Trinity Industries, Inc. (Form: 8-K)

Investor Contact:
Gail M. Peck
Treasurer
Trinity Industries, Inc.
214/631-4420

FOR IMMEDIATE RELEASE
Trinity Industries, Inc. Reports Improved First Quarter Results

DALLAS – April 27, 2011 – Trinity Industries, Inc. (NYSE:TRN) today reported net income attributable to Trinity Industries’ stockholders of $24.2 million, or $0.30 per common diluted share for the first quarter ended March 31, 2011. Net income for the same quarter of 2010 was $2.0 million, or $0.02 per common diluted share. Included in the results for the first quarter of 2010 were pretax transaction expenses related to the acquisition of Quixote Corporation that totaled $4.3 million, or $0.04 per common diluted share.

Revenues for the first quarter of 2011 were $644.2 million compared with revenues of $454.0 million for the same quarter of 2010.

“Our financial performance during the first quarter reflects the benefits of a continuing economic recovery along with the ability of our businesses to generate improved operating results from consistent production levels,” said Timothy R. Wallace, Trinity’s Chairman, CEO, and President. “We are pleased to report record quarterly orders for new railcars of 18,770, which includes orders in the supply agreement we recently entered into with GATX Corporation for 12,500 railcars over a five year-period. This order helps provide a long term level of consistent production for our railcar manufacturing businesses. We are also pleased that we continue to maintain a strong liquidity position of more than $1.1 billion at the end of the first quarter.”

In the first quarter of 2011, the Rail Group had revenues of $219.8 million with an operating profit of $9.3 million. This compares to revenues of $73.6 million and an operating loss of $7.9 million in the first quarter of 2010. TrinityRail^® shipped approximately 2,240 railcars and received orders for approximately 18,770 railcars during the first quarter. As of March 31, 2011, TrinityRail’s backlog grew to approximately $1.8 billion, representing approximately 22,490 railcars, compared to a backlog of approximately $458 million, representing approximately 5,960 railcars, at December 31, 2010.

During the first quarter of 2011, the Railcar Leasing and Management Services Group (“Leasing Group”) reported revenues of $129.8 million, which included revenues from TRIP Rail Holdings LLC and its wholly-owned subsidiary (together “TRIP”) of $37.6 million, and operating profit of $54.7 million, which included operating profit from TRIP of $17.2 million. For the first quarter of 2010, the Leasing Group reported revenues of $121.2 million, which included revenues from TRIP of $29.2 million, and operating profit of $48.2 million, which included operating profit from TRIP of $17.1 million. Trinity Industries Leasing Company (“TILC”) had approximately 53,060 railcars in its fleet as of March 31, 2011. This compares to TILC’s fleet of approximately 51,910 railcars as of December 31, 2010. TILC’s lease fleet utilization was 99.2% as of March 31, 2011 compared to 99.3% as of December 31, 2010. TRIP’s lease fleet utilization was 99.8% at March 31, 2011 compared to 99.9% as of December 31, 2010.

Revenues for the Inland Barge Group were $137.9 million in the first quarter of 2011 compared to $97.4 million in the first quarter of 2010. Operating profit for the Inland Barge Group in the first quarter of 2011 was $21.7 million compared to $17.8 million in the same quarter of 2010. The Inland Barge Group received orders worth approximately $90 million during the first quarter of 2011 and had a backlog of approximately $461 million as of March 31, 2011 compared to a backlog of approximately $508 million at December 31, 2010.

The Energy Equipment Group recorded revenues of $118.7 million in the first quarter of 2011 compared to $90.1 million in the same quarter of 2010. The group produced operating profit of $10.5 million in the first quarter of 2011 compared to $10.4 million in the same quarter of 2010. The backlog for structural wind towers as of March 31, 2011 totaled approximately $1.0 billion, consistent with the backlog as of December 31, 2010.

Revenues in the Construction Products Group totaled $133.6 million in the first quarter of 2011 compared to $118.4 million in the same quarter of 2010. The group recorded an operating profit of $8.3 million in the first quarter of 2011 compared to $2.7 million in the first quarter of 2010.

