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Financial Statements for Guarantors of the Senior Notes
 12 Months Ended
Dec. 31, 2014
Financial Statements for Guarantors of the Senior Notes [Abstract]  
Financial Statements for Guarantors of the Senior Notes
Financial Statements for Guarantors of the Senior Notes

The Company’s Senior Notes are fully and unconditionally and jointly and severally guaranteed by certain of Trinity’s 100%-owned subsidiaries: Trinity Construction Materials Inc., Trinity Highway Products, LLC, Trinity Industries Leasing Company, Trinity Marine Products, Inc., Trinity North American Freight Car, Inc., Trinity Parts & Components, LLC, Trinity Rail Group, LLC, Trinity Structural Towers, Inc., and Trinity Tank Car, Inc. (“Combined Guarantor Subsidiaries”). See Note 11 Debt. The Senior Notes indenture agreement includes customary provisions for the release of the guarantees by the Combined Guarantor Subsidiaries upon the occurrence of certain allowed events including the release of one or more of the Combined Guarantor Subsidiaries as guarantor under the Company's revolving credit facility. The Senior Notes are not guaranteed by any remaining 100%-owned subsidiaries of the Company or partially-owned subsidiaries (“Combined Non-Guarantor Subsidiaries”).

As of December 31, 2014, assets held by the Combined Non-Guarantor Subsidiaries included $194.4 million of restricted cash that was not available for distribution to Trinity Industries, Inc. (“Parent”), $3,936.8 million of equipment securing certain non-recourse debt, $87.5 million of equipment securing certain lease obligations held by the Combined Non-Guarantor Subsidiaries, and $395.5 million of assets located in foreign locations. As of December 31, 2013, assets held by the Combined Non-Guarantor Subsidiaries included $208.3 million of restricted cash that was not available for distribution to the Parent, $3,733.9 million of equipment securing certain non-recourse debt, $90.2 million of equipment securing certain lease obligations held by the Combined Non-Guarantor Subsidiaries, and $306.9 million of assets located in foreign locations.

Statement of Operations and Comprehensive Income
 
 
 
 
 
 
 
 
 
Year Ended December 31, 2014
 
 
 
 
 
 
 
 
 
 
Parent
 
Combined
Guarantor
Subsidiaries
 
Combined
Non-Guarantor
Subsidiaries
 
Eliminations
 
Consolidated
 
(in millions)
Revenues
$
—

 
$
4,725.4

 
$
2,294.2

 
$
(849.6
)
 
$
6,170.0

Cost of revenues
—

 
3,705.3

 
1,770.2

 
(855.7
)
 
4,619.8

Selling, engineering, and administrative expenses
115.6

 
151.5

 
136.5

 
—

 
403.6

Gains/(losses) on disposition of property, plant, and equipment
(1.4
)
 
41.4

 
64.4

 
—

 
104.4

 
117.0

 
3,815.4

 
1,842.3

 
(855.7
)
 
4,919.0

Operating profit (loss)
(117.0
)
 
910.0

 
451.9

 
6.1

 
1,251.0

Other (income) expense
(60.3
)
 
86.3

 
160.9

 
—

 
186.9

Equity in earnings of subsidiaries, net of taxes
740.2

 
228.9

 
—

 
(969.1
)
 
—

Income (loss) from continuing operations before income taxes
683.5

 
1,052.6

 
291.0

 
(963.0
)
 
1,064.1

Provision (benefit) for income taxes
5.3

 
325.4

 
26.1

 
(2.0
)
 
354.8

Income (loss) from continuing operations
678.2

 
727.2

 
264.9

 
(961.0
)
 
709.3

Income (loss) from discontinued operations, net of provision (benefit) for income taxes
—

 
(0.1
)
 
0.1

 
—

 
—

Net income (loss)
678.2

 
727.1

 
265.0

 
(961.0
)
 
709.3

Net income (loss) attributable to noncontrolling interest
—

 
—

 
—

 
31.1

 
31.1

Net income (loss) attributable to controlling interest
$
678.2

 
$
727.1

 
$
265.0

 
$
(992.1
)
 
$
678.2

 
 
 
 
 
 
 
 
 
 
