Cover Page
Cover Page - shares | 3 Months Ended | |
Mar. 31, 2022 | Apr. 22, 2022 | |
Cover [Abstract] | ||
Document Type | 10-Q | |
Document Quarterly Report | true | |
Document Period End Date | Mar. 31, 2022 | |
Document Transition Report | false | |
Entity File Number | 1-13045 | |
Entity Registrant Name | IRON MOUNTAIN INC | |
Entity Incorporation, State or Country Code | DE | |
Entity Tax Identification Number | 23-2588479 | |
Entity Address, Address Line One | One Federal Street | |
Entity Address, City or Town | Boston | |
Entity Address, State or Province | MA | |
Entity Address, Postal Zip Code | 02110 | |
City Area Code | 617 | |
Local Phone Number | 535-4766 | |
Title of 12(b) Security | Common Stock, $.01 par value | |
Trading Symbol | IRM | |
Security Exchange Name | NYSE | |
Entity Current Reporting Status | Yes | |
Entity Interactive Data Current | Yes | |
Entity Filer Category | Large Accelerated Filer | |
Emerging Growth Company | false | |
Small Business Entity | false | |
Entity Shell Company | false | |
Entity Common Stock, Shares Outstanding | 290,561,538 | |
Entity Central Index Key | 0001020569 | |
Current Fiscal Year End Date | --12-31 | |
Document Fiscal Year Focus | 2022 | |
Document Fiscal Period Focus | Q1 | |
Amendment Flag | false |
CONDENSED CONSOLIDATED BALANCE
CONDENSED CONSOLIDATED BALANCE SHEETS - USD ($) $ in Thousands | Mar. 31, 2022 | Dec. 31, 2021 |
Current Assets: | ||
Cash and cash equivalents | $ 195,660 | $ 255,828 |
Accounts receivable (less allowances of $61,167 and $62,009 as of March 31, 2022 and December 31, 2021, respectively) | 1,063,723 | 961,419 |
Prepaid expenses and other | 268,312 | 224,020 |
Total Current Assets | 1,527,695 | 1,441,267 |
Property, Plant and Equipment: | ||
Property, plant and equipment | 8,748,937 | 8,647,303 |
Less—Accumulated depreciation | (4,078,290) | (3,979,159) |
Property, Plant and Equipment, Net | 4,670,647 | 4,668,144 |
Other Assets, Net: | ||
Goodwill | 5,023,691 | 4,463,531 |
Customer and supplier relationships and other intangible assets | 1,581,429 | 1,181,043 |
Operating lease right-of-use assets | 2,343,627 | 2,314,422 |
Other | 480,887 | 381,624 |
Total Other Assets, Net | 9,429,634 | 8,340,620 |
Total Assets | 15,627,976 | 14,450,031 |
Current Liabilities: | ||
Current portion of long-term debt | 91,180 | 309,428 |
Accounts payable | 424,064 | 369,145 |
Accrued expenses and other current liabilities (includes current portion of operating lease liabilities) | 883,323 | 1,032,537 |
Deferred revenue | 301,965 | 307,470 |
Total Current Liabilities | 1,700,532 | 2,018,580 |
Long-term Debt, net of current portion | 10,143,011 | 8,962,513 |
Long-term Operating Lease Liabilities, net of current portion | 2,196,846 | 2,171,472 |
Other Long-term Liabilities | 407,826 | 144,053 |
Deferred Income Taxes | 347,562 | 223,934 |
Commitments and Contingencies | ||
Redeemable Noncontrolling Interests | 73,428 | 72,411 |
Equity: | ||
Preferred stock (par value $0.01; authorized 10,000,000 shares; none issued and outstanding) | 0 | 0 |
Common stock (par value $0.01; authorized 400,000,000 shares; issued and outstanding 290,550,440 and 289,757,061 shares as of March 31, 2022 and December 31, 2021, respectively) | 2,906 | 2,898 |
Additional paid-in capital | 4,409,051 | 4,412,553 |
(Distributions in excess of earnings) Earnings in excess of distributions | (3,359,876) | (3,221,152) |
Accumulated other comprehensive items, net | (294,358) | (338,347) |
Total Iron Mountain Incorporated Stockholders' Equity | 757,723 | 855,952 |
Noncontrolling Interests | 1,048 | 1,116 |
Total Equity | 758,771 | 857,068 |
Total Liabilities and Equity | $ 15,627,976 | $ 14,450,031 |
CONDENSED CONSOLIDATED BALANC_2
CONDENSED CONSOLIDATED BALANCE SHEETS (Parenthetical) - USD ($) $ in Thousands | Mar. 31, 2022 | Dec. 31, 2021 |
Statement of Financial Position [Abstract] | ||
Allowance for doubtful accounts | $ 61,167 | $ 62,009 |
Preferred stock, par value (in dollars per share) | $ 0.01 | $ 0.01 |
Preferred stock, authorized shares (in shares) | 10,000,000 | 10,000,000 |
Preferred stock, issued shares (in shares) | 0 | 0 |
Preferred stock, outstanding shares (in shares) | 0 | 0 |
Common stock, par value (in dollars per share) | $ 0.01 | $ 0.01 |
Common stock, authorized shares (in shares) | 400,000,000 | 400,000,000 |
Common stock, issued shares (in shares) | 290,550,440 | 289,757,061 |
Common stock, outstanding shares (in shares) | 290,550,440 | 289,757,061 |
CONDENSED CONSOLIDATED STATEMEN
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2022 | Mar. 31, 2021 | |
Revenues: | ||
Storage rental | $ 751,070 | $ 708,056 |
Service | 496,976 | 373,984 |
Total Revenues | 1,248,046 | 1,082,040 |
Operating Expenses: | ||
Cost of sales (excluding depreciation and amortization) | 546,622 | 451,909 |
Selling, general and administrative | 280,723 | 258,723 |
Depreciation and amortization | 183,615 | 165,642 |
Acquisition and Integration Costs | 15,661 | 0 |
Restructuring Charges | 0 | 39,811 |
(Gain) Loss on disposal/write-down of property, plant and equipment, net | (705) | (4,451) |
Total Operating Expenses | 1,025,916 | 911,634 |
Operating Income (Loss) | 222,130 | 170,406 |
Interest Expense, Net (includes Interest Income) | 114,442 | 104,422 |
Other Expense (Income), Net | 55,901 | 4,713 |
Net Income (Loss) Before Provision (Benefit) for Income Taxes | 51,787 | 61,271 |
Provision (Benefit) for Income Taxes | 10,080 | 14,640 |
Net Income (Loss) | 41,707 | 46,631 |
Less: Net (Loss) Income Attributable to Noncontrolling Interests | (592) | 1,028 |
Net Income (Loss) Attributable to Iron Mountain Incorporated | $ 42,299 | $ 45,603 |
Net Income (Loss) Per Share Attributable to Iron Mountain Incorporated: | ||
Basic (in dollars per share) | $ 0.15 | $ 0.16 |
Diluted (in dollars per share) | $ 0.14 | $ 0.16 |
Weighted Average Common Shares Outstanding-Basic (in shares) | 290,328,000 | 288,756,000 |
Weighted Average Common Shares Outstanding-Diluted (in shares) | 291,845,602 | 289,528,287 |
CONDENSED CONSOLIDATED STATEM_2
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (Parenthetical) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2022 | Mar. 31, 2021 | |
Income Statement [Abstract] | ||
Interest income | $ 1,648 | $ 2,571 |
CONDENSED CONSOLIDATED STATEM_3
CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (LOSS) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2022 | Mar. 31, 2021 | |
Statement of Comprehensive Income [Abstract] | ||
Net income (loss) | $ 41,707 | $ 46,631 |
Other Comprehensive Income (Loss): | ||
Foreign Currency Translation Adjustment | 27,453 | (66,355) |
Change in Fair Value of Derivative Instruments | 16,766 | 15,206 |
Total Other Comprehensive Income (Loss) | 44,219 | (51,149) |
Comprehensive Income (Loss) | 85,926 | (4,518) |
Comprehensive (Loss) Income Attributable to Noncontrolling Interests | (362) | 897 |
Comprehensive Income (Loss) Attributable to Iron Mountain Incorporated | $ 86,288 | $ (5,415) |
CONDENSED CONSOLIDATED STATEM_4
CONDENSED CONSOLIDATED STATEMENTS OF EQUITY - USD ($) $ in Thousands | Total | COMMON STOCK | ADDITIONAL PAID-IN CAPITAL | (DISTRIBUTIONS IN EXCESS OF EARNINGS) EARNINGS IN EXCESS OF DISTRIBUTIONS | ACCUMULATED OTHER COMPREHENSIVE ITEMS, NET | NONCONTROLLING INTERESTS | REDEEMABLE NONCONTROLLING INTERESTS |
Beginning of Period at Dec. 31, 2020 | $ 1,136,729 | $ 2,883 | $ 4,340,078 | $ (2,950,339) | $ (255,893) | $ 0 | |
Balance (in shares) at Dec. 31, 2020 | 288,273,049 | ||||||
Increase (Decrease) in Stockholders' Equity | |||||||
Issuance and net settlement of shares under employee stock purchase plan and option plans and stock-based compensation | 6,398 | $ 5 | 6,393 | ||||
Issuance of shares under employee stock purchase plan and option plans and stock-based compensation (in shares) | 454,698 | ||||||
Change in equity related to redeemable noncontrolling interests | 680 | 680 | $ (680) | ||||
Parent cash dividends declared | (178,685) | (178,685) | |||||
Foreign currency translation adjustment | (66,224) | (66,224) | |||||
Change in fair value of derivative instruments | 15,206 | 15,206 | |||||
Net income (loss) | 45,603 | 45,603 | |||||
End of period at Mar. 31, 2021 | 959,707 | $ 2,888 | 4,347,151 | (3,083,421) | (306,911) | 0 | |
Balance (in shares) at Mar. 31, 2021 | 288,727,747 | ||||||
Beginning of redeemable noncontrolling interest at Dec. 31, 2020 | 59,805 | ||||||
Increase (Decrease) in Temporary Equity [Roll Forward] | |||||||
Change in equity related to redeemable noncontrolling interests | 680 | 680 | (680) | ||||
Foreign currency translation adjustment | (131) | ||||||
Net income (loss) | 1,028 | ||||||
Noncontrolling interests equity contributions | 2,200 | ||||||
Noncontrolling interests dividends | (621) | ||||||
Ending of redeemable noncontrolling interest at Mar. 31, 2021 | 61,601 | ||||||
Beginning of Period at Dec. 31, 2021 | $ 857,068 | $ 2,898 | 4,412,553 | (3,221,152) | (338,347) | 1,116 | |
Balance (in shares) at Dec. 31, 2021 | 289,757,061 | 289,757,061 | |||||
Increase (Decrease) in Stockholders' Equity | |||||||
Issuance and net settlement of shares under employee stock purchase plan and option plans and stock-based compensation | $ (1,502) | $ 8 | (1,510) | ||||
Issuance of shares under employee stock purchase plan and option plans and stock-based compensation (in shares) | 793,379 | ||||||
Change in equity related to redeemable noncontrolling interests | (1,992) | (1,992) | 1,992 | ||||
Parent cash dividends declared | (181,023) | (181,023) | |||||
Foreign currency translation adjustment | 27,155 | 27,223 | (68) | ||||
Change in fair value of derivative instruments | 16,766 | 16,766 | |||||
Net income (loss) | 42,299 | 42,299 | |||||
End of period at Mar. 31, 2022 | $ 758,771 | $ 2,906 | 4,409,051 | $ (3,359,876) | $ (294,358) | $ 1,048 | |
Balance (in shares) at Mar. 31, 2022 | 290,550,440 | 290,550,440 | |||||
Beginning of redeemable noncontrolling interest at Dec. 31, 2021 | $ 72,411 | 72,411 | |||||
Increase (Decrease) in Temporary Equity [Roll Forward] | |||||||
Change in equity related to redeemable noncontrolling interests | (1,992) | $ (1,992) | 1,992 | ||||
Foreign currency translation adjustment | 298 | ||||||
Net income (loss) | (592) | ||||||
Noncontrolling interests dividends | (681) | ||||||
Ending of redeemable noncontrolling interest at Mar. 31, 2022 | $ 73,428 | $ 73,428 |
CONDENSED CONSOLIDATED STATEM_5
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2022 | Mar. 31, 2021 | |
Cash Flows from Operating Activities: | ||
Net income (loss) | $ 41,707 | $ 46,631 |
Adjustments to reconcile net income (loss) to cash flows from operating activities: | ||
Depreciation | 120,393 | 114,449 |
Amortization (includes amortization of deferred financing costs and discounts of $4,389 and $4,127 for the three months ended March 31, 2022 and 2021, respectively) | 67,611 | 55,320 |
Revenue reduction associated with amortization of customer inducements and above- and below-market leases | 1,860 | 2,263 |
Stock-based compensation expense | 11,341 | 10,953 |
Benefit (provision) for deferred income taxes | (10,142) | (6,315) |
Loss on early extinguishment of debt | 671 | 0 |
(Gain) loss on disposal/write-down of property, plant and equipment, net | (705) | (4,451) |
Loss associated with OSG deconsolidation | 105,825 | 0 |
Gain associated with Clutter Transaction | (35,821) | 0 |
Foreign currency transactions and other, net | (7,219) | 9,220 |
(Increase) decrease in assets | (105,321) | (22,154) |
(Decrease) increase in liabilities | (135,694) | (137,087) |
Cash Flows from Operating Activities | 54,506 | 68,829 |
Cash Flows from Investing Activities: | ||
Capital expenditures | (161,050) | (145,528) |
Cash paid for acquisitions, net of cash acquired | (717,907) | 0 |
Acquisition of customer relationships | 0 | (874) |
Customer inducements | (1,913) | (1,457) |
Contract fulfillment costs | (14,237) | (16,719) |
Investments in joint ventures and other investments | 0 | (6,500) |
Proceeds from sales of property and equipment and other, net | 5,353 | 12,448 |
Cash Flows from Investing Activities | (889,754) | (158,630) |
Cash Flows from Financing Activities: | ||
Repayment of revolving credit facility, term loan facilities and other debt | (2,278,884) | (415,030) |
Proceeds from revolving credit facility, term loan facilities and other debt | 3,254,197 | 625,689 |
Debt repayment and equity distribution to noncontrolling interests | (681) | (621) |
Parent cash dividends | (184,361) | (180,992) |
Net (payments) proceeds associated with employee stock-based awards | (12,843) | (4,556) |
Other, net | (5,875) | 5,000 |
Cash Flows from Financing Activities | 771,553 | 29,490 |
Effect of Exchange Rates on Cash and Cash Equivalents | 3,527 | (5,808) |
(Decrease) increase in Cash and Cash Equivalents | (60,168) | (66,119) |
Cash and Cash Equivalents, Beginning of Period | 255,828 | 205,063 |
Cash and Cash Equivalents, End of Period | 195,660 | 138,944 |
Supplemental Information: | ||
Cash Paid for Interest | 179,079 | 185,558 |
Cash Paid for Income Taxes, Net | 19,277 | 20,847 |
Non-Cash Investing and Financing Activities: | ||
Financing Leases | 5,190 | 4,976 |
Accrued Capital Expenditures | 78,466 | 59,490 |
Deferred Purchase Obligation and Other | 276,300 | 0 |
Dividends Payable | $ 187,220 | $ 185,560 |
CONDENSED CONSOLIDATED STATEM_6
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (Parenthetical) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2022 | Mar. 31, 2021 | |
Statement of Cash Flows [Abstract] | ||
Deferred financing costs and discount included in Amortization | $ 4,389 | $ 4,127 |
General
General | 3 Months Ended |
Mar. 31, 2022 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
General | GENERAL The unaudited condensed consolidated financial statements of Iron Mountain Incorporated, a Delaware corporation (“IMI”), and its subsidiaries (“we” or “us”), have been prepared pursuant to the rules and regulations of the United States Securities and Exchange Commission (the “SEC”). Certain information and footnote disclosures normally included in the annual financial statements prepared in accordance with accounting principles generally accepted in the United States of America (“GAAP”) have been omitted pursuant to those rules and regulations, but we believe that the disclosures included herein are adequate to make the information presented not misleading. The interim condensed consolidated financial statements are presented herein and, in the opinion of management, reflect all adjustments of a normal recurring nature necessary for a fair presentation. Interim results are not necessarily indicative of results for a full year. The Condensed Consolidated Financial Statements and Notes thereto, which are included herein, should be read in conjunction with the Consolidated Financial Statements and Notes thereto for the year ended December 31, 2021 included in our Annual Report on Form 10-K filed with the SEC on February 24, 2022 (our “Annual Report”). |
Summary of Significant Accounti
Summary of Significant Accounting Policies | 3 Months Ended |
Mar. 31, 2022 | |
Accounting Policies [Abstract] | |
