Investor Presentation
August 2017
Investor Contact: TrinityInvestorRelations@trin.net
Website: www.trin.net
Exhibit 99.1
This presentation contains “forward looking statements” as defined by the Private
Securities Litigation Reform Act of 1995 and includes statements as to
expectations, beliefs and future financial performance, or assumptions underlying
or concerning matters herein. These statements that are not historical facts are
forward looking. Readers are directed to Trinity’s Form 10-K and other SEC filings
for a description of certain of the business issues and risks, a change in any of
which could cause actual results or outcomes to differ materially from those
expressed in the forward looking statements. Any forward looking statement
speaks only as of the date on which such statement is made. Trinity undertakes no
obligation to update any forward looking statement or statements to reflect
events or circumstances after the date on which such statement is made.
2
Forward Looking Statements
Agenda
I. Overview
II. Key Investment Considerations
III. Strategy and Vision
IV. Financial Highlights
V. Appendix
3
$0.00
$1.00
$2.00
$3.00
$4.00
$5.00
$6.00
$0
$1,000
$2,000
$3,000
$4,000
$5,000
$6,000
$7,000
2009 2010 2011 2012 2013 2014 2015 2016 LTM
06/17
Rail Group Leasing Barge
CPG EEG All Other
EPS, Total Company-Diluted
• Trinity Industries, Inc. is a diversified industrial
company that owns complementary market-
leading businesses providing products and
services to the energy, chemical, agriculture,
transportation, and construction sectors
• Trinity operates through five business segments:
• Rail Group
• Railcar Leasing and Management Services
Group (“Leasing”)
• Inland Barge Group
• Construction Products Group (“CPG”)
• Energy Equipment Group (“EEG”)
• The Company serves its customers through
manufacturing facilities located in North America
and had approximately 14,500 employees at
quarter end June 30, 2017
• Total Revenue and EBITDA for the LTM 06/17 was
$4.0 billion and $890 million, respectively
4
I. Trinity Industries, Inc. Overview
External Revenue by Business Group(1)
All share and per share information has been retroactively adjusted to reflect
the 2-for-1 stock split effective in June 2014.
All Footnotes throughout the presentation are listed on Slide 27.
Rev
e
n
u
e
($mm)
E
P
S
(2)
5
II. Key Investment Considerations
Leading Market
Positions
Diversified Portfolio of
Businesses
Seasoned Performers
Focused on
Enrichment Value
Flexible and Cost-
Effective
Manufacturing
Rail Group Leading manufacturer of railcars
Leading manufacturer of railcar axles
Leading manufacturer of railcar coupling devices
Railcar Leasing and
Management Services
Group
Leading provider of railcar leasing and management
services
Inland Barge Group Leading manufacturer of inland barges and fiberglass
barge covers in the United States
Construction Products
Group
Leading full-line manufacturer of highway guardrail and
crash cushions in the United States
Leading producer and distributor of lightweight and
natural construction aggregates in the western and
southwestern United States
Energy Equipment
Group
Leading manufacturer of structural wind towers
Leading manufacturer of storage and distribution
containers and tank heads for pressure and non-
pressure vessels
Leading manufacturer of steel structures for electricity
transmission and distribution
6
Leading Market Positions in North America
7
Diversified Portfolio of Businesses
PRESENT (LTM 06/17) Elevating Our Financial Performance
Total Revenues = $4.0 B
PAST (FY 2000)
Total Revenues = $2.7 B Trinity’s long-term goal is to establish
sustainable earnings growth over economic
cycles
All Footnotes throughout the presentation are listed on Slide 27.
(2) (2)
We strive to outperform prior cyclical peaks
with higher EPS and better returns; raise the
earnings floor; and improve balance sheet
strength during cyclical downturns
(2) (2)
Revenue
Operating
Profit (1)
Revenue Revenue
(3)
42%
18%
12%
21%
7%
Revenue
29%
38%
11%
18%
4%
Rail Leasing CPG EEG Barge
Operating
Profit (1)
-$0.50
$0.50
$1.50
$2.50
$3.50
$4.50
$5.50
2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 LTM
06/17
Calendar Year EPS
8
Flexible and Cost-Effective Manufacturing
In recent years, Trinity has invested in its manufacturing footprint to establish “multi-purpose”
facilities, enhancing its flexible manufacturing footprint.
