RYDER SYSTEM INC, 10-Q filed on 8/7/2015
Quarterly Report
Document and Entity Information
6 Months Ended
Jun. 30, 2015
Document and Entity Information [Abstract]
 
Entity Registrant Name
RYDER SYSTEM INC 
Entity Central Index Key
0000085961 
Current Fiscal Year End Date
--12-31 
Entity Filer Category
Large Accelerated Filer 
Document Type
10-Q 
Document Period End Date
Jun. 30, 2015 
Document Fiscal Year Focus
2015 
Document Fiscal Period Focus
Q2 
Amendment Flag
false 
Entity Common Stock, Shares Outstanding
53,374,025 
Consolidated Condensed Statements of Earnings (Unaudited) (USD $)
In Thousands, except Per Share data, unless otherwise specified
3 Months Ended 6 Months Ended
Jun. 30, 2015
Jun. 30, 2014
Jun. 30, 2015
Jun. 30, 2014
Income Statement [Abstract]
 
 
 
 
Lease and rental revenues
$ 779,046 
$ 733,763 
$ 1,508,070 
$ 1,423,445 
Services revenue
737,170 
741,427 
1,430,874 
1,451,126 
Fuel services revenue
146,715 
209,381 
291,140 
420,737 
Total revenues
1,662,931 
1,684,571 
3,230,084 
3,295,308 
Cost of lease and rental
531,308 
507,620 
1,049,730 
1,000,192 
Cost of services
603,488 
625,276 
1,185,818 
1,231,505 
Cost of fuel services
142,176 
203,613 
278,465 
410,818 
Other operating expenses
32,834 
31,007 
67,578 
67,652 
Selling, general and administrative expenses
214,868 
200,430 
421,473 
392,132 
Gains on vehicle sales, net
(33,237)
(34,365)
(62,816)
(63,183)
Interest expense
39,075 
35,729 
75,877 
71,267 
Miscellaneous income, net
(1,028)
(4,828)
(3,665)
(10,210)
Total expenses
1,529,484 
1,564,482 
3,012,460 
3,100,173 
Earnings from continuing operations before income taxes
133,447 
120,089 
217,624 
195,135 
Provision for income taxes
47,530 
44,368 
78,381 
70,288 
Earnings from continuing operations
85,917 
75,721 
139,243 
124,847 
Loss from discontinued operations, net of tax
(758)
(336)
(1,295)
(1,202)
Net earnings
$ 85,159 
$ 75,385 
$ 137,948 
$ 123,645 
Earnings (loss) per common share — Basic
 
 
 
 
Continuing operations
$ 1.62 1
$ 1.43 1
$ 2.63 1
$ 2.36 1
Discontinued operations
$ (0.01)1
$ 0.00 1
$ (0.02)1
$ (0.02)1
Net earnings
$ 1.61 1
$ 1.43 1
$ 2.61 1
$ 2.34 1
Earnings (loss) per common share — Diluted
 
 
 
 
Continuing operations
$ 1.61 1
$ 1.42 1
$ 2.61 1
$ 2.34 1
Discontinued operations
$ (0.01)1
$ (0.01)1
$ (0.03)1
$ (0.02)1
Net earnings
$ 1.59 1
$ 1.41 1
$ 2.59 1
$ 2.32 1
Cash dividends declared per common share (in dollars per share)
$ 0.37 
$ 0.34 
$ 0.74 
$ 0.68 
Consolidated Condensed Statements of Comprehensive Income (Unaudited) (USD $)
In Thousands, unless otherwise specified
3 Months Ended 6 Months Ended
Jun. 30, 2015
Jun. 30, 2014
Jun. 30, 2015
Jun. 30, 2014
Statement of Comprehensive Income [Abstract]
 
 
 
 
Net earnings
$ 85,159 
$ 75,385 
$ 137,948 
$ 123,645 
Other comprehensive income (loss):
 
 
 
 
Changes in cumulative translation adjustment and other
27,027 
26,273 
(30,345)
11,681 
Amortization of pension and postretirement items
6,834 
4,295 
13,892 
9,328 
Income tax expense related to amortization of pension and postretirement items
(2,366)
(1,302)
(4,814)
(3,208)
Amortization of pension and postretirement items, net of taxes
4,468 
2,993 
9,078 
6,120 
Change in net actuarial loss
(8,526)
(3,144)
(8,526)
(3,144)
Income tax benefit related to change in net actuarial loss
3,205 
1,096 
3,205 
1,096 
Change in net actuarial loss, net of taxes
(5,321)
(2,048)
(5,321)
(2,048)
Other comprehensive income (loss), net of taxes
26,174 
27,218 
(26,588)
15,753 
Comprehensive income
$ 111,333 
$ 102,603 
$ 111,360 
$ 139,398 
Consolidated Condensed Balance Sheets (Unaudited) (USD $)
In Thousands, unless otherwise specified
Jun. 30, 2015
Dec. 31, 2014
Current assets:
 
 
Cash and cash equivalents
$ 73,353 
$ 50,092 
Receivables, net of allowance of $17,180 and $16,388, respectively
831,441 
794,864 
Inventories
64,684 
66,007 
Prepaid expenses and other current assets
166,438 
165,234 
Total current assets
1,135,916 
1,076,197 
Revenue earning equipment, net of accumulated depreciation of $3,811,697 and $3,689,016 respectively
7,854,037 
7,201,886 
Operating property and equipment, net of accumulated depreciation of $1,068,779 and $1,035,028, respectively
707,886 
699,594 
Goodwill
392,260 
393,029 
Intangible assets
62,874 
66,619 
Direct financing leases and other assets
485,291 
446,099 
Total assets
10,638,264 
9,883,424 
Current liabilities:
 
 
Short-term debt and current portion of long-term debt
347,817 
36,284 
Accounts payable
652,193 
560,852 
Accrued expenses and other current liabilities
523,722 
513,679 
Total current liabilities
1,523,732 
1,110,815 
Long-term debt
4,869,208 
4,694,335 
Other non-current liabilities
799,415 
783,342 
Deferred income taxes
1,532,470 
1,475,845 
Total liabilities
8,724,825 
8,064,337 
Shareholders’ equity:
 
 
Preferred stock of no par value per share — authorized, 3,800,917; none outstanding, June 30, 2015 or December 31, 2014
0 
0 
Common stock of $0.50 par value per share — authorized, 400,000,000; outstanding, June 30, 2015 — 53,374,025; December 31, 2014 — 53,039,688
26,687 
26,520 
Additional paid-in capital
989,563 
962,328 
Retained earnings
1,544,047 
1,450,509 
Accumulated other comprehensive loss
(646,858)
(620,270)
Total shareholders’ equity
1,913,439 
1,819,087 
Total liabilities and shareholders’ equity
$ 10,638,264 
$ 9,883,424 
Consolidated Condensed Balance Sheets (Unaudited) (Parenthetical) (USD $)
In Thousands, except Share data, unless otherwise specified
Jun. 30, 2015
Dec. 31, 2014
Assets:
 
 
Allowance for doubtful accounts, current
$ 17,180 
$ 16,388 
Revenue earning equipment, accumulated depreciation
3,811,697 
3,689,016 
Operating property and equipment, accumulated depreciation
$ 1,068,779 
$ 1,035,028 
Shareholders’ equity:
 
 
Common stock, par value
$ 0.50 
$ 0.50 
Common stock, shares authorized
400,000,000 
400,000,000 
Common stock, shares outstanding
53,374,025 
53,039,688 
Preferred stock, par value
$ 0 
$ 0 
Preferred stock, shares authorized
3,800,917 
3,800,917 
Preferred stock, shares outstanding
0 
0 
Consolidated Condensed Statements of Cash Flows (Unaudited) (USD $)
In Thousands, unless otherwise specified
6 Months Ended
Jun. 30, 2015
Jun. 30, 2014
Cash flows from operating activities from continuing operations:
 
 
Net earnings
$ 137,948 
$ 123,645 
Less: Loss from discontinued operations, net of tax
(1,295)
(1,202)
Earnings from continuing operations
139,243 
124,847 
Depreciation expense
546,699 
512,109 
Gains on vehicle sales, net
(62,816)
(63,183)
Share-based compensation expense
11,169 
9,989 
Amortization expense and other non-cash charges, net
28,329 
25,727 
Deferred income tax expense
67,592 
59,987 
Changes in operating assets and liabilities, net of acquisitions:
 
 
Receivables
(33,535)
(40,579)
Inventories
1,006 
(1,178)
Prepaid expenses and other assets
(25,555)
(19,163)
Accounts payable
(30,439)
1,771 
Accrued expenses and other non-current liabilities
17,005 
(67,439)
Net cash provided by operating activities from continuing operations
658,698 
542,888 
Cash flows from financing activities from continuing operations:
 
 
Net change in commercial paper borrowings
34,750 
21,377 
Debt proceeds
930,090 
765,713 
Debt repaid
(486,103)
(277,636)
Dividends on common stock
(39,690)
(35,915)
Common stock issued
17,129 
34,129 
Common stock repurchased
(6,141)
(79,488)
Excess tax benefits from share-based compensation
710 
411 
Debt issuance costs
(5,225)
(5,026)
Net cash provided by financing activities from continuing operations
445,520 
423,565 
Cash flows from investing activities from continuing operations:
 
 
Purchases of property and revenue earning equipment
(1,329,218)
(1,255,222)
Sales of revenue earning equipment
211,153 
274,394 
Sale and leaseback of revenue earning equipment
 
0 
Sales of operating property and equipment
641 
2,780 
Acquisitions
0 
(1,649)
Collections on direct finance leases
33,912 
32,355 
Changes in restricted cash
4,849 
8,774 
Other
0 
(1,250)
Net cash used in investing activities from continuing operations
(1,078,663)
(939,818)
Effect of exchange rate changes on cash
(1,198)
48 
Increase in cash and cash equivalents from continuing operations
24,357 
26,683 
Decrease in cash and cash equivalents from discontinued operations
(1,096)
(1,357)
Increase in cash and cash equivalents
23,261 
25,326 
Cash and cash equivalents at beginning of period
50,092 
61,562 
Cash and cash equivalents at end of period
$ 73,353 
$ 86,888 
Consolidated Condensed Statement of Shareholders' Equity (Unaudited) (USD $)
In Thousands, except Share data, unless otherwise specified
Total
Preferred Stock [Member]
Common Stock [Member]
Additional Paid-In Capital [Member]
Retained Earnings [Member]
Accumulated Other Comprehensive Loss [Member]
Beginning balance at Dec. 31, 2014
$ 1,819,087 
$ 0 
$ 26,520 
$ 962,328 
$ 1,450,509 
$ (620,270)
Beginning balance, shares at Dec. 31, 2014
53,039,688 
 
53,039,688 
 
 
 
Increase (Decrease) in Stockholders' Equity [Roll Forward]
 
 
 
 
 
 
Comprehensive income (loss)
111,360 
 
 
 
137,948 
(26,588)
Common stock dividends declared — $0.74 per share
(39,519)
 
 
 
(39,519)
 
Common stock issued under employee stock option and stock purchase plans1
17,052 
 
201 
16,851 
 
 
Common stock issued under employee stock option and stock purchase plans, shares1
 
 
402,573 
 
 
 
Benefit plan stock sales2
77 
 
1 
76 
 
 
Benefit plan stock sales, shares2
 
 
871 
 
 
 
Common stock repurchases
(6,141)
 
(35)
(1,215)
(4,891)
 
Common stock repurchases, shares
 
 
(69,107)
 
 
 
Share-based compensation
11,169 
 
 
11,169 
0 
 
Tax benefits from share-based compensation
354 
 
 
354 
 
 
Ending balance at Jun. 30, 2015
$ 1,913,439 
$ 0 
$ 26,687 
$ 989,563 
$ 1,544,047 
$ (646,858)
Ending balance, shares at Jun. 30, 2015
53,374,025 
 
53,374,025 
 
 
 
Consolidated Condensed Statement of Shareholders' Equity (Unaudited) (Parenthetical)
3 Months Ended 6 Months Ended
Jun. 30, 2015
Jun. 30, 2014
Jun. 30, 2015
Jun. 30, 2014
Statement of Stockholders' Equity [Abstract]
 
 
 
 
Cash dividends declared per common share (in dollars per share)
$ 0.37 
$ 0.34 
$ 0.74 
$ 0.68 
General
INTERIM FINANCIAL STATEMENTS

Interim Financial Statements

The accompanying unaudited Consolidated Condensed 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 (VIEs) required to be consolidated in accordance with accounting principles generally accepted in the United States of America (U.S. GAAP). The accompanying unaudited Consolidated Condensed Financial Statements have been prepared in accordance with the accounting policies described in our 2014 Annual Report on Form 10-K and should be read in conjunction with the Consolidated Financial Statements and notes thereto. In the opinion of management, all adjustments (consisting of normal recurring accruals and items referenced under the "Revision of Prior Period Financial Statements") considered necessary for a fair statement have been included and the disclosures herein are adequate. The operating results for interim periods are unaudited and are not necessarily indicative of the results that can be expected for a full year.

During the first quarter of 2015, our management structure changed within the supply chain business. We created the role of President of Dedicated Transportation Solutions (DTS) for the dedicated product offering which was previously within Supply Chain Solutions (SCS). We are now reporting our financial performance as follows: (1) Fleet Management Solutions (FMS), which provides full service leasing, commercial rental, contract maintenance, and contract-related maintenance of trucks, tractors and trailers to customers principally in the U.S., Canada and the U.K.; (2) DTS, which provides vehicles and drivers as part of a dedicated transportation solution in the U.S.; and (3) SCS, which provides comprehensive supply chain solutions including distribution and transportation services in North America and Asia. Dedicated services provided as part of an integrated, multi-service, supply chain solution are reported in the SCS business segment. Prior period amounts have been recast to conform to the new presentation. This change impacted Note (F), "Goodwill," and Note (Q), "Segment Reporting," with no impact on consolidated revenues, net income or cash flows.

Revision of Prior Period Financial Statements

The Company periodically enters into sale and leaseback transactions to lower the total cost of funding our operations, to diversify funding among different classes of investors and among different types of funding instruments. Historically, these sale-leaseback transactions resulted in a reduction of revenue earning equipment and debt on the balance sheet, as proceeds from the sale of revenue earning equipment were primarily used to repay debt. The related leasebacks were historically treated as off-balance sheet operating leases and were included in our reported total obligations leverage ratios.

