10-Q

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

WASHINGTON, D.C. 20549

 ___________________________________

FORM 10-Q

___________________________________

x QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

For the quarterly period ended June 30, 2015

o TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

For the transition period from to

Commission File Number 1-14387

Commission File Number 1-13663

___________________________________ 

United Rentals, Inc.

United Rentals (North America), Inc.

(Exact Names of Registrants as Specified in Their Charters)

 ___________________________________

Delaware Delaware	06-1522496 86-0933835
(States of Incorporation)	(I.R.S. Employer Identification Nos.)
100 First Stamford Place, Suite 700 Stamford, Connecticut	06902
(Address of Principal Executive Offices)	(Zip Code)

Registrants’ Telephone Number, Including Area Code: (203) 622-3131

Indicate by check mark whether the registrant: (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days.    x  Yes    o  No

Indicate by check mark whether the registrant has submitted electronically and posted on its corporate Web site, if any, every Interactive Data File required to be submitted and posted pursuant to Rule 405 of Regulation S-T (§232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit and post such files).    Yes  x    No  o

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, or a smaller reporting company. See the definitions of “large accelerated filer,” “accelerated filer” and “smaller reporting company” in Rule 12b-2 of the Exchange Act.

Large Accelerated Filer	x	Accelerated Filer	o
Non-Accelerated Filer	o	Smaller Reporting Company	o

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act).    o  Yes    x   No

As of July 20, 2015, there were 95,369,973 shares of United Rentals, Inc. common stock, $0.01 par value, outstanding. There is no market for the common stock of United Rentals (North America), Inc., all outstanding shares of which are owned by United Rentals, Inc.

This combined Form 10-Q is separately filed by (i) United Rentals, Inc. and (ii) United Rentals (North America), Inc. (which is a wholly owned subsidiary of United Rentals, Inc.). United Rentals (North America), Inc. meets the conditions set forth in General Instruction (H)(1)(a) and (b) of Form 10-Q and is therefore filing this report with the reduced disclosure format permitted by such instruction.

UNITED RENTALS, INC.

UNITED RENTALS (NORTH AMERICA), INC.

FORM 10-Q FOR THE QUARTERLY PERIOD ENDED JUNE 30, 2015

INDEX

		Page
PART I	FINANCIAL INFORMATION
Item 1	Unaudited Condensed Consolidated Financial Statements	5
	United Rentals, Inc. Condensed Consolidated Balance Sheets as of June 30, 2015 (unaudited) and December 31, 2014	5
	United Rentals, Inc. Condensed Consolidated Statements of Income for the Three and Six Months Ended June 30, 2015 and 2014 (unaudited)	6
	United Rentals, Inc. Condensed Consolidated Statements of Comprehensive Income for the Three and Six Months Ended June 30, 2015 and 2014 (unaudited)	7
	United Rentals, Inc. Condensed Consolidated Statement of Stockholders’ Equity for the Six Months Ended June 30, 2015 (unaudited)	8
	United Rentals, Inc. Condensed Consolidated Statements of Cash Flows for the Six Months Ended June 30, 2015 and 2014 (unaudited)	9
	Notes to Unaudited Condensed Consolidated Financial Statements	10
Item 2	Management’s Discussion and Analysis of Financial Condition and Results of Operations	31
Item 3	Quantitative and Qualitative Disclosures About Market Risk	44
Item 4	Controls and Procedures	45
PART II	OTHER INFORMATION
Item 1	Legal Proceedings	46
Item 1A	Risk Factors	46
Item 2	Unregistered Sales of Equity Securities and Use of Proceeds	46
Item 6	Exhibits	47
	Signatures	48

2

CAUTIONARY STATEMENT REGARDING FORWARD-LOOKING STATEMENTS

This quarterly report on Form 10-Q contains forward-looking statements within the meaning of the “safe harbor” provisions of the Private Securities Litigation Reform Act of 1995. Such statements can be identified by the use of forward-looking terminology such as “believe,” “expect,” “may,” “will,” “should,” “seek,” “on-track,” “plan,” “project,” “forecast,” “intend” or “anticipate,” or the negative thereof or comparable terminology, or by discussions of strategy or outlook. You are cautioned that our business and operations are subject to a variety of risks and uncertainties, many of which are beyond our control, and, consequently, our actual results may differ materially from those projected.

Factors that could cause actual results to differ materially from those projected include, but are not limited to, the following:

• the possibility that RSC Holdings Inc. ("RSC"), National Pump¹ or other companies that we have acquired or may acquire, in our specialty business or otherwise, could have undiscovered liabilities or involve other unexpected costs, may strain our management capabilities or may be difficult to integrate;

• a change in the pace of the recovery in our end markets; our business is cyclical and highly sensitive to North American construction and industrial activities as well as the energy sector, in general; although we have experienced an upturn in rental activity, there is no certainty this trend will continue; if the pace of the recovery slows or construction activity declines, our revenues and, because many of our costs are fixed, our profitability may be adversely affected;

• our significant indebtedness (which totaled $8.4 billion at June 30, 2015) requires us to use a substantial portion of our cash flow for debt service and can constrain our flexibility in responding to unanticipated or adverse business conditions;

• inability to refinance our indebtedness at terms that are favorable to us, or at all;

• incurrence of additional debt, which could exacerbate the risks associated with our current level of indebtedness;

• noncompliance with financial or other covenants in our debt agreements, which could result in our lenders terminating our credit facilities and requiring us to repay outstanding borrowings;

• restrictive covenants and amount of borrowings permitted in our debt instruments, which can limit our financial and operational flexibility;

• inability to benefit from government spending, including spending associated with infrastructure projects;

• fluctuations in the price of our common stock and inability to complete stock repurchases in the time frame and/or on the terms anticipated;

• rates we charge and time utilization we achieve being less than anticipated;

• inability to manage credit risk adequately or to collect on contracts with a large number of customers;

• inability to access the capital that our businesses or growth plans may require;

• incurrence of impairment charges;

• the fact that our holding company structure requires us to depend in part on distributions from subsidiaries and such distributions could be limited by contractual or legal restrictions;

• increases in our loss reserves to address business operations or other claims and any claims that exceed our established levels of reserves;

• incurrence of additional expenses (including indemnification obligations) and other costs in connection with litigation, regulatory and investigatory matters;

• the outcome or other potential consequences of regulatory matters and commercial litigation;

• shortfalls in our insurance coverage;

• our charter provisions as well as provisions of certain debt agreements and our significant indebtedness may have the effect of making more difficult or otherwise discouraging, delaying or deterring a takeover or other change of control of us;

• turnover in our management team and inability to attract and retain key personnel;

• costs we incur being more than anticipated, and the inability to realize expected savings in the amounts or time frames planned;

• dependence on key suppliers to obtain equipment and other supplies for our business on acceptable terms;

• inability to sell our new or used fleet in the amounts, or at the prices, we expect;

• competition from existing and new competitors;

_______________

1. In April 2014, we acquired assets of the following four entities: National Pump & Compressor, Ltd., Canadian Pump and Compressor Ltd., GulfCo Industrial Equipment, LP and LD Services, LLC (collectively “National Pump”).

3

• risks related to security breaches, cybersecurity attacks and other significant disruptions in our information technology systems;

• the costs of complying with environmental, safety and foreign law and regulations, as well as other risks associated with non-U.S. operations, including currency exchange risk;

• labor disputes, work stoppages or other labor difficulties, which may impact our productivity, and potential enactment of new legislation or other changes in law affecting our labor relations or operations generally; and

• increases in our maintenance and replacement costs and/or decreases in the residual value of our equipment.

For a more complete description of these and other possible risks and uncertainties, please refer to our Annual Report on Form 10-K for the year ended December 31, 2014, as well as to our subsequent filings with the SEC. Our forward-looking statements contained herein speak only as of the date hereof, and we make no commitment to update or publicly release any revisions to forward-looking statements in order to reflect new information or subsequent events, circumstances or changes in expectations.

4

PART I. FINANCIAL INFORMATION

Item 1. Financial Statements

UNITED RENTALS, INC.

CONDENSED CONSOLIDATED BALANCE SHEETS

(In millions, except share data)

	June 30, 2015			December 31, 2014
	(unaudited)
ASSETS
Cash and cash equivalents	$	200		$	158
Accounts receivable, net of allowance for doubtful accounts of $45 at June 30, 2015 and $43 at December 31, 2014	894			940
Inventory	81			78
Prepaid expenses and other assets	74			122
Deferred taxes	187			248
Total current assets	1,436			1,546
Rental equipment, net	6,396			6,008
Property and equipment, net	425			438
Goodwill	3,253			3,272
Other intangible assets, net	1,000			1,106
Other long-term assets	95			97
Total assets	$	12,605		$	12,467
LIABILITIES AND STOCKHOLDERS’ EQUITY
Short-term debt and current maturities of long-term debt	$	590		$	618
Accounts payable	683			285
Accrued expenses and other liabilities	309			575
Total current liabilities	1,582			1,478
Long-term debt	7,820			7,434
Deferred taxes	1,696			1,692
Other long-term liabilities	55			65
Total liabilities	11,153			10,669
Temporary equity (note 7)	1			2
Common stock—$0.01 par value, 500,000,000 shares authorized, 110,963,906 and 95,368,939 shares issued and outstanding, respectively, at June 30, 2015 and 108,233,686 and 97,877,580 shares issued and outstanding, respectively, at December 31, 2014	1			1
Additional paid-in capital	2,165			2,168
Retained earnings	704			503
Treasury stock at cost—15,594,967 and 10,356,106 shares at June 30, 2015 and December 31, 2014, respectively	(1,273		)	(802		)
Accumulated other comprehensive loss	(146		)	(74		)
Total stockholders’ equity	1,451			1,796
Total liabilities and stockholders’ equity	$	12,605		$	12,467

See accompanying notes.

5

UNITED RENTALS, INC.

CONDENSED CONSOLIDATED STATEMENTS OF INCOME (UNAUDITED)

(In millions, except per share amounts)

	Three Months Ended						Six Months Ended
	June 30,						June 30,
	2015			2014			2015			2014
Revenues:
Equipment rentals	$	1,220		$	1,179		$	2,345		$	2,184
Sales of rental equipment	124			138			240			248
Sales of new equipment	39			37			72			63
Contractor supplies sales	21			22			39			41
Service and other revenues	25			23			48			41
Total revenues	1,429			1,399			2,744			2,577
Cost of revenues:
Cost of equipment rentals, excluding depreciation	445			447			889			856
Depreciation of rental equipment	240			229			475			446
Cost of rental equipment sales	68			80			132			145
Cost of new equipment sales	33			31			60			51
Cost of contractor supplies sales	15			15			27			28
Cost of service and other revenues	10			8			19			14
Total cost of revenues	811			810			1,602			1,540
Gross profit	618			589			1,142			1,037
Selling, general and administrative expenses	175			187			356			355
Merger related costs	1			8			(26		)	9
Restructuring charge	—			(1		)	1			—
Non-rental depreciation and amortization	67			70			136			130
Operating income	375			325			675			543
Interest expense, net	232			187			353			312
Other income, net	(6		)	(4		)	(9		)	(5		)
Income before provision for income taxes	149			142			331			236
Provision for income taxes	63			48			130			82
Net income	$	86		$	94		$	201		$	154
Basic earnings per share	$	0.89		$	0.98		$	2.07		$	1.61
Diluted earnings per share	$	0.88		$	0.90		$	2.04		$	1.46

See accompanying notes.

6

UNITED RENTALS, INC.

CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (UNAUDITED)

(In millions)

	Three Months Ended				Six Months Ended
	June 30,				June 30,
	2015		2014		2015			2014
Net income	$	86	$	94	$	201		$	154
Other comprehensive income (loss), net of tax:
Foreign currency translation adjustments	16		35		(73		)	(3		)
Fixed price diesel swaps	1		1		1			—
Other comprehensive income (loss)	17		36		(72		)	(3		)
Comprehensive income (1)	$	103	$	130	$	129		$	151

(1)There were no material reclassifications from accumulated other comprehensive loss reflected in other comprehensive income (loss) during 2015 or 2014. There is no tax impact related to the foreign currency translation adjustments, as the earnings are considered permanently reinvested. There were no material taxes associated with other comprehensive income (loss) during 2015 or 2014.

See accompanying notes.

7

UNITED RENTALS, INC.

CONDENSED CONSOLIDATED STATEMENT OF STOCKHOLDERS’ EQUITY (UNAUDITED)

(In millions)

	Common Stock									Treasury Stock
	Number of Shares (1)		Amount		Additional Paid-in Capital			Retained Earnings		Number of Shares	Amount			Accumulated Other Comprehensive (Loss) Income (3)
Balance at December 31, 2014	98		$	1	$	2,168		$	503	10	$	(802	)	$	(74	)
Net income								201
Foreign currency translation adjustments														(73		)
Fixed price diesel swaps														1
Stock compensation expense, net					25
Exercise of common stock options					1
4 percent Convertible Senior Notes (2)	3				1
Shares repurchased and retired					(30		)
Repurchase of common stock	(6	)								6	(471		)
Balance at June 30, 2015	95		$	1	$	2,165		$	704	16	$	(1,273	)	$	(146	)

(1)An aggregate of less than 5 million net shares were issued during the year ended December 31, 2014.

(2)Reflects amortization of the original issue discount on the 4 percent Convertible Senior Notes (an amount equal to the unamortized portion of the original issue discount is reflected as “temporary equity” in our consolidated balance sheet) and the conversion of a portion of the 4 percent Convertible Senior Notes during the six months ended June 30, 2015. See note 7 to our condensed consolidated financial statements for additional detail.

(3)The Accumulated Other Comprehensive Loss balance primarily reflects foreign currency translation adjustments.

See accompanying notes.

8

UNITED RENTALS, INC.

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (UNAUDITED)

(In millions)

	Six Months Ended
	June 30,
	2015			2014
Cash Flows From Operating Activities:
Net income	$	201		$	154
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation and amortization	611			576
Amortization of deferred financing costs and original issue discounts	5			10
Gain on sales of rental equipment	(108		)	(103		)
Gain on sales of non-rental equipment	(4		)	(4		)
Stock compensation expense, net	25			31
Merger related costs	(26		)	9
Restructuring charge	1			—
Loss on repurchase/redemption of debt securities and amendment of ABL facility	123			75
Increase in deferred taxes	70			57
Changes in operating assets and liabilities, net of amounts acquired:
Decrease in accounts receivable	37			8
Increase in inventory	(3		)	(31		)
Increase in prepaid expenses and other assets	(3		)	(5		)
Increase in accounts payable	401			315
Decrease in accrued expenses and other liabilities	(80		)	(38		)
Net cash provided by operating activities	1,250			1,054
Cash Flows From Investing Activities:
Purchases of rental equipment	(1,016		)	(1,028		)
Purchases of non-rental equipment	(50		)	(52		)
Proceeds from sales of rental equipment	240			248
Proceeds from sales of non-rental equipment	8			18
Purchases of other companies, net of cash acquired	(58		)	(756		)
Net cash used in investing activities	(876		)	(1,570		)
Cash Flows From Financing Activities:
Proceeds from debt	5,907			4,776
Payments of debt	(5,647		)	(4,022		)
Payment of contingent consideration	(52		)	—
Proceeds from the exercise of common stock options	1			2
Common stock repurchased	(501		)	(247		)
Payments of financing costs	(26		)	(22		)
Cash received in connection with the 4 percent Convertible Senior Notes and related hedge, net	—			25
Net cash (used in) provided by financing activities	(318		)	512
Effect of foreign exchange rates	(14		)	(1		)
Net increase (decrease) in cash and cash equivalents	42			(5		)
Cash and cash equivalents at beginning of period	158			175
Cash and cash equivalents at end of period	$	200		$	170
Supplemental disclosure of cash flow information:
Cash paid for income taxes, net	$	30		$	36
Cash paid for interest	253			224

See accompanying notes.

9

UNITED RENTALS, INC.

NOTES TO UNAUDITED CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

(Dollars in millions, except per share data, unless otherwise indicated)

1. Organization, Description of Business and Basis of Presentation

United Rentals, Inc. (“Holdings,” “URI” or the “Company”) is principally a holding company and conducts its operations primarily through its wholly owned subsidiary, United Rentals (North America), Inc. (“URNA”), and subsidiaries of URNA. Holdings’ primary asset is its sole ownership of all issued and outstanding shares of common stock of URNA. URNA’s various credit agreements and debt instruments place restrictions on its ability to transfer funds to its shareholder.

We rent equipment to a diverse customer base that includes construction and industrial companies, manufacturers, utilities, municipalities, homeowners and government entities in the United States and Canada. In addition to renting equipment, we sell new and used rental equipment, as well as related contractor supplies, parts and service.

We have prepared the accompanying unaudited condensed consolidated financial statements in accordance with the accounting policies described in our annual report on Form 10-K for the year ended December 31, 2014 (the “2014 Form 10-K”) and the interim reporting requirements of Form 10-Q. Accordingly, certain information and note disclosures normally included in financial statements prepared in accordance with U.S. generally accepted accounting principles (“GAAP”) have been condensed or omitted. These unaudited condensed consolidated financial statements should be read in conjunction with the 2014 Form 10-K.

In our opinion, all adjustments, consisting only of normal recurring adjustments, which are necessary for a fair presentation of financial condition, operating results and cash flows for the interim periods presented have been made. Interim results of operations are not necessarily indicative of the results of the full year.

New Accounting Pronouncements

Revenue from Contracts with Customers. In May 2014, the Financial Accounting Standards Board (“FASB”) issued guidance to clarify the principles for recognizing revenue. This guidance includes the required steps to achieve the core principle that an entity should recognize revenue to depict the transfer of promised goods or services to customers in an amount that reflects the consideration to which the entity expects to be entitled in exchange for those goods or services. The FASB has agreed to propose a one-year deferral of the original effective date of this guidance and as a result it will be effective for fiscal years and interim periods beginning after December 15, 2017. The FASB's proposed update would still allow entities to apply the new guidance as of the original effective date (for fiscal years and interim periods beginning after December 15, 2016). We expect to adopt this guidance when effective, and the impact on our financial statements is not currently estimable.

Interest—Imputation of Interest. In April 2015, the FASB issued guidance on the presentation of debt issuance costs. This guidance requires that debt issuance costs related to a recognized debt liability be presented in the balance sheet as a direct deduction from the carrying amount of that debt liability. This guidance is effective for fiscal years and interim periods beginning after December 15, 2015, and requires retrospective application. We expect to adopt this guidance when effective, and do not expect this guidance to have a significant impact on our financial statements, although it will change the financial statement classification of our debt issuance costs. As of June 30, 2015, $89 of net debt issuance costs were included in total assets in our condensed consolidated balance sheet. Under the new guidance, the net debt issuance costs would reduce our total debt.

2. Acquisitions

In April 2014, we completed the acquisition of assets of the following four entities: National Pump & Compressor, Ltd., Canadian Pump and Compressor Ltd., GulfCo Industrial Equipment, LP and LD Services, LLC (collectively “National Pump”). National Pump was the second largest specialty pump rental company in North America. National Pump was a leading supplier of pumps for energy and petrochemical customers, with upstream oil and gas customers representing about half of its revenue. National Pump had a total of 35 branches, including four branches in western Canada, and had annual revenues of approximately $210. The acquisition is expected to expand our product offering, and supports our strategy of expanding our presence in industrial and specialty rental markets.

The acquisition date fair value of the consideration transferred consisted of the following:

10

UNITED RENTALS, INC.

NOTES TO UNAUDITED CONDENSED CONSOLIDATED FINANCIAL STATEMENTS—(Continued)

(Dollars in millions, except per share data, unless otherwise indicated)

Cash consideration (1)	$	773
Contingent consideration (2)	76
Total purchase consideration (3)	$	849

(1) Includes a ‘hold back’ of $58 that was paid in April 2015.

(2) Reflects the acquisition date fair value of the contingent consideration that was paid in June 2015 as discussed in note 6 to our condensed consolidated financial statements.

(3) Total purchase consideration excludes $15 of stock which was issued in connection with the acquisition and will be treated as compensation for book purposes but primarily represents deductible goodwill for income tax purposes.

The following table summarizes the fair values of the assets acquired and liabilities assumed as of the acquisition date:

Accounts receivable, net of allowance for doubtful accounts (1)	$	44
Inventory	19
Deferred taxes	6
Rental equipment	172
Property and equipment	10
Intangibles (2)	289
Other assets	1
Total identifiable assets acquired	541
Current liabilities	(25		)
Total liabilities assumed	(25		)
Net identifiable assets acquired	516
Goodwill (3)	333
Net assets acquired	$	849

(1) The fair value of accounts receivables acquired was $44, and the gross contractual amount was $47. We estimated that $3 would be uncollectible.

(2) The following table reflects the estimated fair values and useful lives of the acquired intangible assets identified based on our purchase accounting assessments:

	Fair value		Life (years)
Customer relationships	$	274	10
Non-compete agreements	15		6
Total	$	289

(3)$321 of the goodwill was assigned to our trench, power and pump segment and $12 of the goodwill was assigned to our general rentals segment. The level of goodwill that resulted from the acquisition is primarily reflective of National Pump's going-concern value, the value of National Pump's assembled workforce, new customer relationships expected to arise from the acquisition, and operational synergies that we expect to achieve that would not be available to other market participants. $325 of goodwill is expected to be deductible for income tax purposes. The amount of goodwill that is expected to be deductible for income tax purposes declined during the six months ended June 30, 2015 due to a decline in the fair value of the contingent cash consideration component of the National Pump purchase price due to lower than expected financial performance compared to agreed upon financial targets, as discussed in note 6 to our condensed consolidated financial statements.

The three months ended June 30, 2015 includes National Pump acquisition-related costs of $1. The six months ended June 30, 2015 includes a National Pump acquisition-related cost reduction of $26. The cost reduction reflects a decline in the fair value of the contingent cash consideration component of the National Pump purchase price due to lower than expected financial performance compared to agreed upon financial targets, as discussed in note 6 to our condensed consolidated financial statements. The cost reduction is included in “Merger related costs” in our condensed consolidated statements of income, which also include costs associated with the 2012 acquisition of RSC Holdings Inc. (“RSC”). The merger related costs are comprised

11

UNITED RENTALS, INC.

NOTES TO UNAUDITED CONDENSED CONSOLIDATED FINANCIAL STATEMENTS—(Continued)

(Dollars in millions, except per share data, unless otherwise indicated)

of financial and legal advisory fees, and changes subsequent to the acquisition date to the fair value of the contingent cash consideration component of the National Pump purchase price as discussed in note 6 to our condensed consolidated financial statements. We do not expect to incur significant additional charges in connection with the acquisition subsequent to June 30, 2015. In addition to the acquisition-related costs reflected in our condensed consolidated statements of income, we capitalized $22 of debt issuance costs associated with the issuance of debt to fund the acquisition, which are reflected, net of amortization subsequent to the acquisition date, in other long-term assets in our condensed consolidated balance sheets.

The pro forma information below has been prepared using the purchase method of accounting, giving effect to the National Pump acquisition as if it had been completed on January 1, 2014 (“the pro forma acquisition date”). The pro forma information is not necessarily indicative of our results of operations had the acquisition been completed on the above date, nor is it necessarily indicative of our future results. The pro forma information does not reflect any cost savings from operating efficiencies or synergies that could result from the acquisition, and also does not reflect additional revenue opportunities following the acquisition. The table below presents unaudited pro forma consolidated income statement information as if National Pump had been included in our consolidated results for the entire periods reflected:

	Three Months Ended		Six Months Ended
	June 30,		June 30,
	2014		2014
United Rentals historic revenues	$	1,399	$	2,577
National Pump historic revenues	—		62
Pro forma revenues	1,399		2,639
United Rentals historic pretax income	142		236
National Pump historic pretax income	—		20
Combined pretax income	142		256
Pro forma adjustments to combined pretax income:
Impact of fair value mark-ups/useful life changes on depreciation (1)	—		(1		)
Intangible asset amortization (2)	1		(11		)
Interest expense (3)	68		62
Elimination of merger costs (4)	8		9
Pro forma pretax income	$	219	$	315

(1) Depreciation of rental equipment and non-rental depreciation were adjusted for the fair value mark-ups of equipment acquired in the National Pump acquisition. The useful lives assigned to such equipment didn’t change significantly from the lives historically used by National Pump.

(2) The intangible assets acquired in the National Pump acquisition were amortized.

(3) In connection with the National Pump acquisition, URNA issued $525 principal amount of 6 ¹/₈ percent Senior Notes (as an add on to our existing 6 ¹/₈ percent Senior Notes) and $850 principal amount of 5 ³/₄ percent Senior Notes, and all our outstanding 9 ¹/₄ percent Senior Notes were redeemed. Interest expense was adjusted to reflect these changes in our debt portfolio. For the pro forma presentation, the $64 loss recognized upon redemption of the 9 ¹/₄ percent Senior Notes was removed from the three and six months ended June 30, 2014 as the loss was assumed to have been recognized prior to the pro forma acquisition date.

(4) Merger related costs, primarily comprised of financial and legal advisory fees, associated with the National Pump acquisition were eliminated as they were assumed to have been recognized prior to the pro forma acquisition date.

For the three and six months ended June 30, 2015 and 2014 National Pump revenue and pretax (loss) income included in our condensed consolidated financial statements were as follows:

	Three Months Ended June 30,					Six Months Ended June 30,
	2015			2014		2015			2014
Revenue	$	54		$	67	$	111		$	67
Pretax (loss) income (1)	(2		)	14		(4		)	14

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UNITED RENTALS, INC.

NOTES TO UNAUDITED CONDENSED CONSOLIDATED FINANCIAL STATEMENTS—(Continued)

(Dollars in millions, except per share data, unless otherwise indicated)

(1) Pretax (loss) income excludes merger related costs which are not allocated to our segments. Pretax loss for the three and six months ended June 30, 2015 primarily reflects volume and pricing pressure associated with upstream oil and gas customers, and the amortization of the intangible assets acquired in the National Pump acquisition.

13

UNITED RENTALS, INC.

NOTES TO UNAUDITED CONDENSED CONSOLIDATED FINANCIAL STATEMENTS—(Continued)

(Dollars in millions, except per share data, unless otherwise indicated)

3. Segment Information

Our reportable segments are general rentals and trench, power and pump. The general rentals segment includes the rental of construction, infrastructure, industrial and homeowner equipment and related services and activities. The general rentals segment’s customers include construction and industrial companies, manufacturers, utilities, municipalities, homeowners and government entities. The general rentals segment comprises 11 geographic regions—Eastern Canada, Industrial (which serves the geographic Gulf region and has a strong industrial presence), Mid-Atlantic, Midwest, Mountain West, Northeast, Pacific West, South-Central, South, Southeast and Western Canada—and operates throughout the United States and Canada. The trench, power and pump segment includes the rental of specialty construction products and related services. The trench, power and pump segment is comprised of the Trench Safety region, which rents trench safety equipment such as trench shields, aluminum hydraulic shoring systems, slide rails, crossing plates, construction lasers and line testing equipment for underground work, the Power and HVAC (heating, ventilating and air conditioning) region, which rents power and HVAC equipment such as portable diesel generators, electrical distribution equipment, and temperature control equipment including heating and cooling equipment, and the Pump Solutions region, which rents pumps primarily used by energy and petrochemical customers. The trench, power and pump segment’s customers include construction companies involved in infrastructure projects, municipalities and industrial companies. This segment operates throughout the United States and in Canada. These segments align our external segment reporting with how management evaluates and allocates resources. We evaluate segment performance based on segment equipment rentals gross profit.

The following tables set forth financial information by segment.

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NOTES TO UNAUDITED CONDENSED CONSOLIDATED FINANCIAL STATEMENTS—(Continued)

(Dollars in millions, except per share data, unless otherwise indicated)

	General rentals		Trench, power and  pump		Total
Three Months Ended June 30, 2015
Equipment rentals	$	1,048	$	172	$	1,220
Sales of rental equipment	116		8		124
Sales of new equipment	35		4		39
Contractor supplies sales	18		3		21
Service and other revenues	23		2		25
Total revenue	1,240		189		1,429
Depreciation and amortization expense	264		43		307
Equipment rentals gross profit	456		79		535
Three Months Ended June 30, 2014
Equipment rentals	$	1,028	$	151	$	1,179
Sales of rental equipment	132		6		138
Sales of new equipment	25		12		37
Contractor supplies sales	19		3		22
Service and other revenues	17		6		23
Total revenue	1,221		178		1,399
Depreciation and amortization expense	263		36		299
Equipment rentals gross profit	426		77		503
Six Months Ended June 30, 2015
Equipment rentals	$	2,024	$	321	$	2,345
Sales of rental equipment	224		16		240
Sales of new equipment	61		11		72
Contractor supplies sales	33		6		39
Service and other revenues	42		6		48
Total revenue	2,384		360		2,744
Depreciation and amortization expense	526		85		611
Equipment rentals gross profit	839		142		981
Capital expenditures	949		117		1,066
Six Months Ended June 30, 2014
Equipment rentals	$	1,952	$	232	$	2,184
Sales of rental equipment	238		10		248
Sales of new equipment	49		14		63
Contractor supplies sales	36		5		41
Service and other revenues	34		7		41
Total revenue	2,309		268		2,577
Depreciation and amortization expense	522		54		576
Equipment rentals gross profit	770		112		882
Capital expenditures	981		99		1,080

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NOTES TO UNAUDITED CONDENSED CONSOLIDATED FINANCIAL STATEMENTS—(Continued)

(Dollars in millions, except per share data, unless otherwise indicated)

	June 30, 2015		December 31, 2014
Total reportable segment assets
General rentals	$	11,053	$	10,935
Trench, power and pump	1,552		1,532
Total assets	$	12,605	$	12,467

Equipment rentals gross profit is the primary measure management reviews to make operating decisions and assess segment performance. The following is a reconciliation of equipment rentals gross profit to income before provision for income taxes:

	Three Months Ended						Six Months Ended
	June 30,						June 30,
	2015			2014			2015			2014
Total equipment rentals gross profit	$	535		$	503		$	981		$	882
Gross profit from other lines of business	83			86			161			155
Selling, general and administrative expenses	(175		)	(187		)	(356		)	(355		)
Merger related costs	(1		)	(8		)	26			(9		)
Restructuring charge	—			1			(1		)	—
Non-rental depreciation and amortization	(67		)	(70		)	(136		)	(130		)
Interest expense, net	(232		)	(187		)	(353		)	(312		)
Other income, net	6			4			9			5
Income before provision for income taxes	$	149		$	142		$	331		$	236

4. Restructuring Charges

Closed Restructuring Program

Between 2008 and 2011 and in recognition of the very challenging economic environment, we were intensely focused on reducing our operating costs. During this period, we reduced our employee headcount from approximately 10,900 at January 1, 2008 (the beginning of the restructuring period) to approximately 7,500 at December 31, 2011 (the end of the restructuring period). Additionally, we reduced our branch network from 697 locations at January 1, 2008 to 529 locations at December 31, 2011.

RSC Merger Related Restructuring Program

In the second quarter of 2012, we initiated a restructuring program related to severance costs and branch closure charges associated with the April 2012 acquisition of RSC. The branch closure charges principally relate to continuing lease obligations at vacant facilities closed subsequent to the RSC acquisition. As of June 30, 2015, our employee headcount is approximately 12,600 and our branch network has 896 rental locations. We do not expect to incur significant additional charges in connection with the restructuring, which was complete as of June 30, 2013 (the end of the restructuring period).

The table below provides certain information concerning our restructuring charges for the six months ended June 30, 2015:

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NOTES TO UNAUDITED CONDENSED CONSOLIDATED FINANCIAL STATEMENTS—(Continued)

(Dollars in millions, except per share data, unless otherwise indicated)

	Reserve Balance at		Charged to Costs and Expenses (1)		Payments and Other			Reserve Balance at
Description	December 31, 2014							June 30, 2015
Closed Restructuring Program
Branch closure charges	$	9	$	1	$	(3	)	$	7
Severance costs	—		—		—			—
Total	$	9	$	1	$	(3	)	$	7
RSC Merger Related Restructuring Program
Branch closure charges	$	11	$	—	$	(2	)	$	9
Severance costs	—		—		—			—
Total	$	11	$	—	$	(2	)	$	9
Total
Branch closure charges	$	20	$	1	$	(5	)	$	16
Severance costs	—		—		—			—
Total	$	20	$	1	$	(5	)	$	16

_________________

(1) Reflected in our condensed consolidated statements of income as “Restructuring charge.” These charges are not allocated to our reportable segments.

5. Derivatives

We recognize all derivative instruments as either assets or liabilities at fair value, and recognize changes in the fair value of the derivative instruments based on the designation of the derivative. For derivative instruments that are designated and qualify as hedging instruments, we designate the hedging instrument, based upon the exposure being hedged, as either a fair value hedge or a cash flow hedge. As of June 30, 2015, we do not have any outstanding derivative instruments designated as fair value hedges. The effective portion of the changes in fair value of derivatives that are designated as cash flow hedges is recorded as a component of accumulated other comprehensive income. Amounts included in accumulated other comprehensive income for cash flow hedges are reclassified into earnings in the same period that the hedged item is recognized in earnings. The ineffective portion of changes in the fair value of derivatives designated as cash flow hedges is recorded currently in earnings. For derivative instruments that do not qualify for hedge accounting, we recognize gains or losses due to changes in fair value in our condensed consolidated statements of income during the period in which the changes in fair value occur. As of June 30, 2015, we do not have any derivative instruments that do not qualify for hedge accounting.

We are exposed to certain risks related to our ongoing business operations. During the six months ended June 30, 2015 and 2014, the primary risk we managed using derivative instruments was diesel price risk. At June 30, 2015, we had outstanding fixed price swap contracts on diesel purchases which were entered into to mitigate the price risk associated with forecasted purchases of diesel. The outstanding forward contracts on diesel purchases were designated and qualify as cash flow hedges.

Fixed Price Diesel Swaps

The fixed price swap contracts on diesel purchases that were outstanding at June 30, 2015 were designated and qualify as cash flow hedges and the effective portion of the gain or loss on these contracts is reported as a component of accumulated other comprehensive income and is reclassified into earnings in the period during which the hedged transaction affects earnings (i.e., when the hedged gallons of diesel are used). The remaining gain or loss on the fixed price swap contracts in excess of the cumulative change in the present value of future cash flows of the hedged item, if any (i.e., the ineffective portion), is recognized in our condensed consolidated statements of income during the current period. As of June 30, 2015, we had outstanding fixed price swap contracts covering 10.8 million gallons of diesel which will be purchased throughout 2015 and 2016.

Financial Statement Presentation

As of June 30, 2015 and December 31, 2014, immaterial amounts ($4 or less) were reflected in prepaid expenses and other assets, accrued expenses and other liabilities, and accumulated other comprehensive income in our condensed

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NOTES TO UNAUDITED CONDENSED CONSOLIDATED FINANCIAL STATEMENTS—(Continued)

(Dollars in millions, except per share data, unless otherwise indicated)

consolidated balance sheets associated with the outstanding fixed price swap contracts that were designated and qualify as cash flow hedges.

The effect of our derivative instruments on our condensed consolidated statements of income for the three and six months ended June 30, 2015 and 2014 was as follows:

		Three Months Ended June 30, 2015					Three Months Ended June 30, 2014
	Location of income (expense) recognized on derivative/hedged item	Amount of  income (expense) recognized on derivative		Amount of  income (expense) recognized on hedged item			Amount of  income (expense) recognized on derivative	Amount of  income (expense) recognized on hedged item
Derivatives designated as hedging instruments:
Fixed price diesel swaps	Other income (expense), net (1)	$ *					$ *
	Cost of equipment rentals, excluding depreciation (2), (3)	(1	)	$	(9	)	*	$	(12	)
		Six Months Ended June 30, 2015					Six Months Ended June 30, 2014
	Location of income (expense) recognized on derivative/hedged item	Amount of  income (expense) recognized on derivative		Amount of  income (expense) recognized on hedged item			Amount of  income (expense) recognized on derivative	Amount of  income (expense) recognized on hedged item
Derivatives designated as hedging instruments:
Fixed price diesel swaps	Other income (expense), net (1)	$ *					$ *
	Cost of equipment rentals, excluding depreciation (2), (3)	(3	)	$	(16	)	*	$	(22	)

* Amounts are insignificant (less than $1).

(1) Represents the ineffective portion of the fixed price diesel swaps.

(2) Amounts recognized on derivative represent the effective portion of the fixed price diesel swaps.

(3) Amounts recognized on hedged item reflect the use of 2.8 million and 3.0 million gallons of diesel covered by the fixed price swaps during the three months ended June 30, 2015 and 2014, respectively, and the use of 5.4 million and 5.6 million gallons of diesel covered by the fixed price swaps during the six months ended June 30, 2015 and 2014, respectively. These amounts are reflected, net of cash received from, or paid to, the counterparties to the fixed price swaps, in operating cash flows in our condensed consolidated statement of cash flows.

6. Fair Value Measurements

We account for certain assets and liabilities at fair value. We categorize each of our fair value measurements in one of the following three levels based on the lowest level input that is significant to the fair value measurement in its entirety:

Level 1- Inputs to the valuation methodology are unadjusted quoted prices in active markets for identical assets or liabilities.

