 | 94 | 88 | ||||||||
Total revenues | $ 1,523 | $ 1,508 | $ 1,421 | $ 1,310 | $ 1,523 | $ 1,550 | $ 1,429 | $ 1,315 | 5,762 | 5,817 | 5,685 |
Depreciation and amortization expense | 1,245 | 1,244 | 1,194 | ||||||||
Gross profit | 657 | $ 656 | $ 590 | $ 500 | 648 | $ 690 | $ 618 | $ 524 | 2,403 | 2,480 | 2,432 |
Capital expenditures | 1,339 | 1,636 | 1,821 | ||||||||
Total assets | 11,988 | 12,083 | 11,988 | 12,083 | 12,129 | ||||||
General rentals | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Equipment rentals | 4,166 | 4,241 | 4,222 | ||||||||
Sales of rental equipment | 459 | 504 | 519 | ||||||||
Sales of new equipment | 128 | 137 | 113 | ||||||||
Contractor supplies sales | 64 | 67 | 73 | ||||||||
Service and other revenues | 91 | 83 | 75 | ||||||||
Total revenues | 4,908 | 5,032 | 5,002 | ||||||||
Depreciation and amortization expense | 1,066 | 1,071 | 1,060 | ||||||||
Capital expenditures | 1,189 | 1,439 | 1,594 | ||||||||
Total assets | 10,496 | 10,561 | 10,496 | 10,561 | 10,597 | ||||||
Trench, power and pump | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Equipment rentals | 775 | 708 | 597 | ||||||||
Sales of rental equipment | 37 | 34 | 25 | ||||||||
Sales of new equipment | 16 | 20 | 36 | ||||||||
Contractor supplies sales | 15 | 12 | 12 | ||||||||
Service and other revenues | 11 | 11 | 13 | ||||||||
Total revenues | 854 | 785 | 683 | ||||||||
Depreciation and amortization expense | 179 | 173 | 134 | ||||||||
Capital expenditures | 150 | 197 | 227 | ||||||||
Total assets | $ 1,492 | $ 1,522 | 1,492 | 1,522 | 1,532 | ||||||
Equipment rentals | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Gross profit | 2,089 | 2,147 | 2,092 | ||||||||
Equipment rentals | General rentals | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Gross profit | 1,725 | 1,819 | 1,790 | ||||||||
Equipment rentals | Trench, power and pump | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Gross profit | $ 364 | $ 328 | $ 302 |
Segment Information (Reconciliation to consolidated totals) (Details) - USD ($) $ in Millions |
3 Months Ended | 12 Months Ended | |||||||||
---|---|---|---|---|---|---|---|---|---|---|---|
Dec. 31, 2016 |
Sep. 30, 2016 |
Jun. 30, 2016 |
Mar. 31, 2016 |
Dec. 31, 2015 |
Sep. 30, 2015 |
Jun. 30, 2015 |
Mar. 31, 2015 |
Dec. 31, 2016 |
Dec. 31, 2015 |
Dec. 31, 2014 |
|
Segment Reporting, Reconciling Item for Operating Profit (Loss) from Segment to Consolidated [Line Items] | |||||||||||
Total equipment rentals gross profit | $ 657 | $ 656 | $ 590 | $ 500 | $ 648 | $ 690 | $ 618 | $ 524 | $ 2,403 | $ 2,480 | $ 2,432 |
Selling, general and administrative expenses | (719) | (714) | (758) | ||||||||
Merger related costs | 0 | 26 | (11) | ||||||||
Restructuring charge | (14) | (6) | 1 | ||||||||
Non-rental depreciation and amortization | (255) | (268) | (273) | ||||||||
Interest expense, net | (511) | (567) | (555) | ||||||||
Other income, net | 5 | 12 | 14 | ||||||||
Income before provision for income taxes | 909 | 963 | 850 | ||||||||
Equipment rentals | |||||||||||
Segment Reporting, Reconciling Item for Operating Profit (Loss) from Segment to Consolidated [Line Items] | |||||||||||
Total equipment rentals gross profit | 2,089 | 2,147 | 2,092 | ||||||||
Other products and services | |||||||||||
Segment Reporting, Reconciling Item for Operating Profit (Loss) from Segment to Consolidated [Line Items] | |||||||||||
Total equipment rentals gross profit | $ 314 | $ 333 | $ 340 |
Segment Information (Geographic area information) (Details) - USD ($) $ in Millions |
3 Months Ended | 12 Months Ended | |||||||||
---|---|---|---|---|---|---|---|---|---|---|---|
Dec. 31, 2016 |
Sep. 30, 2016 |
Jun. 30, 2016 |
Mar. 31, 2016 |
Dec. 31, 2015 |
Sep. 30, 2015 |
Jun. 30, 2015 |
Mar. 31, 2015 |
Dec. 31, 2016 |
Dec. 31, 2015 |
Dec. 31, 2014 |
|
Revenues from External Customers and Long-Lived Assets [Line Items] | |||||||||||
Equipment rentals | $ 4,941 | $ 4,949 | $ 4,819 | ||||||||
Sales of rental equipment | 496 | 538 | 544 | ||||||||
Sales of new equipment | 144 | 157 | 149 | ||||||||
Contractor supplies sales | 79 | 79 | 85 | ||||||||
Service and other revenues | 102 | 94 | 88 | ||||||||
Total revenues | $ 1,523 | $ 1,508 | $ 1,421 | $ 1,310 | $ 1,523 | $ 1,550 | $ 1,429 | $ 1,315 | 5,762 | 5,817 | 5,685 |
Goodwill and other intangibles, net | 4,002 | 4,148 | 4,002 | 4,148 | |||||||
Domestic | |||||||||||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||||||||||
Equipment rentals | 4,524 | 4,452 | 4,217 | ||||||||
Sales of rental equipment | 444 | 480 | 478 | ||||||||
Sales of new equipment | 129 | 137 | 124 | ||||||||
Contractor supplies sales | 68 | 69 | 70 | ||||||||
Service and other revenues | 87 | 80 | 73 | ||||||||
Total revenues | 5,252 | 5,218 | 4,962 | ||||||||
Goodwill and other intangibles, net | 3,699 | 3,838 | 3,699 | 3,838 | |||||||
Foreign (Canada) | |||||||||||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||||||||||
Equipment rentals | 417 | 497 | 602 | ||||||||
Sales of rental equipment | 52 | 58 | 66 | ||||||||
Sales of new equipment | 15 | 20 | 25 | ||||||||
Contractor supplies sales | 11 | 10 | 15 | ||||||||
Service and other revenues | 15 | 14 | 15 | ||||||||
Total revenues | 510 | 599 | $ 723 | ||||||||
Goodwill and other intangibles, net | 303 | 310 | 303 | 310 | |||||||
Rental equipment, net | |||||||||||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||||||||||
Property, plant and equipment, net | 6,189 | 6,186 | 6,189 | 6,186 | |||||||
Rental equipment, net | Domestic | |||||||||||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||||||||||
Property, plant and equipment, net | 5,709 | 5,657 | 5,709 | 5,657 | |||||||
Rental equipment, net | Foreign (Canada) | |||||||||||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||||||||||
Property, plant and equipment, net | 480 | 529 | 480 | 529 | |||||||
Property and equipment, net | |||||||||||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||||||||||
Property, plant and equipment, net | 430 | 445 | 430 | 445 | |||||||
Property and equipment, net | Domestic | |||||||||||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||||||||||
Property, plant and equipment, net | 390 | 399 | 390 | 399 | |||||||
Property and equipment, net | Foreign (Canada) | |||||||||||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||||||||||
Property, plant and equipment, net | $ 40 | $ 46 | $ 40 | $ 46 |
Restructuring Charges (Narrative) (Details) $ in Millions |
Dec. 31, 2016
USD ($)
restructuring_program
|
---|---|
Closed Restructuring Programs | |
Restructuring Cost and Reserve [Line Items] | |
Number of restructuring programs | restructuring_program | 2 |
Restructuring charges incurred to date | $ 216 |
Closed Restructuring Programs | Branch closure charges | |
Restructuring Cost and Reserve [Line Items] | |
Restructuring charges incurred to date | 150 |
Closed Restructuring Programs | Severance costs | |
Restructuring Cost and Reserve [Line Items] | |
Restructuring charges incurred to date | 66 |
2015-2016 Cost Savings Restructuring Program | |
Restructuring Cost and Reserve [Line Items] | |
Restructuring charges incurred to date | 18 |
2015-2016 Cost Savings Restructuring Program | Branch closure charges | |
Restructuring Cost and Reserve [Line Items] | |
Restructuring charges incurred to date | 10 |
2015-2016 Cost Savings Restructuring Program | Severance costs | |
Restructuring Cost and Reserve [Line Items] | |
Restructuring charges incurred to date | $ 8 |
Restructuring Charges (Schedule Of Restructuring Charges) (Details) - USD ($) $ in Millions |
3 Months Ended | 12 Months Ended | |||
---|---|---|---|---|---|
Dec. 31, 2016 |
Dec. 31, 2015 |
Dec. 31, 2016 |
Dec. 31, 2015 |
Dec. 31, 2014 |
|
Restructuring Reserve [Roll Forward] | |||||
Beginning Reserve Balance | $ 16 | ||||
Charged to Costs and Expenses | 14 | $ 6 | $ (1) | ||
Ending Reserve Balance | $ 17 | $ 16 | 17 | 16 | |
Closed Restructuring Programs | |||||
Restructuring Reserve [Roll Forward] | |||||
Beginning Reserve Balance | 13 | 20 | 35 | ||
Charged to Costs and Expenses | 0 | 2 | (1) | ||
Payments and Other | (5) | (9) | (14) | ||
Ending Reserve Balance | 8 | 13 | 8 | 13 | 20 |
Closed Restructuring Programs | Branch closure charges | |||||
Restructuring Reserve [Roll Forward] | |||||
Beginning Reserve Balance | 13 | 20 | 33 | ||
Charged to Costs and Expenses | 0 | 2 | (1) | ||
Payments and Other | (5) | (9) | (12) | ||
Ending Reserve Balance | 8 | 13 | 8 | 13 | 20 |
Closed Restructuring Programs | Severance costs | |||||
Restructuring Reserve [Roll Forward] | |||||
Beginning Reserve Balance | 0 | 0 | 2 | ||
Charged to Costs and Expenses | 0 | 0 | 0 | ||
Payments and Other | 0 | 0 | (2) | ||
Ending Reserve Balance | 0 | 0 | 0 | 0 | 0 |
2015-2016 Cost Savings Restructuring Program | |||||
Restructuring Reserve [Roll Forward] | |||||
Beginning Reserve Balance | 3 | 0 | |||
Charged to Costs and Expenses | 6 | 4 | 14 | 4 | |
Payments and Other | (8) | (1) | |||
Ending Reserve Balance | 9 | 3 | 9 | 3 | 0 |
2015-2016 Cost Savings Restructuring Program | Branch closure charges | |||||
Restructuring Reserve [Roll Forward] | |||||
Beginning Reserve Balance | 0 | 0 | |||
Charged to Costs and Expenses | 10 | 0 | |||
Payments and Other | (2) | 0 | |||
Ending Reserve Balance | 8 | 0 | 8 | 0 | 0 |
2015-2016 Cost Savings Restructuring Program | Severance costs | |||||
Restructuring Reserve [Roll Forward] | |||||
Beginning Reserve Balance | 3 | 0 | |||
Charged to Costs and Expenses | 4 | 4 | |||
Payments and Other | (6) | (1) | |||
Ending Reserve Balance | $ 1 | $ 3 | $ 1 | $ 3 | $ 0 |
Rental Equipment (Details) - Rental equipment, net - USD ($) $ in Millions |
Dec. 31, 2016 |
Dec. 31, 2015 |
---|---|---|
Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment, gross | $ 9,413 | $ 9,022 |
Less accumulated depreciation | (3,224) | (2,836) |
Property, Plant and Equipment, Total | $ 6,189 | $ 6,186 |
Property and Equipment (Details) - USD ($) $ in Millions |
