Document and Entity Information
Document and Entity Information Document - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2020 | Feb. 12, 2021 | Jun. 30, 2020 | |
Cover Page [Abstract] | |||
Document Type | 10-K | ||
Document Annual Report | true | ||
Document Period End Date | Dec. 31, 2020 | ||
Document Transition Report | false | ||
Entity File Number | 1-6903 | ||
Entity Incorporation, State or Country Code | DE | ||
Entity Tax Identification Number | 75-0225040 | ||
Entity Address, Address Line One | 14221 N. Dallas Parkway, Suite 1100 | ||
Entity Address, City or Town | Dallas, | ||
Entity Address, State or Province | TX | ||
Entity Address, Postal Zip Code | 75254-2957 | ||
City Area Code | 214 | ||
Local Phone Number | 631-4420 | ||
Entity Registrant Name | TRINITY INDUSTRIES INC | ||
Entity Central Index Key | 0000099780 | ||
Amendment Flag | false | ||
Document Fiscal Year Focus | 2020 | ||
Document Fiscal Period Focus | FY | ||
Current Fiscal Year End Date | --12-31 | ||
Title of 12(b) Security | Common Stock | ||
Trading Symbol | TRN | ||
Security Exchange Name | NYSE | ||
Entity Well-known Seasoned Issuer | Yes | ||
Entity Voluntary Filers | No | ||
Entity Current Reporting Status | Yes | ||
Entity Interactive Data Current | Yes | ||
Entity Filer Category | Large Accelerated Filer | ||
Entity Small Business | false | ||
Entity Emerging Growth Company | false | ||
Entity Shell Company | false | ||
ICFR Auditor Attestation Flag | true | ||
Entity Public Float | $ 1,934.5 | ||
Entity Common Stock, Shares Outstanding | 110,972,157 |
Consolidated Statements of Oper
Consolidated Statements of Operations - USD ($) shares in Millions | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Revenues: | $ 1,999,400,000 | $ 3,005,100,000 | $ 2,509,100,000 |
Cost of revenues: | 1,508,400,000 | 2,365,700,000 | 1,938,800,000 |
Selling, engineering, and administrative expenses: | 228,400,000 | 262,800,000 | 296,600,000 |
Net gains on railcar lease fleet sales owned more than one year at the time of sale | 17,300,000 | 50,500,000 | 50,400,000 |
Gain (Loss) on Disposition of Other Assets | 3,000,000 | 3,900,000 | (9,000,000) |
Gains (losses) on dispositions of property: | 20,300,000 | 54,400,000 | 41,400,000 |
Impairment of long-lived assets | 396,400,000 | 0 | 0 |
Restructuring activities, net | 11,000,000 | 14,700,000 | 0 |
Total operating profit (loss) | (124,500,000) | 416,300,000 | 315,100,000 |
Interest income | (3,200,000) | (7,300,000) | (11,900,000) |
Interest expense | 219,200,000 | 221,800,000 | 179,300,000 |
Pension plan settlement | (151,500,000) | 0 | 0 |
Other Nonoperating Income | (3,900,000) | ||
Other Nonoperating Expense | 2,500,000 | 1,100,000 | |
Other (income) expense: | 370,000,000 | 215,600,000 | 163,500,000 |
Income (loss) from continuing operations before income taxes | (494,500,000) | 200,700,000 | 151,600,000 |
Current Income Tax Expense (Benefit) | (494,500,000) | 6,700,000 | (15,300,000) |
Provision for deferred income taxes | 226,100,000 | 54,800,000 | 57,900,000 |
Provision (benefit) for income taxes: | (268,400,000) | 61,500,000 | 42,600,000 |
Income (loss) from continuing operations | (226,100,000) | 139,200,000 | 109,000,000 |
Income (loss) from discontinued operations, net of provision (benefit) for income taxes of $(0.1), $(1.0), $30.7 | (100,000) | (3,100,000) | 54,100,000 |
Net income (loss) | (226,200,000) | 136,100,000 | 163,100,000 |
Net income (loss) attributable to noncontrolling interest | (78,900,000) | (1,500,000) | 3,800,000 |
Net income (loss) attributable to Trinity Industries, Inc. | $ (147,300,000) | $ 137,600,000 | $ 159,300,000 |
Income (loss) from continuing operations | $ (1.27) | $ 1.11 | $ 0.72 |
Income (loss) from discontinued operations | 0 | (0.02) | 0.37 |
Basic net income (loss) attributable to Trinity Industries, Inc. | (1.27) | 1.09 | 1.09 |
Income (loss) from continuing operations | (1.27) | 1.09 | 0.70 |
Income (loss) from discontinued operations | 0 | (0.02) | 0.37 |
Diluted net income (loss) attributable to Trinity Industries, Inc. | $ (1.27) | $ 1.07 | $ 1.07 |
Basic weighted average shares outstanding | 115.9 | 125.6 | 144 |
Diluted weighted average shares outstanding | 115.9 | 127.3 | 146.4 |
Manufacturing [Member] | |||
Revenues: | $ 1,197,700,000 | $ 1,888,800,000 | $ 1,667,100,000 |
Cost of revenues: | 1,091,000,000 | 1,649,500,000 | 1,459,800,000 |
Selling, engineering, and administrative expenses: | 79,400,000 | 105,300,000 | 96,400,000 |
Leasing [Member] | |||
Revenues: | 801,700,000 | 1,116,300,000 | 842,000,000 |
Cost of revenues: | 417,400,000 | 716,200,000 | 479,000,000 |
Selling, engineering, and administrative expenses: | 51,300,000 | 49,500,000 | 51,100,000 |
Other [Member] | |||
Selling, engineering, and administrative expenses: | $ 97,700,000 | $ 108,000,000 | $ 149,100,000 |
Consolidated Statements of Comp
Consolidated Statements of Comprehensive Income - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Net income (loss) | $ (226.2) | $ 136.1 | $ 163.1 |
Unrealized losses arising during the period, net of tax benefit of $5.9, $3.8, and $3.0 | (19.4) | (12.8) | (9.6) |
Reclassification adjustments for losses included in net income, net of tax benefit of $3.5, $0.8, and $0.4 | 12.9 | 4.5 | 2.3 |
Settlement of pension plan, net of tax benefit of $34.9, $—, and $— | 116.6 | 0 | 0 |
Unrealized gains (losses) arising during the period, net of tax benefit of $2.7, $9.0, and $2.9 | 7.7 | (30.2) | (9.5) |
Amortization of prior service cost, net of tax benefit of $0.3, $—, and $— | 0.9 | 0 | 0 |
Amortization of net actuarial losses, net of tax benefit of $1.3, $1.1, and $1.1 | 4.7 | 3.5 | 3.6 |
Other comprehensive income (loss): | 123.4 | (35) | (13.2) |
Comprehensive income (loss) | (102.8) | 101.1 | 149.9 |
Less: comprehensive income (loss) attributable to noncontrolling interest | (77.7) | (0.2) | 5.2 |
Comprehensive income (loss) attributable to Trinity Industries, Inc. | $ (25.1) | $ 101.3 | $ 144.7 |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) $ in Millions | Dec. 31, 2020 | Dec. 31, 2019 |
Cash and cash equivalents | $ 132 | $ 166.2 |
Receivables, net of allowance of $14.4 and $12.6 | 199 | 260.1 |
Income tax receivable | 445.8 | 14.7 |
Raw materials and supplies | 176.4 | 263.4 |
Work in process | 52.2 | 108.8 |
Finished goods | 92.6 | 61.2 |
Inventories: | 321.2 | 433.4 |
Restricted cash, including partially-owned subsidiaries of $31.1 and $33.0 | 96.4 | 111.4 |
Property, plant, and equipment, at cost, including partially-owned subsidiaries of $1,931.6 and $2,065.3 | 9,193 | 9,272.5 |
Less accumulated depreciation, including partially-owned subsidiaries of $525.7 and $527.7 | 2,189.6 | 2,161.9 |
Property, Plant and Equipment, Net | 7,003.4 | 7,110.6 |
Goodwill | 208.8 | 208.8 |
Other assets | 295.2 | 396.2 |
Total assets | 8,701.8 | 8,701.4 |
Accounts payable | 156.4 | 203.9 |
Accrued liabilities | 314.7 | 342.1 |
Debt and Lease Obligation | 448.2 | 522.8 |
Non-Recourse Debt | 4,568.8 | 4,359.1 |
Debt: | 5,017 | 4,881.9 |
Deferred income taxes | 1,047.5 | 798.3 |
Other liabilities | 150.2 | 96.3 |
Total liabilities | 6,685.8 | 6,322.5 |
Preferred stock – 1.5 shares authorized and unissued | 0 | 0 |
Common stock – shares authorized at December 31, 2020 and 2019 – 400.0; shares issued and outstanding at December 31, 2020 – 111.2; at December 31, 2019 – 119.7 | 1.1 | 1.2 |
Capital in excess of par value | 0 | 0 |
Retained earnings | 1,769.4 | 2,182.9 |
Accumulated other comprehensive loss | (30.9) | (153.1) |
Treasury stock – shares at December 31, 2020 and 2019 – 0.1 | 0.8 | 0.9 |
Stockholders' Equity Attributable to Parent | 1,738.8 | 2,030.1 |
Noncontrolling interest | 277.2 | 348.8 |
Total stockholders' equity | 2,016 | 2,378.9 |
Total liabilities and stockholders' equity | 8,701.8 | 8,701.4 |
Common Stock [Member] | ||
Total stockholders' equity | 1.1 | 1.2 |
Treasury Stock [Member] | ||
Total stockholders' equity | (0.8) | (0.9) |
Wholly Owned Subsidiaries [Member] | ||
Non-Recourse Debt | 3,340.5 | 3,080.7 |
Partially-Owned Subsidiaries [Member] | ||
Property, plant, and equipment, at cost, including partially-owned subsidiaries of $1,931.6 and $2,065.3 | 1,931.6 | 2,065.3 |
Less accumulated depreciation, including partially-owned subsidiaries of $525.7 and $527.7 | 525.7 | 527.7 |
Non-Recourse Debt | $ 1,228.3 | $ 1,278.4 |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows - USD ($) | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Net income (loss) | $ (226,200,000) | $ 136,100,000 | $ 163,100,000 |
(Income) loss from discontinued operations, net of income taxes | 100,000 | 3,100,000 | (54,100,000) |
Depreciation and amortization | 266,000,000 | 283,600,000 | 251,900,000 |
Stock-based compensation expense | 26,900,000 | 29,200,000 | 29,200,000 |
Provision for deferred income taxes | 226,100,000 | 54,800,000 | 57,900,000 |
Net gains on railcar lease fleet sales owned more than one year at the time of sale | (17,300,000) | (50,500,000) | (50,400,000) |
(Gains) losses on dispositions of property and other assets | (5,500,000) | (3,900,000) | 9,000,000 |
Pension plan settlement | (151,500,000) | 0 | 0 |
Impairment of long-lived assets | 396,400,000 | 0 | 0 |
Non-cash impact of restructuring activities | 5,300,000 | 10,900,000 | 0 |
Non-cash interest expense | 13,700,000 | 16,700,000 | 18,100,000 |
Loss on early extinguishment of debt | 5,000,000 | 0 | 0 |
Other | 100,000 | (4,300,000) | (8,000,000) |
(Increase) decrease in receivables | 59,000,000 | 15,200,000 | (72,100,000) |
(Increase) decrease in income tax receivable | (431,100,000) | 25,700,000 | (16,400,000) |
(Increase) decrease in inventories | 105,300,000 | 91,300,000 | (122,000,000) |
(Increase) decrease in other assets | 146,100,000 | (114,500,000) | (77,300,000) |
Increase (decrease) in accounts payable | (47,500,000) | (10,000,000) | 92,700,000 |
Increase (decrease) in accrued liabilities | (31,100,000) | (82,600,000) | 51,500,000 |
Increase (decrease) in other liabilities | 9,000,000 | (4,100,000) | 1,100,000 |
Net cash provided by operating activities – continuing operations | 651,800,000 | 396,700,000 | 274,200,000 |
Net cash provided by (used in) operating activities – discontinued operations | (100,000) | (3,100,000) | 104,900,000 |
Net cash provided by operating activities | 651,700,000 | 393,600,000 | 379,100,000 |
Decrease in short-term marketable securities | 0 | 0 | 319,500,000 |
Proceeds from dispositions of property and other assets | 32,900,000 | 20,200,000 | 17,100,000 |
Proceeds from railcar lease fleet sales owned more than one year at the time of sale | 138,700,000 | 205,700,000 | 230,500,000 |
Capital expenditures – leasing, net of sold lease fleet railcars owned one year or less with a net cost of $54.0, $319.3, and $92.4 | (602,200,000) | (1,122,200,000) | (948,300,000) |
Capital expenditures – manufacturing and other | (102,300,000) | (97,000,000) | (37,300,000) |
Payments for (Proceeds from) Other Investing Activities | 0 | 0 | 6,200,000 |
Net cash used in investing activities – continuing operations | (532,900,000) | (993,300,000) | (412,300,000) |
Net cash used in investing activities – discontinued operations | 0 | 0 | (78,200,000) |
Net cash used in investing activities | (532,900,000) | (993,300,000) | (490,500,000) |
Payments to retire debt | (1,442,900,000) | (1,724,100,000) | (887,800,000) |
Proceeds from issuance of debt | 1,561,400,000 | 2,567,800,000 | 1,206,600,000 |
Shares repurchased | (191,300,000) | (224,700,000) | (506,100,000) |
Dividends paid to common stockholders | (91,700,000) | (82,100,000) | (77,400,000) |
Purchase of shares to satisfy employee tax on vested stock | (9,500,000) | (8,200,000) | (12,200,000) |
Contributions from (distributions to) noncontrolling interest | (6,100,000) | 2,200,000 | 10,900,000 |
Proceeds from (Payments for) Other Financing Activities | (100,000) | 0 | (3,300,000) |
Net cash provided by (used in) financing activities – continuing operations | (168,000,000) | 526,500,000 | (291,100,000) |
Cash distributions to Arcosa, Inc. | 0 | 0 | (220,500,000) |
Net cash provided by (used in) financing activities | (168,000,000) | 526,500,000 | (511,600,000) |
Net decrease in cash, cash equivalents, and restricted cash | (49,200,000) | (73,200,000) | (623,000,000) |
Cash, Cash Equivalents, Restricted Cash and Restricted Cash Equivalents | 228,400,000 | 277,600,000 | 350,800,000 |
Interest paid | 205,500,000 | 208,100,000 | 158,900,000 |
Income tax payments (refunds) | (62,500,000) | (16,700,000) | 4,100,000 |
Distribution of noncash net assets to Arcosa, Inc. | 0 | 0 | 1,534,900,000 |
Debt assumed in railcar purchase from unrelated seller | $ 0 | $ 0 | $ 283,900,000 |
Consolidated Statements of Stoc
Consolidated Statements of Stockholders' Equity - USD ($) shares in Millions, $ in Millions | Total | Cumulative Effect, Period of Adoption, Adjustment [Member] | Common Stock [Member] | Additional Paid-in Capital [Member] | Retained Earnings [Member] | Retained Earnings [Member]Cumulative Effect, Period of Adoption, Adjustment [Member] | AOCI Attributable to Parent [Member] | AOCI Attributable to Parent [Member]Cumulative Effect, Period of Adoption, Adjustment [Member] | Treasury Stock [Member] | Parent [Member] | Parent [Member]Cumulative Effect, Period of Adoption, Adjustment [Member] | Noncontrolling Interest [Member] | |
Common Stock, Shares, Issued | (150.9) | (0.1) | |||||||||||
Total stockholders' equity | $ 4,858 | $ 1.6 | $ 482.5 | $ 4,123.4 | $ (104.8) | $ (1.6) | $ 4,501.1 | $ 356.9 | |||||
Net income (loss) | 163.1 | 159.3 | 159.3 | 3.8 | |||||||||
Other comprehensive income (loss): | (13.2) | (14.6) | (14.6) | 1.4 | |||||||||
Dividends, Common Stock, Cash | (75.9) | (75.9) | [1] | (75.9) | |||||||||
Stock-based compensation expense | 29.3 | 29.3 | 29.3 | ||||||||||
Shares repurchased | (17.2) | ||||||||||||
Shares repurchased | (500.1) | (75.9) | (145.9) | $ (430.1) | (500.1) | ||||||||
Settlement of share-based awards, net | (0.2) | (0.6) | |||||||||||
Settlement of share-based awards, net | 4.3 | (15.1) | $ 19.4 | 4.3 | |||||||||
Stock options exercised | 0.3 | 0.3 | 0.3 | ||||||||||
Retirement of treasury stock | 17.8 | 17.8 | |||||||||||
Retirement of treasury stock | 0 | $ 0.2 | (449.3) | 0 | $ (449.5) | 0 | |||||||
Distributions to noncontrolling interest | (10.9) | (10.9) | |||||||||||
Cumulative effect of adopting new accounting standards | $ 18.7 | $ (18.7) | |||||||||||
Redemption of convertible subordinated notes | 152.9 | 152.9 | 152.9 | ||||||||||
Distribution of Arcosa, Inc. | 1,732.2 | 1,753.5 | (21.3) | 1,732.2 | |||||||||
Stockholders' Equity, Other | $ (0.8) | $ (0.1) | (0.3) | $ 0.6 | 0.8 | ||||||||
Common Stock, Dividends, Per Share, Declared | $ 0.52 | ||||||||||||
Common Stock, Shares, Issued | (133.3) | (0.1) | |||||||||||
$0.01 Par Value | $ 0.01 | ||||||||||||
Total stockholders' equity | $ 2,562 | $ 1.3 | 1.2 | 2,326.1 | (116.8) | $ (1) | 2,210.8 | 351.2 | |||||
Net income (loss) | 136.1 | 137.6 | 137.6 | (1.5) | |||||||||
Other comprehensive income (loss): | (35) | (36.3) | (36.3) | 1.3 | |||||||||
Dividends, Common Stock, Cash | (88.2) | (88.2) | [1] | (88.2) | |||||||||
Stock-based compensation expense | 29.2 | $ 29.2 | 29.2 | ||||||||||
Shares repurchased | (2.6) | (13.7) | |||||||||||
Shares repurchased | (224.7) | $ (70) | $ (294.7) | (224.7) | |||||||||
Settlement of share-based awards, net | (0.7) | (0.6) | |||||||||||
Settlement of share-based awards, net | 8.5 | (2.8) | $ 11.3 | 8.5 | |||||||||
Retirement of treasury stock | 14.3 | 14.3 | |||||||||||
Retirement of treasury stock | 0 | $ 0.1 | (103.2) | (202.8) | $ (306.1) | 0 | |||||||
Distributions to noncontrolling interest | (2.2) | (2.2) | |||||||||||
Cumulative effect of adopting new accounting standards | $ 13.7 | 13.7 | $ 13.7 | ||||||||||
Stockholders' Equity, Other | $ 3.5 | (3.5) | (3.5) | ||||||||||
Common Stock, Dividends, Per Share, Declared | $ 0.70 | ||||||||||||
Common Stock, Shares, Issued | (119.7) | (0.1) | |||||||||||
$0.01 Par Value | $ 0.01 | ||||||||||||
Total stockholders' equity | $ 2,378.9 | $ 1.2 | 0 | 2,182.9 | (153.1) | $ (0.9) | 2,030.1 | 348.8 | |||||
Net income (loss) | (226.2) | (147.3) | (147.3) | (78.9) | |||||||||
Other comprehensive income (loss): | 123.4 | 122.2 | 122.2 | 1.2 | |||||||||
Dividends, Common Stock, Cash | (90.7) | (90.7) | [1] | (90.7) | |||||||||
Stock-based compensation expense | 26.9 | 26.9 | 26.9 | ||||||||||
Shares repurchased | (9.3) | ||||||||||||
Shares repurchased | (193.1) | $ (193.1) | (193.1) | ||||||||||
Settlement of share-based awards, net | (1.5) | (0.7) | |||||||||||
Settlement of share-based awards, net | 10.3 | (3.6) | $ 13.9 | 10.3 | |||||||||
Retirement of treasury stock | 10 | 10 | |||||||||||
Retirement of treasury stock | 0 | $ 0.1 | (30.5) | (176.5) | $ (207.1) | 0 | |||||||
Contributions from noncontrolling interest | 6.1 | 6.1 | |||||||||||
Cumulative effect of adopting new accounting standards | $ 0.5 | $ 0.5 | $ 0.5 | ||||||||||
Stockholders' Equity, Other | $ (0.5) | 0.5 | 0.5 | ||||||||||
Common Stock, Dividends, Per Share, Declared | $ 0.78 | ||||||||||||
Common Stock, Shares, Issued | (111.2) | (0.1) | |||||||||||
$0.01 Par Value | $ 0.01 | ||||||||||||
Total stockholders' equity | $ 2,016 | $ 1.1 | $ 0 | $ 1,769.4 | $ (30.9) | $ (0.8) | $ 1,738.8 | $ 277.2 | |||||
[1] | Dividends of $0.78, $0.70, and $0.52 per common share for the years ended December 31, 2020, 2019, and 2018. |
Consolidated Statements of Op_2
Consolidated Statements of Operations Parenthetical - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Discontinued Operation, Tax Effect of Discontinued Operation | $ (0.1) | $ (1) | $ 30.7 |
Consolidated Statements of Co_2
Consolidated Statements of Comprehensive Income Parenthetical - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Other Comprehensive Income (Loss), Unrealized Gain (Loss) on Derivatives Arising During Period, Tax | $ (5.9) | $ (3.8) | $ (3) |
Other Comprehensive Income (Loss), Reclassification Adjustment from AOCI on Derivatives, Tax | (3.5) | (0.8) | (0.4) |
Other Comprehensive Income (Loss), Defined Benefit Plan, Adjustment for Settlement or Curtailment Gain (Loss), Tax | 34.9 | 0 | 0 |
Other Comprehensive (Income) Loss, Defined Benefit Plan, after Reclassification Adjustment, Tax | 2.7 | 9 | 2.9 |
Other Comprehensive (Income) Loss, Defined Benefit Plan, Prior Service Cost (Credit), Reclassification Adjustment from AOCI, Tax | (0.3) | 0 | 0 |
Other Comprehensive Income (Loss), Defined Benefit Plan, Gain (Loss), Reclassification Adjustment from AOCI, Tax | $ (1.3) | $ (1.1) | $ (1.1) |
Consolidated Balance Sheets Par
Consolidated Balance Sheets Parenthetical - USD ($) shares in Millions, $ in Millions | Dec. 31, 2020 | Dec. 31, 2019 |
Accounts Receivable, Allowance for Credit Loss | $ 14.4 | $ 12.6 |
Restricted cash, including partially-owned subsidiaries of $31.1 and $33.0 | 96.4 | 111.4 |
Property, plant, and equipment, at cost, including partially-owned subsidiaries of $1,931.6 and $2,065.3 | 9,193 | 9,272.5 |
Less accumulated depreciation, including partially-owned subsidiaries of $525.7 and $527.7 | $ 2,189.6 | $ 2,161.9 |
Preferred Stock, Shares Subscribed but Unissued | 1.5 | 1.5 |
Preferred Stock, Shares Authorized | 1.5 | 1.5 |
Common Stock, Shares Authorized | 400 | 400 |
Common Stock [Member] | ||
Common Stock, Shares, Issued | 111.2 | 119.7 |
Treasury Stock [Member] | ||
Common Stock, Shares, Issued | 0.1 | 0.1 |
Operating Segments [Member] | Railcar Leasing and Management Services Group [Member] | ||
Restricted cash, including partially-owned subsidiaries of $31.1 and $33.0 | $ 96.3 | $ 111.4 |
Partially-Owned Subsidiaries [Member] | ||
Property, plant, and equipment, at cost, including partially-owned subsidiaries of $1,931.6 and $2,065.3 | 1,931.6 | 2,065.3 |
Less accumulated depreciation, including partially-owned subsidiaries of $525.7 and $527.7 | 525.7 | 527.7 |
Partially-Owned Subsidiaries [Member] | Operating Segments [Member] | Railcar Leasing and Management Services Group [Member] | ||
Restricted cash, including partially-owned subsidiaries of $31.1 and $33.0 | $ 31.1 | $ 33 |
Consolidated Statements of Ca_2
Consolidated Statements of Cash Flows Parenthetical - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Payments to Acquire Leasing Assets Net of Sold Railcars Owned One Year or Less Net Cost | $ 54 | $ 319.3 | $ 92.4 |
Note 1. Summary of Significant
Note 1. Summary of Significant Accounting Policies | 12 Months Ended |
Dec. 31, 2020 | |
Accounting Policies [Abstract] | |
Significant Accounting Policies [Text Block] | Note 1. Summary of Significant Accounting Policies Principles of Consolidation The financial statements of Trinity Industries, Inc. and its consolidated subsidiaries (“Trinity,” “Company,” “we,” “our,” or "us") include the accounts of its wholly-owned subsidiaries and its partially-owned subsidiaries, TRIP Rail Holdings LLC ("TRIP Holdings") and RIV 2013 Rail Holdings LLC ("RIV 2013"), in which we have a controlling interest. All significant intercompany accounts and transactions have been eliminated. Spin-off of Arcosa, Inc. Upon completion of the spin-off of Arcosa, Inc. ("Arcosa") on November 1, 2018, the accounting requirements for reporting Arcosa as a discontinued operation were met. Accordingly, Arcosa's results of operations are presented as discontinued operations for all periods in this Form 10-K. See Note 2 for further information related to the spin-off transaction. Revenue Recognition Revenue is measured based on the allocation of the transaction price in a contract to satisfied performance obligations. The transaction price does not include any amounts collected on behalf of third parties. We recognize revenue when we satisfy a performance obligation by transferring control over a product or service to a customer. Payments for our products and services are generally due within normal commercial terms. The following is a description of principal activities from which we generate our revenue, separated by reportable segments. See Note 4 for a further discussion regarding our reportable segments. Railcar Leasing and Management Services Group In our Railcar Leasing and Management Services Group ("Leasing Group"), revenue from rentals and operating leases, including contracts that contain non-level fixed lease payments, is recognized monthly on a straight-line basis. Leases not classified as operating leases are generally considered sales-type leases as a result of an option to purchase. We review our operating lease receivables for collectibility on a regular basis, taking into consideration changes in factors such as the lessee’s payment history, the financial condition of the lessee, and business and economic conditions in the industry in which the lessee operates. In the event that the collectibility of a receivable with respect to any lessee is no longer probable, we derecognize the revenue and related receivable and recognize future revenue only when the lessee makes a rental payment. Contingent rents are recognized when the contingency is resolved. Selling profit or loss associated with sales-type leases is recognized upon lease commencement, and a net investment in the sales-type lease is recorded on the Consolidated Balance Sheet. Interest income related to sales-type leases is recognized over the lease term using the effective interest method. We had no sales-type leases as of December 31, 2020. During the fourth quarter of 2020, we began presenting sales from our lease fleet in the Railcar Leasing and Management Services Group on a net basis regardless of the age of railcar that is sold. Historically, in accordance with ASC 606, Revenue from contracts with customers , we presented sales of railcars from the lease fleet on a gross basis in revenues and cost of revenues if the railcars had been owned for one year or less at the time of sale. Sales of railcars from the lease fleet owned for more than one year had historically been presented as a net gain or loss from the disposal of a long-term asset. We will now report all sales of railcars from the lease fleet as a net gain or loss from the disposal of a long-term asset in accordance with ASC 610-20, Gains and losses from the derecognition of non-financial assets . We have concluded that the new presentation is appropriate given the significant change in the strategic focus of the Company. This change was effected on a prospective basis, beginning in the fourth quarter of 2020. The new presentation had no effect on the Company’s operating profit, net income, earnings per share, or Consolidated Balance Sheet. We account for shipping and handling costs as activities to fulfill the promise to transfer the good; as such, these fees are recorded in revenue. The fees and costs of shipping and handling activities are accrued when the related performance obligation has been satisfied. Rail Products Group Our railcar manufacturing business recognizes revenue when the customer has submitted its certificate of acceptance and legal title of the railcar has passed to the customer. Certain contracts for the sales of railcars include price adjustments based on steel-price indices; this amount represents variable consideration for which we are unable to estimate the final consideration until the railcar is delivered. Within our maintenance services business, revenue is recognized over time as repair and maintenance projects are completed, using an input approach based on the costs incurred relative to the total estimated costs of performing the project. We recorded contract assets of $4.4 million and $5.2 million as of December 31, 2020 and 2019, respectively, related to unbilled revenues recognized on repair and maintenance services that have been performed, but for which the entire project has not yet been completed, and the railcar has not yet been shipped to the customer. These contract assets are included within the Receivables, net of allowance line in our Consolidated Balance Sheets. All Other Our highway products business recognizes revenue when shipment has occurred and legal title of the product has passed to the customer. Unsatisfied Performance Obligations The following table includes estimated revenue expected to be recognized in future periods related to performance obligations that are unsatisfied or partially satisfied as of December 31, 2020 and the percentage of the outstanding performance obligations as of December 31, 2020 expected to be delivered during 2021: Unsatisfied performance obligations at December 31, 2020 Total Percent expected to be delivered in 2021 (in millions) Rail Products Group: Products: External Customers $ 669.0 Leasing Group 345.5 $ 1,014.5 61.0 % Maintenance Services $ 8.2 100.0 % Railcar Leasing and Management Services Group $ 87.3 21.1 % The remainder of the unsatisfied performance obligations for the Rail Products Group is expected to be delivered through 2024. Unsatisfied performance obligations for the Railcar Leasing and Management Services Group are related to servicing, maintenance, and management agreements and are expected to be performed through 2029. Lease Accounting Lessee We are the lessee of operating leases predominantly for railcars, as well as office buildings, manufacturing equipment, and office equipment. Our operating leases have remaining lease terms ranging from one year to sixteen years, some of which include options to extend for up to five years, and some of which include options to terminate within one year. As of December 31, 2020, we had no material finance leases in which we were the lessee. Certain of our operating leases include lease incentives, which reduce the right-of-use asset and are recognized on a straight-line basis over the lease term. As applicable, the lease liability is also reduced by the amount of lease incentives that have not yet been reimbursed by the lessor. In March 2020, we entered into a lease agreement for a new headquarters facility in Dallas, Texas. The new lease has a contractual term of 16 years from the legal commencement date, which was February 1, 2021. There is an option to extend the lease term; however, we determined that the renewal was not reasonably certain at lease inception. For accounting purposes, the lease commencement date was determined to be in April 2020, which is when we obtained control of the new facility for build-out purposes. The following table summarizes the impact of our operating leases on our Consolidated Financial Statements (in millions, except lease term and discount rate): Year Ended 2020 2019 Consolidated Statement of Operations Operating lease expense $ 15.8 $ 18.0 Short-term lease expense $ 2.1 $ 4.1 December 31, 2020 December 31, 2019 Consolidated Balance Sheet Right-of-use assets (1) $ 77.1 $ 44.2 Lease liabilities (2) $ 96.9 $ 44.8 Weighted average remaining lease term 11.3 years 4.8 years Weighted average discount rate 3.3 % 4.1 % Year Ended 2020 2019 Consolidated Statement of Cash Flows Cash flows from operating activities $ 15.8 $ 18.0 Right-of-use assets recognized in exchange for new lease liabilities (3) $ 56.3 $ 10.3 (1) Included in other assets in our Consolidated Balance Sheet. See Note 11 for more information on the impairment of right-of-use assets. (2) Included in other liabilities in our Consolidated Balance Sheet. (3) Includes the commencement of the new headquarters facility described above for the year ended December 31, 2020. Future contractual minimum operating lease liabilities will mature as follows (in millions): Leasing Group Non-Leasing Group Total 2021 $ 8.6 $ 3.6 $ 12.2 2022 7.8 7.4 15.2 2023 6.0 7.5 13.5 2024 2.9 6.3 9.2 2025 0.9 5.8 6.7 Thereafter 0.6 62.8 63.4 Total operating lease payments $ 26.8 $ 93.4 $ 120.2 Less: Present value adjustment (20.3) Less: Lease incentives (3.0) Total operating lease liabilities $ 96.9 Lessor Our Leasing Group enters into railcar operating leases with third parties with terms generally ranging between one year and ten years. The majority of our fleet operates on leases that earn fixed monthly lease payments. Generally, lease payments are due at the beginning of the applicable month. A portion of our fleet operates on per diem leases that earn usage-based variable lease payments. Some of our leases include options to extend the leases for up to five years, and a small percentage of our leases include options to terminate within one year with certain notice requirements and early termination penalties. In the second quarter, due to COVID-19, certain of the Leasing Group's customers requested rent relief, primarily in the form of rent payment extensions. In April 2020, the FASB staff issued a question and answer document (the "Lease Modification Q&A") focused on the application of lease accounting guidance to lease concessions provided as a result of the COVID-19 pandemic. The Lease Modification Q&A provides entities with the option to elect to account for lease concessions resulting from COVID-19 as though the enforceable rights and obligations existed in the original lease in certain circumstances. We have elected this practical expedient in our accounting for any eligible lease concessions provided for our leased railcars. To date, these concessions have not had a significant impact on our Consolidated Financial Statements. Leases previously classified as sales-type leases included an option for the lessee to purchase the leased railcars with certain notice. During the three months ended March 31, 2020, a lessee exercised its option to purchase such leased railcars. As of December 31, 2020, non-Leasing Group operating leases were not significant, and we had no sales-type leases and no direct finance leases. We manage risks associated with residual values of leased railcars by investing across a diverse portfolio of railcar types, staggering lease maturities within any given railcar type, avoiding concentration of railcar type and industry, and active participants in secondary markets. Additionally, our lease agreements contain normal wear and tear return condition provisions and high mileage thresholds designed to protect the value of our residual assets. Our lease agreements do not contain any material residual value guarantees or restrictive covenants. The following table summarizes the impact of our leases on our Consolidated Statement of Operations (in millions): Year Ended 2020 2019 Operating lease revenues $ 671.4 $ 676.3 Variable operating lease revenues $ 51.0 $ 50.5 Sales-type lease revenues $ — $ 160.5 Interest income on sales-type lease receivables $ — $ 2.4 Profit recognized at sales-type lease commencement $ — $ 19.0 Future contractual minimum revenues for operating leases will mature as follows (in millions) (1) : 2021 $ 555.4 2022 436.2 2023 323.9 2024 238.6 2025 161.1 Thereafter 290.6 Total $ 2,005.8 (1) Total contractual minimum rental revenues on operating leases relates to our wholly-owned and partially-owned subsidiaries and sub-lease rental revenues associated with the Leasing Group's operating lease obligations. Income Taxes The liability method is used to account for income taxes. Deferred income taxes represent the tax effects of temporary differences between the carrying amounts of assets and liabilities for financial reporting purposes and the amounts used for income tax purposes. Valuation allowances reduce deferred tax assets to an amount that will more likely than not be realized. We regularly evaluate the likelihood of realization of tax benefits derived from positions we have taken in various federal and state filings after consideration of all relevant facts, circumstances, and available information. For those tax positions that are deemed more likely than not to be sustained, we recognize the benefit we believe is cumulatively greater than 50% likely to be realized. To the extent that we were to prevail in matters for which accruals have been established or be required to pay amounts in excess of recorded reserves, the effective tax rate in a given financial statement period could be materially impacted. Financial Instruments We consider all highly liquid debt instruments to be either cash and cash equivalents if purchased with a maturity of three months or less, or short-term marketable securities if purchased with a maturity of more than three months and less than one year. Financial instruments that potentially subject us to a concentration of credit risk are primarily cash investments including restricted cash and receivables. We place our cash investments in bank deposits and investment grade, short-term debt instruments and limit the amount of credit exposure to any one commercial issuer. The carrying values of cash, receivables, and accounts payable are considered to be representative of their respective fair values. Concentrations of credit risk with respect to receivables are limited due to control procedures that monitor the credit worthiness of customers, the large number of customers in our customer base, and their dispersion across different end markets and geographic areas. Receivables are generally evaluated at a portfolio level based on these characteristics. As receivables are generally unsecured, we maintain an allowance for credit losses using a forward-looking approach based on historical expected losses and consideration of current and expected future economic conditions. Historically, we have observed that the likelihood of loss increases when receivables have aged beyond 180 days. When a receivable is deemed uncollectible, the write-off is recorded as a reduction to allowance for credit losses. During the year ended December 31, 2020, we recognized approximately $3.8 million of credit loss expense, which included $0.8 million in write-offs, related to our trade receivables that are in the scope of ASC 326, bringing the allowance for credit losses balance at December 31, 2020 to $9.3 million. This balance excludes the general reserve for operating lease receivables that is permitted under ASC 450. Inventories Inventories are valued at the lower of cost or net realizable value. Cost is determined principally on the first in first out method. Work in process and finished goods include material, labor, and overhead. Property, Plant, and Equipment Property, plant, and equipment are stated at cost and depreciated over their estimated useful lives using the straight-line method. The costs of ordinary maintenance and repair are charged to operating costs. The estimated useful lives are as follows: Buildings and improvements 3 – 30 years Leasehold improvements Generally over the term of the lease Machinery and equipment 2 – 10 years Information systems hardware and software 2 – 5 years Railcars in our lease fleet Generally 35 – 40 years In early 2020, we finalized an assessment of the estimated useful lives and salvage value assumptions for the railcars in our lease fleet. Based upon analysis of historical fleet data, review of industry standards, and consideration of certain economic factors by railcar type, we determined that it was appropriate to revise the useful lives and salvage values of certain railcar types in our lease fleet. The net impact of these changes, which took effect January 1, 2020, resulted in a change in the weighted average useful life from approximately 34 years to approximately 37 years. This change was accounted for as a change in accounting estimate, which is required to be accounted for on a prospective basis. This change in estimate resulted in a decrease in depreciation expense and a corresponding increase in income from continuing operations of approximately $30.8 million, as well as an increase in net income of approximately $23.7 million, for the year ended December 31, 2020. Further, earnings per share increased $0.20 per share for the year ended December 31, 2020. See Note 11 for further information regarding impairment of long-lived assets related to our small cube covered hopper railcars recorded in the year ended December 31, 2020. Impairment of Long-lived Assets We periodically evaluate the carrying value of long-lived assets for potential impairment. The carrying value of long-lived assets is considered impaired when their carrying value is not recoverable through undiscounted future cash flows and the fair value of the assets is less than their carrying value. Fair value is determined primarily using the anticipated cash flows discounted at a rate commensurate with the risks involved or market quotes as available. Impairment losses on long-lived assets held for sale are determined in a similar manner, except that fair values are reduced by the estimated cost to dispose of the assets. During the year ended December 31, 2020, we recorded impairments of long-lived assets totaling $396.4 million, which included $369.4 million related to our small cube covered hopper railcars, $15.2 million related to the planned divestiture of certain non-strategic maintenance facilities, and $11.8 million related to investments in certain emerging technologies. See Note 11 for more information, including a description of the key assumptions and other significant management judgments utilized in these impairment analyses. Based on our evaluations, no impairment charges were determined to be necessary on assets held and used as of December 31, 2019. Assets Held for Sale We classify our facilities as assets held for sale at the time management commits to a plan to sell the facility, and the sale is expected to be completed within one year. Assets held for sale are recorded at fair value, less any costs to sell, and are no longer subject to depreciation. During the fourth quarter of 2020, management approved a plan to exit certain non-strategic maintenance facilities. Additionally, we relocated our headquarters in Dallas, Texas into a leased facility. As of December 31, 2020, assets held for sale totaling $32.9 million are included in the Other assets line of our Consolidated Balance Sheets. There were no assets classified as held for sale on our Consolidated Balance Sheets as of December 31, 2019. Goodwill and Intangible Assets Goodwill is required to be tested for impairment at least annually, or on an interim basis if events or circumstances change indicating that the carrying amount of the goodwill might be impaired. The quantitative goodwill impairment test is a two-step process, with step one requiring the comparison of the reporting unit's estimated fair value with the carrying amount of its net assets. If necessary, step two of the impairment test determines the amount of goodwill impairment to be recorded when the reporting unit's recorded net assets exceed its fair value. Impairment is assessed at the reporting unit level by applying a fair value-based test for each unit with recorded goodwill. The estimates and judgments that most significantly affect the fair value calculations are assumptions, consisting of level three inputs, related to revenue and operating profit results, discount rates, terminal growth rates and exit multiples. As of December 31, 2020 and 2019, our annual impairment test of goodwill was completed at the reporting unit level, and no impairment charges were determined to be necessary. Goodwill by segment is as follows: December 31, 2020 December 31, 2019 (in millions) Railcar Leasing and Management Services Group $ 1.8 $ 1.8 Rail Products Group 145.4 145.4 All Other 61.6 61.6 $ 208.8 $ 208.8 The net book value of intangible assets totaled $16.0 million and $18.7 million as of December 31, 2020 and 2019, respectively, and included finite-lived intangible assets of $13.5 million and $16.2 million, respectively, which are amortized over their estimated useful lives ranging from one year to twenty years. Based on our evaluations of intangible assets, no impairment charges were determined to be necessary as of December 31, 2020 and 2019. Restricted Cash Restricted cash consists of cash and cash equivalents held either as collateral for our non-recourse debt and lease obligations or as security for the performance of certain product sales agreements. As such, they are restricted in use. Investments in Affiliates We continuously evaluate our investments