Level 2- Observable inputs other than quoted prices in active markets for identical assets or liabilities include:

a) quoted prices for similar assets or liabilities in active markets;

b) quoted prices for identical or similar assets or liabilities in inactive markets;

c) inputs other than quoted prices that are observable for the asset or liability;

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NOTES TO UNAUDITED CONDENSED CONSOLIDATED FINANCIAL STATEMENTS—(Continued)

(Dollars in millions, except per share data, unless otherwise indicated)

d) inputs that are derived principally from or corroborated by observable market data by correlation or other means.

If the asset or liability has a specified (contractual) term, the Level 2 input must be observable for substantially the full term of the asset or liability.

Level 3- Inputs to the valuation methodology are unobservable (i.e., supported by little or no market activity) and significant to the fair value measure.

Assets and Liabilities Measured at Fair Value

Our fixed price diesel swaps contracts are Level 2 derivatives measured at fair value on a recurring basis. As of June 30, 2015 and December 31, 2014, immaterial amounts ($4 or less) were reflected in prepaid expenses and other assets, and accrued expenses and other liabilities in our condensed consolidated balance sheets, reflecting the fair values of the fixed price diesel swaps contracts. As discussed in note 5 to the condensed consolidated financial statements, we entered into the fixed price swap contracts on diesel purchases to mitigate the price risk associated with forecasted purchases of diesel. Fair value is determined based on observable market data. As of June 30, 2015, we have fixed price swap contracts that mature throughout 2015 and 2016 covering 10.8 million gallons of diesel which we will buy at the average contract price of $3.13 per gallon, while the average forward price for the hedged gallons was $3.02 per gallon as of June 30, 2015.

The fair value of the contingent cash consideration component of the National Pump purchase price discussed in note 2 to our condensed consolidated financial statements was $0 as of June 30, 2015 and $78 as of December 31, 2014. In June 2015, we paid the contingent consideration and were relieved of further liabilities associated therewith. The contingent consideration was recorded in accrued expenses and other liabilities in our condensed consolidated balance sheets, and was a Level 3 liability that was measured at fair value on a recurring basis. Fair value was determined using a probability weighted discounted cash flow methodology. Key inputs to the valuation included: (i) discrete scenarios of potential payouts; (ii) probability weightings assigned to each of the scenarios; and (iii) a rate of return with which to discount the probability weighted payouts to present value. Changes to the fair value of the contingent cash consideration are reflected in our condensed consolidated statements of income as “Merger related costs” which included a $26 fair value reduction for the six months ended June 30, 2015. In June 2015, we paid the liability remaining after recognizing the decline in fair value, and were relieved of further liabilities associated therewith. The decline in the fair value of the contingent cash consideration primarily relates to lower than expected financial performance compared to agreed upon financial targets.

Fair Value of Financial Instruments

The carrying amounts reported in our condensed consolidated balance sheets for accounts receivable, accounts payable and accrued expenses and other liabilities approximate fair value due to the immediate to short-term maturity of these financial instruments. The fair values of our ABL facility, accounts receivable securitization facility and capital leases approximate their book values as of June 30, 2015 and December 31, 2014. The estimated fair values of our financial instruments as of June 30, 2015 and December 31, 2014 have been calculated based upon available market information, and are presented below by level in the fair value hierarchy:

	June 30, 2015				December 31, 2014
	Carrying Amount		Fair Value		Carrying Amount		Fair Value
Level 1:
Senior and senior subordinated notes	$	5,991	$	6,090	$	6,063	$	6,390
Level 2:
4 percent Convertible Senior Notes (1)	7		8		32		33

___________________ 

(1) The fair value of the 4 percent Convertible Senior Notes is based on the market value of comparable notes. Consistent with the carrying amount, the fair value excludes the equity component of the notes. To exclude the equity component and calculate the fair value, we used an effective interest rate of 6.9 percent. As discussed below (see Item 3- Quantitative and Qualitative Disclosures about Market Risk), the total cost to settle the notes based on the closing price of our common stock on June 30, 2015 would be $60.

7. Debt

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UNITED RENTALS, INC.

NOTES TO UNAUDITED CONDENSED CONSOLIDATED FINANCIAL STATEMENTS—(Continued)

(Dollars in millions, except per share data, unless otherwise indicated)

Debt consists of the following:

	June 30, 2015			December 31, 2014
URNA and subsidiaries debt:
Accounts Receivable Securitization Facility (1)	$	549		$	548
$2.5 billion ABL Facility (2)	1,771			1,304
5 3/4 percent Senior Secured Notes (3)	—			750
7 3/8 percent Senior Notes	750			750
8 3/8 percent Senior Subordinated Notes (3)	—			750
8 1/4 percent Senior Notes (4)	316			687
7 5/8 percent Senior Notes	1,325			1,325
6 1/8 percent Senior Notes	950			951
4 5/8 percent Senior Secured Notes (5)	1,000			—
5 3/4 percent Senior Notes	850			850
5 1/2 percent Senior Notes (6)	800			—
Capital leases	92			105
Total URNA and subsidiaries debt	8,403			8,020
Holdings:
4 percent Convertible Senior Notes (7)	7			32
Total debt	8,410			8,052
Less short-term portion (8)	(590		)	(618		)
Total long-term debt	$	7,820		$	7,434

 ___________________

(1) At June 30, 2015, $1 was available under our accounts receivable securitization facility. The interest rate applicable to the accounts receivable securitization facility was 0.9 percent at June 30, 2015. During the six months ended June 30, 2015, the monthly average amount outstanding under the accounts receivable securitization facility was $456, and the weighted-average interest rate thereon was 0.8 percent. The maximum month-end amount outstanding under the accounts receivable securitization facility during the six months ended June 30, 2015 was $550. Borrowings under the accounts receivable securitization facility are permitted only to the extent that the face amount of the receivables in the collateral pool, net of applicable reserves, exceeds the outstanding loans. As of June 30, 2015, there were $627 of receivables, net of applicable reserves, in the collateral pool.

(2) At June 30, 2015, $680 was available under our ABL facility, net of $49 of letters of credit. The interest rate applicable to the ABL facility was 1.8 percent at June 30, 2015. During the six months ended June 30, 2015, the monthly average amount outstanding under the ABL facility was $1.2 billion, and the weighted-average interest rate thereon was 2.0 percent. The maximum month-end amount outstanding under the ABL facility during the six months ended June 30, 2015 was $1.8 billion. In March 2015, the ABL facility was amended, primarily to increase the facility size and to extend the maturity date. The size of the facility was increased to $2.5 billion. All amounts borrowed under the ABL facility must be repaid on or before March 2020.

(3) In April 2015, we redeemed all of our 5 ³/₄ percent Senior Secured Notes and 8 ³/₈ percent Senior Subordinated Notes. Upon redemption, we recognized an aggregate loss of $106 in interest expense, net. The loss represented the difference between the net carrying amount and the total purchase price of the notes.

(4) In April 2015, we redeemed $350 principal amount of our 8 ¹/₄ percent Senior Notes. Upon redemption, we recognized a loss of $15 in interest expense, net. The loss represented the difference between the net carrying amount and the total purchase price of the redeemed notes.

(5) In March 2015, URNA issued $1.0 billion aggregate principal amount of 4 ⁵/₈ percent Senior Secured Notes (the “4 ⁵/₈ percent Notes”) which are due July 15, 2023. The net proceeds from issuance were approximately $990 (after deducting offering expenses). The 4 ⁵/₈ percent Notes are guaranteed by Holdings and certain domestic subsidiaries of URNA and are secured on a second-priority basis by liens on substantially all of URNA’s and the guarantors’ assets that secure the ABL facility, subject to certain exceptions. The 4 ⁵/₈ percent Notes may be redeemed on or after July 15, 2018, at specified redemption prices that range from 103.469 percent in 2018, to 100 percent in 2021 and thereafter, plus accrued

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UNITED RENTALS, INC.

NOTES TO UNAUDITED CONDENSED CONSOLIDATED FINANCIAL STATEMENTS—(Continued)

(Dollars in millions, except per share data, unless otherwise indicated)

and unpaid interest, if any. The indenture governing the 4 ⁵/₈ percent Notes contains certain restrictive covenants, including, among others, limitations on (i) liens; (ii) additional indebtedness; (iii) mergers, consolidations and acquisitions; (iv) sales, transfers and other dispositions of assets; (v) loans and other investments; (vi) dividends and other distributions, stock repurchases and redemptions and other restricted payments; (vii) restrictions affecting subsidiaries; (viii) transactions with affiliates; and (ix) designations of unrestricted subsidiaries, as well as a requirement to timely file periodic reports with the SEC. The indenture also includes covenants relating to the grant of and maintenance of liens for the benefit of the notes collateral agent. Each of the restrictive covenants is subject to important exceptions and qualifications that would allow URNA and its subsidiaries to engage in these activities under certain conditions. The indenture also requires that, in the event of a change of control (as defined in the indenture), URNA must make an offer to purchase all of the then-outstanding 4 ⁵/₈ percent Notes tendered at a purchase price in cash equal to 101 percent of the principal amount thereof, plus accrued and unpaid interest, if any, thereon.

(6) In March 2015, URNA issued $800 aggregate principal amount of 5 ¹/₂ percent Senior Notes (the “5 ¹/₂ percent Notes”) which are due July 15, 2025. The net proceeds from the issuance were approximately $792 (after deducting offering expenses). The 5 ¹/₂ percent Notes are unsecured and are guaranteed by Holdings and certain domestic subsidiaries of URNA. The 5 ¹/₂ percent Notes may be redeemed on or after July 15, 2020, at specified redemption prices that range from 102.75 percent in 2020, to 100 percent in 2023 and thereafter, plus accrued and unpaid interest, if any. The indenture governing the 5 ¹/₂ percent Notes contains certain restrictive covenants, including, among others, limitations on (i) liens; (ii) additional indebtedness; (iii) mergers, consolidations and acquisitions; (iv) sales, transfers and other dispositions of assets; (v) loans and other investments; (vi) dividends and other distributions, stock repurchases and redemptions and other restricted payments; (vii) restrictions affecting subsidiaries; (viii) transactions with affiliates; and (ix) designations of unrestricted subsidiaries, as well as a requirement to timely file periodic reports with the SEC. Each of the restrictive covenants is subject to important exceptions and qualifications that would allow URNA and its subsidiaries to engage in these activities under certain conditions. The indenture also requires that, in the event of a change of control (as defined in the indenture), URNA must make an offer to purchase all of the then-outstanding 5 ¹/₂ percent Notes tendered at a purchase price in cash equal to 101 percent of the principal amount thereof, plus accrued and unpaid interest, if any, thereon.

(7) The difference between the June 30, 2015 carrying value of the 4 percent Convertible Senior Notes and the $8 principal amount reflects the $1 unamortized portion of the original issue discount recognized upon issuance of the notes, which is being amortized through the maturity date of November 15, 2015. Because the 4 percent Convertible Senior Notes were redeemable at June 30, 2015, an amount equal to the $1 unamortized portion of the original issue discount is separately classified in our condensed consolidated balance sheets and referred to as “temporary equity.” During the six months ended June 30, 2015, $26 of our 4 percent Convertible Senior Notes were redeemed. We recognized a loss of approximately $1 in interest expense, net upon redemption. The loss represented the difference between the net carrying amount and the fair value of the debt component of the notes. Holders of the 4 percent Convertible Senior Notes have the right to redeem the notes prior to November 15, 2015 at a conversion price of $11.11 per share of common stock. Since July 1, 2015 (the beginning of the third quarter), none of the 4 percent Convertible Senior Notes have been redeemed.

(8) As of June 30, 2015, our short-term debt primarily reflects $549 of borrowings under our accounts receivable securitization facility.

Convertible Note Hedge Transactions

In connection with the November 2009 issuance of $173 aggregate principal amount of 4 percent Convertible Senior Notes, Holdings entered into convertible note hedge transactions with option counterparties. The convertible note hedge transactions cost $26, and decreased additional paid-in capital by $17, net of taxes, in our accompanying condensed consolidated statements of stockholders’ equity. The convertible note hedge transactions cover, subject to anti-dilution adjustments, 0.7 million shares of our common stock. The convertible note hedge transactions are intended to reduce, subject to a limit, the potential dilution with respect to our common stock upon conversion of the 4 percent Convertible Senior Notes. The effect of the convertible note hedge transactions is to increase the effective conversion price to $15.56 per share, equal to an approximately 75 percent premium over the $8.89 closing price of our common stock at issuance. The effective conversion price is subject to change in certain circumstances. In the event the market value of our common stock exceeds the effective conversion price per share, the settlement amount received from such transactions will only partially offset the potential dilution. For example, if, at the time of exercise of the conversion right, the price of our common stock was $80.00 per share, assuming an effective conversion price of $15.56 per share, on a net basis, we would issue 0.6 million shares.

Loan Covenants and Compliance

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UNITED RENTALS, INC.

NOTES TO UNAUDITED CONDENSED CONSOLIDATED FINANCIAL STATEMENTS—(Continued)

(Dollars in millions, except per share data, unless otherwise indicated)

As of June 30, 2015, we were in compliance with the covenants and other provisions of the ABL facility, the accounts receivable securitization facility and the senior notes. Any failure to be in compliance with any material provision or covenant of these agreements could have a material adverse effect on our liquidity and operations.

In March 2015, we amended the ABL facility. The only financial covenant which currently exists under the ABL facility relates to the fixed charge coverage ratio. As of June 30, 2015, specified availability under the ABL facility exceeded the required threshold and, as a result, this maintenance covenant is inapplicable. Subject to certain limited exceptions specified in the amended ABL facility, the fixed charge coverage ratio covenant under the amended ABL facility will only apply in the future if specified availability under the amended ABL facility falls below 10 percent of the maximum revolver amount under the amended ABL facility. When certain conditions are met, cash and cash equivalents and borrowing base collateral in excess of the ABL facility size may be included when calculating specified availability under the amended ABL facility. Under our accounts receivable securitization facility, we are required, among other things, to maintain certain financial tests relating to: (i) the default ratio, (ii) the delinquency ratio, (iii) the dilution ratio and (iv) days sales outstanding.

8. Legal and Regulatory Matters

In addition to the disclosures provided in note 14 to our consolidated financial statements for the year ended December 31, 2014 filed on Form 10-K on January 21, 2015, we are also subject to a number of claims and proceedings that generally arise in the ordinary conduct of our business. These matters include, but are not limited to, general liability claims (including personal injury, property and auto claims), indemnification and guarantee obligations, employee injuries and employment-related claims, self-insurance obligations and contract and real estate matters. Based on advice of counsel and available information, including current status or stage of proceeding, and taking into account accruals for matters where we have established them, we currently believe that any liabilities ultimately resulting from these ordinary course claims and proceedings will not, individually or in the aggregate, have a material adverse effect on our consolidated financial condition, results of operations or cash flows.

9. Earnings Per Share

Basic earnings per share is computed by dividing net income available to common stockholders by the weighted-average number of common shares outstanding. Diluted earnings per share is computed by dividing net income available to common stockholders by the weighted-average number of common shares plus the effect of dilutive potential common shares outstanding during the period. The following table sets forth the computation of basic and diluted earnings per share (shares in thousands):

	Three Months Ended				Six Months Ended
	June 30,				June 30,
	2015		2014		2015		2014
Numerator:
Net income available to common stockholders	$	86	$	94	201		154
Denominator:
Denominator for basic earnings per share—weighted-average common shares	96,647		97,002		96,896		96,118
Effect of dilutive securities:
Employee stock options and warrants	298		413		318		425
4 percent Convertible Senior Notes	605		7,758		894		9,005
Restricted stock units	197		421		308		475
Denominator for diluted earnings per share—adjusted weighted-average common shares	97,747		105,594		98,416		106,023
Basic earnings per share	$	0.89	$	0.98	$	2.07	$	1.61
Diluted earnings per share	$	0.88	$	0.90	$	2.04	$	1.46

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UNITED RENTALS, INC.

NOTES TO UNAUDITED CONDENSED CONSOLIDATED FINANCIAL STATEMENTS—(Continued)

(Dollars in millions, except per share data, unless otherwise indicated)

10. Condensed Consolidating Financial Information of Guarantor Subsidiaries

URNA is 100 percent owned by Holdings (“Parent”) and has outstanding (i) certain indebtedness that is guaranteed by Parent, (ii) certain indebtedness that is guaranteed by both Parent and, with the exception of its U.S. special purpose vehicle which holds receivable assets relating to the Company’s accounts receivable securitization facility (the “SPV”), all of URNA’s U.S. subsidiaries (the “guarantor subsidiaries”) and (iii) certain indebtedness that is guaranteed only by the guarantor subsidiaries (specifically, the 8 ¹/4 percent Senior Notes). Other than the guarantee by certain Canadian subsidiaries of URNA's indebtedness under the ABL facility, none of URNA’s indebtedness is guaranteed by URNA's foreign subsidiaries or the SPV (together, the “non-guarantor subsidiaries”). The receivable assets owned by the SPV have been sold by URNA to the SPV and are not available to satisfy the obligations of URNA or Parent’s other subsidiaries. The guarantor subsidiaries are all 100 percent-owned and the guarantees are made on a joint and several basis. The guarantees are not full and unconditional because a guarantor subsidiary can be automatically released and relieved of its obligations under certain circumstances, including sale of the guarantor subsidiary, the sale of all or substantially all of the guarantor subsidiary's assets, the requirements for legal defeasance or covenant defeasance under the applicable indenture being met or designating the guarantor subsidiary as an unrestricted subsidiary for purposes of the applicable covenants. The guarantees are also subject to subordination provisions (to the same extent that the obligations of the issuer under the relevant notes are subordinated to other debt of the issuer) and to a standard limitation which provides that the maximum amount guaranteed by each guarantor will not exceed the maximum amount that can be guaranteed without making the guarantee void under fraudulent conveyance laws. Based on our understanding of Rule 3-10 of Regulation S-X ("Rule 3-10"), we believe that the guarantees of the guarantor subsidiaries comply with the conditions set forth in Rule 3-10 and therefore continue to utilize Rule 3-10 to present condensed consolidating financial information for Holdings, URNA, the guarantor subsidiaries and the non-guarantor subsidiaries. Separate consolidated financial statements of the guarantor subsidiaries have not been presented because management believes that such information would not be material to investors. However, condensed consolidating financial information is presented.

URNA covenants in the ABL facility, accounts receivable securitization facility and the other agreements governing our debt impose operating and financial restrictions on URNA, Parent and the guarantor subsidiaries, including limitations on the ability to pay dividends. As of June 30, 2015, the amount available for distribution under the most restrictive of these covenants was $252.

The condensed consolidating financial information of Parent and its subsidiaries is as follows:

23

UNITED RENTALS, INC.

NOTES TO UNAUDITED CONDENSED CONSOLIDATED FINANCIAL STATEMENTS—(Continued)

(Dollars in millions, except per share data, unless otherwise indicated)

CONDENSED CONSOLIDATING BALANCE SHEET

June 30, 2015

	Parent		URNA		Guarantor Subsidiaries			Non-Guarantor Subsidiaries					Eliminations			Total
								Foreign			SPV
ASSETS
Cash and cash equivalents	$	—	$	4	$	—		$	196		$	—	$	—		$	200
Accounts receivable, net	—		39		—			108			747		—			894
Intercompany receivable (payable)	144		55		(188		)	(126		)	—		115			—
Inventory	—		73		—			8			—		—			81
Prepaid expenses and other assets	—		67		—			7			—		—			74
Deferred taxes	—		186		—			1			—		—			187
Total current assets	144		424		(188		)	194			747		115			1,436
Rental equipment, net	—		5,794		—			602			—		—			6,396
Property and equipment, net	40		323		20			42			—		—			425
Investments in subsidiaries	1,294		1,011		1,001			—			—		(3,306		)	—
Goodwill	—		3,000		—			253			—		—			3,253
Other intangible assets, net	—		923		—			77			—		—			1,000
Other long-term assets	—		95		—			—			—		—			95
Total assets	$	1,478	$	11,570	$	833		$	1,168		$	747	$	(3,191	)	$	12,605
LIABILITIES AND STOCKHOLDERS’ EQUITY (DEFICIT)
Short-term debt and current maturities of long-term debt	$	7	$	583	$	—		$	—		$	—	$	—		$	590
Accounts payable	—		618		—			65			—		—			683
Accrued expenses and other liabilities	—		273		14			22			—		—			309
Total current liabilities	7		1,474		14			87			—		—			1,582
Long-term debt	—		7,143		121			7			549		—			7,820
Deferred taxes	19		1,604		—			73			—		—			1,696
Other long-term liabilities	—		55		—			—			—		—			55
Total liabilities	26		10,276		135			167			549		—			11,153
Temporary equity (note 7)	1		—		—			—			—		—			1
Total stockholders’ equity (deficit)	1,451		1,294		698			1,001			198		(3,191		)	1,451
Total liabilities and stockholders’ equity (deficit)	$	1,478	$	11,570	$	833		$	1,168		$	747	$	(3,191	)	$	12,605

24

UNITED RENTALS, INC.

NOTES TO UNAUDITED CONDENSED CONSOLIDATED FINANCIAL STATEMENTS—(Continued)

(Dollars in millions, except per share data, unless otherwise indicated)

CONDENSED CONSOLIDATING BALANCE SHEET

December 31, 2014

	Parent		URNA			Guarantor Subsidiaries			Non-Guarantor Subsidiaries					Eliminations			Total
									Foreign			SPV
ASSETS
Cash and cash equivalents	$	—	$	8		$	—		$	150		$	—	$	—		$	158
Accounts receivable, net	—		37			—			144			759		—			940
Intercompany receivable (payable)	476		(428		)	(60		)	(109		)	—		121			—
Inventory	—		69			—			9			—		—			78
Prepaid expenses and other assets	—		113			1			8			—		—			122
Deferred taxes	—		246			—			2			—		—			248
Total current assets	476		45			(59		)	204			759		121			1,546
Rental equipment, net	—		5,399			—			609			—		—			6,008
Property and equipment, net	42		332			21			43			—		—			438
Investments in subsidiaries	1,330		1,185			1,040			—			—		(3,555		)	—
Goodwill	—		3,000			—			272			—		—			3,272
Other intangible assets, net	—		1,014			—			92			—		—			1,106
Other long-term assets	1		96			—			—			—		—			97
Total assets	$	1,849	$	11,071		$	1,002		$	1,220		$	759	$	(3,434	)	$	12,467
LIABILITIES AND STOCKHOLDERS’ EQUITY (DEFICIT)
Short-term debt and current maturities of long-term debt	$	32	$	38		$	—		$	—		$	548	$	—		$	618
Accounts payable	—		248			—			37			—		—			285
Accrued expenses and other liabilities	—		499			19			57			—		—			575
Total current liabilities	32		785			19			94			548		—			1,478
Long-term debt	—		7,298			130			6			—		—			7,434
Deferred taxes	19		1,594			—			79			—		—			1,692
Other long-term liabilities	—		64			—			1			—		—			65
Total liabilities	51		9,741			149			180			548		—			10,669
Temporary equity (note 7)	2		—			—			—			—		—			2
Total stockholders’ equity (deficit)	1,796		1,330			853			1,040			211		(3,434		)	1,796
Total liabilities and stockholders’ equity (deficit)	$	1,849	$	11,071		$	1,002		$	1,220		$	759	$	(3,434	)	$	12,467

25

UNITED RENTALS, INC.

NOTES TO UNAUDITED CONDENSED CONSOLIDATED FINANCIAL STATEMENTS—(Continued)

(Dollars in millions, except per share data, unless otherwise indicated)

CONDENSED CONSOLIDATING STATEMENT OF INCOME AND COMPREHENSIVE INCOME

For the Three Months Ended June 30, 2015

	Parent			URNA		Guarantor Subsidiaries			Non-Guarantor Subsidiaries					Eliminations			Total
									Foreign		SPV
Revenues:
Equipment rentals	$	—		$	1,100	$	—		$	120	$	—		$	—		$	1,220
Sales of rental equipment	—			106		—			18		—			—			124
Sales of new equipment	—			34		—			5		—			—			39
Contractor supplies sales	—			18		—			3		—			—			21
Service and other revenues	—			22		—			3		—			—			25
Total revenues	—			1,280		—			149		—			—			1,429
Cost of revenues:
Cost of equipment rentals, excluding depreciation	—			389		—			56		—			—			445
Depreciation of rental equipment	—			216		—			24		—			—			240
Cost of rental equipment sales	—			58		—			10		—			—			68
Cost of new equipment sales	—			29		—			4		—			—			33
Cost of contractor supplies sales	—			13		—			2		—			—			15
Cost of service and other revenues	—			9		—			1		—			—			10
Total cost of revenues	—			714		—			97		—			—			811
Gross profit	—			566		—			52		—			—			618
Selling, general and administrative expenses	(4		)	153		—			18		8			—			175
Merger related costs	—			1		—			—		—			—			1
Restructuring charge	—			—		—			—		—			—			—
Non-rental depreciation and amortization	4			57		—			6		—			—			67
Operating (loss) income	—			355		—			28		(8		)	—			375
Interest (income) expense, net	—			232		—			1		1			(2		)	232
Other (income) expense, net	(38		)	55		—			2		(25		)	—			(6		)
Income before provision for income taxes	38			68		—			25		16			2			149
Provision for income taxes	18			28		2			9		6			—			63
Income (loss) before equity in net earnings (loss) of subsidiaries	20			40		(2		)	16		10			2			86
Equity in net earnings (loss) of subsidiaries	66			26		16			—		—			(108		)	—
Net income (loss)	86			66		14			16		10			(106		)	86
Other comprehensive income (loss)	17			17		16			13		—			(46		)	17
Comprehensive income (loss)	$	103		$	83	$	30		$	29	$	10		$	(152	)	$	103

26

UNITED RENTALS, INC.

NOTES TO UNAUDITED CONDENSED CONSOLIDATED FINANCIAL STATEMENTS—(Continued)

(Dollars in millions, except per share data, unless otherwise indicated)

CONDENSED CONSOLIDATING STATEMENT OF INCOME AND COMPREHENSIVE INCOME

For the Three Months Ended June 30, 2014

	Parent			URNA			Guarantor Subsidiaries			Non-Guarantor Subsidiaries					Eliminations			Total
										Foreign		SPV
Revenues:
Equipment rentals	$	—		$	1,042		$	—		$	137	$	—		$	—		$	1,179
Sales of rental equipment	—			122			—			16		—			—			138
Sales of new equipment	—			31			—			6		—			—			37
Contractor supplies sales	—			19			—			3		—			—			22
Service and other revenues	—			17			—			6		—			—			23
Total revenues	—			1,231			—			168		—			—			1,399
Cost of revenues:
Cost of equipment rentals, excluding depreciation	—			383			—			64		—			—			447
Depreciation of rental equipment	—			203			—			26		—			—			229
Cost of rental equipment sales	—			70			—			10		—			—			80
Cost of new equipment sales	—			27			—			4		—			—			31
Cost of contractor supplies sales	—			13			—			2		—			—			15
Cost of service and other revenues	—			5			—			3		—			—			8
Total cost of revenues	—			701			—			109		—			—			810
Gross profit	—			530			—			59		—			—			589
Selling, general and administrative expenses	(6		)	171			2			23		(3		)	—			187
Merger related costs	—			8			—			—		—			—			8
Restructuring charge	—			(1		)	—			—		—			—			(1		)
Non-rental depreciation and amortization	5			58			—			7		—			—			70
Operating income (loss)	1			294			(2		)	29		3			—			325
Interest expense (income), net	1			182			2			2		1			(1		)	187
Other (income) expense, net	(37		)	52			(3		)	4		(20		)	—			(4		)
Income (loss) before provision for income taxes	37			60			(1		)	23		22			1			142
Provision for income taxes	1			32			—			6		9			—			48
Income (loss) before equity in net earnings (loss) of subsidiaries	36			28			(1		)	17		13			1			94
Equity in net earnings (loss) of subsidiaries	58			30			17			—		—			(105		)	—
Net income (loss)	94			58			16			17		13			(104		)	94
Other comprehensive income (loss)	36			36			36			28		—			(100		)	36
Comprehensive income (loss)	$	130		$	94		$	52		$	45	$	13		$	(204	)	$	130

27

UNITED RENTALS, INC.

NOTES TO UNAUDITED CONDENSED CONSOLIDATED FINANCIAL STATEMENTS—(Continued)

(Dollars in millions, except per share data, unless otherwise indicated)

CONDENSED CONSOLIDATING STATEMENT OF INCOME AND COMPREHENSIVE INCOME

For the Six Months EndedJune 30, 2015

	Parent			URNA			Guarantor Subsidiaries			Non-Guarantor Subsidiaries						Eliminations			Total
										Foreign			SPV
Revenues:
Equipment rentals	$	—		$	2,098		$	—		$	247		$	—		$	—		$	2,345
Sales of rental equipment	—			212			—			28			—			—			240
Sales of new equipment	—			63			—			9			—			—			72
Contractor supplies sales	—			34			—			5			—			—			39
Service and other revenues	—			41			—			7			—			—			48
Total revenues	—			2,448			—			296			—			—			2,744
Cost of revenues:
Cost of equipment rentals, excluding depreciation	—			773			—			116			—			—			889
Depreciation of rental equipment	—			427			—			48			—			—			475
Cost of rental equipment sales	—			117			—			15			—			—			132
Cost of new equipment sales	—			53			—			7			—			—			60
Cost of contractor supplies sales	—			24			—			3			—			—			27
Cost of service and other revenues	—			15			—			4			—			—			19
Total cost of revenues	—			1,409			—			193			—			—			1,602
Gross profit	—			1,039			—			103			—			—			1,142
Selling, general and administrative expenses	(1		)	304			—			38			15			—			356
Merger related costs	—			(26		)	—			—			—			—			(26		)
Restructuring charge	—			1			—			—			—			—			1
Non-rental depreciation and amortization	8			116			—			12			—			—			136
Operating (loss) income	(7		)	644			—			53			(15		)	—			675
Interest (income) expense, net	(1		)	351			2			2			2			(3		)	353
Other (income) expense, net	(73		)	107			1			3			(47		)	—			(9		)
Income (loss) before provision for income taxes	67			186			(3		)	48			30			3			331
Provision for income taxes	31			71			—			16			12			—			130
Income (loss) before equity in net earnings (loss) of subsidiaries	36			115			(3		)	32			18			3			201
Equity in net earnings (loss) of subsidiaries	165			50			32			—			—			(247		)	—
Net income (loss)	201			165			29			32			18			(244		)	201
Other comprehensive (loss) income	(72		)	(72		)	(74		)	(58		)	—			204			(72		)
Comprehensive income (loss)	$	129		$	93		$	(45	)	$	(26	)	$	18		$	(40	)	$	129

28

UNITED RENTALS, INC.

NOTES TO UNAUDITED CONDENSED CONSOLIDATED FINANCIAL STATEMENTS—(Continued)

(Dollars in millions, except per share data, unless otherwise indicated)

CONDENSED CONSOLIDATING STATEMENT OF INCOME AND COMPREHENSIVE INCOME

For the Six Months EndedJune 30, 2014

	Parent			URNA			Guarantor Subsidiaries			Non-Guarantor Subsidiaries						Eliminations			Total
										Foreign			SPV
Revenues:
Equipment rentals	$	—		$	1,914		$	—		$	270		$	—		$	—		$	2,184
Sales of rental equipment	—			222			—			26			—			—			248
Sales of new equipment	—			52			—			11			—			—			63
Contractor supplies sales	—			34			—			7			—			—			41
Service and other revenues	—			32			—			9			—			—			41
Total revenues	—			2,254			—			323			—			—			2,577
Cost of revenues:
Cost of equipment rentals, excluding depreciation	—			737			—			119			—			—			856
Depreciation of rental equipment	—			396			—			50			—			—			446
Cost of rental equipment sales	—			130			—			15			—			—			145
Cost of new equipment sales	—			43			—			8			—			—			51
Cost of contractor supplies sales	—			23			—			5			—			—			28
Cost of service and other revenues	—			10			—			4			—			—			14
Total cost of revenues	—			1,339			—			201			—			—			1,540
Gross profit	—			915			—			122			—			—			1,037
Selling, general and administrative expenses	19			294			2			43			(3		)	—			355
Merger related costs	—			9			—			—			—			—			9
Non-rental depreciation and amortization	9			109			—			12			—			—			130
Operating (loss) income	(28		)	503			(2		)	67			3			—			543
Interest expense (income), net	7			300			3			3			2			(3		)	312
Other (income) expense, net	(69		)	98			(1		)	7			(40		)	—			(5		)
Income (loss) before provision for income taxes	34			105			(4		)	57			41			3			236
Provision for income taxes	1			50			—			15			16			—			82
Income (loss) before equity in net earnings (loss) of subsidiaries	33			55			(4		)	42			25			3			154
Equity in net earnings (loss) of subsidiaries	121			66			42			—			—			(229		)	—
Net income (loss)	154			121			38			42			25			(226		)	154
Other comprehensive (loss) income	(3		)	(3		)	(2		)	(2		)	—			7			(3		)
Comprehensive income (loss)	$	151		$	118		$	36		$	40		$	25		$	(219	)	$	151

29

UNITED RENTALS, INC.

NOTES TO UNAUDITED CONDENSED CONSOLIDATED FINANCIAL STATEMENTS—(Continued)

(Dollars in millions, except per share data, unless otherwise indicated)

CONDENSED CONSOLIDATING CASH FLOW INFORMATION

For the Six Months EndedJune 30, 2015

	Parent			URNA			Guarantor Subsidiaries			Non-Guarantor Subsidiaries						Eliminations		Total
										Foreign			SPV
Net cash provided by operating activities	$	6		$	1,069		$	1		$	144		$	30		$	—	$	1,250
Net cash used in investing activities	(6		)	(793		)	—			(77		)	—			—		(876		)
Net cash used in financing activities	—			(280		)	(1		)	(7		)	(30		)	—		(318		)
Effect of foreign exchange rates	—			—			—			(14		)	—			—		(14		)
Net (decrease) increase in cash and cash equivalents	—			(4		)	—			46			—			—		42
Cash and cash equivalents at beginning of period	—			8			—			150			—			—		158
Cash and cash equivalents at end of period	$	—		$	4		$	—		$	196		$	—		$	—	$	200

CONDENSED CONSOLIDATING CASH FLOW INFORMATION

For the Six Months EndedJune 30, 2014

	Parent			URNA			Guarantor Subsidiaries			Non-Guarantor Subsidiaries						Eliminations		Total
										Foreign			SPV
Net cash provided by (used in) operating activities	$	10		$	928		$	2		$	146		$	(32	)	$	—	$	1,054
Net cash used in investing activities	(10		)	(1,402		)	—			(158		)	—			—		(1,570		)
Net cash provided by (used in) financing activities	—			483			(2		)	(1		)	32			—		512
Effect of foreign exchange rates	—			—			—			(1		)	—			—		(1		)
Net increase (decrease) in cash and cash equivalents	—			9			—			(14		)	—			—		(5		)
Cash and cash equivalents at beginning of period	—			17			—			158			—			—		175
Cash and cash equivalents at end of period	$	—		$	26		$	—		$	144		$	—		$	—	$	170

30

Item 2. Management’s Discussion and Analysis of Financial Condition and Results of Operations (dollars in millions, except per share data, unless otherwise indicated)

Executive Overview

We are the largest equipment rental company in the world, with an integrated network of 896 rental locations in the United States and Canada. Although the equipment rental industry is highly fragmented and diverse, we believe that we are well positioned to take advantage of this environment because, as a larger company, we have more extensive resources and certain competitive advantages. These include a fleet of rental equipment with a total original equipment cost (“OEC”) of $8.9 billion, and a national branch network that operates in 49 U.S. states and every Canadian province, and serves 99 of the largest 100 metropolitan areas in the United States. In addition, our size gives us greater purchasing power, the ability to provide customers with a broader range of equipment and services, the ability to provide customers with equipment that is more consistently well-maintained and therefore more productive and reliable, and the ability to enhance the earning potential of our assets by transferring equipment among branches to satisfy customer needs.

We offer approximately 3,300 classes of equipment for rent to a diverse customer base that includes construction and industrial companies, manufacturers, utilities, municipalities, homeowners and government entities. Our revenues are derived from the following sources: equipment rentals, sales of rental equipment, sales of new equipment, contractor supplies sales and service and other revenues. Equipment rentals represented 85 percent of total revenues for the six months ended June 30, 2015.

For the past several years, we have executed a strategy focused on improving the profitability of our core equipment rental business through revenue growth, margin expansion and operational efficiencies. In particular, we have focused on customer segmentation, customer service differentiation, rate management, fleet management and operational efficiency.

In 2015, we have continued our disciplined focus on increasing our profitability and return on invested capital. In particular, our strategy calls for:

• A consistently superior standard of service to customers, often provided through a single point of contact;

• The further optimization of our customer mix and fleet mix, with a dual objective: to enhance our performance in serving our current customer base, and to focus on the accounts and customer types that are best suited to our strategy for profitable growth. We believe these efforts will lead to even better service of our target accounts, primarily large construction and industrial customers, as well as select local contractors. Our fleet team's analyses are aligned with these objectives to identify trends in equipment categories and define action plans that can generate improved returns;

• The implementation of “Lean” management techniques, including kaizen processes focused on continuous improvement, through a program we call Operation United 2. We have trained over 2,900 employees, approximately 75 percent of our district managers and over 60 percent of our branch managers on the Lean kaizen process. We continue to implement this program across our branch network, with the objectives of: reducing the cycle time associated with renting our equipment to customers; improving invoice accuracy and service quality; reducing the elapsed time for equipment pickup and delivery; and improving the effectiveness and efficiency of our repair and maintenance operations; and

• The continued expansion of our trench, power and pump footprint, as well as our tools offering, and the cross-selling of these services throughout our network. We believe that the expansion of our trench, power and pump business, as well as our tools offering, will further position United Rentals as a single source provider of total jobsite solutions through our extensive product and service resources and technology offerings.

