American Railcar Industries 8-K American Railcar Industries, Inc. Reports Record Revenue and Railcar Shipments for Second Quarter 2007

Exhibit 99.1

For Release: August 13, 2007	Contact:	William P. Benac
		Michael Obertop
		636.940.6000

AMERICAN RAILCAR INDUSTRIES, INC. REPORTS RECORD REVENUE AND RAILCAR SHIPMENTS FOR SECOND QUARTER 2007

     St. Charles, MO, August 13, 2007 — American Railcar Industries, Inc. (“ARI” or the “Company”) [NASDAQ: ARII] today reported its second quarter 2007 financial results.

     For the three months ended June 30, 2007, revenues were $209.0 million and the net earnings attributable to common shareholders were $11.0 million or $0.52 per diluted share. In comparison, for the three months ended June 30, 2006, the Company had revenues of $151.6 million and net earnings attributable to common shareholders of $10.8 million or $0.51 per diluted share. During the three months ended June 30, 2007, the Company shipped 2,268 railcars compared to 1,734 railcars in the same period of 2006.

     Revenues increased in the second quarter of 2007 compared to the same period in 2006 primarily due to an increase in tank railcar shipments. The increase in shipments was a result of the recovery from low 2006 shipments, which resulted from the tank railcar facility shutdown for repair of tornado damages. This was partially offset by a reduction of covered hopper railcar shipments in the second quarter of 2007 compared to the same quarter of the prior year, reflecting a reduction in the number of covered hopper railcars ordered for delivery in the second quarter of 2007.

     EBITDA was $22.2 million in the second quarter of 2007 compared to $19.4 million in the second quarter of 2006. The increase in EBITDA in the second quarter of 2007 compared to the same period of 2006 resulted primarily from strength in our tank railcar business, partially offset by reduced covered hopper railcar shipments and an increase in selling, administrative and other expenses. A reconciliation of the Company’s net earnings to EBITDA (a non-GAAP financial measure) is set forth in the supplemental disclosure attached to this press release.

     For the six months ended June 30, 2007, revenues were $396.3 million and the net earnings attributable to common shareholders were $24.5 million or $1.15 per diluted share. In comparison, for the six months ended June 30, 2006, the Company had revenues of $330.3 million and net earnings attributable to common shareholders of $17.5 million or $0.87 per diluted share. During the six months ended June 30, 2007, we shipped 4,189 railcars compared to 3,714 railcars in the same period of 2006.

     Revenues increased in the six months ended June 30, 2007 compared to the same period in 2006 primarily due to an increase in tank railcar shipments, which was the result of the recovery from low 2006 shipments, which resulted from the tank railcar facility shutdown for repair of tornado damages, as well as the 2007 tank railcar capacity expansion. This was partially offset by a reduction of covered hopper railcar shipments for the six months ended June 30, 2007 compared to the same period of the prior year, reflecting a reduction in the number of covered hopper railcars ordered for delivery in the first six months of 2007.

     EBITDA was $47.0 million in the six months ended June 30, 2007 compared to $33.7 million in the six months ended June 30, 2006. The increases in net earnings attributable to common shareholders and EBITDA in the six months ended June 30, 2007 compared to the same period of 2006 resulted primarily from increased tank railcar shipments and improved manufacturing efficiencies. A reconciliation of the Company’s net earnings to EBITDA (a non-GAAP financial measure) is set forth in the supplemental disclosure attached to this press release.

     “The Company had a strong quarter, achieving record revenues and railcar shipments,” said James J. Unger, President and CEO of ARI. “Our substantial backlog of unfilled orders for new railcars totaled 14,043 railcars at June 30, 2007, which is down from the 16,473 railcars we had at December 31, 2006, but up from the 12,790 railcars at June 30, 2006. Our tank railcar lines are fully booked through 2008 and we have orders into 2009. The Company is pursuing a number of inquiries to fill our available future capacity for covered hopper railcars.”

     ARI will host a webcast and conference call on August 14, 2007 at 10:00 am (Eastern Time) to discuss the Company’s second quarter financial results. To participate in the webcast, please log on to ARI’s investor relations page through the ARI website

at www.americanrailcar.com. To participate in the conference call, dial 1-866-314-5232 and use participant code 95482334. Participants are asked to logon to the ARI website or dial in to the conference call approximately 10 to 15 minutes prior to the start time.

     An audio replay of the call will also be available on the Company’s website promptly following the earnings call.

About American Railcar Industries, Inc.

