Document and Entity Information
Document and Entity Information | 12 Months Ended |
Dec. 31, 2017shares | |
Document And Entity Information [Abstract] | |
Document Type | 20-F |
Amendment Flag | false |
Document Period End Date | Dec. 31, 2017 |
Document Fiscal Year Focus | 2,017 |
Document Fiscal Period Focus | FY |
Trading Symbol | TGH |
Entity Registrant Name | TEXTAINER GROUP HOLDINGS LTD |
Entity Central Index Key | 1,413,159 |
Current Fiscal Year End Date | --12-31 |
Entity Well-known Seasoned Issuer | No |
Entity Current Reporting Status | Yes |
Entity Filer Category | Accelerated Filer |
Entity Common Stock, Shares Outstanding | 57,097,220 |
Consolidated Statements Of Comp
Consolidated Statements Of Comprehensive Income (Loss) - USD ($) shares in Thousands, $ in Thousands | 12 Months Ended | ||||
Dec. 31, 2017 | Dec. 31, 2016 | [3] | Dec. 31, 2015 | ||
Revenues: | |||||
Lease rental income | $ 444,888 | $ 460,427 | [1],[2] | $ 512,544 | |
Management fees | 14,994 | 13,420 | [1] | 15,610 | |
Trading container sales proceeds | 4,758 | 15,628 | [2],[4] | 12,670 | |
Gain on sale of containers, net | 26,210 | 6,761 | [2],[4] | 3,454 | |
Total revenues | 490,850 | 496,236 | [2] | 544,278 | |
Operating expenses: | |||||
Direct container expense | 60,321 | 62,596 | 47,342 | ||
Cost of trading containers sold | 3,302 | 15,904 | 12,475 | ||
Depreciation expense | 231,043 | 236,144 | [2],[5] | 191,930 | |
Container impairment | 8,072 | 94,623 | [2],[5] | 35,345 | |
Amortization expense | 4,092 | 5,053 | [5] | 4,741 | |
General and administrative expense | 30,697 | 26,311 | 27,645 | ||
Short-term incentive compensation expense | 3,481 | 2,242 | 913 | ||
Long-term incentive compensation expense | 5,499 | 5,987 | 7,040 | ||
Bad debt expense, net | 477 | 21,166 | 5,028 | ||
Total operating expenses | 346,984 | 470,026 | 332,459 | ||
Income from operations | 143,866 | 26,210 | 211,819 | ||
Other (expense) income: | |||||
Interest expense | [6] | (117,475) | (85,215) | [2] | (76,063) |
Write-off of unamortized deferred debt issuance costs and bond discounts | [6] | (7,550) | (458) | ||
Interest income | 613 | 408 | 125 | ||
Realized losses on interest rate swaps, collars and caps, net | (1,191) | (8,928) | (12,823) | ||
Unrealized gains (losses) on interest rate swaps, collars and caps, net | 4,094 | 6,210 | [2],[5] | (1,947) | |
Other, net | 3 | (8) | 26 | ||
Net other expense | (121,506) | (87,533) | (91,140) | ||
Income (loss) before income tax and noncontrolling interests | 22,360 | (61,323) | [2] | 120,679 | |
Income tax (expense) benefit, net | (1,618) | 3,447 | (6,695) | ||
Net income (loss) | 20,742 | (57,876) | [5] | 113,984 | |
Less: Net (income) loss attributable to the noncontrolling interests | (1,377) | 5,393 | (5,576) | ||
Net income (loss) attributable to Textainer Group Holdings Limited common shareholders | $ 19,365 | $ (52,483) | $ 108,408 | ||
Net income (loss) attributable to Textainer Group Holdings Limited common shareholders per share: | |||||
Basic | $ 0.34 | $ (0.93) | $ 1.90 | ||
Diluted | $ 0.34 | $ (0.93) | $ 1.90 | ||
Weighted average shares outstanding (in thousands): | |||||
Basic | 56,845 | 56,608 | 56,953 | ||
Diluted | 57,159 | 56,608 | 57,093 | ||
Other comprehensive income (loss): | |||||
Foreign currency translation adjustments | $ 207 | $ (233) | $ (240) | ||
Comprehensive income (loss) | 20,949 | (58,109) | 113,744 | ||
Comprehensive (income) loss attributable to the noncontrolling interest | (1,377) | 5,393 | (5,576) | ||
Comprehensive income (loss) attributable to Textainer Group Holdings Limited common shareholders | $ 19,572 | $ (52,716) | $ 108,168 | ||
[1] | Amounts for the year ended December 31, 2016 have been restated for immaterial corrections of identified errors pertaining to properly account for lease concessions (see Note 2 “Immaterial Correction of Errors in Prior Periods”). | ||||
[2] | Amounts for the years ended December 31, 2016 have been restated for immaterial corrections of identified errors pertaining to the calculation of the gains on sale of containers, net and to properly account for lease concessions (see Note 2 “Immaterial Correction of Errors in Prior Periods”). | ||||
[3] | Certain amounts for the year ended December 31, 2016 have been restated for immaterial corrections of identified errors pertaining to the calculation of gain on sale of containers, net and to properly account for lease concessions (see Note 2 “Immaterial Correction of Errors in Prior Periods”). | ||||
[4] | Amounts for the year ended December 31, 2016 have been restated for immaterial corrections of identified errors pertaining to the calculation of gain on sale of containers, net (see Note 2 “Immaterial Correction of Errors in Prior Periods”). | ||||
[5] | Certain amounts for the years ended December 31, 2016 and 2015 have been restated for immaterial corrections of identified errors related to the calculation of gain on sale of containers, net, to properly account for lease concessions (see Note 2 "Immaterial Correction of Errors in Prior Periods"), to reclassify debt balances in order to conform with the 2017 presentation and for the adoption of Accounting Standards Update No. 2016-15, Statement of Cash Flows (Topic230): Classification of Certain Cash Receipts and Cash Payments and Accounting Standards Update No. 2016-18, Statement of Cash Flows (Topic 230): Restricted Cash. | ||||
[6] | Amount for the years ended December 31, 2016 and 2015 has been restated to reclassify the write-off of unamortized deferred debt costs and bond discounts out of interest expense to conform with the 2017 presentation. |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 | [1] |
Current assets: | |||
Cash and cash equivalents | $ 137,894 | $ 84,045 | |
Accounts receivable, net of allowance for doubtful accounts of $5,775 and $31,844 in 2017 and 2016, respectively | 78,312 | 76,547 | |
Net investment in direct financing and sales-type leases | 56,959 | 64,951 | |
Trading containers | 10,752 | 4,363 | |
Containers held for sale | 22,089 | 25,513 | |
Prepaid expenses and other current assets | 12,243 | 13,584 | |
Insurance receivable | 15,909 | 44,785 | |
Due from affiliates, net | 1,134 | 869 | |
Total current assets | 335,292 | 314,657 | |
Restricted cash | 99,675 | 58,078 | |
Containers, net of accumulated depreciation of $1,172,355 and $990,784 at 2017 and 2016, respectively | 3,791,610 | 3,717,542 | [2] |
Net investment in direct financing and sales-type leases | 125,665 | 172,283 | |
Fixed assets, net of accumulated depreciation of $10,788 and $10,136 at 2017 and 2016, respectively | 2,151 | 1,993 | |
Intangible assets, net of accumulated amortization of $44,279 and $40,762 at 2017 and 2016, respectively | 11,105 | 15,197 | |
Interest rate swaps, collars and caps | 7,787 | 4,816 | |
Deferred taxes | 1,563 | 1,385 | |
Other assets | 5,494 | 8,075 | |
Total assets | 4,380,342 | 4,294,026 | [3] |
Current liabilities: | |||
Accounts payable | 6,867 | 12,060 | |
Accrued expenses | 13,365 | 9,721 | |
Container contracts payable | 131,087 | 11,990 | |
Other liabilities | 235 | 265 | |
Due to owners, net | 11,131 | 18,132 | |
Debt, net of unamortized deferred financing costs of $3,989 and $6,137 at 2017 and 2016, respectively | 233,681 | 205,081 | |
Total current liabilities | 396,366 | 257,249 | |
Debt, net of unamortized deferred financing costs of $20,045 and $10,267 at 2017 and 2016, respectively | 2,756,627 | 2,833,216 | |
Interest rate swaps, collars and caps | 81 | 1,204 | |
Income tax payable | 9,081 | 9,076 | |
Deferred taxes | 5,881 | 6,237 | |
Other liabilities | 2,024 | 2,259 | |
Total liabilities | 3,170,060 | 3,109,241 | |
Textainer Group Holdings Limited shareholders' equity: | |||
Common shares, $0.01 par value. Authorized 140,000,000 shares; 57,727,220 shares issued and 57,097,220 shares outstanding at 2017; 57,417,119 shares issued and 56,787,119 shares outstanding at 2016 | 578 | 575 | |
Additional paid-in capital | 397,821 | 390,780 | |
Treasury shares, at cost, 630,000 shares | (9,149) | (9,149) | |
Accumulated other comprehensive income | (309) | (516) | |
Retained earnings | 763,601 | 744,236 | |
Total Textainer Group Holdings Limited shareholders’ equity | 1,152,542 | 1,125,926 | |
Noncontrolling interest | 57,740 | 58,859 | |
Total equity | 1,210,282 | 1,184,785 | [4] |
Total liabilities and equity | $ 4,380,342 | $ 4,294,026 | |
[1] | Certain amounts as of December 31, 2016 have been restated for immaterial corrections of identified errors related to the calculation of gain on sale of containers, net, to properly account for lease concessions (see Note 2 "Immaterial Correction of Errors in Prior Periods") and to reclassify debt balances to conform with the 2017 presentation. | ||
[2] | Amount as of December 31, 2016 has been restated for immaterial corrections of identified errors related to the calculation of gain on sale of containers, net (see Note 2 “Immaterial Correction of Errors in Prior Periods”). | ||
[3] | Amounts for the years ended December 31, 2016 have been restated for immaterial corrections of identified errors pertaining to the calculation of the gains on sale of containers, net and to properly account for lease concessions (see Note 2 “Immaterial Correction of Errors in Prior Periods”). | ||
[4] | Certain amounts for the year ended 2016 have been restated for immaterial corrections of identified errors pertaining to the calculation of gain on sale of containers, net and to properly account for lease concessions (see Note 2 “Immaterial Correction of Errors in Prior Periods”). |
Consolidated Balance Sheets (Pa
Consolidated Balance Sheets (Parenthetical) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 | |
Statement Of Financial Position [Abstract] | |||
Accounts receivable, allowance for doubtful accounts | $ 5,775 | $ 31,844 | |
Containers, accumulated depreciation | 1,172,355 | 990,784 | [1] |
Fixed assets, accumulated depreciation | 10,788 | 10,136 | |
Intangible assets, accumulated amortization | 44,279 | 40,762 | |
Debt, net of unamortized deferred financing costs current | 3,989 | 6,137 | |
Debt, net of unamortized deferred financing costs non current | $ 20,045 | $ 10,267 | |
Common shares, par value | $ 0.01 | $ 0.01 | |
Common shares, Authorized | 140,000,000 | 140,000,000 | |
Common shares, issued | 57,727,220 | 57,417,119 | |
Common shares, outstanding | 57,097,220 | 56,787,119 | |
Treasury shares, at cost, shares | 630,000 | 630,000 | |
[1] | Amount as of December 31, 2016 has been restated for immaterial corrections of identified errors related to the calculation of gain on sale of containers, net (see Note 2 “Immaterial Correction of Errors in Prior Periods”). |
Consolidated Statements Of Shar
Consolidated Statements Of Shareholders' Equity - USD ($) $ in Thousands | Total | Common shares | Treasury shares | Additional Paid-in capital | Accumulated other comprehensive income (loss) | Retained earnings | Total Textainer Group Holdings Limited shareholders' equity | Noncontrolling interest | ||
Beginning Balances at Dec. 31, 2014 | $ 1,249,802 | $ 565 | $ 378,316 | $ (43) | $ 811,144 | $ 1,189,982 | $ 59,820 | |||
Beginning Balances (in shares) at Dec. 31, 2014 | 56,863,094 | |||||||||
Dividends to shareholders ($1.65 per common share) | (94,079) | (94,079) | (94,079) | |||||||
Dividends paid to noncontrolling interest | (2,994) | (2,994) | ||||||||
Purchase of treasury shares | $ (9,149) | $ (9,149) | (9,149) | |||||||
Purchase of treasury shares (in shares) | (630,000) | (630,000) | ||||||||
Restricted share units vested | $ 7 | (7) | ||||||||
Restricted share units vested (in shares) | 272,945 | |||||||||
Exercise of share options | $ 301 | 301 | 301 | |||||||
Exercise of share options (in shares) | 32,495 | 27,056 | ||||||||
Long-term incentive compensation expense | $ 7,743 | 7,743 | 7,743 | |||||||
Net tax benefit from share options exercised and restricted share units vested | (1,333) | (1,333) | (1,333) | |||||||
Capital contributions from noncontrolling interest | 1,850 | 1,850 | ||||||||
Comprehensive income (loss): | ||||||||||
Net income (loss) attributable to Textainer Group Holdings Limited common shareholders | 108,408 | 108,408 | 108,408 | |||||||
Net income (loss) attributable to noncontrolling interests | 5,576 | 5,576 | ||||||||
Foreign currency translation adjustments | (240) | (240) | (240) | |||||||
Total comprehensive income (loss) | 113,744 | |||||||||
Ending Balances at Dec. 31, 2015 | 1,265,885 | $ 572 | $ (9,149) | 385,020 | (283) | 825,473 | 1,201,633 | 64,252 | ||
Ending Balances (in shares) at Dec. 31, 2015 | 57,163,095 | (630,000) | ||||||||
Dividends to shareholders ($1.65 per common share) | $ (28,754) | (28,754) | (28,754) | |||||||
Purchase of treasury shares (in shares) | 0 | |||||||||
Restricted share units vested | $ 3 | (3) | ||||||||
Restricted share units vested (in shares) | 254,024 | |||||||||
Long-term incentive compensation expense | $ 6,573 | 6,573 | 6,573 | |||||||
Net tax benefit from share options exercised and restricted share units vested | (810) | (810) | (810) | |||||||
Comprehensive income (loss): | ||||||||||
Net income (loss) attributable to Textainer Group Holdings Limited common shareholders | (52,483) | [1] | (52,483) | (52,483) | ||||||
Net income (loss) attributable to noncontrolling interests | (5,393) | [1] | (5,393) | |||||||
Foreign currency translation adjustments | (233) | [1] | (233) | (233) | ||||||
Total comprehensive income (loss) | [1] | (58,109) | ||||||||
Ending Balances at Dec. 31, 2016 | [3] | 1,184,785 | [2] | $ 575 | $ (9,149) | 390,780 | (516) | 744,236 | 1,125,926 | 58,859 |
Ending Balances (in shares) at Dec. 31, 2016 | [3] | 57,417,119 | (630,000) | |||||||
Dividends paid to noncontrolling interest | $ (2,496) | (2,496) | ||||||||
Purchase of treasury shares (in shares) | 0 | |||||||||
Restricted share units vested | $ 2 | (2) | ||||||||
Restricted share units vested (in shares) | 244,633 | |||||||||
Exercise of share options | $ 961 | $ 1 | 960 | 961 | ||||||
Exercise of share options (in shares) | 65,468 | 65,468 | ||||||||
Long-term incentive compensation expense | $ 6,083 | 6,083 | 6,083 | |||||||
Comprehensive income (loss): | ||||||||||
Net income (loss) attributable to Textainer Group Holdings Limited common shareholders | 19,365 | 19,365 | 19,365 | |||||||
Net income (loss) attributable to noncontrolling interests | 1,377 | 1,377 | ||||||||
Foreign currency translation adjustments | 207 | 207 | 207 | |||||||
Total comprehensive income (loss) | 20,949 | |||||||||
Ending Balances at Dec. 31, 2017 | $ 1,210,282 | $ 578 | $ (9,149) | $ 397,821 | $ (309) | $ 763,601 | $ 1,152,542 | $ 57,740 | ||
Ending Balances (in shares) at Dec. 31, 2017 | 57,727,220 | (630,000) | ||||||||
[1] | Certain amounts for the year ended December 31, 2016 have been restated for immaterial corrections of identified errors pertaining to the calculation of gain on sale of containers, net and to properly account for lease concessions (see Note 2 “Immaterial Correction of Errors in Prior Periods”). | |||||||||
[2] | Certain amounts as of December 31, 2016 have been restated for immaterial corrections of identified errors related to the calculation of gain on sale of containers, net, to properly account for lease concessions (see Note 2 "Immaterial Correction of Errors in Prior Periods") and to reclassify debt balances to conform with the 2017 presentation. | |||||||||
[3] | Certain amounts for the year ended 2016 have been restated for immaterial corrections of identified errors pertaining to the calculation of gain on sale of containers, net and to properly account for lease concessions (see Note 2 “Immaterial Correction of Errors in Prior Periods”). |
Consolidated Statements Of Sha6
Consolidated Statements Of Shareholders' Equity (Parenthetical) - $ / shares | 12 Months Ended | |
Dec. 31, 2016 | Dec. 31, 2015 | |
Statement Of Stockholders Equity [Abstract] | ||
Dividends to shareholders, per common share | $ 0.51 | $ 1.65 |
Consolidated Statements Of Cash
Consolidated Statements Of Cash Flows - USD ($) $ in Thousands | 12 Months Ended | |||||
Dec. 31, 2017 | Dec. 31, 2016 | [2] | Dec. 31, 2015 | |||
Cash flows from operating activities: | ||||||
Net income (loss) | $ 20,742 | $ (57,876) | [1] | $ 113,984 | ||
Adjustments to reconcile net income (loss) to net cash provided by operating activities: | ||||||
Depreciation expense | 231,043 | 236,144 | [1],[3] | 191,930 | ||
Container impairment | 8,072 | 94,623 | [1],[3] | 35,345 | ||
Bad debt expense, net | 477 | 21,166 | 5,028 | |||
Unrealized (gains) losses on interest rate swaps, collars and caps, net | (4,094) | (6,210) | [1],[3] | 1,947 | ||
Amortization and write-off of unamortized deferred debt issuance costs and accretion of bond discount | 20,814 | 9,704 | 7,887 | |||
Amortization of intangible assets | 4,092 | 5,053 | [1] | 4,741 | ||
Gain on sale of containers, net | (26,210) | (6,761) | (3,454) | |||
Share-based compensation expense | 6,083 | 6,573 | 7,743 | |||
Decrease (increase) in: | ||||||
Accounts receivable, net | (6,672) | (11,935) | (1,532) | |||
Trading containers, net | (6,389) | 468 | 1,842 | |||
Prepaid expenses and other current assets | 1,463 | 1,902 | (3,873) | |||
Insurance receivable | 8,670 | (20,072) | (1,685) | |||
Due from affiliates, net | (265) | (354) | (525) | |||
Other assets | 2,581 | (1,088) | 5,754 | |||
Increase (decrease) in: | ||||||
Accounts payable | (5,193) | 1,583 | 4,825 | |||
Accrued expenses | 3,556 | 2,905 | (5,108) | |||
Deferred revenue and other liabilities | (265) | (290) | (318) | |||
Due to owners, net | (7,001) | 6,326 | 803 | |||
Long-term income tax payable | 5 | 398 | 982 | |||
Deferred taxes, net | (534) | (4,365) | 5,642 | |||
Total adjustments | 230,233 | 335,770 | 257,974 | |||
Net cash provided by operating activities | 250,975 | 277,894 | 371,958 | |||
Cash flows from investing activities: | ||||||
Purchase of containers and fixed assets | (300,125) | (505,528) | (533,306) | |||
Proceeds from sale of containers and fixed assets | 135,299 | 126,560 | 129,452 | |||
Receipt of payments on direct financing and sales-type leases, net of income earned | 66,846 | 90,343 | 98,227 | |||
Insurance proceeds received for unrecoverable containers | 12,616 | 8,195 | ||||
Net cash used in investing activities | (85,364) | (280,430) | (305,627) | |||
Cash flows from financing activities: | ||||||
Proceeds from debt | 1,729,580 | 582,500 | 566,177 | |||
Principal payments on debt | (1,770,715) | (551,586) | (538,877) | |||
Purchase of treasury shares | (9,149) | |||||
Debt issuance costs | (27,702) | (5,969) | (5,853) | |||
Issuance of common shares upon exercise of share options | 961 | 301 | ||||
Net tax benefit from share-based compensation awards | (810) | (1,333) | ||||
Capital contributions from noncontrolling interest | 1,850 | |||||
Dividends paid to noncontrolling interests | (2,496) | (2,994) | ||||
Dividends paid to shareholders | (28,754) | (94,079) | ||||
Net cash used in financing activities | (70,372) | (4,619) | (83,957) | |||
Effect of exchange rate changes | 207 | (233) | (240) | |||
Net increase (decrease) in cash, cash equivalents and restricted cash | 95,446 | (7,388) | (17,866) | |||
Cash, cash equivalents and restricted cash, beginning of the year | 142,123 | [2] | 149,511 | 167,377 | ||
Cash, cash equivalents and restricted cash, end of the year | 237,569 | 142,123 | 149,511 | [2] | ||
Cash paid during the year for: | ||||||
Interest expense and realized losses on interest rate swaps, collars and caps, net | 105,322 | 83,881 | 82,577 | |||
Net income taxes paid | 925 | 1,503 | 941 | |||
Supplemental disclosures of noncash investing activities: | ||||||
Increase (decrease) in accrued container purchases | 119,097 | (29,366) | (21,967) | |||
Containers placed in direct financing and sales-type leases | 9,378 | $ 101,354 | $ 77,294 | |||
Decrease in insurance receivable due to a decrease in estimated unrecoverable containers | $ 7,546 | |||||
[1] | Certain amounts for the year ended December 31, 2016 have been restated for immaterial corrections of identified errors pertaining to the calculation of gain on sale of containers, net and to properly account for lease concessions (see Note 2 “Immaterial Correction of Errors in Prior Periods”). | |||||
[2] | Certain amounts for the years ended December 31, 2016 and 2015 have been restated for immaterial corrections of identified errors related to the calculation of gain on sale of containers, net, to properly account for lease concessions (see Note 2 "Immaterial Correction of Errors in Prior Periods"), to reclassify debt balances in order to conform with the 2017 presentation and for the adoption of Accounting Standards Update No. 2016-15, Statement of Cash Flows (Topic230): Classification of Certain Cash Receipts and Cash Payments and Accounting Standards Update No. 2016-18, Statement of Cash Flows (Topic 230): Restricted Cash. | |||||
[3] | Amounts for the years ended December 31, 2016 have been restated for immaterial corrections of identified errors pertaining to the calculation of the gains on sale of containers, net and to properly account for lease concessions (see Note 2 “Immaterial Correction of Errors in Prior Periods”). |
Nature of Business and Summary
Nature of Business and Summary of Significant Accounting Policies | 12 Months Ended |
Dec. 31, 2017 | |
Accounting Policies [Abstract] | |
Nature of Business and Summary of Significant Accounting Policies | (1) Nature of Business and Summary of Significant Accounting Policies (a) Nature of Operations Textainer Group Holdings Limited (“TGH”) is incorporated in Bermuda. TGH is the holding company of a group of corporations, Textainer Group Holdings Limited and subsidiaries (collectively, the “Company”), involved in the purchase, management, leasing and resale of a fleet of marine cargo containers. The Company manages and provides administrative support to the affiliated and unaffiliated owners (the “Owners”) of the containers and structures and manages container leasing investment programs. The Company conducts its business activities in three main areas: Container Ownership, Container Management and Container Resale. These activities are described below (also see Note 13 “Segment Information”). Container Ownership The Company’s containers consist primarily of standard dry freight containers, but also include refrigerated and other special-purpose containers. These containers are financed through retained earnings; revolving credit facilities, secured debt facilities and a term loan provided by banks; bonds payable to investors; and a public offering of TGH’s common shares. Expenses related to lease rental income include direct container expenses, depreciation expense and interest expense. Container Management The Company manages, on a worldwide basis, a fleet of containers for and on behalf of the Owners. All rental operations are conducted worldwide in the name of the Company who, as agent for the Owners, acquires and sells containers, enters into leasing agreements and depot service agreements, bills and collects lease rentals from the lessees, disburses funds to depots for container handling, and remits net amounts, less management fees and commissions, to the Owners. Revenues, customer accounts receivable, fixed assets, depreciation and other operating expenses, and vendor payables arising from direct container operations of the managed portion of the Owners’ fleet have been excluded from the Company’s financial statements. Management fees are typically a percentage of net operating income of each Owner’s fleet and consist of fees earned by the Company for services related to the management of the containers, sales commissions and net acquisition fees earned on the acquisition of containers. Expenses related to the provision of management services include general and administrative expense, short-term and long-term incentive compensation expense and amortization expense. Container Resale The Company buys and subsequently resells used containers (trading containers) from third parties. Container sales revenue represents the proceeds on the sale of containers purchased for resale. Cost of containers sold represents the cost of equipment purchased for resale that were sold as well as the related selling costs. The Company earns sales commissions related to the sale of the containers that it manages. (b) Principles of Consolidation and Variable Interest Entity The consolidated financial statements of the Company include TGH and all of its subsidiaries in which the Company has a controlling financial interest. All significant intercompany accounts and balances have been eliminated in consolidation. The Company determines whether it has a controlling financial interest in an entity by evaluating whether the entity is a variable interest entity (“VIE”) or a voting interest entity (“VME”). If it is determined that the Company does not have a variable interest in the entity, no further analysis is required and the Company does not consolidate the entity. On December 20, 2012, the Company’s wholly-owned subsidiary, Textainer Limited (“TL”), purchased 50.1% of the outstanding common shares of TAP Funding Ltd. (“TAP Funding”) (a Bermuda company) from TAP Ltd. (“TAP”). Both before and after this purchase, TAP Funding leases containers to lessees under operating, direct financing and sales-type leases. TAP is governed by members and management agreements and the Company’s wholly-owned subsidiary, Textainer Equipment Management Limited (“TEML”), manages all of TAP Funding’s containers, making day-to-day decisions regarding the marketing, servicing and design of TAP Funding’s leases. TL’s purchase of a majority ownership of TAP Funding’s common shares allowed the Company to increase the size of its owned fleet at an attractive price. Under TAP Funding’s members agreement, TL owns 50.1% and TAP owns 49.9% of the common shares of TAP Funding. As common shareholders, TL has two voting rights and TAP has one voting right of TAP Funding, with the exception of certain matters such as bankruptcy proceedings and the incurrence of debt and mergers and consolidations, which require unanimity. TL also has two seats and TAP has one seat on TAP Funding’s board of directors. In addition, TL has an option to purchase the remaining outstanding common shares of TAP Funding held by TAP during the period beginning January 1, 2019 and through December 1, 2020 for a purchase price equal to the equity carrying value of TAP Funding plus 6% of TAP’s percentage ownership interest in TAP Funding minus the sum of any and all U.S. federal, state and local taxes of any nature that would be recognized by TL if TAP Funding was liquidated by TL immediately after TL purchased its shares. TAP Funding is a VME and the Company consolidates TAP Funding as the Company has a controlling financial interest in TAP Funding, in which TL owns 50% or more voting interest. TAP Funding’s profits and losses are allocated to TL and TAP on the same basis as their ownership percentages. The equity owned by TAP in TAP Funding is shown as a noncontrolling interest on the Company’s consolidated balance sheets and the net income (loss) attributable to the noncontrolling interest’s operations is shown as net (income) loss attributable to the noncontrolling interests on the Company’s consolidated statements of comprehensive income (loss). The Company has a joint venture, TW Container Leasing, Ltd. (“TW”) (a Bermuda company), between TL and Wells Fargo Container Corp. (“WFC”). The purpose of TW is to lease containers to lessees under direct financing leases. TW is governed by members, credit and management agreements. Under the members agreement, TL owns 25% and WFC owns 75% of the common shares and related voting rights of TW. TL also has two seats and WFC has six seats on TW’s board of directors, with each seat having equal voting rights, provided, however, that the approval of at least one TL-appointed director is required for any action of the board of directors. Under a credit agreement with Wells Fargo Bank, N.A. (“WFB”), TW maintains a credit facility with an outstanding balance of $97,148 as of December 31, 2017. TW is required to make monthly principal pay down from its available funds, net revenue collection after interest payment, interest rate hedging payment and certain management fees, until the outstanding balance is fully repaid and prior to final maturity (see Note 12 “Secured Debt Facilities, Credit Facilities, Term Loan and Bonds Payable, and Derivative Instruments”). Both WFC and WFB are directly and indirectly wholly-owned subsidiaries of Wells Fargo and Company. The remaining cost of originating direct financing leases will be provided in the form of capital contributions from TL and WFC, split 25% and 75%, respectively. Under the management agreement, TEML manages all of TW’s containers, making day-to-day decisions regarding the marketing, servicing and design of TW’s direct financing leases. The Company has determined that it has a variable interest in TW and that TW is a VIE. The Company consolidates TW as the Company has determined that it is the primary beneficiary of TW by its equity ownership in the entity and by virtue of its role as manager of the vehicle, namely that the Company has the power to direct the activities of TW that most significantly impact TW’s economic performance. The book values of TW’s direct financing and sales-type leases and related debt as of December 31, 2017 and 2016 are disclosed in Note 7 “Direct Financing and Sales-type Leases” and Note 12 “Secured Debt Facilities, Credit Facilities, Term Loan and Bonds Payable, and Derivative Instruments”, respectively. The majority of the container equipment included in the accompanying consolidated financial statements is owned by TL, Textainer Marine Containers II Limited (“TMCL II”), Textainer Marine Containers III Limited (“TMCL III”), Textainer Marine Containers IV Limited (“TMCL IV”) and Textainer Marine Containers V Limited (“TMCL V”), all Bermuda companies and all of which were wholly-owned subsidiaries of the Company as of December 31, 2017 and 2016. (c) Cash and Cash Equivalents and Restricted Cash Cash and cash equivalents are comprised of interest-bearing deposits or money market securities with original maturities of three months or less. The Company maintains cash and cash equivalents and restricted cash (see Note 14 “Commitments and Contingencies—Restricted Cash”) with various financial institutions. These financial institutions are located in Bermuda, Canada, Hong Kong, Malaysia, Singapore, the United Kingdom and the United States. A significant portion of the Company’s cash and cash equivalents and restricted cash is maintained with a small number of banks and, accordingly, the Company is exposed to the credit risk of these counterparties in respect of the Company’s cash and cash equivalents and restricted cash. Furthermore, the deposits maintained at some of these financial institutions exceed the amount of insurance provided on the deposits. Restricted cash is excluded from cash and cash equivalents and is included in long-term assets. In November 2016, the FASB issued Accounting Standards Update No. 2016-18, Statement of Cash Flows (Topic 230): Restricted Cash (“ASU 2016-18”). The Company early adopted ASU 2016-18 on April 1, 2017, which resulted in a $24,161 decrease in net cash used in financing activities and the inclusion of restricted cash balances of $33,917 and $58,078 to the beginning of the year and end of the year cash, cash equivalents and restricted cash, respectively, in the Company’s consolidated statements of cash flows for the year ended December 31, 2016. This also resulted in a $26,393 increase in net cash used in financing activities and the inclusion of restricted cash balances of $60,310 and $33,917 to the beginning of the year and end of the year cash, cash equivalents and restricted cash, respectively, in the Company’s consolidated statements of cash flows for the year ended December 31, 2015 (see Note 1(t) “Recently Issued Accounting Standards”). The following table provides a reconciliation of cash, cash equivalents, and restricted cash reported within the consolidated balance sheets that sum to the total of the same such amounts shown in the consolidated statements of cash flows: 2017 2016 2015 Cash and cash equivalents $ 137,894 $ 84,045 $ 115,594 Restricted cash included in long-term assets 99,675 58,078 33,917 Cash at end of period $ 237,569 $ 142,123 $ 149,511 (d) Intangible Assets Intangible assets, consisting primarily of exclusive rights to manage container fleets, are amortized over the expected life of the contracts based on forecasted income to the Company. The contract terms range from 11 to 13 years. The Company reviews its intangible assets for impairment if events and circumstances indicate that the carrying amount of the intangible assets may not be recoverable. The Company compares the carrying value of the intangible assets to expected future undiscounted cash flows for the purpose of assessing the recoverability of the recorded amounts. If the carrying amount exceeds expected undiscounted cash flows, the intangible assets shall be reduced to their fair value. (e) Lease Rental Income Leasing income arises principally from the renting of containers owned by the Company to various international shipping lines. Revenue is recorded when earned according to the terms of the container rental contracts. These contracts are typically for terms of three to five years, but can vary from one to eight years, and are generally classified as operating leases. Under long-term lease agreements, containers are usually leased from the Company for periods of three to five years. Such leases are generally cancelable with a penalty at the end of each 12-month period. Under master lease agreements, the lessee is not committed to leasing a minimum number of containers from the Company during the lease term and may generally return the containers to the Company at any time, subject to certain restrictions in the lease agreement. Under long-term lease and master lease agreements, revenue is earned and recognized evenly over the period that the equipment is on lease. Under direct financing and sales-type leases, the containers are usually leased from the Company for the remainder of the container’s useful life with a bargain purchase option at the end of the lease term. Revenue is earned and recognized on direct financing leases over the lease terms so as to produce a constant periodic rate of return on the net investment in the leases. Under sales-type leases, a gain or loss is recognized at the inception of the leases by subtracting the book value of the containers from the estimated fair value of the containers and the remaining revenue is earned and recognized over the lease terms so as to produce a constant periodic rate of return on the net investment in the leases. The Company’s container leases generally do not include step-rent provisions, nor do they depend on indices or rates. The Company recognizes revenue on container leases that include lease concessions in the form of free-rent periods using the straight-line method over the minimum terms of the leases. The following is a schedule, by year, of future minimum lease payments receivable under the long-term leases as of December 31, 2017: Year ending December 31: 2018 $ 263,425 2019 189,130 2020 131,427 2021 91,685 2022 and thereafter 120,345 Total future minimum lease payments receivable $ 796,012 The Company maintains allowances for doubtful accounts for estimated losses resulting from the inability of its lessees to make required payments. These allowances are based on management’s current assessment of the financial condition of the Company’s lessees and their ability to make their required payments. If the financial condition of the Company’s lessees deteriorates, resulting in an impairment of their ability to make payments, additional allowances may be required. (f) Direct Container Expense Direct container expense represents the operating costs arising from the containers owned by the Company and includes storage, handling, maintenance, Damage Protection Plan (“DPP”) repair, repositioning, agent, insurance expense and repair and recovery costs for problem lessees. These costs are recognized when incurred. (g) Containers Held for Resale The Company, through one or more of its subsidiaries, buys trading containers for resale, which are valued at the lower of cost or market value. The cost of trading containers sold is specifically identified. (h) Foreign Currencies A functional currency is determined for each of the Company’s entities based on the currency of the primary economic environment in which the entity operates. The Company’s functional currency, excluding its foreign subsidiaries, is the U.S. dollar. Assets and liabilities denominated in a currency other than the entity’s functional currency are re-measured into its functional currency at the balance sheet date with a gain or loss recognized in current year net income. Foreign currency exchange gains and losses that arise from exchange rate changes on transactions denominated in a foreign currency are recognized in net income as incurred. Foreign currency exchange gains, reported in direct container expense in the consolidated statements of comprehensive income were $156, $188, and $221 for the years ended December 31, 2017, 2016 and 2015, respectively. For consolidation purposes, the financial statements are translated into U.S. dollars using the current exchange rate for the assets and liabilities and a weighted average exchange rate for the revenues and expenses recorded during the year with any translation adjustment shown as an element of accumulated other comprehensive income. (i) Containers and Fixed Assets Capitalized container costs include the container cost payable to the manufacturer and the associated transportation costs incurred in moving the containers from the manufacturer to the containers’ first destined port. Containers purchased new are depreciated using the straight-line method over their estimated useful lives to an estimated dollar residual value. Containers purchased used are depreciated based upon their remaining useful lives at the date of acquisition to an estimated dollar residual value. The Company evaluates the estimated residual values and remaining estimated useful lives on a regular basis to determine whether a change in our estimates of useful lives and residual values is warranted. After the Company performed its regular depreciation policy review during third quarter of 2017, the Company concluded that, beginning July 1, 2017, an increase in the estimated future residual value of its 20’, 40’ and 40’ high cube dry containers, as stated in the below table on the Company’s useful lives and residual values estimates, was appropriate. Depreciation expense may fluctuate in future periods based on fluctuations in these estimates. The net effect of these changes was a decrease in depreciation expense of $7,104 for the year ended December 31, 2017. After the Company performed its regular depreciation policy review during the third quarter of 2016, the Company concluded that, beginning July 1, 2016, a decrease in the estimated future residual value of its 20’ dry containers, 40’ dry containers, 40’ high cube dry containers and 40’ folding flat rack containers and an increase in the useful lives of its 40’ dry containers, 20’ folding flat rack containers, 20’ open top containers and 40’ flat rack containers, as stated in the below table on the Company’s useful lives and residual values estimates, was appropriate. Depreciation expense may fluctuate in future periods based on fluctuations in these estimates. The effect of these changes was an increase in depreciation expense of $25,126 for the year ended December 31, 2016, of which a $4,402 one-time charge was for containers that were fully depreciated to their previous residual value. The Company estimates the useful lives and residual values of its containers to be as follows: Effective July 1, 2017 July 1, 2016 through June 30, 2017 January 1, 2016 through June 30, 2016 Estimated Residual Estimated Residual Estimated Residual life (years) Value life (years) Value life (years) Value Dry containers other than open top and flat rack containers: 20' 13 $ 1,000 13 $ 950 13 $ 1,050 40' 14 $ 1,200 14 $ 1,150 13 $ 1,300 40' high cube 13 $ 1,350 13 $ 1,300 13 $ 1,450 45' high cube dry van 13 $ 1,500 13 $ 1,500 13 $ 1,500 Refrigerated containers: 20' 12 $ 2,750 12 $ 2,750 12 $ 2,750 20' high cube 12 $ 2,049 12 $ 2,049 12 $ 2,049 40' high cube 12 $ 4,500 12 $ 4,500 12 $ 4,500 Open top and flat rack containers: 20' folding flat rack 15 $ 1,300 15 $ 1,300 14 $ 1,300 40' folding flat rack 16 $ 1,700 16 $ 1,700 14 $ 2,000 20' open top 15 $ 1,500 15 $ 1,500 14 $ 1,500 40' open top 14 $ 2,500 14 $ 2,500 14 $ 2,500 Tank containers 20 10% of cost 20 10% of cost 20 10% of cost The cost, accumulated depreciation and net book value of the Company’s leasing equipment by equipment type as of December 31, 2017 and 2016 were as follows: 2017 2016 (1) Cost Accumulated Depreciation Net Book Value Cost Accumulated Depreciation Net Book Value Dry containers other than open top and flat rack containers: 