In April of 2015, we completed a financing transaction of revenue earning equipment with third parties not deemed to be variable interest entities. The revenue earning equipment subject to this transaction was originally owned and titled in a titling trust which is a wholly-owned, consolidated subsidiary of Ryder. As part of the sale-leaseback transaction, the titling trust created special units of beneficial interests (SUBIs) for the specific revenue earning equipment. The SUBIs were then sold to third parties and leased back to Ryder. In conjunction with this transaction, we reviewed and evaluated the structure to determine whether it qualified for off-balance sheet treatment. We concluded the April 2015 transaction should be treated as an issuance of financial interests that does not qualify for deconsolidation. As a result, off-balance sheet treatment is not appropriate for the current, as well as similar prior year transactions.

We have evaluated the materiality of this revision, quantitatively and qualitatively, and concluded it was not material to any of our previously issued consolidated financial statements and correction as an out of period adjustment in the quarter ended June 30, 2015 would not be material. However, we have elected to revise previously issued financial statements to avoid inconsistencies in our financial statements. Adjustments may not be additive and may have minor differences within the tables due to rounding.



The effects of this revision on our Consolidated Statements of Earnings were as follows (in millions):

 
Year ended December 31, 2014
 
Year ended December 31, 2013
 
Year ended December 31, 2012
 
As Previously Reported
Adjustment
As Revised
 
As Previously Reported
Adjustment
As Revised
 
As Previously Reported
Adjustment
As Revised
Cost of lease and rental
$
2,039.3

(2.4
)
2,036.9

 
$
1,928.9

(3.4
)
1,925.5

 
$
1,902.8

(2.4
)
1,900.4

Interest expense
142.1

2.6

144.7

 
137.2

3.3

140.5

 
140.6

2.7

143.3

Earnings from continuing operations before income taxes
338.5

(0.2
)
338.3

 
368.9

0.1

369.0

 
303.1

(0.3
)
302.8

Provision for income taxes
118.1

(0.1
)
118.0

 
125.7

—

125.7

 
102.2

(0.1
)
102.1

Earnings from continuing operations
220.5

(0.3
)
220.2

 
243.2

0.1

243.3

 
200.9

(0.2
)
200.7

Net earnings
218.6

(0.3
)
218.3

 
237.8

0.1

237.9

 
210.0

(0.3
)
209.7

Earnings (loss) per common share — Diluted, Net Earnings
4.14

—

4.14

 
4.63

—

4.63

 
3.91

(0.01
)
3.90


 
Three months ended March 31, 2015
 
Three months ended March 31, 2014
 
As Previously Reported
Adjustment
As Revised
 
As Previously Reported
Adjustment
As Revised
Cost of lease and rental
$
519.2

(0.8
)
518.4

 
$
493.0

(0.4
)
492.6

Interest expense
35.8

1.0

36.8

 
35.1

0.4

35.5

Earnings from continuing operations before income taxes
84.4

(0.2
)
84.2

 
75.0

—

75.0

Earnings from continuing operations
53.5

(0.2
)
53.3

 
49.1

—

49.1

Net earnings
52.9

(0.1
)
52.8

 
48.2

0.1

48.3


 
Three months ended June 30, 2014
 
Six months ended June 30, 2014
 
As Previously Reported
Adjustment
As Revised
 
As Previously Reported
Adjustment
As Revised
Cost of lease and rental
$
508.1

(0.5
)
507.6

 
$
1,001.1

(0.9
)
1,000.2

Interest expense
35.3

0.4

35.7

 
70.4

0.9

71.3

Earnings from continuing operations before income taxes
120.0

0.1

120.1

 
195.0

0.1

195.1


 
Three months ended September 30, 2014
 
Nine months ended September 30, 2014
 
As Previously Reported
Adjustment
As Revised
 
As Previously Reported
Adjustment
As Revised
Cost of lease and rental
$
522.9

(0.7
)
522.2

 
$
1,524.0

(1.6
)
1,522.4

Interest expense
35.9

0.8

36.7

 
106.3

1.6

107.9

Earnings from continuing operations before income taxes
129.7

(0.1
)
129.6

 
324.8

(0.1
)
324.7

Provision for income taxes
45.8

(0.1
)
45.7

 
116.0

—

116.0

Earnings from continuing operations
84.0

(0.1
)
83.9

 
208.8

(0.1
)
208.7

Net earnings
83.7

(0.1
)
83.6

 
207.3

—

207.3




The effects of this revision on our Consolidated Statements of Comprehensive Income were as follows (in millions):

 
Comprehensive Income
 
As Previously Reported
Adjustment
As Revised
Year ended December 31, 2014
$
36.6

(0.2
)
36.4

Year ended December 31, 2013
387.2

0.1

387.3

Year ended December 31, 2012
189.5

(0.2
)
189.3

 
 
 
 
Three months ended March 31, 2015
$
0.2

(0.1
)
0.1

Three months ended September 30, 2014
39.8

(0.1
)
39.7

Nine months ended September 30, 2014
179.1

—

179.1

Three months ended June 30, 2014
102.6

—

102.6

Six months ended June 30, 2014
139.3

0.1

139.4

Three months ended March 31, 2014
36.8

—

36.8



The effects of this revision on our Consolidated Balance Sheets were as follows (in millions):

 
March 31, 2015
 
December 31, 2014
 
December 31, 2013
 
As Previously Reported
Adjustment
As Revised
 
As Previously Reported
Adjustment
As Revised
 
As Previously Reported
Adjustment
As Revised
Revenue earning equipment, net
$
7,208.3

201.2

7,409.5

 
$
6,994.4

207.4

7,201.9

 
$
6,490.8

102.0

6,592.8

Total assets
9,906.8

201.2

10,108.0

 
9,676.0

207.4

9,883.4

 
9,103.8

102.0

9,205.8

Short-term debt and current portion of long-term debt
11.4

24.1

35.5

 
12.2

24.1

36.3

 
259.4

12.8

272.2

Accrued expenses and other current liabilities
489.6

(7.1
)
482.5

 
520.5

(6.8
)
513.7

 
496.3

(1.9
)
494.4

Total current liabilities
1,126.5

16.9

1,143.4

 
1,093.6

17.2

1,110.8

 
1,231.1

10.9

1,242.0

Long-term debt
4,692.5

188.1

4,880.6

 
4,500.3

194.0

4,694.3

 
3,930.0

93.0

4,023.0

Other non-current liabilities
788.1

(3.2
)
784.9

 
786.7

(3.4
)
783.3

 
616.3

(1.6
)
614.7

Deferred income taxes
1,488.1

(0.2
)
1,487.9

 
1,476.0

(0.2
)
1,475.8

 
1,429.6

—

1,429.6

Total liabilities
8,095.2

201.7

8,296.9

 
7,856.5

207.8

8,064.3

 
7,207.1

102.1

7,309.2

Retained earnings
1,479.2

(0.5
)
1,478.7

 
1,450.9

(0.4
)
1,450.5

 
1,390.8

(0.2
)
1,390.6

Total shareholders’ equity
1,811.5

(0.5
)
1,811.0

 
1,819.5

(0.4
)
1,819.1

 
1,896.7

(0.1
)
1,896.6

Total liabilities and shareholders’ equity
9,906.8

201.2

10,108.0

 
9,676.0

207.4

9,883.4

 
9,103.8

102.0

9,205.8





The effects of this revision on the individual line items within our Consolidated Statements of Cash Flows were as follows (in millions):
 
Year ended December 31, 2014
 
Year ended December 31, 2013
 
Year ended December 31, 2012
 
As Previously Reported
Adjustment
As Revised
 
As Previously Reported
Adjustment
As Revised
 
As Previously Reported
Adjustment
As Revised
Net earnings
$
218.6

(0.3
)
218.3

 
$
237.8

0.1

237.9

 
$
210.0

(0.3
)
209.7

Depreciation expense
1,040.3

17.6

1,057.8

 
957.1

26.5

983.6

 
939.7

22.4

962.1

Deferred income tax expense
104.8

—

104.7

 
113.6

—

113.6

 
87.1

(0.1
)
87.0

Accrued expenses and other non-current liabilities
(48.7
)
(4.4
)
(53.1
)
 
(66.6
)
2.2

(64.4
)
 
(68.3
)
4.1

(64.2
)
Net cash provided by operating activities from continuing operations
1,370.0

12.8

1,382.8

 
1,223.1

28.7

1,251.8

 
1,134.1

26.1

1,160.2

Debt proceeds
839.7

125.8

965.5

 
557.0

—

557.0

 
745.8

130.2

876.0

Debt repaid, including capital and financing lease obligations
(280.7
)
(12.8
)
(293.5
)
 
(332.6
)
(46.6
)
(379.2
)
 
(283.9
)
(26.1
)
(310.0
)
Net cash provided by financing activities from continuing operations
198.7

113.0

311.7

 
393.6

(46.5
)
347.1

 
333.8

104.1

437.9

Purchases of property and revenue earning equipment
(2,259.2
)
—

(2,259.2
)
 
(2,140.5
)
17.9

(2,122.6
)
 
(2,133.2
)
—

(2,133.2
)
Sale and leaseback of revenue earning equipment
125.8

(125.8
)
—

 
—

—

—

 
130.2

(130.2
)
—

Net cash used in investing activities from continuing operations
(1,578.7
)
(125.8
)
(1,704.5
)
 
(1,621.7
)
17.9

(1,603.8
)
 
(1,504.3
)
(130.2
)
(1,634.5
)






 
Three months ended March 31, 2015
 
Three months ended March 31, 2014
 
As Previously Reported
Adjustment
As Revised
 
As Previously Reported
Adjustment
As Revised
Net earnings
$
52.9

(0.1
)
52.8

 
$
48.2

0.1

48.3

Depreciation expense
262.4

6.2

268.6

 
248.8

3.1

251.9

Deferred income tax expense
26.7

(0.1
)
26.6

 
21.7

—

21.7

Accrued expenses and other non-current liabilities
(21.5
)
(0.1
)
(21.6
)
 
(29.9
)
(3.1
)
(33.0
)
Net cash provided by operating activities from continuing operations
277.9

6.0

283.8

 
237.7

—

237.7

Debt repaid, including capital and financing lease obligations
(457.6
)
(6.0
)
(463.5
)
 
(252.8
)
—

(252.8
)
Net cash provided by financing activities from continuing operations
184.8

(6.0
)
178.9

 
215.2

—

215.2

 
Six months ended June 30, 2014
 
Nine months ended September 30, 2014
 
As Previously Reported
Adjustment
As Revised
 
As Previously Reported
Adjustment
As Revised
Net earnings
$
123.6

—

123.6

 
$
207.3

—

207.3

Depreciation expense
506.0

6.1

512.1

 
770.1

11.3

781.4

Accrued expenses and other non-current liabilities
(67.6
)
0.2

(67.4
)
 
(41.5
)
(4.9
)
(46.4
)
Net cash provided by operating activities from continuing operations
536.5

6.4

542.9

 
974.7

6.3

981.0

Debt proceeds
765.7

—

765.7

 
769.9

125.8

895.7

Debt repaid, including capital and financing lease obligations
(271.2
)
(6.4
)
(277.6
)
 
(278.4
)
(6.4
)
(284.8
)
Net cash provided by financing activities from continuing operations
430.0

(6.4
)
423.6

 
213.1

119.4

332.5

Sale and leaseback of revenue earning equipment
—

—

—

 
125.8

(125.8
)
—

Net cash used in investing activities from continuing operations
(939.8
)
—

(939.8
)
 
(1,171.5
)
(125.8
)
(1,297.3
)
Recent Accounting Pronouncements
RECENT ACCOUNTING PRONOUNCEMENTS
RECENT ACCOUNTING PRONOUNCEMENTS

Inventory Valuation

On July 22, 2015, the Financial Accounting Standards Board (FASB) issued Accounting Standards Update (ASU) No. 2015-11, Simplifying the Measurement of Inventory, which applies to inventory that is measured using first-in, first-out or average cost. Under the updated guidance, an entity should measure inventory that is within scope at the lower of cost and net realizable value, which is the estimated selling prices in the ordinary course of business, less reasonably predictable costs of completion, disposal and transportation. Subsequent measurement is unchanged for inventory that is measured using last-in, first-out. The update becomes effective January 1, 2017 and should be applied prospectively with early adoption permitted at the beginning of an interim or annual reporting period. We are in the process of determining the effect of the standard on our consolidated financial position and results of operations.

Revenue Recognition

On May 28, 2014, the FASB issued ASU No. 2014-09, Revenue from Contracts with Customers, which requires an entity to recognize the amount of revenue to which it expects to be entitled for the transfer of promised goods or services to customers. The ASU will replace most existing revenue recognition guidance. The update was originally effective January 1, 2017. On July 9, 2015, the FASB issued a deferral of the update for one year, making the update effective January 1, 2018. Early application is permitted but not before January 1, 2017. The standard permits the use of either the modified retrospective or cumulative effect transition methods. We have not yet selected a transition method. We are in the process of determining the effect of the standard on our consolidated financial position and results of operations.

Presentation of Debt Issuance Costs
     
On April 7, 2015, the FASB issued ASU No. 2015-03, Simplifying the Presentation of Debt Issuance Costs, which requires an entity to present debt issuance costs as a direct deduction from the carrying amount of the related debt liability on the balance sheet. The update requires retrospective application and represents a change in accounting principle. The update becomes effective January 1, 2016. Based on the balances as of June 30, 2015, the adoption of this ASU will require us to reclassify $19.4 million of unamortized debt issuance costs from "Direct financing leases and other assets" to "Long-term debt."
Share-Based Compensation Plans
SHARE-BASED COMPENSATION PLANS
SHARE-BASED COMPENSATION PLANS

Share-based incentive awards are provided to employees under the terms of various share-based compensation plans (collectively, the “Plans”). The Plans are administered by the Compensation Committee of the Board of Directors. Awards under the Plans principally include at-the-money stock options, nonvested stock and cash awards. Nonvested stock awards include grants of market-based, performance-based and time-vested restricted stock rights. Under the terms of our Plans, dividends may be paid on our nonvested stock awards but are not paid unless the award vests. Upon vesting, the amount of the dividends paid is equal to the aggregate dividends declared on common shares during the period from the grant date of the award until the date the shares underlying the award are delivered.

