Trinity Industries, Inc. (NYSE:TRN) Q2 2020 Results Conference Call July 23, 2020 12:00 PM ET Company Participants Jessica Greiner - VP, IR & Communications Jean Savage - CEO & President Melendy Lovett - CAO Eric Marchetto - CFO Conference Call Participants Steve Barger - KeyBanc Capital Matt Elkott - Cowen James Bardowski - GLJ Research Justin Long - Stephens Allison Poliniak - Wells Fargo Bascome Majors - Susquehanna Barry Haimes - Sage Asset Management Operator Welcome to the Second Quarter Results Confe ...

UNITED STATES SECURITIES AND EXCHANGE CO. Washington, D.C. 20549 Form 10-Q (Mark One) ☑ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 FOR THE QUARTERLY PERIOD ENDED JUNE 30, 2020 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from _________ to _________ . Commission File Number 1-6903 (Exact name of registrant as specified in its charter) Delaware 75-0225040 (State or Other Jurisdiction of Inco ...

2Q 2020 – Earnings Conference Call Supplemental Material July 23, 2020 – based on financial results as of June 30, 2020 Investor Contact: TrinityInvestorRelations@trin.net Website: www.trin.net Forward Looking Statements Some statements in this presentation, which are not historical facts, are "forward-looking statements" as defined by the Private Securities Litigation Reform Act of 1995. Forward-looking statements include statements about Trinity's estimates, expectations, beliefs, intentions or strategies ...

Financial Data and Key Metrics Changes - The company reported a significant focus on cost structure optimization, with a target reduction of $25 million to $30 million in administrative costs, achieving $9 million to $10 million in the first quarter [30][31] - The company expects to receive $300 million in tax refunds due to the CARES Act, enhancing its liquidity position [24][52] - As of the end of the first quarter, the company had committed available liquidity of $760 million [52] Business Line Data and Key Metrics Changes - The Leasing Group's revenue and profit from operations grew year-over-year due to an increase in the lease fleet and higher average lease rates [41] - The Rail Products Group delivered over 3,700 railcars in the first quarter while reducing production capacity [42] - Lease fleet utilization declined to 95.4%, with new railcar orders totaling 1,970 railcars for the quarter [43] Market Data and Key Metrics Changes - The company noted significant declines in rail volumes, leading to underutilized railcar equipment, but identified agricultural markets as a bright spot for rail equipment demand [45] - Approximately 80% of customers operate as essential businesses, which has helped maintain some level of demand [44] - The company removed approximately 540 tank cars from its backlog due to changes in customer financial conditions [47] Company Strategy and Development Direction - The company is focused on aligning its cost structure with current demand and optimizing its balance sheet through leveraging its lease fleet [34][55] - Management is committed to maintaining long-term goals despite the current challenging environment, emphasizing the importance of business continuity and capital preservation [29][60] - The company plans to provide a broader strategic roadmap in the third quarter call [61] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the company's ability to withstand the economic crisis caused by COVID-19, citing the long-term nature of leasing contracts as a protective factor [22][26] - The company is conducting scenario analyses to guide capital allocation decisions amid market uncertainty [62] - Management acknowledged that achieving long-term targets may take longer due to current market conditions [80] Other Important Information - The company has a diverse lease fleet of approximately 130,000 railcars, providing visibility into lease and fee income [53] - The company has unencumbered assets of approximately $1.5 billion available for monetization [54] - The company has maintained its dividends, paying out its 224th consecutive quarterly dividend [68] Q&A Session Summary Question: Commentary on lease rates and trends - Management noted that the increase in lease rates was influenced by portfolio changes, but headwinds on lease rates are expected to continue [75] Question: Thoughts on secondary market dynamics - The company sold about $110 million worth of railcars in the first quarter, but future transactions may depend on market conditions [76] Question: Focus on utilization versus lease rates - The company is currently prioritizing utilization over lease rates, as customer needs dictate the demand for railcars [77] Question: Update on return on equity targets - Management indicated that achieving long-term targets will be challenging but remains committed to them [80] Question: Headcount savings and cost reduction plans - The headcount savings are included in the overall cost savings target, with further reductions possible if the downturn extends [81] Question: Guidance on operating cash flow - Management expects positive operating cash flow, supported by natural working capital gains and tax benefits [82] Question: Utilization and balance sheet optimization - Management stated that there is no set target for fleet utilization before taking action to manage the fleet [88] Question: Production rates and delivery expectations - Management indicated that the second quarter is expected to be more challenging than the first quarter [126]