Earnings Outlook
The Company anticipates earnings per common diluted share of between $0.35 and $0.40 for the second quarter of 2011. For the full year 2011, the Company anticipates earnings per common diluted share of between $1.30 and $1.50.

Conference Call
Trinity will hold a conference call at 11:00 a.m. Eastern on April 28, 2011 to discuss its first quarter results. To listen to the call, please visit the Investor Relations section of the Trinity Industries website, www.trin.net. An audio replay may be accessed through the Company’s website or by dialing (402) 220-0121 until 11:59 p.m. Eastern on May 5, 2011.

Trinity Industries, Inc., headquartered in Dallas, Texas, is a multi-industry company that owns a variety of market-leading businesses which provide products and services to the industrial, energy, transportation, and construction sectors. Trinity reports its financial results in five principal business segments: the Rail Group, the Railcar Leasing and Management Services Group, the Inland Barge Group, the Construction Products Group, and the Energy Equipment Group. For more information, visit: www.trin.net.

Some statements in this release, which are not historical facts, are “forward-looking statements” as defined by the Private Securities Litigation Reform Act of 1995. Forward-looking statements include statements about Trinity’s estimates, expectations, beliefs, intentions or strategies for the future, and the assumptions underlying these forward-looking statements. Trinity uses the words “anticipates,” “believes,” “estimates,” “expects,” “intends,” “forecasts,” “may,” “will,” “should,” and similar expressions to identify these forward-looking statements. Forward-looking statements involve risks and uncertainties that could cause actual results to differ materially from historical experience or our present expectations. For a discussion of such risks and uncertainties, which could cause actual results to differ from those contained in the forward-looking statements, see “Forward-Looking Statements” in the Company’s Annual Report on Form 10-K for the most recent fiscal year.

Trinity Industries, Inc.
Condensed Consolidated Income Statements
(in millions, except per share amounts)
(unaudited)


	Three Months Ended March 31,
	2011			2010
Revenues	$	644.2		$	454.0
Operating costs:
Cost of revenues		508.4			353.6
Selling, engineering, and administrative expenses		50.3			48.4

		558.7			402.0

Operating profit		85.5			52.0
Interest expense, net (includes TRIP Holdings of $11.5 and $11.8)		44.2			45.3
Other (income) expense		(0.5	)		1.8

Income before income taxes		41.8			4.9
Provision for income taxes		16.2			0.6

Net income		25.6			4.3
Net income attributable to noncontrolling interest		1.4			2.3

Net income attributable to Trinity Industries, Inc.	$	24.2		$	2.0

Net income attributable to Trinity Industries, Inc. per common share:
Basic	$	0.30		$	0.02
Diluted	$	0.30		$	0.02
Weighted average number of shares outstanding:
Basic		77.1			76.6
Diluted		77.4			76.6

Trinity Industries, Inc.
Condensed Segment Data
(in millions)
(unaudited)


	Three Months Ended March 31,
Revenues:	2011			2010
Rail Group	$	219.8		$	73.6
Construction Products Group		133.6			118.4
Inland Barge Group		137.9			97.4
Energy Equipment Group		118.7			90.1
Railcar Leasing and Management Services Group (includes TRIP Holdings of $37.6 and $29.2)		129.8			121.2
All Other		13.1			9.7
Eliminations – lease subsidiary		(85.4	)		(38.0	)
Eliminations – other		(23.3	)		(18.4	)

Consolidated Total	$	644.2		$	454.0


Operating profit (loss):	Three Months Ended March 31,
	2011			2010
Rail Group	$	9.3		$	(7.9	)
Construction Products Group		8.3			2.7
Inland Barge Group		21.7			17.8
Energy Equipment Group		10.5			10.4
Railcar Leasing and Management Services Group (includes TRIP Holdings of $17.2 and $17.1)		54.7			48.2
All Other		(0.3	)		(2.6	)
Corporate		(10.7	)		(12.5	)
Eliminations – lease subsidiary		(8.1	)		(3.6	)
Eliminations – other		0.1			(0.5	)

Consolidated Total	$	85.5		$	52.0

Trinity Industries, Inc.
Condensed Consolidated Balance Sheets
(in millions)
(unaudited)