The following table provides information on share-based compensation expense and income tax benefits recognized during the periods:
 
Three months ended June 30,
 
Six months ended June 30,
 
2015
 
2014
 
2015
 
2014
 
(In thousands)
Stock option and stock purchase plans
$
1,956

 
2,241

 
$
4,257

 
4,478

Nonvested stock
3,548

 
2,890

 
6,912

 
5,511

Share-based compensation expense
5,504

 
5,131

 
11,169

 
9,989

Income tax benefit
(1,860
)
 
(1,713
)
 
(3,743
)
 
(3,389
)
Share-based compensation expense, net of tax
$
3,644

 
3,418

 
$
7,426

 
6,600



The following table is a summary of compensation expense recognized for market-based cash awards in addition to the share-based compensation expense reported in the previous table:
 
Three months ended June 30,
 
Six months ended June 30,
 
2015
 
2014
 
2015
 
2014
 
(In thousands)
Cash awards
$
281

 
$
743

 
$
464

 
$
1,266



Total unrecognized pre-tax compensation expense related to all share-based compensation arrangements at June 30, 2015 was $30.1 million and is expected to be recognized over a weighted-average period of 2.0 years.

The following table is a summary of the awards granted under the Plans during the periods presented:
 
Six months ended June 30,
 
2015
 
2014
 
(In thousands)
 
 
 
 
Stock options
362

 
405

Market-based restricted stock rights
19

 
22

Performance-based restricted stock rights
42

 
30

Time-vested restricted stock rights
80

 
158

Total
503

 
615

Earnings Per Share
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 June 30,
 
Six months ended June 30,
 
2015
 
2014
 
2015
 
2014
 
(In thousands, except per share amounts)
Earnings per share — Basic:
 
 
 
 
 
 
 
Earnings from continuing operations
$
85,917

 
75,721

 
$
139,243

 
124,847

Less: Distributed and undistributed earnings allocated to nonvested stock
(246
)
 
(302
)
 
(393
)
 
(582
)
Earnings from continuing operations available to common shareholders — Basic
$
85,671

 
75,419

 
$
138,850

 
124,265

 
 
 
 
 
 
 
 
Weighted average common shares outstanding — Basic
52,827

 
52,564

 
52,712

 
52,612

 
 
 
 
 
 
 
 
Earnings from continuing operations per common share — Basic
$
1.62

 
1.43

 
$
2.63

 
2.36

 
 
 
 
 
 
 
 
Earnings per share — Diluted:
 
 
 
 
 
 
 
Earnings from continuing operations
$
85,917

 
75,721

 
$
139,243

 
124,847

Less: Distributed and undistributed earnings allocated to nonvested stock
(244
)
 
(299
)
 
(390
)
 
(578
)
Earnings from continuing operations available to common shareholders — Diluted
$
85,673

 
75,422

 
$
138,853

 
124,269

 
 
 
 
 
 
 
 
Weighted average common shares outstanding — Basic
52,827

 
52,564

 
52,712

 
52,612

Effect of dilutive equity awards
468

 
482

 
492

 
472

Weighted average common shares outstanding — Diluted
53,295

 
53,046

 
53,204

 
53,084

 
 
 
 
 
 
 
 
Earnings from continuing operations per common share — Diluted
$
1.61

 
1.42

 
$
2.61

 
2.34

 
 
 
 
 
 
 
 
Anti-dilutive equity awards not included above
363

 
412

 
273

 
314

Revenue Earning Equipment
REVENUE EARNING EQUIPMENT
REVENUE EARNING EQUIPMENT

 
June 30, 2015
 
December 31, 2014
 
Cost
 
Accumulated
Depreciation
 
Net  Book
Value(1)
 
Cost
 
Accumulated
Depreciation
 
Net  Book
Value(1)
 
(In thousands)
Held for use:
 
Full service lease
$
8,398,012

 
(2,677,023
)
 
5,720,989

 
$
8,008,122

 
(2,598,140
)
 
5,409,982

Commercial rental
2,925,063

 
(898,319
)
 
2,026,744

 
2,570,081

 
(864,543
)
 
1,705,538

Held for sale
342,659

 
(236,355
)
 
106,304

 
312,699

 
(226,333
)
 
86,366

Total
$
11,665,734

 
(3,811,697
)
 
7,854,037

 
$
10,890,902

 
(3,689,016
)
 
7,201,886

 ————————————
(1)
Revenue earning equipment, net includes vehicles acquired under capital leases of $48.0 million, less accumulated depreciation of $20.3 million, at June 30, 2015, and $47.8 million, less accumulated depreciation of $22.5 million, at December 31, 2014. Additionally, revenue earning equipment, net underlying asset-backed U.S. obligations was $346.1 million at June 30, 2015 ($403.3 million cost, less $57.1 million of accumulated depreciation) and $207.4 million at December 31, 2014 ($247.8 million cost, less $40.3 million of accumulated depreciation). See Note (A), General, Revision of Prior Period Financial Information for further information related to our evaluation of accounting for these transactions.

At the end of 2014, we completed our annual review of residual values and useful lives of revenue earning equipment. Based on the results of our analysis, we adjusted the estimated residual values of certain classes of revenue earning equipment effective January 1, 2015. The change in estimated residual values and useful lives increased pre-tax earnings for the three and six months ended June 30, 2015 by approximately $10.0 million and $20.0 million, respectively.

We lease revenue earning equipment to customers for periods typically ranging from three to seven years for trucks and tractors and up to ten years for trailers. The majority of our leases are classified as operating leases. However, some of our revenue earning equipment leases are classified as direct financing leases and, to a lesser extent, sales-type leases. As of June 30, 2015 and December 31, 2014, the net investment in direct financing and sales-type leases was $432.8 million and $417.0 million, respectively. Our direct financing lease customers operate in a wide variety of industries, and we have no significant customer concentrations in any one industry. We assess credit risk for all of our customers including those who lease equipment under direct financing leases upon signing of a full service lease contract. For those customers who are designated as high risk, we typically require deposits to be paid in advance in order to mitigate our credit risk. Additionally, our receivables are collateralized by the vehicles, based on their estimated fair values, which further mitigates our credit risk.

As of June 30, 2015 and December 31, 2014, the amount of direct financing lease receivables past due was not significant, and there were no impaired receivables. Accordingly, we do not believe there is a material risk of default with respect to the direct financing lease receivables. The allowance for credit losses was $0.3 million as of June 30, 2015 and December 31, 2014.
Goodwill
GOODWILL
GOODWILL

The carrying amount of goodwill attributable to each reportable business segment with changes therein was as follows:
 
Fleet
Management
Solutions
 
Dedicated
Transportation
Solutions
 
Supply
Chain
Solutions
 
Total
 
 
Balance at January 1, 2015:
 
 
 
 
 
 
 
Goodwill
$
233,217

 
40,808

 
148,225

 
422,250

Accumulated impairment losses
(10,322
)
 
—

 
(18,899
)
 
(29,221
)
 
222,895

 
40,808

 
129,326

 
393,029

Foreign currency translation adjustments
(247
)
 
—

 
(522
)
 
(769
)
Balance at June 30, 2015:
 
 
 
 
 
 
 
Goodwill
232,970

 
40,808

 
147,703

 
421,481

Accumulated impairment losses
(10,322
)
 
—

 
(18,899
)
 
(29,221
)
 
$
222,648

 
40,808

 
128,804

 
392,260



We assess goodwill for impairment on April 1st of each year or more often if deemed necessary. In the second quarter of 2015, we completed our annual goodwill impairment test. We performed quantitative tests on four of our reporting units and determined there was no impairment. We performed a qualitative test for one reporting unit, which considered individual factors such as macroeconomic conditions, changes in our industry and the markets in which we operate as well as our historical and expected future financial performance. After performing the qualitative assessment, we concluded it is more likely than not that fair value is greater than the carrying value and determined there was no impairment.
Accrued Expenses and Other Liabilities
ACCRUED EXPENSES AND OTHER LIABILITIES
ACCRUED EXPENSES AND OTHER LIABILITIES
 
June 30, 2015
 
December 31, 2014
 
Accrued
Expenses
 
Non-Current
Liabilities
 
Total
 
Accrued
Expenses
 
Non-Current
Liabilities
 
Total
 
(In thousands)
Salaries and wages
$
94,846

 
—

 
94,846

 
$
114,446

 
—

 
114,446

Deferred compensation
2,243

 
41,518

 
43,761

 
3,209

 
37,093

 
40,302

Pension benefits
3,687

 
457,170

 
460,857

 
3,739

 
444,657

 
448,396

Other postretirement benefits
2,097

 
25,904

 
28,001

 
2,112

 
26,889

 
29,001

Other employee benefits
7,681

 
16,910

 
24,591

 
7,172

 
19,276

 
26,448

Insurance obligations (1)
136,394

 
198,860

 
335,254

 
132,246

 
189,431

 
321,677

Environmental liabilities
3,728

 
7,152

 
10,880

 
3,877

 
8,002

 
11,879

Operating taxes
106,286

 
—

 
106,286

 
92,330

 
—

 
92,330

Income taxes
2,785

 
24,704

 
27,489

 
5,066

 
22,843

 
27,909

Interest
35,875

 
—

 
35,875

 
33,509

 
—

 
33,509

Deposits, mainly from customers
64,059

 
5,648

 
69,707

 
59,388

 
5,929

 
65,317

Deferred revenue
14,388

 
—

 
14,388

 
11,759

 
—

 
11,759

Acquisition holdbacks
6,061

 
—

 
6,061

 
3,817

 
2,187

 
6,004

Other
43,592

 
21,549

 
65,141

 
41,009

 
27,035

 
68,044

Total
$
523,722

 
799,415

 
1,323,137

 
$
513,679

 
783,342

 
1,297,021

 ————————————
(1)
Insurance obligations are primarily comprised of self-insured claim liabilities.
Debt
DEBT
DEBT
 
Weighted-Average
Interest Rate
 
 
 
 
 
 
 
June 30,
2015
 
December 31,
2014
 
Maturities
 
June 30,
2015
 
December 31,
2014
 
 
 
 
 
 
 
(In thousands)
Short-term debt and current portion of long-term debt:
 
 
 
 
 
 
 
 
 
Short-term debt
2.75%
 
1.30%
 
2015
 
$
316

 
3,773

Current portion of long-term debt
 
 
 
 
 
 
347,501

 
32,511

Total short-term debt and current portion of long-term debt
 
 
 
 
 
 
347,817

 
36,284

Long-term debt:
 
 
 
 
 
 
 
 
 
U.S. commercial paper (1)
0.43%
 
0.35%
 
2020
 
311,432

 
276,694

Global revolving credit facility
2.78%
 
1.60%
 
2020
 
40,908

 
11,190

Unsecured U.S. notes — Medium-term notes (1)
3.21%
 
3.29%
 
2015-2025
 
4,111,991

 
3,772,159

Unsecured U.S. obligations
1.50%
 
0.76%
 
2018
 
50,000

 
110,500

Unsecured foreign obligations
1.92%
 
2.01%
 
2015-2020
 
295,217

 
295,776

Asset-backed U.S. obligations (2)
1.79%
 
1.81%
 
2018-2022
 
362,075

 
218,137

Capital lease obligations
1.79%
 
1.73%
 
2015-2022
 
38,418

 
37,560

Total before fair market value adjustment
 
 
 
 
 
 
5,210,041

 
4,722,016

Fair market value adjustment on notes subject to hedging (3)
 
 
 
 
 
6,668

 
4,830

 
 
 
 
 
 
 
5,216,709

 
4,726,846

Current portion of long-term debt
 
 
 
 
 
 
(347,501
)
 
(32,511
)
Long-term debt
 
 
 
 
 
 
4,869,208

 
4,694,335

Total debt
 
 
 
 
 
 
$
5,217,025

 
4,730,619

 ————————————
(1)
We had unamortized original issue discounts of $8.1 million and $7.9 million at June 30, 2015 and December 31, 2014, respectively.
(2)
Asset-backed U.S. obligations of $362.1 million at June 30, 2015 and $218.1 million at December 31, 2014 are related to financing transactions involving revenue earning equipment. See Note (A), General, Revision of Prior Period Financial Information for further information related to our evaluation of accounting for these transactions.
(3)
The notional amount of executed interest rate swaps designated as fair value hedges was $600 million at both June 30, 2015 and December 31, 2014.


We maintain a $1.2 billion global revolving credit facility with a syndicate of twelve lending institutions led by Bank of America N.A., Bank of Tokyo-Mitsubishi UFJ, Ltd., BNP Paribas, Mizuho Corporate Bank, Ltd., Royal Bank of Canada, Lloyds Bank Plc, U.S. Bank National Association and Wells Fargo Bank, N.A. The facility matures in January 2020. The agreement provides for annual facility fees which range from 7.5 basis points to 25 basis points based on Ryder's long-term credit ratings. The annual facility fee is currently 10 basis points, which applies to the total facility size of $1.2 billion. The credit facility is used primarily to finance working capital but can also be used to issue up to $75 million in letters of credit (there were no letters of credit outstanding against the facility at June 30, 2015). At our option, the interest rate on borrowings under the credit facility is based on LIBOR, prime, federal funds or local equivalent rates. The credit facility contains no provisions limiting its availability in the event of a material adverse change to Ryder’s business operations; however, the credit facility does contain standard representations and warranties, events of default, cross-default provisions and certain affirmative and negative covenants. 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%. Net worth, as defined in the credit facility, represents shareholders' equity excluding any accumulated other comprehensive income or loss associated with our pension and other postretirement plans. The ratio at June 30, 2015 was 209%. At June 30, 2015, there was $847.6 million available under the credit facility, net of outstanding commercial paper borrowings.

Our global revolving credit facility enables us to refinance short-term obligations on a long-term basis. Settlement of short-term commercial paper obligations not expected to require the use of working capital are classified as long-term as we have both the intent and ability to refinance on a long-term basis. In addition, we have the intent and ability to refinance the current portion of long-term debt on a long-term basis. At June 30, 2015, we classified $311.4 million of short-term commercial paper and $338.4 million of the current portion of long-term debt as long-term debt. At December 31, 2014, we classified $276.7 million of short-term commercial paper, $60.0 million of trade receivables borrowings and $698.5 million of the current portion of long-term debt as long-term debt.

In May 2015, we issued $300 million of unsecured medium-term notes maturing in May 2020. The proceeds from the notes were used to reduce commercial paper borrowings and for general corporate purposes. If the notes are downgraded below investment grade following, and as a result of, a change in control, the note holder can require us to repurchase all or a portion of the notes at a purchase price equal to 101% of principal plus accrued and unpaid interest.

