Acquisitions

9 Months Ended

Sep. 30, 2016

Acquisitions [Abstract]

Acquisitions

(5)Acquisitions

During the nine months ended September 30, 2016, the Company completed the acquisitions of Challenger and Hybrid, for total consideration of $22.8 million, $6.0 million of which was contingent and based on their future performance. During the three months ended September 30, 2016, the Company decreased its estimate of the acquired companies’ future performance, and as a result reduced the contingent consideration by $1.0 million. Expected future payments of $3.5 million and $1.5 million are recorded in Other long-term liabilities and Accrued expenses and Other current liabilities, respectively, in the Company’s consolidated balance sheet at September 30, 2016. The acquisitions were not material to the Company’s consolidated financial statements, either individually or in the aggregate. Accordingly, pro forma results of operations related to these business acquisitions during the nine months ended September 30, 2016 have not been presented. The Company has included the financial results of these business acquisitions in its consolidated financial statements from their respective date of acquisition.

CAI INTERNATIONAL, INC.

NOTES TO UNAUDITED CONSOLIDATED FINANCIAL STATEMENTS (CONTINUED)

The following table summarizes the allocation of the total consideration transferred (in thousands):

Cash	$	1,186
Accounts receivable		5,840
Property and equipment		145
Goodwill		12,674
Intangible assets		9,912
Other assets		276
Total assets		30,033
Accounts payable		4,437
Deferred tax liability		2,184
Other liabilities		605
Total liabilities		7,226
Purchase price	$	22,807

Adjustments to record the assets acquired and liabilities assumed at fair value include the recognition of $9.9 million of intangible assets as follows:

	Amount		Estimated Life
Tradenames	$	1,188		5 years
Customer relationships		8,724		8 years