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Revenue Earning Equipment
 9 Months Ended
Sep. 30, 2012
Revenue Earning Equipment [Abstract]  
REVENUE EARNING EQUIPMENT
REVENUE EARNING EQUIPMENT

 
September 30, 2012
 
December 31, 2011
 
Cost
 
Accumulated
Depreciation
 
Net  Book
Value(1)
 
Cost
 
Accumulated
Depreciation
 
Net  Book
Value(1)
 
(In thousands)
Held for use:
 
Full service lease
$
6,585,343

 
(2,504,588
)
 
4,080,755

 
6,010,335

 
(2,518,830
)
 
3,491,505

Commercial rental
2,079,397

 
(641,735
)
 
1,437,662

 
2,175,003

 
(708,052
)
 
1,466,951

Held for sale
504,131

 
(353,139
)
 
150,992

 
326,692

 
(235,477
)
 
91,215

Total
$
9,168,871

 
(3,499,462
)
 
5,669,409

 
8,512,030

 
(3,462,359
)
 
5,049,671

 ————————————
(1)
Revenue earning equipment, net includes vehicles acquired under capital leases of $56.7 million, less accumulated depreciation of $15.5 million, at September 30, 2012, and $60.7 million, less accumulated depreciation of $14.4 million, at December 31, 2011.

At the end of 2011, we completed our annual review of residual values and useful lives of revenue earning equipment. Based on the results of our analysis, we adjusted the estimated residual values of certain classes of revenue earning equipment effective January 1, 2012. The change in estimated residual values increased pre-tax earnings for the three and nine months ended September 30, 2012 by approximately $4.5 million and $13.5 million, respectively.

In the second quarter of 2012, we completed a sale-leaseback transaction of revenue earning equipment with third parties not deemed to be VIEs and this leaseback is being accounted for as an operating lease. Proceeds from the sale-leaseback transaction totaled $130.2 million. We did not enter into any sale-leaseback transactions during 2011.