In April of 2015, we completed a financing transaction backed by a portion of our revenue earning equipment that resulted in $156.4 million of cash proceeds. The proceeds from this transaction were used to fund capital expenditures. We have provided end of term guarantees for the residual value of the revenue earning equipment in this transaction. The transaction along with the end of term residual value guarantees have been included in the "asset-backed U.S. obligations" line within the preceding table.

We have a trade receivables purchase and sale program, pursuant to which we sell certain of our domestic trade accounts receivable to a bankruptcy remote, consolidated subsidiary of Ryder, that in turn sells, on a revolving basis, an ownership interest in certain of these accounts receivable to a receivables conduit or committed purchasers. The subsidiary is considered a VIE and is consolidated based on our control of the entity’s activities. We use this program to provide additional liquidity to fund our operations, particularly when it is cost effective to do so. The costs under the program may vary based on changes in interest rates. The available proceeds that may be received under the program are limited to $175 million. If no event occurs that causes early termination, the 364-day program will expire during October 2015. The program contains provisions restricting its availability in the event of a material adverse change to our business operations or the collectibility of the collateralized receivables. No amounts were outstanding under the program at June 30, 2015. At December 31, 2014, $60.0 million was outstanding under the program. Sales of receivables under this program are accounted for as secured borrowings based on our continuing involvement in the transferred assets.

At June 30, 2015 and December 31, 2014, we had letters of credit and surety bonds outstanding totaling $333.9 million and $334.3 million, respectively, which primarily guarantee the payment of insurance claims.
Fair Value Measurements
FAIR VALUE MEASUREMENTS
FAIR VALUE MEASUREMENTS

The assets and liabilities measured at fair value on a recurring basis consist primarily of interest rate swaps and investments held in Rabbi Trusts.  These amounts as of June 30, 2015 are not material to our consolidated financial position and operations and have not changed significantly from the amounts reported as of December 31, 2014.  

The following tables present our assets that are measured at fair value on a nonrecurring basis and considered a Level 3 fair value measurement:
 
 
 
 
 
Fair Value Measurements at
 
Total Losses (2)
 
June 30, 2015
 
Three months ended June 30, 2015
 
Six months ended June 30, 2015
 
(In thousands)
Assets held for sale:
 
 
 
 
 
Revenue earning equipment: (1)
 
 
 
 
 
Trucks
$
6,805

 
$
1,515

 
$
2,743

Tractors
7,389

 
1,081

 
1,908

Trailers
1,625

 
656

 
972

Total assets at fair value
$
15,819

 
$
3,252

 
5,623


 
 
 
 
 
Fair Value Measurements at
 
Total Losses (2)
 
 
June 30, 2014
 
Three months ended June 30, 2014
 
Six months ended June 30, 2014
 
 
(In thousands)
 
Assets held for sale:
 
 
 
 
 
 
Revenue earning equipment: (1)
 
 
 
 
 
 
Trucks
$
10,713

 
$
1,572

 
$
3,454

 
Tractors
6,057

 
662

 
2,294

 
Trailers
497

 
281

 
442

 
Total assets at fair value
$
17,267

 
$
2,515

 
$
6,190

 
 
 ————————————
(1)
Represents the portion of all revenue earning equipment held for sale that is recorded at fair value, less costs to sell.
(2)
Total losses represent fair value adjustments for all vehicles held for sale throughout the period for which fair value was less than carrying value.

Revenue earning equipment held for sale is stated at the lower of carrying amount or fair value less costs to sell. Only certain vehicles held for sale have carrying amounts greater than the fair value and losses are recorded at the time they arrive at our used truck centers. Gains are recognized at the time of sale for vehicles with carrying amounts lower than fair value. Losses to reflect changes in fair value are presented within “Other operating expenses” in the Consolidated Condensed 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. Fair value was determined based upon recent market prices obtained from our own sales experience for sales of each class of similar assets and vehicle condition. Therefore, our revenue earning equipment held for sale was classified within Level 3 of the fair value hierarchy.

Fair value of total debt (excluding capital lease and asset-backed U.S. obligations) at June 30, 2015 and December 31, 2014 was approximately $4.91 billion and $4.59 billion, respectively. For publicly-traded debt, estimates of fair value were based on market prices. Since our publicly-traded debt is not actively traded, the fair value measurement was classified within Level 2 of the fair value hierarchy. 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. Therefore, the fair value measurement of our other debt was classified within Level 2 of the fair value hierarchy. The carrying amounts reported in the Consolidated Condensed Balance Sheets for “Cash and cash equivalents,” “Receivables, net” and “Accounts payable” approximate fair value because of the immediate or short-term maturities of these financial instruments.
Derivatives
DERIVATIVES
DERIVATIVES

We have interest rate swaps outstanding, which are designated as fair value hedges whereby we receive fixed interest rate payments in exchange for making variable interest rate payments. The differential to be paid or received is accrued and recognized as interest expense. Fair value was based on a model-driven income approach using the LIBOR rate at each interest payment date, which was observable at commonly quoted intervals for the full term of the swaps. Therefore, our interest rate swaps were classified within Level 2 of the fair value hierarchy. The fair value amounts of the interest rate swaps are reported in the Consolidated Condensed Balance Sheets within "Prepaid expenses and other current assets," "Direct financing leases and other assets," and "Other non-current liabilities." As of June 30, 2015, these amounts are not material to our consolidated financial position and operations and have not changed significantly from the amounts reported at December 31, 2014.

The following table provides a detail of the swaps outstanding and the related hedged items as of June 30, 2015:
 
 
 
Maturity date
 
Face value of medium-term notes
 
Aggregate 
notional
amount of interest rate swaps
 
Fixed interest 
rate
 
Weighted-average variable
interest rate on hedged debt
as of June 30,
Issuance date
 
 
 
 
 
2015
 
2014
 
 
 
 
(Dollars in thousands)
 
 
 
 
 
 
May 2011
 
June 2017
 
$350,000
 
$150,000
 
3.50%
 
1.49%
 
1.42%
November 2013
 
November 2018
 
$300,000
 
$100,000
 
2.45%
 
1.23%
 
1.18%
February 2014
 
June 2019
 
$350,000
 
$100,000
 
2.55%
 
1.15%
 
1.10%
May 2014
 
September 2019
 
$400,000
 
$100,000
 
2.45%
 
0.90%
 
0.85%
February 2015
 
March 2020
 
$400,000
 
$150,000
 
2.65%
 
1.14%
 
—


The amount of gains (losses) on interest rate swap agreements designated as fair value hedges and related hedged items are reported in the Consolidated Condensed Statements of Earnings within "Interest expense." Changes in the fair value of our interest rate swaps are offset by changes in the fair value of the debt instrument. Accordingly, there is no ineffectiveness related to the interest rate swaps.
Share Repurchase Programs
SHARE REPURCHASE PROGRAMS
SHARE REPURCHASE PROGRAMS

In December 2013, our Board of Directors authorized a share repurchase program intended to mitigate the dilutive impact of shares issued under our various employee stock, stock option and employee stock purchase plans. Under the December 2013 program, management is authorized to repurchase shares of common stock in an amount not to exceed the number of shares issued to employees under the Company’s various employee stock, stock option and employee stock purchase plans from December 1, 2013 through December 10, 2015. The December 2013 program limits aggregate share repurchases to no more than 2 million shares of Ryder common stock. Share repurchases of common stock are made periodically in open-market transactions and are subject to market conditions, legal requirements and other factors. Management established prearranged written plans for the Company under Rule 10b5-1 of the Securities Exchange Act of 1934 as part of the December 2013 program, which allow for share repurchases during Ryder’s quarterly blackout periods as set forth in the trading plan. Early in the first quarter of 2015, due to the increase in leverage, we temporarily paused anti-dilutive share repurchase activity. For the six months ended June 30, 2015 and 2014, we repurchased and retired 69,107 shares and 1,027,072 shares, respectively, under the program at an aggregate cost of $6.1 million and $79.5 million, respectively.
Accumulated Other Comprehensive Loss
ACCUMULATED OTHER COMPREHENSIVE LOSS
ACCUMULATED OTHER COMPREHENSIVE LOSS

The following summary sets forth the components of accumulated other comprehensive loss, net of tax:
 
 
 
Currency
Translation
Adjustments and Other
 
Net Actuarial
Loss (1)
 
Prior Service
Credit (1)
 
Accumulated
Other
Comprehensive
Loss
 
 
(In thousands)
December 31, 2014
 
$
(36,087
)
 
(585,941
)
 
1,758

 
(620,270
)
Amortization
 
—

 
9,790

 
(712
)
 
9,078

Other current period change
 
(30,345
)
 
(5,321
)
 
—

 
(35,666
)
June 30, 2015
 
$
(66,432
)
 
(581,472
)
 
1,046

 
(646,858
)


 
 
Currency
Translation
Adjustments and Other
 
Net Actuarial
Loss (1)
 
Prior Service
Credit (1)
 
Accumulated
Other
Comprehensive
Loss
 
 
(In thousands)
December 31, 2013
 
$
35,875


(477,883
)
 
3,760

 
(438,248
)
Amortization
 
—


7,455


(1,335
)
 
6,120

Other current period change
 
11,681


(2,048
)

—

 
9,633

June 30, 2014
 
$
47,556

 
(472,476
)
 
2,425

 
(422,495
)

_______________________ 

(1)
These amounts are included in the computation of net periodic benefit cost. See Note (M), "Employee Benefit Plans," for further information.

The loss from currency translation adjustments in the six months ended June 30, 2015 of $30.3 million was due primarily to the weakening of the Canadian Dollar and British Pound against the U.S. Dollar. The gain from currency translation adjustments in the six months ended June 30, 2014 of $11.7 million was due to the strengthening of the Canadian Dollar and British Pound compared to the U.S. Dollar.
Employee Benefit Plans
EMPLOYEE BENEFIT PLANS
EMPLOYEE BENEFIT PLANS

Components of net periodic benefit cost/(credit) were as follows:
 
Three months ended June 30,
 
Six months ended June 30,
 
2015
 
2014
 
2015
 
2014
 
(In thousands)
Pension Benefits
 
 
 
 
 
 
 
Company-administered plans:
 
 
 
 
 
 
 
Service cost
$
3,566

 
3,171

 
$
7,193

 
6,594

Interest cost
22,048

 
25,135

 
43,935

 
50,696

Expected return on plan assets
(25,021
)
 
(29,284
)
 
(49,921
)
 
(58,002
)
Amortization of:
 
 
 
 
 
 
 
Net actuarial loss
7,664

 
5,579

 
15,472

 
11,814

Prior service credit
(74
)
 
(435
)
 
(150
)
 
(893
)
 
8,183

 
4,166

 
16,529

 
10,209

Union-administered plans
2,113

 
2,123

 
4,285

 
4,214

Net periodic benefit cost
$
10,296

 
6,289

 
$
20,814

 
14,423

 
 
 
 
 
 
 
 
Company-administered plans:
 
 
 
 
 
 
 
U.S.
$
8,599

 
4,499

 
$
17,491

 
10,786

Non-U.S.
(416
)
 
(333
)
 
(962
)
 
(577
)
 
8,183

 
4,166

 
16,529

 
10,209

Union-administered plans
2,113

 
2,123

 
4,285

 
4,214

 
$
10,296

 
6,289

 
$
20,814

 
14,423

 
 
 
 
 
 
 
 
Postretirement Benefits
 
 
 
 
 
 
 
Company-administered plans:
 
 
 
 
 
 
 
Service cost
$
79

 
89

 
$
190

 
224

Interest cost
275

 
348

 
559

 
713

Amortization of:
 
 
 
 
 
 
 
Net actuarial gain
(278
)
 
(234
)
 
(474
)
 
(363
)
Prior service credit
(478
)
 
(615
)
 
(956
)
 
(1,230
)
Net periodic benefit credit
$
(402
)
 
(412
)
 
$
(681
)
 
(656
)
 
 
 
 
 
 
 
 
Company-administered plans:
 
 
 
 
 
 
 
U.S.
$
(531
)
 
(524
)
 
$
(946
)
 
(921
)
Non-U.S.
129

 
112

 
265

 
265

 
$
(402
)
 
(412
)
 
$
(681
)
 
(656
)


During the six months ended June 30, 2015, we contributed $7.9 million to our pension plans. In 2015, we expect total contributions to our pension plans to be approximately $36 million.
Other Items Impacting Comparability
OTHER ITEMS IMPACTING COMPARABILITY
OTHER ITEMS IMPACTING COMPARABILITY

Our primary measure of segment performance excludes certain items we do not believe are representative of the ongoing operations of the segment. We believe that excluding these items from our segment measure of performance allows for better comparison of results. During the three and six months ended June 30, 2015, we incurred charges of $1.9 million and $3.8 million, respectively, related to professional fees associated with cost savings initiatives. These charges were recorded within "Selling, general and administrative expenses" in our Condensed Consolidated Statement of Earnings.
Supplemental Cash Flow Information
SUPPLEMENTAL CASH FLOW INFORMATION
SUPPLEMENTAL CASH FLOW INFORMATION

Supplemental cash flow information was as follows:
 
Six months ended June 30,
 
2015
 
2014
 
(In thousands)
Interest paid
$
69,681

 
69,834

Income taxes paid
9,970

 
7,332

Changes in accounts payable related to purchases of revenue earning equipment
124,766

 
1,520

Operating and revenue earning equipment acquired under capital leases
5,847

 
2,371



During the six months ended June 30, 2014, we paid $1.6 million related to acquisitions completed in prior years.
Miscellaneous Income, Net
MISCELLANEOUS INCOME, NET
MISCELLANEOUS INCOME, NET
 
Three months ended June 30,
 
Six months ended June 30,
 
2015
 
2014
 
2015

2014
 
(In thousands)
Rabbi trust investment income
$
119

 
1,077

 
$
1,186

 
1,577

Insurance proceeds
—

 
756

 
314

 
756

Foreign currency translation
137

 
23

 
266

 
(383
)
Gain on sales of operating property and equipment
27

 
1,286

 
81

 
2,590

Contract settlement
41

 
—

 
56

 
2,908

Other, net
704

 
1,686

 
1,762

 
2,762

Total
$
1,028

 
4,828

 
$
3,665

 
10,210

Segment Reporting
SEGMENT REPORTING
SEGMENT REPORTING

Our operating segments are aggregated into reportable business segments based upon similar economic characteristics, products, services, customers and delivery methods. During the first quarter of 2015, our management structure changed within the supply chain business. We created the role of President of DTS for the dedicated product offering which previously was within SCS. We are now reporting our financial performance as follows: (1) FMS, which provides full service leasing, commercial rental, contract maintenance, and contract-related maintenance of trucks, tractors and trailers to customers principally in the U.S., Canada and the U.K.; (2) DTS, which provides vehicles and drivers as part of a dedicated transportation solution in the U.S; and (3) SCS, which provides comprehensive supply chain solutions including distribution and transportation services in North America and Asia. Dedicated services provided as part of an integrated, multi-service, supply chain solution are reported in the SCS business segment.