and other contractual arrangements with third party entities to determine if our variable interests are considered a variable interest entity ("VIE"). Consolidation is required for VIEs in which we are the primary beneficiary. We have determined that we are the primary beneficiary for TRIP Holdings and RIV 2013. At December 31, 2020, the carrying value of our investment in TRIP Holdings and RIV 2013 totaled $145.9 million. For further information regarding our partially-owned leasing subsidiaries, see Note 5 of the Consolidated Financial Statements. Other Investments We hold certain other investments for which we do not have a controlling financial interest but have a significant influence over the financial and operating policies. The carrying values of our equity method investments totaled approximately $4.0 million and $3.8 million as of December 31, 2020 and 2019, respectively. Insurance We are effectively self-insured for workers' compensation and employee health care claims. A third party administrator is used to process claims. We accrue our workers' compensation and group medical liabilities based upon independent actuarial studies. These liabilities are calculated based upon loss development factors, which contemplate a number of variables, including claims history and expected trends. Warranties We provide various express, limited product warranties that generally range from one year to five years depending on the product. The warranty costs are estimated using a two-step approach. First, an engineering estimate is made for the cost of all claims that have been asserted by customers. Second, based on historical claims experience, a cost is accrued for all products still within a warranty period for which no claims have been filed. We provide for the estimated cost of product warranties at the time revenue is recognized related to products covered by warranties and assess the adequacy of the resulting reserves on a quarterly basis. The changes in the accruals for warranties for the years ended December 31, 2020, 2019, and 2018 are as follows: Year Ended December 31, 2020 2019 2018 (in millions) Beginning balance $ 8.1 $ 7.4 $ 10.1 Warranty costs incurred (2.1) (3.8) (2.8) Warranty originations and revisions 5.9 4.5 0.1 Warranty expirations (0.2) — — Ending balance $ 11.7 $ 8.1 $ 7.4 Foreign Currency Transactions The functional currency of our Mexico operations is the United States dollar. Certain transactions in Mexico occur in currencies other than the United States dollar. The impact of foreign currency fluctuations on these transactions is recorded in other, net (income) expense in our Consolidated Statement of Operations. Other Comprehensive Income (Loss) Other comprehensive net income (loss) consists of foreign currency translation adjustments, unrealized gains and losses on our derivative financial instruments, and the net actuarial gains and losses of our defined benefit plans, the sum of which, together with net income (loss), constitutes comprehensive income (loss). See Note 12. All components are shown net of tax. Recent Accounting Pronouncements Adopted in 2020 ASU 2016-13 — In June 2016, FASB issued ASU No. 2016-13, "Measurement of Credit Losses on Financial Instruments," which amends the impairment model by requiring entities to use a forward-looking approach based on expected losses rather than incurred losses to estimate credit losses on certain types of financial instruments, including trade receivables. This approach may result in the earlier recognition of allowances for losses. In November 2018, the FASB issued ASU No. 2018-19, "Codification Improvements to Topic 326, Financial Instruments—Credit Losses," which excludes operating lease receivables from the scope of ASU 2016-13. ASU 2016-13 is effective for public companies during interim and annual reporting periods beginning after December 15, 2019, with early adoption permitted. We adopted ASU 2016-13 effective January 1, 2020 using a cumulative-effect adjustment to the opening balance of retained earnings on January 1, 2020. Therefore, comparative financial information was not adjusted. We assessed our outstanding receivables by reportable segment and determined the expected loss rate using historical loss information and aging considerations, as well as the current and future economic conditions of our customer base and the end markets in which they operate. The Leasing Group's outstanding receivables primarily relate to their servicing and management agreements. The method for evaluating the Leasing Group's operating lease receivables remained unchanged by ASU 2016-13. The Rail Products Group's outstanding receivables primarily relate to amounts due on manufactured railcars, as well as completed repairs and maintenance projects. Upon adoption, we recorded an adjustment to opening retained earnings of approximately $0.7 million ($0.5 million, net of tax). The ongoing application of ASU 2016-13 is not expected to materially impact our results of operations, financial position, or cash flows. ASU 2018-15 — In August 2018, the FASB issued ASU No. 2018-15, "Customer's Accounting for Implementation Costs Incurred in a Cloud Computing Arrangement That Is a Service Contract," which aligns the accounting for costs incurred to implement a cloud computing arrangement that is a service arrangement with the guidance on capitalizing costs associated with developing or obtaining internal-use software. ASU 2018-15 is effective for public companies during interim and annual reporting periods beginning after December 15, 2019, with early adoption permitted. We adopted ASU 2018-15 effective January 1, 2020 on a prospective basis. Beginning January 1, 2020, capitalized implementation costs are included within other assets in the Consolidated Balance Sheet and are depreciated within selling, general, and administrative expenses in the Consolidated Statement of Operations. The adoption did not have a significant impact on our Consolidated Financial Statements. ASU 2020-04 — In March 2020, the FASB issued ASU No. 2020-04, "Facilitation of the Effects of Reference Rate Reform on Financial Reporting," which provides temporary optional expedients to accounting guidance on contract modifications and hedge accounting to ease the potential financial reporting burdens as the market transitions from the London Interbank Offered Rate ("LIBOR") to alternative reference rates . ASU 2020-04 was effective upon issuance. ASU 2020-04 is in response to the announcement by United Kingdom's Financial Conduct Authority, which regulates the LIBOR, that it will no longer persuade or require banks to submit rates for the calculation of LIBOR after June 30, 202 3. In the U.S., the Alternative Reference Rates Committee has identified the Secured Overnight Financing Rate (“SOFR”) as its preferred alternative to LIBOR. We currently have LIBOR-based contracts that extend beyond June 2023 including derivative instruments, promissory notes for Trinity Rail Leasing 2017, LLC, a Delaware limited liability company and a limited purpose, indirect wholly-owned subsidiary of the Company owned through Trinity Industries Leasing Company (“TILC”), TILC's warehouse loan facility, and our revolving credit facility. The adoption is not expected to have a significant impact on our Consolidated Financial Statements. Management's Estimates The preparation of financial statements in conformity with generally accepted accounting principles requires 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 financial statements as well as the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. |
Note 2. Discontinued Operations
Note 2. Discontinued Operations | 12 Months Ended |
Dec. 31, 2020 | |
Discontinued Operations and Disposal Groups [Abstract] | |
Disposal Groups, Including Discontinued Operations, Disclosure [Text Block] | Note 2. Discontinued Operations On November 1, 2018, we completed the spin-off of Arcosa. Upon completion of the spin-off transaction, the accounting requirements for reporting Arcosa as a discontinued operation were met, and, accordingly, Arcosa's historical results have been reclassified to discontinued operations for the periods presented herein. The following is a summary of operating results included in income (loss) from discontinued operations for the years ended December 31, 2020, 2019, and 2018: Year Ended December 31, 2020 2019 2018 (in millions) Revenues $ — $ — $ 1,042.0 Cost of revenues — — 840.8 Selling, engineering, and administrative expenses 0.2 4.1 116.8 Other (income) expense — — (0.4) Income (loss) from discontinued operations before income taxes (0.2) (4.1) 84.8 Provision (benefit) for income taxes (0.1) (1.0) 30.7 Income (loss) from discontinued operations, net of income taxes $ (0.1) $ (3.1) $ 54.1 |
Note 3. Derivative Instruments
Note 3. Derivative Instruments and Fair Value Measurements Derivative Instruments (Notes) | 12 Months Ended |
Dec. 31, 2020 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Derivative Instruments and Hedging Activities Disclosure [Text Block] | Derivative Instruments We use derivative instruments to mitigate the impact of changes in interest rates, both in anticipation of future debt issuances and to offset interest rate variability of certain floating rate debt issuances outstanding. We also may use derivative instruments to mitigate the impact of changes in natural gas and diesel fuel prices and changes in foreign currency exchange rates. Derivative instruments that are designated and qualify as cash flow hedges are accounted for by recording the effective portion of the gain or loss on the derivative instrument in accumulated other comprehensive loss ("AOCL") as a separate component of stockholders' equity and reclassified into earnings in the period during which the hedged transaction affects earnings. We continuously monitor our derivative positions and the credit ratings of our counterparties and do not anticipate losses due to non-performance. See Note 8 for a description of our debt instruments. Interest Rate Hedges Included in accompanying balance sheet at December 31, 2020 Notional Interest Rate (1) Asset/(Liability) AOCL – AOCL – (in millions, except %) Expired hedges: 2018 secured railcar equipment notes $ 249.3 4.41 % $ — $ 0.8 $ — TRIP Holdings warehouse loan $ 788.5 3.60 % $ — $ 1.3 $ 1.8 TRIP Master Funding secured railcar equipment notes $ 34.8 2.62 % $ — $ 0.1 $ 0.1 2017 promissory notes – interest rate cap $ 169.3 3.00 % $ — $ (0.5) $ — Open hedge: 2017 promissory notes – interest rate swap $ 488.0 2.66 % $ (45.2) $ 44.7 $ — (1) Weighted average fixed interest rate, except for the interest rate cap on the 2017 promissory notes. Effect on interest expense – increase/(decrease) Year Ended December 31, Expected effect during next twelve months (1) 2020 2019 2018 (in millions) Expired hedges: 2006 secured railcar equipment notes (2) $ (0.1) $ (0.2) $ (0.2) $ — 2018 secured railcar equipment notes $ 0.2 $ 0.2 $ 0.1 $ 0.2 TRIP Holdings warehouse loan $ 2.0 $ 2.0 $ 2.2 $ 1.8 TRIP Master Funding secured railcar equipment notes $ 0.2 $ 0.2 $ 0.2 $ 0.1 2017 promissory notes – interest rate cap $ (0.1) $ (0.1) $ 0.1 $ (0.1) Open hedge: 2017 promissory notes – interest rate swap $ 11.0 $ 3.1 $ 0.3 $ 11.0 (1) Based on the fair value of open hedges as of December 31, 2020. (2) Upon settlement of the debt in March 2020, the remaining balance of $0.1 million in AOCL was recognized through interest expense. See Note 8 for additional information on the debt redemption. Other Derivatives Included in accompanying balance sheet at December 31, 2020 Effect on cost of revenues – increase/(decrease) Notional Asset/(Liability) AOCL – Year Ended December 31, Expected effect during next twelve months (1) 2020 2019 (in millions) Foreign currency hedge $ 30.0 $ 4.8 $ (7.3) $ 3.2 $ 0.1 $ (7.3) (1) Based on the fair value of open hedges as of December 31, 2020. Our exposure related to foreign currency and commodity transactions is currently hedged for up to a maximum of twelve months. The effect of commodity hedge transactions was immaterial to the Consolidated Financial Statements for all periods presented herein. |
Note 3. Derivative Instrument_2
Note 3. Derivative Instruments and Fair Value Measurements Fair Value Measurements (Notes) | 12 Months Ended |
Dec. 31, 2020 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Fair Value Disclosures [Text Block] | Fair Value Measurements Fair value is defined as the exchange price that would be received for an asset or paid to transfer a liability (an exit price) in the principal or most advantageous market for that asset or liability in an orderly transaction between market participants on the measurement date. An entity is required to establish a fair value hierarchy that maximizes the use of observable inputs and minimizes the use of unobservable inputs when measuring fair value. The three levels of inputs that may be used to measure fair value are listed below. Level 1 – This level is defined as quoted prices in active markets for identical assets or liabilities. Our cash equivalents and restricted cash are instruments of the U.S. Treasury or highly-rated money market mutual funds. The assets measured as Level 1 in the fair value hierarchy are summarized below: Level 1 December 31, 2020 December 31, 2019 (in millions) Assets: Cash equivalents $ 24.2 $ 57.9 Restricted cash 96.4 111.4 Total assets $ 120.6 $ 169.3 Level 2 – This level is defined as observable inputs other than Level 1 prices such as quoted prices for similar assets or liabilities; quoted prices in markets that are not active; or other inputs that are observable or can be corroborated by observable market data for substantially the full term of the assets or liabilities. Interest rate hedges are valued at exit prices obtained from each counterparty. Foreign currency hedges are valued at exit prices obtained from each counterparty, which are based on currency spot and forward rates and forward points. The assets and liabilities measured as Level 2 in the fair value hierarchy are summarized below: Level 2 December 31, 2020 December 31, 2019 (in millions) Assets: Foreign currency hedge (1) $ 4.8 $ 1.2 Total assets $ 4.8 $ 1.2 Liabilities: Interest rate hedge (2) $ 45.2 $ 28.0 Total liabilities $ 45.2 $ 28.0 (1) Included in other assets in our Consolidated Balance Sheets. (2) Included in accrued liabilities in our Consolidated Balance Sheets. Level 3 – This level is defined as unobservable inputs that are supported by little or no market activity and that are significant to the fair value of the assets or liabilities. As of December 31, 2020 and 2019, we have no assets measured as Level 3 in the fair value hierarchy, except as described in Note 10 and Note 11. See Note 11 for more information regarding the non-recurring fair value measurement considerations during the year ended December 31, 2020 for the impairment charge related to our small cube covered hopper railcars. See Note 8 for the estimated fair values of our debt instruments. The fair values of all other financial instruments are estimated to approximate carrying value. |
Note 4. Segment Information
Note 4. Segment Information | 12 Months Ended |
Dec. 31, 2020 | |
Segment Information [Abstract] | |
Schedule of Segment Reporting Information, by Segment [Table Text Block] | Note 4. Segment Information We report our operating results in three principal business segments: (1) the Railcar Leasing and Management Services Group, which owns and operates a fleet of railcars and provides third-party fleet leasing, management, and administrative services; (2) the Rail Products Group, which manufactures and sells railcars and related parts and components, and provides railcar maintenance and modification services; and (3) All Other, which includes our highway products business and legal, environmental, and maintenance costs associated with non-operating facilities. In connection with the implementation of our rail-focused strategy, in the first quarter of 2020, we realigned certain activities previously reported in the All Other segment to now be presented within the Rail Products Group. The prior period results have been recast to reflect these changes and present results on a comparable basis. Gains and losses from the sale of property, plant, and equipment are included in the operating profit of each respective segment. Our Chief Operating Decision Maker ("CODM") regularly reviews the operating results of our reportable segments in order to assess performance and allocate resources. Our CODM does not consider impairment of long-lived assets or restructuring activities when evaluating segment operating results; therefore, impairment of long-lived assets and restructuring activities are not allocated to segment profit or loss. Sales and related net profits ("deferred profit") from the Rail Products Group to the Leasing Group are recorded in the Rail Products Group and eliminated in consolidation and are reflected in "Eliminations – Lease Subsidiary" in the tables below. Sales between these groups are recorded at prices comparable to those charged to external customers, taking into consideration quantity, features, and production demand. Amortization of deferred profit on railcars sold to the Leasing Group is included in the operating profit of the Leasing Group, resulting in the recognition of depreciation expense based on our original manufacturing cost of the railcars. Sales of railcars from the lease fleet are included in the Leasing Group, with related gains and losses computed based on the net book value of the original manufacturing cost of the railcars. The financial information for these segments is shown in the tables below (in millions). Year Ended December 31, 2020 Railcar Leasing and Management Services Group Rail Products Group All Other Corporate Eliminations – Lease Subsidiary Eliminations – Other Consolidated Total External Revenue $ 801.5 $ 948.2 $ 249.7 $ — $ — $ — $ 1,999.4 Intersegment Revenue 0.8 661.3 1.5 — (652.9) (10.7) — Total Revenues $ 802.3 $ 1,609.5 $ 251.2 $ — $ (652.9) $ (10.7) $ 1,999.4 Depreciation & Amortization $ 214.7 $ 35.1 $ 8.0 $ 8.2 $ — $ — $ 266.0 Capital Expenditures $ 602.2 $ 78.5 $ 6.3 $ 17.5 $ — $ — $ 704.5 Year Ended December 31, 2019 Railcar Leasing and Management Services Group Rail Products Group All Other Corporate Eliminations – Lease Subsidiary Eliminations – Other Consolidated Total External Revenue $ 1,116.3 $ 1,635.3 $ 253.5 $ — $ — $ — $ 3,005.1 Intersegment Revenue 0.9 1,339.5 7.5 — (1,331.1) (16.8) — Total Revenues $ 1,117.2 $ 2,974.8 $ 261.0 $ — $ (1,331.1) $ (16.8) $ 3,005.1 Depreciation & Amortization $ 232.2 $ 34.1 $ 8.3 $ 9.0 $ — $ — $ 283.6 Capital Expenditures $ 1,122.2 $ 85.6 $ 9.1 $ 2.3 $ — $ — $ 1,219.2 Year Ended December 31, 2018 Railcar Leasing and Management Services Group Rail Products Group All Other Corporate Eliminations – Lease Subsidiary Eliminations – Other Consolidated Total External Revenue $ 842.0 $ 1,409.2 $ 257.9 $ — $ — $ — $ 2,509.1 Intersegment Revenue 0.8 1,003.7 12.7 — (990.3) (26.9) — Total Revenues $ 842.8 $ 2,412.9 $ 270.6 $ — $ (990.3) $ (26.9) $ 2,509.1 Depreciation & Amortization $ 196.6 $ 35.6 $ 9.8 $ 9.9 $ — $ — $ 251.9 Capital Expenditures $ 948.3 $ 18.7 $ 14.6 $ 4.0 $ — $ — $ 985.6 The reconciliation of segment operating profit (loss) to consolidated net income (loss) is as follows: Year Ended December 31, 2020 2019 2018 (in millions) Operating profit (loss): Railcar Leasing and Management Services Group $ 353.7 $ 406.6 $ 351.1 Rail Products Group 36.3 277.6 167.6 All Other 28.2 19.9 40.2 Segment Totals before Eliminations, Corporate Expenses, Impairment of long-lived assets, and Restructuring activities 418.2 704.1 558.9 Corporate (97.7) (108.0) (149.1) Impairment of long-lived assets (396.4) — — Restructuring activities, net (11.0) (14.7) — Eliminations – Lease Subsidiary (35.2) (164.7) (95.1) Eliminations – Other (2.4) (0.4) 0.4 Consolidated operating profit (loss) $ (124.5) $ 416.3 $ 315.1 Other (income) expense 370.0 215.6 163.5 Provision (benefit) for income taxes (268.4) 61.5 42.6 Income (loss) from discontinued operations, net of income taxes (0.1) (3.1) 54.1 Net income (loss) $ (226.2) $ 136.1 $ 163.1 Total assets for these segments is shown in the table below. December 31, 2020 December 31, 2019 (in millions) Railcar Leasing and Management Services Group $ 7,652.1 $ 8,012.6 Rail Products Group 858.6 1,019.8 All Other 199.4 195.7 Segment Totals before Eliminations and Corporate 8,710.1 9,228.1 Corporate 812.0 378.1 Eliminations – Lease Subsidiary (820.3) (903.8) Eliminations – Other — (1.0) Total Assets $ 8,701.8 $ 8,701.4 Corporate assets are composed of cash and cash equivalents, short-term marketable securities, income tax receivable, notes receivable, certain property, plant, and equipment, and other assets. We operate principally in North America. Our foreign operations are primarily located in Mexico. Revenues and operating profit for our Mexico operations for the years ended December 31, 2020, 2019, and 2018 were not significant in relation to the Consolidated Financial Statements. Total assets for our Mexico operations as of December 31, 2020 and 2019 are $126.9 million and $136.0 million, respectively. Total long-lived assets for our Mexico operations as of December 31, 2020 and 2019 are $111.9 million and $112.2 million, respectively. One customer in the Rail Products Group comprised approximately 14% of our consolidated revenues during the year ended December 31, 2020. |
Note 5. Partially Owned Leasing
Note 5. Partially Owned Leasing Subsidiaries | 12 Months Ended |
Dec. 31, 2020 | |
Partially-Owned Leasing Subsidiaries [Abstract] | |
Noncontrolling Interest Disclosure [Text Block] | Note 5. Partially-Owned Leasing Subsidiaries Through our wholly-owned subsidiary, TILC, we formed two subsidiaries, TRIP Holdings and RIV 2013, for the purpose of providing railcar leasing services in North America for institutional investors. Each of TRIP Holdings and RIV 2013 are direct, partially-owned subsidiaries of TILC in which we have a controlling interest. Each is governed by a seven-member board of representatives, two of whom are designated by TILC. TILC is the agent of each of TRIP Holdings and RIV 2013 and, as such, has been delegated the authority, power, and discretion to take certain actions on behalf of the respective companies. At December 31, 2020, the carrying value of our investment in TRIP Holdings and RIV 2013 totaled $145.9 million. Our weighted average ownership interest in TRIP Holdings and RIV 2013 is 38% while the remaining 62% weighted average interest is owned by third-party, investor-owned funds. The investment in our partially-owned leasing subsidiaries is eliminated in consolidation. Each of TRIP Holdings and RIV 2013 has wholly-owned subsidiaries that are the owners of railcars acquired from our Rail Products and Leasing Groups. These wholly-owned subsidiaries are TRIP Master Funding LLC ("TRIP Master Funding") (wholly-owned by TRIP Holdings) and Trinity Rail Leasing 2012 LLC ("TRL-2012", wholly-owned by RIV 2013). Railcar purchases by these subsidiaries were funded by secured borrowings and capital contributions from TILC and third-party equity investors. TILC is the contractual servicer for TRIP Master Funding and TRL-2012, with the authority to manage and service each entity's owned railcars. Our controlling interest in each of TRIP Holdings and RIV 2013 results from our combined role as both equity member and agent/servicer. The noncontrolling interest included in the accompanying Consolidated Balance Sheets represents the non-Trinity equity interest in these partially-owned subsidiaries. Trinity has no obligation to guarantee performance under any of our partially-owned subsidiaries' (or their respective subsidiaries') debt agreements, guarantee any railcar residual values, shield any parties from losses or guarantee minimum yields. The assets of each of TRIP Master Funding and TRL-2012 may only be used to satisfy the particular subsidiary's liabilities, and the creditors of each of TRIP Master Funding and TRL-2012 have recourse only to the particular subsidiary's assets. Each of TILC and the third-party equity investors receive distributions from TRIP Holdings and RIV 2013, when available, in proportion to its respective equity interests, and has an interest in the net assets of the partially-owned subsidiaries upon a liquidation event in the same proportion. TILC is paid fees for the services it provides to TRIP Master Funding and TRL-2012 and has the potential to earn certain incentive fees. TILC and the third-party equity investors have commitments to provide additional equity funding to TRIP Holdings that are scheduled to expire in May 2021, contingent upon certain returns on investment in TRIP Holdings and other conditions being met. There are no remaining equity commitments with respect to RIV 2013. See Note 8 regarding the debt of TRIP Holdings and RIV 2013 and their respective subsidiaries. See Note 11 for further information regarding impairment of long-lived assets related to our small cube covered hopper railcars recorded in the year ended December 31, 2020. |
Note 6. Railcar Leasing and Man
Note 6. Railcar Leasing and Management Services Group | 12 Months Ended |
Dec. 31, 2020 | |
Commitments and Contingencies [Abstract] | |
Leasing Operations Of The Company [Text Block] | Note 6. Railcar Leasing and Management Services Group The Railcar Leasing and Management Services Group owns and operates a fleet of railcars as well as provides third-party fleet leasing, management, and administrative services. Selected consolidated financial information for the Leasing Group is as follows: December 31, 2020 Wholly- Partially-Owned Subsidiaries Total Leasing Group Eliminations – Lease Subsidiary (1) Adjusted Total Leasing Group (in millions) Cash and cash equivalents $ 3.5 $ — $ 3.5 $ — $ 3.5 Accounts receivable 82.0 8.4 90.4 — 90.4 Property, plant, and equipment, net (2) 5,795.9 1,626.3 7,422.2 (820.3) 6,601.9 Restricted cash 65.2 31.1 96.3 — 96.3 Other assets 38.1 1.6 39.7 — 39.7 Total assets $ 5,984.7 $ 1,667.4 $ 7,652.1 $ (820.3) $ 6,831.8 Accounts payable and accrued liabilities $ 141.4 $ 30.9 $ 172.3 $ — $ 172.3 Debt, net 3,340.5 1,228.3 4,568.8 — 4,568.8 Deferred income taxes 1,062.3 1.1 1,063.4 (186.2) 877.2 Other liabilities 25.7 — 25.7 — 25.7 Total liabilities 4,569.9 1,260.3 5,830.2 (186.2) 5,644.0 Noncontrolling interest — 277.2 277.2 — 277.2 Total Equity $ 1,414.8 $ 129.9 $ 1,544.7 $ (634.1) $ 910.6 December 31, 2019 Wholly- Partially-Owned Subsidiaries Total Leasing Group Eliminations – Lease Subsidiary (1) Adjusted Total Leasing Group (in millions) Cash and cash equivalents $ 1.8 $ — $ 1.8 $ — $ 1.8 Accounts receivable 73.9 8.7 82.6 — 82.6 Property, plant, and equipment, net 5,818.9 1,786.7 7,605.6 (903.8) 6,701.8 Restricted cash 78.4 33.0 111.4 — 111.4 Other assets 209.8 1.4 211.2 — 211.2 Total assets $ 6,182.8 $ 1,829.8 $ 8,012.6 $ (903.8) $ 7,108.8 Accounts payable and accrued liabilities $ 100.7 $ 44.6 $ 145.3 $ — $ 145.3 Debt, net 3,080.7 1,278.4 4,359.1 — 4,359.1 Deferred income taxes 861.7 1.1 862.8 (184.8) 678.0 Other liabilities 32.7 — 32.7 — 32.7 Total liabilities 4,075.8 1,324.1 5,399.9 (184.8) 5,215.1 Noncontrolling interest — 348.8 348.8 — 348.8 Total Equity $ 2,107.0 $ 156.9 $ 2,263.9 $ (719.0) $ 1,544.9 (1) Net deferred profit on railcars sold to the Leasing Group consists of intersegment profit that is eliminated in consolidation. Net deferred profit and the related deferred tax impact are included as adjustments to the property, plant, and equipment, net and deferred income taxes line items, respectively, in the Eliminations – Lease Subsidiary column above to reflect the net book value of the railcars purchased by the Leasing Group from the Rail Products Group based on manufacturing cost. See Note 5 and Note 8 for a further discussion regarding our investment in our partially-owned leasing subsidiaries and the related indebtedness. (2) See Note 11 for further information regarding impairment of long-lived assets recorded in the year ended December 31, 2020. Year Ended December 31, Percent Change 2020 2019 2018 2020 versus 2019 2019 versus 2018 ($ in millions) Revenues: Leasing and management revenues $ 747.9 $ 756.5 $ 728.9 (1.1) % 3.8 % Sales of railcars owned one year or less at the time of sale (1)(2) 54.4 360.7 113.9 (84.9) % 216.7 % Total revenues $ 802.3 $ 1,117.2 $ 842.8 (28.2) % 32.6 % Operating profit (3) : Leasing and management $ 336.0 $ 314.7 $ 291.8 6.8 % 7.8 % Railcars owned one year or less at the time of sale 0.4 41.4 21.5 (99.0) % 92.6 % Railcars owned more than one year at the time of sale 17.3 50.5 50.4 (65.7) % 0.2 % Property disposition losses (4) — — (12.6) * * Total operating profit $ 353.7 $ 406.6 $ 351.1 (13.0) % 15.8 % Total operating profit margin 44.1 % 36.4 % 41.7 % Leasing and management operating profit margin 44.9 % 41.6 % 40.0 % Selected expense information: Depreciation (5)(6) $ 214.7 $ 232.2 $ 196.6 (7.5) % 18.1 % Maintenance and compliance $ 88.1 $ 102.1 $ 99.3 (13.7) % 2.8 % Rent $ 9.7 $ 16.9 $ 42.4 (42.6) % (60.1) % Selling, engineering, and administrative expenses $ 51.3 $ 49.5 $ 51.1 3.6 % (3.1) % Interest $ 196.2 $ 197.2 $ 142.3 (0.5) % 38.6 % * Not meaningful (1) Includes revenues associated with sales-type leases of $160.5 million for the year ended December 31, 2019. (2) Beginning in the fourth quarter of 2020, we made a prospective change in the presentation of sales of railcars from the lease fleet. See Note 1 for more information. (3) Operating profit includes: depreciation; maintenance and compliance; rent; and selling, engineering, and administrative expenses. Amortization of deferred profit on railcars sold from the Rail Products Group to the Leasing Group is included in the operating profits of the Leasing Group, resulting in the recognition of depreciation expense based on our original manufacturing cost of the railcars. Interest expense is not a component of operating profit and includes the effect of hedges. (4) Property disposition losses for the year ended December 31, 2018 included a non-cash charge of $12.6 million associated with our election to forego the early purchase options contained in certain lease agreements. (5) Effective January 1, 2020, we revised the estimated useful lives and salvage values of certain railcar types in our lease fleet. This change in estimate resulted in a decrease in depreciation expense in the year ended December 31, 2020 of approximately $30.8 million. This decrease was partially offset by higher depreciation associated with growth in the lease fleet. See Note 1 for further information. (6) As a result of the impairment of long-lived assets related to our small cube covered hopper railcars recorded in the second quarter of 2020, our quarterly depreciation expense beginning in the third quarter of 2020 has decreased by approximately $3.5 million, for a total reduction of $7.0 million for the year ended December 31, 2020. During the years ended December 31, 2020, 2019, and 2018, information related to the sales of leased railcars is as follows: Year Ended December 31, 2020 2019 2018 (in millions) Sales of leased railcars: Railcars owned one year or less at the time of sale (1)(2) $ 54.4 $ 360.7 $ 113.9 Railcars owned more than one year at the time of sale 138.7 205.7 230.5 $ 193.1 $ 566.4 $ 344.4 Operating profit on sales of leased railcars: Railcars owned one year or less at the time of sale $ 0.4 $ 41.4 $ 21.5 Railcars owned more than one year at the time of sale 17.3 50.5 50.4 $ 17.7 $ 91.9 $ 71.9 Operating profit margin on sales of leased railcars: Railcars owned one year or less at the time of sale 0.7 % 11.5 % 18.9 % Railcars owned more than one year at the time of sale 12.5 % 24.6 % 21.9 % Weighted average operating profit margin on sales of leased railcars 9.2 % 16.2 % 20.9 % (1) Includes revenues associated with sales-type leases of $160.5 million for the year ended December 31, 2019. (2) Beginning in the fourth quarter of 2020, we made a prospective change in the presentation of sales of railcars from the lease fleet. See Note 1 for more information. Railcar Leasing Equipment Portfolio. The Leasing Group's equipment consists primarily of railcars leased by third parties. The Leasing Group purchases equipment manufactured predominantly by the Rail Products Group and enters into lease contracts with third parties with terms generally ranging between one year and ten years. The Leasing Group primarily enters into operating leases. Future contractual minimum rental revenues on operating leases related to our wholly-owned and partially-owned subsidiaries are as follows: 2021 2022 2023 2024 2025 Thereafter Total (in millions) Future contractual minimum rental revenues $ 550.4 $ 432.8 $ 322.3 $ 237.9 $ 160.9 $ 290.6 $ 1,994.9 Debt. Wholly-owned subsidiaries. The Leasing Group’s debt at December 31, 2020 consisted primarily of non-recourse debt. As of December 31, 2020, Trinity’s wholly-owned subsidiaries included in the Leasing Group held equipment with a net book value of $4,418.5 million, which is pledged solely as collateral for Leasing Group debt held by those subsidiaries. The net book value of unpledged equipment at December 31, 2020 was $1,364.4 million. See Note 8 for more information regarding the Leasing Group's debt. Partially-owned subsidiaries. Debt owed by TRIP Holdings and RIV 2013 and their respective subsidiaries is nonrecourse to Trinity and TILC. Creditors of each of TRIP Holdings and RIV 2013 and their respective subsidiaries have recourse only to the particular subsidiary's assets. TRIP Master Funding equipment with a net book value of $1,149.9 million is pledged as collateral for the TRIP Master Funding debt. TRL-2012 equipment with a net book value of $476.4 million is pledged solely as collateral for the TRL-2012 secured railcar equipment notes. See Note 5 for a description of TRIP Holdings and RIV 2013. Operating Lease Obligations. Future amounts due as well as future contractual minimum rental revenues related to the Leasing Group's railcar operating lease obligations are as follows: 2021 2022 2023 2024 2025 Thereafter Total (in millions) Future operating lease obligations $ 8.2 $ 7.5 $ 5.7 $ 2.5 $ 0.6 $ 0.3 $ 24.8 Future contractual minimum rental revenues $ 5.0 $ 3.4 $ 1.6 $ 0.7 $ 0.2 $ — $ 10.9 Operating lease obligations totaling $2.0 million are guaranteed by Trinity Industries, Inc. and certain subsidiaries. The Leasing Group also has future amounts due for operating lease obligations related to office space of approximately $2.0 million, which is excluded from the table above. |
Note 7. Property, Plant, and Eq
Note 7. Property, Plant, and Equipment | 12 Months Ended |
Dec. 31, 2020 | |
Property, Plant and Equipment [Abstract] | |
Property, Plant and Equipment Disclosure [Text Block] | Note 7. Property, Plant, and Equipment The following table summarizes the components of property, plant, and equipment: December 31, 2020 December 31, 2019 (in millions) Manufacturing/Corporate: Land $ 23.2 $ 28.4 Buildings and improvements 428.6 402.2 Machinery and other 485.1 546.7 Construction in progress 42.5 63.1 979.4 1,040.4 Less accumulated depreciation (577.9) (631.6) 401.5 408.8 Leasing: Wholly-owned subsidiaries: Machinery and other 19.5 13.7 Equipment on lease 7,010.6 6,944.2 7,030.1 6,957.9 Less accumulated depreciation (1,234.2) (1,139.0) 5,795.9 5,818.9 Partially-owned subsidiaries: Equipment on lease 2,248.2 2,410.0 Less accumulated depreciation (621.9) (623.3) 1,626.3 1,786.7 Deferred profit on railcars sold to the Leasing Group (1,064.7) (1,135.8) Less accumulated amortization 244.4 232.0 (820.3) (903.8) $ 7,003.4 $ 7,110.6 In early 2020, we finalized an assessment of the estimated useful lives and salvage value assumptions for the railcars in our lease fleet. This resulted in a revision to the useful lives and salvage values of certain railcar types in our lease fleet. See Note 1 for further information. We lease certain equipment and facilities under operating leases. See Note 1 for future operating lease obligations on non-Leasing Group leases. See Note 1 and Note 6 for information related to the lease agreements, future operating lease obligations, and future minimum rental revenues associated with the Leasing Group. We capitalized an insignificant amount of interest expense as part of the construction of facilities and equipment during 2020. We did not capitalize any interest expense during 2019. |
Note 8. Debt
Note 8. Debt | 12 Months Ended |
Dec. 31, 2020 | |
Debt Disclosure [Abstract] | |
