Cover
Cover | 3 Months Ended |
Mar. 31, 2022shares | |
Cover [Abstract] | |
Document Type | 10-Q |
Document Quarterly Report | true |
Document Period End Date | Mar. 31, 2022 |
Document Transition Report | false |
Entity File Number | 1-4364 |
Entity Registrant Name | RYDER SYSTEM, INC. |
Entity Incorporation, State or Country Code | FL |
Entity Tax Identification Number | 59-0739250 |
Entity Address, Address Line One | 11690 N.W. 105th Street |
Entity Address, City or Town | Miami, |
Entity Address, State or Province | FL |
Entity Address, Postal Zip Code | 33178 |
City Area Code | 305 |
Local Phone Number | 500-3726 |
Title of 12(b) Security | Ryder System, Inc. Common Stock ($0.50 par value) |
Trading Symbol | R |
Security Exchange Name | NYSE |
Entity Current Reporting Status | Yes |
Entity Interactive Data Current | Yes |
Entity Filer Category | Large Accelerated Filer |
Entity Small Business | false |
Entity Emerging Growth Company | false |
Entity Shell Company | false |
Entity Common Stock, Shares Outstanding | 51,136,680 |
Document Fiscal Year Focus | 2022 |
Document Fiscal Period Focus | Q1 |
Amendment Flag | false |
Current Fiscal Year End Date | --12-31 |
Entity Central Index Key | 0000085961 |
CONDENSED CONSOLIDATED STATEMEN
CONDENSED CONSOLIDATED STATEMENTS OF EARNINGS - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2022 | Mar. 31, 2021 | |
Lease & related maintenance and rental revenues | $ 1,024,985 | $ 940,422 |
Total revenues | 2,853,862 | 2,221,622 |
Other operating expenses | 38,794 | 33,900 |
Selling, general and administrative expenses | 303,215 | 241,742 |
Non-operating pension costs, net | 2,787 | (9) |
Used vehicle sales, net | (112,994) | (28,851) |
Interest expense | 52,364 | 54,706 |
Miscellaneous (income) loss, net | 374 | (5,434) |
Restructuring and other items, net | 14,254 | 10,659 |
Total expenses | 2,601,991 | 2,151,355 |
Earnings from continuing operations before income taxes | 251,871 | 70,267 |
Provision for income taxes | 76,049 | 18,683 |
Earnings from continuing operations | 175,822 | 51,584 |
Loss from discontinued operations, net of tax | (235) | (759) |
Net earnings | $ 175,587 | $ 50,825 |
Earnings (loss) per common share — Basic | ||
Continuing operations (in dollars per share) | $ 3.42 | $ 0.98 |
Discontinued operations (in dollars per share) | 0 | (0.01) |
Net earnings (in dollars per share) | 3.42 | 0.97 |
Earnings (loss) per common share — Diluted | ||
Continuing operations (in dollars per share) | 3.35 | 0.97 |
Discontinued operations (in dollars per share) | 0 | (0.01) |
Net earnings (in dollars per share) | $ 3.35 | $ 0.95 |
Services revenue | ||
Revenue | $ 1,669,538 | $ 1,165,488 |
Cost of services sold | 1,446,709 | 999,792 |
Fuel services revenue | ||
Revenue | 159,339 | 115,712 |
Cost of services sold | 157,647 | 114,706 |
Cost of lease & related maintenance and rental | ||
Cost of services sold | $ 698,841 | $ 730,144 |
CONDENSED CONSOLIDATED STATEM_2
CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2022 | Mar. 31, 2021 | |
Statement of Comprehensive Income [Abstract] | ||
Net earnings | $ 175,587 | $ 50,825 |
Other comprehensive income: | ||
Changes in cumulative translation adjustment and unrealized losses from cash flow hedges | 2,624 | 8,940 |
Amortization of pension and postretirement items | 5,844 | 7,016 |
Income tax expense related to amortization of pension and postretirement items | (1,222) | (1,518) |
Amortization of pension and postretirement items, net of taxes | 4,622 | 5,498 |
Other comprehensive income, net of taxes | 7,246 | 14,438 |
Comprehensive income | $ 182,833 | $ 65,263 |
CONDENSED CONSOLIDATED BALANCE
CONDENSED CONSOLIDATED BALANCE SHEETS - USD ($) $ in Thousands | Mar. 31, 2022 | Dec. 31, 2021 |
Current assets: | ||
Cash and cash equivalents | $ 221,886 | $ 233,961 |
Receivables, net | 1,602,663 | 1,464,737 |
Inventories | 74,827 | 68,677 |
Prepaid expenses and other current assets | 212,792 | 693,239 |
Total current assets | 2,112,168 | 2,460,614 |
Revenue earning equipment, net | 8,390,706 | 8,323,039 |
Operating property and equipment, net of accumulated depreciation of $1,293,186 and $1,273,637 | 1,045,952 | 984,978 |
Goodwill | 844,793 | 570,905 |
Intangible assets, net | 322,120 | 170,205 |
Sales-type leases and other assets | 1,520,512 | 1,324,582 |
Total assets | 14,236,251 | 13,834,323 |
Current liabilities: | ||
Short-term debt and current portion of long-term debt | 1,559,928 | 1,333,363 |
Accounts payable | 867,322 | 747,898 |
Accrued expenses and other current liabilities | 1,127,833 | 1,119,602 |
Total current liabilities | 3,555,083 | 3,200,863 |
Long-term debt | 5,220,848 | 5,246,306 |
Other non-current liabilities | 1,436,724 | 1,314,404 |
Deferred income taxes | 1,375,255 | 1,274,804 |
Total liabilities | 11,587,910 | 11,036,377 |
Commitments and Contingencies | ||
Shareholders’ equity: | ||
Preferred stock, no par value per share — authorized, 3,800,917; none outstanding, March 31, 2022 and December 31, 2021 | 0 | 0 |
Common stock, $0.50 par value per share — authorized, 400,000,000; outstanding, March 31, 2022 — 51,136,680 and December 31, 2021 — 53,789,036 | 25,568 | 26,896 |
Additional paid-in capital | 1,134,143 | 1,194,334 |
Retained earnings | 2,170,625 | 2,265,957 |
Accumulated other comprehensive loss | (681,995) | (689,241) |
Total shareholders’ equity | 2,648,341 | 2,797,946 |
Total liabilities and shareholders’ equity | $ 14,236,251 | $ 13,834,323 |
CONDENSED CONSOLIDATED BALANC_2
CONDENSED CONSOLIDATED BALANCE SHEETS (Parenthetical) - USD ($) $ in Thousands | Mar. 31, 2022 | Dec. 31, 2021 |
Statement of Financial Position [Abstract] | ||
Accumulated depreciation | $ 1,293,186 | $ 1,273,637 |
Preferred stock, par value (in dollars per share) | $ 0 | $ 0 |
Preferred stock, shares authorized (in shares) | 3,800,917 | 3,800,917 |
Preferred stock, shares outstanding (in shares) | 0 | 0 |
Common stock, par value (in dollars per share) | $ 0.50 | $ 0.50 |
Common stock, shares authorized (in shares) | 400,000,000 | 400,000,000 |
Common stock, shares outstanding (in shares) | 51,136,680 | 53,789,036 |
CONDENSED CONSOLIDATED STATEM_3
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2022 | Mar. 31, 2021 | |
Cash flows from operating activities from continuing operations: | ||
Net earnings | $ 175,587 | $ 50,825 |
Less: Loss from discontinued operations, net of tax | (235) | (759) |
Earnings from continuing operations | 175,822 | 51,584 |
Depreciation expense | 429,740 | 461,162 |
Used vehicle sales, net | (112,994) | (28,851) |
Amortization expense and other non-cash charges, net | 31,463 | 15,133 |
Non-cash lease expense | 45,131 | 23,250 |
Non-operating pension costs, net and share-based compensation expense | 13,505 | 10,668 |
Deferred income tax expense | 58,187 | 15,477 |
Collections on sales-type leases | 33,586 | 30,374 |
Changes in operating assets and liabilities: | ||
Receivables | (64,155) | (4,597) |
Inventories | (6,078) | 1,070 |
Prepaid expenses and other assets | (15,038) | 892 |
Accounts payable | 12,994 | (25,642) |
Accrued expenses and other non-current liabilities | (136,459) | (84,809) |
Net cash provided by operating activities from continuing operations | 465,704 | 465,711 |
Cash flows from investing activities from continuing operations: | ||
Purchases of property and revenue earning equipment | (584,289) | (381,051) |
Sales of revenue earning equipment | 222,696 | 154,144 |
Sales of operating property and equipment | 2,864 | 2,357 |
Acquisitions, net of cash acquired | (424,754) | 0 |
Other | (157) | (1,412) |
Net cash used in investing activities from continuing operations | (783,640) | (225,962) |
Cash flows from financing activities from continuing operations: | ||
Net borrowings (repayments) of commercial paper and other | 63,482 | (130,763) |
Debt proceeds | 649,708 | 0 |
Debt repayments | (492,851) | (114,317) |
Dividends on common stock | (33,653) | (31,257) |
Common stock issued | (11,952) | (1,797) |
Common stock repurchased | (300,280) | (19,444) |
Other | (4,122) | (519) |
Net cash used in financing activities from continuing operations | (129,668) | (298,097) |
Effect of exchange rate changes on cash, cash equivalents, and restricted cash | (3,846) | (1,202) |
Decrease in cash, cash equivalents and restricted cash from continuing operations | (451,450) | (59,550) |
Increase (decrease) in cash, cash equivalents, and restricted cash from discontinued operations | 11 | (6) |
Decrease in cash, cash equivalents, and restricted cash | (451,439) | (59,556) |
Cash, cash equivalents, and restricted cash at beginning of period | 673,325 | 151,294 |
Cash, cash equivalents, and restricted cash at end of period | $ 221,886 | $ 91,738 |
CONDENSED CONSOLIDATED STATEM_4
CONDENSED CONSOLIDATED STATEMENTS OF SHAREHOLDERS' EQUITY - USD ($) $ in Thousands | Total | Preferred Stock | Common Stock | Additional Paid-In Capital | Retained Earnings | Accumulated Other Comprehensive Loss | |
Beginning balance at Dec. 31, 2020 | $ 2,255,557 | $ 0 | $ 26,866 | $ 1,132,954 | $ 1,912,942 | $ (817,205) | |
Beginning balance (in shares) at Dec. 31, 2020 | 53,732,033 | ||||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||
Comprehensive income | 65,263 | 50,825 | 14,438 | ||||
Common stock dividends declared | (30,569) | (30,569) | |||||
Common stock purchased under employee stock award and stock purchase plans and other (in shares) | [1],[2] | 426,311 | |||||
Common stock purchased under employee stock award and stock purchase plans and other (1) (2) | [1],[2] | (1,797) | $ 213 | (2,010) | |||
Common stock repurchases (in shares) | (287,957) | ||||||
Common stock repurchases | (19,444) | $ (144) | (5,977) | (13,323) | |||
Share-based compensation | 10,677 | 10,677 | |||||
Ending balance at Mar. 31, 2021 | 2,279,687 | 0 | $ 26,935 | 1,135,644 | 1,919,875 | (802,767) | |
Ending balance (in shares) at Mar. 31, 2021 | 53,870,387 | ||||||
Beginning balance at Dec. 31, 2021 | $ 2,797,946 | 0 | $ 26,896 | 1,194,334 | 2,265,957 | (689,241) | |
Beginning balance (in shares) at Dec. 31, 2021 | 53,789,036 | 53,789,036 | |||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||
Comprehensive income | $ 182,833 | 175,587 | 7,246 | ||||
Common stock dividends declared | (30,924) | (30,924) | |||||
Common stock purchased under employee stock award and stock purchase plans and other (in shares) | 399,914 | ||||||
Common stock purchased under employee stock award and stock purchase plans and other (1) (2) | (11,952) | $ 200 | (12,152) | ||||
Common stock repurchases (in shares) | (3,052,270) | ||||||
Common stock repurchases | (300,280) | $ (1,528) | (58,757) | (239,995) | |||
Share-based compensation | 10,718 | 10,718 | |||||
Ending balance at Mar. 31, 2022 | $ 2,648,341 | $ 0 | $ 25,568 | $ 1,134,143 | $ 2,170,625 | $ (681,995) | |
Ending balance (in shares) at Mar. 31, 2022 | 51,136,680 | 51,136,680 | |||||
[1] | Net of common shares delivered as payment for the exercise price or to satisfy the holders’ withholding tax liability upon exercise of options. | ||||||
[2] | Represents open-market transactions of common shares by the trustee of our deferred compensation plans. |
CONDENSED CONSOLIDATED STATEM_5
CONDENSED CONSOLIDATED STATEMENTS OF SHAREHOLDERS' EQUITY (Parenthetical) - $ / shares | 3 Months Ended | |
Mar. 31, 2022 | Mar. 31, 2021 | |
Statement of Stockholders' Equity [Abstract] | ||
Cash dividends declared per common share (in dollars per share) | $ 0.58 | $ 0.56 |
GENERAL
GENERAL | 3 Months Ended |
Mar. 31, 2022 | |
Accounting Changes and Error Corrections [Abstract] | |