Net income (loss)
$
678.2

 
$
727.1

 
$
265.0

 
$
(961.0
)
 
$
709.3

Other comprehensive income (loss)
(32.2
)
 
(10.0
)
 
11.2

 
—

 
(31.0
)
Comprehensive income
$
646.0

 
$
717.1

 
$
276.2

 
$
(961.0
)
 
$
678.3



Statement of Operations and Comprehensive Income
 
 
 
 
 
 
 
 
 
Year Ended December 31, 2013
 
 
 
 
 
 
 
 
 
 
Parent
 
Combined
Guarantor
Subsidiaries
 
Combined
Non-Guarantor
Subsidiaries
 
Eliminations
 
Consolidated
 
(in millions)
Revenues
$
—

 
$
3,257.8

 
$
1,758.2

 
$
(650.7
)
 
$
4,365.3

Cost of revenues
—

 
2,636.3

 
1,341.9

 
(655.9
)
 
3,322.3

Selling, engineering, and administrative expenses
72.8

 
128.9

 
90.3

 
(0.7
)
 
291.3

Gains on disposition of property, plant, and equipment
0.3

 
10.9

 
10.0

 
—

 
21.2

 
72.5

 
2,754.3

 
1,422.2

 
(656.6
)
 
3,592.4

Operating profit (loss)
(72.5
)
 
503.5

 
336.0

 
5.9

 
772.9

Other (income) expense
(71.5
)
 
61.2

 
192.7

 
—

 
182.4

Equity in earnings of subsidiaries, net of taxes
378.3

 
97.1

 
—

 
(475.4
)
 
—

Income (loss) from continuing operations before income taxes
377.3

 
539.4

 
143.3

 
(469.5
)
 
590.5

Provision (benefit) for income taxes
1.8

 
167.0

 
33.5

 
2.1

 
204.4

Income (loss) from continuing operations
375.5

 
372.4

 
109.8

 
(471.6
)
 
386.1

Income (loss) from discontinued operations, net of provision (benefit) for income taxes
—

 
6.3

 
—

 
—

 
6.3

Net income (loss)
375.5

 
378.7

 
109.8

 
(471.6
)
 
392.4

Net income (loss) attributable to noncontrolling interest
—

 
—

 
—

 
16.9

 
16.9

Net income (loss) attributable to controlling interest
$
375.5

 
$
378.7

 
$
109.8

 
$
(488.5
)
 
$
375.5

 
 
 
 
 
 
 
 
 
 
Net income (loss)
$
375.5

 
$
378.7

 
$
109.8

 
$
(471.6
)
 
$
392.4

Other comprehensive income (loss)
47.7

 
9.9

 
17.1

 
—

 
74.7

Comprehensive income
$
423.2

 
$
388.6

 
$
126.9

 
$
(471.6
)
 
$
467.1

Statement of Operations and Comprehensive Income
 
 
 
 
 
 
 
 
 
Year Ended December 31, 2012
 
 
 
 
 
 
 
 
 
 
Parent
 
Combined
Guarantor
Subsidiaries
 
Combined
Non-Guarantor
Subsidiaries
 
Eliminations
 
Consolidated
 
(in millions)
Revenues
$
—

 
$
2,791.5

 
$
1,429.0

 
$
(408.6
)
 
$
3,811.9

Cost of revenues
—

 
2,385.3

 
1,087.9

 
(421.7
)
 
3,051.5

Selling, engineering, and administrative expenses
50.4

 
111.4

 
62.3

 
—

 
224.1

Gains on disposition of property, plant, and equipment
0.4

 
9.4

 
28.7

 
—

 
38.5

 
50.0

 
2,487.3

 
1,121.5

 
(421.7
)
 
3,237.1

Operating profit (loss)
(50.0
)
 
304.2

 
307.5

 
13.1

 
574.8

Other (income) expense
(56.5
)
 
49.0

 
196.4

 
—

 
188.9

Equity in earnings of subsidiaries, net of taxes
246.6

 
88.2

 
—

 
(334.8
)
 
—

Income (loss) from continuing operations before income taxes
253.1

 
343.4

 
111.1

 
(321.7
)
 
385.9

Provision (benefit) for income taxes
(2.1
)
 