Summary Of Significant Accounting Policies | A. CASH AND CASH EQUIVALENTS Cash and cash equivalents include cash on hand and cash invested in highly liquid short-term securities, which have remaining maturities at the date of purchase of less than 90 days. Cash and cash equivalents are carried at cost, which approximates fair value B. ACCOUNTS RECEIVABLE We maintain an allowance for doubtful accounts and a credit memo reserve for estimated losses resulting from the potential inability of our customers to make required payments and potential disputes regarding billing and service issues. The rollforward of the allowance for doubtful accounts and credit memo reserves for the three months ended March 31, 2022 is as follows: Balance as of December 31, 2021 $ 62,009 Credit memos charged to revenue 12,352 Allowance for bad debts charged to expense 6,699 Deductions and other (1) (19,893) Balance as of March 31, 2022 $ 61,167 (1) Primarily consists of the issuance of credit memos, the write-off of accounts receivable, allowances associated with businesses acquired and the impact associated with currency translation adjustments. C. INVENTORY Inventories are stated at the lower of cost or net realizable value, based on a first-in, first-out methodology. Our inventory primarily consists of information technology-related assets including memory, central processing units, hard drives, adaptors and networking. All of our inventory is considered finished goods. Inventory is included as a component of Prepaid expenses and other in our Condensed Consolidated Balance Sheets. At March 31, 2022, we have inventory of approximately $24,900, net of related reserves for obsolete, excess and slow-moving inventory, which was acquired as part of the ITRenew Transaction (as defined in Note 3). We had no inventory at December 31, 2021. D. LEASES We lease facilities for certain warehouses, data centers and office space. We also have land leases, including those on which certain facilities are located. Operating and financing lease right-of-use assets and lease liabilities as of March 31, 2022 and December 31, 2021 are as follows: DESCRIPTION MARCH 31, 2022 DECEMBER 31, 2021 Assets: Operating lease right-of-use assets $ 2,343,627 $ 2,314,422 Financing lease right-of-use assets, net of accumulated depreciation (1) 284,468 298,049 Liabilities: Current Operating lease liabilities $ 265,186 $ 259,957 Financing lease liabilities (1) 39,397 41,168 Long-term Operating lease liabilities $ 2,196,846 $ 2,171,472 Financing lease liabilities (1) 301,603 315,561 (1) Financing lease right-of-use assets, current financing lease liabilities and long-term financing lease liabilities are included within Property, Plant and Equipment, Net, Current portion of long-term debt and Long-term Debt, net of current portion, respectively, within our Condensed Consolidated Balance Sheets. The components of the lease expense for the three months ended March 31, 2022 and 2021 are as follows: THREE MONTHS ENDED MARCH 31, DESCRIPTION 2022 2021 Operating lease cost (1) $ 143,530 $ 132,675 Financing lease cost: Depreciation of financing lease right-of-use assets $ 11,454 $ 12,648 Interest expense for financing lease liabilities 4,678 4,975 (1) Operating lease cost, the majority of which is included in Cost of sales, includes variable lease costs of $30,508 and $28,368 for the three months ended March 31, 2022 and 2021, respectively. Other information: Supplemental cash flow information relating to our leases for the three months ended March 31, 2022 and 2021 is as follows: THREE MONTHS ENDED MARCH 31, CASH PAID FOR AMOUNTS INCLUDED IN MEASUREMENT OF LEASE LIABILITIES: 2022 2021 Operating cash flows used in operating leases $ 101,605 $ 93,645 Operating cash flows used in financing leases (interest) 4,678 4,975 Financing cash flows used in financing leases 10,362 12,441 NON-CASH ITEMS: Operating lease modifications and reassessments $ 23,767 $ 31,994 New operating leases (including acquisitions and sale-leaseback transactions) 125,902 48,200 E. GOODWILL Our reporting units as of December 31, 2021 are described in detail in Note 2.k. to Notes to Consolidated Financial Statements included in our Annual Report. The goodwill associated with acquisitions completed during the first three months of 2022 (as described in Note 3) has been incorporated into our reporting units as they existed as of December 31, 2021. The changes in the carrying value of goodwill attributable to each reportable operating segment for the three months ended March 31, 2022 are as follows: GLOBAL RIM BUSINESS GLOBAL DATA CENTER BUSINESS CORPORATE AND OTHER BUSINESS TOTAL CONSOLIDATED Goodwill balance, net of accumulated amortization as of December 31, 2021 $ 3,976,261 $ 426,074 $ 61,196 $ 4,463,531 Non-tax deductible goodwill acquired during the period 978 — 580,150 581,128 Fair value and other adjustments (1) (16,993) — — (16,993) Currency effects (672) (2,702) (601) (3,975) Goodwill balance, net accumulated amortization as of March 31, 2022 $ 3,959,574 $ 423,372 $ 640,745 $ 5,023,691 Accumulated goodwill impairment balance as of March 31, 2022 $ 132,409 $ — $ 26,011 $ 158,420 (1) This amount represents an adjustment to goodwill as a result of the deconsolidation of certain businesses, as described in Note 2.k. F. FAIR VALUE MEASUREMENTS The assets and liabilities carried at fair value measured on a recurring basis as of March 31, 2022 and December 31, 2021 are as follows: FAIR VALUE MEASUREMENTS AT MARCH 31, 2022 USING DESCRIPTION TOTAL CARRYING QUOTED PRICES IN SIGNIFICANT OTHER SIGNIFICANT Money Market Funds $ 28,718 $ — $ 28,718 $ — Time Deposits 3,167 — 3,167 — Trading Securities 10,442 10,355 87 — Derivative Assets 19,443 — 19,443 — Deferred Purchase Obligation (as defined in Note 3) 275,100 — — 275,100 FAIR VALUE MEASUREMENTS AT DECEMBER 31, 2021 USING DESCRIPTION TOTAL CARRYING QUOTED PRICES IN SIGNIFICANT OTHER SIGNIFICANT Money Market Funds $ 101,022 $ — $ 101,022 $ — Time Deposits 2,238 — 2,238 — Trading Securities 11,147 11,062 85 — Derivative Assets 11,021 — 11,021 — Derivative Liabilities 8,344 — 8,344 — There were no material items that are measured at fair value on a non-recurring basis at March 31, 2022 and December 31, 2021, other than (i) those disclosed in Note 2.o. to Notes to Consolidated Financial Statements included in our Annual Report, (ii) assets acquired and liabilities assumed through the ITRenew Transaction (as defined and described in Note 3), (iii) our investment in the Clutter JV (as defined in Note 4), and (iv) the fair value of our retained investment of our deconsolidated businesses (as described in Note 2.k.), all of which are based on Level 3 inputs. The fair value of the Deferred Purchase Obligation associated with the ITRenew Transaction was determined utilizing a Monte-Carlo model and takes into account our current forecasted projections as it relates to the underlying performance of the business. G. ACCUMULATED OTHER COMPREHENSIVE ITEMS, NET The changes in accumulated other comprehensive items, net for the three months ended March 31, 2022 and 2021 are as follows: THREE MONTHS ENDED MARCH 31, 2022 THREE MONTHS ENDED MARCH 31, 2021 FOREIGN CHANGE IN FAIR VALUE OF TOTAL FOREIGN CHANGE IN FAIR VALUE OF TOTAL Beginning of Period $ (341,024) $ 2,677 $ (338,347) $ (206,190) $ (49,703) $ (255,893) Other comprehensive (loss) income): Foreign currency translation and other adjustments 27,223 — 27,223 (66,224) — (66,224) Change in fair value of derivative instruments — 16,766 16,766 — 15,206 15,206 Total other comprehensive (loss) income 27,223 16,766 43,989 (66,224) 15,206 (51,018) End of Period $ (313,801) $ 19,443 $ (294,358) $ (272,414) $ (34,497) $ (306,911) H. REVENUES The costs associated with the initial movement of customer records into physical storage and certain commissions are considered costs to obtain or fulfill customer contracts (collectively, “Contract Fulfillment Costs”). Contract Fulfillment Costs as of March 31, 2022 and December 31, 2021 are as follows: MARCH 31, 2022 DECEMBER 31, 2021 GROSS ACCUMULATED NET GROSS ACCUMULATED NET Intake Costs asset $ 71,731 $ (45,432) $ 26,299 $ 71,336 $ (42,678) $ 28,658 Commissions asset 121,501 (54,356) 67,145 114,791 (50,553) 64,238 Deferred revenue liabilities are reflected in our Condensed Consolidated Balance Sheets as follows: DESCRIPTION LOCATION IN BALANCE SHEET MARCH 31, 2022 DECEMBER 31, 2021 Deferred revenue - Current Deferred revenue $ 301,965 $ 307,470 Deferred revenue - Long-term Other Long-term Liabilities 31,532 33,691 DATA CENTER LESSOR CONSIDERATIONS Our Global Data Center Business features storage rental provided to customers at contractually specified rates over a fixed contractual period, which are accounted for in accordance with Accounting Standards Codification (“ASC”) No. 842 (“ASC 842”), Leases, as amended. Storage rental revenue, including revenue associated with power and connectivity, associated with our Global Data Center Business for the three months ended March 31, 2022 and 2021 are as follows: THREE MONTHS ENDED MARCH 31, 2022 2021 Storage rental revenue (1) $ 87,451 $ 67,157 (1) Revenue associated with power and connectivity included within storage rental revenue was $28,318 and $13,133 for the three months ended March 31, 2022 and 2021, respectively. I. STOCK-BASED COMPENSATION Our stock-based compensation expense includes the cost of stock options, restricted stock units (“RSUs”), performance units (“PUs”) and shares of stock issued under our employee stock purchase plan (“ESPP”) (together, the “Employee Stock-Based Awards”). 2022 RETIREMENT ELIGIBLE CRITERIA For our Employee Stock-Based Awards made on or after March 1, 2022, we have included the following retirement provision: • Upon an award recipient's retirement on or after attaining age 55 with at least five years of service, if the sum of (i) the award recipient’s age at retirement and (ii) the award recipient’s years of service with us totals at least 65, the award recipient is entitled to continued vesting of any outstanding Employee Stock-Based Awards, provided that their retirement occurs on or after a minimum of six months from the grant date (the “Retirement Criteria”). • Accordingly, (i) grants of Employee Stock-Based Awards to an employee who has met the Retirement Criteria on or before the date of grant, or will meet the Retirement Criteria before the six month anniversary in the year of the grant, will be expensed over six months from the date of grant and (ii) grants of Employee Stock-Based Awards to employees who will meet the Retirement Criteria during the award’s normal vesting period will be expensed between the date of grant and the date upon which the award recipient meets the Retirement Criteria. • Stock options and RSUs granted to award recipients who meet the Retirement Criteria will be delivered to the award recipient based upon the original vesting schedule. If an award recipient retires and has met the Retirement Criteria, stock options will remain exercisable until the original expiration date of the stock options. PUs granted to award recipients who meet the Retirement Criteria will be delivered in accordance with the original vesting schedule of the applicable PU award and remain subject to the same performance conditions. STOCK-BASED COMPENSATION EXPENSE Stock-based compensation expense for the Employee Stock-Based Awards for the three months ended March 31, 2022 and 2021 is as follows: THREE MONTHS ENDED MARCH 31, 2022 2021 Stock-based compensation expense $ 11,341 $ 10,953 As of March 31, 2022, unrecognized compensation cost related to the unvested portion of our Employee Stock-Based Awards is $85,449. RESTRICTED STOCK UNITS AND PERFORMANCE UNITS The fair value of RSUs and earned PUs that vested during the three months ended March 31, 2022 and 2021 is as follows: THREE MONTHS ENDED MARCH 31, 2022 2021 Fair value of RSUs vested $ 18,415 $ 19,861 Fair value of earned PUs that vested 4,346 5,591 J. ACQUISITION AND INTEGRATION COSTS Acquisition and integration costs represent operating expenditures directly associated with the closing and integration activities of our business acquisitions that have closed, or are highly probable of closing, and include (i) advisory, legal and professional fees to complete business acquisitions and (ii) costs to integrate acquired businesses into our existing operations, including move, severance, facility upgrade and system integration costs (collectively, “Acquisition and Integration Costs”). Acquisition and Integration Costs do not include costs associated with the formation of joint ventures or costs associated with the acquisition of customer relationships. Total Acquisition and Integration Costs for the three months ended March 31, 2022 and 2021 is $15,661 and $0, respectively. K. OTHER EXPENSE (INCOME), NET Consolidated other expense (income), net for the three months ended March 31, 2022 and 2021 consists of the following: THREE MONTHS ENDED MARCH 31, DESCRIPTION 2022 2021 Foreign currency transaction (gains) losses, net $ (13,201) $ 2,314 Debt extinguishment expense 671 — Other, net (1) 68,431 2,399 Other Expense (Income), Net $ 55,901 $ 4,713 (1) On March 24, 2022, as a result of our loss of control, we deconsolidated the businesses included in the acquisition of OSG Records Management (Europe) Limited, excluding Ukraine. We recognized a loss of approximately $105,800 associated with the deconsolidation to Other expense (income), net in the first quarter of 2022 representing the difference between the net asset value prior to the deconsolidation and subsequent remeasurement of the retained investment to fair value of zero. We have concluded that the deconsolidation does not meet the criteria to be reported as discontinued operations in our consolidated financial statements, as it does not represent a strategic shift that will have a major effect on our operations and financial results. The loss was partially offset by a gain of approximately $35,800 associated with the Clutter Transaction (as defined in Note 4). L. INCOME TAXES We provide for income taxes during interim periods based on our estimate of the effective tax rate for the year. Our effective tax rates for the three months ended March 31, 2022 and 2021 are as follows: THREE MONTHS ENDED MARCH 31, 2022 (1) 2021 (2) Effective Tax Rate 19.5 % 23.9 % (1) The primary reconciling items between the federal statutory tax rate of 21.0% and our overall effective tax rate for the three months ended March 31, 2022 were the benefits derived from the dividends paid deduction, the differences in the tax rates to which our foreign earnings are subject, and a release of valuation allowances on deferred tax assets of our U.S. taxable REIT subsidiaries (“TRS”) of approximately $9,900 as a result of the ITRenew Transaction. (2) The primary reconciling items between the federal statutory tax rate of 21.0% and our overall effective tax rate for the three months ended March 31, 2021 were the benefits derived from the dividends paid deduction and the impacts of differences in the tax rates to which our foreign earnings are subject. M. INCOME (LOSS) PER SHARE—BASIC AND DILUTED The calculation of basic and diluted income (loss) per share for the three months ended March 31, 2022 and 2021 are as follows: THREE MONTHS ENDED MARCH 31, 2022 2021 Net Income (Loss) $ 41,707 $ 46,631 Less: Net (Loss) Income Attributable to Noncontrolling Interests (592) 1,028 Net Income (Loss) Attributable to Iron Mountain Incorporated (utilized in numerator of Earnings Per Share calculation) $ 42,299 $ 45,603 Weighted-average shares—basic 290,328,000 288,756,000 Effect of dilutive potential stock options 995,625 56,437 Effect of dilutive potential RSUs and PUs 521,977 715,850 Weighted-average shares—diluted 291,845,602 289,528,287 Net Income (Loss) Per Share Attributable to Iron Mountain Incorporated: Basic $ 0.15 $ 0.16 Diluted $ 0.14 $ 0.16 Antidilutive stock options, RSUs and PUs, excluded from the calculation 755,580 4,708,068 |