Our primary measurement of segment financial performance, defined as “Earnings Before Tax” (EBT) from continuing operations, includes an allocation of Central Support Services (CSS) and excludes non-operating pension costs, restructuring and other charges, net and other items discussed in Note (N), "Other Items Impacting Comparability." CSS represents those costs incurred to support all business segments, including human resources, finance, corporate services, public affairs, information technology, health and safety, legal, marketing and corporate communications. The objective of the EBT measurement is to provide clarity on the profitability of each business segment and, ultimately, to hold leadership of each business segment and each operating segment within each business segment accountable for their allocated share of CSS costs. Certain costs are considered to be overhead not attributable to any segment and remain unallocated in CSS. Included among the unallocated overhead remaining within CSS are the costs for investor relations, public affairs and certain executive compensation.

Our FMS segment leases revenue earning equipment and provides fuel, maintenance and other ancillary services to the DTS and SCS segments. Inter-segment revenue and EBT are accounted for at rates similar to those executed with third parties. EBT related to inter-segment equipment and services billed to customers (equipment contribution) are included in both FMS and the business segment which served the customer and then eliminated (presented as “Eliminations”). 
The following tables set forth financial information for each of our business segments and provides a reconciliation between segment EBT and earnings from continuing operations before income taxes for the three and six months ended June 30, 2015 and 2014. 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.
 
FMS
 
DTS
 
SCS
 
Eliminations
 
Total
 
 (in thousands)
For the three months ended June 30, 2015
 
 
 
 
 
 
 
 
Revenue from external customers
$
1,042,476

 
223,514

 
396,941

 
—

 
1,662,931

Inter-segment revenue
106,873

 
—

 
—

 
(106,873
)
 
—

Total revenue
$
1,149,349

 
223,514

 
396,941

 
(106,873
)
 
1,662,931

 
 
 
 
 
 
 
 
 
 
Segment EBT
$
122,452

 
12,435

 
27,699

 
(11,588
)
 
150,998

Unallocated CSS
 
 
 
 
 
 
 
 
(10,924
)
     Non-operating pension costs 
 
 
 
 
 
 
 
 
(4,688
)
Restructuring and other charges, net and other items (1)
 
 
 
 
 
 
 
 
(1,939
)
Earnings from continuing operations before income taxes
 
 
 
 
 
 
 
 
$
133,447

 
 
 
 
 
 
 
 
 
 
Segment capital expenditures paid (2)
$
761,542

 
646

 
3,570

 
—

 
765,758

Unallocated CSS
 
 
 
 
 
 
 
 
10,218

Capital expenditures paid
 
 
 
 
 
 
 
 
$
775,976

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
For the three months ended June 30, 2014
 
 
 
 
 
 
 
 
Revenue from external customers
$
1,056,992

 
234,014

 
393,565

 
—

 
1,684,571

Inter-segment revenue
124,230

 
—

 
—

 
(124,230
)
 
—

Total revenue
$
1,181,222

 
234,014

 
393,565

 
(124,230
)
 
1,684,571

 
 
 
 
 
 
 
 
 
 
Segment EBT
$
113,553

 
12,998

 
17,730

 
(10,523
)
 
133,758

Unallocated CSS
 
 
 
 
 
 
 
 
(12,125
)
Non-operating pension costs 
 
 
 
 
 
 
 
 
(1,544
)
Earnings from continuing operations before income taxes
 
 
 
 
 
 
 
 
$
120,089

 
 
 
 
 
 
 
 
 
 
Segment capital expenditures paid (2)
$
623,138

 
408

 
3,841

 
—

 
627,387

Unallocated CSS
 
 
 
 
 
 
 
 
49,113

Capital expenditures paid
 
 
 
 
 
 
 
 
$
676,500

 ————————————
(1)
See Note (N), "Other Items Impacting Comparability," for additional information.
(2)
Excludes revenue earning equipment acquired under capital leases.



 
FMS
 
DTS
 
SCS
 
Eliminations
 
Total
 
 (in thousands)
For the six months ended June 30, 2015
 
 
 
 
 
 
 
 
Revenue from external customers
$
2,025,916

 
436,173

 
767,995

 
—

 
3,230,084

Inter-segment revenue
210,583

 
—

 
—

 
(210,583
)
 
—

Total revenue
$
2,236,499

 
436,173

 
767,995

 
(210,583
)
 
3,230,084

 
 
 
 
 
 
 
 
 
 
Segment EBT
$
212,170

 
21,405

 
43,388

 
(23,122
)
 
253,841

Unallocated CSS
 
 
 
 
 
 
 
 
(22,866
)
     Non-operating pension costs
 
 
 
 
 
 
 
 
(9,571
)
Restructuring and other charges, net and other items (1)
 
 
 
 
 
 
 
 
(3,780
)
Earnings from continuing operations before income taxes
 
 
 
 
 
 
 
 
$
217,624

 
 
 
 
 
 
 
 
 
 
Segment capital expenditures paid (2)
$
1,300,285

 
1,355

 
9,557

 
—

 
1,311,197

Unallocated CSS
 
 
 
 
 
 
 
 
18,021

Capital expenditures paid
 
 
 
 
 
 
 
 
$
1,329,218

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
For the six months ended June 30, 2014
 
 
 
 
 
 
 
 
Revenue from external customers
$
2,070,388

 
449,976

 
774,944

 
—

 
3,295,308

Inter-segment revenue
245,921

 
—

 
—

 
(245,921
)
 
—

Total revenue
$
2,316,309

 
449,976

 
774,944

 
(245,921
)
 
3,295,308

 
 
 
 
 
 
 
 
 
 
Segment EBT
$
190,586

 
21,684

 
30,828

 
(20,151
)
 
222,947

Unallocated CSS
 
 
 
 
 
 
 
 
(22,954
)
Non-operating pension costs
 
 
 
 
 
 
 
 
(4,858
)
Earnings from continuing operations before income taxes
 
 
 
 
 
 
 
 
$
195,135

 
 
 
 
 
 
 
 
 
 
Segment capital expenditures paid (2), (3)
$
1,191,377

 
658

 
7,463

 
—

 
1,199,498

Unallocated CSS
 
 
 
 
 
 
 
 
55,724

Capital expenditures paid
 
 
 
 
 
 
 
 
$
1,255,222



(1)
See Note (N), "Other Items Impacting Comparability," for additional information.
(2)
Excludes revenue earning equipment acquired under capital leases.
(3)
Excludes acquisition payments of $1.6 million during the six months ended June 30, 2014.
Other Matters
OTHER MATTERS
OTHER MATTERS

We are a party to various claims, complaints and proceedings arising in the ordinary course of our continuing business operations including but not limited to 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. For matters from continuing operations where a reserve has not been established and for which we believe a loss is reasonably possible, as well as for matters where a reserve has been recorded but for which an exposure to loss in excess of the amount accrued is reasonably possible, we believe that such losses will not have a material effect on our 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 reserves and estimates 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.

Although we discontinued our South American operations in 2009, we continue to be party to various federal, state and local legal proceedings involving labor matters, tort claims and tax assessments. We have established loss provisions for any matters where we believe a loss is probable and can be reasonably estimated. Other than with respect to the matters discussed below, for matters where a reserve has not been established and for which we believe a loss is reasonably possible, as well as for matters where a reserve has been recorded but for which an exposure to loss in excess of the amount accrued is reasonably possible, we believe that such losses will not have a material effect on our consolidated financial statements.

In Brazil, we were assessed $5 million (before and after tax) in prior years for various federal income taxes and social contribution taxes for the 1997 and 1998 tax years. We successfully overturned these federal tax assessments in the lower courts; however, there is a reasonable possibility that these rulings could be reversed and we would be required to pay the assessments. We believe it is more likely than not that our position will ultimately be sustained if appealed and no amounts have been reserved for these matters. We are entitled to indemnification for a portion of any resulting liability on these federal tax claims which, if honored, would reduce the estimated loss.
General (Tables)
Schedule of error corrections and prior period adjustments
e have elected to revise previously issued financial statements to avoid inconsistencies in our financial statements. Adjustments may not be additive and may have minor differences within the tables due to rounding.



The effects of this revision on our Consolidated Statements of Earnings were as follows (in millions):

 
Year ended December 31, 2014
 
Year ended December 31, 2013
 
Year ended December 31, 2012
 
As Previously Reported
Adjustment
As Revised
 
As Previously Reported
Adjustment
As Revised
 
As Previously Reported
Adjustment
As Revised
Cost of lease and rental
$
2,039.3

(2.4
)
2,036.9

 
$
1,928.9

(3.4
)
1,925.5

 
$
1,902.8

(2.4
)
1,900.4

Interest expense
142.1

2.6

144.7

 
137.2

3.3

140.5

 
140.6

2.7

143.3

Earnings from continuing operations before income taxes
338.5

(0.2
)
338.3

 
368.9

0.1

369.0

 
303.1

(0.3
)
302.8

Provision for income taxes
118.1

(0.1
)
118.0

 
125.7

—

125.7

 
102.2

(0.1
)
102.1

Earnings from continuing operations
220.5

(0.3
)
220.2

 
243.2

0.1

243.3

 
200.9

(0.2
)
200.7

Net earnings
218.6

(0.3
)
218.3

 
237.8

0.1

237.9

 
210.0

(0.3
)
209.7

Earnings (loss) per common share — Diluted, Net Earnings
4.14

—

4.14

 
4.63

—

4.63

 
3.91

(0.01
)
3.90


 
Three months ended March 31, 2015
 
Three months ended March 31, 2014
 
As Previously Reported
Adjustment
As Revised
 
As Previously Reported
Adjustment
As Revised
Cost of lease and rental
$
519.2

(0.8
)
518.4

 
$
493.0

(0.4
)
492.6

Interest expense
35.8

1.0

36.8

 
35.1

0.4

35.5

Earnings from continuing operations before income taxes
84.4

(0.2
)
84.2

 
75.0

—

75.0

Earnings from continuing operations
53.5

(0.2
)
53.3

 
49.1

—

49.1

Net earnings
52.9

(0.1
)
52.8

 
48.2

0.1

48.3


 
Three months ended June 30, 2014
 
Six months ended June 30, 2014
 
As Previously Reported
Adjustment
As Revised
 
As Previously Reported
Adjustment
As Revised
Cost of lease and rental
$
508.1

(0.5
)
507.6

 
$
1,001.1

(0.9
)
1,000.2

Interest expense
35.3

0.4

35.7

 
70.4

0.9

71.3

Earnings from continuing operations before income taxes
120.0

0.1

120.1

 
195.0

0.1

195.1


 
Three months ended September 30, 2014
 
Nine months ended September 30, 2014
 
As Previously Reported
Adjustment
As Revised
 
As Previously Reported
Adjustment
As Revised
Cost of lease and rental
$
522.9

(0.7
)
522.2

 
$
1,524.0

(1.6
)
1,522.4

Interest expense
35.9

0.8

36.7

 
106.3

1.6

107.9

Earnings from continuing operations before income taxes
129.7

(0.1
)
129.6

 
324.8

(0.1
)
324.7

Provision for income taxes
45.8

(0.1
)
45.7

 
116.0

—

116.0

Earnings from continuing operations
84.0

(0.1
)
83.9

 
208.8

(0.1
)
208.7

Net earnings
83.7

(0.1
)
83.6

 
207.3

—

207.3




The effects of this revision on our Consolidated Statements of Comprehensive Income were as follows (in millions):

 
Comprehensive Income
 
As Previously Reported
Adjustment
As Revised
Year ended December 31, 2014
$
36.6

(0.2
)
36.4

Year ended December 31, 2013
387.2

0.1

387.3

Year ended December 31, 2012
189.5

(0.2
)
189.3

 
 
 
 
Three months ended March 31, 2015
$
0.2

(0.1
)
0.1

Three months ended September 30, 2014
39.8

(0.1
)
39.7

Nine months ended September 30, 2014
179.1

—

179.1

Three months ended June 30, 2014
102.6

—

102.6

Six months ended June 30, 2014
139.3

0.1

139.4

Three months ended March 31, 2014
36.8

—

36.8



The effects of this revision on our Consolidated Balance Sheets were as follows (in millions):

 
March 31, 2015
 
December 31, 2014
 
December 31, 2013
 
As Previously Reported
Adjustment
As Revised
 
As Previously Reported
Adjustment
As Revised
 
As Previously Reported
Adjustment
As Revised
Revenue earning equipment, net
$
7,208.3

201.2

7,409.5

 
$
6,994.4

207.4

7,201.9

 
$
6,490.8

102.0

6,592.8

Total assets
9,906.8

201.2

10,108.0

 
9,676.0

207.4

9,883.4

 
9,103.8

102.0

9,205.8

Short-term debt and current portion of long-term debt
11.4

24.1

35.5

 
12.2

24.1

36.3

 
259.4

12.8

272.2

Accrued expenses and other current liabilities
489.6

(7.1
)
482.5

 
520.5

(6.8
)
513.7

 
496.3

(1.9
)
494.4

Total current liabilities
1,126.5

16.9

1,143.4

 
1,093.6

17.2

1,110.8

 
1,231.1

10.9

1,242.0

Long-term debt
4,692.5

188.1

4,880.6

 
4,500.3

194.0

4,694.3

 
3,930.0

93.0

4,023.0

Other non-current liabilities
788.1

(3.2
)
784.9

 
786.7

(3.4
)
783.3

 
616.3

(1.6
)
614.7

Deferred income taxes
1,488.1

(0.2
)
1,487.9

 
1,476.0

(0.2
)
1,475.8

 
1,429.6

—

1,429.6

Total liabilities
8,095.2

201.7

8,296.9

 
7,856.5

207.8

8,064.3

 
7,207.1

102.1

7,309.2

Retained earnings
1,479.2

(0.5
)
1,478.7

 
1,450.9

(0.4
)
1,450.5

 
1,390.8

(0.2
)
1,390.6

Total shareholders’ equity
1,811.5

(0.5
)
1,811.0

 
1,819.5

(0.4
)
1,819.1

 
1,896.7

(0.1
)
1,896.6

Total liabilities and shareholders’ equity
9,906.8

201.2

10,108.0

 
9,676.0

207.4

9,883.4

 
9,103.8

102.0

9,205.8





The effects of this revision on the individual line items within our Consolidated Statements of Cash Flows were as follows (in millions):
 