	March 31,		December 31,
	2011		2010
Cash and cash equivalents	$	260.3	$	354.0
Short-term marketable securities		117.0		158.0
Receivables, net of allowance		307.6		232.0
Income tax receivable		8.0		7.4
Inventories		413.5		331.3
Net property, plant, and equipment (including TRIP Holdings of $1,175.3 and $1,191.8)		4,143.7		4,112.0
Goodwill		197.6		197.6
Restricted cash (including TRIP		206.0		207.1
Holdings of $46.1 and $46.0)
Other assets		167.2		160.6

	$	5,820.9	$	5,760.0

Accounts payable	$	179.8	$	132.8
Accrued liabilities		372.7		375.6
Debt, net of unamortized discount of $108.4 and $111.1 (including TRIP Holdings of $980.5 and $1,003.9)		2,867.6		2,907.7
Deferred income		33.0		33.6
Deferred income taxes		407.4		391.0
Other liabilities		81.1		73.6
Stockholders’ equity (including noncontrolling interest related to TRIP Holdings of $84.6 and $80.9)		1,879.3		1,845.7

	$	5,820.9	$	5,760.0

Trinity Industries, Inc.
Additional Balance Sheet Information
(in millions)
(unaudited)


	March 31,			December 31, 2010
	2011			2009
Property, Plant, and Equipment
Corporate/Manufacturing:
Property, plant, and equipment	$	1,160.5		$	1,168.7
Accumulated depreciation		(681.4	)		(677.3	)

		479.1			491.4

Leasing:
Wholly-owned subsidiaries:
Machinery and other		38.3			38.2
Equipment on lease		3,337.5			3,249.8
Accumulated depreciation		(347.2	)		(322.6	)

		3,028.6			2,965.4

TRIP Holdings:
Equipment on lease		1,273.8			1,282.1
Accumulated depreciation		(98.5	)		(90.3	)

		1,175.3			1,191.8

Net deferred profit on railcars sold to the Leasing Group:
Sold to wholly-owned subsidiaries		(345.3	)		(340.4	)
Sold to TRIP Holdings		(194.0	)		(196.2	)

		(539.3	)		(536.6	)

	$	4,143.7		$	4,112.0

Trinity Industries, Inc.
Additional Balance Sheet Information
(in millions)
(unaudited)


	March 31,			December 31,
	2011			2010
Debt
Corporate/Manufacturing – Recourse:
Revolving credit facility	$	—		$	—
Convertible subordinated notes		450.0			450.0
Less: unamortized discount		(108.4	)		(111.1	)

		341.6			338.9
Other		2.5			2.8

		344.1			341.7

Leasing:
Wholly-owned subsidiaries:
Recourse:
Capital lease obligations		50.5			51.2
Term loan		56.7			57.4

		107.2			108.6

Non-recourse:
Secured railcar equipment notes		870.2			879.5
Warehouse facility		80.2			80.2
Promissory notes		485.4			493.8

		1,435.8			1,453.5

TRIP Holdings — Non-recourse:
Warehouse loan		980.5			1,003.9

	$	2,867.6		$	2,907.7

Trinity Industries, Inc.
Additional Balance Sheet Information
(in millions)
(unaudited)


	March 31,			December 31, 2010
	2011
Leasing Debt Summary
Total Recourse Debt	$	107.2		$	108.6
Total Non-Recourse Debt		2,416.3			2,457.4

	$	2,523.5		$	2,566.0

Total Leasing Debt
Wholly-owned subsidiaries	$	1,543.0		$	1,562.1
TRIP Holdings		980.5			1,003.9

	$	2,523.5		$	2,566.0

Equipment on Lease^*
Wholly-owned subsidiaries	$	3,028.6		$	2,965.4
TRIP Holdings		1,175.3			1,191.8

	$	4,203.9		$	4,157.2

Total Leasing Debt as a % of Equipment on Lease
Wholly-owned subsidiaries		50.9	%		52.7	%
TRIP Holdings		83.4	%		84.2	%
Combined		60.0	%		61.7	%
*excludes net deferred profit on railcars sold to the Leasing Group

Trinity Industries, Inc.
Reconciliation of EBITDA
(in millions)
(unaudited)

“EBITDA” is defined as net income (loss) 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 have reported EBITDA because we regularly review EBITDA as a measure of our ability to incur and service debt. In addition, we believe our debt holders utilize and analyze our EBITDA for similar purposes. We also 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 press release may not always be comparable to similarly titled measures by other companies due to differences in the components of the calculation.