Acquisitions
Acquisitions | 3 Months Ended |
Mar. 31, 2022 | |
Business Combination and Asset Acquisition [Abstract] | |
Acquisitions | In order to expand our asset lifecyle management (“ALM”) operations, on January 25, 2022, we acquired an approximately 80% interest in Intercept Parent, Inc. (“ITRenew”), at an agreed upon purchase price of $725,000, subject to certain working capital adjustments at, and subsequent to, the closing (the “ITRenew Transaction”). At closing, we paid $748,846 and acquired $30,720 of cash on hand, for a net purchase price of $718,126 for the ITRenew Transaction. The acquisition agreement provides us the option to purchase, and provides the shareholders of ITRenew the option to sell, the remaining approximately 20% interest in ITRenew as follows: (i) approximately 16% on or after the second anniversary of the ITRenew Transaction and (ii) approximately 4% on or after the third anniversary of the ITRenew Transaction (collectively, the “Remaining Interests”). The total payments for the Remaining Interests, based on the achievement of certain targeted performance metrics, will be no less than $200,000 and no more than $531,000 (the “Deferred Purchase Obligation”). The maximum amount of the Deferred Purchase Obligation would require achievement of the targeted performance metrics at approximately two times the level that is assumed in our current fair value estimate of the Deferred Purchase Obligation of $275,100. From January 25, 2022, we will consolidate 100% of the revenues and expenses associated with this business. The Deferred Purchase Obligation is reflected as a long-term liability in our Condensed Consolidated Balance Sheet at March 31, 2022, and, accordingly, we have not reflected any non-controlling interests associated with the ITRenew Transaction as the Remaining Interests have non-substantive equity interest rights. Subsequent increases or decreases in the fair value estimate of the Deferred Purchase Obligation will be included as a component of Other expense (income), net in our Consolidated Statements of Operations until the Deferred Purchase Obligation is settled or paid. ITRenew is presented as a component of our Corporate and Other Business segment and primarily operates in the United States. PRELIMINARY PURCHASE PRICE ALLOCATION A summary of the cumulative consideration paid and the preliminary allocation of the purchase price paid for all of our 2022 acquisitions through March 31, 2022 is as follows: THREE MONTHS ENDED MARCH 31, 2022 Cash Paid (gross of cash acquired) (1) $ 748,846 Deferred Purchase Obligation and Other (2) 276,300 Total Consideration 1,025,146 Fair Value of Identifiable Assets Acquired and Liabilities Assumed: Cash 30,720 Accounts Receivable, Prepaid Expenses and Other Assets 71,892 Property, Plant and Equipment 7,600 Customer and Supplier Relationship Intangible Assets (3) 488,080 Other Intangible Assets (3) 47,300 Operating Lease Right-of-Use Assets 30,395 Accounts Payable, Accrued Expenses and Other Liabilities (60,014) Operating Lease Liabilities (30,395) Deferred Income Taxes (141,560) Total Fair Value of Identifiable Net Assets Acquired 444,018 Goodwill Initially Recorded (4) $ 581,128 (1) Cash paid for acquisitions, net of cash acquired in our Condensed Consolidated Statement of Cash Flows includes contingent and other payments received of $219 for the three months ended March 31, 2022 related to acquisitions made in the years prior to 2022. (2) At March 31, 2022, we included approximately $275,100 in Other long-term liabilities related to the fair value estimate of the Deferred Purchase Obligation for the Remaining Interests. Deferred Purchase Obligation and Other also includes approximately $1,200 of purchase price associated with the acquisition of a records and information management business completed in 2022. (3) The preliminary weighted average life of the intangible assets associated with the ITRenew Transaction is approximately 11 years. (4) Goodwill is primarily attributable to the assembled workforce, expanded market opportunities and costs and other operating synergies anticipated upon the integration of the operations of us and the acquired businesses. The preliminary purchase price allocations that are not finalized as of March 31, 2022 relate to the final assessment of the fair values of intangible assets (primarily customer and supplier relationship intangible assets) and property, plant and equipment associated with the acquisitions we closed in 2022. Any adjustments to our estimates of purchase price allocation will be made in the periods in which the adjustments are determined, but no later than the one year measurement period, and the cumulative effect of such adjustments will be calculated as if the adjustments had been completed as of the acquisition dates. Adjustments recorded during the three months ended March 31, 2022 were not material to our results from operations. |
Investments
Investments | 3 Months Ended |
Mar. 31, 2022 | |
Investments, All Other Investments [Abstract] | |
Investments | In February 2022, the joint venture formed by MakeSpace Labs, Inc. and us (the “MakeSpace JV”) entered into an agreement with Clutter, Inc. (“Clutter”) pursuant to which the equityholders of the MakeSpace JV contributed their ownership interests in the MakeSpace JV and Clutter’s shareholders contributed their ownership interests in Clutter to create a newly formed venture (the “Clutter JV”). In exchange for our 49.99% interest in the MakeSpace JV, we received an approximate 27% interest in the Clutter JV (the “Clutter Transaction”). As a result of the Clutter Transaction, we recognized a gain related to our contributed interest in the MakeSpace JV of approximately $35,800, which was recorded to Other, net, a component of Other expense (income), net. The following joint ventures are accounted for as equity method investments and are presented as a component of Other within Other assets, net in our Condensed Consolidated Balance Sheets. The carrying values and equity interests in our joint ventures at March 31, 2022 and December 31, 2021 are as follows: MARCH 31, 2022 DECEMBER 31, 2021 CARRYING VALUE EQUITY INTEREST CARRYING VALUE EQUITY INTEREST Joint venture with Web Werks India Private Limited $ 51,258 38.50 % $ 51,140 38.50 % Joint venture with AGC Equity Partners (the “Frankfurt JV”) 26,472 20.00 % 26,167 20.00 % MakeSpace JV — — % 30,154 49.99 % Clutter JV 66,625 26.76 % — — % |
Derivative Instruments and Hedg
Derivative Instruments and Hedging Activities | 3 Months Ended |
Mar. 31, 2022 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Derivative Instruments and Hedging Activities | DERIVATIVE INSTRUMENTS AND HEDGING ACTIVITIES Derivative instruments we are party to include: (i) interest rate swap agreements (which are designated as cash flow hedges) and (ii) cross-currency swap agreements (which are designated as net investment hedges). INTEREST RATE SWAP AGREEMENTS DESIGNATED AS CASH FLOW HEDGES In March 2018, we entered into interest rate swap agreements to limit our exposure to changes in interest rates on a portion of our floating rate indebtedness. These swap agreements expired in March 2022. In July 2019, we entered into forward-starting interest rate swap agreements to limit our exposure to changes in interest rates on a portion of our floating rate indebtedness. As of March 31, 2022, we had $350,000 in notional value of interest rate swap agreements outstanding, which expire in March 2024. Under the interest rate swap agreements, we receive variable rate interest payments associated with the notional amount of each interest rate swap, based upon one-month LIBOR, in exchange for the payment of fixed interest rates as specified in the interest rate swap agreements. We have designated these interest rate swap agreements as cash flow hedges. Unrealized gains are recognized as assets, while unrealized losses are recognized as liabilities. CROSS-CURRENCY SWAP AGREEMENTS DESIGNATED AS A HEDGE OF NET INVESTMENT In August 2019, we entered into cross-currency swap agreements to hedge the variability of exchange rate impacts between the United States dollar and the Euro. Under the terms of the cross-currency swap agreements, we notionally exchanged approximately $110,000 at an interest rate of 6.0% for approximately 99,055 Euros at a weighted average interest rate of approximately 3.65%. These cross-currency swap agreements expire in August 2023 (“August 2023 Cross-Currency Swap Agreements”). In September 2020, we entered into cross-currency swap agreements to hedge the variability of exchange rate impacts between the United States dollar and the Euro. Under the terms of the cross-currency swap agreements, we notionally exchanged approximately $359,200 at an interest rate of 4.5% for approximately 300,000 Euros at a weighted average interest rate of approximately 3.4%. These cross-currency swap agreements expire in February 2026 (“February 2026 Cross-Currency Swap Agreements”). We have designated these cross-currency swap agreements as a hedge of net investment against certain of our Euro denominated subsidiaries and they require an exchange of the notional amounts at maturity. These cross-currency swap agreements are marked to market at each reporting period, representing the fair values of the cross-currency swap agreements, and any changes in fair value are recognized as a component of Accumulated other comprehensive items, net. Unrealized gains are recognized as assets while unrealized losses are recognized as liabilities. Assets (liabilities) recognized in our Condensed Consolidated Balance Sheets at March 31, 2022 and December 31, 2021, by derivative instrument, are as follows: DERIVATIVE INSTRUMENTS (1) MARCH 31, 2022 DECEMBER 31, 2021 Cash Flow Hedges (2) Interest Rate Swap Agreements $ 3,790 $ (7,680) Net Investment Hedges (3) August 2023 Cross-Currency Swap Agreements $ 219 $ (664) February 2026 Cross-Currency Swap Agreements 15,434 11,021 (1) Our derivative assets are included as a component of Other within Other assets, net in our Condensed Consolidated Balance Sheets and our derivative liabilities are included as a component of (i) Accrued expenses and other current liabilities or (ii) Other long-term liabilities in our Condensed Consolidated Balance Sheets. As of March 31, 2022, $19,443 is included within Other assets. As of December 31, 2021, $11,021 is included within Other assets, $2,082 is included within Accrued expense and other current liabilities and $6,262 is included within Other long-term liabilities. (2) As of March 31, 2022, cumulative net gains of $3,790 are recorded within Accumulated other comprehensive items, net associated with these interest rate swap agreements. (3) As of March 31, 2022, cumulative net gains of $15,653 are recorded within Accumulated other comprehensive items, net associated with these cross-currency swap agreements. Unrealized gains (losses) recognized during the three months ended March 31, 2022 and 2021, by derivative instrument, are as follows: THREE MONTHS ENDED MARCH 31, DERIVATIVE INSTRUMENTS (1) 2022 2021 Cash Flow Hedges Interest Rate Swap Agreements $ 11,470 $ 4,201 Net Investment Hedges August 2023 Cross-Currency Swap Agreements $ 883 $ 4,751 February 2026 Cross-Currency Swap Agreements 4,413 6,254 |
Debt
Debt | 3 Months Ended |
Mar. 31, 2022 | |
Debt Disclosure [Abstract] | |
Debt | Long-term debt is as follows: MARCH 31, 2022 DECEMBER 31, 2021 DEBT (INCLUSIVE OF DISCOUNT) UNAMORTIZED DEFERRED FINANCING COSTS CARRYING AMOUNT FAIR VALUE DEBT (INCLUSIVE OF DISCOUNT) UNAMORTIZED DEFERRED FINANCING COSTS CARRYING AMOUNT FAIR VALUE Revolving Credit Facility $ 650,000 $ (10,096) $ 639,904 $ 650,000 $ — $ (5,174) $ (5,174) $ — Term Loan A 250,000 — 250,000 250,000 203,125 — 203,125 203,125 Term Loan B 671,153 (4,683) 666,470 672,000 672,847 (4,995) 667,852 675,500 Australian Dollar Term Loan (the “AUD Term Loan”) 226,517 (517) 226,000 229,130 223,182 (656) 222,526 223,530 UK Bilateral Revolving Credit Facility (the “UK Bilateral Facility”) 183,870 (525) 183,345 183,870 189,168 (709) 188,459 189,168 3 7 / 8 % GBP Senior Notes due 2025 (the “GBP Notes”) 525,342 (3,554) 521,788 521,560 540,481 (3,912) 536,569 542,508 4 7 / 8 % Senior Notes due 2027 (the “4 7 / 8 % Notes due 2027”) (1) 1,000,000 (7,821) 992,179 987,500 1,000,000 (8,176) 991,824 1,030,000 5 1 / 4 % Senior Notes due 2028 (the “5 1 / 4 % Notes due 2028”) (1) 825,000 (7,085) 817,915 814,688 825,000 (7,380) 817,620 862,125 5% Senior Notes due 2028 (the “5% Notes due 2028”) (1) 500,000 (4,582) 495,418 485,000 500,000 (4,763) 495,237 513,750 4 7 / 8 % Senior Notes due 2029 (the “4 7 / 8 % Notes due 2029”) (1) 1,000,000 (10,849) 989,151 950,000 1,000,000 (11,211) 988,789 1,022,500 5 1 / 4 % Senior Notes due 2030 (the “5 1 / 4 Notes due 2030”) (1) 1,300,000 (12,535) 1,287,465 1,261,000 1,300,000 (12,911) 1,287,089 1,355,250 4 1 / 2 % Senior Notes due 2031 (the “4 1 / 2 % Notes”) (1) 1,100,000 (11,093) 1,088,907 1,009,250 1,100,000 (11,404) 1,088,596 1,094,500 5% Senior Notes due 2032 (the “5% Notes due 2032”) 750,000 (13,499) 736,501 705,000 750,000 (13,782) 736,218 767,813 5 5 / 8 % Senior Notes due 2032 (the “5 5 / 8 % Notes”) (1) 600,000 (6,001) 593,999 590,250 600,000 (6,147) 593,853 637,500 Real Estate Mortgages, Financing Lease Liabilities and Other 446,394 (795) 445,599 446,394 460,648 (840) 459,808 460,648 Accounts Receivable Securitization Program 300,000 (450) 299,550 300,000 — (450) (450) — Total Long-term Debt 10,328,276 (94,085) 10,234,191 9,364,451 (92,510) 9,271,941 Less Current Portion (91,180) — (91,180) (310,084) 656 (309,428) Long-term Debt, Net of Current Portion $ 10,237,096 $ (94,085) $ 10,143,011 $ 9,054,367 $ (91,854) $ 8,962,513 (1) Collectively, the “Parent Notes”. See Note 7 to Notes to Consolidated Financial Statements included in our Annual Report for additional information regarding our long-term debt, including the direct obligors of each of our debt instruments as well as information regarding the fair value of our debt instruments (including the levels of the fair value hierarchy used to determine the fair value of our debt instruments). The levels of the fair value hierarchy used to determine the fair value of our debt as of March 31, 2022 are consistent with the levels of the fair value hierarchy used to determine the fair value of our debt as of December 31, 2021 (which are disclosed in our Annual Report). CREDIT AGREEMENT Our credit agreement (the “Credit Agreement”) consists of a revolving credit facility (the “Revolving Credit Facility”), a term loan A (the “Term Loan A”) and a term loan B (the “Term Loan B”). On March 18, 2022, we entered into an amendment to the Credit Agreement, which included the following changes: (i) extended the maturity date of the Revolving Credit Facility and Term Loan A from June 3, 2023 to March 18, 2027; (ii) refinanced and increased the borrowing capacity that IMI and certain of its United States and foreign subsidiaries are able to borrow