Year ended December 31, 2014
 
Year ended December 31, 2013
 
Year ended December 31, 2012
 
As Previously Reported
Adjustment
As Revised
 
As Previously Reported
Adjustment
As Revised
 
As Previously Reported
Adjustment
As Revised
Net earnings
$
218.6

(0.3
)
218.3

 
$
237.8

0.1

237.9

 
$
210.0

(0.3
)
209.7

Depreciation expense
1,040.3

17.6

1,057.8

 
957.1

26.5

983.6

 
939.7

22.4

962.1

Deferred income tax expense
104.8

—

104.7

 
113.6

—

113.6

 
87.1

(0.1
)
87.0

Accrued expenses and other non-current liabilities
(48.7
)
(4.4
)
(53.1
)
 
(66.6
)
2.2

(64.4
)
 
(68.3
)
4.1

(64.2
)
Net cash provided by operating activities from continuing operations
1,370.0

12.8

1,382.8

 
1,223.1

28.7

1,251.8

 
1,134.1

26.1

1,160.2

Debt proceeds
839.7

125.8

965.5

 
557.0

—

557.0

 
745.8

130.2

876.0

Debt repaid, including capital and financing lease obligations
(280.7
)
(12.8
)
(293.5
)
 
(332.6
)
(46.6
)
(379.2
)
 
(283.9
)
(26.1
)
(310.0
)
Net cash provided by financing activities from continuing operations
198.7

113.0

311.7

 
393.6

(46.5
)
347.1

 
333.8

104.1

437.9

Purchases of property and revenue earning equipment
(2,259.2
)
—

(2,259.2
)
 
(2,140.5
)
17.9

(2,122.6
)
 
(2,133.2
)
—

(2,133.2
)
Sale and leaseback of revenue earning equipment
125.8

(125.8
)
—

 
—

—

—

 
130.2

(130.2
)
—

Net cash used in investing activities from continuing operations
(1,578.7
)
(125.8
)
(1,704.5
)
 
(1,621.7
)
17.9

(1,603.8
)
 
(1,504.3
)
(130.2
)
(1,634.5
)






 
Three months ended March 31, 2015
 
Three months ended March 31, 2014
 
As Previously Reported
Adjustment
As Revised
 
As Previously Reported
Adjustment
As Revised
Net earnings
$
52.9

(0.1
)
52.8

 
$
48.2

0.1

48.3

Depreciation expense
262.4

6.2

268.6

 
248.8

3.1

251.9

Deferred income tax expense
26.7

(0.1
)
26.6

 
21.7

—

21.7

Accrued expenses and other non-current liabilities
(21.5
)
(0.1
)
(21.6
)
 
(29.9
)
(3.1
)
(33.0
)
Net cash provided by operating activities from continuing operations
277.9

6.0

283.8

 
237.7

—

237.7

Debt repaid, including capital and financing lease obligations
(457.6
)
(6.0
)
(463.5
)
 
(252.8
)
—

(252.8
)
Net cash provided by financing activities from continuing operations
184.8

(6.0
)
178.9

 
215.2

—

215.2

 
Six months ended June 30, 2014
 
Nine months ended September 30, 2014
 
As Previously Reported
Adjustment
As Revised
 
As Previously Reported
Adjustment
As Revised
Net earnings
$
123.6

—

123.6

 
$
207.3

—

207.3

Depreciation expense
506.0

6.1

512.1

 
770.1

11.3

781.4

Accrued expenses and other non-current liabilities
(67.6
)
0.2

(67.4
)
 
(41.5
)
(4.9
)
(46.4
)
Net cash provided by operating activities from continuing operations
536.5

6.4

542.9

 
974.7

6.3

981.0

Debt proceeds
765.7

—

765.7

 
769.9

125.8

895.7

Debt repaid, including capital and financing lease obligations
(271.2
)
(6.4
)
(277.6
)
 
(278.4
)
(6.4
)
(284.8
)
Net cash provided by financing activities from continuing operations
430.0

(6.4
)
423.6

 
213.1

119.4

332.5

Sale and leaseback of revenue earning equipment
—

—

—

 
125.8

(125.8
)
—

Net cash used in investing activities from continuing operations
(939.8
)
—

(939.8
)
 
(1,171.5
)
(125.8
)
(1,297.3
)
Share-Based Compensation Plans (Tables)
Share-based compensation expense and income tax benefits recognized during the periods 
The following table provides information on share-based compensation expense and income tax benefits recognized during the periods:
 
Three months ended June 30,
 
Six months ended June 30,
 
2015
 
2014
 
2015
 
2014
 
(In thousands)
Stock option and stock purchase plans
$
1,956

 
2,241

 
$
4,257

 
4,478

Nonvested stock
3,548

 
2,890

 
6,912

 
5,511

Share-based compensation expense
5,504

 
5,131

 
11,169

 
9,989

Income tax benefit
(1,860
)
 
(1,713
)
 
(3,743
)
 
(3,389
)
Share-based compensation expense, net of tax
$
3,644

 
3,418

 
$
7,426

 
6,600

Summary of share-based compensation expense recognized related to cash awards 
The following table is a summary of compensation expense recognized for market-based cash awards in addition to the share-based compensation expense reported in the previous table:
 
Three months ended June 30,
 
Six months ended June 30,
 
2015
 
2014
 
2015
 
2014
 
(In thousands)
Cash awards
$
281

 
$
743

 
$
464

 
$
1,266

Summary of the awards granted under the Plans 
The following table is a summary of the awards granted under the Plans during the periods presented:
 
Six months ended June 30,
 
2015
 
2014
 
(In thousands)
 
 
 
 
Stock options
362

 
405

Market-based restricted stock rights
19

 
22

Performance-based restricted stock rights
42

 
30

Time-vested restricted stock rights
80

 
158

Total
503

 
615

Earnings Per Share (Tables)
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 June 30,
 
Six months ended June 30,
 
2015
 
2014
 
2015
 
2014
 
(In thousands, except per share amounts)
Earnings per share — Basic:
 
 
 
 
 
 
 
Earnings from continuing operations
$
85,917

 
75,721

 
$
139,243

 
124,847

Less: Distributed and undistributed earnings allocated to nonvested stock
(246
)
 
(302
)
 
(393
)
 
(582
)
Earnings from continuing operations available to common shareholders — Basic
$
85,671

 
75,419

 
$
138,850

 
124,265

 
 
 
 
 
 
 
 
Weighted average common shares outstanding — Basic
52,827

 
52,564

 
52,712

 
52,612

 
 
 
 
 
 
 
 
Earnings from continuing operations per common share — Basic
$
1.62

 
1.43

 
$
2.63

 
2.36

 
 
 
 
 
 
 
 
Earnings per share — Diluted:
 
 
 
 
 
 
 
Earnings from continuing operations
$
85,917

 
75,721

 
$
139,243

 
124,847

Less: Distributed and undistributed earnings allocated to nonvested stock
(244
)
 
(299
)
 
(390
)
 
(578
)
Earnings from continuing operations available to common shareholders — Diluted
$
85,673

 
75,422

 
$
138,853

 
124,269

 
 
 
 
 
 
 
 
Weighted average common shares outstanding — Basic
52,827

 
52,564

 
52,712

 
52,612

Effect of dilutive equity awards
468

 
482

 
492

 
472

Weighted average common shares outstanding — Diluted
53,295

 
53,046

 
53,204

 
53,084

 
 
 
 
 
 
 
 
Earnings from continuing operations per common share — Diluted
$
1.61

 
1.42

 
$
2.61

 
2.34

 
 
 
 
 
 
 
 
Anti-dilutive equity awards not included above
363

 
412

 
273

 
314

Revenue Earning Equipment (Tables)
Summary of revenue earning equipment
 
June 30, 2015
 
December 31, 2014
 
Cost
 
Accumulated
Depreciation
 
Net  Book
Value(1)
 
Cost
 
Accumulated
Depreciation
 
Net  Book
Value(1)
 
(In thousands)
Held for use:
 
Full service lease
$
8,398,012

 
(2,677,023
)
 
5,720,989

 
$
8,008,122

 
(2,598,140
)
 
5,409,982

Commercial rental
2,925,063

 
(898,319
)
 
2,026,744

 
2,570,081

 
(864,543
)
 
1,705,538

Held for sale
342,659

 
(236,355
)
 
106,304

 
312,699

 
(226,333
)
 
86,366

Total
$
11,665,734

 
(3,811,697
)
 
7,854,037

 
$
10,890,902

 
(3,689,016
)
 
7,201,886

 ————————————
(1)
Revenue earning equipment, net includes vehicles acquired under capital leases of $48.0 million, less accumulated depreciation of $20.3 million, at June 30, 2015, and $47.8 million, less accumulated depreciation of $22.5 million, at December 31, 2014. Additionally, revenue earning equipment, net underlying asset-backed U.S. obligations was $346.1 million at June 30, 2015 ($403.3 million cost, less $57.1 million of accumulated depreciation) and $207.4 million at December 31, 2014 ($247.8 million cost, less $40.3 million of accumulated depreciation). See Note (A), General, Revision of Prior Period Financial Information for further information related to our evaluation of accounting for these transactions.

Goodwill (Tables)
Carrying amount of goodwill attributable to each reportable business segment
The carrying amount of goodwill attributable to each reportable business segment with changes therein was as follows:
 
Fleet
Management
Solutions
 
Dedicated
Transportation
Solutions
 
Supply
Chain
Solutions
 
Total
 
 
Balance at January 1, 2015:
 
 
 
 
 
 
 
Goodwill
$
233,217

 
40,808

 
148,225

 
422,250

Accumulated impairment losses
(10,322
)
 
—

 
(18,899
)
 
(29,221
)
 
222,895

 
40,808

 
129,326

 
393,029

Foreign currency translation adjustments
(247
)
 
—

 
(522
)
 
(769
)
Balance at June 30, 2015:
 
 
 
 
 
 
 
Goodwill
232,970

 
40,808

 
147,703

 
421,481

Accumulated impairment losses
(10,322
)
 
—

 
(18,899
)
 
(29,221
)
 
$
222,648

 
40,808

 
128,804

 
392,260

Accrued Expenses and Other Liabilities (Tables)
Accrued Expenses and Other Liabilities
 
June 30, 2015
 
December 31, 2014
 
Accrued
Expenses
 
Non-Current
Liabilities
 
Total
 
Accrued
Expenses
 
Non-Current
Liabilities
 
Total
 
(In thousands)
Salaries and wages
$
94,846

 
—

 
94,846

 
$
114,446

 
—

 
114,446

Deferred compensation
2,243

 
41,518

 
43,761

 
3,209

 
37,093

 
40,302

Pension benefits
3,687

 
457,170

 
460,857

 
3,739

 
444,657

 
448,396

Other postretirement benefits
2,097

 
25,904

 
28,001

 
2,112

 
26,889

 
29,001

Other employee benefits
7,681

 
16,910

 
24,591

 
7,172

 
19,276

 
26,448

Insurance obligations (1)
136,394

 
198,860

 
335,254

 
132,246

 
189,431

 
321,677

Environmental liabilities
3,728

 
7,152

 
10,880

 
3,877

 
8,002

 
11,879

Operating taxes
106,286

 
—

 
106,286

 
92,330

 
—

 
92,330

Income taxes
2,785

 
24,704

 
27,489

 
5,066

 
22,843

 
27,909

Interest
35,875

 
—

 
35,875

 
33,509

 
—

 
33,509

Deposits, mainly from customers
64,059

 
5,648

 
69,707

 
59,388

 
5,929

 
65,317

Deferred revenue
14,388

 
—

 
14,388

 
11,759

 
—

 
11,759

Acquisition holdbacks
6,061

 
—

 
6,061

 
3,817

 
2,187

 
6,004

Other
43,592

 
21,549

 
65,141

 
41,009

 
27,035

 
68,044

Total
$
523,722

 
799,415

 
1,323,137

 
$
513,679

 
783,342

 
1,297,021

 ————————————
(1)
Insurance obligations are primarily comprised of self-insured claim liabilities.
Debt (Tables)
Schedule of debt
 
Weighted-Average
Interest Rate
 
 
 
 
 
 
 
June 30,
2015
 
December 31,
2014
 
Maturities
 
June 30,
2015
 
December 31,
2014
 
 
 
 
 
 
 
(In thousands)
Short-term debt and current portion of long-term debt:
 
 
 
 
 
 
 
 
 
Short-term debt
2.75%
 
1.30%
 
2015
 
$
316

 
3,773

Current portion of long-term debt
 
 
 
 
 
 
347,501

 
32,511

Total short-term debt and current portion of long-term debt
 
 
 
 
 
 
347,817

 
36,284

Long-term debt:
 
 
 
 
 
 
 
 
 
U.S. commercial paper (1)
0.43%
 
0.35%
 
2020
 
311,432

 
276,694

Global revolving credit facility
2.78%
 
1.60%
 
2020
 
40,908

 
11,190

Unsecured U.S. notes — Medium-term notes (1)
3.21%
 
3.29%
 
2015-2025
 
4,111,991

 
3,772,159

Unsecured U.S. obligations
1.50%
 
0.76%
 
2018
 
50,000

 
110,500

Unsecured foreign obligations
1.92%
 
2.01%
 
2015-2020
 
295,217

 
295,776

Asset-backed U.S. obligations (2)
1.79%
 
1.81%
 
2018-2022
 
362,075

 
218,137

Capital lease obligations
1.79%
 
1.73%
 
2015-2022
 
38,418

 
37,560

Total before fair market value adjustment
 
 
 
 
 
 
5,210,041

 
4,722,016

Fair market value adjustment on notes subject to hedging (3)
 
 
 
 
 
6,668

 
4,830

 
 
 
 
 
 
 
5,216,709

 
4,726,846

Current portion of long-term debt
 
 
 
 
 
 
(347,501
)
 
(32,511
)
Long-term debt
 
 
 
 
 
 
4,869,208

 
4,694,335

Total debt
 
 
 
 
 
 
$
5,217,025

 
4,730,619

 ————————————
(1)
We had unamortized original issue discounts of $8.1 million and $7.9 million at June 30, 2015 and December 31, 2014, respectively.
(2)
Asset-backed U.S. obligations of $362.1 million at June 30, 2015 and $218.1 million at December 31, 2014 are related to financing transactions involving revenue earning equipment. See Note (A), General, Revision of Prior Period Financial Information for further information related to our evaluation of accounting for these transactions.
(3)
The notional amount of executed interest rate swaps designated as fair value hedges was $600 million at both June 30, 2015 and December 31, 2014.
Fair Value Measurements (Tables)
Assets and liabilities measured at fair value on nonrecurring basis
The following tables present our assets that are measured at fair value on a nonrecurring basis and considered a Level 3 fair value measurement:
 
 
 
 
 
Fair Value Measurements at
 
Total Losses (2)
 
June 30, 2015
 
Three months ended June 30, 2015
 
Six months ended June 30, 2015
 
(In thousands)
Assets held for sale:
 
 
 
 
 
Revenue earning equipment: (1)
 
 
 
 
 
Trucks
$
6,805

 
$
1,515

 
$
2,743

Tractors
7,389

 
1,081

 
1,908

Trailers
1,625

 
656

 
972

Total assets at fair value
$
15,819

 
$
3,252

 
5,623


 
 
 
 
 
Fair Value Measurements at
 
Total Losses (2)
 
 
June 30, 2014
 
Three months ended June 30, 2014
 
Six months ended June 30, 2014
 
 
(In thousands)
 
Assets held for sale:
 
 
 
 
 
 
Revenue earning equipment: (1)
 
 
 
 
 
 
Trucks
$
10,713

 
$
1,572

 
$
3,454

 
Tractors
6,057

 
662

 
2,294

 
Trailers
497

 
281

 
442

 
Total assets at fair value
$
17,267

 
$
2,515

 
$
6,190

 
 
 ————————————
(1)
Represents the portion of all revenue earning equipment held for sale that is recorded at fair value, less costs to sell.
(2)
Total losses represent fair value adjustments for all vehicles held for sale throughout the period for which fair value was less than carrying value.