Debt Disclosure [Text Block] | Note 8. Debt The carrying amounts and estimated fair values of our long-term debt are as follows: December 31, 2020 December 31, 2019 Carrying Value Estimated Fair Value Carrying Value Estimated Fair Value (in millions) Corporate – Recourse: Revolving credit facility $ 50.0 $ 50.0 $ 125.0 $ 125.0 Senior notes, net of unamortized discount of $0.2 and $0.2 399.8 420.3 399.8 411.7 449.8 470.3 524.8 536.7 Less: unamortized debt issuance costs (1.6) (2.0) Total recourse debt 448.2 522.8 Leasing – Non-recourse: Wholly-owned subsidiaries: 2006 secured railcar equipment notes — — 109.3 114.0 2009 secured railcar equipment notes 142.3 170.0 147.8 168.7 2010 secured railcar equipment notes 235.9 248.5 248.5 264.3 2017 promissory notes, net of unamortized discount of $10.1 and $— 802.7 802.7 627.1 627.1 2018 secured railcar equipment notes, net of unamortized discount of $0.2 and $0.2 434.7 449.3 452.1 466.2 TRIHC 2018 secured railcar equipment notes, net of unamortized discount of $— and $1.4 — — 265.4 270.9 2019 secured railcar equipment notes, net of unamortized discount of $0.3 and $0.4 860.5 890.8 901.0 904.9 2020 secured railcar equipments notes, net of unamortized discount of $0.1 and $— 369.0 370.2 — — TILC warehouse facility 519.4 519.4 353.4 353.4 3,364.5 3,450.9 3,104.6 3,169.5 Less: unamortized debt issuance costs (24.0) (23.9) 3,340.5 3,080.7 Partially-owned subsidiaries: TRL 2012 secured railcar equipment notes 352.5 373.9 371.4 374.4 TRIP Master Funding secured railcar equipment notes 885.0 959.7 917.9 984.0 1,237.5 1,333.6 1,289.3 1,358.4 Less: unamortized debt issuance costs (9.2) (10.9) 1,228.3 1,278.4 Total non–recourse debt 4,568.8 4,359.1 Total debt $ 5,017.0 $ 5,254.8 $ 4,881.9 $ 5,064.6 The estimated fair value of our 4.55% senior notes due 2024 ("Senior Notes") is based on a quoted market price in a market with little activity (Level 2 input). The estimated fair values of our secured railcar equipment notes are based on our estimate of their fair value using unobservable input values provided by a third party (Level 3 inputs). The respective carrying values of our revolving credit facility, TILC warehouse facility, and 2017 promissory notes approximate fair value because the interest rate adjusts to the market interest rate. Revolving Credit Facility – We have a $450.0 million unsecured corporate revolving credit facility that matures in November 2023. During the year ended December 31, 2020, we had total borrowings of $545.0 million and total repayments of $620.0 million under the revolving credit facility, with a remaining outstanding balance of $50.0 million as of December 31, 2020. Additionally, we had outstanding letters of credit issued in an aggregate amount of $35.2 million, leaving $364.8 million available for borrowing as of December 31, 2020. The outstanding letters of credit as of December 31, 2020 are scheduled to expire in July 2021. Our letters of credit obligations support our various insurance programs and generally renew by their terms each year. The revolving credit facility bears interest at a variable rate which resulted in an interest rate of LIBOR plus 1.75%, with a LIBOR floor of 0.30%, as of December 31, 2020. A commitment fee accrues on the average daily unused portion of the revolving facility at the rate of 0.175% to 0.40% (0.25% as of December 31, 2020). The revolving credit facility requires the maintenance of ratios related to minimum interest coverage for the leasing and manufacturing operations and maximum leverage. In July 2020, we amended our revolving credit facility to increase the maximum leverage ratio to provide additional near-term flexibility through December 31, 2021. As of December 31, 2020, we were in compliance with all such financial covenants. Borrowings under the credit facility are guaranteed by certain of our 100%-owned subsidiaries. Senior Notes Due 2024 – In September 2014, we issued $400.0 million aggregate principal amount of 4.55% senior notes due October 2024. Interest on the Senior Notes is payable semiannually commencing April 1, 2015. The Senior Notes rank senior to existing and future subordinated debt and rank equal to existing and future senior indebtedness, including our revolving credit facility. The Senior Notes are subordinated to all our existing and future secured debt to the extent of the value of the collateral securing such indebtedness. The Senior Notes contain covenants that limit our ability and/or certain subsidiaries' ability to create or permit to exist certain liens; enter into sale and leaseback transactions; and consolidate, merge, or transfer all or substantially all of our assets. Our Senior Notes are fully and unconditionally and jointly and severally guaranteed by each of Trinity’s domestic subsidiaries that is a guarantor under our revolving credit facility. See "Liquidity and Capital Resources" in Item 7. Management’s Discussion and Analysis of Financial Condition and Results of Operations of this Annual Report on Form 10-K. Wholly-owned leasing subsidiaries TRL V – In May 2006, Trinity Rail Leasing V, L.P., a limited partnership (“TRL V”) and a limited purpose, indirect wholly-owned subsidiary of the Company owned through TILC issued $355.0 million in aggregate principal amount of Secured Railcar Equipment Notes, Series 2006-1A (the “2006 Secured Railcar Equipment Notes”). In March 2020, TRL V redeemed its 2006 Secured Railcar Equipment Notes due May 2036, of which $104.7 million was outstanding at the redemption date. The fixed interest rate for these notes was at 5.90% per annum. In connection with the early redemption, we recognized a loss on extinguishment of debt of $5.0 million, which included a $4.7 million early redemption premium and $0.3 million in unamortized debt issuance costs. The loss on extinguishment of debt is included in interest expense in our Consolidated Statement of Operations. TRL VII – In November 2009, Trinity Rail Leasing VII LLC, a Delaware limited liability company (“TRL VII”) and a limited purpose, indirect wholly-owned subsidiary of the Company owned through TILC, issued $238.3 million in aggregate principal amount of Secured Railcar Equipment Notes, Series 2009-1 (the “2009 Secured Railcar Equipment Notes”), of which $142.3 million was outstanding as of December 31, 2020. The 2009 Secured Railcar Equipment Notes were issued pursuant to a Master Indenture, dated November 5, 2009 between TRL VII and Wilmington Trust Company, as indenture trustee. The 2009 Secured Railcar Equipment Notes bear interest at a fixed rate of 6.66% per annum, are payable monthly, and have a final maturity date of November 16, 2039. The 2009 Secured Railcar Equipment Notes are obligations of TRL VII and are non-recourse to Trinity. The obligations are secured by a portfolio of railcars and operating leases thereon, certain cash reserves, and other assets acquired and owned by TRL VII. TRL-2010 – In October 2010, Trinity Rail Leasing 2010 LLC, a Delaware limited liability company ("TRL-2010") and a limited purpose, indirect wholly-owned subsidiary of the Company owned through TILC, issued $369.2 million in aggregate principal amount of Secured Railcar Equipment Notes, Series 2010-1 (“2010 Secured Railcar Equipment Notes"), of which $235.9 million was outstanding as of December 31, 2020. The 2010 Secured Railcar Equipment Notes were issued pursuant to an Indenture, dated as of October 25, 2010 between TRL-2010 and Wilmington Trust Company, as indenture trustee. The 2010 Secured Railcar Equipment Notes bear interest at a fixed rate of 5.19%, are payable monthly, and have a stated final maturity date of October 16, 2040. The 2010 Secured Railcar Equipment Notes are obligations of TRL-2010 and are non-recourse to Trinity. The obligations are secured by a portfolio of railcars and operating leases thereon, certain cash reserves, and other assets acquired and owned by TRL-2010. TILC Warehouse Loan Facility – TILC has a $750.0 million warehouse loan facility, which was established to finance railcars owned by TILC. During the year ended December 31, 2020, we had total borrowings of $283.6 million and total repayments of $117.6 million under the TILC warehouse loan facility, with a remaining outstanding balance of $519.4 million as of December 31, 2020. The entire unused facility amount of $230.6 million was available as of December 31, 2020 based on the amount of warehouse-eligible, unpledged equipment. The warehouse loan facility is a non-recourse obligation and is secured by a portfolio of railcars and operating leases, certain cash reserves, and other assets acquired and owned by the warehouse loan facility trust. The principal and interest of this indebtedness are paid from the cash flows of the underlying leases. Advances under the facility bear interest at a defined index rate plus a margin, for an all-in interest rate of 1.76% at December 31, 2020. Amounts outstanding at maturity, absent renewal, are payable in March 2022. TRL-2017 – Trinity Rail Leasing 2017, LLC, a Delaware limited liability company ("TRL-2017") and a limited purpose, indirect wholly-owned subsidiary of the Company owned through TILC, previously issued $302.4 million of promissory notes (the "2017 Promissory Notes") due May 15, 2024. In November 2018, the 2017 Promissory Notes were extended through November 8, 2025 at an increased aggregate amount of $663.0 million. In July 2020, TRL-2017 issued an additional $225.0 million of promissory notes pursuant to a provision contained in its existing Amended and Restated Loan Agreement dated November 8, 2018 (together with previously-issued promissory notes, the "2017 Promissory Notes"). As of December 31, 2020, $802.7 million of the 2017 Promissory Notes was outstanding. The 2017 Promissory Notes bear interest at a rate of LIBOR plus 1.50%, for an all-in interest rate of 1.69% as of December 31, 2020, payable monthly. The 2017 Promissory Notes are obligations of TRL-2017 and are non-recourse to Trinity. The 2017 Promissory Notes are secured by a portfolio of railcars and operating leases thereon, certain cash reserves, and other assets acquired and owned by TRL-2017. Net proceeds received from the July 2020 transaction were used to repay approximately $48.3 million of borrowings under TILC's secured warehouse credit facility, and the remaining proceeds were used to repay borrowings under the Company’s revolving credit facility, and for general corporate purposes. TRL-2018 – In June 2018, Trinity Rail Leasing 2018, LLC, a Delaware limited liability company ("TRL-2018") and a limited purpose, indirect wholly-owned subsidiary of the Company owned through TILC, issued $482.5 million in Secured Railcar Equipment Notes (the "TRL-2018 Secured Railcar Equipment Notes"). The TRL-2018 Secured Railcar Equipment Notes consisted of two classes of notes with (i) an aggregate principal amount of $200.0 million of TRL-2018's Series 2018-1 Class A-1 Secured Railcar Equipment Notes (the "TRL-2018 Class A-1 Notes"), and (ii) an aggregate principal amount of $282.5 million of TRL-2018's Series 2018-1 Class A-2 Secured Railcar Equipment Notes (the “TRL-2018 Class A-2 Notes”). The TRL-2018 Secured Railcar Equipment Notes were issued pursuant to a Master Indenture, dated June 20, 2018 between TRL-2018 and Wilmington Trust Company, as indenture trustee. In October 2020, TRL-2018 issued $155.5 million of Series 2020-1 Class A Secured Railcar Equipment Notes (the “2020-1 Notes”) (the TRL-2018 Class A-1 Notes, the TRL-2018 Class A-2 Notes, and the 2020-1 Notes are, collectively, the “TRL-2018 Notes”) under the existing indenture. In a separate transaction during October 2020, TRL-2018 redeemed its TRL-2018 Class A-1 Notes, of which $153.1 million was outstanding at the redemption date. The fixed interest rate for these notes was 3.82% per annum. The TRL-2018 Class A-2 Notes, of which $282.5 million was outstanding as of December 31, 2020, bear interest at a fixed rate of 4.62%, are payable monthly, and have a stated final maturity date of June 17, 2048. The 2020-1 Notes, of which $152.4 million was outstanding as of December 31, 2020, bear interest at a fixed rate of 1.96%, are payable monthly, and have a stated final maturity date of October 17, 2050. The TRL-2018 Notes are obligations of TRL-2018 only, secured by a portfolio of railcars and operating leases thereon acquired and owned by TRL-2018, certain cash reserves, and other assets of TRL-2018. TRIHC 2018 – In October 2018, TRIHC 2018 LLC ("TRIHC 2018") was acquired by the Leasing Group, from an unrelated seller, and included the entire equity interest of a railcar leasing entity for $75.4 million in cash. As a result of the purchase transaction, the Leasing Group acquired approximately 4,150 railcars, substantially all of which are currently under lease to third parties, and assumed indebtedness of approximately $283.9 million with maturities ranging from 2018 through 2035. In November 2020, Trinity Rail Leasing 2020 LLC, a Delaware limited liability company (“TRL-2020”) and a limited purpose, indirect wholly-owned subsidiary of the Company owned through TILC, redeemed in full approximately $258.6 million of secured notes issued by TRIHC 2018. TRL-2019 – In April 2019, Trinity Rail Leasing 2019 LLC ("TRL-2019"), a Delaware limited liability company and a limited purpose, indirect wholly-owned subsidiary of the Company owned through TILC, issued $528.3 million in Secured Railcar Equipment Notes (the "TRL-2019 Secured Railcar Equipment Notes"). The TRL-2019 Secured Railcar Equipment Notes were issued pursuant to a Master Indenture, dated as of April 10, 2019 between TRL-2019 and U.S. Bank National Association, as indenture trustee. The TRL-2019 Secured Railcar Equipment Notes, of which $491.1 million was outstanding as of December 31, 2020, bear interest at a fixed rate of 3.82%, are payable monthly, and have a stated final maturity date of April 17, 2049. The TRL-2019 Secured Railcar Equipment Notes are obligations of TRL-2019 and are non-recourse to Trinity. The obligations are secured by a portfolio of railcars and operating leases thereon, certain cash reserves, and other assets acquired and owned by TRL-2019. In October 2019, TRL-2019 issued an additional $386.5 million in Secured Railcar Equipment Notes (the "TRL-2019-2 Secured Railcar Equipment Notes"). The TRL-2019-2 Secured Railcar Equipment Notes consisted of two classes of notes with (i) an aggregate principal amount of $106.9 million of TRL-2019's Series 2019-2 Class A-1 Secured Railcar Equipment Notes (the "TRL-2019 Class A-1 Notes"), and (ii) an aggregate principal amount of $279.6 million of TRL-2019's Series 2019-2 Class A-2 Secured Railcar Equipment Notes (the “TRL-2019 Class A-2 Notes”). The TRL-2019-2 Secured Railcar Equipment Notes were issued pursuant to a Master Indenture, dated April 10, 2019 between TRL-2019 and U.S. Bank National Association, as indenture trustee, as supplemented by a Series 2019-2 Supplement dated as of October 17, 2019. The TRL-2019 Class A-1 Notes, of which $90.1 million was outstanding as of December 31, 2020, bear interest at a fixed rate of 2.39%, are payable monthly, and have a stated final maturity date of October 17, 2049. The TRL-2019 Class A-2 Notes, of which $279.6 million was outstanding as of December 31, 2020, bear interest at a fixed rate of 3.10%, are payable monthly, and have a stated final maturity date of October 17, 2049. The TRL-2019-2 Secured Railcar Equipment Notes are obligations of TRL-2019 and are non-recourse to Trinity. The obligations are secured by a portfolio of railcars and operating leases thereon, certain cash reserves, and other assets acquired and owned by TRL-2019. TRL-2020 – In November 2020, TRL-2020 issued an aggregate principal amount of (i) $110.0 million of TRL-2020’s Series 2020-2 Class A-1 Secured Railcar Equipment Notes (the “TRL-2020 Class A-1 Notes”), (ii) $240.3 million of TRL-2020’s Series 2020-2 Class A-2 Secured Railcar Equipment Notes (the “TRL-2020 Class A-2 Notes”), and (iii) $20.5 million of TRL-2020’s Series 2020-2 Class B Secured Railcar Equipment Notes (the “TRL-2020 Class B Notes”) (the TRL-2020 Class A-1 Notes, the TRL-2020 Class A-2 Notes, and the TRL-2020 Class B Notes are, collectively, the “TRL-2020 Notes”). The TRL-2020 Notes were issued pursuant to a Master Indenture, dated November 19, 2020 between TRL-2020 and U.S. Bank National Association, as indenture trustee, as supplemented by a Series 2020-2 Supplement dated November 19, 2020. The TRL-2020 Class A-1 Notes, of which $108.3 million was outstanding as of December 31, 2020, bear interest at a fixed rate of 1.83%. The TRL-2020 Class A-2 Notes, of which $240.3 million was outstanding as of December 31, 2020, bear interest at a fixed rate of 2.56%. The TRL-2020 Class B Notes, of which $20.5 million was outstanding as of December 31, 2020, bear interest at a fixed rate of 3.69%. The TRL-2020 Notes are payable monthly, and have a stated final maturity date of November 19, 2050. Net proceeds received from the railcars acquired in connection with the issuance of the TRL-2020 Notes were used to repay approximately $22.1 million of borrowings under the Leasing Group's secured warehouse credit facility, to redeem in full approximately $258.6 million of secured notes issued by TRIHC 2018 as described above, and for general corporate purposes. Partially-owned leasing subsidiaries TRIP Master Funding – The TRIP Master Funding Secured Railcar Equipment Notes consisted of three classes with (i) the Class A-1a TRIP Master Funding Secured Railcar Equipment Notes ("TRMF Class A-1a Notes") bearing interest at 4.37%, (ii) the Class A-1b TRIP Master Funding Secured Railcar Equipment Notes ("TRMF Class A-1b Notes") bearing interest at LIBOR plus 2.50%, and (iii) the Class A-2 TRIP Master Funding Secured Railcar Equipment Notes ("TRMF Class A-2 Notes") bearing interest at 6.02%, all payable monthly, with a final maturity date in July 2041. In May 2014, TRIP Master Funding issued $335.7 million in aggregate principal amount of Series 2014-1 Secured Railcar Equipment Notes consisting of two classes with (i) the Class A-1 Series 2014-1 Secured Railcar Equipment Notes ("TRMF 2014-1 Class A-1 Notes") bearing interest at 2.86% and (ii) the Class A-2 Series 2014-1 Secured Railcar Equipment Notes ("TRMF 2014-1 Class A-2 Notes") bearing interest at 4.09%, with a final maturity date of April 2044. In August 2017, TRIP Master Funding issued $237.9 million in aggregate principal amount of Series 2017-1 Secured Railcar Equipment Notes pursuant to the Master Indenture between TRIP Master Funding and Wilmington Trust Company, as indenture trustee, with a final maturity date of August 2047. The proceeds from the issuance were used primarily to retire the TRMF Class A-1a Notes and TRMF Class A-1b Notes as well as the TRMF 2014-1 Class A-1 Notes in full. The TRIP Master Funding Secured Railcar Equipment Notes and the TRIP Master Funding Series 2014-1 Secured Railcar Equipment Notes were issued pursuant to a Master Indenture dated July 6, 2011 between TRIP Master Funding and Wilmington Trust Company, as indenture trustee; are non-recourse to Trinity, TILC, TRIP Holdings, and the other equity investors in TRIP Holdings; and are secured by TRIP Master Funding's portfolio of railcars and operating leases thereon, its cash reserves, and all other assets owned by TRIP Master Funding. As of December 31, 2020, there were $508.8 million outstanding of the TRMF Class A-2 Notes and $220.7 million of the TRMF 2014-1 Class A-2 Notes. The TRIP Master Funding Series 2017-1 Secured Railcar Equipment Notes consist of two classes with (i) the Class A-1 2017-1 Secured Railcar Equipment Notes ("TRMF 2017-1 Class A-1 Notes") bearing interest at 2.71% and (ii) the Class A-2 2017-1 Secured Railcar Equipment Notes ("TRMF 2017-1 Class A-2 Notes") bearing interest at 3.74%. The TRIP Master Funding Series 2017-1 Secured Railcar Equipment Notes are non-recourse to Trinity, TILC, TRIP Holdings, and the other equity investors in TRIP Holdings and are secured by TRIP Master Funding's portfolio of railcars and operating leases thereon, its cash reserves, and all other assets owned by TRIP Master Funding. As of December 31, 2020, there were $20.6 million and $134.9 million of TRMF 2017-1 Class A-1 Notes and TRMF 2017-1 Class A-2 Notes outstanding, respectively. TRL-2012 – In December 2012, TRL-2012, a Delaware limited liability company and a limited purpose, indirect wholly-owned subsidiary of the Company owned through TILC, issued $145.4 million in aggregate principal amount of Series 2012-1 Class A-1 Secured Railcar Equipment Notes (the "2012 Class A-1 Notes") and $188.4 million in aggregate principal amount of Series 2012-1 Class A-2 Secured Railcar Equipment Notes (the "2012 Class A-2 Notes" and collectively with the 2012 Class A-1 Notes, the "2012 Secured Railcar Equipment Notes"), of which $25.9 million and $188.4 million, respectively, were outstanding as of December 31, 2020. The 2012 Class A-1 Notes bear interest at a fixed rate of 2.27%, are payable monthly, and have a stated final maturity date of January 15, 2043. The 2012 Class A-2 Notes bear interest at a fixed rate of 3.53%, are payable monthly, and have a stated final maturity date of January 15, 2043. In May 2013, TRL-2012 became a subsidiary of one of the Company's partially-owned subsidiaries, RIV 2013. See Note 5 for further explanation. In August 2013, TRL-2012 issued $183.4 million in aggregate principal amount of Series 2013-1 Secured Railcar Equipment Notes of which $138.2 million was outstanding as of December 31, 2020. The 2013-1 Secured Railcar Equipment Notes bear interest at a fixed rate of 3.90%, are payable monthly, and have a stated final maturity date of July 15, 2043. The 2012 Secured Railcar Equipment Notes and the 2013-1 Secured Railcar Equipment Notes were issued pursuant to a Master Indenture dated December 19, 2012 between TRL-2012 and Wilmington Trust Company, as indenture trustee; are non-recourse to Trinity, TILC, RIV 2013, and the other equity investors in RIV 2013; and are secured by TRL-2012's portfolio of railcars and operating leases thereon, its cash reserves, and all other assets owned by TRL-2012. TRIP Master Funding and TRL-2012 are wholly-owned subsidiaries of TRIP Holdings and RIV 2013, respectively, which, in turn, are partially-owned subsidiaries of the Company, through its wholly-owned subsidiary, TILC. Our combined weighted average ownership interest in TRIP Holdings and RIV 2013 is 38%. See Note 5 for further explanation. The remaining principal payments under existing debt agreements as of December 31, 2020 are as follows: 2021 2022 2023 2024 2025 Thereafter Total (in millions) Recourse: Corporate $ — $ — $ 50.0 $ 400.0 $ — $ — $ 450.0 Non-recourse – leasing (Note 6): 2009 secured railcar equipment notes 14.5 14.0 11.8 14.5 19.9 67.6 142.3 2010 secured railcar equipment notes 22.8 20.8 22.3 18.4 20.6 131.0 235.9 2017 promissory notes 44.4 44.4 44.4 44.4 635.2 — 812.8 2018 secured railcar equipment notes 17.9 19.0 19.1 19.1 14.9 344.9 434.9 2019 secured railcar equipment notes 37.8 36.8 34.9 36.6 35.2 679.5 860.8 2020 secured railcar equipment notes 20.0 18.5 18.3 14.4 11.3 286.6 369.1 TILC warehouse facility 16.7 2.8 — — — — 19.5 Facility termination payments – TILC warehouse facility — 499.9 — — — — 499.9 TRL 2012 secured railcar equipment notes 19.8 19.5 22.7 28.9 31.3 230.3 352.5 TRIP Master Funding secured railcar equipment notes 40.5 41.8 37.0 191.6 70.3 503.8 885.0 Total principal payments $ 234.4 $ 717.5 $ 260.5 $ 767.9 $ 838.7 $ 2,243.7 $ 5,062.7 |
Note 9. Income Taxes
Note 9. Income Taxes | 12 Months Ended |
Dec. 31, 2020 | |
Income Tax Disclosure [Abstract] | |
Income Tax Disclosure [Text Block] | Note 9. Income Taxes The components of the provision (benefit) for income taxes from continuing operations are as follows: Year Ended December 31, 2020 2019 2018 (in millions) Current: Federal: Effect of CARES Act $ (373.3) $ — $ — Other (125.4) (6.0) (19.1) (498.7) (6.0) (19.1) State (0.1) 6.6 (1.5) Foreign 4.3 6.1 5.3 Total current (494.5) 6.7 (15.3) Deferred: Federal: Effect of CARES Act 192.9 — — Other 23.4 44.0 43.2 216.3 44.0 43.2 State (0.4) 12.3 14.7 Foreign 10.2 (1.5) — Total deferred 226.1 54.8 57.9 Provision (benefit) $ (268.4) $ 61.5 $ 42.6 The provision for income taxes from continuing operations results in effective tax rates that differ from the statutory rates. The following is a reconciliation between the statutory U.S. federal income tax rate and our effective income tax rate on income before income taxes: Year Ended December 31, 2020 2019 2018 Statutory rate 21.0 % 21.0 % 21.0 % Effect of CARES Act 36.5 — — Impairment - noncontrolling interest in partially-owned subsidiaries (3.5) — — State taxes 1.1 2.2 2.3 Foreign branch taxes (0.2) 1.2 2.9 Executive compensation limitations (0.3) 1.2 0.9 Interest expense limitations from partially-owned subsidiaries 0.2 1.0 1.3 Noncontrolling interest in partially-owned subsidiaries 0.1 0.1 (0.5) Changes in state laws and apportionment (1.2) 4.3 5.2 Changes in valuation allowances and reserves 0.5 — 1.6 Equity compensation — (0.8) (1.4) Effect of Tax Cuts and Jobs Act — — (3.9) Other, net 0.1 0.4 (1.3) Effective rate 54.3 % 30.6 % 28.1 % The effective tax rate is based upon the U.S. statutory rate of 21.0% for the years ended December 31, 2020, 2019, and 2018. For the year ended December 31, 2020, the difference between the U.S. statutory rate and effective tax rate is primarily due the impact of the Coronavirus Aid, Relief, and Economic Security Act (the "CARES Act") partially offset by the portion of the non-cash small cube covered hopper railcar impairment charge that is not tax-effected because it is related to the noncontrolling interest. For the year ended December 31, 2019, the difference between the U.S. statutory rate and effective tax rate is primarily due to state income tax expense, foreign branch taxes, and changes in state tax laws and apportionment. For the year ended December 31, 2018, the difference between the U.S. statutory tax rate and the effective tax rate was primarily attributed to state income tax expense, foreign branch taxes, changes in state tax and apportionment laws, and the final accounting for the effects of the Tax Cuts and Jobs Act (the "Tax Act") that was enacted on December 22, 2017. See Note 5 for a further explanation of activities with respect to our partially-owned leasing subsidiaries. On March 27, 2020, the CARES Act was enacted. The CARES Act was a stimulus package and part of a series of bills meant to address the economic uncertainties associated with COVID-19. Due to the enactment of the CARES Act, Trinity filed a carryback claim for the 2018 and 2019 tax losses to the 2013-2015 tax years, allowing the recovery of taxes previously paid. The tax losses generated in 2020 will also be carried back to offset the remaining income in 2015. The income taxes associated with the carryback claims were paid at a federal rate of 35.0%, rather than the current rate of 21.0% in effect beginning with the 2018 tax year. The overall net impact of the CARES Act resulted in a tax benefit of $180.4 million for the year ended December 31, 2020. Income (loss) before income taxes for the years ended December 31, 2020, 2019, and 2018 was $(487.1) million, $201.1 million, and $139.8 million, respectively, for U.S. operations, and $(7.4) million, $(0.4) million, and $11.8 million, respectively, for foreign operations, principally Mexico and Canada. Deferred income taxes represent the tax effects of temporary differences between the carrying amounts of assets and liabilities for financial reporting purposes and the amounts used for income tax purposes. The components of deferred tax liabilities and assets are as follows: December 31, 2020 2019 (in millions) Deferred tax liabilities: Depreciation, depletion, and amortization $ 996.8 $ 913.4 Partially-owned subsidiaries basis difference 139.9 144.7 Right-of-use assets 17.5 10.0 Total deferred tax liabilities 1,154.2 1,068.1 Deferred tax assets: Workers compensation, pensions, and other benefits 27.1 3.1 Warranties and reserves 3.9 4.5 Equity items 9.5 46.1 Tax loss carryforwards and credits 62.8 229.0 Inventory 5.4 5.1 Accrued liabilities and other 5.3 9.7 Lease liabilities 22.9 10.0 Total deferred tax assets 136.9 307.5 Net deferred tax liabilities before valuation allowances 1,017.3 760.6 Valuation allowances 25.2 19.5 Net deferred tax liabilities before reserve for uncertain tax positions 1,042.5 780.1 Deferred tax assets included in reserve for uncertain tax positions (1.0) (1.0) Adjusted net deferred tax liabilities $ 1,041.5 $ 779.1 At December 31, 2020, we had $18.9 million of federal consolidated net operating loss carryforwards and $22.8 million of tax-effected state loss carryforwards remaining. All of the federal net operating loss carryforwards were acquired in 2010. The acquired federal net operating loss carryforwards are subject to limitations on the amount that can be utilized in any one year tax year and are due to expire in 2028 and 2029. The federal net operating loss generated in the current year will be carried back five years under the CARES Act to offset income remaining in 2015. We have established valuation allowances for federal, state, and foreign tax operating losses and credits that we have estimated may not be realizable. Taxing authority examinations Our 2016 and 2017 tax years are effectively settled. The 2013-2015 tax years statutes will remain open due to tax loss carryback claims that have been filed. We have state tax returns that are under audit in the normal course of business, and our Mexican subsidiaries' tax return statutes remain open from 2014 forward. We believe we are appropriately reserved for any potential matters. Unrecognized tax benefits The change in unrecognized tax benefits for the years ended December 31, 2020, 2019, and 2018 was as follows: Year Ended December 31, 2020 2019 2018 (in millions) Beginning balance $ 2.3 $ 8.1 $ 7.0 Additions for tax positions of prior years — — 3.0 Reductions for tax positions of prior years — — (0.3) Settlements — (5.8) (1.5) Expiration of statute of limitations — — (0.1) Ending balance $ 2.3 $ 2.3 $ 8.1 Settlements during the years ended December 31, 2019 and 2018 were due to the resolution of state audits. The total amount of unrecognized tax benefits including interest and penalties at December 31, 2020 and 2019, that would affect our effective tax rate if recognized, was $4.1 million and $4.0 million, respectively. Trinity accounts for interest expense and penalties related to income tax issues as income tax expense. Accordingly, interest expense and penalties associated with an uncertain tax position are included in the income tax provision. The total amount of accrued interest and penalties from continuing operations as of December 31, 2020 and 2019 was $2.9 million and $2.7 million, respectively. Income tax expense for the years ended December 31, 2020, 2019, and 2018 included an increase of $0.2 million, a decrease of $1.0 million, and an increase of $0.5 million, respectively, with regard to interest expense and penalties related to uncertain tax positions. |
Note 10. Employee Retirement Pl
Note 10. Employee Retirement Plans | 12 Months Ended |
Dec. 31, 2020 | |
Defined Benefit Plan Disclosure [Line Items] | |
Pension and Other Postretirement Benefits Disclosure [Text Block] | Note 10. Employee Retirement Plans We sponsor defined benefit plans and defined contribution profit sharing plans that provide retirement income and death benefits for eligible employees. The annual measurement date of the benefit obligations, fair value of plan assets, and funded status is December 31. Pension Plan Termination On September 4, 2019, our Board of Directors approved the termination of the Trinity Industries, Inc. Consolidated Pension Plan (the "Pension Plan"), effective December 31, 2019. The Pension Plan was settled in the fourth quarter of 2020 which resulted in the Company no longer having any remaining funded pension plan obligations. Except for retirees receiving payments under the Pension Plan, participants had the choice of receiving a single lump sum payment or an annuity from a highly-rated insurance company that will pay and administer future benefit payments. Upon settlement, we recognized a pre-tax non-cash pension settlement charge of $151.5 million, which was inclusive of all unamortized losses previously recorded in AOCL. The settlement charge was recognized in our Statement of Operations during the fourth quarter when the payments were made to those participants electing to receive a lump sum distribution and when the annuity contracts were purchased to settle all remaining outstanding pension obligations. The surplus of the Pension Plan of $23.6 million will be used, as prescribed in the applicable regulations, to fund obligations associated with the Company's defined contribution profit sharing plan and final pension administrative expenses. We expect that any remaining surplus would be used for other corporate purposes, subject to applicable taxes. Actuarial assumptions Year Ended December 31, 2020 2019 2018 Assumptions used to determine benefit obligations at the annual measurement date were: Obligation discount rate N/A 2.73 % 4.45 % Assumptions used to determine net periodic benefit costs were: Obligation discount rate 2.71 % 4.45 % 3.79 % Long-term rate of return on plan assets 3.90 % 4.90 % 5.65 % Prior to the settlement of our Pension Plan, the obligation discount rate assumption was determined by deriving a single discount rate from a theoretical settlement portfolio of high quality corporate bonds sufficient to provide for the plans' projected benefit payments. The expected long-term rate of return on the plans' assets was an assumption reflecting the anticipated weighted average rate of earnings on the portfolio over the long-term. To arrive at this rate, estimates were developed based upon the anticipated performance of the plans' assets. Substantially all of the accrued benefits of our remaining pension plans were frozen in 2009, with all qualified pension plans settled as of December 31, 2020. Components of Net Periodic Benefit Cost and Other Retirement Expenses Year Ended December 31, 2020 2019 2018 (in millions) Expense Components Service cost $ — $ 0.1 $ 0.1 Interest 14.8 19.7 18.3 Expected return on plan assets (20.9) (23.0) (27.4) Amortization of actuarial loss 6.0 4.6 4.8 Amortization of prior service cost 1.2 — — Settlement loss 151.5 — — Other — — 0.6 Net periodic benefit cost 152.6 1.4 (3.6) Profit sharing 9.0 11.0 11.1 Net expense $ 161.6 $ 12.4 $ 7.5 The expected return on plan assets is based on the plan assets' fair value. Amortization of actuarial loss is determined using the corridor method. Under the corridor method, unamortized actuarial gains or losses in excess of 10% of the greater of the projected benefit obligation or the fair value of plan assets as of the beginning of the plan year are amortized, for frozen plans, over the average expected remaining lifetime of frozen and inactive participants. Obligations and funded status Information regarding the terminated Pension Plan and the Supplemental Executive Retirement Plan ("SERP") based upon a December 31 measurement date is as follows: Year Ended December 31, 2020 2019 (in millions) Accumulated Benefit Obligations $ 15.5 $ 557.9 Projected Benefit Obligations: Beginning of year $ 557.9 $ 453.2 Service cost — 0.1 Interest 14.8 19.7 Benefits paid (23.0) (22.2) Actuarial (gain) loss 18.0 105.6 Plan amendments — 1.5 Settlements (552.2) — End of year $ 15.5 $ 557.9 Plans' Assets: Beginning of year $ 548.5 $ 478.7 Actual return on assets 49.3 90.9 Employer contributions 1.0 1.1 Benefits paid (23.0) (22.2) Settlements (552.2) — End of year $ 23.6 $ 548.5 Consolidated Balance Sheet Components: Pension Plan: Other assets $ 23.6 $ 5.5 Accrued liabilities — — Net funded status $ 23.6 $ 5.5 SERP: Other assets $ — $ — Accrued liabilities (15.5) (14.9) Net funded status $ (15.5) $ (14.9) Amounts recognized in other comprehensive income (loss) Year Ended December 31, 2020 2019 2018 (in millions) Settlement of pension plan $ 151.5 $ — $ — Actuarial gain (loss) 10.4 (37.7) (12.5) Amortization of actuarial loss 6.0 4.6 4.8 Amortization of prior service cost 1.2 — — New prior service cost base — (1.5) — Total before income taxes 169.1 (34.6) (7.7) Income tax (benefit) expense 39.2 (7.9) (1.8) Net amount recognized in other comprehensive income (loss) $ 129.9 $ (26.7) $ (5.9) At December 31, 2020, AOCL included unrecognized actuarial losses related to our SERP of $5.9 million ($4.0 million net of related income taxes). Actuarial losses included in AOCL and expected to be recognized in net periodic pension cost for the year ended December 31, 2021 are $0.3 million ($0.2 million net of related income taxes). Plan assets Upon settlement of our Pension Plan in the fourth quarter of 2020, the target and actual investment allocation strategy at December 31, 2020 is 100% cash and cash equivalents. The estimated fair value of the plans' assets at December 31, 2020 was $23.6 million of temporary cash investments (Level 1). In anticipation of the planned settlement, we adjusted our target allocation at December 31, 2019 to a 100% liability hedging portfolio. Historically, our investment strategies were developed as part of a comprehensive asset/liability management process that considered the relationship between both the assets and liabilities of the plans for the purpose of providing the capital assets necessary to meet the financial obligations made to participants of our pension plans. These strategies considered not only the expected risk and returns on the plans' assets, but also the actuarial projections of liabilities, projected contributions, and funded status. Our investment policy statement allocated our pension plan assets into two portfolios as follows: • Liability hedging portfolio – The objective of the liability hedging portfolio is to match the characteristics of the pension plans' liabilities. This portfolio consists of fixed income holdings which are generally investment grade. • Growth portfolio – The objective of the growth portfolio is to focus upon total return with an acceptable level of risk. This portfolio is heavily weighted toward U.S. equities with a lesser exposure to international equities, domestic real estate investment trusts, U.S. high yield and emerging market sovereign debt. The target allocation between these two portfolios varied based on the pension plans' percentage of projected benefit obligations funded status. The range of target asset allocations were determined after giving consideration to the expected returns of each asset category within the two portfolios, the expected performance of each asset category, the volatility of asset returns over time, and the complementary nature of the asset mix within the portfolio. The principal pension investment strategies included asset allocation and active asset management within approved guidelines. These assets were managed by an investment advisor. The estimated fair value of the plans' assets at December 31, 2019, indicating input levels used to determine fair value are as follows: Fair Value Measurement as of December 31, 2019 (in millions) Level 1 Level 2 Level 3 Total Temporary cash investments $ 13.5 $ — $ — $ 13.5 Fixed Income – Government and agencies — 121.7 — 121.7 Fixed Income – Corporate — 370.5 — 370.5 Fixed Income – Asset-backed securities — 2.2 — 2.2 Fixed Income – Collateralized mortgage-backed — 4.1 — 4.1 Equity common trust funds — 29.1 — 29.1 Debt common trust funds — — 7.4 7.4 $ 13.5 $ 527.6 $ 7.4 $ 548.5 The pension plans' assets are valued at fair value. The following is a description of the valuation methodologies used in determining fair value, including the general classification of such instruments pursuant to the valuation hierarchy as described further in Note 3: Temporary cash investments – These investments consist of U.S. dollars held in master trust accounts with the trustee. These temporary cash investments are classified as Level 1 instruments. Fixed Income – Government and agencies – These investments consist primarily of U.S. treasury bonds and notes, U.S. treasury inflation protected securities, U.S. government agency debt, municipal bonds, and other global government bonds. The fair value of these securities is based on quoted market prices when available or is based on yields currently available on comparable securities or on an industry valuation model, which maximizes observable inputs. These securities are categorized as Level 2 instruments. Fixed Income – Corporate – These investments consist of U.S. and global corporate bonds and notes. The fair value of these securities is based on yields currently available on comparable securities of issuers with similar credit ratings. When quoted prices are not available for identical or similar debt instruments, the fair value is based upon an industry valuation model, which maximizes observable inputs. These securities are categorized as Level 2 instruments. Fixed Income – Asset-backed securities – Asset-backed securities are valued using quotes from independent pricing vendors based on recent trading activity and other relevant information, including market interest rate curves, referenced credit spreads, and estimated prepayment rates, where applicable. These securities are categorized as Level 2 instruments. Fixed Income – Collateralized mortgage-backed – Mortgage-backed securities are valued using quotes from independent pricing vendors based on recent trading activity and other relevant information, including market interest rate curves, referenced credit spreads, and estimated prepayment rates, where applicable. These securities are categorized as Level 2 instruments. Common trust funds – Common trust funds are comprised of shares or units in commingled funds that are not publicly traded. The underlying assets in these funds are publicly traded on exchanges and price quotes for the assets held by these funds are readily available. Holdings of common trust funds are classified as a combination of Level 2 and Level 3 instruments. Funding of Defined Contribution Plans Based on the plan provisions that were in effect during the majority of 2020, participants in the 401(k) plan were eligible to receive future retirement benefits through a company-funded annual retirement contribution provided through the Profit Sharing Plan for Employees of Trinity Industries, Inc. and Certain Affiliates. The contribution ranged from one to three percent of eligible compensation based on service. Both the annual retirement contribution and the company matching contribution are discretionary, requiring board approval, and are made annually with the investment of the funds directed by the participants. In August 2020, the Company amended the plan to replace the company-funded annual retirement contribution with a qualified automatic contribution arrangement safe harbor plan structure. The revised matching structure will provide for a dollar-for-dollar Company match on up to 6% of participants' eligible compensation, subject to a two-year cliff vesting period. |
Note 11. Asset Impairment Charg
Note 11. Asset Impairment Charges and Restructuring Activities (Notes) | 12 Months Ended |
Dec. 31, 2020 | |
Restructuring Charges [Abstract] | |
Asset Impairment Charges | Impairment of small cube covered hopper railcars We monitor the carrying value of long-lived assets and right-of-use assets for potential impairment. The carrying value of long-lived assets and right-of-use assets is considered impaired when the asset's carrying value is not recoverable through undiscounted future cash flows and the asset's carrying value exceeds its fair value. During the second quarter, the oil and gas proppants (or “frac sand”) industry continued to experience economic pressure created by low oil prices, reduced fracking activity, and the ongoing economic impact of COVID-19. Significant price declines in the crude oil market, as well as lower demand for certain commodities, resulted in a decline in customer demand for certain types of railcars. In particular, small cube covered hopper railcars are primarily used in North America to serve the frac sand industry. In recent years, these railcars primarily transported Northern White sand from Wisconsin and other locations in the Midwest for use in fracking operations, including operations located in the Permian Basin. However, given the decline in global oil prices, reduced fracking activity, and pressure on the oil and gas industry to maintain a low cost structure, fracking operations, particularly those located in the Permian Basin, have increasingly shifted away from the use of Northern White sand and towards the use of in-basin sand, which can be sourced locally rather than transporting by rail. Consequently, the cash flows and profitability of the frac sand industry continued to decline during the second quarter. As a result, certain of the Leasing Group's small cube covered hopper customers requested rent relief and, in a number of cases, filed for bankruptcy in the second quarter. We believe that the collective impact of these developments, including the shift towards the use of in-basin sand, constituted a fundamental and other-than-temporary change in the future demand for this railcar type. Therefore, we determined that the events and circumstances that arose during the second quarter of 2020 constituted an impairment triggering event related to the small cube covered hopper car type in our lease fleet portfolio. We performed a cash flow recoverability test of our small cube covered hopper railcars and compared the undiscounted cash flows to the carrying value of the assets. This analysis indicated that the carrying value exceeded the estimated undiscounted cash flows, and therefore, we were required to measure the fair value of our fleet of small cube covered hopper railcars and determine the amount of an impairment loss, if any. The fair value of the asset group was determined using an income approach, which we believe most accurately reflects a market participant's viewpoint in valuing these railcars. The results of our analysis indicated an estimated fair value of the asset group of approximately $191.7 million, in comparison to the asset group's carrying amount of $550.0 million, net of deferred profit. As a result, during the second quarter, we recorded a pre-tax non-cash impairment charge of $358.3 million related to our small cube covered hopper railcars. Additionally, we evaluated the right-of-use assets associated with our leased-in portfolio of small cube covered hopper railcars and determined that these assets were impaired based on consideration of an expected decline in future cash flows over the remaining lease term, which resulted in an additional pre-tax non-cash impairment charge of approximately $11.1 million. The aggregate impairment charge of $369.4 million, which includes $81.3 million associated with noncontrolling interest, is reflected in the impairment of long-lived assets line of our Consolidated Statements of Operations for the year ended December 31, 2020. Significant management judgment was used to determine the key assumptions utilized in our impairment analysis, the substantial majority of which represent unobservable (Level 3) inputs. These assumptions include, but are not limited to: estimates regarding the remaining useful life over which the railcars are expected to generate cash flows; average lease rates; railcar utilization percentages; operating expenses; and the selection of an appropriate discount rate. Management selected these estimates and assumptions based on our railcar industry expertise. We also consulted with third-party energy and frac sand industry experts to gain insights with respect to the long-term outlook for these underlying markets. Although we believe the estimates utilized in our analysis were reasonable, any change in these estimates could materially affect the amount of the impairment charge. Other asset write-downs During the fourth quarter of 2020, management approved a plan to exit certain non-strategic maintenance facilities (the "disposal group"). We determined that the planned divestiture of the disposal group met the criteria to be classified as assets held for sale, and consequently, we measured the assets of the disposal group at fair value, less any costs to sell. The results of our analysis indicated a pre-tax non-cash write-down of $15.2 million, which we recorded during the year ended December 31, 2020. The charge is reflected in the impairment of long-lived assets line of our Consolidated Statements of Operations for the year ended December 31, 2020. |