PART I FINANCIAL INFORMATION [Item 1. Financial Statements](index=3&type=section&id=Item%201.%20Financial%20Statements) The company's Q1 2020 financials show stable revenue but lower operating profit, with net income significantly boosted by a one-time tax benefit [Consolidated Statements of Operations](index=3&type=section&id=Consolidated%20Statements%20of%20Operations) Q1 2020 vs Q1 2019 Operations | Financial Metric | Three Months Ended March 31, 2020 | Three Months Ended March 31, 2019 | | :--- | :--- | :--- | | **Total Revenues** | $615.2 million | $604.8 million | | **Total Operating Profit** | $73.0 million | $91.8 million | | **Income from Continuing Operations** | $162.5 million | $31.2 million | | **Net Income** | $162.3 million | $30.1 million | | **Diluted EPS (Continuing Operations)** | $1.33 | $0.24 | - Net income for Q1 2020 was significantly impacted by a **tax benefit of $147.6 million**, compared to a tax provision of $8.9 million in Q1 2019, primarily due to the CARES Act[7](index=7&type=chunk) [Consolidated Balance Sheets](index=6&type=section&id=Consolidated%20Balance%20Sheets) Financial Position as of March 31, 2020 | Balance Sheet Item | March 31, 2020 | December 31, 2019 | | :--- | :--- | :--- | | **Total Assets** | $9,002.9 million | $8,701.4 million | | **Total Liabilities** | $6,536.8 million | $6,322.5 million | | **Total Debt** | $4,870.2 million | $4,881.9 million | | **Total Stockholders' Equity** | $2,466.1 million | $2,378.9 million | - Income tax receivable **increased substantially to $389.1 million** as of March 31, 2020, from $14.7 million at December 31, 2019, reflecting anticipated refunds under the CARES Act[11](index=11&type=chunk) [Consolidated Statements of Cash Flows](index=7&type=section&id=Consolidated%20Statements%20of%20Cash%20Flows) Q1 2020 vs Q1 2019 Cash Flow | Cash Flow Activity | Three Months Ended March 31, 2020 | Three Months Ended March 31, 2019 | | :--- | :--- | :--- | | **Net Cash from Operating Activities** | $173.6 million | ($125.9 million) | | **Net Cash used in Investing Activities** | ($64.6 million) | ($438.5 million) | | **Net Cash from (used in) Financing Activities** | ($77.1 million) | $401.7 million | - The **significant improvement in operating cash flow** was driven by higher net income (adjusted for non-cash items) and changes in operating assets and liabilities[12](index=12&type=chunk) - The reduction in cash used for investing activities was primarily due to **lower capital expenditures** for the leasing fleet[12](index=12&type=chunk) [Notes to Consolidated Financial Statements](index=10&type=section&id=Notes%20to%20Consolidated%20Financial%20Statements) Notes detail a depreciation estimate change, a significant CARES Act tax benefit, restructuring charges, and share repurchase activities - A change in accounting estimate for railcar useful lives **decreased depreciation expense by approximately $7.7 million** and increased net income by approximately $5.9 million for the quarter[38](index=38&type=chunk) - The CARES Act allowed the company to carry back tax losses, generating a **tax benefit of $154.7 million** for the quarter[91](index=91&type=chunk) - In Q1 2020, the company recorded **restructuring charges of $5.5 million**, consisting of a $5.2 million non-cash impairment of its corporate headquarters and other items[99](index=99&type=chunk) Share Repurchase Activity (Q1 2020) | Share Repurchase Activity (Jan 1 - Mar 31, 2020) | Value | | :--- | :--- | | **Shares Repurchased** | 1,850,000 | | **Cost** | $35.4 million | | **Remaining Authorization (as of Mar 31, 2020)** | $89.9 million | [Management's Discussion and Analysis of Financial Condition and Results of Operations](index=45&type=section&id=Item%202.