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CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($)
$ in Thousands
9 Months Ended
Sep. 30, 2019
Sep. 30, 2018
Cash flows from operating activities    
Net income $ 23,162 $ 59,189
Loss from discontinued operations, net of income taxes (20,983) (1,625)
Income from continuing operations 44,145 60,814
Adjustments to reconcile income from continuing operations to net cash provided by operating activities:    
Depreciation 85,988 79,128
Amortization of debt issuance costs 3,005 2,648
Amortization of intangible assets 1,208 1,538
Stock-based compensation expense 2,142 1,888
Unrealized loss on foreign exchange 345 317
Gain on sale of rental equipment (5,436) (7,530)
Deferred income taxes 1,260 2,424
Bad debt expense (recovery) 1,224 (149)
Changes in other operating assets and liabilities:    
Accounts receivable 2,556 (6,889)
Prepaid expenses and other assets 398 (1,611)
Net investment in sales-type and direct finance leases 45,400  
Accounts payable, accrued expenses and other liabilities 4,057 (477)
Unearned revenue (151) (86)
Net cash provided by operating activities of continuing operations 186,141 132,015
Net cash provided by operating activities of discontinued operations 2,016 7,572
Net cash provided by operating activities 188,157 139,587
Cash flows from investing activities    
Purchase of rental equipment [1] (256,469) (477,703)
Purchase of financing receivable (37,139)  
Proceeds from sale of rental equipment 56,422 43,645
Purchase of furniture, fixtures and equipment (1,720) (393)
Receipt of principal payments from financing receivable 1,825  
Receipt of principal payments from sales-type and direct finance leases   26,982
Net cash used in investing activities of continuing operations (237,081) (407,469)
Net cash provided by (used in) investing activities of discontinued operations 123,199 (50,800)
Net cash used in investing activities (113,882) (458,269)
Cash flows from financing activities    
Proceeds from debt 500,582 1,227,412
Principal payments on debt (419,908) (981,465)
Debt issuance costs (724) (9,882)
Proceeds from issuance of common and preferred stock   103,681
Repurchase of common stock (34,118) (27,946)
Dividends paid to preferred stockholders (6,620) (1,376)
Exercise of stock options 532 24
Net cash provided by financing activities of continuing operations 39,744 310,448
Net cash (used in) provided by financing activities of discontinued operations (113,098) 31,011
Net cash (used in) provided by financing activities (73,354) 341,459
Effect on cash of foreign currency translation (874) (23)
Net increase in cash and restricted cash 47 22,754
Cash and restricted cash at beginning of the period [2] 75,983 47,209
Cash and restricted cash at end of the period [3] 76,030 69,963
Cash paid during the period for:    
Income taxes 559 378
Interest 65,330 51,168
Supplemental disclosure of non-cash operating activity    
Lease liabilities arising from obtaining right-of-use assets 5,306  
Supplemental disclosure of non-cash investing and financing activity    
Transfer of rental equipment to sales-type and direct finance lease 52,895 271,938
Transfer of sales-type and direct finance lease to rental equipment 14,432  
Rental equipment payable $ 54,202 $ 257,947
[1] Represents cash disbursements for purchasing of rental equipment as reflected in the consolidated statements of cash flows for the periods indicated.
[2] Includes cash of $20,104 and $14,735, cash held by variable interest entities of $25,211 and $20,685, and restricted cash of $30,668 and $11,789 at December 31, 2018 and 2017, respectively.
[3] Includes cash of $21,503 and $14,550, cash held by variable interest entities of $26,772 and $23,779, and restricted cash of $27,755 and $31,634 at September 30, 2019 and 2018, respectively.