Document and Entity Information
Document and Entity Information | 12 Months Ended |
Dec. 31, 2018shares | |
Document And Entity Information [Abstract] | |
Document Type | 20-F |
Amendment Flag | false |
Document Period End Date | Dec. 31, 2018 |
Document Fiscal Year Focus | 2018 |
Document Fiscal Period Focus | FY |
Trading Symbol | TGH |
Entity Registrant Name | TEXTAINER GROUP HOLDINGS LTD |
Entity Central Index Key | 0001413159 |
Current Fiscal Year End Date | --12-31 |
Entity Well-known Seasoned Issuer | No |
Entity Current Reporting Status | Yes |
Entity Filer Category | Accelerated Filer |
Entity Emerging Growth Company | false |
Entity Shell Company | false |
Entity Common Stock, Shares Outstanding | 57,402,164 |
Consolidated Statements Of Comp
Consolidated Statements Of Comprehensive Income (Loss) - USD ($) shares in Thousands, $ in Thousands | 12 Months Ended | |||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | ||
Revenues: | ||||
Lease rental income | $ 612,704 | $ 549,454 | $ 565,938 | |
Trading container margin | 3,450 | 1,456 | (276) | |
Gain on sale of owned fleet containers, net | 36,071 | 26,210 | 6,761 | |
Operating expenses: | ||||
Distribution to managed fleet owners | 102,992 | 96,718 | 98,028 | |
Depreciation expense | 235,705 | 231,043 | 236,144 | |
Container impairment | 26,775 | 8,072 | 94,623 | |
Amortization expense | 3,721 | 4,092 | 5,053 | |
General and administrative expense | [1] | 44,317 | 39,677 | 34,540 |
Bad debt expense, net | 2,697 | 477 | 21,166 | |
Total operating expenses | 466,328 | 440,400 | 552,150 | |
Gain on insurance recovery | (8,692) | |||
Income from operations | 194,426 | 143,866 | 26,210 | |
Other (expense) income: | ||||
Interest expense | (138,427) | (117,475) | (85,215) | |
Write-off of unamortized deferred debt issuance costs and bond discounts | (881) | (7,550) | ||
Interest income | 1,709 | 613 | 408 | |
Realized gain (loss) on interest rate swaps, collars and caps, net | 5,238 | (1,191) | (8,928) | |
Unrealized (loss) gain on interest rate swaps, collars and caps, net | (5,790) | 4,094 | 6,210 | |
Other, net | 3 | (8) | ||
Net other expense | (138,151) | (121,506) | (87,533) | |
Income (loss) before income tax and noncontrolling interests | 56,275 | 22,360 | (61,323) | |
Income tax (expense) benefit, net | (2,025) | (1,618) | 3,447 | |
Net income (loss) | 54,250 | 20,742 | (57,876) | |
Less: Net (income) loss attributable to the noncontrolling interests | (3,872) | (1,377) | 5,393 | |
Net income (loss) attributable to Textainer Group Holdings Limited common shareholders | $ 50,378 | $ 19,365 | $ (52,483) | |
Net income (loss) attributable to Textainer Group Holdings Limited common shareholders per share: | ||||
Basic | $ 0.88 | $ 0.34 | $ (0.93) | |
Diluted | $ 0.88 | $ 0.34 | $ (0.93) | |
Weighted average shares outstanding (in thousands): | ||||
Basic | 57,200 | 56,845 | 56,608 | |
Diluted | 57,487 | 57,159 | 56,608 | |
Other comprehensive income (loss): | ||||
Foreign currency translation adjustments | $ (127) | $ 207 | $ (233) | |
Comprehensive income (loss) | 54,123 | 20,949 | (58,109) | |
Comprehensive (income) loss attributable to the noncontrolling interest | (3,872) | (1,377) | 5,393 | |
Comprehensive income (loss) attributable to Textainer Group Holdings Limited common shareholders | 50,251 | 19,572 | (52,716) | |
Owned Fleet | ||||
Revenues: | ||||
Lease rental income | 501,362 | 444,888 | 460,427 | |
Operating expenses: | ||||
Direct container expense - owned fleet | 58,813 | 60,321 | 62,596 | |
Managed Fleet | ||||
Revenues: | ||||
Lease rental income | [2] | 111,342 | 104,566 | 105,511 |
Operating expenses: | ||||
Distribution to managed fleet owners | [2] | 102,992 | 96,718 | 98,028 |
Management Fees - Non-Leasing | ||||
Revenues: | ||||
Revenue | [1] | 8,529 | 7,146 | 5,937 |
Trading Containers | ||||
Revenues: | ||||
Revenue | [1] | 19,568 | 4,758 | 15,628 |
Cost of trading containers sold | [1] | $ (16,118) | $ (3,302) | $ (15,904) |
[1] | Amounts for the years ended December 31, 2017 and 2016 have been reclassified to conform with 2018 presentation (see Note 1 (t) “Reclassifications and Changes in Presentation”). | |||
[2] | Certain amounts for the years ended December 31, 2017 and 2016 have been reclassified to present the gross amounts of lease rental income and expenses for the managed fleet instead of the net presentation (see Note 2 “Immaterial Reclassification and Adjustment of Prior Periods”). |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) $ in Thousands | Dec. 31, 2018 | Dec. 31, 2017 | ||
Current assets: | ||||
Cash and cash equivalents | $ 137,298 | $ 137,894 | ||
Accounts receivable, net of allowance for doubtful accounts of $4,082 and $5,775 in 2018 and 2017, respectively | 110,222 | 78,312 | ||
Net investment in direct financing and sales-type leases | 39,270 | 56,959 | ||
Trading containers | 40,852 | 10,752 | ||
Containers held for sale | 21,874 | 22,089 | ||
Prepaid expenses and other current assets | 12,855 | 12,243 | ||
Insurance receivable | 9,814 | 15,909 | ||
Due from affiliates, net | 1,692 | 1,134 | ||
Total current assets | 373,877 | 335,292 | ||
Restricted cash | 87,630 | 99,675 | ||
Containers, net of accumulated depreciation of $1,322,221 and $1,172,355 at 2018 and 2017, respectively | 4,134,016 | 3,791,610 | ||
Net investment in direct financing and sales-type leases | 127,790 | 125,665 | ||
Fixed assets, net of accumulated depreciation of $11,525 and $10,788 at 2018 and 2017, respectively | 2,066 | 2,151 | ||
Intangible assets, net of accumulated amortization of $43,266 and $44,279 at 2018 and 2017, respectively | 7,384 | 11,105 | ||
Interest rate swaps, collars and caps | 5,555 | 7,787 | ||
Deferred taxes | 2,087 | 1,563 | ||
Other assets | 3,891 | 5,494 | ||
Total assets | 4,744,296 | 4,380,342 | ||
Current liabilities: | ||||
Accounts payable | 5,151 | 6,867 | ||
Accrued expenses | [1] | 20,023 | 17,610 | |
Container contracts payable | 42,710 | 131,087 | ||
Other liabilities | 219 | 235 | ||
Due to owners, net | 8,322 | 11,131 | ||
Debt, net of unamortized deferred financing costs of $5,738 and $3,989 at 2018 and 2017, respectively | 191,689 | 233,681 | ||
Total current liabilities | 268,114 | 400,611 | ||
Debt, net of unamortized deferred financing costs of $22,248 and $20,045 at 2018 and 2017, respectively | 3,218,138 | 2,756,627 | ||
Interest rate swaps, collars and caps | 3,639 | 81 | ||
Income tax payable | 9,570 | 9,081 | ||
Deferred taxes | 7,039 | 5,881 | ||
Other liabilities | 1,805 | 2,024 | ||
Total liabilities | 3,508,305 | 3,174,305 | ||
Textainer Group Holdings Limited shareholders' equity: | ||||
Common shares, $0.01 par value. Authorized 140,000,000 shares; 58,032,164 shares issued and 57,402,164 shares outstanding at 2018; 57,727,220 shares issued and 57,097,220 shares outstanding at 2017 | 581 | 578 | ||
Additional paid-in capital | 406,083 | 397,821 | ||
Treasury shares, at cost, 630,000 shares | (9,149) | (9,149) | ||
Accumulated other comprehensive loss | (436) | (309) | ||
Retained earnings | [1] | 809,734 | 759,356 | |
Total Textainer Group Holdings Limited shareholders’ equity | 1,206,813 | 1,148,297 | ||
Noncontrolling interest | 29,178 | 57,740 | ||
Total equity | 1,235,991 | 1,206,037 | [2] | |
Total liabilities and equity | $ 4,744,296 | $ 4,380,342 | ||
[1] | Certain amounts as of December 31, 2017 have been adjusted to defer acquisition fees of the managed fleet as earned over the deemed lease term (see Note 2 “Immaterial Reclassification and Adjustment of Prior Periods”). | |||
[2] | Certain amounts for the years ended December 31, 2017, 2016 and 2015 have been adjusted to defer acquisition fees of the managed fleet as earned over the deemed lease term (see Note 2 “Immaterial Reclassification and Adjustment of Prior Periods”). |
Consolidated Balance Sheets (Pa
Consolidated Balance Sheets (Parenthetical) - USD ($) $ in Thousands | Dec. 31, 2018 | Dec. 31, 2017 |
Statement Of Financial Position [Abstract] | ||
Accounts receivable, allowance for doubtful accounts | $ 4,082 | $ 5,775 |
Containers, accumulated depreciation | 1,322,221 | 1,172,355 |
Fixed assets, accumulated depreciation | 11,525 | 10,788 |
Intangible assets, accumulated amortization | 43,266 | 44,279 |
Debt, net of unamortized deferred financing costs current | 5,738 | 3,989 |
Debt, net of unamortized deferred financing costs non current | $ 22,248 | $ 20,045 |
Common shares, par value | $ 0.01 | $ 0.01 |
Common shares, Authorized | 140,000,000 | 140,000,000 |
Common shares, issued | 58,032,164 | 57,727,220 |
Common shares, outstanding | 57,402,164 | 57,097,220 |
Treasury shares, at cost, shares | 630,000 | 630,000 |
Consolidated Statements Of Shar
Consolidated Statements Of Shareholders' Equity - USD ($) $ in Thousands | Total | Common shares | Treasury shares | Additional Paid-in capital | Accumulated other comprehensive income (loss) | Retained earnings | Total Textainer Group Holdings Limited shareholders' equity | Noncontrolling interest | |
Beginning Balances at Dec. 31, 2015 | [1] | $ 1,261,640 | $ 572 | $ (9,149) | $ 385,020 | $ (283) | $ 821,228 | $ 1,197,388 | $ 64,252 |
Beginning Balances (in shares) at Dec. 31, 2015 | [1] | 57,163,095 | (630,000) | ||||||
Dividends to shareholders ($0.51 per common share) | (28,754) | (28,754) | (28,754) | ||||||
Restricted share units vested | $ 3 | (3) | |||||||
Restricted share units vested (in shares) | 254,024 | ||||||||
Share-based compensation expense | 6,573 | 6,573 | 6,573 | ||||||
Net tax benefit from share options exercised and restricted share units vested | (810) | (810) | (810) | ||||||
Comprehensive income (loss): | |||||||||
Net Income (loss) attributable to Textainer Group Holdings Limited common shareholders | (52,483) | (52,483) | (52,483) | ||||||
Net Income (loss) attributable to noncontrolling interests | (5,393) | (5,393) | |||||||
Foreign currency translation adjustments | (233) | (233) | (233) | ||||||
Total comprehensive income (loss) | (58,109) | ||||||||
Ending Balances at Dec. 31, 2016 | [1] | 1,180,540 | $ 575 | $ (9,149) | 390,780 | (516) | 739,991 | 1,121,681 | 58,859 |
Ending Balances (in shares) at Dec. 31, 2016 | [1] | 57,417,119 | (630,000) | ||||||
Dividends paid to noncontrolling interest | (2,496) | (2,496) | |||||||
Restricted share units vested | $ 2 | (2) | |||||||
Restricted share units vested (in shares) | 244,633 | ||||||||
Exercise of share options | $ 961 | $ 1 | 960 | 961 | |||||
Exercise of share options (in shares) | 65,468 | 65,468 | |||||||
Share-based compensation expense | $ 6,083 | 6,083 | 6,083 | ||||||
Comprehensive income (loss): | |||||||||
Net Income (loss) attributable to Textainer Group Holdings Limited common shareholders | 19,365 | 19,365 | 19,365 | ||||||
Net Income (loss) attributable to noncontrolling interests | 1,377 | 1,377 | |||||||
Foreign currency translation adjustments | 207 | 207 | 207 | ||||||
Total comprehensive income (loss) | 20,949 | ||||||||
Ending Balances at Dec. 31, 2017 | [1] | 1,206,037 | $ 578 | $ (9,149) | 397,821 | (309) | 759,356 | 1,148,297 | 57,740 |
Ending Balances (in shares) at Dec. 31, 2017 | [1] | 57,727,220 | (630,000) | ||||||
Dividends paid to noncontrolling interest | (1,996) | (1,996) | |||||||
Restricted share units vested | $ 3 | (3) | |||||||
Restricted share units vested (in shares) | 289,685 | ||||||||
Exercise of share options | $ 130 | 130 | 130 | ||||||
Exercise of share options (in shares) | 15,259 | 15,259 | |||||||
Share-based compensation expense | $ 7,355 | 7,355 | 7,355 | ||||||
TW Container Leasing, Ltd. capital restructuring | (29,658) | 780 | 780 | (30,438) | |||||
Comprehensive income (loss): | |||||||||
Net Income (loss) attributable to Textainer Group Holdings Limited common shareholders | 50,378 | 50,378 | 50,378 | ||||||
Net Income (loss) attributable to noncontrolling interests | 3,872 | 3,872 | |||||||
Foreign currency translation adjustments | (127) | (127) | (127) | ||||||
Total comprehensive income (loss) | 54,123 | ||||||||
Ending Balances at Dec. 31, 2018 | $ 1,235,991 | $ 581 | $ (9,149) | $ 406,083 | $ (436) | $ 809,734 | $ 1,206,813 | $ 29,178 | |
Ending Balances (in shares) at Dec. 31, 2018 | 58,032,164 | (630,000) | |||||||
[1] | Certain amounts for the years ended December 31, 2017, 2016 and 2015 have been adjusted to defer acquisition fees of the managed fleet as earned over the deemed lease term (see Note 2 “Immaterial Reclassification and Adjustment of Prior Periods”). |
Consolidated Statements Of Sh_2
Consolidated Statements Of Shareholders' Equity (Parenthetical) | 12 Months Ended |
Dec. 31, 2016$ / shares | |
Statement Of Stockholders Equity [Abstract] | |
Dividends to shareholders, per common share | $ 0.51 |
Consolidated Statements Of Cash
Consolidated Statements Of Cash Flows - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Cash flows from operating activities: | |||
Net income (loss) | $ 54,250 | $ 20,742 | $ (57,876) |
Adjustments to reconcile net income (loss) to net cash provided by operating activities: | |||
Depreciation expense | 235,705 | 231,043 | 236,144 |
Container impairment | 26,775 | 8,072 | 94,623 |
Bad debt expense, net | 2,697 | 477 | 21,166 |
Unrealized loss (gain) on interest rate swaps, collars and caps, net | 5,790 | (4,094) | (6,210) |
Amortization and write-off of unamortized deferred debt issuance costs and accretion of bond discounts | 9,531 | 20,814 | 9,704 |
Amortization of intangible assets | 3,721 | 4,092 | 5,053 |
Gain on sale of owned fleet containers, net | (36,071) | (26,210) | (6,761) |
Gain on insurance recovery | (8,692) | ||
Share-based compensation expense | 7,355 | 6,083 | 6,573 |
Decrease (increase) in: | |||
Accounts receivable, net | (30,604) | (6,672) | (11,935) |
Trading containers, net | (30,100) | (6,389) | 468 |
Prepaid expenses and other current assets | (612) | 1,463 | 1,902 |
Insurance receivable | 12,738 | 8,670 | (20,072) |
Due from affiliates, net | (558) | (265) | (354) |
Other assets | 1,603 | 2,581 | (1,088) |
Increase (decrease) in: | |||
Accounts payable | (1,716) | (5,193) | 1,583 |
Accrued expenses | 2,381 | 3,556 | 2,905 |
Deferred revenue and other liabilities | (235) | (265) | (290) |
Due to owners, net | (2,809) | (7,001) | 6,326 |
Long-term income tax payable | 489 | 5 | 398 |
Deferred taxes, net | 634 | (534) | (4,365) |
Total adjustments | 198,022 | 230,233 | 335,770 |
Net cash provided by operating activities | 252,272 | 250,975 | 277,894 |
Cash flows from investing activities: | |||
Purchase of containers and fixed assets | (854,383) | (300,125) | (505,528) |
Payment for TW Container Leasing, Ltd. capital restructuring | (29,658) | ||
Proceeds from sale of containers and fixed assets | 147,254 | 135,299 | 126,560 |
Receipt of payments on direct financing and sales-type leases, net of income earned | 63,847 | 66,846 | 90,343 |
Insurance proceeds received for unrecoverable containers | 12,616 | 8,195 | |
Net cash used in investing activities | (672,940) | (85,364) | (280,430) |
Cash flows from financing activities: | |||
Proceeds from debt | 2,029,025 | 1,729,580 | 582,500 |
Principal payments on debt | (1,608,753) | (1,770,715) | (551,586) |
Debt issuance costs | (10,252) | (27,702) | (5,969) |
Issuance of common shares upon exercise of share options | 130 | 961 | |
Net tax benefit from share-based compensation awards | (810) | ||
Dividends paid to noncontrolling interest | (1,996) | (2,496) | |
Dividends paid to shareholders | (28,754) | ||
Net cash provided by (used in) financing activities | 408,154 | (70,372) | (4,619) |
Effect of exchange rate changes | (127) | 207 | (233) |
Net (decrease) increase in cash, cash equivalents and restricted cash | (12,641) | 95,446 | (7,388) |
Cash, cash equivalents and restricted cash, beginning of the year | 237,569 | 142,123 | 149,511 |
Cash, cash equivalents and restricted cash, end of the year | 224,928 | 237,569 | 142,123 |
Cash paid during the year for: | |||
Interest expense and realized loss on interest rate swaps, collars and caps, net | 123,581 | 105,322 | 83,881 |
Net income taxes paid | 1,138 | 925 | 1,503 |
Supplemental disclosures of noncash investing activities: | |||
(Decrease) increase in accrued container purchases | (88,377) | 119,097 | (29,366) |
Containers placed in direct financing and sales-type leases | 53,859 | 9,378 | $ 101,354 |
Decrease in insurance receivable due to a decrease in estimated unrecoverable containers | $ 2,049 | $ 7,546 |
Nature of Business and Summary
Nature of Business and Summary of Significant Accounting Policies | 12 Months Ended |
Dec. 31, 2018 | |
Accounting Policies [Abstract] | |
Nature of Business and Summary of Significant Accounting Policies | (1) Nature of Business and Summary of Significant Accounting Policies (a) Nature of Operations Textainer Group Holdings Limited (“TGH”) is incorporated in Bermuda. TGH is the holding company of a group of companies, consisting of TGH and its subsidiaries (collectively, the “Company”), involved in the purchase, management, leasing and resale of marine cargo containers. The Company manages and provides administrative support to the affiliated and unaffiliated owners’ (the “Owners”) container fleets. The Company conducts its business activities in three main areas: Container Ownership, Container Management and Container Resale. These activities are described below (also see Note 13 “Segment Information”). Container Ownership The Company’s containers consist primarily of standard dry freight containers, but also include refrigerated and other special-purpose containers. These owned containers are financed through retained earnings; revolving credit facilities, secured debt facilities and a term loan provided by banks; bonds payable to investors; and a public offering of TGH’s common shares. Expenses related to lease rental income of owned fleet primarily include direct container expenses, depreciation expense, container impairment and interest expense. Container Management The Company manages, on a worldwide basis, a fleet of containers for and on behalf of the Owners. All rental operations are conducted worldwide in the name of the Company who, as agent for the Owners, acquires and sells containers, enters into leasing agreements and depot service agreements, bills and collects lease rentals from the lessees, disburses funds to depots for container handling, and remits net amounts, less management fees and commissions, to the Owners. Customer accounts receivable, fixed assets, and vendor payables arising from direct container operations of the Owners’ fleet have been excluded from the Company’s consolidated balance sheets. Fees earned by the Company under the management agreements are typically a percentage of net operating income of each Owner’s fleet and consist of fees for services related to the management of the containers, sales commissions and net acquisition fees earned on the acquisition of containers. Expenses related to the operation of the managed containers include storage, handling, repairs, repositioning, agent, insurance expense general and administrative expense. The management agreements with the Owners convey to the Company the right to control the use of the managed containers, therefore meeting the definition of a lease. The management agreements have accordingly be deemed to be leases under the guidance of FASB Accounting Standards Codification 840, Leases Container Resale The Company buys and subsequently resells used containers (trading containers) from third parties. Container sales revenue represents the proceeds on the sale of containers purchased for resale. Cost of containers sold represents the cost of equipment purchased for resale that were sold as well as the related selling costs. The Company earns sales commissions related to the sale of the containers that it manages. (b) Principles of Consolidation and Variable Interest Entity The consolidated financial statements of the Company include TGH and all of its subsidiaries in which the Company has a controlling financial interest. All significant intercompany accounts and balances have been eliminated in consolidation. The Company determines whether it has a controlling financial interest in an entity by evaluating whether the entity is a variable interest entity (“VIE”) or a voting interest entity (“VME”). If it is determined that the Company does not have a variable interest in the entity, no further analysis is required, and the Company does not consolidate the entity. TAP Funding On December 20, 2012, the Company’s wholly-owned subsidiary, Textainer Limited (“TL”), purchased 50.1% of the outstanding common shares of TAP Funding Ltd. (“TAP Funding”) (a Bermuda company) from TAP Ltd. (“TAP”). Both before and after this purchase, TAP Funding leases containers to lessees under operating, direct financing and sales-type leases. TAP is governed by members and management agreements and the Company’s wholly-owned subsidiary, Textainer Equipment Management Limited (“TEML”), manages all of TAP Funding’s containers, making day-to-day decisions regarding the marketing, servicing and design of TAP Funding’s leases. TL’s purchase of a majority ownership of TAP Funding’s common shares allowed the Company to increase the size of its owned fleet at an attractive price. Under TAP Funding’s members agreement, TL owns 50.1% and TAP owns 49.9% of the common shares of TAP Funding. As common shareholders, TL has two voting rights and TAP has one voting right of TAP Funding, with the exception of certain matters such as bankruptcy proceedings and the incurrence of debt and mergers and consolidations, which require unanimity. TL also has two seats and TAP has one seat on TAP Funding’s board of directors. In addition, TL has an option to purchase the remaining outstanding common shares of TAP Funding held by TAP during the period beginning January 1, 2023 and through December 31, 2024 for a purchase price equal to the equity carrying value of TAP Funding plus 6% of TAP’s percentage ownership interest in TAP Funding minus the sum of any and all U.S. federal, state and local taxes of any nature that would be recognized by TL if TAP Funding was liquidated by TL immediately after TL purchased its shares. TAP Funding is a VME and the Company consolidates TAP Funding as the Company has a controlling financial interest in TAP Funding, in which TL owns 50% or more voting interest. TAP Funding’s profits and losses are allocated to TL and TAP on the same basis as their ownership percentages. The equity owned by TAP in TAP Funding is shown as a noncontrolling interest on the Company’s consolidated balance sheets and the net income (loss) attributable to the noncontrolling interest’s operations is shown as net (income) loss attributable to the noncontrolling interests on the Company’s consolidated statements of comprehensive income (loss). TWCL The Company had a joint venture, TW Container Leasing, Ltd. (“TW”) (a Bermuda company), between TL and Wells Fargo Container Corp. (“WFC”). TL owned 25% and WFC owned 75% of the common shares and related voting rights of TW. The purpose of TW was to lease containers to lessees under direct financing leases. TW was governed by members, credit and management agreements. Under the management agreement, TEML managed all of TW’s containers, making day-to-day decisions regarding the marketing, servicing and design of TW’s direct financing leases. TL also had two seats and WFC had six seats on TW’s board of directors, with each seat having equal voting rights, provided, however, that the approval of at least one TL-appointed director is required for any action of the board of directors. In October 2018, TL entered into an agreement to purchase 75% of the total outstanding common shares of TW from WFC for a cash consideration of $29,658. After the acquisition, TW became a wholly-owned subsidiary of TL. The Company accounted for this equity transaction as a reduction in the related noncontrolling interest. Prior to the capital restructuring, the Company had determined that it had a variable interest in TW and that TW was a VIE. The Company consolidated TW as the Company had determined that it was the primary beneficiary of TW by its equity ownership in the entity and by virtue of its role as manager of the vehicle, namely that the Company had the power to direct the activities of TW that most significantly impact TW’s economic performance. After the capital restructuring which was effective on October 1, 2018, TW became a wholly-owned subsidiary or a VME of TL. Therefore, the Company retains its controlling financial interest and continues to include TW’s financial statements in its consolidated financial statements. As a result of the capital restructuring, TL acquired the noncontrolling interest (“NCI”) in TW which was reduced by $30,438 and the difference between the carrying value of the NCI and the cash consideration was recognized as an increase in additional paid-in capital (“APIC”) by $780. Changes in the Company’s shareholder’s equity resulting from changes in its ownership interest in TW for the years ended December 31, 2018, 2017 and 2016 were as follows: 2018 2017 2016 Net income (loss) attributable to TGH common shareholders $ 50,378 $ 19,365 $ (52,483 ) Transfers from the noncontrolling interest: Increase in TGH’s APIC for TW capital restructuring 780 — — Changes from net income (loss) attributable to TGH common shareholders and transfers from noncontrolling interest $ 51,158 $ 19,365 $ (52,483 ) Prior to the capital restructuring, the equity previously owned by WFC in TW was shown as a noncontrolling interest on the Company’s consolidated balance sheet as of December 31, 2017. After the capital restructuring, there is no noncontrolling interest in TW on the Company’s consolidated balance sheet as of December 31, 2018. The net income attributable to the noncontrolling interests’ operations for the period ending September 30, 2018, and for the year ending December 31, 2017 and 2016, are shown as net income attributable to the noncontrolling interests on the Company’s consolidated statements of comprehensive income (loss). Under a credit agreement with Wells Fargo Bank, N.A. (“WFB”), TW had a credit facility which was terminated prior to its scheduled maturity and the unpaid debt amount of $65,269 was fully repaid in November 2018. (see Note 12 “Debt and Derivative Instruments”). Managed Containers The Company enters into container management agreements with Owners or third-party investors. The fees earned by the Company for managing container portfolios on behalf of Owners are commensurate with the level of effort required to provide those management services and the Company does not have the obligation to absorb losses or the right to receive benefits that may be significant to the Owners. As such, the Company is not the primary beneficiary and does not consolidate the Owners. Managed containers which are owned by Owners are not assets of the Company and are not included in the consolidated financial statements. (see Note 1(a) “Nature of Operations”). Owned Containers The majority of the container equipment included in the accompanying consolidated financial statements is owned by TL, Textainer Marine Containers II Limited (“TMCL II”), Textainer Marine Containers V Limited (“TMCL V”), Textainer Marine Containers VI Limited (“TMCL VI”) and Textainer Marine Containers VII Limited (“TMCL VII”), all Bermuda companies and all of which were wholly-owned subsidiaries of the Company as of December 31, 2018. (c) Cash and Cash Equivalents and Restricted Cash Cash and cash equivalents are comprised of interest-bearing deposits or money market securities with original maturities of three months or less. The Company maintains cash and cash equivalents and restricted cash (see Note 14 “Commitments and Contingencies—Restricted Cash”) with various financial institutions. These financial institutions are located in Bermuda, Canada, Hong Kong, Malaysia, Singapore, the United Kingdom and the United States. A significant portion of the Company’s cash and cash equivalents and restricted cash is maintained with a small number of banks and, accordingly, the Company is exposed to the credit risk of these counterparties in respect of the Company’s cash and cash equivalents and restricted cash. Furthermore, the deposits maintained at some of these financial institutions exceed the amount of insurance provided on the deposits. Restricted cash is excluded from cash and cash equivalents and is included in long-term assets reported within the consolidated balance sheets. The following table provides a reconciliation of cash and cash equivalents and restricted cash reported within the consolidated balance sheets that sum to the amounts shown in the consolidated statements of cash flows: 2018 2017 2016 Cash and cash equivalents $ 137,298 $ 137,894 $ 84,045 Restricted cash included in long-term assets 87,630 99,675 58,078 Cash, cash equivalents and restricted cash, end of period $ 224,928 $ 237,569 $ 142,123 (d) Intangible Assets Intangible assets, consisting primarily of exclusive rights to manage container fleets, are amortized over the expected life of the contracts based on forecasted income to the Company. The contract terms range from 11 to 13 years. The Company reviews its intangible assets for impairment if events and circumstances indicate that the carrying amount of the intangible assets may not be recoverable. The Company compares the carrying value of the intangible assets to expected future undiscounted cash flows for the purpose of assessing the recoverability of the recorded amounts. If the carrying amount exceeds expected undiscounted cash flows, the intangible assets shall be reduced to their fair value. (e) Revenue Recognition In May 2014, the FASB issued Accounting Standards Update No. 2014-09, Revenue from Contracts with Customers (Topic 606) The Company adopted the updated revenue standards on the effective date of January 1, 2018 using the modified retrospective method. The adoption of ASU 2014-09 did not have an impact on the timing of revenue recognition or on its consolidated financial statements and related disclosures. The Company did not record a cumulative adjustment related to the adoption of ASU 2014-09. The components of the Company’s revenue as presented in the consolidated statements of comprehensive income (loss) and in Note 13 “Segment Information” are as follows: Lease Rental Income Leasing income arises principally from the renting of containers to various international shipping lines. Total fleet lease rental income, as reported in the consolidated statements of comprehensive income (loss), includes the entire rental fee collected from the lessee, including rental fees for the managed fleet as the management agreements with the owners convey to the Company the right to control the use of the managed containers. See Note 2 “Immaterial Reclassification and Adjustment of Prior Periods” and Note 5 “Revenue from Managed Container Fleet”. Revenue is recorded when earned according to the terms of the container rental contracts with customers. These contracts are typically for terms of five or more years and are generally classified as operating leases. Where minimum lease payments vary over the lease term, revenue is recognized on a straight-line basis over the term of the lease. Lease rental income comprises daily per diem rental charges due under the lease agreements, together with payments for other charges set forth in the leases, such as handling fees, drop-off charges, pick-up charges, and charges for a damage protection plan. Under long-term lease agreements, containers are usually leased from the Company for periods of five or more years. Such leases are generally cancelable with a penalty at the end of each 12-month period. Under master lease agreements, the lessee is not committed to leasing a minimum number of containers from the Company during the lease term and may generally return the containers to the Company at any time, subject to certain restrictions in the lease agreement. Under long-term lease and master lease agreements, revenue is earned and recognized evenly over the period that the equipment is on lease. Under direct financing and sales-type leases, the containers are usually leased from the Company for the remainder of the container’s useful life and ordinarily provide lessees with a right to purchase the subject containers for a nominal amount at the end of the lease term. Finance lease income is recognized using the effective interest method, which generates a constant rate of interest over the period of the lease. Gain on sale of owned fleet containers, net, also includes gains and losses recognized at the inception of sales-type leases, representing the excess of the estimated fair value of containers placed on sales-type leases over their book value. The Company’s container leases generally do not include step-rent provisions, nor do they depend on indices or rates. The Company recognizes revenue on container leases that include lease concessions in the form of free-rent periods using the straight-line method over the minimum terms of the leases. The following is a schedule, by year, of future minimum lease payments receivable under the long-term leases for all container fleet as of December 31, 2018: Owned Managed Total Year ending December 31: 2019 $ 303,624 $ 53,084 $ 356,708 2020 227,222 33,381 260,603 2021 174,630 23,280 197,910 2022 133,234 10,123 143,357 2023 and thereafter 258,822 23,465 282,287 Total future minimum lease payments receivable $ 1,097,532 $ 143,333 $ 1,240,865 Management Fee Revenue Under the Company’s management service agreements with third-party container investors or Owners, fees are earned for the acquisition and disposition of containers under management. The Company’s net acquisition fees and sales commissions, which are presented as management fees from non-leasing services in the consolidated statements of comprehensive income (loss), are generally calculated as a fixed percentage of the cost of the managed containers purchased and the proceeds from the sale of managed containers, respectively. Acquisition fees from purchases of containers for managed fleet are deferred and recognized as earned on a straight-line basis over the deemed lease term (see Note 2 “Immaterial Reclassification and Adjustment of Prior Periods”). Container Resale Revenue The Company’s trading container sales proceeds revenue arise from the resale of used containers to a wide variety of buyers. The related expenses represent the cost of trading containers sold as well as other selling costs that are recognized as incurred. The Company also generally sells containers at the end of their useful lives or when it is financially attractive to do so. The gain on sale of owned fleet containers is the excess of the sale price over the carrying value for these units at the time of sale. Revenue Allowance for Doubtful Accounts The Company maintains allowances for doubtful accounts for estimated losses resulting from the inability of its lessees to make required payments. These allowances are based on management’s current assessment of the financial condition of the Company’s lessees and their ability to make their required payments. If the financial condition of the Company’s lessees deteriorates, resulting in an impairment of their ability to make payments, additional allowances may be required. Accounts receivables are generally written off after an analysis is completed which indicates that collection of the full balance is remote. Changes in economic conditions or other events may necessitate additions or deductions to the allowance for doubtful accounts. The allowance is intended to provide for losses inherent in the owned fleet’s accounts receivable and requires the application of estimates and judgments as to the outcome of collection efforts and the realization of collateral, among other things. (f) Direct Container Expenses – Owned Fleet Direct container expense represents the operating costs arising from the containers owned by the Company and includes storage, handling, maintenance and repair, repositioning, agent, insurance expense and repair and recovery costs for problem lessees. These costs are recognized when incurred. ( g ) Distribution to Managed Fleet Owners Our distribution amounts to Owners for the managed fleet includes the net operating income of each Owner’s fleet, reduced by the management fees earned and retained by the Company. This amount also includes expenses related to the operation of the managed containers which are presented on a gross basis in the consolidated statements of comprehensive income (loss). Expenses related to the opeastion of the managed containers such as storage, handling, repairs, repositioning, agent, insurance expense and general and administrative expenses are recognized when incurred. ( h ) Trading Containers and Containers Held for Resale The Company, through one or more of its subsidiaries, buys trading containers for resale, which are valued at the lower of cost or fair value. The cost of trading containers sold is specifically identified. In addition, containers identified as being available for sale are valued at the lower of carrying value or fair value, less cost to sell. The fair value was estimated based on recent gross sales proceeds for sales of similar containers. ( i ) Foreign Currencies A functional currency is determined for