Debt

12 Months Ended

Dec. 31, 2011

Debt Disclosure [Abstract]

Debt

NOTE 8.    Debt

Commercial Paper and Borrowings Under Bank Credit Facilities

	December 31
	2011			2010
Balance	$	28.6		$	115.6
Weighted average interest rate		1.26	%		0.64	%

Recourse and Nonrecourse Debt Obligations

Outstanding balances of GATX’s debt obligations and the applicable interest rates as of December 31 ($ in millions):

	Date of Issue		Final Maturity		Interest Rate			2011		2010
Recourse Fixed Rate Debt
Unsecured		04/30/09		05/15/14		8.75	%	$	300.0	$	300.0
Unsecured		09/24/09		10/01/12		4.75	%		300.0		300.0
Unsecured		02/05/10		05/15/15		4.75	%		250.0		250.0
Unsecured		11/19/10		07/15/16		3.50	%		250.0		250.0
Unsecured		05/27/11		06/01/21		4.85	%		250.0		—
Unsecured		02/06/08		02/15/18		6.00	%		200.0		200.0
Unsecured		03/03/06		03/01/16		5.80	%		200.0		200.0
Unsecured		10/11/06		02/15/12		5.50	%		200.0		200.0
Secured		11/06/08		11/15/13		9.00	%		168.3		179.0
Unsecured		12/22/05		12/22/15		5.75	%		115.0		130.0
Unsecured		09/20/11		07/15/16		3.50	%		100.0		—
Unsecured		04/14/05		04/15/15		5.70	%		100.0		100.0
Unsecured		09/20/11		06/01/21		4.85	%		50.0		—
Unsecured		03/29/06		12/11/12		3.49	%		40.5		41.8
Unsecured		12/18/07		11/30/12		4.70	%		27.2		28.1
Unsecured		06/29/07		05/31/12		4.25	%		22.7		23.4
Unsecured		12/27/10		10/31/18		3.84	%		20.7		21.4
Unsecured		11/29/10		11/30/18		3.70	%		20.7		21.4
Unsecured		02/11/02		07/31/12		5.73	%		0.6		1.4
Unsecured		02/11/02		01/31/12		5.83	%		0.2		1.0
Unsecured		06/22/04		06/15/11		6.27	%		—		181.8
Unsecured		09/25/06		08/31/11		3.45	%		—		18.8
Total recourse fixed rate debt								$	2,615.9	$	2,448.1
Recourse Floating Rate Debt(a)
Unsecured		03/18/08		03/18/14		1.46	%	$	150.0	$	150.0
Unsecured		12/12/11		06/12/17		2.19	%		115.0		—
Unsecured		06/30/06		06/28/13		0.93	%		100.0		100.0
Unsecured		05/17/11		05/17/13		1.50	%		100.0		—
Secured		12/19/11		12/19/20		2.41	%		100.0		—
Unsecured		12/15/10		10/31/15		2.97	%		49.9		13.4
Secured		05/14/09		05/14/14		3.00	%		41.4		44.8
Unsecured		12/06/11		08/31/16		2.87	%		29.8		—
Unsecured		09/02/11		11/30/16		2.53	%		15.6		—
Unsecured		03/01/10		02/28/15		3.31	%		13.0		13.4
Unsecured		12/27/10		06/30/12		3.59	%		5.2		5.4
Unsecured		12/31/03		09/30/13		2.57	%		4.3		6.9
Unsecured		11/29/10		12/31/12		3.45	%		1.9		5.4
Unsecured		12/15/03		12/15/12		2.44	%		1.2		2.5
Unsecured		12/31/03		12/31/12		2.37	%		0.3		0.6
Total recourse floating rate debt								$	727.6	$	342.4
Nonrecourse Fixed Rate Debt
Secured		09/30/97		09/20/16		6.69	%	$	45.2	$	56.2
Secured		06/13/06		12/31/13		6.26	%		22.2		22.9
Secured		05/29/07		05/31/12		5.84	%		3.5		3.6
Secured		08/01/07		06/30/17		6.77	%		2.5		2.6
Secured		06/01/07		05/31/12		6.27	%		2.4		2.4
Secured		05/11/07		05/31/12		6.06	%		1.4		1.5
Secured		06/16/06		04/29/16		6.80	%		1.3		1.4
Secured		08/01/07		07/31/17		6.78	%		0.8		0.8
Secured		06/28/07		03/05/11		6.34	%		—		12.4
Secured		10/10/06		09/30/11		5.98	%		—		12.1
Secured		06/16/06		08/31/11		5.37	%		—		11.2
Secured		12/21/06		08/01/11		5.89	%		—		6.1
Secured		12/21/06		03/31/11		5.89	%		—		4.3
Secured		06/29/07		10/05/11		6.54	%		—		5.4
Secured		10/01/07		02/05/11		5.62	%		—		4.4
Total nonrecourse fixed rate debt								$	79.3	$	147.3

