Segment Information

6 Months Ended

Jun. 30, 2020

Note 6 – Segment Information

The Company’s operations comprise two operating segments, Manufacturing and Parts, and one reportable segment, Manufacturing. The Company’s Manufacturing segment includes new railcar manufacturing, used railcar sales, railcar leasing and major railcar rebuilds. The Company’s Parts operating segment is not significant for reporting purposes and has been combined with corporate and other non-operating activities as Corporate and Other.

Segment operating income is an internal performance measure used by the Company’s Chief Operating Decision Maker to assess the performance of each segment in a given period. Segment operating income includes all external revenues attributable to the segments as well as operating costs and income that management believes are directly attributable to the current production of goods and services. The Company’s management reporting package does not include interest revenue, interest expense or income taxes allocated to individual segments and these items are not considered as a component of segment operating income. Segment assets represent operating assets and exclude intersegment accounts, deferred tax assets and income tax receivables. The Company does not allocate cash and cash equivalents and restricted cash and restricted cash equivalents to its operating segments as the Company’s treasury function is managed at the corporate level. Intersegment revenues were not material in any period presented.

Segment operating income is an internal performance measure used by the Company’s Chief Operating Decision Maker to assess the performance of each segment in a given period. Segment operating income includes all external revenues attributable to the segments as well as operating costs and income that management believes are directly attributable to the current production of goods and services. The Company’s management reporting package does not include interest revenue, interest expense or income taxes allocated to individual segments and these items are not considered as a component of segment operating income. Segment assets represent operating assets and exclude intersegment accounts, deferred tax assets and income tax receivables. The Company does not allocate cash and cash equivalents and restricted cash and restricted cash equivalents to its operating segments as the Company’s treasury function is managed at the corporate level. Intersegment revenues were not material in any period presented.
	Three Months Ended				Six Months Ended
	June 30,				June 30,
	2020		2019		2020		2019
Revenues:
Manufacturing	$	15,129	$	70,817	$	18,069	$	138,412
Corporate and Other		2,329		2,844		4,586		5,957
Consolidated revenues	$	17,458	$	73,661	$	22,655	$	144,369

Operating loss:
Manufacturing (1)	$	(8,348)	$	(3,019)	$	(20,148)	$	(12,656)
Corporate and Other		(4,600)		(12,824)		(9,893)		(17,703)
Consolidated operating loss		(12,948)		(15,843)		(30,041)		(30,359)
Consolidated interest expense and deferred financing costs		(167)		(115)		(463)		(151)
Consolidated other income		134		83		358		402
Consolidated loss before income taxes	$	(12,981)	$	(15,875)	$	(30,146)	$	(30,108)

Depreciation and amortization:
Manufacturing	$	2,688	$	3,075	$	5,483	$	6,097
Corporate and Other		183		191		401		374
Consolidated depreciation and amortization	$	2,871	$	3,266	$	5,884	$	6,471

Capital expenditures:
Manufacturing	$	3,033	$	898	$	5,953	$	1,432
Corporate and Other		305		377		1,056		602
Consolidated capital expenditures	$	3,338	$	1,275	$	7,009	$	2,034

(1) Results for the three months and six months ended June 30, 2020 include restructuring and impairment charges of $267 and $1,147, respectively.


	June 30,		December 31,
	2020		2019
Assets:
Manufacturing	$	182,141	$	156,859
Corporate and Other		70,619		87,329
Total operating assets		252,760		244,188
Consolidated income taxes receivable		1,027		1,014
Consolidated deferred income taxes, long-term		(3)		-
Consolidated assets	$	253,784	$	245,202



Geographic Information

		Revenues								Long Lived Assets(a)
		Three Months Ended				Six Months Ended
		June 30,				June 30,				June 30,		December 31,
		2020		2019		2020		2019		2020		2019
United States	$	17,458	$	73,661	$	22,655	$	144,369	$	125,748	$	132,825
Mexico (b)		-		-		-		-		5,555		1,146
Total	$	17,458	$	73,661	$	22,655	$	144,369	$	131,303	$	133,971

(a) Long lived assets include net property plant and equipment, Railcars available for lease, and ROU Assets
(b) Included in manufacturing segment