GENERAL | GENERAL Interim Financial Statements The accompanying unaudited Condensed Consolidated Financial Statements include the accounts of Ryder System, Inc. (Ryder) and all entities in which Ryder has a controlling voting interest (subsidiaries) and variable interest entities (VIE) required to be consolidated in accordance with generally accepted accounting principles in the United States (GAAP). The accompanying unaudited Condensed Consolidated Financial Statements have been prepared in accordance with the accounting policies described in our 2021 Annual Report on Form 10-K and should be read in conjunction with the Consolidated Financial Statements and notes thereto. The year-end condensed balance sheet data was derived from our audited financial statements, but does not include all disclosures required by GAAP. In the opinion of management, all adjustments, including normal recurring accruals, considered necessary for a fair statement have been included and the disclosures herein are adequate. The operating results for interim periods are not necessarily indicative of the results that can be expected for a full year. We report our financial performance based on three business segments: (1) Fleet Management Solutions (FMS), which provides full service leasing and leasing with flexible maintenance options, commercial rental and maintenance services of trucks, tractors and trailers to customers principally in the United States (U.S.) and Canada; (2) Supply Chain Solutions (SCS), which provides integrated logistics solutions, including distribution management, dedicated transportation, transportation management, e-commerce and last mile and professional services in North America; and (3) Dedicated Transportation Solutions (DTS), which provides turnkey transportation solutions in the U.S. that includes dedicated vehicles, drivers, management, and administrative support. Dedicated transportation services provided as part of an operationally integrated, multi-service, supply chain solution to SCS customers are primarily reported in the SCS business segment. In February 2022, we announced our intentions to exit the FMS United Kingdom (U.K.) business. We expect to complete the exit of the FMS U.K. business by mid-2023. |
RECENT ACCOUNTING PRONOUNCEMENT
RECENT ACCOUNTING PRONOUNCEMENTS | 3 Months Ended |
Mar. 31, 2022 | |
Accounting Standards Update and Change in Accounting Principle [Abstract] | |
RECENT ACCOUNTING PRONOUNCEMENTS | RECENT ACCOUNTING PRONOUNCEMENTS Reference Rate Reform In March 2020, the Financial Accounting Standards Board (FASB) issued Accounting Standards Update (ASU) No. 2020-04, Reference Rate Reform (Topic 848). This update provides optional expedients for applying GAAP to contracts, hedging relationships, and other transactions that reference LIBOR or another rate expected to be discontinued at the end of 2021 because of reference rate reform. The update is effective for all transactions from March 12, 2020 through December 31, 2022. We will continue to adopt this update as alternative reference rates in relevant contracts are modified through December 31, 2022. We continuously evaluate the potential impact on our consolidated financial position, results of operations, and cash flows. Leases In July 2021, the FASB issued ASU No. 2021-05, Lessor - Certain Leases with Variable Lease Payments (Topic 842). This update requires lessors to classify leases as operating leases if they have variable lease payments that do not depend on an index or rate and would have selling losses if they were classified as sales-type or direct financing leases. The update is effective for fiscal years beginning after December 15, 2021, and interim periods within those fiscal years. Entities are permitted to apply this amendment using the retrospective or prospective approach. On January 1, 2022 we adopted the amendment on a prospective basis and it did not have a material impact on our consolidated financial position, results of operations, and cash flows. Business Combinations In October 2021, the FASB issued ASU No. 2021-08, Accounting for Contract Assets and Contract Liabilities - Business Combinations (Topic 805). This update requires companies to apply Revenue from Contracts with Customers (Topic 606) to recognize and measure contract assets and contract liabilities from contracts with customers acquired in a business combination. Additionally, the update clarifies that companies should apply the definition of a performance obligation in Topic 606 when recognizing contract liabilities assumed in a business combination. The standard is effective for fiscal years beginning after December 15, 2022, and interim periods within those fiscal years, with early adoption permitted. We will adopt this update on January 1, 2023 and are currently evaluating the impact on our consolidated financial position, results of operations, and cash flows. |
SEGMENT REPORTING
SEGMENT REPORTING | 3 Months Ended |
Mar. 31, 2022 | |
Segment Reporting [Abstract] | |
SEGMENT REPORTING | SEGMENT REPORTING Our primary measurement of segment financial performance, defined as segment “Earnings from continuing operations before income taxes” (EBT), includes an allocation of costs from Central Support Services (CSS) and excludes non-operating pension costs, net and certain other items as discussed in Note 15, “Other Items Impacting Comparability.” Segment results are not necessarily indicative of the results of operations that would have occurred had each segment been an independent, stand-alone entity during the periods presented. The following table sets forth financial information for each of our segments and provides a reconciliation between segment EBT and earnings from continuing operations before income taxes: Three months ended March 31, 2022 2021 (In thousands) Revenue: Fleet Management Solutions: ChoiceLease $ 802,342 $ 797,088 Commercial rental 313,154 223,009 SelectCare and other 166,651 148,016 Fuel services and ChoiceLease liability insurance (1) 247,081 167,372 Fleet Management Solutions 1,529,228 1,335,485 Supply Chain Solutions 1,088,542 706,700 Dedicated Transportation Solutions 424,948 320,507 Eliminations (2) (188,856) (141,070) Total revenues $ 2,853,862 $ 2,221,622 Earnings From Continuing Operations Before Income Taxes: Fleet Management Solutions $ 248,199 $ 63,402 Supply Chain Solutions 34,219 32,957 Dedicated Transportation Solutions 20,211 12,982 Eliminations (26,590) (12,274) 276,039 97,067 Unallocated Central Support Services (16,004) (18,432) Non-operating pension costs, net (3) (2,787) 9 Other items impacting comparability, net (4) (5,377) (8,377) Earnings from continuing operations before income taxes $ 251,871 $ 70,267 ———————————— (1) In the first quarter of 2021, we completed the previously announced exit of the extension of our liability insurance coverage for ChoiceLease customers. (2) Represents the elimination of intercompany revenues in our FMS business segment. (3) Refer to Note 14, "Employee Benefit Plans," for a discussion on these items. (4) Refer to Note 15, “Other Items Impacting Comparability,” for a discussion of items excluded from our primary measure of segment performance. The following table sets forth the capital expenditures paid for each of our segments: Three months ended March 31, 2022 2021 (In thousands) Fleet Management Solutions $ 551,090 $ 367,708 Supply Chain Solutions 25,950 8,530 Dedicated Transportation Solutions 339 306 Central Support Services 6,910 4,507 Purchases of property and revenue earning equipment $ 584,289 $ 381,051 |
REVENUE
REVENUE | 3 Months Ended |
Mar. 31, 2022 | |
Revenue from Contract with Customer [Abstract] | |
REVENUE | REVENUE Disaggregation of Revenue The following tables disaggregate our revenue recognized by primary geographical market by our reportable business segments and by industry for SCS. Refer to Note 3, "Segment Reporting," for the disaggregation of our revenue by major products/service lines. Primary Geographical Markets Three months ended March 31, 2022 FMS SCS DTS Eliminations Total (In thousands) United States $ 1,388,043 $ 971,200 $ 424,948 $ (179,400) $ 2,604,791 Canada 77,529 59,628 — (9,456) 127,701 Europe (1) 63,656 — — — 63,656 Mexico — 57,714 — — 57,714 Total revenues $ 1,529,228 $ 1,088,542 $ 424,948 $ (188,856) $ 2,853,862 (1) Refer to Note 15, "Other Items Impacting Comparability," for further information on the exit of the FMS U.K. business. Three months ended March 31, 2021 FMS SCS DTS Eliminations Total (In thousands) United States $ 1,197,984 $ 601,298 $ 320,507 $ (136,727) $ 1,983,062 Canada 70,413 56,088 — (4,343) 122,158 Europe 67,088 — — — 67,088 Mexico — 49,314 — — 49,314 Total revenues $ 1,335,485 $ 706,700 $ 320,507 $ (141,070) $ 2,221,622 Industry Our SCS business segment included revenue from the below industries: Three months ended March 31, 2022 2021 (In thousands) Consumer packaged goods and retail $ 500,298 $ 273,224 Automotive 354,237 271,555 Technology and healthcare 121,322 97,085 Industrial and other 112,685 64,836 Total SCS Revenues $ 1,088,542 $ 706,700 Lease & Related Maintenance and Rental Revenues The non-lease revenue from maintenance services related to our ChoiceLease product is recognized in "Lease & related maintenance and rental revenues" in the Condensed Consolidated Statements of Earnings. For the three months ended March 31, 2022 and 2021, we recognized $257 million and $250 million, respectively. Deferred Revenue The following table includes the changes in deferred revenue due to the collection and deferral of cash or the satisfaction of our performance obligation under the contract: Three months ended March 31, 2022 2021 (In thousands) Balance as of beginning of period $ 593,442 $ 629,739 Recognized as revenue during period from beginning balance (59,659) (59,031) Consideration deferred during period, net 48,007 51,759 Foreign currency translation adjustment and other (994) 709 Balance as of end of period $ 580,796 $ 623,176 Contracted Not Recognized Revenue |
RECEIVABLES, NET
RECEIVABLES, NET | 3 Months Ended |
Mar. 31, 2022 | |
Receivables [Abstract] | |
RECEIVABLES, NET | RECEIVABLES, NET March 31, 2022 December 31, 2021 (In thousands) Trade $ 1,431,315 $ 1,280,766 Sales-type leases 145,874 148,134 Other, primarily warranty and insurance 53,607 67,141 1,630,796 1,496,041 Allowance for credit losses and other (28,133) (31,304) Total $ 1,602,663 $ 1,464,737 The following table provides a reconciliation of our allowance for credit losses and other: Three months ended March 31, 2022 2021 (In thousands) Balance as of beginning of period $ 31,304 $ 43,024 Changes to provisions for credit losses 3,533 (1,800) Write-offs and other (6,704) (4,024) Balance as of end of period $ 28,133 $ 37,200 |
REVENUE EARNING EQUIPMENT, NET
REVENUE EARNING EQUIPMENT, NET | 3 Months Ended |
Mar. 31, 2022 | |
Revenue Earning Equipment [Abstract] | |
REVENUE EARNING EQUIPMENT, NET | REVENUE EARNING EQUIPMENT, NET Estimated Useful Lives March 31, 2022 December 31, 2021 Cost Accumulated Net Cost Accumulated Net (In years) (In thousands) Held for use: Trucks 3 — 7 $ 5,288,297 $ (2,089,227) $ 3,199,070 $ 5,223,127 $ (2,055,135) $ 3,167,992 Tractors 4 — 7.5 7,247,049 (3,071,862) 4,175,187 7,256,002 (3,059,206) 4,196,796 Trailers and other 9.5 — 12 1,839,053 (894,753) 944,300 1,780,487 (868,820) 911,667 Held for sale 273,321 (201,172) 72,149 209,506 (162,922) 46,584 Total $ 14,647,720 $ (6,257,014) $ 8,390,706 $ 14,469,122 $ (6,146,083) $ 8,323,039 Residual Value Estimate Changes We periodically review and adjust, as appropriate, the estimated residual values and useful lives of existing revenue earning equipment for the purposes of recording depreciation expense. Reductions in estimated residual values or useful lives will increase depreciation expense over the remaining useful life of the vehicle. Conversely, an increase in estimated residual values or useful lives will decrease depreciation expense over the remaining useful life of the vehicle. Our review of the estimated residual values and useful lives of revenue earning equipment is based on vehicle class, (i.e., generally subcategories of trucks, tractors and trailers by weight and usage), historical and current market prices, third-party expected future market prices, expected lives of vehicles, and expected sales in the wholesale or retail markets, among other factors. A variety of factors, many of which are outside of our control, could cause residual value estimates to differ from actual used vehicle sales pricing, such as changes in supply and demand of used vehicles; volatility in market conditions; changes in vehicle technology; competitor pricing; regulatory requirements; driver shortages; customer requirements and preferences; and changes in underlying assumption factors. We have disciplines