%20Management's%20Discussion%20and%20Analysis%20of%20Financial%20Condition%20and%20Results%20of%20Operations) Management discusses flat revenue, decreased operating profit due to rail product issues, and the expected future impact of COVID-19 [COVID-19 Impact](index=48&type=section&id=COVID-19%20Impact) - While COVID-19 did not materially impact Q1 2020 results, the company **expects a decline in near-term results** due to reduced demand and potential disruptions[145](index=145&type=chunk) - The company has taken measures to preserve cash and anticipates receiving **tax refunds totaling approximately $303 million** in 2020 due to the CARES Act[144](index=144&type=chunk) [Segment Performance](index=54&type=section&id=Segment%20Performance) - **Railcar Leasing and Management Services Group:** Operating profit **increased 8.3% YoY to $92.9 million**, driven by fleet growth and a reduction in depreciation expense[175](index=175&type=chunk)[176](index=176&type=chunk)[181](index=181&type=chunk) - **Rail Products Group:** Operating profit **fell 46.7% YoY to $25.1 million** due to fewer railcar deliveries and operational inefficiencies, with the backlog value decreasing 52.1% YoY[183](index=183&type=chunk)[184](index=184&type=chunk) - **All Other:** Operating profit decreased slightly to $9.3 million from $10.1 million, primarily due to insurance recoveries recognized in the prior year period[187](index=187&type=chunk) [Liquidity and Capital Resources](index=58&type=section&id=Liquidity%20and%20Capital%20Resources) - As of March 31, 2020, the company had **total committed liquidity of $759.7 million**, including cash and available credit facilities[191](index=191&type=chunk) - In March 2020, the company redeemed its 2006 Secured Railcar Equipment Notes, using **$109.9 million in cash**[192](index=192&type=chunk) - For full-year 2020, the company anticipates a net investment in its lease fleet of **$350 million to $500 million**[200](index=200&type=chunk) [Quantitative and Qualitative Disclosures About Market Risk](index=54&type=section&id=Item%203.%20Quantitative%20and%20Qualitative%20Disclosures%20About%20Market%20Risk) The company reports no material changes in its market risks since year-end 2019 - There has been **no material change** in the company's market risks since December 31, 2019[212](index=212&type=chunk) [Controls and Procedures](index=54&type=section&id=Item%204.%20Controls%20and%20Procedures) Management confirmed the effectiveness of disclosure controls and procedures with no material changes to internal controls - The Chief Executive and Chief Financial Officers concluded that the company's **disclosure controls and procedures were effective** as of the end of the period[213](index=213&type=chunk) - **No material changes** in internal controls over financial reporting occurred during the quarter[214](index=214&type=chunk) PART II OTHER INFORMATION [Legal Proceedings](index=55&type=section&id=Item%201.%20Legal%20Proceedings) This section references ongoing legal matters related to the company's highway products business - The company refers to Note 14 of the Consolidated Financial Statements for information on legal proceedings, which primarily concern **litigation related to its highway products**[110](index=110&type=chunk)[113](index=113&type=chunk)[216](index=216&type=chunk) [Risk Factors](index=55&type=section&id=Item%201A.%20Risk%20Factors) A new risk factor was added to address the material adverse effects of the COVID-19 pandemic - A new risk factor was added to disclose that the **COVID-19 pandemic is likely to have a material adverse effect** on the company's operations, financial condition, and liquidity[217](index=217&type=chunk) [Unregistered Sales of Equity Securities and Use of Proceeds](index=56&type=section&id=Item%202.%20Unregistered%20Sales%20of%20Equity%20Securities%20and%20Use%20of%20Proceeds) The company details its Q1 2020 share repurchase activities and remaining authorization Share Repurchases by Month (Q1 2020) | Period (2020) | Shares Purchased (Program) | Average Price Paid | Total Cost (Program) | | :--- | :--- | :--- | :--- | | **February** | 550,000 | $21.23 | ~$11.7M | | **March** | 1,300,000 | $18.25 | ~$23.7M | | **Q1 Total** | **1,850,000** | **-** | **~$35.4M** | [Exhibits](index=57&type=section&id=Item%206.%20Exhibits) This section lists all exhibits filed with the report, including certifications and interactive data files - The report lists exhibits filed, including Amended and Restated Bylaws, CEO and CFO certifications under Sarbanes-Oxley, and **Inline XBRL documents**[224](index=224&type=chunk)

1Q 2020 – Earnings Conference Call Supplemental Material April 30, 2020 – based on financial results as of March 31, 2020 Investor Contact: TrinityInvestorRelations@trin.net Website: www.trin.net Forward Looking Statements Some statements in this presentation, which are not historical facts, are "forward-looking statements" as defined by the Private Securities Litigation Reform Act of 1995. Forward-looking statements include statements about Trinity's estimates, expectations, beliefs, intentions or strategi ...