20' $ 1,497,557 $ (347,910 ) $ 1,149,647 $ 1,399,878 $ (304,652 ) $ 1,095,226 40' 223,916 (75,610 ) 148,306 253,226 (76,344 ) 176,882 40' high cube 2,043,253 (476,238 ) 1,567,015 1,861,221 (405,503 ) 1,455,718 45' high cube dry van 29,010 (8,494 ) 20,516 29,823 (6,957 ) 22,866 Refrigerated containers: 20' 24,062 (5,394 ) 18,668 24,420 (3,830 ) 20,590 20' high cube 5,139 (2,327 ) 2,812 5,149 (1,948 ) 3,201 40' high cube 1,002,843 (229,465 ) 773,378 1,004,532 (169,383 ) 835,149 Open top and flat rack containers: 20' folding flat 16,595 (3,525 ) 13,070 16,712 (2,942 ) 13,770 40' folding flat 43,334 (14,394 ) 28,940 43,620 (12,634 ) 30,986 20' open top 10,837 (1,237 ) 9,600 11,048 (1,069 ) 9,979 40' open top 26,690 (4,469 ) 22,221 27,115 (3,778 ) 23,337 Tank containers 40,729 (3,292 ) 37,437 31,582 (1,744 ) 29,838 $ 4,963,965 $ (1,172,355 ) $ 3,791,610 $ 4,708,326 $ (990,784 ) $ 3,717,542 (1) Certain amounts as of December 31, 2016 have been restated for immaterial corrections of identified errors related to the calculation of the gain on sale of containers, net (see Note 2 “Immaterial Correction of Errors in Prior Periods”). Fixed assets are recorded at cost and depreciated on a straight-line basis over the estimated useful lives of the assets, ranging from three to seven years. The Company reviews its containers for impairment whenever events or circumstances indicate that the carrying amount of such assets may not be recoverable. The Company compares the carrying value of the containers to the expected future undiscounted cash flows for the purpose of assessing the recoverability of the recorded amounts. If the carrying value exceeds expected future undiscounted cash flows, the assets are reduced to fair value. There was no such impairment for the years ended December 31, 2017 and 2016. In addition, containers identified as being available for sale are valued at the lower of carrying value or fair value, less costs to sell. The Company evaluates the recoverability of the recorded amount of container rental that are unlikely to be recovered from lessees in default. The Company also records impairments to write-down containers held for sale to their estimated fair value less cost to sell. The fair value was estimated based on recent gross sales proceeds for sales of similar containers. When containers are retired or otherwise disposed of, the cost and related accumulated depreciation are removed and any resulting gain or loss is recognized. Any subsequent increase in fair value less costs to sell are recognized as reversal of container impairment but not in excess of the cumulative loss previously recognized. The Company recorded the following impairments that are included in container impairment in the consolidated statements of comprehensive income (loss) for the years ended December 31, 2017, 2016 and 2015: 2017 2016 2015 Impairment to write down the value of containers held for sale to their estimated fair value less cost to sell $ 15,475 $ 66,455 $ 32,680 Impairment on containers from a bankruptcy customer in 2016 and customer that became insolvent in 2015 — 22,961 1,968 Impairment for containers that were unlikely to be recovered from lessees in default (see Note 3 "Insurance Receivable and Impairment") 3,822 5,207 697 Reversal of previously recorded impairments on containers held for sale due to rising used container prices during the year (11,225 ) — — Container impairment $ 8,072 $ 94,623 $ 35,345 During the years ended December 31, 2017, 2016 and 2015, the Company recorded the following net gain on sales of containers, included in gain on sale of containers, net in the consolidated statements of comprehensive (loss) income: 2017 2016 (1) 2015 Units Amount Units Amount Units Amount Gain on sale of previously written down containers, net 56,862 $ 18,662 118,071 $ 9,151 65,786 $ 2,336 Gain (loss) on sale of containers not written down, net 55,505 7,548 20,319 (2,390 ) 45,777 1,118 Gain on sale of containers, net 112,367 $ 26,210 138,390 $ 6,761 111,563 $ 3,454 (1) Certain amounts as of December 31, 2016 have been restated for immaterial corrections of identified errors related to the calculation of the gain on sale of containers, net (see Note 2 “Immaterial Correction of Errors in Prior Periods”). If other containers are subsequently identified as available for sale, the Company may incur additional write-downs or may incur losses on the sale of these containers if they are sold. The Company will continue to evaluate the recoverability of recorded amounts of containers and a write-down of certain containers held for continued use and/or an increase in its depreciation rate may be required in future periods for some or all containers. (j) Income Taxes The Company uses the asset and liability method to account for income taxes. Deferred tax assets and liabilities are recognized for the future tax consequences attributable to differences between the financial statement carrying amounts of existing assets and liabilities and their respective tax bases and operating loss. Deferred tax assets and liabilities are measured using enacted tax rates expected to apply to taxable income in the years in which those temporary differences are expected to be recovered or settled. The effect on deferred tax assets and liabilities of a change in the tax rates is recognized in income in the period that includes the enactment date. A valuation allowance is recorded when the realization of a deferred tax asset is deemed to be unlikely. The Company also accounts for income tax positions only if those positions are more likely than not of being sustained. Recognized income tax positions are measured at the largest amount that is greater than 50% likely of being realized. Changes in the recognition or measurement are reflected in the period in which the change in judgment occurs. If there are findings in future regulatory examinations of the Company’s tax returns, those findings may result in an adjustment to income tax expense. The Company records interest and penalties related to unrecognized tax benefits in income tax expense. (k) Maintenance and Repair Expense and Damage Protection Plan The Company’s leases generally require the lessee to pay for any damage to the container beyond normal wear and tear at the end of the lease term. The Company offers a DPP to certain lessees of its containers. Under the terms of the DPP, the Company charges lessees an additional amount primarily on a daily basis and the lessees are no longer obligated for certain future repair costs for containers subject to the DPP. It is the Company’s policy to recognize these revenues as earned on a daily basis over the related term of its leases. The Company has not recognized revenue and related expense for customers who are billed at the end of their lease terms under the DPP. Based on past history, there is uncertainty as to collectability of these amounts from lessees who are billed at the end of their lease terms because the amounts due under the DPP are typically re-negotiated at the end of the lease terms or the lease terms are extended. The Company uses the direct expense method of accounting for maintenance and repairs. (l) Debt Issuance Costs The Company capitalizes costs directly associated with the issuance or modification of its debt and the balance of the debt issuance costs, net of amortization, are netted against the debt recorded in the consolidated balance sheets. Debt issuance costs are amortized using the interest rate method and the straight-line method over the general terms of the related fixed principal payment debt and the related revolving debt facilities, respectively, and the amortization is recorded in the consolidated statements of comprehensive income (loss) as interest expense. In 2017, 2016 and 2015, debt issuance costs of $27,702, $5,969 and $5,853, respectively, were capitalized and amortization of debt issuance costs of $13,201, $9,465 and $7,158, respectively, were recorded in interest expense. When the Company’s debt is modified or terminated, any unamortized debt issuance costs related to a decrease in borrowing capacity with any of the Company’s lenders is immediately written-off and recorded in interest expense. In 2017, interest expense included $238, $6,516 and $84 of write-offs of unamortized debt issuance costs related to the amendment of TMCL II’s TMCL III’s (m) Concentrations Although substantially all of the Company’s income from operations is derived from assets employed in foreign countries, virtually all of this income is denominated in U.S. dollars. The Company does pay some of its expenses in various foreign currencies. During 2017, 2016 and 2015, $15,143 or 25%, $22,642 or 36%, and $12,700 or 27%, respectively, of the Company’s direct container expenses were paid in up to 20 different foreign currencies. In accordance with its policy, the Company does not hedge these container expenses as there are no significant payments made in any one foreign currency. The Company’s customers are mainly international shipping lines, which transport goods on international trade routes. Once the containers are on-hire with a lessee, the Company does not track their location. The domicile of the lessee is not indicative of where the lessee is transporting the containers. The Company’s business risk in its foreign concentrations lies with the creditworthiness of the lessees rather than the geographic location of the containers or the domicile of the lessees. Except for the lessees noted in the table below, no other single lessee made up greater than 10% of the Company’s lease rental income during the years ended December 31, 2017, 2016 and 2015: 2017 2016 (1) 2015 Mediterranean Shipping Company S.A. 14.4 % 12.0 % 10.4 % CMA-CGM S.A. 13.6 % 14.0 % 11.0 % (1) Certain amounts as of December 31, 2016 have been restated for immaterial corrections of identified errors relating to properly account for lease concessions (see Note 2 “Immaterial Correction of Errors in Prior Periods”). Mediterranean Shipping Company S.A. accounted for 13.1% and 9.0% of the Company’s gross accounts receivable as of December 31, 2017 and 2016, respectively. CMA-CGM S.A. accounted for 12.9% and 9.1% of the Company’s gross accounts receivable as of December 31, 2017 and 2016, respectively. Hanjin Shipping Co. accounted for 19.9% of the Company’s gross accounts receivable as of December 31, 2016. Hanjin Shipping Co. filed for bankruptcy in August 2016 and the Company’s outstanding accounts receivable with this customer was fully reserved as of December 31, 2016 and was written off as of December 31, 2017 (see Note 3 “Insurance Receivable and Impairment”). There is no other single lessee that accounted for more than 10% of the Company’s gross accounts receivable as of December 31, 2017 and 2016. As of December 31, 2016, the Company’s gross accounts receivable has been restated for immaterial corrections of identified errors pertaining to properly account for lease concessions (see Note 2 “Immaterial Correction of Errors in Prior Periods”). Total fleet lease rental income differs from reported lease rental income in that total fleet lease rental income comprises revenue earned from leases on containers in the Company’s total fleet, including revenue earned by the Owners from leases on containers in its managed fleet, while the Company’s reported lease rental income only comprises income associated with its owned fleet. Except for the customers noted in the table below, no other customer that individually accounted for over 10% of the lease billings of the Company’s total fleet in 2017, 2016 and 2015: 2017 2016 2015 Mediterranean Shipping Company S.A. 15.1 % 13.6 % 11.9 % CMA-CGM S.A. 14.4 % 15.4 % 12.2 % The Company currently has containers on-hire to approximately 300 customers. The Company’s customers are mainly international shipping lines, but the Company also leases containers to freight forwarding companies and the U.S. military. The Company’s five largest customers accounted for approximately 49.5%, 48.1% and 40.3% of the Company’s total fleet leasing billings in 2017, 2016 and 2015, respectively. During 2017, 2016 and 2015, revenue from the Company’s 20 largest container lessees by lease billings represented 80.0%, 78.9% and 77.4% of the Company’s total fleet container lease billings, respectively. A default by any of these major customers could have a material adverse impact on the Company’s business, results from operations and financial condition. As of December 31, 2017 and 2016, approximately 94.4 % and 95.0%, respectively, of the Company’ accounts receivable for its total fleet were from container lessees and customers outside of th |
Immaterial Correction of Errors
Immaterial Correction of Errors in Prior Periods | 12 Months Ended |
Dec. 31, 2017 | |
Accounting Changes And Error Corrections [Abstract] | |
Immaterial Correction of Errors in Prior Periods | (2) Immaterial Correction of Errors in Prior Periods During the first quarter of 2017, the Company identified errors related to the calculation of the gain on sale of containers, net and lease concessions that had not properly been recognized. In accordance with ASC 250, the Company evaluated the materiality of the errors from both a quantitative and qualitative perspective, and concluded that the errors were immaterial to the Company’s prior period interim and annual consolidated financial statements. Since these revisions were not material to any prior period interim or annual consolidated financial statements, no amendments to previously filed interim or annual reports are required. Consequently, the Company has adjusted for the errors by revising its historical consolidated balance sheet presented herein resulting in a $839 increase in accounted receivable, net, a $2,792 decrease in containers, net, a $1,821 decrease in retained earnings and a $132 decrease in noncontrolling interests recorded in the consolidated balance sheet as of December 31, 2016. For the year ended December 31, 2016, the correction of the errors also resulted in a decrease in gain on sale of containers, net of $2,792 and an increase of $839 in lease rental income, resulting in a decrease of $1,821 in net income (loss) recorded in the consolidated statements of comprehensive income (loss). |
Insurance Receivable and Impair
Insurance Receivable and Impairment | 12 Months Ended |
Dec. 31, 2017 | |
Business Combinations [Abstract] | |
Insurance Receivable And Impairment Text Block | (3) Insurance Receivable and Impairment In August 2016, one of the Company’s customers filed for bankruptcy and the book value of its owned containers, net on operating leases and direct financing leases with this customer was $178,344 and $88,171, respectively. The Company maintains insurance that covers a portion of the exposure related to the value of containers that are unlikely to be recovered from this customer, the cost to recover containers, up to 183 days of lost lease rental income and defaulted accounts receivable. During the year ended December 31, 2016, the Company recorded a total container impairment of $22,149 representing $17,399 to write down the containers on direct finance leases with this customer to the lower of estimated fair market value or net book value and $4,750 insurance deductible. As of December 31, 2016, an insurance receivable of $39,321, net of insurance deductible of $4,750, was recorded for estimated unrecoverable containers of $24,912 (or 10% of the containers on lease to the customer) as a reduction to containers, net and $19,159 of recovery costs recorded as a reduction to direct container expense on the Company’s owned fleet. The Company also recorded bad debt expense of $18,992, net of estimated insurance proceeds of $2,592, to fully reserve for the customer’s outstanding accounts receivable during the year ended December 31, 2016. During the recent quarters in 2017, the Company reassessed its estimate of unrecoverable containers to actual amount of unrecoverable containers commensurate with the insurance claim filing. Accordingly, the Company recorded a $7,592 reduction to the insurance receivable and addition to the containers, net, for the year ended December 31, 2017. An additional insurance receivable of $32,067 was also recorded for the year ended December 31, 2017 for recovery costs that are reimbursable as reduction to direct container expense. For the year ended December 31, 2017, the Company received a total of $50,479 insurance proceeds for the Company’s owned fleet, which was recorded as a reduction to the insurance receivable. Insurance receivable recorded on the Company’s owned fleet related to this bankrupt customer are as follows: Estimated unrecoverable containers, net of insurance deductible $ 20,162 Recovery costs 19,159 Accounts receivable coverage by insurance 2,592 Insurance receivable associated with this bankruptcy customer as of December 31, 2016 41,913 Recovery costs 32,067 Insurance proceeds received (50,479 ) Reassessment associated with estimate of unrecoverable containers to actual amount of loss commensurate with the insurance claim filing (7,592 ) Insurance receivable to this bankruptcy customer as of December 31, 2017 $ 15,909 In August 2015, one of the Company’s customers became insolvent and containers on operating and direct financing leases to the customer were deemed unlikely to be recovered. The Company maintains insurance that covers a portion of the exposure related to the value of containers that are unlikely to be recovered from its customers, the cost to recover containers and up to 183 days of lost lease rental income. Accordingly, during the year ended December 31, 2015, an impairment was recorded to write off containers, net and net investment in direct financing and sales-type leases with book values of $8,815 and $2,903, respectively. In addition, bad debt expense of $2,574 was recorded in the condensed consolidated statements of comprehensive (loss) income for the year ended December 31, 2015 to fully reserve for the customer’s outstanding accounts receivable. As of December 31, 2015, an insurance receivable of $11,436 was recorded for $8,796 of estimated proceeds for containers unlikely to be recovered, $1,685 of recovery costs recorded as a reduction to direct container expense and $955 of lost lease rental income recorded as a reduction to container impairment. The impairment net of estimated insurance proceeds of $1,968 was recorded in container impairment in the condensed consolidated statements of comprehensive (loss) income for the year ended December 31, 2015. An additional insurance receivable of $1,007 was recorded for the year ended December 31, 2016 for $768 of recovery costs recorded as a reduction to direct container expense and $239 of lost lease rental income recorded as a reduction to container impairment for the years ended December 31, 2016. For the year ended December 31, 2016, the Company received a total of $8,250 insurance proceeds for the Company’s owned fleet, which was recorded as a reduction to the insurance receivable. In addition, the Company received final insurance proceeds of $3,592 for the Company’s owned fleet during the first quarter of 2017 and accordingly, wrote-off the remaining balance of insurance receivable of $1,321 recorded a $469 increase to containers, net, a $1,052 increase to container impairment and a $200 reduction to recovery costs for the year ended December 31, 2016. A further allocation of $720 insurance receivable, $200 to recovery costs and a $920 reduction to container impairment was recorded for the year ended December 31, 2017. Insurance receivable recorded on the Company’s owned fleet related to this insolvency customer are as follows: Insurance receivable associated with this insolvency customer as of December 31, 2015 $ 11,436 Recovery costs 768 Lost lease rental income 239 Wrote off of remaining balance of insurance receivable per final insurance proceeds received (1,321 ) Insurance proceeds received (8,250 ) Insurance receivable associated with this insolvency customer as of December 31, 2016 2,872 Allocation adjustment on insurance receivable per final insurance proceeds received 720 Final insurance proceeds received (3,592 ) Insurance receivable to this insolvency customer as of December 31, 2017 $ - |
Container Purchases
Container Purchases | 12 Months Ended |
Dec. 31, 2017 | |
Property Plant And Equipment [Abstract] | |
Container Purchases | (4) Container Purchases In 2016, the Company concluded two separate purchases totaling approximately 41,100 containers from a third-party owner for total purchase consideration of approximately $71,000. The total purchase price, which was based on the fair value of the assets acquired, was recorded in our net investment in direct financing and sales-type leases. One of the purchases totaling approximately 38,600 containers for total purchase consideration of $55,000 was for containers leased to one of the Company’s customers which subsequently filed for bankruptcy in August 2016, see Note 3 “Insurance Receivable and Impairment”. In 2017, the Company concluded three separate purchases totaling 19,802 containers that it had been managing for institutional investors, including related net investment in direct financing and sales-type leases, accounts receivable, due from owners, net, accounts payable and accrued expenses for total cash purchase consideration of $19,893. The Company previously managed these fleets for the institutional investors, accordingly, intangible asset for the management rights relinquished amounting to $170 was written-off. The total purchase price, which was allocated based on the fair value of the assets and liabilities acquired, was recorded as follows and there were no intangible assets recognized related to the leases: Containers, net $ 18,453 Other net assets 1,440 $ 19,893 |
Purchase-leaseback Transactions
Purchase-leaseback Transactions | 12 Months Ended |
Dec. 31, 2017 | |
Purchase Leaseback Transactions [Abstract] | |
Purchase-leaseback Transactions | (5) Purchase-leaseback Transactions In 2016, the Company concluded two separate purchase leaseback transactions for 14,954 containers from a shipping company for total purchase consideration of $21,151. The purchase price and leaseback rental rates were below market rates. The leases also require the lessee to pay drop-off charges at above market rates when the containers are returned. The containers were recorded at fair value and the difference between the purchase price and the fair value of the containers was recorded as prepaid expenses and other current assets, resulting in the following purchase price allocation: Containers, net $ 14,015 Prepaid expenses and other current assets 7,136 Purchase price $ 21,151 As the lessee returns containers, the balance of prepaid expenses and other current assets will be reduced by drop-off charges paid to the Company. The remaining balance of drop-off charges was $5,233 and $6,218 as of December 31, 2017 and 2016, respectively. |
Transactions with Affiliates an
Transactions with Affiliates and Owners | 12 Months Ended |
Dec. 31, 2017 | |
Related Party Transactions [Abstract] | |
Transactions with Affiliates and Owners | (6) Transactions with Affiliates and Owners Amounts due from affiliates, net generally result from cash advances and the payment of affiliated companies’ administrative expenses by the Company on behalf of such affiliates. Balances are generally paid within 30 days. Management fees, including acquisition fees and sales commissions during 2017, 2016 and 2015 were as follows: 2017 2016 2015 Fees from affiliated Owner $ 2,994 $ 2,994 $ 3,542 Fees from unaffiliated Owners 10,073 8,556 10,252 Fees from Owners 13,067 11,550 13,794 Other fees 1,927 1,870 1,816 Total management fees $ 14,994 $ 13,420 $ 15,610 Due to owners, net represents lease rentals collected on behalf of and payable to Owners, net of direct expenses and management fees receivable. Due to owners, net at December 31, 2017 and 2016 consisted of the following: 2017 2016 Affiliated Owner $ 1,409 $ 5,167 Unaffiliated Owners 9,722 12,965 Total due to Owners, net $ 11,131 $ 18,132 |
Direct Financing and Sales-type
Direct Financing and Sales-type Leases | 12 Months Ended |
Dec. 31, 2017 | |
Leases [Abstract] | |
Direct Financing and Sales-type Leases | (7) Direct Financing and Sales-type Leases The Company leases containers under direct financing and sales-type leases. The Company had 111,059 and 135,221 containers under direct financing and sales-type leases as of December 31, 2017 and 2016, respectively. The components of the net investment in direct financing and sales-type leases, which are reported in the Company’s Container Ownership segment as of December 31, 2017 and 2016 were as follows: 2017 2016 Future minimum lease payments receivable $ 204,451 $ 269,256 Residual value of containers 4,885 — Less unearned income (26,712 ) (32,022 ) Net investment in direct financing and sales-type leases $ 182,624 $ 237,234 Amounts due within one year $ 56,959 $ 64,951 Amounts due beyond one year 125,665 172,283 Net investment in direct financing and sales-type leases $ 182,624 $ 237,234 In September 2016, net investment in direct financing leases with a balance of $88,171 was reclassified to containers, net due to one of the Company’s customers filing for bankruptcy in August 2016 (see Note 3 “Insurance Receivable and Impairment”). The carrying value of TW’s net investment in direct financing and sales-type leases was $103,571 and $133,991 at December 31, 2017 and 2016, respectively. The Company maintains detailed credit records about its container lessees. The Company’s credit committee sets different maximum exposure limits for its container lessees. The Company uses various credit criteria to set maximum exposure limits rather than a standardized internal credit rating. Credit criteria used by the Company to set maximum exposure limits may include, but are not limited to, container lessee trade route, country, social and political climate, assessments of net worth, asset ownership, bank and trade credit references, credit bureau reports, including those from Dynamar B.V. and Lloyd’s Marine Intelligence Unit (common credit reporting agencies used in the maritime sector), operational history and financial strength. The Company monitors its container lessees’ performance and its lease exposures on an ongoing basis, and its credit management processes are aided by the long payment experience the Company has had with most of its container lessees and the Company’s broad network of long-standing relationships in the shipping industry that provide the Company current information about its container lessees. If the aging of current billings for the Company’s direct financing and sales-type leases included in accounts receivable, net were applied to the related balances of the unbilled future minimum lease payments receivable component of the Company’s net investment in direct finance leases and sales-type leases as of December 31, 2017, the aging would be as follows: 1-30 days past due $ 2,838 31-60 days past due 21 61-90 days past due 2,786 Greater than 90 days past due 31,682 Total past due 37,327 Current 167,124 Total future minimum lease payments $ 204,451 The Company maintains allowances, if necessary, for doubtful accounts and estimated losses resulting from the inability of its lessees to make required payments under direct financing and sales-type leases based on, but not limited to, each lessee’s payment history, management’s current assessment of each lessee’s financial condition and the adequacy of the fair value of containers that collateralize the leases compared to the book value of the related net investment in direct financing and sales-type leases. The changes in the carrying amount of the allowance for doubtful accounts related to billed amounts under direct financing and sales-type leases and included in accounts receivable, net, during the years ended December 31, 2017 and 2016 are as follows: Balance as of December 31, 2015 $ 3,883 Additions charged to expense 9,140 Write-offs (3,462 ) Balance as of December 31, 2016 9,561 Additions charged to expense 525 Write-offs (9,839 ) Balance as of December 31, 2017 $ 247 The following is a schedule by year of future minimum lease payments receivable under these direct financing and sales-type leases as of December 31, 2017: Year ending December 31: 2018 $ 66,703 2019 48,192 2020 29,553 2021 34,862 2022 and thereafter 25,141 Total future minimum lease payments receivable $ 204,451 Lease rental income includes income earned from direct financing and sales-type leases in the amount of $13,417, $18,558 and $25,291 during 2017, 2016 and 2015, respectively. Amounts for 2016 and 2015 have been restated for immaterial corrections of identified errors pertaining to the classification of certain leases (see Note 2 “Immaterial Correction of Errors in Prior Periods”). |
Containers and Fixed Assets
Containers and Fixed Assets | 12 Months Ended |
Dec. 31, 2017 | |
Property Plant And Equipment [Abstract] | |
Containers and Fixed Assets | (8) Containers and Fixed Assets Containers, net at December 31, 2017 and 2016 consisted of the following: 2017 2016 (1) Containers $ 4,963,965 $ 4,708,326 Less accumulated depreciation (1,172,355 ) (990,784 ) Containers, net $ 3,791,610 $ 3,717,542 (1) Amount as of December 31, 2016 has been restated for immaterial corrections of identified errors related to the calculation of gain on sale of containers, net (see Note 2 “Immaterial Correction of Errors in Prior Periods”). Trading containers had carrying values of $10,752 and $4,363 as of December 31, 2017 and 2016, respectively, and are not subject to depreciation. Containers held for sale had carrying values of $22,089 and $25,513 as of December 31, 2017 and 2016, respectively, and are also not subject to depreciation. All owned containers are pledged as collateral for debt as of December 31, 2017 and 2016. Fixed assets, net at December 31, 2017 and 2016 consisted of the following: 2017 2016 Computer equipment and software $ 9,563 $ 8,898 Office furniture and equipment 1,428 1,408 Automobiles 36 34 Leasehold improvements 1,912 1,789 12,939 12,129 Less accumulated depreciation (10,788 ) (10,136 ) Fixed assets, net $ 2,151 $ 1,993 |
Intangible Assets
Intangible Assets | 12 Months Ended |
Dec. 31, 2017 | |
Goodwill And Intangible Assets Disclosure [Abstract] | |
Intangible Assets | (9) Intangible Assets The changes in the carrying amount of intangible assets during the years ended December 31, 2017, 2016 and 2015 are as follows: Balance as of December 31, 2014 $ 24,991 Amortization expense (4,741 ) Balance as of December 31, 2015 20,250 Amortization expense (5,053 ) Balance as of December 31, 2016 15,197 Amortization expense (3,922 ) Write-off from the relinquishment of management rights (170 ) Balance as of December 31, 2017 $ 11,105 The following is a schedule, by year, of future amortization of intangible assets as of December 31, 2017: Year ending December 31: 2018 $ 4,207 2019 4,156 2020 2,742 Total future amortization of intangible assets $ 11,105 |
Accrued Expenses
Accrued Expenses | 12 Months Ended |
Dec. 31, 2017 | |
Payables And Accruals [Abstract] | |
Accrued Expenses | (10) Accrued Expenses Accrued expenses at December 31, 2017 and 2016 consisted of the following: 2017 2016 Accrued compensation $ 5,025 $ 3,049 Direct container expense 4,521 2,014 Interest payable 3,157 3,402 Other 662 1,256 Total accrued expenses $ 13,365 $ 9,721 |
Income Taxes
Income Taxes | 12 Months Ended |
Dec. 31, 2017 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | (11) Income Taxes The Company is not subject to taxation in its country of incorporation; however, the Company is subject to taxation in certain other jurisdictions due to the nature of the Company’s operations. The Company estimates its tax liability based upon its understanding of the tax laws of the various countries in which it operates. Income tax expense (benefit) for 2017, 2016 and 2015 consisted of the following: 2017 2016 2015 Current Bermuda $ — $ — $ — Foreign 2,142 930 3,648 2,142 930 3,648 Deferred Bermuda — — — Foreign (524 ) (4,377 ) 3,047 (524 ) (4,377 ) 3,047 $ 1,618 $ (3,447 ) $ 6,695 The components of income (loss) before income taxes and noncontrolling interest were as follows: 2017 2016 (1) 2015 Bermuda sources $ — $ — $ — Foreign sources 22,360 (61,323 ) 120,679 $ 22,360 $ (61,323 ) $ 120,679 A reconciliation of the differences between the Bermuda statutory income tax rate and the effective tax rate as provided in the consolidated statements of comprehensive (loss) income is as follows: 2017 2016 (1) 2015 Bermuda tax rate $ — 0.00 % $ — 0.00 % $ — 0.00 % Foreign tax rate 1,297 (5.80 )% 5,339 8.80 % (4,343 ) 3.60 % Tax uncertainties (2,915 ) 13.04 % (1,892 ) (3.18 )% (2,352 ) 1.95 % $ (1,618 ) 7.24 % $ 3,447 5.62 % $ (6,695 ) 5.55 % (1) Amounts for 2016 have been restated for immaterial corrections of identified errors pertaining to the calculation of gain on sale of containers, net and to properly account for lease concessions (see Note 2 “Immaterial Correction of Errors in Prior Periods”). The tax effects of temporary differences that give rise to significant portions of the deferred tax assets and deferred tax liabilities at December 31, 2017 and 2016 are presented below: 2017 2016 Deferred tax assets Net operating loss carryforwards $ 19,209 $ 26,605 Other 1,557 1,811 20,766 28,416 Valuation allowance (net operating loss) (1,138 ) (678 ) Deferred tax assets 19,628 27,738 Deferred tax liabilities Containers, net 23,275 31,778 Other 671 812 Deferred tax liabilities 23,946 32,590 Net deferred tax liabilities $ 4,318 $ 4,852 In assessing the extent to which deferred tax assets are realizable, the Company’s management considers whether it is more likely than not that the deferred tax assets will be realized. The ultimate realization of deferred tax assets is dependent upon the generation of future taxable income during the periods in which those temporary differences become deductible. The Company’s management considers the projected future reversal of taxable temporary items for making this assessment. Based upon the projections for the reversal of taxable temporary items over the periods in which the deferred tax assets are deductible, the Company’s management believes it is more likely than not the Company will not realize a portion of the benefits of these deductible differences, thus a valuation allowance has been provided. The Company has net operating loss carry-forwards of $113,228 that will begin to expire from December 31, 2018 through December 31, 2037 if not utilized. The Company expects to utilize the net operating loss carry-forwards prior to their expiration, net of the valuation allowance. The accompanying consolidated financial statements do not reflect the income taxes that would be payable to foreign taxing jurisdictions if the earnings of a group of corporations operating in those jurisdictions were to be transferred out of such jurisdictions, because such earnings are intended to be permanently reinvested in those countries. At December 31, 2017, cumulative earnings of approximately $36,527 would be subject to income taxes of approximately $10,958 if such earnings of foreign corporations were transferred out of such jurisdictions in the form of dividends. The Company’s foreign tax returns, including the United States, State of California, State of New Jersey, State of Texas, Malaysia, Singapore, and United Kingdom, are subject to examination by the various tax authorities. The Company’s foreign tax returns are no longer subject to examinations by taxing authorities for years before 2011, except for its United Kingdom tax returns which are no longer subject to examinations for years before 2011. The U.S. Tax Cuts and Job Act of 2017 (TCJA) was signed into law on December 22, 2017. The TCJA significantly revised the U.S. federal corporate income tax by, among other things, lowering the corporate income tax rate, implementing a territorial tax system, imposing a repatriation tax on earnings of foreign subsidiaries that are deemed to be repatriated to the United States, imposing limitations on the deduction of interest expense and executive compensation, and the creation of the base erosion anti-abuse tax (BEAT), a new minimum tax. The most significant effect of TCJA on the Company was the U.S. federal corporate tax rate reduction from 35% to 21%. A change in tax law is accounted for in the period of enactment, which require re-measurement of all our U.S. deferred income tax asset and liabilities during this year-end As the Company is in an overall net deferred tax liability position, the corporate tax rate reduction results in a net tax benefit of $2,653 in 2017, when the deferred tax assets and liabilities are revalued downward. In addition, the Company’s 2017 effective tax rate was favorably affected by 11.9% due to the TCJA. On the other significant provisions that are not yet effective but may impact the Company’s income taxes in future taxes such as limitation on the deduction of interest expense in excess of 30 percent of adjusted taxable income, limitation of net operating losses generated after fiscal year 2017 to 80 percent of taxable income and an incremental tax on BEAT. A reconciliation of the beginning and ending unrecognized tax benefit amounts for 2017 and 2016 are as follows: Balance at December 31, 2015 $ 12,065 Increases related to prior year tax positions — Decreases related to prior year tax positions (204 ) Increases related to current year tax positions 2,378 Lapse of statute of limitations (908 ) Balance at December 31, 2016 13,331 Increases related to prior year tax positions 100 Decreases related to prior year tax positions (12 ) Increases related to current year tax positions 3,642 Lapse of statute of limitations (911 ) Balance at December 31, 2017 $ 16,150 If the unrecognized tax benefits of $16,150 at December 31, 2017 were recognized, tax benefits in the amount of $16,102 would reduce our annual effective tax rate. The Company believes the total amount of unrecognized tax benefit as of December 31, 2017 will decrease by $1,138 in the next twelve months due to expiration of the statute of limitations, which would reduce our annual effective tax rate. Interest and penalty expense recorded during 2017, 2016 and 2015 amounted to $181, $281 and $70, respectively. Total accrued interest and penalties as of December 31, 2017 and 2016 were $1,108 and $926, respectively, and were included in non-current income taxes payable. |
Secured Debt Facilities, Credit
Secured Debt Facilities, Credit Facilities, Term Loan and Bonds Payable, and Derivative Instruments | 12 Months Ended |
Dec. 31, 2017 | |
Debt Disclosure [Abstract] | |
