Trinity Industries, Inc. · NYSE:TRN
Trinity Industries — First Dallas Securities 12th Semi-Annual Investor Forum (August 2006)
14 slides from Trinity Industries's conference presentation, Aug 30, 2006
Slide 1: Trinity Industries, Inc. First Dallas Securities 12th Semi-Annual Investor Forum
Trinity Industries, Inc. First Dallas Securities 12th Semi-Annual Investor Forum
Slide 2: Forward Looking Statements
Forward Looking Statements This presentation contains "forward looking statements" as defined by the Private Securities Litigation Reform Act of 1995 and includes statements as to expectations, beliefs and future financial performance, or assumptions underlying or concerning matters herein. These st
Slide 3: Trinity's Multi-Industry Market Leadership Strategy
Trinity's Multi-Industry Market Leadership Strategy Construction Products Group Energy Equipment Group Inland Barge Group Rail Group Rail Leasing and Management Services Group
Slide 4: Key Market Leadership Positions
Trinity's Key Market Leadership Positions Trinity's Construction Products Group Largest full-line highway guardrail and crash cushion manufacturer in the U.S. Leading producer of concrete and aggregates in Texas Trinity's Energy Equipment Group Leading full line LPG tank manufacturer in the North Am
Slide 5: Strong Industry Dynamics
Strong Industry Dynamics Railcar and Barge Industry Fundamentals are Strong Railcar and Barge fleet utilization is very high Growth of the economy Increased demand for coal, grain, cement, aggregates, and other basic materials Replacement cycle is a key influencer on demand 44% of railcars, or appro
Slide 6: Rail Industry Shipment Summary and Projections
Industry Shipments 1956 67080 1957 99590 1958 42760 1959 37819 1960 57047 1961 31720 1962 36554 1963 44960 1964 69330 1965 77828 1966 90104 1967 83095 1968 56232 1969 69028 1970 65970 1971 54696 1972 47460 1973 59875 1974 66563 1975 72337 1976 52504 1977 51142 1978 67286 1979 84869 1980 80470 1981 4
Slide 7: Inland Barge Segment: Growth Expected to be Driven by Replacement Demand
Estimated Retirements New Builds 1999 1019 931 2000 1201 831 2001 862 655 2002 1139 596 2003 947 280 2004 942 510 2005 714 328 Age 0-5 Years 2459 6-10 Years 5461 11-15 Years 2677 16-20 Years 1306 21-25 Years 2738 26+ Years 5916 42% are 21+ years old Inland Barge Segment: Growth is Expected to be Dri
Slide 8: Railcar Leasing and Management Services Group
Railcar Leasing and Management Services Group Trinity Leasing's capabilities provide the following advantages: Strategic Position Operating Benefits Financial Results One-stop shopping Provides customers with financing alternatives Ideal method for introduction of new products Enhances relationships
Slide 9: Lease Fleet Growth
Trinity's Lease Fleet Growth Revenue Owned Leased Column 4 Column 5 Column 6 Column 7 Column 8 Column 9 Column 10 Column 11 Column 12 Column 13 Column 14 Column 15 Column 16 1998 6918 1513 1999 8684 1513 2000 11830 1513 2001 13280 4389 2002 15098 4364 2003 18599 7557 2004 20313 10849 2005 24877 1082
Slide 10: Key Differentiators Create a Unique Value
Trinity's Key Differentiators Create a Unique Value Broad product offerings One-stop shopping for customers Minimizes product volatility Multi-industry with synergistic connections Unique customer connections Centralized cost-savings Manufacturing synergies Industry-leading position in Mexico Decade
Slide 11: Strategic Summary
Trinity's Strategic Summary Maximize earnings during the upswing Continuously search for ways to improve operating performance Diversify earnings base to stabilize cyclical downswings Expand leasing expertise Maintain a persistent and patient acquisition strategy Maintain a financial platform to sup
Slide 12: Trinity's Financial Highlights
EBITDA Margin Line 3 Revenue EBITDA Stack 2 Stack 3 Stack 4 Stack 5 Stack 6 Stack 7 Stack 8 Stack 9 Stack 10 Stack 11 Stack 12 Stack 13 Stack 14 Stack 15 Stack 16 2002 0.063 1487.3 103 50 2003 0.073 1432.8 106 125 2004 0.052 2198.1 115 200 2005 0.1 2902 291 275 LTM 6/06 0.1141 3016 451 350 2006P 0.1
Slide 13: Fittings Divestiture
Fittings Divestiture On June 9th, we announced the sale of the Fittings Group to a private equity firm Group was not a core part of our strategy The business was part of our Construction Products Group Gain of $0.29 per diluted share in Q2 06
Slide 14: European Rail Divestiture
European Rail Divestiture On August 4th, we announced the sale of our European Rail business Sale price of $30 million, plus working capital and assumption of leases Depressed market Have incurred losses in the business for several years Resources are better focused on North American opportunities
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