each of the Company’s entities based on the currency of the primary economic environment in which the entity operates. The Company’s functional currency is the U.S. dollar, excluding its foreign subsidiaries Textainer Equipment Management (United Kingdom) Limited and Textainer Equipment Management (Singapore) Pte Ltd. Assets and liabilities denominated in a currency other than the entity’s functional currency are re-measured into its functional currency at the balance sheet date with a gain or loss recognized in current year net income. Foreign currency exchange gains or losses that arise from exchange rate changes on transactions denominated in a foreign currency are recognized in net income as incurred. Foreign currency exchange gains or losses, reported in direct container expense in the consolidated statements of comprehensive income (loss) were $(1,085), $(156), and $188 for the years ended December 31, 2018, 2017 and 2016, respectively. For consolidation purposes, the financial statements are translated into U.S. dollars using the current exchange rate for the assets and liabilities and a weighted average exchange rate for the revenues and expenses recorded during the year with any translation adjustment shown as an element of accumulated other comprehensive income (loss). ( j ) Containers and Fixed Assets Capitalized container costs include the container cost payable to the manufacturer and the associated transportation costs incurred in moving the Company’s owned containers from the manufacturer to the containers’ first destined port. Containers are depreciated using the straight-line method over their estimated useful lives to an estimated dollar residual value. Used containers are depreciated based upon their remaining useful lives at the date of acquisition to an estimated dollar residual value. The Company evaluates the estimated residual values and remaining estimated useful lives on a regular basis to determine whether a change in its estimates of useful lives and residual values is warranted. After the Company performed its regular depreciation policy review during the third quarter of 2018, the Company concluded that, beginning July 1, 2018, an increase in the estimated future residual value of its 40’ high cube dry containers and a decrease in the estimated future residual value of its 40’ high cube refrigerated containers, as shown in the below table of the Company’s useful lives and residual values estimates, was appropriate. Depreciation expense may fluctuate in future periods based on fluctuations in these estimates. The net effect of these changes was a decrease in depreciation expense of $132 for the year ended December 31, 2018. After the Company performed its regular depreciation policy review during the third quarter of 2017, the Company concluded that, beginning July 1, 2017, an increase in the estimated future residual value of its 20’ dry containers, 40’ dry containers and 40’ high cube dry containers, as shown in the below table of the Company’s useful lives and residual values estimates, was appropriate. Depreciation expense may fluctuate in future periods based on changes to these estimates. The net effect of these changes was a decrease in depreciation expense of $7,104 for the year ended December 31, 2017. The Company estimates the useful lives and residual values of its containers to be as follows: Effective July 1, 2018 July 1, 2017 through June 30, 2018 January 1, 2017 through June 30, 2017 Estimated Residual Estimated Residual Estimated Residual life (years) Value life (years) Value life (years) Value Dry containers other than open top and flat rack containers: 20' 13 $ 1,000 13 $ 1,000 13 $ 950 40' 14 $ 1,200 14 $ 1,200 14 $ 1,150 40' high cube 13 $ 1,400 13 $ 1,350 13 $ 1,300 45' high cube dry van 13 $ 1,500 13 $ 1,500 13 $ 1,500 Refrigerated containers: 20' 12 $ 2,750 12 $ 2,750 12 $ 2,750 20' high cube 12 $ 2,049 12 $ 2,049 12 $ 2,049 40' high cube 12 $ 4,000 12 $ 4,500 12 $ 4,500 Open top and flat rack containers: 20' folding flat rack 15 $ 1,300 15 $ 1,300 15 $ 1,300 40' folding flat rack 16 $ 1,700 16 $ 1,700 16 $ 1,700 20' open top 15 $ 1,500 15 $ 1,500 15 $ 1,500 40' open top 14 $ 2,500 14 $ 2,500 14 $ 2,500 Tank containers 20 10% of cost 20 10% of cost 20 10% of cost The cost, accumulated depreciation and net book value of the Company’s container leasing equipment by equipment type as of December 31, 2018 and 2017 were as follows: 2018 2017 Cost Accumulated Depreciation Net Book Value Cost Accumulated Depreciation Net Book Value Dry containers other than open top and flat rack containers: 20' $ 1,632,927 $ (381,929 ) $ 1,250,998 $ 1,497,557 $ (347,910 ) $ 1,149,647 40' 191,354 (69,463 ) 121,891 223,916 (75,610 ) 148,306 40' high cube 2,376,975 (540,349 ) 1,836,626 2,043,253 (476,238 ) 1,567,015 45' high cube dry van 29,305 (10,034 ) 19,271 29,010 (8,494 ) 20,516 Refrigerated containers: 20' 20,883 (6,153 ) 14,730 24,062 (5,394 ) 18,668 20' high cube 5,148 (2,714 ) 2,434 5,139 (2,327 ) 2,812 40' high cube 1,030,078 (279,661 ) 750,417 1,002,843 (229,465 ) 773,378 Open top and flat rack containers: 20' folding flat 16,641 (4,068 ) 12,573 16,595 (3,525 ) 13,070 40' folding flat 46,182 (16,052 ) 30,130 43,334 (14,394 ) 28,940 20' open top 13,152 (1,419 ) 11,733 10,837 (1,237 ) 9,600 40' open top 27,629 (5,086 ) 22,543 26,690 (4,469 ) 22,221 Tank containers 65,963 (5,293 ) 60,670 40,729 (3,292 ) 37,437 $ 5,456,237 $ (1,322,221 ) $ 4,134,016 $ 4,963,965 $ (1,172,355 ) $ 3,791,610 Fixed assets are recorded at cost and depreciated on a straight-line basis over the estimated useful lives of the assets, ranging from three to seven years. Impairment of Container Rental Equipment and Containers Held for Sale The Company reviews its containers for impairment whenever events or circumstances indicate that the carrying amount of such assets may not be recoverable. The Company compares the carrying value of the containers to the expected future undiscounted cash flows for the purpose of assessing the recoverability of the recorded amounts. If the carrying value exceeds expected future undiscounted cash flows, the assets are reduced to fair value. There was no such impairment on the Company’s leasing equipment for the years ended December 31, 2018, 2017 and 2016. In addition, containers identified as being available for sale are valued at the lower of carrying value or fair value, less costs to sell. The Company evaluates the recoverability of the recorded amounts of containers that are unlikely to be recovered from lessees in default. The Company also records impairments to write-down the value of containers held for sale to their estimated fair value less cost to sell. The fair value was estimated based on recent gross sales proceeds for sales of similar containers. When containers are retired or otherwise disposed of, the cost and related accumulated depreciation is removed, and any resulting gain or loss is recognized. Any subsequent increase in fair value less cost to sell is recognized as a reversal of container impairment but not in excess of the cumulative loss previously recognized. The Company recorded the following impairments that are included in container impairment in the consolidated statements of comprehensive income (loss) for the years ended December 31, 2018, 2017 and 2016: 2018 2017 2016 Impairment to write down the value of containers held for sale to their estimated fair value less cost to sell $ 14,872 $ 15,475 $ 66,455 Impairment on containers from a bankrupt customer in 2016 and customer that became insolvent in 2015 — — 22,961 Impairment for containers that were unlikely to be recovered from lessees in default (see Note 3 "Insurance Receivable and Impairment") 12,980 3,822 5,207 Reversal of previously recorded impairments on containers held for sale due to rising used container prices during the year (1,077 ) (11,225 ) — Container impairment $ 26,775 $ 8,072 $ 94,623 During the years ended December 31, 2018, 2017 and 2016, the Company recorded the following net gain on sale of containers, included in gain on sale of owned fleet containers, net in the consolidated statements of comprehensive income (loss): 2018 2017 2016 Units Amount Units Amount Units Amount Gain on sale of previously written down owned fleet containers, net 28,291 $ 14,563 56,862 $ 18,662 118,071 $ 9,151 Gain (loss) on sale of owned fleet containers not written down, net 79,119 21,508 55,505 7,548 20,319 (2,390 ) Gain on sale of owned fleet containers, net 107,410 $ 36,071 112,367 $ 26,210 138,390 $ 6,761 If other containers are subsequently identified as available for sale, the Company may incur additional write-downs or may incur losses on the sale of these containers if they are sold. The Company will continue to evaluate the recoverability of recorded amounts of containers and a write-down of certain containers held for continued use and/or an increase in its depreciation rate may be required in future periods for some or all containers. ( k ) Income Taxes The Company uses the asset and liability method to account for income taxes. Deferred tax assets and liabilities are recognized for the future tax consequences attributable to differences between the financial statement carrying amounts of existing assets and liabilities and their respective tax bases and operating loss. Deferred tax assets and liabilities are measured using enacted tax rates expected to apply to taxable income in the years in which those temporary differences are expected to be recovered or settled. The effect on deferred tax assets and liabilities of a change in the tax rates is recognized in income in the period that includes the enactment date. A valuation allowance is recorded when the realization of a deferred tax asset is deemed to be unlikely. The Company also accounts for income tax positions only if those positions are more likely than not of being sustained. Recognized income tax positions are measured at the largest amount that is greater than 50% likely of being realized. Changes in the recognition or measurement are reflected in the period in which the change in judgment occurs. If there are findings in future regulatory examinations of the Company’s tax returns, those findings may result in an adjustment to income tax expense. The Company records interest and penalties related to unrecognized tax benefits in income tax expense. ( l ) Debt Issuance Costs The Company capitalizes costs directly associated with the issuance or modification of its debt and the balance of the debt issuance costs, net of amortization, are netted against the debt recorded in the consolidated balance sheets. Debt issuance costs are amortized using the interest rate method and the straight-line method over the general terms of the related fixed principal payment debt and the related revolving debt facilities, respectively, and the amortization is recorded in the consolidated statements of comprehensive income (loss) as interest expense. In 2018, 2017 and 2016, debt issuance costs of $10,285, $27,702 and $5,969, respectively, were capitalized and amortization of debt issuance costs of $8,400, $13,201 and $9,465, respectively, were recorded in interest expense. When the Company’s debt is modified or terminated, any unamortized debt issuance costs related to a decrease in borrowing capacity with any of the Company’s lenders is immediately written-off and recorded in write-off of unamortized deferred debt issuance costs and bond discounts. In 2018, write-off of unamortized deferred debt issuance costs and bond discounts included $529 and $352 of write-offs of unamortized debt issuance costs related to the amendment of the TL Revolving Credit TMCL II’s TMCL III’s ( m ) Concentrations Although substantially all of the Company’s income from operations |
Immaterial Reclassification and
Immaterial Reclassification and Adjustment of Prior Periods | 12 Months Ended |
Dec. 31, 2018 | |
Accounting Changes And Error Corrections [Abstract] | |
Immaterial Reclassification and Adjustment of Prior Periods | (2) Immaterial Reclassification and Adjustment of Prior Periods As part of the preparation of the December 31, 2018 consolidated financial statements, the Company modified its financial statement presentation of the operating results from its container management business segment. The Company re-evaluated its fleet management agreements for managed containers and determined these agreements convey to the Company the right to control the use of the managed fleet, therefore meeting the definition of a lease based on As a result of this evaluation, the Company’s lease management fee income, previously presented on a net basis, was reclassified and presented on a gross basis for all periods presented in the Company’s consolidated statements of comprehensive income (loss). It was also determined that the acquisition fees received for the purchase of managed containers should be deferred and amortized over the deemed lease term. The Company previously recognized these revenues at the time of purchase of the managed containers on behalf of the Owners. In accordance with FASB Accounting Standards Codification 250, Accounting Changes and Error Corrections, management evaluated the materiality of the prior period adjustments from both a quantitative and qualitative perspective and concluded that the changes in the “gross versus net” presentation of the consolidated statements of comprehensive income (loss) and the cumulative adjustment to opening retained earnings in the consolidated balance sheets and consolidated statements of shareholder’s equity were immaterial to the Company’s prior period interim and annual consolidated financial statements. Since the revision was not material to any prior period interim or annual consolidated financial statements, no amendments to previously filed interim or annual reports are required. The change in the presentation for the managed fleet from net to gross amounts resulted in an increase in deemed lease rental income and a corresponding increase in separately reported distribution expenses to managed fleet owners, with no effect on the Company's consolidated balance sheets, consolidated statement of cash flows and on its “net income (loss)” in the consolidated statements of comprehensive income (loss). The impact of the reclassification of the financial statement presentation in the consolidated statements of comprehensive income (loss) as of December 31, 2017 and 2016 are as follows: 2017 2016 As Reported Adjustment As Adjusted As Reported Adjustment As Adjusted Lease rental income - managed fleet $ - $ 104,566 $ 104,566 $ - $ 105,511 $ 105,511 Distribution to managed fleet owners $ - $ (96,718 ) $ (96,718 ) $ - $ (98,028 ) $ (98,028 ) Management fees - non-leasing $ - $ 7,146 $ 7,146 $ - $ 5,937 $ 5,937 Management fees $ 14,994 $ (14,994 ) $ - $ 13,420 $ (13,420 ) $ - The change in the timing of revenue recognition for acquisition fees resulted in a cumulative decrease of $4,245 to the retained earnings balance at December 31, 2015, 2016 and 2017 in the consolidated statements of shareholders’ equity, an increase of $4,245 in accrued expenses and a decrease for the same amount in retained earnings recorded in the consolidated balance sheet at December 31, 2017, with an immaterial effect on the Company’s consolidated statements of comprehensive income (loss). The impacts have been reflected throughout the consolidated financial statements, including the applicable footnotes, as appropriate (see Note 1 “Nature of Business and Summary of Significant Accounting Policies”, Note 5 “Revenue from Managed Container Fleet”, Note 10 “Accrued Expenses” and Note 13 “Segment Information”). |
Insurance Receivable and Impair
Insurance Receivable and Impairment | 12 Months Ended |
Dec. 31, 2018 | |
Business Combinations [Abstract] | |
Insurance Receivable And Impairment Text Block | (3) Insurance Receivable and Impairment In 2018, four of the Company’s customers became insolvent and the total net book value of its owned containers to these insolvent customers were $23,044. The Company recorded container impairment of $12,543 on the unrecoverable containers for these insolvent customers in the consolidated statements of comprehensive income (loss) during 2018. Container recovery costs of $4,864 for these insolvent customers was recorded in direct container expense in the consolidated statements of comprehensive income (loss) during the year ended December 31, 2018. The Company also recorded bad debt expense of $2,049 in the consolidated statements of comprehensive income (loss) to fully reserve for these insolvent customers’ outstanding accounts receivable during 2018. There is no insurance receivable associated with these insolvent customers as respective losses are below the insurance deductible. In August 2016, one of the Company’s customers filed for bankruptcy and the book value of its owned containers, net on operating leases and direct financing leases with this customer was $178,344 and $88,171, respectively. The Company maintains insurance that covers a portion of the exposure related to the value of containers that are unlikely to be recovered from this customer, the cost to recover containers, up to 183 days of lost lease rental income and defaulted accounts receivable. During the year ended December 31, 2016, the Company recorded a total container impairment of $22,149 in the consolidated statements of comprehensive income (loss), in the consolidated statements of comprehensive income (loss) in the consolidated statements of comprehensive income (loss) during the year ended December 31, 2018, which related to the final insurance settlement for insurable costs including primarily unrecovered containers and incurred container recovery costs, net of the insurance deductible Insurance receivable recorded on the Company’s owned fleet related to this bankrupt customer are as follows: Estimated unrecoverable containers, net of insurance deductible $ 20,162 Recovery costs 19,159 Accounts receivable coverage by insurance 2,592 Insurance receivable related to this bankrupt customer as of December 31, 2016 41,913 Recovery costs 32,067 Insurance proceeds received (50,479 ) Reassessment associated with estimate of unrecoverable containers to actual amount of loss commensurate with the insurance claim filing (7,592 ) Insurance receivable related to this bankrupt customer as of December 31, 2017 15,909 Final insurance settlement 8,692 Recovery costs 1,450 Insurance proceeds received (14,188 ) Reassessment associated with unrecoverable containers to actual amount of loss commensurate with the insurance claim filing (2,049 ) Insurance receivable related to this bankrupt customer as of December 31, 2018 $ 9,814 In August 2015, one of the Company’s customers became insolvent. The Company maintains insurance that covers a portion of the exposure related to the value of containers that are unlikely to be recovered from its customers, the cost to recover containers and up to 183 days of lost lease rental income. Insurance receivable recorded on the Company’s owned fleet related to this insolvent customer are as follows: Insurance receivable related to this insolvent customer as of December 31, 2015 $ 11,436 Recovery costs 768 Lost lease rental income 239 Wrote off of remaining balance of insurance receivable per final insurance proceeds received (1,321 ) Insurance proceeds received (8,250 ) Insurance receivable related to this insolvent customer as of December 31, 2016 2,872 Allocation adjustment on insurance receivable per final insurance proceeds received 720 Final insurance proceeds received (3,592 ) Insurance receivable related to this insolvent customer as of December 31, 2017 $ - |
Container Purchases
Container Purchases | 12 Months Ended |
Dec. 31, 2018 | |
Property Plant And Equipment [Abstract] | |
Container Purchases | (4) Container Purchases In 2018, the Company purchased 17,812 containers that it had been managing for an institutional investor for cash purchase consideration of $13,191, which was based on the fair value of the assets acquired and recorded in our Containers, net. The Company previously managed these containers for the institutional investor, accordingly, intangible asset for the management rights relinquished amounting to $835 was written-off. In 2017, the Company concluded three separate purchases totaling 19,802 containers that it had been managing for institutional investors, including related net investment in direct financing and sales-type leases, accounts receivable, due from owners, net, accounts payable and accrued expenses for total cash purchase consideration of $19,893. The Company previously managed these fleets for the institutional investors, accordingly, intangible asset for the management rights relinquished amounting to $170 was written-off. The total purchase price, which was allocated based on the fair value of the assets and liabilities acquired, was recorded as follows and there were no intangible assets recognized related to the leases: Containers, net $ 18,453 Other net assets 1,440 Purchase price $ 19,893 |
Revenue from Managed Container
Revenue from Managed Container Fleet | 12 Months Ended |
Dec. 31, 2018 | |
Revenue From Contract With Customer [Abstract] | |
Revenue from Managed Container Fleet | (5) Revenue from Managed Container Fleet Lease rental income and expenses from leasing services of the managed fleet is presented on a gross basis (see Note 2 “Immaterial Reclassification and Adjustment of Prior Periods”). Under these management agreements, fees earned by the Company for leasing services related to the managed fleet are typically calculated as a fixed percentage of net operating income of each Owner’s fleet, which is the revenue from the containers under management minus direct container expense related to those containers. Expenses related to the provision of management services are recognized when incurred. The amounts distributed to the Owners, net of management fees the Company retained or expects to collect, are presented as distribution to managed fleet owners which is a part of the operating expenses in the Company’s consolidated statements of comprehensive income (loss). Non-leasing service fees earned for acquiring new managed containers and its sales commissions from disposition of managed containers on behalf of the Owners are presented as management fees – non-leasing in the Company’s consolidated statements of comprehensive income (loss). Total lease management fee income from managed fleet, including management fees earned from acquisition fees and sales commissions during 2018, 2017 and 2016 were as follows (also, see Note 6 “Transactions with Affiliates and Owners”): 2018 2017 2016 Lease rental income - managed fleet $ 111,342 $ 104,566 $ 105,511 Less: Distribution to managed fleet owners (102,992 ) (96,718 ) (98,028 ) Management fees from leasing 8,350 7,848 7,483 Management fees from other services 8,529 7,146 5,937 Total management fees $ 16,879 $ 14,994 $ 13,420 |
Transactions with Affiliates an
Transactions with Affiliates and Owners | 12 Months Ended |
Dec. 31, 2018 | |
Related Party Transactions [Abstract] | |
Transactions with Affiliates and Owners | (6) Transactions with Affiliates and Owners Amounts due from affiliates, net generally result from cash advances and the payment of affiliated companies’ administrative expenses by the Company on behalf of such affiliates. Balances are generally paid within 30 days. Total fees earned from management of the containers, including acquisition fees and sales commissions during 2018, 2017 and 2016 were as follows: 2018 2017 2016 Fees from affiliated Owner $ 3,575 $ 2,994 $ 2,994 Fees from unaffiliated Owners 11,334 10,073 8,556 Fees from Owners 14,909 13,067 11,550 Other fees 1,970 1,927 1,870 Total management fees $ 16,879 $ 14,994 $ 13,420 Due from affiliates, net of $1,692 and $1,134, as of December 31, 2018 and 2017, respectively, represents lease rentals on tank containers collected on behalf of and payable to the Company from the Company’s tank container manager, net of direct container expenses and management fees, and the Company’s advance of equipment purchases paid on behalf of an affiliated owner. Due to owners, net represents lease rentals collected on behalf of and payable to Owners, net of direct container expenses and management fees receivable. Due to owners, net at December 31, 2018 and 2017 consisted of the following: 2018 2017 Affiliated Owner $ 100 $ 1,409 Unaffiliated Owners 8,222 9,722 Total due to Owners, net $ 8,322 $ 11,131 |
Direct Financing and Sales-type
Direct Financing and Sales-type Leases | 12 Months Ended |
Dec. 31, 2018 | |
Leases [Abstract] | |
Direct Financing and Sales-type Leases | (7) Direct Financing and Sales-type Leases The Company leases its owned containers under direct financing and sales-type leases. The Company had 100,338 and 111,059 containers under direct financing and sales-type leases as of December 31, 2018 and 2017, respectively. The components of the net investment in direct financing and sales-type leases, which are reported in the Company’s Container Ownership segment as of December 31, 2018 and 2017 were as follows: 2018 2017 Future minimum lease payments receivable $ 196,041 $ 204,451 Residual value of containers 11,393 4,885 Less unearned income (40,374 ) (26,712 ) Net investment in direct financing and sales-type leases $ 167,060 $ 182,624 Amounts due within one year $ 39,270 $ 56,959 Amounts due beyond one year 127,790 125,665 Net investment in direct financing and sales-type leases $ 167,060 $ 182,624 The Company maintains detailed credit records about its container lessees. The Company’s credit committee sets different maximum exposure limits for its container lessees. The Company uses various credit criteria to set maximum exposure limits rather than a standardized internal credit rating. Credit criteria used by the Company to set maximum exposure limits may include, but are not limited to, container lessee trade route, country, social and political climate, assessments of net worth, asset ownership, bank and trade credit references, credit bureau reports, including those from Dynamar B.V. and Lloyd’s Marine Intelligence Unit (common credit reporting agencies used in the maritime sector), operational history and financial strength. The Company monitors its container lessees’ performance and its lease exposures on an ongoing basis, and its credit management processes are aided by the long payment experience the Company has had with most of its container lessees and the Company’s broad network of long-standing relationships in the shipping industry that provide the Company current information about its container lessees. If the aging of current billings for the Company’s direct financing and sales-type leases included in accounts receivable, net was applied to the related balances of the unbilled future minimum lease payments receivable component of the Company’s net investment in direct financing and sales-type leases as of December 31, 2018, the aging would be as follows: 1-30 days past due $ 963 31-60 days past due 138 61-90 days past due 377 Greater than 90 days past due 181 Total past due 1,659 Current 194,382 Total future minimum lease payments $ 196,041 The Company maintains allowances, if necessary, for doubtful accounts and estimated losses resulting from the inability of its lessees to make required payments under direct financing and sales-type leases based on, but not limited to, each lessee’s payment history, management’s current assessment of each lessee’s financial condition and the adequacy of the fair value of containers that collateralize the leases compared to the book value of the related net investment in direct financing and sales-type leases. The changes in the carrying amount of the allowance for doubtful accounts related to billed amounts under direct financing and sales-type leases and included in accounts receivable, net, during the years ended December 31, 2018 and 2017 are as follows: Balance as of December 31, 2016 $ 9,561 Additions charged to expense 525 Write-offs (9,839 ) Balance as of December 31, 2017 247 Additions charged to expense 634 Write-offs (179 ) Balance as of December 31, 2018 $ 702 The following is a schedule by year of future minimum lease payments receivable under these direct financing and sales-type leases as of December 31, 2018: Year ending December 31: 2019 $ 49,055 2020 36,715 2021 42,291 2022 18,687 2023 and thereafter 49,293 Total future minimum lease payments receivable $ 196,041 Lease rental income from owned fleet includes income earned from direct financing and sales-type leases in the amount of $11,689, $13,417 and $18,558 during 2018, 2017 and 2016, respectively. |
Containers and Fixed Assets
Containers and Fixed Assets | 12 Months Ended |
Dec. 31, 2018 | |
Property Plant And Equipment [Abstract] | |
Containers and Fixed Assets | (8) Containers and Fixed Assets Containers, net at December 31, 2018 and 2017 consisted of the following: 2018 2017 Containers $ 5,456,237 $ 4,963,965 Less accumulated depreciation (1,322,221 ) (1,172,355 ) Containers, net $ 4,134,016 $ 3,791,610 Trading containers had carrying values of $40,852 and $10,752 as of December 31, 2018 and 2017, respectively, and are not subject to depreciation. Containers held for sale had carrying values of $21,874 and $22,089 as of December 31, 2018 and 2017, respectively, and are also not subject to depreciation. All owned containers are pledged as collateral for debt as of December 31, 2018 and 2017. Fixed assets, net at December 31, 2018 and 2017 consisted of the following: 2018 2017 Computer equipment and software $ 10,235 $ 9,563 Office furniture and equipment 1,429 1,428 Automobiles 34 36 Leasehold improvements 1,893 1,912 13,591 12,939 Less accumulated depreciation (11,525 ) (10,788 ) Fixed assets, net $ 2,066 $ 2,151 |
Intangible Assets
Intangible Assets | 12 Months Ended |
Dec. 31, 2018 | |
Goodwill And Intangible Assets Disclosure [Abstract] | |
Intangible Assets | (9) Intangible Assets The changes in the carrying amount of intangible assets during the years ended December 31, 2018, 2017 and 2016 are as follows: Balance as of December 31, 2015 $ 20,250 Amortization expense (5,053 ) Balance as of December 31, 2016 15,197 Amortization expense (3,922 ) Write-off from the relinquishment of management rights (170 ) Balance as of December 31, 2017 11,105 Amortization expense (2,886 ) Write-off from the relinquishment of management rights (835 ) Balance as of December 31, 2018 $ 7,384 The following is a schedule, by year, of future amortization of intangible assets as of December 31, 2018: Year ending December 31: 2019 3,617 2020 3,767 Total future amortization of intangible assets $ 7,384 |
Accrued Expenses
Accrued Expenses | 12 Months Ended |
Dec. 31, 2018 | |
Payables And Accruals [Abstract] | |
Accrued Expenses | (10) Accrued Expenses Accrued expenses at December 31, 2018 and 2017 consisted of the following: 2018 2017 (1) Accrued compensation $ 5,585 $ 5,025 Direct container expense 5,501 4,521 Deferred revenue 4,245 4,245 Interest payable 3,810 3,157 Other 882 662 Total accrued expenses $ 20,023 $ 17,610 (1) Certain amount as of December 31, 2017 has been adjusted to defer acquisition fees of the managed fleet as earned over the deemed lease term (see Note 2 “Immaterial Reclassification and Adjustment of Prior Periods”). |
Income Taxes
Income Taxes | 12 Months Ended |
Dec. 31, 2018 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | (11) Income Taxes The Company is not subject to taxation in its country of incorporation; however, the Company is subject to taxation in certain other jurisdictions due to the nature of the Company’s operations. The Company estimates its tax liability based upon its understanding of the tax laws of the various countries in which it operates. Income tax expense (benefit) for 2018, 2017 and 2016 consisted of the following: 2018 2017 2016 Current Bermuda $ — $ — $ — Foreign 1,407 2,142 930 1,407 2,142 930 Deferred Bermuda — — — Foreign 618 (524 ) (4,377 ) 618 (524 ) (4,377 ) $ 2,025 $ 1,618 $ (3,447 ) The components of income (loss) before income taxes and noncontrolling interest were as follows: 2018 2017 2016 Bermuda sources $ — $ — $ — Foreign sources 56,275 22,360 (61,323 ) $ 56,275 $ 22,360 $ (61,323 ) A reconciliation of the differences between the Bermuda statutory income tax rate and the effective tax rate as provided in the consolidated statements of comprehensive income (loss) is as follows: 2018 2017 2016 Bermuda tax rate $ — 0.00 % $ — 0.00 % $ — 0.00 % Foreign tax rate 142 (0.24 )% 1,297 (5.80 )% 5,339 8.80 % Tax uncertainties (2,167 ) 3.84 % (2,915 ) 13.04 % (1,892 ) (3.18 )% $ (2,025 ) 3.60 % $ (1,618 ) 7.24 % $ 3,447 5.62 % The tax effects of temporary differences that give rise to significant portions of the deferred tax assets and deferred tax liabilities at December 31, 2018 and 2017 are presented below: 2018 2017 Deferred tax assets Net operating loss carryforwards $ 19,616 $ 19,209 Other 2,173 1,557 21,789 20,766 Valuation allowance (net operating loss) (992 ) (1,138 ) Deferred tax assets 20,797 19,628 Deferred tax liabilities Containers, net 25,039 23,275 Other 710 671 Deferred tax liabilities 25,749 23,946 Net deferred tax liabilities $ 4,952 $ 4,318 In assessing the extent to which deferred tax assets are realizable, the Company’s management considers whether it is more likely than not that the deferred tax assets will be realized. The ultimate realization of deferred tax assets is dependent upon the generation of future taxable income during the periods in which those temporary differences become deductible. The Company’s management considers the projected future reversal of taxable temporary items for making this assessment. Based upon the projections for the reversal of taxable temporary items over the periods in which the deferred tax assets are deductible, the Company’s management believes it is more likely than not the Company will not realize a portion of the benefits of these deductible differences, thus a valuation allowance has been provided. The Company has U.S. federal net operating loss carry-forwards of $123,079 that will begin to expire from December 31, 2019 through December 31, 2038 if not utilized. The Company expects to utilize the net operating loss carry-forwards prior to their expiration, net of the valuation allowance. In the United States, utilization of net operating loss carry-forwards for federal income tax purposes may be subject to a substantial annual limitation if there is an ownership change within the meaning of Section 382 of the Internal Revenue Code. In general, an ownership change within the meaning of Section 382 occurs if a transaction or series of transactions over a three-year period result in a cumulative change of more than 50% in the beneficial ownership of a company’s stock. The Company’s management does not believe the Company has a limitation on the ability to utilize its net operating loss carry-forwards under Section 382 as of December 31, 2018. However, issuances, sales and/or exchanges of the Company’s stock (including, potentially, relatively small transactions and transactions beyond the Company’s control) occurring after December 31, 2018, taken together with prior transactions with respect to the Company’s stock over a three-year period, could trigger an ownership change under Section 382 in the future and therefore a limitation on the Company’s ability to utilize its net operating loss carryforwards. Any such limitation could cause some loss carryforwards to expire before the Company would be able to utilize them to reduce taxable income in future periods, possibly resulting in a substantial income tax expense or write down of the Company’s tax assets or both. Furthermore, net operating losses generated subsequent to December 31, 2017 are subject to the TCJA, which removes net operating loss expirations, but limits utilization against 80% of taxable income. The accompanying consolidated financial statements do not reflect the income taxes that would be payable to foreign taxing jurisdictions if the earnings of a group of corporations operating in those jurisdictions were to be transferred out of such jurisdictions, because such earnings are intended to be permanently reinvested in those countries. At December 31, 2018, cumulative earnings of approximately $36,712 would be subject to income taxes of approximately $11,014 if such earnings of foreign corporations were transferred out of such jurisdictions in the form of dividends. The Company’s foreign tax returns, including the United States, State of California, State of New Jersey, State of Texas, Malaysia, Singapore, and United Kingdom, are subject to examination by the various tax authorities. The Company’s foreign tax returns are no longer subject to examinations by taxing authorities for years before 2014, except for its United States and State of California tax returns which are no longer subject to examinations for years before 2011 and 2008, respectively. The U.S. Tax Cuts and Job Act of 2017 (TCJA) was signed into law on December 22, 2017. The TCJA significantly revised the U.S. federal corporate income tax by, among other things, lowering the corporate income tax rate, implementing a territorial tax system, imposing a repatriation tax on earnings of foreign subsidiaries that are deemed to be repatriated to the United States, imposing limitations on the deduction of interest expense and executive compensation, and the creation of the base erosion anti-abuse tax (BEAT), a new minimum tax. The most significant effect of TCJA on the Company was the U.S. federal corporate tax rate reduction from 35% to 21%. A change in tax law was accounted for in the period of enactment, which required re-measurement of all our U.S. deferred income tax asset and liabilities during 2017. As the Company was in an overall net deferred tax liability position, the corporate tax rate reduction resulted in a net tax benefit of $2,653 in 2017, when the deferred tax assets and liabilities were revalued downward. In addition, the Company’s 2017 effective tax rate was favorably affected by 11.9% due to the TCJA. The other significant provisions that became effective in 2018 that may impact the Company’s income taxes are: the limitation on the deduction of interest expense in excess of 30 percent of adjusted taxable income (which is approximately 30 percent of EBITDA through December 31, 2021 and approximately 30 percent of earnings before net interest and taxes thereafter), limitation on utilization of net operating losses generated after fiscal year 2017 to 80 percent of taxable income, lowered tax rate on its foreign-derived intangible income and limitation of deduction for executive compensation. The Company’s income tax provision as of and for the year ended December 31, 2018 has not been negatively affected by these new provisions under the TCJA. However, based on the Company’s current projection, there could be negative effects in a future year, for example, when the more restrictive limitation on the deduction of interest expense becomes applicable after 2021. The Company will continue to evaluate the impact that the TCJA could have on its future tax expense. A reconciliation of the beginning and ending unrecognized tax benefit amounts for 2018 and 2017 are as follows: Balance at December 31, 2016 $ 13,331 Increases related to prior year tax positions 100 Decreases related to prior year tax positions (12 ) Increases related to current year tax positions 3,642 Lapse of statute of limitations (911 ) Balance at December 31, 2017 16,150 Increases related to prior year tax positions 4 Decreases related to prior year tax positions (2 ) Increases related to current year tax positions 3,131 Lapse of statute of limitations (1,138 ) Balance at December 31, 2018 $ 18,145 If the unrecognized tax benefits of $18,145 at December 31, 2018 were recognized, tax benefits in the amount of $18,091 would reduce our annual effective tax rate. The Company believes the total amount of unrecognized tax benefit as of December 31, 2018 will decrease by $1,343 in the next twelve months due to expiration of the statute of limitations, which would reduce our annual effective tax rate. Interest and penalty expense recorded during 2018, 2017 and 2016 amounted to $180, $181 and $281, respectively. Total accrued interest and penalties as of December 31, 2018 and 2017 were $1,288 and $1,108, respectively, and were included in non-current income taxes payable. |