related to the management and maintenance of our vehicles designed to manage the risk associated with the residual values of our revenue earning equipment. The following table provides a summary of incremental depreciation expense that has been recorded related to our previous residual value estimate changes as well as used vehicle sales results (rounded to the closest million): Three months ended March 31, 2022 2021 (In thousands) Depreciation expense related to estimate changes $ 49,000 $ 88,000 Used vehicle sales, net (1) (113,000) (29,000) (1) Used vehicle sales, net in the first quarter of 2022 included $8M of gains on sales of vehicles in the U.K. Refer to Note 15, "Other Items Impacting Comparability," Used Vehicle S ales and Valuation Adjustments Revenue earning equipment held for sale is stated at the lower of carrying amount or fair value less costs to sell. Losses on vehicles held for sale for which carrying values exceeded fair value, which we refer to as "valuation adjustments," are recognized at the time they are deemed to meet the held for sale criteria and are presented within “Used vehicle sales, net” in the Condensed Consolidated Statements of Earnings. For revenue earning equipment held for sale, we stratify our fleet by vehicle type (trucks, tractors and trailers), weight class, age and other relevant characteristics and create classes of similar assets for analysis purposes. For revenue earning equipment held for sale, fair value was determined based upon recent market prices obtained from our own sales experience for each class of similar assets and vehicle condition if available or third-party market pricing. In addition, we also consider expected declines in market prices when valuing the vehicles held for sale, as well as forecasted sales channel mix (retail/wholesale). The following table presents revenue earning equipment held for sale that are measured at fair value on a nonrecurring basis and considered a Level 3 fair value measurement: Losses from Valuation Adjustments Three months ended March 31, March 31, 2022 December 31, 2021 2022 2021 (In thousands) Revenue earning equipment held for sale (1) : Trucks $ 507 $ 931 $ 526 $ 890 Tractors 590 1,485 690 84 Trailers and other 263 1,309 280 2,047 Total assets at fair value $ 1,360 $ 3,725 $ 1,496 $ 3,021 ———————————— (1) Reflects only the portion where net book values exceeded fair values and valuation adjustments were recorded. The net book value of assets held for sale that were less than fair value was $71 million and $43 million as of March 31, 2022 and December 31, 2021, respectively. The components of used vehicle sales, net were as follows: Three months ended March 31, 2022 2021 (In thousands) Gains on vehicle sales, net $ (114,490) $ (31,872) Losses from valuation adjustments 1,496 3,021 Used vehicle sales, net $ (112,994) $ (28,851) |
ACCRUED EXPENSES AND OTHER LIAB
ACCRUED EXPENSES AND OTHER LIABILITIES | 3 Months Ended |
Mar. 31, 2022 | |
Accrued Liabilities and Other Liabilities [Abstract] | |
ACCRUED EXPENSES AND OTHER LIABILITIES | ACCRUED EXPENSES AND OTHER LIABILITIES March 31, 2022 December 31, 2021 Accrued Non-Current Total Accrued Non-Current Total (In thousands) Salaries and wages $ 155,887 $ — $ 155,887 $ 210,350 $ — $ 210,350 Insurance obligations (1) 186,592 303,288 489,880 186,449 311,209 497,658 Operating taxes (2) 171,496 — 171,496 165,680 — 165,680 Deposits, mainly from customers 95,153 — 95,153 94,547 — 94,547 Operating lease liabilities 152,211 384,846 537,057 100,232 255,573 355,805 Deferred revenue (3) 181,316 399,480 580,796 182,785 410,657 593,442 Other 185,178 349,110 534,288 179,559 336,965 516,524 Total $ 1,127,833 $ 1,436,724 $ 2,564,557 $ 1,119,602 $ 1,314,404 $ 2,434,006 ———————————— (1) Insurance obligations primarily represent self-insured claim liabilities. (2) Operating taxes include the deferral of certain payroll taxes in current and non-current liabilities allowed under the Coronavirus Aid, Relief, and Economic Security Act (CARES Act). |
LEASES
LEASES | 3 Months Ended |
Mar. 31, 2022 | |
Leases [Abstract] | |
LEASES | LEASES The components of revenue from leases were as follows: Three months ended March 31, 2022 2021 (In thousands) Operating leases Lease income related to ChoiceLease $ 381,545 $ 389,611 Lease income related to commercial rental (1) 298,135 210,284 Sales-type leases Interest income related to net investment in leases $ 10,728 $ 14,415 Variable lease income excluding commercial rental (1) $ 74,220 $ 71,993 ———————————— (1) Lease income related to commercial rental includes both fixed and variable lease income. Variable lease income is approximately 15% to 25% of total commercial rental income. The components of net investment in sales-type leases, which are included in "Receivables, net" and "Sales-type leases and other assets" in the Condensed Consolidated Balance Sheets, were as follows: March 31, 2022 December 31, 2021 (In thousands) Net investment in the lease — lease payment receivable $ 576,109 $ 583,008 Net investment in the lease — unguaranteed residual value in assets 45,855 46,740 $ 621,964 629,748 Estimated loss allowance (2,506) (3,705) Total $ 619,458 $ 626,043 |
LEASES | LEASES The components of revenue from leases were as follows: Three months ended March 31, 2022 2021 (In thousands) Operating leases Lease income related to ChoiceLease $ 381,545 $ 389,611 Lease income related to commercial rental (1) 298,135 210,284 Sales-type leases Interest income related to net investment in leases $ 10,728 $ 14,415 Variable lease income excluding commercial rental (1) $ 74,220 $ 71,993 ———————————— (1) Lease income related to commercial rental includes both fixed and variable lease income. Variable lease income is approximately 15% to 25% of total commercial rental income. The components of net investment in sales-type leases, which are included in "Receivables, net" and "Sales-type leases and other assets" in the Condensed Consolidated Balance Sheets, were as follows: March 31, 2022 December 31, 2021 (In thousands) Net investment in the lease — lease payment receivable $ 576,109 $ 583,008 Net investment in the lease — unguaranteed residual value in assets 45,855 46,740 $ 621,964 629,748 Estimated loss allowance (2,506) (3,705) Total $ 619,458 $ 626,043 |
DEBT
DEBT | 3 Months Ended |
Mar. 31, 2022 | |
Debt Disclosure [Abstract] | |
DEBT | DEBT Weighted Average Interest Rate March 31, 2022 Maturities March 31, December 31, (In thousands) Debt: U.S. commercial paper 0.69% 2026 $ 601,711 $ 531,157 Canadian commercial paper —% 2026 — 7,087 Trade receivables financing program 0.44% 2022 50,000 — Global revolving credit facility —% 2026 — — Unsecured U.S. obligations 3.41% 2024 200,000 200,000 Unsecured U.S. notes — Medium-term notes (1) 3.21% 2022-2027 5,279,035 5,149,893 Unsecured foreign obligations 2.31% 2022-2024 117,487 140,265 Asset-backed U.S. obligations (2) 2.63% 2022-2026 510,275 526,712 Finance lease obligations and other 2022-2030 44,102 44,595 6,802,610 6,599,709 Debt issuance costs and original issue discounts (21,834) (20,040) Total debt 6,780,776 6,579,669 Short-term debt and current portion of long-term debt (1,559,928) (1,333,363) Long-term debt $ 5,220,848 $ 5,246,306 ———————————— (1) Includes the impact from the fair market values of hedging instruments on our notes, which was $21 million as of March 31, 2022 and not material as of December 31, 2021. The notional amount of the executed interest rate swaps designated as fair value hedges was $650 million and $450 million as of March 31, 2022 and December 31, 2021, respectively. (2) Asset-backed U.S. obligations are related to financing transactions backed by a portion of our revenue earning equipment. The fair value of total debt (excluding finance lease and asset-backed U.S. obligations) was approximately $6.4 billion and $6.2 billion as of March 31, 2022 and December 31, 2021, respectively. For publicly-traded debt, estimates of fair value were based on market prices. For other debt, fair value was estimated based on a model-driven approach using rates currently available to us for debt with similar terms and remaining maturities. The fair value measurements of our publicly-traded debt and our other debt were classified within Level 2 of the fair value hierarchy. As of March 31, 2022, there was $798 million available under the global credit facility. In order to maintain availability of funding, we must maintain a ratio of debt to consolidated net worth of less than or equal to 300%, as defined in the credit facility agreement. As of March 31, 2022, the ratio was 188%. We had letters of credit and surety bonds outstanding of $465 million and $456 million as of March 31, 2022 and December 31, 2021, respectively, which primarily guarantee the payment of insurance claims. |
SHARE REPURCHASE PROGRAMS
SHARE REPURCHASE PROGRAMS | 3 Months Ended |
Mar. 31, 2022 | |
Equity [Abstract] | |
SHARE REPURCHASE PROGRAMS | SHARE REPURCHASE PROGRAMS In February 2022, our Board of Directors authorized a new accelerated share repurchase program to repurchase up to $300 million of common stock, with final settlement scheduled to occur no later than the end of October 2022. The number of shares to be repurchased will be based on the average of Ryder's daily volume-weighted average price per share of common stock during the repurchase period, less a discount and subject to adjustments pursuant to the terms and conditions of the program agreement. During February 2022, we remitted $300 million to our agent for the accelerated share repurchase program. We received an initial share amount of approximately 3.1 million, representing approximately 80% of the total notional value of the accelerated share repurchase agreement. The remaining amount of shares purchased under the program will be delivered to Ryder when the program ends, no later than October 2022.We maintain two additional share repurchase programs. The first program grants management discretion to repurchase up to 2.0 million shares of common stock over a period of two years, commencing October 14, 2021 and expiring October 14, 2023 (the "2021 Discretionary Program"). The 2021 Discretionary Program is designed to provide management with capital structure flexibility while concurrently managing objectives related to balance sheet leverage, acquisition opportunities, and shareholder returns. The second program authorizes management to repurchase up to 2.5 million shares of common stock, issued to employees under the company's employee stock plans since September 1, 2021 (the "2021 Anti-Dilutive Program"). The 2021 Anti-Dilutive Program is designed to mitigate the dilutive impact of shares issued under the company's employee stock plans. The 2021 Anti-Dilutive Program commenced October 14, 2021 and expires October 14, 2023. Share repurchases under both programs can be made from time to time using the company's working capital and a variety of methods, including open-market transactions and trading plans established pursuant to Rule 10b5-1 of the Securities Exchange Act of 1934. The timing and actual number of shares repurchased are subject to market conditions, legal requirements and other factors, including balance sheet leverage, availability of quality acquisitions and stock price. During the three months ended March 31, 2022, we did not repurchase any shares under these programs. During the three months ended March 31, 2021, we repurchased approximately 288,000 shares for $19 million under the 2019 anti-dilutive program. |
ACCUMULATED OTHER COMPREHENSIVE
ACCUMULATED OTHER COMPREHENSIVE LOSS | 3 Months Ended |
Mar. 31, 2022 | |
Equity [Abstract] | |
ACCUMULATED OTHER COMPREHENSIVE LOSS | ACCUMULATED OTHER COMPREHENSIVE LOSS Comprehensive (loss) income presents a measure of all changes in shareholders’ equity except for changes resulting from transactions with shareholders in their capacity as shareholders. The following summary sets forth the components of accumulated other comprehensive loss, net of tax: March 31, 2022 2021 (In thousands) Cumulative translation adjustments $ (158,589) $ (140,302) Net actuarial loss and prior service cost (524,061) (649,542) Unrealized gain (loss) from cash flow hedges 655 (12,923) Accumulated other comprehensive loss $ (681,995) $ (802,767) |