Flexibility
Cost-Effective
Trinity's manufacturing flexibility
across products and business
segments enhances our ability to
opportunistically respond to
changes in market demand
Trinity’s manufacturing scale,
vertical integration, and presence
in the Southern U.S. and Mexico
provides cost effective benefits
across multiple business
segments
9
Focused on Enrichment Value
Ex
te
rn
al
R
epo
rt
in
g
Grou
p
s
Ope
ra
ti
on
al
F
ocus
A
rea
s
Rail Leasing Construction Energy Inland Barge
Customer
Sharing
Internal
Component
Sourcing
Shared Best
Manufacturing
Practices
Facility
Optimization
Centralized
Cost Savings
Trinity focuses on
collaboration across
business segments…
…generating synergies
that enhance value and
ultimately provide
competitive benefits
Incorporated in 1933 with a strong corporate culture and commitment to
Company values
Seasoned management team knows how to assess the market, proactively plan
for cycles and quickly adapt to changing market conditions
Cost-effective and flexible manufacturing footprint is a competitive advantage
for many of our product lines
Significant liquidity position of approximately $2.3 billion and a strong balance
sheet at quarter end June 30, 2017
Track record of maintaining a healthy liquidity position across the business
cycle; “investment-grade” credit ratings from two of the three principal rating
agencies
S&P – Rating of “BBB-” with an Outlook of “Stable”
Fitch – Rating of “BBB-” with an Outlook of “Stable”
Moody’s – Rating of “Ba1” with an Outlook of “Stable”
10
Seasoned Performer Across Market Conditions
11
III. Strategy and Vision: Operational
Be a premier, diversified industrial company
that generates superior earnings and returns
for shareholders
Strategically Grow the Lease Fleet
Selectively Build our Backlogs
Diversify Through Organic Growth
Acquire Complementary Product Portfolios
Maximize Manufacturing Efficiency
12
Strategy and Vision: Financial
Maintain a
conservative and
liquid balance
sheet to be
attractively
positioned to
capitalize on
opportunities
Working Capital
Capital
Expenditures
Acquisitions
Shareholder
Distributions
Cash, Cash Equivalents,
& Short Term Marketable Securities $988
Corporate Revolver Availability 507
Warehouse Availability 832
Total Available Liquidity $2,327 mm
Balance Sheet Debt ~ $3.3 B(1)
Available Liquidity ~ $2.3 B
Equity ~ $4.3 B
Recourse Debt
Senior Notes(1) $400
Convertible Subordinated Notes(1) 449
Capital Leasing Obligations(1) 30
Total Recourse $879 mm
Non-Recourse Leasing Debt(2)
Warehouse Facility(1) $168
Long-term Financings:
Wholly-Owned(1) 915
Partially-Owned(1) 1,356
Total Non-Recourse Leasing $2,439 mm
As of 06/30/17
All Footnotes throughout the presentation are listed on Slide 27.
13
Strategy and Vision: RIV Platform
▪ Railcar Investment Vehicles, or “RIVs”, are customized portfolios of leased
railcars for institutional investors and other entities that are developed and
managed by TrinityRail
▪ TrinityRail is the first in the industry to create a platform of RIVs for
institutional investors. Since FY 2006, we have placed approximately $5.2
billion to various RIVs(1)
▪ Institutional investors continue to invest in RIVs developed and managed by
TrinityRail because of the scale and diversity of our products and services,
the strength of our commercial relationships, our “cradle to grave” asset
expertise, and our track record of value-creating investments
All Footnotes throughout the presentation are listed on Slide 27.