Debt and Derivative Instruments
Debt and Derivative Instruments | 12 Months Ended |
Dec. 31, 2018 | |
Debt Disclosure [Abstract] | |
Debt and Derivative Instruments | (12) Debt and Derivative Instruments The following represents the Company’s debt obligations as of December 31, 2018 and 2017: Secured Debt Facilities, Revolving Credit Facilities, Term Loan and Bonds Payable 2018 2017 Outstanding Average Interest Outstanding Average Interest Final Maturity TMCL II Secured Debt Facility (1) $ 654,485 4.36 % $ 659,714 3.38 % August 2024 TMCL IV Secured Debt Facility — — 132,885 4.00 % — TL Revolving Credit Facility 1,272,074 4.00 % 568,403 3.56 % September 2023 TL Revolving Credit Facility II — — 150,906 3.55 % — TW Credit Facility — — 97,148 3.38 % — TAP Funding Revolving Credit Facility 171,937 4.41 % 163,276 3.43 % December 2021 TL Term Loan — — 352,555 3.69 % — TMCL VI Term Loan 276,210 4.30 % — — February 2038 2017-1 Bonds 353,884 3.91 % 390,013 3.91 % May 2042 2017-2 Bonds 435,838 3.73 % 475,408 3.73 % June 2042 2018-1 Bonds 245,399 4.14 % — — July 2043 Total debt obligations $ 3,409,827 $ 2,990,308 Amount due within one year $ 191,689 $ 233,681 Amounts due beyond one year $ 3,218,138 $ 2,756,627 (1) Final maturity of the TMCL II Secured Debt Facility is based on the assumption that the facility will not be extended on its scheduled conversion date. Secured Debt Facilities (a) TMCL II TMCL II has a securitization facility (the “TMCL II Secured Debt Facility”) that provides for an aggregate commitment amount of up to $1,200,000. There is a commitment fee on the unused amount of the total commitment, payable monthly in arrears. TMCL II’s primary ongoing container financing requirements have been funded by commitments under the TMCL II Secured Debt Facility. The advance rates under the TMCL II Secured Debt Facility were 80.0% at both December 31, 2018 and 2017. TMCL II is required to maintain restricted cash balances on deposit in a designated bank account equal to five months of interest expense on the TMCL II Secured Debt Facility. Under the terms of the TMCL II Secured Debt Facility, the total outstanding principal may not exceed the lesser of the commitment amount and an amount that is calculated based on TMCL II’s book value of equipment, restricted cash and net investment in direct financing and sales-type leases as specified in each of the relevant secured debt facility indentures (the “Asset Base”). The total obligations under the TMCL II Secured Debt Facility is secured by a pledge of TMCL II’s assets. As of December 31, 2018, TMCL II Secured Debt Facility’s Asset Base and total assets amounted to $655,210 and $864,338, respectively. (b) TMCL IV TMCL IV had a securitization facility (the “TMCL IV Secured Debt Facility”) that provided for an aggregate commitment amount of up to $300,000. On January 31, 2018, TMCL IV terminated its TMCL IV Secured Debt Facility and the unpaid debt amount of $129,400 was fully repaid by $124,608 proceeds from the TL Revolving Credit Facility and TMCL IV’s available cash of $4,792. Credit Facilities (a) TL TL has a revolving credit facility (the “TL Revolving Credit Facility”) that provides for an aggregate commitment amount of up to $1,500,000 (which includes a $25,000 letter of credit facility). There is a commitment fee on the unused amount of the total commitment, payable quarterly in arrears. The TL Revolving Credit Facility provides for payments of interest only during its term beginning on its inception date through September 2023 when all borrowings are due in full. Interest on the outstanding amount due under the TL Revolving Credit Facility is based either on the base rate for Base Rate loans plus a spread between 1.5% and 2.0% or LIBOR for Eurodollar rate loans plus a spread between 2.0% and 2.5%, as defined in the credit agreement, which varied based on TGH’s leverage. TL’s primary ongoing container financing requirements have been funded by commitments under the TL Revolving Credit Facility. The advance rates under the TL Revolving Credit Facility were 83.5% and 84.5% at December 31, 2018 and 2017, respectively. Interest payments on Base Rate loans and Eurodollar rate loans are payable in arrears on the last day of each calendar month and on the last day of each interest period, respectively. In September 2018, TL entered into an amendment of the TL Revolving Credit Facility, which increased its aggregate commitment amount from $700,000 to $1,500,000, extended the maturity date from June 2020 to September 2023, and lowered the interest margin from 2.00% to 1.50%. Borrowings under the TL Revolving Credit Facility were primarily used to acquire containers and to pay in full its TL Revolving Credit Facility II and TL Term Loan. The Company wrote-off $529 of unamortized debt issuance costs in September 2018. TL had another revolving credit facility (the “TL Revolving Credit Facility II”) that provided for an aggregate commitment amount of up to $190,000. The TL Revolving Credit Facility II provided for payments of interest only during its term beginning on its inception date through July 23, 2020, when all borrowings were due in full. In September 2018, TL terminated its TL Revolving Credit Facility II, which would have expired in July 2020, and the unpaid debt amount of $167,000 was fully repaid by proceeds from the TL Revolving Credit Facility. The TL Revolving Credit Facility was secured by segregated pools of TL’s containers and under the terms of the facility, the total outstanding principal may not exceed the lesser of the commitment amount and an amount (the “Asset Base”), which is based on a formula based on TL’s net book value of containers and net investment in direct financing and sales-type leases designated to the facility. As of December 31, 2018, TL Revolving Credit Facility’s Asset Base amounted to $1,416,637. TGH acts as an unconditional guarantor of the TL Revolving Credit Facility. The Company had no outstanding letters of credit under the TL Revolving Credit Facility as of December 31, 2018 and 2017. (b) TW TW had a credit agreement, with Wells Fargo Bank N.A. as the lender, which provided for a revolving credit facility with an aggregate commitment amount of up to $300,000 (the “TW Credit Facility”). TW was required to make monthly principal pay downs from its available funds, net revenue collection after interest payment, interest rate hedging payment and certain management fees, until the outstanding balance was fully repaid prior to final maturity. On November 2, 2018, TW terminated its TW Credit Facility, which would have expired in September 2026, and the unpaid debt amount of $65,269 was fully repaid by proceeds from the TL Revolving Credit Facility of the total outstanding common shares of TW from Wells Fargo Container Corp. in October 2018). (c) TAP Funding TAP Funding has a credit agreement, that provides for a revolving credit facility with an aggregate commitment amount of up to $190,000 (the “TAP Funding Revolving Credit Facility”). There is a commitment fee on the unused amount of the total commitment, payable monthly in arrears. TAP Funding’s primary ongoing container financing requirements have been funded by commitments under the TAP Funding Revolving Credit Facility. The advance rates under the TAP Funding Revolving Credit Facility were 80.0% at both December 31, 2018 and 2017. TAP Funding is required to maintain restricted cash balances on deposit in a designated bank account equal to five months of interest expense. Interest on the outstanding amount due under the TAP Funding Revolving Credit Facility is based on one-month LIBOR plus 1.95%, payable monthly in arrears. The TAP Funding Revolving Credit Facility is secured by a pledge of TAP Funding’s total assets and under the terms of the TAP Funding Revolving Credit Facility, the total outstanding principal may not exceed the lesser of the commitment amount and an amount (the “Asset Base”), which is based on a formula based on TAP Funding’s net book value of containers and direct financing and sales-type leases. As of December 31, 2018, TAP Funding Revolving Credit Facility’s Asset Base and TAP Funding’s total assets amounted to $175,798 and $228,567, respectively. Term Loan (a) TL TL had a $500,000 five-year term loan (the “TL Term Loan”) that represents a partially-amortizing term loan. Under the terms of the TL Term Loan, scheduled principal repayments were payable in twenty quarterly installments, consisting of nineteen quarterly installments, commencing on September 30, 2014, each in an amount equal to 1.58% of the initial principal balance and one final installment payable on the Maturity Date (April 30, 2019). In September 2018, TL terminated its TL Term Loan, which would have matured in April 2019, and the unpaid debt amount of $332,000 was fully repaid by proceeds from the TL Revolving Credit Facility. The Company wrote-off $352 of unamortized debt issuance costs in September 2018. (b) TMCL VI On February 15, 2018, TMCL VI completed a $300,000 fixed rate term loan (the “TMCL VI Term Loan”) with a lender group comprised of a financial institution and on institutional investor. The facility represents a partially-amortizing term loan based on defined repayment schedules until February 15, 2025 and after that, repayment will be based on available cash. It has a legal final maturity date on February 15, 2038. The proceeds from the TMCL VI Term Loan were primarily used to repay $159,480 and $122,910 of the outstanding principal balance of TMCL II Secured Debt Facility and TL Revolving Credit Facility, respectively. The advance rates under the TMCL VI Term Loan was 77.08% at December 31, 2018. TMCL VI was required to maintain restricted cash balances on deposit in a designated bank account equal to nine months of interest expense on the TMCL VI Term Loan. Under the terms of the TMCL VI Term Loan, the total outstanding principal may not exceed an amount that is based on a formula based on TMCL VI’s book value of equipment, restricted cash and net investment in direct financing and sales-type leases (the “Asset Base”). The total obligations under the TMCL VI Term Loan are secured by a pledge of TMCL VI’s assets. As of December 31, 2018, the TMCL VI Term Loan Asset Base and TMCL VI’s total assets amounted to $274,515 and $369,893, respectively. Bonds Payable (a) TMCL V TMCL V issued the Series 2017-1 Fixed Rate Asset Backed Notes (the “2017-1 Bonds”), $350,000 aggregate Class A principal amount and $70,000 aggregate Class B principal amount of 2017-1 Bonds, to qualified institutional investors pursuant to Rule 144A under the Securities Act and to non-U.S. persons in accordance with Regulation S promulgated under the Securities Act. The $420,000 in 2017-1 Bonds represent fully amortizing notes payable over a scheduled payment term of 9 years, but not to exceed a maximum payment term of 25 years. The target final payment date and legal final payment date are May 20, 2026 and May 20, 2042, respectively. Both principal and interest incurred are payable monthly in arrears. The advance rate under the 2017-1 Bonds was 75.2% at December 31, 2018 and 2017. TMCL V was required to maintain restricted cash balances on deposit in a designated bank account equal to nine months of interest expense on the 2017-1 Bonds. Proceeds from the 2017-1 Bonds was used to acquire containers from TMCL III and for general corporate purposes. The 2017-1 Bonds are secured by a pledge of TMCL V’s total assets. TMCL V also issued the Series 2017-2 Fixed Rate Asset Backed Notes (the “2017-2 Bonds”), $416,000 aggregate Class A principal amount and $84,000 aggregate Class B principal amount of 2017-2 Bonds, to qualified institutional investors pursuant to Rule 144A under the Securities Act and to non-U.S. persons in accordance with Regulation S promulgated under the Securities Act. The $500,000 in 2017-2 Bonds represent fully amortizing notes payable over a scheduled payment term of 9 years, but not to exceed a maximum payment term of 25 years. The target final payment date and legal final payment date are June 20, 2026 and June 20, 2042, respectively. Both principal and interest incurred are payable monthly in arrears. The advance rate under the 2017-2 Bonds was 77.6% at December 31, 2018 and 2017. TMCL V was required to maintain restricted cash balances on deposit in a designated bank account equal to nine months of interest expense on the 2017-2 Bonds. Proceeds from the 2017-2 Bonds was used to acquire containers from the TL Revolving Credit Facility and the TMCL II Secured Debt Facility and for general corporate purposes. The 2017-2 Bonds are secured by a pledge of TMCL V’s total assets. Under the terms of the 2017-1 Bonds and the 2017-2 Bonds, the total outstanding principal may not exceed an amount that is based on a formula based on TMCL V’s book value of equipment, restricted cash and net investment in direct financing and sales-type leases as specified in the bond indenture (the “Asset Base”). The total obligations under the 2017-1 Bonds and the 2017-2 Bonds are secured by a pledge of TMCL V’s assets. As of December 31, 2018, the 2017-1 Bonds and the 2017-2 Bonds’ Asset Base amounted to $359,255 and $441,747, respectively, and TMCL V’s total assets amounted to $1,077,079. (b) TMCL VII On August 6, 2018, TMCL VII issued the Series 2018-1 Bonds, $250,000 aggregate Class A principal amount and $9,100 aggregate Class B principal amount of Series 2018-1 Fixed Rate Asset Backed Notes (the “2018-1 Bonds”) to qualified institutional investors pursuant to Rule 144A under the Securities Act and to non-U.S. persons in accordance with Regulation S promulgated under the Securities Act. The 2018-1 Bonds were issued at 98.82% of par value for the 2018-1 Bonds Class A notes and 98.14% of par value for the 2018-1 Bonds Class B notes, resulting in a total discount of $3,124, which is being accreted to interest expense using the interest rate method over a 7 year term. The $259,100 in 2018-1 Bonds represent partially-amortizing notes payable over a scheduled payment term of 7 years, but not to exceed a maximum payment term of 25 years. Both principal and interest incurred were payable monthly in arrears. The anticipated repayment date and legal final payment date was July 2025 and July 2043, respectively. TMCL VII was required to maintain restricted cash balances on deposit in a designated bank account equal to nine months of interest expense on the 2018-1 Bonds. Proceeds from the 2018-1 Bonds was primarily used to acquire containers from TL Revolving Credit Facility and TMCL II Secured Debt Facility and for general corporate purposes Under the terms of the 2018-1 Bonds, the total outstanding principal may not exceed an amount that is based on a formula based on TMCL VII ’s book value of equipment, restricted cash and net investment in direct financing and sales-type leases as specified in the bond indenture (the “Asset Base”). The total obligations under the 2018-1 Bonds are secured by a pledge of TMCL VII’s assets. As of December 31, 2018, the 2018-1 Bonds’ Asset Base and total assets amounted to $252,668 and $318,156, respectively. Restrictive Covenants The Company’s debt agreements contain various restrictive financial and other covenants, including limitations on certain liens, indebtedness and investments. • The TL Revolving Credit Facility contain certain restrictive financial covenants on TGH’s leverage ratio, fixed charge coverage ratio and consolidated tangible net worth; and TL’s leverage coverage and interest coverage ratio. • The TMCL II Secured Debt Facility, the TMCL VI Term Loan, the TAP Funding Revolving Credit Facility, the 2017-1 Bonds, the 2017-2 Bonds and the 2018-1 Bonds contain restrictive covenants on leverage ratio of TGH and net income and debt levels of TGH’s container management subsidiary. • The TMCL II Secured Debt Facility also contain restrictive covenants regarding certain containers sales proceeds ratio. • The TMCL II Secured Debt Facility, the TMCL VI Term Loan, the TAP Funding Revolving Credit Facility, the 2017-1 Bonds, the 2017-2 Bonds and the 2018-1 Bonds also contain restrictive covenants regarding certain debt service coverage ratios and the average age of the underlying container fleets securing each of these obligations. • The TMCL II Secured Debt Facility, the TMCL VI Term Loan, the 2017-1 Bonds and the 2017-2 Bonds and the 2018-1 Bonds also contain restrictive covenants on TMCL II, TMCL VI, TMCL V and TMCL VII’s ability to incur other obligations and distribute earnings, respectively. • All of the Company’s debt facilities also contain restrictive covenants on borrowing base minimums. TGH and its subsidiaries were in full compliance with these restrictive covenants at December 31, 2018. The following is a schedule of future scheduled repayments, by year, and borrowing capacities, as of December 31, 2018: Twelve months ending December 31, Available borrowing, as limited by the Current and 2019 2020 2021 2022 2023 and thereafter Total Borrowing Borrowing Base Available Borrowing TMCL II Secured Debt Facility (1) $ 60,160 $ 60,484 $ 55,549 $ 55,549 $ 425,895 $ 657,637 $ — $ 657,637 TL Revolving Credit Facility — — — — 1,280,000 1,280,000 136,637 1,416,637 TAP Funding Revolving Credit Facility 13,813 16,752 142,435 — — 173,000 2,798 175,798 TMCL VI Term Loan 25,500 25,500 25,500 25,500 176,724 278,724 — 278,724 2017-1 Bonds 38,331 39,357 52,173 63,220 164,129 357,210 — 357,210 2017-2 Bonds (2) 40,968 43,958 55,259 67,021 232,709 439,915 — 439,915 2018-1 Bonds (2) 18,655 18,655 18,655 18,655 176,707 251,327 — 251,327 Total (3) $ 197,427 $ 204,706 $ 349,571 $ 229,945 $ 2,456,164 $ 3,437,813 $ 139,435 $ 3,577,248 (1) Future scheduled payments for the TMCL II Secured Debt Facility is based on the assumption that the facility will not be extended on its associated conversion date. ( 2 ) Future scheduled payments for the 2017-2 Bonds and 2018-1 Bonds exclude an unamortized discount of $60 and $2,888, respectively. ( 3 ) Future scheduled payments for all debts exclude unamortized prepaid debt issuance costs in an aggregate amount of $25,038. Derivative Instruments The Company has entered into several interest rate cap, collar and swap agreements with several banks to reduce the impact of changes in interest rates associated with its debt obligations. The following is a summary of the Company’s derivative instruments as of December 31, 2018: Notional Derivative instruments amount Interest rate swap contracts with several banks, with fixed rates between 0.70% and 2.94% per annum, amortizing notional amounts, with termination dates through Jan 15, 2023 $ 987,967 Interest rate cap contracts with several banks with fixed rates between 3.70% and 5.10% per annum, nonamortizing notional amounts, with termination dates through August 15, 2021 240,000 Total notional amount as of December 31, 2018 $ 1,227,967 The Company’s interest rate swap, collar and cap agreements had a fair value asset and liability of $5,555 and $3,639 as of December 31, 2018, respectively, and a fair value asset and liability of $7,787 and $81 as of December 31, 2017, respectively, which are inclusive of counterparty risk. The primary external risk of the Company’s interest rate swap agreements is the counterparty credit exposure, as defined as the ability of a counterparty to perform its financial obligations under a derivative contract. The Company monitors its counterparties’ credit ratings on an on-going basis and they were in compliance with the related derivative agreements at December 31, 2018. The Company does not have any master netting arrangements with its counterparties. The Company’s fair value assets and liabilities for its interest rate swap, collar and cap agreements are included in interest rate swaps, collars and caps in the accompanying consolidated balance sheets. The change in fair value was recorded in the consolidated statements of comprehensive income (loss) as unrealized (loss) gain on interest rate swaps, collars and caps, net. |
Segment Information
Segment Information | 12 Months Ended |
Dec. 31, 2018 | |
Segment Reporting [Abstract] | |
Segment Information | (13) Segment Information As described in Note 1(a) “Nature of Operations”, the Company operates in three reportable segments: Container Ownership, Container Management and Container Resale. Prior year amounts have been modified to reflect the reclassification adjustments discussed in Note 2 “Immaterial Reclassification and Adjustment of Prior Periods”. The following tables show segment information for 2018, 2017 and 2016, reconciled to the Company’s income before income tax and noncontrolling interests as shown in its consolidated statements of comprehensive income (loss): Container Container Container 2018 Ownership Management Resale Other Eliminations Totals Lease rental income - owned fleet $ 498,414 $ 2,948 $ — $ — $ — $ 501,362 Lease rental income - managed fleet — 111,342 — — — 111,342 Lease rental income $ 498,414 $ 114,290 $ — $ — $ — $ 612,704 Management fees - non-leasing from external customers $ 235 $ 2,752 $ 5,542 $ — $ — $ 8,529 Inter-segment management fees $ — $ 48,646 $ 12,132 $ — $ (60,778 ) $ — Trading container margin $ — $ — $ 3,450 $ — $ — $ 3,450 Gain on sale of owned fleet containers, net $ 36,071 $ — $ — $ — $ — $ 36,071 Depreciation expense $ 241,647 $ 794 $ — $ — $ (6,736 ) $ 235,705 Container impairment $ 26,775 $ — $ — $ — $ — $ 26,775 Interest expense $ 138,427 $ — $ — $ — $ — $ 138,427 Write-off of unamortized deferred debt issuance costs $ 881 $ — $ — $ — $ — $ 881 Realized gain on interest rate swaps, collars and caps, net $ 5,238 $ — $ — $ — $ — $ 5,238 Unrealized loss on interest rate swaps, collars and caps, net $ 5,790 $ — $ — $ — $ — $ 5,790 Segment income (loss) before income tax and noncontrolling interests $ 26,166 $ 20,322 $ 16,128 $ (4,083 ) $ (2,258 ) $ 56,275 Total assets $ 4,648,938 $ 128,328 $ 45,110 $ 10,653 $ (88,733 ) $ 4,744,296 Purchases of long-lived assets $ 765,297 $ 709 $ — $ — $ — $ 766,006 Container Container Container 2017 Ownership Management Resale Other Eliminations Totals Lease rental income - owned fleet $ 442,219 $ 2,669 $ — $ — $ — $ 444,888 Lease rental income - managed fleet — 104,566 — — — 104,566 Lease rental income $ 442,219 $ 107,235 $ — $ — $ — $ 549,454 Management fees (non-leasing) from external customers $ 266 $ 2,105 $ 4,775 $ — $ — $ 7,146 Inter-segment management fees $ — $ 39,529 $ 9,477 $ — $ (49,006 ) $ — Trading container margin $ — $ — $ 1,456 $ — $ — $ 1,456 Gain on sale of owned fleet containers, net $ 26,210 $ — $ — $ — $ — $ 26,210 Depreciation expense $ 236,577 $ 776 $ — $ — $ (6,310 ) $ 231,043 Container impairment $ 8,072 $ — $ — $ — $ — $ 8,072 Interest expense $ 117,475 $ — $ — $ — $ — $ 117,475 Write-off of unamortized deferred debt issuance costs and bond discounts $ 7,550 $ — $ — $ — $ — $ 7,550 Realized loss on interest rate swaps, collars and caps, net $ 1,191 $ — $ — $ — $ — $ 1,191 Unrealized gain on interest rate swaps, collars and caps, net $ 4,094 $ — $ — $ — $ — $ 4,094 Segment (loss) income before income tax and noncontrolling interests $ (1,707 ) $ 15,376 $ 10,854 $ (3,568 ) $ 1,405 $ 22,360 Total assets $ 4,316,272 $ 139,989 $ 10,873 $ 6,859 $ (93,651 ) $ 4,380,342 Purchases of long-lived assets $ 418,288 $ 934 $ — $ — $ — $ 419,222 Container Container Container 2016 Ownership Management Resale Other Eliminations Totals Lease rental income - owned fleet $ 458,246 $ 2,181 $ — $ — $ — $ 460,427 Lease rental income - managed fleet — 105,511 — — — 105,511 Lease rental income $ 458,246 $ 107,692 $ — $ — $ — $ 565,938 Management fees (non-leasing) from external customers $ 291 $ 2,593 $ 3,053 $ — $ — $ 5,937 Inter-segment management fees $ — $ 38,080 $ 8,493 $ — $ (46,573 ) $ — Trading container margin $ — $ — $ (276 ) $ — $ — $ (276 ) Gain on sale of owned fleet containers, net $ 6,761 $ — $ — $ — $ — $ 6,761 Depreciation expense $ 241,498 $ 876 $ — $ — $ (6,230 ) $ 236,144 Container impairment $ 94,623 $ — $ — $ — $ — $ 94,623 Interest expense $ 85,215 $ — $ — $ — $ — $ 85,215 Realized loss on interest rate swaps, collars and caps, net $ 8,928 $ — $ — $ — $ — $ 8,928 Unrealized gain on interest rate swaps, collars and caps, net $ 6,210 $ — $ — $ — $ — $ 6,210 Segment (loss) income before income tax and noncontrolling interests $ (84,252 ) $ 18,134 $ 6,178 $ (3,016 ) $ 1,633 $ (61,323 ) Total assets $ 4,261,296 $ 89,905 $ 6,010 $ 4,900 $ (68,085 ) $ 4,294,026 Purchases of long-lived assets $ 474,956 $ 1,206 $ — $ — $ — $ 476,162 General and administrative expenses are allocated to the reportable business segments based on direct overhead costs incurred by those segments. Amounts reported in the “Other” column represent activity unrelated to the active reportable business segments. Amounts reported in the “Eliminations” column represent inter-segment management fees between the Container Management and the Container Resale segments and the Container Ownership segment. Geographic Segment Information The Company’s container lessees use containers for their global trade utilizing many worldwide trade routes. The Company earns its revenue from international carriers when the containers are on hire. Substantially all of the Company’s leasing related revenue is denominated in U.S. dollars. As all of the Company’s containers are used internationally, where no single container is domiciled in one particular place for a prolonged period of time, all of the Company’s long-lived assets are considered to be international with no single country of use. The following table represents the geographic allocation of total fleet lease rental income and management fees from non-leasing services during the years ended December 31, 2018, 2017 and 2016 based on customers’ and container owners’ primary domicile: Years ended December 31, 2018 Percent of Total 2017 Percent of Total 2016 Percent of Total Lease rental income: Asia $ 319,286 52.1 % $ 280,331 51.0 % $ 297,822 52.6 % Europe 255,753 41.7 % 232,888 42.4 % 232,538 41.1 % North / South America 34,053 5.6 % 30,480 5.5 % 27,483 4.9 % Bermuda — 0.0 % — 0.0 % — 0.0 % All other international 3,612 0.6 % 5,755 1.1 % 8,095 1.4 % $ 612,704 100.0 % $ 549,454 100.0 % $ 565,938 100.0 % Management fees - non-leasing: Bermuda $ 4,418 51.8 % $ 3,100 43.4 % $ 3,320 55.9 % Europe 2,089 24.5 % 2,097 29.3 % 660 11.1 % North / South America 1,970 23.1 % 1,928 27.0 % 1,911 32.2 % Asia 7 0.1 % 4 0.1 % 18 0.3 % All other international 45 0.5 % 17 0.2 % 28 0.5 % $ 8,529 100.0 % $ 7,146 100.0 % $ 5,937 100.0 % The following table represents the geographic allocation of trading container sales proceeds and gain on sale of owned fleet containers, net during the years ended December 31, 2018, 2017 and 2016 based on the location of sale: Years ended December 31, 2018 Percent of Total 2017 Percent of Total 2016 Percent of Total Trading container sales proceeds: Asia $ 13,117 67.0 % $ 3,349 70.4 % $ 11,647 74.5 % Europe 3,487 17.8 % 593 12.5 % 1,033 6.6 % North / South America 2,893 14.8 % 816 17.2 % 2,948 18.9 % Bermuda — 0.0 % — 0.0 % — 0.0 % All other international 71 0.4 % — 0.0 % — 0.0 % $ 19,568 100.0 % $ 4,758 100.0 % $ 15,628 100.0 % Gain on sale of owned fleet containers, net: Asia $ 18,593 51.5 % $ 18,321 69.9 % $ 6,015 89.0 % Europe 9,622 26.7 % 2,994 11.4 % 1,576 23.3 % North / South America 7,043 19.5 % 5,002 19.1 % 1,855 27.4 % Bermuda — 0.0 % — 0.0 % — 0.0 % All other international 813 2.3 % (107 ) (0.4 )% (2,685 ) (39.7 )% $ 36,071 100.0 % $ 26,210 100.0 % $ 6,761 100.0 % |
Commitments and Contingencies
Commitments and Contingencies | 12 Months Ended |
Dec. 31, 2018 | |
Commitments And Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | (14) Commitments and Contingencies (a) Leases The Company has entered into several operating leases for office space. Rent expense amounted to $2,049, $3,432 and $1,213 during 2018, 2017 and 2016, respectively. Future minimum lease payment obligations under the Company’s noncancelable operating leases at December 31, 2018 were as follows: Operating leasing Year ending December 31: 2019 $ 2,186 2020 2,152 2021 2,071 2022 1,936 2023 and thereafter 9,276 Total $ 17,621 (b) Restricted Cash Restricted cash at December 31, 2018 and 2017 consisted of the following: 2018 2017 Trust accounts $ 10,139 $ 14,015 Other restricted cash accounts 77,491 75,660 TL maintained cash balance, required under TL's credit facilities — 10,000 Total restricted cash $ 87,630 $ 99,675 Trust accounts: The Company maintains certain interest-bearing bank accounts (“Trust Accounts”) pursuant to certain debt agreements for the deposits of net cash proceeds collected from leasing and containers disposition after certain expenses. The cash in the Trust Accounts can only be used to pay the Company’s debt, interest and other certain related expenses. After such payments, any remaining cash in the Trust Accounts are transferred to certain unrestricted bank accounts of the Company and is included in cash and cash equivalents on the consolidated balance sheets. Other restricted cash accounts: The Company established certain interest-bearing bank accounts pursuant to certain debt agreements to maintain an amount equal to certain outstanding debt balance and a projected interest expense for a specified number of months. (c) Container Commitments At December 31, 2018, the Company had placed orders with manufacturers for containers to be delivered subsequent to December 31, 2018 in the total amount of $80,445. (d) Distribution to Managed Fleet Owners The Company’s operating expenses related to the distribution to managed fleet owners are variable payments based upon the net operating income for each managed container (see Note 5 “Revenue from Managed Container Fleet”. There are no future minimum lease payment obligations under the Company’s management agreements. |
Share Option and Restricted Sha
Share Option and Restricted Share Unit Plans | 12 Months Ended |
Dec. 31, 2018 | |
Disclosure Of Compensation Related Costs Sharebased Payments [Abstract] | |
Share Option and Restricted Share Unit Plans | (15) Share Option and Restricted Share Unit Plans As of December 31, 2018, the Company maintained one active share option and restricted share unit plan, the 2015 Share Incentive Plan (“2015 Plan”). The 2015 Plan provided for the grant of share options, restricted share units, restricted shares, share appreciation rights and dividend equivalent rights. The 2015 Plan provided for grants of incentive share options only to the Company’s employees or employees of any parent or subsidiary of TGH. Awards other than incentive share options could be granted to the Company’s employees, directors and consultants or the employees, directors and consultants of any parent or subsidiary of TGH. At December 31, 2018, 330,060 shares were available for future issuance under the 2015 Plan. Share options are granted at exercise prices equal to the fair market value of the shares on the grant date. Each employee’s options vest in increments of 25% per year beginning approximately one year after an option’s grant date. Unless terminated pursuant to certain provisions within the share option plans, including discontinuance of employment with the Company, all unexercised options expire ten years from the date of grant. Beginning approximately one year after a restricted share unit’s grant date, each employee’s restricted share units vest in increments of 25% per year. Restricted share units granted to directors fully vest one year after their grant date. The following is a summary of activity in the Company’s 2015 Plan for the years ended December 31, 2018, 2017, and 2016: Share options (common share equivalents) Weighted average exercise price Balances, December 31, 2015 1,159,346 $ 26.62 Options granted during the period 341,532 $ 9.77 Options exercised during the period — $ — Options expired during the period (38,317 ) $ 31.33 Options forfeited during the period (30,748 ) $ 29.97 Balances, December 31, 2016 1,431,813 $ 22.41 Options granted during the period 246,722 $ 22.75 Options exercised during the period (65,468 ) $ 14.67 Options expired during the period (45,638 ) $ 25.55 Options forfeited during the period (42,752 ) $ 16.04 Balances, December 31, 2017 1,524,677 $ 22.88 Options granted during the period 241,500 $ 11.15 Options exercised during the period (15,259 ) $ 8.49 Options expired during the period (9,552 ) $ 25.77 Options forfeited during the period (37,458 ) $ 17.61 Balances, December 31, 2018 1,703,908 $ 21.44 Options exercisable at December 31, 2018 1,094,812 $ 25.45 Options vested and expected to vest at December 31, 2018 1,655,740 $ 21.65 Restricted share units Weighted average grant date fair value Balances, December 31, 2015 617,523 $ 21.70 Share units granted during the period 361,152 $ 9.81 Share units vested during the period (254,024 ) $ 24.26 Share units forfeited during the period (30,748 ) $ 25.93 Balances, December 31, 2016 693,903 $ 14.72 Share units granted during the period 289,800 $ 20.82 Share units vested during the period (244,633 ) $ 18.33 Share units forfeited during the period (46,022 ) $ 14.24 Balances, December 31, 2017 693,048 $ 16.03 Share units granted during the period 274,845 $ 11.92 Share units vested during the period (289,685 ) $ 16.15 Share units forfeited during the period (37,458 ) $ 17.27 Balances, December 31, 2018 640,750 $ 14.20 Share units outstanding and expected to vest at December 31, 2018 591,681 $ 14.20 The estimated weighted average grant date fair value of share options granted during 2018, 2017 and 2016 was $5.40, $10.32 and $4.01 per share, respectively. As of December 31, 2018, $11,489 of total compensation cost related to non-vested share option and restricted share unit awards not yet recognized is expected to be recognized over a weighted average period of 3 years. The aggregate intrinsic value of all options exercisable and outstanding, which represents the total pre-tax intrinsic value, based on the Company’s closing common share price of $9.96 per share as of December 31, 2018 was $38. The aggregate intrinsic value is calculated as the difference between the exercise prices of the Company’s share options that were in-the-money and the market value of the common shares that would have been issued if those share options were exercised as of December 31, 2018. The aggregate intrinsic value of all options exercised during 2018 and 2017, based on the closing share price on the date each option was exercised was $83 and $241, respectively. There were no share options exercised during 2016. The following table summarizes information about share options exercisable and outstanding at December 31, 2018: Share options exercisable Share options outstanding Number of shares Weighted average exercise Number of shares Weighted average exercise Range of per-share exercise prices: $9.70 145,290 $ 9.70 288,493 $ 9.70 $9.75 938 $ 9.75 3,750 $ 9.75 $11.15 — $ — 241,500 $ 11.15 $12.23 5,000 $ 12.23 10,000 $ 12.23 $14.17 159,500 $ 14.17 213,136 $ 14.17 $ 16.97 47,410 $ 16.97 47,410 $ 16.97 $22.95 60,018 $ 22.95 222,838 $ 22.95 $27.68 - $28.26 207,882 $ 28.12 208,007 $ 28.12 $28.54 - $31.34 113,665 $ 28.79 113,665 $ 28.79 $34.14 - $38.36 355,109 $ 36.13 355,109 $ 36.13 1,094,812 $ 25.45 1,703,908 $ 21.44 The weighted average contractual life of options exercisable and outstanding as of December 31, 2018 was 4.9 years and 6.3 years, respectively. The fair value of each share option granted under the 2015 Plan was estimated on the date of grant using the Black-Scholes option pricing model for the years ended December 31, 2018, 2017 and 2016 with the following assumptions: 2018 2017 2016 Risk-free interest rates 2.9 % 2.2 % 1.9 % Expected terms (in years) 5.5 5.4 5.2 Expected common share price volatilities 49.8 % 47.4 % 43.7 % Expected dividends 0.0 % 0.0 % 0.0 % Expected forfeitures 4.3 % 5.9 % 5.3 % The risk-free interest rate is based on the implied yield on a U.S. Treasury zero-coupon issue with a remaining term equal to the expected term of the share option life. The expected term is calculated based on historical exercises. The expected common share price volatility for the 2015 Plan is based on the historical volatility of publicly traded companies within the Company’s industry. The dividend yield reflects the estimated future yield on the date of grant. The Company only recognizes expense for share-based awards that are ultimately expected to vest. The forfeiture rate is based on the Company’s estimate of share options that are expected to cancel prior to vesting. |