under the Revolving Credit Facility from $1,750,000 to $2,250,000; (iii) refinanced the existing Term Loan A with a new $250,000 Term Loan A; and (iv) increased the net total lease adjusted leverage ratio maximum allowable from 6.5x to 7.0x and removed the net secured lease adjusted leverage ratio requirement. On March 18, 2022, we borrowed the full amount of the Term Loan A. As of March 31, 2022, we had $650,000, $250,000 and $672,000 of outstanding borrowings under the Revolving Credit Facility, Term Loan A and Term Loan B, respectively. In addition, we also had various outstanding letters of credit totaling $3,056. The remaining amount available for borrowing under the Revolving Credit Facility as of March 31, 2022 was $1,596,944 (which represents the maximum availability as of such date). Additionally, the Credit Agreement permits us to incur incremental indebtedness thereunder by adding new term loans or revolving loans or by increasing the principal amount of any existing loans thereunder, subject to a cap contained therein. Th e average interest rate in effect under the Credit Agreement was 2.2% and 1.9% as of March 31, 2022 and December 31, 2021, respectively. REVOLVING CREDIT FACILITY $2,250,000 TERM LOAN A $250,000 TERM LOAN B $700,000 Outstanding borrowings $650,000 Aggregate outstanding principal amount $250,000 Aggregate outstanding principal amount $672,000 2.2% Interest rate 2.1% Interest rate 2.9% Interest rate As of March 31, 2022 As of March 31, 2022 As of March 31, 2022 AUSTRALIAN DOLLAR TERM LOAN On March 18, 2022, Iron Mountain Australia Group Pty, Ltd. (“IM Australia”), a wholly owned subsidiary of IMI, amended its AUD Term Loan to (i) extend the maturity date from September 22, 2022 to September 30, 2026 and (ii) decrease the interest rate from BBSY (an Australian benchmark variable interest rate) plus 3.875% to BBSY plus 3.625%. All other terms of the AUD Term Loan remain consistent with what was disclosed in Note 7 to Notes to Consolidated Financial Statements included in our Annual Report. The interest rate in effect under the AUD Term Loan was 3.9% and 4.0% as of March 31, 2022 and December 31, 2021, respectively. OUTSTANDING BORROWINGS AU$305,889 INTEREST RATE 3.9% As of March 31, 2022 CASH POOLING We currently utilize four separate cash pooling arrangements. We utilize two separate cash pooling arrangements with Bank Mendes Gans (“BMG”), one of which we utilize to manage global liquidity requirements for our qualified REIT subsidiaries ("QRS”) (the “BMG QRS Cash Pool”) and the other for our TRSs (the “BMG TRS Cash Pool”). We utilize two separate cash pooling arrangements with JP Morgan Chase Bank, N.A. (“JPM”), one of which we utilize to manage global liquidity requirements for our QRSs in the Asia Pacific region (the “JPM QRS Cash Pool”) and the other for our TRSs in the Asia Pacific region (the “JPM TRS Cash Pool”) (collectively, the “JPM Cash Pools”). The approximate amount of the net cash position for our cash pools and the approximate amount of the gross position and outstanding debit balances for each of these pools as of March 31, 2022 and December 31, 2021 are as follows: MARCH 31, 2022 DECEMBER 31, 2021 GROSS CASH POSITION OUTSTANDING DEBIT BALANCES NET CASH POSITION GROSS CASH POSITION OUTSTANDING DEBIT BALANCES NET CASH POSITION BMG QRS Cash Pool $ 554,600 $ (553,100) $ 1,500 $ 552,900 $ (552,100) $ 800 BMG TRS Cash Pool 552,900 (551,700) 1,200 606,000 (603,900) 2,100 JPM QRS Cash Pool 13,600 (13,500) 100 9,400 (9,200) 200 JPM TRS Cash Pool 17,000 (16,600) 400 12,000 (9,900) 2,100 The net cash position balances as of March 31, 2022 and December 31, 2021 are reflected as cash and cash equivalents in our Condensed Consolidated Balance Sheets. LETTERS OF CREDIT As of March 31, 2022, we had outstanding letters of credit totaling $36,498,of which $3,056 reduce our borrowing capacity under the Revolving Credit Facility (as described above). The letters of credit expire at various dates between April 2022 and January 2033. DEBT COVENANTS The Credit Agreement, our bond indentures and other agreements governing our indebtedness contain certain restrictive financial and operating covenants, including covenants that restrict our ability to complete acquisitions, pay cash dividends, incur indebtedness, make investments, sell assets and take other specified corporate actions. The covenants do not contain a rating trigger. Therefore, a change in our debt rating would not trigger a default under the Credit Agreement, our bond indentures or other agreements governing our indebtedness. The Credit Agreement requires that we satisfy a fixed charge coverage ratio and a net total lease adjusted leverage ratio on a quarterly basis and our bond indentures require that, among other things, we satisfy a leverage ratio (not lease adjusted) or a fixed charge coverage ratio (not lease adjusted), as a condition to taking actions such as paying dividends and incurring indebtedness. The Credit Agreement uses earnings before interest, taxes, depreciation and amortization and rent expense (“EBITDAR”) based calculations and the bond indentures use earnings before interest, taxes, depreciation and amortization (“EBITDA”) based calculations as the primary measures of financial performance for purposes of calculating leverage and fixed charge coverage ratios. The EBITDAR- and EBITDA-based leverage calculations include our consolidated subsidiaries, other than those we have designated as “Unrestricted Subsidiaries” as defined in the Credit Agreement and bond indentures. Generally, the Credit Agreement and the bond indentures use a trailing four fiscal quarter basis for purposes of the relevant calculations and require certain adjustments and exclusions for purposes of those calculations, which make the calculation of financial performance for purposes of those calculations under the Credit Agreement and bond indentures not directly comparable to Adjusted EBITDA as presented herein. We are in compliance with our leverage and fixed charge coverage ratios under the Credit Agreement, our bond indentures and other agreements governing our indebtedness as of March 31, 2022 and December 31, 2021. Noncompliance with these leverage and fixed charge coverage ratios would have a material adverse effect on our financial condition. |
Commitments and Contingencies
Commitments and Contingencies | 3 Months Ended |
Mar. 31, 2022 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | We are involved in litigation from time to time in the ordinary course of business, including litigation arising from damage to customer assets in our facilities caused by fires and other natural disasters. While the outcome of such litigation is inherently uncertain, we do not believe any current litigation will have a material adverse effect on our consolidated financial condition, results of operations or cash flows. We have estimated a reasonably possible range for all loss contingencies and believe it is reasonably possible that we could incur aggregate losses in addition to amounts currently accrued for all matters up to an additional $25,000 over the next several years, of which certain amounts would be covered by insurance or indemnity arrangement. |
Stockholders' Equity Matters
Stockholders' Equity Matters | 3 Months Ended |
Mar. 31, 2022 | |
Equity [Abstract] | |
Stockholders' Equity Matters | STOCKHOLDERS' EQUITY MATTERS In fiscal year 2021 and the three months ended March 31, 2022, our board of directors declared the following dividends: DECLARATION DATE DIVIDEND RECORD DATE TOTAL PAYMENT DATE February 24, 2021 $ 0.6185 March 15, 2021 $ 178,569 April 6, 2021 May 6, 2021 0.6185 June 15, 2021 179,026 July 6, 2021 August 5, 2021 0.6185 September 15, 2021 179,080 October 6, 2021 November 4, 2021 0.6185 December 15, 2021 179,132 January 6, 2022 February 24, 2022 0.6185 March 15, 2022 179,661 April 6, 2022 On April 28, 2022, we declared a dividend to our stockholders of record as of June 15, 2022 of $0.6185 per share, payable on July 6, 2022. |
Segment Information
Segment Information | 3 Months Ended |
Mar. 31, 2022 | |
Segment Reporting [Abstract] | |
Segment Information | SEGMENT INFORMATION Our three reportable operating segments as of December 31, 2021 are described in Note 11 to Notes to Consolidated Financial Statements included in our Annual Report and are as follows: • Global Records and Information Management (“Global RIM”) Business • Global Data Center Business • Corporate and Other Business The operations associated with acquisitions completed during the first three months of 2022 have been incorporated into our existing reportable operating segments. An analysis of our business segment information and reconciliation to the accompanying Condensed Consolidated Financial Statements for the three months ended March 31, 2022 and 2021 is as follows: THREE MONTHS ENDED MARCH 31, 2022 2021 Global RIM Business Total Revenues $ 1,043,582 $ 967,294 Adjusted EBITDA 451,249 408,562 Global Data Center Business Total Revenues $ 96,987 $ 71,108 Adjusted EBITDA 41,977 30,432 Corporate and Other Business Total Revenues $ 107,477 $ 43,638 Adjusted EBITDA (62,232) (58,429) Total Consolidated Total Revenues $ 1,248,046 $ 1,082,040 Adjusted EBITDA 430,994 380,565 Adjusted EBITDA for each segment is defined as net income (loss) before interest expense, net, provision (benefit) for income taxes, depreciation and amortization (inclusive of our share of Adjusted EBITDA from our unconsolidated joint ventures), and excluding certain items we do not believe to be indicative of our core operating results, specifically: EXCLUDED • Acquisition and Integration Costs • Other expense (income), net • Restructuring Charges • Stock-based compensation expense • (Gain) loss on disposal/write-down of property, plant and equipment, net (including real estate) Internally, we use Adjusted EBITDA as the basis for evaluating the performance of, and allocating resources to, our operating segments. A reconciliation of Net Income (Loss) to Adjusted EBITDA on a consolidated basis for the three months ended March 31, 2022 and 2021 is as follows: THREE MONTHS ENDED MARCH 31, 2022 2021 Net Income (Loss) $ 41,707 $ 46,631 Add/(Deduct): Interest expense, net 114,442 104,422 Provision (benefit) for income taxes 10,080 14,640 Depreciation and amortization 183,615 165,642 Acquisition and Integration Costs 15,661 — Restructuring Charges — 39,811 (Gain) loss on disposal/write-down of property, plant and equipment, net (including real estate) (705) (4,451) Other expense (income), net, excluding our share of losses (gains) from our unconsolidated joint ventures 53,515 2,121 Stock-based compensation expense 11,341 10,733 Our share of Adjusted EBITDA reconciling items from our unconsolidated joint ventures 1,338 1,016 Adjusted EBITDA $ 430,994 $ 380,565 Information as to our revenues by product and service lines by segment for the three months ended March 31, 2022 and 2021 are as follows: THREE MONTHS ENDED MARCH 31, 2022 2021 Global RIM Business Records Management (1) $ 802,553 $ 752,123 Data Management (1) 117,722 118,414 Information Destruction (1)(2) 123,307 96,757 Data Center (1) — — Global Data Center Business Records Management (1) $ — $ — Data Management (1) — — Information Destruction (1)(2) — — Data Center (1) 96,987 71,108 Corporate and Other Business Records Management (1) $ 33,689 $ 26,967 Data Management (1) 14,141 16,671 Information Destruction (1)(2)(3) 59,647 — Data Center (1) — — Total Consolidated Records Management (1) $ 836,242 $ 779,090 Data Management (1) 131,863 135,085 Information Destruction (1)(2)(3) 182,954 96,757 Data Center (1) 96,987 71,108 (1) Each of these offerings has a component of revenue that is storage rental related and a component that is service revenues, except for information destruction, which does not have a storage rental component. (2) Includes secure shredding services. (3) Includes product revenue from ITRenew. |
Related Parties
Related Parties | 3 Months Ended |
Mar. 31, 2022 | |
Related Party Transactions [Abstract] | |
Related Parties | RELATED PARTIESIn October 2020, in connection with the formation of the Frankfurt JV, we entered into agreements whereby we will earn various fees, including (i) special project revenue and (ii) property management and construction and development fees for services we are providing to the Frankfurt JV (the “Frankfurt JV Agreements”). Revenues and expenses associated with the Frankfurt JV Agreements are presented as a component of our Global Data Center Business segment. During the three months ended March 31, 2022 and March 31, 2021, we recognized revenue of approximately $7,100 and $1,060, respectively, associated with the Frankfurt JV Agreements.In March 2019, in connection with the formation of the MakeSpace JV, we entered into a storage and service agreement with the MakeSpace JV to provide certain storage and related services to the MakeSpace JV (the “MakeSpace Agreement”). In February 2022, in connection with the formation of the Clutter JV, we terminated the MakeSpace Agreement and entered into a storage and service agreement with the Clutter JV to provide certain storage and related services to the Clutter JV (the “Clutter Agreement”). Revenues and expenses associated with the MakeSpace Agreement and Clutter Agreement are presented as a component of our Global RIM Business segment. We recognized total revenue of approximately $7,000 and $7,500 for the three months ended March 31, 2022 and March 31, 2021, respectively, associated with the MakeSpace Agreement and Clutter Agreement. |
Project Summit
Project Summit | 3 Months Ended |
Mar. 31, 2022 | |
Restructuring and Related Activities [Abstract] | |
Project Summit | In October 2019, we announced our global program designed to better position us for future growth and achievement of our strategic objectives (“Project Summit”) which we completed as of December 31, 2021. The implementation of Project Summit resulted in total operating expenditures (“Restructuring Charges”) of approximately $450,000 that primarily consisted of: (1) employee severance costs; (2) internal costs associated with the development and implementation of Project Summit initiatives; (3) professional fees, primarily related to third party consultants who assisted with the design and execution of various initiatives as well as project management activities and (4) system implementation and data conversion costs. As Project Summit was completed as of December 31, 2021, there were no Restructuring Charges for the three months ended March 31, 2022. Total Restructuring Charges for the three months ended March 31, 2021 was $39,811 and consisted of (i) employee severance costs of $3,808 and (ii) professional fees and other costs of $36,003. |
Summary of Significant Accoun_2
Summary of Significant Accounting Policies (Policies) | 3 Months Ended |
Mar. 31, 2022 | |
Accounting Policies [Abstract] | |
Cash and Cash Equivalents | CASH AND CASH EQUIVALENTS Cash and cash equivalents include cash on hand and cash invested in highly liquid short-term securities, which have remaining maturities at the date of purchase of less than 90 days. Cash and cash equivalents are carried at cost, which approximates fair value. |
Accounts Receivable | ACCOUNTS RECEIVABLE We maintain an allowance for doubtful accounts and a credit memo reserve for estimated losses resulting from the potential inability of our customers to make required payments and potential disputes regarding billing and service issues. |