Restructuring and Related Activities Disclosure [Text Block] | Restructuring activities In November 2019, we approved a restructuring plan to resize certain resources, reduce stranded costs, and better align support services with our rail-focused strategy. As part of the restructuring program, we eliminated positions across multiple locations and functions, including certain corporate and operational support functions. During the year ended December 31, 2019, we recorded total restructuring charges of $14.7 million, consisting of approximately $3.8 million in cash charges for severance costs and approximately $10.9 million of non-cash charges, primarily from write-downs of assets associated with our non-operating facilities that will no longer be utilized as we execute our rail-focused strategy. Throughout 2020, we continued our efforts to better align support services with our rail-focused strategy, which resulted in headcount reductions across multiple functions, including certain corporate and operational support functions primarily at our Dallas headquarters. Additionally, we executed a lease agreement on a new headquarters facility to better suit our new organizational structure, which prompted the need to perform a recoverability test on our existing corporate headquarters campus to evaluate for impairment. This test indicated that the carrying value was not recoverable. The fair value of our corporate headquarters campus was measured based on a third-party valuation estimate using Level 2 and Level 3 inputs in the fair value hierarchy and resulted in a non-cash impairment charge of $5.2 million during the year ended December 31, 2020. During the year ended December 31, 2020, we recorded total restructuring charges of $11.0 million, consisting of $7.8 million for severance costs, $5.3 million of non-cash charges primarily from the write-down of our corporate headquarters campus described above and certain other assets, and $0.6 million in contract termination costs, partially offset by a $2.7 million net gain on the disposition of a non-operating facility and certain related assets. As we continue to reposition the organization, it is possible that we will engage in additional restructuring activities in the near term. The following table sets forth the restructuring activity and balance of the restructuring liability, which is included in other liabilities in our Consolidated Balance Sheet: Accrued charges as of December 31, 2019 Charges and adjustments Payments Accrued charges as of December 31, 2020 (in millions) Cash charges: Employee severance costs $ 3.4 $ 7.8 $ (9.8) $ 1.4 Contract termination costs — 0.6 (0.6) — $ 3.4 $ 8.4 $ (10.4) $ 1.4 Asset impairment charges: Write-down of assets $ 5.3 (Gain)/loss on disposition of assets (2.7) $ 2.6 Total restructuring activities $ 11.0 Although restructuring activities are not allocated to our reportable segments, the following tables summarize the restructuring activities by reportable segment: Year Ended December 31, 2020 Employee Severance Costs Contract Termination Costs (Gain)/Loss on Disposition of Assets Write-down of Assets Total (in millions) Railcar Leasing and Management Services Group $ 1.4 $ — $ — $ — $ 1.4 Rail Products Group 4.0 0.2 (2.9) — 1.3 All Other 0.2 — 0.2 — 0.4 Corporate 2.2 0.4 — 5.3 7.9 Total restructuring activities $ 7.8 $ 0.6 $ (2.7) $ 5.3 $ 11.0 Year Ended December 31, 2019 Employee Severance Costs Write-down of Assets Total (in millions) Railcar Leasing and Management Services Group $ 0.2 $ — $ 0.2 Rail Products Group 0.7 — 0.7 All Other 0.5 10.9 11.4 Corporate 2.4 — 2.4 Total restructuring activities $ 3.8 $ 10.9 $ 14.7 |
Note 12. Accumulated Other Comp
Note 12. Accumulated Other Comprehensive Income | 12 Months Ended |
Dec. 31, 2020 | |
Accumulated Other Comprehensive Income [Abstract] | |
Comprehensive Income (Loss) Note [Text Block] | Note 12. Accumulated Other Comprehensive Loss Changes in AOCL for the years ended December 31, 2020 and 2019 are as follows: Currency translation adjustments Unrealized gain/(loss) on derivative financial instruments Net actuarial gains/(losses) and prior service cost of defined benefit plans Accumulated Other Comprehensive Loss (in millions) Balances at December 31, 2018 $ (1.3) $ (8.3) $ (107.2) $ (116.8) Other comprehensive loss, net of tax, before reclassifications — (12.8) (30.2) (43.0) Amounts reclassified from AOCL, net of tax benefit of $—, $0.8, $1.1, and $1.9 — 4.5 3.5 8.0 Less: noncontrolling interest — (1.3) — (1.3) Other comprehensive loss — (9.6) (26.7) (36.3) Balances at December 31, 2019 (1.3) (17.9) (133.9) (153.1) Other comprehensive income (loss), net of tax, before reclassifications — (19.4) 7.7 (11.7) Amounts reclassified from AOCL, net of tax benefit of $—, $3.5, $1.6, and $5.1 — 12.9 5.6 18.5 Amounts reclassified from AOCL related to settlement of pension plan, net of tax benefit of $—, $—, $34.9, and $34.9 — — 116.6 116.6 Less: noncontrolling interest — (1.2) — (1.2) Other comprehensive income (loss) — (7.7) 129.9 122.2 Balances at December 31, 2020 $ (1.3) $ (25.6) $ (4.0) $ (30.9) |
Note 13. Common Stock and Stock
Note 13. Common Stock and Stock-based Compensation | 12 Months Ended |
Dec. 31, 2020 | |
Share-based Payment Arrangement [Abstract] | |
Share-based Payment Arrangement [Text Block] | Stockholders' Equity Completed Share Repurchase Authorization In March 2019, our Board of Directors authorized a share repurchase program effective March 7, 2019 through December 31, 2020. The share repurchase program authorized the Company to repurchase up to $350.0 million of its common stock, not to exceed 13.7 million shares. On April 24, 2020, as a result of then-current market conditions, the Board of Directors amended the repurchase program to remove the share limitation. Share repurchase activity under this program was as follows: Shares Repurchased Remaining Authorization to Repurchase Period Number of shares Cost Cost March 7, 2019 Authorization $ 350.0 March 7, 2019 through March 31, 2019 866,715 $ 19.0 $ 331.0 April 1, 2019 through June 30, 2019 2,133,116 44.0 $ 287.0 July 1, 2019 through September 30, 2019 5,171,489 100.9 $ 186.1 October 1, 2019 through December 31, 2019 2,933,474 60.8 $ 125.3 January 1, 2020 through March 31, 2020 1,850,000 35.4 $ 89.9 April 1, 2020 through June 30, 2020 — — $ 89.9 July 1, 2020 through September 30, 2020 4,466,896 89.9 $ — Total 17,421,690 $ 350.0 In the third quarter of 2020, we completed the existing share repurchase program. In addition to the amounts reported in the table above, share repurchases for the year ended December 31, 2019 included 2.6 million shares at a cost of approximately $70.0 million representing the final settlement of an accelerated share repurchase program, which was funded in November 2018 but a portion of which remained outstanding as of December 31, 2018. Active Share Repurchase Authorization In October 2020, our Board of Directors authorized a new share repurchase program effective October 23, 2020 through December 31, 2021. The new share repurchase program authorized the Company to repurchase up to $250.0 million of its common stock. Share repurchase activity under this program is as follows: Shares Repurchased Remaining Authorization to Repurchase Period Number of shares Cost Cost October 23, 2020 Authorization $ 250.0 October 23, 2020 through December 31, 2020 2,974,922 $ 67.8 $ 182.2 Total 2,974,922 $ 67.8 |
Shareholders' Equity and Share-based Payments [Text Block] | Stock-Based Compensation Stock Award Plans Our 2004 Fourth Amended and Restated Stock Option and Incentive Plan (the "Plan”) provides for awarding 20,150,000 (adjusted for stock splits) shares of common stock plus (i) shares covered by forfeited, expired, and canceled options granted under prior plans; and (ii) shares tendered as full or partial payment for the purchase price of an award or to satisfy tax withholding obligations. At December 31, 2020, a total of 1,973,045 shares were available for issuance. The Plan provides for the granting of nonqualified and incentive stock options having maximum ten-year terms to purchase common stock at its market value on the award date; stock appreciation rights based on common stock fair market values with settlement in common stock or cash; restricted stock awards; restricted stock units; and performance awards with settlement in common stock or cash on achievement of specific business objectives. Our stock options have contractual terms of ten years and become exercisable in various percentages over periods ranging up to five years. Stock-Based Compensation Expense The cost of employee services received in exchange for awards of equity instruments is referred to as share-based compensation and is based on the grant date fair-value of those awards. Stock-based compensation includes compensation expense, recognized over the applicable vesting periods, for share-based awards. Stock-based compensation expense totaled $26.9 million, $29.2 million, and $29.3 million for the years ended December 31, 2020, 2019, and 2018, respectively. The income tax benefit related to stock-based compensation expense was $0.4 million, $6.6 million, and $7.7 million for the years ended December 31, 2020, 2019, and 2018, respectively. Stock Options Expense related to stock options is recognized on a straight-line basis over the vesting period. There were no options outstanding at December 31, 2019. No options were exercisable at December 31, 2020. Number of Shares Weighted Average Grant-Date Fair Value per Award Weighted Average Remaining Contractual Terms (Years) Aggregate Intrinsic Value Options outstanding at December 31, 2019 — $ — Granted 300,000 $ 5.26 Exercised — $ — Cancelled — $ — Options outstanding at December 31, 2020 300,000 $ 5.26 9.1 $ 1.4 At December 31, 2020, unrecognized compensation expense related to stock options totaled $1.1 million, which will be recognized over a weighted average period of 2.1 years. The weighted average exercise price of stock options outstanding as of December 31, 2020 was $21.61. The fair value of the stock options granted was estimated at the date of grant using the Black-Scholes option pricing model with the following weighted-average assumptions: Year Ended December 31, 2020 Exercise price $ 21.61 Risk-free interest rate 1.48 % Expected life (in years) 6.50 Equity volatility 35.00 % Dividend yield 3.42 % Restricted Stock Restricted share awards consist of restricted stock and restricted stock units ("RSUs"). Expense related RSUs issued to eligible employees under the Plan is recognized ratably over the vesting period, generally between three years and four years. Certain restricted stock and RSUs vest in their entirety upon the employee's retirement from the Company, taking into consideration the employee's age and years of service to the Company, as defined more specifically in our benefit plans. Certain RSU grants made in 2020 provide for full vesting when the award recipients reach 60 years of age and have provided at least 10 years of service to the Company, provided that the awards remain outstanding for a period of six months from the date of grant. The expense for these awards is recognized over the applicable service period for each of the eligible award recipients. Expense related to restricted stock awards ("RSAs") and RSUs granted to non-employee directors under the Plan is recognized ratably over the vesting period, generally one year. Forfeitures are recognized as a reduction to expense in the period in which they occur. Number of Restricted Share Awards Weighted Average Grant-Date Restricted share awards outstanding at December 31, 2019 5,055,461 $ 20.99 Granted 1,022,115 $ 18.62 Vested (1,802,836) $ 21.70 Forfeited (476,309) $ 20.59 Restricted share awards outstanding at December 31, 2020 (1) 3,798,431 $ 20.06 (1) The balance of restricted share awards outstanding at December 31, 2020 includes approximately 0.7 million restricted shares for Arcosa employees that were converted under the shareholder method at the time of the Arcosa spin-off. These restricted shares will be released to Arcosa employees upon vesting, but as of the spin-off date, Trinity no longer records the compensation expense associated with these shares. At December 31, 2020, unrecognized compensation expense related to restricted share awards totaled $29.8 million, which will be recognized over a weighted average period of 3.1 years. The total grant-date fair value of shares vested and released during the years ended December 31, 2020, 2019, and 2018 was $39.1 million, $26.4 million, and $30.1 million, respectively. The weighted average grant-date fair value of restricted share awards granted during the years ended December 31, 2020, 2019, and 2018 was $18.62, $22.20, and $25.52 per share, respectively. Performance Units Performance units are granted to employees based upon a target level; however, depending upon the achievement of certain specified goals during the performance period, performance units may be adjusted to a level ranging between 0% and 200% of the target level. The performance units vest upon certification by the Human Resources Committee of the Board of Directors of the achievement of the specified performance goals. Expense related to performance units is recognized ratably from their award date to the end of the performance period, generally three years. Forfeitures are recognized as a reduction to expense in the period in which they occur. Number of Performance Units Weighted Average Grant-Date Performance units outstanding at December 31, 2019 800,762 $ 26.33 Granted 444,252 $ 20.31 Vested (3,091) $ 28.35 Forfeited (6,751) $ 24.74 Performance units outstanding at December 31, 2020 1,235,172 $ 24.17 |
Note 14. Earnings Per Common Sh
Note 14. Earnings Per Common Share | 12 Months Ended |
Dec. 31, 2020 | |
Earnings Per Common Share [Abstract] | |
Earnings Per Share [Text Block] | Note 14. Earnings Per Common Share Basic net income (loss) attributable to Trinity Industries, Inc. per common share ("EPS") is computed by dividing net income (loss) attributable to Trinity remaining after allocation to unvested restricted shares by the weighted average number of basic common shares outstanding for the period. Except when the effect would be antidilutive, the calculation of diluted EPS includes 1) the net impact of unvested RSAs and RSUs and 2) with respect to the year ended December 31, 2018, the dilutive impact of our then-outstanding convertible notes due 2036 (the "Convertible Notes"), which were converted and settled in cash during the second quarter of 2018. See Note 11 of our 2018 Annual Report on Form 10-K for further information regarding the settlement of the Convertible Notes. Total weighted average restricted shares were 4.5 million, 5.5 million, and 5.8 million shares for the years ended December 31, 2020, 2019, and 2018, respectively. There were no restricted shares and stock options included in the computation of diluted earnings per common share for the year ended December 31, 2020 as we incurred a loss for the period, and any effect on loss per common share would have been antidilutive. Approximately 0.2 million of these restricted shares were excluded from the EPS calculation for the year ended December 31 2019, as their effect would have been antidilutive. There were no antidilutive restricted shares for the year ended December 31, 2018. The computation of basic and diluted net income (loss) attributable to Trinity Industries, Inc. is as follows: Year Ended December 31, 2020 2019 2018 (in millions, except per share amounts) Income (loss) from continuing operations $ (226.1) $ 139.2 $ 109.0 Less: Net (income) loss attributable to noncontrolling interest 78.9 1.5 (3.8) Unvested restricted share participation — continuing operations — (1.8) (2.2) Net income (loss) from continuing operations attributable to Trinity Industries, Inc. (147.2) 138.9 103.0 Net income (loss) from discontinued operations, net of income taxes (0.1) (3.1) 54.1 Unvested restricted share participation — discontinued operations — — (0.6) Net income (loss) from discontinued operations attributable to Trinity Industries, Inc. (0.1) (3.1) 53.5 Net income (loss) attributable to Trinity Industries, Inc., including the effect of unvested restricted share participation $ (147.3) $ 135.8 $ 156.5 Basic weighted average shares outstanding 115.9 125.6 144.0 Effect of dilutive securities: Nonparticipating unvested RSUs and RSAs — 1.7 1.0 Convertible subordinated notes — — 1.4 Diluted weighted average shares outstanding 115.9 127.3 146.4 Basic earnings per common share: Income (loss) from continuing operations $ (1.27) $ 1.11 $ 0.72 Income (loss) from discontinued operations — (0.02) 0.37 Basic net income (loss) attributable to Trinity Industries, Inc. $ (1.27) $ 1.09 $ 1.09 Diluted earnings per common share: Income (loss) from continuing operations $ (1.27) $ 1.09 $ 0.70 Income (loss) from discontinued operations — (0.02) 0.37 Diluted net income (loss) attributable to Trinity Industries, Inc. $ (1.27) $ 1.07 $ 1.07 |
Note 15. Commitments and Contin
Note 15. Commitments and Contingencies | 12 Months Ended |
Dec. 31, 2020 | |
Commitments and Contingencies [Abstract] | |
Commitments and Contingencies Disclosure [Text Block] | Note 15. Contingencies Highway products litigation We previously reported the filing of a False Claims Act (“FCA”) complaint in the United States District Court for the Eastern District of Texas, Marshall Division (“District Court”) styled Joshua Harman, on behalf of the United States of America, Plaintiff/Relator v. Trinity Industries, Inc., Defendant , Case No. 2:12-cv-00089-JRG (E.D. Tex.). In this case, in which the U.S. Government declined to intervene, the relator, Mr. Joshua Harman, alleged the Company violated the FCA pertaining to sales of the Company's ET-Plus® System, a highway guardrail end-terminal system (“ET Plus”). On October 20, 2014, a trial in this case concluded with a jury verdict stating that the Company and its subsidiary, Trinity Highway Products, LLC (“Trinity Highway Products”), “knowingly made, used or caused to be made or used, a false record or statement material to a false or fraudulent claim," and the District Court entered judgment on the verdict in the total amount of $682.4 million. On September 29, 2017, the United States Court of Appeals for the Fifth Circuit ("Fifth Circuit") reversed the District Court’s $682.4 million judgment and rendered judgment as a matter of law in favor of the Company and Trinity Highway Products. On January 7, 2019, the United States Supreme Court denied Mr. Harman's petition for certiorari seeking review of the Fifth Circuit's decision. The denial of Mr. Harman's petition ended this action. State, county, and municipal actions Mr. Harman also has separate state qui tam actions currently pending pursuant to: the Virginia Fraud Against Taxpayers Act (Commonwealth of Virginia ex rel. Joshua M. Harman v. Trinity Industries, Inc. and Trinity Highway Products, LLC, Case No. CL13-698, in the Circuit Court, Richmond, Virginia); the Massachusetts False Claims Act (Commonwealth of Massachusetts ex rel. Joshua M. Harman Qui Tam v. Trinity Industries, Inc. and Trinity Highway Products, LLC, Case No. 1484-CV-02364, in the Superior Court Department of the Trial Court); and the California False Claims Act (State of California ex rel. Joshua M. Harman Qui Tam v. Trinity Industries, Inc. and Trinity Highway Products, LLC, Case No. RG 14721864, in the Superior Court of California, Alameda County). In each of these cases, Mr. Harman alleged the Company violated the respective states' false claims act pertaining to sales of the ET Plus, and he is seeking damages, civil penalties, attorneys’ fees, costs and interest. Also, the respective states’ Attorneys General filed Notices of Election to Decline Intervention in all of these matters, with the exception of the Commonwealth of Virginia Attorney General, who intervened in the Virginia matter. Following the United States Supreme Court’s denial of Mr. Harman’s petition for certiorari, the stays have expired or been lifted by court order in all of the above-referenced state qui tam cases except Virginia, whose Motion to Lift Stay of Proceedings was filed on November 13, 2020, and remains pending. The Company believes these state qui tam lawsuits are without merit and intends to vigorously defend all allegations. Other states could take similar or different actions, and could be considering similar state false claims or other litigation against the Company. As previously reported, state qui tam actions filed by Mr. Harman in the states of Delaware, Florida, Georgia, Illinois, Indiana, Iowa, Minnesota, Montana, Nevada, Rhode Island, Tennessee, and New Jersey were dismissed. The Company has been served in a lawsuit filed November 5, 2015, titled Jackson County, Missouri, individually and on behalf of a class of others similarly situated vs. Trinity Industries, Inc. and Trinity Highway Products, LLC, Case No. 1516-CV23684 (Circuit Court of Jackson County, Missouri). The case is being brought by plaintiff for and on behalf of itself and all Missouri counties with a population of 10,000 or more persons, including the City of St. Louis, and the State of Missouri’s transportation authority. The plaintiff alleges that the Company and Trinity Highway Products did not disclose design changes to the ET Plus and these allegedly undisclosed design changes made the ET Plus allegedly defective, unsafe, and unreasonably dangerous. The plaintiff alleges product liability negligence, product liability strict liability, and negligently supplying dangerous instrumentality for supplier’s business purposes. The plaintiff seeks compensatory damages, interest, attorneys' fees and costs, and in the alternative plaintiff seeks a declaratory judgment that the ET Plus is defective, the Company’s conduct was unlawful, and class-wide costs and expenses associated with removing and replacing the ET Plus throughout Missouri. On December 6, 2017, the Court granted plaintiff's Motion for Class Certification, certifying a class of Missouri counties with populations of 10,000 or more persons, including the City of St. Louis and the State of Missouri's transportation authority that have or had ET Plus guardrail end terminals with 4-inch wide guide channels installed on roadways they own or maintain. As previously reported, a trial date had been scheduled in this case for February 22, 2021. On January 19, 2021, the trial date was reset to April 4, 2022. The Company believes this lawsuit is without merit and intends to vigorously defend all allegations. While the financial impacts of these state, county, and municipal actions are currently unknown, they could be material. Based on information currently available to the Company and previously disclosed, we currently do not believe that a loss is probable in any one or more of the actions described under "State, county, and municipal actions," therefore no accrual has been included in the accompanying Consolidated Financial Statements. Because of the complexity of these actions as well as the current status of certain of these actions, we are not able to estimate a range of possible losses with respect to any one or more of these actions. Product liability cases The Company is currently defending product liability lawsuits in several different states that are alleged to involve the ET Plus as well as other products manufactured by Trinity Highway Products. These cases are diverse in light of the randomness of collisions in general and the fact that each accident involving a roadside device, such as an end terminal, or any other fixed object along the highway, has its own unique facts and circumstances. The Company carries general liability insurance to mitigate the impact of adverse judgment exposures in these product liability cases. To the extent that the Company believes that a loss is probable with respect to these product liability cases, the accrual for such losses is included in the amounts described below under "Other matters". Other matters The Company is involved in claims and lawsuits incidental to our business arising from various matters, including product warranty, personal injury, environmental issues, workplace laws, and various governmental regulations. The Company evaluates its exposure to such claims and suits periodically and establishes accruals for these contingencies when a range of loss can be reasonably estimated. The range of reasonably possible losses for such matters is $7.0 million to $14.5 million, which includes our rights in indemnity and recourse to third parties of approximately $5.3 million, which is recorded in other assets on our Consolidated Balance Sheet as of December 31, 2020. This range includes any amounts related to the Highway Products litigation matters described above in the section titled “Highway products litigation." At December 31, 2020, total accruals of $7.5 million, including environmental and workplace matters described below, are included in accrued liabilities in the accompanying Consolidated Balance Sheets. The Company believes any additional liability would not be material to its financial position or results of operations. Trinity is subject to remedial orders and federal, state, local, and foreign laws and regulations relating to the environment and the workplace. The Company has reserved $1.1 million to cover our probable and estimable liabilities with respect to the investigations, assessments, and remedial responses to such matters, taking into account currently available information and our contractual rights to indemnification and recourse to third parties. However, estimates of liability arising from future proceedings, assessments, or remediation are inherently imprecise. Accordingly, there can be no assurance that we will not become involved in future litigation or other proceedings involving the environment and the workplace or, if we are found to be responsible or liable in any such litigation or proceeding, that such costs would not be material to the Company. We believe that we are currently in substantial compliance with environmental and workplace laws and regulations. |
Note 1. Summary of Significan_2
Note 1. Summary of Significant Accounting Policies Summary of Significant Accounting Policies (Policies) | 12 Months Ended |
Dec. 31, 2020 | |
Accounting Policies [Abstract] | |
Consolidation, Policy [Policy Text Block] | Principles of ConsolidationThe financial statements of Trinity Industries, Inc. and its consolidated subsidiaries (“Trinity,” “Company,” “we,” “our,” or "us") include the accounts of its wholly-owned subsidiaries and its partially-owned subsidiaries, TRIP Rail Holdings LLC ("TRIP Holdings") and RIV 2013 Rail Holdings LLC ("RIV 2013"), in which we have a controlling interest. All significant intercompany accounts and transactions have been eliminated. |
Spin-Off Transaction [Policy Text Block] | Spin-off of Arcosa, Inc. Upon completion of the spin-off of Arcosa, Inc. ("Arcosa") on November 1, 2018, the accounting requirements for reporting Arcosa as a discontinued operation were met. Accordingly, Arcosa's results of operations are presented as discontinued operations for all periods in this Form 10-K. See Note 2 for further information related to the spin-off transaction. |
Revenue from Contract with Customer [Policy Text Block] | Revenue Recognition Revenue is measured based on the allocation of the transaction price in a contract to satisfied performance obligations. The transaction price does not include any amounts collected on behalf of third parties. We recognize revenue when we satisfy a performance obligation by transferring control over a product or service to a customer. Payments for our products and services are generally due within normal commercial terms. The following is a description of principal activities from which we generate our revenue, separated by reportable segments. See Note 4 for a further discussion regarding our reportable segments. Railcar Leasing and Management Services Group In our Railcar Leasing and Management Services Group ("Leasing Group"), revenue from rentals and operating leases, including contracts that contain non-level fixed lease payments, is recognized monthly on a straight-line basis. Leases not classified as operating leases are generally considered sales-type leases as a result of an option to purchase. We review our operating lease receivables for collectibility on a regular basis, taking into consideration changes in factors such as the lessee’s payment history, the financial condition of the lessee, and business and economic conditions in the industry in which the lessee operates. In the event that the collectibility of a receivable with respect to any lessee is no longer probable, we derecognize the revenue and related receivable and recognize future revenue only when the lessee makes a rental payment. Contingent rents are recognized when the contingency is resolved. Selling profit or loss associated with sales-type leases is recognized upon lease commencement, and a net investment in the sales-type lease is recorded on the Consolidated Balance Sheet. Interest income related to sales-type leases is recognized over the lease term using the effective interest method. We had no sales-type leases as of December 31, 2020. During the fourth quarter of 2020, we began presenting sales from our lease fleet in the Railcar Leasing and Management Services Group on a net basis regardless of the age of railcar that is sold. Historically, in accordance with ASC 606, Revenue from contracts with customers , we presented sales of railcars from the lease fleet on a gross basis in revenues and cost of revenues if the railcars had been owned for one year or less at the time of sale. Sales of railcars from the lease fleet owned for more than one year had historically been presented as a net gain or loss from the disposal of a long-term asset. We will now report all sales of railcars from the lease fleet as a net gain or loss from the disposal of a long-term asset in accordance with ASC 610-20, Gains and losses from the derecognition of non-financial assets . We have concluded that the new presentation is appropriate given the significant change in the strategic focus of the Company. This change was effected on a prospective basis, beginning in the fourth quarter of 2020. The new presentation had no effect on the Company’s operating profit, net income, earnings per share, or Consolidated Balance Sheet. We account for shipping and handling costs as activities to fulfill the promise to transfer the good; as such, these fees are recorded in revenue. The fees and costs of shipping and handling activities are accrued when the related performance obligation has been satisfied. Rail Products Group Our railcar manufacturing business recognizes revenue when the customer has submitted its certificate of acceptance and legal title of the railcar has passed to the customer. Certain contracts for the sales of railcars include price adjustments based on steel-price indices; this amount represents variable consideration for which we are unable to estimate the final consideration until the railcar is delivered. Within our maintenance services business, revenue is recognized over time as repair and maintenance projects are completed, using an input approach based on the costs incurred relative to the total estimated costs of performing the project. We recorded contract assets of $4.4 million and $5.2 million as of December 31, 2020 and 2019, respectively, related to unbilled revenues recognized on repair and maintenance services that have been performed, but for which the entire project has not yet been completed, and the railcar has not yet been shipped to the customer. These contract assets are included within the Receivables, net of allowance line in our Consolidated Balance Sheets. All Other Our highway products business recognizes revenue when shipment has occurred and legal title of the product has passed to the customer. Unsatisfied Performance Obligations The following table includes estimated revenue expected to be recognized in future periods related to performance obligations that are unsatisfied or partially satisfied as of December 31, 2020 and the percentage of the outstanding performance obligations as of December 31, 2020 expected to be delivered during 2021: Unsatisfied performance obligations at December 31, 2020 Total Percent expected to be delivered in 2021 (in millions) Rail Products Group: Products: External Customers $ 669.0 Leasing Group 345.5 $ 1,014.5 61.0 % Maintenance Services $ 8.2 100.0 % Railcar Leasing and Management Services Group $ 87.3 21.1 % The remainder of the unsatisfied performance obligations for the Rail Products Group is expected to be delivered through 2024. Unsatisfied performance obligations for the Railcar Leasing and Management Services Group are related to servicing, maintenance, and management agreements and are expected to be performed through 2029. |
Lessee, Leases [Policy Text Block] | Lessee We are the lessee of operating leases predominantly for railcars, as well as office buildings, manufacturing equipment, and office equipment. Our operating leases have remaining lease terms ranging from one year to sixteen years, some of which include options to extend for up to five years, and some of which include options to terminate within one year. As of December 31, 2020, we had no material finance leases in which we were the lessee. Certain of our operating leases include lease incentives, which reduce the right-of-use asset and are recognized on a straight-line basis over the lease term. As applicable, the lease liability is also reduced by the amount of lease incentives that have not yet been reimbursed by the lessor. In March 2020, we entered into a lease agreement for a new headquarters facility in Dallas, Texas. The new lease has a contractual term of 16 years from the legal commencement date, which was February 1, 2021. There is an option to extend the lease term; however, we determined that the renewal was not reasonably certain at lease inception. For accounting purposes, the lease commencement date was determined to be in April 2020, which is when we obtained control of the new facility for build-out purposes. The following table summarizes the impact of our operating leases on our Consolidated Financial Statements (in millions, except lease term and discount rate): Year Ended 2020 2019 Consolidated Statement of Operations Operating lease expense $ 15.8 $ 18.0 Short-term lease expense $ 2.1 $ 4.1 December 31, 2020 December 31, 2019 Consolidated Balance Sheet Right-of-use assets (1) $ 77.1 $ 44.2 Lease liabilities (2) $ 96.9 $ 44.8 Weighted average remaining lease term 11.3 years 4.8 years Weighted average discount rate 3.3 % 4.1 % Year Ended 2020 2019 Consolidated Statement of Cash Flows Cash flows from operating activities $ 15.8 $ 18.0 Right-of-use assets recognized in exchange for new lease liabilities (3) $ 56.3 $ 10.3 (1) Included in other assets in our Consolidated Balance Sheet. See Note 11 for more information on the impairment of right-of-use assets. (2) Included in other liabilities in our Consolidated Balance Sheet. (3) Includes the commencement of the new headquarters facility described above for the year ended December 31, 2020. Future contractual minimum operating lease liabilities will mature as follows (in millions): Leasing Group Non-Leasing Group Total 2021 $ 8.6 $ 3.6 $ 12.2 2022 7.8 7.4 15.2 2023 6.0 7.5 13.5 2024 2.9 6.3 9.2 2025 0.9 5.8 6.7 Thereafter 0.6 62.8 63.4 Total operating lease payments $ 26.8 $ 93.4 $ 120.2 Less: Present value adjustment (20.3) Less: Lease incentives (3.0) Total operating lease liabilities $ 96.9 |
Lessor, Leases [Policy Text Block] | Lessor Our Leasing Group enters into railcar operating leases with third parties with terms generally ranging between one year and ten years. The majority of our fleet operates on leases that earn fixed monthly lease payments. Generally, lease payments are due at the beginning of the applicable month. A portion of our fleet operates on per diem leases that earn usage-based variable lease payments. Some of our leases include options to extend the leases for up to five years, and a small percentage of our leases include options to terminate within one year with certain notice requirements and early termination penalties. In the second quarter, due to COVID-19, certain of the Leasing Group's customers requested rent relief, primarily in the form of rent payment extensions. In April 2020, the FASB staff issued a question and answer document (the "Lease Modification Q&A") focused on the application of lease accounting guidance to lease concessions provided as a result of the COVID-19 pandemic. The Lease Modification Q&A provides entities with the option to elect to account for lease concessions resulting from COVID-19 as though the enforceable rights and obligations existed in the original lease in certain circumstances. We have elected this practical expedient in our accounting for any eligible lease concessions provided for our leased railcars. To date, these concessions have not had a significant impact on our Consolidated Financial Statements. Leases previously classified as sales-type leases included an option for the lessee to purchase the leased railcars with certain notice. During the three months ended March 31, 2020, a lessee exercised its option to purchase such leased railcars. As of December 31, 2020, non-Leasing Group operating leases were not significant, and we had no sales-type leases and no direct finance leases. We manage risks associated with residual values of leased railcars by investing across a diverse portfolio of railcar types, staggering lease maturities within any given railcar type, avoiding concentration of railcar type and industry, and active participants in secondary markets. Additionally, our lease agreements contain normal wear and tear return condition provisions and high mileage thresholds designed to protect the value of our residual assets. Our lease agreements do not contain any material residual value guarantees or restrictive covenants. The following table summarizes the impact of our leases on our Consolidated Statement of Operations (in millions): Year Ended 2020 2019 Operating lease revenues $ 671.4 $ 676.3 Variable operating lease revenues $ 51.0 $ 50.5 Sales-type lease revenues $ — $ 160.5 Interest income on sales-type lease receivables $ — $ 2.4 Profit recognized at sales-type lease commencement $ — $ 19.0 Future contractual minimum revenues for operating leases will mature as follows (in millions) (1) : 2021 $ 555.4 2022 436.2 2023 323.9 2024 238.6 2025 161.1 Thereafter 290.6 Total $ 2,005.8 (1) Total contractual minimum rental revenues on operating leases relates to our wholly-owned and partially-owned subsidiaries and sub-lease rental revenues associated with the Leasing Group's operating lease obligations. |
Income Tax, Policy [Policy Text Block] | Income Taxes The liability method is used to account for income taxes. Deferred income taxes represent the tax effects of temporary differences between the carrying amounts of assets and liabilities for financial reporting purposes and the amounts used for income tax purposes. Valuation allowances reduce deferred tax assets to an amount that will more likely than not be realized. We regularly evaluate the likelihood of realization of tax benefits derived from positions we have taken in various federal and state filings after consideration of all relevant facts, circumstances, and available information. For those tax positions that are deemed more likely than not to be sustained, we recognize the benefit we believe is cumulatively greater than 50% likely to be realized. To the extent that we were to prevail in matters for which accruals have been established or be required to pay amounts in excess of recorded reserves, the effective tax rate in a given financial statement period could be materially impacted. |
Cash and Cash Equivalents, Policy [Policy Text Block] | Financial Instruments We consider all highly liquid debt instruments to be either cash and cash equivalents if purchased with a maturity of three months or less, or short-term marketable securities if purchased with a maturity of more than three months and less than one year. Financial instruments that potentially subject us to a concentration of credit risk are primarily cash investments including restricted cash and receivables. We place our cash investments in bank deposits and investment grade, short-term debt instruments and limit the amount of credit exposure to any one commercial issuer. The carrying values of cash, receivables, and accounts payable are considered to be representative of their respective fair values. |