$443 $470
$612
$774
$989
$1,502
$1,713
$1,032
$890
$0
$200
$400
$600
$800
$1,000
$1,200
$1,400
$1,600
$1,800
2009 2010 2011 2012 2013 2014 2015 2016 LTM
06/17
$0.67
$0.43
$0.88
$1.59
$2.38
$4.19
$5.08
$2.25
$1.62
$0.00
$1.00
$2.00
$3.00
$4.00
$5.00
$6.00
2009 2010 2011 2012 2013 2014 2015 2016 LTM
06/17
14
IV. Financial Highlights
Trinity’s EPS Summary FY 2009 – LTM 06/17(3)
LTM 06/17 vs. LTM 06/16(1)
Revenues decreased 26.7% to $4.0 billion from
$5.46 billion
Operating profit decreased 52.0% to $475.1 million
from $990.1 million
(2)
EBITDA decreased 36.9% to $889.7 million from
$1.41 billion
Earnings per common diluted share decreased
58.1% to $1.62 from $3.87 per diluted share
Trinity’s EBITDA Summary FY 2009 – LTM 06/17(6)
All Footnotes throughout the presentation are listed on Slide 27.
(4) (5)
15
Guidance and Outlook (As of July 26, 2017)
Total Company
EPS ~ $1.10- $1.30 for FY 2017
Manufacturing and Corporate Capital Expenditures ~ $90mm - $110mm in FY 2017
Elimination Impact of Net Income Attributable to Noncontrolling Interest ~ $0.06 per share in FY 2017
Rail Group
Revenues ~ $2.0B in FY 2017
OP Margin ~ 9.5% in FY 2017
Shipments ~ 18,000 in FY 2017
Leasing Group
Revenues from Operations ~ $720mm in FY 2017
OP from Operations ~ $310mm in FY 2017
Revenue Eliminations ~ $690mm in FY 2017
OP Elimination Impact ~ $90mm in FY 2017
Net Leasing Investment ~ $315mm - $365mm in FY 2017
Total Sales of Leased Railcars ~ $300mm - $350mm in FY 2017
Inland Barge Group
Revenues ~ $155mm in FY 2017
OP Margin ~ 1.5% in FY 2017
Construction Products Group
Revenues ~ $510mm in FY 2017
OP Margin ~ 14% in FY 2017
Energy Equipment Group
Revenues ~ $950mm in FY 2017
OP Margin ~ 10% in FY 2017
Any forward-looking statements made by the Company speak only as of the date on which they are made. The Company is under no obligation to, and expressly
disclaims any obligation to, update or alter its forward-looking statements, whether as a result of new information, subsequent events or otherwise.
16
Appendix:
Operating Business Summaries
$895
$522
$1,275
$2,013
$2,868
$3,817
$4,462
$3,077
$2,481
-4.0%
0.0%
4.0%
8.0%
12.0%
16.0%
20.0%
24.0%
$-
$500
$1,000
$1,500
$2,000
$2,500
$3,000
$3,500
$4,000
$4,500
$5,000
2009 2010 2011 2012 2013 2014 2015 2016 LTM
06/17
Railcar Revenue Parts & Components Revenue OP Margin
17
Rail Group
Business Conditions/Demand Outlook
Market Positioning Current Performance(4)
Rail Group Revenues and OP Margin(1)
Leading manufacturer of railcars, railcar axles, and coupling
devices in North America
Broadest product offering for railcar manufacturing in North
America
Networking of customers between railcar sales and railcar
leasing
Investment in maintenance services has expanded capabilities
for our lease fleet and key customers
Focus on new and advanced engineering designs
Centralized sourcing provides cost savings
Streamlined manufacturing efficiencies
Trinity delivered 21,855 railcars representing 42.7% of industry
shipments during LTM 06/17; Trinity received orders for 9,970
railcars representing 30.3% of the industry total during LTM 06/17
Trinity’s $2.7 billion order backlog of 27,580 railcars accounts for
41% of industry backlog as of 06/17 and includes a broad mix of
railcar types across many industrial sectors
Orders received for the second quarter of 2017 of 5,705 railcars
were strong relative to recent quarters and reflected a broad mix
of railcar types. While encouraged by the order level, a sustained
level of improvement in rail industry fundamentals needs to
continue to declare a market recovery
All Footnotes throughout the presentation are listed on Slide 27.