Inventory | INVENTORYInventories are stated at the lower of cost or net realizable value, based on a first-in, first-out methodology. Our inventory primarily consists of information technology-related assets including memory, central processing units, hard drives, adaptors and networking. All of our inventory is considered finished goods. Inventory is included as a component of Prepaid expenses and other in our Condensed Consolidated Balance Sheets. |
Leases | LEASES We lease facilities for certain warehouses, data centers and office space. We also have land leases, including those on which certain facilities are located. |
Revenues | The costs associated with the initial movement of customer records into physical storage and certain commissions are considered costs to obtain or fulfill customer contracts (collectively, “Contract Fulfillment Costs”).DATA CENTER LESSOR CONSIDERATIONS Our Global Data Center Business features storage rental provided to customers at contractually specified rates over a fixed contractual period, which are accounted for in accordance with Accounting Standards Codification (“ASC”) No. 842 (“ASC 842”), Leases, |
Income Taxes | INCOME TAXESWe provide for income taxes during interim periods based on our estimate of the effective tax rate for the year. |
Segment Information | Adjusted EBITDA for each segment is defined as net income (loss) before interest expense, net, provision (benefit) for income taxes, depreciation and amortization (inclusive of our share of Adjusted EBITDA from our unconsolidated joint ventures), and excluding certain items we do not believe to be indicative of our core operating results, specifically: EXCLUDED • Acquisition and Integration Costs • Other expense (income), net • Restructuring Charges • Stock-based compensation expense • (Gain) loss on disposal/write-down of property, plant and equipment, net (including real estate) Internally, we use Adjusted EBITDA as the basis for evaluating the performance of, and allocating resources to, our operating segments. |
Commitments and Contingencies | We are involved in litigation from time to time in the ordinary course of business, including litigation arising from damage to customer assets in our facilities caused by fires and other natural disasters. While the outcome of such litigation is inherently uncertain, we do not believe any current litigation will have a material adverse effect on our consolidated financial condition, results of operations or cash flows. |
Summary of Significant Accoun_3
Summary of Significant Accounting Policies (Tables) | 3 Months Ended |
Mar. 31, 2022 | |
Accounting Policies [Abstract] | |
Schedule of allowance for credit loss | The rollforward of the allowance for doubtful accounts and credit memo reserves for the three months ended March 31, 2022 is as follows: Balance as of December 31, 2021 $ 62,009 Credit memos charged to revenue 12,352 Allowance for bad debts charged to expense 6,699 Deductions and other (1) (19,893) Balance as of March 31, 2022 $ 61,167 (1) Primarily consists of the issuance of credit memos, the write-off of accounts receivable, allowances associated with businesses acquired and the impact associated with currency translation adjustments. |
Schedule of operating and financing lease right-of-use assets and lease liabilities | Operating and financing lease right-of-use assets and lease liabilities as of March 31, 2022 and December 31, 2021 are as follows: DESCRIPTION MARCH 31, 2022 DECEMBER 31, 2021 Assets: Operating lease right-of-use assets $ 2,343,627 $ 2,314,422 Financing lease right-of-use assets, net of accumulated depreciation (1) 284,468 298,049 Liabilities: Current Operating lease liabilities $ 265,186 $ 259,957 Financing lease liabilities (1) 39,397 41,168 Long-term Operating lease liabilities $ 2,196,846 $ 2,171,472 Financing lease liabilities (1) 301,603 315,561 (1) Financing lease right-of-use assets, current financing lease liabilities and long-term financing lease liabilities are included within Property, Plant and Equipment, Net, Current portion of long-term debt and Long-term Debt, net of current portion, respectively, within our Condensed Consolidated Balance Sheets. |
Schedule of Lease Costs and Other Information | The components of the lease expense for the three months ended March 31, 2022 and 2021 are as follows: THREE MONTHS ENDED MARCH 31, DESCRIPTION 2022 2021 Operating lease cost (1) $ 143,530 $ 132,675 Financing lease cost: Depreciation of financing lease right-of-use assets $ 11,454 $ 12,648 Interest expense for financing lease liabilities 4,678 4,975 (1) Operating lease cost, the majority of which is included in Cost of sales, includes variable lease costs of $30,508 and $28,368 for the three months ended March 31, 2022 and 2021, respectively. THREE MONTHS ENDED MARCH 31, CASH PAID FOR AMOUNTS INCLUDED IN MEASUREMENT OF LEASE LIABILITIES: 2022 2021 Operating cash flows used in operating leases $ 101,605 $ 93,645 Operating cash flows used in financing leases (interest) 4,678 4,975 Financing cash flows used in financing leases 10,362 12,441 NON-CASH ITEMS: Operating lease modifications and reassessments $ 23,767 $ 31,994 New operating leases (including acquisitions and sale-leaseback transactions) 125,902 48,200 |
Schedule of changes in the carrying value of goodwill attributable to each reportable operating segment | The changes in the carrying value of goodwill attributable to each reportable operating segment for the three months ended March 31, 2022 are as follows: GLOBAL RIM BUSINESS GLOBAL DATA CENTER BUSINESS CORPORATE AND OTHER BUSINESS TOTAL CONSOLIDATED Goodwill balance, net of accumulated amortization as of December 31, 2021 $ 3,976,261 $ 426,074 $ 61,196 $ 4,463,531 Non-tax deductible goodwill acquired during the period 978 — 580,150 581,128 Fair value and other adjustments (1) (16,993) — — (16,993) Currency effects (672) (2,702) (601) (3,975) Goodwill balance, net accumulated amortization as of March 31, 2022 $ 3,959,574 $ 423,372 $ 640,745 $ 5,023,691 Accumulated goodwill impairment balance as of March 31, 2022 $ 132,409 $ — $ 26,011 $ 158,420 (1) This amount represents an adjustment to goodwill as a result of the deconsolidation of certain businesses, as described in Note 2.k. |
Schedule of assets and liabilities carried at fair value measured on a recurring basis | The assets and liabilities carried at fair value measured on a recurring basis as of March 31, 2022 and December 31, 2021 are as follows: FAIR VALUE MEASUREMENTS AT MARCH 31, 2022 USING DESCRIPTION TOTAL CARRYING QUOTED PRICES IN SIGNIFICANT OTHER SIGNIFICANT Money Market Funds $ 28,718 $ — $ 28,718 $ — Time Deposits 3,167 — 3,167 — Trading Securities 10,442 10,355 87 — Derivative Assets 19,443 — 19,443 — Deferred Purchase Obligation (as defined in Note 3) 275,100 — — 275,100 FAIR VALUE MEASUREMENTS AT DECEMBER 31, 2021 USING DESCRIPTION TOTAL CARRYING QUOTED PRICES IN SIGNIFICANT OTHER SIGNIFICANT Money Market Funds $ 101,022 $ — $ 101,022 $ — Time Deposits 2,238 — 2,238 — Trading Securities 11,147 11,062 85 — Derivative Assets 11,021 — 11,021 — Derivative Liabilities 8,344 — 8,344 — |
Schedule of changes in accumulated other comprehensive items, net | The changes in accumulated other comprehensive items, net for the three months ended March 31, 2022 and 2021 are as follows: THREE MONTHS ENDED MARCH 31, 2022 THREE MONTHS ENDED MARCH 31, 2021 FOREIGN CHANGE IN FAIR VALUE OF TOTAL FOREIGN CHANGE IN FAIR VALUE OF TOTAL Beginning of Period $ (341,024) $ 2,677 $ (338,347) $ (206,190) $ (49,703) $ (255,893) Other comprehensive (loss) income): Foreign currency translation and other adjustments 27,223 — 27,223 (66,224) — (66,224) Change in fair value of derivative instruments — 16,766 16,766 — 15,206 15,206 Total other comprehensive (loss) income 27,223 16,766 43,989 (66,224) 15,206 (51,018) End of Period $ (313,801) $ 19,443 $ (294,358) $ (272,414) $ (34,497) $ (306,911) |
Schedule of cost and accumulated amortization associated with contract fulfillment costs | Contract Fulfillment Costs as of March 31, 2022 and December 31, 2021 are as follows: MARCH 31, 2022 DECEMBER 31, 2021 GROSS ACCUMULATED NET GROSS ACCUMULATED NET Intake Costs asset $ 71,731 $ (45,432) $ 26,299 $ 71,336 $ (42,678) $ 28,658 Commissions asset 121,501 (54,356) 67,145 114,791 (50,553) 64,238 |
Schedule of deferred revenue liabilities | Deferred revenue liabilities are reflected in our Condensed Consolidated Balance Sheets as follows: DESCRIPTION LOCATION IN BALANCE SHEET MARCH 31, 2022 DECEMBER 31, 2021 Deferred revenue - Current Deferred revenue $ 301,965 $ 307,470 Deferred revenue - Long-term Other Long-term Liabilities 31,532 33,691 |
Schedule of revenue | Storage rental revenue, including revenue associated with power and connectivity, associated with our Global Data Center Business for the three months ended March 31, 2022 and 2021 are as follows: THREE MONTHS ENDED MARCH 31, 2022 2021 Storage rental revenue (1) $ 87,451 $ 67,157 |
Schedule of stock-based compensation expense | Stock-based compensation expense for the Employee Stock-Based Awards for the three months ended March 31, 2022 and 2021 is as follows: THREE MONTHS ENDED MARCH 31, 2022 2021 Stock-based compensation expense $ 11,341 $ 10,953 |
Schedule of fair value of RSU and earned PUs vested | The fair value of RSUs and earned PUs that vested during the three months ended March 31, 2022 and 2021 is as follows: THREE MONTHS ENDED MARCH 31, 2022 2021 Fair value of RSUs vested $ 18,415 $ 19,861 Fair value of earned PUs that vested 4,346 5,591 |
Schedule of other (income) expense, net | Consolidated other expense (income), net for the three months ended March 31, 2022 and 2021 consists of the following: THREE MONTHS ENDED MARCH 31, DESCRIPTION 2022 2021 Foreign currency transaction (gains) losses, net $ (13,201) $ 2,314 Debt extinguishment expense 671 — Other, net (1) 68,431 2,399 Other Expense (Income), Net $ 55,901 $ 4,713 (1) On March 24, 2022, as a result of our loss of control, we deconsolidated the businesses included in the acquisition of OSG Records Management (Europe) Limited, excluding Ukraine. We recognized a loss of approximately $105,800 associated with the deconsolidation to Other expense (income), net in the first quarter of 2022 representing the difference between the net asset value prior to the deconsolidation and subsequent remeasurement of the retained investment to fair value of zero. We have concluded that the deconsolidation does not meet the criteria to be reported as discontinued operations in our consolidated financial statements, as it does not represent a strategic shift that will have a major effect on our operations and financial results. The loss was partially offset by a gain of approximately $35,800 associated with the Clutter Transaction (as defined in Note 4). |
Schedule of income taxes | Our effective tax rates for the three months ended March 31, 2022 and 2021 are as follows: THREE MONTHS ENDED MARCH 31, 2022 (1) 2021 (2) Effective Tax Rate 19.5 % 23.9 % (1) The primary reconciling items between the federal statutory tax rate of 21.0% and our overall effective tax rate for the three months ended March 31, 2022 were the benefits derived from the dividends paid deduction, the differences in the tax rates to which our foreign earnings are subject, and a release of valuation allowances on deferred tax assets of our U.S. taxable REIT subsidiaries (“TRS”) of approximately $9,900 as a result of the ITRenew Transaction. (2) The primary reconciling items between the federal statutory tax rate of 21.0% and our overall effective tax rate for the three months ended March 31, 2021 were the benefits derived from the dividends paid deduction and the impacts of differences in the tax rates to which our foreign earnings are subject. |
Schedule of basic and diluted net income (loss) per share attributable to the entity | The calculation of basic and diluted income (loss) per share for the three months ended March 31, 2022 and 2021 are as follows: THREE MONTHS ENDED MARCH 31, 2022 2021 Net Income (Loss) $ 41,707 $ 46,631 Less: Net (Loss) Income Attributable to Noncontrolling Interests (592) 1,028 Net Income (Loss) Attributable to Iron Mountain Incorporated (utilized in numerator of Earnings Per Share calculation) $ 42,299 $ 45,603 Weighted-average shares—basic 290,328,000 288,756,000 Effect of dilutive potential stock options 995,625 56,437 Effect of dilutive potential RSUs and PUs 521,977 715,850 Weighted-average shares—diluted 291,845,602 289,528,287 Net Income (Loss) Per Share Attributable to Iron Mountain Incorporated: Basic $ 0.15 $ 0.16 Diluted $ 0.14 $ 0.16 Antidilutive stock options, RSUs and PUs, excluded from the calculation 755,580 4,708,068 |
Acquisitions (Tables)
Acquisitions (Tables) | 3 Months Ended |
Mar. 31, 2022 | |
Business Combination and Asset Acquisition [Abstract] | |
Schedule of Recognized Identified Assets Acquired and Liabilities Assumed | A summary of the cumulative consideration paid and the preliminary allocation of the purchase price paid for all of our 2022 acquisitions through March 31, 2022 is as follows: THREE MONTHS ENDED MARCH 31, 2022 Cash Paid (gross of cash acquired) (1) $ 748,846 Deferred Purchase Obligation and Other (2) 276,300 Total Consideration 1,025,146 Fair Value of Identifiable Assets Acquired and Liabilities Assumed: Cash 30,720 Accounts Receivable, Prepaid Expenses and Other Assets 71,892 Property, Plant and Equipment 7,600 Customer and Supplier Relationship Intangible Assets (3) 488,080 Other Intangible Assets (3) 47,300 Operating Lease Right-of-Use Assets 30,395 Accounts Payable, Accrued Expenses and Other Liabilities (60,014) Operating Lease Liabilities (30,395) Deferred Income Taxes (141,560) Total Fair Value of Identifiable Net Assets Acquired 444,018 Goodwill Initially Recorded (4) $ 581,128 (1) Cash paid for acquisitions, net of cash acquired in our Condensed Consolidated Statement of Cash Flows includes contingent and other payments received of $219 for the three months ended March 31, 2022 related to acquisitions made in the years prior to 2022. (2) At March 31, 2022, we included approximately $275,100 in Other long-term liabilities related to the fair value estimate of the Deferred Purchase Obligation for the Remaining Interests. Deferred Purchase Obligation and Other also includes approximately $1,200 of purchase price associated with the acquisition of a records and information management business completed in 2022. (3) The preliminary weighted average life of the intangible assets associated with the ITRenew Transaction is approximately 11 years. (4) Goodwill is primarily attributable to the assembled workforce, expanded market opportunities and costs and other operating synergies anticipated upon the integration of the operations of us and the acquired businesses. |
Investments (Tables)
Investments (Tables) | 3 Months Ended |
Mar. 31, 2022 | |
Investments, All Other Investments [Abstract] | |
Schedule of equity method investments | The carrying values and equity interests in our joint ventures at March 31, 2022 and December 31, 2021 are as follows: MARCH 31, 2022 DECEMBER 31, 2021 CARRYING VALUE EQUITY INTEREST CARRYING VALUE EQUITY INTEREST Joint venture with Web Werks India Private Limited $ 51,258 38.50 % $ 51,140 38.50 % Joint venture with AGC Equity Partners (the “Frankfurt JV”) 26,472 20.00 % 26,167 20.00 % MakeSpace JV — — % 30,154 49.99 % Clutter JV 66,625 26.76 % — — % |