	Three Months Ended March 31,
	2011		2010
Net income	$	25.6	$	4.3
Add:
Interest expense		44.5		45.7
Provision for income taxes		16.2		0.6
Depreciation and amortization expense		47.6		48.1

Earnings before interest expense, income taxes, and depreciation and amortization expense	$	133.9	$	98.7

Trinity Industries, Inc.
Earnings Release Conference Call
Comments of Gail Peck,
Treasurer
April 28, 2011

Thank you, Beth. Good morning from Dallas, Texas. Welcome to the Trinity Industries’ first quarter 2011 results conference call. I’m Gail Peck, Treasurer of Trinity. Thank you for joining us today.

Following the introduction you will hear from Tim Wallace our Chairman, Chief Executive Officer and President. After Tim, our business group leaders will provide overviews of the businesses within their respective groups. Our speakers are:

•

Steve Menzies, Senior Vice President and Group President of the Rail and Railcar Leasing Groups; and

•

Bill McWhirter, Senior Vice President and Group President of the Construction Products and Inland Barge Groups

Following their comments, James Perry, our Vice President and Chief Financial Officer, will provide the financial summary and guidance. We will then move to the Q&A session. Antonio Carrillo, our Vice President and Group President of the Energy Equipment Group, and

Mary Henderson, our Vice President and Chief Accounting Officer, are also in the room with us today. I will now turn the call over to Tim Wallace for his comments.

That concludes today’s conference call. A replay of this call will be available after one o’clock eastern standard time today through midnight on Thursday, May 5^th 2011. The access number is (402) 220-0121. Also the replay will be available on the website located at www.trin.net. We look forward to visiting with you again on our next conference call. Thank you for joining us this morning.

Trinity Industries, Inc.
Earnings Release Conference Call
Comments of Tim Wallace,
Chairman, CEO and President
April 28, 2011

I am pleased with our performance during the first quarter. We are off to a good start. We have a significant amount of positive momentum occurring in many of the markets served by our businesses. The improvement in our earnings during the first quarter is an outcome of the economic recovery along with the ability of our businesses to generate operating leverage resulting from improving production levels and continuity.

Overall, the trend lines remain positive for most of our businesses. Several of our businesses’ were successful during the first quarter in obtaining orders that provide consistency in their production lines. This normally leads to opportunities for operating leverage.

The demand for railcars in North America was very robust during the first quarter. We were pleased to report that our rail businesses received record quarterly orders for new railcars in the first quarter. Among them was a new 5-year supply agreement with GATX Corporation for 12,500 railcars. This order helps provide production consistency in our railcar manufacturing businesses during the next five years. Our rail businesses are responding well to the increase in railcar demand. We are a very flexible company and will continue to adjust as the business climate shifts and demand fluctuates for our products and services.

Our railcar leasing business is seeing strong demand for railcars. During robust demand periods, we are able to obtain better lease rates for extended lease terms. This helps solidify a solid base of leasing revenues for the future.

Our barge business has obtained orders that fill their production openings for the majority of 2011. One of our barge manufacturing facilities is currently confronted with river flooding conditions. Bill will provide more insight during his comments.

During the first quarter, our structural wind towers business stabilized production schedules at lower levels than in the past. This industry is continuing to work through several fundamental issues that are affecting short term demand for wind towers. Our wind towers business has a backlog of orders that total approximately $1 billion.

Our highway products businesses continue to build momentum as they enter the construction season. Funding for federal highway programs appears to be in place through the balance of the peak construction period. We expect levels of uncertainty to surface as our political leaders work through federal spending budgets. We have a good demand for highway products at this time. We are prepared to respond should demand in this industry shift.

Our overall performance reflects the talents and hard work of our people; the diversification of our businesses; our emphasis on operational excellence; and the strength of our market leadership positions. We are fortunate to have a highly-seasoned group of employees who are extremely capable.