(2)
0
10,000
20,000
30,000
40,000
50,000
60,000
70,000
80,000
90,000
100,000
Railcar Deliveries (1958 - 2020P)
Projections based on Third Party estimates(3)
($mm)
-
20,000
40,000
60,000
80,000
100,000
120,000
12/06 12/07 12/08 12/09 12/10 12/11 12/12 12/13 12/14 12/15 12/16 LTM
06/17
Managed Fleet Wholly-Owned & Partially-Owned
Business Conditions/Demand Outlook
$329
$461
$493
$529
$587
$632
$700 $701 $716
10.0%
20.0%
30.0%
40.0%
50.0%
60.0%
$0
$100
$200
$300
$400
$500
$600
$700
$800
2009 2010 2011 2012 2013 2014 2015 2016 LTM
06/17
TILC Revenue Operations Margin PBT Margin
18
Railcar Leasing & Management Services Group
Market Positioning Current Performance
Leading provider of comprehensive railcar leasing and
management services
Marketed with railcar sales activities as TrinityRail®
Provider of operating leases offering ‘one stop shopping’ for
TrinityRail shipping customers
Scale of operations facilitates active participation in secondary
market activities to create railcar investment vehicles and
asset management services for institutional investors
Total leased railcars under management, including railcars sold
to institutional investors, were more than 106,700 as of June
30, 2017, an increase of 6.7% year-over-year
Delivered solid financial performance during the LTM 06/17 driven
by lease fleet growth, high fleet utilization, and disciplined cost
management initiatives
Secondary markets continue to reflect strong valuations of leased
railcar assets. We completed $100 million of leased railcar sales
year-to-date and expect an additional $200-250 million during the
remainder of FY 2017
We expect to continue growing our lease fleet in FY 2017; as of
06/17, our Rail Group backlog included $993 million of railcars
dedicated to the lease fleet
Leasing Operating Revenues and Profit (Excludes Car Sales)(3)
All Footnotes throughout the presentation are listed on Slide 27.
(1) (2)
More Than Tripled the Size of Trinity’s Owned
and Managed Lease Fleet since 2006
($mm)
$527
$422
$549
$675
$577
$639
$653
$403
$270
0%
3%
6%
9%
12%
15%
18%
21%
24%
$0
$100
$200
$300
$400
$500
$600
$700
$800
2009 2010 2011 2012 2013 2014 2015 2016 LTM
06/17
Revenues OP Margin
Inland Barge Group
Business Conditions/Demand Outlook
Market Positioning Current Performance
Inland Barge Group Revenues and OP Margin
Leading manufacturer of inland barges and fiberglass barge
covers in the United States
Multiple barge manufacturing facilities on inland waterways
enable rapid delivery
Operating flexibility is a key differentiator
Barge transportation has a cost advantage in high-cost fuel
environments
Revenues down 50.0% in LTM 06/17 vs. LTM 06/16 as a
result of lower barge deliveries and product mix changes;
backlog at June 30, 2017 was $90.7 million
Profit margins declined to 9.4 % in LTM 06/17 due to
product mix changes and a weak demand environment
causing pressure on volume
Investments made over the past decade have enhanced the
Barge segment’s production flexibility positioning the
business to respond effectively as market demand changes
Weak market conditions persist. Overcapacity and declines in freight
movements along the inland waterways continue to create
headwinds
Replacement demand driver (as of 12/31/16):(4)
3,409 out of 18,897 hopper barges, or approximately 18.0%, are
greater than 20 years old
867 out of 3,683 tank barges, or approximately 23.5%, are greater
than 20 years old
From 2000 to 2015, the industry had a build-to-scrap ratio of 0.9x; in
2016 the ratio was 1.8x
All Footnotes throughout the presentation are listed on Slide 27.
