- GATX Board declares quarterly common dividend of $.32 per share
CHICAGO, Oct. 23 /PRNewswire-FirstCall/ -- GATX Corporation (NYSE: GMT)
today announced its 2003 third quarter results. For the 2003 third quarter,
GATX reported net income of $22.7 million or $.46 per diluted share compared
to net income of $19.1 million or $.39 per diluted share in the prior year
period. The 2003 third quarter results benefited from a $7.3 million
after-tax, or $.13 per diluted share, insurance recovery on previously
expensed litigation-related charges.
For the nine-month period ended September 30, 2003, GATX reported net
income of $49.3 million or $1.00 per diluted share. The first nine months of
2003 includes $10 million after-tax, or $.20 per diluted share, related to
insurance recoveries and $7.1 million after-tax, or $.14 per diluted share of
air impairments and charges, resulting in a net positive impact on income of
$2.9 million after-tax, or $.06 per diluted share.
For the nine-month period ended September 30, 2002, net income was
$29.7 million or $.61 per diluted share. The first nine months of 2002
included a gain on the sale of GATX Terminals -- related assets totaling
$6.2 million after-tax, or $.13 per diluted share, and a goodwill impairment
charge related to the adoption of SFAS 142 totaling $34.9 million after-tax,
or $.72 per diluted share, resulting in a net negative impact on income of
$28.7 million after-tax, or $.59 per diluted share.
Ronald H. Zech, chairman and president of GATX, stated, "Operating
conditions for GATX over the past two quarters have been relatively
consistent. Our core businesses have stabilized and certain market indicators
have shown signs of improving, yet we remain cautious regarding potential
volatility in air and the general strength of the economy.
"Railcar utilization levels remained steady with the prior quarter and
above 2002 levels. This reflects market conditions as well as aggressive
fleet management activities such as targeted marketing programs, new car
placements, and prudent car scrapping. The lease rate environment remains
challenging, resulting in continued pressure on 2003 rail revenues and income.
In air, the summer months produced improved traffic statistics, expected with
the seasonal pattern in this industry. GATX experienced a reduced level of
lease renegotiation requests and stabilizing lease rates during this period.
While encouraging, defining recent activity as a trend is premature until we
see how airlines perform during the more challenging fall and winter seasons."
Mr. Zech added, "We currently expect 2003 earnings to be in the range of
$1.30 per diluted share, including the net $.06 per diluted share benefit
outlined above. This assumes no material change in operating conditions, no
additional air-related impairments and/or charges, and no additional insurance
recoveries."
DIVIDEND ANNOUNCEMENT
The board of directors of GATX Corporation today declared a quarterly
dividend of $.32 per common share, payable December 31, 2003, to shareholders
of record on December 15, 2003.
Mr. Zech stated, "As noted at the beginning of 2003, the board makes the
dividend decision after analyzing a variety of factors, such as the timing and
magnitude of a recovery in GATX's core markets and earnings, the stability of
our operating environment, and our capital structure and cash flow
projections. As GATX's outlook for 2004 and beyond becomes clearer in the
coming months, the board will continue its regular evaluation of the
appropriate dividend level."
The board also declared a quarterly dividend of $.625 per share on the
$2.50 preferred stock, payable December 1, 2003, to shareholders of record on
November 14, 2003.
These common and preferred dividends declared today are unchanged from the
previous quarter.
GATX RAIL
GATX Rail reported net income of $13.6 million in the 2003 third quarter
compared to $14.7 million in the prior year period. For the nine-month
period, 2003 net income was $36.1 million compared to net income of
$10.0 million in the prior year. The 2002 nine-month results included a
$34.9 million after-tax goodwill impairment charge related to the adoption of
SFAS 142.
Reflecting the dynamics of renewing leases in a challenging market, lease
rate and revenue pressure in the North American market continues. Through the
first nine months of 2003, North American lease revenue declined approximately
6%, or $26 million, compared to the prior year period. The revenue and income
pressure in North America was partially offset by positive contributions by
GATX Rail's European operations, both in terms of improved operating
performance and from the integration of KVG which was purchased at the close
of 2002.
GATX Rail's North American fleet of 104,000 cars was 93% utilized at the
end of the 2003 third quarter, level with second quarter utilization and up
from 91% at 2002 year end. The improvement in utilization year to date
reflects a combination of cars moving from idle to active status and car
scrapping activity.