For the six months ended June 30, 2015, equipment rental revenue increased 7.4 percent as compared to the same period in 2014, primarily reflecting a 5.3 percent increase in the volume of OEC on rent and a 2.2 percent rental rate increase. During the six months ended June 30, 2015, we experienced volume and pricing pressure associated with upstream oil and gas customers, the impact of which was most pronounced in our trench, power and pump segment, where equipment rental gross margin decreased from 48.3 percent to 44.2 percent year-over-year. The decreased equipment rental gross margin in our trench, power and pump segment primarily reflects decreased margins in the Pump Solutions region, which is primarily comprised of locations acquired in the National Pump acquisition, which experienced volume and pricing pressure associated with upstream oil and gas customers. The aggregate equipment rentals gross margin in the trench, power and pump segment excluding the Pump Solutions region increased by approximately 1.9 percentage points from 2014. We expect the combination of recent industry fleet expansion and continuing softness in the upstream oil and gas sector to place pressure on volume and pricing, and, accordingly, have lowered our 2015 outlook for rental rates, time utilization, revenue and adjusted EBITDA (as defined below).

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Financial Overview

As discussed further in note 7 to the condensed consolidated financial statements, during 2015, we took the following actions that have improved our financial flexibility and liquidity:

• Redeemed all of our 5 ³/₄ percent Senior Secured Notes and 8 ³/₈ percent Senior Subordinated Notes;

• Redeemed $350 principal amount of our 8 ¹/₄ percent Senior Notes;

• Issued $1 billion principal amount of 4 ⁵/₈ percent Senior Secured Notes;

• Issued $800 principal amount of 5 ¹/₂ percent Senior Notes; and

• Amended and extended our ABL facility. The size of the facility was increased to $2.5 billion.

These actions have improved our financial flexibility and liquidity and positioned us to invest the necessary capital in our business to take advantage of opportunities in the economic recovery. As of June 30, 2015, we had available liquidity of $881, including cash and cash equivalents of $200.

Net income. Net income and diluted earnings per share for the three and six months ended June 30, 2015 and 2014 were as follows:

	Three Months Ended				Six Months Ended
	June 30,				June 30,
	2015		2014		2015		2014
Net income	$	86	$	94	$	201	$	154
Diluted earnings per share	$	0.88	$	0.90	$	2.04	$	1.46

Net income and diluted earnings per share for the three and six months ended June 30, 2015 and 2014 include the impacts of the following special items (amounts presented on an after-tax basis):

	Three Months Ended June 30,												Six Months Ended June 30,
	2015						2014						2015						2014
	Contribution to net income (after-tax)			Impact on diluted earnings per share			Contribution to net income (after-tax)			Impact on diluted earnings per share			Contribution to net income (after-tax)			Impact on diluted earnings per share			Contribution to net income (after-tax)			Impact on diluted earnings per share
Merger related costs (1)	$	—		$	—		$	(5	)	$	(0.05	)	$	17		$	0.17		$	(6	)	$	(0.05	)
Merger related intangible asset amortization (2)	(27		)	(0.27		)	(31		)	(0.29		)	(57		)	(0.57		)	(55		)	(0.52		)
Impact on depreciation related to acquired RSC fleet and property and equipment (3)	—			—			1			0.01			1			0.01			1			0.01
Impact of the fair value mark-up of acquired RSC fleet (4)	(4		)	(0.04		)	(6		)	(0.06		)	(8		)	(0.08		)	(11		)	(0.11		)
Impact on interest expense related to fair value adjustment of acquired RSC indebtedness (5)	—			—			1			0.01			1			0.01			2			0.01
Restructuring charge (6)	—			—			1			0.01			(1		)	(0.01		)	—			—
Loss on repurchase/redemption of debt securities and amendment of ABL facility	(74		)	(0.76		)	(40		)	(0.38		)	(75		)	(0.77		)	(46		)	(0.43		)

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(1) This reflects transaction costs associated with the 2012 acquisition of RSC Holdings Inc. ("RSC") and the April 2014 acquisition of National Pump discussed in note 2 to the condensed consolidated financial statements. The income for the six months ended June 30, 2015 reflects a decline in the fair value of the contingent cash consideration component of the National Pump purchase price as discussed in note 6 to our condensed consolidated financial statements.

(2) This reflects the amortization of the intangible assets acquired in the RSC and National Pump acquisitions.

(3) This reflects the impact of extending the useful lives of equipment acquired in the RSC acquisition, net of the impact of additional depreciation associated with the fair value mark-up of such equipment.

(4) This reflects additional costs recorded in cost of rental equipment sales associated with the fair value mark-up of rental equipment acquired in the RSC acquisition and subsequently sold.

(5) This reflects a reduction of interest expense associated with the fair value mark-up of debt acquired in the RSC acquisition.

(6) As discussed below (see “Restructuring charges”), this primarily reflects branch closure charges associated with the RSC acquisition and our closed restructuring program.

In addition to the matters discussed above, our 2015 performance reflects increased gross profit from equipment rentals.

EBITDA GAAP Reconciliations. EBITDA represents the sum of net income, provision for income taxes, interest expense, net, depreciation of rental equipment and non-rental depreciation and amortization. Adjusted EBITDA represents EBITDA plus the sum of the merger related costs, restructuring charge, stock compensation expense, net and the impact of the fair value mark-up of the acquired RSC fleet. These items are excluded from adjusted EBITDA internally when evaluating our operating performance and allow investors to make a more meaningful comparison between our core business operating results over different periods of time, as well as with those of other similar companies. Management believes that EBITDA and adjusted EBITDA, when viewed with the Company’s results under GAAP and the accompanying reconciliations, provide useful information about operating performance and period-over-period growth, and provide additional information that is useful for evaluating the operating performance of our core business without regard to potential distortions. Additionally, management believes that EBITDA and adjusted EBITDA help investors gain an understanding of the factors and trends affecting our ongoing cash earnings, from which capital investments are made and debt is serviced. However, EBITDA and adjusted EBITDA are not measures of financial performance or liquidity under GAAP and, accordingly, should not be considered as alternatives to net income or cash flow from operating activities as indicators of operating performance or liquidity.

The table below provides a reconciliation between net income and EBITDA and adjusted EBITDA:

	Three Months Ended					Six Months Ended
	June 30,					June 30,
	2015		2014			2015			2014
Net income	$	86	$	94		$	201		$	154
Provision for income taxes	63		48			130			82
Interest expense, net	232		187			353			312
Depreciation of rental equipment	240		229			475			446
Non-rental depreciation and amortization	67		70			136			130
EBITDA	$	688	$	628		$	1,295		$	1,124
Merger related costs (1)	1		8			(26		)	9
Restructuring charge (2)	—		(1		)	1			—
Stock compensation expense, net (3)	11		19			25			31
Impact of the fair value mark-up of acquired RSC fleet (4)	6		9			13			18
Adjusted EBITDA	$	706	$	663		$	1,308		$	1,182

The table below provides a reconciliation between net cash provided by operating activities and EBITDA and adjusted EBITDA:

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	Six Months Ended
	June 30,
	2015			2014
Net cash provided by operating activities	$	1,250		$	1,054
Adjustments for items included in net cash provided by operating activities but excluded from the calculation of EBITDA:
Amortization of deferred financing costs and original issue discounts	(5		)	(10		)
Gain on sales of rental equipment	108			103
Gain on sales of non-rental equipment	4			4
Merger related costs (1)	26			(9		)
Restructuring charge (2)	(1		)	—
Stock compensation expense, net (3)	(25		)	(31		)
Loss on repurchase/redemption of debt securities and amendment of ABL facility	(123		)	(75		)
Changes in assets and liabilities	(222		)	(172		)
Cash paid for interest	253			224
Cash paid for income taxes, net	30			36
EBITDA	$	1,295		$	1,124
Add back:
Merger related costs (1)	(26		)	9
Restructuring charge (2)	1			—
Stock compensation expense, net (3)	25			31
Impact of the fair value mark-up of acquired RSC fleet (4)	13			18
Adjusted EBITDA	$	1,308		$	1,182

 ___________________

(1) This reflects transaction costs associated with the 2012 RSC acquisition and the April 2014 acquisition of National Pump discussed in note 2 to the condensed consolidated financial statements. The income for the six months ended June 30, 2015 reflects a decline in the fair value of the contingent cash consideration component of the National Pump purchase price as discussed in note 6 to our condensed consolidated financial statements.

(2) As discussed below (see “Restructuring charges”), this primarily reflects branch closure charges associated with the RSC acquisition and our closed restructuring program.

(3) Represents non-cash, share-based payments associated with the granting of equity instruments.

(4) This reflects additional costs recorded in cost of rental equipment sales associated with the fair value mark-up of rental equipment acquired in the RSC acquisition and subsequently sold.

For the three months ended June 30, 2015, EBITDA increased $60, or 9.6 percent, and adjusted EBITDA increased $43, or 6.5 percent. The EBITDA increase primarily reflects increased profit from equipment rentals and decreased selling, general and administrative expense. The adjusted EBITDA increase primarily reflects increased profit from equipment rentals. For the three months ended June 30, 2015, EBITDA margin increased3.2 percentage points to 48.1 percent, and adjusted EBITDA margin increased2.0 percentage points to 49.4 percent. The increase in the EBITDA margin primarily reflects increased margins from equipment rentals and sales of rental equipment, and improved selling, general and administrative leverage. The increase in the adjusted EBITDA margin primarily reflects increased margins from equipment rentals and sales of rental equipment.

For the six months ended June 30, 2015, EBITDA increased $171, or 15.2 percent, and adjusted EBITDA increased $126, or 10.7 percent. The EBITDA increase primarily reflects increased profit from equipment rentals and reduced merger costs associated with a decline in the fair value of the contingent cash consideration component of the National Pump purchase price due to lower than expected financial performance compared to agreed upon financial targets, as discussed in note 6 to our condensed consolidated financial statements. The adjusted EBITDA increase primarily reflects increased profit from equipment rentals. For the six months ended June 30, 2015, EBITDA margin increased3.6 percentage points to 47.2 percent, and adjusted EBITDA margin increased1.8 percentage points to 47.7 percent. The increase in the EBITDA margin primarily reflects increased margins from equipment rentals and sales of rental equipment, improved selling, general and administrative leverage, and reduced merger costs. The increase in the adjusted EBITDA margin primarily reflects increased margins from equipment rentals and sales of rental equipment.

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Results of Operations

As discussed in note 3 to our condensed consolidated financial statements, our reportable segments are general rentals and trench, power and pump. The general rentals segment includes the rental of construction, aerial, industrial and homeowner equipment and related services and activities. The general rentals segment’s customers include construction and industrial companies, manufacturers, utilities, municipalities, homeowners and government entities. The general rentals segment operates throughout the United States and Canada. The trench, power and pump segment is comprised of the Trench Safety region, which rents trench safety equipment such as trench shields, aluminum hydraulic shoring systems, slide rails, crossing plates, construction lasers and line testing equipment for underground work, the Power and HVAC region, which rents power and HVAC equipment such as portable diesel generators, electrical distribution equipment, and temperature control equipment including heating and cooling equipment, and the Pump Solutions region, which rents pumps primarily used by energy and petrochemical customers. The trench, power and pump segment’s customers include construction companies involved in infrastructure projects, municipalities and industrial companies. The trench, power and pump segment operates throughout the United States and in Canada.

As discussed in note 3 to our condensed consolidated financial statements, we aggregate our 11 geographic regions—Eastern Canada, Industrial (which serves the geographic Gulf region and has a strong industrial presence), Mid-Atlantic, Midwest, Mountain West, Northeast, Pacific West, South-Central, South, Southeast and Western Canada—into our general rentals reporting segment. Historically, there have been variances in the levels of equipment rentals gross margins achieved by these regions. For instance, for the five year period ended June 30, 2015, certain of our regions had equipment rentals gross margins that varied by between 10 percent and 13 percent from the equipment rentals gross margins of the aggregated general rentals' regions over the same period. For the six months ended June 30, 2015, the aggregate general rentals' equipment rentals gross margin increased 2.1 percentage points to 41.5 percent as compared to the same period in 2014, primarily reflecting cost improvements, partially offset by a 0.3 percentage point decrease in time utilization, which is calculated by dividing the amount of time equipment is on rent by the amount of time we have owned the equipment. As compared to the equipment rentals revenue increase of 3.7 percent, compensation costs decreased 2.2 percent.

For the five year period ended June 30, 2015, the general rentals' region with the lowest equipment rentals gross margin was the Pacific West. The Pacific West region's equipment rentals gross margin of 36.7 percent for the five year period ended June 30, 2015 was 11 percent less than the equipment rentals gross margins of the aggregated general rentals' regions over the same period. The Pacific West region's equipment rentals gross margin was less than the other general rentals' regions during this period due to weaker end markets. For the six months ended June 30, 2015, the Pacific West region's equipment rentals gross margin increased 1.6 percentage points to 40.8 percent as compared to the same period in 2014, primarily reflecting a 1.5 percent rental rate increase and cost improvements, partially offset by a 0.3 percentage point decrease in time utilization. While equipment rentals revenues were flat year-over-year, aggregate repair and maintenance and delivery costs decreased 6.1 percent and compensation costs decreased 3.3 percent. Rental rate changes are calculated based on the year over year variance in average contract rates, weighted by the prior period revenue mix.

For the five year period ended June 30, 2015, the general rentals' region with the highest equipment rentals gross margin was the South. The South region's equipment rentals gross margin of 45.5 percent for the five year period ended June 30, 2015 was 13 percent more than the equipment rentals gross margins of the aggregated general rentals' regions over the same period. The South region's equipment rentals gross margin was more than the other general rentals' regions during this period due to strong end markets that have recovered faster than in other parts of the country. For the six months ended June 30, 2015, the South region's equipment rentals gross margin increased 1.9 percentage points to 47.9 percent as compared to the same period in 2014, primarily reflecting a 3.8 percent rental rate increase and a 0.5 percentage point increase in time utilization due to strong end markets.

Although the margins for certain of our general rentals' regions exceeded a 10 percent variance level for the five year period ended June 30, 2015, we expect convergence going forward given the cyclical nature of the construction industry, which impacts each region differently, and our continued focus on fleet sharing. Additionally, the margins for the five year period ended June 30, 2015 include the significant impact of the economic downturn that commenced in the latter part of 2008 and continued through 2010. We began to see recovery late in the first quarter of 2010, but the economic impact of the downturn and the pace of recovery impacted all of our regions differently. Although we believe aggregating these regions into our general rentals reporting segment for segment reporting purposes is appropriate, to the extent that the margin variances persist and the equipment rentals gross margins do not converge, we may be required to disaggregate the regions into separate reporting segments. Any such disaggregation would have no impact on our consolidated results of operations.

These segments align our external segment reporting with how management evaluates and allocates resources. We evaluate segment performance based on segment equipment rentals gross profit. Our revenues, operating results, and financial

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condition fluctuate from quarter to quarter reflecting the seasonal rental patterns of our customers, with rental activity tending to be lower in the winter.

Revenues by segment were as follows:

	General rentals		Trench, power and pump		Total
Three Months Ended June 30, 2015
Equipment rentals	$	1,048	$	172	$	1,220
Sales of rental equipment	116		8		124
Sales of new equipment	35		4		39
Contractor supplies sales	18		3		21
Service and other revenues	23		2		25
Total revenue	$	1,240	$	189	$	1,429
Three Months Ended June 30, 2014
Equipment rentals	$	1,028	$	151	$	1,179
Sales of rental equipment	132		6		138
Sales of new equipment	25		12		37
Contractor supplies sales	19		3		22
Service and other revenues	17		6		23
Total revenue	$	1,221	$	178	$	1,399
Six Months Ended June 30, 2015
Equipment rentals	$	2,024	$	321	$	2,345
Sales of rental equipment	224		16		240
Sales of new equipment	61		11		72
Contractor supplies sales	33		6		39
Service and other revenues	42		6		48
Total revenue	$	2,384	$	360	$	2,744
Six Months Ended June 30, 2014
Equipment rentals	$	1,952	$	232	$	2,184
Sales of rental equipment	238		10		248
Sales of new equipment	49		14		63
Contractor supplies sales	36		5		41
Service and other revenues	34		7		41
Total revenue	$	2,309	$	268	$	2,577

Equipment rentals. For the three months ended June 30, 2015, equipment rentals of $1.220 billion increased $41, or 3.5 percent, as compared to the same period in 2014, primarily reflecting a 2.8 percent increase in the volume of OEC on rent and a 1.5 percent rental rate increase. Equipment rentals represented 85 percent of total revenues for the three months ended June 30, 2015. On a segment basis, equipment rentals represented 85 percent and 91 percent of total revenues for the three months ended June 30, 2015 for general rentals and trench, power and pump, respectively. General rentals equipment rentals increased $20, or 1.9 percent, primarily reflecting a 2.5 percent increase in the volume of OEC on rent. Trench, power and pump equipment rentals increased $21, or 13.9 percent, primarily reflecting increased average OEC, partially offset by decreased time utilization due to the impact of the acquisition of National Pump discussed in note 2 to the condensed consolidated financial statements. The locations acquired in the National Pump acquisition experienced volume and pricing pressure associated with upstream oil and gas customers. Trench, power and pump average OEC for the three months ended June 30, 2015 increased 26.4 percent as compared to the same period in 2014.

For the six months ended June 30, 2015, equipment rentals of $2.345 billion increased $161, or 7.4 percent, as compared to the same period in 2014, primarily reflecting a 5.3 percent increase in the volume of OEC on rent and a 2.2 percent rental rate increase. Equipment rentals represented 85 percent of total revenues for the six months ended June 30, 2015. On a segment basis, equipment rentals represented 85 percent and 89 percent of total revenues for the six months ended June 30, 2015 for general rentals and trench, power and pump, respectively. General rentals equipment rentals increased $72, or 3.7 percent,

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primarily reflecting a 3.5 percent increase in the volume of OEC on rent. Trench, power and pump equipment rentals increased $89, or 38.4 percent, primarily reflecting increased average OEC, partially offset by decreased time utilization due to the impact of the acquisition of National Pump. The locations acquired in the National Pump acquisition experienced volume and pricing pressure associated with upstream oil and gas customers. Trench, power and pump average OEC for the six months ended June 30, 2015 increased 53.6 percent as compared to the same period in 2014, including the impact of the acquisition of National Pump.

Sales of rental equipment. For the six months ended June 30, 2015, sales of rental equipment represented approximately 9 percent of our total revenues. Our general rentals segment accounted for substantially all of these sales. For the three months ended June 30, 2015, sales of rental equipment decreased 10.1 percent, primarily reflecting decreased volume. For the six months ended June 30, 2015, sales of rental equipment didn't change significantly from the same period in 2014.

Sales of new equipment. For the six months ended June 30, 2015, sales of new equipment represented approximately 3 percent of our total revenues. Our general rentals segment accounted for substantially all of these sales. For the three and six months ended June 30, 2015, sales of new equipment increased 5.4 percent and 14.3 percent, respectively, as compared to the same periods in 2014, primarily reflecting increased volume partially offset by the impact of changes in the mix of equipment sold.

Contractor supplies sales. Contractor supplies sales represent our revenues associated with selling a variety of supplies, including construction consumables, tools, small equipment and safety supplies. For the six months ended June 30, 2015, contractor supplies sales represented approximately 1 percent of our total revenues. Our general rentals segment accounted for substantially all of these sales. Contractor supplies sales for the three and six months ended June 30, 2015 didn't change significantly from the same periods in 2014.

Service and other revenues. Service and other revenues primarily represent our revenues earned from providing repair and maintenance services on our customers’ fleet (including parts sales). For the six months ended June 30, 2015, service and other revenues represented approximately 2 percent of our total revenues. Our general rentals segment accounted for substantially all of these sales. For the three and six months ended June 30, 2015, service and other revenues increased 8.7 percent and 17.1 percent, respectively, as compared to the same periods in 2014, primarily reflecting increased revenue from rental protection services.

Segment Equipment Rentals Gross Profit

Segment equipment rentals gross profit and gross margin were as follows:

	General rentals			Trench, power and pump			Total
Three Months Ended June 30, 2015
Equipment Rentals Gross Profit	$	456		$	79		$	535
Equipment Rentals Gross Margin	43.5		%	45.9		%	43.9		%
Three Months Ended June 30, 2014
Equipment Rentals Gross Profit	$	426		$	77		$	503
Equipment Rentals Gross Margin	41.4		%	51.0		%	42.7		%
Six Months Ended June 30, 2015
Equipment Rentals Gross Profit	$	839		$	142		$	981
Equipment Rentals Gross Margin	41.5		%	44.2		%	41.8		%
Six Months Ended June 30, 2014
Equipment Rentals Gross Profit	$	770		$	112		$	882
Equipment Rentals Gross Margin	39.4		%	48.3		%	40.4		%

General rentals. For the three months ended June 30, 2015, equipment rentals gross profit increased by $30 and equipment rentals gross margin increased by 2.1 percentage points from 2014, primarily reflecting cost improvements, partially offset by a 0.7 percentage point decrease in time utilization. The time utilization decrease primarily reflects the impact of our locations with significant upstream oil and gas exposure which experienced significant volume and pricing pressure. As compared to the equipment rentals revenue increase of 1.9 percent, compensation costs decreased 4.4 percent. For the three months ended June 30, 2015 and 2014, time utilization was 68.1 percent and 68.8 percent, respectively.

37

For the six months ended June 30, 2015, equipment rentals gross profit increased by $69 and equipment rentals gross margin increased by 2.1 percentage points from 2014, primarily reflecting cost improvements, partially offset by a 0.3 percentage point decrease in time utilization. As compared to the equipment rentals revenue increase of 3.7 percent, compensation costs decreased 2.2 percent. For the six months ended June 30, 2015 and 2014, time utilization was 66.7 percent and 67.0 percent, respectively.

Trench, power and pump. For the three months ended June 30, 2015, equipment rentals gross profit increased by $2 and equipment rentals gross margin decreased by 5.1 percentage points from 2014. The slight increase in equipment rentals gross profit reflects increased equipment rentals revenue on a significantly larger fleet at our locations excluding the Pump Solutions region offset by decreased equipment rentals gross profit in the Pump Solutions region. At our locations excluding the Pump Solutions region, as compared to the same period in 2014, equipment rentals revenue increased approximately 25 percent, average OEC increased approximately 26 percent, and equipment rentals gross profit increased approximately 30 percent. As noted above, the trench, power and pump segment is comprised of the Trench Safety region, the Power and HVAC region, and the Pump Solutions region. The Pump Solutions region is primarily comprised of locations acquired in the National Pump acquisition discussed in note 2 to the condensed consolidated financial statements. The decrease in equipment rentals gross margin for the trench, power and pump segment primarily reflects decreased margins in the Pump Solutions region which experienced volume and pricing pressure associated with upstream oil and gas customers. The aggregate equipment rentals gross margin in the trench, power and pump segment excluding the Pump Solutions region increased by approximately 1.9 percentage points from 2014.

For the six months ended June 30, 2015, equipment rentals gross profit increased by $30 and equipment rentals gross margin decreased by 4.1 percentage points from 2014. The increase in equipment rentals gross profit primarily reflects increased equipment rentals revenue on a significantly larger fleet at our locations excluding the Pump Solutions region discussed below. At our locations excluding the Pump Solutions region, as compared to the same period in 2014, equipment rentals revenue increased approximately 28 percent, average OEC increased approximately 31 percent, and equipment rentals gross profit increased approximately 33 percent. The decrease in equipment rentals gross margin primarily reflects decreased margins in the Pump Solutions region which experienced volume and pricing pressure associated with upstream oil and gas customers. The aggregate equipment rentals gross margin in the trench, power and pump segment excluding the Pump Solutions region increased by approximately 1.9 percentage points from 2014.

Gross Margin. Gross margins by revenue classification were as follows:

	Three Months Ended June 30,				Six Months Ended June 30,
	2015		2014		2015		2014
Total gross margin	43.2	%	42.1	%	41.6	%	40.2	%
Equipment rentals	43.9	%	42.7	%	41.8	%	40.4	%
Sales of rental equipment	45.2	%	42.0	%	45.0	%	41.5	%
Sales of new equipment	15.4	%	16.2	%	16.7	%	19.0	%
Contractor supplies sales	28.6	%	31.8	%	30.8	%	31.7	%
Service and other revenues	60.0	%	65.2	%	60.4	%	65.9	%

For the three months ended June 30, 2015, total gross margin increased 1.1 percentage points as compared to the same period in 2014, primarily reflecting increased gross margins from equipment rentals and sales of rental equipment. Equipment rentals gross margin increased 1.2 percentage points, primarily reflecting a 1.5 percent rental rate increase and cost improvements, partially offset by a 1.5 percentage point decrease in time utilization. During the three months ended June 30, 2015, the locations acquired in the National Pump acquisition, and our other locations with significant exposure to upstream oil and gas, experienced volume and pricing pressure associated with upstream oil and gas customers, which was a primary driver of the decrease in time utilization. As compared to the equipment rentals revenue increase of 3.5 percent, compensation costs decreased 1.6 percent. For the three months ended June 30, 2015 and 2014, time utilization was 66.6 percent and 68.1 percent, respectively. Gross margin from sales of rental equipment increased 3.2 percentage points primarily due to improvements in pricing and channel mix. Gross margins from sales of rental equipment may change in future periods if the mix of the channels (primarily retail and auction) that we use to sell rental equipment changes.

For the six months ended June 30, 2015, total gross margin increased 1.4 percentage points as compared to the same period in 2014, primarily reflecting increased gross margins from equipment rentals and sales of rental equipment. Equipment rentals gross margin increased 1.4 percentage points, primarily reflecting a 2.2 percent rental rate increase and cost improvements, partially offset by a 1.0 percentage point decrease in time utilization. During the six months ended June 30,

38

2015, the locations acquired in the National Pump acquisition, and our other locations with significant exposure to upstream oil and gas, experienced volume and pricing pressure associated with upstream oil and gas customers, which was a primary driver of the decrease in time utilization. As compared to the equipment rentals revenue increase of 7.4 percent, compensation costs increased 1.7 percent. For the six months ended June 30, 2015 and 2014, time utilization was 65.4 percent and 66.4 percent, respectively. Gross margin from sales of rental equipment increased 3.5 percentage points primarily due to improvements in pricing and channel mix.

Selling, general and administrative (“SG&A”) expenses for the three and six months ended June 30, 2015 and 2014 were as follows:

	Three Months Ended June 30,						Six Months Ended June 30,
	2015			2014			2015			2014
Selling, general and administrative expenses	$	175		$	187		$	356		$	355
SG&A as a percentage of revenue	12.2		%	13.4		%	13.0		%	13.8		%

SG&A expense primarily includes sales force compensation, bad debt expense, information technology costs, third-party professional fees, management salaries and clerical and administrative overhead. For the three months ended June 30, 2015, SG&A expense of $175 decreased $12 as compared to 2014, primarily reflecting decreased incentive compensation costs associated with lower than expected profitability, partially offset by increased bad debt expense primarily due to improved receivable aging which reduced the expense for the three months ended June 30, 2014. As a percentage of revenue, SG&A decreased 1.2 percentage points year over year.

For the six months ended June 30, 2015, SG&A expense of $356 increased $1 as compared to 2014. As a percentage of revenue, SG&A decreased 0.8 percentage points year over year, primarily reflecting decreased incentive compensation costs associated with lower than expected profitability.

Merger related costs for the three and six months ended June 30, 2015 and 2014 were as follows:

	Three Months Ended June 30,				Six Months Ended June 30,
	2015		2014		2015			2014
Merger related costs	$	1	$	8	$	(26	)	$	9

In the second quarter of 2012, we completed the acquisition of RSC. As discussed in note 2 to the condensed consolidated financial statements, in April 2014, we completed the acquisition of National Pump. The acquisition-related costs are comprised of financial and legal advisory fees, branding costs, and changes to the fair value of the contingent cash consideration component of the National Pump purchase price as discussed in note 6 to our condensed consolidated financial statements. The income for six months ended June 30, 2015 reflects a decline in the fair value of the contingent cash consideration component of the National Pump purchase price due to lower than expected financial performance compared to agreed upon financial targets, as discussed in note 6 to our condensed consolidated financial statements.

Restructuring charges for the three and six months ended June 30, 2015 and 2014 were as follows:

	Three Months Ended June 30,					Six Months Ended June 30,
	2015		2014			2015		2014
Restructuring charge	$	—	$	(1	)	$	1	$	—

The restructuring charges for the three and six months ended June 30, 2015 and 2014 primarily reflect branch closure charges associated with the RSC acquisition and our closed restructuring program. The branch closure charges primarily reflect continuing lease obligations at vacant facilities. We do not expect to incur significant additional charges in connection with the restructuring programs, which were complete as of June 30, 2015.

Non-rental depreciation and amortization for the three and six months ended June 30, 2015 and 2014 was as follows:

	Three Months Ended June 30,				Six Months Ended June 30,
	2015		2014		2015		2014
Non-rental depreciation and amortization	$	67	$	70	$	136	$	130

Non-rental depreciation and amortization for the three and six months ended June 30, 2015 decreased $3, or 4.3 percent, and increased $6, or 4.6 percent, respectively, as compared to 2014.

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Interest expense, net for the three and six months ended June 30, 2015 and 2014 was as follows:

	Three Months Ended June 30,				Six Months Ended June 30,
	2015		2014		2015		2014
Interest expense, net	$	232	$	187	$	353	$	312

Interest expense, net for the three and six months ended June 30, 2015 increased $45, or 24.1 percent, and $41, or 13.1 percent, respectively, as compared to 2014. Interest expense, net for the three and six months ended June 30, 2015 includes aggregate losses of $121 and $123, respectively, associated with the debt redemptions discussed in note 7 to the condensed consolidated financial statements. Interest expense, net for the three and six months ended June 30, 2014 includes aggregate losses of $64 and $75, respectively, associated with redemptions of our 10 ¹/4 percent Senior Notes, 9 ¹/4 percent Senior Notes and 4 percent Convertible Senior Notes. Excluding the impact of the debt redemption losses, interest expense, net for the three and six months ended June 30, 2015 decreased slightly as compared to 2014 primarily due to a lower average cost of debt, partially offset by the impact of increased average outstanding debt.

Income taxes. The following table summarizes our provision for income taxes and the related effective tax rates for the three and six months ended June 30, 2015 and 2014:

	Three Months Ended June 30,						Six Months Ended June 30,
	2015			2014			2015			2014
Income before provision for income taxes	$	149		$	142		$	331		$	236
Provision for income taxes	63			48			130			82
Effective tax rate	42.3		%	33.8		%	39.3		%	34.7		%

The differences between the 2015 and 2014 effective tax rates and the U.S. federal statutory income tax rate of 35 percent primarily relate to the geographical mix of income between foreign and domestic operations, as well as the impact of state and local taxes, and certain nondeductible charges. Additionally, the effective tax rates for the three and six months ended June 30, 2015 include the impact of a $6 increase in valuation allowances resulting from the enactment of Connecticut state limitations on net operating loss utilization.

Balance sheet. Prepaid expenses and other assets decreased by $48, or 39.3 percent, from December 31, 2014 to June 30, 2015 primarily due to an income tax refund received during the six months ended June 30, 2015. Accounts payable increased by $398, or 139.6 percent, from December 31, 2014 to June 30, 2015 primarily due to increased capital expenditures and a seasonal increase in business activity. Accrued expenses and other liabilities decreased by $266, or 46.3 percent, from December 31, 2014 to June 30, 2015 primarily due to i) payments made associated with the National Pump acquisition discussed in note 2 to our condensed consolidated financial statements, ii) the timing of interest payments and iii) decreased incentive compensation accruals associated with lower than expected profitability.

Liquidity and Capital Resources

Liquidity and Capital Markets Activity. We manage our liquidity using internal cash management practices, which are subject to (i) the policies and cooperation of the financial institutions we utilize to maintain and provide cash management services, (ii) the terms and other requirements of the agreements to which we are a party and (iii) the statutes, regulations and practices of each of the local jurisdictions in which we operate.

As discussed further in note 7 to the condensed consolidated financial statements, during 2015, we took the following actions that have improved our financial flexibility and liquidity:

• Redeemed all of our 5 ³/₄ percent Senior Secured Notes and 8 ³/₈ percent Senior Subordinated Notes;

• Redeemed $350 principal amount of our 8 ¹/₄ percent Senior Notes;

• Issued $1 billion principal amount of 4 ⁵/₈ percent Senior Secured Notes;

• Issued $800 principal amount of 5 ¹/₂ percent Senior Notes; and

• Amended and extended our ABL facility. The size of the facility was increased to $2.5 billion.

As previously announced, in 2014, the Company’s Board of Directors authorized a $750 share repurchase program. The Company’s current intention is to complete the program in 2015. As of July 20, 2015, we have repurchased $573 of Holdings' common stock under such program. In July 2015, the Company’s Board of Directors authorized a new $1 billion share

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repurchase program which will commence upon completion of the current $750 share repurchase program. The Company intends to complete the new program within 18 months of its initiation.

Our principal existing sources of cash are cash generated from operations and from the sale of rental equipment and borrowings available under our ABL facility and accounts receivable securitization facility. As of June 30, 2015, we had (i) $680 of borrowing capacity, net of $49 of letters of credit, available under the ABL facility, (ii) $1 of borrowing capacity available under the accounts receivable securitization facility and (iii) cash and cash equivalents of $200. Cash equivalents at June 30, 2015 consist of direct obligations of financial institutions rated A or better. We believe that our existing sources of cash will be sufficient to support our existing operations over the next 12 months.

As of June 30, 2015, $1.8 billion and $549 were outstanding under the ABL facility and the accounts receivable securitization facility, respectively. The interest rates applicable to the ABL facility and the accounts receivable securitization facility at June 30, 2015 were 1.8 percent and 0.9 percent, respectively. During the six months ended June 30, 2015, the monthly average amounts outstanding under the ABL facility and the accounts receivable securitization facility were $1.2 billion and $456, respectively, and the weighted-average interest rates thereon were 2.0 percent and 0.8 percent, respectively. The maximum month-end amounts outstanding under the ABL facility and the accounts receivable securitization facility during the six months ended June 30, 2015 were $1.8 billion and $550, respectively. The maximum month-end amount outstanding under the ABL facility exceeded the average amount outstanding during the six months ended June 30, 2015 primarily due to the repayment of a portion of the outstanding borrowings under the ABL facility in March 2015 using the net proceeds from the debt issuances discussed above.

We expect that our principal needs for cash relating to our operations over the next 12 months will be to fund (i) operating activities and working capital, (ii) the purchase of rental equipment and inventory items offered for sale, (iii) payments due under operating leases, (iv) debt service, (v) acquisitions and (vi) share repurchases. We plan to fund such cash requirements from our existing sources of cash. In addition, we may seek additional financing through the securitization of some of our real estate, the use of additional operating leases or other financing sources as market conditions permit.

To access the capital markets, we rely on credit rating agencies to assign ratings to our securities as an indicator of credit quality. Lower credit ratings generally result in higher borrowing costs and reduced access to debt capital markets. Credit ratings also affect the costs of derivative transactions, including interest rate and foreign currency derivative transactions. As a result, negative changes in our credit ratings could adversely impact our costs of funding. Our credit ratings as of July 20, 2015 were as follows:

	Corporate Rating	Outlook
Moody’s	Ba3	Stable
Standard & Poor’s	BB-	Stable

A security rating is not a recommendation to buy, sell or hold securities. There is no assurance that any rating will remain in effect for a given period of time or that any rating will not be revised or withdrawn by a rating agency in the future.

The amount of our future capital expenditures will depend on a number of factors, including general economic conditions and growth prospects. Net rental capital expenditures (defined as purchases of rental equipment less the proceeds from sales of rental equipment) were $776 and $780 during the six months ended June 30, 2015 and 2014, respectively. For the full year 2015, we expect net rental capital expenditures of approximately $1.1 billion, after gross purchases of approximately $1.6 billion. We expect that we will fund such expenditures from cash generated from operations, proceeds from the sale of rental and non-rental equipment and, if required, borrowings available under the ABL facility and accounts receivable securitization facility.

Loan Covenants and Compliance. As of June 30, 2015, we were in compliance with the covenants and other provisions of the ABL facility, the accounts receivable securitization facility and the senior notes. Any failure to be in compliance with any material provision or covenant of these agreements could have a material adverse effect on our liquidity and operations.

In March 2015, we amended the ABL facility. The only financial covenant which currently exists under the ABL facility relates to the fixed charge coverage ratio. As of June 30, 2015, specified availability under the ABL facility exceeded the required threshold and, as a result, this maintenance covenant is inapplicable. Subject to certain limited exceptions specified in the amended ABL facility, the fixed charge coverage ratio covenant under the amended ABL facility will only apply in the future if specified availability under the amended ABL facility falls below 10 percent of the maximum revolver amount under the amended ABL facility. When certain conditions are met, cash and cash equivalents and borrowing base collateral in excess of the ABL facility size may be included when calculating specified availability under the amended ABL facility. Under our accounts receivable securitization facility, we are required, among other things, to maintain certain financial tests relating to: (i) the default ratio, (ii) the delinquency ratio, (iii) the dilution ratio and (iv) days sales outstanding.