19
(1) (2) (3)
($mm)
$281
$354
$453
$484
$525
$552
$533 $523
$507
6.0%
7.0%
8.0%
9.0%
10.0%
11.0%
12.0%
13.0%
14.0%
15.0%
$0
$100
$200
$300
$400
$500
$600
2009 2010 2011 2012 2013 2014 2015 2016 LTM
06/17
Highway Products Aggregates Other OP Margin
20
Construction Products Group
Business Conditions/Demand Outlook
Market Positioning Current Performance
Construction Products Group Revenues and OP Margin(1)
Leading U.S. manufacturer of highway guardrail, crash
cushions, and other protective barriers
Leading producer and distributor of lightweight and natural
construction aggregates in the western and southwestern
United States
Diversified exposure to commercial, residential, industrial,
and highway markets
Demand tied to the North American infrastructure build out
and federal funding
Operating Profit increased 17.3% in LTM 06/17 vs. LTM 06/16,
resulting from a strong performance in our construction aggregates
business and improved efficiencies in our highway products business
Over the last five years, we have repositioned the portfolio to align
with more consistent demand drivers. In Q1 2013, we exited the
concrete business through an asset swap for the lightweight
aggregates business. The Company added additional lightweight
aggregate facilities in early 2015 and during Q2 2017, expanding our
geographic presence
In addition, we acquired the assets of a trench shoring business
subsequent to Q2 2017, increasing our presence in this business that
we entered in 2012 with a similar-sized acquisition. In Q2 2015, we
divested the galvanizing business
Fixing America’s Surface Transportation ACT (FAST) passed
in December 2015 and authorized a five-year funding bill
of $305 billion for highways and other related transit
programs, providing much needed stability for public
agencies charged with planning transportation projects
Strong demand for aggregates in the southwestern U.S.
market due to residential and non-residential investment
Committed to finding opportunities to expand our product
portfolio and grow our aggregates market position
All Footnotes throughout the presentation are listed on Slide 27.
(2)
($mm)
21
Energy Equipment Group
Business Conditions/Demand Outlook
Market Positioning Current Performance
Energy Equipment Group Revenues and OP Margin
Leading manufacturer of wind towers, steel utility
structures, storage and distribution containers, tank heads
for pressure and non-pressure vessels, and cryogenic
transportation equipment used to store and transport
liquefied gases in North America
Structural Wind Towers:
Backlog of $945 million as of 06/17 provides solid visibility and
stable production through 2019
Received structural wind tower orders of $1.2 billion in FY 2016,
including a $940 million order for wind towers deliverable during a
three-year period, that began in 2017
Total Business Segment:
Operating Profit declined in LTM 06/17 compared to LTM 06/16
reflecting mixed demand conditions for the end markets the
Group serves
Five-year spending bill passed by the federal government in
December 2015 included a tax incentive for wind power energy
through 2019; the multi-year incentive provides developers the
necessary stable planning environment to develop wind
projects
Current demand levels and production visibility for utility
structures are improving; long-term demand fundamentals
remain positive as future growth in investment spending,
especially connecting renewable energy to the grid, is expected
The storage container industry is highly competitive and
experiencing pricing pressure from current market conditions;
long-term demand fundamentals are positive given the
significant investment by chemical companies along the Gulf ($mm)
$510
$420
$473
$559
$665
$992
$1,114
$1,013
0%
2%
4%
6%
8%
10%
12%
14%
16%
$0
$200
$400
$600
$800
$1,000
$1,200
2009 2010 2011 2012 2013 2014 2015 2016 LTM
06/17
Wind Tower and Utility Structures Revenues Other Revenues OP Margin
$993
22
How TrinityRail’s RIV platform works
Sources of Railcars for TrinityRail’s RIV platform
Newly built leased railcars from TrinityRail
Railcars acquired in secondary market
Railcars from TrinityRail’s Wholly-Owned
Fleet (i.e., “Reservoir of railcars”)
TrinityRail’s Managed Fleet
TrinityRail’s RIV platform
▪ Since FY 2006, we have
placed approximately
$5.2 billion to various
RIVs(1)
All Footnotes throughout the presentation are listed on Slide 27.