GATX Rail's North American maintenance expense is running higher than
prior year comparable periods due to an increase in cars repaired and costs
associated with both discretionary and mandated repairs. The increase in
North American maintenance expense has essentially been offset by lower SG&A,
driven by GATX Rail's cost reduction and efficiency initiatives.
Certain macroeconomic data that relate to GATX Rail's business provide an
indication of a stabilizing operating environment: North American
manufacturing capacity utilization, as reported by the Federal Reserve, was
75% at the end of September 2003, up from 74% at the end of the prior quarter
but down from 76% at the end of the prior year period; industry-wide chemical
carload shipments increased a nominal 1.0% in the first nine months of 2003
versus the prior year; and total rail carload shipments decreased .3% in the
first nine months of 2003 versus the prior year. Certain data specifically
related to GATX Rail also show stability and/or signs of improvement:
customer order inquiries at GATX Rail are ahead of prior year levels, and
order backlogs at major railcar manufacturers are well above prior year
levels, reflecting greater activity among the customer base.
FINANCIAL SERVICES
Financial Services reported third quarter net income of $13.6 million
compared to net income of $12.2 million in the prior year period. The 2003
third quarter results include $7.3 million of after-tax income resulting from
an insurance recovery.
For the first nine months of 2003, Financial Services reported net income
of $29.9 million compared to net income of $34.3 million in the prior year.
The 2003 year-to-date results include the aforementioned $2.9 million net
positive impact from insurance recoveries offset by air-related impairments
and charges.
An updated slide presentation outlining GATX Air's portfolio is available
at http://www.gatx.com . In addition to maintaining high fleet utilization, GATX Air
has substantially completed its new aircraft placement and remarketing
activities for 2003. Additionally, two of the three scheduled new aircraft
deliveries in 2004 have been assigned to carriers under a lease or letter of
intent. Airline performance improved during the summer season. However, as
the more challenging fall and winter seasons progress, carrier performance
will be monitored closely and any material weakening may result in an increase
in renegotiation requests or unplanned returns.
Third quarter investment volumes at GATX Technology, while running below
targeted levels, improved from prior quarter levels. GATX Technology has
positioned itself to capitalize on an expected recovery in technology spending
by enhancing its marketing capabilities and programs.
Financial Services' total investment volume for the third quarter was
$114 million compared to $197 million in the prior year period. For the
nine-month period, 2003 investment volume totaled $490 million compared to
$829 million in the prior year. The decline in 2003 investment volume
primarily reflects lower scheduled new aircraft deliveries, the exit from the
venture leasing business, and the planned curtailment of new investment in the
specialty area.
Remarketing income, comprised of both gains on asset sales and residual
sharing fees, was $7.7 million in the 2003 third quarter compared to
$10.2 million in the prior year. The 2003 third quarter remarketing activity
was primarily concentrated in the specialty portfolio.
Warrant income was $5.8 million in the 2003 third quarter compared to
$2.3 million in the prior year period. While GATX is exiting the venture
leasing business and the asset level in this area is decreasing rapidly,
warrants will be retained in many companies during and after loan repayments.
CREDIT STATISTICS
GATX continues to maintain an appropriate reserve level. At the end of
the 2003 third quarter, the allowance for losses was 7.1% of reservable
assets, marginally above the prior quarter and prior year periods.
Net charge-offs and impairments totaled $7.2 million during the 2003 third
quarter, or 0.4% of average total assets on an annualized basis. Net
charge-offs and impairments in the 2002 third quarter totaled $18.4 million,
or 1.0% of average total assets. Charge-offs and impairments in the 2003
third quarter were primarily in the venture and specialty portfolios, and the
lower level compared to prior year periods reflects a more stable credit
environment in the rail, technology, specialty, and venture areas.
Non-performing leases and loans at the end of the 2003 third quarter
totaled $148.5 million or 5.5% of Financial Services' investments compared to
$93.3 million (3.2%) in the prior year period and $144.2 million (5.2%) in the
2003 second quarter. The higher non-performing levels in 2003 compared to the
prior year primarily relates to aircraft placed on non-performing status
during a renegotiation or repossession process. Due to the fact that GATX
places the entire net book value of an aircraft in the non-performing
category, rather than using only the receivables associated with a troubled
aircraft lessee, the non-performing asset level is subject to volatility.