     American Railcar Industries, Inc. is a leading North American manufacturer of covered hopper and tank railcars. ARI also repairs and refurbishes railcars, provides fleet management services and designs and manufactures certain railcar and industrial components used in the production of its railcars, as well as railcars and non-railcar industrial products produced by others. ARI provides its railcar customers with integrated solutions through a comprehensive set of high quality products and related services.

Forward Looking Statement Disclaimer

     This press release contains statements relating to our expected financial performance and/or future business prospects, events and plans that are “forward-looking statements” as defined under the Private Securities Litigation Reform Act of 1995. Forward-looking statements represent the Company’s estimates and assumptions only as of the date of this press release. Such statements include, without limitation, statements regarding estimated future production rates, estimated future manufacturing capacity and statements regarding any implication that the Company’s backlog may be indicative of future sales. These forward-looking statements are subject to known and unknown risks and uncertainties that could cause actual results to differ materially from the results described in or anticipated by our forward-looking statements. Estimated backlog reflects the total sales attributable to the backlog reported at the end of the particular period as if such backlog were converted to actual sales. Estimated backlog does not reflect potential price increases or decreases under our customer contracts that provide for variable pricing based on changes in the cost of certain raw materials and railcar components or the possibility that contracts may be canceled or railcar delivery dates delayed, and does not reflect the effects of any cancellation or delay of railcar orders that may occur. Other potential risks and uncertainties include, among other things: the cyclical nature of the railcar manufacturing business; adverse economic and market conditions; fluctuating costs of raw materials, including steel and railcar components, and delays in the delivery of such raw materials and components; ARI’s ability to maintain relationships with its suppliers of railcar components and raw materials; ARI’s ability to complete construction of its new flexible railcar plant in Marmaduke on a timely basis and within budget; fluctuations in the supply of components and raw materials ARI uses in railcar manufacturing; the highly competitive nature of the railcar manufacturing industry; the risk of further damage to our primary railcar manufacturing facilities or equipment; our reliance upon a small number of customers that represent a large percentage of our revenues; the variable purchase patterns of our customers and the timing of completion, delivery and acceptance of customer orders; our dependence on key personnel; the risks of labor shortage in light of our recent growth; the risk of lack of acceptance of our new railcar offerings by our customers; and the additional risk factors described in our filings with the Securities and Exchange Commission. We expressly disclaim any duty to provide updates to any forward-looking statements made in this press release, whether as a result of new information, future events or otherwise.

CONDENSED CONSOLIDATED BALANCE SHEETS
(In thousands, except share amounts, unaudited)

	June 30,			December 31,
	2007			2006
Assets
Current assets:
Cash and cash equivalents	$	231,587		$	40,922
Short term investments — available for sale securities		100,293			—
Accounts receivable, net		43,660			34,868
Accounts receivable, due from affiliates		12,878			9,632
Inventories, net		93,358			103,510
Prepaid expenses		4,800			5,853
Deferred tax assets		1,800			2,089
Total current assets		488,376			196,874
Property, plant and equipment, net		143,783			130,293
Deferred debt issuance costs		4,297			235
Goodwill		7,169			7,169
Other assets		37			37
Investment in joint venture		5,927			4,318
Total assets	$	649,589		$	338,926
Liabilities and Stockholders’ Equity
Current liabilities:
Current portion of long-term debt	$	53		$	88
Accounts payable		51,747			54,962
Accounts payable, due to affiliates		2,776			1,689
Accrued expenses and taxes		8,575			3,099
Accrued compensation		9,428			10,282
Accrued interest expense		6,964			32
Accrued dividends		639			636
Total current liabilities		80,182			70,788
Long-term debt, net of current portion		—			8
Senior unsecured notes		275,000			—
Deferred tax liability		4,956			7,042
Pension and post-retirement liabilities		10,367			10,859
Other liabilities		2,389			49
Total liabilities		372,894			88,746
Commitments and contingencies		—			—
Stockholders’ equity:
Common stock, $.01 par value, 50,000,000 shares authorized, 21,302,296 and 21,207,773 shares issued and outstanding at June 30, 2007 and December 31, 2006, respectively		213			212
Additional paid-in capital		238,958			235,768
Retained earnings		39,867			16,649
Accumulated other comprehensive loss		(2,343	)		(2,449	)
Total stockholders’ equity		276,695			250,180
Total liabilities and stockholders’ equity	$	649,589		$	338,926

CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
(In thousands, except per share amounts, unaudited)

