Segment And Geographic Information

12 Months Ended

Dec. 31, 2016

Segment And Geographic Information [Abstract]

Segment And Geographic Information

(17)Segment and Geographic Information

The Company organizes itself by the nature of the services it provides which includes equipment leasing, equipment management and logistics.

The container leasing segment is aggregated with equipment management and derives its revenue from the ownership and leasing of containers and fees earned for managing container portfolios on behalf of third party investors. The rail leasing segment derives its revenue from the ownership and leasing of railcars. The logistics segment derives its revenue from the provision of logistics services. There are no inter-segment revenues.

With the exception of administrative expenses, operating expenses are directly attributable to each segment. Administrative expenses that are not directly attributable to a segment are allocated to container or rail leasing based on the net book value of equipment in each segment.

The following tables show condensed segment information for the years ended December 31, 2016, 2015 and 2014, reconciled to the Company’s net income before income taxes and non-controlling interest as shown in its consolidated statements of income for such periods (in thousands):

	Year Ended December 31, 2016
	Container Leasing		Rail Leasing		Logistics		Total
Container lease income	$	200,186	$	-	$	-	$	200,186
Rail lease income		-		30,490		-		30,490
Logistics revenue		-		-		61,536		61,536
Management fee revenue		2,142		-		-		2,142
Total revenue		202,328		30,490		61,536		294,354
Depreciation of rental equipment		95,755		9,122		-		104,877
Storage, handling and other expenses		32,465		3,386		11		35,862
Logistics transportation costs		-		-		51,980		51,980
Loss (gain) on sale of used rental equipment		12,750		33		(112)		12,671
Administrative expenses		20,453		3,759		11,466		35,678
Total operating expenses		161,423		16,300		63,345		241,068
Operating income		40,905		14,190		(1,809)		53,286
Net interest expense		35,784		6,970		-		42,754
Other expense		654		-		-		654
Total other expenses		36,438		6,970		-		43,408
Net income (loss) before income taxes and non-controlling interest	$	4,467	$	7,220	$	(1,809)	$	9,878
Goodwill	$	-	$	-	$	15,794	$	15,794
Total assets	$	1,638,263	$	378,059	$	39,612	$	2,055,934
Purchase of rental equipment (2)	$	118,374	$	132,791	$	-	$	251,165

	Year Ended December 31, 2015 (1)
	Container Leasing		Rail Leasing		Logistics		Total
Container lease income	$	217,505	$	-	$	-	$	217,505
Rail lease income		-		17,433		-		17,433
Logistics revenue		-		-		11,502		11,502
Management fee revenue		3,227		-		-		3,227
Total revenue		220,732		17,433		11,502		249,667
Depreciation of rental equipment		108,996		4,594		-		113,590
Storage, handling and other expenses		27,653		2,540		1		30,194
Logistics transportation costs		-		-		10,172		10,172
Loss (gain) on sale of used rental equipment		2,276		(1,622)		-		654
Administrative expenses		21,969		3,131		2,517		27,617
Total operating expenses		160,894		8,643		12,690		182,227
Operating income (loss)		59,838		8,790		(1,188)		67,440
Net interest expense		33,156		3,109		6		36,271
Other expense		182		-		-		182
Total other expenses		33,338		3,109		6		36,453
Net income (loss) before income taxes and non-controlling interest	$	26,500	$	5,681	$	(1,194)	$	30,987
Goodwill	$	-	$	-	$	2,905	$	2,905
Total assets	$	1,728,389	$	238,896	$	6,300	$	1,973,585
Purchase of rental equipment (2)	$	226,469	$	162,862	$	-	$	389,331

	Year Ended December 31, 2014 (1)
	Container Leasing		Rail Leasing		Logistics		Total
Container lease income	$	210,756	$	-	$	-	$	210,756
Rail lease income		-		10,336		-		10,336
Management fee revenue		6,497		-		-		6,497
Total revenue		217,253		10,336		-		227,589
Depreciation of rental equipment		75,150		2,826		-		77,976
Storage, handling and other expenses		23,841		2,202		-		26,043
Gain on sale of used rental equipment		(6,506)		(16)		-		(6,522)
Administrative expenses		24,180		2,358		-		26,538
Total operating expenses		116,665		7,370		-		124,035
Operating income		100,588		2,966		-		103,554
Net interest expense		33,599		1,993		-		35,592
Other expense		773		-		-		773
Total other expenses		34,372		1,993		-		36,365
Net income before income taxes and non-controlling interest	$	66,216	$	973	$	-	$	67,189
Purchase of rental equipment (2)	$	289,921	$	17,362	$	-	$	307,283

(1) Amounts for the years ended December 31, 2015 and 2014 have been restated for immaterial corrections of identified errors relating to prepaid loan fees (see Note 2 (b) “Correction of Immaterial Errors”).

(2) Represents cash disbursements for purchasing of rental equipment as reflected in the consolidated statements of cash flows for the periods indicated.

Geographic Data

The Company earns its revenue primarily from intermodal containers which are deployed by its customers in a wide variety of global trade routes. Virtually all of the Company’s containers are used internationally and typically no container is domiciled in one particular place for a prolonged period of time. As such, substantially all of the Company’s long-lived assets are considered to be international, with no single country of use.

The Company’s railcars, with a net book value of $370.1 million as of December 31, 2016, are used to transport cargo within North America.

The following table represents the geographic allocation of revenue for the periods indicated based on customers’ primary domicile (in thousands):

	Year Ended December 31,
	2016		2015		2014
United States	$	116,121	$	48,103	$	13,821
France		26,504		25,811		26,586
Japan		19,706		24,919		26,124
Switzerland		17,862		18,937		22,813
Korea		13,495		17,703		23,169
Other Asia		52,200		62,702		64,677
Other Europe		36,440		37,353		33,235
Other International		12,026		14,139		17,164
Total revenue	$	294,354	$	249,667	$	227,589