COMPANY DESCRIPTION
GATX Corporation (NYSE: GMT) is a specialized finance and leasing company
combining asset knowledge and services, structuring expertise, partnering and
risk capital to provide business solutions to customers and partners
worldwide. GATX specializes in railcar and locomotive leasing, aircraft
operating leasing, and information technology leasing.
TELECONFERENCE INFORMATION
GATX Corporation will host a teleconference to discuss 2003 third quarter
results. Teleconference details are as follows:
Thursday, October 23rd
11:00 AM Eastern Time
Domestic Dial-In: 1-800-706-6082
International Dial-In: 1-706-634-7421
Replay: 1-800-642-1687 / Access Code: 3207696
Call in details and real-time audio access are available at http://www.gatx.com .
Please access the call 15 minutes prior to the start time. Following the
call, a replay will be available on the same site.
UPDATE ON AIR PORTFOLIO
GATX Corporation has updated its Air portfolio presentation, and the
slides are currently available at http://www.gatx.com or by calling the GATX Investor
Relations Department.
FORWARD-LOOKING STATEMENTS
Certain statements within this document may constitute forward-looking
statements made pursuant to the safe harbor provision of the Private
Securities Litigation Reform Act of 1995. These statements are identified by
words such as "anticipate," "believe," "estimate," "expect," "intend,"
"predict," or "project" and similar expressions. This information may involve
risks and uncertainties that could cause actual results to differ materially
from the forward-looking statements. Although the Company believes that the
expectations reflected in such forward-looking statements are based on
reasonable assumptions, such statements are subject to risks and uncertainties
that could cause actual results to differ materially from those projected.
Risks and uncertainties include, but are not limited to, general economic
conditions; aircraft and railcar lease rate and utilization levels; conditions
in the capital markets and the potential for a downgrade in GATX's or GATX
Financial Corp.'s credit rating, either of which could have an effect on the
Company's borrowing costs or ability to access the markets for commercial
paper or secured and unsecured debt; dynamics affecting customers within the
chemical, petroleum and food industries; regulatory rulings that may impact
the economic value of assets; competitors in the rail and air markets who may
have access to capital at lower costs than GATX; additional potential write-
downs and/or provisions within GATX's portfolio; impaired asset charges; and
general market conditions in the rail, air, technology, venture, and other
large-ticket industries.
Investor, corporate, financial, historical financial, photographic and
news release information may be found at http://www.gatx.com .
--Tabular Follows--
GATX CORPORATION AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF INCOME (UNAUDITED)
(In Millions, Except Per Share Data)
Three Months Ended Nine Months Ended
September 30 September 30
2003 2002 2003 2002
Gross Income
Lease income $238.2 $249.4 $716.6 $765.9
Marine operating revenue 27.3 29.0 57.0 53.7
Interest income 9.1 15.0 30.9 43.6
Asset remarketing income 7.5 10.6 31.0 40.4
Gain on sale of securities 5.8 2.3 6.3 3.4
Fees 3.9 3.7 14.8 13.1
Other 26.1 12.9 62.7 36.2
Revenues 317.9 322.9 919.3 956.3