Trinity Industries, Inc. (NYSE:TRN) Q4 2019 Earnings Conference Call February 20, 2020 11:00 AM ET Company Participants Jessica Greiner - VP, IR and Communications Jean Savage - CEO and President Eric Marchetto - SVP and Group President, TrinityRail Melendy Lovett - SVP and CFO Conference Call Participants Justin Long - Stephens Matt Elkott - Cowen Allison Poliniak - Wells Fargo Bascome Majors - Susquehanna Gordon Johnson - GLJ Research Steve Barger - KeyBanc Capital Markets Douglas Greiner - Wilbanks, Smit ...

(State or Other Jurisdiction of Incorporation or Organization) (I.R.S. Employer Identification No.) UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 Form 10-K (Mark One) ☑ ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the fiscal year ended December 31, 2019 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 Commission File Number 1-6903 (Exact name of registrant as specified in its charter) Delaware ...

Trinity Industries, Inc. (NYSE:TRN) Q3 2019 Earnings Conference Call October 24, 2019 11:00 AM ET Company Participants Jessica Greiner – Vice President-Investor Relations and Communications Tim Wallace – Chief Executive Officer and President Eric Marchetto – Senior Vice President and Group President-TrinityRail Melendy Lovett – Senior Vice President and Chief Financial Officer Paul Mauer – President-TrinityRail Products Conference Call Participants Bascome Majors – Susquehanna Matt Elkott – Cowen Justin Lon ...

PART I [Financial Statements](index=3&type=section&id=Item%201.%20Financial%20Statements) The company reported significant increases in revenue and operating profit, asset growth, and completed the spin-off of Arcosa, Inc - The company completed the spin-off of Arcosa, Inc. on November 1, 2018, reclassifying its financial results as discontinued operations[22](index=22&type=chunk)[23](index=23&type=chunk) Consolidated Statements of Operations Highlights (in millions, except per share data) | Metric | Q3 2019 | Q3 2018 | 9 Months 2019 | 9 Months 2018 | | :--- | :--- | :--- | :--- | :--- | | **Total Revenues** | $813.6 | $606.9 | $2,154.4 | $1,774.1 | | **Total operating profit** | $120.3 | $75.2 | $319.1 | $225.3 | | **Income from continuing operations** | $48.1 | $28.5 | $116.9 | $81.0 | | **Net income attributable to Trinity** | $49.0 | $27.7 | $116.0 | $132.0 | | **Diluted EPS from continuing operations** | $0.39 | $0.19 | $0.90 | $0.51 | Consolidated Balance Sheet Highlights (in millions) | Metric | Sep 30, 2019 | Dec 31, 2018 | | :--- | :--- | :--- | | **Total assets** | $8,643.1 | $7,989.2 | | **Total liabilities** | $6,183.8 | $5,427.2 | | **Total stockholders' equity** | $2,459.3 | $2,562.0 | Consolidated Statement of Cash Flows Highlights (in millions) | Metric | 9 Months 2019 | 9 Months 2018 | | :--- | :--- | :--- | | **Net cash provided by operating activities** | $164.0 | $319.9 | | **Net cash used in investing activities** | ($723.3) | ($311.0) | | **Net cash provided by (used in) financing activities** | $423.6 | ($416.8) | [Note 1: Summary of Significant Accounting Policies](index=13&type=section&id=Note%201.%20Summary%20of%20Significant%20Accounting%20Policies) This note details the basis of presentation, revenue recognition policies, and the adoption of ASC 842, recognizing new lease assets and liabilities - The company adopted ASC 842 on January 1, 2019, recognizing **$47.0 million** in right-of-use assets and **$48.3 million** in lease liabilities, with a **$13.7 million** cumulative-effect adjustment to retained earnings[45](index=45&type=chunk)[46](index=46&type=chunk) - Unsatisfied performance obligations totaled **$2.45 billion** for Rail Products (products), **$44.9 million** for maintenance services, and **$90.0 million** for Railcar Leasing and Management Services as of September 30, 2019[33](index=33&type=chunk) [Note 2: Discontinued Operations](index=18&type=section&id=Note%202.