Secured Debt Facilities, Credit Facilities, Term Loan and Bonds Payable, and Derivative Instruments | (12) Secured Debt Facilities, Credit Facilities, Term Loan and Bonds Payable, and Derivative Instruments The following represents the Company’s debt obligations as of December 31, 2017 and 2016: Secured Debt Facilities, Credit Facilities, Term Loan and Bonds Payable 2017 2016 Outstanding Average Interest Outstanding Average Interest Final Maturity TMCL II Secured Debt Facility (1) $ 659,714 3.38 % $ 951,923 2.40 % August 2024 TMCL IV Secured Debt Facility (1) (2) 132,885 4.00 % 140,202 2.69 % February 2020 TL Revolving Credit Facility 568,403 3.56 % 671,060 2.50 % June 2020 TL Revolving Credit Facility II 150,906 3.55 % 174,005 2.44 % July 2020 TW Credit Facility 97,148 3.38 % 122,723 2.63 % September 2026 TAP Funding Revolving Credit Facility 163,276 3.43 % 149,230 2.45 % December 2021 TL Term Loan 352,555 3.69 % 394,732 2.59 % April 2019 2013-1 Bonds — — 200,595 3.90 % September 2038 2014-1 Bonds — — 233,827 3.27 % October 2039 2017-1 Bonds 390,013 3.91 % — — May 2042 2017-2 Bonds 475,408 3.73 % — — June 2042 Total debt obligations $ 2,990,308 $ 3,038,297 Amount due within one year $ 233,681 $ 205,081 Amounts due beyond one year $ 2,756,627 $ 2,833,216 (1) Final maturity of the TMCL II Secured Debt Facility and TMCL IV Secured Debt Facility are based on the assumptions that both facilities will not be extended on their associated conversion dates. (2) On January 31, 2018, the TMCL IV Secured Debt Facility was terminated and the unpaid debt amount was fully repaid by proceeds primarily from the TL Revolving Credit Facility (see Note 17 “Subsequent Events”). Secured Debt Facilities (a) TMCL II TMCL II has a securitization facility (the “TMCL II Secured Debt Facility”) that provides for an aggregate commitment amount of up to $1,200,000. There is a commitment fee on the unused amount of the total commitment, payable monthly in arrears. TMCL II’s primary ongoing container financing requirements have been funded by commitments under the TMCL II Secured Debt Facility. The advance rates under the TMCL II Secured Debt Facility were 80.0% and 72.5% at December 31, 2017 and 2016, respectively. TMCL II is required to maintain restricted cash balances on deposit in a designated bank account equal to five months of interest expense. On February 27, 2017, TMCL II entered into an amendment of the TMCL II Secured Debt which revised certain of the covenants and restrictions, and increased the interest rate. On August 31, 2017, TMCL II entered into an amendment which extended the conversion date to August 2020, and lowered the interest rate to one-month LIBOR plus 1.90%, payable monthly in arrears, during the revolving period prior to the conversion date. The amendment also replaced the borrowing capacity of two of the TMCL II Secured Debt Facility lenders with three other lenders and, accordingly, the Company wrote off $238 of unamortized debt issuance costs in August 2017. (b) TMCL IV TMCL IV had a securitization facility (the “TMCL IV Secured Debt Facility”) that provided for an aggregate commitment amount of up to $300,000. There is a commitment fee on the unused amount of the total commitment, payable monthly in arrears. Final legal payment date was two years after the Conversion Date (February 2, 2018) if the TMCL IV Secured Debt Facility was not renewed by the Conversion Date. TMCL IV’s ongoing container financing requirements had been funded by commitments under the TMCL IV Secured Debt Facility. The advance rates under the TMCL IV Secured Debt Facility were 80.0% and 72.5% at December 31, 2017 and 2016, respectively. TMCL IV was required to maintain restricted cash balances on deposit in a designated bank account equal to five months of interest expense. On February 27, 2017, TMCL IV entered into an amendment of the TMCL IV Secured Debt Facility which revised certain of the covenants and restrictions, and increased interest margin from 1.95% to 2.50%. On January 31, 2018, the TMCL IV Secured Debt Facility was terminated and the unpaid debt amount of $129,400 was fully repaid by $124,608 proceeds from the TL Revolving Credit Facility and TMCL IV’s available cash of $4,792. Under the terms of the TMCL II Secured Debt Facility and TMCL IV Secured Debt Facility, the total outstanding principal of each of these two programs may not exceed the lesser of the commitment amount and an amount that is calculated based on TMCL II and TMCL IV’s book value of equipment, restricted cash and net investment in direct financing and sales-type leases as specified in each of the relevant secured debt facility indentures (the “Asset Base”). The total obligations under the TMCL II Secured Debt Facility and the TMCL IV Secured Debt Facility are secured by a pledge of TMCL II and TMCL IV’s assets, respectively. As of December 31, 2017, TMCL II Secured Debt Facility and TMCL IV Secured Debt Facility’s Asset Base amounted to $723,991 and $159,128, respectively and TMCL II and TMCL IV’s total assets amounted to $1,088,797 and $218,145, respectively. Credit Facilities (a) TL TL has a revolving credit facility (the “TL Revolving Credit Facility”) that provides for an aggregate commitment amount of up to $700,000 (which includes a $50,000 letter of credit facility). There is a commitment fee on the unused amount of the total commitment, payable quarterly in arrears. The TL Revolving Credit Facility provides for payments of interest only during its term beginning on its inception date through June 19, 2020 when all borrowings are due in full. Interest on the outstanding amount due under the TL Revolving Credit Facility is based either on the base rate for Base Rate loans plus a spread between 1.50% and 2.00% or LIBOR for Eurodollar rate loans plus a spread between 2.00% and 2.50%, as defined in the credit agreement, which varied based on TGH’s leverage. TL’s primary ongoing container financing requirements have been funded by commitments under the TL Revolving Credit Facility. The advance rates under the TL Revolving Credit Facility were 84.5% and 85.0% at December 31, 2017 and 2016, respectively. Interest payments on Base Rate loans and Eurodollar rate loans are payable in arrears on the last day of each calendar month and on the last day of each interest period, respectively. TL has another revolving credit facility (the “TL Revolving Credit Facility II”) that provides for an aggregate commitment amount of up to $190,000. There is a commitment fee on the unused amount of the total commitment, payable quarterly in arrears. The TL Revolving Credit Facility II provides for payments of interest only during its term beginning on its inception date through July 23, 2020, when all borrowings are due in full. Interest on the outstanding amount due under the TL Revolving Credit Facility II is based either on the base rate for Base Rate loans plus a spread between 1.50% and 2.00% or LIBOR for Eurodollar rate loans plus a spread between 2.00% and 2.50%, as defined in the credit agreement, which varies based on TGH’s leverage. The advance rates under the TL Revolving Credit Facility II were 84.5% and 85.0% at December 31, 2017 and 2016, respectively. Interest payments on Base Rate loans and Eurodollar rate loans are payable in arrears on the last day of each interest period, not to exceed three months, and on the last day of each calendar month, respectively. On February 27, 2017 and October 31, 2017, TL entered into amendments of the TL Revolving Credit Facility and TL Revolving Credit Facility II which revised certain of the covenants and restrictions and increased the interest rate. The TL Revolving Credit Facility and the TL Revolving Credit Facility II are each secured by segregated pools of TL’s containers and under the terms of both facilities, the total outstanding principal may not exceed the lesser of the commitment amount and an amount (the “Asset Base”), which is based on a formula based on TL’s net book value of containers and net investment in direct financing and sales-type leases designated to each of the TL Revolving Credit Facility and TL Revolving Credit Facility II. As of December 31, 2017, TL Revolving Credit Facility and the TL Revolving Credit Facility II’s Asset Base amounted to $662,925 and $156,110, respectively. TGH acts as an unconditional guarantor of the TL Revolving Credit Facility and the TL Revolving Credit Facility II. The Company had no outstanding letters of credit under the TL Revolving Credit Facility as of December 31, 2017 and 2016. (b) TW TW has a credit agreement, with Wells Fargo Bank N.A. as the lender, which provided for a revolving credit facility with an aggregate commitment amount of up to $300,000 (the “TW Credit Facility”). The revolving credit period was terminated on July 29, 2016 through an amendment. TW is required to make monthly principal pay downs from its available funds, net revenue collection after interest payment, interest rate hedging payment and certain management fees, until the outstanding balance is fully repaid prior to final maturity. Interest on the outstanding amount due under the TW Credit Facility is based on one-month LIBOR plus 2.0%, payable monthly in arrears. The advance rates under the TW Credit Facility were 90% and 80% for containers under operating leases and net investment in direct financing and sales-type leases, respectively, at both December 31, 2017 and 2016. TW is required to maintain restricted cash balances on deposit in a designated bank account equal to three months of interest expense. The TW Credit Facility is secured by a pledge of TW’s total assets and under the terms of the TW Credit Facility, the total outstanding principal may not exceed the lesser of the commitment amount and an amount that is based on a formula based on TW’s net book value of containers, restricted cash and net investment in direct financing and sales-type leases (the “Asset Base”). As of December 31, 2017, TW Credit Facility’s Asset Base and TW’s total assets amounted to $106,786 and $134,997, respectively. (c) TAP Funding TAP Funding has a credit agreement, that provides for a revolving credit facility with an aggregate commitment amount of up to $190,000 (the “TAP Funding Revolving Credit Facility”). There is a commitment fee on the unused amount of the total commitment, payable monthly in arrears. TAP Funding’s primary ongoing container financing requirements have been funded by commitments under the TAP Funding Revolving Credit Facility. The advance rates under the TAP Funding Revolving Credit Facility were 80.0% and 77.0% at December 31, 2017 and 2016, respectively. TAP Funding is required to maintain restricted cash balances on deposit in a designated bank account equal to five months of interest expense. Interest on the outstanding amount due under the TAP Funding Revolving Credit Facility is based on one-month LIBOR plus 1.95%, payable monthly in arrears. On February 27, 2017, TAP Funding entered into an amendment of the TAP Funding Revolving Credit Facility which revised certain of the covenants and restrictions. On December 8, 2017, TAP Funding entered into an amendment of the TAP Funding Revolving Credit Facility which extended the maturity date to December 7, 2021, increased the advance rate from 77.0% to 80.0%, lowered the interest margin from 2.25% to 1.95% and increased the aggregate commitment amount from $150,000 to $190,000. The TAP Funding Revolving Credit Facility is secured by a pledge of TAP Funding’s total assets and under the terms of the TAP Funding Revolving Credit Facility, the total outstanding principal may not exceed the lesser of the commitment amount and an amount (the “Asset Base”), which is based on a formula based on TAP Funding’s net book value of containers and direct financing and sales-type leases. As of December 31, 2017, TAP Funding Revolving Credit Facility’s Asset Base and TAP Funding’s total assets amounted to $164,213 and $220,747, respectively. Term Loan TL has a $500,000 five-year term loan (the “TL Term Loan”) that represents a partially-amortizing term loan with the remaining principal due in full on April 30, 2019. Interest on the outstanding amount due under the TL Term Loan is based on the base rate for Base Rate loans plus a spread between 1.50% and 2.00% or LIBOR for Eurodollar rate loans plus a spread between 2.00% and 2.50%, as defined in the credit agreement, which is based upon TGH’s leverage. Under the terms of the TL Term Loan, scheduled principal repayments are payable in twenty quarterly installments, consisting of nineteen quarterly installments, commencing on September 30, 2014, each in an amount equal to 1.58% of the initial principal balance and one final installment payable on the Maturity Date (April 30, 2019). The advance rates under the TL Term Loan were 84.5% and 85.0% at December 31, 2017 and 2016, respectively. Interest payments are payable in arrears on the last day of each interest period, not to exceed three months. On February 27, 2017 and October 31, 2017, TL entered into amendments of the TL Term Loan which revised certain of the covenants and restrictions, and increased the interest rate. The TL Term Loan is secured by a segregated pool of the Company’s containers and under the terms of the TL Term Loan, the total outstanding principal may not exceed the lesser of the commitment amount and an amount that is based on a formula based on TL’s net book value of containers and net investment in direct financing and sales-type leases designated to the TL Term Loan (the “Asset Base”). As of December 31, 2017, TL Term Loan’s Asset Base amounted to $364,186. TGH acts as an unconditional guarantor of the TL Term Loan. Bonds Payable (a) TMCL III Textainer Marine Containers III Limited (“TMCL III”) (a Bermuda Company), one of the Company’s wholly-owned subsidiaries, issued $300,900 aggregate principal amount of Series 2013-1 Fixed Rate Asset Backed Notes (the “2013-1 Bonds”) and $301,400 aggregate principal amount of Series 2014-1 Fixed Rate Asset Backed Notes (the “2014-1 Bonds”) to qualified institutional investors pursuant to Rule 144A under the Securities Act and to non-U.S. persons in accordance with Regulation S promulgated under the Securities Act. The 2013-1 Bonds were issued at 99.5% of par value, resulting in a discount of $1,542 which is being accreted to interest expense using the interest rate method over a 10 year term. The $300,900 in 2013-1 Bonds represent fully amortizing notes payable on a straight-line basis over a scheduled payment term of 10 years, but not to exceed a maximum payment term of 25 years. Both principal and interest incurred were payable monthly in arrears. The target final payment date and legal final payment date was September 20, 2023 and September 20, 2038, respectively. TMCL III was required to maintain restricted cash balances on deposit in a designated bank account equal to nine months of interest expense on the 2013-1 Bonds. The 2014-1 Bonds were issued at 99.9% of par value, resulting in a discount of $102 which is being accreted to interest expense using the interest rate method over a 10 year term. The $301,400 in 2014-1 Bonds represent fully amortizing notes payable on a straight-line basis over a scheduled payment term of 10 years, but not to exceed a maximum payment term of 25 years. Both principal and interest incurred were payable monthly in arrears. The target final payment date and legal final payment date was October 20, 2024 and October 20, 2039, respectively. TMCL III was required to maintain restricted cash balances on deposit in a designated bank account equal to nine months of interest expense on the 2014-1 Bonds. On April 20, 2017, TMCL III entered into $406,000 of one-year floating rate asset-backed notes (the “2017-A Notes”) with a group of financial institutions. Interest on the outstanding amount due under the 2017-A Notes was based on adjusted LIBOR plus a spread of 3.0%. The entire proceeds of the 2017-A Notes with TMCL III’s available cash was used to fully repay the unpaid principal amount of $195,585 and $228,562 of the 2013-1 Bonds and the 2014-1 Bonds, respectively, on April 20, 2017. On May 17, 2017, the TMCL III 2017-A Notes were fully repaid by proceeds from the sale of TMCL III’s containers to Textainer Marine Containers V Limited’s (“TMCL V”) (a Bermuda Company), one of the Company’s wholly-owned subsidiaries, and TMCL III’s available cash. Unamortized debt issuance costs and unamortized bond discounts of the 2013-1 Bonds, the 2014-1 Bonds and the 2017-A Notes in an aggregate amount of $7,228 was written-off in second quarter of 2017. (b) TMCL V On May 17, 2017, TMCL V issued the Series 2017-1 Fixed Rate Asset Backed Notes (the “2017-1 Bonds”), $350,000 aggregate Class A principal amount and $70,000 aggregate Class B principal amount of 2017-1 Bonds, to qualified institutional investors pursuant to Rule 144A under the Securities Act and to non-U.S. persons in accordance with Regulation S promulgated under the Securities Act. The $420,000 in 2017-1 Bonds represent fully amortizing notes payable over a scheduled payment term of 9 years, but not to exceed a maximum payment term of 25 years. The target final payment date and legal final payment date are May 20, 2026 and May 20, 2042, respectively. Both principal and interest incurred are payable monthly in arrears. The advance rate under the 2017-1 Bonds was 75.2% at December 31, 2017. TMCL V was required to maintain restricted cash balances on deposit in a designated bank account equal to nine months of interest expense on the 2017-1 Bonds. Proceeds from the 2017-1 Bonds was used to acquire containers from TMCL III and for general corporate purposes. The 2017-1 Bonds are secured by a pledge of TMCL V’s total assets. On June 28, 2017, TMCL V issued the Series 2017-2 Fixed Rate Asset Backed Notes (the “2017-2 Bonds”), $416,000 aggregate Class A principal amount and $84,000 aggregate Class B principal amount of 2017-2 Bonds, to qualified institutional investors pursuant to Rule 144A under the Securities Act and to non-U.S. persons in accordance with Regulation S promulgated under the Securities Act. The $500,000 in 2017-2 Bonds represent fully amortizing notes payable over a scheduled payment term of 9 years, but not to exceed a maximum payment term of 25 years. The target final payment date and legal final payment date are June 20, 2026 and June 20, 2042, respectively. Both principal and interest incurred are payable monthly in arrears. The advance rate under the 2017-2 Bonds was 77.6% at December 31, 2017. TMCL V was required to maintain restricted cash balances on deposit in a designated bank account equal to nine months of interest expense on the 2017-2 Bonds. Proceeds from the 2017-2 Bonds was used to acquire containers from TL and TMCL II and for general corporate purposes. The 2017-2 Bonds are secured by a pledge of TMCL V’s total assets. Under the terms of the 2017-1 Bonds and the 2017-2 Bonds, the total outstanding principal may not exceed an amount that is based on a formula based on TMCL V’s book value of equipment, restricted cash and net investment in direct financing and sales-type leases as specified in the bond indenture (the “Asset Base”). The total obligations under the 2017-1 Bonds and the 2017-2 Bonds are secured by a pledge of TMCL V’s assets. As of December 31, 2017, the 2017-1 Bonds and the 2017-2 Bonds’ Asset Base amounted to $395,892 and $482,198, respectively, and TMCL V’s total assets amounted to $1,179,021. Restrictive Covenants The Company’s secured debt facilities, revolving credit facilities, the TL Term Loan, the 2017-1 Bonds and the 2017-1 Bonds contain restrictive covenants, including limitations on certain liens, indebtedness and investments. • The TL Revolving Credit Facility, TL Revolving Credit Facility II and the TL Term Loan contain certain restrictive financial covenants on TGH’s consolidated tangible net worth and TGH and TL’s leverage coverage. • The TMCL II Secured Debt Facility, the TMCL IV Secured Debt Facility, the TW Credit Facility, the TAP Funding Revolving Credit Facility, the 2017-1 Bonds and the 2017-2 Bonds contain restrictive covenants on TGH’s leverage, debt service coverage, TGH’s container management subsidiary net income and debt levels. • The TMCL II Secured Debt Facility and TMCL IV Secured Debt Facility also contain restrictive covenants regarding certain containers sales proceeds ratio. • The TW Credit Facility also contains restrictive covenants limiting TW’s finance lease default ratio and debt service coverage ratio. • The TMCL II Secured Debt Facility, the TMCL IV Secured Debt Facility, the TAP Funding Revolving Credit Facility, the 2017-1 Bonds and the 2017-2 Bonds also contain restrictive covenants’ regarding certain debt service ratios and the average age of the underlying container fleets securing each of these obligations. • The TMCL II Secured Debt Facility, the TMCL IV Secured Debt Facility, the 2017-1 Bonds and the 2017-2 Bonds also contain restrictive covenants on TMCL II, TMCL IV and TMCL V’s ability to incur other obligations and distribute earnings, respectively. • All of the Company’s debt facilities also contain restrictive covenants on borrowing base minimums. TGH and its subsidiaries were in full compliance with these restrictive covenants at December 31, 2017. The following is a schedule of future scheduled repayments, by year, and borrowing capacities, as of December 31, 2017: Twelve months ending December 31, Available borrowing, as limited by the Current and 2018 2019 2020 2021 2022 and thereafter Total Borrowing Borrowing Base Available Borrowing TMCL II Secured Debt (1) Facility $ — $ — $ 22,136 $ 66,475 $ 576,140 $ 664,751 $ 58,648 $ 723,399 TMCL IV Secured Debt (1) (2) Facility 48,000 48,000 37,000 — — 133,000 26,127 159,127 TL Revolving Credit Facility — — 574,000 — — 574,000 70,956 644,956 TL Revolving Credit Facility II 36,000 36,000 80,000 — — 152,000 4,110 156,110 TW Credit Facility 26,793 21,854 25,654 17,009 5,838 97,148 — 97,148 TAP Funding Revolving Credit Facility 9,600 9,600 9,600 135,900 — 164,700 — 164,700 TL Term Loan 39,600 314,400 — — — 354,000 — 354,000 2017-1 Bonds 37,065 38,331 39,357 52,173 227,349 394,275 — 394,275 2017-2 Bonds (3) 40,627 40,968 43,958 55,259 299,730 480,542 — 480,542 Total (4) $ 237,685 $ 509,153 $ 831,705 $ 326,816 $ 1,109,057 $ 3,014,416 $ 159,841 $ 3,174,257 (1) Future scheduled payments for TMCL II and TMCL IV Secured Debt Facility are based on the assumptions that both facilities will not be extended on their associated conversion dates. (2) On January 31, 2018, the TMCL IV Secured Debt Facility was termination and the unpaid debt amount was fully repaid by proceeds primarily from the TL Revolving Credit Facility (3) Future scheduled payments for 2017-2 Bonds exclude an unamortized discount of $75. (4) Future scheduled payments for all debts exclude prepaid debt issuance costs in an aggregate amount of $24,034. Derivative Instruments The Company has entered into several interest rate cap, collar and swap agreements with several banks to reduce the impact of changes in interest rates associated with its debt obligations. The following is a summary of the Company’s derivative instruments as of December 31, 2017: Notional Derivative instruments amount Interest rate swap contracts with several banks, with fixed rates between 0.60% and 1.98% per annum, amortizing notional amounts, with termination dates through July 15, 2023 $ 1,067,530 Interest rate collar contracts with a bank which cap rates between 1.26% and 2.18% per annum, and sets floors for rates between 0.76% and 1.68% per annum, amortizing notional amount, with termination dates through June 15, 2023 78,713 Interest rate cap contracts with several banks with fixed rates between 3.70% and 4.49% per annum, nonamortizing notional amounts, with termination dates through December 15, 2019 138,000 Total notional amount as of December 31, 2017 $ 1,284,243 The Company’s interest rate swap, collar and cap agreements had a fair value asset and liability of $7,787 and $81 as of December 31, 2017, respectively, and a fair value asset and a fair value liability of $4,816 and $1,204 as of December 31, 2016, respectively, which are inclusive of counterparty risk. The primary external risk of the Company’s interest rate swap agreements is the counterparty credit exposure, as defined as the ability of a counterparty to perform its financial obligations under a derivative contract. The Company monitors its counterparties’ credit ratings on an on-going basis and they were in compliance with the related derivative agreements at December 31, 2017. The Company does not have any master netting arrangements with its counterparties. The Company’s fair value assets and liabilities for its interest rate swap, collar and cap agreements are included in interest rate swaps, collars and caps in the accompanying condensed consolidated balance sheets. The change in fair value was recorded in the condensed consolidated statements of comprehensive income (loss) as unrealized gains (losses) on interest rate swaps, collars and caps, net. |
Segment Information
Segment Information | 12 Months Ended |
Dec. 31, 2017 | |
Segment Reporting [Abstract] | |
Segment Information | (13) Segment Information As described in Note 1(a) “Nature of Operations”, the Company operates in three reportable segments: Container Ownership, Container Management and Container Resale. The following tables show segment information for 2017, 2016 and 2015, reconciled to the Company’s income before income tax and noncontrolling interests as shown in its consolidated statements of comprehensive income: Container Container Container 2017 Ownership Management Resale Other Eliminations Totals Lease rental income $ 442,219 $ 2,669 $ — $ — $ — $ 444,888 Management fees from external customers 266 9,953 4,775 — — 14,994 Inter-segment management fees — 39,529 9,477 — (49,006 ) — Trading container sales proceeds — — 4,758 — — 4,758 Gain on sale of containers, net 26,210 — — — — 26,210 Total revenue $ 468,695 $ 52,151 $ 19,010 $ — $ (49,006 ) $ 490,850 Depreciation expense $ 236,577 $ 776 $ — $ — $ (6,310 ) $ 231,043 Container impairment $ 8,072 $ — $ — $ — $ — $ 8,072 Interest expense $ 117,475 $ — $ — $ — $ — $ 117,475 Write-off of unamortized deferred debt issuance costs and bond discounts $ 7,550 $ — $ — $ — $ — $ 7,550 Unrealized gains on interest rate swaps, collars and caps, net $ 4,094 $ — $ — $ — $ — $ 4,094 Segment (loss) income before income tax and noncontrolling interests $ (1,707 ) $ 15,376 $ 10,854 $ (3,568 ) $ 1,405 $ 22,360 Total assets $ 4,316,272 $ 139,989 $ 10,873 $ 6,859 $ (93,651 ) $ 4,380,342 Purchases of long-lived assets $ 418,288 $ 934 $ — $ — $ — $ 419,222 Container Container Container 2016 (1) Ownership Management Resale Other Eliminations Totals Lease rental income $ 458,246 $ 2,181 $ — $ — $ — $ 460,427 Management fees from external customers 291 10,076 3,053 — — 13,420 Inter-segment management fees — 38,080 8,493 — (46,573 ) — Trading container sales proceeds — — 15,628 — — 15,628 Gain on sale of containers, net 6,761 — — — — 6,761 Total revenue $ 465,298 $ 50,337 $ 27,174 $ — $ (46,573 ) $ 496,236 Depreciation expense $ 241,498 $ 876 $ — $ — $ (6,230 ) $ 236,144 Container impairment $ 94,623 $ — $ — $ — $ — $ 94,623 Interest expense $ 85,215 $ — $ — $ — $ — $ 85,215 Unrealized gains on interest rate swaps, collars and caps, net $ 6,210 $ — $ — $ — $ — $ 6,210 Segment (loss) income before income tax and noncontrolling interests $ (84,252 ) $ 18,134 $ 6,178 $ (3,016 ) $ 1,633 $ (61,323 ) Total assets $ 4,261,296 $ 89,905 $ 6,010 $ 4,900 $ (68,085 ) $ 4,294,026 Purchases of long-lived assets $ 474,956 $ 1,206 $ — $ — $ — $ 476,162 Container Container Container 2015 Ownership Management Resale Other Eliminations Totals Lease rental income $ 510,954 $ 1,590 $ — $ — $ — $ 512,544 Management fees from external customers 317 12,002 3,291 — — 15,610 Inter-segment management fees — 45,620 10,104 — (55,724 ) — Trading container sales proceeds — — 12,670 — — 12,670 Gain on sale of containers, net 3,454 — — — — 3,454 Total revenue $ 514,725 $ 59,212 $ 26,065 $ — $ (55,724 ) $ 544,278 Depreciation expense $ 197,084 $ 792 $ — $ — $ (5,946 ) $ 191,930 Container impairment $ 35,345 $ — $ — $ — $ — $ 35,345 Interest expense $ 76,063 $ — $ — $ — $ — $ 76,063 Write-off of unamortized deferred debt issuance costs $ 458 $ — $ — $ — $ — $ 458 Unrealized losses on interest rate swaps, collars and caps, net $ 1,947 $ — $ — $ — $ — $ 1,947 Segment income (loss) before income tax and noncontrolling interests $ 88,536 $ 26,305 $ 9,335 $ (4,283 ) $ 786 $ 120,679 Total assets $ 4,348,196 $ 117,033 $ 5,210 $ 7,251 $ (112,378 ) $ 4,365,312 Purchases of long-lived assets $ 510,269 $ 1,070 $ — $ — $ — $ 511,339 (1) Amounts for the years ended December 31, 2016 have been restated for immaterial corrections of identified errors pertaining to the calculation of the gains on sale of containers, net and to properly account for lease concessions (see Note 2 “Immaterial Correction of Errors in Prior Periods”). General and administrative expenses are allocated to the reportable business segments based on direct overhead costs incurred by those segments. Amounts reported in the “Other” column represent activity unrelated to the active reportable business segments. Amounts reported in the “Eliminations” column represent inter-segment management fees between the Container Management and the Container Resale segments and the Container Ownership segment. Geographic Segment Information The Company’s container lessees use containers for their global trade utilizing many worldwide trade routes. The Company earns its revenue from international carriers when the containers are in use and carrying cargo around the world. Substantially all of the Company’s leasing related revenue is denominated in U.S. dollars. As all of the Company’s containers are used internationally, where no one container is domiciled in one particular place for a prolonged period of time, all of the Company’s long-lived assets are considered to be international with no single country of use. The following table represents the geographic allocation of lease rental income and management fees during the years ended December 31, 2017, 2016 and 2015 based on customers’ primary domicile: Years ended December 31, 2017 Percent of Total 2016 (1) Percent of Total 2015 Percent of Total Lease rental income: Asia $ 231,928 52.1 % $ 256,489 55.7 % $ 301,209 58.7 % Europe 182,291 41.0 % 176,164 38.2 % 183,785 35.9 % North / South America 26,329 5.9 % 21,929 4.8 % 15,957 3.1 % All other international 4,340 1.0 % 5,845 1.3 % 11,593 2.3 % Bermuda — 0.0 % — 0.0 % — 0.0 % $ 444,888 100.0 % $ 460,427 100.0 % $ 512,544 100.0 % Management fees: Bermuda $ 9,074 60.5 % $ 8,668 64.6 % $ 10,201 65.3 % Europe 3,729 24.9 % 2,541 18.9 % 3,190 20.4 % North / South America 1,948 13.0 % 1,915 14.3 % 1,819 11.7 % Asia 28 0.2 % 41 0.3 % 48 0.3 % All other international 215 1.4 % 255 1.9 % 352 2.3 % $ 14,994 100.0 % $ 13,420 100.0 % $ 15,610 100.0 % (1) Amounts for the year ended December 31, 2016 have been restated for immaterial corrections of identified errors pertaining to properly account for lease concessions (see Note 2 “Immaterial Correction of Errors in Prior Periods”). The following table represents the geographic allocation of trading container sales proceeds and gains on sale of containers, net during the years ended December 31, 2017, 2016 and 2015 based on the location of sale: Years ended December 31, 2017 Percent of Total 2016 (1) Percent of Total 2015 Percent of Total Trading container sales proceeds: Asia $ 3,349 70.4 % $ 11,647 74.5 % $ 6,401 50.5 % North / South America 816 17.2 % 2,948 18.9 % 2,581 20.4 % Europe 593 12.5 % 1,033 6.6 % 3,688 29.1 % Bermuda — — — 0.0 % — 0.0 % $ 4,758 100.0 % $ 15,628 100.0 % $ 12,670 100.0 % Gain (loss) on sale of containers, net: Asia $ 18,321 69.9 % $ 6,015 89.0 % $ 929 26.9 % North / South America 5,002 19.1 % 1,855 27.4 % 3,022 87.5 % Europe 2,994 11.4 % 1,576 23.3 % (490 ) (14.2 )% Bermuda — 0.0 % — 0.0 % — 0.0 % All other international (107 ) (0.4 )% (2,685 ) (39.7 )% (7 ) (0.2 )% $ 26,210 100.0 % $ 6,761 100.0 % $ 3,454 100.0 % (1) Amounts for the year ended December 31, 2016 have been restated for immaterial corrections of identified errors pertaining to the calculation of gain on sale of containers, net (see Note 2 “Immaterial Correction of Errors in Prior Periods”). |
Commitments and Contingencies
Commitments and Contingencies | 12 Months Ended |
Dec. 31, 2017 | |
Commitments And Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | (14) Commitments and Contingencies (a) Leases The Company has entered into several operating leases for office space. Rent expense amounted to $3,432, $1,213 and $1,614 during 2017, 2016 and 2015, respectively. Future minimum lease payment obligations under the Company’s noncancelable operating leases at December 31, 2017 were as follows: Operating leasing Year ending December 31: 2018 $ 2,104 2019 2,156 2020 2,113 2021 2,053 2022 and thereafter 11,212 Total $ 19,638 (b) Restricted Cash Restricted interest-bearing cash accounts were established by the Company as additional collateral for outstanding borrowings under the Company’s TMCL II Secured Debt Facility, TMCL IV Secured Debt Facility, TW Credit Facility, TAP Funding Revolving Credit Facility, 2013-1 Bonds, 2014-1 Bonds, 2017-1 Bonds and 2017-2 Bonds. In addition, TL is required under its credit facilities to maintain a $10,000 cash balance. The total balance of these restricted cash accounts was $99,675 and $58,078 as of December 31, 2017 and 2016, respectively. (c) Container Commitments At December 31, 2017, the Company had placed orders with manufacturers for containers to be delivered subsequent to December 31, 2017 in the total amount of $244,990. |
Share Option and Restricted Sha
Share Option and Restricted Share Unit Plans | 12 Months Ended |
Dec. 31, 2017 | |
Disclosure Of Compensation Related Costs Sharebased Payments [Abstract] | |
Share Option and Restricted Share Unit Plans | (15) Share Option and Restricted Share Unit Plans As of December 31, 2017, the Company maintained one active share option and restricted share unit plan, the 2015 Share Incentive Plan (“2015 Plan”). The 2015 Plan provided for the grant of share options, restricted share units, restricted shares, share appreciation rights and dividend equivalent rights. The 2015 Plan provided for grants of incentive share options only to the Company’s employees or employees of any parent or subsidiary of TGH. Awards other than incentive share options could be granted to the Company’s employees, directors and consultants or the employees, directors and consultants of any parent or subsidiary of TGH. At December 31, 2017, 787,937 shares were available for future issuance under the 2015 Plan. Share options are granted at exercise prices equal to the fair market value of the shares on the grant date. Each employee’s options vest in increments of 25% per year beginning approximately one year after an option’s grant date. Unless terminated pursuant to certain provisions within the share option plans, including discontinuance of employment with the Company, all unexercised options expire ten years from the date of grant. Beginning approximately one year after a restricted share unit’s grant date for each employee’s restricted share unit granted prior to 2010, each employee’s restricted share units vest in increments of 15% per year for the first two years, 20% for the third year and 25% for the fourth and fifth year. Beginning approximately one year after a restricted share unit’s grant date for each restricted share unit granted in 2010 and thereafter, each employee’s restricted share units vest in increments of 25% per year. Restricted share units granted to directors fully vest one year after their grant date. The following is a summary of activity in the Company’s 2015 Plan for the years ended December 31, 2017, 2016, and 2015: Share options (common share equivalents) Weighted average exercise price Balances, December 31, 2014 961,031 $ 29.63 Options granted during the period 257,428 $ 14.20 Options exercised during the period (32,495 ) $ 11.90 Options expired during the period (6,532 ) $ 30.99 Options forfeited during the period (20,086 ) $ 33.70 Balances, December 31, 2015 1,159,346 $ 26.62 Options granted during the period 341,532 $ 9.77 Options exercised during the period — $ — Options expired during the period (38,317 ) $ 31.33 Options forfeited during the period (30,748 ) $ 29.97 Balances, December 31, 2016 1,431,813 $ 22.41 Options granted during the period 246,722 $ 22.75 Options exercised during the period (65,468 ) $ 14.67 Options expired during the period (45,638 ) $ 25.55 Options forfeited during the period (42,752 ) $ 16.04 Balances, December 31, 2017 1,524,677 $ 22.88 Options exercisable at December 31, 2017 875,083 $ 27.04 Options vested and expected to vest at December 31, 2017 1,453,930 $ 23.15 Restricted share units Weighted average grant date fair value Balances, December 31, 2014 633,218 $ 27.99 Share units granted during the period 277,336 $ 13.01 Share units vested during the period (272,945 ) $ 26.00 Share units forfeited during the period (20,086 ) $ 30.31 Balances, December 31, 2015 617,523 $ 21.70 Share units granted during the period 361,152 $ 9.81 Share units vested during the period (254,024 ) $ 24.26 Share units forfeited during the period (30,748 ) $ 25.93 Balances, December 31, 2016 693,903 $ 14.72 Share units granted during the period 289,800 $ 20.82 Share units vested during the period (244,633 ) $ 18.33 Share units forfeited during the period (46,022 ) $ 14.24 Balances, December 31, 2017 693,048 $ 16.03 Share units outstanding and expected to vest at December 31, 2017 620,950 $ 16.07 The estimated weighted average grant date fair value of share options granted during 2017, 2016 and 2015 was $10.32, $4.01 and $3.16 per share, respectively. As of December 31, 2017, $12,797 of total compensation cost related to non-vested share option and restricted share unit awards not yet recognized is expected to be recognized over a weighted average period of 3 years. The aggregate intrinsic value of all options exercisable and outstanding, which represents the total pre-tax intrinsic value, based on the Company’s closing common share price of $21.50 per share as of December 31, 2017 was $2,034. The aggregate intrinsic value is calculated as the difference between the exercise prices of the Company’s share options that were in-the-money and the market value of the common shares that would have been issued if those share options were exercised as of December 31, 2017. The aggregate intrinsic value of all options exercised during 2017 and 2015, based on the closing share price on the date each option was exercised was $241 and $325, respectively. There were no share options exercised during 2016. The following table summarizes information about share options exercisable and outstanding at December 31, 2017: Share options exercisable Share options outstanding Number of shares Weighted average exercise Number of shares Weighted average exercise Range of per-share exercise prices: $7.10 10,600 $ 7.10 10,600 $ 7.10 $9.70 306,666 $ 9.70 74,735 $ 9.70 $9.75 - $12.23 13,750 $ 11.55 2,500 $ 12.23 $14.17 219,742 $ 14.17 103,843 $ 14.17 $16.97 47,410 $ 16.97 47,410 $ 16.97 $ 22.95 242,972 $ 22.95 — $ — $27.68 - $28.26 209,140 $ 28.12 208,890 $ 28.12 $28.54 - $31.34 114,715 $ 28.78 114,715 $ 28.78 $34.14 190,019 $ 34.14 142,727 $ 34.14 $38.36 169,663 $ 38.36 169,663 $ 38.36 1,524,677 $ 22.88 875,083 $ 27.04 The weighted average contractual life of options exercisable and outstanding as of December 31, 2017 was 5.6 years and 7.0 years, respectively. The fair value of each share option granted under the 2015 Plan was estimated on the date of grant using the Black-Scholes option pricing model for the years ended December 31, 2017, 2016 and 2015 with the following assumptions: 2017 2016 2015 Risk-free interest rates 2.2 % 1.9 % 1.8 % Expected terms (in years) 5.4 5.2 5.2 Expected common share price volatilities 47.4 % 43.7 % 44.5 % Expected dividends 0.0 % 0.0 % 6.8 % Expected forfeitures 5.9 % 5.3 % 4.0 % The risk-free interest rate is based on the implied yield on a U.S. Treasury zero-coupon issue with a remaining term equal to the expected term of the share option life. The expected term is calculated based on historical exercises. The expected common share price volatility for the 2015 Plan is based on the historical volatility of publicly traded companies within the Company’s industry. The dividend yield reflects the estimated future yield on the date of grant. The Company only recognizes expense for share-based awards that are ultimately expected to vest. The forfeiture rate is based on the Company’s estimate of share options that are expected to cancel prior to vesting. |
Share Repurchase Program
Share Repurchase Program | 12 Months Ended |
Dec. 31, 2017 | |
Equity [Abstract] | |
Share Repurchase Program | (16) Share Repurchase Program On October 29, 2015, TGH’s board of directors approved a share repurchase program of up to $100,000 of the Company’s common shares. Under the program, the Company may purchase its common shares from time to time in the open market, in privately negotiated transactions or by establishing a trading plan under Rule 10b5-1 of the Securities Exchange Act of 1934 to facilitate purchases of its common shares. During 2015, the Company repurchased 630,000 shares at an average price of $14.52 for a total amount of $9,149. The Company did not repurchase any of its common shares during the years ended December 31, 2017 and 2016. |
Subsequent Events
Subsequent Events | 12 Months Ended |
Dec. 31, 2017 | |
Subsequent Events [Abstract] | |
Subsequent Events | (17) Subsequent Events On February 15, 2018, The Company completed a $300 million, seven-year fixed rate term financing with a lender group comprised of a financial institution and on institutional investor. The facility was issued by Textainer Marine Containers VI Limited (“TMCL VI”), an indirect wholly-owned subsidiary of the Company. The facility is partially amortized and the remaining principal is due in full in seven years. The weighted average life of the facility is approximately five years and is secured by a pledge of TMCL VI’s containers. The proceeds of the facility were used to paydown certain of the Company’s short-term debt. In February 2018, the company concluded a purchase of approximately 18,000 containers that we had been managing for an institutional investor for a total purchase consideration of $13.2 million. |
Schedule I - Parent Company Inf
Schedule I - Parent Company Information | 12 Months Ended |
Dec. 31, 2017 | |
Condensed Financial Information Of Parent Company Only Disclosure [Abstract] | |