Concentration Risk, Credit Risk, Policy [Policy Text Block] | Concentrations of credit risk with respect to receivables are limited due to control procedures that monitor the credit worthiness of customers, the large number of customers in our customer base, and their dispersion across different end markets and geographic areas. Receivables are generally evaluated at a portfolio level based on these characteristics. As receivables are generally unsecured, we maintain an allowance for credit losses using a forward-looking approach based on historical expected losses and consideration of current and expected future economic conditions. Historically, we have observed that the likelihood of loss increases when receivables have aged beyond 180 days. When a receivable is deemed uncollectible, the write-off is recorded as a reduction to allowance for credit losses. During the year ended December 31, 2020, we recognized approximately $3.8 million of credit loss expense, which included $0.8 million in write-offs, related to our trade receivables that are in the scope of ASC 326, bringing the allowance for credit losses balance at December 31, 2020 to $9.3 million. This balance excludes the general reserve for operating lease receivables that is permitted under ASC 450. |
Inventory, Policy [Policy Text Block] | InventoriesInventories are valued at the lower of cost or net realizable value. Cost is determined principally on the first in first out method. Work in process and finished goods include material, labor, and overhead. |
Property, Plant and Equipment, Policy [Policy Text Block] | Property, Plant, and Equipment Property, plant, and equipment are stated at cost and depreciated over their estimated useful lives using the straight-line method. The costs of ordinary maintenance and repair are charged to operating costs. The estimated useful lives are as follows: Buildings and improvements 3 – 30 years Leasehold improvements Generally over the term of the lease Machinery and equipment 2 – 10 years Information systems hardware and software 2 – 5 years Railcars in our lease fleet Generally 35 – 40 years In early 2020, we finalized an assessment of the estimated useful lives and salvage value assumptions for the railcars in our lease fleet. Based upon analysis of historical fleet data, review of industry standards, and consideration of certain economic factors by railcar type, we determined that it was appropriate to revise the useful lives and salvage values of certain railcar types in our lease fleet. The net impact of these changes, which took effect January 1, 2020, resulted in a change in the weighted average useful life from approximately 34 years to approximately 37 years. This change was accounted for as a change in accounting estimate, which is required to be accounted for on a prospective basis. This change in estimate resulted in a decrease in depreciation expense and a corresponding increase in income from continuing operations of approximately $30.8 million, as well as an increase in net income of approximately $23.7 million, for the year ended December 31, 2020. Further, earnings per share increased $0.20 per share for the year ended December 31, 2020. See Note 11 for further information regarding impairment of long-lived assets related to our small cube covered hopper railcars recorded in the year ended December 31, 2020. |
Impairment or Disposal of Long-Lived Assets, Policy [Policy Text Block] | Impairment of Long-lived Assets We periodically evaluate the carrying value of long-lived assets for potential impairment. The carrying value of long-lived assets is considered impaired when their carrying value is not recoverable through undiscounted future cash flows and the fair value of the assets is less than their carrying value. Fair value is determined primarily using the anticipated cash flows discounted at a rate commensurate with the risks involved or market quotes as available. Impairment losses on long-lived assets held for sale are determined in a similar manner, except that fair values are reduced by the estimated cost to dispose of the assets. During the year ended December 31, 2020, we recorded impairments of long-lived assets totaling $396.4 million, which included $369.4 million related to our small cube covered hopper railcars, $15.2 million related to the planned divestiture of certain non-strategic maintenance facilities, and $11.8 million related to investments in certain emerging technologies. See Note 11 for more information, including a description of the key assumptions and other significant management judgments utilized in these impairment analyses. Based on our evaluations, no impairment charges were determined to be necessary on assets held and used as of December 31, 2019. Assets Held for Sale We classify our facilities as assets held for sale at the time management commits to a plan to sell the facility, and the sale is expected to be completed within one year. Assets held for sale are recorded at fair value, less any costs to sell, and are no longer subject to depreciation. During the fourth quarter of 2020, management approved a plan to exit certain non-strategic maintenance facilities. Additionally, we relocated our headquarters in Dallas, Texas into a leased facility. As of December 31, 2020, assets held for sale totaling $32.9 million are included in the Other assets line of our Consolidated Balance Sheets. There were no assets classified as held for sale on our Consolidated Balance Sheets as of December 31, 2019. |
Goodwill and Intangible Assets, Policy [Policy Text Block] | Goodwill and Intangible Assets Goodwill is required to be tested for impairment at least annually, or on an interim basis if events or circumstances change indicating that the carrying amount of the goodwill might be impaired. The quantitative goodwill impairment test is a two-step process, with step one requiring the comparison of the reporting unit's estimated fair value with the carrying amount of its net assets. If necessary, step two of the impairment test determines the amount of goodwill impairment to be recorded when the reporting unit's recorded net assets exceed its fair value. Impairment is assessed at the reporting unit level by applying a fair value-based test for each unit with recorded goodwill. The estimates and judgments that most significantly affect the fair value calculations are assumptions, consisting of level three inputs, related to revenue and operating profit results, discount rates, terminal growth rates and exit multiples. As of December 31, 2020 and 2019, our annual impairment test of goodwill was completed at the reporting unit level, and no impairment charges were determined to be necessary. Goodwill by segment is as follows: December 31, 2020 December 31, 2019 (in millions) Railcar Leasing and Management Services Group $ 1.8 $ 1.8 Rail Products Group 145.4 145.4 All Other 61.6 61.6 $ 208.8 $ 208.8 |
Cash and Cash Equivalents, Restricted Cash and Cash Equivalents, Policy [Policy Text Block] | Restricted Cash Restricted cash consists of cash and cash equivalents held either as collateral for our non-recourse debt and lease obligations or as security for the performance of certain product sales agreements. As such, they are restricted in use. |
Variable Interest Entity Disclosure [Text Block] | Investments in Affiliates We continuously evaluate our investments and other contractual arrangements with third party entities to determine if our variable interests are considered a variable interest entity ("VIE"). Consolidation is required for VIEs in which we are the primary beneficiary. We have determined that we are the primary beneficiary for TRIP Holdings and RIV 2013. At December 31, 2020, the carrying value of our investment in TRIP Holdings and RIV 2013 totaled $145.9 million. For further information regarding our partially-owned leasing subsidiaries, see Note 5 of the Consolidated Financial Statements. |
Equity Method Investments and Joint Ventures Disclosure [Text Block] | Other InvestmentsWe hold certain other investments for which we do not have a controlling financial interest but have a significant influence over the financial and operating policies. The carrying values of our equity method investments totaled approximately $4.0 million and $3.8 million as of December 31, 2020 and 2019, respectively. |
Self Insurance Reserve [Policy Text Block] | Insurance We are effectively self-insured for workers' compensation and employee health care claims. A third party administrator is used to process claims. We accrue our workers' compensation and group medical liabilities based upon independent actuarial studies. These liabilities are calculated based upon loss development factors, which contemplate a number of variables, including claims history and expected trends. |
Standard Product Warranty, Policy [Policy Text Block] | Warranties We provide various express, limited product warranties that generally range from one year to five years depending on the product. The warranty costs are estimated using a two-step approach. First, an engineering estimate is made for the cost of all claims that have been asserted by customers. Second, based on historical claims experience, a cost is accrued for all products still within a warranty period for which no claims have been filed. We provide for the estimated cost of product warranties at the time revenue is recognized related to products covered by warranties and assess the adequacy of the resulting reserves on a quarterly basis. The changes in the accruals for warranties for the years ended December 31, 2020, 2019, and 2018 are as follows: Year Ended December 31, 2020 2019 2018 (in millions) Beginning balance $ 8.1 $ 7.4 $ 10.1 Warranty costs incurred (2.1) (3.8) (2.8) Warranty originations and revisions 5.9 4.5 0.1 Warranty expirations (0.2) — — Ending balance $ 11.7 $ 8.1 $ 7.4 |
Foreign Currency Transactions and Translations Policy [Policy Text Block] | Foreign Currency TransactionsThe functional currency of our Mexico operations is the United States dollar. Certain transactions in Mexico occur in currencies other than the United States dollar. The impact of foreign currency fluctuations on these transactions is recorded in other, net (income) expense in our Consolidated Statement of Operations. |
Comprehensive Income, Policy [Policy Text Block] | Other Comprehensive Income (Loss) Other comprehensive net income (loss) consists of foreign currency translation adjustments, unrealized gains and losses on our derivative financial instruments, and the net actuarial gains and losses of our defined benefit plans, the sum of which, together with net income (loss), constitutes comprehensive income (loss). See Note 12. All components are shown net of tax. |
New Accounting Pronouncements, Policy [Policy Text Block] | Recent Accounting Pronouncements Adopted in 2020 ASU 2016-13 — In June 2016, FASB issued ASU No. 2016-13, "Measurement of Credit Losses on Financial Instruments," which amends the impairment model by requiring entities to use a forward-looking approach based on expected losses rather than incurred losses to estimate credit losses on certain types of financial instruments, including trade receivables. This approach may result in the earlier recognition of allowances for losses. In November 2018, the FASB issued ASU No. 2018-19, "Codification Improvements to Topic 326, Financial Instruments—Credit Losses," which excludes operating lease receivables from the scope of ASU 2016-13. ASU 2016-13 is effective for public companies during interim and annual reporting periods beginning after December 15, 2019, with early adoption permitted. We adopted ASU 2016-13 effective January 1, 2020 using a cumulative-effect adjustment to the opening balance of retained earnings on January 1, 2020. Therefore, comparative financial information was not adjusted. We assessed our outstanding receivables by reportable segment and determined the expected loss rate using historical loss information and aging considerations, as well as the current and future economic conditions of our customer base and the end markets in which they operate. The Leasing Group's outstanding receivables primarily relate to their servicing and management agreements. The method for evaluating the Leasing Group's operating lease receivables remained unchanged by ASU 2016-13. The Rail Products Group's outstanding receivables primarily relate to amounts due on manufactured railcars, as well as completed repairs and maintenance projects. Upon adoption, we recorded an adjustment to opening retained earnings of approximately $0.7 million ($0.5 million, net of tax). The ongoing application of ASU 2016-13 is not expected to materially impact our results of operations, financial position, or cash flows. ASU 2018-15 — In August 2018, the FASB issued ASU No. 2018-15, "Customer's Accounting for Implementation Costs Incurred in a Cloud Computing Arrangement That Is a Service Contract," which aligns the accounting for costs incurred to implement a cloud computing arrangement that is a service arrangement with the guidance on capitalizing costs associated with developing or obtaining internal-use software. ASU 2018-15 is effective for public companies during interim and annual reporting periods beginning after December 15, 2019, with early adoption permitted. We adopted ASU 2018-15 effective January 1, 2020 on a prospective basis. Beginning January 1, 2020, capitalized implementation costs are included within other assets in the Consolidated Balance Sheet and are depreciated within selling, general, and administrative expenses in the Consolidated Statement of Operations. The adoption did not have a significant impact on our Consolidated Financial Statements. ASU 2020-04 — In March 2020, the FASB issued ASU No. 2020-04, "Facilitation of the Effects of Reference Rate Reform on Financial Reporting," which provides temporary optional expedients to accounting guidance on contract modifications and hedge accounting to ease the potential financial reporting burdens as the market transitions from the London Interbank Offered Rate ("LIBOR") to alternative reference rates . ASU 2020-04 was effective upon issuance. ASU 2020-04 is in response to the announcement by United Kingdom's Financial Conduct Authority, which regulates the LIBOR, that it will no longer persuade or require banks to submit rates for the calculation of LIBOR after June 30, 202 3. In the U.S., the Alternative Reference Rates Committee has identified the Secured Overnight Financing Rate (“SOFR”) as its preferred alternative to LIBOR. We currently have LIBOR-based contracts that extend beyond June 2023 including derivative instruments, promissory notes for Trinity Rail Leasing 2017, LLC, a Delaware limited liability company and a limited purpose, indirect wholly-owned subsidiary of the Company owned through Trinity Industries Leasing Company (“TILC”), TILC's warehouse loan facility, and our revolving credit facility. The adoption is not expected to have a significant impact on our Consolidated Financial Statements. |
Use of Estimates, Policy [Policy Text Block] | Management's Estimates The preparation of financial statements in conformity with generally accepted accounting principles requires 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 financial statements as well as the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. |
Note 1. Summary of Significan_3
Note 1. Summary of Significant Accounting Policies Summary of Significant Accounting Policies (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Accounting Policies [Abstract] | |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Table Text Block] | Unsatisfied Performance Obligations The following table includes estimated revenue expected to be recognized in future periods related to performance obligations that are unsatisfied or partially satisfied as of December 31, 2020 and the percentage of the outstanding performance obligations as of December 31, 2020 expected to be delivered during 2021: Unsatisfied performance obligations at December 31, 2020 Total Percent expected to be delivered in 2021 (in millions) Rail Products Group: Products: External Customers $ 669.0 Leasing Group 345.5 $ 1,014.5 61.0 % Maintenance Services $ 8.2 100.0 % Railcar Leasing and Management Services Group $ 87.3 21.1 % |
Note 1. Summary of Significan_4
Note 1. Summary of Significant Accounting Policies Lessor Accounting (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Leases [Abstract] | |
Operating and Sales-Type Leases, Lessor Disclosure [Table Text Block] | The Leasing Group primarily enters into operating leases. Future contractual minimum rental revenues on operating leases related to our wholly-owned and partially-owned subsidiaries are as follows: 2021 2022 2023 2024 2025 Thereafter Total (in millions) Future contractual minimum rental revenues $ 550.4 $ 432.8 $ 322.3 $ 237.9 $ 160.9 $ 290.6 $ 1,994.9 |
Note 1. Summary of Significan_5
Note 1. Summary of Significant Accounting Policies Goodwill and Intangibles (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Schedule of Goodwill [Table Text Block] | Goodwill by segment is as follows: December 31, 2020 December 31, 2019 (in millions) Railcar Leasing and Management Services Group $ 1.8 $ 1.8 Rail Products Group 145.4 145.4 All Other 61.6 61.6 $ 208.8 $ 208.8 |
Note 1. Summary of Significan_6
Note 1. Summary of Significant Accounting Policies Product Warranty (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Guarantees and Product Warranties [Abstract] | |
Schedule of Product Warranty Liability [Table Text Block] | The changes in the accruals for warranties for the years ended December 31, 2020, 2019, and 2018 are as follows: Year Ended December 31, 2020 2019 2018 (in millions) Beginning balance $ 8.1 $ 7.4 $ 10.1 Warranty costs incurred (2.1) (3.8) (2.8) Warranty originations and revisions 5.9 4.5 0.1 Warranty expirations (0.2) — — Ending balance $ 11.7 $ 8.1 $ 7.4 |
Note 2. Discontinued Operatio_2
Note 2. Discontinued Operations Discontinued Operations (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Discontinued Operations and Disposal Groups [Abstract] | |
Disposal Groups, Including Discontinued Operations [Table Text Block] | The following is a summary of operating results included in income (loss) from discontinued operations for the years ended December 31, 2020, 2019, and 2018: Year Ended December 31, 2020 2019 2018 (in millions) Revenues $ — $ — $ 1,042.0 Cost of revenues — — 840.8 Selling, engineering, and administrative expenses 0.2 4.1 116.8 Other (income) expense — — (0.4) Income (loss) from discontinued operations before income taxes (0.2) (4.1) 84.8 Provision (benefit) for income taxes (0.1) (1.0) 30.7 Income (loss) from discontinued operations, net of income taxes $ (0.1) $ (3.1) $ 54.1 |
Note 3. Derivative Instrument_3
Note 3. Derivative Instruments and Fair Value Measurements Fair Value Measurements (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |
Schedule of Interest Rate Derivatives [Table Text Block] | Interest Rate Hedges Included in accompanying balance sheet at December 31, 2020 Notional Interest Rate (1) Asset/(Liability) AOCL – AOCL – (in millions, except %) Expired hedges: 2018 secured railcar equipment notes $ 249.3 4.41 % $ — $ 0.8 $ — TRIP Holdings warehouse loan $ 788.5 3.60 % $ — $ 1.3 $ 1.8 TRIP Master Funding secured railcar equipment notes $ 34.8 2.62 % $ — $ 0.1 $ 0.1 2017 promissory notes – interest rate cap $ 169.3 3.00 % $ — $ (0.5) $ — Open hedge: 2017 promissory notes – interest rate swap $ 488.0 2.66 % $ (45.2) $ 44.7 $ — (1) Weighted average fixed interest rate, except for the interest rate cap on the 2017 promissory notes. |
Derivative Instruments, Gain (Loss) [Table Text Block] | Other Derivatives Included in accompanying balance sheet at December 31, 2020 Effect on cost of revenues – increase/(decrease) Notional Asset/(Liability) AOCL – Year Ended December 31, Expected effect during next twelve months (1) 2020 2019 (in millions) Foreign currency hedge $ 30.0 $ 4.8 $ (7.3) $ 3.2 $ 0.1 $ (7.3) (1) Based on the fair value of open hedges as of December 31, 2020. |
Fair Value, Inputs, Level 1 [Member] | |
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |
Schedule of Fair Value, Assets and Liabilities Measured on Recurring Basis [Table Text Block] | Level 1 December 31, 2020 December 31, 2019 (in millions) Assets: Cash equivalents $ 24.2 $ 57.9 Restricted cash 96.4 111.4 Total assets $ 120.6 $ 169.3 |
Fair Value, Inputs, Level 2 [Member] | |
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |
Schedule of Fair Value, Assets and Liabilities Measured on Recurring Basis [Table Text Block] | Level 2 December 31, 2020 December 31, 2019 (in millions) Assets: Foreign currency hedge (1) $ 4.8 $ 1.2 Total assets $ 4.8 $ 1.2 Liabilities: Interest rate hedge (2) $ 45.2 $ 28.0 Total liabilities $ 45.2 $ 28.0 (1) Included in other assets in our Consolidated Balance Sheets. (2) Included in accrued liabilities in our Consolidated Balance Sheets. |
Note 4. Segment Information Seg
Note 4. Segment Information Segment Information (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Segment Reporting Information [Line Items] | |
Segment Reporting Disclosure [Text Block] | The financial information for these segments is shown in the tables below (in millions). Year Ended December 31, 2020 Railcar Leasing and Management Services Group Rail Products Group All Other Corporate Eliminations – Lease Subsidiary Eliminations – Other Consolidated Total External Revenue $ 801.5 $ 948.2 $ 249.7 $ — $ — $ — $ 1,999.4 Intersegment Revenue 0.8 661.3 1.5 — (652.9) (10.7) — Total Revenues $ 802.3 $ 1,609.5 $ 251.2 $ — $ (652.9) $ (10.7) $ 1,999.4 Depreciation & Amortization $ 214.7 $ 35.1 $ 8.0 $ 8.2 $ — $ — $ 266.0 Capital Expenditures $ 602.2 $ 78.5 $ 6.3 $ 17.5 $ — $ — $ 704.5 Year Ended December 31, 2019 Railcar Leasing and Management Services Group Rail Products Group All Other Corporate Eliminations – Lease Subsidiary Eliminations – Other Consolidated Total External Revenue $ 1,116.3 $ 1,635.3 $ 253.5 $ — $ — $ — $ 3,005.1 Intersegment Revenue 0.9 1,339.5 7.5 — (1,331.1) (16.8) — Total Revenues $ 1,117.2 $ 2,974.8 $ 261.0 $ — $ (1,331.1) $ (16.8) $ 3,005.1 Depreciation & Amortization $ 232.2 $ 34.1 $ 8.3 $ 9.0 $ — $ — $ 283.6 Capital Expenditures $ 1,122.2 $ 85.6 $ 9.1 $ 2.3 $ — $ — $ 1,219.2 Year Ended December 31, 2018 Railcar Leasing and Management Services Group Rail Products Group All Other Corporate Eliminations – Lease Subsidiary Eliminations – Other Consolidated Total External Revenue $ 842.0 $ 1,409.2 $ 257.9 $ — $ — $ — $ 2,509.1 Intersegment Revenue 0.8 1,003.7 12.7 — (990.3) (26.9) — Total Revenues $ 842.8 $ 2,412.9 $ 270.6 $ — $ (990.3) $ (26.9) $ 2,509.1 Depreciation & Amortization $ 196.6 $ 35.6 $ 9.8 $ 9.9 $ — $ — $ 251.9 Capital Expenditures $ 948.3 $ 18.7 $ 14.6 $ 4.0 $ — $ — $ 985.6 The reconciliation of segment operating profit (loss) to consolidated net income (loss) is as follows: Year Ended December 31, 2020 2019 2018 (in millions) Operating profit (loss): Railcar Leasing and Management Services Group $ 353.7 $ 406.6 $ 351.1 Rail Products Group 36.3 277.6 167.6 All Other 28.2 19.9 40.2 Segment Totals before Eliminations, Corporate Expenses, Impairment of long-lived assets, and Restructuring activities 418.2 704.1 558.9 Corporate (97.7) (108.0) (149.1) Impairment of long-lived assets (396.4) — — Restructuring activities, net (11.0) (14.7) — Eliminations – Lease Subsidiary (35.2) (164.7) (95.1) Eliminations – Other (2.4) (0.4) 0.4 Consolidated operating profit (loss) $ (124.5) $ 416.3 $ 315.1 Other (income) expense 370.0 215.6 163.5 Provision (benefit) for income taxes (268.4) 61.5 42.6 Income (loss) from discontinued operations, net of income taxes (0.1) (3.1) 54.1 Net income (loss) $ (226.2) $ 136.1 $ 163.1 |
Reconciliation of Assets from Segment to Consolidated [Table Text Block] | Total assets for these segments is shown in the table below. December 31, 2020 December 31, 2019 (in millions) Railcar Leasing and Management Services Group $ 7,652.1 $ 8,012.6 Rail Products Group 858.6 1,019.8 All Other 199.4 195.7 Segment Totals before Eliminations and Corporate 8,710.1 9,228.1 Corporate 812.0 378.1 Eliminations – Lease Subsidiary (820.3) (903.8) Eliminations – Other — (1.0) Total Assets $ 8,701.8 $ 8,701.4 |
Note 6. Railcar Leasing and M_2
Note 6. Railcar Leasing and Management Services Group Railcar Leasing and Management Services Group (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Sale Leaseback Transaction [Line Items] | |
Reconciliation of Other Significant Reconciling Items from Segments to Consolidated [Table Text Block] | Selected consolidated financial information for the Leasing Group is as follows: December 31, 2020 Wholly- Partially-Owned Subsidiaries Total Leasing Group Eliminations – Lease Subsidiary (1) Adjusted Total Leasing Group (in millions) Cash and cash equivalents $ 3.5 $ — $ 3.5 $ — $ 3.5 Accounts receivable 82.0 8.4 90.4 — 90.4 Property, plant, and equipment, net (2) 5,795.9 1,626.3 7,422.2 (820.3) 6,601.9 Restricted cash 65.2 31.1 96.3 — 96.3 Other assets 38.1 1.6 39.7 — 39.7 Total assets $ 5,984.7 $ 1,667.4 $ 7,652.1 $ (820.3) $ 6,831.8 Accounts payable and accrued liabilities $ 141.4 $ 30.9 $ 172.3 $ — $ 172.3 Debt, net 3,340.5 1,228.3 4,568.8 — 4,568.8 Deferred income taxes 1,062.3 1.1 1,063.4 (186.2) 877.2 Other liabilities 25.7 — 25.7 — 25.7 Total liabilities 4,569.9 1,260.3 5,830.2 (186.2) 5,644.0 Noncontrolling interest — 277.2 277.2 — 277.2 Total Equity $ 1,414.8 $ 129.9 $ 1,544.7 $ (634.1) $ 910.6 December 31, 2019 Wholly- Partially-Owned Subsidiaries Total Leasing Group Eliminations – Lease Subsidiary (1) Adjusted Total Leasing Group (in millions) Cash and cash equivalents $ 1.8 $ — $ 1.8 $ — $ 1.8 Accounts receivable 73.9 8.7 82.6 — 82.6 Property, plant, and equipment, net 5,818.9 1,786.7 7,605.6 (903.8) 6,701.8 Restricted cash 78.4 33.0 111.4 — 111.4 Other assets 209.8 1.4 211.2 — 211.2 Total assets $ 6,182.8 $ 1,829.8 $ 8,012.6 $ (903.8) $ 7,108.8 Accounts payable and accrued liabilities $ 100.7 $ 44.6 $ 145.3 $ — $ 145.3 Debt, net 3,080.7 1,278.4 4,359.1 — 4,359.1 Deferred income taxes 861.7 1.1 862.8 (184.8) 678.0 Other liabilities 32.7 — 32.7 — 32.7 Total liabilities 4,075.8 1,324.1 5,399.9 (184.8) 5,215.1 Noncontrolling interest — 348.8 348.8 — 348.8 Total Equity $ 2,107.0 $ 156.9 $ 2,263.9 $ (719.0) $ 1,544.9 (1) Net deferred profit on railcars sold to the Leasing Group consists of intersegment profit that is eliminated in consolidation. Net deferred profit and the related deferred tax impact are included as adjustments to the property, plant, and equipment, net and deferred income taxes line items, respectively, in the Eliminations – Lease Subsidiary column above to reflect the net book value of the railcars purchased by the Leasing Group from the Rail Products Group based on manufacturing cost. See Note 5 and Note 8 for a further discussion regarding our investment in our partially-owned leasing subsidiaries and the related indebtedness. (2) See Note 11 for further information regarding impairment of long-lived assets recorded in the year ended December 31, 2020. |
Consolidating Financial Performance Information of Specific Segment of Company [Table Text Block] | Year Ended December 31, Percent Change 2020 2019 2018 2020 versus 2019 2019 versus 2018 ($ in millions) Revenues: Leasing and management revenues $ 747.9 $ 756.5 $ 728.9 (1.1) % 3.8 % Sales of railcars owned one year or less at the time of sale (1)(2) 54.4 360.7 113.9 (84.9) % 216.7 % Total revenues $ 802.3 $ 1,117.2 $ 842.8 (28.2) % 32.6 % Operating profit (3) : Leasing and management $ 336.0 $ 314.7 $ 291.8 6.8 % 7.8 % Railcars owned one year or less at the time of sale 0.4 41.4 21.5 (99.0) % 92.6 % Railcars owned more than one year at the time of sale 17.3 50.5 50.4 (65.7) % 0.2 % Property disposition losses (4) — — (12.6) * * Total operating profit $ 353.7 $ 406.6 $ 351.1 (13.0) % 15.8 % Total operating profit margin 44.1 % 36.4 % 41.7 % Leasing and management operating profit margin 44.9 % 41.6 % 40.0 % Selected expense information: Depreciation (5)(6) $ 214.7 $ 232.2 $ 196.6 (7.5) % 18.1 % Maintenance and compliance $ 88.1 $ 102.1 $ 99.3 (13.7) % 2.8 % Rent $ 9.7 $ 16.9 $ 42.4 (42.6) % (60.1) % Selling, engineering, and administrative expenses $ 51.3 $ 49.5 $ 51.1 3.6 % (3.1) % Interest $ 196.2 $ 197.2 $ 142.3 (0.5) % 38.6 % * Not meaningful (1) Includes revenues associated with sales-type leases of $160.5 million for the year ended December 31, 2019. (2) Beginning in the fourth quarter of 2020, we made a prospective change in the presentation of sales of railcars from the lease fleet. See Note 1 for more information. (3) Operating profit includes: depreciation; maintenance and compliance; rent; and selling, engineering, and administrative expenses. Amortization of deferred profit on railcars sold from the Rail Products Group to the Leasing Group is included in the operating profits of the Leasing Group, resulting in the recognition of depreciation expense based on our original manufacturing cost of the railcars. Interest expense is not a component of operating profit and includes the effect of hedges. (4) Property disposition losses for the year ended December 31, 2018 included a non-cash charge of $12.6 million associated with our election to forego the early purchase options contained in certain lease agreements. (5) Effective January 1, 2020, we revised the estimated useful lives and salvage values of certain railcar types in our lease fleet. This change in estimate resulted in a decrease in depreciation expense in the year ended December 31, 2020 of approximately $30.8 million. This decrease was partially offset by higher depreciation associated with growth in the lease fleet. See Note 1 for further information. (6) As a result of the impairment of long-lived assets related to our small cube covered hopper railcars recorded in the second quarter of 2020, our quarterly depreciation expense beginning in the third quarter of 2020 has decreased by approximately $3.5 million, for a total reduction of $7.0 million for the year ended December 31, 2020. |
Operating Leases of Lessor Disclosure [Table Text Block] | The Leasing Group primarily enters into operating leases. Future contractual minimum rental revenues on operating leases related to our wholly-owned and partially-owned subsidiaries are as follows: 2021 2022 2023 2024 2025 Thereafter Total (in millions) Future contractual minimum rental revenues $ 550.4 $ 432.8 $ 322.3 $ 237.9 $ 160.9 $ 290.6 $ 1,994.9 |
Sale Of Leased Railcars [Table Text Block] | During the years ended December 31, 2020, 2019, and 2018, information related to the sales of leased railcars is as follows: Year Ended December 31, 2020 2019 2018 (in millions) Sales of leased railcars: Railcars owned one year or less at the time of sale (1)(2) $ 54.4 $ 360.7 $ 113.9 Railcars owned more than one year at the time of sale 138.7 205.7 230.5 $ 193.1 $ 566.4 $ 344.4 Operating profit on sales of leased railcars: Railcars owned one year or less at the time of sale $ 0.4 $ 41.4 $ 21.5 Railcars owned more than one year at the time of sale 17.3 50.5 50.4 $ 17.7 $ 91.9 $ 71.9 Operating profit margin on sales of leased railcars: Railcars owned one year or less at the time of sale 0.7 % 11.5 % 18.9 % Railcars owned more than one year at the time of sale 12.5 % 24.6 % 21.9 % Weighted average operating profit margin on sales of leased railcars 9.2 % 16.2 % 20.9 % (1) Includes revenues associated with sales-type leases of $160.5 million for the year ended December 31, 2019. (2) Beginning in the fourth quarter of 2020, we made a prospective change in the presentation of sales of railcars from the lease fleet. See Note 1 for more information. |
Other Third Parties [Member] | |
Sale Leaseback Transaction [Line Items] | |
Sale Leaseback Transactions [Table Text Block] | Future amounts due as well as future contractual minimum rental revenues related to the Leasing Group's railcar operating lease obligations are as follows: 2021 2022 2023 2024 2025 Thereafter Total (in millions) Future operating lease obligations $ 8.2 $ 7.5 $ 5.7 $ 2.5 $ 0.6 $ 0.3 $ 24.8 Future contractual minimum rental revenues $ 5.0 $ 3.4 $ 1.6 $ 0.7 $ 0.2 $ — $ 10.9 |
Note 7. Property, Plant, and _2
Note 7. Property, Plant, and Equipment Property, Plant, and Equipment (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Property, Plant and Equipment [Line Items] | |
Property, Plant and Equipment [Table Text Block] | The following table summarizes the components of property, plant, and equipment: December 31, 2020 December 31, 2019 (in millions) Manufacturing/Corporate: Land $ 23.2 $ 28.4 Buildings and improvements 428.6 402.2 Machinery and other 485.1 546.7 Construction in progress 42.5 63.1 979.4 1,040.4 Less accumulated depreciation (577.9) (631.6) 401.5 408.8 Leasing: Wholly-owned subsidiaries: Machinery and other 19.5 13.7 Equipment on lease 7,010.6 6,944.2 7,030.1 6,957.9 Less accumulated depreciation (1,234.2) (1,139.0) 5,795.9 5,818.9 Partially-owned subsidiaries: Equipment on lease 2,248.2 2,410.0 Less accumulated depreciation (621.9) (623.3) 1,626.3 1,786.7 Deferred profit on railcars sold to the Leasing Group (1,064.7) (1,135.8) Less accumulated amortization 244.4 232.0 (820.3) (903.8) $ 7,003.4 $ 7,110.6 |
Note 8. Debt (Tables)
Note 8. Debt (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Debt Disclosure [Abstract] | |
Schedule of Debt [Table Text Block] | The carrying amounts and estimated fair values of our long-term debt are as follows: December 31, 2020 December 31, 2019 Carrying Value Estimated Fair Value Carrying Value Estimated Fair Value (in millions) Corporate – Recourse: Revolving credit facility $ 50.0 $ 50.0 $ 125.0 $ 125.0 Senior notes, net of unamortized discount of $0.2 and $0.2 399.8 420.3 399.8 411.7 449.8 470.3 524.8 536.7 Less: unamortized debt issuance costs (1.6) (2.0) Total recourse debt 448.2 522.8 Leasing – Non-recourse: Wholly-owned subsidiaries: 2006 secured railcar equipment notes — — 109.3 114.0 2009 secured railcar equipment notes 142.3 170.0 147.8 168.7 2010 secured railcar equipment notes 235.9 248.5 248.5 264.3 2017 promissory notes, net of unamortized discount of $10.1 and $— 802.7 802.7 627.1 627.1 2018 secured railcar equipment notes, net of unamortized discount of $0.2 and $0.2 434.7 449.3 452.1 466.2 TRIHC 2018 secured railcar equipment notes, net of unamortized discount of $— and $1.4 — — 265.4 270.9 2019 secured railcar equipment notes, net of unamortized discount of $0.3 and $0.4 860.5 890.8 901.0 904.9 2020 secured railcar equipments notes, net of unamortized discount of $0.1 and $— 369.0 370.2 — — TILC warehouse facility 519.4 519.4 353.4 353.4 3,364.5 3,450.9 3,104.6 3,169.5 Less: unamortized debt issuance costs (24.0) (23.9) 3,340.5 3,080.7 Partially-owned subsidiaries: TRL 2012 secured railcar equipment notes 352.5 373.9 371.4 374.4 TRIP Master Funding secured railcar equipment notes 885.0 959.7 917.9 984.0 1,237.5 1,333.6 1,289.3 1,358.4 Less: unamortized debt issuance costs (9.2) (10.9) 1,228.3 1,278.4 Total non–recourse debt 4,568.8 4,359.1 Total debt $ 5,017.0 $ 5,254.8 $ 4,881.9 $ 5,064.6 |
Schedule of Maturities of Long-term Debt [Table Text Block] | The remaining principal payments under existing debt agreements as of December 31, 2020 are as follows: 2021 2022 2023 2024 2025 Thereafter Total (in millions) Recourse: Corporate $ — $ — $ 50.0 $ 400.0 $ — $ — $ 450.0 Non-recourse – leasing (Note 6): 2009 secured railcar equipment notes 14.5 14.0 11.8 14.5 19.9 67.6 142.3 2010 secured railcar equipment notes 22.8 20.8 22.3 18.4 20.6 131.0 235.9 2017 promissory notes 44.4 44.4 44.4 44.4 635.2 — 812.8 2018 secured railcar equipment notes 17.9 19.0 19.1 19.1 14.9 344.9 434.9 2019 secured railcar equipment notes 37.8 36.8 34.9 36.6 35.2 679.5 860.8 2020 secured railcar equipment notes 20.0 18.5 18.3 14.4 11.3 286.6 369.1 TILC warehouse facility 16.7 2.8 — — — — 19.5 Facility termination payments – TILC warehouse facility — 499.9 — — — — 499.9 TRL 2012 secured railcar equipment notes 19.8 19.5 22.7 28.9 31.3 230.3 352.5 TRIP Master Funding secured railcar equipment notes 40.5 41.8 37.0 191.6 70.3 503.8 885.0 Total principal payments $ 234.4 $ 717.5 $ 260.5 $ 767.9 $ 838.7 $ 2,243.7 $ 5,062.7 |
Note 9. Income Taxes Income Tax
Note 9. Income Taxes Income Taxes (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Income Tax Disclosure [Abstract] | |
Unrecognized Tax Benefit Rollforward [Table Text Block] | The change in unrecognized tax benefits for the years ended December 31, 2020, 2019, and 2018 was as follows: Year Ended December 31, 2020 2019 2018 (in millions) Beginning balance $ 2.3 $ 8.1 $ 7.0 Additions for tax positions of prior years — — 3.0 Reductions for tax positions of prior years — — (0.3) Settlements — (5.8) (1.5) Expiration of statute of limitations — — (0.1) Ending balance $ 2.3 $ 2.3 $ 8.1 |
Schedule of Components of Income Tax Expense (Benefit) [Table Text Block] | The components of the provision (benefit) for income taxes from continuing operations are as follows: Year Ended December 31, 2020 2019 2018 (in millions) Current: Federal: Effect of CARES Act $ (373.3) $ — $ — Other (125.4) (6.0) (19.1) (498.7) (6.0) (19.1) State (0.1) 6.6 (1.5) Foreign 4.3 6.1 5.3 Total current (494.5) 6.7 (15.3) Deferred: Federal: Effect of CARES Act 192.9 — — Other 23.4 44.0 43.2 216.3 44.0 43.2 State (0.4) 12.3 14.7 Foreign 10.2 (1.5) — Total deferred 226.1 54.8 57.9 Provision (benefit) $ (268.4) $ 61.5 $ 42.6 |
Schedule of Effective Income Tax Rate Reconciliation [Table Text Block] | The following is a reconciliation between the statutory U.S. federal income tax rate and our effective income tax rate on income before income taxes: Year Ended December 31, 2020 2019 2018 Statutory rate 21.0 % 21.0 % 21.0 % Effect of CARES Act 36.5 — — Impairment - noncontrolling interest in partially-owned subsidiaries (3.5) — — State taxes 1.1 2.2 2.3 Foreign branch taxes (0.2) 1.2 2.9 Executive compensation limitations (0.3) 1.2 0.9 Interest expense limitations from partially-owned subsidiaries 0.2 1.0 1.3 Noncontrolling interest in partially-owned subsidiaries 0.1 0.1 (0.5) Changes in state laws and apportionment (1.2) 4.3 5.2 Changes in valuation allowances and reserves 0.5 — 1.6 Equity compensation — (0.8) (1.4) Effect of Tax Cuts and Jobs Act — — (3.9) Other, net 0.1 0.4 (1.3) Effective rate 54.3 % 30.6 % 28.1 % |
Schedule of Deferred Tax Assets and Liabilities [Table Text Block] | The components of deferred tax liabilities and assets are as follows: December 31, 2020 2019 (in millions) Deferred tax liabilities: Depreciation, depletion, and amortization $ 996.8 $ 913.4 Partially-owned subsidiaries basis difference 139.9 144.7 Right-of-use assets 17.5 10.0 Total deferred tax liabilities 1,154.2 1,068.1 Deferred tax assets: Workers compensation, pensions, and other benefits 27.1 3.1 Warranties and reserves 3.9 4.5 Equity items 9.5 46.1 Tax loss carryforwards and credits 62.8 229.0 Inventory 5.4 5.1 Accrued liabilities and other 5.3 9.7 Lease liabilities 22.9 10.0 Total deferred tax assets 136.9 307.5 Net deferred tax liabilities before valuation allowances 1,017.3 760.6 Valuation allowances 25.2 19.5 Net deferred tax liabilities before reserve for uncertain tax positions 1,042.5 780.1 Deferred tax assets included in reserve for uncertain tax positions (1.0) (1.0) Adjusted net deferred tax liabilities $ 1,041.5 $ 779.1 |
Note 10. Employee Retirement _2
Note 10. Employee Retirement Plans Employee Retirement Plans (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Retirement Benefits [Abstract] | |
Schedule of Allocation of Plan Assets [Table Text Block] | The estimated fair value of the plans' assets at December 31, 2019, indicating input levels used to determine fair value are as follows: Fair Value Measurement as of December 31, 2019 (in millions) Level 1 Level 2 Level 3 Total Temporary cash investments $ 13.5 $ — $ — $ 13.5 Fixed Income – Government and agencies — 121.7 — 121.7 Fixed Income – Corporate — 370.5 — 370.5 Fixed Income – Asset-backed securities — 2.2 — 2.2 Fixed Income – Collateralized mortgage-backed — 4.1 — 4.1 Equity common trust funds — 29.1 — 29.1 Debt common trust funds — — 7.4 7.4 $ 13.5 $ 527.6 $ 7.4 $ 548.5 |
Schedule of Amounts Recognized in Other Comprehensive Income (Loss) [Table Text Block] | Amounts recognized in other comprehensive income (loss) Year Ended December 31, 2020 2019 2018 (in millions) Settlement of pension plan $ 151.5 $ — $ — Actuarial gain (loss) 10.4 (37.7) (12.5) Amortization of actuarial loss 6.0 4.6 4.8 Amortization of prior service cost 1.2 — — New prior service cost base — (1.5) — Total before income taxes 169.1 (34.6) (7.7) Income tax (benefit) expense 39.2 (7.9) (1.8) Net amount recognized in other comprehensive income (loss) $ 129.9 $ (26.7) $ (5.9) |
Defined Benefit Plan, Assumptions [Table Text Block] | Actuarial assumptions Year Ended December 31, 2020 2019 2018 Assumptions used to determine benefit obligations at the annual measurement date were: Obligation discount rate N/A 2.73 % 4.45 % Assumptions used to determine net periodic benefit costs were: Obligation discount rate 2.71 % 4.45 % 3.79 % Long-term rate of return on plan assets 3.90 % 4.90 % 5.65 % |
Schedule of Costs of Retirement Plans [Table Text Block] | Components of Net Periodic Benefit Cost and Other Retirement Expenses Year Ended December 31, 2020 2019 2018 (in millions) Expense Components Service cost $ — $ 0.1 $ 0.1 Interest 14.8 19.7 18.3 Expected return on plan assets (20.9) (23.0) (27.4) Amortization of actuarial loss 6.0 4.6 4.8 Amortization of prior service cost 1.2 — — Settlement loss 151.5 — — Other — — 0.6 Net periodic benefit cost 152.6 1.4 (3.6) Profit sharing 9.0 11.0 11.1 Net expense $ 161.6 $ 12.4 $ 7.5 |