Dec. 31, 2016 |
Dec. 31, 2015 |
---|---|---|
Property and Equipment | ||
Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment, gross | $ 897 | $ 871 |
Less accumulated depreciation and amortization | (467) | (426) |
Property, Plant and Equipment, Total | 430 | 445 |
Land | ||
Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment, gross | 96 | 98 |
Buildings | ||
Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment, gross | 212 | 226 |
Non-rental vehicles | ||
Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment, gross | 93 | 86 |
Machinery and equipment | ||
Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment, gross | 87 | 78 |
Furniture and fixtures | ||
Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment, gross | 188 | 171 |
Leasehold improvements | ||
Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment, gross | $ 221 | $ 212 |
Goodwill and Other Intangible Assets (Goodwill) (Details) - USD ($) $ in Millions |
12 Months Ended | ||
---|---|---|---|
Dec. 31, 2016 |
Dec. 31, 2015 |
Dec. 31, 2014 |
|
Goodwill [Roll Forward] | |||
Balance at beginning of period | $ 3,243 | $ 3,272 | $ 2,953 |
Goodwill related to acquisitions | 9 | 16 | 342 |
Foreign currency translation and other adjustments | 8 | (45) | (23) |
Balance at end of period | 3,260 | 3,243 | 3,272 |
General rentals | |||
Goodwill [Roll Forward] | |||
Balance at beginning of period | 2,786 | 2,804 | 2,812 |
Goodwill related to acquisitions | 5 | 16 | 12 |
Foreign currency translation and other adjustments | 6 | (34) | (20) |
Balance at end of period | 2,797 | 2,786 | 2,804 |
Goodwill accumulated impairment loss | 1,557 | ||
Trench, power and pump | |||
Goodwill [Roll Forward] | |||
Balance at beginning of period | 457 | 468 | 141 |
Goodwill related to acquisitions | 4 | 0 | 330 |
Foreign currency translation and other adjustments | 2 | (11) | (3) |
Balance at end of period | $ 463 | $ 457 | $ 468 |
Goodwill and Other Intangible Assets (Other Intangible Assets) (Details) - USD ($) $ in Millions |
12 Months Ended | ||
---|---|---|---|
Dec. 31, 2016 |
Dec. 31, 2015 |
Dec. 31, 2014 |
|
Finite-Lived Intangible Assets [Line Items] | |||
Net Amount | $ 742 | $ 905 | |
Amortization expense | 174 | 193 | $ 204 |
Finite-Lived Intangible Assets, Net, Amortization Expense, Fiscal Year Maturity [Abstract] | |||
2017 | 146 | ||
2018 | 126 | ||
2019 | 111 | ||
2020 | 95 | ||
2021 | 80 | ||
Thereafter | 184 | ||
Net Amount | $ 742 | $ 905 | |
Non-compete agreements | |||
Finite-Lived Intangible Assets [Line Items] | |||
Weighted-Average Remaining Amortization Period | 28 months | 31 months | |
Gross Carrying Amount | $ 70 | $ 69 | |
Accumulated Amortization | 57 | 44 | |
Net Amount | 13 | 25 | |
Finite-Lived Intangible Assets, Net, Amortization Expense, Fiscal Year Maturity [Abstract] | |||
Net Amount | $ 13 | $ 25 | |
Customer relationships | |||
Finite-Lived Intangible Assets [Line Items] | |||
Weighted-Average Remaining Amortization Period | 10 years | 11 years | |
Gross Carrying Amount | $ 1,465 | $ 1,453 | |
Accumulated Amortization | 737 | 583 | |
Net Amount | 728 | 870 | |
Finite-Lived Intangible Assets, Net, Amortization Expense, Fiscal Year Maturity [Abstract] | |||
Net Amount | $ 728 | $ 870 | |
Trade names and associated trademarks | |||
Finite-Lived Intangible Assets [Line Items] | |||
Weighted-Average Remaining Amortization Period | 4 months | 16 months | |
Gross Carrying Amount | $ 80 | $ 80 | |
Accumulated Amortization | 79 | 70 | |
Net Amount | 1 | 10 | |
Finite-Lived Intangible Assets, Net, Amortization Expense, Fiscal Year Maturity [Abstract] | |||
Net Amount | $ 1 | $ 10 |
Accrued Expenses and Other Liabilities and Other Long-Term Liabilities (Details) - USD ($) $ in Millions |
Dec. 31, 2016 |
Dec. 31, 2015 |
---|---|---|
Accrued expenses and other liabilities | ||
Self-insurance accruals | $ 35 | $ 43 |
Accrued compensation and benefit costs | 55 | 41 |
Property and income taxes payable | 23 | 22 |
Restructuring reserves | 17 | 16 |
Interest payable | 79 | 91 |
Deferred revenue | 40 | 38 |
National accounts accrual | 40 | 39 |
Due to seller | 2 | 4 |
Other | 53 | 61 |
Accrued expenses and other liabilities | 344 | 355 |
Other long-term liabilities | ||
Self-insurance accruals | 59 | 47 |
Accrued compensation and benefit costs | 8 | 7 |
Other long-term liabilities | $ 67 | $ 54 |
Derivatives (Narrative) (Details) gal in Millions, CAD in Millions, $ in Millions |
12 Months Ended | |||
---|---|---|---|---|
Dec. 31, 2016
USD ($)
gal
|
Dec. 31, 2016
CAD
gal
|
Dec. 31, 2015
USD ($)
gal
|
Dec. 31, 2014
USD ($)
gal
|
|
Diesel swap | ||||
Derivative [Line Items] | ||||
Derivative, nonmonetary notional amount (in gallons) | 7.0 | 7.0 | ||
Forward contracts | ||||
Derivative [Line Items] | ||||
Derivative purchases of underlying currency (in Canadian Dollars) | CAD | CAD 894 | |||
Swap | ||||
Derivative [Line Items] | ||||
Hedging activities net cash flow impact | $ | $ 29 | $ 35 | $ 41 | |
Derivative purchases of underlying commodity (in gallons) | 10.1 | 10.1 | 10.6 | 10.5 |
Derivatives (Effect of derivatives on consolidated statements of income) (Details) gal in Millions, $ in Millions |
12 Months Ended | ||
---|---|---|---|
Dec. 31, 2016
USD ($)
gal
|
Dec. 31, 2015
USD ($)
gal
|
Dec. 31, 2014
USD ($)
gal
|
|
Swap | |||
Derivative Instruments, Gain (Loss) [Line Items] | |||
Derivative purchases of underlying commodity (in gallons) | gal | 10.1 | 10.6 | 10.5 |
Swap | Designated as hedging instrument | Cost of equipment rentals, excluding depreciation | |||
Derivative Instruments, Gain (Loss) [Line Items] | |||
Amount of income (expense) recognized on derivative | $ (6) | $ (7) | |
Amount of income (expense) recognized on hedged item | (23) | (29) | $ (40) |
Foreign currency forward | Not designated as hedging instrument | Other income (expense), net | |||
Derivative Instruments, Gain (Loss) [Line Items] | |||
Amount of income (expense) recognized on derivative | (3) | (5) | (7) |
Amount of income (expense) recognized on hedged item | $ 3 | $ 5 | $ 7 |
Fair Value Measurements (Narrative) (Details) - Diesel swap gal in Millions |
12 Months Ended |
---|---|
Dec. 31, 2016
$ / gal
gal
| |
Derivatives, Fair Value [Line Items] | |
Derivative, nonmonetary notional amount (in gallons) | gal | 7.0 |
Derivative, notional amount (in dollars per gallon) | 2.56 |
Average forward price (in dollars per gallon) | 2.73 |
Fair Value Measurements (Financial Instruments) (Details) - USD ($) $ in Millions |
Dec. 31, 2016 |
Dec. 31, 2015 |
---|---|---|
Capital leases | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Effective interest rate | 7.00% | |
Level 1 | Carrying Amount | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Senior and senior subordinated notes | $ 5,506 | $ 5,916 |
Level 1 | Fair Value | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Senior and senior subordinated notes | 5,715 | 6,030 |
Level 3 | Carrying Amount | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Capital leases | 71 | 96 |
Level 3 | Fair Value | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Capital leases | $ 70 | $ 95 |
Debt (Schedule of Debt) (Details) - USD ($) |
3 Months Ended | 12 Months Ended | |||||||||
---|---|---|---|---|---|---|---|---|---|---|---|
Dec. 31, 2016 |
Dec. 31, 2016 |
Dec. 31, 2015 |
Dec. 31, 2014 |
Nov. 30, 2016 |
Aug. 31, 2016 |
May 31, 2016 |
Mar. 31, 2015 |
Mar. 31, 2014 |
Oct. 31, 2012 |
Mar. 31, 2012 |
|
Debt Instrument [Line Items] | |||||||||||
Total debt | $ 7,790,000,000 | $ 7,790,000,000 | $ 8,162,000,000 | ||||||||
Less short-term portion | (597,000,000) | (597,000,000) | (607,000,000) | ||||||||
Long-term debt | 7,193,000,000 | 7,193,000,000 | 7,555,000,000 | ||||||||
Loss on extinguishment of debt | 101,000,000 | 123,000,000 | $ 80,000,000 | ||||||||
Accounts Receivable Securitization Facility | |||||||||||
Debt Instrument [Line Items] | |||||||||||
Unused borrowing capacity amount | $ 57,000,000 | $ 57,000,000 | |||||||||
Interest rate at period end | 1.50% | 1.50% | |||||||||
Accounts Receivable Securitization Facility | Accounts receivable facility | |||||||||||
Debt Instrument [Line Items] | |||||||||||
Total debt | $ 568,000,000 | $ 568,000,000 | 571,000,000 | ||||||||
Line of credit facility, maximum borrowing capacity | $ 625,000,000 | ||||||||||
$2.5 billion ABL Facility | |||||||||||
Debt Instrument [Line Items] | |||||||||||
Unused borrowing capacity amount | 809,000,000 | 809,000,000 | |||||||||
Letters of credit outstanding | $ 36,000,000 | $ 36,000,000 | |||||||||
Interest rate at period end | 2.30% | 2.30% | |||||||||
Line of credit facility, maximum borrowing capacity | $ 2,500,000,000.0 | $ 2,500,000,000.0 | 2,500,000,000.0 | ||||||||
$2.5 billion ABL Facility | Credit facility | |||||||||||
Debt Instrument [Line Items] | |||||||||||
Total debt | 1,645,000,000 | 1,645,000,000 | $ 1,579,000,000 | ||||||||
7 3/8 percent Senior Notes | |||||||||||
Debt Instrument [Line Items] | |||||||||||
Stated interest rate | 7.375% | ||||||||||
7 3/8 percent Senior Notes | Senior notes | |||||||||||
Debt Instrument [Line Items] | |||||||||||
Total debt | $ 0 | $ 0 | $ 740,000,000 | ||||||||
8 1/4 percent Senior Notes | |||||||||||
Debt Instrument [Line Items] | |||||||||||
Stated interest rate | 8.25% | 8.25% | 8.25% | ||||||||
8 1/4 percent Senior Notes | Senior notes | |||||||||||
Debt Instrument [Line Items] | |||||||||||
Total debt | $ 0 | $ 0 | $ 315,000,000 | ||||||||
7 5/8 percent Senior Notes | |||||||||||
Debt Instrument [Line Items] | |||||||||||
Stated interest rate | 7.625% | 7.625% | |||||||||
7 5/8 percent Senior Notes | Interest expense | |||||||||||
Debt Instrument [Line Items] | |||||||||||
Loss on extinguishment of debt | $ 65,000,000 | ||||||||||
7 5/8 percent Senior Notes | Senior notes | |||||||||||
Debt Instrument [Line Items] | |||||||||||
Total debt | $ 469,000,000 | $ 469,000,000 | 1,306,000,000 | ||||||||