117.1

 
14.3

 
4.7

 
134.0

Income (loss) from continuing operations
255.2

 
226.3

 
96.8

 
(326.4
)
 
251.9

Income (loss) from discontinued operations, net of provision (benefit) for income taxes
—

 
1.4

 
0.4

 
—

 
1.8

Net income (loss)
255.2

 
227.7

 
97.2

 
(326.4
)
 
253.7

Net income (loss) attributable to noncontrolling interest
—

 
—

 
—

 
(1.5
)
 
(1.5
)
Net income (loss) attributable to controlling interest
$
255.2

 
$
227.7

 
$
97.2

 
$
(324.9
)
 
$
255.2

 
 
 
 
 
 
 
 
 
 
Net income (loss)
$
255.2

 
$
227.7

 
$
97.2

 
$
(326.4
)
 
$
253.7

Other comprehensive income (loss)
(20.1
)
 
(6.1
)
 
11.7

 
—

 
(14.5
)
Comprehensive income
$
235.1

 
$
221.6

 
$
108.9

 
$
(326.4
)
 
$
239.2


Balance Sheet
 
 
 
 
 
 
 
 
 
December 31, 2014
 
 
 
 
 
 
 
 
 
 
Parent
 
Combined
Guarantor
Subsidiaries
 
Combined
Non-Guarantor
Subsidiaries
 
Eliminations
 
Consolidated
 
(in millions)
Assets:
 
 
 
 
 
 
 
 
 
Cash and cash equivalents
$
827.7

 
$
11.1

 
$
89.4

 
$
(40.3
)
 
$
887.9

Short-term marketable securities
75.0

 
—

 
—

 
—

 
75.0

Receivables, net of allowance
—

 
190.0

 
215.7

 
(0.4
)
 
405.3

Income tax receivable
58.6

 
—

 
—

 
—

 
58.6

Inventory
—

 
836.6

 
249.8

 
(18.0
)
 
1,068.4

Property, plant, and equipment, net
29.3

 
774.8

 
4,663.1

 
(564.3
)
 
4,902.9

Investments in and advances to subsidiaries
4,426.6

 
4,028.0

 
3.4

 
(8,458.0
)
 
—

Restricted cash
—

 
—

 
194.4

 
40.3

 
234.7

Goodwill and other assets
180.6

 
131.6

 
819.0

 
(30.2
)
 
1,101.0

 
$
5,597.8

 
$
5,972.1

 
$
6,234.8

 
$
(9,070.9
)
 
$
8,733.8

Liabilities:
 
 
 
 
 
 
 
 
 
Accounts payable
$
15.0

 
$
154.8

 
$
126.2

 
$
(0.6
)
 
$
295.4

Accrued liabilities
235.8

 
286.9

 
186.9

 
—

 
709.6

Debt
789.5

 
39.1

 
2,724.4

 
—

 
3,553.0

Deferred income
—

 
34.5

 
1.9

 
—

 
36.4

Deferred income taxes
—

 
637.5

 
8.7

 
(13.6
)
 
632.6

Advances from subsidiaries
1,067.5

 
—

 
597.7

 
(1,665.2
)
 
—

Other liabilities
92.6

 
13.7

 
3.1

 
—

 
109.4

Total stockholders' equity
3,397.4

 
4,805.6

 
2,585.9

 
(7,391.5
)
 
3,397.4

 
$
5,597.8

 
$
5,972.1

 
$
6,234.8

 
$
(9,070.9
)
 
$
8,733.8


Balance Sheet
 
 
 
 
 
 
 
 
 
December 31, 2013
 
 
 
 
 
 
 
 
 
 
Parent
 
Combined
Guarantor
Subsidiaries
 
Combined
Non-Guarantor
Subsidiaries
 
Eliminations
 
Consolidated
 
(in millions)
Assets:
 
 
 
 
 
 
 
 
 
Cash and cash equivalents
$
409.8

 
$
2.1

 
$
44.0

 
$
(27.4
)
 
$
428.5

Short-term marketable securities
149.7

 
—

 
—

 
—

 
149.7

Receivables, net of allowance
—

 
223.4

 
142.2

 
(0.6
)
 