Derivatives (Tables)
Schedule of Derivative Instruments
The following table provides a detail of the swaps outstanding and the related hedged items as of June 30, 2015:
 
 
 
Maturity date
 
Face value of medium-term notes
 
Aggregate 
notional
amount of interest rate swaps
 
Fixed interest 
rate
 
Weighted-average variable
interest rate on hedged debt
as of June 30,
Issuance date
 
 
 
 
 
2015
 
2014
 
 
 
 
(Dollars in thousands)
 
 
 
 
 
 
May 2011
 
June 2017
 
$350,000
 
$150,000
 
3.50%
 
1.49%
 
1.42%
November 2013
 
November 2018
 
$300,000
 
$100,000
 
2.45%
 
1.23%
 
1.18%
February 2014
 
June 2019
 
$350,000
 
$100,000
 
2.55%
 
1.15%
 
1.10%
May 2014
 
September 2019
 
$400,000
 
$100,000
 
2.45%
 
0.90%
 
0.85%
February 2015
 
March 2020
 
$400,000
 
$150,000
 
2.65%
 
1.14%
 
—
Accumulated Other Comprehensive Loss (Tables)
Schedule of accumulated other comprehensive loss, net of tax
The following summary sets forth the components of accumulated other comprehensive loss, net of tax:
 
 
 
Currency
Translation
Adjustments and Other
 
Net Actuarial
Loss (1)
 
Prior Service
Credit (1)
 
Accumulated
Other
Comprehensive
Loss
 
 
(In thousands)
December 31, 2014
 
$
(36,087
)
 
(585,941
)
 
1,758

 
(620,270
)
Amortization
 
—

 
9,790

 
(712
)
 
9,078

Other current period change
 
(30,345
)
 
(5,321
)
 
—

 
(35,666
)
June 30, 2015
 
$
(66,432
)
 
(581,472
)
 
1,046

 
(646,858
)


 
 
Currency
Translation
Adjustments and Other
 
Net Actuarial
Loss (1)
 
Prior Service
Credit (1)
 
Accumulated
Other
Comprehensive
Loss
 
 
(In thousands)
December 31, 2013
 
$
35,875


(477,883
)
 
3,760

 
(438,248
)
Amortization
 
—


7,455


(1,335
)
 
6,120

Other current period change
 
11,681


(2,048
)

—

 
9,633

June 30, 2014
 
$
47,556

 
(472,476
)
 
2,425

 
(422,495
)

_______________________ 

(1)
These amounts are included in the computation of net periodic benefit cost. See Note (M), "Employee Benefit Plans," for further information.

Employee Benefit Plans (Tables)
Components of net periodic benefit cost
Components of net periodic benefit cost/(credit) were as follows:
 
Three months ended June 30,
 
Six months ended June 30,
 
2015
 
2014
 
2015
 
2014
 
(In thousands)
Pension Benefits
 
 
 
 
 
 
 
Company-administered plans:
 
 
 
 
 
 
 
Service cost
$
3,566

 
3,171

 
$
7,193

 
6,594

Interest cost
22,048

 
25,135

 
43,935

 
50,696

Expected return on plan assets
(25,021
)
 
(29,284
)
 
(49,921
)
 
(58,002
)
Amortization of:
 
 
 
 
 
 
 
Net actuarial loss
7,664

 
5,579

 
15,472

 
11,814

Prior service credit
(74
)
 
(435
)
 
(150
)
 
(893
)
 
8,183

 
4,166

 
16,529

 
10,209

Union-administered plans
2,113

 
2,123

 
4,285

 
4,214

Net periodic benefit cost
$
10,296

 
6,289

 
$
20,814

 
14,423

 
 
 
 
 
 
 
 
Company-administered plans:
 
 
 
 
 
 
 
U.S.
$
8,599

 
4,499

 
$
17,491

 
10,786

Non-U.S.
(416
)
 
(333
)
 
(962
)
 
(577
)
 
8,183

 
4,166

 
16,529

 
10,209

Union-administered plans
2,113

 
2,123

 
4,285

 
4,214

 
$
10,296

 
6,289

 
$
20,814

 
14,423

 
 
 
 
 
 
 
 
Postretirement Benefits
 
 
 
 
 
 
 
Company-administered plans:
 
 
 
 
 
 
 
Service cost
$
79

 
89

 
$
190

 
224

Interest cost
275

 
348

 
559

 
713

Amortization of:
 
 
 
 
 
 
 
Net actuarial gain
(278
)
 
(234
)
 
(474
)
 
(363
)
Prior service credit
(478
)
 
(615
)
 
(956
)
 
(1,230
)
Net periodic benefit credit
$
(402
)
 
(412
)
 
$
(681
)
 
(656
)
 
 
 
 
 
 
 
 
Company-administered plans:
 
 
 
 
 
 
 
U.S.
$
(531
)
 
(524
)
 
$
(946
)
 
(921
)
Non-U.S.
129

 
112

 
265

 
265

 
$
(402
)
 
(412
)
 
$
(681
)
 
(656
)
Supplemental Cash Flow Information (Tables)
Supplemental cash flow information
Supplemental cash flow information was as follows:
 
Six months ended June 30,
 
2015
 
2014
 
(In thousands)
Interest paid
$
69,681

 
69,834

Income taxes paid
9,970

 
7,332

Changes in accounts payable related to purchases of revenue earning equipment
124,766

 
1,520

Operating and revenue earning equipment acquired under capital leases
5,847

 
2,371

Miscellaneous Income, Net (Tables)
Schedule of Other Nonoperating Income (Expense)
 
Three months ended June 30,
 
Six months ended June 30,
 
2015
 
2014
 
2015

2014
 
(In thousands)
Rabbi trust investment income
$
119

 
1,077

 
$
1,186

 
1,577

Insurance proceeds
—

 
756

 
314

 
756

Foreign currency translation
137

 
23

 
266

 
(383
)
Gain on sales of operating property and equipment
27

 
1,286

 
81

 
2,590

Contract settlement
41

 
—

 
56

 
2,908

Other, net
704

 
1,686

 
1,762

 
2,762

Total
$
1,028

 
4,828

 
$
3,665

 
10,210

Segment Reporting (Tables)
Financial information of business segments
The following tables set forth financial information for each of our business segments and provides a reconciliation between segment EBT and earnings from continuing operations before income taxes for the three and six months ended June 30, 2015 and 2014. 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.
 
FMS
 
DTS
 
SCS
 
Eliminations
 
Total
 
 (in thousands)
For the three months ended June 30, 2015
 
 
 
 
 
 
 
 
Revenue from external customers
$
1,042,476

 
223,514

 
396,941

 
—

 
1,662,931

Inter-segment revenue
106,873

 
—

 
—

 
(106,873
)
 
—

Total revenue
$
1,149,349

 
223,514

 
396,941

 
(106,873
)
 
1,662,931

 
 
 
 
 
 
 
 
 
 
Segment EBT
$
122,452

 
12,435

 
27,699

 
(11,588
)
 
150,998

Unallocated CSS
 
 
 
 
 
 
 
 
(10,924
)
     Non-operating pension costs 
 
 
 
 
 
 
 
 
(4,688
)
Restructuring and other charges, net and other items (1)
 
 
 
 
 
 
 
 
(1,939
)
Earnings from continuing operations before income taxes
 
 
 
 
 
 
 
 
$
133,447

 
 
 
 
 
 
 
 
 
 
Segment capital expenditures paid (2)
$
761,542

 
646

 
3,570

 
—

 
765,758

Unallocated CSS
 
 
 
 
 
 
 
 
10,218

Capital expenditures paid
 
 
 
 
 
 
 
 
$
775,976

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
For the three months ended June 30, 2014
 
 
 
 
 
 
 
 
Revenue from external customers
$
1,056,992

 
234,014

 
393,565

 
—

 
1,684,571

Inter-segment revenue
124,230

 
—

 
—

 
(124,230
)
 
—

Total revenue
$
1,181,222

 
234,014

 
393,565

 
(124,230
)
 
1,684,571

 
 
 
 
 
 
 
 
 
 
Segment EBT
$
113,553

 
12,998

 
17,730

 
(10,523
)
 
133,758

Unallocated CSS
 
 
 
 
 
 
 
 
(12,125
)
Non-operating pension costs 
 
 
 
 
 
 
 
 
(1,544
)
Earnings from continuing operations before income taxes
 
 
 
 
 
 
 
 
$
120,089

 
 
 
 
 
 
 
 
 
 
Segment capital expenditures paid (2)
$
623,138

 
408

 
3,841

 
—

 
627,387

Unallocated CSS
 
 
 
 
 
 
 
 
49,113

Capital expenditures paid
 
 
 
 
 
 
 
 
$
676,500

 ————————————
(1)
See Note (N), "Other Items Impacting Comparability," for additional information.
(2)
Excludes revenue earning equipment acquired under capital leases.



 
FMS
 
DTS
 
SCS
 
Eliminations
 
Total
 
 (in thousands)
For the six months ended June 30, 2015
 
 
 
 
 
 
 
 
Revenue from external customers
$
2,025,916

 
436,173

 
767,995

 
—

 
3,230,084

Inter-segment revenue
210,583

 
—

 
—

 
(210,583
)
 
—

Total revenue
$
2,236,499

 
436,173

 
767,995

 
(210,583
)
 
3,230,084

 
 
 
 
 
 
 
 
 
 
Segment EBT
$
212,170

 
21,405

 
43,388

 
(23,122
)
 
253,841

Unallocated CSS
 
 
 
 
 
 
 
 
(22,866
)
     Non-operating pension costs
 
 
 
 
 
 
 
 
(9,571
)
Restructuring and other charges, net and other items (1)
 
 
 
 
 
 
 
 
(3,780
)
Earnings from continuing operations before income taxes
 
 
 
 
 
 
 
 
$
217,624

 
 
 
 
 
 
 
 
 
 
Segment capital expenditures paid (2)
$
1,300,285

 
1,355

 
9,557

 
—

 
1,311,197

Unallocated CSS
 
 
 
 
 
 
 
 
18,021

Capital expenditures paid
 
 
 
 
 
 
 
 
$
1,329,218

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
For the six months ended June 30, 2014
 
 
 
 
 
 
 
 
Revenue from external customers
$
2,070,388

 
449,976

 
774,944

 
—

 
3,295,308

Inter-segment revenue
245,921

 
—

 
—

 
(245,921
)
 
—

Total revenue
$
2,316,309

 
449,976

 
774,944

 
(245,921
)
 
3,295,308

 
 
 
 
 
 
 
 
 
 
Segment EBT
$
190,586

 
21,684

 
30,828

 
(20,151
)
 
222,947

Unallocated CSS
 
 
 
 
 
 
 
 
(22,954
)
Non-operating pension costs
 
 
 
 
 
 
 
 
(4,858
)
Earnings from continuing operations before income taxes
 
 
 
 
 
 
 
 
$
195,135

 
 
 
 
 
 
 
 
 
 
Segment capital expenditures paid (2), (3)
$
1,191,377

 
658

 
7,463

 
—

 
1,199,498

Unallocated CSS
 
 
 
 
 
 
 
 
55,724

Capital expenditures paid
 
 
 
 
 
 
 
 
$
1,255,222



(1)
See Note (N), "Other Items Impacting Comparability," for additional information.
(2)
Excludes revenue earning equipment acquired under capital leases.
(3)
Excludes acquisition payments of $1.6 million during the six months ended June 30, 2014.
General - Additional Information (Details) (USD $)
In Thousands, unless otherwise specified
Jun. 30, 2015
Mar. 31, 2015
Dec. 31, 2014
Dec. 31, 2013
Revenue earning equipment, net
$ 7,854,037 
$ 7,409,529 
$ 7,201,886 
$ 6,592,826 
Adjustment [Member]
 
 
 
 
Revenue earning equipment, net
 
$ 201,200 
$ 207,438 
$ 102,000 
General - Schedule of Error Corrections and Prior Period Adjustments (Details) (USD $)
In Thousands, except Per Share data, unless otherwise specified
3 Months Ended 6 Months Ended 9 Months Ended 12 Months Ended
Jun. 30, 2015
Mar. 31, 2015
Sep. 30, 2014
Jun. 30, 2014
Mar. 31, 2014
Jun. 30, 2015
Jun. 30, 2014
Sep. 30, 2014
Dec. 31, 2014
Dec. 31, 2013
Dec. 31, 2012
Income Statement [Abstract]
 
 
 
 
 
 
 
 
 
 
 