Schedule I - Parent Company Inf
Schedule I - Parent Company Information | 12 Months Ended |
Dec. 31, 2018 | |
Condensed Financial Information Of Parent Company Only Disclosure [Abstract] | |
Schedule I - Parent Company Information | TEXTAINER GROUP HOLDINGS LIMITED AND SUBSIDIARIES Parent Company Information Years Ended December 31, 2018, 2017 and 2016 (All currency expressed in United States dollars in thousands) 2018 2017 2016 Operating expenses: General and administrative expense (1) $ 4,083 $ 3,568 $ 3,020 Total operating expenses 4,083 3,568 3,020 Loss from operations (4,083 ) (3,568 ) (3,020 ) Other income (expense): Equity in net income (loss) of subsidiaries 54,461 22,933 (49,470 ) Interest income — — 4 Net other income (loss) 54,461 22,933 (49,466 ) Income (loss) before income tax 50,378 19,365 (52,486 ) Income tax benefit — — 3 Net income (loss) attributable to Textainer Group Holdings Limited common shareholders $ 50,378 $ 19,365 $ (52,483 ) Net income (loss) attributable to Textainer Group Holdings Limited common shareholders per share: Basic $ 0.88 $ 0.34 $ (0.93 ) Diluted $ 0.88 $ 0.34 $ (0.93 ) Weighted average shares outstanding (in thousands): Basic 57,200 56,845 56,608 Diluted 57,487 57,159 56,608 Other comprehensive income: Foreign currency translation adjustments (127 ) 207 (233 ) Comprehensive income (loss) attributable to Textainer Group Holdings Limited common shareholders $ 50,251 $ 19,572 $ (52,716 ) ( 1 ) Amounts for the years ended December 31, 2017 and 2016 have been reclassified to conform with 2018 presentation (see Note 1(t) “Reclassifications and Changes in Presentation”). TEXTAINER GROUP HOLDINGS LIMITED AND SUBSIDIARIES SCHEDULE I - CONDENSED BALANCE SHEETS Parent Company Information December 31, 2018 and 2017 (All currency expressed in United States dollars in thousands) 2018 2017 Assets Current assets: Cash and cash equivalents $ 9,444 $ 5,530 Prepaid expenses 182 216 Due from affiliates, net 687 1,020 Total current assets 10,313 6,766 Investments in subsidiaries 1,202,271 1,147,157 Total assets $ 1,212,584 $ 1,153,923 Liabilities and Shareholders’ Equity Current liabilities: Accrued expenses $ 713 $ 568 Total current liabilities 713 568 Shareholders’ equity: Common shares 581 578 Additional paid-in capital 406,896 398,634 Treasury shares (9,149 ) (9,149 ) Accumulated other comprehensive loss (436 ) (309 ) Retained earnings 813,979 763,601 Total shareholders’ equity 1,211,871 1,153,355 Total liabilities and shareholders’ equity $ 1,212,584 $ 1,153,923 TEXTAINER GROUP HOLDINGS LIMITED AND SUBSIDIARIES SCHEDULE I - CONDENSED STATEMENTS OF CASH FLOWS Parent Company Information Years ended December 31, 2018, 2017 and 2016 (All currency expressed in United States dollars in thousands) 2018 2017 2016 Cash flows from operating activities: Net income (loss) attributable to Textainer Group Holdings Limited common shareholders $ 50,378 $ 19,365 $ (52,483 ) Adjustments to reconcile net (loss) income to net cash provided by operating activities: Equity in (income) loss of subsidiaries (54,461 ) (22,933 ) 49,470 Dividends received from subsidiaries — — 28,000 Share-based compensation 7,355 6,083 6,573 Decrease (increase) in: Prepaid expenses 34 (43 ) 15 Increase (decrease) in: Accrued expenses 145 (50 ) (489 ) Total adjustments (46,927 ) (16,943 ) 83,569 Net cash provided by operating activities 3,451 2,422 31,086 Cash flows from investing activities: Increase (decrease) in investments in subsidiaries, net 127 (204 ) (3,969 ) Net cash provided by (used in) investing activities 127 (204 ) (3,969 ) Cash flows from financing activities: Purchase of treasury shares — — — Issuance of common shares upon exercise of share options 130 961 — Dividends paid — — (28,754 ) Due from affiliates, net 333 (831 ) (364 ) Net cash provided by (used in) financing activities 463 130 (29,118 ) Effect of exchange rate changes (127 ) 207 (233 ) Net increase (decrease) in cash and cash equivalents 3,914 2,555 (2,234 ) Cash and cash equivalents, beginning of the year 5,530 2,975 5,209 Cash and cash equivalents, end of the year $ 9,444 $ 5,530 $ 2,975 |
Schedule II Valuation Accounts
Schedule II Valuation Accounts | 12 Months Ended |
Dec. 31, 2018 | |
Valuation And Qualifying Accounts [Abstract] | |
Schedule II Valuation Accounts | TEXTAINER GROUP HOLDINGS LIMITED AND SUBSIDIARIES Valuation Accounts Years ended December 31, 2018, 2017 and 2016 (All currency expressed in United States dollars in thousands) Balance at Additions Balance at Beginning of Charged to End of Year Expense Deductions Year December 31, 2016 Accounts receivable, allowance for doubtful accounts $ 14,053 $ 21,166 $ (3,375 ) $ 31,844 December 31, 2017 Accounts receivable, allowance for doubtful accounts $ 31,844 $ 477 $ (26,546 ) $ 5,775 December 31, 2018 Accounts receivable, allowance for doubtful accounts $ 5,775 $ 2,697 $ (4,390 ) $ 4,082 |
Nature of Business and Summar_2
Nature of Business and Summary of Significant Accounting Policies (Policies) | 12 Months Ended |
Dec. 31, 2018 | |
Accounting Policies [Abstract] | |
Nature Of Operations | (a) Nature of Operations Textainer Group Holdings Limited (“TGH”) is incorporated in Bermuda. TGH is the holding company of a group of companies, consisting of TGH and its subsidiaries (collectively, the “Company”), involved in the purchase, management, leasing and resale of marine cargo containers. The Company manages and provides administrative support to the affiliated and unaffiliated owners’ (the “Owners”) container fleets. The Company conducts its business activities in three main areas: Container Ownership, Container Management and Container Resale. These activities are described below (also see Note 13 “Segment Information”). Container Ownership The Company’s containers consist primarily of standard dry freight containers, but also include refrigerated and other special-purpose containers. These owned containers are financed through retained earnings; revolving credit facilities, secured debt facilities and a term loan provided by banks; bonds payable to investors; and a public offering of TGH’s common shares. Expenses related to lease rental income of owned fleet primarily include direct container expenses, depreciation expense, container impairment and interest expense. Container Management The Company manages, on a worldwide basis, a fleet of containers for and on behalf of the Owners. All rental operations are conducted worldwide in the name of the Company who, as agent for the Owners, acquires and sells containers, enters into leasing agreements and depot service agreements, bills and collects lease rentals from the lessees, disburses funds to depots for container handling, and remits net amounts, less management fees and commissions, to the Owners. Customer accounts receivable, fixed assets, and vendor payables arising from direct container operations of the Owners’ fleet have been excluded from the Company’s consolidated balance sheets. Fees earned by the Company under the management agreements are typically a percentage of net operating income of each Owner’s fleet and consist of fees for services related to the management of the containers, sales commissions and net acquisition fees earned on the acquisition of containers. Expenses related to the operation of the managed containers include storage, handling, repairs, repositioning, agent, insurance expense general and administrative expense. The management agreements with the Owners convey to the Company the right to control the use of the managed containers, therefore meeting the definition of a lease. The management agreements have accordingly be deemed to be leases under the guidance of FASB Accounting Standards Codification 840, Leases Container Resale The Company buys and subsequently resells used containers (trading containers) from third parties. Container sales revenue represents the proceeds on the sale of containers purchased for resale. Cost of containers sold represents the cost of equipment purchased for resale that were sold as well as the related selling costs. The Company earns sales commissions related to the sale of the containers that it manages. |
Principles of Consolidation and Variable Interest Entity | (b) Principles of Consolidation and Variable Interest Entity The consolidated financial statements of the Company include TGH and all of its subsidiaries in which the Company has a controlling financial interest. All significant intercompany accounts and balances have been eliminated in consolidation. The Company determines whether it has a controlling financial interest in an entity by evaluating whether the entity is a variable interest entity (“VIE”) or a voting interest entity (“VME”). If it is determined that the Company does not have a variable interest in the entity, no further analysis is required, and the Company does not consolidate the entity. TAP Funding On December 20, 2012, the Company’s wholly-owned subsidiary, Textainer Limited (“TL”), purchased 50.1% of the outstanding common shares of TAP Funding Ltd. (“TAP Funding”) (a Bermuda company) from TAP Ltd. (“TAP”). Both before and after this purchase, TAP Funding leases containers to lessees under operating, direct financing and sales-type leases. TAP is governed by members and management agreements and the Company’s wholly-owned subsidiary, Textainer Equipment Management Limited (“TEML”), manages all of TAP Funding’s containers, making day-to-day decisions regarding the marketing, servicing and design of TAP Funding’s leases. TL’s purchase of a majority ownership of TAP Funding’s common shares allowed the Company to increase the size of its owned fleet at an attractive price. Under TAP Funding’s members agreement, TL owns 50.1% and TAP owns 49.9% of the common shares of TAP Funding. As common shareholders, TL has two voting rights and TAP has one voting right of TAP Funding, with the exception of certain matters such as bankruptcy proceedings and the incurrence of debt and mergers and consolidations, which require unanimity. TL also has two seats and TAP has one seat on TAP Funding’s board of directors. In addition, TL has an option to purchase the remaining outstanding common shares of TAP Funding held by TAP during the period beginning January 1, 2023 and through December 31, 2024 for a purchase price equal to the equity carrying value of TAP Funding plus 6% of TAP’s percentage ownership interest in TAP Funding minus the sum of any and all U.S. federal, state and local taxes of any nature that would be recognized by TL if TAP Funding was liquidated by TL immediately after TL purchased its shares. TAP Funding is a VME and the Company consolidates TAP Funding as the Company has a controlling financial interest in TAP Funding, in which TL owns 50% or more voting interest. TAP Funding’s profits and losses are allocated to TL and TAP on the same basis as their ownership percentages. The equity owned by TAP in TAP Funding is shown as a noncontrolling interest on the Company’s consolidated balance sheets and the net income (loss) attributable to the noncontrolling interest’s operations is shown as net (income) loss attributable to the noncontrolling interests on the Company’s consolidated statements of comprehensive income (loss). TWCL The Company had a joint venture, TW Container Leasing, Ltd. (“TW”) (a Bermuda company), between TL and Wells Fargo Container Corp. (“WFC”). TL owned 25% and WFC owned 75% of the common shares and related voting rights of TW. The purpose of TW was to lease containers to lessees under direct financing leases. TW was governed by members, credit and management agreements. Under the management agreement, TEML managed all of TW’s containers, making day-to-day decisions regarding the marketing, servicing and design of TW’s direct financing leases. TL also had two seats and WFC had six seats on TW’s board of directors, with each seat having equal voting rights, provided, however, that the approval of at least one TL-appointed director is required for any action of the board of directors. In October 2018, TL entered into an agreement to purchase 75% of the total outstanding common shares of TW from WFC for a cash consideration of $29,658. After the acquisition, TW became a wholly-owned subsidiary of TL. The Company accounted for this equity transaction as a reduction in the related noncontrolling interest. Prior to the capital restructuring, the Company had determined that it had a variable interest in TW and that TW was a VIE. The Company consolidated TW as the Company had determined that it was the primary beneficiary of TW by its equity ownership in the entity and by virtue of its role as manager of the vehicle, namely that the Company had the power to direct the activities of TW that most significantly impact TW’s economic performance. After the capital restructuring which was effective on October 1, 2018, TW became a wholly-owned subsidiary or a VME of TL. Therefore, the Company retains its controlling financial interest and continues to include TW’s financial statements in its consolidated financial statements. As a result of the capital restructuring, TL acquired the noncontrolling interest (“NCI”) in TW which was reduced by $30,438 and the difference between the carrying value of the NCI and the cash consideration was recognized as an increase in additional paid-in capital (“APIC”) by $780. Changes in the Company’s shareholder’s equity resulting from changes in its ownership interest in TW for the years ended December 31, 2018, 2017 and 2016 were as follows: 2018 2017 2016 Net income (loss) attributable to TGH common shareholders $ 50,378 $ 19,365 $ (52,483 ) Transfers from the noncontrolling interest: Increase in TGH’s APIC for TW capital restructuring 780 — — Changes from net income (loss) attributable to TGH common shareholders and transfers from noncontrolling interest $ 51,158 $ 19,365 $ (52,483 ) Prior to the capital restructuring, the equity previously owned by WFC in TW was shown as a noncontrolling interest on the Company’s consolidated balance sheet as of December 31, 2017. After the capital restructuring, there is no noncontrolling interest in TW on the Company’s consolidated balance sheet as of December 31, 2018. The net income attributable to the noncontrolling interests’ operations for the period ending September 30, 2018, and for the year ending December 31, 2017 and 2016, are shown as net income attributable to the noncontrolling interests on the Company’s consolidated statements of comprehensive income (loss). Under a credit agreement with Wells Fargo Bank, N.A. (“WFB”), TW had a credit facility which was terminated prior to its scheduled maturity and the unpaid debt amount of $65,269 was fully repaid in November 2018. (see Note 12 “Debt and Derivative Instruments”). Managed Containers The Company enters into container management agreements with Owners or third-party investors. The fees earned by the Company for managing container portfolios on behalf of Owners are commensurate with the level of effort required to provide those management services and the Company does not have the obligation to absorb losses or the right to receive benefits that may be significant to the Owners. As such, the Company is not the primary beneficiary and does not consolidate the Owners. Managed containers which are owned by Owners are not assets of the Company and are not included in the consolidated financial statements. (see Note 1(a) “Nature of Operations”). Owned Containers The majority of the container equipment included in the accompanying consolidated financial statements is owned by TL, Textainer Marine Containers II Limited (“TMCL II”), Textainer Marine Containers V Limited (“TMCL V”), Textainer Marine Containers VI Limited (“TMCL VI”) and Textainer Marine Containers VII Limited (“TMCL VII”), all Bermuda companies and all of which were wholly-owned subsidiaries of the Company as of December 31, 2018. |
Cash and Cash Equivalents and Restricted Cash | (c) Cash and Cash Equivalents and Restricted Cash Cash and cash equivalents are comprised of interest-bearing deposits or money market securities with original maturities of three months or less. The Company maintains cash and cash equivalents and restricted cash (see Note 14 “Commitments and Contingencies—Restricted Cash”) with various financial institutions. These financial institutions are located in Bermuda, Canada, Hong Kong, Malaysia, Singapore, the United Kingdom and the United States. A significant portion of the Company’s cash and cash equivalents and restricted cash is maintained with a small number of banks and, accordingly, the Company is exposed to the credit risk of these counterparties in respect of the Company’s cash and cash equivalents and restricted cash. Furthermore, the deposits maintained at some of these financial institutions exceed the amount of insurance provided on the deposits. Restricted cash is excluded from cash and cash equivalents and is included in long-term assets reported within the consolidated balance sheets. The following table provides a reconciliation of cash and cash equivalents and restricted cash reported within the consolidated balance sheets that sum to the amounts shown in the consolidated statements of cash flows: 2018 2017 2016 Cash and cash equivalents $ 137,298 $ 137,894 $ 84,045 Restricted cash included in long-term assets 87,630 99,675 58,078 Cash, cash equivalents and restricted cash, end of period $ 224,928 $ 237,569 $ 142,123 |
Intangible Assets | (d) Intangible Assets Intangible assets, consisting primarily of exclusive rights to manage container fleets, are amortized over the expected life of the contracts based on forecasted income to the Company. The contract terms range from 11 to 13 years. The Company reviews its intangible assets for impairment if events and circumstances indicate that the carrying amount of the intangible assets may not be recoverable. The Company compares the carrying value of the intangible assets to expected future undiscounted cash flows for the purpose of assessing the recoverability of the recorded amounts. If the carrying amount exceeds expected undiscounted cash flows, the intangible assets shall be reduced to their fair value. |
Revenue Recognition | (e) Revenue Recognition In May 2014, the FASB issued Accounting Standards Update No. 2014-09, Revenue from Contracts with Customers (Topic 606) The Company adopted the updated revenue standards on the effective date of January 1, 2018 using the modified retrospective method. The adoption of ASU 2014-09 did not have an impact on the timing of revenue recognition or on its consolidated financial statements and related disclosures. The Company did not record a cumulative adjustment related to the adoption of ASU 2014-09. The components of the Company’s revenue as presented in the consolidated statements of comprehensive income (loss) and in Note 13 “Segment Information” are as follows: Lease Rental Income Leasing income arises principally from the renting of containers to various international shipping lines. Total fleet lease rental income, as reported in the consolidated statements of comprehensive income (loss), includes the entire rental fee collected from the lessee, including rental fees for the managed fleet as the management agreements with the owners convey to the Company the right to control the use of the managed containers. See Note 2 “Immaterial Reclassification and Adjustment of Prior Periods” and Note 5 “Revenue from Managed Container Fleet”. Revenue is recorded when earned according to the terms of the container rental contracts with customers. These contracts are typically for terms of five or more years and are generally classified as operating leases. Where minimum lease payments vary over the lease term, revenue is recognized on a straight-line basis over the term of the lease. Lease rental income comprises daily per diem rental charges due under the lease agreements, together with payments for other charges set forth in the leases, such as handling fees, drop-off charges, pick-up charges, and charges for a damage protection plan. Under long-term lease agreements, containers are usually leased from the Company for periods of five or more years. Such leases are generally cancelable with a penalty at the end of each 12-month period. Under master lease agreements, the lessee is not committed to leasing a minimum number of containers from the Company during the lease term and may generally return the containers to the Company at any time, subject to certain restrictions in the lease agreement. Under long-term lease and master lease agreements, revenue is earned and recognized evenly over the period that the equipment is on lease. Under direct financing and sales-type leases, the containers are usually leased from the Company for the remainder of the container’s useful life and ordinarily provide lessees with a right to purchase the subject containers for a nominal amount at the end of the lease term. Finance lease income is recognized using the effective interest method, which generates a constant rate of interest over the period of the lease. Gain on sale of owned fleet containers, net, also includes gains and losses recognized at the inception of sales-type leases, representing the excess of the estimated fair value of containers placed on sales-type leases over their book value. The Company’s container leases generally do not include step-rent provisions, nor do they depend on indices or rates. The Company recognizes revenue on container leases that include lease concessions in the form of free-rent periods using the straight-line method over the minimum terms of the leases. The following is a schedule, by year, of future minimum lease payments receivable under the long-term leases for all container fleet as of December 31, 2018: Owned Managed Total Year ending December 31: 2019 $ 303,624 $ 53,084 $ 356,708 2020 227,222 33,381 260,603 2021 174,630 23,280 197,910 2022 133,234 10,123 143,357 2023 and thereafter 258,822 23,465 282,287 Total future minimum lease payments receivable $ 1,097,532 $ 143,333 $ 1,240,865 Management Fee Revenue Under the Company’s management service agreements with third-party container investors or Owners, fees are earned for the acquisition and disposition of containers under management. The Company’s net acquisition fees and sales commissions, which are presented as management fees from non-leasing services in the consolidated statements of comprehensive income (loss), are generally calculated as a fixed percentage of the cost of the managed containers purchased and the proceeds from the sale of managed containers, respectively. Acquisition fees from purchases of containers for managed fleet are deferred and recognized as earned on a straight-line basis over the deemed lease term (see Note 2 “Immaterial Reclassification and Adjustment of Prior Periods”). Container Resale Revenue The Company’s trading container sales proceeds revenue arise from the resale of used containers to a wide variety of buyers. The related expenses represent the cost of trading containers sold as well as other selling costs that are recognized as incurred. The Company also generally sells containers at the end of their useful lives or when it is financially attractive to do so. The gain on sale of owned fleet containers is the excess of the sale price over the carrying value for these units at the time of sale. Revenue Allowance for Doubtful Accounts The Company maintains allowances for doubtful accounts for estimated losses resulting from the inability of its lessees to make required payments. These allowances are based on management’s current assessment of the financial condition of the Company’s lessees and their ability to make their required payments. If the financial condition of the Company’s lessees deteriorates, resulting in an impairment of their ability to make payments, additional allowances may be required. Accounts receivables are generally written off after an analysis is completed which indicates that collection of the full balance is remote. Changes in economic conditions or other events may necessitate additions or deductions to the allowance for doubtful accounts. The allowance is intended to provide for losses inherent in the owned fleet’s accounts receivable and requires the application of estimates and judgments as to the outcome of collection efforts and the realization of collateral, among other things. |
Direct Container Expenses – Owned Fleet | (f) Direct Container Expenses – Owned Fleet Direct container expense represents the operating costs arising from the containers owned by the Company and includes storage, handling, maintenance and repair, repositioning, agent, insurance expense and repair and recovery costs for problem lessees. These costs are recognized when incurred. |
Distribution to Managed Fleet Owners | ( g ) Distribution to Managed Fleet Owners Our distribution amounts to Owners for the managed fleet includes the net operating income of each Owner’s fleet, reduced by the management fees earned and retained by the Company. This amount also includes expenses related to the operation of the managed containers which are presented on a gross basis in the consolidated statements of comprehensive income (loss). Expenses related to the opeastion of the managed containers such as storage, handling, repairs, repositioning, agent, insurance expense and general and administrative expenses are recognized when incurred. |
Trading Containers and Containers Held for Resale | ( h ) Trading Containers and Containers Held for Resale The Company, through one or more of its subsidiaries, buys trading containers for resale, which are valued at the lower of cost or fair value. The cost of trading containers sold is specifically identified. In addition, containers identified as being available for sale are valued at the lower of carrying value or fair value, less cost to sell. The fair value was estimated based on recent gross sales proceeds for sales of similar containers. |
Foreign Currencies | ( i ) Foreign Currencies A functional currency is determined for each of the Company’s entities based on the currency of the primary economic environment in which the entity operates. The Company’s functional currency is the U.S. dollar, excluding its foreign subsidiaries Textainer Equipment Management (United Kingdom) Limited and Textainer Equipment Management (Singapore) Pte Ltd. Assets and liabilities denominated in a currency other than the entity’s functional currency are re-measured into its functional currency at the balance sheet date with a gain or loss recognized in current year net income. Foreign currency exchange gains or losses that arise from exchange rate changes on transactions denominated in a foreign currency are recognized in net income as incurred. Foreign currency exchange gains or losses, reported in direct container expense in the consolidated statements of comprehensive income (loss) were $(1,085), $(156), and $188 for the years ended December 31, 2018, 2017 and 2016, respectively. For consolidation purposes, the financial statements are translated into U.S. dollars using the current exchange rate for the assets and liabilities and a weighted average exchange rate for the revenues and expenses recorded during the year with any translation adjustment shown as an element of accumulated other comprehensive income (loss). |
Containers and Fixed Assets | ( j ) Containers and Fixed Assets Capitalized container costs include the container cost payable to the manufacturer and the associated transportation costs incurred in moving the Company’s owned containers from the manufacturer to the containers’ first destined port. Containers are depreciated using the straight-line method over their estimated useful lives to an estimated dollar residual value. Used containers are depreciated based upon their remaining useful lives at the date of acquisition to an estimated dollar residual value. The Company evaluates the estimated residual values and remaining estimated useful lives on a regular basis to determine whether a change in its estimates of useful lives and residual values is warranted. After the Company performed its regular depreciation policy review during the third quarter of 2018, the Company concluded that, beginning July 1, 2018, an increase in the estimated future residual value of its 40’ high cube dry containers and a decrease in the estimated future residual value of its 40’ high cube refrigerated containers, as shown in the below table of the Company’s useful lives and residual values estimates, was appropriate. Depreciation expense may fluctuate in future periods based on fluctuations in these estimates. The net effect of these changes was a decrease in depreciation expense of $132 for the year ended December 31, 2018. After the Company performed its regular depreciation policy review during the third quarter of 2017, the Company concluded that, beginning July 1, 2017, an increase in the estimated future residual value of its 20’ dry containers, 40’ dry containers and 40’ high cube dry containers, as shown in the below table of the Company’s useful lives and residual values estimates, was appropriate. Depreciation expense may fluctuate in future periods based on changes to these estimates. The net effect of these changes was a decrease in depreciation expense of $7,104 for the year ended December 31, 2017. The Company estimates the useful lives and residual values of its containers to be as follows: Effective July 1, 2018 July 1, 2017 through June 30, 2018 January 1, 2017 through June 30, 2017 Estimated Residual Estimated Residual Estimated Residual life (years) Value life (years) Value life (years) Value Dry containers other than open top and flat rack containers: 20' 13 $ 1,000 13 $ 1,000 13 $ 950 40' 14 $ 1,200 14 $ 1,200 14 $ 1,150 40' high cube 13 $ 1,400 13 $ 1,350 13 $ 1,300 45' high cube dry van 13 $ 1,500 13 $ 1,500 13 $ 1,500 Refrigerated containers: 20' 12 $ 2,750 12 $ 2,750 12 $ 2,750 20' high cube 12 $ 2,049 12 $ 2,049 12 $ 2,049 40' high cube 12 $ 4,000 12 $ 4,500 12 $ 4,500 Open top and flat rack containers: 20' folding flat rack 15 $ 1,300 15 $ 1,300 15 $ 1,300 40' folding flat rack 16 $ 1,700 16 $ 1,700 16 $ 1,700 20' open top 15 $ 1,500 15 $ 1,500 15 $ 1,500 40' open top 14 $ 2,500 14 $ 2,500 14 $ 2,500 Tank containers 20 10% of cost 20 10% of cost 20 10% of cost The cost, accumulated depreciation and net book value of the Company’s container leasing equipment by equipment type as of December 31, 2018 and 2017 were as follows: 2018 2017 Cost Accumulated Depreciation Net Book Value Cost Accumulated Depreciation Net Book Value Dry containers other than open top and flat rack containers: 20' $ 1,632,927 $ (381,929 ) $ 1,250,998 $ 1,497,557 $ (347,910 ) $ 1,149,647 40' 191,354 (69,463 ) 121,891 223,916 (75,610 ) 148,306 40' high cube 2,376,975 (540,349 ) 1,836,626 2,043,253 (476,238 ) 1,567,015 45' high cube dry van 29,305 (10,034 ) 19,271 29,010 (8,494 ) 20,516 Refrigerated containers: 20' 20,883 (6,153 ) 14,730 24,062 (5,394 ) 18,668 20' high cube 5,148 (2,714 ) 2,434 5,139 (2,327 ) 2,812 40' high cube 1,030,078 (279,661 ) 750,417 1,002,843 (229,465 ) 773,378 Open top and flat rack containers: 20' folding flat 16,641 (4,068 ) 12,573 16,595 (3,525 ) 13,070 40' folding flat 46,182 (16,052 ) 30,130 43,334 (14,394 ) 28,940 20' open top 13,152 (1,419 ) 11,733 10,837 (1,237 ) 9,600 40' open top 27,629 (5,086 ) 22,543 26,690 (4,469 ) 22,221 Tank containers 65,963 (5,293 ) 60,670 40,729 (3,292 ) 37,437 $ 5,456,237 $ (1,322,221 ) $ 4,134,016 $ 4,963,965 $ (1,172,355 ) $ 3,791,610 Fixed assets are recorded at cost and depreciated on a straight-line basis over the estimated useful lives of the assets, ranging from three to seven years. Impairment of Container Rental Equipment and Containers Held for Sale The Company reviews its containers for impairment whenever events or circumstances indicate that the carrying amount of such assets may not be recoverable. The Company compares the carrying value of the containers to the expected future undiscounted cash flows for the purpose of assessing the recoverability of the recorded amounts. If the carrying value exceeds expected future undiscounted cash flows, the assets are reduced to fair value. There was no such impairment on the Company’s leasing equipment for the years ended December 31, 2018, 2017 and 2016. In addition, containers identified as being available for sale are valued at the lower of carrying value or fair value, less costs to sell. The Company evaluates the recoverability of the recorded amounts of containers that are unlikely to be recovered from lessees in default. The Company also records impairments to write-down the value of containers held for sale to their estimated fair value less cost to sell. The fair value was estimated based on recent gross sales proceeds for sales of similar containers. When containers are retired or otherwise disposed of, the cost and related accumulated depreciation is removed, and any resulting gain or loss is recognized. Any subsequent increase in fair value less cost to sell is recognized as a reversal of container impairment but not in excess of the cumulative loss previously recognized. The Company recorded the following impairments that are included in container impairment in the consolidated statements of comprehensive income (loss) for the years ended December 31, 2018, 2017 and 2016: 2018 2017 2016 Impairment to write down the value of containers held for sale to their estimated fair value less cost to sell $ 14,872 $ 15,475 $ 66,455 Impairment on containers from a bankrupt customer in 2016 and customer that became insolvent in 2015 — — 22,961 Impairment for containers that were unlikely to be recovered from lessees in default (see Note 3 "Insurance Receivable and Impairment") 12,980 3,822 5,207 Reversal of previously recorded impairments on containers held for sale due to rising used container prices during the year (1,077 ) (11,225 ) — Container impairment $ 26,775 $ 8,072 $ 94,623 During the years ended December 31, 2018, 2017 and 2016, the Company recorded the following net gain on sale of containers, included in gain on sale of owned fleet containers, net in the consolidated statements of comprehensive income (loss): 2018 2017 2016 Units Amount Units Amount Units Amount Gain on sale of previously written down owned fleet containers, net 28,291 $ 14,563 56,862 $ 18,662 118,071 $ 9,151 Gain (loss) on sale of owned fleet containers not written down, net 79,119 21,508 55,505 7,548 20,319 (2,390 ) Gain on sale of owned fleet containers, net 107,410 $ 36,071 112,367 $ 26,210 138,390 $ 6,761 If other containers are subsequently identified as available for sale, the Company may incur additional write-downs or may incur losses on the sale of these containers if they are sold. The Company will continue to evaluate the recoverability of recorded amounts of containers and a write-down of certain containers held for continued use and/or an increase in its depreciation rate may be required in future periods for some or all containers. |