365.0

Income tax receivable
7.7

 
—

 
—

 
—

 
7.7

Inventory
—

 
642.1

 
180.7

 
(8.1
)
 
814.7

Property, plant, and equipment, net
44.5

 
947.2

 
4,264.7

 
(485.8
)
 
4,770.6

Investments in and advances to subsidiaries
3,431.7

 
2,806.5

 
79.8

 
(6,318.0
)
 
—

Restricted cash
—

 
25.0

 
208.3

 
27.4

 
260.7

Goodwill and other assets
133.1

 
144.3

 
247.8

 
(8.7
)
 
516.5

 
$
4,176.5

 
$
4,790.6

 
$
5,167.5

 
$
(6,821.2
)
 
$
7,313.4

Liabilities:
 
 
 
 
 
 
 
 
 
Accounts payable
$
11.6

 
$
115.6

 
$
89.7

 
$
(0.6
)
 
$
216.3

Accrued liabilities
213.0

 
202.7

 
151.7

 
—

 
567.4

Debt
375.9

 
42.2

 
2,571.7

 
—

 
2,989.8

Deferred income
—

 
38.7

 
2.1

 
—

 
40.8

Deferred income taxes
—

 
655.9

 
3.5

 
(8.7
)
 
650.7

Advances from subsidiaries
744.5

 
—

 
19.2

 
(763.7
)
 
—

Other liabilities
82.4

 
13.9

 
3.0

 
—

 
99.3

Total stockholders' equity
2,749.1

 
3,721.6

 
2,326.6

 
(6,048.2
)
 
2,749.1

 
$
4,176.5

 
$
4,790.6

 
$
5,167.5

 
$
(6,821.2
)
 
$
7,313.4



Statement of Cash Flows
 
 
 
 
 
 
 
 
 
Year Ended December 31, 2014
 
 
 
 
 
 
 
 
 
 
Parent
 
Combined
Guarantor
Subsidiaries
 
Combined
Non-Guarantor
Subsidiaries
 
Eliminations
 
Consolidated
 
(in millions)
Operating activities:
 
 
 
 
 
 
 
 
 
Net income
$
678.2

 
$
727.1

 
$
265.0

 
$
(961.0
)
 
$
709.3

Adjustments to reconcile net income to net cash:
 
 
 
 
 
 
 
 
 
(Income) loss from discontinued operations
—

 
0.1

 
(0.1
)
 
—

 
—

Depreciation and amortization
6.1

 
24.9

 
213.6

 
—

 
244.6

Stock-based compensation expense
53.3

 
18.9

 
13.4

 
(32.3
)
 
53.3

Excess tax benefits from stock-based compensation
(24.4
)
 
—

 
—

 
—

 
(24.4
)
Provision for deferred income taxes
(4.0
)
 
(8.9
)
 
7.1

 
—

 
(5.8
)
Net gains on railcar lease fleet sales owned more than one year
—

 
(41.4
)
 
(50.9
)
 
—

 
(92.3
)
Gains on disposition of property, plant, and equipment
1.4

 
—

 
(13.5
)
 
—

 
(12.1
)
Non-cash interest expense
15.7

 
(1.9
)
 
16.9

 
—

 
30.7

Changes in assets and liabilities:
 
 
 
 
 
 
 
 
 
(Increase) decrease in receivables
(50.9
)
 
33.4

 
(38.7
)
 
(0.2
)
 
(56.4
)
(Increase) decrease in inventories
—

 
(194.5
)
 
(1.7
)
 
9.9

 
(186.3
)
(Increase) decrease in restricted cash
—

 
25.0

 
—

 
—

 
25.0

(Increase) decrease in other assets
(38.8
)
 
13.2

 
(4.2
)
 
21.5

 
(8.3
)
Increase (decrease) in accounts payable
3.4

 
39.2

 
18.1

 
—

 
60.7

Increase (decrease) in accrued liabilities
2.1

 
72.8

 
12.1

 
(4.9
)
 
82.1

Increase (decrease) in other liabilities
9.2

 
(0.2
)
 
(6.4
)
 
—

 
2.6

Equity in earnings of subsidiaries, net of taxes
(740.2
)
 