Schedule I - Parent Company Information | TEXTAINER GROUP HOLDINGS LIMITED AND SUBSIDIARIES SCHEDULE I - CONDENSED STATEMENTS OF COMPREHENSIVE INCOME (LOSS) Parent Company Information Years Ended December 31, 2017, 2016 and 2015 (All currency expressed in United States dollars in thousands) 2017 2016 (1)(2) 2015 (2) Operating expenses: General and administrative expense $ 2,664 $ 2,657 $ 2,966 Long-term incentive compensation expense 904 363 432 Total operating expenses 3,568 3,020 3,398 Loss from operations (3,568 ) (3,020 ) (3,398 ) Other income (expense): Equity in net income (loss) of subsidiaries 22,933 (49,470 ) 111,806 Interest income — 4 — Net other income (loss) 22,933 (49,466 ) 111,806 Income (loss) before income tax 19,365 (52,486 ) 108,408 Income tax benefit — 3 — Net income (loss) attributable to Textainer Group Holdings Limited common shareholders $ 19,365 $ (52,483 ) $ 108,408 Net income (loss) attributable to Textainer Group Holdings Limited common shareholders per share: Basic $ 0.34 $ (0.93 ) $ 1.90 Diluted $ 0.34 $ (0.93 ) $ 1.90 Weighted average shares outstanding (in thousands): Basic 56,845 56,608 56,953 Diluted 57,159 56,608 57,093 Other comprehensive income: Foreign currency translation adjustments 207 (233 ) (240 ) Comprehensive income (loss) attributable to Textainer Group Holdings Limited common shareholders $ 19,572 $ (52,716 ) $ 108,168 (1) Certain amounts for the year ended December 31, 2016 have been restated for immaterial corrections of identified errors pertaining to the calculation of gain on sale of containers, net and to properly account for lease concessions (see Note 2 'Immaterial Correction of Errors in Prior Periods"). (2) Certain amounts for the years ended December 31, 2016 and 2015 have been reclassified to conform with 2017 presentation. TEXTAINER GROUP HOLDINGS LIMITED AND SUBSIDIARIES SCHEDULE I - CONDENSED BALANCE SHEETS Parent Company Information December 31, 2017 and 2016 (All currency expressed in United States dollars in thousands) 2017 2016 (1) Assets Current assets: Cash and cash equivalents $ 5,530 $ 2,975 Prepaid expenses 216 173 Due from affiliates, net 1,020 189 Total current assets 6,766 3,337 Investments in subsidiaries 1,147,157 1,124,018 Total assets $ 1,153,923 $ 1,127,355 Liabilities and Shareholders’ Equity Current liabilities: Accrued expenses $ 568 $ 618 Total current liabilities 568 618 Shareholders’ equity: Common shares 578 575 Additional paid-in capital 398,634 391,591 Treasury shares (9,149 ) (9,149 ) Accumulated other comprehensive income (309 ) (516 ) Retained earnings 763,601 744,236 Total shareholders’ equity 1,153,355 1,126,737 Total liabilities and shareholders’ equity $ 1,153,923 $ 1,127,355 (1) Certain amounts as of December 31, 2016 have been restated for immaterial corrections of identified errors related to the calculation of gain on sale of containers, net and to properly account for lease concessions (see Note 2 "Immaterial Correction of Errors in Prior Periods"). TEXTAINER GROUP HOLDINGS LIMITED AND SUBSIDIARIES SCHEDULE I - CONDENSED STATEMENTS OF CASH FLOWS Parent Company Information Years ended December 31, 2017, 2016 and 2015 (All currency expressed in United States dollars in thousands) 2017 2016 (1)(2) 2015 (2) Cash flows from operating activities: Net income (loss) attributable to Textainer Group Holdings Limited common shareholders $ 19,365 $ (52,483 ) $ 108,408 Adjustments to reconcile net (loss) income to net cash provided by operating activities: Equity in (income) loss of subsidiaries (22,933 ) 49,470 (111,806 ) Dividends received from subsidiaries — 28,000 100,000 Share-based compensation 6,083 6,573 7,743 Decrease (increase) in: Prepaid expenses (43 ) 15 16 Increase (decrease) in: Accrued expenses (50 ) (489 ) 454 Total adjustments (16,943 ) 83,569 (3,593 ) Net cash provided by operating activities 2,422 31,086 104,815 Cash flows from investing activities: (Decrease) increase in investments in subsidiaries, net (204 ) (3,969 ) 233 Net cash (used in) provided by investing activities (204 ) (3,969 ) 233 Cash flows from financing activities: Purchase of treasury shares — — (9,149 ) Issuance of common shares upon exercise of share options 961 — 301 Dividends paid — (28,754 ) (94,079 ) Due from affiliates, net (831 ) (364 ) 585 Net cash provided by (used) in financing activities 130 (29,118 ) (102,342 ) Effect of exchange rate changes 207 (233 ) (240 ) Net increase (decrease) in cash and cash equivalents 2,555 (2,234 ) 2,466 Cash and cash equivalents, beginning of the year 2,975 5,209 2,743 Cash and cash equivalents, end of the year $ 5,530 $ 2,975 $ 5,209 (1) Certain amounts for the year ended December 31, 2016 have been restated for immaterial corrections of identified errors related to the calculation of gain on sale of containers, net and to properly account for lease concessions (see Note 2 "Immaterial Correction of Errors in Prior Periods"). (2) Certain amounts for the years ended December 31, 2016 and 2015 have been reclassified to conform with 2017 presentation. |
Schedule II Valuation Accounts
Schedule II Valuation Accounts | 12 Months Ended |
Dec. 31, 2017 | |
Valuation And Qualifying Accounts [Abstract] | |
Schedule II Valuation Accounts | TEXTAINER GROUP HOLDINGS LIMITED AND SUBSIDIARIES Valuation Accounts Years ended December 31, 2017, 2016 and 2015 (All currency expressed in United States dollars in thousands) Balance at Additions Balance at Beginning of Charged to End of Year Expense Deductions Year December 31, 2015 Accounts receivable, allowance for doubtful accounts $ 12,139 $ 5,028 $ (3,114 ) $ 14,053 December 31, 2016 Accounts receivable, allowance for doubtful accounts $ 14,053 $ 21,166 $ (3,375 ) $ 31,844 December 31, 2017 Accounts receivable, allowance for doubtful accounts $ 31,844 $ 477 $ (26,546 ) $ 5,775 |
Nature of Business and Summar27
Nature of Business and Summary of Significant Accounting Policies (Policies) | 12 Months Ended |
Dec. 31, 2017 | |
Accounting Policies [Abstract] | |
Nature Of Operations | (a) Nature of Operations Textainer Group Holdings Limited (“TGH”) is incorporated in Bermuda. TGH is the holding company of a group of corporations, Textainer Group Holdings Limited and subsidiaries (collectively, the “Company”), involved in the purchase, management, leasing and resale of a fleet of marine cargo containers. The Company manages and provides administrative support to the affiliated and unaffiliated owners (the “Owners”) of the containers and structures and manages container leasing investment programs. The Company conducts its business activities in three main areas: Container Ownership, Container Management and Container Resale. These activities are described below (also see Note 13 “Segment Information”). Container Ownership The Company’s containers consist primarily of standard dry freight containers, but also include refrigerated and other special-purpose containers. These containers are financed through retained earnings; revolving credit facilities, secured debt facilities and a term loan provided by banks; bonds payable to investors; and a public offering of TGH’s common shares. Expenses related to lease rental income include direct container expenses, depreciation expense and interest expense. Container Management The Company manages, on a worldwide basis, a fleet of containers for and on behalf of the Owners. All rental operations are conducted worldwide in the name of the Company who, as agent for the Owners, acquires and sells containers, enters into leasing agreements and depot service agreements, bills and collects lease rentals from the lessees, disburses funds to depots for container handling, and remits net amounts, less management fees and commissions, to the Owners. Revenues, customer accounts receivable, fixed assets, depreciation and other operating expenses, and vendor payables arising from direct container operations of the managed portion of the Owners’ fleet have been excluded from the Company’s financial statements. Management fees are typically a percentage of net operating income of each Owner’s fleet and consist of fees earned by the Company for services related to the management of the containers, sales commissions and net acquisition fees earned on the acquisition of containers. Expenses related to the provision of management services include general and administrative expense, short-term and long-term incentive compensation expense and amortization expense. Container Resale The Company buys and subsequently resells used containers (trading containers) from third parties. Container sales revenue represents the proceeds on the sale of containers purchased for resale. Cost of containers sold represents the cost of equipment purchased for resale that were sold as well as the related selling costs. The Company earns sales commissions related to the sale of the containers that it manages. |
Principles of Consolidation and Variable Interest Entity | (b) Principles of Consolidation and Variable Interest Entity The consolidated financial statements of the Company include TGH and all of its subsidiaries in which the Company has a controlling financial interest. All significant intercompany accounts and balances have been eliminated in consolidation. The Company determines whether it has a controlling financial interest in an entity by evaluating whether the entity is a variable interest entity (“VIE”) or a voting interest entity (“VME”). If it is determined that the Company does not have a variable interest in the entity, no further analysis is required and the Company does not consolidate the entity. On December 20, 2012, the Company’s wholly-owned subsidiary, Textainer Limited (“TL”), purchased 50.1% of the outstanding common shares of TAP Funding Ltd. (“TAP Funding”) (a Bermuda company) from TAP Ltd. (“TAP”). Both before and after this purchase, TAP Funding leases containers to lessees under operating, direct financing and sales-type leases. TAP is governed by members and management agreements and the Company’s wholly-owned subsidiary, Textainer Equipment Management Limited (“TEML”), manages all of TAP Funding’s containers, making day-to-day decisions regarding the marketing, servicing and design of TAP Funding’s leases. TL’s purchase of a majority ownership of TAP Funding’s common shares allowed the Company to increase the size of its owned fleet at an attractive price. Under TAP Funding’s members agreement, TL owns 50.1% and TAP owns 49.9% of the common shares of TAP Funding. As common shareholders, TL has two voting rights and TAP has one voting right of TAP Funding, with the exception of certain matters such as bankruptcy proceedings and the incurrence of debt and mergers and consolidations, which require unanimity. TL also has two seats and TAP has one seat on TAP Funding’s board of directors. In addition, TL has an option to purchase the remaining outstanding common shares of TAP Funding held by TAP during the period beginning January 1, 2019 and through December 1, 2020 for a purchase price equal to the equity carrying value of TAP Funding plus 6% of TAP’s percentage ownership interest in TAP Funding minus the sum of any and all U.S. federal, state and local taxes of any nature that would be recognized by TL if TAP Funding was liquidated by TL immediately after TL purchased its shares. TAP Funding is a VME and the Company consolidates TAP Funding as the Company has a controlling financial interest in TAP Funding, in which TL owns 50% or more voting interest. TAP Funding’s profits and losses are allocated to TL and TAP on the same basis as their ownership percentages. The equity owned by TAP in TAP Funding is shown as a noncontrolling interest on the Company’s consolidated balance sheets and the net income (loss) attributable to the noncontrolling interest’s operations is shown as net (income) loss attributable to the noncontrolling interests on the Company’s consolidated statements of comprehensive income (loss). The Company has a joint venture, TW Container Leasing, Ltd. (“TW”) (a Bermuda company), between TL and Wells Fargo Container Corp. (“WFC”). The purpose of TW is to lease containers to lessees under direct financing leases. TW is governed by members, credit and management agreements. Under the members agreement, TL owns 25% and WFC owns 75% of the common shares and related voting rights of TW. TL also has two seats and WFC has six seats on TW’s board of directors, with each seat having equal voting rights, provided, however, that the approval of at least one TL-appointed director is required for any action of the board of directors. Under a credit agreement with Wells Fargo Bank, N.A. (“WFB”), TW maintains a credit facility with an outstanding balance of $97,148 as of December 31, 2017. TW is required to make monthly principal pay down from its available funds, net revenue collection after interest payment, interest rate hedging payment and certain management fees, until the outstanding balance is fully repaid and prior to final maturity (see Note 12 “Secured Debt Facilities, Credit Facilities, Term Loan and Bonds Payable, and Derivative Instruments”). Both WFC and WFB are directly and indirectly wholly-owned subsidiaries of Wells Fargo and Company. The remaining cost of originating direct financing leases will be provided in the form of capital contributions from TL and WFC, split 25% and 75%, respectively. Under the management agreement, TEML manages all of TW’s containers, making day-to-day decisions regarding the marketing, servicing and design of TW’s direct financing leases. The Company has determined that it has a variable interest in TW and that TW is a VIE. The Company consolidates TW as the Company has determined that it is the primary beneficiary of TW by its equity ownership in the entity and by virtue of its role as manager of the vehicle, namely that the Company has the power to direct the activities of TW that most significantly impact TW’s economic performance. The book values of TW’s direct financing and sales-type leases and related debt as of December 31, 2017 and 2016 are disclosed in Note 7 “Direct Financing and Sales-type Leases” and Note 12 “Secured Debt Facilities, Credit Facilities, Term Loan and Bonds Payable, and Derivative Instruments”, respectively. The majority of the container equipment included in the accompanying consolidated financial statements is owned by TL, Textainer Marine Containers II Limited (“TMCL II”), Textainer Marine Containers III Limited (“TMCL III”), Textainer Marine Containers IV Limited (“TMCL IV”) and Textainer Marine Containers V Limited (“TMCL V”), all Bermuda companies and all of which were wholly-owned subsidiaries of the Company as of December 31, 2017 and 2016. |
Cash and Cash Equivalents and Restricted Cash | (c) Cash and Cash Equivalents and Restricted Cash Cash and cash equivalents are comprised of interest-bearing deposits or money market securities with original maturities of three months or less. The Company maintains cash and cash equivalents and restricted cash (see Note 14 “Commitments and Contingencies—Restricted Cash”) with various financial institutions. These financial institutions are located in Bermuda, Canada, Hong Kong, Malaysia, Singapore, the United Kingdom and the United States. A significant portion of the Company’s cash and cash equivalents and restricted cash is maintained with a small number of banks and, accordingly, the Company is exposed to the credit risk of these counterparties in respect of the Company’s cash and cash equivalents and restricted cash. Furthermore, the deposits maintained at some of these financial institutions exceed the amount of insurance provided on the deposits. Restricted cash is excluded from cash and cash equivalents and is included in long-term assets. In November 2016, the FASB issued Accounting Standards Update No. 2016-18, Statement of Cash Flows (Topic 230): Restricted Cash (“ASU 2016-18”). The Company early adopted ASU 2016-18 on April 1, 2017, which resulted in a $24,161 decrease in net cash used in financing activities and the inclusion of restricted cash balances of $33,917 and $58,078 to the beginning of the year and end of the year cash, cash equivalents and restricted cash, respectively, in the Company’s consolidated statements of cash flows for the year ended December 31, 2016. This also resulted in a $26,393 increase in net cash used in financing activities and the inclusion of restricted cash balances of $60,310 and $33,917 to the beginning of the year and end of the year cash, cash equivalents and restricted cash, respectively, in the Company’s consolidated statements of cash flows for the year ended December 31, 2015 (see Note 1(t) “Recently Issued Accounting Standards”). The following table provides a reconciliation of cash, cash equivalents, and restricted cash reported within the consolidated balance sheets that sum to the total of the same such amounts shown in the consolidated statements of cash flows: 2017 2016 2015 Cash and cash equivalents $ 137,894 $ 84,045 $ 115,594 Restricted cash included in long-term assets 99,675 58,078 33,917 Cash at end of period $ 237,569 $ 142,123 $ 149,511 |
Intangible Assets | (d) Intangible Assets Intangible assets, consisting primarily of exclusive rights to manage container fleets, are amortized over the expected life of the contracts based on forecasted income to the Company. The contract terms range from 11 to 13 years. The Company reviews its intangible assets for impairment if events and circumstances indicate that the carrying amount of the intangible assets may not be recoverable. The Company compares the carrying value of the intangible assets to expected future undiscounted cash flows for the purpose of assessing the recoverability of the recorded amounts. If the carrying amount exceeds expected undiscounted cash flows, the intangible assets shall be reduced to their fair value. |
Lease Rental Income | (e) Lease Rental Income Leasing income arises principally from the renting of containers owned by the Company to various international shipping lines. Revenue is recorded when earned according to the terms of the container rental contracts. These contracts are typically for terms of three to five years, but can vary from one to eight years, and are generally classified as operating leases. Under long-term lease agreements, containers are usually leased from the Company for periods of three to five years. Such leases are generally cancelable with a penalty at the end of each 12-month period. Under master lease agreements, the lessee is not committed to leasing a minimum number of containers from the Company during the lease term and may generally return the containers to the Company at any time, subject to certain restrictions in the lease agreement. Under long-term lease and master lease agreements, revenue is earned and recognized evenly over the period that the equipment is on lease. Under direct financing and sales-type leases, the containers are usually leased from the Company for the remainder of the container’s useful life with a bargain purchase option at the end of the lease term. Revenue is earned and recognized on direct financing leases over the lease terms so as to produce a constant periodic rate of return on the net investment in the leases. Under sales-type leases, a gain or loss is recognized at the inception of the leases by subtracting the book value of the containers from the estimated fair value of the containers and the remaining revenue is earned and recognized over the lease terms so as to produce a constant periodic rate of return on the net investment in the leases. The Company’s container leases generally do not include step-rent provisions, nor do they depend on indices or rates. The Company recognizes revenue on container leases that include lease concessions in the form of free-rent periods using the straight-line method over the minimum terms of the leases. The following is a schedule, by year, of future minimum lease payments receivable under the long-term leases as of December 31, 2017: Year ending December 31: 2018 $ 263,425 2019 189,130 2020 131,427 2021 91,685 2022 and thereafter 120,345 Total future minimum lease payments receivable $ 796,012 The Company maintains allowances for doubtful accounts for estimated losses resulting from the inability of its lessees to make required payments. These allowances are based on management’s current assessment of the financial condition of the Company’s lessees and their ability to make their required payments. If the financial condition of the Company’s lessees deteriorates, resulting in an impairment of their ability to make payments, additional allowances may be required. |
Direct Container Expenses | (f) Direct Container Expense Direct container expense represents the operating costs arising from the containers owned by the Company and includes storage, handling, maintenance, Damage Protection Plan (“DPP”) repair, repositioning, agent, insurance expense and repair and recovery costs for problem lessees. These costs are recognized when incurred. |
Containers Held For Resale | (g) Containers Held for Resale The Company, through one or more of its subsidiaries, buys trading containers for resale, which are valued at the lower of cost or market value. The cost of trading containers sold is specifically identified. |
Foreign Currencies | (h) Foreign Currencies A functional currency is determined for each of the Company’s entities based on the currency of the primary economic environment in which the entity operates. The Company’s functional currency, excluding its foreign subsidiaries, is the U.S. dollar. Assets and liabilities denominated in a currency other than the entity’s functional currency are re-measured into its functional currency at the balance sheet date with a gain or loss recognized in current year net income. Foreign currency exchange gains and losses that arise from exchange rate changes on transactions denominated in a foreign currency are recognized in net income as incurred. Foreign currency exchange gains, reported in direct container expense in the consolidated statements of comprehensive income were $156, $188, and $221 for the years ended December 31, 2017, 2016 and 2015, respectively. For consolidation purposes, the financial statements are translated into U.S. dollars using the current exchange rate for the assets and liabilities and a weighted average exchange rate for the revenues and expenses recorded during the year with any translation adjustment shown as an element of accumulated other comprehensive income. |
Containers and Fixed Assets | (i) Containers and Fixed Assets Capitalized container costs include the container cost payable to the manufacturer and the associated transportation costs incurred in moving the containers from the manufacturer to the containers’ first destined port. Containers purchased new are depreciated using the straight-line method over their estimated useful lives to an estimated dollar residual value. Containers purchased used are depreciated based upon their remaining useful lives at the date of acquisition to an estimated dollar residual value. The Company evaluates the estimated residual values and remaining estimated useful lives on a regular basis to determine whether a change in our estimates of useful lives and residual values is warranted. After the Company performed its regular depreciation policy review during third quarter of 2017, the Company concluded that, beginning July 1, 2017, an increase in the estimated future residual value of its 20’, 40’ and 40’ high cube dry containers, as stated in the below table on the Company’s useful lives and residual values estimates, was appropriate. Depreciation expense may fluctuate in future periods based on fluctuations in these estimates. The net effect of these changes was a decrease in depreciation expense of $7,104 for the year ended December 31, 2017. After the Company performed its regular depreciation policy review during the third quarter of 2016, the Company concluded that, beginning July 1, 2016, a decrease in the estimated future residual value of its 20’ dry containers, 40’ dry containers, 40’ high cube dry containers and 40’ folding flat rack containers and an increase in the useful lives of its 40’ dry containers, 20’ folding flat rack containers, 20’ open top containers and 40’ flat rack containers, as stated in the below table on the Company’s useful lives and residual values estimates, was appropriate. Depreciation expense may fluctuate in future periods based on fluctuations in these estimates. The effect of these changes was an increase in depreciation expense of $25,126 for the year ended December 31, 2016, of which a $4,402 one-time charge was for containers that were fully depreciated to their previous residual value. The Company estimates the useful lives and residual values of its containers to be as follows: Effective July 1, 2017 July 1, 2016 through June 30, 2017 January 1, 2016 through June 30, 2016 Estimated Residual Estimated Residual Estimated Residual life (years) Value life (years) Value life (years) Value Dry containers other than open top and flat rack containers: 20' 13 $ 1,000 13 $ 950 13 $ 1,050 40' 14 $ 1,200 14 $ 1,150 13 $ 1,300 40' high cube 13 $ 1,350 13 $ 1,300 13 $ 1,450 45' high cube dry van 13 $ 1,500 13 $ 1,500 13 $ 1,500 Refrigerated containers: 20' 12 $ 2,750 12 $ 2,750 12 $ 2,750 20' high cube 12 $ 2,049 12 $ 2,049 12 $ 2,049 40' high cube 12 $ 4,500 12 $ 4,500 12 $ 4,500 Open top and flat rack containers: 20' folding flat rack 15 $ 1,300 15 $ 1,300 14 $ 1,300 40' folding flat rack 16 $ 1,700 16 $ 1,700 14 $ 2,000 20' open top 15 $ 1,500 15 $ 1,500 14 $ 1,500 40' open top 14 $ 2,500 14 $ 2,500 14 $ 2,500 Tank containers 20 10% of cost 20 10% of cost 20 10% of cost The cost, accumulated depreciation and net book value of the Company’s leasing equipment by equipment type as of December 31, 2017 and 2016 were as follows: 2017 2016 (1) Cost Accumulated Depreciation Net Book Value Cost Accumulated Depreciation Net Book Value Dry containers other than open top and flat rack containers: 20' $ 1,497,557 $ (347,910 ) $ 1,149,647 $ 1,399,878 $ (304,652 ) $ 1,095,226 40' 223,916 (75,610 ) 148,306 253,226 (76,344 ) 176,882 40' high cube 2,043,253 (476,238 ) 1,567,015 1,861,221 (405,503 ) 1,455,718 45' high cube dry van 29,010 (8,494 ) 20,516 29,823 (6,957 ) 22,866 Refrigerated containers: 20' 24,062 (5,394 ) 18,668 24,420 (3,830 ) 20,590 20' high cube 5,139 (2,327 ) 2,812 5,149 (1,948 ) 3,201 40' high cube 1,002,843 (229,465 ) 773,378 1,004,532 (169,383 ) 835,149 Open top and flat rack containers: 20' folding flat 16,595 (3,525 ) 13,070 16,712 (2,942 ) 13,770 40' folding flat 43,334 (14,394 ) 28,940 43,620 (12,634 ) 30,986 20' open top 10,837 (1,237 ) 9,600 11,048 (1,069 ) 9,979 40' open top 26,690 (4,469 ) 22,221 27,115 (3,778 ) 23,337 Tank containers 40,729 (3,292 ) 37,437 31,582 (1,744 ) 29,838 $ 4,963,965 $ (1,172,355 ) $ 3,791,610 $ 4,708,326 $ (990,784 ) $ 3,717,542 (1) Certain amounts as of December 31, 2016 have been restated for immaterial corrections of identified errors related to the calculation of the gain on sale of containers, net (see Note 2 “Immaterial Correction of Errors in Prior Periods”). Fixed assets are recorded at cost and depreciated on a straight-line basis over the estimated useful lives of the assets, ranging from three to seven years. The Company reviews its containers for impairment whenever events or circumstances indicate that the carrying amount of such assets may not be recoverable. The Company compares the carrying value of the containers to the expected future undiscounted cash flows for the purpose of assessing the recoverability of the recorded amounts. If the carrying value exceeds expected future undiscounted cash flows, the assets are reduced to fair value. There was no such impairment for the years ended December 31, 2017 and 2016. In addition, containers identified as being available for sale are valued at the lower of carrying value or fair value, less costs to sell. The Company evaluates the recoverability of the recorded amount of container rental that are unlikely to be recovered from lessees in default. The Company also records impairments to write-down containers held for sale to their estimated fair value less cost to sell. The fair value was estimated based on recent gross sales proceeds for sales of similar containers. When containers are retired or otherwise disposed of, the cost and related accumulated depreciation are removed and any resulting gain or loss is recognized. Any subsequent increase in fair value less costs to sell are recognized as reversal of container impairment but not in excess of the cumulative loss previously recognized. The Company recorded the following impairments that are included in container impairment in the consolidated statements of comprehensive income (loss) for the years ended December 31, 2017, 2016 and 2015: 2017 2016 2015 Impairment to write down the value of containers held for sale to their estimated fair value less cost to sell $ 15,475 $ 66,455 $ 32,680 Impairment on containers from a bankruptcy customer in 2016 and customer that became insolvent in 2015 — 22,961 1,968 Impairment for containers that were unlikely to be recovered from lessees in default (see Note 3 "Insurance Receivable and Impairment") 3,822 5,207 697 Reversal of previously recorded impairments on containers held for sale due to rising used container prices during the year (11,225 ) — — Container impairment $ 8,072 $ 94,623 $ 35,345 During the years ended December 31, 2017, 2016 and 2015, the Company recorded the following net gain on sales of containers, included in gain on sale of containers, net in the consolidated statements of comprehensive (loss) income: 2017 2016 (1) 2015 Units Amount Units Amount Units Amount Gain on sale of previously written down containers, net 56,862 $ 18,662 118,071 $ 9,151 65,786 $ 2,336 Gain (loss) on sale of containers not written down, net 55,505 7,548 20,319 (2,390 ) 45,777 1,118 Gain on sale of containers, net 112,367 $ 26,210 138,390 $ 6,761 111,563 $ 3,454 (1) Certain amounts as of December 31, 2016 have been restated for immaterial corrections of identified errors related to the calculation of the gain on sale of containers, net (see Note 2 “Immaterial Correction of Errors in Prior Periods”). If other containers are subsequently identified as available for sale, the Company may incur additional write-downs or may incur losses on the sale of these containers if they are sold. The Company will continue to evaluate the recoverability of recorded amounts of containers and a write-down of certain containers held for continued use and/or an increase in its depreciation rate may be required in future periods for some or all containers. |
Income Taxes | (j) Income Taxes The Company uses the asset and liability method to account for income taxes. Deferred tax assets and liabilities are recognized for the future tax consequences attributable to differences between the financial statement carrying amounts of existing assets and liabilities and their respective tax bases and operating loss. Deferred tax assets and liabilities are measured using enacted tax rates expected to apply to taxable income in the years in which those temporary differences are expected to be recovered or settled. The effect on deferred tax assets and liabilities of a change in the tax rates is recognized in income in the period that includes the enactment date. A valuation allowance is recorded when the realization of a deferred tax asset is deemed to be unlikely. The Company also accounts for income tax positions only if those positions are more likely than not of being sustained. Recognized income tax positions are measured at the largest amount that is greater than 50% likely of being realized. Changes in the recognition or measurement are reflected in the period in which the change in judgment occurs. If there are findings in future regulatory examinations of the Company’s tax returns, those findings may result in an adjustment to income tax expense. The Company records interest and penalties related to unrecognized tax benefits in income tax expense. |
Maintenance and Repair Expense and Damage Protection Plan | (k) Maintenance and Repair Expense and Damage Protection Plan The Company’s leases generally require the lessee to pay for any damage to the container beyond normal wear and tear at the end of the lease term. The Company offers a DPP to certain lessees of its containers. Under the terms of the DPP, the Company charges lessees an additional amount primarily on a daily basis and the lessees are no longer obligated for certain future repair costs for containers subject to the DPP. It is the Company’s policy to recognize these revenues as earned on a daily basis over the related term of its leases. The Company has not recognized revenue and related expense for customers who are billed at the end of their lease terms under the DPP. Based on past history, there is uncertainty as to collectability of these amounts from lessees who are billed at the end of their lease terms because the amounts due under the DPP are typically re-negotiated at the end of the lease terms or the lease terms are extended. The Company uses the direct expense method of accounting for maintenance and repairs. |
Debt Issuance Costs | (l) Debt Issuance Costs The Company capitalizes costs directly associated with the issuance or modification of its debt and the balance of the debt issuance costs, net of amortization, are netted against the debt recorded in the consolidated balance sheets. Debt issuance costs are amortized using the interest rate method and the straight-line method over the general terms of the related fixed principal payment debt and the related revolving debt facilities, respectively, and the amortization is recorded in the consolidated statements of comprehensive income (loss) as interest expense. In 2017, 2016 and 2015, debt issuance costs of $27,702, $5,969 and $5,853, respectively, were capitalized and amortization of debt issuance costs of $13,201, $9,465 and $7,158, respectively, were recorded in interest expense. When the Company’s debt is modified or terminated, any unamortized debt issuance costs related to a decrease in borrowing capacity with any of the Company’s lenders is immediately written-off and recorded in interest expense. In 2017, interest expense included $238, $6,516 and $84 of write-offs of unamortized debt issuance costs related to the amendment of TMCL II’s TMCL III’s |
Concentrations | (m) Concentrations Although substantially all of the Company’s income from operations is derived from assets employed in foreign countries, virtually all of this income is denominated in U.S. dollars. The Company does pay some of its expenses in various foreign currencies. During 2017, 2016 and 2015, $15,143 or 25%, $22,642 or 36%, and $12,700 or 27%, respectively, of the Company’s direct container expenses were paid in up to 20 different foreign currencies. In accordance with its policy, the Company does not hedge these container expenses as there are no significant payments made in any one foreign currency. The Company’s customers are mainly international shipping lines, which transport goods on international trade routes. Once the containers are on-hire with a lessee, the Company does not track their location. The domicile of the lessee is not indicative of where the lessee is transporting the containers. The Company’s business risk in its foreign concentrations lies with the creditworthiness of the lessees rather than the geographic location of the containers or the domicile of the lessees. Except for the lessees noted in the table below, no other single lessee made up greater than 10% of the Company’s lease rental income during the years ended December 31, 2017, 2016 and 2015: 2017 2016 (1) 2015 Mediterranean Shipping Company S.A. 14.4 % 12.0 % 10.4 % CMA-CGM S.A. 13.6 % 14.0 % 11.0 % (1) Certain amounts as of December 31, 2016 have been restated for immaterial corrections of identified errors relating to properly account for lease concessions (see Note 2 “Immaterial Correction of Errors in Prior Periods”). Mediterranean Shipping Company S.A. accounted for 13.1% and 9.0% of the Company’s gross accounts receivable as of December 31, 2017 and 2016, respectively. CMA-CGM S.A. accounted for 12.9% and 9.1% of the Company’s gross accounts receivable as of December 31, 2017 and 2016, respectively. Hanjin Shipping Co. accounted for 19.9% of the Company’s gross accounts receivable as of December 31, 2016. Hanjin Shipping Co. filed for bankruptcy in August 2016 and the Company’s outstanding accounts receivable with this customer was fully reserved as of December 31, 2016 and was written off as of December 31, 2017 (see Note 3 “Insurance Receivable and Impairment”). There is no other single lessee that accounted for more than 10% of the Company’s gross accounts receivable as of December 31, 2017 and 2016. As of December 31, 2016, the Company’s gross accounts receivable has been restated for immaterial corrections of identified errors pertaining to properly account for lease concessions (see Note 2 “Immaterial Correction of Errors in Prior Periods”). Total fleet lease rental income differs from reported lease rental income in that total fleet lease rental income comprises revenue earned from leases on containers in the Company’s total fleet, including revenue earned by the Owners from leases on containers in its managed fleet, while the Company’s reported lease rental income only comprises income associated with its owned fleet. Except for the customers noted in the table below, no other customer that individually accounted for over 10% of the lease billings of the Company’s total fleet in 2017, 2016 and 2015: 2017 2016 2015 Mediterranean Shipping Company S.A. 15.1 % 13.6 % 11.9 % CMA-CGM S.A. 14.4 % 15.4 % 12.2 % The Company currently has containers on-hire to approximately 300 customers. The Company’s customers are mainly international shipping lines, but the Company also leases containers to freight forwarding companies and the U.S. military. The Company’s five largest customers accounted for approximately 49.5%, 48.1% and 40.3% of the Company’s total fleet leasing billings in 2017, 2016 and 2015, respectively. During 2017, 2016 and 2015, revenue from the Company’s 20 largest container lessees by lease billings represented 80.0%, 78.9% and 77.4% of the Company’s total fleet container lease billings, respectively. A default by any of these major customers could have a material adverse impact on the Company’s business, results from operations and financial condition. As of December 31, 2017 and 2016, approximately 94.4 % and 95.0%, respectively, of the Company’ accounts receivable for its total fleet were from container lessees and customers outside of the U.S. As of December 31, 2017 and 2016, approximately 98.0% and 99.8%, respectively, of the Company’s finance lease receivables for its total fleet were from container lessees and customers outside of the U.S. Except for the countries outside of the U.S. noted in the table below, customers in no other single country made up greater than 10% of the Company’s total fleet container lease rental income during 2017, 2016 and 2015. Country 2017 2016 2015 Switzerland 15.1 % 13.4 % 11.5 % France 14.4 % 15.3 % 12.2 % People's Republic of China 14.4 % 14.1 % 15.9 % Taiwan 13.9 % 12.2 % 11.1 % Singapore 10.9 % 8.7 % 11.0 % Korea 6.8 % 9.9 % 11.6 % |
Derivative Instruments | (n) Derivative Instruments The Company has entered into various interest rate swap, collar and cap agreements to mitigate its exposure associated with its variable rate debt. The swap agreements involve payments by the Company to counterparties at fixed rates in return for receipts based upon variable rates indexed to the London Inter Bank Offered Rate (“LIBOR”). The differentials between the fixed and variable rate payments under these agreements are recognized in realized losses on interest rate swaps, collars and caps, net in the consolidated statements of comprehensive (loss) income. As of the balance sheet dates, none of the derivative instruments are designated by the Company for hedge accounting. The fair value of the derivative instruments is measured at each balance sheet date and the change in fair value is recorded in the consolidated statements of comprehensive income as unrealized gains (losses) on interest rate swaps, collars and caps, net. |
Share Options and Restricted Share Units | (o) Share Options and Restricted Share Units The Company estimates the fair value of all employee share options awarded under its 2015 Share Incentive Plan (the “2015 Plan”), amended and restated from the 2007 Share Incentive Plan (the “2007 Plan”) on May 21, 2015, on the grant date. The value of the portion of the award that is ultimately expected to vest is recognized as expense over the requisite service periods in the Company’s consolidated statements of comprehensive income as part of long-term incentive compensation expense. The Company uses the Black-Scholes-Merton (“Black-Scholes”) option-pricing model to determine the estimated fair value for employee share option awards. The Company uses the fair market value of the Company’s common shares on the grant date, discounted for estimated dividends that will not be received by the employees during the vesting period, for determining the estimated fair value for employee restricted share units. Compensation expense for employee share awards is recognized on a straight-line basis over the vesting period of the award. Share-based compensation expense of $6,083, $6,573 and $7,743 was recorded as a part of long-term incentive compensation during 2017, 2016 and 2015, respectively, for share options and restricted share units awarded to employees under the 2015 Plan. |
Comprehensive Income | (p) Comprehensive Income The Company discloses the effect of its foreign currency translation adjustment as a component of other comprehensive income (loss) in the Company’s consolidated statements of comprehensive income (loss). |