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URNA’s dividend payment capacity is restricted under the covenants in the indentures and other agreements governing its outstanding indebtedness. Although this restricted capacity limits our ability to move operating cash flows to Holdings, because of certain intercompany arrangements, we do not expect any material adverse impact on Holdings’ ability to meet its cash obligations.

Sources and Uses of Cash. During the six months ended June 30, 2015, we (i) generated cash from operating activities of $1.250 billion, (ii) generated cash from the sale of rental and non-rental equipment of $248 and (iii) received cash from debt proceeds, net of payments, of $260. We used cash during this period principally to (i) purchase rental and non-rental equipment of $1.066 billion, (ii) purchase other companies for $58, (iii) pay $52 of contingent consideration associated with the National Pump acquisition as discussed in note 6 to our condensed consolidated financial statements and (iii) purchase shares of our common stock for $501. During the six months ended June 30, 2014, we (i) generated cash from operating activities of $1.054 billion, (ii) generated cash from the sale of rental and non-rental equipment of $266 and (iii) received cash from debt proceeds, net of payments, of $754. We used cash during this period principally to (i) purchase rental and non-rental equipment of $1.080 billion, (ii) purchase other companies for $756 and (iii) purchase shares of our common stock for $247.

Free Cash Flow GAAP Reconciliation. We define “free cash flow” as (i) net cash provided by operating activities less (ii) purchases of rental and non-rental equipment plus (iii) proceeds from sales of rental and non-rental equipment. Management believes that free cash flow provides useful additional information concerning cash flow available to meet future debt service obligations and working capital requirements. However, free cash flow is not a measure of financial performance or liquidity under GAAP. Accordingly, free cash flow should not be considered an alternative to net income or cash flow from operating activities as an indicator of operating performance or liquidity. The table below provides a reconciliation between net cash provided by operating activities and free cash flow.

	Six Months Ended
	June 30,
	2015			2014
Net cash provided by operating activities	$	1,250		$	1,054
Purchases of rental equipment	(1,016		)	(1,028		)
Purchases of non-rental equipment	(50		)	(52		)
Proceeds from sales of rental equipment	240			248
Proceeds from sales of non-rental equipment	8			18
Free cash flow	$	432		$	240

Free cash flow for the six months ended June 30, 2015 was $432, an increase of $192 as compared to $240 for the six months ended June 30, 2014. Free cash flow increased primarily due to increased net cash provided by operating activities. Free cash flow for the six months ended June 30, 2015 and 2014 includes the impact of the merger and restructuring costs discussed above. We expect free cash flow in the range of $725 to $775 in 2015 and intend to use this primarily to fund our share repurchase activity in 2015.

Certain Information Concerning Contractual Obligations. The table below provides certain information concerning the payments coming due under certain categories of our existing contractual obligations as of June 30, 2015:

	2015		2016		2017		2018		2019		Thereafter		Total
Debt and capital leases (1)	$	575	$	35	$	20	$	11	$	4	$	7,725	$	8,370
Interest due on debt (2)	207		412		410		410		409		1,130		2,978
Operating leases (1):
Real estate	51		94		76		56		38		58		373
Non-rental equipment	18		32		32		29		21		22		154
Service agreements (3)	8		7		6		—		—		—		21
Purchase obligations (4)	463		—		—		—		—		—		463
Total (5)	$	1,322	$	580	$	544	$	506	$	472	$	8,935	$	12,359

_________________

(1) The payments due with respect to a period represent (i) in the case of debt and capital leases, the scheduled principal payments due in such period, and (ii) in the case of operating leases, the minimum lease payments due in such period under non-cancelable operating leases.

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(2) Estimated interest payments have been calculated based on the principal amount of debt and the applicable interest rates as of June 30, 2015.

(3) These primarily represent service agreements with third parties to provide wireless and network services.

(4) As of June 30, 2015, we had outstanding purchase orders, which were negotiated in the ordinary course of business, with our equipment and inventory suppliers. These purchase commitments can be cancelled by us, generally with 30 days notice and without cancellation penalties. The equipment and inventory receipts from the suppliers for these purchases and related payments to the suppliers are expected to be completed throughout 2015.

(5) This information excludes $5 of unrecognized tax benefits. It is not possible to estimate the time period during which these unrecognized tax benefits may be paid to tax authorities.

Relationship between Holdings and URNA. Holdings is principally a holding company and primarily conducts its operations through its wholly owned subsidiary, URNA, and subsidiaries of URNA. Holdings licenses its tradename and other intangibles and provides certain services to URNA in connection with its operations. These services principally include: (i) senior management services; (ii) finance and tax-related services and support; (iii) information technology systems and support; (iv) acquisition-related services; (v) legal services; and (vi) human resource support. In addition, Holdings leases certain equipment and real property that are made available for use by URNA and its subsidiaries.

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Item 3. Quantitative and Qualitative Disclosures about Market Risk

Our exposure to market risk primarily consists of (i) interest rate risk associated with our variable and fixed rate debt, (ii) foreign currency exchange rate risk associated with our Canadian operations and (iii) equity price risk associated with our convertible debt.

Interest Rate Risk. As of June 30, 2015, we had an aggregate of $2.3 billion of indebtedness that bears interest at variable rates, comprised of $1.8 billion of borrowings under the ABL facility and $549 of borrowings under the accounts receivable securitization facility. The amount of variable rate indebtedness outstanding under the ABL facility and accounts receivable securitization facility may fluctuate significantly. The interest rates applicable to our variable rate debt on June 30, 2015 were 1.8 percent for the ABL facility and 0.9 percent for the accounts receivable securitization facility. As of June 30, 2015, based upon the amount of our variable rate debt outstanding, our annual after-tax earnings would decrease by approximately $14 for each one percentage point increase in the interest rates applicable to our variable rate debt.

At June 30, 2015, we had an aggregate of $6.1 billion of indebtedness that bears interest at fixed rates. A one percentage point decrease in market interest rates as of June 30, 2015 would increase the fair value of our fixed rate indebtedness by approximately six percent. For additional information concerning the fair value of our fixed rate debt, see note 6 (see “Fair Value of Financial Instruments”) to our condensed consolidated financial statements.

Currency Exchange Risk. The functional currency for our Canadian operations is the Canadian dollar. As a result, our future earnings could be affected by fluctuations in the exchange rate between the U.S. and Canadian dollars. Based upon the level of our Canadian operations during 2014 relative to the Company as a whole, a 10 percent change in this exchange rate would cause our annual after-tax earnings to change by approximately $12. We do not engage in purchasing forward exchange contracts for speculative purposes.

Equity Price Risk. In connection with the November 2009 4 percent Convertible Senior Notes offering, Holdings entered into convertible note hedge transactions with option counterparties. The convertible note hedge transactions cost $26, and decreased additional paid-in capital by $17, net of taxes, in our accompanying condensed consolidated statements of stockholders’ equity. The convertible note hedge transactions cover, subject to anti-dilution adjustments, 0.7 million shares of our common stock. The convertible note hedge transactions are intended to reduce, subject to a limit, the potential dilution with respect to our common stock upon conversion of the 4 percent Convertible Senior Notes. The effect of the convertible note hedge transactions is to increase the effective conversion price to $15.56 per share, equal to an approximately 75 percent premium over the $8.89 closing price of our common stock at issuance. The effective conversion price is subject to change in certain circumstances. In the event the market value of our common stock exceeds the effective conversion price per share, the settlement amount received from such transactions will only partially offset the potential dilution. For example, if, at the time of exercise of the conversion right, the price of our common stock was $80.00 per share, assuming an effective conversion price of $15.56 per share, on a net basis, we would issue 0.6 million shares. Holders of the 4 percent Convertible Senior Notes have the right to redeem the notes prior to November 15, 2015 at a conversion price of $11.11 per share of common stock. Since July 1, 2015 (the beginning of the third quarter), none of the 4 percent Convertible Senior Notes have been redeemed.

If the total $8 outstanding principal amount of the 4 percent Convertible Senior Notes was converted, the total cost to settle the notes would be $60, assuming a conversion price of $87.62 (the closing price of our common stock on June 30, 2015) per share of common stock. The $8 principal amount would be settled in cash, and the remaining $52 could be settled in cash, shares of our common stock, or a combination thereof, at our discretion. Based on the June 30, 2015 closing stock price, approximately 0.6 million shares of stock, excluding any stock we would receive from the option counterparties as discussed below, would be issued if we settled the entire $52 of conversion value in excess of the principal amount in stock. The total cost to settle would change approximately $1 for each $1 (actual dollars) change in our stock price. If the full principal amount was converted at our June 30, 2015 closing stock price, we estimate that we would receive approximately $3 in either cash or stock from the option counterparties, after which the effective conversion price would be approximately $15.55. 

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Item 4. Controls and Procedures

Disclosure Controls and Procedures

The Company maintains disclosure controls and procedures that are designed to ensure that information required to be disclosed in the Company’s reports under the Exchange Act is recorded, processed, summarized and reported within the time periods specified in the SEC’s rules and forms, and that such information is accumulated and communicated to management, including the Company’s Chief Executive Officer and Chief Financial Officer, as appropriate, to allow timely decisions regarding required disclosure.

The Company’s management carried out an evaluation, under the supervision and with the participation of our Chief Executive Officer and Chief Financial Officer, of the effectiveness of our disclosure controls and procedures, as defined in Rules 13a–15(e) and 15d–15(e) of the Exchange Act, as of June 30, 2015. Based on the evaluation, our Chief Executive Officer and Chief Financial Officer have concluded that the Company’s disclosure controls and procedures were effective as of June 30, 2015.

Changes in Internal Control Over Financial Reporting

There were no changes in our internal control over financial reporting during the quarter ended June 30, 2015 that materially affected, or are reasonably likely to materially affect, our internal control over financial reporting.

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PART II. OTHER INFORMATION

Item 1. Legal Proceedings

The information set forth under note 8 to our unaudited condensed consolidated financial statements of this quarterly report on Form 10-Q is incorporated by reference in answer to this item. Such information is limited to certain recent developments and should be read in conjunction with note 14 to our consolidated financial statements for the year ended December 31, 2014 filed on Form 10-K on January 21, 2015.

Item 1A. Risk Factors

Our results of operations and financial condition are subject to numerous risks and uncertainties described in our 2014 Form 10-K, which risk factors are incorporated herein by reference. You should carefully consider these risk factors in conjunction with the other information contained in this report. Should any of these risks materialize, our business, financial condition and future prospects could be negatively impacted.

Our 2014 Form 10-K includes the risk factor “We cannot guarantee that we will repurchase our common stock pursuant to our recently announced share repurchase program or that our share repurchase program will enhance long-term stockholder value. Share repurchases could also increase the volatility of the price of our common stock and could diminish our cash reserves.” On July 22, 2015, we reported that as of July 20, 2015, we had repurchased $573 million of common stock as part of the $750 million share repurchase program referred to in the risk factor. We also announced that our board of directors authorized a new $1 billion share repurchase program, which will commence upon completion of the current $750 million program. We intend to complete the new $1 billion share repurchase program within 18 months of its initiation. The risks outlined in the risk factor regarding our $750 million share repurchase program apply equally to our new $1 billion share repurchase program.

Item 2. Unregistered Sales of Equity Securities and Use of Proceeds

(c) The following table provides information about purchases of Holdings’ common stock by Holdings during the second quarter of 2015:

Period	Total Number of Shares Purchased		Average Price Paid Per Share		Total Number of Shares Purchased as Part of Publicly Announced Plans or Programs (2)	Maximum Dollar Amount of Shares That May Yet Be Purchased Under the Program (2)
April 1, 2015 to April 30, 2015	127,886	(1)	$	95.41	105,428	—
May 1, 2015 to May 31, 2015	3,873	(1)	$	100.00	—	—
June 1, 2015 to June 30, 2015	1,595,241	(1)	$	90.88	1,595,075	—
Total	1,727,000		$	91.24	1,700,503	$	177,012,542

(1) In April 2015, May 2015 and June 2015, 22,458, 3,873 and 166 shares, respectively, were withheld by Holdings to satisfy tax withholding obligations upon the vesting of restricted stock unit awards. These shares were not acquired pursuant to any repurchase plan or program.

(2) On December 1, 2014, our Board approved a share repurchase program authorizing up to $750 million in repurchases of Holdings' common stock, which we intend to complete in 2015. On July 21, 2015, our Board authorized a new $1 billion share repurchase program which will commence upon completion of the current $750 million share repurchase program. We intend to complete the new program within 18 months of its initiation.

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Item 6. Exhibits

2(a)*	First Amendment to Asset Purchase Agreement, dated as of June 24, 2015, by and among United Rentals (North America), Inc. and United Rentals of Canada, Inc., on the one hand, and LD Services, LLC, National Pump & Compressor, Ltd., Canadian Pump & Compressor Ltd., and GulfCo Industrial Equipment, L.P. (collectively, the “Sellers”) and the general partner and limited partners, members, shareholders or other equity holders of each Seller, as the case may be, on the other hand
3(a)	Restated Certificate of Incorporation of United Rentals, Inc., dated March 16, 2009 (incorporated by reference to Exhibit 3.1 of the United Rentals, Inc. and United Rentals (North America), Inc. Current Report on Form 8-K filed on March 17, 2009)
3(b)	By-laws of United Rentals, Inc., amended as of December 20, 2010 (incorporated by reference to Exhibit 3.1 of the United Rentals, Inc. and United Rentals (North America), Inc. Current Report on Form 8-K filed on December 23, 2010)
3(c)	Restated Certificate of Incorporation of United Rentals (North America), Inc., dated April 30, 2012 (incorporated by reference to Exhibit 3(c) of the United Rentals, Inc. and United Rentals (North America), Inc. Quarterly Report on Form 10-Q for the quarter ended June 30, 2013)
3(d)	By-laws of United Rentals (North America), Inc. dated May 8, 2013 (incorporated by reference to Exhibit 3(d) of the United Rentals, Inc. and United Rentals (North America), Inc. Quarterly Report on Form 10-Q for the quarter ended June 30, 2013)
12*	Computation of Ratio of Earnings to Fixed Charges
31(a)*	Rule 13a-14(a) Certification by Chief Executive Officer
31(b)*	Rule 13a-14(a) Certification by Chief Financial Officer
32(a)**	Section 1350 Certification by Chief Executive Officer
32(b)**	Section 1350 Certification by Chief Financial Officer
101	The following materials from the Quarterly Report on Form 10-Q for United Rentals, Inc. and United Rentals (North America), Inc., for the quarter ended June 30, 2015, filed on July 22, 2015, formatted in XBRL (eXtensible Business Reporting Language): (i) Condensed Consolidated Balance Sheets, (ii) Condensed Consolidated Statements of Income, (iii) Condensed Consolidated Statements of Comprehensive Income, (iv) Condensed Consolidated Statement of Stockholders' Equity, (v) Condensed Consolidated Statements of Cash Flows, and (vi) Notes to the Unaudited Condensed Consolidated Financial Statements.

* Filed herewith.

** Furnished (and not filed) herewith pursuant to Item 601(b)(32)(ii) of Regulation S-K under the Exchange Act.

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SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, each registrant has duly caused this report to be signed on its behalf by the undersigned thereunto duly authorized.

		UNITED RENTALS, INC.
Dated:	July 21, 2015	By:	/S/    JESSICA T. GRAZIANO
			Jessica T. Graziano Vice President, Controller and Principal Accounting Officer
		UNITED RENTALS (NORTH AMERICA), INC.
Dated:	July 21, 2015	By:	/S/    JESSICA T. GRAZIANO
			Jessica T. Graziano Vice President, Controller and Principal Accounting Officer

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EX-2.A

Exhibit 2(a)

EXECUTION VERSION

FIRST AMENDMENT TO THE ASSET PURCHASE AGREEMENT

THIS FIRST AMENDMENT, dated as of June 24, 2015 (this “Amendment”), amends that certain Asset Purchase Agreement, dated as of March 7, 2014 (the “Agreement”), by and among United Rentals (North America), Inc., a Delaware corporation (“URNA”) and wholly owned subsidiary of United Rentals, Inc., a Delaware corporation (“Parent”), and United Rentals of Canada, Inc., a corporation amalgamated under the laws of the Province of Ontario (“URC” and, together with URNA, “Buyers”) and wholly owned subsidiary of Parent, on the one hand, and LD Services, LLC, a Texas limited liability company (“LD Services”), National Pump & Compressor, Ltd., a Texas limited partnership (“National Pump”), Canadian Pump & Compressor Ltd., a corporation incorporated under the laws of the Province of Alberta (“Canadian Pump”, and together with LD Services and National Pump, the “Pump Entities”), and GulfCo Industrial Equipment, L.P., a Texas limited partnership (“GulfCo”, and together with the Pump Entities, “Sellers” or individually, a “Seller”), and the general partner and limited partners, members, shareholders or other equity holders of each Seller, as the case may be, identified in Exhibit A of the Agreement (collectively, “Owners”), on the other hand. Capitalized terms used but not otherwise defined herein shall have the meanings assigned to such terms in the Agreement.

W I T N E S S E T H

WHEREAS, Buyers, Sellers and Owners have entered into the Agreement;

WHEREAS, Buyers, Sellers and Owners desire to amend the Agreement to reflect certain additional or modified terms specified herein;

WHEREAS, Section 10.3 of the Agreement provides that the Agreement may be amended by a written instrument signed by the parties to the Agreement; and

WHEREAS, Section 10.17 of the Agreement provides that Mr. Don S. Shaver, in his capacity as Seller Representative, is authorized to execute and deliver all amendments, waivers, certificates and documents that he deems necessary or appropriate in connection with the consummation of the transactions contemplated by the Agreement, including the resolution of the Earnout Payment, and that all Sellers and Owners shall be bound by, and each Buyer and Buyer Indemnitee shall be entitled to rely on, the execution and delivery of this Amendment by the Seller Representative.

NOW, THEREFORE, in consideration of the premises and the mutual representations, warranties, covenants and undertakings contained herein, and for other good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, the parties hereto, intending to be legally bound, agree as follows:

1. The following definitions from Section 1.1 of the Agreement are hereby deleted in their entirety and references thereto throughout the Agreement shall be deemed deleted: “Earnout Statement”, “Earnout Statement Objection Notice”, “EBITDA”, “First Calculation Period”, “First Earnout Amount”, “Second Calculation Period”, “Second Earnout Amount”.

2. The second sentence of the definition of “Ordinary Course” or “Ordinary Course of Business” as set forth in Section 1.1 of the Agreement is hereby deleted in its entirety.

3. The second sentence of the definition of “Rental Capital Expenditures” as set forth in Section 1.1 of the Agreement is hereby deleted in its entirety.

4. The following definition is hereby added to Section 1.1 of the Agreement:

““Earnout Amount” has the meaning set forth in Section 2.12(b).”

5. Section 2.6(a) of the Agreement is hereby deleted in its entirety and restated in its entirety as follows:

“In consideration of the sale to Buyers of the Acquired Assets and the other transactions contemplated under this Agreement and the Related Agreements, and provided that all of the conditions precedent to the obligations of each Buyer and each Seller set forth in Article 7 of this Agreement have been satisfied or waived before or at the Closing as described in Article 7, Buyers will pay or cause to be paid to or on behalf of Sellers and/or Owners, as the case may be, an aggregate purchase price (the “Purchase Price”) of (1) the aggregate amount equal to the sum of $653,056,783.00 and CAN$96,757,500.00 in cash at the Closing, plus (2) an amount of shares of Restricted Stock (the “Restricted Stock Consideration”) equal to the sum of (A) the quotient of (x) $13,623,217.00, divided by (y) the closing price of the shares of common stock, par value $0.01 per share, of Parent, at the close of business of the New York Stock Exchange on the Business Day immediately prior to the Closing Date (the “Closing Price”), plus (B) the quotient of (x) CAN$1,062,500.00, divided by (y) the Closing Price, plus (3) the Earnout Payment in connection with Section 2.12, plus or minus (4) any adjustments in accordance with the terms of this Article 2.”

6. Section 2.12 of the Agreement is hereby deleted in its entirety and restated in its entirety as follows:

“(a)Earnout Payment. As part of the Purchase Price, Buyers shall pay or cause to be paid to each of the Pump Entities the Earnout Amount pursuant to this Section 2.12 (such payment, the “Earnout Payment”) by wire transfer of immediately available funds to the account(s) designated by each respective Pump Entity to Buyers on the date the Earnout Payment is required to be paid. If a Pump Entity does not designate an account in accordance with this Section 2.12(a), such wire transfer shall be made to the account(s) designated for such Pump Entity on the Disbursement Schedule.

(b)Earnout Amount. On or prior to June 30, 2015, Buyers shall pay or cause to be paid to the Pump Entities, in accordance with the provisions of Section 2.12(a), an aggregate amount equal to the Earnout Amount. The “Earnout Amount” means the sum of (i) $43,539,825.00, which shall be payable to National Pump, (ii) CAN$7,035,000.00, which shall be payable to Canadian Pump, and (iii) $1,925,175.00, which shall be payable to LD Services.”

7. Section 10.9 of the Agreement is hereby deleted in its entirety and restated in its entirety as follows:

“Expenses. Except (i) as provided in Section 2.10(c), Section 6.3(c) and Section 6.4(c), (ii) for (x) the Data Room Expenses that are evidenced by one or more invoices received by Buyers prior to the Closing Date and included in any adjustment to the Purchase Price pursuant to Section 2.8(c) and (y) any cost and expense related to obtaining certificates and/or other documents of title with respect to any Acquired Asset pursuant to Section 6.7(a)(ii), in each case, of which one-half (1/2) shall be borne by Buyers and one-half (1/2) shall be borne by Sellers, and (iii) as otherwise expressly provided in this Agreement, each party hereto will bear its respective costs and expenses incurred in connection with the preparation, execution and performance of this Agreement, the Related Agreements and the transactions contemplated herein or therein, including

2

without limitation all fees and expenses of agents, representatives, counsel and accountants.”

8. Exhibit B and Exhibit E to the Agreement are hereby deleted in their entirety.

9. Seller Representative, on behalf of Sellers and Owners, hereby (i) waives any claims, whether known or unknown, Sellers and/or Owners may have under the Agreement (as amended by this Amendment and as it may be further amended from time to time in accordance with its terms) and (ii) covenants and agrees that neither Sellers nor Owners nor any of their respective successors, assigns, affiliates, partners, officers, directors, employees, attorneys or agents shall institute any claims, actions, suit or proceeding against Buyers (including, for the avoidance of doubt, any claims set forth in any objection notice or communications of Seller Representative), in any court or forum, directly or indirectly, in each of clause (i) and (ii) regarding or relating to (A) the Agreement (as amended by this Amendment and as it may be further amended from time to time in accordance with its terms) arising out of or relating to any facts existing as of or events occurring on or prior to the date of the execution of this Amendment or (B) the Earnout Amount or Earnout Payment.

10. Buyers hereby (i) waive any claims, whether known or unknown, Buyers may have under the Agreement (as amended by this Amendment and as it may be further amended from time to time in accordance with its terms) and (ii) covenants and agrees that neither Buyers nor any of their respective successors, assigns, affiliates, partners, officers, directors, employees, attorneys or agents shall institute any claims, actions, suit or proceeding against Sellers and/or Owners in any court or forum, directly or indirectly, in each of clause (i) and (ii) regarding or relating to (A) the Agreement (as amended by this Amendment and as it may be further amended from time to time in accordance with its terms) arising out of or relating to any facts existing as of or events occurring on or prior to the date of the execution of this Amendment or (B) the Earnout Amount or Earnout Payment.

11. This Amendment shall form a part of the Agreement for all purposes, and each party thereto and hereto shall be bound hereby. From and after the execution of this Amendment by the parties hereto, any references to the Agreement shall be deemed a reference to the Agreement as amended hereby. This Amendment shall be deemed to be in full force and effect from and after the later of the execution of this Amendment by the parties hereto and the date Sellers receive the Earnout Payment pursuant to Section 2.12 of the Agreement (as amended by this Amendment and as it may be further amended from time to time in accordance with its terms).

12. This Amendment shall not constitute an amendment, modification or waiver of any provision of, or Exhibit or Disclosure Schedule to, the Agreement not expressly referred to herein. Except as expressly amended hereby, the provisions of, and Exhibits and Disclosure Schedules to, the Agreement (for the avoidance of doubt, including, without limitation, the covenants, obligations and agreements of Sellers and Owners under Section 6.9 of the Agreement) are and shall remain in full force and effect.

13. If and to the extent there are any inconsistencies between the Agreement and this Amendment, the terms of this Amendment shall control.

14. Without limiting or reducing in any manner the scope of paragraph 11 and 12 herein, the provisions of Sections 10.1, 10.3, 10.6, 10.7, 10.8 and 10.12 of the Agreement are hereby incorporated by reference as if set forth in their entirety herein and shall apply to the terms and provisions of this Amendment mutatis mutandis.

[Signature page follows]

3

IN WITNESS WHEREOF, the parties have caused this Amendment to be duly executed as of the day and year first above written.

UNITED RENTALS (NORTH AMERICA), INC.

By:	/s/    Jeffrey Fenton
	Name: Jeffrey Fenton
	Title: Senior Vice President, Business Development

UNITED RENTALS OF CANADA, INC.

By:	/s/    Jeffrey Fenton
	Name: Jeffrey Fenton
	Title: Vice President

NATIONAL PUMP & COMPRESSOR, LTD.

CANADIAN PUMP & COMPRESSOR LTD.

GULFCO INDUSTRIAL EQUIPMENT, L.P.

LD SERVICES, LLC

and each Owner

By:	/s/    Don S. Shaver
	Don S. Shaver, as Seller Representative

[Signature Page to First Amendment to the Asset Purchase Agreement]

4

EX-12

Exhibit 12

COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES

(In millions, except ratios)

	Year Ended December 31,															Six Months Ended June 30,
	2010			2011			2012			2013			2014			2015
Earnings:
(Loss) income from continuing operations before (benefit) provision for income taxes	$	(63	)	$	164		$	88		$	605		$	850		$	331
Add:
Fixed charges, net of capitalized interest	279			271			504			521			520			254
Total earnings available for fixed charges	216			435			592			1,126			1,370			585
Fixed charges (1):
Interest expense, net	255			228			512			475			555			353
Add back interest income, which is netted in interest expense	1			1			2			1			2			1
Add back gains (losses) on bond repurchases/retirement of subordinated convertible debentures, included in interest expense	(28		)	(5		)	(72		)	(3		)	(80		)	(123		)
Interest expense—subordinated convertible debentures, net	8			7			4			3			—			—
Capitalized interest	—			—			—			—			—			—
Interest component of rent expense	43			40			58			45			43			23
Fixed charges	$	279		$	271		$	504		$	521		$	520		$	254
Ratio of earnings to fixed charges	—  (2)			1.6x			1.2x			2.2x			2.6x			2.3x

_________________

(1) Fixed charges consist of interest expense, which includes amortization of deferred finance charges, interest expense-subordinated debentures, capitalized interest and imputed interest on our lease obligations. The interest component of rent was determined based on an estimate of a reasonable interest factor at the inception of the leases.

(2) The ratio coverage was less than 1:1 for the year ended December 31, 2010 due to our loss for the year. We would have had to have generated additional earnings of $63 for the year ended December 31, 2010 to have achieved a coverage ratio of 1:1.

EX-31.A

Exhibit 31(a)

CERTIFICATIONS

I, Michael J. Kneeland, certify that:

1. I have reviewed this quarterly report on Form 10-Q of United Rentals, Inc. and United Rentals (North America), Inc. for the quarterly period ended June 30, 2015;

2. Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;

3. Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrants as of, and for, the periods presented in this report;

4. The registrants' other certifying officer and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrants and have:

a) designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrants, including their consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;

b) designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;

c) evaluated the effectiveness of the registrants' disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and.

d) disclosed in this report any change in the registrants' internal control over financial reporting that occurred during the registrants' most recent fiscal quarter (the registrants' fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrants' internal control over financial reporting; and

5. The registrants' other certifying officer and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrants' auditors and the audit committee of the registrants' board of directors (or persons performing the equivalent functions):

a) all significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrants' ability to record, process, summarize and report financial information; and

b) any fraud, whether or not material, that involves management or other employees who have a significant role in the registrants' internal control over financial reporting.

/S/    MICHAEL J. KNEELAND        

Michael J. Kneeland

Chief Executive Officer

July 21, 2015

EX-31.B

Exhibit 31(b)

CERTIFICATIONS

I, William B. Plummer, certify that:

1. I have reviewed this quarterly report on Form 10-Q of United Rentals, Inc. and United Rentals (North America), Inc. for the quarterly period ended June 30, 2015;

2. Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;

3. Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrants as of, and for, the periods presented in this report;

4. The registrants' other certifying officer and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrants and have:

a) designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrants, including their consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;

b) designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;

c) evaluated the effectiveness of the registrants' disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and.

d) disclosed in this report any change in the registrants' internal control over financial reporting that occurred during the registrants' most recent fiscal quarter (the registrants' fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrants' internal control over financial reporting; and

5. The registrants' other certifying officer and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrants' auditors and the audit committee of the registrants' board of directors (or persons performing the equivalent functions):

a) all significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrants' ability to record, process, summarize and report financial information; and

b) any fraud, whether or not material, that involves management or other employees who have a significant role in the registrants' internal control over financial reporting.

/S/    WILLIAM B. PLUMMER        

William B. Plummer

Chief Financial Officer

July 21, 2015

EX-32.A

Exhibit 32(a)

CERTIFICATION PURSUANT TO

18 U.S.C. SECTION 1350,

AS ADOPTED PURSUANT TO

SECTION 906 OF THE SARBANES-OXLEY ACT OF 2002

In connection with the quarterly report of United Rentals, Inc. and United Rentals (North America), Inc. (the “Companies”) on Form 10-Q for the quarterly period ended June 30, 2015 as filed with the Securities and Exchange Commission (the “Report”), I, Michael J. Kneeland, Chief Executive Officer of the Companies, certify, pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002, that to my knowledge:

1. the Report fully complies with the requirements of Section 13(a) or 15(d), as applicable, of the Securities Exchange Act of 1934, as amended (15 U.S.C. 78m); and

2. the information contained in the Report fairly presents, in all material respects, the financial condition and results of operations of the Companies.

/S/    MICHAEL J. KNEELAND        

Michael J. Kneeland

Chief Executive Officer

July 21, 2015

EX-32.B

Exhibit 32(b)

CERTIFICATION PURSUANT TO

18 U.S.C. SECTION 1350,

AS ADOPTED PURSUANT TO

SECTION 906 OF THE SARBANES-OXLEY ACT OF 2002

In connection with the quarterly report of United Rentals, Inc. and United Rentals (North America), Inc. (the “Companies”) on Form 10-Q for the quarterly period ended June 30, 2015 as filed with the Securities and Exchange Commission (the “Report”), I, William B. Plummer, Chief Financial Officer of the Companies, certify, pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002, that to my knowledge:

1. the Report fully complies with the requirements of Section 13(a) or 15(d), as applicable, of the Securities Exchange Act of 1934, as amended (15 U.S.C. 78m); and

2. the information contained in the Report fairly presents, in all material respects, the financial condition and results of operations of the Companies.

/S/    WILLIAM B. PLUMMER        

William B. Plummer

Chief Financial Officer

July 21, 2015

XML

Restructuring Charges (Schedule of restructuring charges) (Details) - USD ($) $ in Millions		3 Months Ended		6 Months Ended
		Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015		Jun. 30, 2014
Restructuring Reserve [Roll Forward]
Beginning reserve balance				$ 20
Charged to Costs and Expenses		$ 0	$ (1)	1	[1]	$ 0
Payments and Other				(5)
Ending reserve balance		16		16
Branch closure charges
Restructuring Reserve [Roll Forward]
Beginning reserve balance				20
Charged to Costs and Expenses	[1]			1
Payments and Other				(5)
Ending reserve balance		16		16
Severance costs
Restructuring Reserve [Roll Forward]
Beginning reserve balance				0
Charged to Costs and Expenses	[1]			0
Payments and Other				0
Ending reserve balance		0		0
Closed Restructuring Program
Restructuring Reserve [Roll Forward]
Beginning reserve balance				9
Charged to Costs and Expenses	[1]			1
Payments and Other				(3)
Ending reserve balance		7		7
Closed Restructuring Program | Branch closure charges
Restructuring Reserve [Roll Forward]
Beginning reserve balance				9
Charged to Costs and Expenses	[1]			1
Payments and Other				(3)
Ending reserve balance		7		7
Closed Restructuring Program | Severance costs
Restructuring Reserve [Roll Forward]
Beginning reserve balance				0
Charged to Costs and Expenses	[1]			0
Payments and Other				0
Ending reserve balance		0		0
RSC Merger Related Restructuring Program
Restructuring Reserve [Roll Forward]
Beginning reserve balance				11
Charged to Costs and Expenses	[1]			0
Payments and Other				(2)
Ending reserve balance		9		9
RSC Merger Related Restructuring Program | Branch closure charges
Restructuring Reserve [Roll Forward]
Beginning reserve balance				11
Charged to Costs and Expenses	[1]			0
Payments and Other				(2)
Ending reserve balance		9		9
RSC Merger Related Restructuring Program | Severance costs
Restructuring Reserve [Roll Forward]
Beginning reserve balance				0
Charged to Costs and Expenses	[1]			0
Payments and Other				0
Ending reserve balance		$ 0		$ 0

[1] Reflected in our condensed consolidated statements of income as “Restructuring charge.” These charges are not allocated to our reportable segments.