(228.9
)
 
—

 
969.1

 
—

Other
(0.4
)
 
(3.5
)
 
(0.6
)
 
—

 
(4.5
)
Net cash provided (required) by operating activities - continuing
(89.3
)
 
475.3

 
430.1

 
2.1

 
818.2

Net cash provided by operating activities - discontinued
—

 
1.0

 
—

 
—

 
1.0

Net cash provided (required) by operating activities
(89.3
)
 
476.3

 
430.1

 
2.1

 
819.2

Investing activities:
 
 
 
 
 
 
 
 
 
(Increase) decrease in short-term marketable securities
74.7

 
—

 
—

 
—

 
74.7

Proceeds from railcar lease fleet sales
—

 
549.2

 
140.3

 
(423.7
)
 
265.8

Proceeds from disposition of PPE and other assets
0.4

 
—

 
22.6

 
—

 
23.0

Capital expenditures – leasing
—

 
(222.8
)
 
(446.2
)
 
423.7

 
(245.3
)
Capital expenditures – manufacturing and other
(9.2
)
 
(64.0
)
 
(146.1
)
 
—

 
(219.3
)
Acquisitions, net of cash acquired
—

 
—

 
(714.4
)
 
—

 
(714.4
)
(Increase) decrease in investment in partially-owned subsidiaries
—

 
(4.5
)
 
—

 
4.5

 
—

Other
0.9

 
(0.8
)
 
0.7

 
—

 
0.8

Net cash provided (required) by investing activities - continuing
66.8

 
257.1

 
(1,143.1
)
 
4.5

 
(814.7
)
Net cash provided (required) by investing activities - discontinued
—

 
—

 
—

 
—

 
—

Net cash provided (required) by investing activities
66.8

 
257.1

 
(1,143.1
)
 
4.5

 
(814.7
)
Financing activities:
 
 
 
 
 
 
 
 
 
Proceeds from issuance of common stock, net
0.6

 
—

 
—

 
—

 
0.6

Excess tax benefits from stock-based compensation
24.4

 
—

 
—

 
—

 
24.4

Payments to retire debt
(0.5
)
 
(3.1
)
 
(183.0
)
 
—

 
(186.6
)
Proceeds from issuance of debt
395.7

 
—

 
331.6

 
—

 
727.3

(Increase) decrease in restricted cash
—

 
—

 
13.9

 
(12.9
)
 
1.0

Shares repurchased
(36.5
)
 
—

 
—

 
—

 
(36.5
)
Dividends paid to common shareholders
(54.4
)
 
—

 
—

 
—

 
(54.4
)
Purchase of shares to satisfy employee tax on vested stock
(38.3
)
 
—

 
—

 
—

 
(38.3
)
Contributions from noncontrolling interest
—

 
—

 
49.6

 
—

 
49.6

Distributions to noncontrolling interest
—

 
—

 
(28.2
)
 
—

 
(28.2
)
Contributions from controlling interest in partially-owned subs
—

 
—

 
4.5

 
(4.5
)
 
—

Change in intercompany financing between entities
149.4

 
(719.1
)
 
571.8

 
(2.1
)
 
—

Other
—

 
(0.7
)
 
(1.8
)
 
—

 
(2.5
)
Net cash provided (required) by financing activities - continuing
440.4

 
(722.9
)
 
758.4

 
(19.5
)
 
456.4

Net cash required by financing activities - discontinued
—

 
(1.5
)
 
—

 
—

 
(1.5
)
Net cash provided (required) by financing activities
440.4

 
(724.4
)
 
758.4

 
(19.5
)
 
454.9

Net increase (decrease) in cash and cash equivalents
417.9

 
9.0

 
45.4

 
(12.9
)
 
459.4

Cash and cash equivalents at beginning of period
409.8

 
2.1

 
44.0

 
(27.4
)
 
428.5

Cash and cash equivalents at end of period
$
827.7

 
$
11.1

 
$
89.4

 
$
(40.3
)
 
$
887.9

Statement of Cash Flows
 
 
 
 
 
 
 
 
 
Year Ended December 31, 2013
 
 
 
 
 
 
 
 
 