Estimates | (q) Estimates The preparation of consolidated financial statements in conformity with accounting principles generally accepted in the United States of America requires the Company’s management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the consolidated financial statements and the reported amounts of revenues and expenses during the reporting period. The Company’s management evaluates its estimates on an ongoing basis, including those related to the container rental equipment, intangible assets, accounts receivable, income taxes, and accruals. These estimates are based on historical experience and on various other assumptions that are believed to be reasonable under the circumstances, the results of which form the basis for making judgments regarding the carrying values of assets and liabilities. Actual results could differ from those estimates under different assumptions or conditions. |
Net Income (Loss) Attributable to Textainer Group Holdings Limited Common Shareholders per Share | (r) Net Income (Loss) Attributable to Textainer Group Holdings Limited Common Shareholders per Share Basic earnings per share (“EPS”) is computed by dividing net income (loss) attributable to Textainer Group Holdings Limited common shareholders by the weighted average number of shares outstanding during the applicable period. Diluted EPS reflects the potential dilution that could occur if all outstanding share options were exercised for, and all outstanding restricted share units were converted into, common shares. Potentially dilutive share options and restricted share units that were anti-dilutive under the treasury stock method were excluded from the computation of diluted EPS. A reconciliation of the numerator and denominator of basic EPS with that of diluted EPS during 2017, 2016 and 2015 is presented as follows: Share amounts in thousands 2017 2016 (1) 2015 Numerator: Net income (loss) attributable to Textainer Group Holdings Limited common shareholders $ 19,365 $ (52,483 ) $ 108,408 Denominator: Weighted average common shares outstanding-- basic 56,845 56,608 56,953 Dilutive share options and restricted share units 314 — 140 Weighted average common shares outstanding-- diluted 57,159 56,608 57,093 Net income (loss) attributable to Textainer Group Holdings Limited common shareholders per common share Basic $ 0.34 $ (0.93 ) $ 1.90 Diluted $ 0.34 $ (0.93 ) $ 1.90 Anti-dilutive share options and restricted share units, excluded from the computation of diluted EPS because they were anti-dilutive 1,164 1,361 1,158 (1) Amounts for the year ended December 31, 2016 have been restated for immaterial corrections of identified errors pertaining to the calculation of gain on sale of containers, net and to properly account for lease concessions (see Note 2 "Immaterial Correction of Errors in Prior Periods"). Given that the Company had a net loss attributable to Textainer Group Holdings Limited common shareholders for the year ended 2016, there was no dilutive effect of share option and restricted share units. |
Fair Value Measurements | (s) Fair Value Measurements The Company utilizes a fair value hierarchy that prioritizes the inputs to valuation techniques used to measure fair value into three broad levels. The following is a brief description of those levels: • Level 1: Observable inputs such as quoted prices (unadjusted) in active markets for identical assets or liabilities. • Level 2: Inputs other than quoted prices which are observable for the asset or liability, either directly or indirectly. These include quoted prices for similar assets or liabilities in active markets and quoted prices for identical or similar assets or liabilities in markets that are not active. • Level 3: Unobservable inputs that reflect the reporting entity’s own assumptions. The Company uses the exchange price notion, which is the price in an orderly transaction between market participants to sell an asset or transfer a liability in the market in which the reporting entity would transact for the asset or liability, that is, the principal or most advantageous market for the asset or liability. The transaction to sell the asset or transfer the liability is a hypothetical transaction at the measurement date, considered from the perspective of a market participant that holds the asset or owes the liability. Therefore, the definition focuses on the price that would be received to sell the asset or paid to transfer the liability (an exit price), not the price that would be paid to acquire the asset or received to assume the liability (an entry price). The following table summarizes the Company’s assets and liabilities measured at fair value on a recurring basis as of December 31, 2017 and 2016: Quoted Prices in Active Markets for Identical Assets Significant Other Observable Inputs Significant Unobservable Inputs (Level 1) (Level 2) (Level 3) December 31, 2017 Assets Interest rate swaps, collars and caps $ — $ 7,787 $ — Total $ — $ 7,787 $ — Liabilities Interest rate swaps, collars and caps $ — $ 81 $ — Total $ — $ 81 $ — December 31, 2016 Assets Interest rate swaps, collars and caps $ — $ 4,816 $ — Total $ — $ 4,816 $ — Liabilities Interest rate swaps, collars and caps $ — $ 1,204 $ — Total $ — $ 1,204 $ — The following table summarizes the Company’s assets measured at fair value on a non-recurring basis as of December 31, 2017 and 2016: Quoted Prices in Active Markets Identical Assets Significant Other Observable Inputs Significant Unobservable Inputs Years Ended December 31, 2017 and 2016 (Level 1) (Level 2) (Level 3) Total Impairments December 31, 2017 Assets Containers held for sale (1) $ — $ 8,984 $ — $ 15,475 Total $ — $ 8,984 $ — $ 15,475 December 31, 2016 Assets Containers held for sale (1) $ — $ 19,230 $ — $ 66,455 Total $ — $ 19,230 $ — $ 66,455 (1) Represents the carrying value of containers included in containers held for sale in the consolidated balance sheets that have been impaired to write down the value of the containers to their estimated fair value less cost to sell. (2) Included in container impairment in the accompanying consolidated statements of comprehensive income (loss). The Company measures the fair value of its $1,284,243 notional amount of interest rate swaps, collars and caps using observable (Level 2) market inputs. The valuation also reflects the credit standing of the Company and the counterparties to the interest rate swaps, collars and caps. The valuation technique utilized by the Company to calculate the fair value of the interest rate swaps, collars and caps is the income approach. This approach represents the present value of future cash flows based upon current market expectations. The Company’s interest rate swap, collar and cap agreements had net fair value asset and liability of $7,787 and $81, respectively, as of December 31, 2017 and a fair value asset and liability of $4,816 and $1,204, respectively, as of December 31, 2016. The credit valuation adjustment was determined to be $31 and $87 (both of which were additions to the net liabilities) as of December 31, 2017 and 2016, respectively. The change in fair value during 2017, 2016 and 2015 of $4,094, $6,210 and $(1,947), respectively, was recorded in the consolidated statements of comprehensive income (loss) as unrealized gains (losses) on interest rate swaps, collars and caps, net. When the Company is required to write down the cost basis of its containers held for sale to fair value less cost to sell, the Company measures the fair value of its containers held for sale under a Level 2 input. At December 31, 2017 and 2016, the carrying value of 7,325 and 26,600 containers held for sale have been impaired in $8,984 and $19,230 were net of impairment charges of $4,362 and $15,332, respectively. The Company relies on its recent sales prices for identical or similar assets in markets, by geography, that are active. The Company records impairments to write down the value of containers held for sale to their estimated fair value less cost to sell. Subsequent additions or reductions to the fair values of these written down assets are recorded as adjustments to the carrying value of the equipment held for sale. Any subsequent increase in fair value less costs to sell are recognized as reversal to container impairment but not in excess of the cumulative loss previously recognized. The Company calculates the fair value of financial instruments and includes this additional information in the notes to the consolidated financial statements when the fair value is different from the book value of those financial instruments. The Company’s financial instruments include cash and cash equivalents, restricted cash, accounts receivable and payable, net investment in direct financing and sales-type leases, due from affiliates, net, container contracts payable, due to owners, net, debt and interest rate swaps, collars and caps. At December 31, 2017 and 2016, the fair value of the Company’s financial instruments approximated the related book value of such instruments except that, the fair value of net investment in direct financing and sales-type leases (including the short-term balance) was approximately $183,305 and $235,769 at December 31, 2017 and 2016, respectively, compared to book values of $182,624 and $237,234 at December 31, 2017 and 2016, respectively. The fair value of long-term debt (including current maturities) based on the borrowing rates available to the Company was approximately $2,995,190 and $2,991,396 at December 31, 2017 and 2016, respectively, compared to book values of $2,990,308 and $3,038,297 at December 31, 2017 and 2016, respectively. |
Recently Issued Accounting Standards | (t) Recently Issued Accounting Standards and Pronouncements In March 2016, the FASB issued Accounting Standards Update No. 2016-09, Compensation – Stock Compensation (Topic 718) In August 2016, the FASB issued Accounting Standards Update No. 2016-15, Statement of Cash Flows (Topic 230): Classification of Certain Cash Receipts and Cash Payments In May 2014, the FASB issued Accounting Standards Update No. 2014-09, Revenue from Contracts with Customers (Topic 606) The Company will adopt the new revenue standards on the effective date of January 1, 2018 using the modified retrospective method of adoption for the first quarter of 2018. The Company does not expect the adoption of ASU 2014-09 to have an impact on the timing of revenue recognition or on its consolidated financial statements. Upon adoption of ASU 2014-09, the revenue recognition for our sales of equipment portfolios, dispositions of used equipment and management service agreements will remain materially consistent with our current practice. The Company will continue to recognize revenue for our equipment sales at a “point in time” following the transfer of control to the customer, which typically occurs upon delivery of containers to the customers. The Company will continue to recognize revenue for our management service agreements “over time” as services are provided to the customers. In addition, ASU 2014-09 requires expanded disclosures of the nature, amount, timing and uncertainty of revenue and cash flows arising from contracts with customers. In February 2016, the FASB issued Accounting Standards Update No. 2016-02, Leases (Topic 842) (i) Right-of-use (“ROU”) asset , which is an asset that represents the lessee’s right to use, or control the use of, a specified asset for the lease term; and (ii) Lease liability , which is a lessee’s obligation to make lease payments arising from a lease, measured on a discounted basis. ASU 2016-02 is effective for fiscal years beginning after December 15, 2018, with early application permitted. ASU 2016-02 requires the use of the modified retrospective method for all periods presented, with certain practical expedients available. The Company plans to adopt ASU 2016-02 effective January 1, 2019 and is continuing to analyze and evaluate the potential impact on its current accounting practices, consolidated financial statements and related disclosures. The Company expects the adoption of ASU 2016-02 will not have a material impact on our consolidated balance sheets, consolidated income statements and consolidated cash flow statements. The accounting for capital leases will remain substantially unchanged upon adoption of ASU 2016-02. The Company expects to complete its assessment of the impact of ASU 2016-02 in fiscal year 2018. In June 2016, the FASB issued Accounting Standards Update No. 2016-13, Financial Instruments – Credit Losses (Topic 326) |
Nature of Business and Summar28
Nature of Business and Summary of Significant Accounting Policies (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Accounting Policies [Abstract] | |
Schedule of Reconciliation of Cash, Cash Equivalents and Restricted Cash Reported within Consolidated Balance Sheet | The following table provides a reconciliation of cash, cash equivalents, and restricted cash reported within the consolidated balance sheets that sum to the total of the same such amounts shown in the consolidated statements of cash flows: 2017 2016 2015 Cash and cash equivalents $ 137,894 $ 84,045 $ 115,594 Restricted cash included in long-term assets 99,675 58,078 33,917 Cash at end of period $ 237,569 $ 142,123 $ 149,511 |
Future Minimum Lease Payments Receivable Under Long-Term Leases | The following is a schedule, by year, of future minimum lease payments receivable under the long-term leases as of December 31, 2017: Year ending December 31: 2018 $ 263,425 2019 189,130 2020 131,427 2021 91,685 2022 and thereafter 120,345 Total future minimum lease payments receivable $ 796,012 |
Schedule of Cost, Accumulated Depreciation and Net Book Value of the Company's Leasing Equipment by Equipment Type | The cost, accumulated depreciation and net book value of the Company’s leasing equipment by equipment type as of December 31, 2017 and 2016 were as follows: 2017 2016 (1) Cost Accumulated Depreciation Net Book Value Cost Accumulated Depreciation Net Book Value Dry containers other than open top and flat rack containers: 20' $ 1,497,557 $ (347,910 ) $ 1,149,647 $ 1,399,878 $ (304,652 ) $ 1,095,226 40' 223,916 (75,610 ) 148,306 253,226 (76,344 ) 176,882 40' high cube 2,043,253 (476,238 ) 1,567,015 1,861,221 (405,503 ) 1,455,718 45' high cube dry van 29,010 (8,494 ) 20,516 29,823 (6,957 ) 22,866 Refrigerated containers: 20' 24,062 (5,394 ) 18,668 24,420 (3,830 ) 20,590 20' high cube 5,139 (2,327 ) 2,812 5,149 (1,948 ) 3,201 40' high cube 1,002,843 (229,465 ) 773,378 1,004,532 (169,383 ) 835,149 Open top and flat rack containers: 20' folding flat 16,595 (3,525 ) 13,070 16,712 (2,942 ) 13,770 40' folding flat 43,334 (14,394 ) 28,940 43,620 (12,634 ) 30,986 20' open top 10,837 (1,237 ) 9,600 11,048 (1,069 ) 9,979 40' open top 26,690 (4,469 ) 22,221 27,115 (3,778 ) 23,337 Tank containers 40,729 (3,292 ) 37,437 31,582 (1,744 ) 29,838 $ 4,963,965 $ (1,172,355 ) $ 3,791,610 $ 4,708,326 $ (990,784 ) $ 3,717,542 (1) Certain amounts as of December 31, 2016 have been restated for immaterial corrections of identified errors related to the calculation of the gain on sale of containers, net (see Note 2 “Immaterial Correction of Errors in Prior Periods”). |
Net Gains on Sales of Containers | During the years ended December 31, 2017, 2016 and 2015, the Company recorded the following net gain on sales of containers, included in gain on sale of containers, net in the consolidated statements of comprehensive (loss) income: 2017 2016 (1) 2015 Units Amount Units Amount Units Amount Gain on sale of previously written down containers, net 56,862 $ 18,662 118,071 $ 9,151 65,786 $ 2,336 Gain (loss) on sale of containers not written down, net 55,505 7,548 20,319 (2,390 ) 45,777 1,118 Gain on sale of containers, net 112,367 $ 26,210 138,390 $ 6,761 111,563 $ 3,454 (1) Certain amounts as of December 31, 2016 have been restated for immaterial corrections of identified errors related to the calculation of the gain on sale of containers, net (see Note 2 “Immaterial Correction of Errors in Prior Periods”). |
Schedule of Concentration Risk of Lease Rental Income | Company’s lease rental income during the years ended December 31, 2017, 2016 and 2015: 2017 2016 (1) 2015 Mediterranean Shipping Company S.A. 14.4 % 12.0 % 10.4 % CMA-CGM S.A. 13.6 % 14.0 % 11.0 % (1) Certain amounts as of December 31, 2016 have been restated for immaterial corrections of identified errors relating to properly account for lease concessions (see Note 2 “Immaterial Correction of Errors in Prior Periods”). |
Schedule of Concentration Risk of Lease Rental Income and Lease Billings | Except for the customers noted in the table below, no other customer that individually accounted for over 10% of the lease billings of the Company’s total fleet in 2017, 2016 and 2015: 2017 2016 2015 Mediterranean Shipping Company S.A. 15.1 % 13.6 % 11.9 % CMA-CGM S.A. 14.4 % 15.4 % 12.2 % |
Customers in Countries Outside of U.S. Made up Greater Than 10% of Total Fleet Container Lease Billings | Except for the countries outside of the U.S. noted in the table below, customers in no other single country made up greater than 10% of the Company’s total fleet container lease rental income during 2017, 2016 and 2015. Country 2017 2016 2015 Switzerland 15.1 % 13.4 % 11.5 % France 14.4 % 15.3 % 12.2 % People's Republic of China 14.4 % 14.1 % 15.9 % Taiwan 13.9 % 12.2 % 11.1 % Singapore 10.9 % 8.7 % 11.0 % Korea 6.8 % 9.9 % 11.6 % |
Reconciliation of Numerator and Denominator of Basic Earnings Per Share ("EPS") With That of Diluted EPS | A reconciliation of the numerator and denominator of basic EPS with that of diluted EPS during 2017, 2016 and 2015 is presented as follows: Share amounts in thousands 2017 2016 (1) 2015 Numerator: Net income (loss) attributable to Textainer Group Holdings Limited common shareholders $ 19,365 $ (52,483 ) $ 108,408 Denominator: Weighted average common shares outstanding-- basic 56,845 56,608 56,953 Dilutive share options and restricted share units 314 — 140 Weighted average common shares outstanding-- diluted 57,159 56,608 57,093 Net income (loss) attributable to Textainer Group Holdings Limited common shareholders per common share Basic $ 0.34 $ (0.93 ) $ 1.90 Diluted $ 0.34 $ (0.93 ) $ 1.90 Anti-dilutive share options and restricted share units, excluded from the computation of diluted EPS because they were anti-dilutive 1,164 1,361 1,158 |
Summary of Assets and Liabilities Measured at Fair Value on Recurring Basis | The following table summarizes the Company’s assets and liabilities measured at fair value on a recurring basis as of December 31, 2017 and 2016: Quoted Prices in Active Markets for Identical Assets Significant Other Observable Inputs Significant Unobservable Inputs (Level 1) (Level 2) (Level 3) December 31, 2017 Assets Interest rate swaps, collars and caps $ — $ 7,787 $ — Total $ — $ 7,787 $ — Liabilities Interest rate swaps, collars and caps $ — $ 81 $ — Total $ — $ 81 $ — December 31, 2016 Assets Interest rate swaps, collars and caps $ — $ 4,816 $ — Total $ — $ 4,816 $ — Liabilities Interest rate swaps, collars and caps $ — $ 1,204 $ — Total $ — $ 1,204 $ — |
Summary of Assets Measured at Fair Value on Non-Recurring Basis | The following table summarizes the Company’s assets measured at fair value on a non-recurring basis as of December 31, 2017 and 2016: Quoted Prices in Active Markets Identical Assets Significant Other Observable Inputs Significant Unobservable Inputs Years Ended December 31, 2017 and 2016 (Level 1) (Level 2) (Level 3) Total Impairments December 31, 2017 Assets Containers held for sale (1) $ — $ 8,984 $ — $ 15,475 Total $ — $ 8,984 $ — $ 15,475 December 31, 2016 Assets Containers held for sale (1) $ — $ 19,230 $ — $ 66,455 Total $ — $ 19,230 $ — $ 66,455 |
Insurance Receivable and Impa29
Insurance Receivable and Impairment (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Bankrupt Customer | |
Schedule of Insurance Receivable on Fleet | Insurance receivable recorded on the Company’s owned fleet related to this bankrupt customer are as follows: Estimated unrecoverable containers, net of insurance deductible $ 20,162 Recovery costs 19,159 Accounts receivable coverage by insurance 2,592 Insurance receivable associated with this bankruptcy customer as of December 31, 2016 41,913 Recovery costs 32,067 Insurance proceeds received (50,479 ) Reassessment associated with estimate of unrecoverable containers to actual amount of loss commensurate with the insurance claim filing (7,592 ) Insurance receivable to this bankruptcy customer as of December 31, 2017 $ 15,909 |
Insolvency Customer | |
Schedule of Insurance Receivable on Fleet | Insurance receivable recorded on the Company’s owned fleet related to this insolvency customer are as follows: Insurance receivable associated with this insolvency customer as of December 31, 2015 $ 11,436 Recovery costs 768 Lost lease rental income 239 Wrote off of remaining balance of insurance receivable per final insurance proceeds received (1,321 ) Insurance proceeds received (8,250 ) Insurance receivable associated with this insolvency customer as of December 31, 2016 2,872 Allocation adjustment on insurance receivable per final insurance proceeds received 720 Final insurance proceeds received (3,592 ) Insurance receivable to this insolvency customer as of December 31, 2017 $ - |
Container Purchases (Tables)
Container Purchases (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Property Plant And Equipment [Abstract] | |
Component of Containers and Fixed Assets, Net | The total purchase price, which was allocated based on the fair value of the assets and liabilities acquired, was recorded as follows and there were no intangible assets recognized related to the leases: Containers, net $ 18,453 Other net assets 1,440 $ 19,893 |
Purchase-leaseback Transactio31
Purchase-leaseback Transactions (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Purchase Leaseback Transactions [Abstract] | |
Schedule Of Purchase Price Allocation Of Containers | The containers were recorded at fair value and the difference between the purchase price and the fair value of the containers was recorded as prepaid expenses and other current assets, resulting in the following purchase price allocation: Containers, net $ 14,015 Prepaid expenses and other current assets 7,136 Purchase price $ 21,151 |
Transactions with Affiliates 32
Transactions with Affiliates and Owners (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Related Party Transactions [Abstract] | |
Management Fees, Including Acquisition Fees and Sales Commissions | Management fees, including acquisition fees and sales commissions during 2017, 2016 and 2015 were as follows: 2017 2016 2015 Fees from affiliated Owner $ 2,994 $ 2,994 $ 3,542 Fees from unaffiliated Owners 10,073 8,556 10,252 Fees from Owners 13,067 11,550 13,794 Other fees 1,927 1,870 1,816 Total management fees $ 14,994 $ 13,420 $ 15,610 |
Due to Owners, Net | Due to owners, net at December 31, 2017 and 2016 consisted of the following: 2017 2016 Affiliated Owner $ 1,409 $ 5,167 Unaffiliated Owners 9,722 12,965 Total due to Owners, net $ 11,131 $ 18,132 |
Direct Financing and Sales-ty33
Direct Financing and Sales-type Leases (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Leases [Abstract] | |
Components of Net Investment in Direct Financing and Sales-Type Leases Reported in Container Ownership Segment | The components of the net investment in direct financing and sales-type leases, which are reported in the Company’s Container Ownership segment as of December 31, 2017 and 2016 were as follows: 2017 2016 Future minimum lease payments receivable $ 204,451 $ 269,256 Residual value of containers 4,885 — Less unearned income (26,712 ) (32,022 ) Net investment in direct financing and sales-type leases $ 182,624 $ 237,234 Amounts due within one year $ 56,959 $ 64,951 Amounts due beyond one year 125,665 172,283 Net investment in direct financing and sales-type leases $ 182,624 $ 237,234 |
Net Investment in Direct Finance Leases and Sales-Type Leases | If the aging of current billings for the Company’s direct financing and sales-type leases included in accounts receivable, net were applied to the related balances of the unbilled future minimum lease payments receivable component of the Company’s net investment in direct finance leases and sales-type leases as of December 31, 2017, the aging would be as follows: 1-30 days past due $ 2,838 31-60 days past due 21 61-90 days past due 2,786 Greater than 90 days past due 31,682 Total past due 37,327 Current 167,124 Total future minimum lease payments $ 204,451 |
Changes in the Carrying Amount of the Allowance for Doubtful Accounts | The changes in the carrying amount of the allowance for doubtful accounts related to billed amounts under direct financing and sales-type leases and included in accounts receivable, net, during the years ended December 31, 2017 and 2016 are as follows: Balance as of December 31, 2015 $ 3,883 Additions charged to expense 9,140 Write-offs (3,462 ) Balance as of December 31, 2016 9,561 Additions charged to expense 525 Write-offs (9,839 ) Balance as of December 31, 2017 $ 247 |
Future Minimum Lease Payments Receivable Under Direct Financing and Sales-type Leases | The following is a schedule by year of future minimum lease payments receivable under these direct financing and sales-type leases as of December 31, 2017: Year ending December 31: 2018 $ 66,703 2019 48,192 2020 29,553 2021 34,862 2022 and thereafter 25,141 Total future minimum lease payments receivable $ 204,451 |
Containers and Fixed Assets (Ta
Containers and Fixed Assets (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Component of Containers and Fixed Assets, Net | The total purchase price, which was allocated based on the fair value of the assets and liabilities acquired, was recorded as follows and there were no intangible assets recognized related to the leases: Containers, net $ 18,453 Other net assets 1,440 $ 19,893 |
Containers | |
Component of Containers and Fixed Assets, Net | Containers, net at December 31, 2017 and 2016 consisted of the following: 2017 2016 (1) Containers $ 4,963,965 $ 4,708,326 Less accumulated depreciation (1,172,355 ) (990,784 ) Containers, net $ 3,791,610 $ 3,717,542 (1) Amount as of December 31, 2016 has been restated for immaterial corrections of identified errors related to the calculation of gain on sale of containers, net (see Note 2 “Immaterial Correction of Errors in Prior Periods”). |
Fixed Assets | |
Component of Containers and Fixed Assets, Net | Fixed assets, net at December 31, 2017 and 2016 consisted of the following: 2017 2016 Computer equipment and software $ 9,563 $ 8,898 Office furniture and equipment 1,428 1,408 Automobiles 36 34 Leasehold improvements 1,912 1,789 12,939 12,129 Less accumulated depreciation (10,788 ) (10,136 ) Fixed assets, net $ 2,151 $ 1,993 |
Intangible Assets (Tables)
Intangible Assets (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Goodwill And Intangible Assets Disclosure [Abstract] | |
Changes in Carrying Amount of Intangible Assets | The changes in the carrying amount of intangible assets during the years ended December 31, 2017, 2016 and 2015 are as follows: Balance as of December 31, 2014 $ 24,991 Amortization expense (4,741 ) Balance as of December 31, 2015 20,250 Amortization expense (5,053 ) Balance as of December 31, 2016 15,197 Amortization expense (3,922 ) Write-off from the relinquishment of management rights (170 ) Balance as of December 31, 2017 $ 11,105 |
Schedule of Future Amortization of Intangible Assets | The following is a schedule, by year, of future amortization of intangible assets as of December 31, 2017: Year ending December 31: 2018 $ 4,207 2019 4,156 2020 2,742 Total future amortization of intangible assets $ 11,105 |
Accrued Expenses (Tables)
Accrued Expenses (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Payables And Accruals [Abstract] | |
Accrued Expenses | Accrued expenses at December 31, 2017 and 2016 consisted of the following: 2017 2016 Accrued compensation $ 5,025 $ 3,049 Direct container expense 4,521 2,014 Interest payable 3,157 3,402 Other 662 1,256 Total accrued expenses $ 13,365 $ 9,721 |
Income Taxes (Tables)
Income Taxes (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Income Tax Disclosure [Abstract] | |
Component of Income Tax Expense (Benefit) | The Company estimates its tax liability based upon its understanding of the tax laws of the various countries in which it operates. Income tax expense (benefit) for 2017, 2016 and 2015 consisted of the following: 2017 2016 2015 Current Bermuda $ — $ — $ — Foreign 2,142 930 3,648 2,142 930 3,648 Deferred Bermuda — — — Foreign (524 ) (4,377 ) 3,047 (524 ) (4,377 ) 3,047 $ 1,618 $ (3,447 ) $ 6,695 |
Components of Income (Loss) Before Income Taxes and Noncontrolling Interest | The components of income (loss) before income taxes and noncontrolling interest were as follows: 2017 2016 (1) 2015 Bermuda sources $ — $ — $ — Foreign sources 22,360 (61,323 ) 120,679 $ 22,360 $ (61,323 ) $ 120,679 |
Reconciliation of Differences between Bermuda Statutory Income Tax Rate and Effective Tax Rate | A reconciliation of the differences between the Bermuda statutory income tax rate and the effective tax rate as provided in the consolidated statements of comprehensive (loss) income is as follows: 2017 2016 (1) 2015 Bermuda tax rate $ — 0.00 % $ — 0.00 % $ — 0.00 % Foreign tax rate 1,297 (5.80 )% 5,339 8.80 % (4,343 ) 3.60 % Tax uncertainties (2,915 ) 13.04 % (1,892 ) (3.18 )% (2,352 ) 1.95 % $ (1,618 ) 7.24 % $ 3,447 5.62 % $ (6,695 ) 5.55 % |
Significant Portions of Deferred Tax Assets and Deferred Tax Liabilities | The tax effects of temporary differences that give rise to significant portions of the deferred tax assets and deferred tax liabilities at December 31, 2017 and 2016 are presented below: 2017 2016 Deferred tax assets Net operating loss carryforwards $ 19,209 $ 26,605 Other 1,557 1,811 20,766 28,416 Valuation allowance (net operating loss) (1,138 ) (678 ) Deferred tax assets 19,628 27,738 Deferred tax liabilities Containers, net 23,275 31,778 Other 671 812 Deferred tax liabilities 23,946 32,590 Net deferred tax liabilities $ 4,318 $ 4,852 |
Reconciliation of Beginning and Ending Unrecognized Tax Benefit Amount | A reconciliation of the beginning and ending unrecognized tax benefit amounts for 2017 and 2016 are as follows: Balance at December 31, 2015 $ 12,065 Increases related to prior year tax positions — Decreases related to prior year tax positions (204 ) Increases related to current year tax positions 2,378 Lapse of statute of limitations (908 ) Balance at December 31, 2016 13,331 Increases related to prior year tax positions 100 Decreases related to prior year tax positions (12 ) Increases related to current year tax positions 3,642 Lapse of statute of limitations (911 ) Balance at December 31, 2017 $ 16,150 |
Secured Debt Facilities, Cred38
Secured Debt Facilities, Credit Facilities, Term Loan and Bonds Payable, and Derivative Instruments (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Debt Disclosure [Abstract] | |
Debt Obligation | The following represents the Company’s debt obligations as of December 31, 2017 and 2016: Secured Debt Facilities, Credit Facilities, Term Loan and Bonds Payable 2017 2016 Outstanding Average Interest Outstanding Average Interest Final Maturity TMCL II Secured Debt Facility (1) $ 659,714 3.38 % $ 951,923 2.40 % August 2024 TMCL IV Secured Debt Facility (1) (2) 132,885 4.00 % 140,202 2.69 % February 2020 TL Revolving Credit Facility 568,403 3.56 % 671,060 2.50 % June 2020 TL Revolving Credit Facility II 150,906 3.55 % 174,005 2.44 % July 2020 TW Credit Facility 97,148 3.38 % 122,723 2.63 % September 2026 TAP Funding Revolving Credit Facility 163,276 3.43 % 149,230 2.45 % December 2021 TL Term Loan 352,555 3.69 % 394,732 2.59 % April 2019 2013-1 Bonds — — 200,595 3.90 % September 2038 2014-1 Bonds — — 233,827 3.27 % October 2039 2017-1 Bonds 390,013 3.91 % — — May 2042 2017-2 Bonds 475,408 3.73 % — — June 2042 Total debt obligations $ 2,990,308 $ 3,038,297 Amount due within one year $ 233,681 $ 205,081 Amounts due beyond one year $ 2,756,627 $ 2,833,216 |
Future Scheduled Repayments | The following is a schedule of future scheduled repayments, by year, and borrowing capacities, as of December 31, 2017: Twelve months ending December 31, Available borrowing, as limited by the Current and 2018 2019 2020 2021 2022 and thereafter Total Borrowing Borrowing Base Available Borrowing TMCL II Secured Debt (1) Facility $ — $ — $ 22,136 $ 66,475 $ 576,140 $ 664,751 $ 58,648 $ 723,399 TMCL IV Secured Debt (1) (2) Facility 48,000 48,000 37,000 — — 133,000 26,127 159,127 TL Revolving Credit Facility — — 574,000 — — 574,000 70,956 644,956 TL Revolving Credit Facility II 36,000 36,000 80,000 — — 152,000 4,110 156,110 TW Credit Facility 26,793 21,854 25,654 17,009 5,838 97,148 — 97,148 TAP Funding Revolving Credit Facility 9,600 9,600 9,600 135,900 — 164,700 — 164,700 TL Term Loan 39,600 314,400 — — — 354,000 — 354,000 2017-1 Bonds 37,065 38,331 39,357 52,173 227,349 394,275 — 394,275 2017-2 Bonds (3) 40,627 40,968 43,958 55,259 299,730 480,542 — 480,542 Total (4) $ 237,685 $ 509,153 $ 831,705 $ 326,816 $ 1,109,057 $ 3,014,416 $ 159,841 $ 3,174,257 (1) Future scheduled payments for TMCL II and TMCL IV Secured Debt Facility are based on the assumptions that both facilities will not be extended on their associated conversion dates. (2) On January 31, 2018, the TMCL IV Secured Debt Facility was termination and the unpaid debt amount was fully repaid by proceeds primarily from the TL Revolving Credit Facility (3) Future scheduled payments for 2017-2 Bonds exclude an unamortized discount of $75. (4) Future scheduled payments for all debts exclude prepaid debt issuance costs in an aggregate amount of $24,034. |
Summary of Derivative Instruments | The following is a summary of the Company’s derivative instruments as of December 31, 2017: Notional Derivative instruments amount Interest rate swap contracts with several banks, with fixed rates between 0.60% and 1.98% per annum, amortizing notional amounts, with termination dates through July 15, 2023 $ 1,067,530 Interest rate collar contracts with a bank which cap rates between 1.26% and 2.18% per annum, and sets floors for rates between 0.76% and 1.68% per annum, amortizing notional amount, with termination dates through June 15, 2023 78,713 Interest rate cap contracts with several banks with fixed rates between 3.70% and 4.49% per annum, nonamortizing notional amounts, with termination dates through December 15, 2019 138,000 Total notional amount as of December 31, 2017 $ 1,284,243 |
Segment Information (Tables)
Segment Information (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Segment Reporting [Abstract] | |
Segment Information Reconciled to Income before Tax and Noncontrolling Interest | The following tables show segment information for 2017, 2016 and 2015, reconciled to the Company’s income before income tax and noncontrolling interests as shown in its consolidated statements of comprehensive income: Container Container Container 2017 Ownership Management Resale Other Eliminations Totals Lease rental income $ 442,219 $ 2,669 $ — $ — $ — $ 444,888 Management fees from external customers 266 9,953 4,775 — — 14,994 Inter-segment management fees — 39,529 9,477 — (49,006 ) — Trading container sales proceeds — — 4,758 — — 4,758 Gain on sale of containers, net 26,210 — — — — 26,210 Total revenue $ 468,695 $ 52,151 $ 19,010 $ — $ (49,006 ) $ 490,850 Depreciation expense $ 236,577 $ 776 $ — $ — $ (6,310 ) $ 231,043 Container impairment $ 8,072 $ — $ — $ — $ — $ 8,072 Interest expense $ 117,475 $ — $ — $ — $ — $ 117,475 Write-off of unamortized deferred debt issuance costs and bond discounts $ 7,550 $ — $ — $ — $ — $ 7,550 Unrealized gains on interest rate swaps, collars and caps, net $ 4,094 $ — $ — $ — $ — $ 4,094 Segment (loss) income before income tax and noncontrolling interests $ (1,707 ) $ 15,376 $ 10,854 $ (3,568 ) $ 1,405 $ 22,360 Total assets $ 4,316,272 $ 139,989 $ 10,873 $ 6,859 $ (93,651 ) $ 4,380,342 Purchases of long-lived assets $ 418,288 $ 934 $ — $ — $ — $ 419,222 Container Container Container 2016 (1) Ownership Management Resale Other Eliminations Totals Lease rental income $ 458,246 $ 2,181 $ — $ — $ — $ 460,427 Management fees from external customers 291 10,076 3,053 — — 13,420 Inter-segment management fees — 38,080 8,493 — (46,573 ) — Trading container sales proceeds — — 15,628 — — 15,628 Gain on sale of containers, net 6,761 — — — — 6,761 Total revenue $ 465,298 $ 50,337 $ 27,174 $ — $ (46,573 ) $ 496,236 Depreciation expense $ 241,498 $ 876 $ — $ — $ (6,230 ) $ 236,144 Container impairment $ 94,623 $ — $ — $ — $ — $ 94,623 Interest expense $ 85,215 $ — $ — $ — $ — $ 85,215 Unrealized gains on interest rate swaps, collars and caps, net $ 6,210 $ — $ — $ — $ — $ 6,210 Segment (loss) income before income tax and noncontrolling interests $ (84,252 ) $ 18,134 $ 6,178 $ (3,016 ) $ 1,633 $ (61,323 ) Total assets $ 4,261,296 $ 89,905 $ 6,010 $ 4,900 $ (68,085 ) $ 4,294,026 Purchases of long-lived assets $ 474,956 $ 1,206 $ — $ — $ — $ 476,162 Container Container Container 2015 Ownership Management Resale Other Eliminations Totals Lease rental income $ 510,954 $ 1,590 $ — $ — $ — $ 512,544 Management fees from external customers 317 12,002 3,291 — — 15,610 Inter-segment management fees — 45,620 10,104 — (55,724 ) — Trading container sales proceeds — — 12,670 — — 12,670 Gain on sale of containers, net 3,454 — — — — 3,454 Total revenue $ 514,725 $ 59,212 $ 26,065 $ — $ (55,724 ) $ 544,278 Depreciation expense $ 197,084 $ 792 $ — $ — $ (5,946 ) $ 191,930 Container impairment $ 35,345 $ — $ — $ — $ — $ 35,345 Interest expense $ 76,063 $ — $ — $ — $ — $ 76,063 Write-off of unamortized deferred debt issuance costs $ 458 $ — $ — $ — $ — $ 458 Unrealized losses on interest rate swaps, collars and caps, net $ 1,947 $ — $ — $ — $ — $ 1,947 Segment income (loss) before income tax and noncontrolling interests $ 88,536 $ 26,305 $ 9,335 $ (4,283 ) $ 786 $ 120,679 Total assets $ 4,348,196 $ 117,033 $ 5,210 $ 7,251 $ (112,378 ) $ 4,365,312 Purchases of long-lived assets $ 510,269 $ 1,070 $ — $ — $ — $ 511,339 (1) Amounts for the years ended December 31, 2016 have been restated for immaterial corrections of identified errors pertaining to the calculation of the gains on sale of containers, net and to properly account for lease concessions (see Note 2 “Immaterial Correction of Errors in Prior Periods”). |
Segment Information Geographic Allocation of Lease Rental Income and Management Fees | The following table represents the geographic allocation of lease rental income and management fees during the years ended December 31, 2017, 2016 and 2015 based on customers’ primary domicile: Years ended December 31, 2017 Percent of Total 2016 (1) Percent of Total 2015 Percent of Total Lease rental income: Asia $ 231,928 52.1 % $ 256,489 55.7 % $ 301,209 58.7 % Europe 182,291 41.0 % 176,164 38.2 % 183,785 35.9 % North / South America 26,329 5.9 % 21,929 4.8 % 15,957 3.1 % All other international 4,340 1.0 % 5,845 1.3 % 11,593 2.3 % Bermuda — 0.0 % — 0.0 % — 0.0 % $ 444,888 100.0 % $ 460,427 100.0 % $ 512,544 100.0 % Management fees: Bermuda $ 9,074 60.5 % $ 8,668 64.6 % $ 10,201 65.3 % Europe 3,729 24.9 % 2,541 18.9 % 3,190 20.4 % North / South America 1,948 13.0 % 1,915 14.3 % 1,819 11.7 % Asia 28 0.2 % 41 0.3 % 48 0.3 % All other international 215 1.4 % 255 1.9 % 352 2.3 % $ 14,994 100.0 % $ 13,420 100.0 % $ 15,610 100.0 % (1) Amounts for the year ended December 31, 2016 have been restated for immaterial corrections of identified errors pertaining to properly account for lease concessions (see Note 2 “Immaterial Correction of Errors in Prior Periods”). |
Segment Information Geographic Allocation of Trading Container Sales Proceeds and Gains on Sale of Containers Net | The following table represents the geographic allocation of trading container sales proceeds and gains on sale of containers, net during the years ended December 31, 2017, 2016 and 2015 based on the location of sale: Years ended December 31, 2017 Percent of Total 2016 (1) Percent of Total 2015 Percent of Total Trading container sales proceeds: Asia $ 3,349 70.4 % $ 11,647 74.5 % $ 6,401 50.5 % North / South America 816 17.2 % 2,948 18.9 % 2,581 20.4 % Europe 593 12.5 % 1,033 6.6 % 3,688 29.1 % Bermuda — — — 0.0 % — 0.0 % $ 4,758 100.0 % $ 15,628 100.0 % $ 12,670 100.0 % Gain (loss) on sale of containers, net: Asia $ 18,321 69.9 % $ 6,015 89.0 % $ 929 26.9 % North / South America 5,002 19.1 % 1,855 27.4 % 3,022 87.5 % Europe 2,994 11.4 % 1,576 23.3 % (490 ) (14.2 )% Bermuda — 0.0 % — 0.0 % — 0.0 % All other international (107 ) (0.4 )% (2,685 ) (39.7 )% (7 ) (0.2 )% $ 26,210 100.0 % $ 6,761 100.0 % $ 3,454 100.0 % (1) Amounts for the year ended December 31, 2016 have been restated for immaterial corrections of identified errors pertaining to the calculation of gain on sale of containers, net (see Note 2 “Immaterial Correction of Errors in Prior Periods”). |
Commitments and Contingencies (
Commitments and Contingencies (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Commitments And Contingencies Disclosure [Abstract] | |
Minimum Lease Payment under Noncancelable Operating Leases | Future minimum lease payment obligations under the Company’s noncancelable operating leases at December 31, 2017 were as follows: Operating leasing Year ending December 31: 2018 $ 2,104 2019 2,156 2020 2,113 2021 2,053 2022 and thereafter 11,212 Total $ 19,638 |