Trinity Industries, Inc.
Earnings Release Conference Call
Comments of Steve Menzies,
Senior Vice President and Group President
Rail and Railcar Leasing Groups
April 28, 2011

First quarter operating results of the Rail Group and Leasing Group reflect the improving economic and rail transportation trends. Our Leasing Group saw lease fleet utilization remain stable at 99.2% with lease rate and renewal trends improving. Our Rail Group posted an increase in operating profit while shipping approximately 2,240 new railcars during the quarter. Our railcar order backlog grew to its highest level since the third quarter of 2008 allowing us to plan a higher level of production for 2011.

We are seeing strong demand for railcars that transport chemicals, minerals and agricultural products. The intermodal and autorack markets are improving as well. Demand for railcars that serve the lumber, paper and coal industries continues to be weak. Lease renewals and lease rates appear to have stabilized and continue to show signs of improvement in key markets. Railcar cycle times are increasing as average train speeds decrease and the overhang of idle railcars continues to decline with some railcar types in tight supply.

During the 1st quarter, the North American railcar manufacturing industry received orders to build approximately 36,900 new railcars raising the industry backlog to more than 51,900 railcars. Industry orders during the 4th quarter 2010 and 1st quarter 2011 were heavily weighted toward strategic purchases of various railcars by railroads and TTX. Several lessors returned to the new railcar marketplace making large strategic purchases while other, smaller lessors placed orders for railcars serving discreet markets. A few major railcar buyers may have accelerated some 2012 purchases to take advantage of the tax provisions favoring capital equipment investment in 2011. However, it is difficult to determine the precise impact of these tax provisions in respect to pulling forward orders that might otherwise have been placed in 2012. Our current order inquiries reflect additional strategic purchases being considered by railroads and a few industrial shippers. We are also seeing strong demand drivers related to railcars serving the oil and gas industries. The agricultural, fertilizer and chemical markets are also expanding. Most of these new build opportunities will be for 2012 delivery as remaining available production capacity for 2011 is limited.

We were successful at securing orders during the 1^st quarter that fit very well with our production plans. These orders should position us to attain increased operating leverage. We did not aggressively pursue orders for railcars serving markets with weak pricing or orders that would require us to open new production facilities. Instead, we have focused on orders that optimize production for our facilities currently in operation, minimize line changeovers and reflect stronger pricing levels. While we expect operating margins to expand as we increase production, we face some uncertainty as to the timing of efficiency improvements. We have the flexibility to bring on additional railcar production should market conditions support sustainable demand and pricing levels result in commensurate returns.

TrinityRail received orders for approximately 18,770 new railcars during the 1st quarter. Our 1^st quarter orders were from industrial shippers, railroads and third party lessors. TrinityRail’s backlog was approximately 22,490 railcars at the end of the 1st quarter up 277% from the end of the fourth quarter. Approximately 14% of the units in our railcar production backlog are for customers of our leasing business. Based upon orders received in the 1^st quarter and current inquiry levels, we project a significant increase in railcar production in the 2^nd quarter of 2011 and a further increase in the 2^nd half of 2011. For the year 2011, we project delivery of between 12,500-13,500 new railcars. As a point of comparison, we delivered 4,750 railcars in 2010 and slightly more than 9,100 railcars in 2009.

As railcar builders have rapidly increased production to meet the influx of orders, component supply has had to keep pace. Historically, it has not been unusual for component shortages to occur when there is a sharp increase in railcar demand. TrinityRail has worked closely with component producers to ensure adequate supply to support our production plans and enable us to meet our customers’ 2011 delivery requirements. Thus far, we have not experienced any component shortages or delivery delays.

We added 960 new railcars to our lease portfolio during the 1^st quarter bringing our wholly-owned lease fleet to more than 53,060 railcars, a 5.4% increase compared to the 1st quarter 2010. Our lease fleet utilization at the end of the 1st quarter 2011 was 99.2%. Our average remaining lease term remained at 3.5 years. The average age of the fleet is 6.2 years. The TRIP lease fleet totals 14,600 railcars operating at a 99.8% utilization. As a reminder, Trinity owns 57% of TRIP and manages the portfolio. Trinity’s total lease portfolio is now more than 67,600 railcars.