Redemption of principal amount of debt | $ 850,000,000 | ||||||||||
Debt instrument, face amount | $ 1,325,000,000 | ||||||||||
6 1/8 percent Senior Notes | |||||||||||
Debt Instrument [Line Items] | |||||||||||
Stated interest rate | 6.125% | 6.125% | |||||||||
6 1/8 percent Senior Notes | Senior notes | |||||||||||
Debt Instrument [Line Items] | |||||||||||
Total debt | $ 936,000,000 | $ 936,000,000 | 937,000,000 | ||||||||
Debt instrument, face amount | $ 400,000,000 | ||||||||||
4 5/8 percent Senior Secured Notes | |||||||||||
Debt Instrument [Line Items] | |||||||||||
Stated interest rate | 4.625% | 4.625% | |||||||||
4 5/8 percent Senior Secured Notes | Senior secured notes | |||||||||||
Debt Instrument [Line Items] | |||||||||||
Total debt | $ 991,000,000 | $ 991,000,000 | 989,000,000 | ||||||||
Debt instrument, face amount | $ 1,000,000,000 | ||||||||||
5 3/4 percent Senior Notes | |||||||||||
Debt Instrument [Line Items] | |||||||||||
Stated interest rate | 5.75% | 5.75% | |||||||||
5 3/4 percent Senior Notes | Senior notes | |||||||||||
Debt Instrument [Line Items] | |||||||||||
Total debt | $ 839,000,000 | $ 839,000,000 | 838,000,000 | ||||||||
Debt instrument, face amount | $ 850,000,000 | ||||||||||
5 1/2 percent Senior Notes due 2025 | |||||||||||
Debt Instrument [Line Items] | |||||||||||
Stated interest rate | 5.50% | 5.50% | |||||||||
5 1/2 percent Senior Notes due 2025 | Senior notes | |||||||||||
Debt Instrument [Line Items] | |||||||||||
Total debt | $ 792,000,000 | $ 792,000,000 | 791,000,000 | ||||||||
Debt instrument, face amount | $ 800,000,000 | ||||||||||
5 7/8 percent Senior Notes | |||||||||||
Debt Instrument [Line Items] | |||||||||||
Stated interest rate | 5.875% | 5.875% | |||||||||
5 7/8 percent Senior Notes | Senior notes | |||||||||||
Debt Instrument [Line Items] | |||||||||||
Total debt | $ 740,000,000 | $ 740,000,000 | 0 | ||||||||
Debt instrument, face amount | $ 750,000,000 | ||||||||||
5 1/2 percent Senior Notes due 2027 | |||||||||||
Debt Instrument [Line Items] | |||||||||||
Stated interest rate | 5.50% | 5.50% | |||||||||
5 1/2 percent Senior Notes due 2027 | Senior notes | |||||||||||
Debt Instrument [Line Items] | |||||||||||
Total debt | $ 739,000,000 | $ 739,000,000 | 0 | ||||||||
Debt instrument, face amount | $ 750,000,000 | ||||||||||
Capital leases | |||||||||||
Debt Instrument [Line Items] | |||||||||||
Total debt | $ 71,000,000 | 71,000,000 | $ 96,000,000 | ||||||||
7 3/8, 8 1/4, and 7 5/8 Senior Notes | Interest expense | |||||||||||
Debt Instrument [Line Items] | |||||||||||
Loss on extinguishment of debt | $ 100,000,000 |
Debt (Short Term Debt Narrative) (Details) - USD ($) |
12 Months Ended | ||
---|---|---|---|
Dec. 31, 2016 |
Aug. 31, 2016 |
Dec. 31, 2015 |
|
Short-term Debt [Line Items] | |||
Short-term debt | $ 7,790,000,000 | $ 8,162,000,000 | |
Accounts receivable facility | Accounts Receivable Securitization Facility | |||
Short-term Debt [Line Items] | |||
Short-term debt | 568,000,000 | $ 571,000,000 | |
Average outstanding amount | $ 551,000,000 | ||
Interest rate during period | 1.20% | ||
Maximum month-end outstanding amount | $ 621,000,000 | ||
Line of credit facility, maximum borrowing capacity | $ 625,000,000 | ||
Extension period | 364 days | ||
Collateral amount | $ 655,000,000 |
Debt (Long Term Debt Narrative) (Details) - USD ($) |
1 Months Ended | 12 Months Ended | 18 Months Ended | |||||||
---|---|---|---|---|---|---|---|---|---|---|
Nov. 30, 2016 |
May 31, 2016 |
Mar. 31, 2015 |
Mar. 31, 2014 |
Oct. 31, 2012 |
Mar. 31, 2012 |
Jun. 30, 2008 |
Dec. 31, 2016 |
Mar. 31, 2014 |
Dec. 31, 2015 |
|
$2.5 billion ABL Facility | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Line of credit facility, maximum borrowing capacity | $ 2,500,000,000.0 | $ 2,500,000,000.0 | ||||||||
Maximum revolving credit amount percentage | 10.00% | |||||||||
$2.5 billion ABL Facility | Credit facility | Line of credit | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Debt instrument, term | 5 years | |||||||||
Line of credit facility, maximum borrowing capacity | $ 1,250,000,000.000 | $ 2,500,000,000.0 | ||||||||
Line of credit facility, average outstanding amount | $ 1,400,000,000 | |||||||||
Line of credit facility, interest rate during period | 2.10% | |||||||||
Line of credit facility, maximum month-end outstanding amount | $ 1,700,000,000 | |||||||||
7 5/8 percent Senior Notes | Senior notes | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Debt instrument, face amount | $ 1,325,000,000 | |||||||||
Proceeds from issuance of long-term debt | $ 1,295,000,000 | |||||||||
Redemption of principal amount of debt | 850,000,000 | |||||||||
Outstanding principal amount of debt | 475,000,000 | |||||||||
Debt redemption percentage | 101.00% | |||||||||
7 5/8 percent Senior Notes | Senior notes | Period commencing in 2017 | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Debt redemption percentage | 103.813% | |||||||||
7 5/8 percent Senior Notes | Senior notes | Period commencing in 2020 | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Debt redemption percentage | 100.00% | |||||||||
6 1/8 percent Senior Notes | Senior notes | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Debt instrument, face amount | $ 400,000,000 | |||||||||
Proceeds from issuance of long-term debt | $ 939,000,000 | |||||||||
Debt redemption percentage | 101.00% | |||||||||
Debt instrument, unamortized premium | $ 21,000,000 | |||||||||
Effective interest rate | 5.70% | |||||||||
6 1/8 percent Senior Notes | Senior notes | Period commencing in 2017 | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Debt redemption percentage | 103.063% | |||||||||
6 1/8 percent Senior Notes | Senior notes | Period commencing in 2020 | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Debt redemption percentage | 100.00% | |||||||||
Add-on to Senior Notes 6 1/8 percent | Senior notes | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Debt instrument, face amount | $ 525,000,000 | 525,000,000 | ||||||||
4 5/8 percent Senior Secured Notes | Senior secured notes | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Debt instrument, face amount | $ 1,000,000,000 | |||||||||
Proceeds from issuance of long-term debt | $ 990,000,000 | |||||||||
Debt redemption percentage | 101.00% | |||||||||
4 5/8 percent Senior Secured Notes | Senior secured notes | Period commencing in 2018 | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Debt redemption percentage | 103.469% | |||||||||
4 5/8 percent Senior Secured Notes | Senior secured notes | Period commencing in 2021 | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Debt redemption percentage | 100.00% | |||||||||
5 3/4 percent Senior Notes | Senior notes | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Debt instrument, face amount | 850,000,000 | $ 850,000,000 | ||||||||
Proceeds from issuance of long-term debt | $ 837,000,000 | |||||||||
Debt redemption percentage | 101.00% | |||||||||
5 3/4 percent Senior Notes | Senior notes | Period commencing in 2019 | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Debt redemption percentage | 102.875% | |||||||||
5 3/4 percent Senior Notes | Senior notes | Period commencing in 2022 | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Debt redemption percentage | 100.00% | |||||||||
5 1/2 percent Senior Notes due 2025 | Senior notes | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Debt instrument, face amount | $ 800,000,000 | |||||||||
Proceeds from issuance of long-term debt | $ 792,000,000 | |||||||||
Debt redemption percentage | 101.00% | |||||||||
5 1/2 percent Senior Notes due 2025 | Senior notes | Period commencing in 2020 | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Debt redemption percentage | 102.75% | |||||||||
5 1/2 percent Senior Notes due 2025 | Senior notes | Period commencing in 2023 | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Debt redemption percentage | 100.00% | |||||||||
5 7/8 percent Senior Notes | Senior notes | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Debt instrument, face amount | $ 750,000,000 | |||||||||
Proceeds from issuance of long-term debt | $ 741,000,000 | |||||||||
Debt redemption percentage | 101.00% | |||||||||
5 7/8 percent Senior Notes | Senior notes | Period commencing in 2021 | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Debt redemption percentage | 102.938% | |||||||||
5 7/8 percent Senior Notes | Senior notes | Period commencing in 2024 | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Debt redemption percentage | 100.00% | |||||||||
5 1/2 percent Senior Notes due 2027 | Senior notes | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Debt instrument, face amount | $ 750,000,000 | |||||||||
Proceeds from issuance of long-term debt | $ 741,000,000 | |||||||||
Debt redemption percentage | 101.00% | |||||||||
5 1/2 percent Senior Notes due 2027 | Senior notes | Period commencing in 2022 | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Debt redemption percentage | 102.75% | |||||||||
5 1/2 percent Senior Notes due 2027 | Senior notes | Period commencing in 2025 | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Debt redemption percentage | 100.00% |
Debt (Schedule of Debt Maturity) (Details) $ in Millions |
Dec. 31, 2016
USD ($)
|
---|---|
Maturity profile: | |
2017 | $ 597 |
2018 | 21 |
2019 | 12 |
2020 | 4 |
2021 | 1,656 |
Thereafter | 5,553 |
Total | $ 7,843 |
Income Taxes (Components of income tax expense and reconciliation of effective tax rate) (Details) - USD ($) $ in Millions |
12 Months Ended | ||
---|---|---|---|
Dec. 31, 2016 |
Dec. 31, 2015 |
Dec. 31, 2014 |
|
Current | |||
Federal | $ 186 | $ 13 | $ 2 |
Foreign | 10 | 15 | 42 |
State and local | 24 | 14 | 5 |
Current income tax expense | 220 | 42 | 49 |
Deferred | |||
Federal | 119 | 300 | 240 |
Foreign | (1) | 5 | 2 |
State and local | 5 | 31 | 19 |
Deferred income tax expense (benefit) | 123 | 336 | 261 |
Total | 343 | 378 | 310 |