23
Value proposition for institutional investors
▪ Railcars are a critical component
of North America’s
transportation infrastructure,
transporting a diverse range of
commodities, intermediate
goods, and finished products
▪ Stable, hard asset investments
with attractive returns and an
inflationary hedge component
▪ Long-lived assets with an average
useful life of ~35-40 years
▪ Long term shift of railcar
ownership from shippers &
railroads towards third party
lessors like TrinityRail
Why invest in leased railcars? Why align with TrinityRail?
▪ Scale and diversity of railcar manufacturing
– Largest manufacturer of railcars in North
America
– Most diversified railcar product line available
in North America
▪ Strength and breadth of commercial
relationships
– Currently responsible for the leasing and
management of more than 106,700 railcars
▪ “Cradle to grave” asset expertise including
engineering, manufacturing, maintenance
services, leasing and management services
▪ Integrated business model that provides market
intelligence on the markets we serve and our
customers’ ongoing needs
▪ Track record of executing value-creating
transactions with sophisticated institutional
partners
24
Value proposition for Trinity
▪ Enhances our ability to meet the needs
of large customers
▪ Provides financial capacity to enhance
lease origination capabilities and expand
lease portfolio funding diversification
▪ Increases size of managed fleet,
generating recurring management fees
while allowing us to maintain close
relationships with the end users of the
railcars
▪ Further develops Trinity Industries
Leasing Company brand as premier
asset manager
TrinityRail Trinity Industries
▪ Provides Trinity with a level of financial
flexibility that is unique among diversified
industrial companies
▪ Enhances our ability to reinvest in our
railcar leasing and management services
platform, our portfolio of diversified
industrial businesses, and in other
opportunities that enhance shareholder
returns
▪ Diversifies earnings base by expanding
position in value chain
▪ Potential for additional income through
profits recognized at time of sale and, in
addition, management fees earned over
the longer term
25
Reconciliation of PBT Margin –
Railcar Leasing and Management Services Group
(in millions except for PBT Margin)
2009 2010 2011 2012 2013 2014 2015 2016 LTM 06/17
From Leasing Operations:
Revenue 329$ 461$ 493$ 529$ 587$ 632$ 700$ 701$ 716$
Operating Profit 129$ 200$ 225$ 243$ 267$ 288$ 331$ 313$ 339$
Less: Interest Expense (80) (139) (161) (174) (157) (153) (139) (125) (124)
Profit Before Tax (PBT) 48$ 62$ 64$ 68$ 110$ 135$ 192$ 188$ 215$
PBT Margin 15% 13% 13% 13% 19% 21% 27% 27% 30%
26
Reconciliation of EBITDA (1)(2) (in millions)
“EBITDA” is defined as income (loss) from continuing operations plus interest expense, income taxes, and depreciation and amortization
including goodwill impairment charges. EBITDA is not a calculation based on generally accepted accounting principles. The amounts
included in the EBITDA calculation, however, are derived from amounts included in the historical statements of operations data. In
addition, EBITDA should not be considered as an alternative to net income or operating income as an indicator of our operating
performance, or as an alternative to operating cash flows as a measure of liquidity. We believe EBITDA assists investors in comparing a
company’s performance on a consistent basis without regard to depreciation and amortization, which can vary significantly depending
upon many factors. However, the EBITDA measure presented in this presentation may not always be comparable to similarly titled
measures by other companies due to differences in the components of the calculation.
