Profile: GATX Corp (GMT)
29 Apr 2016
GATX Corporation, incorporated on July 05, 1916, is a railcar lessor, owning fleets in North America, Europe and Asia. The Company operates a fleet of the United States-flagged vessels on the Great Lakes, and owns and manages marine assets and other assets. The Company operates through four segments: Rail North America, Rail International, American Steamship Company (ASC) and Portfolio Management. The Company owns a fleet of approximately 148,400 railcars. The Company leases tank cars, freight cars and locomotives in North America; tank cars and freight cars in Europe, and freight cars in India. It also has an ownership interest in over 2,400 railcars through investments in affiliated companies. The Company manages approximately 600 railcars for other third-party owners. Its rail customers operate in the petroleum, chemical, food/agriculture and transportation industries.
Rail North America
Rail North America comprises the Company's operations in the United States, Canada and Mexico, as well as an affiliate investment. Rail North America primarily provides railcars pursuant to full-service leases, under which it maintains the railcars, pays advertisement valorem taxes and insurance, and provides administrative and other ancillary services. These railcars have estimated lives of 27 to 42 years and an average age of approximately 20 years. Rail North America has a diverse customer base, serving approximately 800 customers. Rail North America also owns a fleet of locomotives, consisting of over 610 older four-axle and approximately 30 six-axle locomotives. Locomotive customers are primarily Class I, regional, and short-line railroads and industrial users. Lease terms vary from month-to-month to 15 years. Rail North America also remarkets rail assets, including assets managed for third parties and an affiliate.
Rail International comprises the Company's European operations, GATX Rail Europe (GRE), and a railcar leasing business in India (Rail India), as well as one development-stage affiliate in China. GRE leases railcars to customers throughout Europe pursuant to full-service leases, under which it maintains the railcars. These railcars have estimated useful lives of 35 to 40 years and an average age of approximately 20 years. GRE has a diverse customer base with approximately 250 customers. GRE's lease terms generally range from 1 to 10 years.
Rail India focuses on pursuing investment opportunities in new and existing flat wagons, and developing relationships with customers, suppliers and the Indian Railways. Rail India owns over 777 railcars with estimated useful lives of 20 to 25 years. Rail India's lease terms, all of which are net leases, generally range from 2 to 10 years. GRE operates maintenance facilities in Hannover, Germany and Ostroda, Poland that perform significant repairs, regulatory compliance and modernization work for owned railcars.
American Steamship Company
ASC operates the fleet of United States flagged vessels on the Great Lakes. ASC provides waterborne transportation of dry bulk commodities, such as iron ore, coal, limestone aggregates and metallurgical limestone, which serve end markets that include steel making, domestic automobile manufacturing, electricity generation and non-residential construction. ASC's fleet consists of approximately 20 vessels. Over 10 of the vessels are diesel powered, have an average age of 38 years, and estimated lives of 65 years. Two steam powered vessels have estimated remaining useful lives of four years. The other vessel in ASC's fleet is a diesel-powered articulated tug-barge. 16 of ASC's vessels are generally available for both service contract and spot business.
Portfolio Management generates leasing, marine operating, asset remarketing and management fee income through a collection of diversified assets and joint venture investments. Portfolio Management's portfolio consists of assets subject to operating and finance leases, marine assets operating in pooling arrangements and secured loans. Portfolio Management also manages portfolios of assets for third parties, which generate fee and residual sharing income through portfolio administration and remarketing of these assets. Portfolio Management holds investments in affiliated companies, primarily aircraft spare engine leasing and shipping operations.
The Company competes with Union Tank Car Company, American Railcar Leasing, Trinity Industries Leasing Company, Wells Fargo Rail, The Andersons, Inc., SMBC Rail Services, LLC, CIT Group Inc., Progress Rail Services Corporation, VTG Aktiengesellschaft, the Ermewa Group, Wascosa AG, On Rail, Interlake Steamship Company, Great Lakes Fleet, Inc., Grand River Navigation, Central Marine Logistics, and VanEnkevort Tug and Barge.
222 W Adams St
CHICAGO IL 60606-5312