%20Discontinued%20Operations) This note details the spin-off of Arcosa, Inc. on November 1, 2018, with its historical results reclassified as discontinued operations - The spin-off of Arcosa, Inc. was completed on November 1, 2018, with its historical results reclassified to discontinued operations for all periods presented[49](index=49&type=chunk) Discontinued Operations Financial Summary (in millions) | Metric | Q3 2019 | Q3 2018 | 9 Months 2019 | 9 Months 2018 | | :--- | :--- | :--- | :--- | :--- | | **Revenues** | $— | $334.8 | $— | $966.0 | | **Income (loss) from discontinued operations, net of taxes** | $(0.4) | $(0.2) | $(2.3) | $54.4 | [Note 4: Segment Information](index=21&type=section&id=Note%204.%20Segment%20Information) The company reports results across three segments: Railcar Leasing, Rail Products, and All Other, detailing their respective revenues and operating profits Segment Financials for Nine Months Ended Sep 30, 2019 (in millions) | Segment | External Revenue | Operating Profit (Loss) | | :--- | :--- | :--- | | **Railcar Leasing and Management Services** | $803.3 | $306.3 | | **Rail Products Group** | $1,125.9 | $184.0 | | **All Other** | $225.2 | $16.7 | | **Corporate** | N/A | $(78.1) | Segment Financials for Three Months Ended Sep 30, 2019 (in millions) | Segment | External Revenue | Operating Profit (Loss) | | :--- | :--- | :--- | | **Railcar Leasing and Management Services** | $326.2 | $115.7 | | **Rail Products Group** | $409.0 | $65.4 | | **All Other** | $78.4 | $3.9 | | **Corporate** | N/A | $(23.9) | [Note 8: Debt](index=30&type=section&id=Note%208.%20Debt) Total debt increased to **$4.69 billion** as of September 30, 2019, with new secured note issuances in April and October 2019 contributing to the rise Debt Summary as of Sep 30, 2019 (in millions) | Debt Category | Carrying Value | | :--- | :--- | | **Corporate – Recourse** | $472.7 | | **Leasing – Non-recourse (Wholly-owned)** | $2,923.2 | | **Leasing – Non-recourse (Partially-owned)** | $1,289.3 | | **Total Debt** | **$4,685.2** | - In April 2019, subsidiary TRL-2019 issued **$528.3 million** in Secured Railcar Equipment Notes at a fixed rate of **3.82%**[94](index=94&type=chunk) - In October 2019, TRL-2019 issued an additional **$386.5 million** in Secured Railcar Equipment Notes, with proceeds used to repay other borrowings[96](index=96&type=chunk) [Note 10: Employee Retirement Plans](index=34&type=section&id=Note%2010.%20Employee%20Retirement%20Plans) The Board approved the termination of the Consolidated Pension Plan, effective December 31, 2019, anticipating a pre-tax settlement charge of **$145 million to $195 million** - The Board approved the termination of the Consolidated Pension Plan, effective December 31, 2019[102](index=102&type=chunk) - Upon settlement, the company expects a pre-tax charge between **$145 million** and **$195 million**, including a non-cash charge for actuarial losses and a potential cash contribution up to **$25 million**[103](index=103&type=chunk) [Note 12: Common Stock and Stock-Based Compensation](index=36&type=section&id=Note%2012.%20Common%20Stock%20and%20Stock-Based%20Compensation) The company actively repurchased **10.8 million** shares for **$233.9 million** during the first nine months of 2019, with **$186.1 million** remaining under authorization - A new share repurchase program was authorized in March 2019 for up to **$350.0 million** through December 31, 2020[107](index=107&type=chunk) - During Q3 2019, the company repurchased **5.2 million** shares for **$100.9 million**, totaling **10.8 million** shares for **$233.9 million** in the first nine months of 2019[108](index=108&type=chunk) - As of September 30, 2019, **$186.1 million** remained available for repurchases under the current program[108](index=108&type=chunk) [Note 14: Contingencies](index=38&type=section&id=Note%2014.