EARNINGS PER SHARE
EARNINGS PER SHARE | 3 Months Ended |
Mar. 31, 2022 | |
Earnings Per Share [Abstract] | |
EARNINGS PER SHARE | EARNINGS PER SHARE The following table presents the calculation of basic and diluted earnings per common share from continuing operations: Three months ended March 31, 2022 2021 (In thousands, except per share amounts) Earnings from continuing operations $ 175,822 $ 51,584 Less: Distributed and undistributed earnings allocated to unvested stock (881) (240) Earnings from continuing operations available to common shareholders $ 174,941 $ 51,344 Weighted average common shares outstanding — Basic 51,097 52,289 Effect of dilutive equity awards 1,379 1,111 Weighted average common shares outstanding — Diluted 52,476 53,400 Earnings from continuing operations per common share — Basic $ 3.42 $ 0.98 Earnings from continuing operations per common share — Diluted $ 3.35 $ 0.97 Anti-dilutive equity awards not included in diluted EPS 461 1,499 Note: Amounts may not be additive due to rounding. |
SHARE-BASED COMPENSATION PLANS
SHARE-BASED COMPENSATION PLANS | 3 Months Ended |
Mar. 31, 2022 | |
Share-based Payment Arrangement [Abstract] | |
SHARE-BASED COMPENSATION PLANS | SHARE-BASED COMPENSATION PLANS We generally grant share-based awards in the first quarter of each year during our annual equity award process. The following table is a summary of the awards granted in the annual equity award process in the first quarter of 2022: Shares Granted Weighted-Average (Shares in thousands) Time-vested restricted stock rights 390 $ 73.74 Performance-based restricted stock rights (1) 118 76.68 Total 508 $ 74.42 ———————————— (1) Awards in the first quarter of 2022 contained vesting conditions based on return on equity, strategic revenue growth and free cash flow . Restricted stock awards are unvested stock rights that are granted to employees and entitle the holder to shares of common stock as the award vests. Time-vested restricted stock rights typically vest ratably over three years regardless of company performance. The fair value of the time-vested awards is determined and fixed based on Ryder’s stock price on the date of grant. Performance-based restricted stock rights (PBRSRs) are generally granted to executive management and include a performance-based vesting condition. PBRSRs are awarded based on various revenue, return-based and cash flow performance targets and may include a total shareholder return (TSR) modifier for certain members of management. The fair values of the PBRSRs that include a TSR modifier are estimated using a lattice-based option-pricing valuation model that incorporates a Monte-Carlo simulation. The fair value of PBRSRs that do not include a TSR modifier is determined and fixed on the grant date based on our stock price on the date of grant. Share-based compensation expense for PBRSRs is recognized on a straight-line basis over the vesting period, based upon the probability that the performance target will be met. |
EMPLOYEE BENEFIT PLANS
EMPLOYEE BENEFIT PLANS | 3 Months Ended |
Mar. 31, 2022 | |
Retirement Benefits [Abstract] | |
EMPLOYEE BENEFIT PLANS | EMPLOYEE BENEFIT PLANS Components of net pension expense for defined benefit pension plans were as follows: Three months ended March 31, 2022 2021 (In thousands) Company-administered plans: Service cost $ 240 $ 368 Interest cost 15,824 14,535 Expected return on plan assets (18,583) (21,694) Amortization of net actuarial loss and prior service cost 5,473 7,097 Net pension expense $ 2,954 $ 306 Company-administered plans: U.S. $ 3,323 $ 2,363 Non-U.S. (369) (2,057) Net pension expense $ 2,954 $ 306 Non-operating pension costs, net include the amortization of net actuarial loss and prior service cost, interest cost and expected return on plan assets components of pension and postretirement benefit costs, as well as any significant charges for settlements or curtailments if recognized. We also maintain other postretirement benefit plans that are not reflected in the table above as the amount of postretirement benefit expense for such plans was not material |
OTHER ITEMS IMPACTING COMPARABI
OTHER ITEMS IMPACTING COMPARABILITY | 3 Months Ended |
Mar. 31, 2022 | |
Other Income and Expenses [Abstract] | |
OTHER ITEMS IMPACTING COMPARABILITY | OTHER ITEMS IMPACTING COMPARABILITY Our primary measure of segment performance as shown in Note 3, "Segment Reporting," excludes certain items we do not believe are representative of the ongoing operations of the segment. Excluding these items from our segment measure of performance allows for better year over year comparison: Three months ended March 31, 2022 2021 (In thousands) Restructuring and other, net $ 14,254 $ 3,028 ERP implementation costs — 7,631 Restructuring and other items, net 14,254 10,659 Gains on sale of U.K. revenue earning equipment (8,291) — Gains on sale of properties (586) (1,505) ChoiceLease liability insurance revenue (1) — (777) Other items impacting comparability, net $ 5,377 $ 8,377 ———————————— (1) Refer to Note 3, "Segment Reporting," for additional information. During the three months ended March 31, 2022 and 2021, other items impacting comparability included: • Restructuring and other, net — For the three months ended March 31, 2022, this item primarily included professional fees related to the pursuit of a discrete commercial claim, transaction costs related to the acquisition of PLG Investments I, LLC (Whiplash) and $2.3 million in U.K. severance costs. In February 2022, we announced our intentions to exit the FMS U.K. business. We expect to complete the exit of the FMS U.K. business by mid-2023. For the three months ended March 31, 2021, this item primarily included professional fees related to the pursuit of a discrete commercial claim. • Gains on sale of U.K. revenue earning equipment and properties — We recorded gains on the sale of U.K. revenue earning equipment and properties during the three months ended March 31, 2022, as part of our plan to exit the FMS U.K. business. The gains on sale of U.K. revenue earning equipment of $8.3 million are reflected within Used Vehicles Sales, net and the gains on sale of properties of $0.6 million are reflected within "Miscellaneous (income) loss, net" in our Condensed Consolidated Statements of Earnings. The following table summarizes the activities within, and components of, restructuring liabilities as of March 31, 2022: Employee Termination Costs (In thousands) Balance at December 31, 2021 $ 10,484 Workforce reduction charges 2,047 Utilization (1) (825) Balance at March 31, 2022 (2) $ 11,706 _________________ (1) Principally represents cash payments. |
CONTINGENCIES AND OTHER MATTERS
CONTINGENCIES AND OTHER MATTERS | 3 Months Ended |
Mar. 31, 2022 | |
Commitments and Contingencies Disclosure [Abstract] | |
CONTINGENCIES AND OTHER MATTERS | CONTINGENCIES AND OTHER MATTERS We are a party to various claims, complaints and proceedings arising in the ordinary course of our continuing business operations including those relating to commercial and employment claims, environmental matters, risk management matters (e.g., vehicle liability, workers’ compensation, etc.), and administrative assessments primarily associated with operating taxes. We have established loss provisions for matters in which losses are probable and can be reasonably estimated. We believe that the resolution of these claims, complaints and legal proceedings will not have a material effect on our Condensed Consolidated Financial Statements. Our estimates regarding potential losses and materiality are based on our judgment and assessment of the claims utilizing currently available information. Although we will continue to reassess our estimated liability based on future developments, our objective assessment of the legal merits of such claims may not always be predictive of the outcome and actual results may vary from our current estimates. Securities Litigation Relating to Residual Value Estimates On May 20, 2020, a putative class action on behalf of purchasers of our securities who purchased or otherwise acquired their securities between July 23, 2015 and February 13, 2020, inclusive (Class Period), was commenced against Ryder and certain of our current and former officers in the U.S. District Court for the Southern District of Florida, captioned Key West Policy & Fire Pension Fund v. Ryder System, Inc., et al. The complaint alleges, among other things, that the defendants misrepresented Ryder’s depreciation policy and residual value estimates for its vehicles during the Class Period in violation of Section 10(b) and 20(a) of the Securities Exchange Act of 1934 and Rule 10b-5 promulgated thereunder, and seeks to recover, among other things, unspecified compensatory damages and attorneys' fees and costs. On August 3, 2020, the State of Alaska, Alaska Permanent Fund, the City of Fort Lauderdale General Employees’ Retirement System, and the City of Plantation Police Officers Pension Fund were appointed lead plaintiffs. On October 5, 2020, the lead plaintiffs filed an amended complaint. On December 4, 2020, Ryder and the other named defendants in the case filed a Motion to Dismiss the amended complaint. On April 7, 2021, the court held a hearing on defendants’ Motion to Dismiss, and reserved decision. On June 26, 2020, August 6, 2020, and February 2, 2021, three shareholder derivative complaints purportedly on behalf of Ryder were filed in the Circuit Court of the 11th Judicial Circuit in and for Miami-Dade County, Florida, against us as nominal defendant and certain of our current and former officers and our current directors. The complaints allege breach of fiduciary duties, unjust enrichment, and waste of corporate assets. The complaints are based on the allegation set forth in the securities class action complaint. The plaintiffs, on our behalf, are seeking an award of monetary damages and restitution to us, improvements in our corporate governance and internal procedures, and legal fees. These derivative cases have all been consolidated and stayed (stopped) until the Motion to Dismiss in the securities class action described above is resolved. Also, on January 19, 2021 (as amended on March 26, 2021), and February 8, 2021, two shareholder derivative complaints purportedly on behalf of Ryder were filed in U.S. District Court for the Southern District of Florida against us as nominal defendant and certain of our current and former officers and directors. The complaints allege breach of fiduciary duties, unjust enrichment, and waste of corporate assets. Both complaints are based on the allegation set forth in the securities class action complaint, seek similar relief on our behalf to that sought in the derivative complaints that were filed in Florida state court, and have been stayed (stopped) until the Motion to Dismiss in the securities class action is resolved. We believe the claims asserted in the complaints are without merit and intend to defend against them vigorously. |
SUPPLEMENTAL CASH FLOW INFORMAT
SUPPLEMENTAL CASH FLOW INFORMATION | 3 Months Ended |
Mar. 31, 2022 | |
Supplemental Cash Flow Elements [Abstract] | |
SUPPLEMENTAL CASH FLOW INFORMATION | SUPPLEMENTAL CASH FLOW INFORMATION As of and for the three months ended March 31, 2022 2021 (In thousands) Interest paid $ 48,110 $ 48,039 Income taxes paid 9,346 4,885 Cash paid for amounts included in measurement of liabilities: Operating cash flows from operating leases 41,975 23,245 Right-of-use assets obtained in exchange for lease obligations: Finance leases $ 3,839 $ 2,851 Operating leases 48,515 16,645 Capital expenditures acquired but not yet paid $ 256,700 $ 134,384 |
ACQUISITIONS
ACQUISITIONS | 3 Months Ended |
Mar. 31, 2022 | |
Business Combination and Asset Acquisition [Abstract] | |