Effective Income Tax Rate Reconciliation, Amount [Abstract] | |||
Computed tax at statutory tax rate | 318 | 337 | 297 |
State income taxes, net of federal tax benefit | 21 | 41 | 22 |
Non-deductible expenses and other | 9 | 8 | 8 |
Foreign taxes | $ (5) | $ (8) | $ (17) |
Income Taxes (Narrative) (Details) - USD ($) |
12 Months Ended | ||
---|---|---|---|
Dec. 31, 2016 |
Dec. 31, 2015 |
Dec. 31, 2014 |
|
Operating Loss Carryforwards [Line Items] | |||
Federal statutory income tax rate | 35.00% | ||
Unrecognized tax benefits, interest on income taxes expense (less than $1 for December 31, 2016, 2015, and 2014 respectively) | $ 1,000,000 | $ 1,000,000 | $ 1,000,000 |
Income before income taxes, foreign | 29,000,000 | 70,000,000 | $ 168,000,000 |
Undistributed earnings of foreign subsidiaries amount | 382,000,000 | ||
Operating loss carryforwards, benefit | 155,000,000 | ||
State Jurisdiction | |||
Operating Loss Carryforwards [Line Items] | |||
Deferred tax assets, operating loss carryforwards, state and local | 527,000,000 | ||
Valuation allowance, amount | 9,000,000 | $ 12,000,000 | |
Federal Jurisdiction | |||
Operating Loss Carryforwards [Line Items] | |||
Deferred tax assets, operating loss carryforwards, state and local | $ 0 |
Income Taxes (Components of deferred tax assets and liabilities) (Details) - USD ($) $ in Millions |
Dec. 31, 2016 |
Dec. 31, 2015 |
---|---|---|
Components of Deferred Tax Assets [Abstract] | ||
Reserves and allowances | $ 103 | $ 112 |
Debt cancellation and other | 33 | 48 |
Net operating loss and credit carryforwards | 28 | 73 |
Total deferred tax assets | 164 | 233 |
Components of Deferred Tax Liabilities [Abstract] | ||
Property and equipment | (1,820) | (1,714) |
Intangibles | (231) | (272) |
Valuation allowance | (9) | (12) |
Total deferred tax liability | (2,060) | (1,998) |
Total deferred income tax (liability) | $ (1,896) | $ (1,765) |
Income Taxes (Unrecognized tax benefits) (Details) - USD ($) $ in Millions |
12 Months Ended | |
---|---|---|
Dec. 31, 2016 |
Dec. 31, 2015 |
|
Reconciliation of Unrecognized Tax Benefits, Excluding Amounts Pertaining to Examined Tax Returns, Net [Roll Forward] | ||
Balance at January 1 | $ 3 | $ 7 |
Additions for tax positions of prior years | 1 | 1 |
Reductions for tax positions of prior years | 0 | (1) |
Settlements | 0 | (4) |
Balance at December 31 | $ 4 | $ 3 |
Commitments and Contingencies (Future Minimum Operating Lease Payments) (Details) - USD ($) $ in Millions |
12 Months Ended | ||
---|---|---|---|
Dec. 31, 2016 |
Dec. 31, 2015 |
Dec. 31, 2014 |
|
Operating Leases, Future Minimum Payments Due, Fiscal Year Maturity [Abstract] | |||
Operating leases, rent expense, minimum rentals | $ 149 | $ 139 | $ 131 |
Real Estate Leases | |||
Operating Leases, Future Minimum Payments Due, Fiscal Year Maturity [Abstract] | |||
2017 | 99 | ||
2018 | 82 | ||
2019 | 63 | ||
2020 | 44 | ||
2021 | 28 | ||
Thereafter | 39 | ||
Total | 355 | ||
Non-Rental Equipment Leases | |||
Operating Leases, Future Minimum Payments Due, Fiscal Year Maturity [Abstract] | |||
2017 | 41 | ||
2018 | 30 | ||
2019 | 22 | ||
2020 | 15 | ||
2021 | 8 | ||
Thereafter | 2 | ||
Total | $ 118 |
Commitments and Contingencies (Capital Lease Obligations) (Details) - USD ($) $ in Millions |
12 Months Ended | ||
---|---|---|---|
Dec. 31, 2016 |
Dec. 31, 2015 |
Dec. 31, 2014 |
|
Capital Leased Assets [Line Items] | |||
Debt and capital lease obligations | $ 7,790 | $ 8,162 | |
Depreciation of rental equipment | 990 | 976 | $ 921 |
Non-rental depreciation and amortization | 255 | 268 | 273 |
Less accumulated depreciation and amortization | (16) | (16) | |
Property and equipment, net | 12 | 13 | |
Rental Equipment | |||
Capital Leased Assets [Line Items] | |||
Depreciation of rental equipment | 20 | 20 | 20 |
Property and equipment | 190 | 186 | |
Less accumulated depreciation and amortization | (70) | (56) | |
Property and equipment, net | 120 | 130 | |
Non-rental Equipment | |||
Capital Leased Assets [Line Items] | |||
Non-rental depreciation and amortization | 3 | 3 | $ 4 |
Non-rental vehicles | |||
Capital Leased Assets [Line Items] | |||
Property and equipment | 7 | 8 | |
Buildings | |||
Capital Leased Assets [Line Items] | |||
Property and equipment | 21 | 21 | |
Capital leases | |||
Capital Leased Assets [Line Items] | |||
Debt and capital lease obligations | $ 71 | $ 96 |
Commitments and Contingencies (Future Minimum Capital Lease Payments) (Details) $ in Millions |
Dec. 31, 2016
USD ($)
|
---|---|
Capital Leases, Future Minimum Payments Due, Fiscal Year Maturity [Abstract] | |
2017 | $ 32 |
2018 | 23 |
2019 | 13 |
2020 | 4 |
2021 | 2 |
Thereafter | 3 |
Total | 77 |
Less amount representing interest | (6) |
Capital lease obligations | $ 71 |
Capital leases | |
Capital Leases, Future Minimum Payments Due, Fiscal Year Maturity [Abstract] | |
Weighted average interest rate | 5.70% |
Commitments and Contingencies (Employee Benefits Narrative) (Details) - USD ($) $ in Millions |
12 Months Ended | ||
---|---|---|---|
Dec. 31, 2016 |
Dec. 31, 2015 |
Dec. 31, 2014 |
|
Commitments and Contingencies Disclosure [Abstract] | |||
Defined contribution plan, contributions | $ 23 | $ 22 | $ 19 |
Common Stock (Narrative) (Details) $ / shares in Units, $ in Millions |
12 Months Ended | ||
---|---|---|---|
Dec. 31, 2016
USD ($)
$ / shares
shares
|
Dec. 31, 2015
USD ($)
$ / shares
shares
|
Dec. 31, 2014
USD ($)
|
|
Class of Stock [Line Items] | |||
Common stock authorized (in shares) | 500,000,000 | 500,000,000 | |
Common stock, par value (in dollars per share) | $ / shares | $ 0.01 | $ 0.01 | |
Employee stock option | |||
Class of Stock [Line Items] | |||
Common stock, capital shares reserved for future issuance (in shares) | 500,000 | 600,000 | |
Restricted Stock Units (RSUs) | |||
Class of Stock [Line Items] | |||
Restricted stock units outstanding (in shares) | 1,100,000 | ||
Share conversion ratio | 1 | ||
Shares issued for RSUs (in shares) | 346,000 | ||
Shares paid for tax withholding (in shares) | 190,000 | ||
Compensation expense not yet recognized | $ | $ 32 | ||
Compensation expense not yet recognized, period for recognition | 1 year 11 months | ||
Fair value of RSUs vested during the period | $ | $ 39 | $ 84 | $ 54 |
Time-based Restricted Stock Units | |||
Class of Stock [Line Items] | |||
Vesting period | 3 years | ||
Vesting period, start duration from grant date | 12 months | ||
2010 Long Term Incentive Plan | |||
Class of Stock [Line Items] | |||
Shares available for grant (in shares) | 3,700,000 |
Common Stock (Schedule of Stock Option Activity) (Details) - $ / shares shares in Thousands |
12 Months Ended | ||
---|---|---|---|
Dec. 31, 2016 |
Dec. 31, 2015 |
Dec. 31, 2014 |
|
Shares | |||
Outstanding at beginning of period (in shares) | 561 | 652 | 875 |
Granted (in shares) | 0 | 0 | 0 |
Exercised (shares) | (54) | (87) | (213) |
Canceled (in shares) | 0 | (4) | (10) |
Outstanding at end of period (in shares) | 507 | 561 | 652 |
Exercisable (in shares) | 507 | 537 | 564 |
Weighted-Average Exercise Price | |||
Outstanding at beginning of period (in dollars per share) | $ 20.99 | $ 19.99 | $ 17.85 |
Granted (in dollars per share) | 0.00 | 0.00 | 0.00 |
Exercised (in dollars per share) | 17.42 | 13.54 | 11.21 |
Canceled (in dollars per share) | 0.00 | 20.29 | 19.98 |
Outstanding at end of period (in dollars per share) | 21.37 | 20.99 | 19.99 |
Exercisable (in dollars per share) | $ 21.37 | $ 19.49 | $ 16.18 |
Common Stock (Schedule of Stock Option Exercise Prices) (Details) shares in Thousands |
12 Months Ended |
---|---|
Dec. 31, 2016
$ / shares
shares
| |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | |
Options Outstanding, Amount Outstanding (in shares) | shares | 507 |
Options Outstanding, Weighted Average Exercise Price (in dollars per share) | $ 21.37 |
Options Exercisable, Amount Exercisable (in shares) | shares | 507 |
Options Exercisable, Weighted Average Exercise Price (in dollars per share) | $ 21.37 |
0.01-5.00 | |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | |
Range of exercise prices, minimum (in dollars per share) | 0.01 |
Range of exercise prices, maximum (in dollars per share) | $ 5.00 |
Options Outstanding, Amount Outstanding (in shares) | shares | 100 |
Options Outstanding, Weighted Average Remaining Contractual Life (Years) | 2 years 2 months |
Options Outstanding, Weighted Average Exercise Price (in dollars per share) | $ 3.38 |
Options Exercisable, Amount Exercisable (in shares) | shares | 100 |
Options Exercisable, Weighted Average Exercise Price (in dollars per share) | $ 3.38 |
5.01-10.00 | |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | |
Range of exercise prices, minimum (in dollars per share) | 5.01 |
Range of exercise prices, maximum (in dollars per share) | $ 10.00 |
Options Outstanding, Amount Outstanding (in shares) | shares | 169 |
Options Outstanding, Weighted Average Remaining Contractual Life (Years) | 3 years 2 months |
Options Outstanding, Weighted Average Exercise Price (in dollars per share) | $ 8.32 |
Options Exercisable, Amount Exercisable (in shares) | shares | 169 |
Options Exercisable, Weighted Average Exercise Price (in dollars per share) | $ 8.32 |
10.01-15.00 | |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | |
Range of exercise prices, minimum (in dollars per share) | 10.01 |
Range of exercise prices, maximum (in dollars per share) | $ 15.00 |
Options Outstanding, Amount Outstanding (in shares) | shares | 12 |
Options Outstanding, Weighted Average Remaining Contractual Life (Years) | 2 years 1 month |
Options Outstanding, Weighted Average Exercise Price (in dollars per share) | $ 14.50 |
Options Exercisable, Amount Exercisable (in shares) | shares | 12 |
Options Exercisable, Weighted Average Exercise Price (in dollars per share) | $ 14.50 |
15.01-20.00 | |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | |
Range of exercise prices, minimum (in dollars per share) | 15.01 |