 
Parent
 
Combined
Guarantor
Subsidiaries
 
Combined
Non-Guarantor
Subsidiaries
 
Eliminations
 
Consolidated
 
(in millions)
Operating activities:
 
 
 
 
 
 
 
 
 
Net income
$
375.5

 
$
378.7

 
$
109.8

 
$
(471.6
)
 
$
392.4

Adjustments to reconcile net income to net cash:
 
 
 
 
 
 
 
 
 
(Income) loss from discontinued operations
—

 
(6.3
)
 
—

 
—

 
(6.3
)
Depreciation and amortization
4.5

 
31.5

 
175.5

 
—

 
211.5

Stock-based compensation expense
44.5

 
15.9

 
7.5

 
(23.4
)
 
44.5

Excess tax benefits from stock-based compensation
(8.5
)
 
—

 
—

 
—

 
(8.5
)
Provision for deferred income taxes
43.3

 
(5.3
)
 
7.8

 
—

 
45.8

Net gains on railcar lease fleet sales owned more than one year
—

 
(10.9
)
 
(9.5
)
 
—

 
(20.4
)
Gain on disposition of property, plant, and equipment
(0.3
)
 
—

 
(0.5
)
 
—

 
(0.8
)
Non-cash interest expense
14.4

 
(0.9
)
 
17.3

 
—

 
30.8

Changes in assets and liabilities:
 
 
 
 
 
 
 
 
 
(Increase) decrease in receivables
1.0

 
27.6

 
(12.0
)
 
0.6

 
17.2

(Increase) decrease in inventories
—

 
(103.7
)
 
6.4

 
1.7

 
(95.6
)
(Increase) decrease in restricted cash
—

 
(25.0
)
 
—

 
—

 
(25.0
)
(Increase) decrease in other assets
146.8

 
9.3

 
(3.0
)
 
(182.2
)
 
(29.1
)
Increase (decrease) in accounts payable
0.1

 
15.0

 
14.4

 
(0.5
)
 
29.0

Increase (decrease) in accrued liabilities
61.8

 
20.5

 
(9.9
)
 
—

 
72.4

Increase (decrease) in other liabilities
(45.4
)
 
4.7

 
(22.7
)
 
71.6

 
8.2

Equity in earnings of subsidiaries, net of taxes
(378.3
)
 
(97.1
)
 
—

 
475.4

 
—

Other
(1.8
)
 
(4.4
)
 
(0.2
)
 
—

 
(6.4
)
Net cash provided (required) by operating activities - continuing
257.6

 
249.6

 
280.9

 
(128.4
)
 
659.7

Net cash provided (required) by operating activities - discontinued
—

 
2.5

 
—

 
—

 
2.5

Net cash provided (required) by operating activities
257.6

 
252.1

 
280.9

 
(128.4
)
 
662.2

Investing activities:
 
 
 
 
 
 
 
 
 
(Increase) decrease in short-term marketable securities
(149.7
)
 
—

 
—

 
—

 
(149.7
)
Proceeds from railcar lease fleet sales
—

 
322.4

 
57.1

 
(247.9
)
 
131.6

Proceeds from disposition of PPE and other assets
—

 
0.3

 
3.4

 
—

 
3.7

Capital expenditures – leasing
—

 
(545.6
)
 
(283.4
)
 
247.9

 
(581.1
)
Capital expenditures – manufacturing and other
(23.7
)
 
(34.1
)
 
(92.1
)
 
—

 
(149.9
)
Acquisitions, net of cash acquired
—

 
35.6

 
(108.8
)
 
—

 
(73.2
)
(Increase) decrease in investment in partially-owned subsidiaries
—

 
47.3

 
—

 
(47.3
)
 
—

Other
108.8

 
—

 
—

 
(108.8
)
 
—

Net cash provided (required) by investing activities - continuing
(64.6
)
 
(174.1
)
 
(423.8
)
 
(156.1
)
 
(818.6
)
Net cash provided by investing activities - discontinued
—

 
0.6

 
—

 
—

 
0.6

Net cash provided (required) by investing activities
(64.6
)
 
(173.5
)
 
(423.8
)
 
(156.1
)
 
(818.0
)
Financing activities:
 