Gain on extinguishment
of debt - 1.4 .7 15.9
Share of affiliates'
earnings 18.5 18.3 59.4 58.1
Total Gross Income 336.4 342.6 979.4 1,030.3
Ownership Costs
Depreciation 77.9 87.6 234.4 264.1
Interest, net 48.7 57.9 153.1 167.7
Operating lease expense 45.1 45.6 137.3 133.6
Total Ownership Costs 171.7 191.1 524.8 565.4
Other Costs and Expenses
Maintenance expense 43.3 37.8 125.3 112.7
Marine operating expenses 21.8 20.5 45.9 40.1
Other operating expenses 11.3 7.9 31.4 25.6
Selling, general
and administrative 47.1 50.4 141.1 151.9
Provision for
possible losses .4 2.4 8.8 29.3
Asset impairment charges 4.3 9.2 20.4 15.6
Fair value adjustments
for derivatives .2 (.7) 2.6 3.0
Total Other Costs
and Expenses 128.4 127.5 375.5 378.2
Income from Continuing
Operations before Income
Taxes and Cumulative
Effect of Accounting
Change 36.3 24.0 79.1 86.7
Income Taxes 13.6 4.9 29.8 28.3
Income from Continuing
Operations before
Cumulative Effect of
Accounting Change 22.7 19.1 49.3 58.4
Discontinued Operations
Gain on sale of
portion of segment,
net of taxes - - - 6.2
Total Discontinued Operations - - - 6.2
Income before Cumulative
Effect of
Accounting Change 22.7 19.1 49.3 64.6
Cumulative Effect
of Accounting Change - - - (34.9)
Net Income $22.7 $19.1 $49.3 $29.7
GATX CORPORATION AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF INCOME (UNAUDITED)
(In Millions, Except Per Share Data)
(Continued)
Three Months Ended Nine Months Ended
September 30 September 30
2003 2002 2003 2002
Per Share Data
Basic:
Income from
continuing operations
before cumulative effect
of accounting change $.46 $.39 $1.00 $1.20
Income from
discontinued operations - - - .13
Cumulative effect
of accounting change - - - (.72)
Total $.46 $.39 $1.00 $.61
Average number of
common shares
(in thousands) 49,105 48,927 49,082 48,857
Diluted:
Income from continuing
operations before
cumulative effect
of accounting change $.46 $.39 $1.00 $1.20
Income from
discontinued operations - - - .13
Cumulative effect
of accounting change - - - (.72)
Total $.46 $.39 $1.00 $.61
Average number of common
shares and common share
equivalents (in
thousands) (a) 54,358 49,127 49,195 49,172
Dividends declared
per common share $.32 $.32 $.96 $.96
(a) Shares underlying the convertible securities issued in first quarter
of 2002 were included in the calculation of diluted earnings per
share for the third quarter of 2003 because of dilutive effects.
GATX CORPORATION AND SUBSIDIARIES
CONSOLIDATED BALANCE SHEETS
(In Millions)
September 30 December 31
2003 2002
(Unaudited)
Assets
Cash and Cash Equivalents $152.1 $231.1
Restricted Cash 108.6 140.9
Receivables
Rent and other receivables 92.5 97.8
Finance leases 590.8 713.0
Loans 279.0 434.2
Less - allowance for possible losses (68.0) (82.2)
894.3 1,162.8
Operating Lease Assets,
Facilities and Other
Railcars and service facilities 3,186.7 3,076.9
Operating lease investments and other 2,369.9 2,250.1
Less - allowance for depreciation (2,034.9) (2,008.1)
3,521.7 3,318.9
Progress payments for aircraft
and other equipment 47.5 140.9
3,569.2 3,459.8
Investments in Affiliated Companies 830.1 850.9
Recoverable Income Taxes 63.9 129.8
Goodwill, Net 62.5 62.5
Other Investments 86.3 96.1
Other Assets 231.3 294.4
$5,998.3 $6,428.3
Liabilities and Shareholders' Equity
Accounts Payable and Accrued Expenses $336.2 $399.5
Debt
Short-term 32.2 13.7
Long-term:
Recourse 3,208.6 3,487.9