ACQUISITIONS | ACQUISITIONS On January 1, 2022, we acquired all the outstanding equity of PLG Investments I, LLC (Whiplash), a leading national provider of omnichannel fulfillment and logistics services for an approximate purchase price of $482 million. The acquisition is included in our SCS business segment. The acquisition will expand our e-commerce and omnichannel fulfillment network. The following table provides the preliminary purchase price allocation of the fair value of the assets and liabilities for Whiplash as of the acquisition date: (In thousands) Assets: Receivables, net $ 78,945 Goodwill 272,814 Customer relationships and other intangible assets 161,100 Other assets, primarily operating lease right-of-use assets 244,303 Total assets 757,162 Liabilities: Accrued expenses and other current liabilities 76,566 Other liabilities, primarily operating lease liabilities 199,089 Net assets acquired $ 481,507 The excess of the purchase consideration over the aggregate estimated fair values of identifiable assets acquired and liabilities assumed was recorded as goodwill. The goodwill recognized reflects anticipated supply chain services growth opportunities and expected cost synergies of combining Whiplash with our business. None of the goodwill is deductible for income tax purposes. Customer relationship intangible assets are expected to be amortized over 13 years. The purchase price included $439 million of restricted cash placed in escrow and the remaining amount classified as a deposit as of December 31, 2021. These amounts were recorded in "Prepaid expenses and other current assets" in the Condensed Consolidated Balance Sheet as of December 31, 2021. The cash paid from escrow during the first quarter of 2022 is reflected in "Acquisitions, net of cash acquired" in the Condensed Consolidated Statement of Cash Flows for the three months ended March 31, 2022. We believe that we have sufficient information to provide a reasonable basis for estimating the fair values of assets acquired and liabilities assumed. The purchase price excludes certain items to be resolved post-closing with the seller, which may result in additional adjustments to the final purchase price. Therefore, the provisional measurements of estimated fair values reflected are subject to change. We expect to finalize the valuation and complete the purchase consideration allocation no later than one year from the acquisition date. |
SUBSEQUENT EVENTS
SUBSEQUENT EVENTS | 3 Months Ended |
Mar. 31, 2022 | |
Subsequent Events [Abstract] | |
SUBSEQUENT EVENTS | SUBSEQUENT EVENTS On April 12, 2022, Ryder Limited entered into a definitive agreement with TIP Trailer Services UK Limited to sell Ryder Trailer Leasing and Mobile Maintenance Services, which includes approximately 4,500 trailers and other vehicles representing 38% of Ryder's vehicle fleet in the UK. The transaction is expected to be completed in June. |
RECENT ACCOUNTING PRONOUNCEME_2
RECENT ACCOUNTING PRONOUNCEMENTS (Policies) | 3 Months Ended |
Mar. 31, 2022 | |
Accounting Standards Update and Change in Accounting Principle [Abstract] | |
Recent Accounting Pronouncements | RECENT ACCOUNTING PRONOUNCEMENTS Reference Rate Reform In March 2020, the Financial Accounting Standards Board (FASB) issued Accounting Standards Update (ASU) No. 2020-04, Reference Rate Reform (Topic 848). This update provides optional expedients for applying GAAP to contracts, hedging relationships, and other transactions that reference LIBOR or another rate expected to be discontinued at the end of 2021 because of reference rate reform. The update is effective for all transactions from March 12, 2020 through December 31, 2022. We will continue to adopt this update as alternative reference rates in relevant contracts are modified through December 31, 2022. We continuously evaluate the potential impact on our consolidated financial position, results of operations, and cash flows. Leases In July 2021, the FASB issued ASU No. 2021-05, Lessor - Certain Leases with Variable Lease Payments (Topic 842). This update requires lessors to classify leases as operating leases if they have variable lease payments that do not depend on an index or rate and would have selling losses if they were classified as sales-type or direct financing leases. The update is effective for fiscal years beginning after December 15, 2021, and interim periods within those fiscal years. Entities are permitted to apply this amendment using the retrospective or prospective approach. On January 1, 2022 we adopted the amendment on a prospective basis and it did not have a material impact on our consolidated financial position, results of operations, and cash flows. Business Combinations In October 2021, the FASB issued ASU No. 2021-08, Accounting for Contract Assets and Contract Liabilities - Business Combinations (Topic 805). This update requires companies to apply Revenue from Contracts with Customers (Topic 606) to recognize and measure contract assets and contract liabilities from contracts with customers acquired in a business combination. Additionally, the update clarifies that companies should apply the definition of a performance obligation in Topic 606 when recognizing contract liabilities assumed in a business combination. The standard is effective for fiscal years beginning after December 15, 2022, and interim periods within those fiscal years, with early adoption permitted. We will adopt this update on January 1, 2023 and are currently evaluating the impact on our consolidated financial position, results of operations, and cash flows. |
SEGMENT REPORTING (Tables)
SEGMENT REPORTING (Tables) | 3 Months Ended |
Mar. 31, 2022 | |
Segment Reporting [Abstract] | |
Schedule Of Segment Revenue and Net Before Tax Information by Segment | The following table sets forth financial information for each of our segments and provides a reconciliation between segment EBT and earnings from continuing operations before income taxes: Three months ended March 31, 2022 2021 (In thousands) Revenue: Fleet Management Solutions: ChoiceLease $ 802,342 $ 797,088 Commercial rental 313,154 223,009 SelectCare and other 166,651 148,016 Fuel services and ChoiceLease liability insurance (1) 247,081 167,372 Fleet Management Solutions 1,529,228 1,335,485 Supply Chain Solutions 1,088,542 706,700 Dedicated Transportation Solutions 424,948 320,507 Eliminations (2) (188,856) (141,070) Total revenues $ 2,853,862 $ 2,221,622 Earnings From Continuing Operations Before Income Taxes: Fleet Management Solutions $ 248,199 $ 63,402 Supply Chain Solutions 34,219 32,957 Dedicated Transportation Solutions 20,211 12,982 Eliminations (26,590) (12,274) 276,039 97,067 Unallocated Central Support Services (16,004) (18,432) Non-operating pension costs, net (3) (2,787) 9 Other items impacting comparability, net (4) (5,377) (8,377) Earnings from continuing operations before income taxes $ 251,871 $ 70,267 ———————————— (1) In the first quarter of 2021, we completed the previously announced exit of the extension of our liability insurance coverage for ChoiceLease customers. (2) Represents the elimination of intercompany revenues in our FMS business segment. (3) Refer to Note 14, "Employee Benefit Plans," for a discussion on these items. (4) Refer to Note 15, “Other Items Impacting Comparability,” for a discussion of items excluded from our primary measure of segment performance. |
Schedule of Financial Information of Business Segments | The following table sets forth the capital expenditures paid for each of our segments: Three months ended March 31, 2022 2021 (In thousands) Fleet Management Solutions $ 551,090 $ 367,708 Supply Chain Solutions 25,950 8,530 Dedicated Transportation Solutions 339 306 Central Support Services 6,910 4,507 Purchases of property and revenue earning equipment $ 584,289 $ 381,051 |
REVENUE (Tables)
REVENUE (Tables) | 3 Months Ended |
Mar. 31, 2022 | |
Revenue from Contract with Customer [Abstract] | |
Schedule of Revenue From External Customers by Geographic Areas | The following tables disaggregate our revenue recognized by primary geographical market by our reportable business segments and by industry for SCS. Refer to Note 3, "Segment Reporting," for the disaggregation of our revenue by major products/service lines. Primary Geographical Markets Three months ended March 31, 2022 FMS SCS DTS Eliminations Total (In thousands) United States $ 1,388,043 $ 971,200 $ 424,948 $ (179,400) $ 2,604,791 Canada 77,529 59,628 — (9,456) 127,701 Europe (1) 63,656 — — — 63,656 Mexico — 57,714 — — 57,714 Total revenues $ 1,529,228 $ 1,088,542 $ 424,948 $ (188,856) $ 2,853,862 (1) Refer to Note 15, "Other Items Impacting Comparability," for further information on the exit of the FMS U.K. business. Three months ended March 31, 2021 FMS SCS DTS Eliminations Total (In thousands) United States $ 1,197,984 $ 601,298 $ 320,507 $ (136,727) $ 1,983,062 Canada 70,413 56,088 — (4,343) 122,158 Europe 67,088 — — — 67,088 Mexico — 49,314 — — 49,314 Total revenues $ 1,335,485 $ 706,700 $ 320,507 $ (141,070) $ 2,221,622 |
Schedule of Disaggregation of Revenue | Our SCS business segment included revenue from the below industries: Three months ended March 31, 2022 2021 (In thousands) Consumer packaged goods and retail $ 500,298 $ 273,224 Automotive 354,237 271,555 Technology and healthcare 121,322 97,085 Industrial and other 112,685 64,836 Total SCS Revenues $ 1,088,542 $ 706,700 |
Schedule of Changes in Contract Liability | The following table includes the changes in deferred revenue due to the collection and deferral of cash or the satisfaction of our performance obligation under the contract: Three months ended March 31, 2022 2021 (In thousands) Balance as of beginning of period $ 593,442 $ 629,739 Recognized as revenue during period from beginning balance (59,659) (59,031) Consideration deferred during period, net 48,007 51,759 Foreign currency translation adjustment and other (994) 709 Balance as of end of period $ 580,796 $ 623,176 |
RECEIVABLES, NET (Tables)
RECEIVABLES, NET (Tables) | 3 Months Ended |
Mar. 31, 2022 | |
Receivables [Abstract] | |
Schedule of Receivables, Net | March 31, 2022 December 31, 2021 (In thousands) Trade $ 1,431,315 $ 1,280,766 Sales-type leases 145,874 148,134 Other, primarily warranty and insurance 53,607 67,141 1,630,796 1,496,041 Allowance for credit losses and other (28,133) (31,304) Total $ 1,602,663 $ 1,464,737 |
Schedule of Allowance for Credit Loss | The following table provides a reconciliation of our allowance for credit losses and other: Three months ended March 31, 2022 2021 (In thousands) Balance as of beginning of period $ 31,304 $ 43,024 Changes to provisions for credit losses 3,533 (1,800) Write-offs and other (6,704) (4,024) Balance as of end of period $ 28,133 $ 37,200 |
REVENUE EARNING EQUIPMENT, NET
REVENUE EARNING EQUIPMENT, NET (Tables) | 3 Months Ended |
Mar. 31, 2022 | |
Revenue Earning Equipment [Abstract] | |
Schedule of Revenue Earning Equipment | Estimated Useful Lives March 31, 2022 December 31, 2021 Cost Accumulated Net Cost Accumulated Net (In years) (In thousands) Held for use: Trucks 3 — 7 $ 5,288,297 $ (2,089,227) $ 3,199,070 $ 5,223,127 $ (2,055,135) $ 3,167,992 Tractors 4 — 7.5 7,247,049 (3,071,862) 4,175,187 7,256,002 (3,059,206) 4,196,796 Trailers and other 9.5 — 12 1,839,053 (894,753) 944,300 1,780,487 (868,820) 911,667 Held for sale 273,321 (201,172) 72,149 209,506 (162,922) 46,584 Total $ 14,647,720 $ (6,257,014) $ 8,390,706 $ 14,469,122 $ (6,146,083) $ 8,323,039 |
Summary of Amounts that have been Recorded for Accelerated and Policy Depreciation related to our Residual Value Estimate Changes | The following table provides a summary of incremental depreciation expense that has been recorded related to our previous residual value estimate changes as well as used vehicle sales results (rounded to the closest million): Three months ended March 31, 2022 2021 (In thousands) Depreciation expense related to estimate changes $ 49,000 $ 88,000 Used vehicle sales, net (1) (113,000) (29,000) (1) Used vehicle sales, net in the first quarter of 2022 included $8M of gains on sales of vehicles in the U.K. Refer to Note 15, "Other Items Impacting Comparability," |
