Slide 1: Trinity Industries, Inc. August 2011
Trinity Industries, Inc. August 2011
Slide 2: Forward Looking Statements
2 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
Slide 3: Trinity is a Multi-Industry Company
3 Trinity is a Multi-Industry Company
Slide 4: Trinity's Differentiating Strategies and Tactics
4 Trinity's Differentiating Strategies and Tactics Trinity's strategies and tactics are designed to improve our performance in all economic cycles During the last decade, we have enhanced our multi-industry portfolio by: Strategically growing the Leasing business to provide a solid base of earnings
Slide 5: Trinity Today: Multi-Industry Model
5 Trinity Today Leasing and Management Services Expand relationships with end-users of railcars Introduce new products into the market Provide earnings and cash flow base for Trinity Consistently grow the business Manufacturing Businesses Maintain leadership positions Utilize significant manufacturi
Slide 6: Trinity's Revenues are More Diversified Than in the Past
6 Trinity's Revenues are More Diversified Than in the Past LTM 06/11 Total Consolidated Revenue was $2.5 billion FY 2000 Total Consolidated Revenue was $2.7 billion
Slide 7: Trinity is Well Positioned for All Economic Cycles
7 Trinity is Well Positioned for All Economic Cycles Trinity has staying power, continually building strength during a down cycle and emerging with more opportunity for growth than when the cycle began Seasoned management team knows how to assess the market, proactively plan for cycles and address c
Slide 8: Railcar Cycles Require Proactive Planning
8 Sources: Historical data as reported per the Railway Supply Institute. 2011-2015 projections are an average of estimates provided by Global Insight (05/11) and Economic Planning Associates, Inc. (07/11) and are provided as a point of reference. Railcar Deliveries (1959 - 2015P) Projections based o
Slide 9: Trinity's Manufacturing Flexibility is a Differentiator
9 Trinity's Manufacturing Flexibility is a Differentiator Trinity's Manufacturing Flexibility is a Differentiator Trinity's Manufacturing Flexibility is a Differentiator Trinity's Manufacturing Flexibility is a Differentiator Trinity's manufacturing flexibility enhances our opportunistic approach We
Slide 10: Trinity Has an Excellent Competitive Position in Mexico
10 Trinity Has an Excellent Competitive Position in Mexico Trinity Has an Excellent Competitive Position in Mexico More than five decades of in-country operating experience Trinity's significant manufacturing capacity in Mexico continues to grow Provides benefits across multiple product lines Strong
Slide 11: Trinity's Companies Have Continuous Synergistic Connections
11 Trinity's Companies Have Continuous Synergistic Connections Trinity's businesses place a high priority on collaborating with each other to continuously generate synergies that provide competitive benefits: Maximized Plant Efficiencies Internal Sourcing of Components & Sub-Assemblies INTERNALLY GE
Slide 12: Trinity's Railcar Leasing Company Provides Stability
12 Trinity's Railcar Leasing Company Provides Stability The growth of our railcar leasing business over the last decade has produced a consistent revenue and earnings base Trinity Industries Leasing Company (TILC), our wholly-owned leasing subsidiary, provides strategic benefits to our railcar manuf
Slide 13: Trinity's Railcar Lease Fleet has Grown Rapidly
13 Trinity's Railcar Lease Fleet has Grown Rapidly CAGR of 20.1% 8,700 cars 68,305 cars We have built a large fleet of young railcars with long-term leases Our lease fleet provided an important base of revenues and earnings during the last downturn helping Trinity maintain profitability 3/10
Slide 14: Trinity's Liquidity Position is Strong
14 Trinity's Liquidity Position is Strong As of June 30, 2011: Unrestricted Cash and Short-term Marketable Securities of $299.1 million Corporate Revolver availability of $341.4 million TILC Leasing Warehouse availability of $345.0 million Total available liquidity of approximately $1.0 billion Corp
Slide 15: Trinity's Balance Sheet Remains Solid
15 Trinity's Balance Sheet Remains Solid As of June 30, 2011: Unrestricted Cash and Short-term Marketable Securities of $299.1 million Manufacturing/Corporate debt: Subordinated Convertible Notes of $450 million; first call/put in 2018 Leasing debt (including TRIP): Warehouse borrowings of $130.0 mi
Slide 16: Trinity's Recent Operating Results
16 Trinity's Recent Operating Results Trinity's Earnings Summary FY 2005 - LTM 6/30/11 Earnings Column 12 Column 13 Column 14 Column 15 Column 16 2003 -0.06 2004 -0.25 2005 1.42 2006 2.64 2007 3.55 2008 3.47 2009 -1.81 2010 0.85 LTM 06/11 1.26 LTM as of June 30, 2011: Revenues increased 23.5% from $
Slide 17: Appendix: Operating Business Summaries
Appendix: Operating Business Summaries
Slide 18: Rail Group
18 Trinity shipments totaled approximately 8,725 railcars representing 30% of industry shipments during LTM 6/30/11 Trinity orders totaled approximately 31,960 railcars representing 43% of the Industry total during LTM 6/30/11 Trinity's order backlog was approximately 27,240 railcars representing 48
Slide 19: Railcar Leasing and Management Services Group
19 Railcar Leasing and Management Services Group Leading provider of comprehensive railcar leasing and management services Single point of contact for equipment and services Strengthens relationship with end-user of railcar Marketed with railcar sales activities as TrinityRail(r) Trinity Leasing's c
Slide 20: Inland Barge Group
20 Revenue Operating profit Column 3 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 2002 211.7 4.7 0.0222 2003 170.6 -4.7 -0.0275 2004 210.4 -14.8 -0.0703 2005 240.7 15.7 0.0652 2006 371.2 44.5 0.1199 2007 493.2 72.6 0.1472
Slide 21: Construction Products Group
Concrete & Aggregates 39 Highway Products 58 Other 3 All other Slice 7 Slice 8 Slice 9 Slice 10 Slice 11 Slice 12 Slice 13 Slice 14 Slice 15 Slice 16 21 Revenues OP OP% 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 2002 46
Slide 22: Energy Equipment Group
22 Revenue OP OP% Column 5 Column 6 Column 7 Column 8 Column 9 Column 10 Column 11 Column 12 Column 13 Column 14 Column 15 Column 16 2002 149.4 0.6 0.004 2003 124.3 10.9 0.088 2004 152.1 15.3 0.101 2005 234.8 31.9 0.136 2006 336.5 45.7 0.136 2007 433.9 50.1 0.115 2008 530 100.3 0.159 2009 73.8 0.145
Slide 23: Reconciliation of EBITDA
Reconciliation of EBITDA "EBITDA is defined as Income (loss) from continuing operations plus interest expense, income taxes, and depreciation and amortization expense including goodwill impairment charges. EBITDA is not a calculation based on generally accepted accounting principles. The amounts inc