XML

Condensed Consolidating Financial Information of Guarantor Subsidiaries - CONDENSED CONSOLIDATING STATEMENT OF INCOME AND COMPREHENSIVE INCOME (Details) - USD ($) $ in Millions		3 Months Ended		6 Months Ended
		Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015		Jun. 30, 2014
Revenues:
Equipment rentals		$ 1,220	$ 1,179	$ 2,345		$ 2,184
Sales of rental equipment		124	138	240		248
Sales of new equipment		39	37	72		63
Contractor supplies sales		21	22	39		41
Service and other revenues		25	23	48		41
Total revenues		1,429	1,399	2,744		2,577
Cost of revenues:
Cost of equipment rentals, excluding depreciation		445	447	889		856
Depreciation of rental equipment		240	229	475		446
Cost of rental equipment sales		68	80	132		145
Cost of new equipment sales		33	31	60		51
Cost of contractor supplies sales		15	15	27		28
Cost of service and other revenues		10	8	19		14
Total cost of revenues		811	810	1,602		1,540
Gross profit		618	589	1,142		1,037
Selling, general and administrative expenses		175	187	356		355
Merger related costs		1	8	(26)		9
Restructuring charge		0	(1)	1	[1]	0
Non-rental depreciation and amortization		67	70	136		130
Operating (loss) income		375	325	675		543
Interest (income) expense, net		232	187	353		312
Other (income) expense, net		(6)	(4)	(9)		(5)
Income (loss) before provision for income taxes		149	142	331		236
Provision for income taxes		63	48	130		82
Income (loss) before equity in net earnings (loss) of subsidiaries		86	94	201		154
Equity in net earnings (loss) of subsidiaries		0	0	0		0
Net income		86	94	201		154
Other comprehensive income (loss)		17	36	(72)		(3)
Comprehensive income	[2]	103	130	129		151
Parent
Revenues:
Equipment rentals		0	0	0		0
Sales of rental equipment		0	0	0		0
Sales of new equipment		0	0	0		0
Contractor supplies sales		0	0	0		0
Service and other revenues		0	0	0		0
Total revenues		0	0	0		0
Cost of revenues:
Cost of equipment rentals, excluding depreciation		0	0	0		0
Depreciation of rental equipment		0	0	0		0
Cost of rental equipment sales		0	0	0		0
Cost of new equipment sales		0	0	0		0
Cost of contractor supplies sales		0	0	0		0
Cost of service and other revenues		0	0	0		0
Total cost of revenues		0	0	0		0
Gross profit		0	0	0		0
Selling, general and administrative expenses		(4)	(6)	(1)		19
Merger related costs		0	0	0		0
Restructuring charge		0	0	0
Non-rental depreciation and amortization		4	5	8		9
Operating (loss) income		0	1	(7)		(28)
Interest (income) expense, net		0	1	(1)		7
Other (income) expense, net		(38)	(37)	(73)		(69)
Income (loss) before provision for income taxes		38	37	67		34
Provision for income taxes		18	1	31		1
Income (loss) before equity in net earnings (loss) of subsidiaries		20	36	36		33
Equity in net earnings (loss) of subsidiaries		66	58	165		121
Net income		86	94	201		154
Other comprehensive income (loss)		17	36	(72)		(3)
Comprehensive income		103	130	129		151
URNA
Revenues:
Equipment rentals		1,100	1,042	2,098		1,914
Sales of rental equipment		106	122	212		222
Sales of new equipment		34	31	63		52
Contractor supplies sales		18	19	34		34
Service and other revenues		22	17	41		32
Total revenues		1,280	1,231	2,448		2,254
Cost of revenues:
Cost of equipment rentals, excluding depreciation		389	383	773		737
Depreciation of rental equipment		216	203	427		396
Cost of rental equipment sales		58	70	117		130
Cost of new equipment sales		29	27	53		43
Cost of contractor supplies sales		13	13	24		23
Cost of service and other revenues		9	5	15		10
Total cost of revenues		714	701	1,409		1,339
Gross profit		566	530	1,039		915
Selling, general and administrative expenses		153	171	304		294
Merger related costs		1	8	(26)		9
Restructuring charge		0	(1)	1
Non-rental depreciation and amortization		57	58	116		109
Operating (loss) income		355	294	644		503
Interest (income) expense, net		232	182	351		300
Other (income) expense, net		55	52	107		98
Income (loss) before provision for income taxes		68	60	186		105
Provision for income taxes		28	32	71		50
Income (loss) before equity in net earnings (loss) of subsidiaries		40	28	115		55
Equity in net earnings (loss) of subsidiaries		26	30	50		66
Net income		66	58	165		121
Other comprehensive income (loss)		17	36	(72)		(3)
Comprehensive income		83	94	93		118
Guarantor Subsidiaries
Revenues:
Equipment rentals		0	0	0		0
Sales of rental equipment		0	0	0		0
Sales of new equipment		0	0	0		0
Contractor supplies sales		0	0	0		0
Service and other revenues		0	0	0		0
Total revenues		0	0	0		0
Cost of revenues:
Cost of equipment rentals, excluding depreciation		0	0	0		0
Depreciation of rental equipment		0	0	0		0
Cost of rental equipment sales		0	0	0		0
Cost of new equipment sales		0	0	0		0
Cost of contractor supplies sales		0	0	0		0
Cost of service and other revenues		0	0	0		0
Total cost of revenues		0	0	0		0
Gross profit		0	0	0		0
Selling, general and administrative expenses		0	2	0		2
Merger related costs		0	0	0		0
Restructuring charge		0	0	0
Non-rental depreciation and amortization		0	0	0		0
Operating (loss) income		0	(2)	0		(2)
Interest (income) expense, net		0	2	2		3
Other (income) expense, net		0	(3)	1		(1)
Income (loss) before provision for income taxes		0	(1)	(3)		(4)
Provision for income taxes		2	0	0		0
Income (loss) before equity in net earnings (loss) of subsidiaries		(2)	(1)	(3)		(4)
Equity in net earnings (loss) of subsidiaries		16	17	32		42
Net income		14	16	29		38
Other comprehensive income (loss)		16	36	(74)		(2)
Comprehensive income		30	52	(45)		36
Non Guarantor Subsidiaries - Foreign
Revenues:
Equipment rentals		120	137	247		270
Sales of rental equipment		18	16	28		26
Sales of new equipment		5	6	9		11
Contractor supplies sales		3	3	5		7
Service and other revenues		3	6	7		9
Total revenues		149	168	296		323
Cost of revenues:
Cost of equipment rentals, excluding depreciation		56	64	116		119
Depreciation of rental equipment		24	26	48		50
Cost of rental equipment sales		10	10	15		15
Cost of new equipment sales		4	4	7		8
Cost of contractor supplies sales		2	2	3		5
Cost of service and other revenues		1	3	4		4
Total cost of revenues		97	109	193		201
Gross profit		52	59	103		122
Selling, general and administrative expenses		18	23	38		43
Merger related costs		0	0	0		0
Restructuring charge		0	0	0
Non-rental depreciation and amortization		6	7	12		12
Operating (loss) income		28	29	53		67
Interest (income) expense, net		1	2	2		3
Other (income) expense, net		2	4	3		7
Income (loss) before provision for income taxes		25	23	48		57
Provision for income taxes		9	6	16		15
Income (loss) before equity in net earnings (loss) of subsidiaries		16	17	32		42
Equity in net earnings (loss) of subsidiaries		0	0	0		0
Net income		16	17	32		42
Other comprehensive income (loss)		13	28	(58)		(2)
Comprehensive income		29	45	(26)		40
Non Guarantor Subsidiaries - SPV
Revenues:
Equipment rentals		0	0	0		0
Sales of rental equipment		0	0	0		0
Sales of new equipment		0	0	0		0
Contractor supplies sales		0	0	0		0
Service and other revenues		0	0	0		0
Total revenues		0	0	0		0
Cost of revenues:
Cost of equipment rentals, excluding depreciation		0	0	0		0
Depreciation of rental equipment		0	0	0		0
Cost of rental equipment sales		0	0	0		0
Cost of new equipment sales		0	0	0		0
Cost of contractor supplies sales		0	0	0		0
Cost of service and other revenues		0	0	0		0
Total cost of revenues		0	0	0		0
Gross profit		0	0	0		0
Selling, general and administrative expenses		8	(3)	15		(3)
Merger related costs		0	0	0		0
Restructuring charge		0	0	0
Non-rental depreciation and amortization		0	0	0		0
Operating (loss) income		(8)	3	(15)		3
Interest (income) expense, net		1	1	2		2
Other (income) expense, net		(25)	(20)	(47)		(40)
Income (loss) before provision for income taxes		16	22	30		41
Provision for income taxes		6	9	12		16
Income (loss) before equity in net earnings (loss) of subsidiaries		10	13	18		25
Equity in net earnings (loss) of subsidiaries		0	0	0		0
Net income		10	13	18		25
Other comprehensive income (loss)		0	0	0		0
Comprehensive income		10	13	18		25
Eliminations
Revenues:
Equipment rentals		0	0	0		0
Sales of rental equipment		0	0	0		0
Sales of new equipment		0	0	0		0
Contractor supplies sales		0	0	0		0
Service and other revenues		0	0	0		0
Total revenues		0	0	0		0
Cost of revenues:
Cost of equipment rentals, excluding depreciation		0	0	0		0
Depreciation of rental equipment		0	0	0		0
Cost of rental equipment sales		0	0	0		0
Cost of new equipment sales		0	0	0		0
Cost of contractor supplies sales		0	0	0		0
Cost of service and other revenues		0	0	0		0
Total cost of revenues		0	0	0		0
Gross profit		0	0	0		0
Selling, general and administrative expenses		0	0	0		0
Merger related costs		0	0	0		0
Restructuring charge		0	0	0
Non-rental depreciation and amortization		0	0	0		0
Operating (loss) income		0	0	0		0
Interest (income) expense, net		(2)	(1)	(3)		(3)
Other (income) expense, net		0	0	0		0
Income (loss) before provision for income taxes		2	1	3		3
Provision for income taxes		0	0	0		0
Income (loss) before equity in net earnings (loss) of subsidiaries		2	1	3		3
Equity in net earnings (loss) of subsidiaries		(108)	(105)	(247)		(229)
Net income		(106)	(104)	(244)		(226)
Other comprehensive income (loss)		(46)	(100)	204		7
Comprehensive income		$ (152)	$ (204)	$ (40)		$ (219)

[1] Reflected in our condensed consolidated statements of income as “Restructuring charge.” These charges are not allocated to our reportable segments.

[2] There were no material reclassifications from accumulated other comprehensive loss reflected in other comprehensive income (loss) during 2015 or 2014. There is no tax impact related to the foreign currency translation adjustments, as the earnings are considered permanently reinvested. There were no material taxes associated with other comprehensive income (loss) during 2015 or 2014.

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Acquisitions (Acquired Intangible Assets) (Details) - 1 months ended Apr. 30, 2014 - National Pump - USD ($) $ in Millions	Total
Acquired Finite-Lived Intangible Assets [Line Items]
Fair value	$ 289
Customer relationships
Acquired Finite-Lived Intangible Assets [Line Items]
Fair value	$ 274
Life (years)	10 years
Non-compete agreements
Acquired Finite-Lived Intangible Assets [Line Items]
Fair value	$ 15
Life (years)	6 years

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Fair Value Measurements (Tables)

6 Months Ended

Jun. 30, 2015

Fair Value Disclosures [Abstract]

Fair value of financial instruments

The estimated fair values of our financial instruments as of June 30, 2015 and December 31, 2014 have been calculated based upon available market information, and are presented below by level in the fair value hierarchy:

	June 30, 2015				December 31, 2014
	Carrying Amount		Fair Value		Carrying Amount		Fair Value
Level 1:
Senior and senior subordinated notes	$	5,991	$	6,090	$	6,063	$	6,390
Level 2:
4 percent Convertible Senior Notes (1)	7		8		32		33

___________________ 

(1) The fair value of the 4 percent Convertible Senior Notes is based on the market value of comparable notes. Consistent with the carrying amount, the fair value excludes the equity component of the notes. To exclude the equity component and calculate the fair value, we used an effective interest rate of 6.9 percent. As discussed below (see Item 3- Quantitative and Qualitative Disclosures about Market Risk), the total cost to settle the notes based on the closing price of our common stock on June 30, 2015 would be $60.

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Fair Value Measurements (Narrative) (Details) gal in Millions, $ in Millions	6 Months Ended
	Jun. 30, 2015 USD ($) $ / gal gal	Dec. 31, 2014 USD ($)
Merger related costs
Derivatives, Fair Value [Line Items]
Change in contingent consideration	$ (26)
Diesel swap | Fixed price swap contracts
Derivatives, Fair Value [Line Items]
Fixed price swap contract (in gallons) | gal	10.8
Average contract price (in dollars per gallon) | $ / gal	3.13
Average forward price (in dollars per gallon) | $ / gal	3.02
Level 3 | National Pump | Accrued expenses and other liabilities
Derivatives, Fair Value [Line Items]
Contingent consideration	$ 0	$ 78

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Segment Information (Reconciliation to income (loss) from continuing operations) (Details) - USD ($) $ in Millions	3 Months Ended		6 Months Ended
	Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015		Jun. 30, 2014
Segment Reporting, Reconciling Item for Operating Profit (Loss) from Segment to Consolidated [Line Items]
Gross profit	$ 618	$ 589	$ 1,142		$ 1,037
Selling, general and administrative expenses	(175)	(187)	(356)		(355)
Merger related costs	(1)	(8)	26		(9)
Restructuring charge	0	1	(1)	[1]	0
Non-rental depreciation and amortization	(67)	(70)	(136)		(130)
Interest expense, net	(232)	(187)	(353)		(312)
Other income, net	6	4	9		5
Income before provision for income taxes	149	142	331		236
Equipment rentals
Segment Reporting, Reconciling Item for Operating Profit (Loss) from Segment to Consolidated [Line Items]
Gross profit	535	503	981		882
Other lines of business
Segment Reporting, Reconciling Item for Operating Profit (Loss) from Segment to Consolidated [Line Items]
Gross profit	$ 83	$ 86	$ 161		$ 155

[1] Reflected in our condensed consolidated statements of income as “Restructuring charge.” These charges are not allocated to our reportable segments.

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Condensed Consolidating Financial Information of Guarantor Subsidiaries - CONDENSED CONSOLIDATING BALANCE SHEET (Details) - USD ($) $ in Millions		Jun. 30, 2015	Dec. 31, 2014	Jun. 30, 2014	Dec. 31, 2013
ASSETS
Cash and cash equivalents		$ 200	$ 158	$ 170	$ 175
Accounts receivable, net		894	940
Intercompany receivable (payable)		0	0
Inventory		81	78
Prepaid expenses and other assets		74	122
Deferred taxes		187	248
Total current assets		1,436	1,546
Investments in subsidiaries		0	0
Goodwill		3,253	3,272
Other intangible assets, net		1,000	1,106
Other long-term assets		95	97
Total assets		12,605	12,467
LIABILITIES AND STOCKHOLDERS’ EQUITY (DEFICIT)
Short-term debt and current maturities of long-term debt	[1]	590	618
Accounts payable		683	285
Accrued expenses and other liabilities		309	575
Total current liabilities		1,582	1,478
Long-term debt		7,820	7,434
Deferred taxes		1,696	1,692
Other long-term liabilities		55	65
Total liabilities		11,153	10,669
Temporary equity		1	2
Total stockholders’ equity (deficit)		1,451	1,796
Total liabilities and stockholders’ equity		$ 12,605	12,467
Parent
Condensed Financial Information Other Details [Abstract]
Ownership percentage in subsidiaries		100.00%
ASSETS
Cash and cash equivalents		$ 0	0	0	0
Accounts receivable, net		0	0
Intercompany receivable (payable)		144	476
Inventory		0	0
Prepaid expenses and other assets		0	0
Deferred taxes		0	0
Total current assets		144	476
Investments in subsidiaries		1,294	1,330
Goodwill		0	0
Other intangible assets, net		0	0
Other long-term assets		0	1
Total assets		1,478	1,849
LIABILITIES AND STOCKHOLDERS’ EQUITY (DEFICIT)
Short-term debt and current maturities of long-term debt		7	32
Accounts payable		0	0
Accrued expenses and other liabilities		0	0
Total current liabilities		7	32
Long-term debt		0	0
Deferred taxes		19	19
Other long-term liabilities		0	0
Total liabilities		26	51
Temporary equity		1	2
Total stockholders’ equity (deficit)		1,451	1,796
Total liabilities and stockholders’ equity		1,478	1,849
URNA
ASSETS
Cash and cash equivalents		4	8	26	17
Accounts receivable, net		39	37
Intercompany receivable (payable)		55	(428)
Inventory		73	69
Prepaid expenses and other assets		67	113
Deferred taxes		186	246
Total current assets		424	45
Investments in subsidiaries		1,011	1,185
Goodwill		3,000	3,000
Other intangible assets, net		923	1,014
Other long-term assets		95	96
Total assets		11,570	11,071
LIABILITIES AND STOCKHOLDERS’ EQUITY (DEFICIT)
Short-term debt and current maturities of long-term debt		583	38
Accounts payable		618	248
Accrued expenses and other liabilities		273	499
Total current liabilities		1,474	785
Long-term debt		7,143	7,298
Deferred taxes		1,604	1,594
Other long-term liabilities		55	64
Total liabilities		10,276	9,741
Temporary equity		0	0
Total stockholders’ equity (deficit)		1,294	1,330
Total liabilities and stockholders’ equity		$ 11,570	11,071
Guarantor Subsidiaries
Condensed Financial Information Other Details [Abstract]
Ownership percentage in subsidiaries		100.00%
ASSETS
Cash and cash equivalents		$ 0	0	0	0
Accounts receivable, net		0	0
Intercompany receivable (payable)		(188)	(60)
Inventory		0	0
Prepaid expenses and other assets		0	1
Deferred taxes		0	0
Total current assets		(188)	(59)
Investments in subsidiaries		1,001	1,040
Goodwill		0	0
Other intangible assets, net		0	0
Other long-term assets		0	0
Total assets		833	1,002
LIABILITIES AND STOCKHOLDERS’ EQUITY (DEFICIT)
Short-term debt and current maturities of long-term debt		0	0
Accounts payable		0	0
Accrued expenses and other liabilities		14	19
Total current liabilities		14	19
Long-term debt		121	130
Deferred taxes		0	0
Other long-term liabilities		0	0
Total liabilities		135	149
Temporary equity		0	0
Total stockholders’ equity (deficit)		698	853
Total liabilities and stockholders’ equity		833	1,002
Non Guarantor Subsidiaries - Foreign
ASSETS
Cash and cash equivalents		196	150	144	158
Accounts receivable, net		108	144
Intercompany receivable (payable)		(126)	(109)
Inventory		8	9
Prepaid expenses and other assets		7	8
Deferred taxes		1	2
Total current assets		194	204
Investments in subsidiaries		0	0
Goodwill		253	272
Other intangible assets, net		77	92
Other long-term assets		0	0
Total assets		1,168	1,220
LIABILITIES AND STOCKHOLDERS’ EQUITY (DEFICIT)
Short-term debt and current maturities of long-term debt		0	0
Accounts payable		65	37
Accrued expenses and other liabilities		22	57
Total current liabilities		87	94
Long-term debt		7	6
Deferred taxes		73	79
Other long-term liabilities		0	1
Total liabilities		167	180
Temporary equity		0	0
Total stockholders’ equity (deficit)		1,001	1,040
Total liabilities and stockholders’ equity		1,168	1,220
Non Guarantor Subsidiaries - SPV
ASSETS
Cash and cash equivalents		0	0	0	0
Accounts receivable, net		747	759
Intercompany receivable (payable)		0	0
Inventory		0	0
Prepaid expenses and other assets		0	0
Deferred taxes		0	0
Total current assets		747	759
Investments in subsidiaries		0	0
Goodwill		0	0
Other intangible assets, net		0	0
Other long-term assets		0	0
Total assets		747	759
LIABILITIES AND STOCKHOLDERS’ EQUITY (DEFICIT)
Short-term debt and current maturities of long-term debt		0	548
Accounts payable		0	0
Accrued expenses and other liabilities		0	0
Total current liabilities		0	548
Long-term debt		549	0
Deferred taxes		0	0
Other long-term liabilities		0	0
Total liabilities		549	548
Temporary equity		0	0
Total stockholders’ equity (deficit)		198	211
Total liabilities and stockholders’ equity		$ 747	759
8 1/4 percent Senior Notes
Condensed Financial Information Other Details [Abstract]
Stated interest rate		8.25%
ABL Facility, Accounts Receivable Securitization Facility, and Other Agreements | URNA
Condensed Financial Information Other Details [Abstract]
Line of credit facility, restricted payment capacity		$ 252
Eliminations
ASSETS
Cash and cash equivalents		0	0	$ 0	$ 0
Accounts receivable, net		0	0
Intercompany receivable (payable)		115	121
Inventory		0	0
Prepaid expenses and other assets		0	0
Deferred taxes		0	0
Total current assets		115	121
Investments in subsidiaries		(3,306)	(3,555)
Goodwill		0	0
Other intangible assets, net		0	0
Other long-term assets		0	0
Total assets		(3,191)	(3,434)
LIABILITIES AND STOCKHOLDERS’ EQUITY (DEFICIT)
Short-term debt and current maturities of long-term debt		0	0
Accounts payable		0	0
Accrued expenses and other liabilities		0	0
Total current liabilities		0	0
Long-term debt		0	0
Deferred taxes		0	0
Other long-term liabilities		0	0
Total liabilities		0	0
Temporary equity		0	0
Total stockholders’ equity (deficit)		(3,191)	(3,434)
Total liabilities and stockholders’ equity		(3,191)	(3,434)
Rental equipment, net
ASSETS
Property, plant and equipment, net		6,396	6,008
Rental equipment, net | Parent
ASSETS
Property, plant and equipment, net		0	0
Rental equipment, net | URNA
ASSETS
Property, plant and equipment, net		5,794	5,399
Rental equipment, net | Guarantor Subsidiaries
ASSETS
Property, plant and equipment, net		0	0
Rental equipment, net | Non Guarantor Subsidiaries - Foreign
ASSETS
Property, plant and equipment, net		602	609
Rental equipment, net | Non Guarantor Subsidiaries - SPV
ASSETS
Property, plant and equipment, net		0	0
Rental equipment, net | Eliminations
ASSETS
Property, plant and equipment, net		0	0
Property and equipment, net
ASSETS
Property, plant and equipment, net		425	438
Property and equipment, net | Parent
ASSETS
Property, plant and equipment, net		40	42
Property and equipment, net | URNA
ASSETS
Property, plant and equipment, net		323	332
Property and equipment, net | Guarantor Subsidiaries
ASSETS
Property, plant and equipment, net		20	21
Property and equipment, net | Non Guarantor Subsidiaries - Foreign
ASSETS
Property, plant and equipment, net		42	43
Property and equipment, net | Non Guarantor Subsidiaries - SPV
ASSETS
Property, plant and equipment, net		0	0
Property and equipment, net | Eliminations
ASSETS
Property, plant and equipment, net		$ 0	$ 0

[1] As of June 30, 2015, our short-term debt primarily reflects $549 of borrowings under our accounts receivable securitization facility.

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CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (UNAUDITED) (Parenthetical)	Jun. 30, 2015	Jun. 30, 2014
Convertible senior notes | Convertible subordinated notes—4 percent
Stated interest rate	4.00%	4.00%

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Fair Value Measurements (Fair value of financial instruments) (Details) - USD ($) $ in Millions		Jun. 30, 2015	Dec. 31, 2014
Level 1 | Carrying Amount
Fair Value, Balance Sheet Grouping, Financial Statement Captions
Senior and senior subordinated notes		$ 5,991	$ 6,063
Level 1 | Fair Value
Fair Value, Balance Sheet Grouping, Financial Statement Captions
Senior and senior subordinated notes		6,090	6,390
Level 2 | Carrying Amount
Fair Value, Balance Sheet Grouping, Financial Statement Captions
4 percent Convertible Senior Notes	[1]	7	32
Level 2 | Fair Value
Fair Value, Balance Sheet Grouping, Financial Statement Captions
4 percent Convertible Senior Notes	[1]	$ 8	$ 33
Convertible subordinated notes—4 percent
Fair Value, Balance Sheet Grouping, Financial Statement Captions
Effective interest rate		6.90%
Debt instrument, convertible, if-converted value		$ 60
Convertible senior notes | Convertible subordinated notes—4 percent
Fair Value, Balance Sheet Grouping, Financial Statement Captions
Stated interest rate		4.00%

[1] The fair value of the 4 percent Convertible Senior Notes is based on the market value of comparable notes. Consistent with the carrying amount, the fair value excludes the equity component of the notes. To exclude the equity component and calculate the fair value, we used an effective interest rate of 6.9 percent. As discussed below (see Item 3- Quantitative and Qualitative Disclosures about Market Risk), the total cost to settle the notes based on the closing price of our common stock on June 30, 2015 would be $60.

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Organization, Description of Business and Basis of Presentation (Details) $ in Millions	Jun. 30, 2015 USD ($)
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Debt issuance costs, net	$ 89

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Condensed Consolidating Financial Information of Guarantor Subsidiaries (Tables)

6 Months Ended

Jun. 30, 2015

Condensed Financial Information [Abstract]

CONDENSED CONSOLIDATING BALANCE SHEET

CONDENSED CONSOLIDATING BALANCE SHEET

June 30, 2015

	Parent		URNA		Guarantor Subsidiaries			Non-Guarantor Subsidiaries					Eliminations			Total
								Foreign			SPV
ASSETS
Cash and cash equivalents	$	—	$	4	$	—		$	196		$	—	$	—		$	200
Accounts receivable, net	—		39		—			108			747		—			894
Intercompany receivable (payable)	144		55		(188		)	(126		)	—		115			—
Inventory	—		73		—			8			—		—			81
Prepaid expenses and other assets	—		67		—			7			—		—			74
Deferred taxes	—		186		—			1			—		—			187
Total current assets	144		424		(188		)	194			747		115			1,436
Rental equipment, net	—		5,794		—			602			—		—			6,396
Property and equipment, net	40		323		20			42			—		—			425
Investments in subsidiaries	1,294		1,011		1,001			—			—		(3,306		)	—
Goodwill	—		3,000		—			253			—		—			3,253
Other intangible assets, net	—		923		—			77			—		—			1,000
Other long-term assets	—		95		—			—			—		—			95
Total assets	$	1,478	$	11,570	$	833		$	1,168		$	747	$	(3,191	)	$	12,605
LIABILITIES AND STOCKHOLDERS’ EQUITY (DEFICIT)
Short-term debt and current maturities of long-term debt	$	7	$	583	$	—		$	—		$	—	$	—		$	590
Accounts payable	—		618		—			65			—		—			683
Accrued expenses and other liabilities	—		273		14			22			—		—			309
Total current liabilities	7		1,474		14			87			—		—			1,582
Long-term debt	—		7,143		121			7			549		—			7,820
Deferred taxes	19		1,604		—			73			—		—			1,696
Other long-term liabilities	—		55		—			—			—		—			55
Total liabilities	26		10,276		135			167			549		—			11,153
Temporary equity (note 7)	1		—		—			—			—		—			1
Total stockholders’ equity (deficit)	1,451		1,294		698			1,001			198		(3,191		)	1,451
Total liabilities and stockholders’ equity (deficit)	$	1,478	$	11,570	$	833		$	1,168		$	747	$	(3,191	)	$	12,605

CONDENSED CONSOLIDATING BALANCE SHEET

December 31, 2014

	Parent		URNA			Guarantor Subsidiaries			Non-Guarantor Subsidiaries					Eliminations			Total
									Foreign			SPV
ASSETS
Cash and cash equivalents	$	—	$	8		$	—		$	150		$	—	$	—		$	158
Accounts receivable, net	—		37			—			144			759		—			940
Intercompany receivable (payable)	476		(428		)	(60		)	(109		)	—		121			—
Inventory	—		69			—			9			—		—			78
Prepaid expenses and other assets	—		113			1			8			—		—			122
Deferred taxes	—		246			—			2			—		—			248
Total current assets	476		45			(59		)	204			759		121			1,546
Rental equipment, net	—		5,399			—			609			—		—			6,008
Property and equipment, net	42		332			21			43			—		—			438
Investments in subsidiaries	1,330		1,185			1,040			—			—		(3,555		)	—
Goodwill	—		3,000			—			272			—		—			3,272
Other intangible assets, net	—		1,014			—			92			—		—			1,106
Other long-term assets	1		96			—			—			—		—			97
Total assets	$	1,849	$	11,071		$	1,002		$	1,220		$	759	$	(3,434	)	$	12,467
LIABILITIES AND STOCKHOLDERS’ EQUITY (DEFICIT)
Short-term debt and current maturities of long-term debt	$	32	$	38		$	—		$	—		$	548	$	—		$	618
Accounts payable	—		248			—			37			—		—			285
Accrued expenses and other liabilities	—		499			19			57			—		—			575
Total current liabilities	32		785			19			94			548		—			1,478
Long-term debt	—		7,298			130			6			—		—			7,434
Deferred taxes	19		1,594			—			79			—		—			1,692
Other long-term liabilities	—		64			—			1			—		—			65
Total liabilities	51		9,741			149			180			548		—			10,669
Temporary equity (note 7)	2		—			—			—			—		—			2
Total stockholders’ equity (deficit)	1,796		1,330			853			1,040			211		(3,434		)	1,796
Total liabilities and stockholders’ equity (deficit)	$	1,849	$	11,071		$	1,002		$	1,220		$	759	$	(3,434	)	$	12,467

CONDENSED CONSOLIDATING STATEMENT OF INCOME AND COMPREHENSIVE INCOME

CONDENSED CONSOLIDATING STATEMENT OF INCOME AND COMPREHENSIVE INCOME

For the Three Months Ended June 30, 2015

	Parent			URNA		Guarantor Subsidiaries			Non-Guarantor Subsidiaries					Eliminations			Total
									Foreign		SPV
Revenues:
Equipment rentals	$	—		$	1,100	$	—		$	120	$	—		$	—		$	1,220
Sales of rental equipment	—			106		—			18		—			—			124
Sales of new equipment	—			34		—			5		—			—			39
Contractor supplies sales	—			18		—			3		—			—			21
Service and other revenues	—			22		—			3		—			—			25
Total revenues	—			1,280		—			149		—			—			1,429
Cost of revenues:
Cost of equipment rentals, excluding depreciation	—			389		—			56		—			—			445
Depreciation of rental equipment	—			216		—			24		—			—			240
Cost of rental equipment sales	—			58		—			10		—			—			68
Cost of new equipment sales	—			29		—			4		—			—			33
Cost of contractor supplies sales	—			13		—			2		—			—			15
Cost of service and other revenues	—			9		—			1		—			—			10
Total cost of revenues	—			714		—			97		—			—			811
Gross profit	—			566		—			52		—			—			618
Selling, general and administrative expenses	(4		)	153		—			18		8			—			175
Merger related costs	—			1		—			—		—			—			1
Restructuring charge	—			—		—			—		—			—			—
Non-rental depreciation and amortization	4			57		—			6		—			—			67
Operating (loss) income	—			355		—			28		(8		)	—			375
Interest (income) expense, net	—			232		—			1		1			(2		)	232
Other (income) expense, net	(38		)	55		—			2		(25		)	—			(6		)
Income before provision for income taxes	38			68		—			25		16			2			149
Provision for income taxes	18			28		2			9		6			—			63
Income (loss) before equity in net earnings (loss) of subsidiaries	20			40		(2		)	16		10			2			86
Equity in net earnings (loss) of subsidiaries	66			26		16			—		—			(108		)	—
Net income (loss)	86			66		14			16		10			(106		)	86
Other comprehensive income (loss)	17			17		16			13		—			(46		)	17
Comprehensive income (loss)	$	103		$	83	$	30		$	29	$	10		$	(152	)	$	103

CONDENSED CONSOLIDATING STATEMENT OF INCOME AND COMPREHENSIVE INCOME

For the Three Months Ended June 30, 2014

	Parent			URNA			Guarantor Subsidiaries			Non-Guarantor Subsidiaries					Eliminations			Total
										Foreign		SPV
Revenues:
Equipment rentals	$	—		$	1,042		$	—		$	137	$	—		$	—		$	1,179
Sales of rental equipment	—			122			—			16		—			—			138
Sales of new equipment	—			31			—			6		—			—			37
Contractor supplies sales	—			19			—			3		—			—			22
Service and other revenues	—			17			—			6		—			—			23
Total revenues	—			1,231			—			168		—			—			1,399
Cost of revenues:
Cost of equipment rentals, excluding depreciation	—			383			—			64		—			—			447
Depreciation of rental equipment	—			203			—			26		—			—			229
Cost of rental equipment sales	—			70			—			10		—			—			80
Cost of new equipment sales	—			27			—			4		—			—			31
Cost of contractor supplies sales	—			13			—			2		—			—			15
Cost of service and other revenues	—			5			—			3		—			—			8
Total cost of revenues	—			701			—			109		—			—			810
Gross profit	—			530			—			59		—			—			589
Selling, general and administrative expenses	(6		)	171			2			23		(3		)	—			187
Merger related costs	—			8			—			—		—			—			8
Restructuring charge	—			(1		)	—			—		—			—			(1		)
Non-rental depreciation and amortization	5			58			—			7		—			—			70
Operating income (loss)	1			294			(2		)	29		3			—			325
Interest expense (income), net	1			182			2			2		1			(1		)	187
Other (income) expense, net	(37		)	52			(3		)	4		(20		)	—			(4		)
Income (loss) before provision for income taxes	37			60			(1		)	23		22			1			142
Provision for income taxes	1			32			—			6		9			—			48
Income (loss) before equity in net earnings (loss) of subsidiaries	36			28			(1		)	17		13			1			94
Equity in net earnings (loss) of subsidiaries	58			30			17			—		—			(105		)	—
Net income (loss)	94			58			16			17		13			(104		)	94
Other comprehensive income (loss)	36			36			36			28		—			(100		)	36
Comprehensive income (loss)	$	130		$	94		$	52		$	45	$	13		$	(204	)	$	130

CONDENSED CONSOLIDATING STATEMENT OF INCOME AND COMPREHENSIVE INCOME

For the Six Months EndedJune 30, 2015

	Parent			URNA			Guarantor Subsidiaries			Non-Guarantor Subsidiaries						Eliminations			Total
										Foreign			SPV
Revenues:
Equipment rentals	$	—		$	2,098		$	—		$	247		$	—		$	—		$	2,345
Sales of rental equipment	—			212			—			28			—			—			240
Sales of new equipment	—			63			—			9			—			—			72
Contractor supplies sales	—			34			—			5			—			—			39
Service and other revenues	—			41			—			7			—			—			48
Total revenues	—			2,448			—			296			—			—			2,744
Cost of revenues:
Cost of equipment rentals, excluding depreciation	—			773			—			116			—			—			889
Depreciation of rental equipment	—			427			—			48			—			—			475
Cost of rental equipment sales	—			117			—			15			—			—			132
Cost of new equipment sales	—			53			—			7			—			—			60
Cost of contractor supplies sales	—			24			—			3			—			—			27
Cost of service and other revenues	—			15			—			4			—			—			19
Total cost of revenues	—			1,409			—			193			—			—			1,602
Gross profit	—			1,039			—			103			—			—			1,142
Selling, general and administrative expenses	(1		)	304			—			38			15			—			356
Merger related costs	—			(26		)	—			—			—			—			(26		)
Restructuring charge	—			1			—			—			—			—			1
Non-rental depreciation and amortization	8			116			—			12			—			—			136
Operating (loss) income	(7		)	644			—			53			(15		)	—			675
Interest (income) expense, net	(1		)	351			2			2			2			(3		)	353
Other (income) expense, net	(73		)	107			1			3			(47		)	—			(9		)
Income (loss) before provision for income taxes	67			186			(3		)	48			30			3			331
Provision for income taxes	31			71			—			16			12			—			130
Income (loss) before equity in net earnings (loss) of subsidiaries	36			115			(3		)	32			18			3			201
Equity in net earnings (loss) of subsidiaries	165			50			32			—			—			(247		)	—
Net income (loss)	201			165			29			32			18			(244		)	201
Other comprehensive (loss) income	(72		)	(72		)	(74		)	(58		)	—			204			(72		)
Comprehensive income (loss)	$	129		$	93		$	(45	)	$	(26	)	$	18		$	(40	)	$	129

CONDENSED CONSOLIDATING STATEMENT OF INCOME AND COMPREHENSIVE INCOME

For the Six Months EndedJune 30, 2014

	Parent			URNA			Guarantor Subsidiaries			Non-Guarantor Subsidiaries						Eliminations			Total
										Foreign			SPV
Revenues:
Equipment rentals	$	—		$	1,914		$	—		$	270		$	—		$	—		$	2,184
Sales of rental equipment	—			222			—			26			—			—			248
Sales of new equipment	—			52			—			11			—			—			63
Contractor supplies sales	—			34			—			7			—			—			41
Service and other revenues	—			32			—			9			—			—			41
Total revenues	—			2,254			—			323			—			—			2,577
Cost of revenues:
Cost of equipment rentals, excluding depreciation	—			737			—			119			—			—			856
Depreciation of rental equipment	—			396			—			50			—			—			446
Cost of rental equipment sales	—			130			—			15			—			—			145
Cost of new equipment sales	—			43			—			8			—			—			51
Cost of contractor supplies sales	—			23			—			5			—			—			28
Cost of service and other revenues	—			10			—			4			—			—			14
Total cost of revenues	—			1,339			—			201			—			—			1,540
Gross profit	—			915			—			122			—			—			1,037
Selling, general and administrative expenses	19			294			2			43			(3		)	—			355
Merger related costs	—			9			—			—			—			—			9
Non-rental depreciation and amortization	9			109			—			12			—			—			130
Operating (loss) income	(28		)	503			(2		)	67			3			—			543
Interest expense (income), net	7			300			3			3			2			(3		)	312
Other (income) expense, net	(69		)	98			(1		)	7			(40		)	—			(5		)
Income (loss) before provision for income taxes	34			105			(4		)	57			41			3			236
Provision for income taxes	1			50			—			15			16			—			82
Income (loss) before equity in net earnings (loss) of subsidiaries	33			55			(4		)	42			25			3			154
Equity in net earnings (loss) of subsidiaries	121			66			42			—			—			(229		)	—
Net income (loss)	154			121			38			42			25			(226		)	154
Other comprehensive (loss) income	(3		)	(3		)	(2		)	(2		)	—			7			(3		)
Comprehensive income (loss)	$	151		$	118		$	36		$	40		$	25		$	(219	)	$	151

CONDENSED CONSOLIDATING CASH FLOW INFORMATION

CONDENSED CONSOLIDATING CASH FLOW INFORMATION

For the Six Months EndedJune 30, 2015

	Parent			URNA			Guarantor Subsidiaries			Non-Guarantor Subsidiaries						Eliminations		Total
										Foreign			SPV
Net cash provided by operating activities	$	6		$	1,069		$	1		$	144		$	30		$	—	$	1,250
Net cash used in investing activities	(6		)	(793		)	—			(77		)	—			—		(876		)
Net cash used in financing activities	—			(280		)	(1		)	(7		)	(30		)	—		(318		)
Effect of foreign exchange rates	—			—			—			(14		)	—			—		(14		)
Net (decrease) increase in cash and cash equivalents	—			(4		)	—			46			—			—		42
Cash and cash equivalents at beginning of period	—			8			—			150			—			—		158
Cash and cash equivalents at end of period	$	—		$	4		$	—		$	196		$	—		$	—	$	200

CONDENSED CONSOLIDATING CASH FLOW INFORMATION

For the Six Months EndedJune 30, 2014

	Parent			URNA			Guarantor Subsidiaries			Non-Guarantor Subsidiaries						Eliminations		Total
										Foreign			SPV
Net cash provided by (used in) operating activities	$	10		$	928		$	2		$	146		$	(32	)	$	—	$	1,054
Net cash used in investing activities	(10		)	(1,402		)	—			(158		)	—			—		(1,570		)
Net cash provided by (used in) financing activities	—			483			(2		)	(1		)	32			—		512
Effect of foreign exchange rates	—			—			—			(1		)	—			—		(1		)
Net increase (decrease) in cash and cash equivalents	—			9			—			(14		)	—			—		(5		)
Cash and cash equivalents at beginning of period	—			17			—			158			—			—		175
Cash and cash equivalents at end of period	$	—		$	26		$	—		$	144		$	—		$	—	$	170

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Debt (Narrative) (Details) - USD ($) $ / shares in Units, shares in Millions	1 Months Ended	6 Months Ended
	Nov. 30, 2009	Jun. 30, 2015	Jun. 30, 2014	Nov. 10, 2009
Convertible subordinated notes—4 percent
Debt Instrument
Hedge transactions cost	$ 26,000,000
Hedge transactions cost decrease in APIC	17,000,000
Convertible note hedge transactions shares (in shares)		0.7
Effective conversion price (in dollars per share)		$ 15.56
Percentage premium over price at issuance		75.00%
Closing price at issuance (in dollars per share)				$ 8.89
Market price per share (in dollars per share)		$ 80
ABL Facility
Debt Instrument
Maximum revolving credit amount percentage		10.00%
Convertible senior notes | Convertible subordinated notes—4 percent
Debt Instrument
Face amount	$ 173,000,000	$ 8,000,000
Stated interest rate		4.00%	4.00%
Common stock | Convertible subordinated notes—4 percent
Debt Instrument
Convertible equity shares (in shares)		0.6

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Acquisitions (Narrative) (Details) $ in Millions	1 Months Ended	3 Months Ended		6 Months Ended
	Apr. 30, 2014 USD ($) entity location	Jun. 30, 2015 USD ($)	Jun. 30, 2014 USD ($)	Jun. 30, 2015 USD ($)	Jun. 30, 2014 USD ($)
Business Acquisition [Line Items]
Number of entities acquired | entity	4
Acquisition related costs		$ 1	$ 8	$ (26)	$ 9
National Pump
Business Acquisition [Line Items]
Number of rental locations | location	35
Revenue reported by acquired entity for last annual period	$ 210
Acquisition related costs		1
Western Canada | National Pump
Business Acquisition [Line Items]
Number of rental locations | location	4
Other long-term assets | National Pump
Business Acquisition [Line Items]
Capitalized debt issuance costs		$ 22		22
Merger related costs | National Pump
Business Acquisition [Line Items]
Acquisition related costs				$ (26)

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Acquisitions (Consideration Transferred) (Details) - Apr. 30, 2014 - National Pump - USD ($) $ in Millions		Total
Business Acquisition [Line Items]
Cash consideration	[1]	$ 773
Contingent consideration	[2]	76
Total purchase consideration	[3]	849
Cash consideration, hold back amount	[1]	58
Stock issued, excluded from purchase consideration		$ 15

[1] a ‘hold back’ of $58 that was paid in April 2015.