Schedule of Fair Value, Assets | The following table presents revenue earning equipment held for sale that are measured at fair value on a nonrecurring basis and considered a Level 3 fair value measurement: Losses from Valuation Adjustments Three months ended March 31, March 31, 2022 December 31, 2021 2022 2021 (In thousands) Revenue earning equipment held for sale (1) : Trucks $ 507 $ 931 $ 526 $ 890 Tractors 590 1,485 690 84 Trailers and other 263 1,309 280 2,047 Total assets at fair value $ 1,360 $ 3,725 $ 1,496 $ 3,021 ———————————— (1) Reflects only the portion where net book values exceeded fair values and valuation adjustments were recorded. The net book value of assets held for sale that were less than fair value was $71 million and $43 million as of March 31, 2022 and December 31, 2021, respectively. |
Schedule of Gain and Losses Revenue Earning Equipment | The components of used vehicle sales, net were as follows: Three months ended March 31, 2022 2021 (In thousands) Gains on vehicle sales, net $ (114,490) $ (31,872) Losses from valuation adjustments 1,496 3,021 Used vehicle sales, net $ (112,994) $ (28,851) |
ACCRUED EXPENSES AND OTHER LI_2
ACCRUED EXPENSES AND OTHER LIABILITIES (Tables) | 3 Months Ended |
Mar. 31, 2022 | |
Accrued Liabilities and Other Liabilities [Abstract] | |
Schedule of Accrued Expenses and Other Liabilities | March 31, 2022 December 31, 2021 Accrued Non-Current Total Accrued Non-Current Total (In thousands) Salaries and wages $ 155,887 $ — $ 155,887 $ 210,350 $ — $ 210,350 Insurance obligations (1) 186,592 303,288 489,880 186,449 311,209 497,658 Operating taxes (2) 171,496 — 171,496 165,680 — 165,680 Deposits, mainly from customers 95,153 — 95,153 94,547 — 94,547 Operating lease liabilities 152,211 384,846 537,057 100,232 255,573 355,805 Deferred revenue (3) 181,316 399,480 580,796 182,785 410,657 593,442 Other 185,178 349,110 534,288 179,559 336,965 516,524 Total $ 1,127,833 $ 1,436,724 $ 2,564,557 $ 1,119,602 $ 1,314,404 $ 2,434,006 ———————————— (1) Insurance obligations primarily represent self-insured claim liabilities. (2) Operating taxes include the deferral of certain payroll taxes in current and non-current liabilities allowed under the Coronavirus Aid, Relief, and Economic Security Act (CARES Act). |
LEASES (Tables)
LEASES (Tables) | 3 Months Ended |
Mar. 31, 2022 | |
Leases [Abstract] | |
Schedule of Lease Income - Operating | The components of revenue from leases were as follows: Three months ended March 31, 2022 2021 (In thousands) Operating leases Lease income related to ChoiceLease $ 381,545 $ 389,611 Lease income related to commercial rental (1) 298,135 210,284 Sales-type leases Interest income related to net investment in leases $ 10,728 $ 14,415 Variable lease income excluding commercial rental (1) $ 74,220 $ 71,993 ———————————— |
Schedule of Lease Income - Sales Type | The components of net investment in sales-type leases, which are included in "Receivables, net" and "Sales-type leases and other assets" in the Condensed Consolidated Balance Sheets, were as follows: March 31, 2022 December 31, 2021 (In thousands) Net investment in the lease — lease payment receivable $ 576,109 $ 583,008 Net investment in the lease — unguaranteed residual value in assets 45,855 46,740 $ 621,964 629,748 Estimated loss allowance (2,506) (3,705) Total $ 619,458 $ 626,043 |
DEBT (Tables)
DEBT (Tables) | 3 Months Ended |
Mar. 31, 2022 | |
Debt Disclosure [Abstract] | |
Schedule of Debt | Weighted Average Interest Rate March 31, 2022 Maturities March 31, December 31, (In thousands) Debt: U.S. commercial paper 0.69% 2026 $ 601,711 $ 531,157 Canadian commercial paper —% 2026 — 7,087 Trade receivables financing program 0.44% 2022 50,000 — Global revolving credit facility —% 2026 — — Unsecured U.S. obligations 3.41% 2024 200,000 200,000 Unsecured U.S. notes — Medium-term notes (1) 3.21% 2022-2027 5,279,035 5,149,893 Unsecured foreign obligations 2.31% 2022-2024 117,487 140,265 Asset-backed U.S. obligations (2) 2.63% 2022-2026 510,275 526,712 Finance lease obligations and other 2022-2030 44,102 44,595 6,802,610 6,599,709 Debt issuance costs and original issue discounts (21,834) (20,040) Total debt 6,780,776 6,579,669 Short-term debt and current portion of long-term debt (1,559,928) (1,333,363) Long-term debt $ 5,220,848 $ 5,246,306 ———————————— (1) Includes the impact from the fair market values of hedging instruments on our notes, which was $21 million as of March 31, 2022 and not material as of December 31, 2021. The notional amount of the executed interest rate swaps designated as fair value hedges was $650 million and $450 million as of March 31, 2022 and December 31, 2021, respectively. (2) Asset-backed U.S. obligations are related to financing transactions backed by a portion of our revenue earning equipment. |
ACCUMULATED OTHER COMPREHENSI_2
ACCUMULATED OTHER COMPREHENSIVE LOSS (Tables) | 3 Months Ended |
Mar. 31, 2022 | |
Equity [Abstract] | |
Schedule of Accumulated Other Comprehensive Loss, Net of Tax | The following summary sets forth the components of accumulated other comprehensive loss, net of tax: March 31, 2022 2021 (In thousands) Cumulative translation adjustments $ (158,589) $ (140,302) Net actuarial loss and prior service cost (524,061) (649,542) Unrealized gain (loss) from cash flow hedges 655 (12,923) Accumulated other comprehensive loss $ (681,995) $ (802,767) |
EARNINGS PER SHARE (Tables)
EARNINGS PER SHARE (Tables) | 3 Months Ended |
Mar. 31, 2022 | |
Earnings Per Share [Abstract] | |
Schedule of Basic and Diluted Earnings Per Common Share From Continuing Operations | The following table presents the calculation of basic and diluted earnings per common share from continuing operations: Three months ended March 31, 2022 2021 (In thousands, except per share amounts) Earnings from continuing operations $ 175,822 $ 51,584 Less: Distributed and undistributed earnings allocated to unvested stock (881) (240) Earnings from continuing operations available to common shareholders $ 174,941 $ 51,344 Weighted average common shares outstanding — Basic 51,097 52,289 Effect of dilutive equity awards 1,379 1,111 Weighted average common shares outstanding — Diluted 52,476 53,400 Earnings from continuing operations per common share — Basic $ 3.42 $ 0.98 Earnings from continuing operations per common share — Diluted $ 3.35 $ 0.97 Anti-dilutive equity awards not included in diluted EPS 461 1,499 Note: Amounts may not be additive due to rounding. |
SHARE-BASED COMPENSATION PLANS
SHARE-BASED COMPENSATION PLANS (Tables) | 3 Months Ended |
Mar. 31, 2022 | |
Share-based Payment Arrangement [Abstract] | |
Schedule of Share-based Compensation, Activity | The following table is a summary of the awards granted in the annual equity award process in the first quarter of 2022: Shares Granted Weighted-Average (Shares in thousands) Time-vested restricted stock rights 390 $ 73.74 Performance-based restricted stock rights (1) 118 76.68 Total 508 $ 74.42 ———————————— (1) Awards in the first quarter of 2022 contained vesting conditions based on return on equity, strategic revenue growth and free cash flow . |
EMPLOYEE BENEFIT PLANS (Tables)
EMPLOYEE BENEFIT PLANS (Tables) | 3 Months Ended |
Mar. 31, 2022 | |
Retirement Benefits [Abstract] | |
Schedule of Components of Net Periodic Benefit Cost | Components of net pension expense for defined benefit pension plans were as follows: Three months ended March 31, 2022 2021 (In thousands) Company-administered plans: Service cost $ 240 $ 368 Interest cost 15,824 14,535 Expected return on plan assets (18,583) (21,694) Amortization of net actuarial loss and prior service cost 5,473 7,097 Net pension expense $ 2,954 $ 306 Company-administered plans: U.S. $ 3,323 $ 2,363 Non-U.S. (369) (2,057) Net pension expense $ 2,954 $ 306 |
OTHER ITEMS IMPACTING COMPARA_2
OTHER ITEMS IMPACTING COMPARABILITY (Tables) | 3 Months Ended |
Mar. 31, 2022 | |
Other Income and Expenses [Abstract] | |
Schedule of Other Items Impacting Comparability | Excluding these items from our segment measure of performance allows for better year over year comparison: Three months ended March 31, 2022 2021 (In thousands) Restructuring and other, net $ 14,254 $ 3,028 ERP implementation costs — 7,631 Restructuring and other items, net 14,254 10,659 Gains on sale of U.K. revenue earning equipment (8,291) — Gains on sale of properties (586) (1,505) ChoiceLease liability insurance revenue (1) — (777) Other items impacting comparability, net $ 5,377 $ 8,377 ———————————— (1) Refer to Note 3, "Segment Reporting," for additional information. |
Schedule of Restructuring Liabilities | The following table summarizes the activities within, and components of, restructuring liabilities as of March 31, 2022: Employee Termination Costs (In thousands) Balance at December 31, 2021 $ 10,484 Workforce reduction charges 2,047 Utilization (1) (825) Balance at March 31, 2022 (2) $ 11,706 _________________ (1) Principally represents cash payments. |
SUPPLEMENTAL CASH FLOW INFORM_2
SUPPLEMENTAL CASH FLOW INFORMATION (Tables) | 3 Months Ended |
Mar. 31, 2022 | |
Supplemental Cash Flow Elements [Abstract] | |
Schedule of Supplemental Cash Flow Information | As of and for the three months ended March 31, 2022 2021 (In thousands) Interest paid $ 48,110 $ 48,039 Income taxes paid 9,346 4,885 Cash paid for amounts included in measurement of liabilities: Operating cash flows from operating leases 41,975 23,245 Right-of-use assets obtained in exchange for lease obligations: Finance leases $ 3,839 $ 2,851 Operating leases 48,515 16,645 Capital expenditures acquired but not yet paid $ 256,700 $ 134,384 |
ACQUISITIONS (Tables)
ACQUISITIONS (Tables) | 3 Months Ended |
Mar. 31, 2022 | |
Business Combination and Asset Acquisition [Abstract] | |
Schedule of Business Acquisitions, by Acquisition | The following table provides the preliminary purchase price allocation of the fair value of the assets and liabilities for Whiplash as of the acquisition date: (In thousands) Assets: Receivables, net $ 78,945 Goodwill 272,814 Customer relationships and other intangible assets 161,100 Other assets, primarily operating lease right-of-use assets 244,303 Total assets 757,162 Liabilities: Accrued expenses and other current liabilities 76,566 Other liabilities, primarily operating lease liabilities 199,089 Net assets acquired $ 481,507 |
GENERAL (Details)
GENERAL (Details) | 3 Months Ended |
Mar. 31, 2022segment | |
Accounting Changes and Error Corrections [Abstract] | |
Number of segments | 3 |
SEGMENT REPORTING (Details)
SEGMENT REPORTING (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2022 | Mar. 31, 2021 | |
Segment Reporting Information [Line Items] | ||
Lease & related maintenance and rental revenues | $ 1,024,985 | $ 940,422 |
Revenues | 2,853,862 | 2,221,622 |
Earnings from continuing operations before taxes | 276,039 | 97,067 |
Non-operating pension costs, net | (2,787) | 9 |
Other items impacting comparability, net | (14,254) | (10,659) |
Earnings from continuing operations before income taxes | 251,871 | 70,267 |
Capital expenditures paid | 584,289 | 381,051 |
Supply Chain Solutions | ||
Segment Reporting Information [Line Items] | ||
Revenues | 1,088,542 | 706,700 |
Operating Segments | Fleet Management Solutions | ||
Segment Reporting Information [Line Items] | ||
Revenues | 1,529,228 | 1,335,485 |
Earnings from continuing operations before taxes | 248,199 | 63,402 |
Capital expenditures paid | 551,090 | 367,708 |
Operating Segments | Fleet Management Solutions | ChoiceLease | ||
Segment Reporting Information [Line Items] | ||
Lease & related maintenance and rental revenues | 802,342 | 797,088 |
Operating Segments | Fleet Management Solutions | Commercial rental | ||
Segment Reporting Information [Line Items] | ||
Lease & related maintenance and rental revenues | 313,154 | 223,009 |
Operating Segments | Fleet Management Solutions | SelectCare and other | ||
Segment Reporting Information [Line Items] | ||
Lease & related maintenance and rental revenues | 166,651 | 148,016 |
Operating Segments | Fleet Management Solutions | Fuel services and ChoiceLease liability insurance | ||
Segment Reporting Information [Line Items] | ||
Revenues | 247,081 | 167,372 |
Operating Segments | Supply Chain Solutions | ||
Segment Reporting Information [Line Items] | ||
Revenues | 1,088,542 | 706,700 |
Earnings from continuing operations before taxes | 34,219 | 32,957 |
Capital expenditures paid | 25,950 | 8,530 |
Operating Segments | Dedicated Transportation Solutions | ||