	For the Three Months Ended
	June 30,			June 30,
	2007			2006
Revenues:
Manufacturing operations (including revenues from affiliates of $29,906 and $5,182 for the three months ended June 30, 2007 and 2006, respectively)	$	195,714		$	138,816
Railcar services (including revenues from affiliates of $4,399 and $4,531 for the three months ended June 30, 2007 and 2006, respectively)		13,283			12,734
Total revenues		208,997			151,550
Cost of goods sold:
Manufacturing operations (including costs related to affiliates of $26,448 and $4,800 for the three months ended June 30, 2007 and 2006, respectively)		(172,699	)		(123,618	)
Railcar services (including costs related to affiliates of $3,635 and $3,544 for the three months ended June 30, 2007 and 2006, respectively)		(10,607	)		(9,947	)
Total cost of goods sold		(183,306	)		(133,565	)
Gross profit		25,691			17,985
Income related to insurance recoveries, net		—			4,983
Selling, administrative and other (including costs related to affiliates of $151 and $509 for the three months ended June 30, 2007 and 2006, respectively)		(7,346	)		(6,027	)
Earnings from operations		18,345			16,941
Interest income		4,179			429
Interest expense		(5,380	)		(103	)
Earnings (loss) from joint venture		389			(138	)
Earnings before income tax expense		17,533			17,129
Income tax expense		(6,501	)		(6,308	)
Net earnings available to common shareholders	$	11,032		$	10,821
Net earnings per common share — basic	$	0.52		$	0.51
Net earnings per common share — diluted	$	0.52		$	0.51
Weighted average common shares outstanding — basic		21,270			21,208
Weighted average common shares outstanding — diluted		21,396			21,289
Dividends declared per common share	$	0.03		$	0.03

CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
(In thousands, except per share amounts, unaudited)

	For the Six Months Ended
	June 30,			June 30,
	2007			2006
Revenues:
Manufacturing operations (including revenues from affiliates of $45,924 and $20,209 for the six months ended June 30, 2007 and 2006, respectively)	$	370,841		$	305,306
Railcar services (including revenues from affiliates of $8,333 and $10,513 for the six months ended June 30, 2007 and 2006, respectively)		25,499			24,973
Total revenues		396,340			330,279
Cost of goods sold:
Manufacturing operations (including costs related to affiliates of $40,968 and $18,868 for the six months ended June 30, 2007 and 2006, respectively)		(322,138	)		(271,874	)
Railcar services (including costs related to affiliates of $6,728 and $8,115 for the six months ended June 30, 2007 and 2006, respectively)		(20,530	)		(20,160	)
Total cost of goods sold		(342,668	)		(292,034	)
Gross profit		53,672			38,245
Income related to insurance recoveries, net		—			4,983
Selling, administrative and other (including costs related to affiliates of $303 and $1,018 for the six months ended June 30, 2007 and 2006, respectively)		(14,049	)		(14,722	)
Earnings from operations		39,623			28,506
Interest income		6,060			915
Interest expense (including interest expense to affiliates of $0 and $98 for the six months ended June 30, 2007 and 2006		(7,318	)		(1,133	)
Earnings from joint venture		616			337
Earnings before income tax expense		38,981			28,625
Income tax expense		(14,442	)		(10,543	)
Net earnings	$	24,539		$	18,082
Less preferred dividends		—			(568	)
Earnings available to common shareholders	$	24,539		$	17,514
Net earnings per common share — basic	$	1.16		$	0.87
Net earnings per common share — diluted	$	1.15		$	0.87
Weighted average common shares outstanding — basic		21,245			20,116
Weighted average common shares outstanding — diluted		21,356			20,181
Dividends declared per common share	$	0.06		$	0.06

CONSOLIDATED STATEMENTS OF CASH FLOWS
(In thousands)