Range of exercise prices, maximum (in dollars per share) | $ 20.00 |
Options Outstanding, Amount Outstanding (in shares) | shares | 12 |
Options Outstanding, Weighted Average Remaining Contractual Life (Years) | 2 years 10 months |
Options Outstanding, Weighted Average Exercise Price (in dollars per share) | $ 15.22 |
Options Exercisable, Amount Exercisable (in shares) | shares | 12 |
Options Exercisable, Weighted Average Exercise Price (in dollars per share) | $ 15.22 |
25.01-30.00 | |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | |
Range of exercise prices, minimum (in dollars per share) | 25.01 |
Range of exercise prices, maximum (in dollars per share) | $ 30.00 |
Options Outstanding, Amount Outstanding (in shares) | shares | 27 |
Options Outstanding, Weighted Average Remaining Contractual Life (Years) | 3 years 2 months |
Options Outstanding, Weighted Average Exercise Price (in dollars per share) | $ 26.01 |
Options Exercisable, Amount Exercisable (in shares) | shares | 27 |
Options Exercisable, Weighted Average Exercise Price (in dollars per share) | $ 26.01 |
30.01-35.00 | |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | |
Range of exercise prices, minimum (in dollars per share) | 30.01 |
Range of exercise prices, maximum (in dollars per share) | $ 35.00 |
Options Outstanding, Amount Outstanding (in shares) | shares | 62 |
Options Outstanding, Weighted Average Remaining Contractual Life (Years) | 4 years 2 months |
Options Outstanding, Weighted Average Exercise Price (in dollars per share) | $ 31.49 |
Options Exercisable, Amount Exercisable (in shares) | shares | 62 |
Options Exercisable, Weighted Average Exercise Price (in dollars per share) | $ 31.49 |
40.01-45.00 | |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | |
Range of exercise prices, minimum (in dollars per share) | 40.01 |
Range of exercise prices, maximum (in dollars per share) | $ 45.00 |
Options Outstanding, Amount Outstanding (in shares) | shares | 51 |
Options Outstanding, Weighted Average Remaining Contractual Life (Years) | 5 years 1 month |
Options Outstanding, Weighted Average Exercise Price (in dollars per share) | $ 41.25 |
Options Exercisable, Amount Exercisable (in shares) | shares | 51 |
Options Exercisable, Weighted Average Exercise Price (in dollars per share) | $ 41.25 |
50.01-55.00 | |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | |
Range of exercise prices, minimum (in dollars per share) | 50.01 |
Range of exercise prices, maximum (in dollars per share) | $ 55.00 |
Options Outstanding, Amount Outstanding (in shares) | shares | 74 |
Options Outstanding, Weighted Average Remaining Contractual Life (Years) | 6 years 2 months |
Options Outstanding, Weighted Average Exercise Price (in dollars per share) | $ 53.78 |
Options Exercisable, Amount Exercisable (in shares) | shares | 74 |
Options Exercisable, Weighted Average Exercise Price (in dollars per share) | $ 53.78 |
Common Stock (Schedule of Intrinsic Value of Options Exercised) (Details) - USD ($) $ / shares in Units, $ in Millions |
12 Months Ended | ||
---|---|---|---|
Dec. 31, 2016 |
Dec. 31, 2015 |
Dec. 31, 2014 |
|
Equity and Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |||
Intrinsic value of options outstanding as of December 31 | $ 43 | $ 29 | |
Intrinsic value of options exercisable as of December 31 | 43 | 28 | |
Intrinsic value of options exercised | $ 4 | $ 7 | $ 17 |
Weighted-average grant date fair value per option (in dollars per share) | $ 0.00 | $ 0.00 | $ 0.00 |
Common Stock (Schedule of Restricted Stock Unit Activity) (Details) - Restricted Stock Units (RSUs) - $ / shares shares in Thousands |
12 Months Ended | ||
---|---|---|---|
Dec. 31, 2016 |
Dec. 31, 2015 |
Dec. 31, 2014 |
|
Stock Units | |||
Nonvested as of December 31, 2015 (in shares) | 530 | ||
Granted (in shares) | 901 | 463 | 805 |
Vested (in shares) | (645) | ||
Forfeited (in shares) | (35) | ||
Nonvested as of December 31, 2016 (in shares) | 751 | 530 | |
Weighted-Average Grant Date Fair Value | |||
Nonvested as of December 31, 2015 (in dollars per share) | $ 81.94 | ||
Granted (in dollars per share) | 60.55 | $ 86.84 | $ 92.28 |
Vested (in dollars per share) | 64.62 | ||
Forfeited (in dollars per share) | 79.19 | ||
Nonvested as of December 31, 2016 (in dollars per share) | $ 71.29 | $ 81.94 |
Quarterly Financial Information (Unaudited) (Details) - USD ($) |
3 Months Ended | 12 Months Ended | |||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Dec. 31, 2016 |
Sep. 30, 2016 |
Jun. 30, 2016 |
Mar. 31, 2016 |
Dec. 31, 2015 |
Sep. 30, 2015 |
Jun. 30, 2015 |
Mar. 31, 2015 |
Dec. 31, 2016 |
Dec. 31, 2015 |
Dec. 31, 2014 |
Nov. 30, 2016 |
Mar. 31, 2012 |
|
Selected Quarterly Financial Information [Abstract] | |||||||||||||
Total revenues | $ 1,523,000,000 | $ 1,508,000,000 | $ 1,421,000,000 | $ 1,310,000,000 | $ 1,523,000,000 | $ 1,550,000,000 | $ 1,429,000,000 | $ 1,315,000,000 | $ 5,762,000,000 | $ 5,817,000,000 | $ 5,685,000,000 | ||
Gross profit | 657,000,000 | 656,000,000 | 590,000,000 | 500,000,000 | 648,000,000 | 690,000,000 | 618,000,000 | 524,000,000 | 2,403,000,000 | 2,480,000,000 | 2,432,000,000 | ||
Operating income | 402,000,000 | 412,000,000 | 347,000,000 | 254,000,000 | 397,000,000 | 446,000,000 | 375,000,000 | 300,000,000 | 1,415,000,000 | 1,518,000,000 | 1,391,000,000 | ||
Net income | $ 153,000,000 | $ 187,000,000 | $ 134,000,000 | $ 92,000,000 | $ 169,000,000 | $ 215,000,000 | $ 86,000,000 | $ 115,000,000 | $ 566,000,000 | $ 585,000,000 | $ 540,000,000 | ||
Earnings per share - basic (in dollars per share) | $ 1.82 | $ 2.18 | $ 1.52 | $ 1.01 | $ 1.82 | $ 2.28 | $ 0.89 | $ 1.19 | $ 6.49 | $ 6.14 | $ 5.54 | ||
Earnings per share - diluted (in dollars per share) | 1.80 | 2.16 | 1.52 | 1.01 | $ 1.81 | 2.25 | 0.88 | 1.16 | $ 6.45 | $ 6.07 | $ 5.15 | ||
Effect of Fourth Quarter Events [Line Items] | |||||||||||||
Restructuring charge | $ 14,000,000 | $ 6,000,000 | $ (1,000,000) | ||||||||||
Loss on extinguishment of debt | $ 101,000,000 | 123,000,000 | $ 80,000,000 | ||||||||||
Decrease in stock compensation, net | $ 14,000,000 | ||||||||||||
Refund from tax settlement | 5,000,000 | $ 5,000,000 | |||||||||||
Reduction in cost of equipment rentals, excluding depreciation | 5,000,000 | ||||||||||||
Increase in valuation allowance | $ 5,000,000 | ||||||||||||
Earnings Per Share, Diluted, Other Disclosures [Abstract] | |||||||||||||
Merger related intangible asset amortization (in dollars per share) | (0.29) | (0.28) | (0.28) | (0.30) | $ (0.28) | (0.28) | (0.27) | (0.32) | $ (1.12) | $ (1.15) | |||
Merger related costs (in dollars per share) | 0.00 | 0.00 | 0.00 | 0.17 | 0.17 | ||||||||
Impact on depreciation related to acquired RSC fleet and property and equipment (in dollars per share) | 0.00 | 0.00 | 0.00 | 0.01 | 0.02 | ||||||||
Impact of the fair value mark-up of acquired RSC fleet (in dollars per share) | (0.06) | (0.05) | (0.06) | (0.06) | (0.07) | (0.04) | (0.04) | (0.04) | (0.25) | (0.19) | |||
Impact on interest expense related to fair value adjustment of acquired RSC indebtedness (in dollars per share) | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.01 | 0.01 | 0.02 | |||
Restructuring charge (in dollars per share) | (0.05) | (0.02) | (0.02) | (0.01) | (0.03) | 0.00 | 0.00 | 0.00 | (0.11) | (0.04) | |||
Asset impairment charge (in dollars per share) | 0.00 | 0.00 | 0.00 | (0.02) | (0.03) | ||||||||
Loss on extinguishment of debt securities and amendment of ABL facility (in dollars per share) | $ (0.47) | $ (0.07) | $ (0.18) | $ 0.00 | $ 0.00 | $ 0.00 | $ (0.76) | $ (0.01) | $ (0.70) | $ (0.78) | |||
7 5/8 percent Senior Notes | |||||||||||||
Effect of Fourth Quarter Events [Line Items] | |||||||||||||
Stated interest rate | 7.625% | 7.625% | |||||||||||
7 5/8 percent Senior Notes | Interest expense | |||||||||||||
Effect of Fourth Quarter Events [Line Items] | |||||||||||||
Loss on extinguishment of debt | $ 65,000,000 | ||||||||||||
5 1/2 percent Senior Notes due 2027 | |||||||||||||
Effect of Fourth Quarter Events [Line Items] | |||||||||||||
Stated interest rate | 5.50% | 5.50% | |||||||||||
Senior notes | 7 5/8 percent Senior Notes | |||||||||||||
Effect of Fourth Quarter Events [Line Items] | |||||||||||||
Redemption of principal amount of debt | $ 850,000,000 | ||||||||||||
Debt instrument, face amount | $ 1,325,000,000 | ||||||||||||
Senior notes | 5 1/2 percent Senior Notes due 2027 | |||||||||||||
Effect of Fourth Quarter Events [Line Items] | |||||||||||||
Debt instrument, face amount | $ 750,000,000 | ||||||||||||
2015-2016 Cost Savings Restructuring Program | |||||||||||||
Effect of Fourth Quarter Events [Line Items] | |||||||||||||
Restructuring charge | $ 6,000,000 | $ 4,000,000 | $ 14,000,000 | $ 4,000,000 |
Earnings Per Share (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Millions |
3 Months Ended | 12 Months Ended | |||||||||
---|---|---|---|---|---|---|---|---|---|---|---|
Dec. 31, 2016 |
Sep. 30, 2016 |
Jun. 30, 2016 |
Mar. 31, 2016 |
Dec. 31, 2015 |
Sep. 30, 2015 |
Jun. 30, 2015 |
Mar. 31, 2015 |
Dec. 31, 2016 |
Dec. 31, 2015 |
Dec. 31, 2014 |
|
Numerator: | |||||||||||
Net income available to common stockholders | $ 566 | $ 585 | $ 540 | ||||||||
Denominator: | |||||||||||
Denominator for basic earnings per share—weighted-average common shares (in shares) | 87,217 | 95,170 | 97,489 | ||||||||
Effect of dilutive securities: | |||||||||||
4 percent Convertible Senior Notes (in shares) | 0 | 660 | 6,386 | ||||||||
Denominator for diluted earnings per share—adjusted weighted-average common shares (in shares) | 87,775 | 96,379 | 104,956 | ||||||||
Basic earnings per share (in dollars per share) | $ 1.82 | $ 2.18 | $ 1.52 | $ 1.01 | $ 1.82 | $ 2.28 | $ 0.89 | $ 1.19 | $ 6.49 | $ 6.14 | $ 5.54 |
Diluted earnings per share (in dollars per share) | $ 1.80 | $ 2.16 | $ 1.52 | $ 1.01 | $ 1.81 | $ 2.25 | $ 0.88 | $ 1.16 | $ 6.45 | $ 6.07 | $ 5.15 |
4 percent Convertible Senior Notes | |||||||||||