Share Option and Restricted S41
Share Option and Restricted Share Unit Plans (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Disclosure Of Compensation Related Costs Sharebased Payments [Abstract] | |
Summary of Activity in the Company's 2015 Plan | The following is a summary of activity in the Company’s 2015 Plan for the years ended December 31, 2017, 2016, and 2015: Share options (common share equivalents) Weighted average exercise price Balances, December 31, 2014 961,031 $ 29.63 Options granted during the period 257,428 $ 14.20 Options exercised during the period (32,495 ) $ 11.90 Options expired during the period (6,532 ) $ 30.99 Options forfeited during the period (20,086 ) $ 33.70 Balances, December 31, 2015 1,159,346 $ 26.62 Options granted during the period 341,532 $ 9.77 Options exercised during the period — $ — Options expired during the period (38,317 ) $ 31.33 Options forfeited during the period (30,748 ) $ 29.97 Balances, December 31, 2016 1,431,813 $ 22.41 Options granted during the period 246,722 $ 22.75 Options exercised during the period (65,468 ) $ 14.67 Options expired during the period (45,638 ) $ 25.55 Options forfeited during the period (42,752 ) $ 16.04 Balances, December 31, 2017 1,524,677 $ 22.88 Options exercisable at December 31, 2017 875,083 $ 27.04 Options vested and expected to vest at December 31, 2017 1,453,930 $ 23.15 Restricted share units Weighted average grant date fair value Balances, December 31, 2014 633,218 $ 27.99 Share units granted during the period 277,336 $ 13.01 Share units vested during the period (272,945 ) $ 26.00 Share units forfeited during the period (20,086 ) $ 30.31 Balances, December 31, 2015 617,523 $ 21.70 Share units granted during the period 361,152 $ 9.81 Share units vested during the period (254,024 ) $ 24.26 Share units forfeited during the period (30,748 ) $ 25.93 Balances, December 31, 2016 693,903 $ 14.72 Share units granted during the period 289,800 $ 20.82 Share units vested during the period (244,633 ) $ 18.33 Share units forfeited during the period (46,022 ) $ 14.24 Balances, December 31, 2017 693,048 $ 16.03 Share units outstanding and expected to vest at December 31, 2017 620,950 $ 16.07 |
Summary of Information About Share Options Exercisable and Outstanding | The following table summarizes information about share options exercisable and outstanding at December 31, 2017: Share options exercisable Share options outstanding Number of shares Weighted average exercise Number of shares Weighted average exercise Range of per-share exercise prices: $7.10 10,600 $ 7.10 10,600 $ 7.10 $9.70 306,666 $ 9.70 74,735 $ 9.70 $9.75 - $12.23 13,750 $ 11.55 2,500 $ 12.23 $14.17 219,742 $ 14.17 103,843 $ 14.17 $16.97 47,410 $ 16.97 47,410 $ 16.97 $ 22.95 242,972 $ 22.95 — $ — $27.68 - $28.26 209,140 $ 28.12 208,890 $ 28.12 $28.54 - $31.34 114,715 $ 28.78 114,715 $ 28.78 $34.14 190,019 $ 34.14 142,727 $ 34.14 $38.36 169,663 $ 38.36 169,663 $ 38.36 1,524,677 $ 22.88 875,083 $ 27.04 |
Fair Value of Stock Option Granted Assumptions Used | The fair value of each share option granted under the 2015 Plan was estimated on the date of grant using the Black-Scholes option pricing model for the years ended December 31, 2017, 2016 and 2015 with the following assumptions: 2017 2016 2015 Risk-free interest rates 2.2 % 1.9 % 1.8 % Expected terms (in years) 5.4 5.2 5.2 Expected common share price volatilities 47.4 % 43.7 % 44.5 % Expected dividends 0.0 % 0.0 % 6.8 % Expected forfeitures 5.9 % 5.3 % 4.0 % |
Nature of Business and Summar42
Nature of Business and Summary of Significant Accounting Policies - Additional Information (Detail) | Apr. 01, 2017USD ($) | Dec. 20, 2012PersonVotingRight | Aug. 31, 2017USD ($) | Jun. 30, 2015USD ($) | Dec. 31, 2017USD ($)PersonPropertyLesseeCustomer | Dec. 31, 2016USD ($)PropertyLesseeCustomer | Dec. 31, 2015USD ($)LesseeCustomer | Dec. 31, 2014USD ($) | |
Description Of Business And Summary Of Significant Accounting Policies [Line Items] | |||||||||
Restricted cash balances | $ 99,675,000 | $ 58,078,000 | [1] | $ 33,917,000 | |||||
Foreign currency exchange gains (losses) | 156,000 | 188,000 | 221,000 | ||||||
Decrease in depreciation expense | 7,104,000 | ||||||||
Increase in depreciation expense | 25,126,000 | ||||||||
One-time charge for containers | 4,402,000 | ||||||||
Container impairment | $ 8,072,000 | 94,623,000 | [2],[3],[4] | 35,345,000 | |||||
Minimum likelihood of tax benefits being recognized | 50.00% | ||||||||
Debt issuance cost | $ 27,702,000 | 5,969,000 | 5,853,000 | ||||||
Amortization of debt issuance costs | 13,201,000 | 9,465,000 | 7,158,000 | ||||||
Write off of unamortized debt issuance cost | $ 458,000 | 84,000 | 0 | ||||||
Direct container expenses paid in various foreign currencies | $ 15,143,000 | $ 22,642,000 | $ 12,700,000 | ||||||
Percentage of direct container expenses paid in various foreign currencies | 25.00% | 36.00% | 27.00% | ||||||
Share-based compensation expense | $ 6,083,000 | $ 6,573,000 | [4] | $ 7,743,000 | |||||
Notional amount of interest rate swaps and caps | 1,284,243,000 | ||||||||
Fair value of liability | 81,000 | 1,204,000 | |||||||
Fair value of asset | 7,787,000 | 4,816,000 | |||||||
Credit valuation adjustment | 31,000 | 87,000 | |||||||
Unrealized gains (losses) on interest rate swaps, collars and caps, net | 4,094,000 | 6,210,000 | [2],[3],[4] | (1,947,000) | |||||
Containers held for sale | 22,089,000 | 25,513,000 | [1] | ||||||
Fair value of net investment in direct financing and sales-type leases | 183,305,000 | 235,769,000 | |||||||
Net investment in direct financing and sales-type leases | 182,624,000 | 237,234,000 | |||||||
Fair value of long-term debt | 2,995,190,000 | 2,991,396,000 | |||||||
Long-term debt | 2,990,308,000 | 3,038,297,000 | |||||||
Insurance proceeds from cash flows from operating activities to cash flows from investing activities | 12,616,000 | 8,195,000 | [4] | ||||||
Fair Value, Inputs, Level 2 | |||||||||
Description Of Business And Summary Of Significant Accounting Policies [Line Items] | |||||||||
Notional amount of interest rate swaps and caps | 1,284,243,000 | ||||||||
Stock Options And Restricted Stock Units | Stock Incentive Plan 2007 | |||||||||
Description Of Business And Summary Of Significant Accounting Policies [Line Items] | |||||||||
Share-based compensation expense | $ 6,083,000 | $ 6,573,000 | $ 7,743,000 | ||||||
Lease Rental Income | Customer Concentration Risk | |||||||||
Description Of Business And Summary Of Significant Accounting Policies [Line Items] | |||||||||
Number of lessees who made greater than 10% of lease rental | Lessee | 0 | 0 | 0 | ||||||
Lease Rental Income | Customer Concentration Risk | Mediterranean Shipping Company S.A. | |||||||||
Description Of Business And Summary Of Significant Accounting Policies [Line Items] | |||||||||
Percentage of company's accounts receivable | 13.10% | 9.00% | |||||||
Percentage of lease rental income | 14.40% | 12.00% | 10.40% | ||||||
Lease Rental Income | Customer Concentration Risk | Hanjin Shipping Co. | |||||||||
Description Of Business And Summary Of Significant Accounting Policies [Line Items] | |||||||||
Percentage of company's accounts receivable | 19.90% | ||||||||
Lease Rental Income | Customer Concentration Risk | CMA-CGM S.A. | |||||||||
Description Of Business And Summary Of Significant Accounting Policies [Line Items] | |||||||||
Percentage of company's accounts receivable | 12.90% | 9.10% | |||||||
Percentage of lease rental income | 13.60% | 14.00% | 11.00% | ||||||
Accounts Receivable | Customer Concentration Risk | |||||||||
Description Of Business And Summary Of Significant Accounting Policies [Line Items] | |||||||||
Number of lessees that accounted for more than 10% of gross accounts receivable | Lessee | 0 | 0 | |||||||
Total Fleet Lease Rental Income | |||||||||
Description Of Business And Summary Of Significant Accounting Policies [Line Items] | |||||||||
Number of customers having containers on-hire | Customer | 300 | ||||||||
Number of customer accounted for over 10% of lease rental income | Customer | 0 | 0 | 0 | ||||||
Total Fleet Lease Rental Income | Non United States Customers | |||||||||
Description Of Business And Summary Of Significant Accounting Policies [Line Items] | |||||||||
Percentage of company's accounts receivable | 94.40% | 95.00% | |||||||
Percentage of company's finance lease receivable | 98.00% | 99.80% | |||||||
Total Fleet Lease Rental Income | Customer Concentration Risk | Mediterranean Shipping Company S.A. | |||||||||
Description Of Business And Summary Of Significant Accounting Policies [Line Items] | |||||||||
Percentage of lease rental income | 15.10% | 13.60% | 11.90% | ||||||
Total Fleet Lease Rental Income | Customer Concentration Risk | CMA-CGM S.A. | |||||||||
Description Of Business And Summary Of Significant Accounting Policies [Line Items] | |||||||||
Percentage of lease rental income | 14.40% | 15.40% | 12.20% | ||||||
Total Fleet Lease Rental Income | Customer Concentration Risk | Five Largest Customers | |||||||||
Description Of Business And Summary Of Significant Accounting Policies [Line Items] | |||||||||
Percentage of lease rental income | 49.50% | 48.10% | 40.30% | ||||||
Total Fleet Lease Rental Income | Customer Concentration Risk | Twenty Five Largest Container Lessees | |||||||||
Description Of Business And Summary Of Significant Accounting Policies [Line Items] | |||||||||
Percentage of lease rental income | 80.00% | 78.90% | 77.40% | ||||||
TMCL II Secured Debt Facility Amendment | |||||||||
Description Of Business And Summary Of Significant Accounting Policies [Line Items] | |||||||||
Write off of unamortized debt issuance cost | $ 238,000 | ||||||||
TMCL II Secured Debt Facility | |||||||||
Description Of Business And Summary Of Significant Accounting Policies [Line Items] | |||||||||
Write off of unamortized debt issuance cost | $ 238,000 | $ 6,516,000 | |||||||
Containers | |||||||||
Description Of Business And Summary Of Significant Accounting Policies [Line Items] | |||||||||
Container impairment | 0 | $ 0 | |||||||
Containers Held for Sale | |||||||||
Description Of Business And Summary Of Significant Accounting Policies [Line Items] | |||||||||
Container impairment | $ 4,362,000 | $ 15,332,000 | |||||||
Number of container held for sale | Property | 7,325 | 26,600 | |||||||
Containers held for sale | $ 8,984,000 | $ 19,230,000 | |||||||
Accounting Standards Update 2016-18 | |||||||||
Description Of Business And Summary Of Significant Accounting Policies [Line Items] | |||||||||
Increase (decrease) in net cash used in financing activities | $ (24,161,000) | $ 26,393,000 | |||||||
Restricted cash balances | 58,078,000 | $ 33,917,000 | $ 60,310,000 | ||||||
ASU 2016-15 | |||||||||
Description Of Business And Summary Of Significant Accounting Policies [Line Items] | |||||||||
Insurance proceeds from cash flows from operating activities to cash flows from investing activities | $ 8,195,000 | ||||||||
Minimum | |||||||||
Description Of Business And Summary Of Significant Accounting Policies [Line Items] | |||||||||
Intangible assets, contract terms | 11 years | ||||||||
Long term lease period | 3 years | ||||||||
Estimated useful lives | 3 years | ||||||||
Minimum | Operating Leases | |||||||||
Description Of Business And Summary Of Significant Accounting Policies [Line Items] | |||||||||
Contracts typical term | 3 years | ||||||||
Contracts term | 1 year | ||||||||
Minimum | Tap Funding Limited | |||||||||
Description Of Business And Summary Of Significant Accounting Policies [Line Items] | |||||||||
Percentage of owned voting interest in the entity | 50.00% | ||||||||
Maximum | |||||||||
Description Of Business And Summary Of Significant Accounting Policies [Line Items] | |||||||||
Cash and cash equivalents, original maturity period | 3 months | ||||||||
Intangible assets, contract terms | 13 years | ||||||||
Long term lease period | 5 years | ||||||||
Estimated useful lives | 7 years | ||||||||
Maximum | Operating Leases | |||||||||
Description Of Business And Summary Of Significant Accounting Policies [Line Items] | |||||||||
Contracts typical term | 5 years | ||||||||
Contracts term | 8 years | ||||||||
TL | |||||||||
Description Of Business And Summary Of Significant Accounting Policies [Line Items] | |||||||||
Ownership percentage in TW Container Leasing, Ltd. | 50.10% | 25.00% | |||||||
Number of board of directors seats | Person | 2 | 2 | |||||||
Common stock, voting rights | VotingRight | 2 | ||||||||
Percentage of capital contributions | 25.00% | ||||||||
TL | Minimum | |||||||||
Description Of Business And Summary Of Significant Accounting Policies [Line Items] | |||||||||
Number of required approvals from Company board of directors for any action by the board of directors | Person | 1 | ||||||||
Tap Funding Limited | |||||||||
Description Of Business And Summary Of Significant Accounting Policies [Line Items] | |||||||||
Ownership percentage in TW Container Leasing, Ltd. | 49.90% | ||||||||
Number of board of directors seats | Person | 1 | ||||||||
Common stock, voting rights | VotingRight | 1 | ||||||||
TW | |||||||||
Description Of Business And Summary Of Significant Accounting Policies [Line Items] | |||||||||
Net investment in direct financing and sales-type leases | $ 103,571,000 | $ 133,991,000 | |||||||
TW | Credit Facility | |||||||||
Description Of Business And Summary Of Significant Accounting Policies [Line Items] | |||||||||
Credit facility outstanding balance | $ 97,148 | ||||||||
WFC | |||||||||
Description Of Business And Summary Of Significant Accounting Policies [Line Items] | |||||||||
Ownership percentage in TW Container Leasing, Ltd. | 75.00% | ||||||||
Number of board of directors seats | Person | 6 | ||||||||
Percentage of capital contributions | 75.00% | ||||||||
[1] | Certain amounts as of December 31, 2016 have been restated for immaterial corrections of identified errors related to the calculation of gain on sale of containers, net, to properly account for lease concessions (see Note 2 "Immaterial Correction of Errors in Prior Periods") and to reclassify debt balances to conform with the 2017 presentation. | ||||||||
[2] | Amounts for the years ended December 31, 2016 have been restated for immaterial corrections of identified errors pertaining to the calculation of the gains on sale of containers, net and to properly account for lease concessions (see Note 2 “Immaterial Correction of Errors in Prior Periods”). | ||||||||
[3] | Certain amounts for the year ended December 31, 2016 have been restated for immaterial corrections of identified errors pertaining to the calculation of gain on sale of containers, net and to properly account for lease concessions (see Note 2 “Immaterial Correction of Errors in Prior Periods”). | ||||||||
[4] | Certain amounts for the years ended December 31, 2016 and 2015 have been restated for immaterial corrections of identified errors related to the calculation of gain on sale of containers, net, to properly account for lease concessions (see Note 2 "Immaterial Correction of Errors in Prior Periods"), to reclassify debt balances in order to conform with the 2017 presentation and for the adoption of Accounting Standards Update No. 2016-15, Statement of Cash Flows (Topic230): Classification of Certain Cash Receipts and Cash Payments and Accounting Standards Update No. 2016-18, Statement of Cash Flows (Topic 230): Restricted Cash. |
Schedule of Reconciliation of C
Schedule of Reconciliation of Cash, Cash Equivalents and Restricted Cash Reported Within the Consolidated Statements (Detail) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | ||
Restricted Cash And Cash Equivalents [Abstract] | ||||||
Cash and cash equivalents | $ 137,894 | $ 84,045 | [1] | $ 115,594 | ||
Restricted cash included in long-term assets | 99,675 | 58,078 | [1] | 33,917 | ||
Cash at end of period | $ 237,569 | $ 142,123 | [2] | $ 149,511 | [2] | $ 167,377 |
[1] | Certain amounts as of December 31, 2016 have been restated for immaterial corrections of identified errors related to the calculation of gain on sale of containers, net, to properly account for lease concessions (see Note 2 "Immaterial Correction of Errors in Prior Periods") and to reclassify debt balances to conform with the 2017 presentation. | |||||
[2] | Certain amounts for the years ended December 31, 2016 and 2015 have been restated for immaterial corrections of identified errors related to the calculation of gain on sale of containers, net, to properly account for lease concessions (see Note 2 "Immaterial Correction of Errors in Prior Periods"), to reclassify debt balances in order to conform with the 2017 presentation and for the adoption of Accounting Standards Update No. 2016-15, Statement of Cash Flows (Topic230): Classification of Certain Cash Receipts and Cash Payments and Accounting Standards Update No. 2016-18, Statement of Cash Flows (Topic 230): Restricted Cash. |
Future Minimum Lease Payments R
Future Minimum Lease Payments Receivable Under Long-Term Leases (Detail) $ in Thousands | Dec. 31, 2017USD ($) |
Leases [Abstract] | |
2,018 | $ 263,425 |
2,019 | 189,130 |
2,020 | 131,427 |
2,021 | 91,685 |
2022 and thereafter | 120,345 |
Total future minimum lease payments receivable | $ 796,012 |
Estimated Useful Lives and Resi
Estimated Useful Lives and Residual Value of Containers (Detail) - USD ($) $ in Thousands | 6 Months Ended | 12 Months Ended | |
Dec. 31, 2017 | Jun. 30, 2016 | Jun. 30, 2017 | |
Dry Containers Other Than Open Top And Flat Rack Containers, 20' | |||
Property, Plant and Equipment [Line Items] | |||
Estimated useful lives | 13 years | 13 years | 13 years |
Estimated residual value | $ 1,000 | $ 1,050 | $ 950 |
Dry Containers Other Than Open Top And Flat Rack Containers, 40' | |||
Property, Plant and Equipment [Line Items] | |||
Estimated useful lives | 14 years | 13 years | 14 years |
Estimated residual value | $ 1,200 | $ 1,300 | $ 1,150 |
Dry Containers Other Than Open Top And Flat Rack Containers, 40' High Cube | |||
Property, Plant and Equipment [Line Items] | |||
Estimated useful lives | 13 years | 13 years | 13 years |
Estimated residual value | $ 1,350 | $ 1,450 | $ 1,300 |
Dry Containers Other Than Open Top And Flat Rack Containers, 45' High Cube Dry Van | |||
Property, Plant and Equipment [Line Items] | |||
Estimated useful lives | 13 years | 13 years | 13 years |
Estimated residual value | $ 1,500 | $ 1,500 | $ 1,500 |
Refrigerated Containers, 20' | |||
Property, Plant and Equipment [Line Items] | |||
Estimated useful lives | 12 years | 12 years | 12 years |
Estimated residual value | $ 2,750 | $ 2,750 | $ 2,750 |
Refrigerated Containers, 20' High Cube | |||
Property, Plant and Equipment [Line Items] | |||
Estimated useful lives | 12 years | 12 years | 12 years |
Estimated residual value | $ 2,049 | $ 2,049 | $ 2,049 |
Refrigerated Containers, 40' High Cube | |||
Property, Plant and Equipment [Line Items] | |||
Estimated useful lives | 12 years | 12 years | 12 years |
Estimated residual value | $ 4,500 | $ 4,500 | $ 4,500 |
Open Top and Flat Rack Containers, 20' Folding Flat Rack | |||
Property, Plant and Equipment [Line Items] | |||
Estimated useful lives | 15 years | 14 years | 15 years |
Estimated residual value | $ 1,300 | $ 1,300 | $ 1,300 |
Open Top And Flat Rack Containers, 40' Folding Flat Rack | |||
Property, Plant and Equipment [Line Items] | |||
Estimated useful lives | 16 years | 14 years | 16 years |
Estimated residual value | $ 1,700 | $ 2,000 | $ 1,700 |
Open Top And Flat Rack Containers, 20' Open Top | |||
Property, Plant and Equipment [Line Items] | |||
Estimated useful lives | 15 years | 14 years | 12 years |
Estimated residual value | $ 1,500 | $ 1,500 | $ 1,500 |
Open Top And Flat Rack Containers, 40' Open Top | |||
Property, Plant and Equipment [Line Items] | |||
Estimated useful lives | 14 years | 14 years | 14 years |
Estimated residual value | $ 2,500 | $ 2,500 | $ 2,500 |
Tank containers | |||
Property, Plant and Equipment [Line Items] | |||
Estimated useful lives | 20 years | 20 years | 20 years |
Estimated residential value, percentage of cost | 10.00% | 10.00% |
Schedule of Cost, Accumulated D
Schedule of Cost, Accumulated Depreciation and Net Book Value of the Company's Leasing Equipment by Equipment Type (Detail) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 | |
Property, Plant and Equipment [Line Items] | |||
Containers, cost | $ 4,963,965 | $ 4,708,326 | [1] |
Containers, accumulated depreciation | (1,172,355) | (990,784) | [1] |
Containers, net book value | 3,791,610 | 3,717,542 | [1],[2] |
Dry Containers Other Than Open Top And Flat Rack Containers, 20' | |||
Property, Plant and Equipment [Line Items] | |||
Containers, cost | 1,497,557 | 1,399,878 | |
Containers, accumulated depreciation | (347,910) | (304,652) | |
Containers, net book value | 1,149,647 | 1,095,226 | |
Dry Containers Other Than Open Top And Flat Rack Containers, 40' | |||
Property, Plant and Equipment [Line Items] | |||
Containers, cost | 223,916 | 253,226 | |
Containers, accumulated depreciation | (75,610) | (76,344) | |
Containers, net book value | 148,306 | 176,882 | |
Dry Containers Other Than Open Top And Flat Rack Containers, 40' High Cube | |||
Property, Plant and Equipment [Line Items] | |||
Containers, cost | 2,043,253 | 1,861,221 | |
Containers, accumulated depreciation | (476,238) | (405,503) | |
Containers, net book value | 1,567,015 | 1,455,718 | |
Dry Containers Other Than Open Top And Flat Rack Containers, 45' High Cube Dry Van | |||
Property, Plant and Equipment [Line Items] | |||
Containers, cost | 29,010 | 29,823 | |
Containers, accumulated depreciation | (8,494) | (6,957) | |
Containers, net book value | 20,516 | 22,866 | |
Refrigerated Containers, 20' | |||
Property, Plant and Equipment [Line Items] | |||
Containers, cost | 24,062 | 24,420 | |
Containers, accumulated depreciation | (5,394) | (3,830) | |
Containers, net book value | 18,668 | 20,590 | |
Refrigerated Containers, 20' High Cube | |||
Property, Plant and Equipment [Line Items] | |||
Containers, cost | 5,139 | 5,149 | |
Containers, accumulated depreciation | (2,327) | (1,948) | |
Containers, net book value | 2,812 | 3,201 | |
Refrigerated Containers, 40' High Cube | |||
Property, Plant and Equipment [Line Items] | |||
Containers, cost | 1,002,843 | 1,004,532 | |
Containers, accumulated depreciation | (229,465) | (169,383) | |
Containers, net book value | 773,378 | 835,149 | |
Open Top and Flat Rack Containers, 20' Folding Flat Rack | |||
Property, Plant and Equipment [Line Items] | |||
Containers, cost | 16,595 | 16,712 | |
Containers, accumulated depreciation | (3,525) | (2,942) | |
Containers, net book value | 13,070 | 13,770 | |
Open Top And Flat Rack Containers, 40' Folding Flat Rack | |||
Property, Plant and Equipment [Line Items] | |||
Containers, cost | 43,334 | 43,620 | |
Containers, accumulated depreciation | (14,394) | (12,634) | |
Containers, net book value | 28,940 | 30,986 | |
Open Top And Flat Rack Containers, 20' Open Top | |||
Property, Plant and Equipment [Line Items] | |||
Containers, cost | 10,837 | 11,048 | |
Containers, accumulated depreciation | (1,237) | (1,069) | |
Containers, net book value | 9,600 | 9,979 | |
Open Top And Flat Rack Containers, 40' Open Top | |||
Property, Plant and Equipment [Line Items] | |||
Containers, cost | 26,690 | 27,115 | |
Containers, accumulated depreciation | (4,469) | (3,778) | |
Containers, net book value | 22,221 | 23,337 | |
Tank containers | |||
Property, Plant and Equipment [Line Items] | |||
Containers, cost | 40,729 | 31,582 | |
Containers, accumulated depreciation | (3,292) | (1,744) | |
Containers, net book value | $ 37,437 | $ 29,838 | |
[1] | Amount as of December 31, 2016 has been restated for immaterial corrections of identified errors related to the calculation of gain on sale of containers, net (see Note 2 “Immaterial Correction of Errors in Prior Periods”). | ||
[2] | Certain amounts as of December 31, 2016 have been restated for immaterial corrections of identified errors related to the calculation of gain on sale of containers, net, to properly account for lease concessions (see Note 2 "Immaterial Correction of Errors in Prior Periods") and to reclassify debt balances to conform with the 2017 presentation. |
Container Impairment in Consoli
Container Impairment in Consolidated Statements of Comprehensive Income (Loss) (Detail) - USD ($) $ in Thousands | 12 Months Ended | |||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | ||
Property, Plant and Equipment [Line Items] | ||||
Container impairment | $ 8,072 | $ 94,623 | [1],[2],[3] | $ 35,345 |
Reversal of previously recorded impairments on containers held for sale due to rising used container prices during the year | (11,225) | |||
Containers for Sale | ||||
Property, Plant and Equipment [Line Items] | ||||
Container impairment | 15,475 | 66,455 | 32,680 | |
Container Unrecoverable in Lessees Bankruptcy | ||||
Property, Plant and Equipment [Line Items] | ||||
Container impairment | 22,961 | |||
Containers Unrecoverable in Lessees Default | ||||
Property, Plant and Equipment [Line Items] | ||||
Container impairment | $ 3,822 | $ 5,207 | 697 | |
Container Unrecoverable in Lessees Insolvency | ||||
Property, Plant and Equipment [Line Items] | ||||
Container impairment | $ 1,968 | |||
[1] | Amounts for the years ended December 31, 2016 have been restated for immaterial corrections of identified errors pertaining to the calculation of the gains on sale of containers, net and to properly account for lease concessions (see Note 2 “Immaterial Correction of Errors in Prior Periods”). | |||
[2] | Certain amounts for the year ended December 31, 2016 have been restated for immaterial corrections of identified errors pertaining to the calculation of gain on sale of containers, net and to properly account for lease concessions (see Note 2 “Immaterial Correction of Errors in Prior Periods”). | |||
[3] | Certain amounts for the years ended December 31, 2016 and 2015 have been restated for immaterial corrections of identified errors related to the calculation of gain on sale of containers, net, to properly account for lease concessions (see Note 2 "Immaterial Correction of Errors in Prior Periods"), to reclassify debt balances in order to conform with the 2017 presentation and for the adoption of Accounting Standards Update No. 2016-15, Statement of Cash Flows (Topic230): Classification of Certain Cash Receipts and Cash Payments and Accounting Standards Update No. 2016-18, Statement of Cash Flows (Topic 230): Restricted Cash. |
Net Gains on Sale of Containers
Net Gains on Sale of Containers (Detail) $ in Thousands | 12 Months Ended | |||
Dec. 31, 2017USD ($)Property | Dec. 31, 2016USD ($)Property | Dec. 31, 2015USD ($)Property | ||
Property Plant And Equipment Disclosure [Line Items] | ||||
Number of containers sold | Property | 112,367 | 138,390 | 111,563 | |
Gain (loss) on sale of containers, net | $ | $ 26,210 | $ 6,761 | [1],[2],[3] | $ 3,454 |
Previously written down containers | ||||
Property Plant And Equipment Disclosure [Line Items] | ||||
Number of containers sold | Property | 56,862 | 118,071 | 65,786 | |
Gain (loss) on sale of containers, net | $ | $ 18,662 | $ 9,151 | $ 2,336 | |
Containers not written down | ||||
Property Plant And Equipment Disclosure [Line Items] | ||||
Number of containers sold | Property | 55,505 | 20,319 | 45,777 | |
Gain (loss) on sale of containers, net | $ | $ 7,548 | $ (2,390) | $ 1,118 | |
[1] | Amounts for the year ended December 31, 2016 have been restated for immaterial corrections of identified errors pertaining to the calculation of gain on sale of containers, net (see Note 2 “Immaterial Correction of Errors in Prior Periods”). | |||
[2] | Amounts for the years ended December 31, 2016 have been restated for immaterial corrections of identified errors pertaining to the calculation of the gains on sale of containers, net and to properly account for lease concessions (see Note 2 “Immaterial Correction of Errors in Prior Periods”). | |||
[3] | Certain amounts for the year ended December 31, 2016 have been restated for immaterial corrections of identified errors pertaining to the calculation of gain on sale of containers, net and to properly account for lease concessions (see Note 2 “Immaterial Correction of Errors in Prior Periods”). |
Schedule of Concentration Risk
Schedule of Concentration Risk of Lease Rental Income (Detail) - Lease Rental Income - Customer Concentration Risk | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Mediterranean Shipping Company S.A. | |||
Concentration Risk [Line Items] | |||
Percentage of lease rental income | 14.40% | 12.00% | 10.40% |
CMA-CGM S.A. | |||
Concentration Risk [Line Items] | |||
Percentage of lease rental income | 13.60% | 14.00% | 11.00% |
Schedule of Concentration Ris50
Schedule of Concentration Risk of Lease Rental Income and Lease Billings (Detail) - Total Fleet Lease Rental Income - Customer Concentration Risk | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Mediterranean Shipping Company S.A. | |||
Capital Leased Assets [Line Items] | |||
Percentage of lease rental income | 15.10% | 13.60% | 11.90% |
CMA-CGM S.A. | |||
Capital Leased Assets [Line Items] | |||
Percentage of lease rental income | 14.40% | 15.40% | 12.20% |
Customers in Countries Outside
Customers in Countries Outside of U.S. Made up Greater Than 10% of Total Fleet Container Lease Billings (Detail) - Total Fleet Lease Rental Income | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
People's Republic of China | |||
Capital Leased Assets [Line Items] | |||
Percentage of lease rental income | 14.40% | 14.10% | 15.90% |
France | |||
Capital Leased Assets [Line Items] | |||
Percentage of lease rental income | 14.40% | 15.30% | 12.20% |
Korea | |||
Capital Leased Assets [Line Items] | |||
Percentage of lease rental income | 6.80% | 9.90% | 11.60% |
Switzerland | |||
Capital Leased Assets [Line Items] | |||
Percentage of lease rental income | 15.10% | 13.40% | 11.50% |
Taiwan | |||
Capital Leased Assets [Line Items] | |||
Percentage of lease rental income | 13.90% | 12.20% | 11.10% |
Singapore | |||
Capital Leased Assets [Line Items] | |||
Percentage of lease rental income | 10.90% | 8.70% | 11.00% |
Reconciliation of Numerator and
Reconciliation of Numerator and Denominator of Basic Earnings per Share ("EPS") with that of Diluted EPS (Detail) - USD ($) $ / shares in Units, $ in Thousands | 12 Months Ended | |||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | ||
Numerator: | ||||
Net income (loss) attributable to Textainer Group Holdings Limited common shareholders | $ 19,365 | $ (52,483) | [1] | $ 108,408 |
Weighted average shares outstanding (in thousands): | ||||
Basic | 56,845,000 | 56,608,000 | [1] | 56,953,000 |
Dilutive share options and restricted share units | 314,000 | 140,000 | ||
Weighted average common shares outstanding-- diluted | 57,159,000 | 56,608,000 | [1] | 57,093,000 |
Net income (loss) attributable to Textainer Group Holdings Limited common shareholders per common share | ||||
Basic | $ 0.34 | $ (0.93) | [1] | $ 1.90 |
Diluted | $ 0.34 | $ (0.93) | [1] | $ 1.90 |
Anti-dilutive share options and restricted share units, excluded from the computation of diluted EPS because they were anti-dilutive | 1,164 | 1,361 | 1,158 | |
[1] | Certain amounts for the year ended December 31, 2016 have been restated for immaterial corrections of identified errors pertaining to the calculation of gain on sale of containers, net and to properly account for lease concessions (see Note 2 “Immaterial Correction of Errors in Prior Periods”). |
Summary of Assets and Liabiliti
Summary of Assets and Liabilities Measured at Fair Value on Recurring Basis (Detail) - Fair Value, Measurements, Recurring - Fair Value, Inputs, Level 2 - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 |
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Assets measured at fair value on recurring basis | $ 7,787 | $ 4,816 |
Liabilities measured at fair value on a recurring basis | 81 | 1,204 |
Interest rate swaps, collars and caps | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Assets measured at fair value on recurring basis | 7,787 | 4,816 |
Liabilities measured at fair value on a recurring basis | $ 81 | $ 1,204 |
Summary of Assets Measured at F
Summary of Assets Measured at Fair Value on Non-Recurring Basis (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | |||||
Container impairment | $ 8,072 | $ 94,623 | [1],[2],[3] | $ 35,345 | |
Fair Value, Measurements, Nonrecurring | |||||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | |||||
Container impairment | [4] | 15,475 | 66,455 | ||
Fair Value, Measurements, Nonrecurring | Containers held for sale | |||||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | |||||
Container impairment | [4],[5] | 15,475 | 66,455 | ||
Fair Value, Measurements, Nonrecurring | Fair Value, Inputs, Level 2 | |||||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | |||||
Assets measured at fair value on non-recurring basis | 8,984 | 19,230 | |||
Fair Value, Measurements, Nonrecurring | Fair Value, Inputs, Level 2 | Containers held for sale | |||||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | |||||
Assets measured at fair value on non-recurring basis | [5] | $ 8,984 | $ 19,230 | ||
[1] | Amounts for the years ended December 31, 2016 have been restated for immaterial corrections of identified errors pertaining to the calculation of the gains on sale of containers, net and to properly account for lease concessions (see Note 2 “Immaterial Correction of Errors in Prior Periods”). | ||||
[2] | Certain amounts for the year ended December 31, 2016 have been restated for immaterial corrections of identified errors pertaining to the calculation of gain on sale of containers, net and to properly account for lease concessions (see Note 2 “Immaterial Correction of Errors in Prior Periods”). | ||||
[3] | Certain amounts for the years ended December 31, 2016 and 2015 have been restated for immaterial corrections of identified errors related to the calculation of gain on sale of containers, net, to properly account for lease concessions (see Note 2 "Immaterial Correction of Errors in Prior Periods"), to reclassify debt balances in order to conform with the 2017 presentation and for the adoption of Accounting Standards Update No. 2016-15, Statement of Cash Flows (Topic230): Classification of Certain Cash Receipts and Cash Payments and Accounting Standards Update No. 2016-18, Statement of Cash Flows (Topic 230): Restricted Cash. | ||||
[4] | Included in container impairment in the accompanying consolidated statements of comprehensive income (loss). | ||||
[5] | Represents the carrying value of containers included in containers held for sale in the consolidated balance sheets that have been impaired to write down the value of the containers to their estimated fair value less cost to sell. |
Immaterial Correction of an Err
Immaterial Correction of an Error in Prior Periods - Additional Information (Detail) - USD ($) $ in Thousands | 12 Months Ended | |||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | ||
Error Corrections And Prior Period Adjustments Restatement [Line Items] | ||||
Accounted receivable, net | $ 78,312 | $ 76,547 | [1] | |
Containers, net | 3,791,610 | 3,717,542 | [1],[2] | |
Retained earnings | 763,601 | 744,236 | [1] | |
Noncontrolling interest | 57,740 | 58,859 | [1] | |
Gain on sale of containers, net | 26,210 | 6,761 | [3] | $ 3,454 |
Lease rental income | 444,888 | 460,427 | [4],[5],[6] | 512,544 |
Net income (loss) | $ 20,742 | (57,876) | [3],[6] | $ 113,984 |
Restatement Adjustment | ||||
Error Corrections And Prior Period Adjustments Restatement [Line Items] | ||||
Accounted receivable, net | 839 | |||
Containers, net | (2,792) | |||
Retained earnings | (1,821) | |||
Noncontrolling interest | (132) | |||
Gain on sale of containers, net | (2,792) | |||
Lease rental income | 839 | |||
Net income (loss) | $ (1,821) | |||
[1] | Certain amounts as of December 31, 2016 have been restated for immaterial corrections of identified errors related to the calculation of gain on sale of containers, net, to properly account for lease concessions (see Note 2 "Immaterial Correction of Errors in Prior Periods") and to reclassify debt balances to conform with the 2017 presentation. | |||
[2] | Amount as of December 31, 2016 has been restated for immaterial corrections of identified errors related to the calculation of gain on sale of containers, net (see Note 2 “Immaterial Correction of Errors in Prior Periods”). | |||
[3] | Certain amounts for the years ended December 31, 2016 and 2015 have been restated for immaterial corrections of identified errors related to the calculation of gain on sale of containers, net, to properly account for lease concessions (see Note 2 "Immaterial Correction of Errors in Prior Periods"), to reclassify debt balances in order to conform with the 2017 presentation and for the adoption of Accounting Standards Update No. 2016-15, Statement of Cash Flows (Topic230): Classification of Certain Cash Receipts and Cash Payments and Accounting Standards Update No. 2016-18, Statement of Cash Flows (Topic 230): Restricted Cash. | |||
[4] | Amounts for the year ended December 31, 2016 have been restated for immaterial corrections of identified errors pertaining to properly account for lease concessions (see Note 2 “Immaterial Correction of Errors in Prior Periods”). | |||
[5] | Amounts for the years ended December 31, 2016 have been restated for immaterial corrections of identified errors pertaining to the calculation of the gains on sale of containers, net and to properly account for lease concessions (see Note 2 “Immaterial Correction of Errors in Prior Periods”). | |||
[6] | Certain amounts for the year ended December 31, 2016 have been restated for immaterial corrections of identified errors pertaining to the calculation of gain on sale of containers, net and to properly account for lease concessions (see Note 2 “Immaterial Correction of Errors in Prior Periods”). |
Insurance Receivable and Impa56
Insurance Receivable and Impairment - Additional Information (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||||||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | Mar. 31, 2017 | Sep. 30, 2016 | Aug. 31, 2016 | ||
Leases Disclosure [Line Items] | |||||||
Net investment in direct financing and sales-type leases | $ 2,903 | $ 88,171 | |||||
Insurance coverage period | 183 days | 183 days | |||||
Container impairment | $ 8,072 | $ 94,623 | [1],[2],[3] | $ 35,345 | |||
Insurance deductible | $ 4,750 | ||||||
Insurance settlements receivable | $ 3,592 | ||||||
Recovery percentage | 10.00% | ||||||
Bad debt expense | 477 | $ 21,166 | [3] | 5,028 | |||
Insurance settlements receivable on accounts receivable | 2,592 | ||||||
Impairment net of estimated insurance proceeds | 8,250 | ||||||
Insurance receivable | 1,007 | 11,436 | $ 1,321 | ||||
Increase in containers net | 469 | ||||||
Reduction to direct recovery cost | 200 | ||||||
Impairment to write off containers | |||||||
Leases Disclosure [Line Items] | |||||||
Impairment net of estimated insurance proceeds | 8,815 | ||||||
Bankruptcy Customer | |||||||
Leases Disclosure [Line Items] | |||||||
Insurance settlements receivable | 50,479 | 20,162 | |||||
Recovery of direct costs | 32,067 | 19,159 | |||||
Bad debt expense | 18,992 | ||||||
Insurance settlements receivable on accounts receivable | (50,479) | 2,592 | |||||
Insurance receivable | 7,592 | ||||||
Insurance receivable | 15,909 | 41,913 | |||||
Insolvent Customer | |||||||
Leases Disclosure [Line Items] | |||||||
Recovery of direct costs | 200 | 768 | |||||
Bad debt expense | 2,574 | ||||||
Impairment net of estimated insurance proceeds | (8,250) | ||||||
Insurance receivable | 720 | 2,872 | 11,436 | ||||
Increase (decrease) in container impairment | $ 920 | (1,052) | |||||
Proceeds From Sales | |||||||
Leases Disclosure [Line Items] | |||||||
Insurance receivable | 8,796 | ||||||
Direct Cost | |||||||
Leases Disclosure [Line Items] | |||||||
Insurance receivable | 1,685 | ||||||
Lease Rental Income | |||||||
Leases Disclosure [Line Items] | |||||||
Insurance receivable | 239 | 955 | |||||
Operating Leases | |||||||
Leases Disclosure [Line Items] | |||||||
Net investment in direct financing and sales-type leases | $ 178,344 | ||||||
Container Unrecoverable in Lessees Bankruptcy | |||||||
Leases Disclosure [Line Items] | |||||||
Container impairment | 24,912 | ||||||
Insurance settlements receivable | 39,321 | ||||||
Container Unrecoverable in Lessees Insolvency | |||||||
Leases Disclosure [Line Items] | |||||||
Container impairment | $ 1,968 | ||||||
Finance Leases Portfolio Segment | |||||||
Leases Disclosure [Line Items] | |||||||
Net investment in direct financing and sales-type leases | $ 88,171 | ||||||
Container impairment | 22,149 | ||||||
Insurance deductible | 4,750 | ||||||
Finance Leases Portfolio Segment | Impairment to write off containers | |||||||
Leases Disclosure [Line Items] | |||||||
Container impairment | $ 17,399 | ||||||
[1] | Amounts for the years ended December 31, 2016 have been restated for immaterial corrections of identified errors pertaining to the calculation of the gains on sale of containers, net and to properly account for lease concessions (see Note 2 “Immaterial Correction of Errors in Prior Periods”). | ||||||