 
 
 
 
 
 
 
 
Proceeds from issuance of common stock, net
2.5

 
—

 
—

 
—

 
2.5

Excess tax benefits from stock-based compensation
8.5

 
—

 
—

 
—

 
8.5

Payments to retire debt
—

 
(52.2
)
 
(318.7
)
 
108.8

 
(262.1
)
Proceeds from issuance of debt
—

 
—

 
175.0

 
—

 
175.0

(Increase) decrease in restricted cash
—

 
—

 
2.5

 
(15.0
)
 
(12.5
)
Shares repurchased
(103.2
)
 
—

 
—

 
—

 
(103.2
)
Dividends paid to common shareholders
(39.3
)
 
—

 
—

 
—

 
(39.3
)
Purchase of shares to satisfy employee tax on vested stock
(9.6
)
 
—

 
—

 
—

 
(9.6
)
Proceeds from sale of interests in partially-owned leasing subs
—

 
—

 
296.7

 
—

 
296.7

Repurchase of noncontrolling interest in partially-owned leasing subs
—

 
(84.0
)
 
—

 
—

 
(84.0
)
Contributions from noncontrolling interest
—

 
—

 
50.0

 
—

 
50.0

Distributions to noncontrolling interest
—

 
—

 
(10.0
)
 
—

 
(10.0
)
Distributions to controlling interest in partially-owned subsidiaries
—

 
—

 
(47.3
)
 
47.3

 
—

Change in intercompany financing between entities
(148.3
)
 
56.7

 
(36.8
)
 
128.4

 
—

Other
—

 
—

 
0.8

 
—

 
0.8

Net cash provided (required) by financing activities - continuing
(289.4
)
 
(79.5
)
 
112.2

 
269.5

 
12.8

Net cash required by financing activities - discontinued
—

 
(1.5
)
 
—

 
—

 
(1.5
)
Net cash provided (required) by financing activities
(289.4
)
 
(81.0
)
 
112.2

 
269.5

 
11.3

Net increase (decrease) in cash and cash equivalents
(96.4
)
 
(2.4
)
 
(30.7
)
 
(15.0
)
 
(144.5
)
Cash and cash equivalents at beginning of period
506.2

 
4.5

 
74.7

 
(12.4
)
 
573.0

Cash and cash equivalents at end of period
$
409.8

 
$
2.1

 
$
44.0

 
$
(27.4
)
 
$
428.5

Statement of Cash Flows
 
 
 
 
 
 
 
 
 
Year Ended December 31, 2012
 
 
 
 
 
 
 
 
 
 
Parent
 
Combined
Guarantor
Subsidiaries
 
Combined
Non-Guarantor
Subsidiaries
 
Eliminations
 
Consolidated
 
(in millions)
Operating activities:
 
 
 
 
 
 
 
 
 
Net income
$
255.2

 
$
227.7

 
$
97.2

 
$
(326.4
)
 
$
253.7

Adjustments to reconcile net income to net cash:
 
 
 
 
 
 
 
 
 
(Income) loss from discontinued operations
—

 
(1.4
)
 
(0.4
)
 
—

 
(1.8
)
Depreciation and amortization
3.9

 
30.4

 
159.4

 
—

 
193.7

Stock-based compensation expense
27.7

 
10.2

 
4.1

 
(14.3
)
 
27.7

Excess tax benefits from stock-based compensation
(0.6
)
 
—

 
—

 
—

 
(0.6
)
Provision for deferred income taxes
4.9

 
125.5

 
(4.1
)
 
—

 
126.3

Net gains on railcar lease fleet sales owned more than one year
—

 
(9.0
)
 
(24.5
)
 
—

 
(33.5
)
Gain on disposition of PPE and other assets
(0.4
)
 
(0.4
)
 
(4.2
)
 
—

 
(5.0
)
Non-cash interest expense
13.3

 
0.3

 
17.6

 
—

 
31.2

Changes in assets and liabilities:
 
 
 
 
 
 
 
 
 
(Increase) decrease in receivables
(7.8
)
 
10.1

 
0.4

 
—

 
2.7

(Increase) decrease in inventories
—

 
(106.3
)
 
(24.9
)
 