[2] Reflects the acquisition date fair value of the contingent consideration that was paid in June 2015 as discussed in note 6 to our condensed consolidated financial statements.

[3] Total purchase consideration excludes $15 of stock which was issued in connection with the acquisition and will be treated as compensation for book purposes but primarily represents deductible goodwill for income tax purposes.

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CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (UNAUDITED) - USD ($) $ in Millions	6 Months Ended
	Jun. 30, 2015		Jun. 30, 2014
Cash Flows From Operating Activities:
Net income	$ 201		$ 154
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation and amortization	611		576
Amortization of deferred financing costs and original issue discounts	5		10
Gain on sales of rental equipment	(108)		(103)
Gain on sales of non-rental equipment	(4)		(4)
Stock compensation expense, net	25		31
Merger related costs	(26)		9
Restructuring charge	1	[1]	0
Loss on repurchase/redemption of debt securities and amendment of ABL facility	123		75
Increase in deferred taxes	70		57
Changes in operating assets and liabilities, net of amounts acquired:
Decrease in accounts receivable	37		8
Increase in inventory	(3)		(31)
Increase in prepaid expenses and other assets	(3)		(5)
Increase in accounts payable	401		315
Decrease in accrued expenses and other liabilities	(80)		(38)
Net cash provided by operating activities	1,250		1,054
Cash Flows From Investing Activities:
Purchases of rental equipment	(1,016)		(1,028)
Purchases of non-rental equipment	(50)		(52)
Proceeds from sales of rental equipment	240		248
Proceeds from sales of non-rental equipment	8		18
Purchases of other companies, net of cash acquired	(58)		(756)
Net cash used in investing activities	(876)		(1,570)
Cash Flows From Financing Activities:
Proceeds from debt	5,907		4,776
Payments of debt	(5,647)		(4,022)
Payment of contingent consideration	(52)		0
Proceeds from the exercise of common stock options	1		2
Common stock repurchased	(501)		(247)
Payments of financing costs	(26)		(22)
Cash received in connection with the 4 percent Convertible Senior Notes and related hedge, net	0		25
Net cash (used in) provided by financing activities	(318)		512
Effect of foreign exchange rates	(14)		(1)
Net increase (decrease) in cash and cash equivalents	42		(5)
Cash and cash equivalents at beginning of period	158		175
Cash and cash equivalents at end of period	200		170
Supplemental disclosure of cash flow information:
Cash paid for income taxes, net	30		36
Cash paid for interest	$ 253		$ 224

[1] Reflected in our condensed consolidated statements of income as “Restructuring charge.” These charges are not allocated to our reportable segments.

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Acquisitions (Assets Acquired and Liabilities Assumed) (Details) - USD ($) $ in Millions		Jun. 30, 2015	Dec. 31, 2014	Apr. 30, 2014
Business Acquisition [Line Items]
Goodwill		$ 3,253	$ 3,272
National Pump
Business Acquisition [Line Items]
Accounts receivable, net of allowance for doubtful accounts	[1]			$ 44
Inventory				19
Deferred taxes				6
Rental equipment				172
Property and equipment				10
Intangibles	[2]			289
Other assets				1
Total identifiable assets acquired				541
Current liabilities				(25)
Total liabilities assumed				(25)
Net identifiable assets acquired				516
Goodwill	[3]			333
Net assets acquired				849
Accounts receivable, gross				47
Goodwill, amount expected to be deductible for income tax purposes				325
Estimated uncollectible receivables				3
Trench, power and pump | National Pump
Business Acquisition [Line Items]
Goodwill	[3]			321
General rentals | National Pump
Business Acquisition [Line Items]
Goodwill	[3]			$ 12

[1] The fair value of accounts receivables acquired was $44, and the gross contractual amount was $47. We estimated that $3 would be uncollectible.

[2] The following table reflects the estimated fair values and useful lives of the acquired intangible assets identified based on our purchase accounting assessments: Fair value Life (years) Customer relationships$27410 Non-compete agreements156 Total$289

[3] $321 of the goodwill was assigned to our trench, power and pump segment and $12 of the goodwill was assigned to our general rentals segment. The level of goodwill that resulted from the acquisition is primarily reflective of National Pump's going-concern value, the value of National Pump's assembled workforce, new customer relationships expected to arise from the acquisition, and operational synergies that we expect to achieve that would not be available to other market participants. $325 of goodwill is expected to be deductible for income tax purposes. The amount of goodwill that is expected to be deductible for income tax purposes declined during the six months ended June 30, 2015 due to a decline in the fair value of the contingent cash consideration component of the National Pump purchase price due to lower than expected financial performance compared to agreed upon financial targets, as discussed in note 6 to our condensed consolidated financial statements.

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Derivatives (Narrative) (Details) gal in Millions	6 Months Ended
	Jun. 30, 2015 gal
Diesel swap | Fixed price swap contracts
Derivative [Line Items]
Fixed price swap contract (in gallons)	10.8

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CONDENSED CONSOLIDATED BALANCE SHEETS - USD ($) $ in Millions		Jun. 30, 2015	Dec. 31, 2014
ASSETS
Cash and cash equivalents		$ 200	$ 158
Accounts receivable, net of allowance for doubtful accounts of $45 at June 30, 2015 and $43 at December 31, 2014		894	940
Inventory		81	78
Prepaid expenses and other assets		74	122
Deferred taxes		187	248
Total current assets		1,436	1,546
Goodwill		3,253	3,272
Other intangible assets, net		1,000	1,106
Other long-term assets		95	97
Total assets		12,605	12,467
LIABILITIES AND STOCKHOLDERS’ EQUITY
Short-term debt and current maturities of long-term debt	[1]	590	618
Accounts payable		683	285
Accrued expenses and other liabilities		309	575
Total current liabilities		1,582	1,478
Long-term debt		7,820	7,434
Deferred taxes		1,696	1,692
Other long-term liabilities		55	65
Total liabilities		11,153	10,669
Temporary equity (note 7)		1	2
Common stock—$0.01 par value, 500,000,000 shares authorized, 110,963,906 and 95,368,939 shares issued and outstanding, respectively, at June 30, 2015 and 108,233,686 and 97,877,580 shares issued and outstanding, respectively, at December 31, 2014		1	1
Additional paid-in capital		2,165	2,168
Retained earnings		704	503
Treasury stock at cost—15,594,967 and 10,356,106 shares at June 30, 2015 and December 31, 2014, respectively		(1,273)	(802)
Accumulated other comprehensive loss		(146)	(74)
Total stockholders’ equity		1,451	1,796
Total liabilities and stockholders’ equity		12,605	12,467
Rental equipment, net
ASSETS
Property, plant and equipment, net		6,396	6,008
Property and equipment, net
ASSETS
Property, plant and equipment, net		$ 425	$ 438

[1] As of June 30, 2015, our short-term debt primarily reflects $549 of borrowings under our accounts receivable securitization facility.

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Debt (Schedule of long-term debt instruments) (Details) - USD ($)		1 Months Ended		6 Months Ended		12 Months Ended
		Apr. 30, 2015	Mar. 31, 2015	Jun. 30, 2015	Jun. 30, 2014	Dec. 31, 2023	Dec. 31, 2021	Dec. 31, 2020	Dec. 31, 2018	Dec. 31, 2014	Apr. 30, 2014	Nov. 30, 2009
Debt Instrument
Total debt				$ 8,410,000,000						$ 8,052,000,000
Less short-term portion	[1]			(590,000,000)						(618,000,000)
Total long-term debt				7,820,000,000						7,434,000,000
Loss on repurchase/redemption of debt securities and amendment of ABL facility				$ 123,000,000	$ 75,000,000
Accounts Receivable Securitization Facility
Debt Instrument
Credit facility interest rate at period end				0.90%
5 3/4 percent Senior Secured Notes
Debt Instrument
Stated interest rate				5.75%
8 3/8 percent Senior Subordinated Notes
Debt Instrument
Stated interest rate				8.375%
7 3/8 percent Senior Notes
Debt Instrument
Stated interest rate				7.375%
8 1/4 percent Senior Notes
Debt Instrument
Stated interest rate				8.25%
Redemption notice, amount		$ 350,000,000
7 5/8 percent Senior Notes
Debt Instrument
Stated interest rate				7.625%
6 1/8 percent Senior Notes
Debt Instrument
Stated interest rate				6.125%
4 5/8 percent Senior Notes
Debt Instrument
Stated interest rate				4.625%
5 3/4 percent Senior Notes
Debt Instrument
Stated interest rate				5.75%
5 1/2 percent Senior Notes
Debt Instrument
Stated interest rate				5.50%
Credit facility | $2.5 billion ABL Facility
Debt Instrument
Current borrowing capacity under credit facility				$ 680,000,000
Credit facility interest rate at period end				1.80%
Letters of credit outstanding				$ 49,000,000
Average outstanding amount				$ 1,200,000,000
Weighted average interest rate, long-term				2.00%
ABL Facility maximum month-end outstanding amount				$ 1,800,000,000
Senior secured notes | 4 5/8 percent Senior Notes
Debt Instrument
Face amount			$ 1,000,000,000
Proceeds from issuance of long-term debt			$ 990,000,000
Redemption price, percentage			101.00%
Senior notes | 5 3/4 percent Senior Notes
Debt Instrument
Face amount											$ 850,000,000
Senior notes | 5 1/2 percent Senior Notes
Debt Instrument
Face amount			$ 800,000,000
Proceeds from issuance of long-term debt			$ 792,000,000
Redemption price, percentage			101.00%
Accounts receivable facility | Accounts Receivable Securitization Facility
Debt Instrument
Current borrowing capacity under credit facility				1,000,000
Average outstanding amount under facility				$ 456,000,000
Weighted average interest rate, short-term				0.80%
A/R Securitization maximum month-end outstanding amount				$ 550,000,000
Collateral amount				627,000,000
Convertible senior notes | Convertible subordinated notes—4 percent
Debt Instrument
Total debt	[2]			$ 7,000,000						32,000,000
Stated interest rate				4.00%	4.00%
Loss on repurchase/redemption of debt securities and amendment of ABL facility				$ 1,000,000
Face amount				8,000,000								$ 173,000,000
Unamortized discount				1,000,000
Extinguishment of debt, amount				$ 26,000,000
Convertible, conversion price (in dollars per share)				$ 11.11
URNA and subsidiaries
Debt Instrument
Total debt				$ 8,403,000,000						8,020,000,000
URNA and subsidiaries | $2.5 billion ABL Facility
Debt Instrument
Maximum borrowing capacity			$ 2,500,000,000.0	2,500,000,000.0
URNA and subsidiaries | Capital leases
Debt Instrument
Total debt				92,000,000						105,000,000
URNA and subsidiaries | Credit facility | $2.5 billion ABL Facility
Debt Instrument
Total debt	[3]			1,771,000,000						1,304,000,000
URNA and subsidiaries | Senior secured notes | 5 3/4 percent Senior Secured Notes
Debt Instrument
Total debt	[4]			0						750,000,000
URNA and subsidiaries | Senior secured notes | 4 5/8 percent Senior Notes
Debt Instrument
Total debt	[5]			1,000,000,000						0
URNA and subsidiaries | Senior notes | 7 3/8 percent Senior Notes
Debt Instrument
Total debt				750,000,000						750,000,000
URNA and subsidiaries | Senior notes | 8 1/4 percent Senior Notes
Debt Instrument
Total debt	[6]			316,000,000						687,000,000
URNA and subsidiaries | Senior notes | 7 5/8 percent Senior Notes
Debt Instrument
Total debt				1,325,000,000						1,325,000,000
URNA and subsidiaries | Senior notes | 6 1/8 percent Senior Notes
Debt Instrument
Total debt				950,000,000						951,000,000
URNA and subsidiaries | Senior notes | 5 3/4 percent Senior Notes
Debt Instrument
Total debt				850,000,000						850,000,000
URNA and subsidiaries | Senior notes | 5 1/2 percent Senior Notes
Debt Instrument
Total debt	[7]			800,000,000						0
URNA and subsidiaries | Senior subordinated notes | 8 3/8 percent Senior Subordinated Notes
Debt Instrument
Total debt	[4]			0						750,000,000
URNA and subsidiaries | Accounts receivable facility | Accounts Receivable Securitization Facility
Debt Instrument
Total debt	[8]			$ 549,000,000						$ 548,000,000
Forecast | Senior secured notes | 4 5/8 percent Senior Notes
Debt Instrument
Redemption price, percentage							100.00%		103.469%
Forecast | Senior notes | 5 1/2 percent Senior Notes
Debt Instrument
Redemption price, percentage						100.00%		102.75%
Interest expense, net | 5 3/4 percent Senior Secured Notes and 8 3/8 percent Senior Subordinated Notes
Debt Instrument
Loss on repurchase/redemption of debt securities and amendment of ABL facility		106,000,000
Interest expense, net | 8 1/4 percent Senior Notes
Debt Instrument
Loss on repurchase/redemption of debt securities and amendment of ABL facility		$ 15,000,000

[1] As of June 30, 2015, our short-term debt primarily reflects $549 of borrowings under our accounts receivable securitization facility.

[2] The difference between the June 30, 2015 carrying value of the 4 percent Convertible Senior Notes and the $8 principal amount reflects the $1 unamortized portion of the original issue discount recognized upon issuance of the notes, which is being amortized through the maturity date of November 15, 2015. Because the 4 percent Convertible Senior Notes were redeemable at June 30, 2015, an amount equal to the $1 unamortized portion of the original issue discount is separately classified in our condensed consolidated balance sheets and referred to as “temporary equity.” During the six months ended June 30, 2015, $26 of our 4 percent Convertible Senior Notes were redeemed. We recognized a loss of approximately $1 in interest expense, net upon redemption. The loss represented the difference between the net carrying amount and the fair value of the debt component of the notes. Holders of the 4 percent Convertible Senior Notes have the right to redeem the notes prior to November 15, 2015 at a conversion price of $11.11 per share of common stock. Since July 1, 2015 (the beginning of the third quarter), none of the 4 percent Convertible Senior Notes have been redeemed.

[3] At June 30, 2015, $680 was available under our ABL facility, net of $49 of letters of credit. The interest rate applicable to the ABL facility was 1.8 percent at June 30, 2015. During the six months ended June 30, 2015, the monthly average amount outstanding under the ABL facility was $1.2 billion, and the weighted-average interest rate thereon was 2.0 percent. The maximum month-end amount outstanding under the ABL facility during the six months ended June 30, 2015 was $1.8 billion. In March 2015, the ABL facility was amended, primarily to increase the facility size and to extend the maturity date. The size of the facility was increased to $2.5 billion. All amounts borrowed under the ABL facility must be repaid on or before March 2020.

[4] In April 2015, we redeemed all of our 5 3/4 percent Senior Secured Notes and 8 3/8 percent Senior Subordinated Notes. Upon redemption, we recognized an aggregate loss of $106 in interest expense, net. The loss represented the difference between the net carrying amount and the total purchase price of the notes.

[5] In March 2015, URNA issued $1.0 billion aggregate principal amount of 4 5/8 percent Senior Secured Notes (the “4 5/8 percent Notes”) which are due July 15, 2023. The net proceeds from issuance were approximately $990 (after deducting offering expenses). The 4 5/8 percent Notes are guaranteed by Holdings and certain domestic subsidiaries of URNA and are secured on a second-priority basis by liens on substantially all of URNA’s and the guarantors’ assets that secure the ABL facility, subject to certain exceptions. The 4 5/8 percent Notes may be redeemed on or after July 15, 2018, at specified redemption prices that range from 103.469 percent in 2018, to 100 percent in 2021 and thereafter, plus accrued and unpaid interest, if any. The indenture governing the 4 5/8 percent Notes contains certain restrictive covenants, including, among others, limitations on (i) liens; (ii) additional indebtedness; (iii) mergers, consolidations and acquisitions; (iv) sales, transfers and other dispositions of assets; (v) loans and other investments; (vi) dividends and other distributions, stock repurchases and redemptions and other restricted payments; (vii) restrictions affecting subsidiaries; (viii) transactions with affiliates; and (ix) designations of unrestricted subsidiaries, as well as a requirement to timely file periodic reports with the SEC. The indenture also includes covenants relating to the grant of and maintenance of liens for the benefit of the notes collateral agent. Each of the restrictive covenants is subject to important exceptions and qualifications that would allow URNA and its subsidiaries to engage in these activities under certain conditions. The indenture also requires that, in the event of a change of control (as defined in the indenture), URNA must make an offer to purchase all of the then-outstanding 4 5/8 percent Notes tendered at a purchase price in cash equal to 101 percent of the principal amount thereof, plus accrued and unpaid interest, if any, thereon.

[6] In April 2015, we redeemed $350 principal amount of our 8 1/4 percent Senior Notes. Upon redemption, we recognized a loss of $15 in interest expense, net. The loss represented the difference between the net carrying amount and the total purchase price of the redeemed notes.

[7] In March 2015, URNA issued $800 aggregate principal amount of 5 1/2 percent Senior Notes (the “5 1/2 percent Notes”) which are due July 15, 2025. The net proceeds from the issuance were approximately $792 (after deducting offering expenses). The 5 1/2 percent Notes are unsecured and are guaranteed by Holdings and certain domestic subsidiaries of URNA. The 5 1/2 percent Notes may be redeemed on or after July 15, 2020, at specified redemption prices that range from 102.75 percent in 2020, to 100 percent in 2023 and thereafter, plus accrued and unpaid interest, if any. The indenture governing the 5 1/2 percent Notes contains certain restrictive covenants, including, among others, limitations on (i) liens; (ii) additional indebtedness; (iii) mergers, consolidations and acquisitions; (iv) sales, transfers and other dispositions of assets; (v) loans and other investments; (vi) dividends and other distributions, stock repurchases and redemptions and other restricted payments; (vii) restrictions affecting subsidiaries; (viii) transactions with affiliates; and (ix) designations of unrestricted subsidiaries, as well as a requirement to timely file periodic reports with the SEC. Each of the restrictive covenants is subject to important exceptions and qualifications that would allow URNA and its subsidiaries to engage in these activities under certain conditions. The indenture also requires that, in the event of a change of control (as defined in the indenture), URNA must make an offer to purchase all of the then-outstanding 5 1/2 percent Notes tendered at a purchase price in cash equal to 101 percent of the principal amount thereof, plus accrued and unpaid interest, if any, thereon.

[8] At June 30, 2015, $1 was available under our accounts receivable securitization facility. The interest rate applicable to the accounts receivable securitization facility was 0.9 percent at June 30, 2015. During the six months ended June 30, 2015, the monthly average amount outstanding under the accounts receivable securitization facility was $456, and the weighted-average interest rate thereon was 0.8 percent. The maximum month-end amount outstanding under the accounts receivable securitization facility during the six months ended June 30, 2015 was $550. Borrowings under the accounts receivable securitization facility are permitted only to the extent that the face amount of the receivables in the collateral pool, net of applicable reserves, exceeds the outstanding loans. As of June 30, 2015, there were $627 of receivables, net of applicable reserves, in the collateral pool.

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CONDENSED CONSOLIDATED STATEMENT OF STOCKHOLDERS' EQUITY (UNAUDITED) - 6 months ended Jun. 30, 2015 - USD ($) shares in Millions, $ in Millions		Total	Common Stock		Additional Paid-in Capital	Retained Earnings	Treasury Stock	Accumulated Other Comprehensive (Loss) Income	[2]
Balance (in shares) at Dec. 31, 2014			98	[1]			10
Balance at Dec. 31, 2014		$ 1,796	$ 1		$ 2,168	$ 503	$ (802)	$ (74)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net income		201				201
Foreign currency translation adjustments		(73)						(73)
Fixed price diesel swaps		1						1
Stock compensation expense, net					25
Exercise of common stock options					1
4 percent Convertible Senior Notes (in shares)	[1],[3]		3
4 percent Convertible Senior Notes	[3]				1
Shares repurchased and retired					(30)
Repurchase of common stock (in shares)			(6)	[1]			6
Repurchase of common stock							$ (471)
Balance (in shares) at Jun. 30, 2015			95	[1]			16
Balance at Jun. 30, 2015		$ 1,451	$ 1		$ 2,165	$ 704	$ (1,273)	$ (146)

[1] An aggregate of less than 5 million net shares were issued during the year ended December 31, 2014.

[2] The Accumulated Other Comprehensive Loss balance primarily reflects foreign currency translation adjustments.

[3] Reflects amortization of the original issue discount on the 4 percent Convertible Senior Notes (an amount equal to the unamortized portion of the original issue discount is reflected as “temporary equity” in our consolidated balance sheet) and the conversion of a portion of the 4 percent Convertible Senior Notes during the six months ended June 30, 2015. See note 7 to our condensed consolidated financial statements for additional detail.

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Acquisitions (Revenue and Pretax Income of Acquiree) (Details) - National Pump - USD ($) $ in Millions		3 Months Ended		6 Months Ended
		Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014
Business Acquisition [Line Items]
Revenue		$ 54	$ 67	$ 111	$ 67
Pretax (loss) income	[1]	$ (2)	$ 14	$ (4)	$ 14

[1] Pretax (loss) income excludes merger related costs which are not allocated to our segments. Pretax loss for the three and six months ended June 30, 2015 primarily reflects volume and pricing pressure associated with upstream oil and gas customers, and the amortization of the intangible assets acquired in the National Pump acquisition.

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Segment Information (Tables)

6 Months Ended

Jun. 30, 2015

Segment Reporting [Abstract]

Financial information by segment

The following tables set forth financial information by segment.

	General rentals		Trench, power and  pump		Total
Three Months Ended June 30, 2015
Equipment rentals	$	1,048	$	172	$	1,220
Sales of rental equipment	116		8		124
Sales of new equipment	35		4		39
Contractor supplies sales	18		3		21
Service and other revenues	23		2		25
Total revenue	1,240		189		1,429
Depreciation and amortization expense	264		43		307
Equipment rentals gross profit	456		79		535
Three Months Ended June 30, 2014
Equipment rentals	$	1,028	$	151	$	1,179
Sales of rental equipment	132		6		138
Sales of new equipment	25		12		37
Contractor supplies sales	19		3		22
Service and other revenues	17		6		23
Total revenue	1,221		178		1,399
Depreciation and amortization expense	263		36		299
Equipment rentals gross profit	426		77		503
Six Months Ended June 30, 2015
Equipment rentals	$	2,024	$	321	$	2,345
Sales of rental equipment	224		16		240
Sales of new equipment	61		11		72
Contractor supplies sales	33		6		39
Service and other revenues	42		6		48
Total revenue	2,384		360		2,744
Depreciation and amortization expense	526		85		611
Equipment rentals gross profit	839		142		981
Capital expenditures	949		117		1,066
Six Months Ended June 30, 2014
Equipment rentals	$	1,952	$	232	$	2,184
Sales of rental equipment	238		10		248
Sales of new equipment	49		14		63
Contractor supplies sales	36		5		41
Service and other revenues	34		7		41
Total revenue	2,309		268		2,577
Depreciation and amortization expense	522		54		576
Equipment rentals gross profit	770		112		882
Capital expenditures	981		99		1,080

	June 30, 2015		December 31, 2014
Total reportable segment assets
General rentals	$	11,053	$	10,935
Trench, power and pump	1,552		1,532
Total assets	$	12,605	$	12,467

Reconciliation to equipment rentals gross profit

Equipment rentals gross profit is the primary measure management reviews to make operating decisions and assess segment performance. The following is a reconciliation of equipment rentals gross profit to income before provision for income taxes:

	Three Months Ended						Six Months Ended
	June 30,						June 30,
	2015			2014			2015			2014
Total equipment rentals gross profit	$	535		$	503		$	981		$	882
Gross profit from other lines of business	83			86			161			155
Selling, general and administrative expenses	(175		)	(187		)	(356		)	(355		)
Merger related costs	(1		)	(8		)	26			(9		)
Restructuring charge	—			1			(1		)	—
Non-rental depreciation and amortization	(67		)	(70		)	(136		)	(130		)
Interest expense, net	(232		)	(187		)	(353		)	(312		)
Other income, net	6			4			9			5
Income before provision for income taxes	$	149		$	142		$	331		$	236

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Segment Information (Financial information by segment) (Details) $ in Millions	3 Months Ended		6 Months Ended
	Jun. 30, 2015 USD ($) location	Jun. 30, 2014 USD ($)	Jun. 30, 2015 USD ($) location	Jun. 30, 2014 USD ($)	Dec. 31, 2014 USD ($)
Segment Reporting Information
Equipment rentals	$ 1,220	$ 1,179	$ 2,345	$ 2,184
Sales of rental equipment	124	138	240	248
Sales of new equipment	39	37	72	63
Contractor supplies sales	21	22	39	41
Service and other revenues	25	23	48	41
Total revenues	1,429	1,399	2,744	2,577
Gross profit	618	589	1,142	1,037
Assets	12,605		12,605		$ 12,467
Operating Segments
Segment Reporting Information
Equipment rentals	1,220	1,179	2,345	2,184
Sales of rental equipment	124	138	240	248
Sales of new equipment	39	37	72	63
Contractor supplies sales	21	22	39	41
Service and other revenues	25	23	48	41
Total revenues	1,429	1,399	2,744	2,577
Depreciation and amortization expense	307	299	611	576
Capital expenditures			1,066	1,080
Assets	$ 12,605		$ 12,605		12,467
Operating Segments | General rentals
Segment Reporting Information
Number of geographic regions entity operates in (locations) | location	11		11
Equipment rentals	$ 1,048	1,028	$ 2,024	1,952
Sales of rental equipment	116	132	224	238
Sales of new equipment	35	25	61	49
Contractor supplies sales	18	19	33	36
Service and other revenues	23	17	42	34
Total revenues	1,240	1,221	2,384	2,309
Depreciation and amortization expense	264	263	526	522
Capital expenditures			949	981
Assets	11,053		11,053		10,935
Operating Segments | Trench, power and pump
Segment Reporting Information
Equipment rentals	172	151	321	232
Sales of rental equipment	8	6	16	10
Sales of new equipment	4	12	11	14
Contractor supplies sales	3	3	6	5
Service and other revenues	2	6	6	7
Total revenues	189	178	360	268
Depreciation and amortization expense	43	36	85	54
Capital expenditures			117	99
Assets	1,552		1,552		$ 1,532
Equipment rentals
Segment Reporting Information
Gross profit	535	503	981	882
Equipment rentals | Operating Segments
Segment Reporting Information
Gross profit	535	503	981	882
Equipment rentals | Operating Segments | General rentals
Segment Reporting Information
Gross profit	456	426	839	770
Equipment rentals | Operating Segments | Trench, power and pump
Segment Reporting Information
Gross profit	$ 79	$ 77	$ 142	$ 112

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Derivatives (Tables)

6 Months Ended

Jun. 30, 2015

Derivative Instruments and Hedging Activities Disclosure [Abstract]

Effect of derivatives on consolidated statements of income

The effect of our derivative instruments on our condensed consolidated statements of income for the three and six months ended June 30, 2015 and 2014 was as follows:

		Three Months Ended June 30, 2015					Three Months Ended June 30, 2014
	Location of income (expense) recognized on derivative/hedged item	Amount of  income (expense) recognized on derivative		Amount of  income (expense) recognized on hedged item			Amount of  income (expense) recognized on derivative	Amount of  income (expense) recognized on hedged item
Derivatives designated as hedging instruments:
Fixed price diesel swaps	Other income (expense), net (1)	$ *					$ *
	Cost of equipment rentals, excluding depreciation (2), (3)	(1	)	$	(9	)	*	$	(12	)
		Six Months Ended June 30, 2015					Six Months Ended June 30, 2014
	Location of income (expense) recognized on derivative/hedged item	Amount of  income (expense) recognized on derivative		Amount of  income (expense) recognized on hedged item			Amount of  income (expense) recognized on derivative	Amount of  income (expense) recognized on hedged item
Derivatives designated as hedging instruments:
Fixed price diesel swaps	Other income (expense), net (1)	$ *					$ *
	Cost of equipment rentals, excluding depreciation (2), (3)	(3	)	$	(16	)	*	$	(22	)

* Amounts are insignificant (less than $1).

(1) Represents the ineffective portion of the fixed price diesel swaps.

(2) Amounts recognized on derivative represent the effective portion of the fixed price diesel swaps.

(3) Amounts recognized on hedged item reflect the use of 2.8 million and 3.0 million gallons of diesel covered by the fixed price swaps during the three months ended June 30, 2015 and 2014, respectively, and the use of 5.4 million and 5.6 million gallons of diesel covered by the fixed price swaps during the six months ended June 30, 2015 and 2014, respectively. These amounts are reflected, net of cash received from, or paid to, the counterparties to the fixed price swaps, in operating cash flows in our condensed consolidated statement of cash flows.

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CONDENSED CONSOLIDATED STATEMENT OF STOCKHOLDERS' EQUITY (UNAUDITED) (Footnotes) - shares shares in Millions	12 Months Ended
	Dec. 31, 2014
Shares issued during the year (less than 5 million shares)	5

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CONDENSED CONSOLIDATED BALANCE SHEETS (Parenthetical) - USD ($) $ in Millions	Jun. 30, 2015	Dec. 31, 2014
Statement of Financial Position [Abstract]
Allowance for doubtful accounts	$ 45	$ 43
Common stock, par value (in dollars per share)	$ 0.01	$ 0.01
Common stock, shares authorized	500,000,000	500,000,000
Common stock, shares issued	110,963,906	108,233,686
Common stock, shares outstanding	95,368,939	97,877,580
Treasury stock, shares	15,594,967	10,356,106

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Legal and Regulatory Matters

6 Months Ended

Jun. 30, 2015

Commitments and Contingencies Disclosure [Abstract]

Legal and Regulatory Matters

Legal and Regulatory Matters

In addition to the disclosures provided in note 14 to our consolidated financial statements for the year ended December 31, 2014 filed on Form 10-K on January 21, 2015, we are also subject to a number of claims and proceedings that generally arise in the ordinary conduct of our business. These matters include, but are not limited to, general liability claims (including personal injury, property and auto claims), indemnification and guarantee obligations, employee injuries and employment-related claims, self-insurance obligations and contract and real estate matters. Based on advice of counsel and available information, including current status or stage of proceeding, and taking into account accruals for matters where we have established them, we currently believe that any liabilities ultimately resulting from these ordinary course claims and proceedings will not, individually or in the aggregate, have a material adverse effect on our consolidated financial condition, results of operations or cash flows.

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Document And Entity Information - shares	6 Months Ended
	Jun. 30, 2015	Jul. 20, 2015
Document And Entity Information [Abstract]
Entity Registrant Name	UNITED RENTALS INC /DE
Entity Central Index Key	0001067701
Current Fiscal Year End Date	--12-31
Entity Filer Category	Large Accelerated Filer
Document Type	10-Q
Document Period End Date	Jun. 30, 2015
Document Fiscal Year Focus	2015
Document Fiscal Period Focus	Q2
Amendment Flag	false
Entity Common Stock, Shares Outstanding		95,369,973

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Earnings Per Share

6 Months Ended

Jun. 30, 2015

Earnings Per Share [Abstract]

Earnings Per Share

Earnings Per Share

Basic earnings per share is computed by dividing net income available to common stockholders by the weighted-average number of common shares outstanding. Diluted earnings per share is computed by dividing net income available to common stockholders by the weighted-average number of common shares plus the effect of dilutive potential common shares outstanding during the period. The following table sets forth the computation of basic and diluted earnings per share (shares in thousands):

	Three Months Ended				Six Months Ended
	June 30,				June 30,
	2015		2014		2015		2014
Numerator:
Net income available to common stockholders	$	86	$	94	201		154
Denominator:
Denominator for basic earnings per share—weighted-average common shares	96,647		97,002		96,896		96,118
Effect of dilutive securities:
Employee stock options and warrants	298		413		318		425
4 percent Convertible Senior Notes	605		7,758		894		9,005
Restricted stock units	197		421		308		475
Denominator for diluted earnings per share—adjusted weighted-average common shares	97,747		105,594		98,416		106,023
Basic earnings per share	$	0.89	$	0.98	$	2.07	$	1.61
Diluted earnings per share	$	0.88	$	0.90	$	2.04	$	1.46

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CONDENSED CONSOLIDATED STATEMENTS OF INCOME (UNAUDITED) - USD ($) $ in Millions	3 Months Ended		6 Months Ended
	Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015		Jun. 30, 2014
Revenues:
Equipment rentals	$ 1,220	$ 1,179	$ 2,345		$ 2,184
Sales of rental equipment	124	138	240		248
Sales of new equipment	39	37	72		63
Contractor supplies sales	21	22	39		41
Service and other revenues	25	23	48		41
Total revenues	1,429	1,399	2,744		2,577
Cost of revenues:
Cost of equipment rentals, excluding depreciation	445	447	889		856
Depreciation of rental equipment	240	229	475		446
Cost of rental equipment sales	68	80	132		145
Cost of new equipment sales	33	31	60		51
Cost of contractor supplies sales	15	15	27		28
Cost of service and other revenues	10	8	19		14
Total cost of revenues	811	810	1,602		1,540
Gross profit	618	589	1,142		1,037
Selling, general and administrative expenses	175	187	356		355
Merger related costs	1	8	(26)		9
Restructuring charge	0	(1)	1	[1]	0
Non-rental depreciation and amortization	67	70	136		130
Operating income	375	325	675		543
Interest expense, net	232	187	353		312
Other income, net	(6)	(4)	(9)		(5)
Income before provision for income taxes	149	142	331		236
Provision for income taxes	63	48	130		82
Net income	$ 86	$ 94	$ 201		$ 154
Basic earnings per share (in dollars per share)	$ 0.89	$ 0.98	$ 2.07		$ 1.61
Diluted earnings per share (in dollars per share)	$ 0.88	$ 0.90	$ 2.04		$ 1.46

[1] Reflected in our condensed consolidated statements of income as “Restructuring charge.” These charges are not allocated to our reportable segments.

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Segment Information

6 Months Ended

Jun. 30, 2015

Segment Reporting [Abstract]

Segment Information

Segment Information

Our reportable segments are general rentals and trench, power and pump. The general rentals segment includes the rental of construction, infrastructure, industrial and homeowner equipment and related services and activities. The general rentals segment’s customers include construction and industrial companies, manufacturers, utilities, municipalities, homeowners and government entities. The general rentals segment comprises 11 geographic regions—Eastern Canada, Industrial (which serves the geographic Gulf region and has a strong industrial presence), Mid-Atlantic, Midwest, Mountain West, Northeast, Pacific West, South-Central, South, Southeast and Western Canada—and operates throughout the United States and Canada. The trench, power and pump segment includes the rental of specialty construction products and related services. The trench, power and pump segment is comprised of the Trench Safety region, which rents trench safety equipment such as trench shields, aluminum hydraulic shoring systems, slide rails, crossing plates, construction lasers and line testing equipment for underground work, the Power and HVAC (heating, ventilating and air conditioning) region, which rents power and HVAC equipment such as portable diesel generators, electrical distribution equipment, and temperature control equipment including heating and cooling equipment, and the Pump Solutions region, which rents pumps primarily used by energy and petrochemical customers. The trench, power and pump segment’s customers include construction companies involved in infrastructure projects, municipalities and industrial companies. This segment operates throughout the United States and in Canada. These segments align our external segment reporting with how management evaluates and allocates resources. We evaluate segment performance based on segment equipment rentals gross profit.

The following tables set forth financial information by segment.