Nonrecourse 466.4 594.6
Capital lease obligations 123.7 143.7
3,830.9 4,239.9
Deferred Income Taxes 683.9 640.0
Other Liabilities 328.4 347.3
Total Liabilities 5,179.4 5,626.7
Total Shareholders' Equity 818.9 801.6
$5,998.3 $6,428.3
GATX CORPORATION AND SUBSIDIARIES
CONSOLIDATED STATEMENT OF CASH FLOWS (UNAUDITED)
(In Millions)
Three Months Ended Nine Months Ended
September 30 September 30
2003 2002 2003 2002
Operating Activities
Income from continuing
operations, including
accounting change $22.7 $19.1 $49.3 $23.5
Adjustments to reconcile
income from continuing
operations to net cash
provided by continuing
operations:
Realized gains on
remarketing of
leased equipment (5.3) (3.9) (26.1) (31.3)
Gain on sales
of securities (5.8) (2.3) (6.3) (3.4)
Depreciation 81.6 91.0 246.1 276.0
Provision for
possible losses .4 2.4 8.8 29.3
Asset impairment charges 4.3 9.2 20.4 15.6
Deferred income taxes 35.9 69.2 92.7 107.3
Gain on extinguishment
of debt - (1.4) (.7) (15.9)
Share of affiliates'
earnings, net
of dividends (14.6) (12.2) (45.6) (36.2)
Cumulative effect of
accounting change - - - 34.9
Other, including
working capital (50.0) (95.7) (13.5) (144.3)
Net cash provided by
continuing operations 69.2 75.4 325.1 255.5
Investing Activities
Additions to equipment
on lease, net of
nonrecourse financing
for leveraged leases,
operating lease assets
and facilities (124.8) (148.7) (463.9) (662.3)
Loans extended (10.9) (35.6) (48.6) (90.9)
Investments in
affiliated companies (4.8) (4.4) (49.0) (31.0)
Progress payments (3.5) (25.8) (26.1) (84.7)
Other investments (1.0) (1.9) (25.2) (18.5)
Portfolio investments
and capital additions (145.0) (216.4) (612.8) (887.4)
Portfolio proceeds 177.8 223.3 568.2 673.2
Proceeds from other
asset sales 4.3 7.2 19.1 12.0
Net decrease (increase)
in restricted cash 1.1 9.3 (76.1) 1.2
Effect of exchange rate
changes on
restricted cash - (3.4) 17.7 6.6
Net cash provided by
(used in) investing
activities of
continuing operations 38.2 20.0 (83.9) (194.4)
Financing Activities
Net proceeds from
issuance of
long-term debt 241.5 144.4 574.5 1,304.7
Repayment of
long-term debt (410.0) (319.3) (846.7) (990.7)
Net increase
(decrease) in
short-term debt 8.3 (.8) 16.8 (287.5)
Net decrease in
capital lease
obligations (5.2) (5.6) (20.0) (20.5)
Issuance of common
stock and other 1.1 .1 1.7 4.4
Cash dividends (15.7) (15.7) (47.1) (46.9)
Net cash used in
financing activities
of continuing
operations (180.0) (196.9) (320.8) (36.5)
Effect of Exchange Rate
Changes on Cash
and Cash Equivalents (2.1) 1.8 .6 10.5
Net Transfers to
Discontinued Operations - (.8) - (12.9)
Net (Decrease) Increase
in Cash and Cash
Equivalents from
Continuing Operations (74.7) (100.5) (79.0) 22.2
Proceeds from Sale of
a Portion of Segment - - - 3.2
Net (Decrease)
Increase in Cash and
Cash Equivalents $(74.7) $(100.5) $(79.0) $25.4
GATX CORPORATION AND SUBSIDIARIES
SEGMENT DATA (UNAUDITED)
Three Months Ended September 30, 2003
(In Millions)
GATX Financial Corporate GATX
Rail Services and Other Consolidated
Gross Income
Lease income $159.9 $78.3 $- $238.2
Marine operating revenue - 27.3 - 27.3
Interest income - 9.1 - 9.1
Asset remarketing income (.2) 7.7 - 7.5
Gain on sale of
securities - 5.8 - 5.8
Fees .9 3.0 - 3.9
Other 11.8 13.8 .5 26.1
Revenues 172.4 145.0 .5 317.9
Gain on extinguishment
of debt - - - -
Share of affiliates'
earnings 4.0 14.5 - 18.5