(1) EBITDA for previous years has been adjusted as a result of the divestiture of the Company’s Concrete business
(2) Includes results of operations related to TRIP starting January 1, 2010
2009 2010 2011 2012 2013 2014 2015 2016 LTM 06/17
Income (loss) from continuing operations ($140.8) $69.4 $146.8 $251.9 $386.1 $709.3 $826.0 $364.7 $269.5
Add:
Interest expense 123.1 182.1 185.3 194.7 187.3 193.4 194.7 181.9 181.2
Provision/(Benefit) for income taxes (11.5) 37.3 92.2 134.0 204.4 354.8 426.0 202.1 149.4
Depreciation & amortization expense 147.1 180.9 187.7 193.7 211.5 244.6 266.4 283.0 289.6
Goodwill impairment 325.0 - - - - - - - -
Earnings from continuing operations
before interest expense, income
taxes, and depreciation and
amortization expense $442.9 $469.7 $612.0 $774.3 $989.3 $1,502.1 $1,713.1 $1,031.7 $889.7
Slide 4
(1) Intersegment Revenues are eliminated and Leasing Revenues include revenues related to TRIP Holdings beginning in FY 2010; CPG Revenues for prior years have also been adjusted as a result of the
divestiture of its Concrete business in March 2013
(2) FY 2009 EPS excludes a $325 million pretax Goodwill impairment amounting to $1.57 per share; reported FY 2009 EPS was $(0.91)
Slide 7
(1) Operating Profit Excludes All Other, Corporate and is reduced by Leasing Interest Expense of $7 million in FY 2000 and $123.9 million in LTM 06/17
(2) Rail percentage represents Operating Profit less all Intersegment Company Eliminations; Leasing percentage represents Operating Profit less Leasing Interest Expense
(3) FY 2009 EPS excludes a $325 million pretax Goodwill impairment amounting to $1.57 per share; reported FY 2009 EPS was $(0.91)
Slide 12
(1) Excludes unamortized discount and/or unamortized debt issuance costs
(2) Leasing railcar equipment has a net book value of $5.9 billion, excluding deferred profit and including partially-owned subsidiaries
Slides 13 and 22
(1) Based on value of leased railcars at time of sale
Slide 14
(1) LTM 06/17 vs LTM 06/16, all numbers on a Continuing Operations basis except for EPS, which reflects Total Company EPS
(2) Operating Profit includes Leasing Interest Expense
(3) EPS is for Total Company, including Discontinued Operations; LTM 06/17 per share amount consists of sum of individual quarters
(4) Excludes $325mm pre-tax impact of impairment of Goodwill amounting to $1.57 per share; reported FY 2009 EPS was $(0.91)
(5) Beginning in FY 2010, TRIP Holdings Revenues and Operating Profit were consolidated with the Leasing Group
(6) See Note in Appendix pg. 26 for Reconciliation of EBITDA; EBITDA for previous years has been adjusted as a result of the divestiture of the Company’s Concrete business
Slide 17
(1) Before eliminations for Intersegment Sales to Leasing and Intercompany Profit
(2) Excludes $325mm pretax charge for impairment of Goodwill; reported FY 2009 operating loss margin was 39.8%
(3) Sources: Historical data as reported per the Railway Supply Institute. 2017-2020 projections are an average of estimates provided by Global Insight (07/17) and Economic Planning Associates, Inc. (04/17)
and are provided as a point of reference
(4) Source: Industry total as reported per the Railway Supply Institute’s American Railway Car Institute Committee (ARCI)
Slide 18
(1) Includes TRIP Holdings starting in 2007
(2) Includes Partially-Owned Subsidiaries
(3) Operations Margin calculated using only revenues and profit from Leasing Operations including Partially Owned Subsidiaries and excludes Car Sales; PBT Margin calculated using Operating Profit from
Leasing Operations less Leasing Interest Expense; See Appendix pg. 25
Slide 19
(1) OP Margin excludes a $5.1mm net gain due to flood-related insurance settlements; reported OP margin 16.3%
(2) OP Margin excludes a $15.5 mm net gain due to flood-related insurance settlements; reported OP margin 19.4%
(3) OP Margin excludes a $3.8 mm net gain due to flood-related insurance settlements and the sale of leased barges; reported OP margin 18.5%
(4) Informa Economics (03/2017)
Slide 20
(1) Revenues and OP Margin in prior years have been adjusted as a result of the divestiture of the Concrete business in March 2013
(2) Acquired Quixote Corporation in February 2010 which increased Highway Products revenue by 31% during 2010
27
Footnotes