Derivative Instruments and He_2
Derivative Instruments and Hedging Activities (Tables) | 3 Months Ended |
Mar. 31, 2022 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Schedule of Derivative Instruments | Assets (liabilities) recognized in our Condensed Consolidated Balance Sheets at March 31, 2022 and December 31, 2021, by derivative instrument, are as follows: DERIVATIVE INSTRUMENTS (1) MARCH 31, 2022 DECEMBER 31, 2021 Cash Flow Hedges (2) Interest Rate Swap Agreements $ 3,790 $ (7,680) Net Investment Hedges (3) August 2023 Cross-Currency Swap Agreements $ 219 $ (664) February 2026 Cross-Currency Swap Agreements 15,434 11,021 (1) Our derivative assets are included as a component of Other within Other assets, net in our Condensed Consolidated Balance Sheets and our derivative liabilities are included as a component of (i) Accrued expenses and other current liabilities or (ii) Other long-term liabilities in our Condensed Consolidated Balance Sheets. As of March 31, 2022, $19,443 is included within Other assets. As of December 31, 2021, $11,021 is included within Other assets, $2,082 is included within Accrued expense and other current liabilities and $6,262 is included within Other long-term liabilities. (2) As of March 31, 2022, cumulative net gains of $3,790 are recorded within Accumulated other comprehensive items, net associated with these interest rate swap agreements. (3) As of March 31, 2022, cumulative net gains of $15,653 are recorded within Accumulated other comprehensive items, net associated with these cross-currency swap agreements. |
Schedule of gains(losses) For Derivative Instruments | Unrealized gains (losses) recognized during the three months ended March 31, 2022 and 2021, by derivative instrument, are as follows: THREE MONTHS ENDED MARCH 31, DERIVATIVE INSTRUMENTS (1) 2022 2021 Cash Flow Hedges Interest Rate Swap Agreements $ 11,470 $ 4,201 Net Investment Hedges August 2023 Cross-Currency Swap Agreements $ 883 $ 4,751 February 2026 Cross-Currency Swap Agreements 4,413 6,254 |
Debt (Tables)
Debt (Tables) | 3 Months Ended |
Mar. 31, 2022 | |
Debt Disclosure [Abstract] | |
Schedule of Carrying Amount and Fair Value of Long-Term Debt Instruments | Long-term debt is as follows: MARCH 31, 2022 DECEMBER 31, 2021 DEBT (INCLUSIVE OF DISCOUNT) UNAMORTIZED DEFERRED FINANCING COSTS CARRYING AMOUNT FAIR VALUE DEBT (INCLUSIVE OF DISCOUNT) UNAMORTIZED DEFERRED FINANCING COSTS CARRYING AMOUNT FAIR VALUE Revolving Credit Facility $ 650,000 $ (10,096) $ 639,904 $ 650,000 $ — $ (5,174) $ (5,174) $ — Term Loan A 250,000 — 250,000 250,000 203,125 — 203,125 203,125 Term Loan B 671,153 (4,683) 666,470 672,000 672,847 (4,995) 667,852 675,500 Australian Dollar Term Loan (the “AUD Term Loan”) 226,517 (517) 226,000 229,130 223,182 (656) 222,526 223,530 UK Bilateral Revolving Credit Facility (the “UK Bilateral Facility”) 183,870 (525) 183,345 183,870 189,168 (709) 188,459 189,168 3 7 / 8 % GBP Senior Notes due 2025 (the “GBP Notes”) 525,342 (3,554) 521,788 521,560 540,481 (3,912) 536,569 542,508 4 7 / 8 % Senior Notes due 2027 (the “4 7 / 8 % Notes due 2027”) (1) 1,000,000 (7,821) 992,179 987,500 1,000,000 (8,176) 991,824 1,030,000 5 1 / 4 % Senior Notes due 2028 (the “5 1 / 4 % Notes due 2028”) (1) 825,000 (7,085) 817,915 814,688 825,000 (7,380) 817,620 862,125 5% Senior Notes due 2028 (the “5% Notes due 2028”) (1) 500,000 (4,582) 495,418 485,000 500,000 (4,763) 495,237 513,750 4 7 / 8 % Senior Notes due 2029 (the “4 7 / 8 % Notes due 2029”) (1) 1,000,000 (10,849) 989,151 950,000 1,000,000 (11,211) 988,789 1,022,500 5 1 / 4 % Senior Notes due 2030 (the “5 1 / 4 Notes due 2030”) (1) 1,300,000 (12,535) 1,287,465 1,261,000 1,300,000 (12,911) 1,287,089 1,355,250 4 1 / 2 % Senior Notes due 2031 (the “4 1 / 2 % Notes”) (1) 1,100,000 (11,093) 1,088,907 1,009,250 1,100,000 (11,404) 1,088,596 1,094,500 5% Senior Notes due 2032 (the “5% Notes due 2032”) 750,000 (13,499) 736,501 705,000 750,000 (13,782) 736,218 767,813 5 5 / 8 % Senior Notes due 2032 (the “5 5 / 8 % Notes”) (1) 600,000 (6,001) 593,999 590,250 600,000 (6,147) 593,853 637,500 Real Estate Mortgages, Financing Lease Liabilities and Other 446,394 (795) 445,599 446,394 460,648 (840) 459,808 460,648 Accounts Receivable Securitization Program 300,000 (450) 299,550 300,000 — (450) (450) — Total Long-term Debt 10,328,276 (94,085) 10,234,191 9,364,451 (92,510) 9,271,941 Less Current Portion (91,180) — (91,180) (310,084) 656 (309,428) Long-term Debt, Net of Current Portion $ 10,237,096 $ (94,085) $ 10,143,011 $ 9,054,367 $ (91,854) $ 8,962,513 (1) Collectively, the “Parent Notes”. |
Schedule of Net Cash Position in Cash Pool Agreements | The approximate amount of the net cash position for our cash pools and the approximate amount of the gross position and outstanding debit balances for each of these pools as of March 31, 2022 and December 31, 2021 are as follows: MARCH 31, 2022 DECEMBER 31, 2021 GROSS CASH POSITION OUTSTANDING DEBIT BALANCES NET CASH POSITION GROSS CASH POSITION OUTSTANDING DEBIT BALANCES NET CASH POSITION BMG QRS Cash Pool $ 554,600 $ (553,100) $ 1,500 $ 552,900 $ (552,100) $ 800 BMG TRS Cash Pool 552,900 (551,700) 1,200 606,000 (603,900) 2,100 JPM QRS Cash Pool 13,600 (13,500) 100 9,400 (9,200) 200 JPM TRS Cash Pool 17,000 (16,600) 400 12,000 (9,900) 2,100 |
Stockholders' Equity Matters (T
Stockholders' Equity Matters (Tables) | 3 Months Ended |
Mar. 31, 2022 | |
Equity [Abstract] | |
Schedule of dividend declared and payments | In fiscal year 2021 and the three months ended March 31, 2022, our board of directors declared the following dividends: DECLARATION DATE DIVIDEND RECORD DATE TOTAL PAYMENT DATE February 24, 2021 $ 0.6185 March 15, 2021 $ 178,569 April 6, 2021 May 6, 2021 0.6185 June 15, 2021 179,026 July 6, 2021 August 5, 2021 0.6185 September 15, 2021 179,080 October 6, 2021 November 4, 2021 0.6185 December 15, 2021 179,132 January 6, 2022 February 24, 2022 0.6185 March 15, 2022 179,661 April 6, 2022 |
Segment Information (Tables)
Segment Information (Tables) | 3 Months Ended |
Mar. 31, 2022 | |
Segment Reporting [Abstract] | |
Schedule of analysis of business segment information | An analysis of our business segment information and reconciliation to the accompanying Condensed Consolidated Financial Statements for the three months ended March 31, 2022 and 2021 is as follows: THREE MONTHS ENDED MARCH 31, 2022 2021 Global RIM Business Total Revenues $ 1,043,582 $ 967,294 Adjusted EBITDA 451,249 408,562 Global Data Center Business Total Revenues $ 96,987 $ 71,108 Adjusted EBITDA 41,977 30,432 Corporate and Other Business Total Revenues $ 107,477 $ 43,638 Adjusted EBITDA (62,232) (58,429) Total Consolidated Total Revenues $ 1,248,046 $ 1,082,040 Adjusted EBITDA 430,994 380,565 |
Schedule of reconciliation of net income (loss) to Adjusted EBITDA | A reconciliation of Net Income (Loss) to Adjusted EBITDA on a consolidated basis for the three months ended March 31, 2022 and 2021 is as follows: THREE MONTHS ENDED MARCH 31, 2022 2021 Net Income (Loss) $ 41,707 $ 46,631 Add/(Deduct): Interest expense, net 114,442 104,422 Provision (benefit) for income taxes 10,080 14,640 Depreciation and amortization 183,615 165,642 Acquisition and Integration Costs 15,661 — Restructuring Charges — 39,811 (Gain) loss on disposal/write-down of property, plant and equipment, net (including real estate) (705) (4,451) Other expense (income), net, excluding our share of losses (gains) from our unconsolidated joint ventures 53,515 2,121 Stock-based compensation expense 11,341 10,733 Our share of Adjusted EBITDA reconciling items from our unconsolidated joint ventures 1,338 1,016 Adjusted EBITDA $ 430,994 $ 380,565 |
Schedule of revenues by product and service lines by segment | Information as to our revenues by product and service lines by segment for the three months ended March 31, 2022 and 2021 are as follows: THREE MONTHS ENDED MARCH 31, 2022 2021 Global RIM Business Records Management (1) $ 802,553 $ 752,123 Data Management (1) 117,722 118,414 Information Destruction (1)(2) 123,307 96,757 Data Center (1) — — Global Data Center Business Records Management (1) $ — $ — Data Management (1) — — Information Destruction (1)(2) — — Data Center (1) 96,987 71,108 Corporate and Other Business Records Management (1) $ 33,689 $ 26,967 Data Management (1) 14,141 16,671 Information Destruction (1)(2)(3) 59,647 — Data Center (1) — — Total Consolidated Records Management (1) $ 836,242 $ 779,090 Data Management (1) 131,863 135,085 Information Destruction (1)(2)(3) 182,954 96,757 Data Center (1) 96,987 71,108 (1) Each of these offerings has a component of revenue that is storage rental related and a component that is service revenues, except for information destruction, which does not have a storage rental component. (2) Includes secure shredding services. (3) Includes product revenue from ITRenew. |
Summary of Significant Accoun_4
Summary of Significant Accounting Policies - Allowance for Doubtful Accounts and Credit Memo Reserves (Details) - Allowance for doubtful accounts $ in Thousands | 3 Months Ended |
Mar. 31, 2022USD ($) | |
SEC Schedule, 12-09, Movement in Valuation Allowances and Reserves [Roll Forward] | |
Balance as of December 31, 2021 | $ 62,009 |
Credit memos charged to revenue | 12,352 |
Allowance for bad debts charged to expense | 6,699 |
Deductions and other | (19,893) |
BALANCE AT END OF THE PERIOD | $ 61,167 |
Summary of Significant Accoun_5
Summary of Significant Accounting Policies- Inventory (Details) - USD ($) | Mar. 31, 2022 | Dec. 31, 2021 |
Accounting Policies [Abstract] | ||
Inventory | $ 24,900,000 | $ 0 |
Summary of Significant Accoun_6
Summary of Significant Accounting Policies - Supplemental Balance Sheet (Details) - USD ($) $ in Thousands | Mar. 31, 2022 | Dec. 31, 2021 |
Accounting Policies [Abstract] | ||
Operating lease right-of-use assets | $ 2,343,627 | $ 2,314,422 |
Financing lease right-of-use assets, net of accumulated depreciation | 284,468 | 298,049 |
Current | ||
Operating lease liabilities | 265,186 | 259,957 |
Finance lease liabilities | 39,397 | 41,168 |
Long-term | ||
Operating lease liabilities | 2,196,846 | 2,171,472 |
Finance lease liabilities | $ 301,603 | $ 315,561 |
Finance Lease, Right-of-Use Asset, Statement of Financial Position [Extensible List] | Property, Plant, and Equipment and Finance Lease Right-of-Use Asset, after Accumulated Depreciation and Amortization | Property, Plant, and Equipment and Finance Lease Right-of-Use Asset, after Accumulated Depreciation and Amortization |
Operating Lease, Liability, Current, Statement of Financial Position [Extensible List] | Accrued expenses and other current liabilities (includes current portion of operating lease liabilities) | Accrued expenses and other current liabilities (includes current portion of operating lease liabilities) |
Finance Lease, Liability, Current, Statement of Financial Position [Extensible List] | Current portion of long-term debt | Current portion of long-term debt |
Finance Lease, Liability, Noncurrent, Statement of Financial Position [Extensible List] | Long-term Debt, net of current portion | Long-term Debt, net of current portion |
Summary of Significant Accoun_7
Summary of Significant Accounting Policies - Leases Costs (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2022 | Mar. 31, 2021 | |
Accounting Policies [Abstract] | ||
Operating lease cost | $ 143,530 | $ 132,675 |
Depreciation of financing lease right-of-use assets | 11,454 | 12,648 |
Interest expense for financing lease liabilities | 4,678 | 4,975 |
Variable lease costs | $ 30,508 | $ 28,368 |
Summary of Significant Accoun_8
Summary of Significant Accounting Policies - Supplemental Cash Flows (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2022 | Mar. 31, 2021 | |
Accounting Policies [Abstract] | ||
Operating cash flows used in operating leases | $ 101,605 | $ 93,645 |
Operating cash flows used in financing leases (interest) | 4,678 | 4,975 |
Financing cash flows used in financing leases | 10,362 | 12,441 |
Operating lease modifications and reassessments | 23,767 | 31,994 |
New operating leases (including acquisitions and sale-leaseback transactions) | $ 125,902 | $ 48,200 |
Summary of Significant Accoun_9
Summary of Significant Accounting Policies - Schedule of Changes in Carrying Value of Goodwill (Details) $ in Thousands | 3 Months Ended |
Mar. 31, 2022USD ($) | |
Gross amount of goodwill [Roll Forward] | |
Goodwill beginning balance | $ 4,463,531 |
Non-tax deductible goodwill acquired during the period | 581,128 |
Fair value and other adjustments | (16,993) |
Currency effects | (3,975) |
Goodwill ending balance | 5,023,691 |
Accumulated goodwill impairment | 158,420 |
GLOBAL RIM BUSINESS | |
Gross amount of goodwill [Roll Forward] | |
Goodwill beginning balance | 3,976,261 |
Non-tax deductible goodwill acquired during the period | 978 |
Fair value and other adjustments | (16,993) |
Currency effects | (672) |
Goodwill ending balance | 3,959,574 |
Accumulated goodwill impairment | 132,409 |
GLOBAL DATA CENTER BUSINESS | |
Gross amount of goodwill [Roll Forward] | |
Goodwill beginning balance | 426,074 |
Non-tax deductible goodwill acquired during the period | 0 |
Fair value and other adjustments | 0 |
Currency effects | (2,702) |
Goodwill ending balance | 423,372 |
Accumulated goodwill impairment | 0 |
CORPORATE AND OTHER BUSINESS | |
Gross amount of goodwill [Roll Forward] | |
Goodwill beginning balance | 61,196 |
Non-tax deductible goodwill acquired during the period | 580,150 |
Fair value and other adjustments | 0 |
Currency effects | (601) |
Goodwill ending balance | 640,745 |
Accumulated goodwill impairment | $ 26,011 |
Summary of Significant Accou_10
Summary of Significant Accounting Policies - Fair Value Measurements (Details) - Fair value measured on recurring basis - USD ($) $ in Thousands | Mar. 31, 2022 | Dec. 31, 2021 |
QUOTED PRICES IN ACTIVE MARKETS (LEVEL 1) | ||
Assets and Liabilities Carried at Fair Value Measured on a Recurring Basis [Line Items] | ||
Trading securities | $ 10,355 | $ 11,062 |
Derivative asset | 0 | 0 |
Derivative liability | 0 | |
Deferred Purchase Obligation (as defined in Note 3) | 0 | |
SIGNIFICANT OTHER OBSERVABLE INPUTS (LEVEL 2) | ||
Assets and Liabilities Carried at Fair Value Measured on a Recurring Basis [Line Items] | ||
Trading securities | 87 | 85 |
Derivative asset | 19,443 | 11,021 |
Derivative liability | 8,344 | |
Deferred Purchase Obligation (as defined in Note 3) | 0 | |
SIGNIFICANT UNOBSERVABLE INPUTS (LEVEL 3) | ||
Assets and Liabilities Carried at Fair Value Measured on a Recurring Basis [Line Items] | ||
Trading securities | 0 | 0 |
Derivative asset | 0 | 0 |
Derivative liability | 0 | |
Deferred Purchase Obligation (as defined in Note 3) | 275,100 | |
Estimate of Fair Value Measurement | ||
Assets and Liabilities Carried at Fair Value Measured on a Recurring Basis [Line Items] | ||
Trading securities | 10,442 | 11,147 |
Derivative asset | 19,443 | 11,021 |
Derivative liability | 8,344 | |
Deferred Purchase Obligation (as defined in Note 3) | 275,100 | |
Money Market Funds | QUOTED PRICES IN ACTIVE MARKETS (LEVEL 1) | ||
Assets and Liabilities Carried at Fair Value Measured on a Recurring Basis [Line Items] | ||