Effect of dilutive securities: | |||||||||||
Stated interest rate | 4.00% | 4.00% | 4.00% | ||||||||
Employee stock options and warrants | |||||||||||
Effect of dilutive securities: | |||||||||||
Share-based payment arrangements (in shares) | 277 | 300 | 394 | ||||||||
Restricted stock units | |||||||||||
Effect of dilutive securities: | |||||||||||
Share-based payment arrangements (in shares) | 281 | 249 | 687 |
Condensed Consolidating Financial Information of Guarantor Subsidiaries - CONDENSED CONSOLIDATING BALANCE SHEETS (Details) - USD ($) $ in Millions |
Dec. 31, 2016 |
Dec. 31, 2015 |
Dec. 31, 2014 |
Dec. 31, 2013 |
---|---|---|---|---|
ASSETS | ||||
Cash and cash equivalents | $ 312 | $ 179 | $ 158 | $ 175 |
Accounts receivable, net | 920 | 930 | ||
Intercompany receivable (payable) | 0 | 0 | ||
Inventory | 68 | 69 | ||
Prepaid expenses and other assets | 61 | 116 | ||
Total current assets | 1,361 | 1,294 | ||
Investments in subsidiaries | 0 | 0 | ||
Goodwill | 3,260 | 3,243 | 3,272 | 2,953 |
Other intangible assets, net | 742 | 905 | ||
Other long-term assets | 6 | 10 | ||
Total assets | 11,988 | 12,083 | 12,129 | |
LIABILITIES AND STOCKHOLDERS’ EQUITY | ||||
Short-term debt and current maturities of long-term debt | 597 | 607 | ||
Accounts payable | 243 | 271 | ||
Accrued expenses and other liabilities | 344 | 355 | ||
Total current liabilities | 1,184 | 1,233 | ||
Long-term debt | 7,193 | 7,555 | ||
Deferred taxes | 1,896 | 1,765 | ||
Other long-term liabilities | 67 | 54 | ||
Total liabilities | 10,340 | 10,607 | ||
Total stockholders’ equity (deficit) | 1,648 | 1,476 | ||
Total liabilities and stockholders’ equity | 11,988 | 12,083 | ||
Eliminations | ||||
ASSETS | ||||
Cash and cash equivalents | 0 | 0 | 0 | 0 |
Accounts receivable, net | 0 | 0 | ||
Intercompany receivable (payable) | 104 | 101 | ||
Inventory | 0 | 0 | ||
Prepaid expenses and other assets | 0 | 0 | ||
Total current assets | 104 | 101 | ||
Investments in subsidiaries | (3,283) | (3,189) | ||
Goodwill | 0 | 0 | ||
Other intangible assets, net | 0 | 0 | ||
Other long-term assets | 0 | 0 | ||
Total assets | (3,179) | (3,088) | ||
LIABILITIES AND STOCKHOLDERS’ EQUITY | ||||
Short-term debt and current maturities of long-term debt | 0 | 0 | ||
Accounts payable | 0 | 0 | ||
Accrued expenses and other liabilities | 0 | 0 | ||
Total current liabilities | 0 | 0 | ||
Long-term debt | 0 | 0 | ||
Deferred taxes | 0 | 0 | ||
Other long-term liabilities | 0 | 0 | ||
Total liabilities | 0 | 0 | ||
Total stockholders’ equity (deficit) | (3,179) | (3,088) | ||
Total liabilities and stockholders’ equity | (3,179) | (3,088) | ||
Parent | ||||
ASSETS | ||||
Cash and cash equivalents | 0 | 0 | 0 | 0 |
Accounts receivable, net | 0 | 0 | ||
Intercompany receivable (payable) | 336 | 144 | ||
Inventory | 0 | 0 | ||
Prepaid expenses and other assets | 5 | 0 | ||
Total current assets | 341 | 144 | ||
Investments in subsidiaries | 1,292 | 1,307 | ||
Goodwill | 0 | 0 | ||
Other intangible assets, net | 0 | 0 | ||
Other long-term assets | 0 | 3 | ||
Total assets | 1,671 | 1,499 | ||
LIABILITIES AND STOCKHOLDERS’ EQUITY | ||||
Short-term debt and current maturities of long-term debt | 1 | 1 | ||
Accounts payable | 0 | 0 | ||
Accrued expenses and other liabilities | 0 | 0 | ||
Total current liabilities | 1 | 1 | ||
Long-term debt | 2 | 4 | ||
Deferred taxes | 20 | 18 | ||
Other long-term liabilities | 0 | 0 | ||
Total liabilities | 23 | 23 | ||
Total stockholders’ equity (deficit) | 1,648 | 1,476 | ||
Total liabilities and stockholders’ equity | $ 1,671 | 1,499 | ||
URNA | ||||
Condensed Financial Information Other Details [Abstract] | ||||
Ownership percentage in subsidiaries | 100.00% | |||
ASSETS | ||||
Cash and cash equivalents | $ 21 | 18 | 8 | 17 |
Accounts receivable, net | 38 | 41 | ||
Intercompany receivable (payable) | (137) | 40 | ||
Inventory | 61 | 62 | ||
Prepaid expenses and other assets | 51 | 98 | ||
Total current assets | 34 | 259 | ||
Investments in subsidiaries | 1,013 | 958 | ||
Goodwill | 3,013 | 3,000 | ||
Other intangible assets, net | 686 | 838 | ||
Other long-term assets | 6 | 7 | ||
Total assets | 10,787 | 11,053 | ||
LIABILITIES AND STOCKHOLDERS’ EQUITY | ||||
Short-term debt and current maturities of long-term debt | 25 | 34 | ||
Accounts payable | 217 | 237 | ||
Accrued expenses and other liabilities | 305 | 314 | ||
Total current liabilities | 547 | 585 | ||
Long-term debt | 7,076 | 7,430 | ||
Deferred taxes | 1,805 | 1,677 | ||
Other long-term liabilities | 67 | 54 | ||
Total liabilities | 9,495 | 9,746 | ||
Total stockholders’ equity (deficit) | 1,292 | 1,307 | ||
Total liabilities and stockholders’ equity | $ 10,787 | 11,053 | ||
Guarantor Subsidiaries | ||||
Condensed Financial Information Other Details [Abstract] | ||||
Ownership percentage in subsidiaries | 100.00% | |||
ASSETS | ||||
Cash and cash equivalents | $ 0 | 0 | 0 | 0 |
Accounts receivable, net | 0 | 0 | ||
Intercompany receivable (payable) | (188) | (176) | ||
Inventory | 0 | 0 | ||
Prepaid expenses and other assets | 0 | 0 | ||
Total current assets | (188) | (176) | ||
Investments in subsidiaries | 978 | 924 | ||
Goodwill | 0 | 0 | ||
Other intangible assets, net | 0 | 0 | ||
Other long-term assets | 0 | 0 | ||
Total assets | 816 | 768 | ||
LIABILITIES AND STOCKHOLDERS’ EQUITY | ||||
Short-term debt and current maturities of long-term debt | 0 | 0 | ||
Accounts payable | 0 | 0 | ||
Accrued expenses and other liabilities | 13 | 14 | ||
Total current liabilities | 13 | 14 | ||
Long-term debt | 111 | 110 | ||
Deferred taxes | 0 | 0 | ||
Other long-term liabilities | 0 | 0 | ||
Total liabilities | 124 | 124 | ||
Total stockholders’ equity (deficit) | 692 | 644 | ||
Total liabilities and stockholders’ equity | 816 | 768 | ||
Non Guarantor Subsidiaries - Foreign | ||||
ASSETS | ||||
Cash and cash equivalents | 291 | 161 | 150 | 158 |
Accounts receivable, net | 96 | 104 | ||
Intercompany receivable (payable) | (115) | (109) | ||
Inventory | 7 | 7 | ||
Prepaid expenses and other assets | 5 | 18 | ||
Total current assets | 284 | 181 | ||
Investments in subsidiaries | 0 | 0 | ||
Goodwill | 247 | 243 | ||
Other intangible assets, net | 56 | 67 | ||
Other long-term assets | 0 | 0 | ||
Total assets | 1,107 | 1,066 | ||
LIABILITIES AND STOCKHOLDERS’ EQUITY | ||||
Short-term debt and current maturities of long-term debt | 3 | 0 | ||
Accounts payable | 26 | 34 | ||
Accrued expenses and other liabilities | 25 | 27 | ||
Total current liabilities | 54 | 61 | ||
Long-term debt | 4 | 11 | ||
Deferred taxes | 71 | 70 | ||
Other long-term liabilities | 0 | 0 | ||
Total liabilities | 129 | 142 | ||
Total stockholders’ equity (deficit) | 978 | 924 | ||
Total liabilities and stockholders’ equity | 1,107 | 1,066 | ||
Non Guarantor Subsidiaries - SPV | ||||
ASSETS | ||||
Cash and cash equivalents | 0 | 0 | $ 0 | $ 0 |
Accounts receivable, net | 786 | 785 | ||
Intercompany receivable (payable) | 0 | 0 | ||
Inventory | 0 | 0 | ||
Prepaid expenses and other assets | 0 | 0 | ||
Total current assets | 786 | 785 | ||
Investments in subsidiaries | 0 | 0 | ||
Goodwill | 0 | 0 | ||
Other intangible assets, net | 0 | 0 | ||
Other long-term assets | 0 | 0 | ||
Total assets | 786 | 785 | ||
LIABILITIES AND STOCKHOLDERS’ EQUITY | ||||
Short-term debt and current maturities of long-term debt | 568 | 572 | ||
Accounts payable | 0 | 0 | ||
Accrued expenses and other liabilities | 1 | 0 | ||
Total current liabilities | 569 | 572 | ||
Long-term debt | 0 | 0 | ||
Deferred taxes | 0 | 0 | ||
Other long-term liabilities | 0 | 0 | ||
Total liabilities | 569 | 572 | ||
Total stockholders’ equity (deficit) | 217 | 213 | ||
Total liabilities and stockholders’ equity | $ 786 | $ 785 | ||
8 1/4 percent Senior Notes | ||||
Condensed Financial Information Other Details [Abstract] | ||||
Stated interest rate | 8.25% | 8.25% | ||
ABL Facility, Accounts Receivable Securitization Facility, and Other Agreements | ||||
Condensed Financial Information Other Details [Abstract] | ||||
Line of credit facility, restricted payment capacity | $ 713 | |||
ABL Facility, Accounts Receivable Securitization Facility, and Other Agreements | URNA | ||||
Condensed Financial Information Other Details [Abstract] | ||||
Line of credit facility, restricted payment capacity | 377 | |||
Rental equipment, net | ||||
ASSETS | ||||
Property, plant and equipment, net | 6,189 | $ 6,186 | ||
Rental equipment, net | Eliminations | ||||
ASSETS | ||||
Property, plant and equipment, net | 0 | 0 | ||
Rental equipment, net | Parent | ||||
ASSETS | ||||
Property, plant and equipment, net | 0 | 0 | ||
Rental equipment, net | URNA | ||||
ASSETS | ||||
Property, plant and equipment, net | 5,709 | 5,657 | ||
Rental equipment, net | Guarantor Subsidiaries | ||||
ASSETS | ||||
Property, plant and equipment, net | 0 | 0 | ||
Rental equipment, net | Non Guarantor Subsidiaries - Foreign | ||||
ASSETS | ||||
Property, plant and equipment, net | 480 | 529 | ||
Rental equipment, net | Non Guarantor Subsidiaries - SPV | ||||
ASSETS | ||||
Property, plant and equipment, net | 0 | 0 | ||
Property and equipment, net | ||||
ASSETS | ||||
Property, plant and equipment, net | 430 | 445 | ||
Property and equipment, net | Eliminations | ||||
ASSETS | ||||
Property, plant and equipment, net | 0 | 0 | ||
Property and equipment, net | Parent | ||||
ASSETS | ||||
Property, plant and equipment, net | 38 | 45 | ||
Property and equipment, net | URNA | ||||
ASSETS | ||||
Property, plant and equipment, net | 326 | 334 | ||
Property and equipment, net | Guarantor Subsidiaries | ||||
ASSETS | ||||
Property, plant and equipment, net | 26 | 20 | ||
Property and equipment, net | Non Guarantor Subsidiaries - Foreign | ||||
ASSETS | ||||
Property, plant and equipment, net | 40 | 46 | ||
Property and equipment, net | Non Guarantor Subsidiaries - SPV | ||||
ASSETS | ||||
Property, plant and equipment, net | $ 0 | $ 0 |