Income Taxes | ( k ) Income Taxes The Company uses the asset and liability method to account for income taxes. Deferred tax assets and liabilities are recognized for the future tax consequences attributable to differences between the financial statement carrying amounts of existing assets and liabilities and their respective tax bases and operating loss. Deferred tax assets and liabilities are measured using enacted tax rates expected to apply to taxable income in the years in which those temporary differences are expected to be recovered or settled. The effect on deferred tax assets and liabilities of a change in the tax rates is recognized in income in the period that includes the enactment date. A valuation allowance is recorded when the realization of a deferred tax asset is deemed to be unlikely. The Company also accounts for income tax positions only if those positions are more likely than not of being sustained. Recognized income tax positions are measured at the largest amount that is greater than 50% likely of being realized. Changes in the recognition or measurement are reflected in the period in which the change in judgment occurs. If there are findings in future regulatory examinations of the Company’s tax returns, those findings may result in an adjustment to income tax expense. The Company records interest and penalties related to unrecognized tax benefits in income tax expense. |
Debt Issuance Costs | ( l ) Debt Issuance Costs The Company capitalizes costs directly associated with the issuance or modification of its debt and the balance of the debt issuance costs, net of amortization, are netted against the debt recorded in the consolidated balance sheets. Debt issuance costs are amortized using the interest rate method and the straight-line method over the general terms of the related fixed principal payment debt and the related revolving debt facilities, respectively, and the amortization is recorded in the consolidated statements of comprehensive income (loss) as interest expense. In 2018, 2017 and 2016, debt issuance costs of $10,285, $27,702 and $5,969, respectively, were capitalized and amortization of debt issuance costs of $8,400, $13,201 and $9,465, respectively, were recorded in interest expense. When the Company’s debt is modified or terminated, any unamortized debt issuance costs related to a decrease in borrowing capacity with any of the Company’s lenders is immediately written-off and recorded in write-off of unamortized deferred debt issuance costs and bond discounts. In 2018, write-off of unamortized deferred debt issuance costs and bond discounts included $529 and $352 of write-offs of unamortized debt issuance costs related to the amendment of the TL Revolving Credit TMCL II’s TMCL III’s |
Concentrations | ( m ) Concentrations Although substantially all of the Company’s income from operations is derived from assets employed in foreign countries, virtually all of this income is denominated in U.S. dollars. The Company does pay some of its expenses in various foreign currencies. During 2018, 2017 and 2016, $11,141 or 19%, $15,143 or 25%, and $22,642 or 36%, respectively, of the Company’s direct container expenses – owned fleet were paid in up to 20 different foreign currencies. In accordance with its policy, the Company does not hedge these container expenses as there are no significant payments made in any one foreign currency. The Company’s customers are mainly international shipping lines, which transport goods on international trade routes. Once the containers are on-hire with a lessee, the Company does not track their location. The domicile of the lessee is not indicative of where the lessee is transporting the containers. The Company’s business risk in its foreign concentrations lies with the creditworthiness of the lessees rather than the geographic location of the containers or the domicile of the lessees. Except for the lessees noted in the tables below, no other single lessee made up greater than 10% of the Company’s lease rental income from its owned fleet during the years ended December 31, 2018, 2017 and 2016, as well, there is no other single lessee that accounted for more than 10% of the Company’s gross accounts receivable as of December 31, 2018 and 2017: Lease Rental Income - owned fleet 2018 2017 2016 Customer A 14.0 % 14.4 % 12.0 % Customer B 13.4 % 13.6 % 14.0 % Gross Accounts Receivable 2018 2017 Customer B 21.3 % 12.9 % Customer A 10.7 % 13.1 % Total fleet lease rental income, as reported in the consolidated statements of comprehensive income (loss), comprises revenue earned from leases on containers in the Company’s total fleet, including revenue earned from leases on containers in its managed fleet. Except for the lessees noted in the table below, no other single lessee accounted for more than 10% of the Company’s total fleet lease rental income in 2018, 2017 and 2016: Total Fleet Lease Rental Income 2018 2017 2016 Customer A 13.7 % 14.6 % 12.9 % Customer B 13.4 % 13.9 % 14.6 % The Company currently has containers on-hire to approximately 250 customers. The Company’s customers are mainly international shipping lines, but the Company also leases containers to freight forwarding companies and the U.S. Military. The Company’s five largest container lessees accounted for approximately 49.5%, 49.5% and 48.1% of the Company’s total fleet leasing billings in 2018, 2017 and 2016, respectively. During 2018, 2017 and 2016, revenue from the Company’s 20 largest container lessees by lease billings represented 82.8%, 80.0% and 78.9% of the Company’s total fleet container lease billings, respectively. A default by any of these major customers could have a material adverse impact on the Company’s business, results from operations and financial condition. As of December 31, 2018, and 2017, approximately 94.9% and 94.4%, respectively, of the Company’ accounts receivable for its total fleet were from container lessees and customers outside of the U.S. As of December 31, 2018 and 2017, approximately 98.4% and 98.0%, respectively, of the Company’s finance lease receivables for its total fleet were from container lessees and customers outside of the U.S. Except for the countries outside of the U.S. noted in the table below, customers in no other single country made up greater than 10% of the Company’s total fleet container lease billings during 2018, 2017 and 2016. Country 2018 2017 2016 People's Republic of China 15.0 % 14.4 % 14.1 % Taiwan 14.6 % 13.9 % 12.2 % Switzerland 14.1 % 15.1 % 13.4 % France 13.8 % 14.4 % 15.3 % Singapore 10.5 % 10.9 % 8.7 % |
Derivative Instruments | ( n ) Derivative Instruments The Company has entered into various interest rate swap, collar and cap agreements to mitigate its exposure associated with its variable rate debt. The swap agreements involve payments by the Company to counterparties at fixed rates in return for receipts based upon variable rates indexed to the London Inter Bank Offered Rate (“LIBOR”). The differentials between the fixed and variable rate payments under these agreements are recognized in realized gain (loss) on interest rate swaps, collars and caps, net in the consolidated statements of comprehensive income (loss). As of the balance sheet dates, none of the derivative instruments are designated by the Company for hedge accounting. The fair value of the derivative instruments is measured at each balance sheet date and the change in fair value is recorded in the consolidated statements of comprehensive income (loss) as unrealized (loss) gain on interest rate swaps, collars and caps, net. |
Share Options and Restricted Share Units | ( o ) Share Options and Restricted Share Units The Company estimates the fair value of all employee share options awarded under its 2015 Share Incentive Plan (the “2015 Plan”), amended and restated from the 2007 Share Incentive Plan (the “2007 Plan”) on May 21, 2015, on the grant date. The value of the portion of the award that is ultimately expected to vest is recognized as expense over the requisite service periods in the Company’s consolidated statements of comprehensive income (loss) as part of general and administrative expenses. The Company uses the Black-Scholes-Merton (“Black-Scholes”) option-pricing model to determine the estimated fair value for employee share option awards. The Company uses the fair market value of the Company’s common shares on the grant date, discounted for estimated dividends that will not be received by the employees during the vesting period, for determining the estimated fair value for employee restricted share units. Compensation expense for employee share awards is recognized on a straight-line basis over the vesting period of the award. Share-based compensation expense of $7,355, $6,083 and $6,573 was recorded during 2018, 2017 and 2016, respectively, for share options and restricted share units awarded to employees under the 2015 Plan. Share-based compensation expense of $6,746, $5,499 and $5,987 was presented as a part of general and administrative expenses, and the remaining balance was presented as a part of distribution to managed fleet owners |
Comprehensive Income | ( p ) Comprehensive Income The Company discloses the effect of its foreign currency translation adjustment as a component of other comprehensive income (loss) in the Company’s consolidated statements of comprehensive income (loss). |
Estimates | ( q ) Estimates The preparation of consolidated financial statements in conformity with accounting principles generally accepted in the United States of America requires the Company’s management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the consolidated financial statements and the reported amounts of revenues and expenses during the reporting period. The Company’s management evaluates its estimates on an ongoing basis, including those related to the container rental equipment, intangible assets, accounts receivable, income taxes and accruals. These estimates are based on historical experience and on various other assumptions that are believed to be reasonable under the circumstances, the results of which form the basis for making judgments regarding the carrying values of assets and liabilities. Actual results could differ from those estimates under different assumptions or conditions. |
Net Income (Loss) Attributable to Textainer Group Holdings Limited Common Shareholders Per Share | ( r ) Net Income (Loss) Attributable to Textainer Group Holdings Limited Common Shareholders Per Share Basic earnings per share (“EPS”) is computed by dividing net income (loss) attributable to Textainer Group Holdings Limited common shareholders by the weighted average number of shares outstanding during the applicable period. Diluted EPS reflects the potential dilution that could occur if all outstanding share options were exercised for, and all outstanding restricted share units were converted into, common shares. Potentially dilutive share options and restricted share units that were anti-dilutive under the treasury stock method were excluded from the computation of diluted EPS. A reconciliation of the numerator and denominator of basic EPS with that of diluted EPS during 2018, 2017 and 2016 is presented as follows: Share amounts in thousands 2018 2017 2016 Numerator: Net income (loss) attributable to Textainer Group Holdings Limited common shareholders $ 50,378 $ 19,365 $ (52,483 ) Denominator: Weighted average common shares outstanding-- basic 57,200 56,845 56,608 Dilutive share options and restricted share units 287 314 — Weighted average common shares outstanding-- diluted 57,487 57,159 56,608 Net income (loss) attributable to Textainer Group Holdings Limited common shareholders per common share Basic $ 0.88 $ 0.34 $ (0.93 ) Diluted $ 0.88 $ 0.34 $ (0.93 ) Anti-dilutive share options and restricted share units, excluded from the computation of diluted EPS because they were anti-dilutive 1,232 1,164 1,361 Given that the Company had a net loss attributable to Textainer Group Holdings Limited common shareholders for the year ended 2016, there was no dilutive effect of share option and restricted share units. |
Fair Value Measurements | ( s ) Fair Value Measurements The Company utilizes a fair value hierarchy that prioritizes the inputs to valuation techniques used to measure fair value into three broad levels. The following is a brief description of those levels: • Level 1: Observable inputs such as quoted prices (unadjusted) in active markets for identical assets or liabilities. • Level 2: Inputs other than quoted prices which are observable for the asset or liability, either directly or indirectly. These include quoted prices for similar assets or liabilities in active markets and quoted prices for identical or similar assets or liabilities in markets that are not active. • Level 3: Unobservable inputs that reflect the reporting entity’s own assumptions. The Company uses the exchange price notion, which is the price in an orderly transaction between market participants to sell an asset or transfer a liability in the market in which the reporting entity would transact for the asset or liability, that is, the principal or most advantageous market for the asset or liability. The transaction to sell the asset or transfer the liability is a hypothetical transaction at the measurement date, considered from the perspective of a market participant that holds the asset or owes the liability. Therefore, the definition focuses on the price that would be received to sell the asset or paid to transfer the liability (an exit price), not the price that would be paid to acquire the asset or received to assume the liability (an entry price). The following table summarizes the Company’s assets and liabilities measured at fair value on a recurring basis as of December 31, 2018 and 2017: Quoted Prices in Active Markets for Identical Assets Significant Other Observable Inputs Significant Unobservable Inputs (Level 1) (Level 2) (Level 3) December 31, 2018 Assets Interest rate swaps, collars and caps $ — $ 5,555 $ — Total $ — $ 5,555 $ — Liabilities Interest rate swaps, collars and caps $ — $ 3,639 $ — Total $ — $ 3,639 $ — December 31, 2017 Assets Interest rate swaps, collars and caps $ — $ 7,787 $ — Total $ — $ 7,787 $ — Liabilities Interest rate swaps, collars and caps $ — $ 81 $ — Total $ — $ 81 $ — The following table summarizes the Company’s assets measured at fair value on a non-recurring basis as of December 31, 2018 and 2017: Quoted Prices in Active Markets Identical Assets Significant Other Observable Inputs Significant Unobservable Inputs Years Ended December 31, 2018 and 2017 (Level 1) (Level 2) (Level 3) Total Impairments December 31, 2018 Assets Containers held for sale (1) $ — $ 10,898 $ — $ 14,872 Total $ — $ 10,898 $ — $ 14,872 December 31, 2017 Assets Containers held for sale (1) $ — $ 8,984 $ — $ 15,475 Total $ — $ 8,984 $ — $ 15,475 (1) Represents the carrying value of containers included in containers held for sale in the consolidated balance sheets that have been impaired to write down the value of the containers to their estimated fair value less cost to sell. (2) Included in container impairment in the accompanying consolidated statements of comprehensive income (loss). Fair Value of Derivative Instruments The Company measures the fair value of its interest rate swap, collar and cap agreements using observable (Level 2) market inputs. The valuation also reflects the credit standing of the Company and the counterparties to the interest rate swaps, collars and caps. The valuation technique utilized by the Company to calculate the fair value of the interest rate swaps, collars and caps is the income approach. This approach represents the present value of future cash flows based upon current market expectations. The Company’s interest rate swap, collar and cap agreements had a fair value asset and a fair value liability of $5,555 and $3,639, respectively, as of December 31, 2018 and a fair value asset and a fair value liability of $7,787 and $81, respectively, as of December 31, 2017, which are inclusive of counterparty risk. The credit valuation adjustment was determined to be $49 (which was an addition to the net fair value) and $31 (which was a reduction to the net fair value) as of December 31, 2018 and 2017, respectively. The change in fair value during 2018, 2017 and 2016 of $(5,790), $4,094 and $6,210, respectively, was recorded in the consolidated statements of comprehensive income (loss) as unrealized (loss) gain on interest rate swaps, collars and caps, net. Fair Value of Containers Held for Sale When the Company is required to write down the cost basis of its containers held for sale to fair value less cost to sell, the Company measures the fair value of its containers held for sale under a Level 2 input. The Company relies on its recent sales prices for identical or similar assets in markets, by geography, that are active. At December 31, 2018 and 2017, the carrying value of 8,409 and 7,325 containers identified for sale were net of impairment charges of $5,129 and $4,362, respectively. The net carrying value of these containers identified for sale amounted to $10,898 and $8,984 as of December 31, 2018 and 2017, respectively, and is included in containers held for sale in the consolidated balance sheets. The Company recorded impairments to write down the value of containers identified for sale to their estimated fair value less cost to sell. Subsequent additions or reductions to the fair values of these written down assets are recorded as adjustments to the carrying value of the equipment held for sale. Any subsequent increase in fair value less cost to sell is recognized as a reversal of container impairment but not in excess of the cumulative loss previously recognized. Fair Value of Other Assets and Liabilities The Company calculates the fair value of financial instruments and includes this additional information in the notes to the consolidated financial statements when the fair value is different from the book value of those financial instruments. The Company’s financial instruments include cash and cash equivalents, restricted cash, accounts receivable and payable, net investment in direct financing and sales-type leases, due from affiliates, net, container contracts payable, due to owners, net, debt and interest rate swaps, collars and caps. At December 31, 2018 and 2017, the fair value of the Company’s financial instruments approximated the related book value of such instruments except that, the fair value of net investment in direct financing and sales-type leases (including the short-term balance) was approximately $167,758 and $183,305 at December 31, 2018 and 2017, respectively, compared to book values of $167,060 and $182,624 at December 31, 2018 and 2017, respectively. The fair value of long-term debt (including current maturities) based on the borrowing rates available to the Company was approximately $3,149,755 and $2,995,190 at December 31, 2018 and 2017, respectively, compared to book values of $3,409,827 and $2,990,308 at December 31, 2018 and 2017, respectively. |
Reclassifications and Changes in Presentation | ( t ) Reclassifications and Changes in Presentation Certain prior period amounts have been reclassified to conform to the current period presentation. During the year ended December 31, 2018, the Company reclassified the amounts out of the separate line items “short-term incentive compensation expense” and “long-term incentive compensation expense” to be included within the line item “general and administrative expense” in the consolidated statements of comprehensive income (loss). For the management fees earned from non-leasing services for the managed fleet, the Company also reclassified the amounts out of the separate line item “management fees” to the separate line item “management fees – non-leasing” in the consolidated statements of comprehensive income (loss). The Company also presented a separate line item for the “trading container margin”, which is the net of “trading container sales proceeds” and “cost of trading containers sold”, in which was reclassified out of the operating expenses, in the consolidated statements of comprehensive income (loss). The changes in presentation has no impact on “net income (loss)”. Also, see Note 2 “Immaterial Reclassification and Adjustment of Prior Periods” and Note 5 “Revenue from Managed Container Fleet”). |
Recently Issued Accounting Standards and Pronouncements | ( u ) Recently Issued Accounting Standards and Pronouncements In February 2016, the FASB issued Accounting Standards Update No. 2016-02, Leases (Topic 842) (i) Right-of-use (“ROU”) asset , which is an asset that represents the lessee’s right to use, or control the use of, a specified asset for the lease term; and (ii) Lease liability , which is a lessee’s obligation to make lease payments arising from a lease, measured on a discounted basis. ASU 2016-02 is effective for fiscal years beginning after December 15, 2018, with early application permitted. ASU 2016-02 requires the use of the modified retrospective method for all periods presented, with certain practical expedients available to simplify the transition to the new standard. Under the new transition method, an entity initially applies the new leases standard at the adoption date and recognizes a cumulative effect adjustment to the opening balance of retained earnings in the period of adoption. The Company will apply the package of practical expedients to assist in implementation of ASU 2016-02, such as: • An entity may elect to apply the provisions of the new lease guidance at the effective date of January 1, 2019, without adjusting the comparative periods presented. • A lessor may elect by class of underlying asset to not separate non-lease components of a contract from the lease component to which they relate when specific criteria are met. • An entity may elect to use hindsight in determining the lease term and in assessing impairment of the entity’s right-of-use assets. • The following expedients must all be elected together: a) An entity need not reassess whether any expired or existing contracts are or contain leases; b) An entity need not reassess the lease classification for any expired or existing leases; and c) An entity need not reassess initial direct costs for any existing leases. The Company will elect the short-term lease recognition exemption whereby a lease liability and corresponding ROU asset will not be recognized when leases, at the commencement date, have a lease term 12 months or less. The Company will adopt ASU 2016-02 and its related amendments, effective January 1, 2019 and its assessment and evaluation of the impact has been completed. The adoption of ASU 2016-02 will not have a material impact on our consolidated balance sheets and current accounting processes and systems. The accounting for direct financing and sales-type leases will remain substantially unchanged upon adoption of ASU 2016-02. ASU 2016-02 also requires lessors to present all cash receipts from leases, including principal payments received from direct financing and sales-type leases, within operating activities in the consolidated cash flow statements. The Company had estimated that we will recognize right-of-use lease assets and related lease liabilities for existing operating leases where we are the lessee in the range of $12,000 to $15,000, with no impact to our consolidated income statements or consolidated cash flow statements. This estimate represents the net present value of future lease payments payable under operating lease contracts the Company had entered into as at December 31, 2018, and that have commenced or are scheduled to commence by January 1, 2019. In June 2016, the FASB issued Accounting Standards Update No. 2016-13, Financial Instruments – Credit Losses (Topic 326) In October 2018, the FASB issued Accounting Standards Update No. 2018-17, Consolidation – Targeted Improvements to Related Party Guidance for Variable Interest Entities (Topic 810) |
Nature of Business and Summar_3
Nature of Business and Summary of Significant Accounting Policies (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Summary of Shareholder's Equity Resulting from Changes in its Ownership Interest | Changes in the Company’s shareholder’s equity resulting from changes in its ownership interest in TW for the years ended December 31, 2018, 2017 and 2016 were as follows: 2018 2017 2016 Net income (loss) attributable to TGH common shareholders $ 50,378 $ 19,365 $ (52,483 ) Transfers from the noncontrolling interest: Increase in TGH’s APIC for TW capital restructuring 780 — — Changes from net income (loss) attributable to TGH common shareholders and transfers from noncontrolling interest $ 51,158 $ 19,365 $ (52,483 ) |
Schedule of Reconciliation of Cash and Cash Equivalents and Restricted Cash Reported Within the Consolidated Statements | The following table provides a reconciliation of cash and cash equivalents and restricted cash reported within the consolidated balance sheets that sum to the amounts shown in the consolidated statements of cash flows: 2018 2017 2016 Cash and cash equivalents $ 137,298 $ 137,894 $ 84,045 Restricted cash included in long-term assets 87,630 99,675 58,078 Cash, cash equivalents and restricted cash, end of period $ 224,928 $ 237,569 $ 142,123 |
Future Minimum Lease Payments Receivable Under Long-Term Leases | The following is a schedule, by year, of future minimum lease payments receivable under the long-term leases for all container fleet as of December 31, 2018: Owned Managed Total Year ending December 31: 2019 $ 303,624 $ 53,084 $ 356,708 2020 227,222 33,381 260,603 2021 174,630 23,280 197,910 2022 133,234 10,123 143,357 2023 and thereafter 258,822 23,465 282,287 Total future minimum lease payments receivable $ 1,097,532 $ 143,333 $ 1,240,865 |
Schedule of Cost, Accumulated Depreciation and Net Book Value of the Company's Leasing Equipment by Equipment Type | The Company estimates the useful lives and residual values of its containers to be as follows: Effective July 1, 2018 July 1, 2017 through June 30, 2018 January 1, 2017 through June 30, 2017 Estimated Residual Estimated Residual Estimated Residual life (years) Value life (years) Value life (years) Value Dry containers other than open top and flat rack containers: 20' 13 $ 1,000 13 $ 1,000 13 $ 950 40' 14 $ 1,200 14 $ 1,200 14 $ 1,150 40' high cube 13 $ 1,400 13 $ 1,350 13 $ 1,300 45' high cube dry van 13 $ 1,500 13 $ 1,500 13 $ 1,500 Refrigerated containers: 20' 12 $ 2,750 12 $ 2,750 12 $ 2,750 20' high cube 12 $ 2,049 12 $ 2,049 12 $ 2,049 40' high cube 12 $ 4,000 12 $ 4,500 12 $ 4,500 Open top and flat rack containers: 20' folding flat rack 15 $ 1,300 15 $ 1,300 15 $ 1,300 40' folding flat rack 16 $ 1,700 16 $ 1,700 16 $ 1,700 20' open top 15 $ 1,500 15 $ 1,500 15 $ 1,500 40' open top 14 $ 2,500 14 $ 2,500 14 $ 2,500 Tank containers 20 10% of cost 20 10% of cost 20 10% of cost The cost, accumulated depreciation and net book value of the Company’s container leasing equipment by equipment type as of December 31, 2018 and 2017 were as follows: 2018 2017 Cost Accumulated Depreciation Net Book Value Cost Accumulated Depreciation Net Book Value Dry containers other than open top and flat rack containers: 20' $ 1,632,927 $ (381,929 ) $ 1,250,998 $ 1,497,557 $ (347,910 ) $ 1,149,647 40' 191,354 (69,463 ) 121,891 223,916 (75,610 ) 148,306 40' high cube 2,376,975 (540,349 ) 1,836,626 2,043,253 (476,238 ) 1,567,015 45' high cube dry van 29,305 (10,034 ) 19,271 29,010 (8,494 ) 20,516 Refrigerated containers: 20' 20,883 (6,153 ) 14,730 24,062 (5,394 ) 18,668 20' high cube 5,148 (2,714 ) 2,434 5,139 (2,327 ) 2,812 40' high cube 1,030,078 (279,661 ) 750,417 1,002,843 (229,465 ) 773,378 Open top and flat rack containers: 20' folding flat 16,641 (4,068 ) 12,573 16,595 (3,525 ) 13,070 40' folding flat 46,182 (16,052 ) 30,130 43,334 (14,394 ) 28,940 20' open top 13,152 (1,419 ) 11,733 10,837 (1,237 ) 9,600 40' open top 27,629 (5,086 ) 22,543 26,690 (4,469 ) 22,221 Tank containers 65,963 (5,293 ) 60,670 40,729 (3,292 ) 37,437 $ 5,456,237 $ (1,322,221 ) $ 4,134,016 $ 4,963,965 $ (1,172,355 ) $ 3,791,610 |
Schedule of Container Impairment in Consolidated Statements of Comprehensive Income (Loss) | The Company recorded the following impairments that are included in container impairment in the consolidated statements of comprehensive income (loss) for the years ended December 31, 2018, 2017 and 2016: 2018 2017 2016 Impairment to write down the value of containers held for sale to their estimated fair value less cost to sell $ 14,872 $ 15,475 $ 66,455 Impairment on containers from a bankrupt customer in 2016 and customer that became insolvent in 2015 — — 22,961 Impairment for containers that were unlikely to be recovered from lessees in default (see Note 3 "Insurance Receivable and Impairment") 12,980 3,822 5,207 Reversal of previously recorded impairments on containers held for sale due to rising used container prices during the year (1,077 ) (11,225 ) — Container impairment $ 26,775 $ 8,072 $ 94,623 |
Net Gain on Sale of Owned Fleet Containers | During the years ended December 31, 2018, 2017 and 2016, the Company recorded the following net gain on sale of containers, included in gain on sale of owned fleet containers, net in the consolidated statements of comprehensive income (loss): 2018 2017 2016 Units Amount Units Amount Units Amount Gain on sale of previously written down owned fleet containers, net 28,291 $ 14,563 56,862 $ 18,662 118,071 $ 9,151 Gain (loss) on sale of owned fleet containers not written down, net 79,119 21,508 55,505 7,548 20,319 (2,390 ) Gain on sale of owned fleet containers, net 107,410 $ 36,071 112,367 $ 26,210 138,390 $ 6,761 |
Schedule of Concentration Risk of Lease Rental Income/Gross Accounts Receivable | Company’s lease rental income from its owned fleet during the years ended December 31, 2018, 2017 and 2016, as well, there is no other single lessee that accounted for more than 10% of the Company’s gross accounts receivable as of December 31, 2018 and 2017: Lease Rental Income - owned fleet 2018 2017 2016 Customer A 14.0 % 14.4 % 12.0 % Customer B 13.4 % 13.6 % 14.0 % |
Schedule of Concentration Risk of Total Fleet Lease Rental Income | Except for the lessees noted in the table below, no other single lessee accounted for more than 10% of the Company’s total fleet lease rental income in 2018, 2017 and 2016: Total Fleet Lease Rental Income 2018 2017 2016 Customer A 13.7 % 14.6 % 12.9 % Customer B 13.4 % 13.9 % 14.6 % |
Customers in Countries Outside of U.S. Made up Greater Than 10% of Total Fleet Container Lease Billings | Except for the countries outside of the U.S. noted in the table below, customers in no other single country made up greater than 10% of the Company’s total fleet container lease billings during 2018, 2017 and 2016. Country 2018 2017 2016 People's Republic of China 15.0 % 14.4 % 14.1 % Taiwan 14.6 % 13.9 % 12.2 % Switzerland 14.1 % 15.1 % 13.4 % France 13.8 % 14.4 % 15.3 % Singapore 10.5 % 10.9 % 8.7 % |
Reconciliation of Numerator and Denominator of Basic Earnings Per Share ("EPS") With That of Diluted EPS | A reconciliation of the numerator and denominator of basic EPS with that of diluted EPS during 2018, 2017 and 2016 is presented as follows: Share amounts in thousands 2018 2017 2016 Numerator: Net income (loss) attributable to Textainer Group Holdings Limited common shareholders $ 50,378 $ 19,365 $ (52,483 ) Denominator: Weighted average common shares outstanding-- basic 57,200 56,845 56,608 Dilutive share options and restricted share units 287 314 — Weighted average common shares outstanding-- diluted 57,487 57,159 56,608 Net income (loss) attributable to Textainer Group Holdings Limited common shareholders per common share Basic $ 0.88 $ 0.34 $ (0.93 ) Diluted $ 0.88 $ 0.34 $ (0.93 ) Anti-dilutive share options and restricted share units, excluded from the computation of diluted EPS because they were anti-dilutive 1,232 1,164 1,361 |
Summary of Assets and Liabilities Measured at Fair Value on Recurring Basis | The following table summarizes the Company’s assets and liabilities measured at fair value on a recurring basis as of December 31, 2018 and 2017: Quoted Prices in Active Markets for Identical Assets Significant Other Observable Inputs Significant Unobservable Inputs (Level 1) (Level 2) (Level 3) December 31, 2018 Assets Interest rate swaps, collars and caps $ — $ 5,555 $ — Total $ — $ 5,555 $ — Liabilities Interest rate swaps, collars and caps $ — $ 3,639 $ — Total $ — $ 3,639 $ — December 31, 2017 Assets Interest rate swaps, collars and caps $ — $ 7,787 $ — Total $ — $ 7,787 $ — Liabilities Interest rate swaps, collars and caps $ — $ 81 $ — Total $ — $ 81 $ — |
Summary of Assets Measured at Fair Value on Non-Recurring Basis | The following table summarizes the Company’s assets measured at fair value on a non-recurring basis as of December 31, 2018 and 2017: Quoted Prices in Active Markets Identical Assets Significant Other Observable Inputs Significant Unobservable Inputs Years Ended December 31, 2018 and 2017 (Level 1) (Level 2) (Level 3) Total Impairments December 31, 2018 Assets Containers held for sale (1) $ — $ 10,898 $ — $ 14,872 Total $ — $ 10,898 $ — $ 14,872 December 31, 2017 Assets Containers held for sale (1) $ — $ 8,984 $ — $ 15,475 Total $ — $ 8,984 $ — $ 15,475 |
Accounts Receivable | |
Schedule of Concentration Risk of Lease Rental Income/Gross Accounts Receivable | Gross Accounts Receivable 2018 2017 Customer B 21.3 % 12.9 % Customer A 10.7 % 13.1 % |
Immaterial Reclassification a_2
Immaterial Reclassification and Adjustment of Prior Periods (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Accounting Changes And Error Corrections [Abstract] | |
Summary of Reclassifications of Financial Statement Presentation in Consolidated Statements of Comprehensive Income (Loss) | The impact of the reclassification of the financial statement presentation in the consolidated statements of comprehensive income (loss) as of December 31, 2017 and 2016 are as follows: 2017 2016 As Reported Adjustment As Adjusted As Reported Adjustment As Adjusted Lease rental income - managed fleet $ - $ 104,566 $ 104,566 $ - $ 105,511 $ 105,511 Distribution to managed fleet owners $ - $ (96,718 ) $ (96,718 ) $ - $ (98,028 ) $ (98,028 ) Management fees - non-leasing $ - $ 7,146 $ 7,146 $ - $ 5,937 $ 5,937 Management fees $ 14,994 $ (14,994 ) $ - $ 13,420 $ (13,420 ) $ - |
Insurance Receivable and Impa_2
Insurance Receivable and Impairment (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Bankrupt Customer | |
Schedule of Insurance Receivable on Fleet | Insurance receivable recorded on the Company’s owned fleet related to this bankrupt customer are as follows: Estimated unrecoverable containers, net of insurance deductible $ 20,162 Recovery costs 19,159 Accounts receivable coverage by insurance 2,592 Insurance receivable related to this bankrupt customer as of December 31, 2016 41,913 Recovery costs 32,067 Insurance proceeds received (50,479 ) Reassessment associated with estimate of unrecoverable containers to actual amount of loss commensurate with the insurance claim filing (7,592 ) Insurance receivable related to this bankrupt customer as of December 31, 2017 15,909 Final insurance settlement 8,692 Recovery costs 1,450 Insurance proceeds received (14,188 ) Reassessment associated with unrecoverable containers to actual amount of loss commensurate with the insurance claim filing (2,049 ) Insurance receivable related to this bankrupt customer as of December 31, 2018 $ 9,814 |
Insolvent Customer | |
Schedule of Insurance Receivable on Fleet | Insurance receivable recorded on the Company’s owned fleet related to this insolvent customer are as follows: Insurance receivable related to this insolvent customer as of December 31, 2015 $ 11,436 Recovery costs 768 Lost lease rental income 239 Wrote off of remaining balance of insurance receivable per final insurance proceeds received (1,321 ) Insurance proceeds received (8,250 ) Insurance receivable related to this insolvent customer as of December 31, 2016 2,872 Allocation adjustment on insurance receivable per final insurance proceeds received 720 Final insurance proceeds received (3,592 ) Insurance receivable related to this insolvent customer as of December 31, 2017 $ - |
Container Purchases (Tables)
Container Purchases (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Property Plant And Equipment [Abstract] | |
Component of Containers and Fixed Assets, Net | The total purchase price, which was allocated based on the fair value of the assets and liabilities acquired, was recorded as follows and there were no intangible assets recognized related to the leases: Containers, net $ 18,453 Other net assets 1,440 Purchase price $ 19,893 |
Revenue from Managed Containe_2
Revenue from Managed Container Fleet (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Revenue From Contract With Customer [Abstract] | |
Summary of Total Lease Management Fee Income from Managed Fleet, Including Management Fees Earned from Acquisition Fees and Sales Commissions | Total lease management fee income from managed fleet, including management fees earned from acquisition fees and sales commissions during 2018, 2017 and 2016 were as follows (also, see Note 6 “Transactions with Affiliates and Owners”): 2018 2017 2016 Lease rental income - managed fleet $ 111,342 $ 104,566 $ 105,511 Less: Distribution to managed fleet owners (102,992 ) (96,718 ) (98,028 ) Management fees from leasing 8,350 7,848 7,483 Management fees from other services 8,529 7,146 5,937 Total management fees $ 16,879 $ 14,994 $ 13,420 |