Lease renewal trends are returning to more historic norms and renewal lease rates, on average, increased modestly during the 1^st quarter. In the near term, we will seek longer lease terms as we now have the opportunity to re-price assets last priced during the market downturn. Rising new car prices are helping to raise the “ceiling” on lease rates for existing railcars thus helping to support lease renewal trends. As a result of higher lease rates, rising demand and high fleet utilization rates, we see the potential to improve our lease fleet’s financial performance.

In summary, we have attained a solid order backlog that allows us to realize the operating leverage associated with railcar production continuity. I am confident that our operations team will successfully meet the challenges of rapidly increasing railcar production to meet our customer commitments this year. Our lease portfolio, with its high fleet utilization, is positioned to raise lease rates and provide a greater return. As we look ahead to 2012, we see evidence of sustainable demand for railcars consistent with moderate economic expansion.

Trinity Industries, Inc.
Earnings Release Conference Call
Comments of William McWhirter,
Senior Vice President and Group President
Construction Products and Inland Barge Groups
April 28, 2011

Our Construction Products Group had a nice first quarter. The group produced a profit of $8.3 million for the quarter as compared to $2.7 million a year ago. These results continue to be driven by the performance of our highway products businesses. On April 1^st, we completed a transaction with Texas Industries that resulted in the divestiture of our Austin and central Texas concrete assets in exchange for three aggregate operations. This transaction is indicative of our desire to grow our aggregates and highway products business lines while reducing our exposure to metropolitan concrete markets. We are anticipating improved profitability despite a $30 million annual decrease in revenues as a result of this transaction.

Moving to the Inland Barge Group.... During the first quarter we received new barge orders totaling $90 million dollars, bringing our backlog to $461 million as compared to $361 million a year ago. Most of the orders we received continue to be prompted by the need to replace aging equipment. The barge market remains highly competitive. As a result, there is little pricing leverage at this time. Although we have a strong backlog, it primarily consists of orders that were priced during the economic slowdown. As a result, we expect that further margin improvements will be challenging.

With regard to the unfortunate flooding of the Mississippi River, Trinity has temporarily closed its hopper barge manufacturing plant in Missouri. We expect the plant to be operational again in approximately 4 to 5 weeks. At this time we have no other barge plants that are affected by the flood.

I will now turn the presentation over to James, who will provide more financial color on this event.

Trinity Industries, Inc.
Earnings Release Conference Call
Comments by James E. Perry
Vice President and Chief Financial Officer
April 28, 2011

My comments relate primarily to the first quarter of 2011. We will file our form 10-Q later today. For the first quarter of 2011, Trinity reported earnings of 30 cents per common diluted share. This compares to earnings of 2 cents per common diluted share in the first quarter of 2010, which included 4 cents per common diluted share of transaction expenses related to the acquisition of Quixote Corporation.

Revenues for the first quarter of 2011 were $644 million compared to $454 million in the same quarter last year. Trinity’s EBITDA during the first quarter was $134 million compared to $99 million in the same quarter of 2010. The reconciliation of EBITDA was provided in the press release yesterday.

The Rail Group reported revenues in the first quarter of $220 million, a 7% increase over revenues reported in the fourth quarter of 2010 on a comparable level of railcar deliveries. Operating profit for the Rail Group during the first quarter was $9.3 million, resulting in a margin of 4.2%. Revenue and earnings eliminations during the first quarter due to sales of railcars to our lease fleet totaled $85 million and 6 cents per diluted share, respectively. The railcar order backlog, which includes the recently announced five-year order from GATX for 12,500 railcars, grew to approximately $1.8 billion as of March 31, 2011, compared to approximately $458 million as of December 31, 2010. Within this backlog, orders for railcars dedicated to our lease fleet increased to approximately $272 million as of March 31, 2011 compared to approximately $111 million as of December 31, 2010.

Our Railcar Leasing and Management Services Group reported revenues in the first quarter of $130 million, which included $10 million of revenues resulting from the sale of railcars from the lease fleet. Operating profit totaled $54.7 million in the first quarter, which included $1.1 million of profit from sales of railcars from the fleet.