Segment Reporting Information [Line Items] | ||
Revenues | 424,948 | 320,507 |
Earnings from continuing operations before taxes | 20,211 | 12,982 |
Capital expenditures paid | 339 | 306 |
Eliminations | ||
Segment Reporting Information [Line Items] | ||
Revenues | (188,856) | (141,070) |
Earnings from continuing operations before taxes | (26,590) | (12,274) |
Segment Reconciling Items | ||
Segment Reporting Information [Line Items] | ||
Unallocated Central Support Services | (16,004) | (18,432) |
Non-operating pension costs, net | (2,787) | 9 |
Other items impacting comparability, net | (5,377) | (8,377) |
Capital expenditures paid | $ 6,910 | $ 4,507 |
REVENUE Disaggregation of Reven
REVENUE Disaggregation of Revenue - Geographical (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2022 | Mar. 31, 2021 | |
Disaggregation of Revenue [Line Items] | ||
Revenues | $ 2,853,862 | $ 2,221,622 |
United States | ||
Disaggregation of Revenue [Line Items] | ||
Revenues | 2,604,791 | 1,983,062 |
Canada | ||
Disaggregation of Revenue [Line Items] | ||
Revenues | 127,701 | 122,158 |
Europe | ||
Disaggregation of Revenue [Line Items] | ||
Revenues | 63,656 | 67,088 |
Mexico | ||
Disaggregation of Revenue [Line Items] | ||
Revenues | 57,714 | 49,314 |
SCS | ||
Disaggregation of Revenue [Line Items] | ||
Revenues | 1,088,542 | 706,700 |
Operating Segments | FMS | ||
Disaggregation of Revenue [Line Items] | ||
Revenues | 1,529,228 | 1,335,485 |
Operating Segments | FMS | United States | ||
Disaggregation of Revenue [Line Items] | ||
Revenues | 1,388,043 | 1,197,984 |
Operating Segments | FMS | Canada | ||
Disaggregation of Revenue [Line Items] | ||
Revenues | 77,529 | 70,413 |
Operating Segments | FMS | Europe | ||
Disaggregation of Revenue [Line Items] | ||
Revenues | 63,656 | 67,088 |
Operating Segments | FMS | Mexico | ||
Disaggregation of Revenue [Line Items] | ||
Revenues | 0 | 0 |
Operating Segments | SCS | ||
Disaggregation of Revenue [Line Items] | ||
Revenues | 1,088,542 | 706,700 |
Operating Segments | SCS | United States | ||
Disaggregation of Revenue [Line Items] | ||
Revenues | 971,200 | 601,298 |
Operating Segments | SCS | Canada | ||
Disaggregation of Revenue [Line Items] | ||
Revenues | 59,628 | 56,088 |
Operating Segments | SCS | Europe | ||
Disaggregation of Revenue [Line Items] | ||
Revenues | 0 | 0 |
Operating Segments | SCS | Mexico | ||
Disaggregation of Revenue [Line Items] | ||
Revenues | 57,714 | 49,314 |
Operating Segments | DTS | ||
Disaggregation of Revenue [Line Items] | ||
Revenues | 424,948 | 320,507 |
Operating Segments | DTS | United States | ||
Disaggregation of Revenue [Line Items] | ||
Revenues | 424,948 | 320,507 |
Operating Segments | DTS | Canada | ||
Disaggregation of Revenue [Line Items] | ||
Revenues | 0 | 0 |
Operating Segments | DTS | Europe | ||
Disaggregation of Revenue [Line Items] | ||
Revenues | 0 | 0 |
Operating Segments | DTS | Mexico | ||
Disaggregation of Revenue [Line Items] | ||
Revenues | 0 | 0 |
Eliminations | ||
Disaggregation of Revenue [Line Items] | ||
Revenues | (188,856) | (141,070) |
Eliminations | United States | ||
Disaggregation of Revenue [Line Items] | ||
Revenues | (179,400) | (136,727) |
Eliminations | Canada | ||
Disaggregation of Revenue [Line Items] | ||
Revenues | (9,456) | (4,343) |
Eliminations | Europe | ||
Disaggregation of Revenue [Line Items] | ||
Revenues | 0 | 0 |
Eliminations | Mexico | ||
Disaggregation of Revenue [Line Items] | ||
Revenues | $ 0 | $ 0 |
REVENUE Disaggregation of Rev_2
REVENUE Disaggregation of Revenue - Industry (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2022 | Mar. 31, 2021 | |
Disaggregation of Revenue [Line Items] | ||
Revenues | $ 2,853,862 | $ 2,221,622 |
SCS | ||
Disaggregation of Revenue [Line Items] | ||
Revenues | 1,088,542 | 706,700 |
Consumer packaged goods and retail | SCS | ||
Disaggregation of Revenue [Line Items] | ||
Revenues | 500,298 | 273,224 |
Automotive | SCS | ||
Disaggregation of Revenue [Line Items] | ||
Revenues | 354,237 | 271,555 |
Technology and healthcare | SCS | ||
Disaggregation of Revenue [Line Items] | ||
Revenues | 121,322 | 97,085 |
Industrial and other | SCS | ||
Disaggregation of Revenue [Line Items] | ||
Revenues | $ 112,685 | $ 64,836 |
REVENUE - Narrative (Details)
REVENUE - Narrative (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2022 | Mar. 31, 2021 | |
Disaggregation of Revenue [Line Items] | ||
Lease & related maintenance and rental revenues | $ 1,024,985 | $ 940,422 |
Contract with customer, revenue, remaining performance obligation | 2,400,000 | |
Maintenance Services | ||
Disaggregation of Revenue [Line Items] | ||
Lease & related maintenance and rental revenues | $ 257,000 | $ 250,000 |
REVENUE - Changes in Contract L
REVENUE - Changes in Contract Liability (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2022 | Mar. 31, 2021 | |
Revenue from Contract with Customer [Abstract] | ||
Balance as of beginning of period | $ 593,442 | $ 629,739 |
Recognized as revenue during period from beginning balance | (59,659) | (59,031) |
Consideration deferred during period, net | 48,007 | 51,759 |
Foreign currency translation adjustment and other | (994) | 709 |
Balance as of end of period | $ 580,796 | $ 623,176 |
RECEIVABLES, NET - Summary (Det
RECEIVABLES, NET - Summary (Details) - USD ($) $ in Thousands | Mar. 31, 2022 | Dec. 31, 2021 |
Receivables [Abstract] | ||
Trade | $ 1,431,315 | $ 1,280,766 |
Sales-type leases | 145,874 | 148,134 |
Other, primarily warranty and insurance | 53,607 | 67,141 |
Receivables, gross | 1,630,796 | 1,496,041 |
Allowance for credit losses and other | (28,133) | (31,304) |
Total | $ 1,602,663 | $ 1,464,737 |
RECEIVABLES, NET - Allowance fo
RECEIVABLES, NET - Allowance for Credit Loss (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2022 | Mar. 31, 2021 | |
Accounts Receivable, Allowance for Credit Loss [Roll Forward] | ||
Balance as of beginning of period | $ 31,304 | $ 43,024 |
Changes to provisions for credit losses | 3,533 | (1,800) |
Write-offs and other | (6,704) | (4,024) |
Balance as of end of period | $ 28,133 | $ 37,200 |
REVENUE EARNING EQUIPMENT, NE_2
REVENUE EARNING EQUIPMENT, NET - Schedule of Revenue Earning Equipment (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2022 | Dec. 31, 2021 | |
Revenue Earning Equipment [Line Items] | ||
Cost | $ 14,647,720 | $ 14,469,122 |
Accumulated Depreciation | (6,257,014) | (6,146,083) |
Net Book Value | $ 8,390,706 | 8,323,039 |
Trucks | ||
Revenue Earning Equipment [Line Items] | ||
Estimated useful life, minimum | 3 years | |
Estimated useful life, maximum | 7 years | |
Cost | $ 5,288,297 | 5,223,127 |
Accumulated Depreciation | (2,089,227) | (2,055,135) |
Net Book Value | $ 3,199,070 | 3,167,992 |
Tractors | ||
Revenue Earning Equipment [Line Items] | ||
Estimated useful life, minimum | 4 years | |
Estimated useful life, maximum | 7 years 6 months | |
Cost | $ 7,247,049 | 7,256,002 |
Accumulated Depreciation | (3,071,862) | (3,059,206) |
Net Book Value | $ 4,175,187 | 4,196,796 |
Trailers and other | ||
Revenue Earning Equipment [Line Items] | ||
Estimated useful life, minimum | 9 years 6 months | |
Estimated useful life, maximum | 12 years | |
Cost | $ 1,839,053 | 1,780,487 |
Accumulated Depreciation | (894,753) | (868,820) |
Net Book Value | 944,300 | 911,667 |
Held for sale | ||
Revenue Earning Equipment [Line Items] | ||
Cost | 273,321 | 209,506 |
Accumulated Depreciation | (201,172) | (162,922) |
Net Book Value | $ 72,149 | $ 46,584 |
REVENUE EARNING EQUIPMENT, NE_3
REVENUE EARNING EQUIPMENT, NET - Summary of Accelerated and Policy Depreciation, Residual Value Estimate Changes (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2022 | Mar. 31, 2021 | |
Revenue Earning Equipment [Line Items] | ||
Depreciation expense related to estimate changes | $ 49,000 | $ 88,000 |
Used vehicles sales, net | (112,994) | (28,851) |
Gains on sale of properties | (586) | (1,505) |
U.K. | ||
Revenue Earning Equipment [Line Items] | ||
Gains on sale of properties | $ (8,291) | $ 0 |
REVENUE EARNING EQUIPMENT, NE_4
REVENUE EARNING EQUIPMENT, NET - Level 3 Fair Value Measurement (Details) - USD ($) $ in Thousands | 3 Months Ended | ||
Mar. 31, 2022 | Mar. 31, 2021 | Dec. 31, 2021 | |
Revenue Earning Equipment [Line Items] | |||
Valuation adjustments | $ 1,496 | $ 3,021 | |
Net book value of assets held for sale | 71,000 | $ 43,000 | |
Fair Value, Inputs, Level 3 | Fair Value, Measurements, Nonrecurring | |||
Revenue Earning Equipment [Line Items] | |||
Assets held for sale | 1,360 | 3,725 | |
Valuation adjustments | 1,496 | 3,021 | |
Fair Value, Inputs, Level 3 | Fair Value, Measurements, Nonrecurring | Trucks | |||
Revenue Earning Equipment [Line Items] | |||
Assets held for sale | 507 | 931 | |
Valuation adjustments | 526 | 890 | |
Fair Value, Inputs, Level 3 | Fair Value, Measurements, Nonrecurring | Tractors | |||
Revenue Earning Equipment [Line Items] | |||
Assets held for sale | 590 | 1,485 | |
Valuation adjustments | 690 | 84 | |
Fair Value, Inputs, Level 3 | Fair Value, Measurements, Nonrecurring | Trailers and other | |||
Revenue Earning Equipment [Line Items] | |||
Assets held for sale | 263 | $ 1,309 | |
Valuation adjustments | $ 280 | $ 2,047 |
REVENUE EARNING EQUIPMENT, NE_5
REVENUE EARNING EQUIPMENT, NET - Recognized Gains on Used Vehicles (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2022 | Mar. 31, 2021 | |
Revenue Earning Equipment [Abstract] | ||
Gains on vehicle sales, net | $ (114,490) | $ (31,872) |
Losses from valuation adjustments | 1,496 | 3,021 |
Used vehicle sales, net | $ (112,994) | $ (28,851) |
ACCRUED EXPENSES AND OTHER LI_3
ACCRUED EXPENSES AND OTHER LIABILITIES (Details) - USD ($) $ in Thousands | Mar. 31, 2022 | Dec. 31, 2021 | Mar. 31, 2021 | Dec. 31, 2020 |
Accrued Expenses | ||||
Salaries and wages | $ 155,887 | $ 210,350 | ||
Insurance obligations | 186,592 | 186,449 | ||
Operating taxes | 171,496 | 165,680 | ||
Deposits, mainly from customers | 95,153 | 94,547 | ||
Operating lease liabilities | 152,211 | 100,232 | ||
Deferred revenue | 181,316 | 182,785 | ||
Other | 185,178 | 179,559 | ||
Total | 1,127,833 | 1,119,602 | ||
Non-Current Liabilities | ||||
Salaries and wages | 0 | 0 | ||
Insurance obligations | 303,288 | 311,209 | ||
Operating taxes | 0 | 0 | ||
Deposits, mainly from customers | 0 | 0 | ||
Operating lease liabilities | 384,846 | 255,573 | ||
Deferred revenue | 399,480 | 410,657 | ||
Other | 349,110 | 336,965 | ||
Total | 1,436,724 | 1,314,404 | ||
Total | ||||
Salaries and wages | 155,887 | 210,350 | ||
Insurance obligations | 489,880 | 497,658 | ||
Operating taxes | 171,496 | 165,680 | ||
Deposits, mainly from customers | 95,153 | 94,547 | ||
Operating lease liabilities | 537,057 | 355,805 | ||
Deferred revenue | 580,796 | 593,442 | $ 623,176 | $ 629,739 |
Other | 534,288 | 516,524 | ||
Total | $ 2,564,557 | $ 2,434,006 |
LEASES - Lease Income (Details)
LEASES - Lease Income (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2022 | Mar. 31, 2021 | |
Operating leases | ||
Lease income related to ChoiceLease | $ 381,545 | $ 389,611 |
Lease income related to commercial rental | 298,135 | 210,284 |
Sales-type leases | ||
Interest income related to net investment in leases | 10,728 | 14,415 |
Variable lease income excluding commercial rental | $ 74,220 | $ 71,993 |
Minimum | ||
Sales-type leases | ||
Variable lease income as a percent of commercial rental income | 15.00% | |
Maximum | ||
Sales-type leases | ||
Variable lease income as a percent of commercial rental income | 25.00% |
LEASES - Components of Net Inve
LEASES - Components of Net Investment in Leases (Details) - USD ($) $ in Thousands | Mar. 31, 2022 | Dec. 31, 2021 |
Leases [Abstract] | ||
Net investment in the lease — lease payment receivable | $ 576,109 | $ 583,008 |
Net investment in the lease — unguaranteed residual value in assets | 45,855 | 46,740 |
Net investment in the lease, gross | 621,964 | 629,748 |
Estimated loss allowance | (2,506) | (3,705) |
Total | $ 619,458 | $ 626,043 |
DEBT - Schedule of Debt (Detail
DEBT - Schedule of Debt (Details) - USD ($) | Mar. 31, 2022 | Dec. 31, 2021 |
Debt: | ||
Debt, gross | $ 6,802,610,000 | $ 6,599,709,000 |