3.2

 
(128.0
)
(Increase) decrease in restricted cash
—

 
—

 
—

 
—

 
—

(Increase) decrease in other assets
(30.2
)
 
(2.7
)
 
(3.3
)
 
(5.3
)
 
(41.5
)
Increase (decrease) in accounts payable
3.5

 
(26.0
)
 
5.8

 
—

 
(16.7
)
Increase (decrease) in accrued liabilities
5.9

 
109.5

 
6.2

 
3.9

 
125.5

Increase (decrease) in other liabilities
(12.8
)
 
(33.7
)
 
(1.4
)
 
44.0

 
(3.9
)
Equity in earnings of subsidiaries, net of taxes
(246.6
)
 
(88.2
)
 
—

 
334.8

 
—

Other adjustments
0.9

 
(3.2
)
 
(0.9
)
 
—

 
(3.2
)
Net cash provided by operating activities - continuing operations
16.9

 
242.8

 
227.0

 
39.9

 
526.6

Net cash provided by operating activities - discontinued operations
—

 
0.8

 
—

 
—

 
0.8

Net cash provided by operating activities
16.9

 
243.6

 
227.0

 
39.9

 
527.4

Investing activities:
 
 
 
 
 
 
 
 
 
Proceeds from railcar lease fleet sales owned more than one year
—

 
527.6

 
88.7

 
(490.0
)
 
126.3

Proceeds from lease fleet sales – sale and leaseback
—

 
58.3

 
—

 
—

 
58.3

Proceeds from disposition of PPE and other assets
—

 
13.6

 
3.2

 
—

 
16.8

Capital expenditures – leasing subsidiary
—

 
(380.9
)
 
(461.7
)
 
490.0

 
(352.6
)
Capital expenditures – manufacturing and other
(6.6
)
 
(38.8
)
 
(71.2
)
 
—

 
(116.6
)
Acquisitions, net of cash acquired
—

 
2.1

 
(48.3
)
 
—

 
(46.2
)
Other
—

 
—

 
1.7

 
—

 
1.7

Net cash required by investing activities - continuing
(6.6
)
 
181.9

 
(487.6
)
 
—

 
(312.3
)
Net cash provided (required) by investing activities - discontinued
—

 
0.9

 
—

 
—

 
0.9

Net cash required by investing activities
(6.6
)
 
182.8

 
(487.6
)
 
—

 
(311.4
)
Financing activities:
 
 
 
 
 
 
 
 
 
Proceeds from issuance of common stock, net
4.1

 
—

 
—

 
—

 
4.1

Excess tax benefits from stock-based compensation
0.6

 
—

 
—

 
—

 
0.6

Payments to retire debt
—

 
(8.9
)
 
(369.5
)
 
—

 
(378.4
)
Proceeds from issuance of debt
—

 
—

 
443.8

 
—

 
443.8

(Increase) decrease in restricted cash
—

 
—

 
(6.0
)
 
23.1

 
17.1

Shares repurchased
(45.2
)
 
—

 
—

 
—

 
(45.2
)
Dividends paid to common shareholders
(31.7
)
 
—

 
—

 
—

 
(31.7
)
Purchase of shares to satisfy employee tax on vested stock
(4.8
)
 
—

 
—

 
—

 
(4.8
)
Change in intercompany financing between entities
236.5

 
(415.4
)
 
218.8

 
(39.9
)
 
—

Other
—

 
—

 
(0.5
)
 
—

 
(0.5
)
Net cash provided by financing activities - continuing
159.5

 
(424.3
)
 
286.6

 
(16.8
)
 
5.0

Net cash required by financing activities - discontinued
—

 
0.9

 
—

 
—

 
0.9

Net cash provided by financing activities
159.5

 
(423.4
)
 
286.6

 
(16.8
)
 
5.9

Net increase (decrease) in cash and cash equivalents
169.8

 
3.0

 
26.0

 
23.1

 
221.9

Cash and cash equivalents at beginning of period
336.4

 
1.5

 
48.7

 
(35.5
)
 
351.1

Cash and cash equivalents at end of period
$
506.2

 
$
4.5

 
$
74.7

 
$
(12.4
)
 
$
573.0