Nonrecourse Floating Rate Debt(a)
Secured	Various	05/08/14	1.53	%	$	51.0		$	52.5
Secured	Various	01/15/15	1.53	%		24.4			25.3
Total nonrecourse floating rate debt					$	75.4		$	77.8
Total debt principal					$	3,498.2		$	3,015.6
Debt discount, net						(9.3	)		(14.2	)
Debt adjustment for fair value hedges						15.3			17.6
Total Debt					$	3,504.2		$	3,019.0

(a) Floating rates as of December 31, 2011.

Maturities of GATX’s debt obligations as of December 31, 2011, were as follows (in millions):

	Debt Principal
2012	$	755.5
2013		461.9
2014		489.7
2015		515.0
2016		589.9
Thereafter		686.2
Total debt principal	$	3,498.2

At December 31, 2011, $639.5 million of GATX’s operating assets were pledged as collateral for notes or other obligations.

Shelf Registration Statement

GATX maintains an effective shelf registration statement on file with the SEC that enables it to issue public debt securities and pass-through certificates. The registration statement expires in August 2013.

Credit Lines and Facilities

GATX has a $560 million unsecured revolving credit facility in the U.S. that matures in May 2015. At December 31, 2011, availability under this facility was $550.2 million, with $9.8 million of letters of credit issued, which are backed by the facility. GATX’s commercial paper issuances, of which there were none outstanding at December 31, 2011, are also backed by the facility. Annual commitment fees for the revolving credit facility are based on a percentage of the commitment and were $0.9 million, $0.4 million and $0.4 million for 2011, 2010 and 2009, respectively. GATX also has unsecured lines of credit in Europe totaling $58.3 million. At December 31, 2011, availability under these lines of credit was $29.7 million.

Restrictive Covenants

GATX’s $560 million revolving credit facility contains various restrictive covenants, including requirements to maintain a fixed charge coverage ratio and an asset coverage test. GATX’s ratio of earnings to fixed charges, as defined in this facility, was 1.7 for the period ended December 31, 2011, in excess of the minimum covenant ratio of 1.2. At December 31, 2011, GATX was in compliance with all covenants and conditions of the $560 million facility. Certain of GATX’s bank term loans have the same financial covenants as the $560 million facility.

The indentures for GATX’s public debt also contain various restrictive covenants, including limitation on liens provisions, that limit the amount of additional secured indebtedness that GATX may incur to $863.3 million as of December 31, 2011. Additionally, certain exceptions to the covenants permit GATX to incur an unlimited amount of purchase money and nonrecourse indebtedness. At December 31, 2011, GATX was in compliance with all covenants and conditions of the indentures.

The loan agreements for certain of GATX’s wholly-owned European subsidiaries (collectively, “GRE”) also contain restrictive covenants, including leverage and cash flow covenants specific to those subsidiaries, restrictions on making loans and limitations on the ability of these subsidiaries to repay loans to certain related parties (including GATX) and to pay dividends to GATX. The covenants relating to loans and dividends effectively limit the ability of GRE to transfer funds to GATX. At December 31, 2011, the maximum amount that GRE could transfer to GATX without violating its covenants was $26.9 million, implying that $385.1 million of subsidiary net assets were restricted. Restricted net assets are defined as equity less 50% of free cash flow. At December 31, 2011, GRE was in compliance with all covenants and conditions of these loan agreements.

Another subsidiary’s financing, guaranteed by GATX, contains various restrictive covenants, including requirements for GATX to maintain a defined net worth and a fixed charge coverage ratio. This fixed charge coverage ratio covenant is less restrictive than that contained in the revolving credit facility.

GATX does not anticipate any covenant violations nor does it anticipate that any of these covenants will restrict its operations or its ability to procure additional financing.