	For the Six Months Ended
	June 30,			June 30,
	2007			2006
Operating activities:
Net earnings	$	24,539		$	18,082
Adjustments to reconcile net earnings to net cash provided by (used in) operating activities:
Depreciation		6,808			4,857
Amortization of deferred costs		285			58
Loss on the write-off of property, plant and equipment		—			3,466
Long lived asset impairment charges		—			401
Loss on disposal of property, plant and equipment		223			—
Write-off of deferred financing costs		—			566
Stock based compensation		1,312			5,064
Excess tax benefits from stock option exercises		(241	)		—
Change in joint venture investment as a result of earnings		(616	)		(337	)
Provision for deferred income taxes		(159	)		(221	)
Provision for losses on accounts receivable		144			263
Changes in operating assets and liabilities:
Accounts receivable, net		(8,937	)		2,479
Accounts receivable, due from affiliate		(3,246	)		2,423
Insurance claim receivable		—			(8,000	)
Inventories		10,151			(20,039	)
Prepaid expenses		1,054			(1,465	)
Accounts payable		(3,215	)		(8,785	)
Accounts payable, due to affiliate		1,088			(2,048	)
Accrued expenses and taxes		12,114			(2,546	)
Other		(429	)		(239	)
Net cash provided by (used in) operating activities		40,875			(6,021	)
Investing activities:
Purchases of property, plant and equipment		(20,479	)		(21,036	)
Purchases of short term investments, available for sale securities		(100,293	)		—
Property insurance advance on Marmaduke tornado damage		—			7,500
Repayment of note receivable from affiliate (Ohio Castings LLC)		—			315
Investment in joint venture		(1,000	)		—
Acquisitions		—			(17,220	)
Net cash used in investing activities		(121,772	)		(30,441	)
Financing activities:
Proceeds from sale of common stock		—			205,275
Offering costs — initial public offering		—			(14,605	)
Preferred stock redemption		—			(82,056	)
Preferred stock dividends		—			(11,904	)
Common stock dividends		(1,273	)		(636	)
Decrease in amounts due to affiliate		—			(20,473	)
Majority shareholder capital contribution		—			275
Proceeds from stock option exercises		1,985			—
Excess tax benefits from stock option exercises		241			—
Proceeds from issuance of senior unsecured notes, gross		275,000			—
Offering costs — senior unsecured notes		(4,288	)		—
Finance fees related to credit facility		(60	)		(265	)
Repayment of debt		(43	)		(40,232	)
Net cash provided by financing activities		271,562			35,379
Increase (decrease) in cash and cash equivalents		190,665			(1,083	)
Cash and cash equivalents at beginning of period		40,922			28,692
Cash and cash equivalents at end of period	$	231,587		$	27,609

RECONCILIATION OF NET EARNINGS TO EBITDA AND ADJUSTED EBITDA
(In thousands)

	Three months ended						Six months ended
	June 30,						June 30,
	2007			2006			2007			2006
Net earnings	$	11,032		$	10,821		$	24,539		$	18,082
Income tax expense		6,501			6,308			14,442			10,543
Interest expense		5,380			103			7,318			1,133
Interest income		(4,179	)		(429	)		(6,060	)		(915	)
Depreciation		3,444			2,596			6,808			4,857
EBITDA	$	22,178		$	19,399		$	47,047		$	33,700
Stock based compensation expense		680			1,514			1,312			5,064
Adjusted EBITDA	$	22,858		$	20,913		$	48,359		$	38,764

EBITDA represents net earnings before income tax expense, interest expense (income), net of depreciation of property, plant and equipment. We believe EBITDA is useful to investors in evaluating our operating performance compared to that of other companies in our industry. In addition, our management uses EBITDA to evaluate our operating performance. The calculation of EBITDA eliminates the effects of financing, income taxes and the accounting effects of capital spending. These items may vary for different companies for reasons unrelated to the overall operating performance of a company’s business. EBITDA is not a financial measure presented in accordance with U.S. generally accepted accounting principles, or U.S. GAAP. Accordingly, when analyzing our operating performance, investors should not consider EBITDA in isolation or as a substitute for net earnings, cash flows from operating activities or other statements of operations or statements of cash flow data prepared in accordance with U.S. GAAP. Our calculation of EBITDA is not necessarily comparable to that of other similarly titled measures reported by other companies.

Adjusted EBITDA represents EBITDA before elimination of stock based compensation expense related to a restricted stock grant, stock options and stock appreciation rights. We believe that Adjusted EBITDA is useful to investors evaluating our operating performance compared to that of other companies in our industry. In addition, these charges are excluded from our calculation of EBITDA under our unsecured senior notes. Management also uses Adjusted EBITDA in evaluating our operating performance. Adjusted EBITDA is not a financial measure presented in accordance with U.S. GAAP. Accordingly, when analyzing our operating performance, investors should not consider Adjusted EBITDA in isolation or as a substitute for net earnings, cash flows from operating activities or other statements of operations or statements of cash flow data prepared in accordance with U.S. GAAP. Our calculation of Adjusted EBITDA is not necessarily comparable to that of other similarly titled measures reported by other companies.