Transactions with Affiliates _2
Transactions with Affiliates and Owners (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Related Party Transactions [Abstract] | |
Total Fees Earned from Management of the Containers, Including Acquisition Fees and Sales Commissions | Total fees earned from management of the containers, including acquisition fees and sales commissions during 2018, 2017 and 2016 were as follows: 2018 2017 2016 Fees from affiliated Owner $ 3,575 $ 2,994 $ 2,994 Fees from unaffiliated Owners 11,334 10,073 8,556 Fees from Owners 14,909 13,067 11,550 Other fees 1,970 1,927 1,870 Total management fees $ 16,879 $ 14,994 $ 13,420 |
Due to Owners, Net | Due to owners, net at December 31, 2018 and 2017 consisted of the following: 2018 2017 Affiliated Owner $ 100 $ 1,409 Unaffiliated Owners 8,222 9,722 Total due to Owners, net $ 8,322 $ 11,131 |
Direct Financing and Sales-ty_2
Direct Financing and Sales-type Leases (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Leases [Abstract] | |
Components of Net Investment in Direct Financing and Sales-Type Leases Reported in Container Ownership Segment | The components of the net investment in direct financing and sales-type leases, which are reported in the Company’s Container Ownership segment as of December 31, 2018 and 2017 were as follows: 2018 2017 Future minimum lease payments receivable $ 196,041 $ 204,451 Residual value of containers 11,393 4,885 Less unearned income (40,374 ) (26,712 ) Net investment in direct financing and sales-type leases $ 167,060 $ 182,624 Amounts due within one year $ 39,270 $ 56,959 Amounts due beyond one year 127,790 125,665 Net investment in direct financing and sales-type leases $ 167,060 $ 182,624 |
Net Investment in Direct Finance Leases and Sales-Type Leases | If the aging of current billings for the Company’s direct financing and sales-type leases included in accounts receivable, net was applied to the related balances of the unbilled future minimum lease payments receivable component of the Company’s net investment in direct financing and sales-type leases as of December 31, 2018, the aging would be as follows: 1-30 days past due $ 963 31-60 days past due 138 61-90 days past due 377 Greater than 90 days past due 181 Total past due 1,659 Current 194,382 Total future minimum lease payments $ 196,041 |
Changes in the Carrying Amount of the Allowance for Doubtful Accounts | The changes in the carrying amount of the allowance for doubtful accounts related to billed amounts under direct financing and sales-type leases and included in accounts receivable, net, during the years ended December 31, 2018 and 2017 are as follows: Balance as of December 31, 2016 $ 9,561 Additions charged to expense 525 Write-offs (9,839 ) Balance as of December 31, 2017 247 Additions charged to expense 634 Write-offs (179 ) Balance as of December 31, 2018 $ 702 |
Future Minimum Lease Payments Receivable Under Direct Financing and Sales-type Leases | The following is a schedule by year of future minimum lease payments receivable under these direct financing and sales-type leases as of December 31, 2018: Year ending December 31: 2019 $ 49,055 2020 36,715 2021 42,291 2022 18,687 2023 and thereafter 49,293 Total future minimum lease payments receivable $ 196,041 |
Containers and Fixed Assets (Ta
Containers and Fixed Assets (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Component of Containers and Fixed Assets, Net | The total purchase price, which was allocated based on the fair value of the assets and liabilities acquired, was recorded as follows and there were no intangible assets recognized related to the leases: Containers, net $ 18,453 Other net assets 1,440 Purchase price $ 19,893 |
Containers | |
Component of Containers and Fixed Assets, Net | Containers, net at December 31, 2018 and 2017 consisted of the following: 2018 2017 Containers $ 5,456,237 $ 4,963,965 Less accumulated depreciation (1,322,221 ) (1,172,355 ) Containers, net $ 4,134,016 $ 3,791,610 |
Fixed Assets | |
Component of Containers and Fixed Assets, Net | Fixed assets, net at December 31, 2018 and 2017 consisted of the following: 2018 2017 Computer equipment and software $ 10,235 $ 9,563 Office furniture and equipment 1,429 1,428 Automobiles 34 36 Leasehold improvements 1,893 1,912 13,591 12,939 Less accumulated depreciation (11,525 ) (10,788 ) Fixed assets, net $ 2,066 $ 2,151 |
Intangible Assets (Tables)
Intangible Assets (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Goodwill And Intangible Assets Disclosure [Abstract] | |
Changes in Carrying Amount of Intangible Assets | The changes in the carrying amount of intangible assets during the years ended December 31, 2018, 2017 and 2016 are as follows: Balance as of December 31, 2015 $ 20,250 Amortization expense (5,053 ) Balance as of December 31, 2016 15,197 Amortization expense (3,922 ) Write-off from the relinquishment of management rights (170 ) Balance as of December 31, 2017 11,105 Amortization expense (2,886 ) Write-off from the relinquishment of management rights (835 ) Balance as of December 31, 2018 $ 7,384 |
Schedule of Future Amortization of Intangible Assets | The following is a schedule, by year, of future amortization of intangible assets as of December 31, 2018: Year ending December 31: 2019 3,617 2020 3,767 Total future amortization of intangible assets $ 7,384 |
Accrued Expenses (Tables)
Accrued Expenses (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Payables And Accruals [Abstract] | |
Accrued Expenses | Accrued expenses at December 31, 2018 and 2017 consisted of the following: 2018 2017 (1) Accrued compensation $ 5,585 $ 5,025 Direct container expense 5,501 4,521 Deferred revenue 4,245 4,245 Interest payable 3,810 3,157 Other 882 662 Total accrued expenses $ 20,023 $ 17,610 (1) Certain amount as of December 31, 2017 has been adjusted to defer acquisition fees of the managed fleet as earned over the deemed lease term (see Note 2 “Immaterial Reclassification and Adjustment of Prior Periods”). |
Income Taxes (Tables)
Income Taxes (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Income Tax Disclosure [Abstract] | |
Component of Income Tax Expense (Benefit) | The Company estimates its tax liability based upon its understanding of the tax laws of the various countries in which it operates. Income tax expense (benefit) for 2018, 2017 and 2016 consisted of the following: 2018 2017 2016 Current Bermuda $ — $ — $ — Foreign 1,407 2,142 930 1,407 2,142 930 Deferred Bermuda — — — Foreign 618 (524 ) (4,377 ) 618 (524 ) (4,377 ) $ 2,025 $ 1,618 $ (3,447 ) |
Components of Income (Loss) Before Income Taxes and Noncontrolling Interest | The components of income (loss) before income taxes and noncontrolling interest were as follows: 2018 2017 2016 Bermuda sources $ — $ — $ — Foreign sources 56,275 22,360 (61,323 ) $ 56,275 $ 22,360 $ (61,323 ) |
Reconciliation of Differences between Bermuda Statutory Income Tax Rate and Effective Tax Rate | A reconciliation of the differences between the Bermuda statutory income tax rate and the effective tax rate as provided in the consolidated statements of comprehensive income (loss) is as follows: 2018 2017 2016 Bermuda tax rate $ — 0.00 % $ — 0.00 % $ — 0.00 % Foreign tax rate 142 (0.24 )% 1,297 (5.80 )% 5,339 8.80 % Tax uncertainties (2,167 ) 3.84 % (2,915 ) 13.04 % (1,892 ) (3.18 )% $ (2,025 ) 3.60 % $ (1,618 ) 7.24 % $ 3,447 5.62 % |
Significant Portions of Deferred Tax Assets and Deferred Tax Liabilities | The tax effects of temporary differences that give rise to significant portions of the deferred tax assets and deferred tax liabilities at December 31, 2018 and 2017 are presented below: 2018 2017 Deferred tax assets Net operating loss carryforwards $ 19,616 $ 19,209 Other 2,173 1,557 21,789 20,766 Valuation allowance (net operating loss) (992 ) (1,138 ) Deferred tax assets 20,797 19,628 Deferred tax liabilities Containers, net 25,039 23,275 Other 710 671 Deferred tax liabilities 25,749 23,946 Net deferred tax liabilities $ 4,952 $ 4,318 |
Reconciliation of Beginning and Ending Unrecognized Tax Benefit Amount | A reconciliation of the beginning and ending unrecognized tax benefit amounts for 2018 and 2017 are as follows: Balance at December 31, 2016 $ 13,331 Increases related to prior year tax positions 100 Decreases related to prior year tax positions (12 ) Increases related to current year tax positions 3,642 Lapse of statute of limitations (911 ) Balance at December 31, 2017 16,150 Increases related to prior year tax positions 4 Decreases related to prior year tax positions (2 ) Increases related to current year tax positions 3,131 Lapse of statute of limitations (1,138 ) Balance at December 31, 2018 $ 18,145 |
Debt and Derivative Instrumen_2
Debt and Derivative Instruments (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Debt Disclosure [Abstract] | |
Debt Obligation | The following represents the Company’s debt obligations as of December 31, 2018 and 2017: Secured Debt Facilities, Revolving Credit Facilities, Term Loan and Bonds Payable 2018 2017 Outstanding Average Interest Outstanding Average Interest Final Maturity TMCL II Secured Debt Facility (1) $ 654,485 4.36 % $ 659,714 3.38 % August 2024 TMCL IV Secured Debt Facility — — 132,885 4.00 % — TL Revolving Credit Facility 1,272,074 4.00 % 568,403 3.56 % September 2023 TL Revolving Credit Facility II — — 150,906 3.55 % — TW Credit Facility — — 97,148 3.38 % — TAP Funding Revolving Credit Facility 171,937 4.41 % 163,276 3.43 % December 2021 TL Term Loan — — 352,555 3.69 % — TMCL VI Term Loan 276,210 4.30 % — — February 2038 2017-1 Bonds 353,884 3.91 % 390,013 3.91 % May 2042 2017-2 Bonds 435,838 3.73 % 475,408 3.73 % June 2042 2018-1 Bonds 245,399 4.14 % — — July 2043 Total debt obligations $ 3,409,827 $ 2,990,308 Amount due within one year $ 191,689 $ 233,681 Amounts due beyond one year $ 3,218,138 $ 2,756,627 (1) Final maturity of the TMCL II Secured Debt Facility is based on the assumption that the facility will not be extended on its scheduled conversion date. |
Future Scheduled Repayments | The following is a schedule of future scheduled repayments, by year, and borrowing capacities, as of December 31, 2018: Twelve months ending December 31, Available borrowing, as limited by the Current and 2019 2020 2021 2022 2023 and thereafter Total Borrowing Borrowing Base Available Borrowing TMCL II Secured Debt Facility (1) $ 60,160 $ 60,484 $ 55,549 $ 55,549 $ 425,895 $ 657,637 $ — $ 657,637 TL Revolving Credit Facility — — — — 1,280,000 1,280,000 136,637 1,416,637 TAP Funding Revolving Credit Facility 13,813 16,752 142,435 — — 173,000 2,798 175,798 TMCL VI Term Loan 25,500 25,500 25,500 25,500 176,724 278,724 — 278,724 2017-1 Bonds 38,331 39,357 52,173 63,220 164,129 357,210 — 357,210 2017-2 Bonds (2) 40,968 43,958 55,259 67,021 232,709 439,915 — 439,915 2018-1 Bonds (2) 18,655 18,655 18,655 18,655 176,707 251,327 — 251,327 Total (3) $ 197,427 $ 204,706 $ 349,571 $ 229,945 $ 2,456,164 $ 3,437,813 $ 139,435 $ 3,577,248 (1) Future scheduled payments for the TMCL II Secured Debt Facility is based on the assumption that the facility will not be extended on its associated conversion date. ( 2 ) Future scheduled payments for the 2017-2 Bonds and 2018-1 Bonds exclude an unamortized discount of $60 and $2,888, respectively. ( 3 ) Future scheduled payments for all debts exclude unamortized prepaid debt issuance costs in an aggregate amount of $25,038. |
Summary of Derivative Instruments | The following is a summary of the Company’s derivative instruments as of December 31, 2018: Notional Derivative instruments amount Interest rate swap contracts with several banks, with fixed rates between 0.70% and 2.94% per annum, amortizing notional amounts, with termination dates through Jan 15, 2023 $ 987,967 Interest rate cap contracts with several banks with fixed rates between 3.70% and 5.10% per annum, nonamortizing notional amounts, with termination dates through August 15, 2021 240,000 Total notional amount as of December 31, 2018 $ 1,227,967 |
Segment Information (Tables)
Segment Information (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Segment Reporting [Abstract] | |
Segment Information Reconciled to Income before Tax and Noncontrolling Interest | The following tables show segment information for 2018, 2017 and 2016, reconciled to the Company’s income before income tax and noncontrolling interests as shown in its consolidated statements of comprehensive income (loss): Container Container Container 2018 Ownership Management Resale Other Eliminations Totals Lease rental income - owned fleet $ 498,414 $ 2,948 $ — $ — $ — $ 501,362 Lease rental income - managed fleet — 111,342 — — — 111,342 Lease rental income $ 498,414 $ 114,290 $ — $ — $ — $ 612,704 Management fees - non-leasing from external customers $ 235 $ 2,752 $ 5,542 $ — $ — $ 8,529 Inter-segment management fees $ — $ 48,646 $ 12,132 $ — $ (60,778 ) $ — Trading container margin $ — $ — $ 3,450 $ — $ — $ 3,450 Gain on sale of owned fleet containers, net $ 36,071 $ — $ — $ — $ — $ 36,071 Depreciation expense $ 241,647 $ 794 $ — $ — $ (6,736 ) $ 235,705 Container impairment $ 26,775 $ — $ — $ — $ — $ 26,775 Interest expense $ 138,427 $ — $ — $ — $ — $ 138,427 Write-off of unamortized deferred debt issuance costs $ 881 $ — $ — $ — $ — $ 881 Realized gain on interest rate swaps, collars and caps, net $ 5,238 $ — $ — $ — $ — $ 5,238 Unrealized loss on interest rate swaps, collars and caps, net $ 5,790 $ — $ — $ — $ — $ 5,790 Segment income (loss) before income tax and noncontrolling interests $ 26,166 $ 20,322 $ 16,128 $ (4,083 ) $ (2,258 ) $ 56,275 Total assets $ 4,648,938 $ 128,328 $ 45,110 $ 10,653 $ (88,733 ) $ 4,744,296 Purchases of long-lived assets $ 765,297 $ 709 $ — $ — $ — $ 766,006 Container Container Container 2017 Ownership Management Resale Other Eliminations Totals Lease rental income - owned fleet $ 442,219 $ 2,669 $ — $ — $ — $ 444,888 Lease rental income - managed fleet — 104,566 — — — 104,566 Lease rental income $ 442,219 $ 107,235 $ — $ — $ — $ 549,454 Management fees (non-leasing) from external customers $ 266 $ 2,105 $ 4,775 $ — $ — $ 7,146 Inter-segment management fees $ — $ 39,529 $ 9,477 $ — $ (49,006 ) $ — Trading container margin $ — $ — $ 1,456 $ — $ — $ 1,456 Gain on sale of owned fleet containers, net $ 26,210 $ — $ — $ — $ — $ 26,210 Depreciation expense $ 236,577 $ 776 $ — $ — $ (6,310 ) $ 231,043 Container impairment $ 8,072 $ — $ — $ — $ — $ 8,072 Interest expense $ 117,475 $ — $ — $ — $ — $ 117,475 Write-off of unamortized deferred debt issuance costs and bond discounts $ 7,550 $ — $ — $ — $ — $ 7,550 Realized loss on interest rate swaps, collars and caps, net $ 1,191 $ — $ — $ — $ — $ 1,191 Unrealized gain on interest rate swaps, collars and caps, net $ 4,094 $ — $ — $ — $ — $ 4,094 Segment (loss) income before income tax and noncontrolling interests $ (1,707 ) $ 15,376 $ 10,854 $ (3,568 ) $ 1,405 $ 22,360 Total assets $ 4,316,272 $ 139,989 $ 10,873 $ 6,859 $ (93,651 ) $ 4,380,342 Purchases of long-lived assets $ 418,288 $ 934 $ — $ — $ — $ 419,222 Container Container Container 2016 Ownership Management Resale Other Eliminations Totals Lease rental income - owned fleet $ 458,246 $ 2,181 $ — $ — $ — $ 460,427 Lease rental income - managed fleet — 105,511 — — — 105,511 Lease rental income $ 458,246 $ 107,692 $ — $ — $ — $ 565,938 Management fees (non-leasing) from external customers $ 291 $ 2,593 $ 3,053 $ — $ — $ 5,937 Inter-segment management fees $ — $ 38,080 $ 8,493 $ — $ (46,573 ) $ — Trading container margin $ — $ — $ (276 ) $ — $ — $ (276 ) Gain on sale of owned fleet containers, net $ 6,761 $ — $ — $ — $ — $ 6,761 Depreciation expense $ 241,498 $ 876 $ — $ — $ (6,230 ) $ 236,144 Container impairment $ 94,623 $ — $ — $ — $ — $ 94,623 Interest expense $ 85,215 $ — $ — $ — $ — $ 85,215 Realized loss on interest rate swaps, collars and caps, net $ 8,928 $ — $ — $ — $ — $ 8,928 Unrealized gain on interest rate swaps, collars and caps, net $ 6,210 $ — $ — $ — $ — $ 6,210 Segment (loss) income before income tax and noncontrolling interests $ (84,252 ) $ 18,134 $ 6,178 $ (3,016 ) $ 1,633 $ (61,323 ) Total assets $ 4,261,296 $ 89,905 $ 6,010 $ 4,900 $ (68,085 ) $ 4,294,026 Purchases of long-lived assets $ 474,956 $ 1,206 $ — $ — $ — $ 476,162 |
Segment Information Geographic Allocation of Lease Rental Income and Management Fees | The following table represents the geographic allocation of total fleet lease rental income and management fees from non-leasing services during the years ended December 31, 2018, 2017 and 2016 based on customers’ and container owners’ primary domicile: Years ended December 31, 2018 Percent of Total 2017 Percent of Total 2016 Percent of Total Lease rental income: Asia $ 319,286 52.1 % $ 280,331 51.0 % $ 297,822 52.6 % Europe 255,753 41.7 % 232,888 42.4 % 232,538 41.1 % North / South America 34,053 5.6 % 30,480 5.5 % 27,483 4.9 % Bermuda — 0.0 % — 0.0 % — 0.0 % All other international 3,612 0.6 % 5,755 1.1 % 8,095 1.4 % $ 612,704 100.0 % $ 549,454 100.0 % $ 565,938 100.0 % Management fees - non-leasing: Bermuda $ 4,418 51.8 % $ 3,100 43.4 % $ 3,320 55.9 % Europe 2,089 24.5 % 2,097 29.3 % 660 11.1 % North / South America 1,970 23.1 % 1,928 27.0 % 1,911 32.2 % Asia 7 0.1 % 4 0.1 % 18 0.3 % All other international 45 0.5 % 17 0.2 % 28 0.5 % $ 8,529 100.0 % $ 7,146 100.0 % $ 5,937 100.0 % |
Segment Information Geographic Allocation of Trading Container Sales Proceeds and Gains on Sale of Owned Fleet Containers Net | The following table represents the geographic allocation of trading container sales proceeds and gain on sale of owned fleet containers, net during the years ended December 31, 2018, 2017 and 2016 based on the location of sale: Years ended December 31, 2018 Percent of Total 2017 Percent of Total 2016 Percent of Total Trading container sales proceeds: Asia $ 13,117 67.0 % $ 3,349 70.4 % $ 11,647 74.5 % Europe 3,487 17.8 % 593 12.5 % 1,033 6.6 % North / South America 2,893 14.8 % 816 17.2 % 2,948 18.9 % Bermuda — 0.0 % — 0.0 % — 0.0 % All other international 71 0.4 % — 0.0 % — 0.0 % $ 19,568 100.0 % $ 4,758 100.0 % $ 15,628 100.0 % Gain on sale of owned fleet containers, net: Asia $ 18,593 51.5 % $ 18,321 69.9 % $ 6,015 89.0 % Europe 9,622 26.7 % 2,994 11.4 % 1,576 23.3 % North / South America 7,043 19.5 % 5,002 19.1 % 1,855 27.4 % Bermuda — 0.0 % — 0.0 % — 0.0 % All other international 813 2.3 % (107 ) (0.4 )% (2,685 ) (39.7 )% $ 36,071 100.0 % $ 26,210 100.0 % $ 6,761 100.0 % |
Commitments and Contingencies (
Commitments and Contingencies (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Commitments And Contingencies Disclosure [Abstract] | |
Minimum Lease Payment under Noncancelable Operating Leases | Future minimum lease payment obligations under the Company’s noncancelable operating leases at December 31, 2018 were as follows: Operating leasing Year ending December 31: 2019 $ 2,186 2020 2,152 2021 2,071 2022 1,936 2023 and thereafter 9,276 Total $ 17,621 |
Summary of Restricted Cash | Restricted cash at December 31, 2018 and 2017 consisted of the following: 2018 2017 Trust accounts $ 10,139 $ 14,015 Other restricted cash accounts 77,491 75,660 TL maintained cash balance, required under TL's credit facilities — 10,000 Total restricted cash $ 87,630 $ 99,675 |
Share Option and Restricted S_2
Share Option and Restricted Share Unit Plans (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Disclosure Of Compensation Related Costs Sharebased Payments [Abstract] | |
Summary of Activity in the Company's 2015 Plan | The following is a summary of activity in the Company’s 2015 Plan for the years ended December 31, 2018, 2017, and 2016: Share options (common share equivalents) Weighted average exercise price Balances, December 31, 2015 1,159,346 $ 26.62 Options granted during the period 341,532 $ 9.77 Options exercised during the period — $ — Options expired during the period (38,317 ) $ 31.33 Options forfeited during the period (30,748 ) $ 29.97 Balances, December 31, 2016 1,431,813 $ 22.41 Options granted during the period 246,722 $ 22.75 Options exercised during the period (65,468 ) $ 14.67 Options expired during the period (45,638 ) $ 25.55 Options forfeited during the period (42,752 ) $ 16.04 Balances, December 31, 2017 1,524,677 $ 22.88 Options granted during the period 241,500 $ 11.15 Options exercised during the period (15,259 ) $ 8.49 Options expired during the period (9,552 ) $ 25.77 Options forfeited during the period (37,458 ) $ 17.61 Balances, December 31, 2018 1,703,908 $ 21.44 Options exercisable at December 31, 2018 1,094,812 $ 25.45 Options vested and expected to vest at December 31, 2018 1,655,740 $ 21.65 Restricted share units Weighted average grant date fair value Balances, December 31, 2015 617,523 $ 21.70 Share units granted during the period 361,152 $ 9.81 Share units vested during the period (254,024 ) $ 24.26 Share units forfeited during the period (30,748 ) $ 25.93 Balances, December 31, 2016 693,903 $ 14.72 Share units granted during the period 289,800 $ 20.82 Share units vested during the period (244,633 ) $ 18.33 Share units forfeited during the period (46,022 ) $ 14.24 Balances, December 31, 2017 693,048 $ 16.03 Share units granted during the period 274,845 $ 11.92 Share units vested during the period (289,685 ) $ 16.15 Share units forfeited during the period (37,458 ) $ 17.27 Balances, December 31, 2018 640,750 $ 14.20 Share units outstanding and expected to vest at December 31, 2018 591,681 $ 14.20 |
Summary of Information About Share Options Exercisable and Outstanding | The following table summarizes information about share options exercisable and outstanding at December 31, 2018: Share options exercisable Share options outstanding Number of shares Weighted average exercise Number of shares Weighted average exercise Range of per-share exercise prices: $9.70 145,290 $ 9.70 288,493 $ 9.70 $9.75 938 $ 9.75 3,750 $ 9.75 $11.15 — $ — 241,500 $ 11.15 $12.23 5,000 $ 12.23 10,000 $ 12.23 $14.17 159,500 $ 14.17 213,136 $ 14.17 $ 16.97 47,410 $ 16.97 47,410 $ 16.97 $22.95 60,018 $ 22.95 222,838 $ 22.95 $27.68 - $28.26 207,882 $ 28.12 208,007 $ 28.12 $28.54 - $31.34 113,665 $ 28.79 113,665 $ 28.79 $34.14 - $38.36 355,109 $ 36.13 355,109 $ 36.13 1,094,812 $ 25.45 1,703,908 $ 21.44 |
Fair Value of Stock Option Granted Assumptions Used | The fair value of each share option granted under the 2015 Plan was estimated on the date of grant using the Black-Scholes option pricing model for the years ended December 31, 2018, 2017 and 2016 with the following assumptions: 2018 2017 2016 Risk-free interest rates 2.9 % 2.2 % 1.9 % Expected terms (in years) 5.5 5.4 5.2 Expected common share price volatilities 49.8 % 47.4 % 43.7 % Expected dividends 0.0 % 0.0 % 0.0 % Expected forfeitures 4.3 % 5.9 % 5.3 % |
Nature of Business and Summar_4
Nature of Business and Summary of Significant Accounting Policies - Additional Information (Detail) | Dec. 20, 2012PersonVotingRight | Nov. 30, 2018USD ($) | Oct. 31, 2018USD ($) | Dec. 31, 2018USD ($)PropertyLesseeLeaseCustomer | Dec. 31, 2017USD ($)PropertyLesseeLeaseCustomer | Dec. 31, 2016USD ($)LesseeCustomer | Sep. 30, 2018Person |
Description Of Business And Summary Of Significant Accounting Policies [Line Items] | |||||||
Increase in additional paid-in capital | $ 780,000 | ||||||
Noncontrolling interest | 29,178,000 | $ 57,740,000 | |||||
Foreign currency exchange gains (losses) | (1,085,000) | (156,000) | $ 188,000 | ||||
Decrease in depreciation expense | 132,000 | ||||||
Decrease in depreciation expense | 7,104,000 | ||||||
Container impairment | $ 26,775,000 | 8,072,000 | 94,623,000 | ||||
Minimum likelihood of tax benefits being recognized | 50.00% | ||||||
Debt issuance cost | $ 10,285,000 | 27,702,000 | 5,969,000 | ||||
Amortization of debt issuance costs | 8,400,000 | 13,201,000 | 9,465,000 | ||||
Write off of unamortized debt issuance cost | 84,000 | 0 | |||||
Direct container expenses paid in various foreign currencies | $ 11,141,000 | $ 15,143,000 | $ 22,642,000 | ||||
Percentage of direct container expenses paid in various foreign currencies | 19.00% | 25.00% | 36.00% | ||||
Share-based compensation expense | $ 7,355,000 | $ 6,083,000 | $ 6,573,000 | ||||
Fair value of liability | 3,639,000 | 81,000 | |||||
Fair value of asset | 5,555,000 | 7,787,000 | |||||
Addition to net fair value | 49,000 | ||||||
Reduction to net fair value | 31,000 | ||||||
Unrealized (loss) gain on interest rate swaps, collars and caps, net | (5,790,000) | 4,094,000 | 6,210,000 | ||||
Containers held for sale | 21,874,000 | 22,089,000 | |||||
Fair value of net investment in direct financing and sales-type leases | 167,758,000 | 183,305,000 | |||||
Net investment in direct financing and sales-type leases | 167,060,000 | 182,624,000 | |||||
Fair value of long-term debt | 3,149,755,000 | 2,995,190,000 | |||||
Long-term debt | 3,409,827,000 | 2,990,308,000 | |||||
Stock Options And Restricted Stock Units | Stock Incentive Plan 2007 | |||||||
Description Of Business And Summary Of Significant Accounting Policies [Line Items] | |||||||
Share-based compensation expense | 7,355,000 | 6,083,000 | 6,573,000 | ||||
General and Administrative Expenses | |||||||
Description Of Business And Summary Of Significant Accounting Policies [Line Items] | |||||||
Share-based compensation expense | $ 6,746,000 | $ 5,499,000 | $ 5,987,000 | ||||
Lease Rental Income | Customer Concentration Risk | |||||||
Description Of Business And Summary Of Significant Accounting Policies [Line Items] | |||||||
Number of lessees who made greater than 10% of lease rental | Lessee | 0 | 0 | 0 | ||||
Accounts Receivable | Customer Concentration Risk | |||||||
Description Of Business And Summary Of Significant Accounting Policies [Line Items] | |||||||
Number of lessees that accounted for more than 10% of gross accounts receivable | Lease | 0 | 0 | |||||
Total Fleet Lease Rental Income | |||||||
Description Of Business And Summary Of Significant Accounting Policies [Line Items] | |||||||
Number of customers having containers on-hire | Customer | 250 | ||||||
Number of customer accounted for over 10% of lease rental income | Customer | 0 | 0 | 0 | ||||
Total Fleet Lease Rental Income | Non United States Customers | |||||||
Description Of Business And Summary Of Significant Accounting Policies [Line Items] | |||||||
Percentage of company's accounts receivable | 94.90% | 94.40% | |||||
Percentage of company's finance lease receivable | 98.40% | 98.00% | |||||
Total Fleet Lease Rental Income | Customer Concentration Risk | Five Largest Customers | |||||||
Description Of Business And Summary Of Significant Accounting Policies [Line Items] | |||||||
Percentage of lease rental income | 49.50% | 49.50% | 48.10% | ||||
Total Fleet Lease Rental Income | Customer Concentration Risk | Twenty Five Largest Container Lessees | |||||||
Description Of Business And Summary Of Significant Accounting Policies [Line Items] | |||||||
Percentage of lease rental income | 82.80% | 80.00% | 78.90% | ||||
TL Revolving Credit Facility | |||||||
Description Of Business And Summary Of Significant Accounting Policies [Line Items] | |||||||
Repayments of debt | $ 122,910,000 | ||||||
Write off of unamortized debt issuance cost | 529,000 | ||||||
TMCL II Secured Debt Facility Amendment | |||||||
Description Of Business And Summary Of Significant Accounting Policies [Line Items] | |||||||
Write off of unamortized debt issuance cost | $ 238,000 | ||||||
TMCL II Secured Debt Facility | |||||||
Description Of Business And Summary Of Significant Accounting Policies [Line Items] | |||||||
Repayments of debt | 159,480,000 | ||||||
Write off of unamortized debt issuance cost | 6,516,000 | ||||||
TL Term Loan | |||||||
Description Of Business And Summary Of Significant Accounting Policies [Line Items] | |||||||
Write off of unamortized debt issuance cost | 352,000 | ||||||
Containers | |||||||
Description Of Business And Summary Of Significant Accounting Policies [Line Items] | |||||||
Container impairment | 0 | 0 | $ 0 | ||||
Containers Held for Sale | |||||||
Description Of Business And Summary Of Significant Accounting Policies [Line Items] | |||||||
Container impairment | $ 5,129,000 | $ 4,362,000 | |||||
Number of container held for sale | Property | 8,409 | 7,325 | |||||
Containers held for sale | $ 10,898,000 | $ 8,984,000 | |||||
TL | |||||||
Description Of Business And Summary Of Significant Accounting Policies [Line Items] | |||||||
Ownership percentage in TW Container Leasing, Ltd. | 50.10% | 25.00% | |||||
Number of board of directors seats | Person | 2 | 2 | |||||
Common stock, voting rights | VotingRight | 2 | ||||||
Tap Funding Limited | |||||||
Description Of Business And Summary Of Significant Accounting Policies [Line Items] | |||||||
Ownership percentage in TW Container Leasing, Ltd. | 49.90% | ||||||
Number of board of directors seats | Person | 1 | ||||||
Common stock, voting rights | VotingRight | 1 | ||||||
Addition to equity carrying value as percentage ownership interest to derive purchase price | 6.00% | ||||||
TW Container Leasing Limited | |||||||
Description Of Business And Summary Of Significant Accounting Policies [Line Items] | |||||||
Capital restructuring effective date | Oct. 1, 2018 | ||||||
Reduction in noncontrolling interest | $ 30,438,000 | ||||||
Increase in additional paid-in capital | 780,000 | ||||||
TW Container Leasing Limited | Credit Facility | |||||||
Description Of Business And Summary Of Significant Accounting Policies [Line Items] | |||||||
Repayments of debt | $ 65,269 | ||||||
TW Container Leasing Limited | TL | |||||||
Description Of Business And Summary Of Significant Accounting Policies [Line Items] | |||||||
Percentage of total common shares purchased | 75.00% | ||||||
Cash consideration | $ 29,658,000 | ||||||
WFC | |||||||
Description Of Business And Summary Of Significant Accounting Policies [Line Items] | |||||||
Ownership percentage in TW Container Leasing, Ltd. | 75.00% | ||||||
Number of board of directors seats | Person | 6 | ||||||
TW | |||||||
Description Of Business And Summary Of Significant Accounting Policies [Line Items] | |||||||
Noncontrolling interest | $ 0 | ||||||
Maximum | |||||||
Description Of Business And Summary Of Significant Accounting Policies [Line Items] | |||||||
Cash and cash equivalents, original maturity period | 3 months | ||||||
Intangible assets, contract terms | 13 years | ||||||
Estimated useful lives | 7 years | ||||||
Term of contract | 12 months | ||||||
Right-of-use lease assets | $ 15,000,000 | ||||||
Operating lease liabilities | $ 15,000,000 | ||||||
Minimum | |||||||
Description Of Business And Summary Of Significant Accounting Policies [Line Items] | |||||||
Intangible assets, contract terms | 11 years | ||||||
Long term lease period | 5 years | ||||||
Estimated useful lives | 3 years | ||||||
Right-of-use lease assets | $ 12,000,000 | ||||||
Operating lease liabilities | $ 12,000,000 | ||||||
Minimum | Operating Leases | |||||||
Description Of Business And Summary Of Significant Accounting Policies [Line Items] | |||||||
Contracts typical term | 5 years | ||||||
Minimum | Tap Funding Limited | |||||||
Description Of Business And Summary Of Significant Accounting Policies [Line Items] | |||||||
Percentage of owned voting interest in the entity | 50.00% | ||||||
Minimum | TL | |||||||
Description Of Business And Summary Of Significant Accounting Policies [Line Items] | |||||||
Number of required approvals from Company board of directors for any action by the board of directors | Person | 1 |
Summary of Shareholder's Equity
Summary of Shareholder's Equity Resulting from Changes in its Ownership Interest (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Statement Of Stockholders Equity [Abstract] | |||
Net income (loss) attributable to TGH common shareholders | $ 50,378 | $ 19,365 | $ (52,483) |
Transfers from the noncontrolling interest: | |||
Increase in TGH’s APIC for TW capital restructuring | 780 | ||
Changes from net income (loss) attributable to TGH common shareholders and transfers from noncontrolling interest | $ 51,158 | $ 19,365 | $ (52,483) |
Schedule of Reconciliation of C
Schedule of Reconciliation of Cash and Cash Equivalents and Restricted Cash Reported Within the Consolidated Statements (Detail) - USD ($) $ in Thousands | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 |
Restricted Cash And Cash Equivalents [Abstract] | ||||
Cash and cash equivalents | $ 137,298 | $ 137,894 | $ 84,045 | |
Restricted cash included in long-term assets | 87,630 | 99,675 | 58,078 | |
Cash, cash equivalents and restricted cash, end of period | $ 224,928 | $ 237,569 | $ 142,123 | $ 149,511 |
Future Minimum Lease Payments R
Future Minimum Lease Payments Receivable Under Long-Term Leases (Detail) $ in Thousands | Dec. 31, 2018USD ($) |
Future Minimum Payments Receivable [Line Items] | |
2019 | $ 356,708 |
2020 | 260,603 |
2021 | 197,910 |
2022 | 143,357 |
2023 and thereafter | 282,287 |
Total future minimum lease payments receivable | 1,240,865 |
Owned Fleet | |
Future Minimum Payments Receivable [Line Items] | |
2019 | 303,624 |
2020 | 227,222 |
2021 | 174,630 |
2022 | 133,234 |
2023 and thereafter | 258,822 |
Total future minimum lease payments receivable | 1,097,532 |
Managed Fleet | |
Future Minimum Payments Receivable [Line Items] | |
2019 | 53,084 |
2020 | 33,381 |
2021 | 23,280 |
2022 | 10,123 |
2023 and thereafter | 23,465 |
Total future minimum lease payments receivable | $ 143,333 |
Estimated Useful Lives and Resi
Estimated Useful Lives and Residual Value of Containers (Detail) - USD ($) $ in Thousands | 6 Months Ended | 12 Months Ended | |
Dec. 31, 2018 | Jun. 30, 2017 | Jun. 30, 2018 | |
Dry Containers Other Than Open Top And Flat Rack Containers, 20' | |||
Property, Plant and Equipment [Line Items] | |||
Estimated useful lives | 13 years | 13 years | 13 years |
Estimated residual value | $ 1,000 | $ 950 | $ 1,000 |
Dry Containers Other Than Open Top And Flat Rack Containers, 40' | |||
Property, Plant and Equipment [Line Items] | |||
Estimated useful lives | 14 years | 14 years | 14 years |
Estimated residual value | $ 1,200 | $ 1,150 | $ 1,200 |
Dry Containers Other Than Open Top And Flat Rack Containers, 40' High Cube | |||
Property, Plant and Equipment [Line Items] | |||
Estimated useful lives | 13 years | 13 years | 13 years |
Estimated residual value | $ 1,400 | $ 1,300 | $ 1,350 |
Dry Containers Other Than Open Top And Flat Rack Containers, 45' High Cube Dry Van | |||
Property, Plant and Equipment [Line Items] | |||
Estimated useful lives | 13 years | 13 years | 13 years |
Estimated residual value | $ 1,500 | $ 1,500 | $ 1,500 |
Refrigerated Containers, 20' | |||
Property, Plant and Equipment [Line Items] | |||
Estimated useful lives | 12 years | 12 years | 12 years |
Estimated residual value | $ 2,750 | $ 2,750 | $ 2,750 |
Refrigerated Containers, 20' High Cube | |||
Property, Plant and Equipment [Line Items] | |||
Estimated useful lives | 12 years | 12 years | 12 years |
Estimated residual value | $ 2,049 | $ 2,049 | $ 2,049 |
Refrigerated Containers, 40' High Cube | |||
Property, Plant and Equipment [Line Items] | |||
Estimated useful lives | 12 years | 12 years | 12 years |
Estimated residual value | $ 4,000 | $ 4,500 | $ 4,500 |
Open Top and Flat Rack Containers, 20' Folding Flat Rack | |||
Property, Plant and Equipment [Line Items] | |||
Estimated useful lives | 15 years | 15 years | 15 years |
Estimated residual value | $ 1,300 | $ 1,300 | $ 1,300 |
Open Top And Flat Rack Containers, 40' Folding Flat Rack | |||
Property, Plant and Equipment [Line Items] | |||
Estimated useful lives | 16 years | 16 years | 16 years |
Estimated residual value | $ 1,700 | $ 1,700 | $ 1,700 |
Open Top And Flat Rack Containers, 20' Open Top | |||
Property, Plant and Equipment [Line Items] | |||
Estimated useful lives | 15 years | 15 years | 12 years |
Estimated residual value | $ 1,500 | $ 1,500 | $ 1,500 |
Open Top And Flat Rack Containers, 40' Open Top | |||
Property, Plant and Equipment [Line Items] | |||
Estimated useful lives | 14 years | 14 years | 14 years |
Estimated residual value | $ 2,500 | $ 2,500 | $ 2,500 |
Tank containers | |||
Property, Plant and Equipment [Line Items] | |||
Estimated useful lives | 20 years | 20 years | 20 years |
Estimated residential value, percentage of cost | 10.00% | 10.00% |
Schedule of Cost, Accumulated D
Schedule of Cost, Accumulated Depreciation and Net Book Value of the Company's Leasing Equipment by Equipment Type (Detail) - USD ($) $ in Thousands | Dec. 31, 2018 | Dec. 31, 2017 |
Property, Plant and Equipment [Line Items] | ||
Containers, cost | $ 5,456,237 | $ 4,963,965 |
Containers, accumulated depreciation | (1,322,221) | (1,172,355) |
Containers, net book value | 4,134,016 | 3,791,610 |
Dry Containers Other Than Open Top And Flat Rack Containers, 20' | ||
Property, Plant and Equipment [Line Items] | ||
Containers, cost | 1,632,927 | 1,497,557 |
Containers, accumulated depreciation | (381,929) | (347,910) |
Containers, net book value | 1,250,998 | 1,149,647 |
Dry Containers Other Than Open Top And Flat Rack Containers, 40' | ||
Property, Plant and Equipment [Line Items] | ||