Condensed Consolidating Financial Information of Guarantor Subsidiaries - CONDENSED CONSOLIDATING STATEMENTS OF INCOME (Details) - USD ($) $ in Millions |
3 Months Ended | 12 Months Ended | |||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Dec. 31, 2016 |
Sep. 30, 2016 |
Jun. 30, 2016 |
Mar. 31, 2016 |
Dec. 31, 2015 |
Sep. 30, 2015 |
Jun. 30, 2015 |
Mar. 31, 2015 |
Dec. 31, 2016 |
Dec. 31, 2015 |
Dec. 31, 2014 |
|||
Revenues: | |||||||||||||
Equipment rentals | $ 4,941 | $ 4,949 | $ 4,819 | ||||||||||
Sales of rental equipment | 496 | 538 | 544 | ||||||||||
Sales of new equipment | 144 | 157 | 149 | ||||||||||
Contractor supplies sales | 79 | 79 | 85 | ||||||||||
Service and other revenues | 102 | 94 | 88 | ||||||||||
Total revenues | $ 1,523 | $ 1,508 | $ 1,421 | $ 1,310 | $ 1,523 | $ 1,550 | $ 1,429 | $ 1,315 | 5,762 | 5,817 | 5,685 | ||
Cost of revenues: | |||||||||||||
Cost of equipment rentals, excluding depreciation | 1,862 | 1,826 | 1,806 | ||||||||||
Depreciation of rental equipment | 990 | 976 | 921 | ||||||||||
Cost of rental equipment sales | 292 | 311 | 315 | ||||||||||
Cost of new equipment sales | 119 | 131 | 120 | ||||||||||
Cost of contractor supplies sales | 55 | 55 | 59 | ||||||||||
Cost of service and other revenues | 41 | 38 | 32 | ||||||||||
Total cost of revenues | 3,359 | 3,337 | 3,253 | ||||||||||
Gross profit | 657 | 656 | 590 | 500 | 648 | 690 | 618 | 524 | 2,403 | 2,480 | 2,432 | ||
Selling, general and administrative expenses | 719 | 714 | 758 | ||||||||||
Merger related costs | 0 | (26) | 11 | ||||||||||
Restructuring charge | 14 | 6 | (1) | ||||||||||
Non-rental depreciation and amortization | 255 | 268 | 273 | ||||||||||
Operating income | 402 | 412 | 347 | 254 | 397 | 446 | 375 | 300 | 1,415 | 1,518 | 1,391 | ||
Interest (income) expense, net | 511 | 567 | 555 | ||||||||||
Other (income) expense, net | (5) | (12) | (14) | ||||||||||
Income before provision for income taxes | 909 | 963 | 850 | ||||||||||
Provision for income taxes | 343 | 378 | 310 | ||||||||||
Income (loss) before equity in net earnings (loss) of subsidiaries | 566 | 585 | 540 | ||||||||||
Equity in net earnings (loss) of subsidiaries | 0 | 0 | 0 | ||||||||||
Net income | $ 153 | $ 187 | $ 134 | $ 92 | $ 169 | $ 215 | $ 86 | $ 115 | 566 | 585 | 540 | ||
Other comprehensive income (loss) | [1] | 32 | (176) | (93) | |||||||||
Comprehensive income | 598 | 409 | 447 | ||||||||||
Eliminations | |||||||||||||
Revenues: | |||||||||||||
Equipment rentals | 0 | 0 | 0 | ||||||||||
Sales of rental equipment | 0 | 0 | 0 | ||||||||||
Sales of new equipment | 0 | 0 | 0 | ||||||||||
Contractor supplies sales | 0 | 0 | 0 | ||||||||||
Service and other revenues | 0 | 0 | 0 | ||||||||||
Total revenues | 0 | 0 | 0 | ||||||||||
Cost of revenues: | |||||||||||||
Cost of equipment rentals, excluding depreciation | 0 | 0 | 0 | ||||||||||
Depreciation of rental equipment | 0 | 0 | 0 | ||||||||||
Cost of rental equipment sales | 0 | 0 | 0 | ||||||||||
Cost of new equipment sales | 0 | 0 | 0 | ||||||||||
Cost of contractor supplies sales | 0 | 0 | 0 | ||||||||||
Cost of service and other revenues | 0 | 0 | 0 | ||||||||||
Total cost of revenues | 0 | 0 | 0 | ||||||||||
Gross profit | 0 | 0 | 0 | ||||||||||
Selling, general and administrative expenses | 0 | 0 | 0 | ||||||||||
Merger related costs | 0 | 0 | |||||||||||
Restructuring charge | 0 | 0 | 0 | ||||||||||
Non-rental depreciation and amortization | 0 | 0 | 0 | ||||||||||
Operating income | 0 | 0 | 0 | ||||||||||
Interest (income) expense, net | (5) | (5) | (6) | ||||||||||
Other (income) expense, net | 0 | 0 | 0 | ||||||||||
Income before provision for income taxes | 5 | 5 | 6 | ||||||||||
Provision for income taxes | 0 | 0 | 0 | ||||||||||
Income (loss) before equity in net earnings (loss) of subsidiaries | 5 | 5 | 6 | ||||||||||
Equity in net earnings (loss) of subsidiaries | (383) | (473) | (770) | ||||||||||
Net income | (378) | (468) | (764) | ||||||||||
Other comprehensive income (loss) | (82) | 490 | 255 | ||||||||||
Comprehensive income | (460) | 22 | (509) | ||||||||||
Parent | |||||||||||||
Revenues: | |||||||||||||
Equipment rentals | 0 | 0 | 0 | ||||||||||
Sales of rental equipment | 0 | 0 | 0 | ||||||||||
Sales of new equipment | 0 | 0 | 0 | ||||||||||
Contractor supplies sales | 0 | 0 | 0 | ||||||||||
Service and other revenues | 0 | 0 | 0 | ||||||||||
Total revenues | 0 | 0 | 0 | ||||||||||
Cost of revenues: | |||||||||||||
Cost of equipment rentals, excluding depreciation | 0 | 0 | 0 | ||||||||||
Depreciation of rental equipment | 0 | 0 | 0 | ||||||||||
Cost of rental equipment sales | 0 | 0 | 0 | ||||||||||
Cost of new equipment sales | 0 | 0 | 0 | ||||||||||
Cost of contractor supplies sales | 0 | 0 | 0 | ||||||||||
Cost of service and other revenues | 0 | 0 | 0 | ||||||||||
Total cost of revenues | 0 | 0 | 0 | ||||||||||
Gross profit | 0 | 0 | 0 | ||||||||||
Selling, general and administrative expenses | 43 | 5 | 55 | ||||||||||
Merger related costs | 0 | 0 | |||||||||||
Restructuring charge | 0 | 0 | 0 | ||||||||||
Non-rental depreciation and amortization | 15 | 15 | 17 | ||||||||||
Operating income | (58) | (20) | (72) | ||||||||||
Interest (income) expense, net | (6) | (3) | 9 | ||||||||||
Other (income) expense, net | (471) | (471) | (149) | ||||||||||
Income before provision for income taxes | 419 | 454 | 68 | ||||||||||
Provision for income taxes | 154 | 201 | 1 | ||||||||||
Income (loss) before equity in net earnings (loss) of subsidiaries | 265 | 253 | 67 | ||||||||||
Equity in net earnings (loss) of subsidiaries | 301 | 332 | 473 | ||||||||||
Net income | 566 | 585 | 540 | ||||||||||
Other comprehensive income (loss) | 32 | (176) | (93) | ||||||||||
Comprehensive income | 598 | 409 | 447 | ||||||||||
URNA | |||||||||||||
Revenues: | |||||||||||||
Equipment rentals | 4,524 | 4,452 | 4,217 | ||||||||||
Sales of rental equipment | 444 | 480 | 478 | ||||||||||
Sales of new equipment | 129 | 137 | 124 | ||||||||||
Contractor supplies sales | 68 | 69 | 70 | ||||||||||
Service and other revenues | 87 | 80 | 73 | ||||||||||
Total revenues | 5,252 | 5,218 | 4,962 | ||||||||||
Cost of revenues: | |||||||||||||
Cost of equipment rentals, excluding depreciation | 1,669 | 1,603 | 1,558 | ||||||||||
Depreciation of rental equipment | 900 | 881 | 820 | ||||||||||
Cost of rental equipment sales | 265 | 279 | 277 | ||||||||||
Cost of new equipment sales | 107 | 115 | 101 | ||||||||||
Cost of contractor supplies sales | 47 | 48 | 49 | ||||||||||
Cost of service and other revenues | 35 | 33 | 27 | ||||||||||
Total cost of revenues | 3,023 | 2,959 | 2,832 | ||||||||||
Gross profit | 2,229 | 2,259 | 2,130 | ||||||||||
Selling, general and administrative expenses | 579 | 596 | 607 | ||||||||||
Merger related costs | (26) | 11 | |||||||||||
Restructuring charge | 7 | 5 | (1) | ||||||||||
Non-rental depreciation and amortization | 216 | 228 | 226 | ||||||||||
Operating income | 1,427 | 1,456 | 1,287 | ||||||||||
Interest (income) expense, net | 509 | 559 | 538 | ||||||||||
Other (income) expense, net | 521 | 513 | 212 | ||||||||||
Income before provision for income taxes | 397 | 384 | 537 | ||||||||||
Provision for income taxes | 157 | 141 | 236 | ||||||||||
Income (loss) before equity in net earnings (loss) of subsidiaries | 240 | 243 | 301 | ||||||||||
Equity in net earnings (loss) of subsidiaries | 61 | 89 | 172 | ||||||||||
Net income | 301 | 332 | 473 | ||||||||||
Other comprehensive income (loss) | 32 | (176) | (93) | ||||||||||
Comprehensive income | 333 | 156 | 380 | ||||||||||
Guarantor Subsidiaries | |||||||||||||
Revenues: | |||||||||||||
Equipment rentals | 0 | 0 | 0 | ||||||||||
Sales of rental equipment | 0 | 0 | 0 | ||||||||||
Sales of new equipment | 0 | 0 | 0 | ||||||||||
Contractor supplies sales | 0 | 0 | 0 | ||||||||||
Service and other revenues | 0 | 0 | 0 | ||||||||||
Total revenues | 0 | 0 | 0 | ||||||||||
Cost of revenues: | |||||||||||||
Cost of equipment rentals, excluding depreciation | 0 | 0 | 0 | ||||||||||
Depreciation of rental equipment | 0 | 0 | 0 | ||||||||||
Cost of rental equipment sales | 0 | 0 | 0 | ||||||||||
Cost of new equipment sales | 0 | 0 | 0 | ||||||||||
Cost of contractor supplies sales | 0 | 0 | 0 | ||||||||||
Cost of service and other revenues | 0 | 0 | 0 | ||||||||||
Total cost of revenues | 0 | 0 | 0 | ||||||||||
Gross profit | 0 | 0 | 0 | ||||||||||
Selling, general and administrative expenses | 0 | 1 | 3 | ||||||||||
Merger related costs | 0 | 0 | |||||||||||
Restructuring charge | 0 | 0 | 0 | ||||||||||
Non-rental depreciation and amortization | 0 | 1 | 1 | ||||||||||
Operating income | 0 | (2) | (4) | ||||||||||
Interest (income) expense, net | 3 | 8 | 5 | ||||||||||
Other (income) expense, net | 0 | 0 | (3) | ||||||||||
Income before provision for income taxes | (3) | (10) | (6) | ||||||||||
Provision for income taxes | 0 | (5) | 0 | ||||||||||
Income (loss) before equity in net earnings (loss) of subsidiaries | (3) | (5) | (6) | ||||||||||
Equity in net earnings (loss) of subsidiaries | 21 | 52 | 125 | ||||||||||
Net income | 18 | 47 | 119 | ||||||||||
Other comprehensive income (loss) | 28 | (175) | (90) | ||||||||||
Comprehensive income | 46 | (128) | 29 | ||||||||||
Non Guarantor Subsidiaries - Foreign | |||||||||||||
Revenues: | |||||||||||||
Equipment rentals | 417 | 497 | 602 | ||||||||||
Sales of rental equipment | 52 | 58 | 66 | ||||||||||
Sales of new equipment | 15 | 20 | 25 | ||||||||||
Contractor supplies sales | 11 | 10 | 15 | ||||||||||
Service and other revenues | 15 | 14 | 15 | ||||||||||
Total revenues | 510 | 599 | 723 | ||||||||||
Cost of revenues: | |||||||||||||
Cost of equipment rentals, excluding depreciation | 193 | 223 | 248 | ||||||||||
Depreciation of rental equipment | 90 | 95 | 101 | ||||||||||
Cost of rental equipment sales | 27 | 32 | 38 | ||||||||||
Cost of new equipment sales | 12 | 16 | 19 | ||||||||||
Cost of contractor supplies sales | 8 | 7 | 10 | ||||||||||
Cost of service and other revenues | 6 | 5 | 5 | ||||||||||