Total Gross Income 176.4 159.5 .5 336.4
Ownership Costs
Depreciation 28.5 49.4 - 77.9
Interest, net 15.2 31.0 2.5 48.7
Operating lease expense 43.1 2.0 - 45.1
Total Ownership Costs 86.8 82.4 2.5 171.7
Other Costs and Expenses
Maintenance expense 42.8 .5 - 43.3
Marine operating
expenses - 21.8 - 21.8
Other operating expenses 8.6 2.7 - 11.3
Selling, general
and administrative 19.1 22.8 5.2 47.1
(Reversal) provision
for possible losses (1.5) 1.9 - .4
Asset impairment charges - 4.3 - 4.3
Fair value adjustments
for derivatives - .2 - .2
Total Other Costs
and Expenses 69.0 54.2 5.2 128.4
Income (Loss) before
Income Taxes 20.6 22.9 (7.2) 36.3
Income Tax
Provision (Benefit) 7.0 9.3 (2.7) 13.6
Net Income (Loss) $13.6 $13.6 $(4.5) $22.7
GATX CORPORATION AND SUBSIDIARIES
SEGMENT DATA (UNAUDITED)
Three Months Ended September 30, 2002
(In Millions)
GATX Financial Corporate GATX
Rail Services and Other Consolidated
Gross Income
Lease income $146.6 $102.8 $- $249.4
Marine operating
revenue - 29.0 - 29.0
Interest income - 15.0 - 15.0
Asset remarketing
income .4 10.2 - 10.6
Gain on sale of
securities - 2.3 - 2.3
Fees 1.2 2.5 - 3.7
Other 13.2 - (.3) 12.9
Revenues 161.4 161.8 (.3) 322.9
Gain on extinguishment
of debt - 1.3 .1 1.4
Share of affiliates'
earnings 2.7 15.6 - 18.3
Total Gross Income 164.1 178.7 (.2) 342.6
Ownership Costs
Depreciation 26.4 61.2 - 87.6
Interest, net 13.4 37.5 7.0 57.9
Operating lease
expense 42.6 3.0 - 45.6
Total Ownership Costs 82.4 101.7 7.0 191.1
Other Costs and Expenses
Maintenance expense 37.7 .1 - 37.8
Marine operating
expenses - 20.5 - 20.5
Other operating
expenses 7.0 .9 - 7.9
Selling, general
and administrative 17.5 28.5 4.4 50.4
Provision for
possible losses .3 2.1 - 2.4
Asset impairment charges - 9.2 - 9.2
Fair value adjustments
for derivatives .5 (1.2) - (.7)
Total Other Costs
and Expenses 63.0 60.1 4.4 127.5
Income (Loss) before
Income Taxes 18.7 16.9 (11.6) 24.0
Income Tax
Provision (Benefit) 4.0 4.7 (3.8) 4.9
Net Income (Loss) $14.7 $12.2 $(7.8) $19.1
GATX CORPORATION AND SUBSIDIARIES
SEGMENT DATA (UNAUDITED)
Nine Months Ended September 30, 2003
(In Millions)
GATX Financial Corporate GATX
Rail Services and Other Consolidated
Gross Income
Lease income $475.6 $241.0 $- $716.6
Marine operating
revenue - 57.0 - 57.0
Interest income - 30.9 - 30.9
Asset remarketing
income 4.4 26.6 - 31.0
Gain on sale of
securities - 6.3 - 6.3
Fees 2.7 12.1 - 14.8
Other 35.3 27.1 .3 62.7
Revenues 518.0 401.0 .3 919.3
Gain on extinguishment
of debt - .7 - .7
Share of affiliates'
earnings 8.7 50.7 - 59.4
Total Gross Income 526.7 452.4 .3 979.4
Ownership Costs
Depreciation 86.5 147.9 - 234.4
Interest, net 49.1 92.8 11.2 153.1
Operating lease expense 130.6 6.7 - 137.3
Total Ownership Costs 266.2 247.4 11.2 524.8
Other Costs and Expenses
Maintenance expense 123.0 2.3 - 125.3
Marine operating
expenses - 45.9 - 45.9
Other operating
expenses 26.6 4.8 - 31.4
Selling, general
and administrative 56.6 69.5 15.0 141.1
(Reversal) provision
for possible losses (1.7) 10.5 - 8.8
Asset impairment charges - 20.4 - 20.4
Fair value adjustments
for derivatives .1 2.5 - 2.6
Total Other Costs
and Expenses 204.6 155.9 15.0 375.5
Income (Loss) before
Income Taxes 55.9 49.1 (25.9) 79.1
Income Tax
Provision (Benefit) 19.8 19.2 (9.2) 29.8
Net Income (Loss) $36.1 $29.9 $(16.7) $49.3
GATX CORPORATION AND SUBSIDIARIES
SEGMENT DATA (UNAUDITED)
Nine Months Ended September 30, 2002