[2] | Certain amounts for the year ended December 31, 2016 have been restated for immaterial corrections of identified errors pertaining to the calculation of gain on sale of containers, net and to properly account for lease concessions (see Note 2 “Immaterial Correction of Errors in Prior Periods”). | ||||||
[3] | Certain amounts for the years ended December 31, 2016 and 2015 have been restated for immaterial corrections of identified errors related to the calculation of gain on sale of containers, net, to properly account for lease concessions (see Note 2 "Immaterial Correction of Errors in Prior Periods"), to reclassify debt balances in order to conform with the 2017 presentation and for the adoption of Accounting Standards Update No. 2016-15, Statement of Cash Flows (Topic230): Classification of Certain Cash Receipts and Cash Payments and Accounting Standards Update No. 2016-18, Statement of Cash Flows (Topic 230): Restricted Cash. |
Insurance Receivable and Impa57
Insurance Receivable and Impairment - Schedule of Insurance Receivable on Fleet (Detail) - USD ($) $ in Thousands | 12 Months Ended | |||
Dec. 31, 2017 | Dec. 31, 2016 | Mar. 31, 2017 | Dec. 31, 2015 | |
Leases Disclosure [Line Items] | ||||
Estimated unrecoverable containers, net of insurance deductible | $ 3,592 | |||
Accounts receivable coverage by insurance | $ 2,592 | |||
Insurance proceeds received | 8,250 | |||
Insurance receivable | 1,007 | $ 1,321 | $ 11,436 | |
Bankrupt Customer | ||||
Leases Disclosure [Line Items] | ||||
Estimated unrecoverable containers, net of insurance deductible | $ 50,479 | 20,162 | ||
Recovery costs | 32,067 | 19,159 | ||
Accounts receivable coverage by insurance | (50,479) | 2,592 | ||
Reassessment associated with its estimate of unrecoverable containers to actualamount of loss commensurate with the insurance claim filing | (7,592) | |||
Insurance receivable | 15,909 | 41,913 | ||
Insolvency Customer | ||||
Leases Disclosure [Line Items] | ||||
Recovery costs | 200 | 768 | ||
Lost lease rental income | 239 | |||
Wrote off of remaining balance of insurance receivable per final insurance proceeds received | (1,321) | |||
Insurance proceeds received | (8,250) | |||
Allocation adjustment on insurance receivable per final insurance proceeds received | 720 | |||
Final insurance proceeds received | (3,592) | |||
Insurance receivable | $ 720 | $ 2,872 | $ 11,436 |
Container Purchases - Additiona
Container Purchases - Additional Information (Detail) | 12 Months Ended | |
Dec. 31, 2017USD ($)Property | Dec. 31, 2016USD ($)Property | |
Property, Plant and Equipment [Line Items] | ||
Intangible asset for the management rights relinquished written- off | $ 170,000 | |
Container Purchases | ||
Property, Plant and Equipment [Line Items] | ||
Number of containers purchased | Property | 19,802 | 41,100 |
Total purchase consideration | $ 19,893,000 | |
Intangible asset for the management rights relinquished written- off | 170,000 | |
Intangible assets recognized related to the leases | $ 0 | |
Container Purchases | Third-party Owner | ||
Property, Plant and Equipment [Line Items] | ||
Total purchase consideration | $ 71,000,000 | |
Containers leased | ||
Property, Plant and Equipment [Line Items] | ||
Number of containers purchased | Property | 38,600 | |
Total purchase consideration | $ 55,000,000 |
Total Purchase Price based on F
Total Purchase Price based on Fair Value of Assets and Liabilities Acquired (Detail) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 | [1],[2] |
Property Subject to or Available for Operating Lease [Line Items] | |||
Containers, net | $ 3,791,610 | $ 3,717,542 | |
Container Purchases | |||
Property Subject to or Available for Operating Lease [Line Items] | |||
Containers, net | 18,453 | ||
Other net assets | 1,440 | ||
Purchase price | $ 19,893 | ||
[1] | Amount as of December 31, 2016 has been restated for immaterial corrections of identified errors related to the calculation of gain on sale of containers, net (see Note 2 “Immaterial Correction of Errors in Prior Periods”). | ||
[2] | Certain amounts as of December 31, 2016 have been restated for immaterial corrections of identified errors related to the calculation of gain on sale of containers, net, to properly account for lease concessions (see Note 2 "Immaterial Correction of Errors in Prior Periods") and to reclassify debt balances to conform with the 2017 presentation. |
Purchase-leaseback Transactio60
Purchase-leaseback Transactions - Additional Information (Detail) - Purchase-leaseback Transactions $ in Thousands | Dec. 31, 2017USD ($) | Dec. 31, 2016USD ($)Property |
Purchase Leaseback Transactions [Line Items] | ||
Number of containers purchased | Property | 14,954 | |
Total purchase price | $ 21,151 | |
Drop off charges outstanding | $ 5,233 | $ 6,218 |
Summary of Purchase Price Alloc
Summary of Purchase Price Allocation (Detail) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 | |
Property Subject to or Available for Operating Lease [Line Items] | |||
Containers, net | $ 3,791,610 | $ 3,717,542 | [1],[2] |
Prepaid expenses and other current assets | $ 12,243 | 13,584 | [2] |
Purchase-leaseback Transactions | |||
Property Subject to or Available for Operating Lease [Line Items] | |||
Containers, net | 14,015 | ||
Prepaid expenses and other current assets | 7,136 | ||
Purchase price | $ 21,151 | ||
[1] | Amount as of December 31, 2016 has been restated for immaterial corrections of identified errors related to the calculation of gain on sale of containers, net (see Note 2 “Immaterial Correction of Errors in Prior Periods”). | ||
[2] | Certain amounts as of December 31, 2016 have been restated for immaterial corrections of identified errors related to the calculation of gain on sale of containers, net, to properly account for lease concessions (see Note 2 "Immaterial Correction of Errors in Prior Periods") and to reclassify debt balances to conform with the 2017 presentation. |
Management Fees, Including Acqu
Management Fees, Including Acquisition Fees and Sales Commissions (Detail) - USD ($) $ in Thousands | 12 Months Ended | |||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | ||
Related Party Transaction [Line Items] | ||||
Fees from affiliated Owner | $ 2,994 | $ 2,994 | $ 3,542 | |
Fees from unaffiliated Owners | 10,073 | 8,556 | 10,252 | |
Management fees | 14,994 | 13,420 | [1],[2] | 15,610 |
Fees from Owners | ||||
Related Party Transaction [Line Items] | ||||
Management fees | 13,067 | 11,550 | 13,794 | |
Other Fees | ||||
Related Party Transaction [Line Items] | ||||
Management fees | $ 1,927 | $ 1,870 | $ 1,816 | |
[1] | Amounts for the year ended December 31, 2016 have been restated for immaterial corrections of identified errors pertaining to properly account for lease concessions (see Note 2 “Immaterial Correction of Errors in Prior Periods”). | |||
[2] | Certain amounts for the year ended December 31, 2016 have been restated for immaterial corrections of identified errors pertaining to the calculation of gain on sale of containers, net and to properly account for lease concessions (see Note 2 “Immaterial Correction of Errors in Prior Periods”). |
Due to Owners, Net (Detail)
Due to Owners, Net (Detail) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 | |
Related Party Transaction [Line Items] | |||
Due to owners, net | $ 11,131 | $ 18,132 | [1] |
Affiliated owners | |||
Related Party Transaction [Line Items] | |||
Due to owners, net | 1,409 | 5,167 | |
Unaffiliated owners | |||
Related Party Transaction [Line Items] | |||
Due to owners, net | $ 9,722 | $ 12,965 | |
[1] | Certain amounts as of December 31, 2016 have been restated for immaterial corrections of identified errors related to the calculation of gain on sale of containers, net, to properly account for lease concessions (see Note 2 "Immaterial Correction of Errors in Prior Periods") and to reclassify debt balances to conform with the 2017 presentation. |
Direct Financing and Sales-Ty64
Direct Financing and Sales-Type Leases - Additional Information (Detail) $ in Thousands | 12 Months Ended | |||
Dec. 31, 2017USD ($)Property | Dec. 31, 2016USD ($)Property | Dec. 31, 2015USD ($) | Sep. 30, 2016USD ($) | |
Direct Financing and Sales Type Leases [Line Items] | ||||
Net investment in direct financing and sales-type leases | $ 2,903 | $ 88,171 | ||
Carrying Value of Net Investment in Consolidated Subsidiary | $ 182,624 | $ 237,234 | ||
Income earned from direct financing and sales-type leases | 13,417 | 18,558 | $ 25,291 | |
TW | ||||
Direct Financing and Sales Type Leases [Line Items] | ||||
Carrying Value of Net Investment in Consolidated Subsidiary | $ 103,571 | $ 133,991 | ||
Direct Financing and Sales Type Leases | ||||
Direct Financing and Sales Type Leases [Line Items] | ||||
Number of containers under direct financing and sales-type leases | Property | 111,059 | 135,221 |
Components of net Investment in
Components of net Investment in Direct Financing and Sales-Type Leases Reported in Container Ownership Segment (Detail) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 | |
Leases [Abstract] | |||
Future minimum lease payments receivable | $ 204,451 | $ 269,256 | |
Residual value of containers | 4,885 | ||
Less unearned income | (26,712) | (32,022) | |
Net investment in direct financing and sales-type leases | 182,624 | 237,234 | |
Amounts due within one year | 56,959 | 64,951 | |
Amounts due beyond one year | $ 125,665 | $ 172,283 | [1] |
[1] | Certain amounts as of December 31, 2016 have been restated for immaterial corrections of identified errors related to the calculation of gain on sale of containers, net, to properly account for lease concessions (see Note 2 "Immaterial Correction of Errors in Prior Periods") and to reclassify debt balances to conform with the 2017 presentation. |
Net Investment in Direct Financ
Net Investment in Direct Finance Leases and Sales-Type Leases (Detail) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 |
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Past due | $ 37,327 | |
Current | 167,124 | |
Total future minimum lease payments | 204,451 | $ 269,256 |
Financing Receivables, 1 to 29 Days Past Due | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Past due | 2,838 | |
Financing Receivables, 30 to 59 Days Past Due | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Past due | 21 | |
Financing Receivables, 60 to 89 Days Past Due | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Past due | 2,786 | |
Financing Receivables, Equal to Greater than 90 Days Past Due | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Past due | $ 31,682 |
Changes in Carrying Amount of A
Changes in Carrying Amount of Allowance for Doubtful Accounts (Detail) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2017 | Dec. 31, 2016 | |
Leases [Abstract] | ||
Beginning Balance | $ 9,561 | $ 3,883 |
Additions charged to expense | 525 | 9,140 |
Write-offs | (9,839) | (3,462) |
Ending Balance | $ 247 | $ 9,561 |
Future Minimum Lease Payments68
Future Minimum Lease Payments Receivable under Direct Financing and Sales-type Leases (Detail) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 |
Leases [Abstract] | ||
2,018 | $ 66,703 | |
2,019 | 48,192 | |
2,020 | 29,553 | |
2,021 | 34,862 | |
2022 and thereafter | 25,141 | |
Total future minimum lease payments | $ 204,451 | $ 269,256 |
Containers, Net (Detail)
Containers, Net (Detail) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 | [1] |
Property Plant And Equipment [Abstract] | |||
Containers, cost | $ 4,963,965 | $ 4,708,326 | |
Containers, accumulated depreciation | (1,172,355) | (990,784) | |
Containers, net book value | $ 3,791,610 | $ 3,717,542 | [2] |
[1] | Amount as of December 31, 2016 has been restated for immaterial corrections of identified errors related to the calculation of gain on sale of containers, net (see Note 2 “Immaterial Correction of Errors in Prior Periods”). | ||
[2] | Certain amounts as of December 31, 2016 have been restated for immaterial corrections of identified errors related to the calculation of gain on sale of containers, net, to properly account for lease concessions (see Note 2 "Immaterial Correction of Errors in Prior Periods") and to reclassify debt balances to conform with the 2017 presentation. |
Containers And Fixed Assets - A
Containers And Fixed Assets - Additional Information (Detail) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 | [1] |
Property Plant And Equipment [Abstract] | |||
Trading containers | $ 10,752 | $ 4,363 | |
Containers held for sale | $ 22,089 | $ 25,513 | |
[1] | Certain amounts as of December 31, 2016 have been restated for immaterial corrections of identified errors related to the calculation of gain on sale of containers, net, to properly account for lease concessions (see Note 2 "Immaterial Correction of Errors in Prior Periods") and to reclassify debt balances to conform with the 2017 presentation. |
Fixed Assets, Net (Detail)
Fixed Assets, Net (Detail) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 | |
Property Plant And Equipment [Abstract] | |||
Computer equipment and software | $ 9,563 | $ 8,898 | |
Office furniture and equipment | 1,428 | 1,408 | |
Automobiles | 36 | 34 | |
Leasehold improvements | 1,912 | 1,789 | |
Property, Plant and Equipment, Gross, Total | 12,939 | 12,129 | |
Less accumulated depreciation | (10,788) | (10,136) | |
Fixed assets, net | $ 2,151 | $ 1,993 | [1] |
[1] | Certain amounts as of December 31, 2016 have been restated for immaterial corrections of identified errors related to the calculation of gain on sale of containers, net, to properly account for lease concessions (see Note 2 "Immaterial Correction of Errors in Prior Periods") and to reclassify debt balances to conform with the 2017 presentation. |
Changes in Carrying Amount of I
Changes in Carrying Amount of Intangible Assets (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |||
Goodwill And Intangible Assets Disclosure [Abstract] | |||||
Balance as of December 31, 2014 | $ 15,197 | [1] | $ 20,250 | $ 24,991 | |
Amortization expense | (4,092) | (5,053) | [2],[3] | (4,741) | |
Amortization expense | (3,922) | ||||
Write-off from the relinquishment of management rights | (170) | ||||
Balance as of December 31, 2015 | $ 11,105 | $ 15,197 | [1] | $ 20,250 | |
[1] | Certain amounts as of December 31, 2016 have been restated for immaterial corrections of identified errors related to the calculation of gain on sale of containers, net, to properly account for lease concessions (see Note 2 "Immaterial Correction of Errors in Prior Periods") and to reclassify debt balances to conform with the 2017 presentation. | ||||
[2] | Certain amounts for the year ended December 31, 2016 have been restated for immaterial corrections of identified errors pertaining to the calculation of gain on sale of containers, net and to properly account for lease concessions (see Note 2 “Immaterial Correction of Errors in Prior Periods”). | ||||
[3] | Certain amounts for the years ended December 31, 2016 and 2015 have been restated for immaterial corrections of identified errors related to the calculation of gain on sale of containers, net, to properly account for lease concessions (see Note 2 "Immaterial Correction of Errors in Prior Periods"), to reclassify debt balances in order to conform with the 2017 presentation and for the adoption of Accounting Standards Update No. 2016-15, Statement of Cash Flows (Topic230): Classification of Certain Cash Receipts and Cash Payments and Accounting Standards Update No. 2016-18, Statement of Cash Flows (Topic 230): Restricted Cash. |
Future Amortization of Intangib
Future Amortization of Intangible Assets (Detail) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 | [1] | Dec. 31, 2015 | Dec. 31, 2014 |
Goodwill And Intangible Assets Disclosure [Abstract] | |||||
2,018 | $ 4,207 | ||||
2,019 | 4,156 | ||||
2,020 | 2,742 | ||||
Total future amortization of intangible assets | $ 11,105 | $ 15,197 | $ 20,250 | $ 24,991 | |
[1] | Certain amounts as of December 31, 2016 have been restated for immaterial corrections of identified errors related to the calculation of gain on sale of containers, net, to properly account for lease concessions (see Note 2 "Immaterial Correction of Errors in Prior Periods") and to reclassify debt balances to conform with the 2017 presentation. |
Accrued Expenses (Detail)
Accrued Expenses (Detail) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 | |
Payables And Accruals [Abstract] | |||
Accrued compensation | $ 5,025 | $ 3,049 | |
Direct container expense | 4,521 | 2,014 | |
Interest payable | 3,157 | 3,402 | |
Other | 662 | 1,256 | |
Total accrued expenses | $ 13,365 | $ 9,721 | [1] |
[1] | Certain amounts as of December 31, 2016 have been restated for immaterial corrections of identified errors related to the calculation of gain on sale of containers, net, to properly account for lease concessions (see Note 2 "Immaterial Correction of Errors in Prior Periods") and to reclassify debt balances to conform with the 2017 presentation. |
Component of Income Tax Expense
Component of Income Tax Expense (Benefit) (Detail) - USD ($) $ in Thousands | 12 Months Ended | |||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | ||
Current | ||||
Bermuda | $ 0 | $ 0 | $ 0 | |
Foreign | 2,142 | 930 | 3,648 | |
Current Income Tax Expense (Benefit), Total | 2,142 | 930 | 3,648 | |
Deferred | ||||
Bermuda | 0 | 0 | 0 | |
Foreign | (524) | (4,377) | 3,047 | |
Deferred Income Tax Expense (Benefit), Total | (524) | (4,377) | 3,047 | |
Income tax (expense) benefit | $ 1,618 | $ (3,447) | [1] | $ 6,695 |
[1] | Certain amounts for the year ended December 31, 2016 have been restated for immaterial corrections of identified errors pertaining to the calculation of gain on sale of containers, net and to properly account for lease concessions (see Note 2 “Immaterial Correction of Errors in Prior Periods”). |
Components of Income (Loss) Bef
Components of Income (Loss) Before Income Taxes and Noncontrolling Interest (Detail) - USD ($) $ in Thousands | 12 Months Ended | |||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | ||
Income Taxes [Line Items] | ||||
Income before income taxes and non controlling interest | $ 22,360 | $ (61,323) | [1],[2] | $ 120,679 |
Foreign sources | ||||
Income Taxes [Line Items] | ||||
Income before income taxes and non controlling interest | $ 22,360 | $ (61,323) | $ 120,679 | |
[1] | Amounts for the years ended December 31, 2016 have been restated for immaterial corrections of identified errors pertaining to the calculation of the gains on sale of containers, net and to properly account for lease concessions (see Note 2 “Immaterial Correction of Errors in Prior Periods”). | |||
[2] | Certain amounts for the year ended December 31, 2016 have been restated for immaterial corrections of identified errors pertaining to the calculation of gain on sale of containers, net and to properly account for lease concessions (see Note 2 “Immaterial Correction of Errors in Prior Periods”). |
Reconciliation of Differences b
Reconciliation of Differences between Bermuda Statutory Income Tax Rate and Effective Tax Rate (Detail) - USD ($) $ in Thousands | 12 Months Ended | |||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | ||
Income Tax Disclosure [Abstract] | ||||
Bermuda tax rate | 0.00% | 0.00% | 0.00% | |
Foreign tax rate | (580.00%) | 8.80% | 3.60% | |
Tax uncertainties | 1304.00% | (3.18%) | 1.95% | |
Income tax (expense) benefit, net | 724.00% | 5.62% | 5.55% | |
Foreign tax rate | $ 1,297 | $ 5,339 | $ (4,343) | |
Tax uncertainties | (2,915) | (1,892) | (2,352) | |
Income Tax (Expense)Benefit | $ (1,618) | $ 3,447 | [1] | $ (6,695) |
[1] | Certain amounts for the year ended December 31, 2016 have been restated for immaterial corrections of identified errors pertaining to the calculation of gain on sale of containers, net and to properly account for lease concessions (see Note 2 “Immaterial Correction of Errors in Prior Periods”). |
Significant Portions of Deferre
Significant Portions of Deferred Tax Assets and Deferred Tax Liabilities (Detail) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 |
Deferred tax assets | ||
Net operating loss carryforwards | $ 19,209 | $ 26,605 |
Other | 1,557 | 1,811 |
Deferred tax assets, gross | 20,766 | 28,416 |
Valuation allowance (net operating loss) | (1,138) | (678) |
Deferred tax assets | 19,628 | 27,738 |
Deferred tax liabilities | ||
Containers, net | 23,275 | 31,778 |
Other | 671 | 812 |
Deferred tax liabilities | 23,946 | 32,590 |
Net deferred tax liabilities | $ 4,318 | $ 4,852 |
Income Taxes - Additional Infor
Income Taxes - Additional Information (Detail) - USD ($) $ in Thousands | 12 Months Ended | |||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Income Taxes [Line Items] | ||||
Net operating loss carry-forwards | $ 113,228 | |||
Cumulative earnings undistributed | 36,527 | |||
Taxes payable current and noncurrent | $ 10,958 | |||
U.S. federal corportae tax rate | 0.00% | 0.00% | 0.00% | |
Tax cuts and jobs act of 2017, change in tax rate, income tax expense (benefit) | $ 2,653 | |||
Tax cuts and jobs act of 2017, change in effective tax rate, favorably affected | 11.90% | |||
Limitation on deduction of interest expense in excess of adjusted taxable income, that may impact income taxes in future, percent | 30.00% | |||
Limitation of net operating losses generated percent of taxable income and an incremental tax on BEAT, that may impact income taxes in future | 80.00% | |||
Unrecognized tax benefits | $ 16,150 | $ 13,331 | $ 12,065 | |
Unrecognized tax benefits, if recognized, would reduce annual effective tax rate | 16,102 | |||
Estimated decrease in unrecognized tax benefits due to expiration of certain statutes of limitations in the next twelve months | 1,138 | |||
Income tax examination interest and penalty expense | 181 | 281 | $ 70 | |
Income tax examination total accrued interest and penalties | $ 1,108 | $ 926 | ||
United States | ||||
Income Taxes [Line Items] | ||||
U.S. federal corportae tax rate | 35.00% | |||
Scenario, Forecast | United States | ||||
Income Taxes [Line Items] | ||||
U.S. federal corportae tax rate | 21.00% | |||
Minimum | ||||
Income Taxes [Line Items] | ||||
Net operating loss carry-forward expiration date | Dec. 31, 2018 | |||
Maximum | ||||
Income Taxes [Line Items] | ||||
Net operating loss carry-forward expiration date | Dec. 31, 2037 |
Reconciliation of Beginning and
Reconciliation of Beginning and Ending Unrecognized Tax Benefit Amount (Detail) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2017 | Dec. 31, 2016 | |
Income Tax Disclosure [Abstract] | ||
Beginning Balance | $ 13,331 | $ 12,065 |
Increases related to prior year tax positions | 100 | |
Decreases related to prior year tax positions | (12) | (204) |
Increases related to current year tax positions | 3,642 | 2,378 |
Lapse of statute of limitations | (911) | (908) |
Ending Balance | $ 16,150 | $ 13,331 |
Debt Obligation (Detail)
Debt Obligation (Detail) - USD ($) $ in Thousands | 12 Months Ended | |||
Dec. 31, 2017 | Dec. 31, 2016 | |||
Secured Debt Facilities, Credit Facilities, Term Loan and Bonds Payable | ||||
Long term debt | $ 2,990,308 | $ 3,038,297 | ||
Amount due within one year | 233,681 | 205,081 | [1] | |
Amounts due beyond one year | 2,756,627 | 2,833,216 | [1] | |
TMCL II Secured Debt Facility | ||||
Secured Debt Facilities, Credit Facilities, Term Loan and Bonds Payable | ||||
Long term debt | [2] | $ 659,714 | $ 951,923 | |
Weighted average variable interest rate | [2] | 3.38% | 2.40% | |
Final Maturity | [2] | Aug. 31, 2024 | ||
TMCL IV Secured Debt Facility | ||||
Secured Debt Facilities, Credit Facilities, Term Loan and Bonds Payable | ||||
Long term debt | [2],[3] | $ 132,885 | $ 140,202 | |
Weighted average variable interest rate | [2],[3] | 4.00% | 2.69% | |
Final Maturity | [2],[3] | Feb. 29, 2020 | ||
TL Revolving Credit Facility | ||||
Secured Debt Facilities, Credit Facilities, Term Loan and Bonds Payable | ||||
Long term debt | $ 568,403 | $ 671,060 | ||
Weighted average variable interest rate | 3.56% | 2.50% | ||
Final Maturity | Jun. 30, 2020 | |||
TL Revolving Credit Facility II | ||||
Secured Debt Facilities, Credit Facilities, Term Loan and Bonds Payable | ||||
Long term debt | $ 150,906 | $ 174,005 | ||
Weighted average variable interest rate | 3.55% | 2.44% | ||
Final Maturity | Jul. 31, 2020 | |||
TW Revolving Credit Facility | ||||
Secured Debt Facilities, Credit Facilities, Term Loan and Bonds Payable | ||||
Long term debt | $ 97,148 | $ 122,723 | ||
Weighted average variable interest rate | 3.38% | 2.63% | ||
Final Maturity | Sep. 30, 2026 | |||
TAP Funding Revolving Credit Facility | ||||
Secured Debt Facilities, Credit Facilities, Term Loan and Bonds Payable | ||||
Long term debt | $ 163,276 | $ 149,230 | ||
Weighted average variable interest rate | 3.43% | 2.45% | ||
Final Maturity | Dec. 31, 2021 | |||
TL Term Loan | ||||
Secured Debt Facilities, Credit Facilities, Term Loan and Bonds Payable | ||||
Long term debt | $ 352,555 | $ 394,732 | ||
Weighted average variable interest rate | 3.69% | 2.59% | ||
Final Maturity | Apr. 30, 2019 | |||
2013-1 Bonds | ||||
Secured Debt Facilities, Credit Facilities, Term Loan and Bonds Payable | ||||
Long term debt | $ 200,595 | |||
Fixed interest rate | 3.90% | |||
Final Maturity | Sep. 30, 2038 | |||
2014-1 Bonds | ||||
Secured Debt Facilities, Credit Facilities, Term Loan and Bonds Payable | ||||
Long term debt | $ 233,827 | |||
Fixed interest rate | 3.27% | |||
Final Maturity | Oct. 31, 2039 | |||
2017-1 Bonds | ||||
Secured Debt Facilities, Credit Facilities, Term Loan and Bonds Payable | ||||
Long term debt | $ 390,013 | |||
Fixed interest rate | 3.91% | |||
Final Maturity | May 31, 2042 | |||
2017-2 Bonds | ||||
Secured Debt Facilities, Credit Facilities, Term Loan and Bonds Payable | ||||
Long term debt | $ 475,408 | |||
Fixed interest rate | 3.73% | |||
Final Maturity | Jun. 30, 2042 | |||
[1] | Certain amounts as of December 31, 2016 have been restated for immaterial corrections of identified errors related to the calculation of gain on sale of containers, net, to properly account for lease concessions (see Note 2 "Immaterial Correction of Errors in Prior Periods") and to reclassify debt balances to conform with the 2017 presentation. | |||
[2] | Final maturity of the TMCL II Secured Debt Facility and TMCL IV Secured Debt Facility are based on the assumptions that both facilities will not be extended on their associated conversion dates. | |||
[3] | On January 31, 2018, the TMCL IV Secured Debt Facility was terminated and the unpaid debt amount was fully repaid by proceeds primarily from the TL Revolving Credit Facility (see Note 17 “Subsequent Events”). |
Secured Debt Facilities, Cred82
Secured Debt Facilities, Credit Facilities, Term Loan and Bonds Payable, and Derivative Instruments - Additional Information (Detail) - USD ($) | Jan. 31, 2018 | Jun. 28, 2017 | May 17, 2017 | Apr. 20, 2017 | Feb. 27, 2017 | Aug. 31, 2017 | Jun. 30, 2015 | Jun. 30, 2017 | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Debt Instrument [Line Items] | ||||||||||||
LIBOR plus interest rate | 3.00% | |||||||||||
Write off of unamortized debt issuance cost | $ 458,000 | $ 84,000 | $ 0 | |||||||||
Amount of borrowing based upon asset | $ 406,000,000 | |||||||||||
Assets | 4,380,342,000 | 4,294,026,000 | [1],[2] | $ 4,365,312,000 | ||||||||
Fair value liability of interest rate cap, collar and swap | 81,000 | 1,204,000 | ||||||||||
Fair value asset of interest rate cap, collar and swap | $ 7,787,000 | $ 4,816,000 | ||||||||||
Minimum | TL | Base Rate | ||||||||||||
Debt Instrument [Line Items] | ||||||||||||
LIBOR plus interest rate | 1.50% | |||||||||||
Maximum | TL | Base Rate | ||||||||||||
Debt Instrument [Line Items] | ||||||||||||
LIBOR plus interest rate | 2.00% | |||||||||||
TMCL II Secured Debt Facility | ||||||||||||
Debt Instrument [Line Items] | ||||||||||||
Aggregate maximum commitment amount | $ 1,200,000,000 | |||||||||||
Advance rate for finance lease containers | 80.00% | 72.50% | ||||||||||
Conversion date | Aug. 31, 2020 | |||||||||||
LIBOR plus interest rate | 1.90% | |||||||||||
Write off of unamortized debt issuance cost | $ 238,000 | $ 6,516,000 | ||||||||||
TMCL II Secured Debt Facility | TMCL | ||||||||||||
Debt Instrument [Line Items] | ||||||||||||
Amount of borrowing based upon asset | 159,128,000 | |||||||||||
Assets | 218,145,000 | |||||||||||
TMCL IV Secured Debt Facility | ||||||||||||
Debt Instrument [Line Items] | ||||||||||||
Aggregate maximum commitment amount | $ 300,000,000 | |||||||||||
Debt instrument term | 2 years | |||||||||||
Advance rate for finance lease containers | 80.00% | 72.50% | ||||||||||
Interest payment terms | TMCL IV was required to maintain restricted cash balances on deposit in a designated bank account equal to five months of interest expense. | |||||||||||
TMCL IV Secured Debt Facility | Subsequent Event | ||||||||||||
Debt Instrument [Line Items] | ||||||||||||
Repayments of debt | $ 129,400,000 | |||||||||||
Proceeds from line of credit | 4,792,000 | |||||||||||
TMCL IV Secured Debt Facility | Minimum | ||||||||||||
Debt Instrument [Line Items] | ||||||||||||
Incremental percentage on interest rate margins | 1.95% | |||||||||||
TMCL IV Secured Debt Facility | Maximum | ||||||||||||
Debt Instrument [Line Items] | ||||||||||||
Incremental percentage on interest rate margins | 2.50% | |||||||||||
TL Revolving Credit Facility | ||||||||||||
Debt Instrument [Line Items] | ||||||||||||
Amount of borrowing based upon asset | $ 662,925,000 | |||||||||||
Letters of credit outstanding, amount | 0 | $ 0 | ||||||||||
TL Revolving Credit Facility | TL | ||||||||||||
Debt Instrument [Line Items] | ||||||||||||
Aggregate maximum commitment amount | $ 700,000,000 | |||||||||||
Advance rate for finance lease containers | 84.50% | 85.00% | ||||||||||
Interest payment terms | The TL Revolving Credit Facility provides for payments of interest only during its term beginning on its inception date through June 19, 2020 when all borrowings are due in full. | |||||||||||
TL Revolving Credit Facility | TL | Letter of Credit | ||||||||||||
Debt Instrument [Line Items] | ||||||||||||
Aggregate maximum commitment amount on letters of credit facility | $ 50,000,000 | |||||||||||
TL Revolving Credit Facility | Subsequent Event | ||||||||||||
Debt Instrument [Line Items] | ||||||||||||
Proceeds from line of credit | $ 124,608,000 | |||||||||||
TL Revolving Credit Facility | Minimum | TL | Eurodollar | ||||||||||||
Debt Instrument [Line Items] | ||||||||||||
LIBOR plus interest rate | 2.00% | |||||||||||
TL Revolving Credit Facility | Maximum | TL | Eurodollar | ||||||||||||
Debt Instrument [Line Items] | ||||||||||||
LIBOR plus interest rate | 2.50% | |||||||||||
TMCL Secured Debt Facility | TMCL | ||||||||||||
Debt Instrument [Line Items] | ||||||||||||
Amount of borrowing based upon asset | $ 723,991,000 | |||||||||||
Assets | 1,088,797,000 | |||||||||||
TL Revolving Credit Facility II | ||||||||||||
Debt Instrument [Line Items] | ||||||||||||
Aggregate maximum commitment amount | $ 190,000,000 | |||||||||||
Advance rate for finance lease containers | 84.50% | 85.00% | ||||||||||
Interest payment terms | TL Revolving Credit Facility II provides for payments of interest only during its term beginning on its inception date through July 23, 2020, when all borrowings are due in full. | |||||||||||
Amount of borrowing based upon asset | $ 156,110,000 | |||||||||||
TL Revolving Credit Facility II | Minimum | Eurodollar | ||||||||||||
Debt Instrument [Line Items] | ||||||||||||
LIBOR plus interest rate | 2.00% | |||||||||||
TL Revolving Credit Facility II | Minimum | Base Rate | ||||||||||||
Debt Instrument [Line Items] | ||||||||||||
LIBOR plus interest rate | 1.50% | |||||||||||
TL Revolving Credit Facility II | Maximum | Eurodollar | ||||||||||||
Debt Instrument [Line Items] | ||||||||||||
LIBOR plus interest rate | 2.50% | |||||||||||
TL Revolving Credit Facility II | Maximum | Base Rate | ||||||||||||
Debt Instrument [Line Items] | ||||||||||||
LIBOR plus interest rate | 2.00% | |||||||||||
TW Revolving Credit Facility | ||||||||||||
Debt Instrument [Line Items] | ||||||||||||
Amount of borrowing based upon asset | $ 106,786,000 | |||||||||||
Assets | 134,997,000 | |||||||||||
TW Revolving Credit Facility | TW | ||||||||||||
Debt Instrument [Line Items] | ||||||||||||
Aggregate maximum commitment amount | $ 300,000,000 | |||||||||||
Advance rate for finance lease containers | 90.00% | 80.00% | ||||||||||
Line of credit facility, expiration date | Jul. 29, 2016 | |||||||||||
TW Revolving Credit Facility | TW | LIBOR | ||||||||||||
Debt Instrument [Line Items] | ||||||||||||
LIBOR plus interest rate | 2.00% | |||||||||||
TAP Funding Revolving Credit Facility | ||||||||||||
Debt Instrument [Line Items] | ||||||||||||
Aggregate maximum commitment amount | $ 190,000,000 | |||||||||||
LIBOR plus interest rate | 1.95% | |||||||||||
Advance rate for finance lease containers | 80.00% | 77.00% | ||||||||||
Assets | $ 220,747,000 | |||||||||||
TAP Funding Revolving Credit Facility | Tap Funding Limited | ||||||||||||
Debt Instrument [Line Items] | ||||||||||||
Assets | $ 164,213,000 | |||||||||||
TL Term Loan | ||||||||||||
Debt Instrument [Line Items] | ||||||||||||
Debt instrument term | 5 years | |||||||||||
Advance rate for finance lease containers | 84.50% | 85.00% | ||||||||||
Assets | $ 364,186,000 | |||||||||||
Bonds issued | $ 500,000,000 | |||||||||||
Number of quarterly installments | Under the terms of the TL Term Loan, scheduled principal repayments are payable in twenty quarterly installments, consisting of nineteen quarterly installments, commencing on September 30, 2014, each in an amount equal to 1.58% of the initial principal balance and one final installment payable on the Maturity Date (April 30, 2019). | |||||||||||
Interest payment terms | Interest payments are payable in arrears on the last day of each interest period, not to exceed three months. | |||||||||||
TL Term Loan | Nineteen quarterly installments commencing on September 30, 2014 | ||||||||||||
Debt Instrument [Line Items] | ||||||||||||
Percent of principal balance payment | 1.58% | |||||||||||
TL Term Loan | Minimum | Base Rate | ||||||||||||
Debt Instrument [Line Items] | ||||||||||||
LIBOR plus interest rate | 1.50% | |||||||||||
TL Term Loan | Minimum | LIBOR | ||||||||||||
Debt Instrument [Line Items] | ||||||||||||
LIBOR plus interest rate | 2.00% | |||||||||||
TL Term Loan | Maximum | Base Rate | ||||||||||||
Debt Instrument [Line Items] | ||||||||||||
LIBOR plus interest rate | 2.00% | |||||||||||
TL Term Loan | Maximum | LIBOR | ||||||||||||
Debt Instrument [Line Items] | ||||||||||||
LIBOR plus interest rate | 2.50% | |||||||||||
2013-1 Bonds | ||||||||||||
Debt Instrument [Line Items] | ||||||||||||
Repayments of debt | 195,585,000 | |||||||||||
Bonds issued | $ 300,900,000 | |||||||||||
Bonds issued, percentage of par value | 99.50% | |||||||||||
Bonds issued, discount | $ 1,542,000 | |||||||||||
Target final payment date | Sep. 20, 2023 | |||||||||||
Legal final payment date | Sep. 20, 2038 | |||||||||||
Write off unamortized debt issuance costs and bond discounts | $ 7,228,000 | |||||||||||
2013-1 Bonds | Minimum | ||||||||||||
Debt Instrument [Line Items] | ||||||||||||
Scheduled payment term | 10 years | |||||||||||
2013-1 Bonds | Maximum | ||||||||||||
Debt Instrument [Line Items] | ||||||||||||
Scheduled payment term | 25 years | |||||||||||
2014-1 Bonds | ||||||||||||
Debt Instrument [Line Items] | ||||||||||||
Repayments of debt | $ 228,562,000 | |||||||||||
Bonds issued | $ 301,400,000 | |||||||||||
Bonds issued, percentage of par value | 99.90% | |||||||||||
Bonds issued, discount | $ 102,000 | |||||||||||
Target final payment date | Oct. 20, 2024 | |||||||||||
Legal final payment date | Oct. 20, 2039 | |||||||||||
Write off unamortized debt issuance costs and bond discounts | $ 7,228,000 | |||||||||||
2014-1 Bonds | Minimum | ||||||||||||
Debt Instrument [Line Items] | ||||||||||||
Scheduled payment term | 10 years | |||||||||||
2014-1 Bonds | Maximum | ||||||||||||
Debt Instrument [Line Items] | ||||||||||||
Scheduled payment term | 25 years | |||||||||||
2017-1 Bonds | ||||||||||||
Debt Instrument [Line Items] | ||||||||||||
Assets | $ 395,892,000 | |||||||||||
Bonds issued, percentage of par value | 75.20% | |||||||||||
Target final payment date | May 20, 2026 | |||||||||||
Legal final payment date | May 20, 2042 | |||||||||||
Principal amortization per year | $ 420,000,000 | |||||||||||
2017-1 Bonds | Class A Secured Debt Facility | ||||||||||||
Debt Instrument [Line Items] | ||||||||||||
Bonds issued | 350,000,000 | |||||||||||
2017-1 Bonds | Class B Secured Debt Facility | ||||||||||||
Debt Instrument [Line Items] | ||||||||||||
Bonds issued | $ 70,000,000 | |||||||||||
2017-1 Bonds | Minimum | ||||||||||||
Debt Instrument [Line Items] | ||||||||||||
Scheduled payment term | 9 years | |||||||||||
2017-1 Bonds | Maximum | ||||||||||||
Debt Instrument [Line Items] | ||||||||||||
Scheduled payment term | 25 years | |||||||||||
2017-2 Bonds | ||||||||||||
Debt Instrument [Line Items] | ||||||||||||
Assets | 482,198,000 | |||||||||||
Bonds issued, percentage of par value | 77.60% | |||||||||||
Target final payment date | Jun. 20, 2026 | |||||||||||
Legal final payment date | Jun. 20, 2042 | |||||||||||
Principal amortization per year | $ 500,000,000 | |||||||||||
2017-2 Bonds | Class A Secured Debt Facility | ||||||||||||
Debt Instrument [Line Items] | ||||||||||||
Bonds issued | 416,000,000 | |||||||||||
2017-2 Bonds | Class B Secured Debt Facility | ||||||||||||
Debt Instrument [Line Items] | ||||||||||||
Bonds issued | $ 84,000,000 | |||||||||||
2017-2 Bonds | Minimum | ||||||||||||
Debt Instrument [Line Items] | ||||||||||||
Scheduled payment term | 9 years | |||||||||||
2017-2 Bonds | Maximum | ||||||||||||
Debt Instrument [Line Items] | ||||||||||||
Scheduled payment term | 25 years | |||||||||||
TMCL V | ||||||||||||
Debt Instrument [Line Items] | ||||||||||||
Assets | $ 1,179,021,000 | |||||||||||
[1] | Amounts for the years ended December 31, 2016 have been restated for immaterial corrections of identified errors pertaining to the calculation of the gains on sale of containers, net and to properly account for lease concessions (see Note 2 “Immaterial Correction of Errors in Prior Periods”). | |||||||||||
[2] | Certain amounts as of December 31, 2016 have been restated for immaterial corrections of identified errors related to the calculation of gain on sale of containers, net, to properly account for lease concessions (see Note 2 "Immaterial Correction of Errors in Prior Periods") and to reclassify debt balances to conform with the 2017 presentation. |
Future Scheduled Repayments (De
Future Scheduled Repayments (Detail) | Dec. 31, 2017USD ($) | |
Debt Instrument [Line Items] | ||
2,018 | $ 237,685,000 | [1] |
2,019 | 509,153,000 | [1] |
2,020 | 831,705,000 | [1] |
2,021 | 326,816,000 | [1] |
2022 and thereafter | 1,109,057,000 | [1] |
Long Term Debt, Carrying Amount, Total | 3,014,416,000 | [1] |
Available Borrowing, as Limited by the Borrowing Base | 159,841,000 | [1] |
Current and Available Borrowing | 3,174,257,000 | [1] |
TMCL II Secured Debt Facility | ||
Debt Instrument [Line Items] | ||
2,020 | 22,136,000 | [2] |
2,021 | 66,475,000 | [2] |
2022 and thereafter | 576,140,000 | [2] |
Long Term Debt, Carrying Amount, Total | 664,751,000 | [2] |
Available Borrowing, as Limited by the Borrowing Base | 58,648,000 | [2] |
Current and Available Borrowing | 723,399,000 | [2] |
TMCL IV Secured Debt Facility | ||
Debt Instrument [Line Items] | ||
2,018 | 48,000,000 | [2],[3] |
2,019 | 48,000,000 | [2],[3] |
2,020 | 37,000,000 | [2],[3] |
Long Term Debt, Carrying Amount, Total | 133,000,000 | [2],[3] |
Available Borrowing, as Limited by the Borrowing Base | 26,127,000 | [2],[3] |
Current and Available Borrowing | 159,127,000 | [2],[3] |
TL Revolving Credit Facility | ||
Debt Instrument [Line Items] | ||
2,020 | 574,000,000 | |
Long Term Debt, Carrying Amount, Total | 574,000,000 | |
Available Borrowing, as Limited by the Borrowing Base | 70,956,000 | |
Current and Available Borrowing | 644,956,000 | |
TL Revolving Credit Facility II | ||
Debt Instrument [Line Items] | ||
2,018 | 36,000,000 | |
2,019 | 36,000,000 | |
2,020 | 80,000,000 | |
Long Term Debt, Carrying Amount, Total | 152,000,000 | |
Available Borrowing, as Limited by the Borrowing Base | 4,110,000 | |
Current and Available Borrowing | 156,110,000 | |
TW Credit Facility | ||
Debt Instrument [Line Items] | ||
2,018 | 26,793,000 | |
2,019 | 21,854,000 | |
2,020 | 25,654,000 | |
2,021 | 17,009,000 | |
2022 and thereafter | 5,838,000 | |
Long Term Debt, Carrying Amount, Total | 97,148,000 | |
Current and Available Borrowing | 97,148,000 | |
TAP Funding Revolving Credit Facility | ||
Debt Instrument [Line Items] | ||
2,018 | 9,600,000 | |
2,019 | 9,600,000 | |
2,020 | 9,600,000 | |
2,021 | 135,900,000 | |
Long Term Debt, Carrying Amount, Total | 164,700,000 | |
Current and Available Borrowing | 164,700,000 | |
TL Term Loan | ||
Debt Instrument [Line Items] | ||
2,018 | 39,600,000 | |