Cash and cash equivalents | 0 | 0 |
Money Market Funds | SIGNIFICANT OTHER OBSERVABLE INPUTS (LEVEL 2) | ||
Assets and Liabilities Carried at Fair Value Measured on a Recurring Basis [Line Items] | ||
Cash and cash equivalents | 28,718 | 101,022 |
Money Market Funds | SIGNIFICANT UNOBSERVABLE INPUTS (LEVEL 3) | ||
Assets and Liabilities Carried at Fair Value Measured on a Recurring Basis [Line Items] | ||
Cash and cash equivalents | 0 | 0 |
Money Market Funds | Estimate of Fair Value Measurement | ||
Assets and Liabilities Carried at Fair Value Measured on a Recurring Basis [Line Items] | ||
Cash and cash equivalents | 28,718 | 101,022 |
Bank Time Deposits | QUOTED PRICES IN ACTIVE MARKETS (LEVEL 1) | ||
Assets and Liabilities Carried at Fair Value Measured on a Recurring Basis [Line Items] | ||
Cash and cash equivalents | 0 | 0 |
Bank Time Deposits | SIGNIFICANT OTHER OBSERVABLE INPUTS (LEVEL 2) | ||
Assets and Liabilities Carried at Fair Value Measured on a Recurring Basis [Line Items] | ||
Cash and cash equivalents | 3,167 | 2,238 |
Bank Time Deposits | SIGNIFICANT UNOBSERVABLE INPUTS (LEVEL 3) | ||
Assets and Liabilities Carried at Fair Value Measured on a Recurring Basis [Line Items] | ||
Cash and cash equivalents | 0 | 0 |
Bank Time Deposits | Estimate of Fair Value Measurement | ||
Assets and Liabilities Carried at Fair Value Measured on a Recurring Basis [Line Items] | ||
Cash and cash equivalents | $ 3,167 | $ 2,238 |
Summary of Significant Accou_11
Summary of Significant Accounting Policies - Accumulated Other Comprehensive Income and Other Expenses (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2022 | Mar. 31, 2021 | |
AOCI Rollforward | ||
Beginning of Period | $ 857,068 | $ 1,136,729 |
Other comprehensive (loss) income): | ||
Foreign currency translation and other adjustments | 27,223 | (66,224) |
Change in fair value of derivative instruments | 16,766 | 15,206 |
Total other comprehensive (loss) income | 43,989 | (51,018) |
End of period | 758,771 | 959,707 |
FOREIGN CURRENCY TRANSLATION AND OTHER ADJUSTMENTS | ||
AOCI Rollforward | ||
Beginning of Period | (341,024) | (206,190) |
Other comprehensive (loss) income): | ||
Foreign currency translation and other adjustments | 27,223 | (66,224) |
Change in fair value of derivative instruments | 0 | 0 |
Total other comprehensive (loss) income | 27,223 | (66,224) |
End of period | (313,801) | (272,414) |
CHANGE IN FAIR VALUE OF DERIVATIVE INSTRUMENTS | ||
AOCI Rollforward | ||
Beginning of Period | 2,677 | (49,703) |
Other comprehensive (loss) income): | ||
Foreign currency translation and other adjustments | 0 | 0 |
Change in fair value of derivative instruments | 16,766 | 15,206 |
Total other comprehensive (loss) income | 16,766 | 15,206 |
End of period | 19,443 | (34,497) |
TOTAL | ||
AOCI Rollforward | ||
Beginning of Period | (338,347) | (255,893) |
Other comprehensive (loss) income): | ||
End of period | $ (294,358) | $ (306,911) |
Summary of Significant Accou_12
Summary of Significant Accounting Policies - Contract Fulfillment Assets (Details) - USD ($) $ in Thousands | Mar. 31, 2022 | Dec. 31, 2021 |
Intake Costs asset | ||
Contract With Customer, Asset And Liabilities [Line Items] | ||
GROSS CARRYING AMOUNT | $ 71,731 | $ 71,336 |
ACCUMULATED AMORTIZATION | (45,432) | (42,678) |
NET CARRYING AMOUNT | 26,299 | 28,658 |
Commissions asset | ||
Contract With Customer, Asset And Liabilities [Line Items] | ||
GROSS CARRYING AMOUNT | 121,501 | 114,791 |
ACCUMULATED AMORTIZATION | (54,356) | (50,553) |
NET CARRYING AMOUNT | $ 67,145 | $ 64,238 |
Summary of Significant Accou_13
Summary of Significant Accounting Policies - Summary of Deferred Revenue Liabilities (Details) - USD ($) $ in Thousands | Mar. 31, 2022 | Dec. 31, 2021 |
Accounting Policies [Abstract] | ||
Deferred revenue - Current | $ 301,965 | $ 307,470 |
Deferred revenue - Long-term | $ 31,532 | $ 33,691 |
Summary of Significant Accou_14
Summary of Significant Accounting Policies - Storage Rental (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2022 | Mar. 31, 2021 | |
Lessor, Lease, Description [Line Items] | ||
Storage rental | $ 751,070 | $ 708,056 |
GLOBAL DATA CENTER BUSINESS | ||
Lessor, Lease, Description [Line Items] | ||
Storage rental | 87,451 | 67,157 |
Storage Rental, Power and Connectivity | GLOBAL DATA CENTER BUSINESS | ||
Lessor, Lease, Description [Line Items] | ||
Storage rental | $ 28,318 | $ 13,133 |
Summary of Significant Accou_15
Summary of Significant Accounting Policies - Stock-Based Compensation Narrative (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2022 | Mar. 31, 2021 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Unrecognized compensation cost | $ 85,449 | |
Stock-based Compensation Expense [Abstract] | ||
Stock-based compensation expense | 11,341 | $ 10,953 |
Restricted Stock Units | ||
Summary of Option Activity | ||
Total fair value of shares or units vested | 18,415 | 19,861 |
Performance units | ||
Summary of Option Activity | ||
Total fair value of shares or units vested | $ 4,346 | $ 5,591 |
Summary of Significant Accou_16
Summary of Significant Accounting Policies - Acquisition and Integration costs (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2022 | Mar. 31, 2021 | |
Accounting Policies [Abstract] | ||
Acquisition and Integration Costs | $ 15,661 | $ 0 |
Summary of Significant Accou_17
Summary of Significant Accounting Policies - Other (Income) Expense, Net (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2022 | Mar. 31, 2021 | |
Accounting Policies [Abstract] | ||
Foreign currency transaction (gains) losses, net | $ (13,201) | $ 2,314 |
Debt extinguishment expense | 671 | 0 |
Other, net | 68,431 | 2,399 |
Other Expense (Income), Net | 55,901 | 4,713 |
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||
Loss associated with OSG deconsolidation | 105,825 | 0 |
Equity in Other Comprehensive (Loss) Income of Subsidiaries | 35,821 | $ 0 |
OSG Records Management (Europe) Limited | ||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||
Loss associated with OSG deconsolidation | 105,800 | |
Clutter JV | ||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||
Equity in Other Comprehensive (Loss) Income of Subsidiaries | $ 35,800 |
Summary of Significant Accou_18
Summary of Significant Accounting Policies - Income Taxes (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2022 | Mar. 31, 2021 | |
Accounting Policies [Abstract] | ||
Effective Tax Rate | 19.50% | 23.90% |
Federal statutory tax rate | 21.00% | 21.00% |
Deferred tax assets | $ 9,900 |
Summary of Significant Accou_19
Summary of Significant Accounting Policies - Income (Loss) Per Share, Basic and Diluted (Details) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | |
Mar. 31, 2022 | Mar. 31, 2021 | |
Income (Loss) Per Share-Basic and Diluted | ||
Net Income (Loss) | $ 41,707 | $ 46,631 |
Less: Net (Loss) Income Attributable to Noncontrolling Interests | (592) | 1,028 |
Net Income (Loss) Attributable to Iron Mountain Incorporated | $ 42,299 | $ 45,603 |
Weighted-average shares—basic (in shares) | 290,328,000 | 288,756,000 |
Effect of dilutive potential stock options (in shares) | 995,625 | 56,437 |
Effect of dilutive potential restricted stock, RSUs and PUs (in shares) | 521,977 | 715,850 |
Weighted-average shares—diluted (in shares) | 291,845,602 | 289,528,287 |
Basic (in dollars per share) | $ 0.15 | $ 0.16 |
Diluted (in dollars per share) | $ 0.14 | $ 0.16 |
Antidilutive stock options, RSUs and PUs, excluded from the calculation (in shares) | 755,580 | 4,708,068 |
Acquisitions - Additional Infor
Acquisitions - Additional Information (Details) - USD ($) $ in Thousands | Jan. 25, 2022 | Mar. 31, 2022 | Mar. 31, 2021 | Jan. 25, 2025 | Jan. 25, 2024 |
Business Acquisition [Line Items] | |||||
Cash paid for acquisition | $ 717,907 | $ 0 | |||
ITRenew | |||||
Business Acquisition [Line Items] | |||||
Ownership acquired | 80.00% | ||||
Total Consideration | $ 725,000 | ||||
Cash Paid (gross of cash acquired) | 748,846 | ||||
Net cash acquired | 30,720 | ||||
Cash paid for acquisition | $ 718,126 | ||||
Possible subsequent percentage acquired | 20.00% | ||||
Deferred Purchase Obligation (as defined in Note 3) | $ 275,100 | ||||
Consolidation percentage | 100.00% | ||||
ITRenew | Minimum | |||||
Business Acquisition [Line Items] | |||||
Value of possible subsequent acquisition | $ 200,000 | ||||
ITRenew | Maximum | |||||
Business Acquisition [Line Items] | |||||
Value of possible subsequent acquisition | $ 531,000 | ||||
ITRenew | Second Anniversary | Forecast | |||||
Business Acquisition [Line Items] | |||||
Possible subsequent percentage acquired | 16.00% | ||||
ITRenew | Third Anniversary | Forecast | |||||
Business Acquisition [Line Items] | |||||
Possible subsequent percentage acquired | 4.00% | ||||
2022 Acquisitions | |||||
Business Acquisition [Line Items] | |||||
Total Consideration | 1,025,146 | ||||
Cash Paid (gross of cash acquired) | 748,846 | ||||
Deferred Purchase Obligation (as defined in Note 3) | $ 275,100 |
Acquisitions - Schedule of Purc
Acquisitions - Schedule of Purchase Price Allocation (Details) - USD ($) $ in Thousands | Jan. 25, 2022 | Mar. 31, 2022 | Dec. 31, 2021 |
Fair Value of Identifiable Assets Acquired and Liabilities Assumed: | |||
Operating Lease Liabilities | $ (2,196,846) | $ (2,171,472) | |
Goodwill Initially Recorded(4) | 5,023,691 | $ 4,463,531 | |
2022 Acquisitions | |||
Business Acquisition [Line Items] | |||
Cash Paid (gross of cash acquired) | 748,846 | ||
Deferred Purchase Obligation and Other | 276,300 | ||
Total Consideration | 1,025,146 | ||
Fair Value of Identifiable Assets Acquired and Liabilities Assumed: | |||
Cash | 30,720 | ||
Accounts Receivable, Prepaid Expenses and Other Assets | 71,892 | ||
Property, plant and equipment | 7,600 | ||
Intangible assets | 47,300 | ||
Operating Lease Right-of-Use Assets | 30,395 | ||
Accounts Payable, Accrued Expenses and Other Liabilities | (60,014) | ||
Operating Lease Liabilities | (30,395) | ||
Deferred Income Taxes | (141,560) | ||
Total Fair Value of Identifiable Net Assets Acquired | 444,018 | ||
Goodwill Initially Recorded(4) | 581,128 | ||
Proceeds from previous acquisition | 219 | ||
Deferred Purchase Obligation (as defined in Note 3) | 275,100 | ||
2022 Acquisitions | Customer Relationships | |||
Fair Value of Identifiable Assets Acquired and Liabilities Assumed: | |||
Intangible assets | $ 488,080 | ||
ITRenew | |||
Business Acquisition [Line Items] | |||
Cash Paid (gross of cash acquired) | $ 748,846 | ||
Total Consideration | 725,000 | ||
Fair Value of Identifiable Assets Acquired and Liabilities Assumed: | |||
Deferred Purchase Obligation (as defined in Note 3) | $ 275,100 | ||
Acquired finite-lived intangible assets, weighted average useful life | 11 years | ||
GLOBAL RIM BUSINESS | |||
Fair Value of Identifiable Assets Acquired and Liabilities Assumed: | |||
Purchase price holdback | $ 1,200 |
Investments- Narrative (Details
Investments- Narrative (Details) - USD ($) $ in Thousands | 1 Months Ended | 3 Months Ended | ||
Feb. 28, 2022 | Mar. 31, 2022 | Mar. 31, 2021 | Dec. 31, 2021 | |
Schedule of Equity Method Investments [Line Items] | ||||
Gain associated with Clutter Transaction | $ 35,821 | $ 0 | ||
MakeSpace JV | ||||
Schedule of Equity Method Investments [Line Items] | ||||
Ownership percentage | 49.99% | 0.00% | 49.99% | |
Gain associated with Clutter Transaction | $ 35,800 | |||
Clutter JV | ||||
Schedule of Equity Method Investments [Line Items] | ||||
Ownership percentage | 27.00% | 26.76% | 0.00% |
Investments- Schedule of Invest
Investments- Schedule of Investments (Details) - USD ($) $ in Thousands | Mar. 31, 2022 | Feb. 28, 2022 | Dec. 31, 2021 |
Web Werks India Private Limited | |||
Schedule of Equity Method Investments [Line Items] | |||
Equity investments | $ 51,258 | $ 51,140 | |
Ownership percentage | 38.50% | 38.50% | |
Frankfurt JV | |||
Schedule of Equity Method Investments [Line Items] | |||
Equity investments | $ 26,472 | $ 26,167 | |
Ownership percentage | 20.00% | 20.00% | |
MakeSpace JV | |||
Schedule of Equity Method Investments [Line Items] | |||
Equity investments | $ 0 | $ 30,154 | |
Ownership percentage | 0.00% | 49.99% | 49.99% |
Clutter JV | |||
Schedule of Equity Method Investments [Line Items] | |||
Equity investments | $ 66,625 | $ 0 | |
Ownership percentage | 26.76% | 27.00% | 0.00% |
Derivative Instruments and He_3
Derivative Instruments and Hedging Activities - Additional Information (Details) | Mar. 31, 2022USD ($) | Dec. 31, 2021USD ($) | Sep. 30, 2020USD ($) | Sep. 30, 2020EUR (€) | Aug. 31, 2019USD ($) | Aug. 31, 2019EUR (€) |
Interest Rate Swap Agreements | ||||||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||||||
Notional amount | $ 350,000,000 | $ 350,000,000 | ||||
Cross-currency Swap Agreements | Net Investment Hedges | ||||||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||||||
Notional amount | $ 359,200,000 | € 300,000,000 | $ 110,000,000 | € 99,055,000 | ||
Interest rate (as a percent) | 4.50% | 4.50% | 6.00% | 6.00% | ||
Weighted average interest rate (as a percent) | 3.40% | 3.40% | 3.65% | 3.65% |
Derivative Instruments and He_4
Derivative Instruments and Hedging Activities - Net Investment Hedges (Details) - USD ($) $ in Thousands | 3 Months Ended | ||
Mar. 31, 2022 | Mar. 31, 2021 | Dec. 31, 2021 | |
Other Assets, Net | |||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | |||
Derivative asset | $ 19,443 | $ 11,021 | |
Accrued Expenses And Other Current Liabilities | |||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | |||
Derivative liabilities | (2,082) | ||
Other Long-Term Liabilities | |||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | |||
Derivative liabilities | (6,262) | ||
Net Investment Hedges | |||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | |||
Cumulative net gain in cross-currency swaps | 15,653 | ||
Interest Rate Swap Agreements | |||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | |||
Cumulative net gain in AOCI | 3,790 | ||
Interest Rate Swap Agreements | Cash Flow Hedging | |||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | |||
Derivative liabilities | (7,680) | ||
Derivative asset | 3,790 | ||
Interest Rate Swap Agreements | Designated as Hedging Instrument | Cash Flow Hedging | |||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | |||
Unrealized gains (losses) associated with interest rate swap agreements | 11,470 | $ 4,201 | |
August 2023 Cross Currency Swap Agreements | Net Investment Hedges | |||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | |||
Derivative liabilities | (664) | ||
Derivative asset | 219 | ||
August 2023 Cross Currency Swap Agreements | Designated as Hedging Instrument | Net Investment Hedges | |||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | |||
Unrealized gains (losses) associated with cross-currency swaps | 883 | 4,751 | |
February 2026 Cross Currency Swap Agreements | Net Investment Hedges | |||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | |||
Derivative asset | 15,434 | $ 11,021 | |
February 2026 Cross Currency Swap Agreements | Designated as Hedging Instrument | Net Investment Hedges | |||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | |||
Unrealized gains (losses) associated with cross-currency swaps | $ 4,413 | $ 6,254 |
Debt - Schedule of Long Term De
Debt - Schedule of Long Term Debt (Details) - USD ($) $ in Thousands | Mar. 31, 2022 | Dec. 31, 2021 |