Debt issuance costs and original issue discounts | (21,834,000) | (20,040,000) |
Total debt | 6,780,776,000 | 6,579,669,000 |
Short-term debt and current portion of long-term debt | (1,559,928,000) | (1,333,363,000) |
Long-term debt | 5,220,848,000 | 5,246,306,000 |
Impact on fair value hedging instruments | (21,000,000) | |
Interest Rate Swap | Fair Value Hedging | Designated as Hedging Instrument | ||
Debt: | ||
Aggregate notional amount of interest rate swaps | $ 650,000,000 | 450,000,000 |
U.S. commercial paper | ||
Debt: | ||
Weighted Average Interest Rate | 0.69% | |
Debt, gross | $ 601,711,000 | 531,157,000 |
Canadian commercial paper | ||
Debt: | ||
Weighted Average Interest Rate | 0.00% | |
Debt, gross | $ 0 | 7,087,000 |
Trade receivables financing program | ||
Debt: | ||
Weighted Average Interest Rate | 0.44% | |
Debt, gross | $ 50,000,000 | 0 |
Global revolving credit facility | ||
Debt: | ||
Weighted Average Interest Rate | 0.00% | |
Debt, gross | $ 0 | 0 |
Unsecured U.S. obligations | ||
Debt: | ||
Weighted Average Interest Rate | 3.41% | |
Debt, gross | $ 200,000,000 | 200,000,000 |
Unsecured U.S. notes — Medium-term notes | ||
Debt: | ||
Weighted Average Interest Rate | 3.21% | |
Debt, gross | $ 5,279,035,000 | 5,149,893,000 |
Unsecured foreign obligations | ||
Debt: | ||
Weighted Average Interest Rate | 2.31% | |
Debt, gross | $ 117,487,000 | 140,265,000 |
Asset-backed U.S. obligations | ||
Debt: | ||
Weighted Average Interest Rate | 2.63% | |
Debt, gross | $ 510,275,000 | 526,712,000 |
Finance lease obligations and other | ||
Debt: | ||
Debt, gross | $ 44,102,000 | $ 44,595,000 |
DEBT - Narrative (Details)
DEBT - Narrative (Details) $ in Millions | Mar. 31, 2022USD ($) | Feb. 28, 2022USD ($) | Dec. 31, 2021USD ($) |
Debt Instrument [Line Items] | |||
Fair value of total debt | $ 6,400 | $ 6,200 | |
Maximum | |||
Debt Instrument [Line Items] | |||
Ratio of debt to consolidated net worth | 3 | ||
Global revolving credit facility | |||
Debt Instrument [Line Items] | |||
Line of credit remaining capacity | $ 798 | ||
Debt to consolidated tangible net worth ratio | 1.88 | ||
Letters of credit and surety bonds outstanding | $ 465 | $ 456 | |
Medium-term Notes | |||
Debt Instrument [Line Items] | |||
Debt issued | $ 450 | ||
Debt percentage of principal amount | 2.85% | ||
Trade receivables financing program | |||
Debt Instrument [Line Items] | |||
Available proceeds under program | $ 250 |
SHARE REPURCHASE PROGRAMS - Nar
SHARE REPURCHASE PROGRAMS - Narrative (Details) | Oct. 14, 2021programshares | Feb. 28, 2022USD ($)shares | Mar. 31, 2022USD ($)shares | Mar. 31, 2021USD ($)shares |
Accelerated Share Repurchases [Line Items] | ||||
Common stock repurchases | $ | $ 300,280,000 | $ 19,444,000 | ||
Common Stock | ||||
Accelerated Share Repurchases [Line Items] | ||||
Common stock repurchases | $ | $ 1,528,000 | $ 144,000 | ||
Repurchased and retired shares (in shares) | shares | 3,052,270 | 287,957 | ||
2021 Anti-Dilutive Program | ||||
Accelerated Share Repurchases [Line Items] | ||||
Total notional value, percentage | 80.00% | |||
2021 Anti-Dilutive Program | Common Stock | ||||
Accelerated Share Repurchases [Line Items] | ||||
Stock repurchase program, authorized amount | $ | $ 300,000,000 | |||
Common stock repurchases | $ | $ 300,000,000 | |||
Repurchased and retired shares (in shares) | shares | 3,100,000 | |||
Maximum number of share repurchases authorization (in shares) | shares | 2,500,000 | |||
2021 Discretionary Program | Common Stock | ||||
Accelerated Share Repurchases [Line Items] | ||||
Number of repurchase programs | program | 2 | |||
Maximum number of share repurchases authorization (in shares) | shares | 2,000,000 | |||
Stock repurchase program, terms | 2 years | |||
2019 Anti-Dilutive Program | Common Stock | ||||
Accelerated Share Repurchases [Line Items] | ||||
Common stock repurchases | $ | $ 19,000,000 | |||
Repurchased and retired shares (in shares) | shares | 288,000 |
ACCUMULATED OTHER COMPREHENSI_3
ACCUMULATED OTHER COMPREHENSIVE LOSS (Details) - USD ($) $ in Thousands | Mar. 31, 2022 | Dec. 31, 2021 | Mar. 31, 2021 | Dec. 31, 2020 |
Accumulated Other Comprehensive Income (Loss), Net of Tax [Roll Forward] | ||||
Shareholders' equity | $ 2,648,341 | $ 2,797,946 | $ 2,279,687 | $ 2,255,557 |
Cumulative translation adjustments | ||||
Accumulated Other Comprehensive Income (Loss), Net of Tax [Roll Forward] | ||||
Shareholders' equity | (158,589) | (140,302) | ||
Net actuarial loss and prior service cost | ||||
Accumulated Other Comprehensive Income (Loss), Net of Tax [Roll Forward] | ||||
Shareholders' equity | (524,061) | (649,542) | ||
Unrealized gain (loss) from cash flow hedges | ||||
Accumulated Other Comprehensive Income (Loss), Net of Tax [Roll Forward] | ||||
Shareholders' equity | 655 | (12,923) | ||
Accumulated other comprehensive loss | ||||
Accumulated Other Comprehensive Income (Loss), Net of Tax [Roll Forward] | ||||
Shareholders' equity | $ (681,995) | $ (689,241) | $ (802,767) | $ (817,205) |
EARNINGS PER SHARE (Details)
EARNINGS PER SHARE (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 3 Months Ended | |
Mar. 31, 2022 | Mar. 31, 2021 | |
Calculation of basic and diluted earnings per common share from continuing operations | ||
Earnings from continuing operations | $ 175,822 | $ 51,584 |
Less: Distributed and undistributed earnings allocated to unvested stock, basic | (881) | (240) |
Less: Distributed and undistributed earnings allocated to unvested stock, diluted | (881) | (240) |
Earnings from continuing operations available to common shareholders, basic | 174,941 | 51,344 |
Earnings from continuing operations available to common shareholders, diluted | $ 174,941 | $ 51,344 |
Weighted average common shares outstanding - Basic (in shares) | 51,097 | 52,289 |
Effect of dilutive equity awards (in shares) | 1,379 | 1,111 |
Weighted average common shares outstanding — Diluted (in shares) | 52,476 | 53,400 |
Earnings (loss) from continuing operations per common share — Basic (in dollars per share) | $ 3.42 | $ 0.98 |
Earnings (loss) from continuing operations per common share - Diluted (in dollars per share) | $ 3.35 | $ 0.97 |
Anti-dilutive equity awards not included in diluted EPS (in shares) | 461 | 1,499 |
SHARE-BASED COMPENSATION PLAN_2
SHARE-BASED COMPENSATION PLANS - Summary of Awards Granted in Period (Details) shares in Thousands | 3 Months Ended |
Mar. 31, 2022$ / sharesshares | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Shares Granted (in shares) | shares | 508 |
Weighted-Average Fair Market Value (in dollars per share) | $ / shares | $ 74.42 |
Time-vested restricted stock rights | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Shares Granted (in shares) | shares | 390 |
Weighted-Average Fair Market Value (in dollars per share) | $ / shares | $ 73.74 |
Performance-based restricted stock rights | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Shares Granted (in shares) | shares | 118 |
Weighted-Average Fair Market Value (in dollars per share) | $ / shares | $ 76.68 |
SHARE-BASED COMPENSATION PLAN_3
SHARE-BASED COMPENSATION PLANS - Narrative (Details) | 3 Months Ended |
Mar. 31, 2022 | |
Time-vested restricted stock rights | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Vesting period | 3 years |
EMPLOYEE BENEFIT PLANS (Details
EMPLOYEE BENEFIT PLANS (Details) - Pension Plan - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2022 | Mar. 31, 2021 | |
Defined Benefit Plan, Net Periodic Benefit Cost (Credit) [Abstract] | ||
Defined Benefit Plan, Net Periodic Benefit Cost (Credit), Total | $ 2,954 | $ 306 |
Company-administered plans | ||
Defined Benefit Plan, Net Periodic Benefit Cost (Credit) [Abstract] | ||
Service cost | 240 | 368 |
Interest cost | 15,824 | 14,535 |
Expected return on plan assets | (18,583) | (21,694) |
Amortization of net actuarial loss and prior service cost | 5,473 | 7,097 |
Company-administered plans | U.S. | ||
Defined Benefit Plan, Net Periodic Benefit Cost (Credit) [Abstract] | ||
Defined Benefit Plan, Net Periodic Benefit Cost (Credit), Total | 3,323 | 2,363 |
Company-administered plans | Non-U.S. | ||
Defined Benefit Plan, Net Periodic Benefit Cost (Credit) [Abstract] | ||
Defined Benefit Plan, Net Periodic Benefit Cost (Credit), Total | $ (369) | $ (2,057) |
OTHER ITEMS IMPACTING COMPARA_3
OTHER ITEMS IMPACTING COMPARABILITY - Schedule of Other Items Impacting Comparability (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2022 | Mar. 31, 2021 | |
Other Items Impacting Comparability Table [Line Items] | ||
Restructuring and other, net | $ 14,254 | $ 3,028 |
ERP implementation costs | 0 | 7,631 |
Restructuring and other items, net | 14,254 | 10,659 |
Gains on sale of properties | (586) | (1,505) |
Choice lease liability insurance revenue | 0 | (777) |
Other items impacting comparability, net | 5,377 | 8,377 |
U.K. | ||
Other Items Impacting Comparability Table [Line Items] | ||
Gains on sale of properties | $ (8,291) | $ 0 |
OTHER ITEMS IMPACTING COMPARA_4
OTHER ITEMS IMPACTING COMPARABILITY - Narrative (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2022 | Mar. 31, 2021 | |
Restructuring Cost and Reserve [Line Items] | ||
Gain (loss) on sale of properties | $ 586 | $ 1,505 |
U.K. | ||
Restructuring Cost and Reserve [Line Items] | ||
Severance charges | 2,300 | |
Gain (loss) on sale of properties | 8,291 | $ 0 |
Miscellaneous (Income) Loss, Net | ||
Restructuring Cost and Reserve [Line Items] | ||
Gain (loss) on sale of properties | $ 600 |
OTHER ITEMS IMPACTING COMPARA_5
OTHER ITEMS IMPACTING COMPARABILITY - Restructuring Liabilities (Details) - Employee Termination Costs $ in Thousands | 3 Months Ended |
Mar. 31, 2022USD ($) | |
Restructuring Reserve [Roll Forward] | |
Restructuring liabilities, beginning balance | $ 10,484 |
Utilization | 2,047 |
Workforce reduction charges | (825) |
Restructuring liabilities, ending balance | $ 11,706 |
CONTINGENCIES AND OTHER MATTE_2
CONTINGENCIES AND OTHER MATTERS (Details) - complaint | Feb. 08, 2021 | Feb. 02, 2021 | Jan. 19, 2021 | Aug. 06, 2020 | Jun. 26, 2020 |
Commitments and Contingencies Disclosure [Abstract] | |||||
Number of shareholder derivative complaints | 2 | 3 | 2 | 3 | 3 |
SUPPLEMENTAL CASH FLOW INFORM_3
SUPPLEMENTAL CASH FLOW INFORMATION (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2022 | Mar. 31, 2021 | |
Supplemental Cash Flow Elements [Abstract] | ||
Interest paid | $ 48,110 | $ 48,039 |
Income taxes paid | 9,346 | 4,885 |
Cash paid for amounts included in measurement of liabilities: | ||
Operating cash flows from operating leases | 41,975 | 23,245 |
Right-of-use assets obtained in exchange for lease obligations: | ||
Finance leases | 3,839 | 2,851 |
Operating leases | 48,515 | 16,645 |
Capital expenditures acquired but not yet paid | $ 256,700 | $ 134,384 |
ACQUISITIONS - Narrative (Detai
ACQUISITIONS - Narrative (Details) - PLG Investments I, LLC - USD ($) | Jan. 01, 2022 | Dec. 31, 2021 |
Business Acquisition [Line Items] | ||
Consideration transferred | $ 482,000,000 | |
Goodwill expected tax deductible amount | $ 0 | |
Cash placed In escrow | $ 439,000,000 | |
Finite lived intangible assets, primarily customer relationships | ||
Business Acquisition [Line Items] | ||
Finite-lived intangible assets, amortization period | 13 years |
ACQUISITIONS - Fair Value of th
ACQUISITIONS - Fair Value of the Assets and Liabilities (Details) - USD ($) $ in Thousands | Mar. 31, 2022 | Jan. 01, 2022 | Dec. 31, 2021 |
Assets: | |||
Goodwill | $ 844,793 | $ 570,905 | |
PLG Investments I, LLC | |||
Assets: | |||
Receivables, net | $ 78,945 | ||
Goodwill | 272,814 | ||
Other assets, primarily operating lease right-of-use assets | 244,303 | ||
Total assets | 757,162 | ||
Liabilities: | |||
Accrued expenses and other current liabilities | 76,566 | ||
Other liabilities, primarily operating lease liabilities | 199,089 | ||
Net assets acquired | 481,507 | ||
PLG Investments I, LLC | Customer relationships and other intangible assets | |||
Assets: | |||
Intangible assets | $ 161,100 |
SUBSEQUENT EVENTS (Details)
SUBSEQUENT EVENTS (Details) - Subsequent Event | Apr. 12, 2022Trailer |
Subsequent Event [Line Items] | |
Number of trailers | 4,500 |
Percentage of asset | 0.38 |