2,019 | 314,400,000 | |
Long Term Debt, Carrying Amount, Total | 354,000,000 | |
Current and Available Borrowing | 354,000,000 | |
2017-1 Bonds | ||
Debt Instrument [Line Items] | ||
2,018 | 37,065,000 | |
2,019 | 38,331,000 | |
2,020 | 39,357,000 | |
2,021 | 52,173,000 | |
2022 and thereafter | 227,349,000 | |
Long Term Debt, Carrying Amount, Total | 394,275,000 | |
Current and Available Borrowing | 394,275,000 | |
2017-2 Bonds | ||
Debt Instrument [Line Items] | ||
2,018 | 40,627,000 | [4] |
2,019 | 40,968,000 | [4] |
2,020 | 43,958,000 | [4] |
2,021 | 55,259,000 | [4] |
2022 and thereafter | 299,730,000 | [4] |
Long Term Debt, Carrying Amount, Total | 480,542,000 | [4] |
Current and Available Borrowing | $ 480,542,000 | [4] |
[1] | Future scheduled payments for all debts exclude prepaid debt issuance costs in an aggregate amount of $24,034. | |
[2] | Future scheduled payments for TMCL II and TMCL IV Secured Debt Facility are based on the assumptions that both facilities will not be extended on their associated conversion dates. | |
[3] | On January 31, 2018, the TMCL IV Secured Debt Facility was termination and the unpaid debt amount was fully repaid by proceeds primarily from the TL Revolving Credit Facility (see Note 17 “Subsequent Events”). | |
[4] | Future scheduled payments for 2017-2 Bonds exclude an unamortized discount of $75 |
Future Scheduled Repayments (Pa
Future Scheduled Repayments (Parenthetical) (Detail) $ in Thousands | Dec. 31, 2017USD ($) |
Debt Instrument [Line Items] | |
Prepaid debt issuance costs | $ 24,034 |
2017-2 Bonds | |
Debt Instrument [Line Items] | |
Debt instrument exclude an unamortized discount | $ 75 |
Summary of Derivative Instrumen
Summary of Derivative Instruments (Detail) $ in Thousands | Dec. 31, 2017USD ($) |
Derivative [Line Items] | |
Notional amounts | $ 1,284,243 |
Interest rate swaps, collars and caps | Amortizing | |
Derivative [Line Items] | |
Notional amounts | 1,067,530 |
Interest Rate Collar Contract | Amortizing | |
Derivative [Line Items] | |
Notional amounts | 78,713 |
Interest rate cap | Non-Amortizing | |
Derivative [Line Items] | |
Notional amounts | $ 138,000 |
Summary of Derivative Instrum86
Summary of Derivative Instruments (Parenthetical) (Detail) | 12 Months Ended |
Dec. 31, 2017 | |
Interest rate swaps, collars and caps | |
Derivative [Line Items] | |
Derivative term | through July 15, 2023 |
Interest rate swaps, collars and caps | Minimum | |
Derivative [Line Items] | |
Fixed interest rate on derivative contracts | 0.60% |
Interest rate swaps, collars and caps | Maximum | |
Derivative [Line Items] | |
Fixed interest rate on derivative contracts | 1.98% |
Interest Rate Collar Contract | |
Derivative [Line Items] | |
Derivative term | through June 15, 2023 |
Interest Rate Collar Contract | Minimum | |
Derivative [Line Items] | |
Cap interest rate on derivative contracts | 1.26% |
Floor interest rate on derivative contracts | 0.76% |
Interest Rate Collar Contract | Maximum | |
Derivative [Line Items] | |
Cap interest rate on derivative contracts | 2.18% |
Floor interest rate on derivative contracts | 1.68% |
Interest rate cap | |
Derivative [Line Items] | |
Derivative term | through December 15, 2019 |
Interest rate cap | Minimum | |
Derivative [Line Items] | |
Floor interest rate on derivative contracts | 3.70% |
Interest rate cap | Maximum | |
Derivative [Line Items] | |
Fixed interest rate on derivative contracts | 4.49% |
Segment Information - Additiona
Segment Information - Additional Information (Detail) | 12 Months Ended |
Dec. 31, 2017Segment | |
Segment Reporting [Abstract] | |
Number of reportable segments | 3 |
Segment Information Reconciled
Segment Information Reconciled to Income Before Income Tax and Noncontrolling Interest (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |||
Segment Reporting Information [Line Items] | |||||
Lease rental income | $ 444,888 | $ 460,427 | [1],[2],[3] | $ 512,544 | |
Management fees | 14,994 | 13,420 | [1],[3] | 15,610 | |
Trading container sales proceeds | 4,758 | 15,628 | [2],[3],[4] | 12,670 | |
Gain on sale of containers, net | 26,210 | 6,761 | [2],[3],[4] | 3,454 | |
Total revenue | 490,850 | 496,236 | [2],[3] | 544,278 | |
Depreciation expense | 231,043 | 236,144 | [2],[3],[5] | 191,930 | |
Container impairment | 8,072 | 94,623 | [2],[3],[5] | 35,345 | |
Interest expense | [6] | 117,475 | 85,215 | [2],[3] | 76,063 |
Write-off of unamortized deferred debt issuance costs and bond discounts | [6] | 7,550 | 458 | ||
Unrealized gains (losses) on interest rate swaps, collars and caps, net | 4,094 | 6,210 | [2],[3],[5] | (1,947) | |
Segment (loss) income before income tax and noncontrolling interests | 22,360 | (61,323) | [2],[3] | 120,679 | |
Total assets | 4,380,342 | 4,294,026 | [2],[7] | 4,365,312 | |
Purchases of long-lived assets | 419,222 | 476,162 | [2] | 511,339 | |
Container Ownership | |||||
Segment Reporting Information [Line Items] | |||||
Lease rental income | 442,219 | 458,246 | [2] | 510,954 | |
Gain on sale of containers, net | 26,210 | 6,761 | [2] | 3,454 | |
Total revenue | 468,695 | 465,298 | [2] | 514,725 | |
Depreciation expense | 236,577 | 241,498 | [2] | 197,084 | |
Container impairment | 8,072 | 94,623 | [2] | 35,345 | |
Interest expense | 117,475 | 85,215 | [2] | 76,063 | |
Write-off of unamortized deferred debt issuance costs and bond discounts | 7,550 | 458 | |||
Unrealized gains (losses) on interest rate swaps, collars and caps, net | 4,094 | 6,210 | [2] | (1,947) | |
Segment (loss) income before income tax and noncontrolling interests | (1,707) | (84,252) | [2] | 88,536 | |
Total assets | 4,316,272 | 4,261,296 | [2] | 4,348,196 | |
Purchases of long-lived assets | 418,288 | 474,956 | [2] | 510,269 | |
Container Management | |||||
Segment Reporting Information [Line Items] | |||||
Lease rental income | 2,669 | 2,181 | [2] | 1,590 | |
Management fees | 39,529 | 38,080 | [2] | 45,620 | |
Total revenue | 52,151 | 50,337 | [2] | 59,212 | |
Depreciation expense | 776 | 876 | [2] | 792 | |
Segment (loss) income before income tax and noncontrolling interests | 15,376 | 18,134 | [2] | 26,305 | |
Total assets | 139,989 | 89,905 | [2] | 117,033 | |
Purchases of long-lived assets | 934 | 1,206 | [2] | 1,070 | |
Container Resale | |||||
Segment Reporting Information [Line Items] | |||||
Management fees | 9,477 | 8,493 | [2] | 10,104 | |
Trading container sales proceeds | 4,758 | 15,628 | [2] | 12,670 | |
Total revenue | 19,010 | 27,174 | [2] | 26,065 | |
Segment (loss) income before income tax and noncontrolling interests | 10,854 | 6,178 | [2] | 9,335 | |
Total assets | 10,873 | 6,010 | [2] | 5,210 | |
Other | |||||
Segment Reporting Information [Line Items] | |||||
Segment (loss) income before income tax and noncontrolling interests | (3,568) | (3,016) | [2] | (4,283) | |
Total assets | 6,859 | 4,900 | [2] | 7,251 | |
External Customers | |||||
Segment Reporting Information [Line Items] | |||||
Management fees | 14,994 | 13,420 | [2] | 15,610 | |
External Customers | Container Ownership | |||||
Segment Reporting Information [Line Items] | |||||
Management fees | 266 | 291 | [2] | 317 | |
External Customers | Container Management | |||||
Segment Reporting Information [Line Items] | |||||
Management fees | 9,953 | 10,076 | [2] | 12,002 | |
External Customers | Container Resale | |||||
Segment Reporting Information [Line Items] | |||||
Management fees | 4,775 | 3,053 | [2] | 3,291 | |
Eliminations | |||||
Segment Reporting Information [Line Items] | |||||
Management fees | (49,006) | (46,573) | [2] | (55,724) | |
Total revenue | (49,006) | (46,573) | [2] | (55,724) | |
Depreciation expense | (6,310) | (6,230) | [2] | (5,946) | |
Segment (loss) income before income tax and noncontrolling interests | 1,405 | 1,633 | [2] | 786 | |
Total assets | $ (93,651) | $ (68,085) | [2] | $ (112,378) | |
[1] | Amounts for the year ended December 31, 2016 have been restated for immaterial corrections of identified errors pertaining to properly account for lease concessions (see Note 2 “Immaterial Correction of Errors in Prior Periods”). | ||||
[2] | Amounts for the years ended December 31, 2016 have been restated for immaterial corrections of identified errors pertaining to the calculation of the gains on sale of containers, net and to properly account for lease concessions (see Note 2 “Immaterial Correction of Errors in Prior Periods”). | ||||
[3] | Certain amounts for the year ended December 31, 2016 have been restated for immaterial corrections of identified errors pertaining to the calculation of gain on sale of containers, net and to properly account for lease concessions (see Note 2 “Immaterial Correction of Errors in Prior Periods”). | ||||
[4] | Amounts for the year ended December 31, 2016 have been restated for immaterial corrections of identified errors pertaining to the calculation of gain on sale of containers, net (see Note 2 “Immaterial Correction of Errors in Prior Periods”). | ||||
[5] | Certain amounts for the years ended December 31, 2016 and 2015 have been restated for immaterial corrections of identified errors related to the calculation of gain on sale of containers, net, to properly account for lease concessions (see Note 2 "Immaterial Correction of Errors in Prior Periods"), to reclassify debt balances in order to conform with the 2017 presentation and for the adoption of Accounting Standards Update No. 2016-15, Statement of Cash Flows (Topic230): Classification of Certain Cash Receipts and Cash Payments and Accounting Standards Update No. 2016-18, Statement of Cash Flows (Topic 230): Restricted Cash. | ||||
[6] | Amount for the years ended December 31, 2016 and 2015 has been restated to reclassify the write-off of unamortized deferred debt costs and bond discounts out of interest expense to conform with the 2017 presentation. | ||||
[7] | Certain amounts as of December 31, 2016 have been restated for immaterial corrections of identified errors related to the calculation of gain on sale of containers, net, to properly account for lease concessions (see Note 2 "Immaterial Correction of Errors in Prior Periods") and to reclassify debt balances to conform with the 2017 presentation. |
Segment Information Geographic
Segment Information Geographic Allocation of Lease Rental Income and Management Fees (Details) - USD ($) $ in Thousands | 12 Months Ended | |||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | ||
Segment Reporting Information [Line Items] | ||||
Lease rental income | $ 444,888 | $ 460,427 | [1],[2],[3] | $ 512,544 |
Management fees | $ 14,994 | $ 13,420 | [1],[3] | $ 15,610 |
Percent of Total, Lease rental income | 100.00% | 100.00% | 100.00% | |
Percent of Total, Management fees | 100.00% | 100.00% | 100.00% | |
Asia | ||||
Segment Reporting Information [Line Items] | ||||
Lease rental income | $ 231,928 | $ 256,489 | [1] | $ 301,209 |
Management fees | $ 28 | $ 41 | [1] | $ 48 |
Percent of Total, Lease rental income | 52.10% | 55.70% | 58.70% | |
Percent of Total, Management fees | 0.20% | 0.30% | 0.30% | |
Europe | ||||
Segment Reporting Information [Line Items] | ||||
Lease rental income | $ 182,291 | $ 176,164 | [1] | $ 183,785 |
Management fees | $ 3,729 | $ 2,541 | [1] | $ 3,190 |
Percent of Total, Lease rental income | 41.00% | 38.20% | 35.90% | |
Percent of Total, Management fees | 24.90% | 18.90% | 20.40% | |
North / South America | ||||
Segment Reporting Information [Line Items] | ||||
Lease rental income | $ 26,329 | $ 21,929 | [1] | $ 15,957 |
Management fees | $ 1,948 | $ 1,915 | [1] | $ 1,819 |
Percent of Total, Lease rental income | 5.90% | 4.80% | 3.10% | |
Percent of Total, Management fees | 13.00% | 14.30% | 11.70% | |
Bermuda | ||||
Segment Reporting Information [Line Items] | ||||
Management fees | $ 9,074 | $ 8,668 | [1] | $ 10,201 |
Percent of Total, Lease rental income | 0.00% | 0.00% | 0.00% | |
Percent of Total, Management fees | 60.50% | 64.60% | 65.30% | |
All other international | ||||
Segment Reporting Information [Line Items] | ||||
Lease rental income | $ 4,340 | $ 5,845 | [1] | $ 11,593 |
Management fees | $ 215 | $ 255 | [1] | $ 352 |
Percent of Total, Lease rental income | 1.00% | 1.30% | 2.30% | |
Percent of Total, Management fees | 1.40% | 1.90% | 2.30% | |
[1] | Amounts for the year ended December 31, 2016 have been restated for immaterial corrections of identified errors pertaining to properly account for lease concessions (see Note 2 “Immaterial Correction of Errors in Prior Periods”). | |||
[2] | Amounts for the years ended December 31, 2016 have been restated for immaterial corrections of identified errors pertaining to the calculation of the gains on sale of containers, net and to properly account for lease concessions (see Note 2 “Immaterial Correction of Errors in Prior Periods”). | |||
[3] | Certain amounts for the year ended December 31, 2016 have been restated for immaterial corrections of identified errors pertaining to the calculation of gain on sale of containers, net and to properly account for lease concessions (see Note 2 “Immaterial Correction of Errors in Prior Periods”). |
Segment Information Geographi90
Segment Information Geographic Allocation of Trading Container Sales Proceeds and Gains on Sale of Containers Net (Detail) - USD ($) $ in Thousands | 12 Months Ended | |||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | ||
Segment Reporting Information [Line Items] | ||||
Trading container sales proceeds | $ 4,758 | $ 15,628 | [1],[2],[3] | $ 12,670 |
Gain (loss) on sale of containers, net | $ 26,210 | $ 6,761 | [1],[2],[3] | $ 3,454 |
Percent of Total, Trading container sales proceeds | 100.00% | 100.00% | 100.00% | |
Percent of Total, Gain (loss) on sale of containers, net | 100.00% | 100.00% | 100.00% | |
Asia | ||||
Segment Reporting Information [Line Items] | ||||
Trading container sales proceeds | $ 3,349 | $ 11,647 | [1] | $ 6,401 |
Gain (loss) on sale of containers, net | $ 18,321 | $ 6,015 | [1] | $ 929 |
Percent of Total, Trading container sales proceeds | 70.40% | 74.50% | 50.50% | |
Percent of Total, Gain (loss) on sale of containers, net | 69.90% | 89.00% | 26.90% | |
Europe | ||||
Segment Reporting Information [Line Items] | ||||
Trading container sales proceeds | $ 593 | $ 1,033 | [1] | $ 3,688 |
Gain (loss) on sale of containers, net | $ 2,994 | $ 1,576 | [1] | $ (490) |
Percent of Total, Trading container sales proceeds | 12.50% | 6.60% | 29.10% | |
Percent of Total, Gain (loss) on sale of containers, net | 11.40% | 23.30% | (14.20%) | |
North / South America | ||||
Segment Reporting Information [Line Items] | ||||
Trading container sales proceeds | $ 816 | $ 2,948 | [1] | $ 2,581 |
Gain (loss) on sale of containers, net | $ 5,002 | $ 1,855 | [1] | $ 3,022 |
Percent of Total, Trading container sales proceeds | 17.20% | 18.90% | 20.40% | |
Percent of Total, Gain (loss) on sale of containers, net | 19.10% | 27.40% | 87.50% | |
Bermuda | ||||
Segment Reporting Information [Line Items] | ||||
Percent of Total, Trading container sales proceeds | 0.00% | 0.00% | ||
Percent of Total, Gain (loss) on sale of containers, net | 0.00% | 0.00% | 0.00% | |
All other international | ||||
Segment Reporting Information [Line Items] | ||||
Gain (loss) on sale of containers, net | $ (107) | $ (2,685) | [1] | $ (7) |
Percent of Total, Gain (loss) on sale of containers, net | (0.40%) | (39.70%) | (0.20%) | |
[1] | Amounts for the year ended December 31, 2016 have been restated for immaterial corrections of identified errors pertaining to the calculation of gain on sale of containers, net (see Note 2 “Immaterial Correction of Errors in Prior Periods”). | |||
[2] | Amounts for the years ended December 31, 2016 have been restated for immaterial corrections of identified errors pertaining to the calculation of the gains on sale of containers, net and to properly account for lease concessions (see Note 2 “Immaterial Correction of Errors in Prior Periods”). | |||
[3] | Certain amounts for the year ended December 31, 2016 have been restated for immaterial corrections of identified errors pertaining to the calculation of gain on sale of containers, net and to properly account for lease concessions (see Note 2 “Immaterial Correction of Errors in Prior Periods”). |
Commitments and Contingencies -
Commitments and Contingencies - Additional Information (Detail) - USD ($) $ in Thousands | 12 Months Ended | |||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | ||
Commitments and Contingencies Disclosure [Line Items] | ||||
Rent expense | $ 3,432 | $ 1,213 | $ 1,614 | |
Restricted cash | 99,675 | $ 58,078 | [1] | $ 33,917 |
Containers orders placed | 244,990 | |||
TL Revolving Credit Facility | ||||
Commitments and Contingencies Disclosure [Line Items] | ||||
Restricted cash | $ 10,000 | |||
[1] | Certain amounts as of December 31, 2016 have been restated for immaterial corrections of identified errors related to the calculation of gain on sale of containers, net, to properly account for lease concessions (see Note 2 "Immaterial Correction of Errors in Prior Periods") and to reclassify debt balances to conform with the 2017 presentation. |
Minimum Lease Payment under Non
Minimum Lease Payment under Noncancelable Operating Leases (Detail) $ in Thousands | Dec. 31, 2017USD ($) |
Commitments And Contingencies Disclosure [Abstract] | |
2,018 | $ 2,104 |
2,019 | 2,156 |
2,020 | 2,113 |
2,021 | 2,053 |
2022 and thereafter | 11,212 |
Total | $ 19,638 |
Share Option and Restricted S93
Share Option and Restricted Share Unit Plans - Additional Information (Detail) - USD ($) | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Options vest increments per year | 25.00% | ||
Weighted average grant date fair value of share options granted | $ 10.32 | $ 4.01 | $ 3.16 |
Total Compensation cost related to non-vested share option and restricted stock unit not yet recognized | $ 12,797,000 | ||
Total compensation cost related to non-vested shares and restricted stock to be recognized over weighted average period | 3 years | ||
Closing common share price | $ 21.50 | ||
Aggregate intrinsic value of all options exercisable and outstanding | $ 2,034,000 | ||
Aggregate intrinsic value of all options exercised | $ 241,000 | $ 0 | $ 325,000 |
Weighted average contractual life of share options exercisable | 5 years 7 months 6 days | ||
Weighted average contractual life of share options outstanding | 7 years | ||
Granted in 2007, 2008 and 2009 | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Employee's restricted stock units vest increment for the first year | 15.00% | ||
Employee's restricted stock units vest increment for the second year | 15.00% | ||
Employee's restricted stock units vest increment for the third year | 20.00% | ||
Employee's restricted stock units vest increment for the fourth year | 25.00% | ||
Employee's restricted stock units vest increment for the fifth year | 25.00% | ||
Granted in 2010, 2011, 2012 and 2013 | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Employee's restricted stock units vest increment per year | 25.00% | ||
Amendment | 2015 Plan | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Share-based Compensation Arrangement by Share-based Payment Award, Number of Shares Available for Grant | 787,937 |
Summary of Activity in Two Thou
Summary of Activity in Two Thousand Seven Plan (Detail) - $ / shares | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Share options (common share equivalents) | |||
Beginning Balance | 1,431,813 | 1,159,346 | 961,031 |
Options granted during the period | 246,722 | 341,532 | 257,428 |
Options exercised during the period | (65,468) | (32,495) | |
Options expired during the period | (45,638) | (38,317) | (6,532) |
Options forfeited during the period | (42,752) | (30,748) | (20,086) |
Ending Balance | 1,524,677 | 1,431,813 | 1,159,346 |
Options exercisable at period end | 875,083 | ||
Options vested and expected to vest at period end | 1,453,930 | ||
Weighted average exercise price | |||
Beginning Balance | $ 22.41 | $ 26.62 | $ 29.63 |
Options granted during the period | 22.75 | 9.77 | 14.20 |
Options exercised during the period | 14.67 | 11.90 | |
Options expired during the period | 25.55 | 31.33 | 30.99 |
Options forfeited during the period | 16.04 | 29.97 | 33.70 |
Ending Balance | 22.88 | $ 22.41 | $ 26.62 |
Options exercisable at period end | 27.04 | ||
Options vested and expected to vest at period end | $ 23.15 | ||
Restricted Share Units | |||
Restricted share units | |||
Beginning Balance | 693,903 | 617,523 | 633,218 |
Share units granted during the period | 289,800 | 361,152 | 277,336 |
Share units vested during the period | (244,633) | (254,024) | (272,945) |
Share units forfeited during the period | (46,022) | (30,748) | (20,086) |
Ending Balance | 693,048 | 693,903 | 617,523 |
Share units outstanding and expected to vest at period end | 620,950 | ||
Weighted average grant date fair value | |||
Beginning Balance | $ 14.72 | $ 21.70 | $ 27.99 |
Share units granted during the period | 20.82 | 9.81 | 13.01 |
Share units vested during the period | 18.33 | 24.26 | 26 |
Share units forfeited during the period | 14.24 | 25.93 | 30.31 |
Ending Balance | 16.03 | $ 14.72 | $ 21.70 |
Share units outstanding and expected to vest at period end | $ 16.07 |
Summary of Information About Sh
Summary of Information About Share Options Exercisable and Outstanding (Detail) | Dec. 31, 2017$ / sharesshares |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | |
Share options exercisable, number of shares | shares | 1,524,677 |
Share options exercisable, weighted average exercise price | $ 22.88 |
Share options outstanding, number of shares | shares | 875,083 |
Share options outstanding, weighted average exercise price | $ 27.04 |
$ 7.10 | |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | |
Range of per share exercise price | $ 7.10 |
Share options exercisable, number of shares | shares | 10,600 |
Share options exercisable, weighted average exercise price | $ 7.10 |
Share options outstanding, number of shares | shares | 10,600 |
Share options outstanding, weighted average exercise price | $ 7.10 |
$ 9.70 | |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | |
Range of per share exercise price | $ 9.70 |
Share options exercisable, number of shares | shares | 306,666 |
Share options exercisable, weighted average exercise price | $ 9.70 |
Share options outstanding, number of shares | shares | 74,735 |
Share options outstanding, weighted average exercise price | $ 9.70 |
$9.75 - $12.23 | |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | |
Share options exercisable, number of shares | shares | 13,750 |
Share options exercisable, weighted average exercise price | $ 11.55 |
Share options outstanding, number of shares | shares | 2,500 |
Share options outstanding, weighted average exercise price | $ 12.23 |
$9.75 - $12.23 | Minimum | |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | |
Range of per share exercise price | 9.75 |
$9.75 - $12.23 | Maximum | |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | |
Range of per share exercise price | 12.23 |
$ 14.17 | |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | |
Range of per share exercise price | $ 14.17 |
Share options exercisable, number of shares | shares | 219,742 |
Share options exercisable, weighted average exercise price | $ 14.17 |
Share options outstanding, number of shares | shares | 103,843 |
Share options outstanding, weighted average exercise price | $ 14.17 |
$ 16.97 | |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | |
Range of per share exercise price | $ 16.97 |
Share options exercisable, number of shares | shares | 47,410 |
Share options exercisable, weighted average exercise price | $ 16.97 |
Share options outstanding, number of shares | shares | 47,410 |
Share options outstanding, weighted average exercise price | $ 16.97 |
$ 22.95 | |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | |
Range of per share exercise price | $ 22.95 |
Share options exercisable, number of shares | shares | 242,972 |
Share options exercisable, weighted average exercise price | $ 22.95 |
$27.68 - $28.26 | |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | |
Share options exercisable, number of shares | shares | 209,140 |
Share options exercisable, weighted average exercise price | $ 28.12 |
Share options outstanding, number of shares | shares | 208,890 |
Share options outstanding, weighted average exercise price | $ 28.12 |
$27.68 - $28.26 | Minimum | |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | |
Range of per share exercise price | 27.68 |
$27.68 - $28.26 | Maximum | |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | |
Range of per share exercise price | $ 28.26 |
$28.54 - $31.34 | |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | |
Share options exercisable, number of shares | shares | 114,715 |
Share options exercisable, weighted average exercise price | $ 28.78 |
Share options outstanding, number of shares | shares | 114,715 |
Share options outstanding, weighted average exercise price | $ 28.78 |
$28.54 - $31.34 | Minimum | |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | |
Range of per share exercise price | 28.54 |
$28.54 - $31.34 | Maximum | |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | |
Range of per share exercise price | 31.34 |
$ 34.14 | |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | |
Range of per share exercise price | $ 34.14 |
Share options exercisable, number of shares | shares | 190,019 |
Share options exercisable, weighted average exercise price | $ 34.14 |
Share options outstanding, number of shares | shares | 142,727 |
Share options outstanding, weighted average exercise price | $ 34.14 |
$ 38.36 | |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | |
Range of per share exercise price | $ 38.36 |
Share options exercisable, number of shares | shares | 169,663 |
Share options exercisable, weighted average exercise price | $ 38.36 |
Share options outstanding, number of shares | shares | 169,663 |
Share options outstanding, weighted average exercise price | $ 38.36 |
Fair Value of Stock Option Gran
Fair Value of Stock Option Granted Assumptions Used (Detail) | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Disclosure Of Compensation Related Costs Sharebased Payments [Abstract] | |||
Risk-free interest rates | 2.20% | 1.90% | 1.80% |
Expected terms (in years) | 5 years 4 months 24 days | 5 years 2 months 12 days | 5 years 2 months 12 days |
Expected common share price volatilities | 47.40% | 43.70% | 44.50% |
Expected dividends | 0.00% | 0.00% | 6.80% |
Expected forfeitures | 5.90% | 5.30% | 4.00% |
Share Repurchase Program - Addi
Share Repurchase Program - Additional Information (Detail) - USD ($) | 12 Months Ended | |||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | Oct. 29, 2015 | |
Equity Class Of Treasury Stock [Line Items] | ||||
Common stock repurchased, shares | 0 | 0 | 630,000 | |
Common stock repurchased, average price per share | $ 14.52 | |||
Common stock repurchased, value | $ 9,149,000 | |||
Maximum | ||||
Equity Class Of Treasury Stock [Line Items] | ||||
Common stock repurchased program, Authorized amount | $ 100,000,000 |
Subsequent Events - Additional
Subsequent Events - Additional Information (Detail) $ in Thousands | Feb. 15, 2018USD ($) | Feb. 28, 2018USD ($)Property | Dec. 31, 2017USD ($)Property | Dec. 31, 2016Property |
Container Purchases | ||||
Subsequent Event [Line Items] | ||||
Number of containers purchased | Property | 19,802 | 41,100 | ||
Total purchase consideration | $ 19,893 | |||
Subsequent Event | Container Purchases | ||||
Subsequent Event [Line Items] | ||||
Number of containers purchased | Property | 18,000 | |||
Total purchase consideration | $ 13,200 | |||
Subsequent Event | Term Loan | ||||
Subsequent Event [Line Items] | ||||
Debt instrument, amount | $ 300,000 | |||
Debt instrument term | 7 years |
Condensed Statements of Compreh
Condensed Statements of Comprehensive Income (Loss) (Detail) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 12 Months Ended | |||||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | ||||
Operating expenses: | ||||||
General and administrative expense | $ 30,697 | $ 26,311 | [1] | $ 27,645 | ||
Long-term incentive compensation expense | 5,499 | 5,987 | [1] | 7,040 | ||
Total operating expenses | 346,984 | 470,026 | [1] | 332,459 | ||
Loss from operations | 143,866 | 26,210 | [1] | 211,819 | ||
Other (expense) income: | ||||||
Interest income | 613 | 408 | [1] | 125 | ||
Net other expense | (121,506) | (87,533) | [1] | (91,140) | ||
Income tax benefit | (1,618) | 3,447 | [1] | (6,695) | ||
Net income (loss) attributable to Textainer Group Holdings Limited common shareholders | $ 19,365 | $ (52,483) | [1] | $ 108,408 | ||
Net income (loss) attributable to Textainer Group Holdings Limited common shareholders per common share | ||||||
Basic | $ 0.34 | $ (0.93) | [1] | $ 1.90 | ||
Diluted | $ 0.34 | $ (0.93) | [1] | $ 1.90 | ||
Weighted average shares outstanding (in thousands): | ||||||
Basic | 56,845 | 56,608 | [1] | 56,953 | ||
Diluted | 57,159 | 56,608 | [1] | 57,093 | ||
Other comprehensive income: | ||||||
Comprehensive income (loss) attributable to Textainer Group Holdings Limited common shareholders | $ 19,572 | $ (52,716) | [1] | $ 108,168 | ||
Parent Company | ||||||
Operating expenses: | ||||||
General and administrative expense | 2,664 | 2,657 | [2],[3] | 2,966 | [3] | |
Long-term incentive compensation expense | 904 | 363 | [2],[3] | 432 | [3] | |
Total operating expenses | 3,568 | 3,020 | [2],[3] | 3,398 | [3] | |
Loss from operations | (3,568) | (3,020) | [2],[3] | (3,398) | [3] | |
Other (expense) income: | ||||||
Equity in net income (loss) of subsidiaries | 22,933 | (49,470) | [2],[3],[4] | 111,806 | [3] | |
Interest income | [2],[3] | 4 | ||||
Net other expense | 22,933 | (49,466) | [2],[3] | 111,806 | [3] | |
Income (loss) before income tax | 19,365 | (52,486) | [2],[3] | 108,408 | [3] | |
Income tax benefit | 0 | 3 | [2],[3] | 0 | [3] | |
Net income (loss) attributable to Textainer Group Holdings Limited common shareholders | $ 19,365 | $ (52,483) | [2],[3] | $ 108,408 | [3] | |
Net income (loss) attributable to Textainer Group Holdings Limited common shareholders per common share | ||||||
Basic | $ 0.34 | $ (0.93) | [2],[3] | $ 1.90 | [3] | |
Diluted | $ 0.34 | $ (0.93) | [2],[3] | $ 1.90 | [3] | |
Weighted average shares outstanding (in thousands): | ||||||
Basic | 56,845 | 56,608 | [2],[3] | 56,953 | [3] | |
Diluted | 57,159 | 56,608 | [2],[3] | 57,093 | [3] | |
Other comprehensive income: | ||||||
Foreign currency translation adjustments | $ 207 | $ (233) | [2],[3] | $ (240) | [3] | |
Comprehensive income (loss) attributable to Textainer Group Holdings Limited common shareholders | $ 19,572 | $ (52,716) | [2],[3] | $ 108,168 | [3] | |
[1] | Certain amounts for the year ended December 31, 2016 have been restated for immaterial corrections of identified errors pertaining to the calculation of gain on sale of containers, net and to properly account for lease concessions (see Note 2 “Immaterial Correction of Errors in Prior Periods”). | |||||
[2] | Certain amounts for the year ended December 31, 2016 have been restated for immaterial corrections of identified errors pertaining to the calculation of gain on sale of containers, net and to properly account for lease concessions (see Note 2 'Immaterial Correction of Errors in Prior Periods"). | |||||
[3] | Certain amounts for the years ended December 31, 2016 and 2015 have been reclassified to conform with 2017 presentation. | |||||
[4] | Certain amounts for the year ended December 31, 2016 have been restated for immaterial corrections of identified errors related to the calculation of gain on sale of containers, net and to properly account for lease concessions (see Note 2 "Immaterial Correction of Errors in Prior Periods"). |
Condensed Balance Sheets (Detai
Condensed Balance Sheets (Detail) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | [5] | ||
Current assets: | |||||||
Cash and cash equivalents | $ 137,894 | $ 84,045 | [1] | $ 115,594 | |||
Total current assets | 335,292 | 314,657 | [1] | ||||
Total assets | 4,380,342 | 4,294,026 | [1],[2] | 4,365,312 | |||
Current liabilities: | |||||||
Accrued expenses | 13,365 | 9,721 | [1] | ||||
Total current liabilities | 396,366 | 257,249 | [1] | ||||
Textainer Group Holdings Limited shareholders' equity: | |||||||
Common shares | 578 | 575 | [1] | ||||
Additional paid-in capital | 397,821 | 390,780 | [1] | ||||
Treasury shares | (9,149) | (9,149) | [1] | ||||
Accumulated other comprehensive income | (309) | (516) | [1] | ||||
Retained earnings | 763,601 | 744,236 | [1] | ||||
Total Textainer Group Holdings Limited shareholders’ equity | 1,152,542 | 1,125,926 | [1] | ||||
Total liabilities and equity | 4,380,342 | 4,294,026 | [1] | ||||
Parent Company | |||||||
Current assets: | |||||||
Cash and cash equivalents | 5,530 | 2,975 | [3],[4],[5] | $ 5,209 | [4],[5] | $ 2,743 | |
Prepaid expenses | 216 | 173 | [3] | ||||
Due from affiliates, net | 1,020 | 189 | [3] | ||||
Total current assets | 6,766 | 3,337 | [3] | ||||
Investments in subsidiaries | 1,147,157 | 1,124,018 | [3] | ||||
Total assets | 1,153,923 | 1,127,355 | [3] | ||||
Current liabilities: | |||||||
Accrued expenses | 568 | 618 | [3] | ||||
Total current liabilities | 568 | 618 | [3] | ||||
Textainer Group Holdings Limited shareholders' equity: | |||||||
Common shares | 578 | 575 | [3] | ||||
Additional paid-in capital | 398,634 | 391,591 | [3] | ||||
Treasury shares | (9,149) | (9,149) | [3] | ||||
Accumulated other comprehensive income | (309) | (516) | [3] | ||||
Retained earnings | 763,601 | 744,236 | [3] | ||||
Total Textainer Group Holdings Limited shareholders’ equity | 1,153,355 | 1,126,737 | [3] | ||||
Total liabilities and equity | $ 1,153,923 | $ 1,127,355 | [3] | ||||
[1] | Certain amounts as of December 31, 2016 have been restated for immaterial corrections of identified errors related to the calculation of gain on sale of containers, net, to properly account for lease concessions (see Note 2 "Immaterial Correction of Errors in Prior Periods") and to reclassify debt balances to conform with the 2017 presentation. | ||||||
[2] | Amounts for the years ended December 31, 2016 have been restated for immaterial corrections of identified errors pertaining to the calculation of the gains on sale of containers, net and to properly account for lease concessions (see Note 2 “Immaterial Correction of Errors in Prior Periods”). | ||||||
[3] | Certain amounts as of December 31, 2016 have been restated for immaterial corrections of identified errors related to the calculation of gain on sale of containers, net and to properly account for lease concessions (see Note 2 "Immaterial Correction of Errors in Prior Periods"). | ||||||
[4] | Certain amounts for the year ended December 31, 2016 have been restated for immaterial corrections of identified errors related to the calculation of gain on sale of containers, net and to properly account for lease concessions (see Note 2 "Immaterial Correction of Errors in Prior Periods"). | ||||||
[5] | Certain amounts for the years ended December 31, 2016 and 2015 have been reclassified to conform with 2017 presentation. |
Condensed Statements of Cash Fl
Condensed Statements of Cash Flows (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||||||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |||||
Cash flows from operating activities: | |||||||
Net income (loss) attributable to Textainer Group Holdings Limited common shareholders | $ 20,742 | $ (57,876) | [1],[2] | $ 113,984 | |||
Adjustments to reconcile net (loss) income to net cash provided by operating activities: | |||||||
Share-based compensation expense | 6,083 | 6,573 | [2] | 7,743 | |||
Increase (decrease) in: | |||||||
Accrued expenses | 3,556 | 2,905 | [2] | (5,108) | |||
Total adjustments | 230,233 | 335,770 | [2] | 257,974 | |||
Net cash provided by operating activities | 250,975 | 277,894 | [2] | 371,958 | |||
Cash flows from investing activities: | |||||||
Net cash used in investing activities | (85,364) | (280,430) | [2] | (305,627) | |||
Cash flows from financing activities: | |||||||
Purchase of treasury shares | (9,149) | ||||||
Issuance of common shares upon exercise of share options | 961 | 301 | |||||
Dividends paid to shareholders | (28,754) | [2] | (94,079) | ||||
Net cash used in financing activities | (70,372) | (4,619) | [2] | (83,957) | |||
Effect of exchange rate changes | 207 | (233) | [2] | (240) | |||
Cash and cash equivalents, beginning of the year | 84,045 | [3] | 115,594 | ||||
Cash and cash equivalents, end of the year | 137,894 | 84,045 | [3] | 115,594 | |||
Parent Company | |||||||
Cash flows from operating activities: | |||||||
Net income (loss) attributable to Textainer Group Holdings Limited common shareholders | 19,365 | (52,483) | [4],[5] | 108,408 | [5] | ||
Adjustments to reconcile net (loss) income to net cash provided by operating activities: | |||||||
Equity in (income) loss of subsidiaries | (22,933) | 49,470 | [4],[5],[6] | (111,806) | [5] | ||
Dividends received from subsidiaries | [5] | 28,000 | [4] | 100,000 | |||
Share-based compensation expense | 6,083 | 6,573 | [4],[5] | 7,743 | [5] | ||
Decrease (increase) in: | |||||||
Prepaid expenses | (43) | 15 | [4],[5] | 16 | [5] | ||
Increase (decrease) in: | |||||||
Accrued expenses | (50) | (489) | [4],[5] | 454 | [5] | ||
Total adjustments | (16,943) | 83,569 | [4],[5] | (3,593) | [5] | ||
Net cash provided by operating activities | 2,422 | 31,086 | [4],[5] | 104,815 | [5] | ||
Cash flows from investing activities: | |||||||
(Decrease) increase in investments in subsidiaries, net | (204) | (3,969) | [4],[5] | 233 | [5] | ||
Net cash used in investing activities | (204) | (3,969) | [4],[5] | 233 | [5] | ||
Cash flows from financing activities: | |||||||
Purchase of treasury shares | [5] | (9,149) | |||||
Issuance of common shares upon exercise of share options | 961 | 301 | [5] | ||||
Dividends paid to shareholders | [5] | (28,754) | [4] | (94,079) | |||
Due from affiliates, net | (831) | (364) | [4],[5] | 585 | [5] | ||
Net cash used in financing activities | 130 | (29,118) | [4],[5] | (102,342) | [5] | ||
Effect of exchange rate changes | 207 | (233) | [4],[5] | (240) | [5] | ||
Net increase (decrease) in cash and cash equivalents | 2,555 | (2,234) | [4],[5] | 2,466 | [5] | ||
Cash and cash equivalents, beginning of the year | [5] | 2,975 | [4],[7] | 5,209 | [4] | 2,743 | |
Cash and cash equivalents, end of the year | $ 5,530 | $ 2,975 | [4],[5],[7] | $ 5,209 | [4],[5] | ||
[1] | Certain amounts for the year ended December 31, 2016 have been restated for immaterial corrections of identified errors pertaining to the calculation of gain on sale of containers, net and to properly account for lease concessions (see Note 2 “Immaterial Correction of Errors in Prior Periods”). | ||||||
[2] | Certain amounts for the years ended December 31, 2016 and 2015 have been restated for immaterial corrections of identified errors related to the calculation of gain on sale of containers, net, to properly account for lease concessions (see Note 2 "Immaterial Correction of Errors in Prior Periods"), to reclassify debt balances in order to conform with the 2017 presentation and for the adoption of Accounting Standards Update No. 2016-15, Statement of Cash Flows (Topic230): Classification of Certain Cash Receipts and Cash Payments and Accounting Standards Update No. 2016-18, Statement of Cash Flows (Topic 230): Restricted Cash. | ||||||
[3] | Certain amounts as of December 31, 2016 have been restated for immaterial corrections of identified errors related to the calculation of gain on sale of containers, net, to properly account for lease concessions (see Note 2 "Immaterial Correction of Errors in Prior Periods") and to reclassify debt balances to conform with the 2017 presentation. | ||||||
[4] | Certain amounts for the year ended December 31, 2016 have been restated for immaterial corrections of identified errors related to the calculation of gain on sale of containers, net and to properly account for lease concessions (see Note 2 "Immaterial Correction of Errors in Prior Periods"). | ||||||
[5] | Certain amounts for the years ended December 31, 2016 and 2015 have been reclassified to conform with 2017 presentation. | ||||||
[6] | Certain amounts for the year ended December 31, 2016 have been restated for immaterial corrections of identified errors pertaining to the calculation of gain on sale of containers, net and to properly account for lease concessions (see Note 2 'Immaterial Correction of Errors in Prior Periods"). | ||||||
[7] | Certain amounts as of December 31, 2016 have been restated for immaterial corrections of identified errors related to the calculation of gain on sale of containers, net and to properly account for lease concessions (see Note 2 "Immaterial Correction of Errors in Prior Periods"). |
Valuation Accounts (Detail)
Valuation Accounts (Detail) - Accounts receivable, allowance for doubtful accounts - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Valuation and Qualifying Accounts Disclosure [Line Items] | |||
Balance at Beginning of Year | $ 31,844 | $ 14,053 | $ 12,139 |
Additions Charged to Expense | 477 | 21,166 | 5,028 |
Deductions Credited and Write-Offs | (26,546) | (3,375) | (3,114) |
Balance at End of Year | $ 5,775 | $ 31,844 | $ 14,053 |