Changes in Projected Benefit Obligations, Fair Value of Plan Assets, and Funded Status of Plan [Table Text Block] | Obligations and funded status Information regarding the terminated Pension Plan and the Supplemental Executive Retirement Plan ("SERP") based upon a December 31 measurement date is as follows: Year Ended December 31, 2020 2019 (in millions) Accumulated Benefit Obligations $ 15.5 $ 557.9 Projected Benefit Obligations: Beginning of year $ 557.9 $ 453.2 Service cost — 0.1 Interest 14.8 19.7 Benefits paid (23.0) (22.2) Actuarial (gain) loss 18.0 105.6 Plan amendments — 1.5 Settlements (552.2) — End of year $ 15.5 $ 557.9 Plans' Assets: Beginning of year $ 548.5 $ 478.7 Actual return on assets 49.3 90.9 Employer contributions 1.0 1.1 Benefits paid (23.0) (22.2) Settlements (552.2) — End of year $ 23.6 $ 548.5 Consolidated Balance Sheet Components: Pension Plan: Other assets $ 23.6 $ 5.5 Accrued liabilities — — Net funded status $ 23.6 $ 5.5 SERP: Other assets $ — $ — Accrued liabilities (15.5) (14.9) Net funded status $ (15.5) $ (14.9) |
Note 11. Asset Impairment Cha_2
Note 11. Asset Impairment Charges and Restructuring Activities (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Restructuring Charges [Abstract] | |
Schedule of Restructuring Reserve by Type of Cost [Table Text Block] | The following table sets forth the restructuring activity and balance of the restructuring liability, which is included in other liabilities in our Consolidated Balance Sheet: Accrued charges as of December 31, 2019 Charges and adjustments Payments Accrued charges as of December 31, 2020 (in millions) Cash charges: Employee severance costs $ 3.4 $ 7.8 $ (9.8) $ 1.4 Contract termination costs — 0.6 (0.6) — $ 3.4 $ 8.4 $ (10.4) $ 1.4 Asset impairment charges: Write-down of assets $ 5.3 (Gain)/loss on disposition of assets (2.7) $ 2.6 Total restructuring activities $ 11.0 |
Restructuring and Related Costs [Table Text Block] | Although restructuring activities are not allocated to our reportable segments, the following tables summarize the restructuring activities by reportable segment: Year Ended December 31, 2020 Employee Severance Costs Contract Termination Costs (Gain)/Loss on Disposition of Assets Write-down of Assets Total (in millions) Railcar Leasing and Management Services Group $ 1.4 $ — $ — $ — $ 1.4 Rail Products Group 4.0 0.2 (2.9) — 1.3 All Other 0.2 — 0.2 — 0.4 Corporate 2.2 0.4 — 5.3 7.9 Total restructuring activities $ 7.8 $ 0.6 $ (2.7) $ 5.3 $ 11.0 Year Ended December 31, 2019 Employee Severance Costs Write-down of Assets Total (in millions) Railcar Leasing and Management Services Group $ 0.2 $ — $ 0.2 Rail Products Group 0.7 — 0.7 All Other 0.5 10.9 11.4 Corporate 2.4 — 2.4 Total restructuring activities $ 3.8 $ 10.9 $ 14.7 |
Note 12. Accumulated Other Co_2
Note 12. Accumulated Other Comprehensive Income Accumulated Other Comprehensive Income (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Accumulated Other Comprehensive Income (Loss) [Line Items] | |
Schedule of Accumulated Other Comprehensive Income (Loss) [Table Text Block] | Changes in AOCL for the years ended December 31, 2020 and 2019 are as follows: Currency translation adjustments Unrealized gain/(loss) on derivative financial instruments Net actuarial gains/(losses) and prior service cost of defined benefit plans Accumulated Other Comprehensive Loss (in millions) Balances at December 31, 2018 $ (1.3) $ (8.3) $ (107.2) $ (116.8) Other comprehensive loss, net of tax, before reclassifications — (12.8) (30.2) (43.0) Amounts reclassified from AOCL, net of tax benefit of $—, $0.8, $1.1, and $1.9 — 4.5 3.5 8.0 Less: noncontrolling interest — (1.3) — (1.3) Other comprehensive loss — (9.6) (26.7) (36.3) Balances at December 31, 2019 (1.3) (17.9) (133.9) (153.1) Other comprehensive income (loss), net of tax, before reclassifications — (19.4) 7.7 (11.7) Amounts reclassified from AOCL, net of tax benefit of $—, $3.5, $1.6, and $5.1 — 12.9 5.6 18.5 Amounts reclassified from AOCL related to settlement of pension plan, net of tax benefit of $—, $—, $34.9, and $34.9 — — 116.6 116.6 Less: noncontrolling interest — (1.2) — (1.2) Other comprehensive income (loss) — (7.7) 129.9 122.2 Balances at December 31, 2020 $ (1.3) $ (25.6) $ (4.0) $ (30.9) |
Note 13. Common Stock and Sto_2
Note 13. Common Stock and Stock-based Compensation (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Share-based Payment Arrangement [Abstract] | |
Schedule of Stock Options Roll Forward | Number of Shares Weighted Average Grant-Date Fair Value per Award Weighted Average Remaining Contractual Terms (Years) Aggregate Intrinsic Value Options outstanding at December 31, 2019 — $ — Granted 300,000 $ 5.26 Exercised — $ — Cancelled — $ — Options outstanding at December 31, 2020 300,000 $ 5.26 9.1 $ 1.4 |
Share-based Payment Arrangement, Option, Exercise Price Range | The fair value of the stock options granted was estimated at the date of grant using the Black-Scholes option pricing model with the following weighted-average assumptions: Year Ended December 31, 2020 Exercise price $ 21.61 Risk-free interest rate 1.48 % Expected life (in years) 6.50 Equity volatility 35.00 % Dividend yield 3.42 % |
Share-based Payment Arrangement, Restricted Stock and Restricted Stock Unit, Activity [Table Text Block] | Number of Restricted Share Awards Weighted Average Grant-Date Restricted share awards outstanding at December 31, 2019 5,055,461 $ 20.99 Granted 1,022,115 $ 18.62 Vested (1,802,836) $ 21.70 Forfeited (476,309) $ 20.59 Restricted share awards outstanding at December 31, 2020 (1) 3,798,431 $ 20.06 |
Share-based Payment Arrangement, Performance Shares, Activity [Table Text Block] | Number of Performance Units Weighted Average Grant-Date Performance units outstanding at December 31, 2019 800,762 $ 26.33 Granted 444,252 $ 20.31 Vested (3,091) $ 28.35 Forfeited (6,751) $ 24.74 Performance units outstanding at December 31, 2020 1,235,172 $ 24.17 |
Schedule of Repurchase Agreements | Share repurchase activity under this program was as follows: Shares Repurchased Remaining Authorization to Repurchase Period Number of shares Cost Cost March 7, 2019 Authorization $ 350.0 March 7, 2019 through March 31, 2019 866,715 $ 19.0 $ 331.0 April 1, 2019 through June 30, 2019 2,133,116 44.0 $ 287.0 July 1, 2019 through September 30, 2019 5,171,489 100.9 $ 186.1 October 1, 2019 through December 31, 2019 2,933,474 60.8 $ 125.3 January 1, 2020 through March 31, 2020 1,850,000 35.4 $ 89.9 April 1, 2020 through June 30, 2020 — — $ 89.9 July 1, 2020 through September 30, 2020 4,466,896 89.9 $ — Total 17,421,690 $ 350.0 Shares Repurchased Remaining Authorization to Repurchase Period Number of shares Cost Cost October 23, 2020 Authorization $ 250.0 October 23, 2020 through December 31, 2020 2,974,922 $ 67.8 $ 182.2 Total 2,974,922 $ 67.8 |
Note 14. Earnings Per Common _2
Note 14. Earnings Per Common Share Earnings Per Common Share (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Earnings Per Share, Basic, by Common Class, Including Two Class Method [Line Items] | |
Schedule of Earnings Per Share, Basic and Diluted [Table Text Block] | The computation of basic and diluted net income (loss) attributable to Trinity Industries, Inc. is as follows: Year Ended December 31, 2020 2019 2018 (in millions, except per share amounts) Income (loss) from continuing operations $ (226.1) $ 139.2 $ 109.0 Less: Net (income) loss attributable to noncontrolling interest 78.9 1.5 (3.8) Unvested restricted share participation — continuing operations — (1.8) (2.2) Net income (loss) from continuing operations attributable to Trinity Industries, Inc. (147.2) 138.9 103.0 Net income (loss) from discontinued operations, net of income taxes (0.1) (3.1) 54.1 Unvested restricted share participation — discontinued operations — — (0.6) Net income (loss) from discontinued operations attributable to Trinity Industries, Inc. (0.1) (3.1) 53.5 Net income (loss) attributable to Trinity Industries, Inc., including the effect of unvested restricted share participation $ (147.3) $ 135.8 $ 156.5 Basic weighted average shares outstanding 115.9 125.6 144.0 Effect of dilutive securities: Nonparticipating unvested RSUs and RSAs — 1.7 1.0 Convertible subordinated notes — — 1.4 Diluted weighted average shares outstanding 115.9 127.3 146.4 Basic earnings per common share: Income (loss) from continuing operations $ (1.27) $ 1.11 $ 0.72 Income (loss) from discontinued operations — (0.02) 0.37 Basic net income (loss) attributable to Trinity Industries, Inc. $ (1.27) $ 1.09 $ 1.09 Diluted earnings per common share: Income (loss) from continuing operations $ (1.27) $ 1.09 $ 0.70 Income (loss) from discontinued operations — (0.02) 0.37 Diluted net income (loss) attributable to Trinity Industries, Inc. $ (1.27) $ 1.07 $ 1.07 |
Note 1. Summary of Significan_7
Note 1. Summary of Significant Accounting Policies Revenue Recognition (Details) - USD ($) $ in Millions | Dec. 31, 2020 | Dec. 31, 2019 |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | ||
Contract Receivable | $ 4.4 | $ 5.2 |
Railcar Leasing and Management Services Group [Member] | ||
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | ||
Revenue, Remaining Performance Obligation, Amount | $ 87.3 | |
Revenue, remaining performance obligation expected to be delivered in current year | 21.10% | |
Rail Products Group [Member] | Railcar products [Domain] | ||
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | ||
Revenue, Remaining Performance Obligation, Amount | $ 1,014.5 | |
Revenue, remaining performance obligation expected to be delivered in current year | 61.00% | |
Rail Products Group [Member] | Railcar products [Domain] | External Customers [Member] | ||
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | ||
Revenue, Remaining Performance Obligation, Amount | $ 669 | |
Rail Products Group [Member] | Railcar products [Domain] | Leasing [Member] | ||
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | ||
Revenue, Remaining Performance Obligation, Amount | 345.5 | |
Rail Products Group [Member] | Components and maintenance services [Domain] | ||
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | ||
Revenue, Remaining Performance Obligation, Amount | $ 8.2 | |
Revenue, remaining performance obligation expected to be delivered in current year | 100.00% |
Note 1. Summary of Significan_8
Note 1. Summary of Significant Accounting Policies Lessee Accounting (Details) - USD ($) $ in Millions | 12 Months Ended | |||
Dec. 31, 2020 | Dec. 31, 2019 | |||
Lessee, Lease, Description [Line Items] | ||||
Lessee, Operating Lease, Renewal Term | 5 years | |||
Lessee, Operating Lease, Termination Option Term | one year | |||
Finance Lease, Principal Payments | $ 0 | |||
Operating lease expense | 15.8 | $ 18 | ||
Short-term lease expense | $ 2.1 | $ 4.1 | ||
Weighted average remaining lease term | 11 years 3 months 18 days | 4 years 9 months 18 days | ||
Weighted average discount rate | 3.30% | 4.10% | ||
Operating Lease, Payments | $ 15.8 | $ 18 | ||
Right-of-use assets recognized in exchange for new lease liabilities (3) | 56.3 | [1] | 10.3 | |
2021 | 12.2 | |||
2022 | 15.2 | |||
2023 | 13.5 | |||
2024 | 9.2 | |||
2025 | 6.7 | |||
Thereafter | 63.4 | |||
Lessee, Operating Lease, Liability, to be Paid | 120.2 | |||
Less: Present value adjustment | (20.3) | |||
Less: Lease incentives | $ (3) | |||
Minimum [Member] | ||||
Lessee, Lease, Description [Line Items] | ||||
Lessee, Operating Lease, Term of Contract | 1 year | |||
Maximum [Member] | ||||
Lessee, Lease, Description [Line Items] | ||||
Lessee, Operating Lease, Term of Contract | 16 years | |||
Railcar Leasing and Management Services Group [Member] | ||||
Lessee, Lease, Description [Line Items] | ||||
2021 | $ 8.6 | |||
2022 | 7.8 | |||
2023 | 6 | |||
2024 | 2.9 | |||
2025 | 0.9 | |||
Thereafter | 0.6 | |||
Lessee, Operating Lease, Liability, to be Paid | 26.8 | |||
Consolidated Subsidiaries, Excluding Leasing [Member] | ||||
Lessee, Lease, Description [Line Items] | ||||
2021 | 3.6 | |||
2022 | 7.4 | |||
2023 | 7.5 | |||
2024 | 6.3 | |||
2025 | 5.8 | |||
Thereafter | 62.8 | |||
Lessee, Operating Lease, Liability, to be Paid | 93.4 | |||
Other Assets [Member] | ||||
Lessee, Lease, Description [Line Items] | ||||
Right-of-use assets (1) | [2] | 77.1 | 44.2 | |
Other Liabilities | ||||
Lessee, Lease, Description [Line Items] | ||||
Lease liabilities (2) | [3] | $ 96.9 | $ 44.8 | |
[1] | Includes the commencement of the new headquarters facility described above for the year ended December 31, 2020 | |||
[2] | Included in other assets in our Consolidated Balance Sheet. See Note 11 for more information on the impairment of right-of-use assets. | |||
[3] | Included in other liabilities in our Consolidated Balance Sheet. |
Note 1. Summary of Significan_9
Note 1. Summary of Significant Accounting Policies Lessor Accounting (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | ||
Lessor, Lease, Description [Line Items] | |||
Lessor, Operating Lease, Renewal Term | 5 years | ||
Lessor, Operating Lease, Termination Option Term | one year | ||
Sales-type Lease, Revenue | $ 0 | $ 160.5 | |
Interest income on sales-type lease receivables | 0 | 2.4 | |
Direct Financing Lease, Revenue | 0 | 0 | |
Operating lease revenues | 671.4 | 676.3 | |
Variable operating lease revenues | 51 | 50.5 | |
Profit recognized at sales-type lease commencement | 0 | $ 19 | |
Railcar Leasing and Management Services Group [Member] | |||
Lessor, Lease, Description [Line Items] | |||
2021 | [1] | 555.4 | |
2021 | [1] | 436.2 | |
2023 | [1] | 323.9 | |
2024 | [1] | 238.6 | |
2025 | [1] | 161.1 | |
Thereafter | [1] | 290.6 | |
Total | [1] | $ 2,005.8 | |
Railcar Leasing and Management Services Group [Member] | Minimum [Member] | |||
Lessor, Lease, Description [Line Items] | |||
Lessor, Operating Lease, Term of Contract | 1 year | ||
Railcar Leasing and Management Services Group [Member] | Maximum [Member] | |||
Lessor, Lease, Description [Line Items] | |||
Lessor, Operating Lease, Term of Contract | 10 years | ||
[1] | Total contractual minimum rental revenues on operating leases relates to our wholly-owned and partially-owned subsidiaries and sub-lease rental revenues associated with the Leasing Group's operating lease obligations. |
Note 1. Summary of Significa_10
Note 1. Summary of Significant Accounting Policies Property, Plant, and Equipment Useful Lives (Details) | 12 Months Ended |
Dec. 31, 2020 | |
Building and Building Improvements [Member] | Minimum [Member] | |
Property, Plant and Equipment [Line Items] | |
Property, Plant and Equipment, Useful Life | 3 years |
Building and Building Improvements [Member] | Maximum [Member] | |
Property, Plant and Equipment [Line Items] | |
Property, Plant and Equipment, Useful Life | 30 years |
Machinery and Equipment [Member] | Minimum [Member] | |
Property, Plant and Equipment [Line Items] | |
Property, Plant and Equipment, Useful Life | 2 years |
Machinery and Equipment [Member] | Maximum [Member] | |
Property, Plant and Equipment [Line Items] | |
Property, Plant and Equipment, Useful Life | 10 years |
Technology Equipment [Member] | Minimum [Member] | |
Property, Plant and Equipment [Line Items] | |
Property, Plant and Equipment, Useful Life | 2 years |
Technology Equipment [Member] | Maximum [Member] | |
Property, Plant and Equipment [Line Items] | |
Property, Plant and Equipment, Useful Life | 5 years |
Railcars on Lease [Member] | Minimum [Member] | |
Property, Plant and Equipment [Line Items] | |
Property, Plant and Equipment, Useful Life | 35 years |
Railcars on Lease [Member] | Maximum [Member] | |
Property, Plant and Equipment [Line Items] | |
Property, Plant and Equipment, Useful Life | 40 years |
Note 1. Summary of Significa_11
Note 1. Summary of Significant Accounting Policies Change in Depreciable Lives (Details) - USD ($) $ / shares in Units, $ in Millions | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Change in Accounting Estimate [Line Items] | |||
Depreciation and amortization | $ 266 | $ 283.6 | $ 251.9 |
Basic net income (loss) attributable to Trinity Industries, Inc. | $ (1.27) | $ 1.09 | $ 1.09 |
Diluted net income (loss) attributable to Trinity Industries, Inc. | $ (1.27) | $ 1.07 | $ 1.07 |
Service Life [Member] | |||
Change in Accounting Estimate [Line Items] | |||
Depreciation and amortization | $ 30.8 | ||
Depreciation, Amortization and Accretion, Net | $ 23.7 | ||
Basic net income (loss) attributable to Trinity Industries, Inc. | $ 0.20 | ||
Diluted net income (loss) attributable to Trinity Industries, Inc. | $ 0.20 |
Note 1. Summary of Significa_12
Note 1. Summary of Significant Accounting Policies Financial Instruments (Details) - USD ($) $ in Millions | 3 Months Ended | 12 Months Ended | ||
Mar. 31, 2020 | Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Concentration Risk [Line Items] | ||||
Accounts Receivable, Credit Loss Expense (Reversal) | $ 3.8 | |||
Accounts Receivable, Allowance for Credit Loss, Writeoff | 0.8 | |||
Loans and Leases Receivable, Allowance | 9.3 | |||
Cumulative Effect, Period of Adoption, Adjustment [Member] | ||||
Concentration Risk [Line Items] | ||||
Cumulative effect of adopting new accounting standards | 0.5 | $ 13.7 | ||
Cumulative Effect, Period of Adoption, Adjustment [Member] | Retained Earnings [Member] | ||||
Concentration Risk [Line Items] | ||||
Cumulative effect of adopting new accounting standards | $ 0.7 | $ 0.5 | $ 13.7 | $ 18.7 |
Note 1. Summary of Significa_13
Note 1. Summary of Significant Accounting Policies Long-Lived Assets (Details) - USD ($) | 3 Months Ended | 12 Months Ended | ||
Jun. 30, 2020 | Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Restructuring Cost and Reserve [Line Items] | ||||
Impairment of long-lived assets | $ 369,400,000 | $ 396,400,000 | $ 0 | $ 0 |
Other Assets [Member] | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Assets Held-for-sale, Not Part of Disposal Group | 32,900,000 | $ 0 | ||
Railroad Transportation Equipment [Member] | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Impairment of long-lived assets | 369,400,000 | |||
Building [Member] | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Impairment of long-lived assets | 15,200,000 | |||
Investments [Domain] | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Impairment of long-lived assets | $ 11,800,000 |
Note 1. Summary of Significa_14
Note 1. Summary of Significant Accounting Policies Goodwill and Intangibles (Details) - USD ($) | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2019 | |
Finite-Lived Intangible Assets [Line Items] | ||
Goodwill, Impairment Loss | $ 0 | $ 0 |
Intangible Assets, Net (Excluding Goodwill) | 16,000,000 | 18,700,000 |
Finite-Lived Intangible Assets, Net | 13,500,000 | 16,200,000 |
Impairment of Intangible Assets (Excluding Goodwill) | 0 | 0 |
Goodwill | $ 208,800,000 | 208,800,000 |
Minimum [Member] | ||
Finite-Lived Intangible Assets [Line Items] | ||
Finite-Lived Intangible Asset, Useful Life | 1 year | |
Maximum [Member] | ||
Finite-Lived Intangible Assets [Line Items] | ||
Finite-Lived Intangible Asset, Useful Life | 20 years | |
Railcar Leasing and Management Services Group [Member] | ||
Finite-Lived Intangible Assets [Line Items] | ||
Goodwill | $ 1,800,000 | 1,800,000 |
Rail Products Group [Member] | ||
Finite-Lived Intangible Assets [Line Items] | ||
Goodwill | 145,400,000 | 145,400,000 |
Other Segments [Member] | ||
Finite-Lived Intangible Assets [Line Items] | ||
Goodwill | $ 61,600,000 | $ 61,600,000 |
Note 1. Summary of Significa_15
Note 1. Summary of Significant Accounting Policies Investments (Details) - USD ($) $ in Millions | Dec. 31, 2020 | Dec. 31, 2019 |
Variable Interest Entity [Line Items] | ||
Equity Method Investments | $ 4 | $ 3.8 |
Partially-Owned Subsidiaries [Member] | Railcar Leasing and Management Services Group [Member] | ||
Variable Interest Entity [Line Items] | ||
Carrying Value of Investment In Partially-Owned Consolidated Subsidiary | $ 145.9 |
Note 1. Summary of Significa_16
Note 1. Summary of Significant Accounting Policies Warranties (Details) - USD ($) $ in Millions | 12 Months Ended | |||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Product Warranty Liability [Line Items] | ||||
Warranty costs incurred | $ (2.1) | $ (3.8) | $ (2.8) | |
Warranty originations and revisions | 5.9 | 4.5 | 0.1 | |
Warranty expirations | (0.2) | 0 | 0 | |
Standard Product Warranty Accrual | $ 11.7 | $ 8.1 | $ 7.4 | $ 10.1 |
Minimum [Member] | ||||
Product Warranty Liability [Line Items] | ||||
Product Warranty Period | 1 year | |||
Maximum [Member] | ||||
Product Warranty Liability [Line Items] | ||||
Product Warranty Period | 5 years |
Note 2. Discontinued Operatio_3
Note 2. Discontinued Operations Discontinued Operations (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |||
Disposal Group, Including Discontinued Operation, Revenue | $ 0 | $ 0 | $ 1,042 |
Disposal Group, Including Discontinued Operation, Costs of Goods Sold | 0 | 0 | 840.8 |
Disposal Group, Including Discontinued Operation, General and Administrative Expense | 0.2 | 4.1 | 116.8 |
Disposal Group, Including Discontinued Operation, Other Expense | 0 | ||
Disposal Group, Including Discontinued Operation, Other Income | 0 | (0.4) | |
Discontinued Operation, Income (Loss) from Discontinued Operation, before Income Tax | (0.2) | (4.1) | 84.8 |
Discontinued Operation, Tax Effect of Discontinued Operation | (0.1) | (1) | 30.7 |
Income (loss) from discontinued operations, net of provision (benefit) for income taxes of $(0.1), $(1.0), $30.7 | $ (0.1) | $ (3.1) | $ 54.1 |
Note 3. Derivative Instrument_4
Note 3. Derivative Instruments and Fair Value Measurements Derivatives - Interest Rate Hedges (Details) - USD ($) $ in Millions | Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Derivative [Line Items] | |||||
Total stockholders' equity | $ 2,016 | $ 2,378.9 | $ 2,562 | $ 4,858 | |
Designated as Hedging Instrument [Member] | Interest Rate Swap, Expired, 2018 Secured Railcar Equipment Notes [Domain] | |||||
Derivative [Line Items] | |||||
Derivative, Notional Amount | $ 249.3 | ||||
Derivative, Average Fixed Interest Rate | [1] | 4.41% | |||
Derivative Liability | $ 0 | ||||
Designated as Hedging Instrument [Member] | Interest Rate Swap, Expired, TRIP Holdings Warehouse Loan [Member] | |||||
Derivative [Line Items] | |||||
Derivative, Notional Amount | $ 788.5 | ||||
Derivative, Average Fixed Interest Rate | [1] | 3.60% | |||
Derivative Liability | $ 0 | ||||
Designated as Hedging Instrument [Member] | Interest Rate Swap, Expired, TRIP Master Funding Secured Railcar Equipment Notes [Member] | |||||
Derivative [Line Items] | |||||
Derivative, Notional Amount | $ 34.8 | ||||
Derivative, Average Fixed Interest Rate | [1] | 2.62% | |||
Derivative Liability | $ 0 | ||||
Designated as Hedging Instrument [Member] | Interest Rate Cap [Member] | |||||
Derivative [Line Items] | |||||
Derivative, Notional Amount | $ 169.3 | ||||
Derivative, Cap Interest Rate | 3.00% | ||||
Derivative Liability | $ 0 | ||||
Designated as Hedging Instrument [Member] | Interest Rate Swap [Member] | |||||
Derivative [Line Items] | |||||
Derivative, Notional Amount | $ 488 | ||||
Derivative, Average Fixed Interest Rate | [1] | 2.66% | |||
Derivative Liability | $ 45.2 | ||||
Accumulated Net Gain (Loss) from Cash Flow Hedges Attributable to Parent [Member] | Designated as Hedging Instrument [Member] | Interest Rate Swap, Expired, 2018 Secured Railcar Equipment Notes [Domain] | |||||
Derivative [Line Items] | |||||
Total stockholders' equity | 0.8 | ||||
Accumulated Net Gain (Loss) from Cash Flow Hedges Attributable to Parent [Member] | Designated as Hedging Instrument [Member] | Interest Rate Swap, Expired, TRIP Holdings Warehouse Loan [Member] | |||||
Derivative [Line Items] | |||||
Total stockholders' equity | 1.3 | ||||
Accumulated Net Gain (Loss) from Cash Flow Hedges Attributable to Parent [Member] | Designated as Hedging Instrument [Member] | Interest Rate Swap, Expired, TRIP Master Funding Secured Railcar Equipment Notes [Member] | |||||
Derivative [Line Items] | |||||
Total stockholders' equity | 0.1 | ||||
Accumulated Net Gain (Loss) from Cash Flow Hedges Attributable to Parent [Member] | Designated as Hedging Instrument [Member] | Interest Rate Cap [Member] | |||||
Derivative [Line Items] | |||||
Total stockholders' equity | (0.5) | ||||
Accumulated Net Gain (Loss) from Cash Flow Hedges Attributable to Parent [Member] | Designated as Hedging Instrument [Member] | Interest Rate Swap [Member] | |||||
Derivative [Line Items] | |||||
Total stockholders' equity | 44.7 | ||||
Accumulated Net Gain (Loss) from Cash Flow Hedges Attributable to Noncontrolling Interest [Member] | Designated as Hedging Instrument [Member] | Interest Rate Swap, Expired, 2018 Secured Railcar Equipment Notes [Domain] | |||||
Derivative [Line Items] | |||||
Total stockholders' equity | 0 | ||||
Accumulated Net Gain (Loss) from Cash Flow Hedges Attributable to Noncontrolling Interest [Member] | Designated as Hedging Instrument [Member] | Interest Rate Swap, Expired, TRIP Holdings Warehouse Loan [Member] | |||||
Derivative [Line Items] | |||||
Total stockholders' equity | 1.8 | ||||
Accumulated Net Gain (Loss) from Cash Flow Hedges Attributable to Noncontrolling Interest [Member] | Designated as Hedging Instrument [Member] | Interest Rate Swap, Expired, TRIP Master Funding Secured Railcar Equipment Notes [Member] | |||||
Derivative [Line Items] | |||||
Total stockholders' equity | 0.1 | ||||
Accumulated Net Gain (Loss) from Cash Flow Hedges Attributable to Noncontrolling Interest [Member] | Designated as Hedging Instrument [Member] | Interest Rate Cap [Member] | |||||
Derivative [Line Items] | |||||
Total stockholders' equity | 0 | ||||
Accumulated Net Gain (Loss) from Cash Flow Hedges Attributable to Noncontrolling Interest [Member] | Designated as Hedging Instrument [Member] | Interest Rate Swap [Member] | |||||
Derivative [Line Items] | |||||
Total stockholders' equity | $ 0 | ||||
[1] | Weighted average fixed interest rate, except for the interest rate cap on the 2017 promissory notes. |
Note 3. Derivative Instrument_5
Note 3. Derivative Instruments and Fair Value Measurements Derivatives - Effect on Interest Expense (Details) - Interest Expense [Member] - Designated as Hedging Instrument [Member] - USD ($) $ in Millions | 12 Months Ended | ||||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |||
Interest Rate Swap, Expired, 2006 Secured Railcar Equipment Notes [Member] | |||||
Derivative Instruments, Gain (Loss) [Line Items] | |||||
Derivative Instruments, Gain (Loss) Reclassified from Accumulated OCI into Income, Effective Portion, Net | $ (0.1) | [1] | $ (0.2) | $ (0.2) | |
Interest Rate Cash Flow Hedge Gain (Loss) to be Reclassified During Next 12 Months, Net | [2] | 0 | |||
Interest Rate Swap, Expired, 2018 Secured Railcar Equipment Notes [Member] | |||||
Derivative Instruments, Gain (Loss) [Line Items] | |||||
Derivative Instruments, Gain (Loss) Reclassified from Accumulated OCI into Income, Effective Portion, Net | 0.2 | 0.2 | 0.1 | ||
Interest Rate Cash Flow Hedge Gain (Loss) to be Reclassified During Next 12 Months, Net | [2] | (0.2) | |||
Interest Rate Swap, Expired, TRIP Holdings Warehouse Loan [Member] | |||||
Derivative Instruments, Gain (Loss) [Line Items] | |||||
Derivative Instruments, Gain (Loss) Reclassified from Accumulated OCI into Income, Effective Portion, Net | 2 | 2 | 2.2 | ||
Interest Rate Cash Flow Hedge Gain (Loss) to be Reclassified During Next 12 Months, Net | [2] | (1.8) | |||
Interest Rate Swap, Expired, TRIP Master Funding Secured Railcar Equipment Notes [Member] | |||||
Derivative Instruments, Gain (Loss) [Line Items] | |||||
Derivative Instruments, Gain (Loss) Reclassified from Accumulated OCI into Income, Effective Portion, Net | 0.2 | 0.2 | 0.2 | ||
Interest Rate Cash Flow Hedge Gain (Loss) to be Reclassified During Next 12 Months, Net | [2] | (0.1) | |||
Interest Rate Cap [Member] | |||||
Derivative Instruments, Gain (Loss) [Line Items] | |||||
Derivative Instruments, Gain (Loss) Reclassified from Accumulated OCI into Income, Effective Portion, Net | (0.1) | (0.1) | 0.1 | ||
Interest Rate Cash Flow Hedge Gain (Loss) to be Reclassified During Next 12 Months, Net | [2] | 0.1 | |||
Interest Rate Swap [Member] | |||||
Derivative Instruments, Gain (Loss) [Line Items] | |||||
Derivative Instruments, Gain (Loss) Reclassified from Accumulated OCI into Income, Effective Portion, Net | 11 | $ 3.1 | $ 0.3 | ||
Interest Rate Cash Flow Hedge Gain (Loss) to be Reclassified During Next 12 Months, Net | [2] | $ (11) | |||
[1] | Upon settlement of the debt in March 2020, the remaining balance of $0.1 million in AOCL was recognized through interest expense. See Note 8 for additional information on the debt redemption. | ||||
[2] | Based on the fair value of open hedges as of December 31, 2020 |
Note 3. Derivative Instrument_6
Note 3. Derivative Instruments and Fair Value Measurements Derivatives - FX Hedge (Details) - USD ($) $ in Millions | 12 Months Ended | ||||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | ||
Derivative [Line Items] | |||||
Total stockholders' equity | $ 2,016 | $ 2,378.9 | $ 2,562 | $ 4,858 | |
Designated as Hedging Instrument [Member] | Foreign Exchange Contract [Member] | |||||
Derivative [Line Items] | |||||
Derivative, Notional Amount | 30 | ||||
Derivative Asset | (4.8) | ||||
Designated as Hedging Instrument [Member] | Accumulated Net Gain (Loss) from Cash Flow Hedges Attributable to Parent [Member] | Foreign Exchange Contract [Member] | |||||
Derivative [Line Items] | |||||
Total stockholders' equity | (7.3) | ||||
Designated as Hedging Instrument [Member] | Interest Expense [Member] | Foreign Exchange Contract [Member] | |||||
Derivative [Line Items] | |||||
Derivative Instruments, Gain (Loss) Reclassified from Accumulated OCI into Income, Effective Portion, Net | 3.2 | $ 0.1 | |||
Interest Rate Cash Flow Hedge Gain (Loss) to be Reclassified During Next 12 Months, Net | [1] | $ (7.3) | |||
[1] | Based on the fair value of open hedges as of December 31, 2020 |
Note 3. Derivative Instrument_7
Note 3. Derivative Instruments and Fair Value Measurements Fair Value Measurements (Details) - Fair Value, Recurring [Member] - USD ($) $ in Millions | Dec. 31, 2020 | Dec. 31, 2019 | |
Fair Value, Inputs, Level 1 [Member] | |||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||
Cash and Cash Equivalents, Fair Value Disclosure | $ 24.2 | $ 57.9 | |
Restricted Cash Fair Value Disclosure | 96.4 | 111.4 | |
Assets, Fair Value Disclosure | 120.6 | 169.3 | |
Fair Value, Inputs, Level 2 [Member] | |||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||
Assets, Fair Value Disclosure | 4.8 | 1.2 | |
Fair Value, Inputs, Level 3 [Member] | |||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||
Assets, Fair Value Disclosure | 0 | 0 | |
Other Assets [Member] | Fair Value, Inputs, Level 2 [Member] | |||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||
Foreign Currency Contract, Asset, Fair Value Disclosure | [1] | 4.8 | 1.2 |
Accrued Liabilities [Member] | Fair Value, Inputs, Level 2 [Member] | |||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||
Financial and Nonfinancial Liabilities, Fair Value Disclosure | 45.2 | 28 | |
Interest Rate Swap [Member] | Accrued Liabilities [Member] | Fair Value, Inputs, Level 2 [Member] | |||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||
Derivative Liability | [2] | $ 45.2 | $ 28 |
[1] | Included in other assets in our Consolidated Balance Sheets. | ||
[2] | Included in accrued liabilities in our Consolidated Balance Sheets. |
Note 4. Segment Information S_2
Note 4. Segment Information Segment Information (Details) | 3 Months Ended | 12 Months Ended | ||||
Jun. 30, 2020USD ($) | Dec. 31, 2020USD ($)segment | Dec. 31, 2019USD ($) | Dec. 31, 2018USD ($) | |||
Segment Reporting Information [Line Items] | ||||||
Number of Reportable Segments | segment | 3 | |||||
External Revenue | $ 1,999,400,000 | $ 3,005,100,000 | $ 2,509,100,000 | |||
Revenues: | 1,999,400,000 | 3,005,100,000 | 2,509,100,000 | |||
Total operating profit (loss) | (124,500,000) | 416,300,000 | 315,100,000 | |||
Restructuring Charges | (11,000,000) | (14,700,000) | 0 | |||
Other Nonoperating Expense | 2,500,000 | 1,100,000 | ||||
Provision (benefit) for income taxes: | (268,400,000) | 61,500,000 | 42,600,000 | |||
Income (loss) from discontinued operations, net of provision (benefit) for income taxes of $(0.1), $(1.0), $30.7 | (100,000) | (3,100,000) | 54,100,000 | |||
Net income (loss) | (226,200,000) | 136,100,000 | 163,100,000 | |||
Depreciation and amortization | 266,000,000 | 283,600,000 | 251,900,000 | |||
Payments to Acquire Productive Assets | 704,500,000 | 1,219,200,000 | 985,600,000 | |||
Total assets | 8,701,800,000 | 8,701,400,000 | ||||
Asset Impairment Charges | $ (369,400,000) | $ (396,400,000) | 0 | 0 | ||
Concentration Risk, Percentage | 14.00% | |||||
Railcar Leasing and Management Services Group [Member] | ||||||
Segment Reporting Information [Line Items] | ||||||
External Revenue | $ 801,500,000 | 1,116,300,000 | 842,000,000 | |||
Revenues: | 802,300,000 | 1,117,200,000 | 842,800,000 | |||
Total operating profit (loss) | 353,700,000 | 406,600,000 | 351,100,000 | |||
Restructuring Charges | (1,400,000) | (200,000) | ||||
Rail Products Group [Member] | ||||||
Segment Reporting Information [Line Items] | ||||||
External Revenue | 948,200,000 | 1,635,300,000 | 1,409,200,000 | |||
Total operating profit (loss) | 36,300,000 | 277,600,000 | 167,600,000 | |||
Restructuring Charges | (1,300,000) | (700,000) | ||||
Other Segments [Member] | ||||||
Segment Reporting Information [Line Items] | ||||||
External Revenue | 249,700,000 | 253,500,000 | 257,900,000 | |||
Total operating profit (loss) | 28,200,000 | 19,900,000 | 40,200,000 | |||
Restructuring Charges | (400,000) | (11,400,000) | ||||
Corporate Segment [Member] | ||||||
Segment Reporting Information [Line Items] | ||||||
Total operating profit (loss) | (97,700,000) | (108,000,000) | (149,100,000) | |||
Restructuring Charges | (7,900,000) | (2,400,000) | ||||
Operating Segments [Member] | ||||||
Segment Reporting Information [Line Items] | ||||||
Total operating profit (loss) | 418,200,000 | 704,100,000 | 558,900,000 | |||
Total assets | 8,710,100,000 | 9,228,100,000 | ||||
Operating Segments [Member] | Railcar Leasing and Management Services Group [Member] | ||||||
Segment Reporting Information [Line Items] | ||||||
Revenues: | 802,300,000 | 1,117,200,000 | 842,800,000 | |||
Total operating profit (loss) | [1] | 353,700,000 | 406,600,000 | 351,100,000 | ||
Depreciation and amortization | 214,700,000 | [2],[3] | 232,200,000 | 196,600,000 | ||
Payments to Acquire Productive Assets | 602,200,000 | 1,122,200,000 | 948,300,000 | |||
Total assets | 7,652,100,000 | 8,012,600,000 | ||||
Operating Segments [Member] | Rail Products Group [Member] | ||||||
Segment Reporting Information [Line Items] | ||||||
Revenues: | 1,609,500,000 | 2,974,800,000 | 2,412,900,000 | |||
Depreciation and amortization | 35,100,000 | 34,100,000 | 35,600,000 | |||
Payments to Acquire Productive Assets | 78,500,000 | 85,600,000 | 18,700,000 | |||
Total assets | 858,600,000 | 1,019,800,000 | ||||
Operating Segments [Member] | Other Segments [Member] | ||||||
Segment Reporting Information [Line Items] | ||||||
Revenues: | 251,200,000 | 261,000,000 | 270,600,000 | |||
Depreciation and amortization | 8,000,000 | 8,300,000 | 9,800,000 | |||
Payments to Acquire Productive Assets | 6,300,000 | 9,100,000 | 14,600,000 | |||
Total assets | 199,400,000 | 195,700,000 | ||||
Operating Segments [Member] | Corporate Segment [Member] | ||||||
Segment Reporting Information [Line Items] | ||||||
Depreciation and amortization | 8,200,000 | 9,000,000 | 9,900,000 | |||
Payments to Acquire Productive Assets | 17,500,000 | 2,300,000 | 4,000,000 | |||
Total assets | 812,000,000 | 378,100,000 | ||||
Intersegment Eliminations [Member] | Railcar Leasing and Management Services Group [Member] | ||||||
Segment Reporting Information [Line Items] | ||||||
Intersegment Revenues | 800,000 | 900,000 | 800,000 | |||
Intersegment Eliminations [Member] | Rail Products Group [Member] | ||||||
Segment Reporting Information [Line Items] | ||||||
Intersegment Revenues | 661,300,000 | 1,339,500,000 | 1,003,700,000 | |||
Intersegment Eliminations [Member] | Other Segments [Member] | ||||||
Segment Reporting Information [Line Items] | ||||||
Intersegment Revenues | 1,500,000 | 7,500,000 | 12,700,000 | |||
MEXICO | ||||||
Segment Reporting Information [Line Items] | ||||||
Total assets | 126,900,000 | 136,000,000 | ||||
Long-Lived Assets | 111,900,000 | 112,200,000 | ||||
Consolidated Subsidiaries, Leasing [Member] | ||||||
Segment Reporting Information [Line Items] | ||||||
Total operating profit (loss) | (35,200,000) | (164,700,000) | (95,100,000) | |||
Consolidated Subsidiaries, Leasing [Member] | Intersegment Eliminations [Member] | ||||||
Segment Reporting Information [Line Items] | ||||||
Intersegment Revenues | (652,900,000) | (1,331,100,000) | (990,300,000) | |||
Revenues: | (652,900,000) | (1,331,100,000) | (990,300,000) | |||
Depreciation and amortization | 0 | 0 | 0 | |||
Payments to Acquire Productive Assets | 0 | 0 | 0 | |||
Total assets | [4] | (820,300,000) | (903,800,000) | |||
Consolidated Subsidiaries, Excluding Leasing [Member] | ||||||
Segment Reporting Information [Line Items] | ||||||
Total operating profit (loss) | (2,400,000) | (400,000) | 400,000 | |||
Consolidated Subsidiaries, Excluding Leasing [Member] | Intersegment Eliminations [Member] | ||||||
Segment Reporting Information [Line Items] | ||||||
Intersegment Revenues | (10,700,000) | (16,800,000) | (26,900,000) | |||
Revenues: | (10,700,000) | (16,800,000) | (26,900,000) | |||
Depreciation and amortization | 0 | 0 | 0 | |||
Payments to Acquire Productive Assets | 0 | 0 | $ 0 | |||
Total assets | $ 0 | $ (1,000,000) | ||||
[1] | Operating profit includes: depreciation; maintenance and compliance; rent; and selling, engineering, and administrative expenses. Amortization of deferred profit on railcars sold from the Rail Products Group to the Leasing Group is included in the operating profits of the Leasing Group, resulting in the recognition of depreciation expense based on our original manufacturing cost of the railcars. Interest expense is not a component of operating profit and includes the effect of hedges. | |||||
[2] | As a result of the impairment of long-lived assets related to our small cube covered hopper railcars recorded in the second quarter of 2020, our quarterly depreciation expense beginning in the third quarter of 2020 has decreased by approximately $3.5 million, for a total reduction of $7.0 million for the year ended December 31, 2020 | |||||
[3] | Effective January 1, 2020, we revised the estimated useful lives and salvage values of certain railcar types in our lease fleet. This change in estimate resulted in a decrease in depreciation expense in the year ended December 31, 2020 of approximately $30.8 million. This decrease was partially offset by higher depreciation associated with growth in the lease fleet. See Note 1 for further information. | |||||
[4] | Net deferred profit on railcars sold to the Leasing Group consists of intersegment profit that is eliminated in consolidation. Net deferred profit and the related deferred tax impact are included as adjustments to the property, plant, and equipment, net and deferred income taxes line items, respectively, in the Eliminations – Lease Subsidiary column above to reflect the net book value of the railcars purchased by the Leasing Group from the Rail Products Group based on manufacturing cost. See Note 5 and Note 8 for a further discussion regarding our investment in our partially-owned leasing subsidiaries and the related indebtedness. |
Note 5. Partially Owned Leasi_2
Note 5. Partially Owned Leasing Subsidiaries (Details) | 12 Months Ended |
Dec. 31, 2020USD ($)subsidiaryboard_member | |
Partially-Owned Subsidiaries [Member] | |
Noncontrolling Interest [Line Items] | |
Parent Company Guarantees | $ | $ 0 |
Railcar Leasing and Management Services Group [Member] | Partially-Owned Subsidiaries [Member] | |
Noncontrolling Interest [Line Items] | |
Carrying Value of Investment In Partially-Owned Consolidated Subsidiary | $ | $ 145,900,000 |
Noncontrolling Interest, Ownership Percentage by Parent | 38.00% |
Noncontrolling Interest, Ownership Percentage by Noncontrolling Owners | 62.00% |
Railcar Leasing and Management Services Group [Member] | Partially-Owned Subsidiaries [Member] | |
Noncontrolling Interest [Line Items] | |
Number of Subsidiaries | subsidiary | 2 |
Number of Board Members | board_member | 7 |
Number of Board Members of Subsidiary, Designated by Parent | board_member | 2 |
Note 6. Railcar Leasing and M_3
Note 6. Railcar Leasing and Management Services Group Selected Leasing Balance Sheet Information (Details) - USD ($) $ in Millions | Dec. 31, 2020 | Dec. 31, 2019 | ||
Segment Reporting, Asset Reconciling Item [Line Items] | ||||
Cash and cash equivalents | $ 132 | $ 166.2 | ||
Accounts receivable | 199 | 260.1 | ||
Property, plant, and equipment, net (2) | 7,003.4 | 7,110.6 | ||
Restricted cash | 96.4 | 111.4 | ||
Other assets | 295.2 | 396.2 | ||
Total assets | 8,701.8 | 8,701.4 | ||
Debt, net | 5,017 | 4,881.9 | ||
Deferred income taxes | 1,047.5 | 798.3 | ||
Other liabilities | 150.2 | 96.3 | ||
Total liabilities | 6,685.8 | 6,322.5 | ||
Noncontrolling interest | 277.2 | 348.8 | ||
Total Equity | 1,738.8 | 2,030.1 | ||
Operating Segments [Member] | ||||
Segment Reporting, Asset Reconciling Item [Line Items] | ||||
Total assets | 8,710.1 | 9,228.1 | ||
Operating Segments [Member] | Railcar Leasing and Management Services Group [Member] | ||||
Segment Reporting, Asset Reconciling Item [Line Items] | ||||
Cash and cash equivalents | 3.5 | 1.8 | ||
Accounts receivable | 90.4 | 82.6 | ||
Property, plant, and equipment, net (2) | 7,422.2 | [1] | 7,605.6 | |
Restricted cash | 96.3 | 111.4 | ||
Other assets | 39.7 | 211.2 | ||
Total assets | 7,652.1 | 8,012.6 | ||
Accounts payable and accrued liabilities | 172.3 | 145.3 | ||
Debt, net | 4,568.8 | 4,359.1 | ||
Deferred income taxes | 1,063.4 | 862.8 | ||
Other liabilities | 25.7 | 32.7 | ||
Total liabilities | 5,830.2 | 5,399.9 | ||
Noncontrolling interest | 277.2 | 348.8 | ||
Total Equity | 1,544.7 | 2,263.9 | ||
Intersegment Eliminations [Member] | ||||
Segment Reporting, Asset Reconciling Item [Line Items] | ||||