	General rentals		Trench, power and  pump		Total
Three Months Ended June 30, 2015
Equipment rentals	$	1,048	$	172	$	1,220
Sales of rental equipment	116		8		124
Sales of new equipment	35		4		39
Contractor supplies sales	18		3		21
Service and other revenues	23		2		25
Total revenue	1,240		189		1,429
Depreciation and amortization expense	264		43		307
Equipment rentals gross profit	456		79		535
Three Months Ended June 30, 2014
Equipment rentals	$	1,028	$	151	$	1,179
Sales of rental equipment	132		6		138
Sales of new equipment	25		12		37
Contractor supplies sales	19		3		22
Service and other revenues	17		6		23
Total revenue	1,221		178		1,399
Depreciation and amortization expense	263		36		299
Equipment rentals gross profit	426		77		503
Six Months Ended June 30, 2015
Equipment rentals	$	2,024	$	321	$	2,345
Sales of rental equipment	224		16		240
Sales of new equipment	61		11		72
Contractor supplies sales	33		6		39
Service and other revenues	42		6		48
Total revenue	2,384		360		2,744
Depreciation and amortization expense	526		85		611
Equipment rentals gross profit	839		142		981
Capital expenditures	949		117		1,066
Six Months Ended June 30, 2014
Equipment rentals	$	1,952	$	232	$	2,184
Sales of rental equipment	238		10		248
Sales of new equipment	49		14		63
Contractor supplies sales	36		5		41
Service and other revenues	34		7		41
Total revenue	2,309		268		2,577
Depreciation and amortization expense	522		54		576
Equipment rentals gross profit	770		112		882
Capital expenditures	981		99		1,080

	June 30, 2015		December 31, 2014
Total reportable segment assets
General rentals	$	11,053	$	10,935
Trench, power and pump	1,552		1,532
Total assets	$	12,605	$	12,467

Equipment rentals gross profit is the primary measure management reviews to make operating decisions and assess segment performance. The following is a reconciliation of equipment rentals gross profit to income before provision for income taxes:

	Three Months Ended						Six Months Ended
	June 30,						June 30,
	2015			2014			2015			2014
Total equipment rentals gross profit	$	535		$	503		$	981		$	882
Gross profit from other lines of business	83			86			161			155
Selling, general and administrative expenses	(175		)	(187		)	(356		)	(355		)
Merger related costs	(1		)	(8		)	26			(9		)
Restructuring charge	—			1			(1		)	—
Non-rental depreciation and amortization	(67		)	(70		)	(136		)	(130		)
Interest expense, net	(232		)	(187		)	(353		)	(312		)
Other income, net	6			4			9			5
Income before provision for income taxes	$	149		$	142		$	331		$	236

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Acquisitions

6 Months Ended

Jun. 30, 2015

Business Combinations [Abstract]

Acquisitions

Acquisitions

In April 2014, we completed the acquisition of assets of the following four entities: National Pump & Compressor, Ltd., Canadian Pump and Compressor Ltd., GulfCo Industrial Equipment, LP and LD Services, LLC (collectively “National Pump”). National Pump was the second largest specialty pump rental company in North America. National Pump was a leading supplier of pumps for energy and petrochemical customers, with upstream oil and gas customers representing about half of its revenue. National Pump had a total of 35 branches, including four branches in western Canada, and had annual revenues of approximately $210. The acquisition is expected to expand our product offering, and supports our strategy of expanding our presence in industrial and specialty rental markets.

The acquisition date fair value of the consideration transferred consisted of the following:

Cash consideration (1)	$	773
Contingent consideration (2)	76
Total purchase consideration (3)	$	849

(1) Includes a ‘hold back’ of $58 that was paid in April 2015.

(2) Reflects the acquisition date fair value of the contingent consideration that was paid in June 2015 as discussed in note 6 to our condensed consolidated financial statements.

(3) Total purchase consideration excludes $15 of stock which was issued in connection with the acquisition and will be treated as compensation for book purposes but primarily represents deductible goodwill for income tax purposes.

The following table summarizes the fair values of the assets acquired and liabilities assumed as of the acquisition date:

Accounts receivable, net of allowance for doubtful accounts (1)	$	44
Inventory	19
Deferred taxes	6
Rental equipment	172
Property and equipment	10
Intangibles (2)	289
Other assets	1
Total identifiable assets acquired	541
Current liabilities	(25		)
Total liabilities assumed	(25		)
Net identifiable assets acquired	516
Goodwill (3)	333
Net assets acquired	$	849

(1) The fair value of accounts receivables acquired was $44, and the gross contractual amount was $47. We estimated that $3 would be uncollectible.

(2) The following table reflects the estimated fair values and useful lives of the acquired intangible assets identified based on our purchase accounting assessments:

	Fair value		Life (years)
Customer relationships	$	274	10
Non-compete agreements	15		6
Total	$	289

(3)$321 of the goodwill was assigned to our trench, power and pump segment and $12 of the goodwill was assigned to our general rentals segment. The level of goodwill that resulted from the acquisition is primarily reflective of National Pump's going-concern value, the value of National Pump's assembled workforce, new customer relationships expected to arise from the acquisition, and operational synergies that we expect to achieve that would not be available to other market participants. $325 of goodwill is expected to be deductible for income tax purposes. The amount of goodwill that is expected to be deductible for income tax purposes declined during the six months ended June 30, 2015 due to a decline in the fair value of the contingent cash consideration component of the National Pump purchase price due to lower than expected financial performance compared to agreed upon financial targets, as discussed in note 6 to our condensed consolidated financial statements.

The three months ended June 30, 2015 includes National Pump acquisition-related costs of $1. The six months ended June 30, 2015 includes a National Pump acquisition-related cost reduction of $26. The cost reduction reflects a decline in the fair value of the contingent cash consideration component of the National Pump purchase price due to lower than expected financial performance compared to agreed upon financial targets, as discussed in note 6 to our condensed consolidated financial statements. The cost reduction is included in “Merger related costs” in our condensed consolidated statements of income, which also include costs associated with the 2012 acquisition of RSC Holdings Inc. (“RSC”). The merger related costs are comprised of financial and legal advisory fees, and changes subsequent to the acquisition date to the fair value of the contingent cash consideration component of the National Pump purchase price as discussed in note 6 to our condensed consolidated financial statements. We do not expect to incur significant additional charges in connection with the acquisition subsequent to June 30, 2015. In addition to the acquisition-related costs reflected in our condensed consolidated statements of income, we capitalized $22 of debt issuance costs associated with the issuance of debt to fund the acquisition, which are reflected, net of amortization subsequent to the acquisition date, in other long-term assets in our condensed consolidated balance sheets.

The pro forma information below has been prepared using the purchase method of accounting, giving effect to the National Pump acquisition as if it had been completed on January 1, 2014 (“the pro forma acquisition date”). The pro forma information is not necessarily indicative of our results of operations had the acquisition been completed on the above date, nor is it necessarily indicative of our future results. The pro forma information does not reflect any cost savings from operating efficiencies or synergies that could result from the acquisition, and also does not reflect additional revenue opportunities following the acquisition. The table below presents unaudited pro forma consolidated income statement information as if National Pump had been included in our consolidated results for the entire periods reflected:

	Three Months Ended		Six Months Ended
	June 30,		June 30,
	2014		2014
United Rentals historic revenues	$	1,399	$	2,577
National Pump historic revenues	—		62
Pro forma revenues	1,399		2,639
United Rentals historic pretax income	142		236
National Pump historic pretax income	—		20
Combined pretax income	142		256
Pro forma adjustments to combined pretax income:
Impact of fair value mark-ups/useful life changes on depreciation (1)	—		(1		)
Intangible asset amortization (2)	1		(11		)
Interest expense (3)	68		62
Elimination of merger costs (4)	8		9
Pro forma pretax income	$	219	$	315

(1) Depreciation of rental equipment and non-rental depreciation were adjusted for the fair value mark-ups of equipment acquired in the National Pump acquisition. The useful lives assigned to such equipment didn’t change significantly from the lives historically used by National Pump.

(2) The intangible assets acquired in the National Pump acquisition were amortized.

(3) In connection with the National Pump acquisition, URNA issued $525 principal amount of 6 ¹/₈ percent Senior Notes (as an add on to our existing 6 ¹/₈ percent Senior Notes) and $850 principal amount of 5 ³/₄ percent Senior Notes, and all our outstanding 9 ¹/₄ percent Senior Notes were redeemed. Interest expense was adjusted to reflect these changes in our debt portfolio. For the pro forma presentation, the $64 loss recognized upon redemption of the 9 ¹/₄ percent Senior Notes was removed from the three and six months ended June 30, 2014 as the loss was assumed to have been recognized prior to the pro forma acquisition date.

(4) Merger related costs, primarily comprised of financial and legal advisory fees, associated with the National Pump acquisition were eliminated as they were assumed to have been recognized prior to the pro forma acquisition date.

For the three and six months ended June 30, 2015 and 2014 National Pump revenue and pretax (loss) income included in our condensed consolidated financial statements were as follows:

	Three Months Ended June 30,					Six Months Ended June 30,
	2015			2014		2015			2014
Revenue	$	54		$	67	$	111		$	67
Pretax (loss) income (1)	(2		)	14		(4		)	14

(1) Pretax (loss) income excludes merger related costs which are not allocated to our segments. Pretax loss for the three and six months ended June 30, 2015 primarily reflects volume and pricing pressure associated with upstream oil and gas customers, and the amortization of the intangible assets acquired in the National Pump acquisition.

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Restructuring Charges (Tables)

6 Months Ended

Jun. 30, 2015

Restructuring and Related Activities [Abstract]

Schedule of restructuring reserve by type of cost

The table below provides certain information concerning our restructuring charges for the six months ended June 30, 2015:

	Reserve Balance at		Charged to Costs and Expenses (1)		Payments and Other			Reserve Balance at
Description	December 31, 2014							June 30, 2015
Closed Restructuring Program
Branch closure charges	$	9	$	1	$	(3	)	$	7
Severance costs	—		—		—			—
Total	$	9	$	1	$	(3	)	$	7
RSC Merger Related Restructuring Program
Branch closure charges	$	11	$	—	$	(2	)	$	9
Severance costs	—		—		—			—
Total	$	11	$	—	$	(2	)	$	9
Total
Branch closure charges	$	20	$	1	$	(5	)	$	16
Severance costs	—		—		—			—
Total	$	20	$	1	$	(5	)	$	16

_________________

(1) Reflected in our condensed consolidated statements of income as “Restructuring charge.” These charges are not allocated to our reportable segments.

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Condensed Consolidating Financial Information of Guarantor Subsidiaries

6 Months Ended

Jun. 30, 2015

Condensed Financial Information [Abstract]

Condensed Consolidating Financial Information of Guarantor Subsidiaries

Condensed Consolidating Financial Information of Guarantor Subsidiaries

URNA is 100 percent owned by Holdings (“Parent”) and has outstanding (i) certain indebtedness that is guaranteed by Parent, (ii) certain indebtedness that is guaranteed by both Parent and, with the exception of its U.S. special purpose vehicle which holds receivable assets relating to the Company’s accounts receivable securitization facility (the “SPV”), all of URNA’s U.S. subsidiaries (the “guarantor subsidiaries”) and (iii) certain indebtedness that is guaranteed only by the guarantor subsidiaries (specifically, the 8 ¹/4 percent Senior Notes). Other than the guarantee by certain Canadian subsidiaries of URNA's indebtedness under the ABL facility, none of URNA’s indebtedness is guaranteed by URNA's foreign subsidiaries or the SPV (together, the “non-guarantor subsidiaries”). The receivable assets owned by the SPV have been sold by URNA to the SPV and are not available to satisfy the obligations of URNA or Parent’s other subsidiaries. The guarantor subsidiaries are all 100 percent-owned and the guarantees are made on a joint and several basis. The guarantees are not full and unconditional because a guarantor subsidiary can be automatically released and relieved of its obligations under certain circumstances, including sale of the guarantor subsidiary, the sale of all or substantially all of the guarantor subsidiary's assets, the requirements for legal defeasance or covenant defeasance under the applicable indenture being met or designating the guarantor subsidiary as an unrestricted subsidiary for purposes of the applicable covenants. The guarantees are also subject to subordination provisions (to the same extent that the obligations of the issuer under the relevant notes are subordinated to other debt of the issuer) and to a standard limitation which provides that the maximum amount guaranteed by each guarantor will not exceed the maximum amount that can be guaranteed without making the guarantee void under fraudulent conveyance laws. Based on our understanding of Rule 3-10 of Regulation S-X ("Rule 3-10"), we believe that the guarantees of the guarantor subsidiaries comply with the conditions set forth in Rule 3-10 and therefore continue to utilize Rule 3-10 to present condensed consolidating financial information for Holdings, URNA, the guarantor subsidiaries and the non-guarantor subsidiaries. Separate consolidated financial statements of the guarantor subsidiaries have not been presented because management believes that such information would not be material to investors. However, condensed consolidating financial information is presented.

URNA covenants in the ABL facility, accounts receivable securitization facility and the other agreements governing our debt impose operating and financial restrictions on URNA, Parent and the guarantor subsidiaries, including limitations on the ability to pay dividends. As of June 30, 2015, the amount available for distribution under the most restrictive of these covenants was $252.

The condensed consolidating financial information of Parent and its subsidiaries is as follows:

CONDENSED CONSOLIDATING BALANCE SHEET

June 30, 2015

	Parent		URNA		Guarantor Subsidiaries			Non-Guarantor Subsidiaries					Eliminations			Total
								Foreign			SPV
ASSETS
Cash and cash equivalents	$	—	$	4	$	—		$	196		$	—	$	—		$	200
Accounts receivable, net	—		39		—			108			747		—			894
Intercompany receivable (payable)	144		55		(188		)	(126		)	—		115			—
Inventory	—		73		—			8			—		—			81
Prepaid expenses and other assets	—		67		—			7			—		—			74
Deferred taxes	—		186		—			1			—		—			187
Total current assets	144		424		(188		)	194			747		115			1,436
Rental equipment, net	—		5,794		—			602			—		—			6,396
Property and equipment, net	40		323		20			42			—		—			425
Investments in subsidiaries	1,294		1,011		1,001			—			—		(3,306		)	—
Goodwill	—		3,000		—			253			—		—			3,253
Other intangible assets, net	—		923		—			77			—		—			1,000
Other long-term assets	—		95		—			—			—		—			95
Total assets	$	1,478	$	11,570	$	833		$	1,168		$	747	$	(3,191	)	$	12,605
LIABILITIES AND STOCKHOLDERS’ EQUITY (DEFICIT)
Short-term debt and current maturities of long-term debt	$	7	$	583	$	—		$	—		$	—	$	—		$	590
Accounts payable	—		618		—			65			—		—			683
Accrued expenses and other liabilities	—		273		14			22			—		—			309
Total current liabilities	7		1,474		14			87			—		—			1,582
Long-term debt	—		7,143		121			7			549		—			7,820
Deferred taxes	19		1,604		—			73			—		—			1,696
Other long-term liabilities	—		55		—			—			—		—			55
Total liabilities	26		10,276		135			167			549		—			11,153
Temporary equity (note 7)	1		—		—			—			—		—			1
Total stockholders’ equity (deficit)	1,451		1,294		698			1,001			198		(3,191		)	1,451
Total liabilities and stockholders’ equity (deficit)	$	1,478	$	11,570	$	833		$	1,168		$	747	$	(3,191	)	$	12,605

CONDENSED CONSOLIDATING BALANCE SHEET

December 31, 2014

	Parent		URNA			Guarantor Subsidiaries			Non-Guarantor Subsidiaries					Eliminations			Total
									Foreign			SPV
ASSETS
Cash and cash equivalents	$	—	$	8		$	—		$	150		$	—	$	—		$	158
Accounts receivable, net	—		37			—			144			759		—			940
Intercompany receivable (payable)	476		(428		)	(60		)	(109		)	—		121			—
Inventory	—		69			—			9			—		—			78
Prepaid expenses and other assets	—		113			1			8			—		—			122
Deferred taxes	—		246			—			2			—		—			248
Total current assets	476		45			(59		)	204			759		121			1,546
Rental equipment, net	—		5,399			—			609			—		—			6,008
Property and equipment, net	42		332			21			43			—		—			438
Investments in subsidiaries	1,330		1,185			1,040			—			—		(3,555		)	—
Goodwill	—		3,000			—			272			—		—			3,272
Other intangible assets, net	—		1,014			—			92			—		—			1,106
Other long-term assets	1		96			—			—			—		—			97
Total assets	$	1,849	$	11,071		$	1,002		$	1,220		$	759	$	(3,434	)	$	12,467
LIABILITIES AND STOCKHOLDERS’ EQUITY (DEFICIT)
Short-term debt and current maturities of long-term debt	$	32	$	38		$	—		$	—		$	548	$	—		$	618
Accounts payable	—		248			—			37			—		—			285
Accrued expenses and other liabilities	—		499			19			57			—		—			575
Total current liabilities	32		785			19			94			548		—			1,478
Long-term debt	—		7,298			130			6			—		—			7,434
Deferred taxes	19		1,594			—			79			—		—			1,692
Other long-term liabilities	—		64			—			1			—		—			65
Total liabilities	51		9,741			149			180			548		—			10,669
Temporary equity (note 7)	2		—			—			—			—		—			2
Total stockholders’ equity (deficit)	1,796		1,330			853			1,040			211		(3,434		)	1,796
Total liabilities and stockholders’ equity (deficit)	$	1,849	$	11,071		$	1,002		$	1,220		$	759	$	(3,434	)	$	12,467

CONDENSED CONSOLIDATING STATEMENT OF INCOME AND COMPREHENSIVE INCOME

For the Three Months Ended June 30, 2015

	Parent			URNA		Guarantor Subsidiaries			Non-Guarantor Subsidiaries					Eliminations			Total
									Foreign		SPV
Revenues:
Equipment rentals	$	—		$	1,100	$	—		$	120	$	—		$	—		$	1,220
Sales of rental equipment	—			106		—			18		—			—			124
Sales of new equipment	—			34		—			5		—			—			39
Contractor supplies sales	—			18		—			3		—			—			21
Service and other revenues	—			22		—			3		—			—			25
Total revenues	—			1,280		—			149		—			—			1,429
Cost of revenues:
Cost of equipment rentals, excluding depreciation	—			389		—			56		—			—			445
Depreciation of rental equipment	—			216		—			24		—			—			240
Cost of rental equipment sales	—			58		—			10		—			—			68
Cost of new equipment sales	—			29		—			4		—			—			33
Cost of contractor supplies sales	—			13		—			2		—			—			15
Cost of service and other revenues	—			9		—			1		—			—			10
Total cost of revenues	—			714		—			97		—			—			811
Gross profit	—			566		—			52		—			—			618
Selling, general and administrative expenses	(4		)	153		—			18		8			—			175
Merger related costs	—			1		—			—		—			—			1
Restructuring charge	—			—		—			—		—			—			—
Non-rental depreciation and amortization	4			57		—			6		—			—			67
Operating (loss) income	—			355		—			28		(8		)	—			375
Interest (income) expense, net	—			232		—			1		1			(2		)	232
Other (income) expense, net	(38		)	55		—			2		(25		)	—			(6		)
Income before provision for income taxes	38			68		—			25		16			2			149
Provision for income taxes	18			28		2			9		6			—			63
Income (loss) before equity in net earnings (loss) of subsidiaries	20			40		(2		)	16		10			2			86
Equity in net earnings (loss) of subsidiaries	66			26		16			—		—			(108		)	—
Net income (loss)	86			66		14			16		10			(106		)	86
Other comprehensive income (loss)	17			17		16			13		—			(46		)	17
Comprehensive income (loss)	$	103		$	83	$	30		$	29	$	10		$	(152	)	$	103

CONDENSED CONSOLIDATING STATEMENT OF INCOME AND COMPREHENSIVE INCOME

For the Three Months Ended June 30, 2014

	Parent			URNA			Guarantor Subsidiaries			Non-Guarantor Subsidiaries					Eliminations			Total
										Foreign		SPV
Revenues:
Equipment rentals	$	—		$	1,042		$	—		$	137	$	—		$	—		$	1,179
Sales of rental equipment	—			122			—			16		—			—			138
Sales of new equipment	—			31			—			6		—			—			37
Contractor supplies sales	—			19			—			3		—			—			22
Service and other revenues	—			17			—			6		—			—			23
Total revenues	—			1,231			—			168		—			—			1,399
Cost of revenues:
Cost of equipment rentals, excluding depreciation	—			383			—			64		—			—			447
Depreciation of rental equipment	—			203			—			26		—			—			229
Cost of rental equipment sales	—			70			—			10		—			—			80
Cost of new equipment sales	—			27			—			4		—			—			31
Cost of contractor supplies sales	—			13			—			2		—			—			15
Cost of service and other revenues	—			5			—			3		—			—			8
Total cost of revenues	—			701			—			109		—			—			810
Gross profit	—			530			—			59		—			—			589
Selling, general and administrative expenses	(6		)	171			2			23		(3		)	—			187
Merger related costs	—			8			—			—		—			—			8
Restructuring charge	—			(1		)	—			—		—			—			(1		)
Non-rental depreciation and amortization	5			58			—			7		—			—			70
Operating income (loss)	1			294			(2		)	29		3			—			325
Interest expense (income), net	1			182			2			2		1			(1		)	187
Other (income) expense, net	(37		)	52			(3		)	4		(20		)	—			(4		)
Income (loss) before provision for income taxes	37			60			(1		)	23		22			1			142
Provision for income taxes	1			32			—			6		9			—			48
Income (loss) before equity in net earnings (loss) of subsidiaries	36			28			(1		)	17		13			1			94
Equity in net earnings (loss) of subsidiaries	58			30			17			—		—			(105		)	—
Net income (loss)	94			58			16			17		13			(104		)	94
Other comprehensive income (loss)	36			36			36			28		—			(100		)	36
Comprehensive income (loss)	$	130		$	94		$	52		$	45	$	13		$	(204	)	$	130

CONDENSED CONSOLIDATING STATEMENT OF INCOME AND COMPREHENSIVE INCOME

For the Six Months EndedJune 30, 2015

	Parent			URNA			Guarantor Subsidiaries			Non-Guarantor Subsidiaries						Eliminations			Total
										Foreign			SPV
Revenues:
Equipment rentals	$	—		$	2,098		$	—		$	247		$	—		$	—		$	2,345
Sales of rental equipment	—			212			—			28			—			—			240
Sales of new equipment	—			63			—			9			—			—			72
Contractor supplies sales	—			34			—			5			—			—			39
Service and other revenues	—			41			—			7			—			—			48
Total revenues	—			2,448			—			296			—			—			2,744
Cost of revenues:
Cost of equipment rentals, excluding depreciation	—			773			—			116			—			—			889
Depreciation of rental equipment	—			427			—			48			—			—			475
Cost of rental equipment sales	—			117			—			15			—			—			132
Cost of new equipment sales	—			53			—			7			—			—			60
Cost of contractor supplies sales	—			24			—			3			—			—			27
Cost of service and other revenues	—			15			—			4			—			—			19
Total cost of revenues	—			1,409			—			193			—			—			1,602
Gross profit	—			1,039			—			103			—			—			1,142
Selling, general and administrative expenses	(1		)	304			—			38			15			—			356
Merger related costs	—			(26		)	—			—			—			—			(26		)
Restructuring charge	—			1			—			—			—			—			1
Non-rental depreciation and amortization	8			116			—			12			—			—			136
Operating (loss) income	(7		)	644			—			53			(15		)	—			675
Interest (income) expense, net	(1		)	351			2			2			2			(3		)	353
Other (income) expense, net	(73		)	107			1			3			(47		)	—			(9		)
Income (loss) before provision for income taxes	67			186			(3		)	48			30			3			331
Provision for income taxes	31			71			—			16			12			—			130
Income (loss) before equity in net earnings (loss) of subsidiaries	36			115			(3		)	32			18			3			201
Equity in net earnings (loss) of subsidiaries	165			50			32			—			—			(247		)	—
Net income (loss)	201			165			29			32			18			(244		)	201
Other comprehensive (loss) income	(72		)	(72		)	(74		)	(58		)	—			204			(72		)
Comprehensive income (loss)	$	129		$	93		$	(45	)	$	(26	)	$	18		$	(40	)	$	129

CONDENSED CONSOLIDATING STATEMENT OF INCOME AND COMPREHENSIVE INCOME

For the Six Months EndedJune 30, 2014

	Parent			URNA			Guarantor Subsidiaries			Non-Guarantor Subsidiaries						Eliminations			Total
										Foreign			SPV
Revenues:
Equipment rentals	$	—		$	1,914		$	—		$	270		$	—		$	—		$	2,184
Sales of rental equipment	—			222			—			26			—			—			248
Sales of new equipment	—			52			—			11			—			—			63
Contractor supplies sales	—			34			—			7			—			—			41
Service and other revenues	—			32			—			9			—			—			41
Total revenues	—			2,254			—			323			—			—			2,577
Cost of revenues:
Cost of equipment rentals, excluding depreciation	—			737			—			119			—			—			856
Depreciation of rental equipment	—			396			—			50			—			—			446
Cost of rental equipment sales	—			130			—			15			—			—			145
Cost of new equipment sales	—			43			—			8			—			—			51
Cost of contractor supplies sales	—			23			—			5			—			—			28
Cost of service and other revenues	—			10			—			4			—			—			14
Total cost of revenues	—			1,339			—			201			—			—			1,540
Gross profit	—			915			—			122			—			—			1,037
Selling, general and administrative expenses	19			294			2			43			(3		)	—			355
Merger related costs	—			9			—			—			—			—			9
Non-rental depreciation and amortization	9			109			—			12			—			—			130
Operating (loss) income	(28		)	503			(2		)	67			3			—			543
Interest expense (income), net	7			300			3			3			2			(3		)	312
Other (income) expense, net	(69		)	98			(1		)	7			(40		)	—			(5		)
Income (loss) before provision for income taxes	34			105			(4		)	57			41			3			236
Provision for income taxes	1			50			—			15			16			—			82
Income (loss) before equity in net earnings (loss) of subsidiaries	33			55			(4		)	42			25			3			154
Equity in net earnings (loss) of subsidiaries	121			66			42			—			—			(229		)	—
Net income (loss)	154			121			38			42			25			(226		)	154
Other comprehensive (loss) income	(3		)	(3		)	(2		)	(2		)	—			7			(3		)
Comprehensive income (loss)	$	151		$	118		$	36		$	40		$	25		$	(219	)	$	151

CONDENSED CONSOLIDATING CASH FLOW INFORMATION

For the Six Months EndedJune 30, 2015

	Parent			URNA			Guarantor Subsidiaries			Non-Guarantor Subsidiaries						Eliminations		Total
										Foreign			SPV
Net cash provided by operating activities	$	6		$	1,069		$	1		$	144		$	30		$	—	$	1,250
Net cash used in investing activities	(6		)	(793		)	—			(77		)	—			—		(876		)
Net cash used in financing activities	—			(280		)	(1		)	(7		)	(30		)	—		(318		)
Effect of foreign exchange rates	—			—			—			(14		)	—			—		(14		)
Net (decrease) increase in cash and cash equivalents	—			(4		)	—			46			—			—		42
Cash and cash equivalents at beginning of period	—			8			—			150			—			—		158
Cash and cash equivalents at end of period	$	—		$	4		$	—		$	196		$	—		$	—	$	200

CONDENSED CONSOLIDATING CASH FLOW INFORMATION

For the Six Months EndedJune 30, 2014

	Parent			URNA			Guarantor Subsidiaries			Non-Guarantor Subsidiaries						Eliminations		Total
										Foreign			SPV
Net cash provided by (used in) operating activities	$	10		$	928		$	2		$	146		$	(32	)	$	—	$	1,054
Net cash used in investing activities	(10		)	(1,402		)	—			(158		)	—			—		(1,570		)
Net cash provided by (used in) financing activities	—			483			(2		)	(1		)	32			—		512
Effect of foreign exchange rates	—			—			—			(1		)	—			—		(1		)
Net increase (decrease) in cash and cash equivalents	—			9			—			(14		)	—			—		(5		)
Cash and cash equivalents at beginning of period	—			17			—			158			—			—		175
Cash and cash equivalents at end of period	$	—		$	26		$	—		$	144		$	—		$	—	$	170

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Fair Value Measurements

6 Months Ended

Jun. 30, 2015

Fair Value Disclosures [Abstract]

Fair Value Measurements

Fair Value Measurements

We account for certain assets and liabilities at fair value. We categorize each of our fair value measurements in one of the following three levels based on the lowest level input that is significant to the fair value measurement in its entirety:

Level 1- Inputs to the valuation methodology are unadjusted quoted prices in active markets for identical assets or liabilities.

Level 2- Observable inputs other than quoted prices in active markets for identical assets or liabilities include:

a) quoted prices for similar assets or liabilities in active markets;

b) quoted prices for identical or similar assets or liabilities in inactive markets;

c) inputs other than quoted prices that are observable for the asset or liability;

d) inputs that are derived principally from or corroborated by observable market data by correlation or other means.

If the asset or liability has a specified (contractual) term, the Level 2 input must be observable for substantially the full term of the asset or liability.

Level 3- Inputs to the valuation methodology are unobservable (i.e., supported by little or no market activity) and significant to the fair value measure.

Assets and Liabilities Measured at Fair Value

Our fixed price diesel swaps contracts are Level 2 derivatives measured at fair value on a recurring basis. As of June 30, 2015 and December 31, 2014, immaterial amounts ($4 or less) were reflected in prepaid expenses and other assets, and accrued expenses and other liabilities in our condensed consolidated balance sheets, reflecting the fair values of the fixed price diesel swaps contracts. As discussed in note 5 to the condensed consolidated financial statements, we entered into the fixed price swap contracts on diesel purchases to mitigate the price risk associated with forecasted purchases of diesel. Fair value is determined based on observable market data. As of June 30, 2015, we have fixed price swap contracts that mature throughout 2015 and 2016 covering 10.8 million gallons of diesel which we will buy at the average contract price of $3.13 per gallon, while the average forward price for the hedged gallons was $3.02 per gallon as of June 30, 2015.

The fair value of the contingent cash consideration component of the National Pump purchase price discussed in note 2 to our condensed consolidated financial statements was $0 as of June 30, 2015 and $78 as of December 31, 2014. In June 2015, we paid the contingent consideration and were relieved of further liabilities associated therewith. The contingent consideration was recorded in accrued expenses and other liabilities in our condensed consolidated balance sheets, and was a Level 3 liability that was measured at fair value on a recurring basis. Fair value was determined using a probability weighted discounted cash flow methodology. Key inputs to the valuation included: (i) discrete scenarios of potential payouts; (ii) probability weightings assigned to each of the scenarios; and (iii) a rate of return with which to discount the probability weighted payouts to present value. Changes to the fair value of the contingent cash consideration are reflected in our condensed consolidated statements of income as “Merger related costs” which included a $26 fair value reduction for the six months ended June 30, 2015. In June 2015, we paid the liability remaining after recognizing the decline in fair value, and were relieved of further liabilities associated therewith. The decline in the fair value of the contingent cash consideration primarily relates to lower than expected financial performance compared to agreed upon financial targets.

Fair Value of Financial Instruments

The carrying amounts reported in our condensed consolidated balance sheets for accounts receivable, accounts payable and accrued expenses and other liabilities approximate fair value due to the immediate to short-term maturity of these financial instruments. The fair values of our ABL facility, accounts receivable securitization facility and capital leases approximate their book values as of June 30, 2015 and December 31, 2014. The estimated fair values of our financial instruments as of June 30, 2015 and December 31, 2014 have been calculated based upon available market information, and are presented below by level in the fair value hierarchy:

	June 30, 2015				December 31, 2014
	Carrying Amount		Fair Value		Carrying Amount		Fair Value
Level 1:
Senior and senior subordinated notes	$	5,991	$	6,090	$	6,063	$	6,390
Level 2:
4 percent Convertible Senior Notes (1)	7		8		32		33

___________________ 

(1) The fair value of the 4 percent Convertible Senior Notes is based on the market value of comparable notes. Consistent with the carrying amount, the fair value excludes the equity component of the notes. To exclude the equity component and calculate the fair value, we used an effective interest rate of 6.9 percent. As discussed below (see Item 3- Quantitative and Qualitative Disclosures about Market Risk), the total cost to settle the notes based on the closing price of our common stock on June 30, 2015 would be $60.

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Restructuring Charges

6 Months Ended

Jun. 30, 2015

Restructuring and Related Activities [Abstract]

Restructuring Charges

Restructuring Charges

Closed Restructuring Program

Between 2008 and 2011 and in recognition of the very challenging economic environment, we were intensely focused on reducing our operating costs. During this period, we reduced our employee headcount from approximately 10,900 at January 1, 2008 (the beginning of the restructuring period) to approximately 7,500 at December 31, 2011 (the end of the restructuring period). Additionally, we reduced our branch network from 697 locations at January 1, 2008 to 529 locations at December 31, 2011.

RSC Merger Related Restructuring Program

In the second quarter of 2012, we initiated a restructuring program related to severance costs and branch closure charges associated with the April 2012 acquisition of RSC. The branch closure charges principally relate to continuing lease obligations at vacant facilities closed subsequent to the RSC acquisition. As of June 30, 2015, our employee headcount is approximately 12,600 and our branch network has 896 rental locations. We do not expect to incur significant additional charges in connection with the restructuring, which was complete as of June 30, 2013 (the end of the restructuring period).

The table below provides certain information concerning our restructuring charges for the six months ended June 30, 2015:

	Reserve Balance at		Charged to Costs and Expenses (1)		Payments and Other			Reserve Balance at
Description	December 31, 2014							June 30, 2015
Closed Restructuring Program
Branch closure charges	$	9	$	1	$	(3	)	$	7
Severance costs	—		—		—			—
Total	$	9	$	1	$	(3	)	$	7
RSC Merger Related Restructuring Program
Branch closure charges	$	11	$	—	$	(2	)	$	9
Severance costs	—		—		—			—
Total	$	11	$	—	$	(2	)	$	9
Total
Branch closure charges	$	20	$	1	$	(5	)	$	16
Severance costs	—		—		—			—
Total	$	20	$	1	$	(5	)	$	16

_________________

(1) Reflected in our condensed consolidated statements of income as “Restructuring charge.” These charges are not allocated to our reportable segments.

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Derivatives

6 Months Ended

Jun. 30, 2015

Derivative Instruments and Hedging Activities Disclosure [Abstract]

Derivatives

Derivatives

We recognize all derivative instruments as either assets or liabilities at fair value, and recognize changes in the fair value of the derivative instruments based on the designation of the derivative. For derivative instruments that are designated and qualify as hedging instruments, we designate the hedging instrument, based upon the exposure being hedged, as either a fair value hedge or a cash flow hedge. As of June 30, 2015, we do not have any outstanding derivative instruments designated as fair value hedges. The effective portion of the changes in fair value of derivatives that are designated as cash flow hedges is recorded as a component of accumulated other comprehensive income. Amounts included in accumulated other comprehensive income for cash flow hedges are reclassified into earnings in the same period that the hedged item is recognized in earnings. The ineffective portion of changes in the fair value of derivatives designated as cash flow hedges is recorded currently in earnings. For derivative instruments that do not qualify for hedge accounting, we recognize gains or losses due to changes in fair value in our condensed consolidated statements of income during the period in which the changes in fair value occur. As of June 30, 2015, we do not have any derivative instruments that do not qualify for hedge accounting.

We are exposed to certain risks related to our ongoing business operations. During the six months ended June 30, 2015 and 2014, the primary risk we managed using derivative instruments was diesel price risk. At June 30, 2015, we had outstanding fixed price swap contracts on diesel purchases which were entered into to mitigate the price risk associated with forecasted purchases of diesel. The outstanding forward contracts on diesel purchases were designated and qualify as cash flow hedges.

Fixed Price Diesel Swaps

The fixed price swap contracts on diesel purchases that were outstanding at June 30, 2015 were designated and qualify as cash flow hedges and the effective portion of the gain or loss on these contracts is reported as a component of accumulated other comprehensive income and is reclassified into earnings in the period during which the hedged transaction affects earnings (i.e., when the hedged gallons of diesel are used). The remaining gain or loss on the fixed price swap contracts in excess of the cumulative change in the present value of future cash flows of the hedged item, if any (i.e., the ineffective portion), is recognized in our condensed consolidated statements of income during the current period. As of June 30, 2015, we had outstanding fixed price swap contracts covering 10.8 million gallons of diesel which will be purchased throughout 2015 and 2016.

Financial Statement Presentation

As of June 30, 2015 and December 31, 2014, immaterial amounts ($4 or less) were reflected in prepaid expenses and other assets, accrued expenses and other liabilities, and accumulated other comprehensive income in our condensed consolidated balance sheets associated with the outstanding fixed price swap contracts that were designated and qualify as cash flow hedges.

The effect of our derivative instruments on our condensed consolidated statements of income for the three and six months ended June 30, 2015 and 2014 was as follows:

		Three Months Ended June 30, 2015					Three Months Ended June 30, 2014
	Location of income (expense) recognized on derivative/hedged item	Amount of  income (expense) recognized on derivative		Amount of  income (expense) recognized on hedged item			Amount of  income (expense) recognized on derivative	Amount of  income (expense) recognized on hedged item
Derivatives designated as hedging instruments:
Fixed price diesel swaps	Other income (expense), net (1)	$ *					$ *
	Cost of equipment rentals, excluding depreciation (2), (3)	(1	)	$	(9	)	*	$	(12	)
		Six Months Ended June 30, 2015					Six Months Ended June 30, 2014
	Location of income (expense) recognized on derivative/hedged item	Amount of  income (expense) recognized on derivative		Amount of  income (expense) recognized on hedged item			Amount of  income (expense) recognized on derivative	Amount of  income (expense) recognized on hedged item
Derivatives designated as hedging instruments:
Fixed price diesel swaps	Other income (expense), net (1)	$ *					$ *
	Cost of equipment rentals, excluding depreciation (2), (3)	(3	)	$	(16	)	*	$	(22	)

* Amounts are insignificant (less than $1).

(1) Represents the ineffective portion of the fixed price diesel swaps.

(2) Amounts recognized on derivative represent the effective portion of the fixed price diesel swaps.