Debt Instrument [Line Items] | ||
DEBT (INCLUSIVE OF DISCOUNT) | $ 10,328,276 | $ 9,364,451 |
UNAMORTIZED DEFERRED FINANCING COSTS | (94,085) | (92,510) |
CARRYING AMOUNT | 10,234,191 | 9,271,941 |
Long-term debt, gross, current maturities | (91,180) | (310,084) |
Long term debt, gross, net of current portion | 10,237,096 | 9,054,367 |
Unamortized deferred financing costs, current | 0 | 656 |
Unamortized deferred financing costs, noncurrent | (94,085) | (91,854) |
Carrying amount, current maturities | (91,180) | (309,428) |
Carrying amount, excluding current maturities | 10,143,011 | 8,962,513 |
Australian Dollar Term Loan (the AUD Term Loan) | ||
Debt Instrument [Line Items] | ||
DEBT (INCLUSIVE OF DISCOUNT) | 226,517 | 223,182 |
UNAMORTIZED DEFERRED FINANCING COSTS | (517) | (656) |
CARRYING AMOUNT | 226,000 | 222,526 |
FAIR VALUE | 229,130 | 223,530 |
Real Estate Mortgages, Financing Lease Liabilities and Other | ||
Debt Instrument [Line Items] | ||
DEBT (INCLUSIVE OF DISCOUNT) | 446,394 | 460,648 |
UNAMORTIZED DEFERRED FINANCING COSTS | (795) | (840) |
CARRYING AMOUNT | 445,599 | 459,808 |
FAIR VALUE | 446,394 | 460,648 |
Accounts Receivable Securitization Program | ||
Debt Instrument [Line Items] | ||
DEBT (INCLUSIVE OF DISCOUNT) | 300,000 | 0 |
UNAMORTIZED DEFERRED FINANCING COSTS | (450) | (450) |
CARRYING AMOUNT | 299,550 | (450) |
FAIR VALUE | 300,000 | 0 |
New Credit Agreement | Revolving Credit Facility | ||
Debt Instrument [Line Items] | ||
DEBT (INCLUSIVE OF DISCOUNT) | 650,000 | 0 |
UNAMORTIZED DEFERRED FINANCING COSTS | (10,096) | (5,174) |
CARRYING AMOUNT | 639,904 | (5,174) |
FAIR VALUE | 650,000 | 0 |
Term Loan A | Term Loan Facility | ||
Debt Instrument [Line Items] | ||
DEBT (INCLUSIVE OF DISCOUNT) | 250,000 | 203,125 |
UNAMORTIZED DEFERRED FINANCING COSTS | 0 | 0 |
CARRYING AMOUNT | 250,000 | 203,125 |
FAIR VALUE | 250,000 | 203,125 |
Term Loan B | Term Loan Facility | ||
Debt Instrument [Line Items] | ||
DEBT (INCLUSIVE OF DISCOUNT) | 671,153 | 672,847 |
UNAMORTIZED DEFERRED FINANCING COSTS | (4,683) | (4,995) |
CARRYING AMOUNT | 666,470 | 667,852 |
FAIR VALUE | 672,000 | 675,500 |
UK Bilateral Revolving Credit Facility | Revolving Credit Facility | ||
Debt Instrument [Line Items] | ||
DEBT (INCLUSIVE OF DISCOUNT) | 183,870 | 189,168 |
UNAMORTIZED DEFERRED FINANCING COSTS | (525) | (709) |
CARRYING AMOUNT | 183,345 | 188,459 |
FAIR VALUE | $ 183,870 | 189,168 |
GBP Senior Notes due 2025 3.875 Percent | Senior Notes | ||
Debt Instrument [Line Items] | ||
Stated interest rate (as a percent) | 3.875% | |
DEBT (INCLUSIVE OF DISCOUNT) | $ 525,342 | 540,481 |
UNAMORTIZED DEFERRED FINANCING COSTS | (3,554) | (3,912) |
CARRYING AMOUNT | 521,788 | 536,569 |
FAIR VALUE | $ 521,560 | 542,508 |
Senior Notes 4.875 Percent due 2027 | Senior Notes | ||
Debt Instrument [Line Items] | ||
Stated interest rate (as a percent) | 4.875% | |
DEBT (INCLUSIVE OF DISCOUNT) | $ 1,000,000 | 1,000,000 |
UNAMORTIZED DEFERRED FINANCING COSTS | (7,821) | (8,176) |
CARRYING AMOUNT | 992,179 | 991,824 |
FAIR VALUE | $ 987,500 | 1,030,000 |
Senior Notes 5.25 Percent due 2028 | Senior Notes | ||
Debt Instrument [Line Items] | ||
Stated interest rate (as a percent) | 5.25% | |
DEBT (INCLUSIVE OF DISCOUNT) | $ 825,000 | 825,000 |
UNAMORTIZED DEFERRED FINANCING COSTS | (7,085) | (7,380) |
CARRYING AMOUNT | 817,915 | 817,620 |
FAIR VALUE | $ 814,688 | 862,125 |
Senior Notes 5 Percent Due 2028 Member | Senior Notes | ||
Debt Instrument [Line Items] | ||
Stated interest rate (as a percent) | 5.00% | |
DEBT (INCLUSIVE OF DISCOUNT) | $ 500,000 | 500,000 |
UNAMORTIZED DEFERRED FINANCING COSTS | (4,582) | (4,763) |
CARRYING AMOUNT | 495,418 | 495,237 |
FAIR VALUE | $ 485,000 | 513,750 |
Senior Notes 4.875 Percent due 2029 | Senior Notes | ||
Debt Instrument [Line Items] | ||
Stated interest rate (as a percent) | 4.875% | |
DEBT (INCLUSIVE OF DISCOUNT) | $ 1,000,000 | 1,000,000 |
UNAMORTIZED DEFERRED FINANCING COSTS | (10,849) | (11,211) |
CARRYING AMOUNT | 989,151 | 988,789 |
FAIR VALUE | $ 950,000 | 1,022,500 |
Senior Notes 5.25 Percent Due 2030 | Senior Notes | ||
Debt Instrument [Line Items] | ||
Stated interest rate (as a percent) | 5.25% | |
DEBT (INCLUSIVE OF DISCOUNT) | $ 1,300,000 | 1,300,000 |
UNAMORTIZED DEFERRED FINANCING COSTS | (12,535) | (12,911) |
CARRYING AMOUNT | 1,287,465 | 1,287,089 |
FAIR VALUE | $ 1,261,000 | 1,355,250 |
Senior Notes 4.5 Percent Due 2031 | Senior Notes | ||
Debt Instrument [Line Items] | ||
Stated interest rate (as a percent) | 4.50% | |
DEBT (INCLUSIVE OF DISCOUNT) | $ 1,100,000 | 1,100,000 |
UNAMORTIZED DEFERRED FINANCING COSTS | (11,093) | (11,404) |
CARRYING AMOUNT | 1,088,907 | 1,088,596 |
FAIR VALUE | $ 1,009,250 | 1,094,500 |
Senior Notes 5 Percent Due 2032 | Senior Notes | ||
Debt Instrument [Line Items] | ||
Stated interest rate (as a percent) | 5.00% | |
DEBT (INCLUSIVE OF DISCOUNT) | $ 750,000 | 750,000 |
UNAMORTIZED DEFERRED FINANCING COSTS | (13,499) | (13,782) |
CARRYING AMOUNT | 736,501 | 736,218 |
FAIR VALUE | $ 705,000 | 767,813 |
Senior Notes 5.625 Percent Due 2032 | Senior Notes | ||
Debt Instrument [Line Items] | ||
Stated interest rate (as a percent) | 5.625% | |
DEBT (INCLUSIVE OF DISCOUNT) | $ 600,000 | 600,000 |
UNAMORTIZED DEFERRED FINANCING COSTS | (6,001) | (6,147) |
CARRYING AMOUNT | 593,999 | 593,853 |
FAIR VALUE | $ 590,250 | $ 637,500 |
Debt - Credit Agreements (Detai
Debt - Credit Agreements (Details) | Mar. 31, 2022USD ($) | Mar. 18, 2022measurement | Mar. 17, 2022USD ($)measurement | Dec. 31, 2021USD ($) |
Debt Instrument [Line Items] | ||||
Leveraged leases, adjusted covenant ratio | measurement | 7 | 6.5 | ||
Outstanding borrowings | $ 10,328,276,000 | $ 9,364,451,000 | ||
Revolving Credit Facility | ||||
Debt Instrument [Line Items] | ||||
Letters of credit outstanding | 3,056,000 | |||
Remaining capacity | 1,596,944,000 | |||
New Credit Agreement | Revolving Credit Facility | ||||
Debt Instrument [Line Items] | ||||
Maximum borrowing capacity | 2,250,000,000 | $ 1,750,000,000 | ||
Outstanding borrowings | $ 650,000,000 | $ 0 | ||
Average interest rate (as a percent) | 2.20% | 1.90% | ||
Term Loan A | Term Loan Facility | ||||
Debt Instrument [Line Items] | ||||
Principal amount | $ 250,000,000 | |||
Outstanding borrowings | $ 250,000,000 | $ 203,125,000 | ||
Average interest rate (as a percent) | 2.10% | |||
Term B Loan Facility | Term Loan Facility | ||||
Debt Instrument [Line Items] | ||||
Principal amount | $ 700,000,000 | |||
Outstanding borrowings | $ 672,000,000 | |||
Average interest rate (as a percent) | 2.90% |
Debt - Australian Dollar Term L
Debt - Australian Dollar Term Loan (Details) $ in Thousands, $ in Thousands | Mar. 18, 2022 | Dec. 31, 2021USD ($) | Mar. 31, 2022USD ($) | Mar. 31, 2022AUD ($) |
Debt Instrument [Line Items] | ||||
Outstanding borrowings | $ 9,364,451 | $ 10,328,276 | ||
Australian Dollar Term Loan (the AUD Term Loan) | ||||
Debt Instrument [Line Items] | ||||
Outstanding borrowings | $ 223,182 | $ 226,517 | ||
Australian Dollar Term Loan (the AUD Term Loan) | BBSY | ||||
Debt Instrument [Line Items] | ||||
Outstanding borrowings | $ 305,889 | |||
Debt instrument, basis spread on variable rate | 3.625% | 3.875% | ||
Effective interest rate (as a percent) | 4.00% | 3.90% | 3.90% |
Debt - Cash Pooling (Details)
Debt - Cash Pooling (Details) $ in Thousands | Mar. 31, 2022USD ($)cash_pool | Dec. 31, 2021USD ($) |
Bank Mendes Gans | ||
Debt Instrument [Line Items] | ||
Number of cash pools | cash_pool | 2 | |
JP Morgan Chase Bank | ||
Debt Instrument [Line Items] | ||
Number of cash pools | cash_pool | 2 | |
QRS Cash Pool | Bank Mendes Gans | ||
Debt Instrument [Line Items] | ||
Number of cash pools | cash_pool | 1 | |
GROSS CASH POSITION | $ 554,600 | $ 552,900 |
OUTSTANDING DEBIT BALANCES | (553,100) | (552,100) |
NET CASH POSITION | $ 1,500 | 800 |
QRS Cash Pool | JP Morgan Chase Bank | ||
Debt Instrument [Line Items] | ||
Number of cash pools | cash_pool | 1 | |
GROSS CASH POSITION | $ 13,600 | 9,400 |
OUTSTANDING DEBIT BALANCES | (13,500) | (9,200) |
NET CASH POSITION | $ 100 | 200 |
TRS Cash Pool | Bank Mendes Gans | ||
Debt Instrument [Line Items] | ||
Number of cash pools | cash_pool | 1 | |
GROSS CASH POSITION | $ 552,900 | 606,000 |
OUTSTANDING DEBIT BALANCES | (551,700) | (603,900) |
NET CASH POSITION | $ 1,200 | 2,100 |
TRS Cash Pool | JP Morgan Chase Bank | ||
Debt Instrument [Line Items] | ||
Number of cash pools | cash_pool | 1 | |
GROSS CASH POSITION | $ 17,000 | 12,000 |
OUTSTANDING DEBIT BALANCES | (16,600) | (9,900) |
NET CASH POSITION | $ 400 | $ 2,100 |
Debt - Letters of Credit (Detai
Debt - Letters of Credit (Details) - Credit Agreement $ in Thousands | Mar. 31, 2022USD ($) |
Debt Instrument [Line Items] | |
Letters of credit outstanding | $ 36,498 |
Revolving Credit Facility | |
Debt Instrument [Line Items] | |
Letters of credit outstanding | $ 3,056 |
Commitments and Contingencies -
Commitments and Contingencies - (Details) $ in Thousands | Mar. 31, 2022USD ($) |
Insurance settlement | |
Commitments and Contingencies | |
Reasonably possible additional losses | $ 25,000 |
Stockholders' Equity Matters -
Stockholders' Equity Matters - Dividends Declared (Details) - USD ($) $ / shares in Units, $ in Thousands | Apr. 28, 2022 | Apr. 06, 2022 | Feb. 24, 2022 | Jan. 06, 2022 | Nov. 04, 2021 | Oct. 06, 2021 | Aug. 05, 2021 | Jul. 06, 2021 | May 06, 2021 | Apr. 06, 2021 | Feb. 24, 2021 | Mar. 31, 2022 | Mar. 31, 2021 |
Debt Instrument [Line Items] | |||||||||||||
DIVIDEND PER SHARE (in dollars per share) | $ 0.6185 | $ 0.6185 | $ 0.6185 | $ 0.6185 | $ 0.6185 | ||||||||
TOTAL AMOUNT | $ 179,132 | $ 179,080 | $ 179,026 | $ 178,569 | $ 181,023 | $ 178,685 | |||||||
Subsequent Event | |||||||||||||
Debt Instrument [Line Items] | |||||||||||||
DIVIDEND PER SHARE (in dollars per share) | $ 0.6185 | ||||||||||||
TOTAL AMOUNT | $ 179,661 |
Segment Information - Additiona
Segment Information - Additional Information (Details) | 12 Months Ended |
Dec. 31, 2021segment | |
Segment Reporting [Abstract] | |
Number of operating segments | 3 |
Segment Information - Segment R
Segment Information - Segment Reporting Information by Segment (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2022 | Mar. 31, 2021 | |
Segment Reporting Information [Line Items] | ||
Total Revenues | $ 1,248,046 | $ 1,082,040 |
Adjusted EBITDA | 430,994 | 380,565 |
GLOBAL RIM BUSINESS | ||
Segment Reporting Information [Line Items] | ||
Total Revenues | 1,043,582 | 967,294 |
Adjusted EBITDA | 451,249 | 408,562 |
GLOBAL DATA CENTER BUSINESS | ||
Segment Reporting Information [Line Items] | ||
Total Revenues | 96,987 | 71,108 |
Adjusted EBITDA | 41,977 | 30,432 |
CORPORATE AND OTHER BUSINESS | ||
Segment Reporting Information [Line Items] | ||
Total Revenues | 107,477 | 43,638 |
Adjusted EBITDA | $ (62,232) | $ (58,429) |
Segment Information - Reconcili
Segment Information - Reconciliation to of Net Income to Adjusted EBITDA (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2022 | Mar. 31, 2021 | |
Reconciliation to of Net Income to Adjusted EBITDA | ||
Net Income (Loss) | $ 41,707 | $ 46,631 |
Interest expense, net | 114,442 | 104,422 |
Provision (benefit) for income taxes | 10,080 | 14,640 |
Depreciation and amortization | 183,615 | 165,642 |
Acquisition and Integration Costs | 15,661 | 0 |
Restructuring Charges | 0 | 39,811 |
(Gain) loss on disposal/write-down of property, plant and equipment, net (including real estate) | (705) | (4,451) |
Other expense (income), net, excluding our share of losses (gains) from our unconsolidated joint ventures | 53,515 | 2,121 |
Stock-based compensation expense | 11,341 | 10,733 |
Our share of Adjusted EBITDA reconciling items from our unconsolidated joint ventures | 1,338 | 1,016 |
Adjusted EBITDA | $ 430,994 | $ 380,565 |
Segment Information - Revenues
Segment Information - Revenues by Product and Service Lines by Segment (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2022 | Mar. 31, 2021 | |
Segment Reporting Information [Line Items] | ||
Total Revenues | $ 1,248,046 | $ 1,082,040 |
GLOBAL RIM BUSINESS | ||
Segment Reporting Information [Line Items] | ||
Total Revenues | 1,043,582 | 967,294 |
GLOBAL DATA CENTER BUSINESS | ||
Segment Reporting Information [Line Items] | ||
Total Revenues | 96,987 | 71,108 |
CORPORATE AND OTHER BUSINESS | ||
Segment Reporting Information [Line Items] | ||
Total Revenues | 107,477 | 43,638 |
Records management | ||
Segment Reporting Information [Line Items] | ||
Total Revenues | 836,242 | 779,090 |
Records management | GLOBAL RIM BUSINESS | ||
Segment Reporting Information [Line Items] | ||
Total Revenues | 802,553 | 752,123 |
Records management | GLOBAL DATA CENTER BUSINESS | ||
Segment Reporting Information [Line Items] | ||
Total Revenues | 0 | 0 |
Records management | CORPORATE AND OTHER BUSINESS | ||
Segment Reporting Information [Line Items] | ||
Total Revenues | 33,689 | 26,967 |
Data management | ||
Segment Reporting Information [Line Items] | ||
Total Revenues | 131,863 | 135,085 |
Data management | GLOBAL RIM BUSINESS | ||
Segment Reporting Information [Line Items] | ||
Total Revenues | 117,722 | 118,414 |
Data management | GLOBAL DATA CENTER BUSINESS | ||
Segment Reporting Information [Line Items] | ||
Total Revenues | 0 | 0 |
Data management | CORPORATE AND OTHER BUSINESS | ||
Segment Reporting Information [Line Items] | ||
Total Revenues | 14,141 | 16,671 |
Information destruction | ||
Segment Reporting Information [Line Items] | ||
Total Revenues | 182,954 | 96,757 |
Information destruction | GLOBAL RIM BUSINESS | ||
Segment Reporting Information [Line Items] | ||
Total Revenues | 123,307 | 96,757 |
Information destruction | GLOBAL DATA CENTER BUSINESS | ||
Segment Reporting Information [Line Items] | ||
Total Revenues | 0 | 0 |
Information destruction | CORPORATE AND OTHER BUSINESS | ||
Segment Reporting Information [Line Items] | ||
Total Revenues | 59,647 | 0 |
Data center | ||
Segment Reporting Information [Line Items] | ||
Total Revenues | 96,987 | 71,108 |
Data center | GLOBAL RIM BUSINESS | ||
Segment Reporting Information [Line Items] | ||
Total Revenues | 0 | 0 |
Data center | GLOBAL DATA CENTER BUSINESS | ||
Segment Reporting Information [Line Items] | ||
Total Revenues | 96,987 | 71,108 |
Data center | CORPORATE AND OTHER BUSINESS | ||
Segment Reporting Information [Line Items] | ||
Total Revenues | $ 0 | $ 0 |
Related Parties - (Details)
Related Parties - (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2022 | Mar. 31, 2021 | |
Frankfurt JV | ||
Related Party Transaction [Line Items] | ||
Revenue | $ 7,100 | $ 1,060 |
Makespace And Clutter | ||
Related Party Transaction [Line Items] | ||
Revenue | $ 7,000 | $ 7,500 |
Project Summit - Restructuring
Project Summit - Restructuring Charges (Details) - USD ($) | 1 Months Ended | 3 Months Ended | |
Oct. 31, 2019 | Mar. 31, 2022 | Mar. 31, 2021 | |
Restructuring Cost and Reserve [Line Items] | |||
Restructuring Charges | $ 0 | $ 39,811,000 | |
Project Summit costs | |||
Restructuring Cost and Reserve [Line Items] | |||
Restructuring Charges | $ 450,000,000 | $ 0 | 39,811,000 |
Employee Severance | Project Summit costs | |||
Restructuring Cost and Reserve [Line Items] | |||
Restructuring Charges | 3,808,000 | ||
Accrued Professional Fees | Project Summit costs | |||
Restructuring Cost and Reserve [Line Items] | |||
Restructuring Charges | $ 36,003,000 |