Schedule I - Parent Company Information

12 Months Ended

Dec. 31, 2021

TEXTAINER GROUP HOLDINGS LIMITED AND SUBSIDIARIES

SCHEDULE I - CONDENSED STATEMENTS OF COMPREHENSIVE INCOME

Parent Company Information

Years Ended December 31, 2021, 2020 and 2019

(All currency expressed in United States dollars in thousands)

	2021			2020			2019
Operating expenses:
General and administrative expense	$	4,519		$	3,988		$	4,089
Total operating expenses		4,519			3,988			4,089
Loss from operations		(4,519	)		(3,988	)		(4,089	)
Other income:
Equity in net income of subsidiaries		289,133			76,076			60,813
Interest income		55			80			—
Other, net		(381	)		654			—
Net other income		288,807			76,810			60,813
Income before income tax		284,288			72,822			56,724
Income tax benefit (expense)		—			—			—
Net income		284,288			72,822			56,724
Less: Dividends on preferred shares		10,829			—			—
Net income attributable to common shareholders	$	273,459		$	72,822		$	56,724
Net income attributable to common shareholders per share:
Basic	$	5.51		$	1.37		$	0.99
Diluted	$	5.41		$	1.36		$	0.99
Weighted average shares outstanding (in thousands):
Basic		49,624			53,271			57,349
Diluted		50,576			53,481			57,459
Other comprehensive income, before tax:
Change in derivative instruments designated as cash flow hedges		10,986			(12,307	)		(110	)
Reclassification of realized loss (gain) on derivative instruments designated as cash flow hedges		8,771			2,806			(7	)
Foreign currency translation adjustments		(79	)		177			42
Comprehensive income, before tax		303,966			63,498			56,649
Income tax (expense) benefit related to items of other comprehensive income		(184	)		91			—
Comprehensive income, after tax		303,782			63,589			56,649
Less: Dividends on preferred shares		10,829			—			—
Comprehensive income attributable to common shareholders	$	292,953		$	63,589		$	56,649

TEXTAINER GROUP HOLDINGS LIMITED AND SUBSIDIARIES

SCHEDULE I - CONDENSED BALANCE SHEETS

Parent Company Information

December 31, 2021 and 2020

(All currency expressed in United States dollars in thousands)

	2021			2020
Assets
Current assets:
Cash and cash equivalents	$	10,696		$	12,372
Prepaid expenses and other current assets		378			336
Due from affiliates, net		2,231			2,679
Total current assets		13,305			15,387
Investments in subsidiaries		1,768,779			1,245,427
Total assets	$	1,782,084		$	1,260,814
Liabilities and Shareholders’ Equity
Current liabilities:
Accounts payable and accrued expenses	$	830		$	394
Total current liabilities		830			394
Shareholders’ equity:
Preferred shares		300,000			-
Common shares		595			587
Treasury shares		(158,459	)		(86,239	)
Additional paid-in capital		428,945			417,421
Accumulated other comprehensive income (loss)		9,750			(9,744	)
Retained earnings		1,200,423			938,395
Total shareholders’ equity		1,781,254			1,260,420
Total liabilities and shareholders’ equity	$	1,782,084		$	1,260,814

TEXTAINER GROUP HOLDINGS LIMITED AND SUBSIDIARIES

SCHEDULE I - CONDENSED STATEMENTS OF CASH FLOWS

Parent Company Information

Years ended December 31, 2021, 2020 and 2019

(All currency expressed in United States dollars in thousands)

	2021			2020			2019
Cash flows from operating activities:
Net income	$	284,288		$	72,822		$	56,724
Adjustments to reconcile net income to net cash provided by operating activities:
Equity in net income of subsidiaries		(289,133	)		(76,076	)		(60,813	)
Dividends received from subsidiaries		61,000			76,167			46,823
Share-based compensation		6,699			4,723			4,388
Decrease (increase) in:
Prepaid expenses and other current assets		(42	)		(26	)		(128	)
Increase (decrease) in:
Accounts payable and accrued expenses		436			(82	)		(237	)
Total adjustments		(221,040	)		4,706			(9,967	)
Net cash provided by operating activities		63,248			77,528			46,757
Cash flows from investing activities:
Investments in subsidiaries		(269,436	)		(2,050	)		(41,865	)
Net cash used in investing activities		(269,436	)		(2,050	)		(41,865	)
Cash flows from financing activities:
Issuance of preferred shares, net of underwriting discount		290,550			—			—
Purchase of treasury shares		(72,220	)		(68,493	)		(8,597	)
Issuance of common shares upon exercise of share options		9,043			1,295			126
Dividends paid on common shares		(12,285	)		—			—
Dividends paid on preferred shares		(9,975	)		—			—
Due to (from) affiliates, net		448			(2,041	)		49
Other		(970	)		—			—
Net cash provided by (used in) financing activities		204,591			(69,239	)		(8,422	)
Effect of exchange rate changes		(79	)		177			42
Net (decrease) increase in cash and cash equivalents		(1,676	)		6,416			(3,488	)
Cash and cash equivalents, beginning of the year		12,372			5,956			9,444
Cash and cash equivalents, end of the year	$	10,696		$	12,372		$	5,956