%20Contingencies) This note details ongoing litigation, including the favorable conclusion of the federal FCA case, pending state-level actions, and a **$7.5 million** shareholder class action settlement - The federal FCA lawsuit related to the ET-Plus® System concluded in the company's favor after the U.S. Supreme Court denied the relator's petition for certiorari in January 2019[116](index=116&type=chunk) - Several state-level qui tam actions filed by the same relator remain pending in Virginia, Tennessee, Massachusetts, New Jersey, and California[117](index=117&type=chunk) - A shareholder class action lawsuit was settled for **$7.5 million**, with the company accruing a **$2.5 million** charge net of insurance recoveries[126](index=126&type=chunk) [Management's Discussion and Analysis of Financial Condition and Results of Operations](index=50&type=section&id=Item%202.%20Management%27s%20Discussion%20and%20Analysis%20of%20Financial%20Condition%20and%20Results%20of%20Operations) Management attributes revenue and operating profit growth to favorable product mix and sales, while noting a slowdown in railcar demand and ongoing restructuring efforts - Demand for railcars slowed in Q3 2019 due to economic uncertainty, impacting lease rates, utilization, and new orders, a trend expected to continue in the near term[164](index=164&type=chunk) - The company anticipates a Q4 restructuring charge of **$10 million to $20 million** from streamlining efforts, expected to generate **$8 million to $10 million** in annualized cost savings[165](index=165&type=chunk) - For full year 2019, the company anticipates a net investment in its lease fleet between **$850 million** and **$950 million**, and manufacturing/corporate capital expenditures between **$110 million** and **$120 million**[215](index=215&type=chunk) [Consolidated Results of Operations](index=54&type=section&id=Consolidated%20Results%20of%20Operations) Consolidated revenues increased **21.4%** to **$2.15 billion** and operating profit rose **41.6%** to **$319.1 million** for the nine months ended September 30, 2019, driven by railcar deliveries and sales Consolidated Results of Operations (in millions) | Metric | 9 Months 2019 | 9 Months 2018 | | :--- | :--- | :--- | | **Revenues** | $2,154.4 | $1,774.1 | | **Operating profit** | $319.1 | $225.3 | | **Income from continuing operations** | $116.9 | $81.0 | - Operating profit increased due to favorable product mix in Rail Products, higher profits from railcar sales in Leasing, and reduced corporate expenses[178](index=178&type=chunk) - Net interest expense increased to **$160.8 million** for the first nine months of 2019 from **$122.9 million** in the prior-year period, driven by higher debt in the Leasing Group[180](index=180&type=chunk) [Segment Discussion](index=58&type=section&id=Segment%20Discussion) Operating profit increased for Railcar Leasing (**20.1%**) and Rail Products (**43.8%**), driven by sales and deliveries, while the All Other segment's profit declined Railcar Leasing and Management Services Group Performance (9 Months Ended Sep 30, in millions) | Metric | 2019 | 2018 | % Change | | :--- | :--- | :--- | :--- | | **Total Revenues** | $803.9 | $615.5 | 30.6% | | **Operating Profit** | $306.3 | $255.1 | 20.1% | - The Leasing Group's fleet utilization was **96.7%** on **102,090** company-owned railcars as of September 30, 2019[192](index=192&type=chunk) Rail Products Group Performance (9 Months Ended Sep 30, in millions) | Metric | 2019 | 2018 | % Change | | :--- | :--- | :--- | :--- | | **Total Revenues** | $2,038.9 | $1,651.9 | 23.4% | | **Operating Profit** | $184.0 | $128.0 | 43.8% | | **Railcar Backlog** | $2,445.7 | $3,200.8 | (23.6)% | [Liquidity and Capital Resources](index=64&type=section&id=Liquidity%20and%20Capital%20Resources) As of September 30, 2019, the company had **$97.6 million** in cash and **$339.5 million** available under its credit facility, with significant debt issuances and share repurchases - In April 2019, a subsidiary issued **$528.3 million** in Secured Railcar Equipment Notes, with an additional **$386.5 million** issued in October 2019[206](index=206&type=chunk) - The company repurchased **$100.9 million** of its common stock in Q3 2019 under a new **$350 million** authorization[207](index=207&type=chunk) - On January 14, 2019, the company purchased **6,779** previously leased railcars for **$218.4 million**, funded by cash and the revolving credit facility[209](index=209&type=chunk) [Quantitative and Qualitative Disclosures About Market Risk](index=66&type=section&id=Item%203.%20Quantitative%20and%20Qualitative%20Disclosures%20About%20Market%20Risk) The company reports no material changes in market risks since December 31, 2018, referring to its 2018 Annual Report and Notes 3 and 8 for further details - There has been no material change in the company's market risks since December 31, 2018[223](index=223&type=chunk) [Controls and Procedures](index=67&type=section&id=Item%204.%20Controls%20and%20Procedures) Management concluded that disclosure controls and procedures were effective as of September 30, 2019, with no material changes to internal controls over financial reporting during the quarter - The Chief Executive and Chief Financial Officers concluded that the company's disclosure controls and procedures were effective as of September 30, 2019[225](index=225&type=chunk) - No changes occurred during the quarter that have materially affected, or are reasonably likely to materially affect, the company's internal controls over financial reporting[226](index=226&type=chunk) PART II OTHER INFORMATION [Legal Proceedings](index=68&type=section&id=Item%201.%20Legal%20Proceedings) This section incorporates by reference legal contingencies from Note 14, including the conclusion of the federal FCA case and status of ongoing state-level litigation - Information regarding legal proceedings is detailed in Note 14 of the Consolidated Financial Statements and is incorporated here by reference[228](index=228&type=chunk) [Risk Factors](index=68&type=section&id=Item%201A.%20Risk%20Factors) The company reports no material changes to the risk factors previously disclosed in its 2018 Annual Report on Form 10-K - There have been no material changes from the risk factors previously disclosed in the 2018 Annual Report on Form 10-K[229](index=229&type=chunk) [Unregistered Sales of Equity Securities and Use of Proceeds](index=68&type=section&id=Item%202.%20Unregistered%20Sales%20of%20Equity%20Securities%20and%20Use%20of%20Proceeds) During Q3 2019, the company repurchased **5,176,370** shares of common stock, with **$186.1 million** remaining available under the repurchase program as of September 30, 2019 Common Stock Repurchases for Q3 2019 | Period | Total Shares Purchased | Average Price Paid per Share | | :--- | :--- | :--- | | July 2019 | 837,069 | $19.12 | | August 2019 | 1,516,505 | $19.29 | | September 2019 | 2,822,796 | $19.75 | | **Total** | **5,176,370** | | - As of September 30, 2019, the company had a remaining authorization to repurchase up to **$186.1 million** of its common stock[231](index=231&type=chunk) [Exhibits](index=69&type=section&id=Item%206.%20Exhibits) This section lists exhibits filed with the Form 10-Q, including a Note Purchase Agreement, CEO/CFO certifications, and XBRL data files - Exhibits filed include a Note Purchase Agreement dated October 8, 2019, CEO/CFO certifications, and XBRL data files[233](index=233&type=chunk)