Property, plant, and equipment, net (2) | (820.3) | (903.8) | ||
Wholly Owned Subsidiaries [Member] | Operating Segments [Member] | Railcar Leasing and Management Services Group [Member] | ||||
Segment Reporting, Asset Reconciling Item [Line Items] | ||||
Cash and cash equivalents | 3.5 | 1.8 | ||
Accounts receivable | 82 | 73.9 | ||
Property, plant, and equipment, net (2) | 5,795.9 | [1] | 5,818.9 | |
Restricted cash | 65.2 | 78.4 | ||
Other assets | 38.1 | 209.8 | ||
Total assets | 5,984.7 | 6,182.8 | ||
Accounts payable and accrued liabilities | 141.4 | 100.7 | ||
Debt, net | 3,340.5 | 3,080.7 | ||
Deferred income taxes | 1,062.3 | 861.7 | ||
Other liabilities | 25.7 | 32.7 | ||
Total liabilities | 4,569.9 | 4,075.8 | ||
Noncontrolling interest | 0 | 0 | ||
Total Equity | 1,414.8 | 2,107 | ||
Partially-Owned Subsidiaries [Member] | Operating Segments [Member] | Railcar Leasing and Management Services Group [Member] | ||||
Segment Reporting, Asset Reconciling Item [Line Items] | ||||
Cash and cash equivalents | 0 | 0 | ||
Accounts receivable | 8.4 | 8.7 | ||
Property, plant, and equipment, net (2) | 1,626.3 | [1] | 1,786.7 | |
Restricted cash | 31.1 | 33 | ||
Other assets | 1.6 | 1.4 | ||
Total assets | 1,667.4 | 1,829.8 | ||
Accounts payable and accrued liabilities | 30.9 | 44.6 | ||
Debt, net | 1,228.3 | 1,278.4 | ||
Deferred income taxes | 1.1 | 1.1 | ||
Other liabilities | 0 | 0 | ||
Total liabilities | 1,260.3 | 1,324.1 | ||
Noncontrolling interest | 277.2 | 348.8 | ||
Total Equity | 129.9 | 156.9 | ||
Consolidated Subsidiaries, Leasing [Member] | Intersegment Eliminations [Member] | ||||
Segment Reporting, Asset Reconciling Item [Line Items] | ||||
Cash and cash equivalents | 0 | 0 | ||
Accounts receivable | 0 | 0 | ||
Property, plant, and equipment, net (2) | [2] | (820.3) | [1] | (903.8) |
Restricted cash | 0 | 0 | ||
Other assets | 0 | 0 | ||
Total assets | [2] | (820.3) | (903.8) | |
Accounts payable and accrued liabilities | 0 | 0 | ||
Debt, net | 0 | 0 | ||
Deferred income taxes | [2] | (186.2) | (184.8) | |
Other liabilities | 0 | 0 | ||
Total liabilities | [2] | (186.2) | (184.8) | |
Noncontrolling interest | 0 | 0 | ||
Total Equity | [2] | (634.1) | (719) | |
Railcar Leasing and Management Services Group [Member] | ||||
Segment Reporting, Asset Reconciling Item [Line Items] | ||||
Cash and cash equivalents | 3.5 | 1.8 | ||
Accounts receivable | 90.4 | 82.6 | ||
Property, plant, and equipment, net (2) | 6,601.9 | [1] | 6,701.8 | |
Restricted cash | 96.3 | 111.4 | ||
Other assets | 39.7 | 211.2 | ||
Total assets | 6,831.8 | 7,108.8 | ||
Accounts payable and accrued liabilities | 172.3 | 145.3 | ||
Debt, net | 4,568.8 | 4,359.1 | ||
Deferred income taxes | 877.2 | 678 | ||
Other liabilities | 25.7 | 32.7 | ||
Total liabilities | 5,644 | 5,215.1 | ||
Noncontrolling interest | 277.2 | 348.8 | ||
Total Equity | $ 910.6 | $ 1,544.9 | ||
[1] | See Note 11 for further information regarding impairment of long-lived assets recorded in the year ended December 31, 2020 | |||
[2] | Net deferred profit on railcars sold to the Leasing Group consists of intersegment profit that is eliminated in consolidation. Net deferred profit and the related deferred tax impact are included as adjustments to the property, plant, and equipment, net and deferred income taxes line items, respectively, in the Eliminations – Lease Subsidiary column above to reflect the net book value of the railcars purchased by the Leasing Group from the Rail Products Group based on manufacturing cost. See Note 5 and Note 8 for a further discussion regarding our investment in our partially-owned leasing subsidiaries and the related indebtedness. |
Note 6. Railcar Leasing and M_4
Note 6. Railcar Leasing and Management Services Group Selected Leasing Income Statement Information (Details) - USD ($) $ in Millions | 3 Months Ended | 12 Months Ended | ||||||
Sep. 30, 2020 | Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |||||
Segment Reporting, Reconciling Item for Operating Profit (Loss) from Segment to Consolidated [Line Items] | ||||||||
Revenues: | $ 1,999.4 | $ 3,005.1 | $ 2,509.1 | |||||
Total operating profit (loss) | (124.5) | 416.3 | 315.1 | |||||
Depreciation and amortization | 266 | 283.6 | 251.9 | |||||
Operating lease expense | 15.8 | 18 | ||||||
Selling, engineering, and administrative expenses: | 228.4 | 262.8 | 296.6 | |||||
Interest expense | 219.2 | 221.8 | 179.3 | |||||
Reduced Depreciation [Member] | ||||||||
Segment Reporting, Reconciling Item for Operating Profit (Loss) from Segment to Consolidated [Line Items] | ||||||||
Depreciation and amortization | $ 3.5 | 7 | ||||||
Railcar Leasing and Management Services Group [Member] | ||||||||
Segment Reporting, Reconciling Item for Operating Profit (Loss) from Segment to Consolidated [Line Items] | ||||||||
Revenues: | 802.3 | 1,117.2 | 842.8 | |||||
Total operating profit (loss) | 353.7 | 406.6 | 351.1 | |||||
Operating Segments [Member] | ||||||||
Segment Reporting, Reconciling Item for Operating Profit (Loss) from Segment to Consolidated [Line Items] | ||||||||
Total operating profit (loss) | 418.2 | 704.1 | 558.9 | |||||
Operating Segments [Member] | Railcar Leasing and Management Services Group [Member] | ||||||||
Segment Reporting, Reconciling Item for Operating Profit (Loss) from Segment to Consolidated [Line Items] | ||||||||
Revenues: | $ 802.3 | $ 1,117.2 | 842.8 | |||||
Revenues, Percent Change | (28.20%) | 32.60% | ||||||
Total operating profit (loss) | [1] | $ 353.7 | $ 406.6 | $ 351.1 | ||||
Operating Income (Loss), Percent Change | (13.00%) | 15.80% | ||||||
Operating Profit Margin | 44.10% | 36.40% | 41.70% | |||||
Depreciation and amortization | $ 214.7 | [2],[3] | $ 232.2 | $ 196.6 | ||||
Depreciation, Depletion, and Amortization, Percent Change | (7.50%) | [2],[3] | 18.10% | |||||
Cost, Maintenance | $ 88.1 | $ 102.1 | 99.3 | |||||
Maintenance Costs, Percent Change | (13.70%) | 2.80% | ||||||
Operating lease expense | $ 9.7 | $ 16.9 | 42.4 | |||||
Operating Leases, Rent Expense, Percent Change | (42.60%) | (60.10%) | ||||||
Selling, engineering, and administrative expenses: | $ 51.3 | $ 49.5 | 51.1 | |||||
Selling, Engineering, and Administrative Expense, Percent Change | 3.60% | (3.10%) | ||||||
Interest expense | $ 196.2 | $ 197.2 | 142.3 | |||||
Interest Expense, Percent Change | (0.50%) | 38.60% | ||||||
Leasing and management [Member] | Railcar Leasing and Management Services Group [Member] | ||||||||
Segment Reporting, Reconciling Item for Operating Profit (Loss) from Segment to Consolidated [Line Items] | ||||||||
Revenues: | $ 747.9 | $ 756.5 | 728.9 | |||||
Total operating profit (loss) | $ 336 | $ 314.7 | $ 291.8 | |||||
Leasing and management [Member] | Operating Segments [Member] | Railcar Leasing and Management Services Group [Member] | ||||||||
Segment Reporting, Reconciling Item for Operating Profit (Loss) from Segment to Consolidated [Line Items] | ||||||||
Revenues, Percent Change | (1.10%) | 3.80% | ||||||
Operating Income (Loss), Percent Change | 6.80% | 7.80% | ||||||
Operating Profit Margin | 44.90% | 41.60% | 40.00% | |||||
Railcar Owned One Year or Less [Member] | Railcar Leasing and Management Services Group [Member] | ||||||||
Segment Reporting, Reconciling Item for Operating Profit (Loss) from Segment to Consolidated [Line Items] | ||||||||
Revenues: | $ 54.4 | [4] | $ 360.7 | [5] | $ 113.9 | |||
Total operating profit (loss) | $ 0.4 | $ 41.4 | $ 21.5 | |||||
Operating Profit Margin | 0.70% | 11.50% | 18.90% | |||||
Railcar Owned One Year or Less [Member] | Operating Segments [Member] | Railcar Leasing and Management Services Group [Member] | ||||||||
Segment Reporting, Reconciling Item for Operating Profit (Loss) from Segment to Consolidated [Line Items] | ||||||||
Revenues, Percent Change | (84.90%) | 216.70% | ||||||
Operating Income (Loss), Percent Change | (65.70%) | 0.20% | ||||||
Railcar Owned Greater than One Year [Member] | Railcar Leasing and Management Services Group [Member] | ||||||||
Segment Reporting, Reconciling Item for Operating Profit (Loss) from Segment to Consolidated [Line Items] | ||||||||
Revenues: | $ 138.7 | $ 205.7 | $ 230.5 | |||||
Total operating profit (loss) | $ 17.3 | $ 50.5 | $ 50.4 | |||||
Operating Profit Margin | 12.50% | 24.60% | 21.90% | |||||
Railcar Owned Greater than One Year [Member] | Operating Segments [Member] | Railcar Leasing and Management Services Group [Member] | ||||||||
Segment Reporting, Reconciling Item for Operating Profit (Loss) from Segment to Consolidated [Line Items] | ||||||||
Operating Income (Loss), Percent Change | (99.00%) | 92.60% | ||||||
Property Disposition Gain (Loss) [Member] | Railcar Leasing and Management Services Group [Member] | ||||||||
Segment Reporting, Reconciling Item for Operating Profit (Loss) from Segment to Consolidated [Line Items] | ||||||||
Total operating profit (loss) | $ 0 | $ 0 | $ (12.6) | [6] | ||||
[1] | Operating profit includes: depreciation; maintenance and compliance; rent; and selling, engineering, and administrative expenses. Amortization of deferred profit on railcars sold from the Rail Products Group to the Leasing Group is included in the operating profits of the Leasing Group, resulting in the recognition of depreciation expense based on our original manufacturing cost of the railcars. Interest expense is not a component of operating profit and includes the effect of hedges. | |||||||
[2] | As a result of the impairment of long-lived assets related to our small cube covered hopper railcars recorded in the second quarter of 2020, our quarterly depreciation expense beginning in the third quarter of 2020 has decreased by approximately $3.5 million, for a total reduction of $7.0 million for the year ended December 31, 2020 | |||||||
[3] | Effective January 1, 2020, we revised the estimated useful lives and salvage values of certain railcar types in our lease fleet. This change in estimate resulted in a decrease in depreciation expense in the year ended December 31, 2020 of approximately $30.8 million. This decrease was partially offset by higher depreciation associated with growth in the lease fleet. See Note 1 for further information. | |||||||
[4] | Beginning in the fourth quarter of 2020, we made a prospective change in the presentation of sales of railcars from the lease fleet. See Note 1 for more information. | |||||||
[5] | Includes revenues associated with sales-type leases of $160.5 million for the year ended December 31, 2019. | |||||||
[6] | Property disposition losses for the year ended December 31, 2018 included a non-cash charge of $12.6 million associated with our election to forego the early purchase options contained in certain lease agreements. |
Note 6. Railcar Leasing and M_5
Note 6. Railcar Leasing and Management Services Group Proceeds from Sale of Railcars (Details) - USD ($) $ in Millions | 12 Months Ended | |||||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | ||||
Property Subject to or Available for Operating Lease [Line Items] | ||||||
Sales of leased railcars: | $ 1,999.4 | $ 3,005.1 | $ 2,509.1 | |||
Operating profit on sales of leased railcars: | (124.5) | 416.3 | 315.1 | |||
Railcar Leasing and Management Services Group [Member] | ||||||
Property Subject to or Available for Operating Lease [Line Items] | ||||||
Sales of leased railcars: | 802.3 | 1,117.2 | 842.8 | |||
Operating profit on sales of leased railcars: | 353.7 | 406.6 | 351.1 | |||
Sales of Leased Railcars [Domain] | Railcar Leasing and Management Services Group [Member] | ||||||
Property Subject to or Available for Operating Lease [Line Items] | ||||||
Sales of leased railcars: | 193.1 | 566.4 | 344.4 | |||
Operating profit on sales of leased railcars: | $ 17.7 | $ 91.9 | $ 71.9 | |||
Operating profit margin on sales of leased railcars: | 9.20% | 16.20% | 20.90% | |||
Railcar Owned Greater than One Year [Member] | Railcar Leasing and Management Services Group [Member] | ||||||
Property Subject to or Available for Operating Lease [Line Items] | ||||||
Sales of leased railcars: | $ 138.7 | $ 205.7 | $ 230.5 | |||
Operating profit on sales of leased railcars: | $ 17.3 | $ 50.5 | $ 50.4 | |||
Operating profit margin on sales of leased railcars: | 12.50% | 24.60% | 21.90% | |||
Railcar Owned One Year or Less [Member] | Railcar Leasing and Management Services Group [Member] | ||||||
Property Subject to or Available for Operating Lease [Line Items] | ||||||
Sales of leased railcars: | $ 54.4 | [1] | $ 360.7 | [2] | $ 113.9 | |
Operating profit on sales of leased railcars: | $ 0.4 | $ 41.4 | $ 21.5 | |||
Operating profit margin on sales of leased railcars: | 0.70% | 11.50% | 18.90% | |||
Operating Segments [Member] | ||||||
Property Subject to or Available for Operating Lease [Line Items] | ||||||
Operating profit on sales of leased railcars: | $ 418.2 | $ 704.1 | $ 558.9 | |||
Operating Segments [Member] | Railcar Leasing and Management Services Group [Member] | ||||||
Property Subject to or Available for Operating Lease [Line Items] | ||||||
Sales of leased railcars: | 802.3 | 1,117.2 | 842.8 | |||
Operating profit on sales of leased railcars: | [3] | $ 353.7 | $ 406.6 | $ 351.1 | ||
Operating profit margin on sales of leased railcars: | 44.10% | 36.40% | 41.70% | |||
[1] | Beginning in the fourth quarter of 2020, we made a prospective change in the presentation of sales of railcars from the lease fleet. See Note 1 for more information. | |||||
[2] | Includes revenues associated with sales-type leases of $160.5 million for the year ended December 31, 2019. | |||||
[3] | Operating profit includes: depreciation; maintenance and compliance; rent; and selling, engineering, and administrative expenses. Amortization of deferred profit on railcars sold from the Rail Products Group to the Leasing Group is included in the operating profits of the Leasing Group, resulting in the recognition of depreciation expense based on our original manufacturing cost of the railcars. Interest expense is not a component of operating profit and includes the effect of hedges. |
Note 6. Railcar Leasing and M_6
Note 6. Railcar Leasing and Management Services Group Operating Leases (Details) - Railcar Leasing and Management Services Group [Member] $ in Millions | Dec. 31, 2020USD ($) | |
Lessor, Lease, Description [Line Items] | ||
2021 | $ 555.4 | [1] |
2021 | 436.2 | [1] |
2023 | 323.9 | [1] |
2024 | 238.6 | [1] |
2025 | 161.1 | [1] |
Thereafter | 290.6 | [1] |
Total | 2,005.8 | [1] |
Railroad Transportation Equipment [Member] | ||
Lessor, Lease, Description [Line Items] | ||
2021 | 550.4 | |
2021 | 432.8 | |
2023 | 322.3 | |
2024 | 237.9 | |
2025 | 160.9 | |
Thereafter | 290.6 | |
Total | $ 1,994.9 | |
Minimum [Member] | ||
Lessor, Lease, Description [Line Items] | ||
Lessor, Operating Lease, Term of Contract | 1 year | |
Maximum [Member] | ||
Lessor, Lease, Description [Line Items] | ||
Lessor, Operating Lease, Term of Contract | 10 years | |
[1] | Total contractual minimum rental revenues on operating leases relates to our wholly-owned and partially-owned subsidiaries and sub-lease rental revenues associated with the Leasing Group's operating lease obligations. |
Note 6. Railcar Leasing and M_7
Note 6. Railcar Leasing and Management Services Group Leasing Debt (Details) - Railcar Leasing and Management Services Group [Member] $ in Millions | Dec. 31, 2020USD ($) |
Wholly Owned Subsidiaries [Member] | |
Lessor, Lease, Description [Line Items] | |
Net Book Value of Unpledged Equipment | $ 1,364.4 |
Wholly Owned Subsidiaries [Member] | Secured Debt [Member] | |
Lessor, Lease, Description [Line Items] | |
Debt Instrument, Collateral Amount | 4,418.5 |
Partially-Owned Subsidiaries [Member] | Secured Debt [Member] | TRIP Master Funding Secured Railcar Equipment Notes [Member] | |
Lessor, Lease, Description [Line Items] | |
Debt Instrument, Collateral Amount | 1,149.9 |
Partially-Owned Subsidiaries [Member] | Secured Debt [Member] | TRL 2012 Secured Railcar Equipment Notes - RIV 2013 [Member] | |
Lessor, Lease, Description [Line Items] | |
Debt Instrument, Collateral Amount | $ 476.4 |
Note 6. Railcar Leasing and M_8
Note 6. Railcar Leasing and Management Services Group Other Operating Lease Obligations and Revenues (Details) $ in Millions | Dec. 31, 2020USD ($) |
Sale Leaseback Transaction [Line Items] | |
Lessee, Operating Lease, Liability, to be Paid | $ 120.2 |
Railcar Leasing and Management Services Group [Member] | |
Sale Leaseback Transaction [Line Items] | |
Minimum Lease Payments, Sale Leaseback Transactions, Next Twelve Months | 8.2 |
Minimum Lease Payments, Sale Leaseback Transactions, within Two Years | 7.5 |
Minimum Lease Payments, Sale Leaseback Transactions, within Three Years | 5.7 |
Minimum Lease Payments, Sale Leaseback Transactions, within Four Years | 2.5 |
Minimum Lease Payments, Sale Leaseback Transactions, within Five Years | 0.6 |
Minimum Lease Payments, Sale Leaseback Transactions, Thereafter | 0.3 |
Minimum Lease Payments, Sale Leaseback Transactions | 24.8 |
Lessee, Operating Lease, Liability, to be Paid | 26.8 |
Railcar Leasing and Management Services Group [Member] | Property Lease Guarantee [Member] | |
Sale Leaseback Transaction [Line Items] | |
Guarantor Obligations, Maximum Exposure, Undiscounted | 2 |
Other Third Parties [Member] | Railcar Leasing and Management Services Group [Member] | |
Sale Leaseback Transaction [Line Items] | |
Future Minimum Sublease Rentals, Sale Leaseback Transactions, Next Twelve Months | 5 |
Future Minimum Sublease Rentals, Sale Leaseback Transactions, within Two Years | 3.4 |
Future Minimum Sublease Rentals, Sale Leaseback Transactions, within Three Years | 1.6 |
Future Minimum Sublease Rentals, Sale Leaseback Transactions, within Four Years | 0.7 |
Future Minimum Sublease Rentals, Sale Leaseback Transactions, within Five Years | 0.2 |
Future Minimum Sublease Rentals, Sale Leaseback Transactions, Thereafter | 0 |
Future Minimum Sublease Rentals, Sale Leaseback Transactions | 10.9 |
Building [Member] | Railcar Leasing and Management Services Group [Member] | |
Sale Leaseback Transaction [Line Items] | |
Lessee, Operating Lease, Liability, to be Paid | $ 2 |
Note 7. Property, Plant, and _3
Note 7. Property, Plant, and Equipment Property, Plant, and Equipment (Details) - USD ($) $ in Millions | Dec. 31, 2020 | Dec. 31, 2019 | |
Property, Plant and Equipment [Line Items] | |||
Property, plant, and equipment, at cost, including partially-owned subsidiaries of $1,931.6 and $2,065.3 | $ 9,193 | $ 9,272.5 | |
Less accumulated depreciation, including partially-owned subsidiaries of $525.7 and $527.7 | 2,189.6 | 2,161.9 | |
Property, Plant and Equipment, Net | 7,003.4 | 7,110.6 | |
Manufacturing Facility, Non-Operating [Member] | |||
Property, Plant and Equipment [Line Items] | |||
Property, Plant and Equipment, Net | 12.4 | ||
Intersegment Eliminations [Member] | |||
Property, Plant and Equipment [Line Items] | |||
Property, plant, and equipment, at cost, including partially-owned subsidiaries of $1,931.6 and $2,065.3 | (1,064.7) | (1,135.8) | |
NegativeAccumulatedDepreciationDepletionAndAmortizationPropertyPlantAndEquipment | 244.4 | 232 | |
Property, Plant and Equipment, Net | (820.3) | (903.8) | |
Railcar Leasing and Management Services Group [Member] | Operating Segments [Member] | |||
Property, Plant and Equipment [Line Items] | |||
Property, Plant and Equipment, Net | 7,422.2 | [1] | 7,605.6 |
Manufacturing and Corporate [Member] | |||
Property, Plant and Equipment [Line Items] | |||
Property, plant, and equipment, at cost, including partially-owned subsidiaries of $1,931.6 and $2,065.3 | 979.4 | 1,040.4 | |
Less accumulated depreciation, including partially-owned subsidiaries of $525.7 and $527.7 | 577.9 | 631.6 | |
Property, Plant and Equipment, Net | 401.5 | 408.8 | |
Manufacturing and Corporate [Member] | Land [Member] | |||
Property, Plant and Equipment [Line Items] | |||
Property, plant, and equipment, at cost, including partially-owned subsidiaries of $1,931.6 and $2,065.3 | 23.2 | 28.4 | |
Manufacturing and Corporate [Member] | Building and Building Improvements [Member] | |||
Property, Plant and Equipment [Line Items] | |||
Property, plant, and equipment, at cost, including partially-owned subsidiaries of $1,931.6 and $2,065.3 | 428.6 | 402.2 | |
Manufacturing and Corporate [Member] | Machinery and Equipment [Member] | |||
Property, Plant and Equipment [Line Items] | |||
Property, plant, and equipment, at cost, including partially-owned subsidiaries of $1,931.6 and $2,065.3 | 485.1 | 546.7 | |
Manufacturing and Corporate [Member] | Construction in Progress [Member] | |||
Property, Plant and Equipment [Line Items] | |||
Property, plant, and equipment, at cost, including partially-owned subsidiaries of $1,931.6 and $2,065.3 | 42.5 | 63.1 | |
Wholly Owned Subsidiaries [Member] | Railcar Leasing and Management Services Group [Member] | Operating Segments [Member] | |||
Property, Plant and Equipment [Line Items] | |||
Property, plant, and equipment, at cost, including partially-owned subsidiaries of $1,931.6 and $2,065.3 | 7,030.1 | 6,957.9 | |
Less accumulated depreciation, including partially-owned subsidiaries of $525.7 and $527.7 | 1,234.2 | 1,139 | |
Property, Plant and Equipment, Net | 5,795.9 | [1] | 5,818.9 |
Wholly Owned Subsidiaries [Member] | Railcar Leasing and Management Services Group [Member] | Operating Segments [Member] | Machinery and Equipment [Member] | |||
Property, Plant and Equipment [Line Items] | |||
Property, plant, and equipment, at cost, including partially-owned subsidiaries of $1,931.6 and $2,065.3 | 19.5 | 13.7 | |
Wholly Owned Subsidiaries [Member] | Railcar Leasing and Management Services Group [Member] | Operating Segments [Member] | Railcars on Lease [Member] | |||
Property, Plant and Equipment [Line Items] | |||
Property, plant, and equipment, at cost, including partially-owned subsidiaries of $1,931.6 and $2,065.3 | 7,010.6 | 6,944.2 | |
Partially-Owned Subsidiaries [Member] | |||
Property, Plant and Equipment [Line Items] | |||
Property, plant, and equipment, at cost, including partially-owned subsidiaries of $1,931.6 and $2,065.3 | 1,931.6 | 2,065.3 | |
Less accumulated depreciation, including partially-owned subsidiaries of $525.7 and $527.7 | 525.7 | 527.7 | |
Partially-Owned Subsidiaries [Member] | Railcar Leasing and Management Services Group [Member] | Operating Segments [Member] | |||
Property, Plant and Equipment [Line Items] | |||
Property, Plant and Equipment, Net | 1,626.3 | [1] | 1,786.7 |
Partially-Owned Subsidiaries [Member] | Railcar Leasing and Management Services Group [Member] | Operating Segments [Member] | Railcars on Lease [Member] | |||
Property, Plant and Equipment [Line Items] | |||
Property, plant, and equipment, at cost, including partially-owned subsidiaries of $1,931.6 and $2,065.3 | 2,248.2 | 2,410 | |
Less accumulated depreciation, including partially-owned subsidiaries of $525.7 and $527.7 | $ 621.9 | $ 623.3 | |
[1] | See Note 11 for further information regarding impairment of long-lived assets recorded in the year ended December 31, 2020 |
Note 8. Debt Components and Fai
Note 8. Debt Components and Fair Value of Debt (Details) - USD ($) $ in Millions | Dec. 31, 2020 | Dec. 31, 2019 |
Debt Instrument [Line Items] | ||
Debt and Lease Obligation | $ 448.2 | $ 522.8 |
Non-Recourse Debt | 4,568.8 | 4,359.1 |
Debt: | 5,017 | 4,881.9 |
Long-term Debt, Fair Value | 5,254.8 | 5,064.6 |
Corporate Segment [Member] | ||
Debt Instrument [Line Items] | ||
Long-term Debt, Net of Unamortized Discount, Gross of Unamortized Debt Issuance Costs | 449.8 | 524.8 |
Unamortized Debt Issuance Expense | 1.6 | 2 |
Long-term Debt, Fair Value | 470.3 | 536.7 |
Wholly Owned Subsidiaries [Member] | ||
Debt Instrument [Line Items] | ||
Non-Recourse Debt | 3,340.5 | 3,080.7 |
Wholly Owned Subsidiaries [Member] | Railcar Leasing and Management Services Group [Member] | ||
Debt Instrument [Line Items] | ||
Unamortized Debt Issuance Expense | 24 | 23.9 |
Non-Recourse Debt, Gross of Issuance Cost, Net of Discount | 3,364.5 | 3,104.6 |
Non-Recourse Debt | 3,340.5 | 3,080.7 |
Long-term Debt, Fair Value | 3,450.9 | 3,169.5 |
Partially-Owned Subsidiaries [Member] | ||
Debt Instrument [Line Items] | ||
Non-Recourse Debt | 1,228.3 | 1,278.4 |
Partially-Owned Subsidiaries [Member] | Railcar Leasing and Management Services Group [Member] | ||
Debt Instrument [Line Items] | ||
Unamortized Debt Issuance Expense | 9.2 | 10.9 |
Non-Recourse Debt, Gross | 1,237.5 | 1,289.3 |
Non-Recourse Debt | 1,228.3 | 1,278.4 |
Long-term Debt, Fair Value | 1,333.6 | 1,358.4 |
2006 Secured Railcar Equipment Notes [Member] | Wholly Owned Subsidiaries [Member] | Railcar Leasing and Management Services Group [Member] | ||
Debt Instrument [Line Items] | ||
Non-Recourse Debt, Gross | 0 | 109.3 |
Long-term Debt, Fair Value | 0 | 114 |
2009 Secured Railcar Equipment Notes [Member] | Wholly Owned Subsidiaries [Member] | Railcar Leasing and Management Services Group [Member] | ||
Debt Instrument [Line Items] | ||
Non-Recourse Debt, Gross | 142.3 | 147.8 |
Long-term Debt, Fair Value | 170 | 168.7 |
2010 Secured Railcar Equipment Notes [Member] | Wholly Owned Subsidiaries [Member] | Railcar Leasing and Management Services Group [Member] | ||
Debt Instrument [Line Items] | ||
Non-Recourse Debt, Gross | 235.9 | 248.5 |
Long-term Debt, Fair Value | 248.5 | 264.3 |
2018 Secured Railcar Equipment Notes [Domain] | Wholly Owned Subsidiaries [Member] | Railcar Leasing and Management Services Group [Member] | ||
Debt Instrument [Line Items] | ||
Non-Recourse Debt, Gross of Issuance Cost, Net of Discount | 434.7 | 452.1 |
Debt Instrument, Unamortized Discount | 0.2 | 0.2 |
Long-term Debt, Fair Value | 449.3 | 466.2 |
TRIHC 2018 Secured Railcar Equipment Notes [Member] | Wholly Owned Subsidiaries [Member] | Railcar Leasing and Management Services Group [Member] | ||
Debt Instrument [Line Items] | ||
Non-Recourse Debt, Gross of Issuance Cost, Net of Discount | 0 | 265.4 |
Debt Instrument, Unamortized Discount | 0 | 1.4 |
Long-term Debt, Fair Value | 0 | 270.9 |
2019 Secured Railcar Equipment Notes [Domain] [Domain] | Wholly Owned Subsidiaries [Member] | Railcar Leasing and Management Services Group [Member] | ||
Debt Instrument [Line Items] | ||
Non-Recourse Debt, Gross of Issuance Cost, Net of Discount | 860.5 | 901 |
Debt Instrument, Unamortized Discount | 0.3 | 0.4 |
Long-term Debt, Fair Value | 890.8 | 904.9 |
TRL 2012 Secured Railcar Equipment Notes - RIV 2013 [Member] | Partially-Owned Subsidiaries [Member] | Railcar Leasing and Management Services Group [Member] | ||
Debt Instrument [Line Items] | ||
Non-Recourse Debt, Gross | 352.5 | 371.4 |
Long-term Debt, Fair Value | 373.9 | 374.4 |
TRIP Master Funding Secured Railcar Equipment Notes [Member] | Partially-Owned Subsidiaries [Member] | Railcar Leasing and Management Services Group [Member] | ||
Debt Instrument [Line Items] | ||
Non-Recourse Debt, Gross | 885 | 917.9 |
Long-term Debt, Fair Value | 959.7 | 984 |
2020 Secured Railcar Equipment Notes [Domain] | Wholly Owned Subsidiaries [Member] | Railcar Leasing and Management Services Group [Member] | ||
Debt Instrument [Line Items] | ||
Non-Recourse Debt, Gross of Issuance Cost, Net of Discount | 369 | 0 |
Debt Instrument, Unamortized Discount | 0.1 | 0 |
Long-term Debt, Fair Value | 370.2 | 0 |
Senior Notes [Member] | Corporate Segment [Member] | ||
Debt Instrument [Line Items] | ||
Long-term Debt, Net of Unamortized Discount, Gross of Unamortized Debt Issuance Costs | 399.8 | 399.8 |
Debt Instrument, Unamortized Discount | 0.2 | 0.2 |
Long-term Debt, Fair Value | 420.3 | 411.7 |
Promissory Notes [Member] | 2017 Secured Railcar Equipment Notes [Member] [Domain] | Wholly Owned Subsidiaries [Member] | Railcar Leasing and Management Services Group [Member] | ||
Debt Instrument [Line Items] | ||
Non-Recourse Debt, Gross of Issuance Cost, Net of Discount | 802.7 | 627.1 |
Debt Instrument, Unamortized Discount | 10.1 | 0 |
Long-term Debt, Fair Value | 802.7 | 627.1 |
Secured Debt [Member] | 2019 Secured Railcar Equipment Notes [Domain] [Domain] | Wholly Owned Subsidiaries [Member] | ||
Debt Instrument [Line Items] | ||
Non-Recourse Debt, Gross | 491.1 | |
Revolving Credit Facility [Member] | Line of Credit [Member] | Corporate Segment [Member] | ||
Debt Instrument [Line Items] | ||
Long-term Debt, Net of Unamortized Discount, Gross of Unamortized Debt Issuance Costs | 50 | 125 |
Long-term Debt, Fair Value | 50 | 125 |
Revolving Credit Facility [Member] | Line of Credit [Member] | TILC Warehouse Facility [Member] | TILC [Member] | Railcar Leasing and Management Services Group [Member] | ||
Debt Instrument [Line Items] | ||
Long-term Line of Credit | 519.4 | 353.4 |
Long-term Debt, Fair Value | $ 519.4 | $ 353.4 |
Note 8. Debt (Details)
Note 8. Debt (Details) $ in Millions | 12 Months Ended | |||
Dec. 31, 2020USD ($)Railcar | Dec. 31, 2019USD ($) | Dec. 31, 2018USD ($) | Dec. 31, 2017USD ($) | |
Debt Instrument [Line Items] | ||||
Loss on early extinguishment of debt | $ 5 | $ 0 | $ 0 | |
Debt assumed in railcar purchase from unrelated seller | 0 | 0 | 283.9 | |
Corporate Segment [Member] | ||||
Debt Instrument [Line Items] | ||||
Long-term Debt, Net of Unamortized Discount, Gross of Unamortized Debt Issuance Costs | 449.8 | 524.8 | ||
Corporate Segment [Member] | Senior Notes [Member] | ||||
Debt Instrument [Line Items] | ||||
Long-term Debt, Net of Unamortized Discount, Gross of Unamortized Debt Issuance Costs | $ 399.8 | 399.8 | ||
Corporate Segment [Member] | Senior Notes [Member] | 4.55% Senior Notes Due October 2024 [Member] | ||||
Debt Instrument [Line Items] | ||||
Debt Instrument, Interest Rate, Stated Percentage | 4.55% | |||
Debt Instrument, Face Amount | $ 400 | |||
Revolving Credit Facility [Member] | Corporate Segment [Member] | Line of Credit [Member] | ||||
Debt Instrument [Line Items] | ||||
Line of Credit Facility, Current Borrowing Capacity | 450 | |||
Proceeds from Lines of Credit | 545 | |||
Repayments of Lines of Credit | 620 | |||
Long-term Debt, Net of Unamortized Discount, Gross of Unamortized Debt Issuance Costs | 50 | 125 | ||
Line of Credit Facility, Maximum Borrowing Capacity | $ 364.8 | |||
Debt Instrument, Interest Rate, Effective Percentage | 1.75% | |||
Line of Credit Facility, Interest Rate at Period End | 0.25% | |||
Revolving Credit Facility [Member] | Corporate Segment [Member] | Line of Credit [Member] | Minimum [Member] | ||||
Debt Instrument [Line Items] | ||||
Debt Instrument, Interest Rate, Effective Percentage | 0.30% | |||
Line of Credit Facility, Interest Rate at Period End | 0.175% | |||
Revolving Credit Facility [Member] | Corporate Segment [Member] | Line of Credit [Member] | Maximum [Member] | ||||
Debt Instrument [Line Items] | ||||
Line of Credit Facility, Interest Rate at Period End | 0.40% | |||
Letter of Credit [Member] | Corporate Segment [Member] | Line of Credit [Member] | ||||
Debt Instrument [Line Items] | ||||
Letters of Credit Outstanding, Amount | $ 35.2 | |||
Partially-Owned Subsidiaries [Member] | Railcar Leasing and Management Services Group [Member] | ||||
Debt Instrument [Line Items] | ||||
Noncontrolling Interest, Ownership Percentage by Parent | 38.00% | |||
Wholly Owned Subsidiaries [Member] | Secured Debt [Member] | 2006 Secured Railcar Equipment Notes [Member] | ||||
Debt Instrument [Line Items] | ||||
Debt Instrument, Interest Rate, Stated Percentage | 5.90% | |||
Debt Instrument, Face Amount | $ 355 | |||
Wholly Owned Subsidiaries [Member] | Secured Debt [Member] | 2009 Secured Railcar Equipment Notes [Member] | ||||
Debt Instrument [Line Items] | ||||
Debt Instrument, Interest Rate, Stated Percentage | 6.66% | |||
Debt Instrument, Face Amount | $ 238.3 | |||
Wholly Owned Subsidiaries [Member] | Secured Debt [Member] | 2010 Secured Railcar Equipment Notes [Member] | ||||
Debt Instrument [Line Items] | ||||
Debt Instrument, Interest Rate, Stated Percentage | 5.19% | |||
Debt Instrument, Face Amount | $ 369.2 | |||
Wholly Owned Subsidiaries [Member] | Secured Debt [Member] | TILC Warehouse Facility [Member] | ||||
Debt Instrument [Line Items] | ||||
Repayments of Lines of Credit | 22.1 | |||
Wholly Owned Subsidiaries [Member] | Secured Debt [Member] | TRIHC 2018 Secured Railcar Equipment Notes [Member] | ||||
Debt Instrument [Line Items] | ||||
Business Combination, Consideration Transferred, Equity Interests Issued and Issuable | $ 75.4 | |||
Railcars Acquired | Railcar | 4,150 | |||
Debt assumed in railcar purchase from unrelated seller | $ 283.9 | |||
Wholly Owned Subsidiaries [Member] | Secured Debt [Member] | 2017 Secured Railcar Equipment Notes [Member] [Domain] | ||||
Debt Instrument [Line Items] | ||||
Debt Instrument, Interest Rate, Effective Percentage | 1.69% | |||
Debt Instrument, Face Amount | $ 225 | $ 663 | $ 302.4 | |
Wholly Owned Subsidiaries [Member] | Secured Debt [Member] | 2018 Secured Railcar Equipment Notes [Domain] | ||||
Debt Instrument [Line Items] | ||||
Debt Instrument, Face Amount | $ 482.5 | |||
Wholly Owned Subsidiaries [Member] | Secured Debt [Member] | 2018 Class A-1 Secured Railcar Equipment Notes [Member] | ||||
Debt Instrument [Line Items] | ||||
Debt Instrument, Interest Rate, Stated Percentage | 3.82% | |||
Debt Instrument, Face Amount | $ 200 | |||
Wholly Owned Subsidiaries [Member] | Secured Debt [Member] | 2018 Class A-2 Secured Railcar Equipment Notes [Member] | ||||
Debt Instrument [Line Items] | ||||
Debt Instrument, Interest Rate, Stated Percentage | 4.62% | |||
Debt Instrument, Face Amount | $ 282.5 | |||
Non-Recourse Debt, Gross | $ 282.5 | |||
Wholly Owned Subsidiaries [Member] | Secured Debt [Member] | 2018 Class A 2020-1 Secured Railcar Equipment Notes [Domain] | ||||
Debt Instrument [Line Items] | ||||
Debt Instrument, Interest Rate, Stated Percentage | 1.96% | |||
Debt Instrument, Face Amount | $ 155.5 | |||
Non-Recourse Debt, Gross | 152.4 | |||
Wholly Owned Subsidiaries [Member] | Secured Debt [Member] | Trinity Rail Leasing 2019 [Domain] | ||||
Debt Instrument [Line Items] | ||||
Debt Instrument, Face Amount | $ 386.5 | |||
Wholly Owned Subsidiaries [Member] | Secured Debt [Member] | 2019 Secured Railcar Equipment Notes [Domain] [Domain] | ||||
Debt Instrument [Line Items] | ||||
Debt Instrument, Interest Rate, Stated Percentage | 3.82% | |||
Debt Instrument, Face Amount | $ 528.3 | |||
Non-Recourse Debt, Gross | $ 491.1 | |||
Wholly Owned Subsidiaries [Member] | Secured Debt [Member] | 2019 Secured Railcar Equipment Notes Class A1 Notes [Domain] | ||||
Debt Instrument [Line Items] | ||||
Debt Instrument, Interest Rate, Stated Percentage | 2.39% | |||
Debt Instrument, Face Amount | $ 106.9 | |||
Non-Recourse Debt, Gross | $ 90.1 | |||
Wholly Owned Subsidiaries [Member] | Secured Debt [Member] | 2019 Secured Railcar Equipment Notes Class A2 Notes [Domain] | ||||
Debt Instrument [Line Items] | ||||
Debt Instrument, Interest Rate, Stated Percentage | 3.10% | |||
Debt Instrument, Face Amount | $ 279.6 | |||
Non-Recourse Debt, Gross | $ 279.6 | |||
Wholly Owned Subsidiaries [Member] | Secured Debt [Member] | 2020 Secured Railcar Equipment Notes Class A1 Notes [Domain] | ||||
Debt Instrument [Line Items] | ||||
Debt Instrument, Interest Rate, Stated Percentage | 1.83% | |||
Debt Instrument, Face Amount | $ 110 | |||
Non-Recourse Debt, Gross | $ 108.3 | |||
Wholly Owned Subsidiaries [Member] | Secured Debt [Member] | 2020 Secured Railcar Equipment Notes Class A2 Notes [Domain] | ||||
Debt Instrument [Line Items] | ||||
Debt Instrument, Interest Rate, Stated Percentage | 2.56% | |||
Debt Instrument, Face Amount | $ 240.3 | |||
Non-Recourse Debt, Gross | $ 240.3 | |||
Wholly Owned Subsidiaries [Member] | Secured Debt [Member] | 2020 Secured Railcar Equipment Notes Class B Notes [Domain] | ||||
Debt Instrument [Line Items] | ||||
Debt Instrument, Interest Rate, Stated Percentage | 3.69% | |||
Debt Instrument, Face Amount | $ 20.5 | |||
Non-Recourse Debt, Gross | 20.5 | |||
Wholly Owned Subsidiaries [Member] | Railcar Leasing and Management Services Group [Member] | ||||
Debt Instrument [Line Items] | ||||
Non-Recourse Debt, Gross of Issuance Cost, Net of Discount | 3,364.5 | 3,104.6 | ||
Wholly Owned Subsidiaries [Member] | Railcar Leasing and Management Services Group [Member] | 2006 Secured Railcar Equipment Notes [Member] | ||||
Debt Instrument [Line Items] | ||||
Extinguishment of Debt, Amount | 104.7 | |||
Non-Recourse Debt, Gross | 0 | 109.3 | ||
Loss on early extinguishment of debt | 5 | |||
Redemption Premium | 4.7 | |||
Amortization of Debt Issuance Costs | 0.3 | |||
Wholly Owned Subsidiaries [Member] | Railcar Leasing and Management Services Group [Member] | 2009 Secured Railcar Equipment Notes [Member] | ||||
Debt Instrument [Line Items] | ||||
Non-Recourse Debt, Gross | 142.3 | 147.8 | ||
Wholly Owned Subsidiaries [Member] | Railcar Leasing and Management Services Group [Member] | 2010 Secured Railcar Equipment Notes [Member] | ||||
Debt Instrument [Line Items] | ||||
Non-Recourse Debt, Gross | 235.9 | 248.5 | ||
Wholly Owned Subsidiaries [Member] | Railcar Leasing and Management Services Group [Member] | TRIHC 2018 Secured Railcar Equipment Notes [Member] | ||||
Debt Instrument [Line Items] | ||||
Extinguishment of Debt, Amount | 258.6 | |||
Non-Recourse Debt, Gross of Issuance Cost, Net of Discount | 0 | 265.4 | ||
Wholly Owned Subsidiaries [Member] | Railcar Leasing and Management Services Group [Member] | 2018 Secured Railcar Equipment Notes [Domain] | ||||
Debt Instrument [Line Items] | ||||
Non-Recourse Debt, Gross of Issuance Cost, Net of Discount | 434.7 | 452.1 | ||
Wholly Owned Subsidiaries [Member] | Railcar Leasing and Management Services Group [Member] | 2018 Class A-1 Secured Railcar Equipment Notes [Member] | ||||
Debt Instrument [Line Items] | ||||
Extinguishment of Debt, Amount | 153.1 | |||
Wholly Owned Subsidiaries [Member] | Railcar Leasing and Management Services Group [Member] | 2019 Secured Railcar Equipment Notes [Domain] [Domain] | ||||
Debt Instrument [Line Items] | ||||
Non-Recourse Debt, Gross of Issuance Cost, Net of Discount | $ 860.5 | 901 | ||
Wholly Owned Subsidiaries [Member] | Railcar Leasing and Management Services Group [Member] | Promissory Notes [Member] | 2017 Secured Railcar Equipment Notes [Member] [Domain] | ||||
Debt Instrument [Line Items] | ||||
Debt Instrument, Interest Rate, Effective Percentage | 1.50% | |||
Non-Recourse Debt, Gross of Issuance Cost, Net of Discount | $ 802.7 | 627.1 | ||
Repayments of Long-term Lines of Credit | $ 48.3 | |||
TILC [Member] | Revolving Credit Facility [Member] | Railcar Leasing and Management Services Group [Member] | Line of Credit [Member] | TILC Warehouse Facility [Member] | ||||
Debt Instrument [Line Items] | ||||
Debt Instrument, Interest Rate, Effective Percentage | 1.76% | |||
Debt Instrument, Face Amount | $ 750 | |||
Long-term Line of Credit | 519.4 | 353.4 | ||
Borrowings on Warehouse Loan Facility | 283.6 | |||
Repayments on Warehouse Loan Facility | 117.6 | |||
Line of Credit Facility, Remaining Borrowing Capacity | $ 230.6 | |||
Partially-Owned Subsidiaries [Member] | Secured Debt [Member] | TRIP Master Funding Class A-1a Notes [Member] | ||||
Debt Instrument [Line Items] | ||||
Debt Instrument, Interest Rate, Stated Percentage | 4.37% | |||
Partially-Owned Subsidiaries [Member] | Secured Debt [Member] | TRIP Master Funding Class A-1b Notes [Member] | ||||
Debt Instrument [Line Items] | ||||
Debt Instrument, Interest Rate, Stated Percentage | 2.50% | |||
Partially-Owned Subsidiaries [Member] | Secured Debt [Member] | TRIP Master Funding Class A-2 Notes [Member] | ||||
Debt Instrument [Line Items] | ||||
Debt Instrument, Interest Rate, Stated Percentage | 6.02% | |||
Non-Recourse Debt, Gross | $ 508.8 | |||
Partially-Owned Subsidiaries [Member] | Secured Debt [Member] | TRIP Master Funding Series 2014 Notes [Member] | ||||
Debt Instrument [Line Items] | ||||
Debt Instrument, Face Amount | $ 335.7 | |||
Partially-Owned Subsidiaries [Member] | Secured Debt [Member] | TRIP Master Funding Series 2014 Class A-1 Notes [Member] | ||||
Debt Instrument [Line Items] | ||||
Debt Instrument, Interest Rate, Stated Percentage | 2.86% | |||
Partially-Owned Subsidiaries [Member] | Secured Debt [Member] | TRIP Master Funding Series 2014 Class A-2 Notes [Member] | ||||
Debt Instrument [Line Items] | ||||
Debt Instrument, Interest Rate, Stated Percentage | 4.09% | |||
Non-Recourse Debt, Gross | $ 220.7 | |||
Partially-Owned Subsidiaries [Member] | Secured Debt [Member] | TRIP Master Funding Series 2017-1 Notes [Member] | ||||
Debt Instrument [Line Items] | ||||
Debt Instrument, Face Amount | $ 237.9 | |||
Partially-Owned Subsidiaries [Member] | Secured Debt [Member] | TRIP Master Funding Series 2017-1 Class A-1 Notes [Member] | ||||
Debt Instrument [Line Items] | ||||
Debt Instrument, Interest Rate, Stated Percentage | 2.71% | |||
Non-Recourse Debt, Gross | $ 20.6 | |||
Partially-Owned Subsidiaries [Member] | Secured Debt [Member] | TRIP Master Funding Series 2017-1 Class A-2 Notes [Member] | ||||
Debt Instrument [Line Items] | ||||
Debt Instrument, Interest Rate, Stated Percentage | 3.74% | |||
Non-Recourse Debt, Gross | $ 134.9 | |||
Partially-Owned Subsidiaries [Member] | Secured Debt [Member] | TRL 2012 Secured Railcar Equipment Notes - RIV 2013 [Member] | ||||
Debt Instrument [Line Items] | ||||
Debt Instrument, Interest Rate, Stated Percentage | 2.27% | |||
Debt Instrument, Face Amount | $ 145.4 | |||
Non-Recourse Debt, Gross | $ 25.9 | |||
Partially-Owned Subsidiaries [Member] | Secured Debt [Member] | TRL 2012 Series 2012-1 Class A-2 Notes [Member] | ||||
Debt Instrument [Line Items] | ||||
Debt Instrument, Interest Rate, Stated Percentage | 3.53% | |||
Debt Instrument, Face Amount | $ 188.4 | |||
Non-Recourse Debt, Gross | $ 188.4 | |||
Partially-Owned Subsidiaries [Member] | Secured Debt [Member] | TRL 2012 Series 2013-1 Notes [Member] | ||||
Debt Instrument [Line Items] | ||||
Debt Instrument, Interest Rate, Stated Percentage | 3.90% | |||
Debt Instrument, Face Amount | $ 183.4 | |||
Non-Recourse Debt, Gross | 138.2 | |||
Partially-Owned Subsidiaries [Member] | Railcar Leasing and Management Services Group [Member] | ||||
Debt Instrument [Line Items] | ||||
Non-Recourse Debt, Gross | $ 1,237.5 | $ 1,289.3 |