Containers, cost | 191,354 | 223,916 |
Containers, accumulated depreciation | (69,463) | (75,610) |
Containers, net book value | 121,891 | 148,306 |
Dry Containers Other Than Open Top And Flat Rack Containers, 40' High Cube | ||
Property, Plant and Equipment [Line Items] | ||
Containers, cost | 2,376,975 | 2,043,253 |
Containers, accumulated depreciation | (540,349) | (476,238) |
Containers, net book value | 1,836,626 | 1,567,015 |
Dry Containers Other Than Open Top And Flat Rack Containers, 45' High Cube Dry Van | ||
Property, Plant and Equipment [Line Items] | ||
Containers, cost | 29,305 | 29,010 |
Containers, accumulated depreciation | (10,034) | (8,494) |
Containers, net book value | 19,271 | 20,516 |
Refrigerated Containers, 20' | ||
Property, Plant and Equipment [Line Items] | ||
Containers, cost | 20,883 | 24,062 |
Containers, accumulated depreciation | (6,153) | (5,394) |
Containers, net book value | 14,730 | 18,668 |
Refrigerated Containers, 20' High Cube | ||
Property, Plant and Equipment [Line Items] | ||
Containers, cost | 5,148 | 5,139 |
Containers, accumulated depreciation | (2,714) | (2,327) |
Containers, net book value | 2,434 | 2,812 |
Refrigerated Containers, 40' High Cube | ||
Property, Plant and Equipment [Line Items] | ||
Containers, cost | 1,030,078 | 1,002,843 |
Containers, accumulated depreciation | (279,661) | (229,465) |
Containers, net book value | 750,417 | 773,378 |
Open Top and Flat Rack Containers, 20' Folding Flat Rack | ||
Property, Plant and Equipment [Line Items] | ||
Containers, cost | 16,641 | 16,595 |
Containers, accumulated depreciation | (4,068) | (3,525) |
Containers, net book value | 12,573 | 13,070 |
Open Top And Flat Rack Containers, 40' Folding Flat Rack | ||
Property, Plant and Equipment [Line Items] | ||
Containers, cost | 46,182 | 43,334 |
Containers, accumulated depreciation | (16,052) | (14,394) |
Containers, net book value | 30,130 | 28,940 |
Open Top And Flat Rack Containers, 20' Open Top | ||
Property, Plant and Equipment [Line Items] | ||
Containers, cost | 13,152 | 10,837 |
Containers, accumulated depreciation | (1,419) | (1,237) |
Containers, net book value | 11,733 | 9,600 |
Open Top And Flat Rack Containers, 40' Open Top | ||
Property, Plant and Equipment [Line Items] | ||
Containers, cost | 27,629 | 26,690 |
Containers, accumulated depreciation | (5,086) | (4,469) |
Containers, net book value | 22,543 | 22,221 |
Tank containers | ||
Property, Plant and Equipment [Line Items] | ||
Containers, cost | 65,963 | 40,729 |
Containers, accumulated depreciation | (5,293) | (3,292) |
Containers, net book value | $ 60,670 | $ 37,437 |
Container Impairment in Consoli
Container Impairment in Consolidated Statements of Comprehensive Income (Loss) (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Property, Plant and Equipment [Line Items] | |||
Container impairment | $ 26,775 | $ 8,072 | $ 94,623 |
Reversal of previously recorded impairments on containers held for sale due to rising used container prices during the year | (1,077) | (11,225) | |
Containers for Sale | |||
Property, Plant and Equipment [Line Items] | |||
Container impairment | 14,872 | 15,475 | 66,455 |
Container Unrecoverable in Lessees Bankrupt | |||
Property, Plant and Equipment [Line Items] | |||
Container impairment | 22,961 | ||
Containers Unrecoverable in Lessees Default | |||
Property, Plant and Equipment [Line Items] | |||
Container impairment | $ 12,980 | $ 3,822 | $ 5,207 |
Net Gain on Sale of Owned Fleet
Net Gain on Sale of Owned Fleet Containers (Detail) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2018USD ($)Property | Dec. 31, 2017USD ($)Property | Dec. 31, 2016USD ($)Property | |
Property Plant And Equipment Disclosure [Line Items] | |||
Number of owned fleet containers sold | Property | 107,410 | 112,367 | 138,390 |
Gain (loss) on sale of owned fleet containers, net | $ | $ 36,071 | $ 26,210 | $ 6,761 |
Previously written down containers | |||
Property Plant And Equipment Disclosure [Line Items] | |||
Number of owned fleet containers sold | Property | 28,291 | 56,862 | 118,071 |
Gain (loss) on sale of owned fleet containers, net | $ | $ 14,563 | $ 18,662 | $ 9,151 |
Containers not written down | |||
Property Plant And Equipment Disclosure [Line Items] | |||
Number of owned fleet containers sold | Property | 79,119 | 55,505 | 20,319 |
Gain (loss) on sale of owned fleet containers, net | $ | $ 21,508 | $ 7,548 | $ (2,390) |
Schedule of Concentration Risk
Schedule of Concentration Risk of Lease Rental Income (Detail) - Lease Rental Income - Customer Concentration Risk | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Customer A | |||
Concentration Risk [Line Items] | |||
Percentage of lease rental income | 14.00% | 14.40% | 12.00% |
Customer B | |||
Concentration Risk [Line Items] | |||
Percentage of lease rental income | 13.40% | 13.60% | 14.00% |
Schedule of Concentration Ris_2
Schedule of Concentration Risk of Gross Accounts Receivable (Detail) - Accounts Receivable - Customer Concentration Risk | 12 Months Ended | |
Dec. 31, 2018 | Dec. 31, 2017 | |
Customer B | ||
Concentration Risk [Line Items] | ||
Percentage of lease rental income | 21.30% | 12.90% |
Customer A | ||
Concentration Risk [Line Items] | ||
Percentage of lease rental income | 10.70% | 13.10% |
Schedule of Concentration Ris_3
Schedule of Concentration Risk of Total Fleet Lease Rental Income (Detail) - Total Fleet Lease Rental Income - Customer Concentration Risk | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Customer A | |||
Capital Leased Assets [Line Items] | |||
Percentage of lease rental income | 13.70% | 14.60% | 12.90% |
Customer B | |||
Capital Leased Assets [Line Items] | |||
Percentage of lease rental income | 13.40% | 13.90% | 14.60% |
Customers in Countries Outside
Customers in Countries Outside of U.S. Made up Greater Than 10% of Total Fleet Container Lease Billings (Detail) - Total Fleet Lease Rental Income | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
People's Republic of China | |||
Capital Leased Assets [Line Items] | |||
Percentage of lease rental income | 15.00% | 14.40% | 14.10% |
France | |||
Capital Leased Assets [Line Items] | |||
Percentage of lease rental income | 13.80% | 14.40% | 15.30% |
Switzerland | |||
Capital Leased Assets [Line Items] | |||
Percentage of lease rental income | 14.10% | 15.10% | 13.40% |
Taiwan | |||
Capital Leased Assets [Line Items] | |||
Percentage of lease rental income | 14.60% | 13.90% | 12.20% |
Singapore | |||
Capital Leased Assets [Line Items] | |||
Percentage of lease rental income | 10.50% | 10.90% | 8.70% |
Reconciliation of Numerator and
Reconciliation of Numerator and Denominator of Basic Earnings per Share ("EPS") with that of Diluted EPS (Detail) - USD ($) $ / shares in Units, $ in Thousands | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Numerator: | |||
Net Income (loss) attributable to Textainer Group Holdings Limited common shareholders | $ 50,378 | $ 19,365 | $ (52,483) |
Weighted average shares outstanding (in thousands): | |||
Basic | 57,200,000 | 56,845,000 | 56,608,000 |
Dilutive share options and restricted share units | 287,000 | 314,000 | |
Weighted average common shares outstanding-- diluted | 57,487,000 | 57,159,000 | 56,608,000 |
Net income (loss) attributable to Textainer Group Holdings Limited common shareholders per common share | |||
Basic | $ 0.88 | $ 0.34 | $ (0.93) |
Diluted | $ 0.88 | $ 0.34 | $ (0.93) |
Anti-dilutive share options and restricted share units, excluded from the computation of diluted EPS because they were anti-dilutive | 1,232 | 1,164 | 1,361 |
Summary of Assets and Liabiliti
Summary of Assets and Liabilities Measured at Fair Value on Recurring Basis (Detail) - Fair Value, Measurements, Recurring - Fair Value, Inputs, Level 2 - USD ($) $ in Thousands | Dec. 31, 2018 | Dec. 31, 2017 |
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Assets measured at fair value on recurring basis | $ 5,555 | $ 7,787 |
Liabilities measured at fair value on a recurring basis | 3,639 | 81 |
Interest rate swaps, collars and caps | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Assets measured at fair value on recurring basis | 5,555 | 7,787 |
Liabilities measured at fair value on a recurring basis | $ 3,639 | $ 81 |
Summary of Assets Measured at F
Summary of Assets Measured at Fair Value on Non-Recurring Basis (Detail) - USD ($) $ in Thousands | 12 Months Ended | |||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||||
Container impairment | $ 26,775 | $ 8,072 | $ 94,623 | |
Fair Value, Measurements, Nonrecurring | ||||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||||
Container impairment | [1] | 14,872 | 15,475 | |
Fair Value, Measurements, Nonrecurring | Containers held for sale | ||||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||||
Container impairment | [1],[2] | 14,872 | 15,475 | |
Fair Value, Measurements, Nonrecurring | Fair Value, Inputs, Level 2 | ||||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||||
Assets measured at fair value on non-recurring basis | 10,898 | 8,984 | ||
Fair Value, Measurements, Nonrecurring | Fair Value, Inputs, Level 2 | Containers held for sale | ||||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||||
Assets measured at fair value on non-recurring basis | [2] | $ 10,898 | $ 8,984 | |
[1] | Included in container impairment in the accompanying consolidated statements of comprehensive income (loss). | |||
[2] | Represents the carrying value of containers included in containers held for sale in the consolidated balance sheets that have been impaired to write down the value of the containers to their estimated fair value less cost to sell. |
Immaterial Reclassification a_3
Immaterial Reclassification and Adjustment of Prior Periods - Summary of Reclassifications of Financial Statement Presentation in Consolidated Statements of Comprehensive Income (Loss) (Detail) - USD ($) $ in Thousands | 12 Months Ended | |||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | ||
Error Corrections And Prior Period Adjustments Restatement [Line Items] | ||||
Lease rental income - managed fleet | $ 111,342 | $ 104,566 | $ 105,511 | |
Distribution to managed fleet owners | (102,992) | (96,718) | (98,028) | |
Adjustment | ||||
Error Corrections And Prior Period Adjustments Restatement [Line Items] | ||||
Lease rental income - managed fleet | 104,566 | 105,511 | ||
Distribution to managed fleet owners | (96,718) | (98,028) | ||
Other Services | ||||
Error Corrections And Prior Period Adjustments Restatement [Line Items] | ||||
Revenue | [1] | 8,529 | 7,146 | 5,937 |
Other Services | Adjustment | ||||
Error Corrections And Prior Period Adjustments Restatement [Line Items] | ||||
Revenue | 7,146 | 5,937 | ||
Total Management Fees | ||||
Error Corrections And Prior Period Adjustments Restatement [Line Items] | ||||
Revenue | $ 16,879 | 14,994 | 13,420 | |
Total Management Fees | As Reported | ||||
Error Corrections And Prior Period Adjustments Restatement [Line Items] | ||||
Revenue | 14,994 | 13,420 | ||
Total Management Fees | Adjustment | ||||
Error Corrections And Prior Period Adjustments Restatement [Line Items] | ||||
Revenue | $ (14,994) | $ (13,420) | ||
[1] | Amounts for the years ended December 31, 2017 and 2016 have been reclassified to conform with 2018 presentation (see Note 1 (t) “Reclassifications and Changes in Presentation”). |
Immaterial Reclassification a_4
Immaterial Reclassification and Adjustment of Prior Periods - Additional Information (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | ||
Error Corrections And Prior Period Adjustments Restatement [Line Items] | |||||
Increase in accrued expenses | $ 2,381 | $ 3,556 | $ 2,905 | ||
Decrease in retained earnings | [1] | $ 809,734 | 759,356 | ||
Revenue Recognition | |||||
Error Corrections And Prior Period Adjustments Restatement [Line Items] | |||||
Cumulative effect on retained earnings balance | (4,245) | $ (4,245) | $ (4,245) | ||
Increase in accrued expenses | 4,245 | ||||
Decrease in retained earnings | $ (4,245) | ||||
[1] | Certain amounts as of December 31, 2017 have been adjusted to defer acquisition fees of the managed fleet as earned over the deemed lease term (see Note 2 “Immaterial Reclassification and Adjustment of Prior Periods”). |
Insurance Receivable and Impa_3
Insurance Receivable and Impairment - Additional Information (Detail) - USD ($) | 2 Months Ended | 12 Months Ended | ||||
Feb. 28, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | Aug. 31, 2016 | |
Leases Disclosure [Line Items] | ||||||
Containers, net book value | $ 4,134,016,000 | $ 3,791,610,000 | ||||
Container impairment | 26,775,000 | 8,072,000 | $ 94,623,000 | |||
Bad debt expense | 2,697,000 | 477,000 | $ 21,166,000 | |||
Insurance coverage period | 183 days | 183 days | ||||
Insurance settlements receivable on accounts receivable | $ 2,592,000 | |||||
Gain on insurance recovery | 8,692,000 | |||||
Operating Leases | ||||||
Leases Disclosure [Line Items] | ||||||
Net investment in direct financing and sales-type leases | $ 178,344,000 | |||||
Bankruptcy Customer | ||||||
Leases Disclosure [Line Items] | ||||||
Recovery of direct costs | 1,450,000 | 32,067,000 | 19,159,000 | |||
Bad debt expense | 18,992,000 | |||||
Insurance receivable | 9,814,000 | 15,909,000 | 41,913,000 | |||
Insurance settlements receivable on accounts receivable | (14,188,000) | $ (50,479,000) | 2,592,000 | |||
Gain on insurance recovery | 8,692,000 | |||||
Insolvent Customer | ||||||
Leases Disclosure [Line Items] | ||||||
Recovery of direct costs | 4,864,000 | 768,000 | ||||
Bad debt expense | 2,049,000 | |||||
Insurance receivable | 0 | 2,872,000 | $ 11,436,000 | |||
Insolvent Customer | Owned Containers | ||||||
Leases Disclosure [Line Items] | ||||||
Containers, net book value | 23,044,000 | |||||
Insolvent Customer | Container Unrecoverable in Lessees Insolvency | ||||||
Leases Disclosure [Line Items] | ||||||
Container impairment | $ 12,543,000 | |||||
Finance Leases Portfolio Segment | ||||||
Leases Disclosure [Line Items] | ||||||
Container impairment | 22,149,000 | |||||
Net investment in direct financing and sales-type leases | $ 88,171,000 | |||||
Insurance deductible | 4,750,000 | |||||
Finance Leases Portfolio Segment | Impairment to write off containers | ||||||
Leases Disclosure [Line Items] | ||||||
Container impairment | $ 17,399,000 | |||||
Subsequent Event | ||||||
Leases Disclosure [Line Items] | ||||||
Insurance payment received | $ 9,814,000 |
Insurance Receivable and Impa_4
Insurance Receivable and Impairment - Schedule of Insurance Receivable on Fleet (Detail) - USD ($) | 12 Months Ended | |||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Leases Disclosure [Line Items] | ||||
Accounts receivable coverage by insurance | $ 2,592,000 | |||
Gain on insurance recovery | $ 8,692,000 | |||
Bankrupt Customer | ||||
Leases Disclosure [Line Items] | ||||
Estimated unrecoverable containers, net of insurance deductible | 20,162,000 | |||
Recovery costs | 1,450,000 | $ 32,067,000 | 19,159,000 | |
Accounts receivable coverage by insurance | (14,188,000) | (50,479,000) | 2,592,000 | |
Reassessment associated with its estimate of unrecoverable containers to actualamount of loss commensurate with the insurance claim filing | (2,049,000) | (7,592,000) | ||
Insurance receivable | 9,814,000 | 15,909,000 | 41,913,000 | |
Gain on insurance recovery | 8,692,000 | |||
Insolvent Customer | ||||
Leases Disclosure [Line Items] | ||||
Recovery costs | 4,864,000 | 768,000 | ||
Lost lease rental income | 239,000 | |||
Wrote off of remaining balance of insurance receivable per final insurance proceeds received | (1,321,000) | |||
Insurance proceeds received | (8,250,000) | |||
Allocation adjustment on insurance receivable per final insurance proceeds received | 720,000 | |||
Final insurance proceeds received | $ (3,592,000) | |||
Insurance receivable | $ 0 | $ 2,872,000 | $ 11,436,000 |
Container Purchases - Additiona
Container Purchases - Additional Information (Detail) | 12 Months Ended | |
Dec. 31, 2018USD ($)Property | Dec. 31, 2017USD ($)Property | |
Property, Plant and Equipment [Line Items] | ||
Intangible asset for the management rights relinquished written- off | $ 835,000 | $ 170,000 |
Container Purchases | ||
Property, Plant and Equipment [Line Items] | ||
Number of containers purchased | Property | 17,812 | 19,802 |
Total purchase consideration | $ 13,191,000 | $ 19,893,000 |
Intangible asset for the management rights relinquished written- off | $ 835,000 | 170,000 |
Intangible assets recognized related to the leases | $ 0 |
Total Purchase Price based on F
Total Purchase Price based on Fair Value of Assets and Liabilities Acquired (Detail) - USD ($) $ in Thousands | Dec. 31, 2018 | Dec. 31, 2017 |
Property Subject to or Available for Operating Lease [Line Items] | ||
Containers, net | $ 4,134,016 | $ 3,791,610 |
Container Purchases | ||
Property Subject to or Available for Operating Lease [Line Items] | ||
Containers, net | 18,453 | |
Other net assets | 1,440 | |
Purchase price | $ 13,191 | $ 19,893 |
Revenue from Managed Containe_3
Revenue from Managed Container Fleet - Summary of Total Lease Management Fee Income from Managed Fleet, Including Management Fees Earned from Acquisition Fees and Sales Commissions (Detail) - USD ($) $ in Thousands | 12 Months Ended | |||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | ||
Disaggregation Of Revenue [Line Items] | ||||
Lease rental income - managed fleet | $ 111,342 | $ 104,566 | $ 105,511 | |
Distribution to managed fleet owners | (102,992) | (96,718) | (98,028) | |
Leasing | ||||
Disaggregation Of Revenue [Line Items] | ||||
Revenue | 8,350 | 7,848 | 7,483 | |
Other Services | ||||
Disaggregation Of Revenue [Line Items] | ||||
Revenue | [1] | 8,529 | 7,146 | 5,937 |
Total Management Fees | ||||
Disaggregation Of Revenue [Line Items] | ||||
Revenue | $ 16,879 | $ 14,994 | $ 13,420 | |
[1] | Amounts for the years ended December 31, 2017 and 2016 have been reclassified to conform with 2018 presentation (see Note 1 (t) “Reclassifications and Changes in Presentation”). |
Total Fees Earned from Manageme
Total Fees Earned from Management of the Containers, Including Acquisition Fees and Sales Commissions (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Related Party Transaction [Line Items] | |||
Fees from affiliated Owner | $ 3,575 | $ 2,994 | $ 2,994 |
Fees from unaffiliated Owners | 11,334 | 10,073 | 8,556 |
Total Management Fees | |||
Related Party Transaction [Line Items] | |||
Management fees | 16,879 | 14,994 | 13,420 |
Total Management Fees | Fees from Owners | |||
Related Party Transaction [Line Items] | |||
Management fees | 14,909 | 13,067 | 11,550 |
Total Management Fees | Other Fees | |||
Related Party Transaction [Line Items] | |||
Management fees | $ 1,970 | $ 1,927 | $ 1,870 |
Transactions with Affiliates _3
Transactions with Affiliates and Owners - Additional Information (Detail) - USD ($) $ in Thousands | Dec. 31, 2018 | Dec. 31, 2017 |
Related Party Transactions [Abstract] | ||
Due from affiliates, net | $ 1,692 | $ 1,134 |
Due to Owners, Net (Detail)
Due to Owners, Net (Detail) - USD ($) $ in Thousands | Dec. 31, 2018 | Dec. 31, 2017 |
Related Party Transaction [Line Items] | ||
Due to owners, net | $ 8,322 | $ 11,131 |
Affiliated owners | ||
Related Party Transaction [Line Items] | ||
Due to owners, net | 100 | 1,409 |
Unaffiliated owners | ||
Related Party Transaction [Line Items] | ||
Due to owners, net | $ 8,222 | $ 9,722 |
Direct Financing and Sales-Ty_3
Direct Financing and Sales-Type Leases - Additional Information (Detail) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2018USD ($)Property | Dec. 31, 2017USD ($)Property | Dec. 31, 2016USD ($) | |
Direct Financing and Sales Type Leases [Line Items] | |||
Income earned from direct financing and sales-type leases | $ | $ 11,689 | $ 13,417 | $ 18,558 |
Direct Financing and Sales Type Leases | |||
Direct Financing and Sales Type Leases [Line Items] | |||
Number of containers under direct financing and sales-type leases | Property | 100,338 | 111,059 |
Components of net Investment in
Components of net Investment in Direct Financing and Sales-Type Leases Reported in Container Ownership Segment (Detail) - USD ($) $ in Thousands | Dec. 31, 2018 | Dec. 31, 2017 |
Leases [Abstract] | ||
Future minimum lease payments receivable | $ 196,041 | $ 204,451 |
Residual value of containers | 11,393 | 4,885 |
Less unearned income | (40,374) | (26,712) |
Net investment in direct financing and sales-type leases | 167,060 | 182,624 |
Amounts due within one year | 39,270 | 56,959 |
Amounts due beyond one year | $ 127,790 | $ 125,665 |
Net Investment in Direct Financ
Net Investment in Direct Finance Leases and Sales-Type Leases (Detail) - USD ($) $ in Thousands | Dec. 31, 2018 | Dec. 31, 2017 |
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Past due | $ 1,659 | |
Current | 194,382 | |
Total future minimum lease payments | 196,041 | $ 204,451 |
Financing Receivables, 1 to 29 Days Past Due | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Past due | 963 | |
Financing Receivables, 30 to 59 Days Past Due | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Past due | 138 | |
Financing Receivables, 60 to 89 Days Past Due | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Past due | 377 | |
Financing Receivables, Equal to Greater than 90 Days Past Due | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Past due | $ 181 |
Changes in Carrying Amount of A
Changes in Carrying Amount of Allowance for Doubtful Accounts (Detail) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2018 | Dec. 31, 2017 | |
Leases [Abstract] | ||
Beginning Balance | $ 247 | $ 9,561 |
Additions charged to expense | 634 | 525 |
Write-offs | (179) | (9,839) |
Ending Balance | $ 702 | $ 247 |
Future Minimum Lease Payments_2
Future Minimum Lease Payments Receivable under Direct Financing and Sales-type Leases (Detail) - USD ($) $ in Thousands | Dec. 31, 2018 | Dec. 31, 2017 |
Leases [Abstract] | ||
2019 | $ 49,055 | |
2020 | 36,715 | |
2021 | 42,291 | |
2022 | 18,687 | |
2023 and thereafter | 49,293 | |
Total future minimum lease payments | $ 196,041 | $ 204,451 |
Containers, Net (Detail)
Containers, Net (Detail) - USD ($) $ in Thousands | Dec. 31, 2018 | Dec. 31, 2017 |
Property Plant And Equipment [Abstract] | ||
Containers, cost | $ 5,456,237 | $ 4,963,965 |
Containers, accumulated depreciation | (1,322,221) | (1,172,355) |
Containers, net book value | $ 4,134,016 | $ 3,791,610 |
Containers And Fixed Assets - A
Containers And Fixed Assets - Additional Information (Detail) - USD ($) $ in Thousands | Dec. 31, 2018 | Dec. 31, 2017 |
Property Plant And Equipment [Abstract] | ||
Trading containers | $ 40,852 | $ 10,752 |
Containers held for sale | $ 21,874 | $ 22,089 |
Fixed Assets, Net (Detail)
Fixed Assets, Net (Detail) - USD ($) $ in Thousands | Dec. 31, 2018 | Dec. 31, 2017 |
Property Plant And Equipment [Abstract] | ||
Computer equipment and software | $ 10,235 | $ 9,563 |
Office furniture and equipment | 1,429 | 1,428 |
Automobiles | 34 | 36 |
Leasehold improvements | 1,893 | 1,912 |
Property, Plant and Equipment, Gross, Total | 13,591 | 12,939 |
Less accumulated depreciation | (11,525) | (10,788) |
Fixed assets, net | $ 2,066 | $ 2,151 |
Changes in Carrying Amount of I
Changes in Carrying Amount of Intangible Assets (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Goodwill And Intangible Assets Disclosure [Abstract] | |||
Balance at beginning of year | $ 11,105 | $ 15,197 | $ 20,250 |
Amortization expense | (3,721) | (4,092) | (5,053) |
Amortization expense | (2,886) | (3,922) | |
Write-off from the relinquishment of management rights | (835) | (170) | |
Balance at end of year | $ 7,384 | $ 11,105 | $ 15,197 |
Future Amortization of Intangib
Future Amortization of Intangible Assets (Detail) - USD ($) $ in Thousands | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 |
Goodwill And Intangible Assets Disclosure [Abstract] | ||||
2019 | $ 3,617 | |||
2020 | 3,767 | |||
Total future amortization of intangible assets | $ 7,384 | $ 11,105 | $ 15,197 | $ 20,250 |
Accrued Expenses (Detail)
Accrued Expenses (Detail) - USD ($) $ in Thousands | Dec. 31, 2018 | Dec. 31, 2017 | |
Payables And Accruals [Abstract] | |||
Accrued compensation | $ 5,585 | $ 5,025 | |
Direct container expense | 5,501 | 4,521 | |
Deferred revenue | 4,245 | 4,245 | |
Interest payable | 3,810 | 3,157 | |
Other | 882 | 662 | |
Total accrued expenses | [1] | $ 20,023 | $ 17,610 |
[1] | Certain amounts as of December 31, 2017 have been adjusted to defer acquisition fees of the managed fleet as earned over the deemed lease term (see Note 2 “Immaterial Reclassification and Adjustment of Prior Periods”). |
Component of Income Tax Expense
Component of Income Tax Expense (Benefit) (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Current | |||
Bermuda | $ 0 | $ 0 | $ 0 |
Foreign | 1,407 | 2,142 | 930 |
Current Income Tax Expense (Benefit), Total | 1,407 | 2,142 | 930 |
Deferred | |||
Bermuda | 0 | 0 | 0 |
Foreign | 618 | (524) | (4,377) |
Deferred Income Tax Expense (Benefit), Total | 618 | (524) | (4,377) |
Income tax (expense) benefit | $ 2,025 | $ 1,618 | $ (3,447) |
Components of Income (Loss) Bef
Components of Income (Loss) Before Income Taxes and Noncontrolling Interest (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Income Taxes [Line Items] | |||
Income before income taxes and non controlling interest | $ 56,275 | $ 22,360 | $ (61,323) |
Foreign sources | |||
Income Taxes [Line Items] | |||
Income before income taxes and non controlling interest | $ 56,275 | $ 22,360 | $ (61,323) |
Reconciliation of Differences b
Reconciliation of Differences between Bermuda Statutory Income Tax Rate and Effective Tax Rate (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Income Tax Disclosure [Abstract] | |||
Bermuda tax rate | 0.00% | 0.00% | 0.00% |
Foreign tax rate | (0.24%) | (5.80%) | 8.80% |
Tax uncertainties | 3.84% | 13.04% | (3.18%) |
Income tax (expense) benefit, net | 3.60% | 7.24% | 5.62% |
Foreign tax rate | $ 142 | $ 1,297 | $ 5,339 |
Tax uncertainties | (2,167) | (2,915) | (1,892) |
Income Tax (Expense)Benefit | $ (2,025) | $ (1,618) | $ 3,447 |
Significant Portions of Deferre
Significant Portions of Deferred Tax Assets and Deferred Tax Liabilities (Detail) - USD ($) $ in Thousands | Dec. 31, 2018 | Dec. 31, 2017 |
Deferred tax assets | ||
Net operating loss carryforwards | $ 19,616 | $ 19,209 |
Other | 2,173 | 1,557 |
Deferred tax assets, gross | 21,789 | 20,766 |
Valuation allowance (net operating loss) | (992) | (1,138) |
Deferred tax assets | 20,797 | 19,628 |
Deferred tax liabilities | ||
Containers, net | 25,039 | 23,275 |
Other | 710 | 671 |
Deferred tax liabilities | 25,749 | 23,946 |
Net deferred tax liabilities | $ 4,952 | $ 4,318 |
Income Taxes - Additional Infor
Income Taxes - Additional Information (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Income Taxes [Line Items] | |||
Period for cumulative ownership change | 3 years | ||
Maximum percentage of taxable income allowed to offset by net operating loss carryforwads per year | 80.00% | ||
Cumulative earnings undistributed | $ 36,712 | ||
Taxes payable current and noncurrent | $ 11,014 | ||
U.S. federal corporate tax rate | 0.00% | 0.00% | 0.00% |
Tax cuts and jobs act of 2017, change in tax rate, income tax expense (benefit) | $ 2,653 | ||
Tax cuts and jobs act of 2017, change in effective tax rate, favorably affected | 11.90% | ||
Limitation on deduction of interest expense in excess of adjusted taxable income, that may impact income taxes in, percent | 30.00% | ||
Limitation on utilization of net operating losses generated percent of foreign derived intangible income that may impact income taxes | 80.00% | ||
Percentage of EBITDA | 30.00% | ||
Limitation on deduction of interest expense on EBITDA expiration date | Dec. 31, 2021 | ||
Percentage of earnings before net interest and taxes after expiration date | 30.00% | ||
Unrecognized tax benefits | $ 18,145 | $ 16,150 | $ 13,331 |
Unrecognized tax benefits, if recognized, would reduce annual effective tax rate | 18,091 | ||
Estimated decrease in unrecognized tax benefits due to expiration of certain statutes of limitations in the next twelve months | 1,343 | ||
Income tax examination interest and penalty expense | 180 | 181 | $ 281 |
Income tax examination total accrued interest and penalties | $ 1,288 | $ 1,108 | |
United States | |||
Income Taxes [Line Items] | |||
U.S. federal corporate tax rate | 21.00% | 35.00% | |
U.S. Federal | |||
Income Taxes [Line Items] | |||
Net operating loss carry-forwards | $ 123,079 | ||
Minimum | |||
Income Taxes [Line Items] | |||
Cumulative ownership change percentage | 50.00% | ||
Minimum | U.S. Federal | |||
Income Taxes [Line Items] | |||
Net operating loss carry-forward expiration date | Dec. 31, 2019 | ||
Maximum | U.S. Federal | |||
Income Taxes [Line Items] | |||
Net operating loss carry-forward expiration date | Dec. 31, 2038 |
Reconciliation of Beginning and
Reconciliation of Beginning and Ending Unrecognized Tax Benefit Amount (Detail) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2018 | Dec. 31, 2017 | |
Income Tax Disclosure [Abstract] | ||
Beginning Balance | $ 16,150 | $ 13,331 |
Increases related to prior year tax positions | 4 | 100 |
Decreases related to prior year tax positions | (2) | (12) |
Increases related to current year tax positions | 3,131 | 3,642 |
Lapse of statute of limitations | (1,138) | (911) |
Ending Balance | $ 18,145 | $ 16,150 |
Debt Obligation (Detail)
Debt Obligation (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | ||
Secured Debt Facilities, Revolving Credit Facilities, Term Loan and Bonds Payable | |||
Long term debt | $ 3,409,827 | $ 2,990,308 | |
Amount due within one year | 191,689 | 233,681 | |
Amounts due beyond one year | 3,218,138 | 2,756,627 | |
TMCL II Secured Debt Facility | |||
Secured Debt Facilities, Revolving Credit Facilities, Term Loan and Bonds Payable | |||
Long term debt | [1] | $ 654,485 | $ 659,714 |
Weighted average variable interest rate | [1] | 4.36% | 3.38% |
Final Maturity | [1] | Aug. 31, 2024 | |
TMCL IV Secured Debt Facility | |||
Secured Debt Facilities, Revolving Credit Facilities, Term Loan and Bonds Payable | |||
Long term debt | $ 132,885 | ||
Weighted average variable interest rate | 4.00% | ||
TL Revolving Credit Facility | |||
Secured Debt Facilities, Revolving Credit Facilities, Term Loan and Bonds Payable | |||
Long term debt | $ 1,272,074 | $ 568,403 | |
Weighted average variable interest rate | 4.00% | 3.56% | |
Final Maturity | Sep. 30, 2023 | ||
TL Revolving Credit Facility II | |||
Secured Debt Facilities, Revolving Credit Facilities, Term Loan and Bonds Payable | |||
Long term debt | $ 150,906 | ||
Weighted average variable interest rate | 3.55% | ||
TW Revolving Credit Facility | |||
Secured Debt Facilities, Revolving Credit Facilities, Term Loan and Bonds Payable | |||
Long term debt | $ 97,148 | ||
Weighted average variable interest rate | 3.38% | ||
TAP Funding Revolving Credit Facility | |||
Secured Debt Facilities, Revolving Credit Facilities, Term Loan and Bonds Payable | |||
Long term debt | $ 171,937 | $ 163,276 | |
Weighted average variable interest rate | 4.41% | 3.43% | |
Final Maturity | Dec. 31, 2021 | ||
TL Term Loan | |||
Secured Debt Facilities, Revolving Credit Facilities, Term Loan and Bonds Payable | |||
Long term debt | $ 352,555 | ||
Weighted average variable interest rate | 3.69% | ||
TMCL VI Term Loan | |||
Secured Debt Facilities, Revolving Credit Facilities, Term Loan and Bonds Payable | |||
Long term debt | $ 276,210 | ||
Weighted average variable interest rate | 4.30% | ||
Final Maturity | Feb. 28, 2038 | ||
2017-1 Bonds | |||
Secured Debt Facilities, Revolving Credit Facilities, Term Loan and Bonds Payable | |||
Long term debt | $ 353,884 | $ 390,013 | |
Fixed interest rate | 3.91% | 3.91% | |
Final Maturity | May 31, 2042 | ||
2017-2 Bonds | |||
Secured Debt Facilities, Revolving Credit Facilities, Term Loan and Bonds Payable | |||
Long term debt | $ 435,838 | $ 475,408 | |
Fixed interest rate | 3.73% | 3.73% | |
Final Maturity | Jun. 30, 2042 | ||
2018-1 Bonds | |||
Secured Debt Facilities, Revolving Credit Facilities, Term Loan and Bonds Payable | |||
Long term debt | $ 245,399 | ||
Fixed interest rate | 4.14% | ||
Final Maturity | Jul. 31, 2043 | ||
[1] | Final maturity of the TMCL II Secured Debt Facility is based on the assumption that the facility will not be extended on its scheduled conversion date. |
Debt and Derivative Instrumen_3
Debt and Derivative Instruments - Additional Information (Detail) - USD ($) | Nov. 02, 2018 | Aug. 06, 2018 | Jan. 31, 2018 | Sep. 30, 2018 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | Feb. 15, 2018 |
Debt Instrument [Line Items] | ||||||||
Assets | $ 4,744,296,000 | $ 4,380,342,000 | $ 4,294,026,000 | |||||
Write off of unamortized debt issuance cost | 84,000 | 0 | ||||||
Fair value liability of interest rate cap, collar and swap | 3,639,000 | 81,000 | ||||||
Fair value asset of interest rate cap, collar and swap | $ 5,555,000 | $ 7,787,000 | ||||||
TL | Minimum | Base Rate | ||||||||
Debt Instrument [Line Items] | ||||||||
LIBOR plus interest rate | 1.50% | |||||||
TL | Maximum | Base Rate | ||||||||
Debt Instrument [Line Items] | ||||||||
LIBOR plus interest rate | 2.00% | |||||||
TMCL II Secured Debt Facility | ||||||||
Debt Instrument [Line Items] | ||||||||
Aggregate maximum commitment amount | $ 1,200,000,000 | |||||||
Advance rate for finance lease containers | 80.00% | 80.00% | ||||||
Repayments of debt | $ 159,480,000 | |||||||
Write off of unamortized debt issuance cost | $ 6,516,000 | |||||||
TMCL II Secured Debt Facility | TMCL | ||||||||
Debt Instrument [Line Items] | ||||||||
Amount of borrowing based upon asset | 655,210,000 | |||||||
Assets | 864,338,000 | |||||||
TMCL IV Secured Debt Facility | ||||||||
Debt Instrument [Line Items] | ||||||||
Aggregate maximum commitment amount | 300,000,000 | |||||||
Repayments of debt | $ 129,400,000 | |||||||
Proceeds from line of credit | 4,792,000 | |||||||
TL Revolving Credit Facility | ||||||||
Debt Instrument [Line Items] | ||||||||
Amount of borrowing based upon asset | 1,416,637,000 | |||||||
Repayments of debt | 122,910,000 | |||||||
Proceeds from line of credit | $ 124,608,000 | |||||||
Write off of unamortized debt issuance cost | 529,000 | |||||||
Letters of credit outstanding, amount | $ 0 | $ 0 | ||||||
TL Revolving Credit Facility | TL | ||||||||
Debt Instrument [Line Items] | ||||||||
Aggregate maximum commitment amount | $ 700,000,000 | $ 1,500,000,000 | ||||||
Interest payment terms | The TL Revolving Credit Facility provides for payments of interest only during its term beginning on its inception date through September 2023 when all borrowings are due in full. | |||||||
Advance rate for finance lease containers | 83.50% | 84.50% | ||||||
TL Revolving Credit Facility | TL | Minimum | ||||||||
Debt Instrument [Line Items] | ||||||||
Incremental percentage on interest rate margins | 1.50% | |||||||
TL Revolving Credit Facility | TL | Minimum | Eurodollar | ||||||||
Debt Instrument [Line Items] | ||||||||
LIBOR plus interest rate | 2.00% | |||||||
Write off of unamortized debt issuance cost | $ 529,000 | |||||||
TL Revolving Credit Facility | TL | Maximum | ||||||||
Debt Instrument [Line Items] | ||||||||
Incremental percentage on interest rate margins | 2.00% | |||||||
TL Revolving Credit Facility | TL | Maximum | Eurodollar | ||||||||
Debt Instrument [Line Items] | ||||||||
LIBOR plus interest rate | 2.50% | |||||||
TL Revolving Credit Facility | TL | Letter of Credit | ||||||||
Debt Instrument [Line Items] | ||||||||
Aggregate maximum commitment amount on letters of credit facility | $ 25,000,000 | |||||||
TL Revolving Credit Facility II | ||||||||
Debt Instrument [Line Items] | ||||||||
Aggregate maximum commitment amount | $ 190,000,000 | |||||||
Repayments of debt | $ 167,000,000 | |||||||
Interest payment terms | TL Revolving Credit Facility II provided for payments of interest only during its term beginning on its inception date through July 23, 2020, when all borrowings were due in full. | |||||||
TW Revolving Credit Facility | ||||||||
Debt Instrument [Line Items] | ||||||||
Repayments of debt | $ 65,269,000 | |||||||
TW Revolving Credit Facility | TW | ||||||||
Debt Instrument [Line Items] | ||||||||
Aggregate maximum commitment amount | $ 300,000,000 | |||||||
TAP Funding Revolving Credit Facility | ||||||||
Debt Instrument [Line Items] | ||||||||
Aggregate maximum commitment amount | 190,000,000 | |||||||
Assets | $ 228,567,000 | |||||||
Advance rate for finance lease containers | 80.00% | 80.00% | ||||||
LIBOR plus interest rate | 1.95% | |||||||
TAP Funding Revolving Credit Facility | Tap Funding Limited | ||||||||
Debt Instrument [Line Items] | ||||||||
Assets | $ 175,798,000 | |||||||
TL Term Loan | ||||||||
Debt Instrument [Line Items] | ||||||||
Repayments of debt | 332,000,000 | |||||||
Bonds issued | $ 500,000,000 | |||||||
Debt instrument term | 5 years | |||||||
Write off unamortized debt issuance costs and bond discounts | $ 352,000 | |||||||
TL Term Loan | Minimum | Base Rate | ||||||||
Debt Instrument [Line Items] | ||||||||
LIBOR plus interest rate | 1.58% | |||||||
TMCL VI Term Loan | ||||||||
Debt Instrument [Line Items] | ||||||||
Aggregate maximum commitment amount | $ 300,000,000 | |||||||
Amount of borrowing based upon asset | $ 274,515,000 | |||||||