Total cost of revenues | 336 | 378 | 421 | ||||||||||
Gross profit | 174 | 221 | 302 | ||||||||||
Selling, general and administrative expenses | 72 | 79 | 84 | ||||||||||
Merger related costs | 0 | 0 | |||||||||||
Restructuring charge | 7 | 1 | 0 | ||||||||||
Non-rental depreciation and amortization | 24 | 24 | 29 | ||||||||||
Operating income | 71 | 117 | 189 | ||||||||||
Interest (income) expense, net | 2 | 3 | 4 | ||||||||||
Other (income) expense, net | 40 | 44 | 17 | ||||||||||
Income before provision for income taxes | 29 | 70 | 168 | ||||||||||
Provision for income taxes | 8 | 18 | 43 | ||||||||||
Income (loss) before equity in net earnings (loss) of subsidiaries | 21 | 52 | 125 | ||||||||||
Equity in net earnings (loss) of subsidiaries | 0 | 0 | 0 | ||||||||||
Net income | 21 | 52 | 125 | ||||||||||
Other comprehensive income (loss) | 22 | (139) | (72) | ||||||||||
Comprehensive income | 43 | (87) | 53 | ||||||||||
Non Guarantor Subsidiaries - SPV | |||||||||||||
Revenues: | |||||||||||||
Equipment rentals | 0 | 0 | 0 | ||||||||||
Sales of rental equipment | 0 | 0 | 0 | ||||||||||
Sales of new equipment | 0 | 0 | 0 | ||||||||||
Contractor supplies sales | 0 | 0 | 0 | ||||||||||
Service and other revenues | 0 | 0 | 0 | ||||||||||
Total revenues | 0 | 0 | 0 | ||||||||||
Cost of revenues: | |||||||||||||
Cost of equipment rentals, excluding depreciation | 0 | 0 | 0 | ||||||||||
Depreciation of rental equipment | 0 | 0 | 0 | ||||||||||
Cost of rental equipment sales | 0 | 0 | 0 | ||||||||||
Cost of new equipment sales | 0 | 0 | 0 | ||||||||||
Cost of contractor supplies sales | 0 | 0 | 0 | ||||||||||
Cost of service and other revenues | 0 | 0 | 0 | ||||||||||
Total cost of revenues | 0 | 0 | 0 | ||||||||||
Gross profit | 0 | 0 | 0 | ||||||||||
Selling, general and administrative expenses | 25 | 33 | 9 | ||||||||||
Merger related costs | 0 | 0 | |||||||||||
Restructuring charge | 0 | 0 | 0 | ||||||||||
Non-rental depreciation and amortization | 0 | 0 | 0 | ||||||||||
Operating income | (25) | (33) | (9) | ||||||||||
Interest (income) expense, net | 8 | 5 | 5 | ||||||||||
Other (income) expense, net | (95) | (98) | (91) | ||||||||||
Income before provision for income taxes | 62 | 60 | 77 | ||||||||||
Provision for income taxes | 24 | 23 | 30 | ||||||||||
Income (loss) before equity in net earnings (loss) of subsidiaries | 38 | 37 | 47 | ||||||||||
Equity in net earnings (loss) of subsidiaries | 0 | 0 | 0 | ||||||||||
Net income | 38 | 37 | 47 | ||||||||||
Other comprehensive income (loss) | 0 | 0 | 0 | ||||||||||
Comprehensive income | $ 38 | $ 37 | $ 47 | ||||||||||
|
Condensed Consolidating Financial Information of Guarantor Subsidiaries - CONDENSED CONSOLIDATING CASH FLOW INFORMATION (Details) - USD ($) $ in Millions |
12 Months Ended | ||
---|---|---|---|
Dec. 31, 2016 |
Dec. 31, 2015 |
Dec. 31, 2014 |
|
Condensed Cash Flow Statements, Captions [Line Items] | |||
Net cash provided by (used in) operating activities | $ 1,953 | $ 1,995 | $ 1,801 |
Net cash used in investing activities | (859) | (1,170) | (2,000) |
Net cash (used in) provided by financing activities | (964) | (775) | 196 |
Effect of foreign exchange rates | 3 | (29) | (14) |
Net increase (decrease) in cash and cash equivalents | 133 | 21 | (17) |
Cash and cash equivalents at beginning of year | 179 | 158 | 175 |
Cash and cash equivalents at end of year | 312 | 179 | 158 |
Eliminations | |||
Condensed Cash Flow Statements, Captions [Line Items] | |||
Net cash provided by (used in) operating activities | 0 | 0 | 0 |
Net cash used in investing activities | 0 | 0 | 0 |
Net cash (used in) provided by financing activities | 0 | 0 | 0 |
Effect of foreign exchange rates | 0 | 0 | 0 |
Net increase (decrease) in cash and cash equivalents | 0 | 0 | 0 |
Cash and cash equivalents at beginning of year | 0 | 0 | 0 |
Cash and cash equivalents at end of year | 0 | 0 | 0 |
Parent | |||
Condensed Cash Flow Statements, Captions [Line Items] | |||
Net cash provided by (used in) operating activities | 9 | 13 | 13 |
Net cash used in investing activities | (9) | (13) | (13) |
Net cash (used in) provided by financing activities | 0 | 0 | 0 |
Effect of foreign exchange rates | 0 | 0 | 0 |
Net increase (decrease) in cash and cash equivalents | 0 | 0 | 0 |
Cash and cash equivalents at beginning of year | 0 | 0 | 0 |
Cash and cash equivalents at end of year | 0 | 0 | 0 |
URNA | |||
Condensed Cash Flow Statements, Captions [Line Items] | |||
Net cash provided by (used in) operating activities | 1,774 | 1,804 | 1,644 |
Net cash used in investing activities | (844) | (1,035) | (1,773) |
Net cash (used in) provided by financing activities | (927) | (759) | 120 |
Effect of foreign exchange rates | 0 | 0 | 0 |
Net increase (decrease) in cash and cash equivalents | 3 | 10 | (9) |
Cash and cash equivalents at beginning of year | 18 | 8 | 17 |
Cash and cash equivalents at end of year | 21 | 18 | 8 |
Guarantor Subsidiaries | |||
Condensed Cash Flow Statements, Captions [Line Items] | |||
Net cash provided by (used in) operating activities | (3) | (3) | 4 |
Net cash used in investing activities | 0 | 0 | 0 |
Net cash (used in) provided by financing activities | 3 | 3 | (4) |
Effect of foreign exchange rates | 0 | 0 | 0 |
Net increase (decrease) in cash and cash equivalents | 0 | 0 | 0 |
Cash and cash equivalents at beginning of year | 0 | 0 | 0 |
Cash and cash equivalents at end of year | 0 | 0 | 0 |
Non Guarantor Subsidiaries - Foreign | |||
Condensed Cash Flow Statements, Captions [Line Items] | |||
Net cash provided by (used in) operating activities | 136 | 170 | 223 |
Net cash used in investing activities | (6) | (122) | (214) |
Net cash (used in) provided by financing activities | (3) | (8) | (3) |
Effect of foreign exchange rates | 3 | (29) | (14) |
Net increase (decrease) in cash and cash equivalents | 130 | 11 | (8) |
Cash and cash equivalents at beginning of year | 161 | 150 | 158 |
Cash and cash equivalents at end of year | 291 | 161 | 150 |
Non Guarantor Subsidiaries - SPV | |||
Condensed Cash Flow Statements, Captions [Line Items] | |||
Net cash provided by (used in) operating activities | 37 | 11 | (83) |
Net cash used in investing activities | 0 | 0 | 0 |
Net cash (used in) provided by financing activities | (37) | (11) | 83 |
Effect of foreign exchange rates | 0 | 0 | 0 |
Net increase (decrease) in cash and cash equivalents | 0 | 0 | 0 |
Cash and cash equivalents at beginning of year | 0 | 0 | 0 |
Cash and cash equivalents at end of year | $ 0 | $ 0 | $ 0 |
Subsequent Events (Details) $ in Millions |
5 Months Ended | |||
---|---|---|---|---|
Jan. 25, 2017
USD ($)
|
Jun. 30, 2017
USD ($)
|
Dec. 31, 2016
USD ($)
employee
branch
|
Dec. 31, 2015
USD ($)
|
|
Rental Equipment | ||||
Subsequent Event [Line Items] | ||||
Rental assets | $ 6,189 | $ 6,186 | ||
NES Rentals Holdings II, Inc. | ||||
Subsequent Event [Line Items] | ||||
Number of branch locations | branch | 73 | |||
Number of entity employees | employee | 1,100 | |||
NES Rentals Holdings II, Inc. | Rental Equipment | ||||
Subsequent Event [Line Items] | ||||
Rental assets | $ 900 | |||
Proposed Merger with NES Rentals Holdings II, Inc. | Subsequent Event | ||||
Subsequent Event [Line Items] | ||||
Revenues | $ 369 | |||
Proposed Merger with NES Rentals Holdings II, Inc. | Scenario, Forecast | Subsequent Event | ||||
Subsequent Event [Line Items] | ||||
Aggregate merger consideration paid | $ 965 |
Schedule II - Valuation and Qualifying Accounts (Details) - USD ($) $ in Millions |
12 Months Ended | ||
---|---|---|---|
Dec. 31, 2016 |
Dec. 31, 2015 |
Dec. 31, 2014 |
|
Allowance for doubtful accounts | |||
Movement in Valuation Allowances and Reserves [Roll Forward] | |||
Balance at Beginning of Period | $ 55 | $ 43 | $ 49 |
Charged to Costs and Expenses | 24 | 32 | 13 |
Deductions | 25 | 20 | 19 |
Balance at End of Period | 54 | 55 | 43 |
Reserve for obsolescence and shrinkage | |||
Movement in Valuation Allowances and Reserves [Roll Forward] | |||
Balance at Beginning of Period | 4 | 3 | 3 |
Charged to Costs and Expenses | 17 | 18 | 18 |
Deductions | 18 | 17 | 18 |
Balance at End of Period | 3 | 4 | 3 |
Self-insurance reserve | |||
Movement in Valuation Allowances and Reserves [Roll Forward] | |||
Balance at Beginning of Period | 90 | 92 | 94 |
Charged to Costs and Expenses | 108 | 110 | 105 |
Deductions | 104 | 112 | 107 |
Balance at End of Period | $ 94 | $ 90 | $ 92 |
,)7D"D>HQ0^V& IJ'XXW>+;3F$V&-_W\@]CRC8M_4$L#!!0
M ( $&%.4JI;I&8M $ -(# 9 >&PO=V]R:W-H965T =E;LU(
M[-3[GH S@"^ NYB'38FB\D_"B2(S.!(S];X7X8F3 _>]*8,SMB+>>?'6>R\%3ZXS
M=@E$<\QQBN&KF&2)8)Y]2<&W4ASY/W"^#=]O*MQ'^/X/A3?;!.DF01H)TO^6
MN!5S^U<2MNJI M/$:;*DQ$''25YYEX&]Y_%-?H=/T_XH3--I2\[H_,O&_M>(
M#KR4W94?H=9_L,604+MPO/5G,XW99#CLYQ_$EF]
Q&>
M>'_@V)LR.&,KXAV*=^B]%#SA&;L$HCGF.,7P50^?IOVKL(WL'#D;CR\;^U\;XP&E[&YPA%K\8(NAH/;A^!'/=AJSR?"FGW\0
M6[YQ\1M02P,$% @ 084Y2E33W3"U 0 T@, !D !X;"]W;W)K
KI-SS8=9H&>K^E)OBV0;PKD02#[2^ _#O:; OM/
M#K*50&QR"Y/]4X2L#D6 [L)U-*A6HPQ/895=;OQ-&@[U QZ?RR/5'9,&G95U
M5R,<8*N4!69"WZ91.^;'";;3#[+
MVW0;8B:+?6+UF7I5-,7Y:56^SJK]8ML5W9HV)ZU5Z[P[VN=^_\\V6^OVZ,NY
ML\GIXJ7S-# 7>X:.F"@=(TN)F .Q:",XA$$PC L2]C0^PZ4DXF",7$G$C8G/
MP(D9(]<2L>P\7X 7%NT-0.P8N04("W?YX:AD'T>;@_.$>&XL3A';.[#'PVI2
M[,%A#Z[WX(Y#B-FE[I&H1[;[DZ2.S4T&(9:*.8 2+=X0QQO*>-F:6.Z1;J!,;&,N(4QA6Q*4[D<
MXXC/*8 2P]<*@"(M!;M> 8IS(&;662&]@4Q#>[B64URRTML^:"[6@E?EFSNLRX>*PW
M5K.K:;9J165A.;8=6&665^9\VK8]UO,IV_,BK^AC;33[LLSJ?U>T8(>9253WSOR$[T6JIG?O_"NH82W^NZ_\9NK-1PHT2O<>"EM+_>X2H5KSH6+:6B
MK^VUJ.WUWCY)LJX,+L!= >X+4/S?@J@KB$8%0:O,MOJ)*KI>"G[W1/MO-=2\
M%&@1:3,/9M)Z9Y_I;J6>O:WC+%T&-T/4838M!@\P^#UBZR*BL(<$6D"O H,J
ML*V/ARN$,4P0@021)8C>$6"8( 8)8D=!G$4C'UI,:C&UQ9 \&SD!8#($"TE
M(0D@9+3(IL4D@T4^Q.E8"03"*2PE!:6D@)1D)"5U5HD'?WVK!,#$"2PD X5D
M@! "$Q"0@,Q_/7*0()_Q>N1.F_DH25L ,M$'"N&XAH"0?()B(O%HOAD(CBMR
M\^K:T8&&S6+D?#@ T-1+BN#HH\@50R:^/@@./XH?L 2.+8)RZUCB9C*/QHZX
M)E"!Q;!.263'R#$!PXE#U@"!PY1.880MQFQ]\Q #,5?@2'%P'I)1/=8#AW
M.)QO"(9SA]$,0SK0L%E$R,@1"#2UR>")#1=(,(DF*.#