Note 8. Debt Remaining Debt Pri
Note 8. Debt Remaining Debt Principal Payments (Details) $ in Millions | Dec. 31, 2020USD ($) |
Debt Instrument [Line Items] | |
Long-term Debt, Maturities, Repayments of Principal in Next Twelve Months | $ 234.4 |
Long-term Debt and Capital Lease Obligations, Maturities, Repayments of Principal in Year Two | 717.5 |
Long-term Debt and Capital Lease Obligations, Maturities, Repayments of Principal in Year Three | 260.5 |
Long-term Debt and Capital Lease Obligations, Maturities, Repayments of Principal in Year Four | 767.9 |
Long-term Debt and Capital Lease Obligations, Maturities, Repayments of Principal in Year Five | 838.7 |
Long-term Debt and Capital Lease Obligations, Maturities, Repayments of Principal after Year Five | 2,243.7 |
Long-term Debt, Gross | 5,062.7 |
Corporate Segment [Member] | |
Debt Instrument [Line Items] | |
Long-term Debt, Maturities, Repayments of Principal in Next Twelve Months | 0 |
Long-term Debt and Capital Lease Obligations, Maturities, Repayments of Principal in Year Two | 0 |
Long-term Debt and Capital Lease Obligations, Maturities, Repayments of Principal in Year Three | 50 |
Long-term Debt and Capital Lease Obligations, Maturities, Repayments of Principal in Year Four | 400 |
Long-term Debt and Capital Lease Obligations, Maturities, Repayments of Principal in Year Five | 0 |
Long-term Debt and Capital Lease Obligations, Maturities, Repayments of Principal after Year Five | 0 |
Long-term Debt, Gross | 450 |
Secured Debt [Member] | 2009 Secured Railcar Equipment Notes [Member] | Railcar Leasing and Management Services Group [Member] | |
Debt Instrument [Line Items] | |
Long-term Debt, Maturities, Repayments of Principal in Next Twelve Months | 14.5 |
Long-term Debt and Capital Lease Obligations, Maturities, Repayments of Principal in Year Two | 14 |
Long-term Debt and Capital Lease Obligations, Maturities, Repayments of Principal in Year Three | 11.8 |
Long-term Debt and Capital Lease Obligations, Maturities, Repayments of Principal in Year Four | 14.5 |
Long-term Debt and Capital Lease Obligations, Maturities, Repayments of Principal in Year Five | 19.9 |
Long-term Debt and Capital Lease Obligations, Maturities, Repayments of Principal after Year Five | 67.6 |
Long-term Debt, Gross | 142.3 |
Secured Debt [Member] | 2010 Secured Railcar Equipment Notes [Member] | Railcar Leasing and Management Services Group [Member] | |
Debt Instrument [Line Items] | |
Long-term Debt, Maturities, Repayments of Principal in Next Twelve Months | 22.8 |
Long-term Debt and Capital Lease Obligations, Maturities, Repayments of Principal in Year Two | 20.8 |
Long-term Debt and Capital Lease Obligations, Maturities, Repayments of Principal in Year Three | 22.3 |
Long-term Debt and Capital Lease Obligations, Maturities, Repayments of Principal in Year Four | 18.4 |
Long-term Debt and Capital Lease Obligations, Maturities, Repayments of Principal in Year Five | 20.6 |
Long-term Debt and Capital Lease Obligations, Maturities, Repayments of Principal after Year Five | 131 |
Long-term Debt, Gross | 235.9 |
Secured Debt [Member] | 2018 Secured Railcar Equipment Notes [Domain] | Railcar Leasing and Management Services Group [Member] | |
Debt Instrument [Line Items] | |
Long-term Debt, Maturities, Repayments of Principal in Next Twelve Months | 17.9 |
Long-term Debt and Capital Lease Obligations, Maturities, Repayments of Principal in Year Two | 19 |
Long-term Debt and Capital Lease Obligations, Maturities, Repayments of Principal in Year Three | 19.1 |
Long-term Debt and Capital Lease Obligations, Maturities, Repayments of Principal in Year Four | 19.1 |
Long-term Debt and Capital Lease Obligations, Maturities, Repayments of Principal in Year Five | 14.9 |
Long-term Debt and Capital Lease Obligations, Maturities, Repayments of Principal after Year Five | 344.9 |
Long-term Debt, Gross | 434.9 |
Secured Debt [Member] | 2019 Secured Railcar Equipment Notes [Domain] [Domain] | Railcar Leasing and Management Services Group [Member] | |
Debt Instrument [Line Items] | |
Long-term Debt, Maturities, Repayments of Principal in Next Twelve Months | 37.8 |
Long-term Debt and Capital Lease Obligations, Maturities, Repayments of Principal in Year Two | 36.8 |
Long-term Debt and Capital Lease Obligations, Maturities, Repayments of Principal in Year Three | 34.9 |
Long-term Debt and Capital Lease Obligations, Maturities, Repayments of Principal in Year Four | 36.6 |
Long-term Debt and Capital Lease Obligations, Maturities, Repayments of Principal in Year Five | 35.2 |
Long-term Debt and Capital Lease Obligations, Maturities, Repayments of Principal after Year Five | 679.5 |
Long-term Debt, Gross | 860.8 |
Secured Debt [Member] | 2020 Secured Railcar Equipment Notes [Domain] | Railcar Leasing and Management Services Group [Member] | |
Debt Instrument [Line Items] | |
Long-term Debt, Maturities, Repayments of Principal in Next Twelve Months | 20 |
Long-term Debt and Capital Lease Obligations, Maturities, Repayments of Principal in Year Two | 18.5 |
Long-term Debt and Capital Lease Obligations, Maturities, Repayments of Principal in Year Three | 18.3 |
Long-term Debt and Capital Lease Obligations, Maturities, Repayments of Principal in Year Four | 14.4 |
Long-term Debt and Capital Lease Obligations, Maturities, Repayments of Principal in Year Five | 11.3 |
Long-term Debt and Capital Lease Obligations, Maturities, Repayments of Principal after Year Five | 286.6 |
Long-term Debt, Gross | 369.1 |
Secured Debt [Member] | TRL 2012 Secured Railcar Equipment Notes - RIV 2013 [Member] | Railcar Leasing and Management Services Group [Member] | |
Debt Instrument [Line Items] | |
Long-term Debt, Maturities, Repayments of Principal in Next Twelve Months | 19.8 |
Long-term Debt and Capital Lease Obligations, Maturities, Repayments of Principal in Year Two | 19.5 |
Long-term Debt and Capital Lease Obligations, Maturities, Repayments of Principal in Year Three | 22.7 |
Long-term Debt and Capital Lease Obligations, Maturities, Repayments of Principal in Year Four | 28.9 |
Long-term Debt and Capital Lease Obligations, Maturities, Repayments of Principal in Year Five | 31.3 |
Long-term Debt and Capital Lease Obligations, Maturities, Repayments of Principal after Year Five | 230.3 |
Long-term Debt, Gross | 352.5 |
Secured Debt [Member] | TRIP Master Funding Secured Railcar Equipment Notes [Member] | Railcar Leasing and Management Services Group [Member] | |
Debt Instrument [Line Items] | |
Long-term Debt, Maturities, Repayments of Principal in Next Twelve Months | 40.5 |
Long-term Debt and Capital Lease Obligations, Maturities, Repayments of Principal in Year Two | 41.8 |
Long-term Debt and Capital Lease Obligations, Maturities, Repayments of Principal in Year Three | 37 |
Long-term Debt and Capital Lease Obligations, Maturities, Repayments of Principal in Year Four | 191.6 |
Long-term Debt and Capital Lease Obligations, Maturities, Repayments of Principal in Year Five | 70.3 |
Long-term Debt and Capital Lease Obligations, Maturities, Repayments of Principal after Year Five | 503.8 |
Long-term Debt, Gross | 885 |
Promissory Notes [Member] | 2017 Secured Railcar Equipment Notes [Member] [Domain] | Railcar Leasing and Management Services Group [Member] | |
Debt Instrument [Line Items] | |
Long-term Debt, Maturities, Repayments of Principal in Next Twelve Months | 44.4 |
Long-term Debt and Capital Lease Obligations, Maturities, Repayments of Principal in Year Two | 44.4 |
Long-term Debt and Capital Lease Obligations, Maturities, Repayments of Principal in Year Three | 44.4 |
Long-term Debt and Capital Lease Obligations, Maturities, Repayments of Principal in Year Four | 44.4 |
Long-term Debt and Capital Lease Obligations, Maturities, Repayments of Principal in Year Five | 635.2 |
Long-term Debt and Capital Lease Obligations, Maturities, Repayments of Principal after Year Five | 0 |
Long-term Debt, Gross | 812.8 |
Line of Credit [Member] | TILC Warehouse Facility [Member] | Railcar Leasing and Management Services Group [Member] | Revolving Credit Facility [Member] | |
Debt Instrument [Line Items] | |
Long-term Debt, Maturities, Repayments of Principal in Next Twelve Months | 16.7 |
Long-term Debt and Capital Lease Obligations, Maturities, Repayments of Principal in Year Two | 2.8 |
Long-term Debt and Capital Lease Obligations, Maturities, Repayments of Principal in Year Three | 0 |
Long-term Debt and Capital Lease Obligations, Maturities, Repayments of Principal in Year Four | 0 |
Long-term Debt and Capital Lease Obligations, Maturities, Repayments of Principal in Year Five | 0 |
Long-term Debt and Capital Lease Obligations, Maturities, Repayments of Principal after Year Five | 0 |
Long-term Debt, Gross | 19.5 |
Line of Credit [Member] | TILC Warehouse Facility Termination Payments [Member] | Railcar Leasing and Management Services Group [Member] | Revolving Credit Facility [Member] | |
Debt Instrument [Line Items] | |
Long-term Debt, Maturities, Repayments of Principal in Next Twelve Months | 0 |
Long-term Debt and Capital Lease Obligations, Maturities, Repayments of Principal in Year Two | 499.9 |
Long-term Debt and Capital Lease Obligations, Maturities, Repayments of Principal in Year Three | 0 |
Long-term Debt and Capital Lease Obligations, Maturities, Repayments of Principal in Year Four | 0 |
Long-term Debt and Capital Lease Obligations, Maturities, Repayments of Principal in Year Five | 0 |
Long-term Debt and Capital Lease Obligations, Maturities, Repayments of Principal after Year Five | 0 |
Long-term Debt, Gross | $ 499.9 |
Note 9. Income Taxes Components
Note 9. Income Taxes Components of Income Tax Expense / Benefit (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Income Tax Disclosure [Abstract] | |||
Current Federal Tax Expense (Benefit), CARES Act | $ (373.3) | $ 0 | $ 0 |
Current Federal Tax Expense (Benefit), Other | (125.4) | (6) | (19.1) |
Current Federal Tax Expense (Benefit) | (498.7) | (6) | (19.1) |
Current State and Local Tax Expense (Benefit) | (0.1) | 6.6 | (1.5) |
Current Foreign Tax Expense (Benefit) | 4.3 | 6.1 | 5.3 |
Current Income Tax Expense (Benefit) | (494.5) | 6.7 | (15.3) |
Deferred Tax Expense (Benefit), CARES Act | 192.9 | 0 | 0 |
Deferred Other Tax Expense (Benefit) | 23.4 | 44 | 43.2 |
Deferred Federal Income Tax Expense (Benefit) | 216.3 | 44 | 43.2 |
Deferred State and Local Income Tax Expense (Benefit) | (0.4) | 12.3 | 14.7 |
Deferred Foreign Income Tax Expense (Benefit) | 10.2 | (1.5) | 0 |
Provision for deferred income taxes | 226.1 | 54.8 | 57.9 |
Provision (benefit) for income taxes: | $ (268.4) | $ 61.5 | $ 42.6 |
Note 9. Income Taxes Income T_2
Note 9. Income Taxes Income Taxes (Details) - USD ($) $ in Millions | 12 Months Ended | |||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Income Tax Disclosure [Abstract] | ||||
Effective Income Tax Rate Reconciliation, at Federal Statutory Income Tax Rate, Percent | 21.00% | 21.00% | 21.00% | 35.00% |
Net Tax Expense (Benefit) Impact, CARES Act | $ 180.4 | |||
Income (Loss) from Continuing Operations before Income Taxes, Domestic | (487.1) | $ 201.1 | $ 139.8 | |
Income (Loss) from Continuing Operations before Income Taxes, Foreign | $ (7.4) | $ (0.4) | $ 11.8 |
Note 9. Income Taxes Effective
Note 9. Income Taxes Effective Tax Rate Reconciliation (Details) | 12 Months Ended | |||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Income Tax Disclosure [Abstract] | ||||
Effective Income Tax Rate Reconciliation, at Federal Statutory Income Tax Rate, Percent | 21.00% | 21.00% | 21.00% | 35.00% |
Effective Income Tax Rate Reconciliation, Prior Year Income Taxes, Percent | 36.50% | 0.00% | 0.00% | |
Effective Income Tax Rate Reconciliation, Nondeductible Expense, Impairment Losses, Percent | (3.50%) | 0.00% | 0.00% | |
Effective Income Tax Rate Reconciliation, State and Local Income Taxes, Percent | 1.10% | 2.20% | 2.30% | |
Effective Income Tax Rate Reconciliation, Tax Credit, Foreign, Percent | (0.20%) | 1.20% | 2.90% | |
Effective Tax Rate Reconciliation, Executive Compensation Limitations | (0.30%) | 1.20% | 0.90% | |
Effective Tax Rate Reconciliation, Interest Expense Limitations | 0.20% | 1.00% | 1.30% | |
Effective Income Tax Rate Reconciliation, Noncontrolling Interest Income (Loss), Percent | 0.10% | 0.10% | (0.50%) | |
Effective Tax Rate Reconciliation, Changes in Laws and Apportionment | (1.20%) | 4.30% | 5.20% | |
Effective Income Tax Rate Reconciliation, Change in Deferred Tax Assets Valuation Allowance, Percent | 0.50% | 0.00% | 1.60% | |
Effective Income Tax Rate Reconciliation, Tax Expense (Benefit), Share-based Payment Arrangement, Percent | 0.00% | (0.80%) | (1.40%) | |
Effective Income Tax Rate Reconciliation, Change in Enacted Tax Rate, Percent | 0.00% | 0.00% | (3.90%) | |
Effective Income Tax Rate Reconciliation, Other Adjustments, Percent | 0.10% | 0.40% | (1.30%) | |
Effective Income Tax Rate Reconciliation, Percent | 54.30% | 30.60% | 28.10% |
Note 9. Income Taxes Deferred T
Note 9. Income Taxes Deferred Tax Liabilities (Details) - USD ($) $ in Millions | Dec. 31, 2020 | Dec. 31, 2019 |
Income Tax Disclosure [Abstract] | ||
Deferred Tax Liabilities, Property, Plant and Equipment | $ 996.8 | $ 913.4 |
Deferred Tax Liabilities, Partially Owned Subsidiaries | 139.9 | 144.7 |
Deferred Tax Liabilities, Right-of-use Assets | 17.5 | 10 |
Deferred Tax Liabilities, Gross | 1,154.2 | 1,068.1 |
Deferred Tax Assets, Tax Deferred Expense, Compensation and Benefits | 27.1 | 3.1 |
Deferred Tax Assets, Tax Deferred Expense, Reserves and Accruals, Warranty Reserves | 3.9 | 4.5 |
Deferred Tax Assets, Other | 9.5 | 46.1 |
Deferred Tax Assets, Tax Credit Carryforwards | 62.8 | 229 |
Deferred Tax Assets, Inventory | 5.4 | 5.1 |
Deferred Tax Assets, Tax Deferred Expense, Reserves and Accruals, Accrued Liabilities | 5.3 | 9.7 |
Deferred Tax Assets, Lease Liabilities | 22.9 | 10 |
Deferred Tax Assets, Gross | 136.9 | 307.5 |
Deferred Tax Liabilities, Net, Before Adjustments | 1,017.3 | 760.6 |
Deferred Tax Assets, Valuation Allowance | 25.2 | 19.5 |
Deferred Tax Liabilities, Net, Before Uncertain Tax Positions | 1,042.5 | 780.1 |
Deferred Tax Assets, Tax Deferred Expense, Reserves and Accruals, Other | (1) | (1) |
Deferred Tax Liabilities, Net | 1,041.5 | $ 779.1 |
Deferred Tax Assets, Operating Loss Carryforwards, Domestic | 18.9 | |
Deferred Tax Assets, Operating Loss Carryforwards, State and Local | $ 22.8 |
Note 9. Income Taxes Unrecogniz
Note 9. Income Taxes Unrecognized Tax Benefit (Details) - USD ($) $ in Millions | 12 Months Ended | |||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Income Tax Disclosure [Abstract] | ||||
Unrecognized Tax Benefits | $ 2.3 | $ 2.3 | $ 8.1 | $ 7 |
Unrecognized Tax Benefits, Increase Resulting from Prior Period Tax Positions | 0 | 0 | 3 | |
Unrecognized Tax Benefits, Decrease Resulting from Prior Period Tax Positions | 0 | 0 | (0.3) | |
Unrecognized Tax Benefits, Decrease Resulting from Settlements with Taxing Authorities | 0 | (5.8) | (1.5) | |
Unrecognized Tax Benefits, Reduction Resulting from Lapse of Applicable Statute of Limitations | 0 | 0 | (0.1) | |
Unrecognized Tax Benefits that Would Impact Effective Tax Rate | 4.1 | 4 | ||
Unrecognized Tax Benefits, Income Tax Penalties and Interest Accrued | 2.9 | 2.7 | ||
Unrecognized Tax Benefits, Income Tax Penalties and Interest Expense | $ 0.2 | $ (1) | $ 0.5 |
Note 10. Employee Retirement _3
Note 10. Employee Retirement Plans Employee Retirement Plans (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Defined Benefit Plan Disclosure [Line Items] | |||
Pension plan settlement | $ (151.5) | $ 0 | $ 0 |
U.S. Pension Plan [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Defined Benefit Plan, Plan with Accumulated Benefit Obligation in Excess of Plan Assets, Plan Assets | $ 23.6 |
Note 10. Employee Retirement _4
Note 10. Employee Retirement Plans Actuarial Assumptions (Details) | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Retirement Benefits [Abstract] | |||
Defined Benefit Plan, Assumptions Used Calculating Benefit Obligation, Discount Rate | 2.73% | 4.45% | |
Defined Benefit Plan, Assumptions Used Calculating Net Periodic Benefit Cost, Discount Rate | 2.71% | 4.45% | 3.79% |
Defined Benefit Plan, Assumptions Used Calculating Net Periodic Benefit Cost, Expected Long-term Rate of Return on Plan Assets | 3.90% | 4.90% | 5.65% |
Note 10. Employee Retirement _5
Note 10. Employee Retirement Plans Net Retirement Expense (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Retirement Benefits [Abstract] | |||
Service cost | $ 0 | $ 0.1 | $ 0.1 |
Interest | 14.8 | 19.7 | 18.3 |
Expected return on plan assets | (20.9) | (23) | (27.4) |
Amortization of actuarial loss | 6 | 4.6 | 4.8 |
Amortization of prior service cost | (1.2) | 0 | 0 |
Settlement loss | 151.5 | 0 | 0 |
Other | 0 | 0 | 0.6 |
Net periodic benefit cost | 152.6 | 1.4 | (3.6) |
Profit sharing | 9 | 11 | 11.1 |
Pension Cost (Reversal of Cost) | $ 161.6 | $ 12.4 | $ 7.5 |
Note 10. Employee Retirement _6
Note 10. Employee Retirement Plans Accumulated Benefit Obligations and Funded Status (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Retirement Benefits [Abstract] | |||
Accumulated Benefit Obligations | $ 15.5 | $ 557.9 | |
Defined Benefit Plan, Benefit Obligation | 15.5 | 557.9 | $ 453.2 |
Service cost | 0 | 0.1 | 0.1 |
Interest | 14.8 | 19.7 | 18.3 |
Benefits paid | (23) | (22.2) | |
Actuarial (gain) loss | 18 | 105.6 | |
Plan amendments | 0 | 1.5 | |
Settlements | (552.2) | 0 | |
Defined Benefit Plan, Plan Assets, Amount | 23.6 | 548.5 | $ 478.7 |
Actual return on assets | 49.3 | 90.9 | |
Employer contributions | 1 | 1.1 | |
Benefits paid | (23) | (22.2) | |
Settlements | (552.2) | 0 | |
Trinity Industries, Inc. Consolidated Pension Plan [Member] | |||
Defined Benefit Plan, Plan Assets, Category [Line Items] | |||
Assets for Plan Benefits, Defined Benefit Plan | 23.6 | 5.5 | |
Liability, Defined Benefit Plan | 0 | 0 | |
Defined Benefit Plan, Funded (Unfunded) Status of Plan | 23.6 | 5.5 | |
Supplemental Executive Retirement Plan (SERP) [Member] | |||
Defined Benefit Plan, Plan Assets, Category [Line Items] | |||
Assets for Plan Benefits, Defined Benefit Plan | 0 | 0 | |
Liability, Defined Benefit Plan | (15.5) | (14.9) | |
Defined Benefit Plan, Funded (Unfunded) Status of Plan | $ (15.5) | $ (14.9) |
Note 10. Employee Retirement _7
Note 10. Employee Retirement Plans Amounts Recognized in OCI (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Defined Benefit Plan, Accumulated Other Comprehensive Income (Loss), Gain (Loss), before Tax | $ 5.9 | ||
Defined Benefit Plan, Expected Amortization of Gain (Loss), Next Fiscal Year | 0.3 | ||
Defined Benefit Plan, Expected Amortization in Next Fiscal Year, Net of Tax | 0.2 | ||
Settlement of pension plan | 151.5 | $ 0 | $ 0 |
Actuarial gain (loss) | 10.4 | (37.7) | (12.5) |
Amortization of actuarial loss | 6 | 4.6 | 4.8 |
Amortization of prior service cost | 1.2 | 0 | 0 |
New prior service cost base | 0 | (1.5) | 0 |
Total before income taxes | 169.1 | (34.6) | (7.7) |
Income tax (benefit) expense | 39.2 | (7.9) | (1.8) |
Net amount recognized in other comprehensive income (loss) | $ 129.9 | $ (26.7) | $ (5.9) |
Note 10. Employee Retirement _8
Note 10. Employee Retirement Plans Plan Assets (Details) - USD ($) $ in Millions | Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 |
Defined Benefit Plan, Plan Assets, Allocation [Line Items] | |||
Defined Benefit Plan, Plan Assets, Amount | $ 23.6 | $ 548.5 | $ 478.7 |
Cash and Cash Equivalents [Member] | |||
Defined Benefit Plan, Plan Assets, Allocation [Line Items] | |||
Defined Benefit Plan, Plan Assets, Actual Allocation, Percentage | 100.00% | ||
Defined Benefit Plan, Plan Assets, Amount | $ 13.5 | ||
Liability Hedging Portfolio [Member] | |||
Defined Benefit Plan, Plan Assets, Allocation [Line Items] | |||
Defined Benefit Plan, Plan Assets, Target Allocation, Percentage | 100.00% | ||
US Treasury and Government [Member] | |||
Defined Benefit Plan, Plan Assets, Allocation [Line Items] | |||
Defined Benefit Plan, Plan Assets, Amount | $ 121.7 | ||
Fixed Income Funds [Member] | |||
Defined Benefit Plan, Plan Assets, Allocation [Line Items] | |||
Defined Benefit Plan, Plan Assets, Amount | 370.5 | ||
Asset-backed Securities [Member] | |||
Defined Benefit Plan, Plan Assets, Allocation [Line Items] | |||
Defined Benefit Plan, Plan Assets, Amount | 2.2 | ||
Collateralized Mortgage Backed Securities [Member] | |||
Defined Benefit Plan, Plan Assets, Allocation [Line Items] | |||
Defined Benefit Plan, Plan Assets, Amount | 4.1 | ||
Equity Funds [Member] | |||
Defined Benefit Plan, Plan Assets, Allocation [Line Items] | |||
Defined Benefit Plan, Plan Assets, Amount | 29.1 | ||
Fixed Income Investments [Member] | |||
Defined Benefit Plan, Plan Assets, Allocation [Line Items] | |||
Defined Benefit Plan, Plan Assets, Amount | 7.4 | ||
Fair Value, Inputs, Level 1 [Member] | |||
Defined Benefit Plan, Plan Assets, Allocation [Line Items] | |||
Defined Benefit Plan, Plan Assets, Amount | 13.5 | ||
Fair Value, Inputs, Level 1 [Member] | Cash and Cash Equivalents [Member] | |||
Defined Benefit Plan, Plan Assets, Allocation [Line Items] | |||
Defined Benefit Plan, Plan Assets, Amount | $ 23.6 | 13.5 | |
Fair Value, Inputs, Level 2 [Member] | |||
Defined Benefit Plan, Plan Assets, Allocation [Line Items] | |||
Defined Benefit Plan, Plan Assets, Amount | 527.6 | ||
Fair Value, Inputs, Level 2 [Member] | US Treasury and Government [Member] | |||
Defined Benefit Plan, Plan Assets, Allocation [Line Items] | |||
Defined Benefit Plan, Plan Assets, Amount | 121.7 | ||
Fair Value, Inputs, Level 2 [Member] | Fixed Income Funds [Member] | |||
Defined Benefit Plan, Plan Assets, Allocation [Line Items] | |||
Defined Benefit Plan, Plan Assets, Amount | 370.5 | ||
Fair Value, Inputs, Level 2 [Member] | Asset-backed Securities [Member] | |||
Defined Benefit Plan, Plan Assets, Allocation [Line Items] | |||
Defined Benefit Plan, Plan Assets, Amount | 2.2 | ||
Fair Value, Inputs, Level 2 [Member] | Collateralized Mortgage Backed Securities [Member] | |||
Defined Benefit Plan, Plan Assets, Allocation [Line Items] | |||
Defined Benefit Plan, Plan Assets, Amount | 4.1 | ||
Fair Value, Inputs, Level 2 [Member] | Equity Funds [Member] | |||
Defined Benefit Plan, Plan Assets, Allocation [Line Items] | |||
Defined Benefit Plan, Plan Assets, Amount | 29.1 | ||
Fair Value, Inputs, Level 3 [Member] | |||
Defined Benefit Plan, Plan Assets, Allocation [Line Items] | |||
Defined Benefit Plan, Plan Assets, Amount | 7.4 | ||
Fair Value, Inputs, Level 3 [Member] | Fixed Income Investments [Member] | |||
Defined Benefit Plan, Plan Assets, Allocation [Line Items] | |||
Defined Benefit Plan, Plan Assets, Amount | $ 7.4 |
Note 10. Employee Retirement _9
Note 10. Employee Retirement Plans Cash Flows (Details) - USD ($) $ in Millions | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2019 | |
Retirement Benefits [Abstract] | ||
Employer contributions | $ 1 | $ 1.1 |
Defined Contribution Plan, Expected Future Employer Discretionary Contributions, Next Fiscal Year | 18.5 | |
Defined Contribution Plan, Employer Discretionary Contribution Amount | $ 11.4 |
Note 11. Impairment Charges (De
Note 11. Impairment Charges (Details) - USD ($) | 3 Months Ended | 12 Months Ended | ||
Jun. 30, 2020 | Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Restructuring Cost and Reserve [Line Items] | ||||
Impaired Assets to be Disposed of by Method Other than Sale, Fair Value of Asset | $ 191,700,000 | |||
Impaired Assets to be Disposed of by Method Other than Sale, Carrying Value of Asset | 550,000,000 | |||
Impairment of Long-Lived Assets Held-for-use | 358,300,000 | |||
Operating Lease, Impairment Loss | 11,100,000 | |||
Impairment of long-lived assets | $ 369,400,000 | 396,400,000 | $ 0 | $ 0 |
Building [Member] | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Impairment of long-lived assets | 15,200,000 | |||
Investments [Domain] | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Impairment of long-lived assets | $ 11,800,000 | |||
Net income (loss) attributable to noncontrolling interest [Member] | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Impairment of long-lived assets | $ 81,300,000 |
Note 11. Restructuring Activiti
Note 11. Restructuring Activities (Details) - USD ($) $ in Millions | 3 Months Ended | 12 Months Ended | ||
Mar. 31, 2020 | Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Restructuring Cost and Reserve [Line Items] | ||||
Restructuring Reserve | $ 1.4 | $ 3.4 | ||
Severance Costs | 7.8 | 3.8 | ||
Payments for Restructuring | (10.4) | |||
Restructuring activities, net | 11 | 14.7 | $ 0 | |
Loss on Contract Termination | 0.6 | |||
Gain (Loss) on Disposition of Assets | (2.7) | |||
Non-cash impact of restructuring activities | 5.3 | 10.9 | $ 0 | |
Restructuring and Related Cost, Incurred Cost | 8.4 | |||
Tangible Asset Impairment Charges | 2.6 | |||
Non-cash impact of restructuring activities | $ 5.2 | 10.9 | ||
Employee Severance [Member] | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Restructuring Reserve | 1.4 | 3.4 | ||
Payments for Restructuring | (9.8) | |||
Contract Termination [Member] | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Restructuring Reserve | 0 | 0 | ||
Payments for Restructuring | (0.6) | |||
Railcar Leasing and Management Services Group [Member] | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Severance Costs | 1.4 | 0.2 | ||
Restructuring activities, net | 1.4 | 0.2 | ||
Loss on Contract Termination | 0 | |||
Gain (Loss) on Disposition of Assets | 0 | |||
Non-cash impact of restructuring activities | 0 | 0 | ||
Other Segments [Member] | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Severance Costs | 0.2 | 0.5 | ||
Restructuring activities, net | 0.4 | 11.4 | ||
Loss on Contract Termination | 0 | |||
Gain (Loss) on Disposition of Assets | 0.2 | |||
Non-cash impact of restructuring activities | 0 | 10.9 | ||
Rail Products Group [Member] | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Severance Costs | 4 | 0.7 | ||
Restructuring activities, net | 1.3 | 0.7 | ||
Loss on Contract Termination | 0.2 | |||
Gain (Loss) on Disposition of Assets | (2.9) | |||
Non-cash impact of restructuring activities | 0 | 0 | ||
Corporate Segment [Member] | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Severance Costs | 2.2 | 2.4 | ||
Restructuring activities, net | 7.9 | 2.4 | ||
Loss on Contract Termination | 0.4 | |||
Gain (Loss) on Disposition of Assets | 0 | |||
Non-cash impact of restructuring activities | $ 5.3 | $ 0 |
Note 12. Accumulated Other Co_3
Note 12. Accumulated Other Comprehensive Income Accumulated Other Comprehensive Income (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||
Accumulated other comprehensive loss | $ (30.9) | $ (153.1) | |
Other comprehensive loss, net of tax, before reclassifications | (11.7) | (43) | |
Reclassification from Accumulated Other Comprehensive Income, Current Period, Net of Tax | 18.5 | 8 | |
Settlement of pension plan, net of tax benefit of $34.9, $—, and $— | 116.6 | 0 | $ 0 |
Other Comprehensive Income (Loss), Net of Tax | (123.4) | 35 | 13.2 |
Other comprehensive loss | 122.2 | (36.3) | |
Reclassification from AOCI, Current Period, Tax | 5.1 | (1.9) | |
Other Comprehensive Income (Loss), Defined Benefit Plan, Adjustment for Settlement or Curtailment Gain (Loss), Tax | 34.9 | 0 | 0 |
Accumulated Foreign Currency Adjustment Attributable to Parent [Member] | |||
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||
Accumulated other comprehensive loss | (1.3) | (1.3) | (1.3) |
Other comprehensive loss, net of tax, before reclassifications | 0 | 0 | |
Reclassification from Accumulated Other Comprehensive Income, Current Period, Net of Tax | 0 | 0 | |
Settlement of pension plan, net of tax benefit of $34.9, $—, and $— | 0 | ||
Other comprehensive loss | 0 | 0 | |
Reclassification from AOCI, Current Period, Tax | 0 | 0 | |
Other Comprehensive Income (Loss), Defined Benefit Plan, Adjustment for Settlement or Curtailment Gain (Loss), Tax | 0 | ||
Accumulated Net Gain (Loss) from Cash Flow Hedges Attributable to Parent [Member] | |||
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||
Accumulated other comprehensive loss | (25.6) | (17.9) | (8.3) |
Other comprehensive loss, net of tax, before reclassifications | (19.4) | (12.8) | |
Reclassification from Accumulated Other Comprehensive Income, Current Period, Net of Tax | 12.9 | 4.5 | |
Settlement of pension plan, net of tax benefit of $34.9, $—, and $— | 0 | ||
Other comprehensive loss | (7.7) | (9.6) | |
Reclassification from AOCI, Current Period, Tax | 3.5 | (0.8) | |
Other Comprehensive Income (Loss), Defined Benefit Plan, Adjustment for Settlement or Curtailment Gain (Loss), Tax | 0 | ||
Accumulated Defined Benefit Plans Adjustment, Net Gain (Loss) Attributable to Parent [Member] | |||
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||
Accumulated other comprehensive loss | (4) | (133.9) | (107.2) |
Other comprehensive loss, net of tax, before reclassifications | 7.7 | (30.2) | |
Reclassification from Accumulated Other Comprehensive Income, Current Period, Net of Tax | 5.6 | 3.5 | |
Settlement of pension plan, net of tax benefit of $34.9, $—, and $— | 116.6 | ||
Other comprehensive loss | 129.9 | (26.7) | |
Reclassification from AOCI, Current Period, Tax | 1.6 | (1.1) | |
Other Comprehensive Income (Loss), Defined Benefit Plan, Adjustment for Settlement or Curtailment Gain (Loss), Tax | 34.9 | ||
Accumulated Gain (Loss), Net, Cash Flow Hedge, Noncontrolling Interest [Member] | |||
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||
Other Comprehensive Income (Loss), Net of Tax | (1.2) | (1.3) | |
Noncontrolling Interest [Member] | |||
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||
Other Comprehensive Income (Loss), Net of Tax | (1.2) | (1.3) | (1.4) |
AOCI Attributable to Parent [Member] | |||
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||
Accumulated other comprehensive loss | (30.9) | (153.1) | (116.8) |
Other Comprehensive Income (Loss), Net of Tax | $ (122.2) | $ 36.3 | $ 14.6 |
Note 13. Common Stock and Sto_3
Note 13. Common Stock and Stock-based Compensation Stockholders Equity (Details) - USD ($) $ in Millions | 3 Months Ended | 12 Months Ended | |||||||||||
Dec. 31, 2020 | Sep. 30, 2020 | Jun. 30, 2020 | Mar. 31, 2020 | Dec. 31, 2019 | Sep. 30, 2019 | Jun. 30, 2019 | Mar. 31, 2019 | Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | Oct. 23, 2020 | Mar. 07, 2019 | |
Share-based Payment Arrangement, Expensed and Capitalized, Amount [Line Items] | |||||||||||||
Stock Repurchase Program, Authorized Amount | $ 250 | $ 350 | |||||||||||
Stock Repurchase Program, Number of Shares Authorized to be Repurchased | 13,700,000 | ||||||||||||
Treasury Stock, Shares, Acquired | 866,715 | ||||||||||||
Treasury Stock, Value, Acquired, Cost Method | $ 19 | $ 193.1 | $ 224.7 | $ 500.1 | |||||||||
Stock Repurchase Program, Remaining Authorized Repurchase Amount | $ 182.2 | $ 0 | $ 89.9 | $ 89.9 | $ 125.3 | $ 186.1 | $ 287 | $ 331 | $ 182.2 | 125.3 | |||
Total Shares Repurchased Under Program | 2,974,922 | 17,421,690 | 2,974,922 | ||||||||||
Total Shares Repurchased Under Program, Value | $ 67.8 | $ 350 | $ 67.8 | ||||||||||
Share-based Payment Arrangement, Accelerated Cost | $ 70 | ||||||||||||
Share-based Payment Arrangement, Cash Used to Settle Award | $ 1.8 | ||||||||||||
Treasury Stock [Member] | |||||||||||||
Share-based Payment Arrangement, Expensed and Capitalized, Amount [Line Items] | |||||||||||||
Treasury Stock, Shares, Acquired | 2,974,922 | 4,466,896 | 0 | 1,850,000 | 2,933,474 | 5,171,489 | 2,133,116 | 9,300,000 | 13,700,000 | 17,200,000 | |||
Treasury Stock, Value, Acquired, Cost Method | $ 67.8 | $ 89.9 | $ 0 | $ 35.4 | $ 60.8 | $ 100.9 | $ 44 | $ 193.1 | $ 294.7 | $ 430.1 | |||
Additional Paid-in Capital [Member] | |||||||||||||
Share-based Payment Arrangement, Expensed and Capitalized, Amount [Line Items] | |||||||||||||
Treasury Stock, Shares, Acquired | 2,600,000 | ||||||||||||
Treasury Stock, Value, Acquired, Cost Method | $ 70 | $ 75.9 |
Note 13. Common Stock and Sto_4
Note 13. Common Stock and Stock-based Compensation Stock Based Compensation (Details) - USD ($) $ / shares in Units, $ in Millions | 12 Months Ended | |||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Share-based Compensation Arrangement by Share-based Payment Award, Number of Shares Authorized | 20,150,000 | |||
Share-based Compensation Arrangement by Share-based Payment Award, Number of Shares Available for Grant | 1,973,045 | |||
Stock-based compensation expense | $ 26.9 | $ 29.2 | $ 29.3 | |
Share-based Payment Arrangement, Expense, Tax Benefit | 0.4 | 6.6 | $ 7.7 | |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Exercisable, Intrinsic Value | 0 | |||
Restricted Shares Outstanding, Converted | [1] | $ 0.7 | ||
Restricted Share Awards [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Share-based Payment Arrangement, Nonvested Award, Cost Not yet Recognized, Amount | $ 29.8 | |||
Share-based Compensation Arrangement by Share-based Payment Award, Award Vesting Period | 1 year | |||
Share-based Compensation Arrangement by Share-based Payment Award, Non-Option Equity Instruments, Outstanding, Number | 3,798,431 | 5,055,461 | ||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Weighted Average Grant Date Fair Value | $ 20.06 | $ 20.99 | ||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Grants in Period | 1,022,115 | |||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Grants in Period, Weighted Average Grant Date Fair Value | $ 18.62 | $ 22.20 | $ 25.52 | |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Vested in Period | (1,802,836) | |||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Vested in Period, Weighted Average Grant Date Fair Value | $ 21.70 | |||
Share-based Compensation Arrangement by Share-based Payment Award, Non-Option Equity Instruments, Forfeitures | (476,309) | |||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Forfeitures, Weighted Average Grant Date Fair Value | $ 20.59 | |||
Share-based Payment Arrangement, Nonvested Award, Cost Not yet Recognized, Period for Recognition | 3 years 1 month 6 days | |||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Vested in Period, Fair Value | $ 39.1 | $ 26.4 | $ 30.1 | |
Performance Shares [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Share-based Payment Arrangement, Nonvested Award, Cost Not yet Recognized, Amount | $ 6.1 | |||
Share-based Compensation Arrangement by Share-based Payment Award, Non-Option Equity Instruments, Outstanding, Number | 1,235,172 | 800,762 | ||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Weighted Average Grant Date Fair Value | $ 24.17 | $ 26.33 | ||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Grants in Period | 444,252 | |||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Grants in Period, Weighted Average Grant Date Fair Value | $ 20.31 | $ 22.22 | $ 32.37 | |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Vested in Period | (3,091) | |||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Vested in Period, Weighted Average Grant Date Fair Value | $ 28.35 | |||
Share-based Compensation Arrangement by Share-based Payment Award, Non-Option Equity Instruments, Forfeitures | (6,751) | |||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Forfeitures, Weighted Average Grant Date Fair Value | $ 24.74 | |||
Share-based Payment Arrangement, Nonvested Award, Cost Not yet Recognized, Period for Recognition | 1 year 6 months | |||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Vested in Period, Fair Value | $ 0.1 | $ 0 | $ 0 | |
Share-based Payment Arrangement, Option [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding, Period Increase (Decrease) | 300,000 | 0 | ||
Share-based Compensation Arrangement by Share-based Payment Award, Option, Nonvested, Weighted Average Exercise Price | $ 5.26 | $ 0 | ||
Share-based Compensation Arrangements by Share-based Payment Award, Options, Grants in Period, Weighted Average Exercise Price | $ 5.26 | |||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Grants in Period | 300,000 | |||
Share-based Compensation Arrangements by Share-based Payment Award, Options, Grants in Period, Weighted Average Exercise Price | $ 21.61 | |||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Exercises in Period | 0 | |||
Share-based Compensation Arrangements by Share-based Payment Award, Options, Exercises in Period, Weighted Average Exercise Price | $ 0 | |||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Forfeitures and Expirations in Period | 0 | |||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Forfeitures and Expirations in Period, Weighted Average Exercise Price | $ 0 | |||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding, Weighted Average Remaining Contractual Term | 9 years 1 month 6 days | |||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding, Intrinsic Value | $ 1.4 | |||
Share-based Payment Arrangement, Nonvested Award, Cost Not yet Recognized, Amount | $ 1.1 | |||
Share-based Compensation Arrangement by Share-based Payment Award, Fair Value Assumptions, Risk Free Interest Rate | 1.48% | |||
Share-based Compensation Arrangement by Share-based Payment Award, Fair Value Assumptions, Expected Term | 6 years 6 months | |||
Share-based Compensation Arrangement by Share-based Payment Award, Fair Value Assumptions, Expected Volatility Rate | 35.00% | |||
Share-based Compensation Arrangement by Share-based Payment Award, Fair Value Assumptions, Expected Dividend Rate | 3.42% | |||
Share-based Payment Arrangement, Nonvested Award, Cost Not yet Recognized, Period for Recognition | 2 years 1 month 6 days | |||
Minimum [Member] | Restricted Stock Units (RSUs) [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Share-based Compensation Arrangement by Share-based Payment Award, Award Vesting Period | 3 years | |||
Maximum [Member] | Restricted Stock Units (RSUs) [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Share-based Compensation Arrangement by Share-based Payment Award, Award Vesting Period | 4 years | |||
[1] | (1) The balance of restricted share awards outstanding at December 31, 2020 includes approximately 0.7 million restricted shares for Arcosa employees that were converted under the shareholder method at the time of the Arcosa spin-off. These restricted shares will be released to Arcosa employees upon vesting, but as of the spin-off date, Trinity no longer records the compensation expense associated with these shares. |
Note 14. Earnings Per Common _3
Note 14. Earnings Per Common Share Earnings Per Common Share (Details) - USD ($) $ / shares in Units, shares in Millions, $ in Millions | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Earnings Per Share, Basic, by Common Class, Including Two Class Method [Line Items] | |||
Weighted Average Number of Shares Outstanding, Basic and Diluted | 4.5 | 5.5 | 5.8 |
Income (loss) from continuing operations | $ (226.1) | $ 139.2 | $ 109 |
Less: Net (income) loss attributable to noncontrolling interest | 78.9 | 1.5 | (3.8) |
Unvested restricted share participation — continuing operations | 0 | (1.8) | (2.2) |
Net income (loss) from continuing operations attributable to Trinity Industries, Inc. | (147.2) | 138.9 | 103 |
Income (loss) from discontinued operations, net of provision (benefit) for income taxes of $(0.1), $(1.0), $30.7 | (0.1) | (3.1) | 54.1 |
Unvested restricted share participation — discontinued operations | 0 | 0 | (0.6) |
Net income (loss) from discontinued operations attributable to Trinity Industries, Inc. | (0.1) | (3.1) | 53.5 |
Net income (loss) attributable to Trinity Industries, Inc., including the effect of unvested restricted share participation | $ (147.3) | $ 135.8 | $ 156.5 |
Basic weighted average shares outstanding | 115.9 | 125.6 | 144 |
Nonparticipating unvested RSUs and RSAs | 0 | 1.7 | 1 |
Convertible subordinated notes | 0 | 0 | 1.4 |
Diluted weighted average shares outstanding | 115.9 | 127.3 | 146.4 |
Income (loss) from continuing operations | $ (1.27) | $ 1.11 | $ 0.72 |
Income (loss) from discontinued operations | 0 | (0.02) | 0.37 |
Basic net income (loss) attributable to Trinity Industries, Inc. | (1.27) | 1.09 | 1.09 |
Income (loss) from continuing operations | (1.27) | 1.09 | 0.70 |
Income (loss) from discontinued operations | 0 | (0.02) | 0.37 |
Diluted net income (loss) attributable to Trinity Industries, Inc. | $ (1.27) | $ 1.07 | $ 1.07 |
Restricted Stock [Member] | |||
Earnings Per Share, Basic, by Common Class, Including Two Class Method [Line Items] | |||
Antidilutive Securities Excluded from Computation of Earnings Per Share, Amount | 0 | 0.2 | 0 |
Share-based Payment Arrangement, Option [Member] | |||
Earnings Per Share, Basic, by Common Class, Including Two Class Method [Line Items] | |||
Antidilutive Securities Excluded from Computation of Earnings Per Share, Amount | 0 |
Note 15. Commitments and Cont_2
Note 15. Commitments and Contingencies Commitments and Contingencies (Details) - USD ($) $ in Millions | Jun. 09, 2015 | Dec. 31, 2020 |
Loss Contingencies [Line Items] | ||
Loss Contingency, Receivable | $ 5.3 | |
Minimum [Member] | ||
Loss Contingencies [Line Items] | ||
Loss Contingency, Estimate of Possible Loss | 7 | |
Maximum [Member] | ||
Loss Contingencies [Line Items] | ||
Loss Contingency, Estimate of Possible Loss | 14.5 | |
Environmental and Workplace Matters [Member] | ||
Loss Contingencies [Line Items] | ||
Loss Contingency Accrual | 1.1 | |
Joshua Harman, False Claims Act [Member] | Highway Products Litigation [Member] | ||
Loss Contingencies [Line Items] | ||
Loss Contingency, Judgment Entered, Value | $ 682.4 | |
State, County, and Municipal Actions [Member] | Highway Products Litigation [Member] | ||
Loss Contingencies [Line Items] | ||
Loss Contingency Accrual | 0 | |
Accrued Liabilities [Member] | ||
Loss Contingencies [Line Items] | ||
Loss Contingency Accrual | $ 7.5 |
Uncategorized Items - trn-20201
Label | Element | Value |
Cash, Cash Equivalents, Restricted Cash and Restricted Cash Equivalents | us-gaap_CashCashEquivalentsRestrictedCashAndRestrictedCashEquivalents | $ 973,800,000 |