Assets | $ 369,893,000 | |||||||
Interest payment terms | TMCL VI was required to maintain restricted cash balances on deposit in a designated bank account equal to nine months of interest expense on the TMCL VI Term Loan. | |||||||
Advance rate for finance lease containers | 77.08% | |||||||
2017-1 Bonds | ||||||||
Debt Instrument [Line Items] | ||||||||
Assets | $ 359,255,000 | |||||||
Principal amortization per year | $ 420,000,000 | |||||||
Target final payment date start | May 20, 2026 | |||||||
Target final payment date end | May 20, 2042 | |||||||
Bonds issued, percentage of par value | 75.20% | 75.20% | ||||||
2017-1 Bonds | Class A Secured Debt Facility | ||||||||
Debt Instrument [Line Items] | ||||||||
Bonds issued | $ 350,000,000 | |||||||
2017-1 Bonds | Class B Secured Debt Facility | ||||||||
Debt Instrument [Line Items] | ||||||||
Bonds issued | $ 70,000,000 | |||||||
2017-1 Bonds | Minimum | ||||||||
Debt Instrument [Line Items] | ||||||||
Scheduled payment term | 9 years | |||||||
2017-1 Bonds | Maximum | ||||||||
Debt Instrument [Line Items] | ||||||||
Scheduled payment term | 25 years | |||||||
2017-2 Bonds | ||||||||
Debt Instrument [Line Items] | ||||||||
Assets | $ 441,747,000 | |||||||
Principal amortization per year | $ 500,000,000 | |||||||
Target final payment date start | Jun. 20, 2026 | |||||||
Target final payment date end | Jun. 20, 2042 | |||||||
Bonds issued, percentage of par value | 77.60% | 77.60% | ||||||
2017-2 Bonds | Class A Secured Debt Facility | ||||||||
Debt Instrument [Line Items] | ||||||||
Bonds issued | $ 416,000,000 | |||||||
2017-2 Bonds | Class B Secured Debt Facility | ||||||||
Debt Instrument [Line Items] | ||||||||
Bonds issued | $ 84,000,000 | |||||||
2017-2 Bonds | Minimum | ||||||||
Debt Instrument [Line Items] | ||||||||
Scheduled payment term | 9 years | |||||||
2017-2 Bonds | Maximum | ||||||||
Debt Instrument [Line Items] | ||||||||
Scheduled payment term | 25 years | |||||||
TMCL V | ||||||||
Debt Instrument [Line Items] | ||||||||
Assets | $ 1,077,079,000 | |||||||
TMCL VII Series 2018-1 Bonds | ||||||||
Debt Instrument [Line Items] | ||||||||
Assets | $ 252,668,000 | |||||||
Principal amortization per year | $ 259,100,000 | |||||||
Bonds issued, discount | $ 3,124,000 | |||||||
Number of quarterly installments | Both principal and interest incurred were payable monthly in arrears. | |||||||
Anticipated repayment date | 2025-07 | |||||||
Legal final payment | 2043-07 | |||||||
TMCL VII Series 2018-1 Bonds | Class A Secured Debt Facility | ||||||||
Debt Instrument [Line Items] | ||||||||
Bonds issued | $ 250,000,000 | |||||||
Bonds issued, percentage of par value | 98.82% | |||||||
TMCL VII Series 2018-1 Bonds | Class B Secured Debt Facility | ||||||||
Debt Instrument [Line Items] | ||||||||
Bonds issued | $ 9,100,000 | |||||||
Bonds issued, percentage of par value | 98.14% | |||||||
TMCL VII Series 2018-1 Bonds | Minimum | ||||||||
Debt Instrument [Line Items] | ||||||||
Scheduled payment term | 7 years | |||||||
TMCL VII Series 2018-1 Bonds | Maximum | ||||||||
Debt Instrument [Line Items] | ||||||||
Scheduled payment term | 25 years | |||||||
TMCL VII Secured Debt | ||||||||
Debt Instrument [Line Items] | ||||||||
Assets | $ 318,156,000 |
Future Scheduled Repayments (De
Future Scheduled Repayments (Detail) | Dec. 31, 2018USD ($) | |
Debt Instrument [Line Items] | ||
2019 | $ 197,427,000 | [1] |
2020 | 204,706,000 | [1] |
2021 | 349,571,000 | [1] |
2022 | 229,945,000 | [1] |
2023 and thereafter | 2,456,164,000 | [1] |
Long Term Debt, Carrying Amount, Total | 3,437,813,000 | [1] |
Available Borrowing, as Limited by the Borrowing Base | 139,435,000 | [1] |
Current and Available Borrowing | 3,577,248,000 | [1] |
TMCL II Secured Debt Facility | ||
Debt Instrument [Line Items] | ||
2019 | 60,160,000 | [2] |
2020 | 60,484,000 | [2] |
2021 | 55,549,000 | [2] |
2022 | 55,549,000 | [2] |
2023 and thereafter | 425,895,000 | [2] |
Long Term Debt, Carrying Amount, Total | 657,637,000 | [2] |
Current and Available Borrowing | 657,637,000 | [2] |
TL Revolving Credit Facility | ||
Debt Instrument [Line Items] | ||
2023 and thereafter | 1,280,000,000 | |
Long Term Debt, Carrying Amount, Total | 1,280,000,000 | |
Available Borrowing, as Limited by the Borrowing Base | 136,637,000 | |
Current and Available Borrowing | 1,416,637,000 | |
TAP Funding Revolving Credit Facility | ||
Debt Instrument [Line Items] | ||
2019 | 13,813,000 | |
2020 | 16,752,000 | |
2021 | 142,435,000 | |
Long Term Debt, Carrying Amount, Total | 173,000,000 | |
Available Borrowing, as Limited by the Borrowing Base | 2,798,000 | |
Current and Available Borrowing | 175,798,000 | |
TMCL VI Term Loan | ||
Debt Instrument [Line Items] | ||
2019 | 25,500,000 | |
2020 | 25,500,000 | |
2021 | 25,500,000 | |
2022 | 25,500,000 | |
2023 and thereafter | 176,724,000 | |
Long Term Debt, Carrying Amount, Total | 278,724,000 | |
Current and Available Borrowing | 278,724,000 | |
2017-1 Bonds | ||
Debt Instrument [Line Items] | ||
2019 | 38,331,000 | |
2020 | 39,357,000 | |
2021 | 52,173,000 | |
2022 | 63,220,000 | |
2023 and thereafter | 164,129,000 | |
Long Term Debt, Carrying Amount, Total | 357,210,000 | |
Current and Available Borrowing | 357,210,000 | |
2017-2 Bonds | ||
Debt Instrument [Line Items] | ||
2019 | 40,968,000 | [3] |
2020 | 43,958,000 | [3] |
2021 | 55,259,000 | [3] |
2022 | 67,021,000 | [3] |
2023 and thereafter | 232,709,000 | [3] |
Long Term Debt, Carrying Amount, Total | 439,915,000 | [3] |
Current and Available Borrowing | 439,915,000 | [3] |
TMCL VII Series 2018-1 Bonds | ||
Debt Instrument [Line Items] | ||
2019 | 18,655,000 | [3] |
2020 | 18,655,000 | [3] |
2021 | 18,655,000 | [3] |
2022 | 18,655,000 | [3] |
2023 and thereafter | 176,707,000 | [3] |
Long Term Debt, Carrying Amount, Total | 251,327,000 | [3] |
Current and Available Borrowing | $ 251,327,000 | [3] |
[1] | Future scheduled payments for all debts exclude unamortized prepaid debt issuance costs in an aggregate amount of $25,038. | |
[2] | Future scheduled payments for the TMCL II Secured Debt Facility is based on the assumption that the facility will not be extended on its associated conversion date. | |
[3] | Future scheduled payments for the 2017-2 Bonds and 2018-1 Bonds exclude an unamortized discount of $60 and $2,888, respectively. |
Future Scheduled Repayments (Pa
Future Scheduled Repayments (Parenthetical) (Detail) $ in Thousands | Dec. 31, 2018USD ($) |
Debt Instrument [Line Items] | |
Prepaid debt issuance costs | $ 25,038 |
2017-2 Bonds | |
Debt Instrument [Line Items] | |
Debt instrument exclude an unamortized discount | 60 |
TMCL VII Series 2018-1 Bonds | |
Debt Instrument [Line Items] | |
Debt instrument exclude an unamortized discount | $ 2,888 |
Summary of Derivative Instrumen
Summary of Derivative Instruments (Detail) $ in Thousands | Dec. 31, 2018USD ($) |
Derivative [Line Items] | |
Notional amounts | $ 1,227,967 |
Interest rate swaps, collars and caps | Amortizing | |
Derivative [Line Items] | |
Notional amounts | 987,967 |
Interest rate cap | Non-Amortizing | |
Derivative [Line Items] | |
Notional amounts | $ 240,000 |
Summary of Derivative Instrum_2
Summary of Derivative Instruments (Parenthetical) (Detail) | 12 Months Ended |
Dec. 31, 2018 | |
Interest rate swaps, collars and caps | |
Derivative [Line Items] | |
Derivative term | through Jan 15, 2023 |
Interest rate swaps, collars and caps | Minimum | |
Derivative [Line Items] | |
Fixed interest rate on derivative contracts | 0.70% |
Interest rate swaps, collars and caps | Maximum | |
Derivative [Line Items] | |
Fixed interest rate on derivative contracts | 2.94% |
Interest rate cap | |
Derivative [Line Items] | |
Derivative term | through August 15, 2021 |
Interest rate cap | Minimum | |
Derivative [Line Items] | |
Floor interest rate on derivative contracts | 3.70% |
Interest rate cap | Maximum | |
Derivative [Line Items] | |
Fixed interest rate on derivative contracts | 5.10% |
Segment Information - Additiona
Segment Information - Additional Information (Detail) | 12 Months Ended |
Dec. 31, 2018Segment | |
Segment Reporting [Abstract] | |
Number of reportable segments | 3 |
Segment Information Reconciled
Segment Information Reconciled to Income Before Income Tax and Noncontrolling Interest (Detail) - USD ($) $ in Thousands | 12 Months Ended | |||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | ||
Segment Reporting Information [Line Items] | ||||
Lease rental income | $ 612,704 | $ 549,454 | $ 565,938 | |
Trading container margin | 3,450 | 1,456 | (276) | |
Gain on sale of owned fleet containers, net | 36,071 | 26,210 | 6,761 | |
Depreciation expense | 235,705 | 231,043 | 236,144 | |
Container impairment | 26,775 | 8,072 | 94,623 | |
Interest expense | 138,427 | 117,475 | 85,215 | |
Write-off of unamortized deferred debt issuance costs and bond discounts | 881 | 7,550 | ||
Realized gain (loss) on interest rate swaps, collars and caps, net | 5,238 | (1,191) | (8,928) | |
Unrealized loss (gain) on interest rate swaps, collars and caps, net | 5,790 | (4,094) | (6,210) | |
Segment income (loss) before income tax and noncontrolling interests | 56,275 | 22,360 | (61,323) | |
Total assets | 4,744,296 | 4,380,342 | 4,294,026 | |
Purchases of long-lived assets | 766,006 | 419,222 | 476,162 | |
Realized loss on interest rate swaps, collars and caps, net | (5,238) | 1,191 | 8,928 | |
Unrealized (loss) gain on interest rate swaps, collars and caps, net | (5,790) | 4,094 | 6,210 | |
Owned Fleet | ||||
Segment Reporting Information [Line Items] | ||||
Lease rental income | 501,362 | 444,888 | 460,427 | |
Managed Fleet | ||||
Segment Reporting Information [Line Items] | ||||
Lease rental income | 111,342 | 104,566 | 105,511 | |
Container Ownership | ||||
Segment Reporting Information [Line Items] | ||||
Lease rental income | 498,414 | 442,219 | 458,246 | |
Gain on sale of owned fleet containers, net | 36,071 | 26,210 | 6,761 | |
Depreciation expense | 241,647 | 236,577 | 241,498 | |
Container impairment | 26,775 | 8,072 | 94,623 | |
Interest expense | 138,427 | 117,475 | 85,215 | |
Write-off of unamortized deferred debt issuance costs and bond discounts | 881 | 7,550 | ||
Realized gain (loss) on interest rate swaps, collars and caps, net | 5,238 | (1,191) | (8,928) | |
Unrealized loss (gain) on interest rate swaps, collars and caps, net | 5,790 | (4,094) | (6,210) | |
Segment income (loss) before income tax and noncontrolling interests | 26,166 | (1,707) | (84,252) | |
Total assets | 4,648,938 | 4,316,272 | 4,261,296 | |
Purchases of long-lived assets | 765,297 | 418,288 | 474,956 | |
Realized loss on interest rate swaps, collars and caps, net | (5,238) | 1,191 | 8,928 | |
Unrealized (loss) gain on interest rate swaps, collars and caps, net | (5,790) | 4,094 | 6,210 | |
Container Ownership | Owned Fleet | ||||
Segment Reporting Information [Line Items] | ||||
Lease rental income | 498,414 | 442,219 | 458,246 | |
Container Management | ||||
Segment Reporting Information [Line Items] | ||||
Lease rental income | 114,290 | 107,235 | 107,692 | |
Depreciation expense | 794 | 776 | 876 | |
Segment income (loss) before income tax and noncontrolling interests | 20,322 | 15,376 | 18,134 | |
Total assets | 128,328 | 139,989 | 89,905 | |
Purchases of long-lived assets | 709 | 934 | 1,206 | |
Container Management | Owned Fleet | ||||
Segment Reporting Information [Line Items] | ||||
Lease rental income | 2,948 | 2,669 | 2,181 | |
Container Management | Managed Fleet | ||||
Segment Reporting Information [Line Items] | ||||
Lease rental income | 111,342 | 104,566 | 105,511 | |
Container Resale | ||||
Segment Reporting Information [Line Items] | ||||
Trading container margin | 3,450 | 1,456 | (276) | |
Segment income (loss) before income tax and noncontrolling interests | 16,128 | 10,854 | 6,178 | |
Total assets | 45,110 | 10,873 | 6,010 | |
Other | ||||
Segment Reporting Information [Line Items] | ||||
Segment income (loss) before income tax and noncontrolling interests | (4,083) | (3,568) | (3,016) | |
Total assets | 10,653 | 6,859 | 4,900 | |
Management Fees - Non-Leasing | ||||
Segment Reporting Information [Line Items] | ||||
Revenue | [1] | 8,529 | 7,146 | 5,937 |
Management Fees - Non-Leasing | External Customers | ||||
Segment Reporting Information [Line Items] | ||||
Revenue | 8,529 | 7,146 | 5,937 | |
Management Fees - Non-Leasing | Container Ownership | External Customers | ||||
Segment Reporting Information [Line Items] | ||||
Revenue | 235 | 266 | 291 | |
Management Fees - Non-Leasing | Container Management | ||||
Segment Reporting Information [Line Items] | ||||
Revenue | 48,646 | 39,529 | 38,080 | |
Management Fees - Non-Leasing | Container Management | External Customers | ||||
Segment Reporting Information [Line Items] | ||||
Revenue | 2,752 | 2,105 | 2,593 | |
Management Fees - Non-Leasing | Container Resale | ||||
Segment Reporting Information [Line Items] | ||||
Revenue | 12,132 | 9,477 | 8,493 | |
Management Fees - Non-Leasing | Container Resale | External Customers | ||||
Segment Reporting Information [Line Items] | ||||
Revenue | 5,542 | 4,775 | 3,053 | |
Eliminations | ||||
Segment Reporting Information [Line Items] | ||||
Depreciation expense | (6,736) | (6,310) | (6,230) | |
Segment income (loss) before income tax and noncontrolling interests | (2,258) | 1,405 | 1,633 | |
Total assets | (88,733) | (93,651) | (68,085) | |
Eliminations | Management Fees - Non-Leasing | ||||
Segment Reporting Information [Line Items] | ||||
Revenue | $ (60,778) | $ (49,006) | $ (46,573) | |
[1] | Amounts for the years ended December 31, 2017 and 2016 have been reclassified to conform with 2018 presentation (see Note 1 (t) “Reclassifications and Changes in Presentation”). |
Segment Information Geographic
Segment Information Geographic Allocation of Lease Rental Income and Management Fees (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Segment Reporting Information [Line Items] | |||
Lease rental income | $ 612,704 | $ 549,454 | $ 565,938 |
Percent of Total, Lease rental income | 100.00% | 100.00% | 100.00% |
Percent of Total, Management fees | 100.00% | 100.00% | 100.00% |
Asia | |||
Segment Reporting Information [Line Items] | |||
Lease rental income | $ 319,286 | $ 280,331 | $ 297,822 |
Percent of Total, Lease rental income | 52.10% | 51.00% | 52.60% |
Percent of Total, Management fees | 0.10% | 0.10% | 0.30% |
Europe | |||
Segment Reporting Information [Line Items] | |||
Lease rental income | $ 255,753 | $ 232,888 | $ 232,538 |
Percent of Total, Lease rental income | 41.70% | 42.40% | 41.10% |
Percent of Total, Management fees | 24.50% | 29.30% | 11.10% |
North / South America | |||
Segment Reporting Information [Line Items] | |||
Lease rental income | $ 34,053 | $ 30,480 | $ 27,483 |
Percent of Total, Lease rental income | 5.60% | 5.50% | 4.90% |
Percent of Total, Management fees | 23.10% | 27.00% | 32.20% |
Bermuda | |||
Segment Reporting Information [Line Items] | |||
Percent of Total, Lease rental income | 0.00% | 0.00% | 0.00% |
Percent of Total, Management fees | 51.80% | 43.40% | 55.90% |
All other international | |||
Segment Reporting Information [Line Items] | |||
Lease rental income | $ 3,612 | $ 5,755 | $ 8,095 |
Percent of Total, Lease rental income | 0.60% | 1.10% | 1.40% |
Percent of Total, Management fees | 0.50% | 0.20% | 0.50% |
Total Management Fees | |||
Segment Reporting Information [Line Items] | |||
Revenue | $ 16,879 | $ 14,994 | $ 13,420 |
Total Management Fees | Non Leasing From External Customers | |||
Segment Reporting Information [Line Items] | |||
Revenue | 8,529 | 7,146 | 5,937 |
Total Management Fees | Non Leasing From External Customers | Asia | |||
Segment Reporting Information [Line Items] | |||
Revenue | 7 | 4 | 18 |
Total Management Fees | Non Leasing From External Customers | Europe | |||
Segment Reporting Information [Line Items] | |||
Revenue | 2,089 | 2,097 | 660 |
Total Management Fees | Non Leasing From External Customers | North / South America | |||
Segment Reporting Information [Line Items] | |||
Revenue | 1,970 | 1,928 | 1,911 |
Total Management Fees | Non Leasing From External Customers | Bermuda | |||
Segment Reporting Information [Line Items] | |||
Revenue | 4,418 | 3,100 | 3,320 |
Total Management Fees | Non Leasing From External Customers | All other international | |||
Segment Reporting Information [Line Items] | |||
Revenue | $ 45 | $ 17 | $ 28 |
Segment Information Geographi_2
Segment Information Geographic Allocation of Trading Container Sales Proceeds and Gains on Sale of Owned Fleet Containers Net (Detail) - USD ($) $ in Thousands | 12 Months Ended | |||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | ||
Segment Reporting Information [Line Items] | ||||
Gain on sale of owned fleet containers, net | $ 36,071 | $ 26,210 | $ 6,761 | |
Percent of Total, Trading container sales proceeds | 100.00% | 100.00% | 100.00% | |
Percent of Total, Gain on sale of containers, net | 100.00% | 100.00% | 100.00% | |
Trading Containers | ||||
Segment Reporting Information [Line Items] | ||||
Revenue | [1] | $ 19,568 | $ 4,758 | $ 15,628 |
Asia | ||||
Segment Reporting Information [Line Items] | ||||
Gain on sale of owned fleet containers, net | $ 18,593 | $ 18,321 | $ 6,015 | |
Percent of Total, Trading container sales proceeds | 67.00% | 70.40% | 74.50% | |
Percent of Total, Gain on sale of containers, net | 51.50% | 69.90% | 89.00% | |
Asia | Trading Containers | ||||
Segment Reporting Information [Line Items] | ||||
Revenue | $ 13,117 | $ 3,349 | $ 11,647 | |
Europe | ||||
Segment Reporting Information [Line Items] | ||||
Gain on sale of owned fleet containers, net | $ 9,622 | $ 2,994 | $ 1,576 | |
Percent of Total, Trading container sales proceeds | 17.80% | 12.50% | 6.60% | |
Percent of Total, Gain on sale of containers, net | 26.70% | 11.40% | 23.30% | |
Europe | Trading Containers | ||||
Segment Reporting Information [Line Items] | ||||
Revenue | $ 3,487 | $ 593 | $ 1,033 | |
North / South America | ||||
Segment Reporting Information [Line Items] | ||||
Gain on sale of owned fleet containers, net | $ 7,043 | $ 5,002 | $ 1,855 | |
Percent of Total, Trading container sales proceeds | 14.80% | 17.20% | 18.90% | |
Percent of Total, Gain on sale of containers, net | 19.50% | 19.10% | 27.40% | |
North / South America | Trading Containers | ||||
Segment Reporting Information [Line Items] | ||||
Revenue | $ 2,893 | $ 816 | $ 2,948 | |
Bermuda | ||||
Segment Reporting Information [Line Items] | ||||
Percent of Total, Trading container sales proceeds | 0.00% | 0.00% | 0.00% | |
Percent of Total, Gain on sale of containers, net | 0.00% | 0.00% | 0.00% | |
All other international | ||||
Segment Reporting Information [Line Items] | ||||
Gain on sale of owned fleet containers, net | $ 813 | $ (107) | $ (2,685) | |
Percent of Total, Trading container sales proceeds | 0.40% | 0.00% | 0.00% | |
Percent of Total, Gain on sale of containers, net | 2.30% | (0.40%) | (39.70%) | |
All other international | Trading Containers | ||||
Segment Reporting Information [Line Items] | ||||
Revenue | $ 71 | |||
[1] | Amounts for the years ended December 31, 2017 and 2016 have been reclassified to conform with 2018 presentation (see Note 1 (t) “Reclassifications and Changes in Presentation”). |
Commitments and Contingencies -
Commitments and Contingencies - Additional Information (Detail) - USD ($) | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Commitments and Contingencies Disclosure [Line Items] | |||
Rent expense | $ 2,049,000 | $ 3,432,000 | $ 1,213,000 |
Containers orders placed | 80,445,000 | ||
Future minimum lease payment obligations | 17,621,000 | ||
Fleet Management Agreements | |||
Commitments and Contingencies Disclosure [Line Items] | |||
Future minimum lease payment obligations | $ 0 |
Minimum Lease Payment under Non
Minimum Lease Payment under Noncancelable Operating Leases (Detail) $ in Thousands | Dec. 31, 2018USD ($) |
Commitments And Contingencies Disclosure [Abstract] | |
2019 | $ 2,186 |
2020 | 2,152 |
2021 | 2,071 |
2022 | 1,936 |
2023 and thereafter | 9,276 |
Total | $ 17,621 |
Commitments and Contingencies_2
Commitments and Contingencies - Summary of Restricted Cash (Detail) - USD ($) $ in Thousands | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 |
Restricted Cash And Cash Equivalents Items [Line Items] | |||
Restricted cash | $ 87,630 | $ 99,675 | $ 58,078 |
TL Revolving Credit Facility | |||
Restricted Cash And Cash Equivalents Items [Line Items] | |||
Restricted cash | 10,000 | ||
Other Restricted Cash Accounts | |||
Restricted Cash And Cash Equivalents Items [Line Items] | |||
Restricted cash | 77,491 | 75,660 | |
Trust Accounts | |||
Restricted Cash And Cash Equivalents Items [Line Items] | |||
Restricted cash | $ 10,139 | $ 14,015 |
Share Option and Restricted S_3
Share Option and Restricted Share Unit Plans - Additional Information (Detail) - USD ($) | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Options vest increments per year | 25.00% | ||
Weighted average grant date fair value of share options granted | $ 5.40 | $ 10.32 | $ 4.01 |
Total Compensation cost related to non-vested share option and restricted stock unit not yet recognized | $ 11,489,000 | ||
Total compensation cost related to non-vested shares and restricted stock to be recognized over weighted average period | 3 years | ||
Closing common share price | $ 9.96 | ||
Aggregate intrinsic value of all options exercisable and outstanding | $ 38,000 | ||
Aggregate intrinsic value of all options exercised | $ 83,000 | $ 241,000 | $ 0 |
Weighted average contractual life of share options exercisable | 4 years 10 months 24 days | ||
Weighted average contractual life of share options outstanding | 6 years 3 months 18 days | ||
Granted in 2010, 2011, 2012 and 2013 | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Employee's restricted stock units vest increment per year | 25.00% | ||
Amendment | 2015 Plan | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Share-based Compensation Arrangement by Share-based Payment Award, Number of Shares Available for Grant | 330,060 |
Summary of Activity in Two Thou
Summary of Activity in Two Thousand Seven Plan (Detail) - $ / shares | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Share options (common share equivalents) | |||
Beginning Balance | 1,524,677 | 1,431,813 | 1,159,346 |
Options granted during the period | 241,500 | 246,722 | 341,532 |
Options exercised during the period | (15,259) | (65,468) | |
Options expired during the period | (9,552) | (45,638) | (38,317) |
Options forfeited during the period | (37,458) | (42,752) | (30,748) |
Ending Balance | 1,703,908 | 1,524,677 | 1,431,813 |
Options exercisable at period end | 1,094,812 | ||
Options vested and expected to vest at period end | 1,655,740 | ||
Weighted average exercise price | |||
Beginning Balance | $ 22.88 | $ 22.41 | $ 26.62 |
Options granted during the period | 11.15 | 22.75 | 9.77 |
Options exercised during the period | 8.49 | 14.67 | |
Options expired during the period | 25.77 | 25.55 | 31.33 |
Options forfeited during the period | 17.61 | 16.04 | 29.97 |
Ending Balance | 21.44 | $ 22.88 | $ 22.41 |
Options exercisable at period end | 25.45 | ||
Options vested and expected to vest at period end | $ 21.65 | ||
Restricted Share Units | |||
Restricted share units | |||
Beginning Balance | 693,048 | 693,903 | 617,523 |
Share units granted during the period | 274,845 | 289,800 | 361,152 |
Share units vested during the period | (289,685) | (244,633) | (254,024) |
Share units forfeited during the period | (37,458) | (46,022) | (30,748) |
Ending Balance | 640,750 | 693,048 | 693,903 |
Share units outstanding and expected to vest at period end | 591,681 | ||
Weighted average grant date fair value | |||
Beginning Balance | $ 16.03 | $ 14.72 | $ 21.70 |
Share units granted during the period | 11.92 | 20.82 | 9.81 |
Share units vested during the period | 16.15 | 18.33 | 24.26 |
Share units forfeited during the period | 17.27 | 14.24 | 25.93 |
Ending Balance | 14.20 | $ 16.03 | $ 14.72 |
Share units outstanding and expected to vest at period end | $ 14.20 |
Summary of Information About Sh
Summary of Information About Share Options Exercisable and Outstanding (Detail) | Dec. 31, 2018$ / sharesshares |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | |
Share options exercisable, number of shares | shares | 1,094,812 |
Share options exercisable, weighted average exercise price | $ 25.45 |
Share options outstanding, number of shares | shares | 1,703,908 |
Share options outstanding, weighted average exercise price | $ 21.44 |
$9.70 | |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | |
Range of per share exercise price | $ 9.70 |
Share options exercisable, number of shares | shares | 145,290 |
Share options exercisable, weighted average exercise price | $ 9.70 |
Share options outstanding, number of shares | shares | 288,493 |
Share options outstanding, weighted average exercise price | $ 9.70 |
$9.75 | |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | |
Range of per share exercise price | $ 9.75 |
Share options exercisable, number of shares | shares | 938 |
Share options exercisable, weighted average exercise price | $ 9.75 |
Share options outstanding, number of shares | shares | 3,750 |
Share options outstanding, weighted average exercise price | $ 9.75 |
$11.15 | |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | |
Range of per share exercise price | $ 11.15 |
Share options outstanding, number of shares | shares | 241,500 |
Share options outstanding, weighted average exercise price | $ 11.15 |
$12.23 | |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | |
Range of per share exercise price | $ 12.23 |
Share options exercisable, number of shares | shares | 5,000 |
Share options exercisable, weighted average exercise price | $ 12.23 |
Share options outstanding, number of shares | shares | 10,000 |
Share options outstanding, weighted average exercise price | $ 12.23 |
$14.17 | |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | |
Range of per share exercise price | $ 14.17 |
Share options exercisable, number of shares | shares | 159,500 |
Share options exercisable, weighted average exercise price | $ 14.17 |
Share options outstanding, number of shares | shares | 213,136 |
Share options outstanding, weighted average exercise price | $ 14.17 |
$16.97 | |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | |
Range of per share exercise price | $ 16.97 |
Share options exercisable, number of shares | shares | 47,410 |
Share options exercisable, weighted average exercise price | $ 16.97 |
Share options outstanding, number of shares | shares | 47,410 |
Share options outstanding, weighted average exercise price | $ 16.97 |
$22.95 | |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | |
Range of per share exercise price | $ 22.95 |
Share options exercisable, number of shares | shares | 60,018 |
Share options exercisable, weighted average exercise price | $ 22.95 |
Share options outstanding, number of shares | shares | 222,838 |
Share options outstanding, weighted average exercise price | $ 22.95 |
$27.68 - $28.26 | |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | |
Share options exercisable, number of shares | shares | 207,882 |
Share options exercisable, weighted average exercise price | $ 28.12 |
Share options outstanding, number of shares | shares | 208,007 |
Share options outstanding, weighted average exercise price | $ 28.12 |
$27.68 - $28.26 | Minimum | |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | |
Range of per share exercise price | 27.68 |
$27.68 - $28.26 | Maximum | |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | |
Range of per share exercise price | $ 28.26 |
$28.54 - $31.34 | |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | |
Share options exercisable, number of shares | shares | 113,665 |
Share options exercisable, weighted average exercise price | $ 28.79 |
Share options outstanding, number of shares | shares | 113,665 |
Share options outstanding, weighted average exercise price | $ 28.79 |
$28.54 - $31.34 | Minimum | |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | |
Range of per share exercise price | 28.54 |
$28.54 - $31.34 | Maximum | |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | |
Range of per share exercise price | $ 31.34 |
$34.14 - $38.36 | |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | |
Share options exercisable, number of shares | shares | 355,109 |
Share options exercisable, weighted average exercise price | $ 36.13 |
Share options outstanding, number of shares | shares | 355,109 |
Share options outstanding, weighted average exercise price | $ 36.13 |
$34.14 - $38.36 | Minimum | |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | |
Range of per share exercise price | 34.14 |
$34.14 - $38.36 | Maximum | |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | |
Range of per share exercise price | $ 38.36 |
Fair Value of Stock Option Gran
Fair Value of Stock Option Granted Assumptions Used (Detail) | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Disclosure Of Compensation Related Costs Sharebased Payments [Abstract] | |||
Risk-free interest rates | 2.90% | 2.20% | 1.90% |
Expected terms (in years) | 5 years 6 months | 5 years 4 months 24 days | 5 years 2 months 12 days |
Expected common share price volatilities | 49.80% | 47.40% | 43.70% |
Expected dividends | 0.00% | 0.00% | 0.00% |
Expected forfeitures | 4.30% | 5.90% | 5.30% |
Condensed Statements of Compreh
Condensed Statements of Comprehensive Income (Loss) (Detail) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 12 Months Ended | |||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | ||
Operating expenses: | ||||
General and administrative expense | [1] | $ 44,317 | $ 39,677 | $ 34,540 |
Total operating expenses | 466,328 | 440,400 | 552,150 | |
Income from operations | 194,426 | 143,866 | 26,210 | |
Other (expense) income: | ||||
Interest income | 1,709 | 613 | 408 | |
Net other expense | (138,151) | (121,506) | (87,533) | |
Income tax benefit | (2,025) | (1,618) | 3,447 | |
Net income (loss) attributable to Textainer Group Holdings Limited common shareholders | $ 50,378 | $ 19,365 | $ (52,483) | |
Net income (loss) attributable to Textainer Group Holdings Limited common shareholders per share: | ||||
Basic | $ 0.88 | $ 0.34 | $ (0.93) | |
Diluted | $ 0.88 | $ 0.34 | $ (0.93) | |
Weighted average shares outstanding (in thousands): | ||||
Basic | 57,200 | 56,845 | 56,608 | |
Diluted | 57,487 | 57,159 | 56,608 | |
Other comprehensive income: | ||||
Comprehensive income (loss) attributable to Textainer Group Holdings Limited common shareholders | $ 50,251 | $ 19,572 | $ (52,716) | |
Parent Company | ||||
Operating expenses: | ||||
General and administrative expense | [2] | 4,083 | 3,568 | 3,020 |
Total operating expenses | 4,083 | 3,568 | 3,020 | |
Income from operations | (4,083) | (3,568) | (3,020) | |
Other (expense) income: | ||||
Equity in net income (loss) of subsidiaries | 54,461 | 22,933 | (49,470) | |
Interest income | 4 | |||
Net other expense | 54,461 | 22,933 | (49,466) | |
Income (loss) before income tax | 50,378 | 19,365 | (52,486) | |
Income tax benefit | 0 | 0 | 3 | |
Net income (loss) attributable to Textainer Group Holdings Limited common shareholders | $ 50,378 | $ 19,365 | $ (52,483) | |
Net income (loss) attributable to Textainer Group Holdings Limited common shareholders per share: | ||||
Basic | $ 0.88 | $ 0.34 | $ (0.93) | |
Diluted | $ 0.88 | $ 0.34 | $ (0.93) | |
Weighted average shares outstanding (in thousands): | ||||
Basic | 57,200 | 56,845 | 56,608 | |
Diluted | 57,487 | 57,159 | 56,608 | |
Other comprehensive income: | ||||
Foreign currency translation adjustments | $ (127) | $ 207 | $ (233) | |
Comprehensive income (loss) attributable to Textainer Group Holdings Limited common shareholders | $ 50,251 | $ 19,572 | $ (52,716) | |
[1] | Amounts for the years ended December 31, 2017 and 2016 have been reclassified to conform with 2018 presentation (see Note 1 (t) “Reclassifications and Changes in Presentation”). | |||
[2] | Amounts for the years ended December 31, 2017 and 2016 have been reclassified to conform with 2018 presentation (see Note 1(t) “Reclassifications and Changes in Presentation”). |
Condensed Balance Sheets (Detai
Condensed Balance Sheets (Detail) - USD ($) $ in Thousands | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Current assets: | |||||
Cash and cash equivalents | $ 137,298 | $ 137,894 | $ 84,045 | ||
Total current assets | 373,877 | 335,292 | |||
Total assets | 4,744,296 | 4,380,342 | 4,294,026 | ||
Current liabilities: | |||||
Accrued expenses | [1] | 20,023 | 17,610 | ||
Total current liabilities | 268,114 | 400,611 | |||
Textainer Group Holdings Limited shareholders' equity: | |||||
Common shares | 581 | 578 | |||
Additional paid-in capital | 406,083 | 397,821 | |||
Treasury shares | (9,149) | (9,149) | |||
Accumulated other comprehensive loss | (436) | (309) | |||
Retained earnings | [1] | 809,734 | 759,356 | ||
Total Textainer Group Holdings Limited shareholders’ equity | 1,206,813 | 1,148,297 | |||
Total liabilities and equity | 4,744,296 | 4,380,342 | |||
Parent Company | |||||
Current assets: | |||||
Cash and cash equivalents | 9,444 | 5,530 | $ 2,975 | $ 5,209 | |
Prepaid expenses | 182 | 216 | |||
Due from affiliates, net | 687 | 1,020 | |||
Total current assets | 10,313 | 6,766 | |||
Investments in subsidiaries | 1,202,271 | 1,147,157 | |||
Total assets | 1,212,584 | 1,153,923 | |||
Current liabilities: | |||||
Accrued expenses | 713 | 568 | |||
Total current liabilities | 713 | 568 | |||
Textainer Group Holdings Limited shareholders' equity: | |||||
Common shares | 581 | 578 | |||
Additional paid-in capital | 406,896 | 398,634 | |||
Treasury shares | (9,149) | (9,149) | |||
Accumulated other comprehensive loss | (436) | (309) | |||
Retained earnings | 813,979 | 763,601 | |||
Total Textainer Group Holdings Limited shareholders’ equity | 1,211,871 | 1,153,355 | |||
Total liabilities and equity | $ 1,212,584 | $ 1,153,923 | |||
[1] | Certain amounts as of December 31, 2017 have been adjusted to defer acquisition fees of the managed fleet as earned over the deemed lease term (see Note 2 “Immaterial Reclassification and Adjustment of Prior Periods”). |
Condensed Statements of Cash Fl
Condensed Statements of Cash Flows (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Cash flows from operating activities: | |||
Net income (loss) attributable to Textainer Group Holdings Limited common shareholders | $ 54,250 | $ 20,742 | $ (57,876) |
Adjustments to reconcile net (loss) income to net cash provided by operating activities: | |||
Share-based compensation expense | 7,355 | 6,083 | 6,573 |
Increase (decrease) in: | |||
Accrued expenses | 2,381 | 3,556 | 2,905 |
Total adjustments | 198,022 | 230,233 | 335,770 |
Net cash provided by operating activities | 252,272 | 250,975 | 277,894 |
Cash flows from investing activities: | |||
Net cash provided by (used in) investing activities | (672,940) | (85,364) | (280,430) |
Cash flows from financing activities: | |||
Issuance of common shares upon exercise of share options | 130 | 961 | |
Dividends paid to shareholders | (28,754) | ||
Net cash provided by (used in) financing activities | 408,154 | (70,372) | (4,619) |
Effect of exchange rate changes | (127) | 207 | (233) |
Cash and cash equivalents, beginning of the year | 137,894 | 84,045 | |
Cash and cash equivalents, end of the year | 137,298 | 137,894 | 84,045 |
Parent Company | |||
Cash flows from operating activities: | |||
Net income (loss) attributable to Textainer Group Holdings Limited common shareholders | 50,378 | 19,365 | (52,483) |
Adjustments to reconcile net (loss) income to net cash provided by operating activities: | |||
Equity in (income) loss of subsidiaries | (54,461) | (22,933) | 49,470 |
Dividends received from subsidiaries | 28,000 | ||
Share-based compensation expense | 7,355 | 6,083 | 6,573 |
Decrease (increase) in: | |||
Prepaid expenses | 34 | (43) | 15 |
Increase (decrease) in: | |||
Accrued expenses | 145 | (50) | (489) |
Total adjustments | (46,927) | (16,943) | 83,569 |
Net cash provided by operating activities | 3,451 | 2,422 | 31,086 |
Cash flows from investing activities: | |||
Increase (decrease) in investments in subsidiaries, net | 127 | (204) | (3,969) |
Net cash provided by (used in) investing activities | 127 | (204) | (3,969) |
Cash flows from financing activities: | |||
Issuance of common shares upon exercise of share options | 130 | 961 | |
Dividends paid to shareholders | (28,754) | ||
Due from affiliates, net | 333 | (831) | (364) |
Net cash provided by (used in) financing activities | 463 | 130 | (29,118) |
Effect of exchange rate changes | (127) | 207 | (233) |
Net increase (decrease) in cash and cash equivalents | 3,914 | 2,555 | (2,234) |
Cash and cash equivalents, beginning of the year | 5,530 | 2,975 | 5,209 |
Cash and cash equivalents, end of the year | $ 9,444 | $ 5,530 | $ 2,975 |
Valuation Accounts (Detail)
Valuation Accounts (Detail) - Accounts receivable, allowance for doubtful accounts - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Valuation and Qualifying Accounts Disclosure [Line Items] | |||
Balance at Beginning of Year | $ 5,775 | $ 31,844 | $ 14,053 |
Additions Charged to Expense | 2,697 | 477 | 21,166 |
Deductions Credited and Write-Offs | (4,390) | (26,546) | (3,375) |
Balance at End of Year | $ 4,082 | $ 5,775 | $ 31,844 |