(3) Amounts recognized on hedged item reflect the use of 2.8 million and 3.0 million gallons of diesel covered by the fixed price swaps during the three months ended June 30, 2015 and 2014, respectively, and the use of 5.4 million and 5.6 million gallons of diesel covered by the fixed price swaps during the six months ended June 30, 2015 and 2014, respectively. These amounts are reflected, net of cash received from, or paid to, the counterparties to the fixed price swaps, in operating cash flows in our condensed consolidated statement of cash flows.

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Debt

6 Months Ended

Jun. 30, 2015

Debt Disclosure [Abstract]

Debt

Debt

Debt consists of the following:

	June 30, 2015			December 31, 2014
URNA and subsidiaries debt:
Accounts Receivable Securitization Facility (1)	$	549		$	548
$2.5 billion ABL Facility (2)	1,771			1,304
5 3/4 percent Senior Secured Notes (3)	—			750
7 3/8 percent Senior Notes	750			750
8 3/8 percent Senior Subordinated Notes (3)	—			750
8 1/4 percent Senior Notes (4)	316			687
7 5/8 percent Senior Notes	1,325			1,325
6 1/8 percent Senior Notes	950			951
4 5/8 percent Senior Secured Notes (5)	1,000			—
5 3/4 percent Senior Notes	850			850
5 1/2 percent Senior Notes (6)	800			—
Capital leases	92			105
Total URNA and subsidiaries debt	8,403			8,020
Holdings:
4 percent Convertible Senior Notes (7)	7			32
Total debt	8,410			8,052
Less short-term portion (8)	(590		)	(618		)
Total long-term debt	$	7,820		$	7,434

 ___________________

(1) At June 30, 2015, $1 was available under our accounts receivable securitization facility. The interest rate applicable to the accounts receivable securitization facility was 0.9 percent at June 30, 2015. During the six months ended June 30, 2015, the monthly average amount outstanding under the accounts receivable securitization facility was $456, and the weighted-average interest rate thereon was 0.8 percent. The maximum month-end amount outstanding under the accounts receivable securitization facility during the six months ended June 30, 2015 was $550. Borrowings under the accounts receivable securitization facility are permitted only to the extent that the face amount of the receivables in the collateral pool, net of applicable reserves, exceeds the outstanding loans. As of June 30, 2015, there were $627 of receivables, net of applicable reserves, in the collateral pool.

(2) At June 30, 2015, $680 was available under our ABL facility, net of $49 of letters of credit. The interest rate applicable to the ABL facility was 1.8 percent at June 30, 2015. During the six months ended June 30, 2015, the monthly average amount outstanding under the ABL facility was $1.2 billion, and the weighted-average interest rate thereon was 2.0 percent. The maximum month-end amount outstanding under the ABL facility during the six months ended June 30, 2015 was $1.8 billion. In March 2015, the ABL facility was amended, primarily to increase the facility size and to extend the maturity date. The size of the facility was increased to $2.5 billion. All amounts borrowed under the ABL facility must be repaid on or before March 2020.

(3) In April 2015, we redeemed all of our 5 ³/₄ percent Senior Secured Notes and 8 ³/₈ percent Senior Subordinated Notes. Upon redemption, we recognized an aggregate loss of $106 in interest expense, net. The loss represented the difference between the net carrying amount and the total purchase price of the notes.

(4) In April 2015, we redeemed $350 principal amount of our 8 ¹/₄ percent Senior Notes. Upon redemption, we recognized a loss of $15 in interest expense, net. The loss represented the difference between the net carrying amount and the total purchase price of the redeemed notes.

(5) In March 2015, URNA issued $1.0 billion aggregate principal amount of 4 ⁵/₈ percent Senior Secured Notes (the “4 ⁵/₈ percent Notes”) which are due July 15, 2023. The net proceeds from issuance were approximately $990 (after deducting offering expenses). The 4 ⁵/₈ percent Notes are guaranteed by Holdings and certain domestic subsidiaries of URNA and are secured on a second-priority basis by liens on substantially all of URNA’s and the guarantors’ assets that secure the ABL facility, subject to certain exceptions. The 4 ⁵/₈ percent Notes may be redeemed on or after July 15, 2018, at specified redemption prices that range from 103.469 percent in 2018, to 100 percent in 2021 and thereafter, plus accrued and unpaid interest, if any. The indenture governing the 4 ⁵/₈ percent Notes contains certain restrictive covenants, including, among others, limitations on (i) liens; (ii) additional indebtedness; (iii) mergers, consolidations and acquisitions; (iv) sales, transfers and other dispositions of assets; (v) loans and other investments; (vi) dividends and other distributions, stock repurchases and redemptions and other restricted payments; (vii) restrictions affecting subsidiaries; (viii) transactions with affiliates; and (ix) designations of unrestricted subsidiaries, as well as a requirement to timely file periodic reports with the SEC. The indenture also includes covenants relating to the grant of and maintenance of liens for the benefit of the notes collateral agent. Each of the restrictive covenants is subject to important exceptions and qualifications that would allow URNA and its subsidiaries to engage in these activities under certain conditions. The indenture also requires that, in the event of a change of control (as defined in the indenture), URNA must make an offer to purchase all of the then-outstanding 4 ⁵/₈ percent Notes tendered at a purchase price in cash equal to 101 percent of the principal amount thereof, plus accrued and unpaid interest, if any, thereon.

(6) In March 2015, URNA issued $800 aggregate principal amount of 5 ¹/₂ percent Senior Notes (the “5 ¹/₂ percent Notes”) which are due July 15, 2025. The net proceeds from the issuance were approximately $792 (after deducting offering expenses). The 5 ¹/₂ percent Notes are unsecured and are guaranteed by Holdings and certain domestic subsidiaries of URNA. The 5 ¹/₂ percent Notes may be redeemed on or after July 15, 2020, at specified redemption prices that range from 102.75 percent in 2020, to 100 percent in 2023 and thereafter, plus accrued and unpaid interest, if any. The indenture governing the 5 ¹/₂ percent Notes contains certain restrictive covenants, including, among others, limitations on (i) liens; (ii) additional indebtedness; (iii) mergers, consolidations and acquisitions; (iv) sales, transfers and other dispositions of assets; (v) loans and other investments; (vi) dividends and other distributions, stock repurchases and redemptions and other restricted payments; (vii) restrictions affecting subsidiaries; (viii) transactions with affiliates; and (ix) designations of unrestricted subsidiaries, as well as a requirement to timely file periodic reports with the SEC. Each of the restrictive covenants is subject to important exceptions and qualifications that would allow URNA and its subsidiaries to engage in these activities under certain conditions. The indenture also requires that, in the event of a change of control (as defined in the indenture), URNA must make an offer to purchase all of the then-outstanding 5 ¹/₂ percent Notes tendered at a purchase price in cash equal to 101 percent of the principal amount thereof, plus accrued and unpaid interest, if any, thereon.

(7) The difference between the June 30, 2015 carrying value of the 4 percent Convertible Senior Notes and the $8 principal amount reflects the $1 unamortized portion of the original issue discount recognized upon issuance of the notes, which is being amortized through the maturity date of November 15, 2015. Because the 4 percent Convertible Senior Notes were redeemable at June 30, 2015, an amount equal to the $1 unamortized portion of the original issue discount is separately classified in our condensed consolidated balance sheets and referred to as “temporary equity.” During the six months ended June 30, 2015, $26 of our 4 percent Convertible Senior Notes were redeemed. We recognized a loss of approximately $1 in interest expense, net upon redemption. The loss represented the difference between the net carrying amount and the fair value of the debt component of the notes. Holders of the 4 percent Convertible Senior Notes have the right to redeem the notes prior to November 15, 2015 at a conversion price of $11.11 per share of common stock. Since July 1, 2015 (the beginning of the third quarter), none of the 4 percent Convertible Senior Notes have been redeemed.

(8) As of June 30, 2015, our short-term debt primarily reflects $549 of borrowings under our accounts receivable securitization facility.

Convertible Note Hedge Transactions

In connection with the November 2009 issuance of $173 aggregate principal amount of 4 percent Convertible Senior Notes, Holdings entered into convertible note hedge transactions with option counterparties. The convertible note hedge transactions cost $26, and decreased additional paid-in capital by $17, net of taxes, in our accompanying condensed consolidated statements of stockholders’ equity. The convertible note hedge transactions cover, subject to anti-dilution adjustments, 0.7 million shares of our common stock. The convertible note hedge transactions are intended to reduce, subject to a limit, the potential dilution with respect to our common stock upon conversion of the 4 percent Convertible Senior Notes. The effect of the convertible note hedge transactions is to increase the effective conversion price to $15.56 per share, equal to an approximately 75 percent premium over the $8.89 closing price of our common stock at issuance. The effective conversion price is subject to change in certain circumstances. In the event the market value of our common stock exceeds the effective conversion price per share, the settlement amount received from such transactions will only partially offset the potential dilution. For example, if, at the time of exercise of the conversion right, the price of our common stock was $80.00 per share, assuming an effective conversion price of $15.56 per share, on a net basis, we would issue 0.6 million shares.

Loan Covenants and Compliance

As of June 30, 2015, we were in compliance with the covenants and other provisions of the ABL facility, the accounts receivable securitization facility and the senior notes. Any failure to be in compliance with any material provision or covenant of these agreements could have a material adverse effect on our liquidity and operations.

In March 2015, we amended the ABL facility. The only financial covenant which currently exists under the ABL facility relates to the fixed charge coverage ratio. As of June 30, 2015, specified availability under the ABL facility exceeded the required threshold and, as a result, this maintenance covenant is inapplicable. Subject to certain limited exceptions specified in the amended ABL facility, the fixed charge coverage ratio covenant under the amended ABL facility will only apply in the future if specified availability under the amended ABL facility falls below 10 percent of the maximum revolver amount under the amended ABL facility. When certain conditions are met, cash and cash equivalents and borrowing base collateral in excess of the ABL facility size may be included when calculating specified availability under the amended ABL facility. Under our accounts receivable securitization facility, we are required, among other things, to maintain certain financial tests relating to: (i) the default ratio, (ii) the delinquency ratio, (iii) the dilution ratio and (iv) days sales outstanding.

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Acquisitions (Pro Forma Information) (Details) - USD ($)		3 Months Ended		6 Months Ended
		Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014	Apr. 30, 2014
Business Acquisition, Pro Forma Information, Nonrecurring Adjustment [Line Items]
Revenues			$ 1,399,000,000		$ 2,577,000,000
Pro forma revenues			1,399,000,000		2,639,000,000
Pretax income		$ 149,000,000	142,000,000	$ 331,000,000	236,000,000
Combined pretax income			142,000,000		256,000,000
Pro forma pretax income			219,000,000		315,000,000
Gain (loss) on redemption of debt				$ (123,000,000)	(75,000,000)
Impact of fair value mark-ups/useful life changes on depreciation
Business Acquisition, Pro Forma Information, Nonrecurring Adjustment [Line Items]
Pro forma adjustments to combined pretax income	[1]		0		(1,000,000)
Intangible asset amortization
Business Acquisition, Pro Forma Information, Nonrecurring Adjustment [Line Items]
Pro forma adjustments to combined pretax income	[2]		1,000,000		(11,000,000)
Interest expense
Business Acquisition, Pro Forma Information, Nonrecurring Adjustment [Line Items]
Pro forma adjustments to combined pretax income	[3]		68,000,000		62,000,000
Elimination of merger costs
Business Acquisition, Pro Forma Information, Nonrecurring Adjustment [Line Items]
Pro forma adjustments to combined pretax income	[4]		8,000,000		9,000,000
National Pump
Business Acquisition, Pro Forma Information, Nonrecurring Adjustment [Line Items]
Revenues			0		62,000,000
Pretax income			0		20,000,000
5 3/4 percent Senior Notes
Business Acquisition, Pro Forma Information, Nonrecurring Adjustment [Line Items]
Stated interest rate		5.75%		5.75%
9 1/4 percent Senior Notes
Business Acquisition, Pro Forma Information, Nonrecurring Adjustment [Line Items]
Gain (loss) on redemption of debt			$ (64,000,000)		$ (64,000,000)
Senior notes | Add-on to 6 1/8 percent Senior Notes
Business Acquisition, Pro Forma Information, Nonrecurring Adjustment [Line Items]
Face amount						$ 525,000,000
Senior notes | Add-on to 6 1/8 percent Senior Notes | National Pump
Business Acquisition, Pro Forma Information, Nonrecurring Adjustment [Line Items]
Stated interest rate						6.125%
Senior notes | 5 3/4 percent Senior Notes
Business Acquisition, Pro Forma Information, Nonrecurring Adjustment [Line Items]
Face amount						$ 850,000,000
Senior notes | 5 3/4 percent Senior Notes | National Pump
Business Acquisition, Pro Forma Information, Nonrecurring Adjustment [Line Items]
Stated interest rate						5.75%
Senior notes | 9 1/4 percent Senior Notes | National Pump
Business Acquisition, Pro Forma Information, Nonrecurring Adjustment [Line Items]
Stated interest rate						9.25%

[1] Depreciation of rental equipment and non-rental depreciation were adjusted for the fair value mark-ups of equipment acquired in the National Pump acquisition. The useful lives assigned to such equipment didn’t change significantly from the lives historically used by National Pump.

[2] The intangible assets acquired in the National Pump acquisition were amortized.

[3] In connection with the National Pump acquisition, URNA issued $525 principal amount of 6 1/8 percent Senior Notes (as an add on to our existing 6 1/8 percent Senior Notes) and $850 principal amount of 5 3/4 percent Senior Notes, and all our outstanding 9 1/4 percent Senior Notes were redeemed. Interest expense was adjusted to reflect these changes in our debt portfolio. For the pro forma presentation, the $64 loss recognized upon redemption of the 9 1/4 percent Senior Notes was removed from the three and six months ended June 30, 2014 as the loss was assumed to have been recognized prior to the pro forma acquisition date.

[4] Merger related costs, primarily comprised of financial and legal advisory fees, associated with the National Pump acquisition were eliminated as they were assumed to have been recognized prior to the pro forma acquisition date.

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Acquisitions (Tables)

6 Months Ended

Jun. 30, 2015

Business Combinations [Abstract]

Schedule of business acquisitions purchase consideration

The acquisition date fair value of the consideration transferred consisted of the following:

Cash consideration (1)	$	773
Contingent consideration (2)	76
Total purchase consideration (3)	$	849

(1) Includes a ‘hold back’ of $58 that was paid in April 2015.

(2) Reflects the acquisition date fair value of the contingent consideration that was paid in June 2015 as discussed in note 6 to our condensed consolidated financial statements.

(3) Total purchase consideration excludes $15 of stock which was issued in connection with the acquisition and will be treated as compensation for book purposes but primarily represents deductible goodwill for income tax purposes.

Schedule of assets acquired and liabilities assumed

The following table summarizes the fair values of the assets acquired and liabilities assumed as of the acquisition date:

Accounts receivable, net of allowance for doubtful accounts (1)	$	44
Inventory	19
Deferred taxes	6
Rental equipment	172
Property and equipment	10
Intangibles (2)	289
Other assets	1
Total identifiable assets acquired	541
Current liabilities	(25		)
Total liabilities assumed	(25		)
Net identifiable assets acquired	516
Goodwill (3)	333
Net assets acquired	$	849

(1) The fair value of accounts receivables acquired was $44, and the gross contractual amount was $47. We estimated that $3 would be uncollectible.

(2) The following table reflects the estimated fair values and useful lives of the acquired intangible assets identified based on our purchase accounting assessments:

	Fair value		Life (years)
Customer relationships	$	274	10
Non-compete agreements	15		6
Total	$	289

(3)$321 of the goodwill was assigned to our trench, power and pump segment and $12 of the goodwill was assigned to our general rentals segment. The level of goodwill that resulted from the acquisition is primarily reflective of National Pump's going-concern value, the value of National Pump's assembled workforce, new customer relationships expected to arise from the acquisition, and operational synergies that we expect to achieve that would not be available to other market participants. $325 of goodwill is expected to be deductible for income tax purposes. The amount of goodwill that is expected to be deductible for income tax purposes declined during the six months ended June 30, 2015 due to a decline in the fair value of the contingent cash consideration component of the National Pump purchase price due to lower than expected financial performance compared to agreed upon financial targets, as discussed in note 6 to our condensed consolidated financial statements.

Schedule of intangible assets acquired

The following table reflects the estimated fair values and useful lives of the acquired intangible assets identified based on our purchase accounting assessments:

	Fair value		Life (years)
Customer relationships	$	274	10
Non-compete agreements	15		6
Total	$	289

Summary of business acquisition, pro forma information

The table below presents unaudited pro forma consolidated income statement information as if National Pump had been included in our consolidated results for the entire periods reflected:

	Three Months Ended		Six Months Ended
	June 30,		June 30,
	2014		2014
United Rentals historic revenues	$	1,399	$	2,577
National Pump historic revenues	—		62
Pro forma revenues	1,399		2,639
United Rentals historic pretax income	142		236
National Pump historic pretax income	—		20
Combined pretax income	142		256
Pro forma adjustments to combined pretax income:
Impact of fair value mark-ups/useful life changes on depreciation (1)	—		(1		)
Intangible asset amortization (2)	1		(11		)
Interest expense (3)	68		62
Elimination of merger costs (4)	8		9
Pro forma pretax income	$	219	$	315

(1) Depreciation of rental equipment and non-rental depreciation were adjusted for the fair value mark-ups of equipment acquired in the National Pump acquisition. The useful lives assigned to such equipment didn’t change significantly from the lives historically used by National Pump.

(2) The intangible assets acquired in the National Pump acquisition were amortized.

(3) In connection with the National Pump acquisition, URNA issued $525 principal amount of 6 ¹/₈ percent Senior Notes (as an add on to our existing 6 ¹/₈ percent Senior Notes) and $850 principal amount of 5 ³/₄ percent Senior Notes, and all our outstanding 9 ¹/₄ percent Senior Notes were redeemed. Interest expense was adjusted to reflect these changes in our debt portfolio. For the pro forma presentation, the $64 loss recognized upon redemption of the 9 ¹/₄ percent Senior Notes was removed from the three and six months ended June 30, 2014 as the loss was assumed to have been recognized prior to the pro forma acquisition date.

(4) Merger related costs, primarily comprised of financial and legal advisory fees, associated with the National Pump acquisition were eliminated as they were assumed to have been recognized prior to the pro forma acquisition date.

For the three and six months ended June 30, 2015 and 2014 National Pump revenue and pretax (loss) income included in our condensed consolidated financial statements were as follows:

	Three Months Ended June 30,					Six Months Ended June 30,
	2015			2014		2015			2014
Revenue	$	54		$	67	$	111		$	67
Pretax (loss) income (1)	(2		)	14		(4		)	14

(1) Pretax (loss) income excludes merger related costs which are not allocated to our segments. Pretax loss for the three and six months ended June 30, 2015 primarily reflects volume and pricing pressure associated with upstream oil and gas customers, and the amortization of the intangible assets acquired in the National Pump acquisition.

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Debt (Tables)

6 Months Ended

Jun. 30, 2015

Debt Disclosure [Abstract]

Schedule of long-term debt instruments

Debt consists of the following:

	June 30, 2015			December 31, 2014
URNA and subsidiaries debt:
Accounts Receivable Securitization Facility (1)	$	549		$	548
$2.5 billion ABL Facility (2)	1,771			1,304
5 3/4 percent Senior Secured Notes (3)	—			750
7 3/8 percent Senior Notes	750			750
8 3/8 percent Senior Subordinated Notes (3)	—			750
8 1/4 percent Senior Notes (4)	316			687
7 5/8 percent Senior Notes	1,325			1,325
6 1/8 percent Senior Notes	950			951
4 5/8 percent Senior Secured Notes (5)	1,000			—
5 3/4 percent Senior Notes	850			850
5 1/2 percent Senior Notes (6)	800			—
Capital leases	92			105
Total URNA and subsidiaries debt	8,403			8,020
Holdings:
4 percent Convertible Senior Notes (7)	7			32
Total debt	8,410			8,052
Less short-term portion (8)	(590		)	(618		)
Total long-term debt	$	7,820		$	7,434

 ___________________

(1) At June 30, 2015, $1 was available under our accounts receivable securitization facility. The interest rate applicable to the accounts receivable securitization facility was 0.9 percent at June 30, 2015. During the six months ended June 30, 2015, the monthly average amount outstanding under the accounts receivable securitization facility was $456, and the weighted-average interest rate thereon was 0.8 percent. The maximum month-end amount outstanding under the accounts receivable securitization facility during the six months ended June 30, 2015 was $550. Borrowings under the accounts receivable securitization facility are permitted only to the extent that the face amount of the receivables in the collateral pool, net of applicable reserves, exceeds the outstanding loans. As of June 30, 2015, there were $627 of receivables, net of applicable reserves, in the collateral pool.

(2) At June 30, 2015, $680 was available under our ABL facility, net of $49 of letters of credit. The interest rate applicable to the ABL facility was 1.8 percent at June 30, 2015. During the six months ended June 30, 2015, the monthly average amount outstanding under the ABL facility was $1.2 billion, and the weighted-average interest rate thereon was 2.0 percent. The maximum month-end amount outstanding under the ABL facility during the six months ended June 30, 2015 was $1.8 billion. In March 2015, the ABL facility was amended, primarily to increase the facility size and to extend the maturity date. The size of the facility was increased to $2.5 billion. All amounts borrowed under the ABL facility must be repaid on or before March 2020.

(3) In April 2015, we redeemed all of our 5 ³/₄ percent Senior Secured Notes and 8 ³/₈ percent Senior Subordinated Notes. Upon redemption, we recognized an aggregate loss of $106 in interest expense, net. The loss represented the difference between the net carrying amount and the total purchase price of the notes.

(4) In April 2015, we redeemed $350 principal amount of our 8 ¹/₄ percent Senior Notes. Upon redemption, we recognized a loss of $15 in interest expense, net. The loss represented the difference between the net carrying amount and the total purchase price of the redeemed notes.

(5) In March 2015, URNA issued $1.0 billion aggregate principal amount of 4 ⁵/₈ percent Senior Secured Notes (the “4 ⁵/₈ percent Notes”) which are due July 15, 2023. The net proceeds from issuance were approximately $990 (after deducting offering expenses). The 4 ⁵/₈ percent Notes are guaranteed by Holdings and certain domestic subsidiaries of URNA and are secured on a second-priority basis by liens on substantially all of URNA’s and the guarantors’ assets that secure the ABL facility, subject to certain exceptions. The 4 ⁵/₈ percent Notes may be redeemed on or after July 15, 2018, at specified redemption prices that range from 103.469 percent in 2018, to 100 percent in 2021 and thereafter, plus accrued and unpaid interest, if any. The indenture governing the 4 ⁵/₈ percent Notes contains certain restrictive covenants, including, among others, limitations on (i) liens; (ii) additional indebtedness; (iii) mergers, consolidations and acquisitions; (iv) sales, transfers and other dispositions of assets; (v) loans and other investments; (vi) dividends and other distributions, stock repurchases and redemptions and other restricted payments; (vii) restrictions affecting subsidiaries; (viii) transactions with affiliates; and (ix) designations of unrestricted subsidiaries, as well as a requirement to timely file periodic reports with the SEC. The indenture also includes covenants relating to the grant of and maintenance of liens for the benefit of the notes collateral agent. Each of the restrictive covenants is subject to important exceptions and qualifications that would allow URNA and its subsidiaries to engage in these activities under certain conditions. The indenture also requires that, in the event of a change of control (as defined in the indenture), URNA must make an offer to purchase all of the then-outstanding 4 ⁵/₈ percent Notes tendered at a purchase price in cash equal to 101 percent of the principal amount thereof, plus accrued and unpaid interest, if any, thereon.

(6) In March 2015, URNA issued $800 aggregate principal amount of 5 ¹/₂ percent Senior Notes (the “5 ¹/₂ percent Notes”) which are due July 15, 2025. The net proceeds from the issuance were approximately $792 (after deducting offering expenses). The 5 ¹/₂ percent Notes are unsecured and are guaranteed by Holdings and certain domestic subsidiaries of URNA. The 5 ¹/₂ percent Notes may be redeemed on or after July 15, 2020, at specified redemption prices that range from 102.75 percent in 2020, to 100 percent in 2023 and thereafter, plus accrued and unpaid interest, if any. The indenture governing the 5 ¹/₂ percent Notes contains certain restrictive covenants, including, among others, limitations on (i) liens; (ii) additional indebtedness; (iii) mergers, consolidations and acquisitions; (iv) sales, transfers and other dispositions of assets; (v) loans and other investments; (vi) dividends and other distributions, stock repurchases and redemptions and other restricted payments; (vii) restrictions affecting subsidiaries; (viii) transactions with affiliates; and (ix) designations of unrestricted subsidiaries, as well as a requirement to timely file periodic reports with the SEC. Each of the restrictive covenants is subject to important exceptions and qualifications that would allow URNA and its subsidiaries to engage in these activities under certain conditions. The indenture also requires that, in the event of a change of control (as defined in the indenture), URNA must make an offer to purchase all of the then-outstanding 5 ¹/₂ percent Notes tendered at a purchase price in cash equal to 101 percent of the principal amount thereof, plus accrued and unpaid interest, if any, thereon.

(7) The difference between the June 30, 2015 carrying value of the 4 percent Convertible Senior Notes and the $8 principal amount reflects the $1 unamortized portion of the original issue discount recognized upon issuance of the notes, which is being amortized through the maturity date of November 15, 2015. Because the 4 percent Convertible Senior Notes were redeemable at June 30, 2015, an amount equal to the $1 unamortized portion of the original issue discount is separately classified in our condensed consolidated balance sheets and referred to as “temporary equity.” During the six months ended June 30, 2015, $26 of our 4 percent Convertible Senior Notes were redeemed. We recognized a loss of approximately $1 in interest expense, net upon redemption. The loss represented the difference between the net carrying amount and the fair value of the debt component of the notes. Holders of the 4 percent Convertible Senior Notes have the right to redeem the notes prior to November 15, 2015 at a conversion price of $11.11 per share of common stock. Since July 1, 2015 (the beginning of the third quarter), none of the 4 percent Convertible Senior Notes have been redeemed.

(8) As of June 30, 2015, our short-term debt primarily reflects $549 of borrowings under our accounts receivable securitization facility.

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Condensed Consolidating Financial Information of Guarantor Subsidiaries - CONDENSED CONSOLIDATING CASH FLOW INFORMATION (Details) - USD ($) $ in Millions	6 Months Ended
	Jun. 30, 2015	Jun. 30, 2014
Condensed Cash Flow Statements, Captions [Line Items]
Net cash provided by operating activities	$ 1,250	$ 1,054
Net cash used in investing activities	(876)	(1,570)
Net cash used in financing activities	(318)	512
Effect of foreign exchange rates	(14)	(1)
Net increase (decrease) in cash and cash equivalents	42	(5)
Cash and cash equivalents at beginning of period	158	175
Cash and cash equivalents at end of period	200	170
Parent
Condensed Cash Flow Statements, Captions [Line Items]
Net cash provided by operating activities	6	10
Net cash used in investing activities	(6)	(10)
Net cash used in financing activities	0	0
Effect of foreign exchange rates	0	0
Net increase (decrease) in cash and cash equivalents	0	0
Cash and cash equivalents at beginning of period	0	0
Cash and cash equivalents at end of period	0	0
URNA
Condensed Cash Flow Statements, Captions [Line Items]
Net cash provided by operating activities	1,069	928
Net cash used in investing activities	(793)	(1,402)
Net cash used in financing activities	(280)	483
Effect of foreign exchange rates	0	0
Net increase (decrease) in cash and cash equivalents	(4)	9
Cash and cash equivalents at beginning of period	8	17
Cash and cash equivalents at end of period	4	26
Guarantor Subsidiaries
Condensed Cash Flow Statements, Captions [Line Items]
Net cash provided by operating activities	1	2
Net cash used in investing activities	0	0
Net cash used in financing activities	(1)	(2)
Effect of foreign exchange rates	0	0
Net increase (decrease) in cash and cash equivalents	0	0
Cash and cash equivalents at beginning of period	0	0
Cash and cash equivalents at end of period	0	0
Non Guarantor Subsidiaries - Foreign
Condensed Cash Flow Statements, Captions [Line Items]
Net cash provided by operating activities	144	146
Net cash used in investing activities	(77)	(158)
Net cash used in financing activities	(7)	(1)
Effect of foreign exchange rates	(14)	(1)
Net increase (decrease) in cash and cash equivalents	46	(14)
Cash and cash equivalents at beginning of period	150	158
Cash and cash equivalents at end of period	196	144
Non Guarantor Subsidiaries - SPV
Condensed Cash Flow Statements, Captions [Line Items]
Net cash provided by operating activities	30	(32)
Net cash used in investing activities	0	0
Net cash used in financing activities	(30)	32
Effect of foreign exchange rates	0	0
Net increase (decrease) in cash and cash equivalents	0	0
Cash and cash equivalents at beginning of period	0	0
Cash and cash equivalents at end of period	0	0
Eliminations
Condensed Cash Flow Statements, Captions [Line Items]
Net cash provided by operating activities	0	0
Net cash used in investing activities	0	0
Net cash used in financing activities	0	0
Effect of foreign exchange rates	0	0
Net increase (decrease) in cash and cash equivalents	0	0
Cash and cash equivalents at beginning of period	0	0
Cash and cash equivalents at end of period	$ 0	$ 0

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Derivatives (Effect of derivatives on consolidated statements of income) (Details) gal in Millions, $ in Millions		3 Months Ended		6 Months Ended
		Jun. 30, 2015 USD ($) gal	Jun. 30, 2014 USD ($) gal	Jun. 30, 2015 USD ($) gal	Jun. 30, 2014 USD ($) gal
Derivative Instruments, Gain (Loss) [Line Items]
Purchases of diesel covered by the fixed price swaps (in gallons) | gal		2.8	3.0	5.4	5.6
Fixed price swap contracts | Designated as hedging instruments | Cost of equipment rentals, excluding depreciation
Derivative Instruments, Gain (Loss) [Line Items]
Amount of income (expense) recognized on derivative	[1],[2]	$ (1)		$ (3)
Amount of income (expense) recognized on hedged item	[1],[2]	$ (9)	$ (12)	$ (16)	$ (22)

[1] Amounts recognized on derivative represent the effective portion of the fixed price diesel swaps.

[2] Amounts recognized on hedged item reflect the use of 2.8 million and 3.0 million gallons of diesel covered by the fixed price swaps during the three months ended June 30, 2015 and 2014, respectively, and the use of 5.4 million and 5.6 million gallons of diesel covered by the fixed price swaps during the six months ended June 30, 2015 and 2014, respectively. These amounts are reflected, net of cash received from, or paid to, the counterparties to the fixed price swaps, in operating cash flows in our condensed consolidated statement of cash flows.

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CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (UNAUDITED) - USD ($) $ in Millions		3 Months Ended		6 Months Ended
		Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014
Statement of Comprehensive Income [Abstract]
Net income		$ 86	$ 94	$ 201	$ 154
Other comprehensive income (loss), net of tax:
Foreign currency translation adjustments		16	35	(73)	(3)
Fixed price diesel swaps		1	1	1	0
Other comprehensive income (loss)		17	36	(72)	(3)
Comprehensive income	[1]	$ 103	$ 130	$ 129	$ 151

[1] There were no material reclassifications from accumulated other comprehensive loss reflected in other comprehensive income (loss) during 2015 or 2014. There is no tax impact related to the foreign currency translation adjustments, as the earnings are considered permanently reinvested. There were no material taxes associated with other comprehensive income (loss) during 2015 or 2014.

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Organization, Description of Business and Basis of Presentation

6 Months Ended

Jun. 30, 2015

Organization, Consolidation and Presentation of Financial Statements [Abstract]

Organization, Description of Business and Basis of Presentation

Organization, Description of Business and Basis of Presentation

United Rentals, Inc. (“Holdings,” “URI” or the “Company”) is principally a holding company and conducts its operations primarily through its wholly owned subsidiary, United Rentals (North America), Inc. (“URNA”), and subsidiaries of URNA. Holdings’ primary asset is its sole ownership of all issued and outstanding shares of common stock of URNA. URNA’s various credit agreements and debt instruments place restrictions on its ability to transfer funds to its shareholder.

We rent equipment to a diverse customer base that includes construction and industrial companies, manufacturers, utilities, municipalities, homeowners and government entities in the United States and Canada. In addition to renting equipment, we sell new and used rental equipment, as well as related contractor supplies, parts and service.

We have prepared the accompanying unaudited condensed consolidated financial statements in accordance with the accounting policies described in our annual report on Form 10-K for the year ended December 31, 2014 (the “2014 Form 10-K”) and the interim reporting requirements of Form 10-Q. Accordingly, certain information and note disclosures normally included in financial statements prepared in accordance with U.S. generally accepted accounting principles (“GAAP”) have been condensed or omitted. These unaudited condensed consolidated financial statements should be read in conjunction with the 2014 Form 10-K.

In our opinion, all adjustments, consisting only of normal recurring adjustments, which are necessary for a fair presentation of financial condition, operating results and cash flows for the interim periods presented have been made. Interim results of operations are not necessarily indicative of the results of the full year.

New Accounting Pronouncements

Revenue from Contracts with Customers. In May 2014, the Financial Accounting Standards Board (“FASB”) issued guidance to clarify the principles for recognizing revenue. This guidance includes the required steps to achieve the core principle that an entity should recognize revenue to depict the transfer of promised goods or services to customers in an amount that reflects the consideration to which the entity expects to be entitled in exchange for those goods or services. The FASB has agreed to propose a one-year deferral of the original effective date of this guidance and as a result it will be effective for fiscal years and interim periods beginning after December 15, 2017. The FASB's proposed update would still allow entities to apply the new guidance as of the original effective date (for fiscal years and interim periods beginning after December 15, 2016). We expect to adopt this guidance when effective, and the impact on our financial statements is not currently estimable.

Interest—Imputation of Interest. In April 2015, the FASB issued guidance on the presentation of debt issuance costs. This guidance requires that debt issuance costs related to a recognized debt liability be presented in the balance sheet as a direct deduction from the carrying amount of that debt liability. This guidance is effective for fiscal years and interim periods beginning after December 15, 2015, and requires retrospective application. We expect to adopt this guidance when effective, and do not expect this guidance to have a significant impact on our financial statements, although it will change the financial statement classification of our debt issuance costs. As of June 30, 2015, $89 of net debt issuance costs were included in total assets in our condensed consolidated balance sheet. Under the new guidance, the net debt issuance costs would reduce our total debt.

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Earnings Per Share (Tables)

6 Months Ended

Jun. 30, 2015

Earnings Per Share [Abstract]

Schedule of earnings per share

The following table sets forth the computation of basic and diluted earnings per share (shares in thousands):

	Three Months Ended				Six Months Ended
	June 30,				June 30,
	2015		2014		2015		2014
Numerator:
Net income available to common stockholders	$	86	$	94	201		154
Denominator:
Denominator for basic earnings per share—weighted-average common shares	96,647		97,002		96,896		96,118
Effect of dilutive securities:
Employee stock options and warrants	298		413		318		425
4 percent Convertible Senior Notes	605		7,758		894		9,005
Restricted stock units	197		421		308		475
Denominator for diluted earnings per share—adjusted weighted-average common shares	97,747		105,594		98,416		106,023
Basic earnings per share	$	0.89	$	0.98	$	2.07	$	1.61
Diluted earnings per share	$	0.88	$	0.90	$	2.04	$	1.46

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Restructuring Charges (Narrative) (Details)	Jun. 30, 2015 employee location	Dec. 31, 2011 employee location	Jan. 01, 2008 employee location
Closed Restructuring Program
Restructuring Cost and Reserve
Employee headcount		7,500	10,900
Number of locations | location		529	697
RSC Merger Related Restructuring Program
Restructuring Cost and Reserve
Employee headcount	12,600
Number of locations | location	896

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Organization, Description of Business and Basis of Presentation (Policies)

6 Months Ended

Jun. 30, 2015

Organization, Consolidation and Presentation of Financial Statements [Abstract]

New Accounting Pronouncements

New Accounting Pronouncements

Revenue from Contracts with Customers. In May 2014, the Financial Accounting Standards Board (“FASB”) issued guidance to clarify the principles for recognizing revenue. This guidance includes the required steps to achieve the core principle that an entity should recognize revenue to depict the transfer of promised goods or services to customers in an amount that reflects the consideration to which the entity expects to be entitled in exchange for those goods or services. The FASB has agreed to propose a one-year deferral of the original effective date of this guidance and as a result it will be effective for fiscal years and interim periods beginning after December 15, 2017. The FASB's proposed update would still allow entities to apply the new guidance as of the original effective date (for fiscal years and interim periods beginning after December 15, 2016). We expect to adopt this guidance when effective, and the impact on our financial statements is not currently estimable.

Interest—Imputation of Interest. In April 2015, the FASB issued guidance on the presentation of debt issuance costs. This guidance requires that debt issuance costs related to a recognized debt liability be presented in the balance sheet as a direct deduction from the carrying amount of that debt liability. This guidance is effective for fiscal years and interim periods beginning after December 15, 2015, and requires retrospective application. We expect to adopt this guidance when effective, and do not expect this guidance to have a significant impact on our financial statements, although it will change the financial statement classification of our debt issuance costs. As of June 30, 2015, $89 of net debt issuance costs were included in total assets in our condensed consolidated balance sheet. Under the new guidance, the net debt issuance costs would reduce our total debt.