Summary of Significant Accounting Policies (Tables)

9 Months Ended

Sep. 30, 2023

Accounting Policies [Abstract]

Remaining Performance Obligation

Unsatisfied Performance Obligations

The following table includes estimated revenue expected to be recognized in future periods related to performance obligations that are unsatisfied or partially satisfied as of September 30, 2023 and the percentage of the outstanding performance obligations as of September 30, 2023 expected to be delivered during the remainder of 2023:

	Unsatisfied performance obligations at September 30, 2023
	Total Amount		Percent expected to be delivered in 2023
	(in millions)
Rail Products Group:
New railcars:
External customers	$	3,153.6
Leasing Group	444.8
	$	3,598.4	17.2	%
Sustainable railcar conversions	$	124.4	33.5	%
Maintenance services	$	7.6	100.0	%
Railcar Leasing and Management Services Group	$	69.5	7.1	%

Lessee, Operating Leases

The following table summarizes the impact of our operating leases on our Consolidated Financial Statements (in millions, except lease term and discount rate):

	Three Months Ended September 30,				Nine Months Ended September 30,
	2023		2022		2023			2022
Consolidated Statements of Operations
Operating lease expense	$	4.6	$	4.6	$	13.3		$	13.5
Short-term lease expense	$	—	$	0.1	$	—		$	0.3
Consolidated Statements of Cash Flows
Cash flows from operating activities					$	13.3		$	13.5
Right-of-use assets recognized in exchange for new lease liabilities					$	9.6		$	21.0
					September 30, 2023			December 31, 2022
Consolidated Balance Sheets
Right-of-use assets (1)					$	91.1		$	93.1
Lease liabilities (2)					$	109.5		$	114.8
Weighted average remaining lease term					9.6 years			9.9 years
Weighted average discount rate					3.1		%	2.8		%

(1) Included in other assets in our Consolidated Balance Sheets.

(2) Included in other liabilities in our Consolidated Balance Sheets.

Lessee, Operating Lease, Liability, Maturity [Table Text Block]

Future contractual minimum operating lease liabilities will mature as follows (in millions):

	Leasing Group		Non-Leasing Group		Total
Remaining three months of 2023	$	2.7	$	2.6	$	5.3
2024	7.2		9.7		16.9
2025	6.3		8.7		15.0
2026	5.9		8.0		13.9
2027	5.5		7.9		13.4
Thereafter	3.9		58.6		62.5
Total operating lease payments	$	31.5	$	95.5	$	127.0
Less: Present value adjustment					(17.5)
Total operating lease liabilities					$	109.5

Lessor, Operating Leases

The following table summarizes the impact of our leases on our Consolidated Statements of Operations:

	Three Months Ended September 30,				Nine Months Ended September 30,
	2023		2022		2023		2022
	(in millions)
Operating lease revenues	$	183.4	$	167.2	$	542.0	$	500.5
Variable operating lease revenues	$	18.3	$	17.7	$	51.0	$	49.0
Interest income on sales-type lease receivables	$	0.1	$	0.2	$	0.5	$	0.5
Profit recognized at sales-type lease commencement (1)	$	—	$	—	$	—	$	1.3

(1) Included in gains on dispositions of property – lease portfolio sales on our Consolidated Statements of Operations.

Lessor, Payments to be Received, Maturity [Table Text Block]

Future contractual minimum revenues for operating leases will mature as follows (in millions)(1):

Remaining three months of 2023	$	176.3
2024	622.6
2025	506.0
2026	387.4
2027	282.2
Thereafter	434.3
Total	$	2,408.8

(1) Total contractual minimum rental revenues on operating leases relates to our wholly-owned and partially-owned subsidiaries and sub-lease rental revenues associated with the Leasing Group's operating lease obligations.

Future contractual minimum lease receivables for sales-type leases will mature as follows (in millions):

Remaining three months of 2023	$	0.3
2024	1.1
2025	1.1
2026	1.1
2027	1.1
Thereafter	10.1
Total	14.8
Less: Unearned interest income	(4.5)
Net investment in sales-type leases (1)	$	10.3

(1) Included in other assets in our Consolidated Balance Sheets.

Schedule of Goodwill

Goodwill by segment is as follows:

	September 30, 2023		December 31, 2022
Railcar Leasing and Management Services Group	$	33.9	$	7.1
Rail Products Group	188.8		188.8
	$	222.7	$	195.9

Schedule of Product Warranty Liability [Table Text Block]

The changes in the accruals for warranties for the three and nine months ended September 30, 2023 and 2022 are as follows:

	Three Months Ended September 30,				Nine Months Ended September 30,
	2023		2022		2023		2022
	(in millions)
Beginning balance	$	5.2	$	2.7	$	3.3	$	3.1
Warranty costs incurred	(0.7)		(0.4)		(1.2)		(2.5)
Warranty originations and revisions	0.5		0.9		3.5		3.1
Warranty expirations	—		(0.3)		(0.6)		(0.8)
Ending balance	$	5.0	$	2.9	$	5.0	$	2.9