(In Millions)
Discontinued GATX
GATX Financial Corporate Opera- Consoli-
Rail Services and Other tions dated
Gross Income
Lease income $458.5 $307.4 $- $- $765.9
Marine
operating
revenue - 53.7 - - 53.7
Interest income - 43.6 - - 43.6
Asset
remarketing
income 4.3 36.1 - - 40.4
Gain on sale
of securities - 3.4 - - 3.4
Fees 2.7 10.4 - - 13.1
Other 31.3 5.9 (1.0) - 36.2
Revenues 496.8 460.5 (1.0) - 956.3
Gain on
extinguishment
of debt - 15.8 .1 - 15.9
Share of
affiliates'
earnings 8.7 49.4 - - 58.1
Total Gross
Income 505.5 525.7 (.9) - 1,030.3
Ownership Costs
Depreciation 78.8 185.3 - - 264.1
Interest, net 42.9 109.7 15.1 - 167.7
Operating
lease
expense 128.7 4.9 - - 133.6
Total
Ownership
Costs 250.4 299.9 15.1 - 565.4
Other Costs
and Expenses
Maintenance
expense 112.2 .5 - - 112.7
Marine
operating
expenses - 40.1 - - 40.1
Other
operating
expenses 21.1 4.5 - - 25.6
Selling,
general and
administrative 55.4 81.4 15.1 - 151.9
Provision for
possible losses .9 28.4 - - 29.3
Asset
impairment
charges - 15.6 - - 15.6
Fair value
adjustments for
derivatives .3 2.7 - - 3.0
Total Other
Costs and
Expenses 189.9 173.2 15.1 - 378.2
Income (Loss)
from Continuing
Operations
before Income
Taxes and
Cumulative
Effect of
Accounting
Change 65.2 52.6 (31.1) - 86.7
Income Tax
Provision
(Benefit) 20.3 18.3 (10.3) - 28.3
Income (Loss)
from Continuing
Operations
before
Cumulative
Effect of
Accounting
Change 44.9 34.3 (20.8) - 58.4
Discontinued
Operations
Gain on sale
of portion
of segment,
net of taxes - - - 6.2 6.2
Total
Discontinued
Operations - - - 6.2 6.2
Income (Loss)
before
Cumulative
Effect of
Accounting
Change 44.9 34.3 (20.8) 6.2 64.6
Cumulative
Effect of
Accounting
Change (34.9) - - - (34.9)
Net (Loss)
Income $10.0 $34.3 $(20.8) $6.2 $29.7
GATX CORPORATION AND SUBSIDIARIES
SUPPLEMENTAL INFORMATION (UNAUDITED)
(In Millions, Except Railcar Data)
3Q03 12/31/2002 3Q02
Total Assets, Excluding
Cash (a) $7,035.7 $7,428.5 $7,243.7
Reservable Assets 962.3 1,245.0 1,312.7
Financial Services Investments 2,679.4 2,900.9 2,874.3
Allowance for Losses 68.0 82.2 87.3
Allowance for Losses as a
Percentage of Reservable Assets 7.1% 6.6% 6.7%
Net Charge-Offs and Asset
Impairments and Write-Downs 7.2 18.4
Net Charge-Offs/Impairments/
Write-Downs as a Percentage
of Average Total Assets
(Annualized) .4% 1.0%
Non-performing Investments 148.5 94.9 93.3
Non-performing Investments as
a Percentage of Financial
Services' Investments 5.5% 3.3% 3.2%
Capital Structure
Short-term Debt, Net of
Unrestricted Cash (119.9) (217.4) (248.3)
Long-term Debt:
On Balance Sheet
Recourse 3,208.6 3,487.9 3,419.9
Nonrecourse 466.4 594.6 585.2
Off Balance Sheet
Recourse 981.1 1,018.8 1,024.1
Nonrecourse 317.0 353.4 348.4
Capital Lease Obligations 123.7 143.7 142.5
Total Net Debt Obligations 4,976.9 5,381.0 5,271.8
Total Recourse Debt 4,193.5 4,433.0 4,338.2
Shareholders' Equity and
Allowance for Losses 886.9 883.8 943.0
Recourse Leverage 4.7 5.0 4.6
Asset Remarketing Income
Disposition gains on
owned assets 5.3 3.9
Residual sharing fees 2.2 6.7
7.5 10.6
Railcar Data
North American Fleet Utilization 93% 90%
Beginning Fleet Size 105,066 110,536
Additions 288 290
Scrappings (861) (2,409)
Ending Fleet Size 104,493 108,417
(a) Includes Off Balance Sheet Assets
SOURCE GATX Corporation
 back to top
Related links:
http://www.gatx.com
CONTACT:
Robert C. Lyons of GATX Corporation,
+1-312-621-6633
|