The Inland Barge Group generated first quarter revenues of $138 million and operating profit of $21.7 million, resulting in a margin of 15.7%. During the first quarter, our barge business received orders totaling approximately $90 million. The order backlog for this group as of March 31, 2011 was $461 million.

Revenues for our Construction Products Group were $134 million in the first quarter compared to $118 million a year ago. This group reported operating profit of $8.3 million compared to $2.7 million in the same period a year ago.

During the first quarter, the Energy Equipment Group’s revenues were $119 million, including $67 million from the wind towers business. Operating profit for the group was $10.5 million, resulting in an operating margin of 8.8%. The backlog for the wind towers business as of March 31, 2011 was approximately $1 billion.

At March 31st, we had unrestricted cash and short-term marketable securities of $377 million. When combined with the funding available through our corporate revolver and Trinity’s leasing warehouse facility, our liquidity position totaled more than $1.1 billion at the end of the first quarter.

We continue to make progress toward the refinancing of the TRIP warehouse loan. The TRIP portfolio continues to perform well and is an important component of our railcar leasing business.

We expect earnings per share for the Company to be between 35 and 40 cents in the second quarter of 2011 and between $1.30 and $1.50 for the full year 2011. The impact of the large number of railcar orders that we received in the first quarter is included in our annual guidance and is concentrated in the back half of the year. Deliveries under the GATX supply agreement for 12,500 railcars are expected to commence mid-year and will be spread evenly over the five-year contract.

Where we fall within the range of the $1.30 to $1.50 of earnings will depend on a number of factors, including: the level of operating leverage we achieve as our rail businesses ramp up railcar production in response to increased demand, the impacts that weather conditions have on our Construction Products businesses, and the impact of the flood conditions at our Missouri barge facility. We will provide updates to our guidance during our quarterly calls as we develop more clarity.

We anticipate that the Rail Group will report revenues of between $250 and $275 million with an operating margin of between 3% and 5% for the second quarter of 2011 as we continue to ramp up production. Steve mentioned this ramp up phase in his comments. During the second quarter, we expect deliveries of railcars to our leasing company will result in a second quarter elimination of approximately $75 million in consolidated revenues, and between 4 and 5 cents per diluted share. For the full year, we expect to deliver railcars to our lease fleet with a value of approximately $300 – $320 million.

Inland Barge revenues are expected to be between $130 and $140 million in the second quarter with an operating margin in the range of 11% to 13%, including the assumption of approximately $6 million in negative operating profit impact this quarter from the flood conditions that Bill mentioned. Revenues for the Energy Equipment Group are expected to be approximately $120 to $130 million in the second quarter with margins of between 5% and 7%.

We are prepared to take advantage of increased demand for our businesses’ products. We remain focused on maintaining a strong balance sheet with significant liquidity that will position us to capitalize on organic and acquisition opportunities as they arise. Our operator will now prepare us for the question and answer session.


Delaware	1-6903	75-0225040
_____________________ (State or other jurisdiction	_____________ (Commission	______________ (I.R.S. Employer
of incorporation)	File Number)	Identification No.)

2525 Stemmons Freeway, Dallas, Texas		75207-2401
_________________________________ (Address of principal executive offices)		___________ (Zip Code)


	Trinity Industries, Inc.

April 28, 2011	By:	James E. Perry

		Name: James E. Perry
		Title: Vice President and Chief Financial Officer


Exhibit No.		Description

99.1		News Release dated April 27, 2011 with respect to the operating results for the three month period ended March 31, 2011.
99.2		Conference call script of April 28, 2011 of Gail M. Peck, Treasurer.
99.3		Conference call script of April 28, 2011 of Timothy R. Wallace, Chairman, Chief Executive Officer, and President.
99.4		Conference call script of April 28, 2011 of D. Stephen Menzies, Senior Vice President and Group President of the Rail and Railcar Leasing Groups.
99.5		Conference call script of April 28, 2011 of William A. McWhirter II, Senior Vice President and Group President of the Construction Products and Inland Barge Groups.
99.6		Conference call script of April 28, 2011 of James E. Perry, Vice President and Chief Financial Officer.


Date of Report (Date of Earliest Event Reported):		April 27, 2011


Registrant’s telephone number, including area code:		214-631-4420