Segment Information

9 Months Ended

Sep. 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 September 30, 2015
Equipment rentals	$	1,120	$	206	$	1,326
Sales of rental equipment	132		9		141
Sales of new equipment	33		5		38
Contractor supplies sales	18		3		21
Service and other revenues	23		1		24
Total revenue	1,326		224		1,550
Depreciation and amortization expense	272		43		315
Equipment rentals gross profit	500		107		607
Three Months Ended September 30, 2014
Equipment rentals	$	1,127	$	188	$	1,315
Sales of rental equipment	133		7		140
Sales of new equipment	31		11		42
Contractor supplies sales	19		4		23
Service and other revenues	21		3		24
Total revenue	1,331		213		1,544
Depreciation and amortization expense	267		39		306
Equipment rentals gross profit	496		103		599
Nine Months Ended September 30, 2015
Equipment rentals	$	3,144	$	527	$	3,671
Sales of rental equipment	356		25		381
Sales of new equipment	94		16		110
Contractor supplies sales	51		9		60
Service and other revenues	65		7		72
Total revenue	3,710		584		4,294
Depreciation and amortization expense	798		128		926
Equipment rentals gross profit	1,339		249		1,588
Capital expenditures	1,325		176		1,501
Nine Months Ended September 30, 2014
Equipment rentals	$	3,079	$	420	$	3,499
Sales of rental equipment	371		17		388
Sales of new equipment	80		25		105
Contractor supplies sales	55		9		64
Service and other revenues	55		10		65
Total revenue	3,640		481		4,121
Depreciation and amortization expense	789		93		882
Equipment rentals gross profit	1,266		215		1,481
Capital expenditures	1,391		177		1,568

	September 30, 2015		December 31, 2014
Total reportable segment assets
General rentals	$	11,019	$	10,935
Trench, power and pump	1,579		1,532
Total assets	$	12,598	$	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						Nine Months Ended
	September 30,						September 30,
	2015			2014			2015			2014
Total equipment rentals gross profit	$	607		$	599		$	1,588		$	1,481
Gross profit from other lines of business	83			89			244			244
Selling, general and administrative expenses	(178		)	(194		)	(534		)	(549		)
Merger related costs	—			(4		)	26			(13		)
Restructuring charge	—			2			(1		)	2
Non-rental depreciation and amortization	(66		)	(70		)	(202		)	(200		)
Interest expense, net	(107		)	(124		)	(460		)	(436		)
Other income, net	1			5			10			10
Income before provision for income taxes	$	340		$	303		$	671		$	539