Cost of lease and rental
$ 531,308 
$ 518,422 
$ 522,202 
$ 507,620 
$ 492,572 
$ 1,049,730 
$ 1,000,192 
$ 1,522,394 
$ 2,036,881 
$ 1,925,546 
$ 1,900,424 
Interest expense
39,075 
36,802 
36,681 
35,729 
35,538 
75,877 
71,267 
107,948 
144,739 
140,463 
143,305 
Earnings from continuing operations before income taxes
133,447 
84,177 
129,608 
120,089 
75,046 
217,624 
195,135 
324,743 
338,267 
369,014 
302,768 
Provision for income taxes
47,530 
 
45,713 
44,368 
 
78,381 
70,288 
116,001 
118,042 
125,739 
102,100 
Earnings from continuing operations
85,917 
53,326 
83,895 
75,721 
49,126 
139,243 
124,847 
208,742 
220,225 
243,275 
200,668 
Net earnings
85,159 
52,789 
83,617 
75,385 
48,260 
137,948 
123,645 
207,262 
218,341 
237,871 
209,748 
Earnings (loss) per common share — Diluted, Net Earnings
$ 1.59 1
 
 
$ 1.41 1
 
$ 2.59 1
$ 2.32 1
 
$ 4.14 
$ 4.63 
$ 3.90 
Statement of Comprehensive Income [Abstract]
 
 
 
 
 
 
 
 
 
 
 
Comprehensive income (loss)
111,333 
100 
39,700 
102,603 
36,800 
111,360 
139,398 
179,100 
36,400 
387,300 
189,300 
Statement of Financial Position [Abstract]
 
 
 
 
 
 
 
 
 
 
 
Revenue earning equipment, net
7,854,037 
7,409,529 
 
 
 
7,854,037 
 
 
7,201,886 
6,592,826 
 
Total assets
10,638,264 
10,107,975 
 
 
 
10,638,264 
 
 
9,883,424 
9,205,771 
 
Short-term debt and current portion of long-term debt
347,817 
35,452 
 
 
 
347,817 
 
 
36,284 
272,203 
 
Accrued expenses and other current liabilities
523,722 
482,521 
 
 
 
523,722 
 
 
513,679 
494,395 
 
Total current liabilities
1,523,732 
1,143,446 
 
 
 
1,523,732 
 
 
1,110,815 
1,241,962 
 
Long-term debt
4,869,208 
4,880,638 
 
 
 
4,869,208 
 
 
4,694,335 
4,022,975 
 
Other non-current liabilities
799,415 
784,948 
 
 
 
799,415 
 
 
783,342 
614,713 
 
Deferred income taxes
1,532,470 
1,487,913 
 
 
 
1,532,470 
 
 
1,475,845 
1,429,560 
 
Total liabilities
8,724,825 
8,296,944 
 
 
 
8,724,825 
 
 
8,064,337 
7,309,210 
 
Retained earnings
1,544,047 
1,478,660 
 
 
 
1,544,047 
 
 
1,450,509 
1,390,603 
 
Total shareholders’ equity
1,913,439 
1,811,031 
 
 
 
1,913,439 
 
 
1,819,087 
1,896,561 
 
Total liabilities and shareholders’ equity
10,638,264 
10,107,975 
 
 
 
10,638,264 
 
 
9,883,424 
9,205,771 
 
Statement of Cash Flows [Abstract]
 
 
 
 
 
 
 
 
 
 
 
Net earnings
85,159 
52,789 
83,617 
75,385 
48,260 
137,948 
123,645 
207,262 
218,341 
237,871 
209,748 
Depreciation expense
 
268,649 
 
 
251,871 
546,699 
512,109 
781,367 
1,057,813 
983,610 
962,052 
Deferred income tax expense
 
26,646 
 
 
21,667 
67,592 
59,987 
 
104,713 
113,621 
86,984 
Accrued expenses and other non-current liabilities
 
(21,576)
 
 
(32,999)
17,005 
(67,439)
(46,357)
(53,109)
(64,423)
(64,242)
Net cash provided by operating activities from continuing operations
 
283,845 
 
 
237,660 
658,698 
542,888 
981,044 
1,382,818 
1,251,811 
1,160,175 
Debt proceeds
 
 
 
 
 
930,090 
765,713 
895,733 
965,533 
556,989 
875,961 
Debt repaid, including capital and financing lease obligations
 
(463,536)
 
 
(252,845)
(486,103)
(277,636)
(284,811)
(293,488)
(379,189)
(309,988)
Net cash provided by financing activities from continuing operations
 
178,870 
 
 
215,169 
445,520 
423,565 
332,501 
311,650 
347,070 
437,938 
Purchases of property and revenue earning equipment
 
 
 
 
 
(1,329,218)
(1,255,222)
 
(2,259,164)
(2,122,628)
(2,133,235)
Sale and leaseback of revenue earning equipment
 
 
 
 
 
 
0 
0 
0 
0 
0 
Net cash used in investing activities from continuing operations
 
 
 
 
 
(1,078,663)
(939,818)
(1,297,281)
(1,704,510)
(1,603,818)
(1,634,457)
As Previously Reported [Member]
 
 
 
 
 
 
 
 
 
 
 
Income Statement [Abstract]
 
 
 
 
 
 
 
 
 
 
 
Cost of lease and rental
 
519,174 
522,888 
508,091 
493,043 
 
1,001,134 
1,524,022 
2,039,263 
1,928,933 
1,902,823 
Interest expense
 
35,849 
35,882 
35,302 
35,109 
 
70,411 
106,293 
142,075 
137,196 
140,557 
Earnings from continuing operations before income taxes
 
84,378 
129,721 
120,045 
75,004 
 
195,049 
324,770 
338,549 
368,895 
303,117 
Provision for income taxes
 
 
45,754 
 
 
 
 
116,011 
118,090 
125,699 
102,218 
Earnings from continuing operations
 
53,453 
83,967 
 
49,098 
 
 
208,759 
220,459 
243,196 
200,899 
Net earnings
 
52,916 
83,689 
 
48,232 
 
123,590 
207,279 
218,575 
237,792 
209,979 
Earnings (loss) per common share — Diluted, Net Earnings
 
 
 
 
 
 
 
 
$ 4.14 
$ 4.63 
$ 3.91 
Statement of Comprehensive Income [Abstract]
 
 
 
 
 
 
 
 
 
 
 
Comprehensive income (loss)
 
154 
39,761 
102,576 
36,767 
 
139,343 
179,104 
36,553 
387,163 
189,525 
Statement of Financial Position [Abstract]
 
 
 
 
 
 
 
 
 
 
 
Revenue earning equipment, net
 
7,208,345 
 
 
 
 
 
 
6,994,448 
6,490,837 
 
Total assets
 
9,906,791 
 
 
 
 
 
 
9,675,986 
9,103,782 
 
Short-term debt and current portion of long-term debt
 
11,417 
 
 
 
 
 
 
12,207 
259,438 
 
Accrued expenses and other current liabilities
 
489,647 
 
 
 
 
 
 
520,532 
496,337 
 
Total current liabilities
 
1,126,537 
 
 
 
 
 
 
1,093,591 
1,231,139 
 
Long-term debt
 
4,692,503 
 
 
 
 
 
 
4,500,275 
3,929,987 
 
Other non-current liabilities
 
788,094 
 
 
 
 
 
 
786,676 
616,305 
 
Deferred income taxes
 
1,488,111 
 
 
 
 
 
 
1,475,970 
1,429,637 
 
Total liabilities
 
8,095,245 
 
 
 
 
 
 
7,856,512 
7,207,068 
 
Retained earnings
 
1,479,175 
 
 
 
 
 
 
1,450,896 
1,390,756 
 
Total shareholders’ equity
 
1,811,546 
 
 
 
 
 
 
1,819,474 
1,896,714 
 
Total liabilities and shareholders’ equity
 
9,906,791 
 
 
 
 
 
 
9,675,986 
9,103,782 
 
Statement of Cash Flows [Abstract]
 
 
 
 
 
 
 
 
 
 
 
Net earnings
 
52,916 
83,689 
 
48,232 
 
123,590 
207,279 
218,575 
237,792 
209,979 
Depreciation expense
 
262,395 
 
 
248,815 
 
505,997 
770,067 
1,040,259 
957,141 
939,677 
Deferred income tax expense
 
26,719 
 
 
21,653 
 
 
 
104,761 
113,581 
87,102 
Accrued expenses and other non-current liabilities
 
(21,490)
 
 
(29,901)
 
(67,629)
(41,471)
(48,664)
(66,564)
(68,267)
Net cash provided by operating activities from continuing operations
 
277,878 
 
 
237,660 
 
536,500 
974,656 
1,369,991 
1,223,082 
1,134,124 
Debt proceeds
 
 
 
 
 
 
765,713 
769,908 
839,708 
556,989 
745,777 
Debt repaid, including capital and financing lease obligations
 
(457,569)
 
 
(252,845)
 
(271,248)
(278,423)
(280,661)
(332,624)
(283,937)
Net cash provided by financing activities from continuing operations
 
184,837 
 
 
215,169 
 
429,953 
213,064 
198,652 
393,635 
333,805 
Purchases of property and revenue earning equipment
 
 
 
 
 
 
 
 
(2,259,164)
(2,140,464)
(2,133,235)
Sale and leaseback of revenue earning equipment
 
 
 
 
 
 
0 
125,825 
125,825 
0 
130,184 
Net cash used in investing activities from continuing operations
 
 
 
 
 
 
(939,818)
(1,171,456)
(1,578,685)
(1,621,654)
(1,504,273)
Adjustment [Member]
 
 
 
 
 
 
 
 
 
 
 
Income Statement [Abstract]
 
 
 
 
 
 
 
 
 
 
 
Cost of lease and rental
 
(800)
(700)
(500)
(400)
 
(900)
(1,600)
(2,400)
(3,400)
(2,400)
Interest expense
 
1,000 
800 
400 
400 
 
900 
1,600 
2,600 
3,300 
2,700 
Earnings from continuing operations before income taxes
 
(200)
(100)
100 
0 
 
100 
(100)
(200)
100 
(300)
Provision for income taxes
 
 
(100)
 
 
 
 
0 
(100)
0 
(100)
Earnings from continuing operations
 
(200)
(100)
 
0 
 
 
(100)
(300)
100 
(200)
Net earnings
 
(100)
(100)
 
100 
 
0 
0 
(300)
100 
(300)
Earnings (loss) per common share — Diluted, Net Earnings
 
 
 
 
 
 
 
 
$ 0.00 
$ 0.00 
$ (0.01)
Statement of Comprehensive Income [Abstract]
 
 
 
 
 
 
 
 
 
 
 
Comprehensive income (loss)
 
(127)
(72)
27 
28 
 
55 
(17)
(234)
79 
(231)
Statement of Financial Position [Abstract]
 
 
 
 
 
 
 
 
 
 
 
Revenue earning equipment, net
 
201,200 
 
 
 
 
 
 
207,438 
102,000 
 
Total assets
 
201,200 
 
 
 
 
 
 
207,400 
102,000 
 
Short-term debt and current portion of long-term debt
 
24,100 
 
 
 
 
 
 
24,100 
12,800 
 
Accrued expenses and other current liabilities
 
(7,100)
 
 
 
 
 
 
(6,800)
(1,900)
 
Total current liabilities
 
16,900 
 
 
 
 
 
 
17,200 
10,900 
 
Long-term debt
 
188,100 
 
 
 
 
 
 
194,000 
93,000 
 
Other non-current liabilities
 
(3,200)
 
 
 
 
 
 
(3,400)
(1,600)
 
Deferred income taxes
 
(200)
 
 
 
 
 
 
(200)
0 
 
Total liabilities
 
201,700 
 
 
 
 
 
 
207,800 
102,100 
 
Retained earnings
 
(500)
 
 
 
 
 
 
(400)
(200)
 
Total shareholders’ equity
 
(500)
 
 
 
 
 
 
(400)
(100)
 
Total liabilities and shareholders’ equity
 
201,200 
 
 
 
 
 
 
207,400 
102,000 
 
Statement of Cash Flows [Abstract]
 
 
 
 
 
 
 
 
 
 
 
Net earnings
 
(100)
(100)
 
100 
 
0 
0 
(300)
100 
(300)
Depreciation expense
 
6,200 
 
 
3,100 
 
6,100 
11,300 
17,554 
26,500 
22,400 
Deferred income tax expense
 
(100)
 
 
0 
 
 
 
(48)
0 
(100)
Accrued expenses and other non-current liabilities
 
(100)
 
 
(3,100)
 
200 
(4,900)
(4,400)
2,200 
4,100 
Net cash provided by operating activities from continuing operations
 
5,967 
 
 
0 
 
6,400 
0 
12,800 
28,700 
26,100 
Debt proceeds
 
 
 
 
 
 
0 
125,800 
125,800 
0 
130,200 
Debt repaid, including capital and financing lease obligations
 
(5,967)
 
 
0 
 
(6,400)
(6,400)
(12,800)
(46,600)
(26,100)
Net cash provided by financing activities from continuing operations
 
(5,967)
 
 
0 
 
(6,400)
119,400 
113,000 
(46,500)
104,100 
Purchases of property and revenue earning equipment
 
 
 
 
 
 
 
 
0 
17,900 
0 
Sale and leaseback of revenue earning equipment
 
 
 
 
 
 
0 
(125,800)
(125,800)
0 
(130,200)
Net cash used in investing activities from continuing operations
 
 
 
 
 
 
$ 0 
$ (125,800)
$ (125,800)
$ 17,900 
$ (130,200)
Recent Accounting Pronouncements (Details) (New Accounting Pronouncement, Early Adoption, Effect [Member], USD $)
In Millions, unless otherwise specified
Jun. 30, 2015
New Accounting Pronouncement, Early Adoption, Effect [Member]
 
New Accounting Pronouncements or Change in Accounting Principle [Line Items]
 
Unamortized debt issuance costs
$ 19.4 
Share-Based Compensation Plans - Share-Based Compensation Expense (Details) (USD $)
In Thousands, unless otherwise specified
3 Months Ended 6 Months Ended
Jun. 30, 2015
Jun. 30, 2014
Jun. 30, 2015
Jun. 30, 2014
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
 
 
 
 
Share-based compensation expense
$ 5,504 
$ 5,131 
$ 11,169 
$ 9,989 
Income tax benefit
(1,860)
(1,713)
(3,743)
(3,389)
Share-based compensation expense, net of tax
3,644 
3,418 
7,426 
6,600 
Cash awards
281 
743 
464 
1,266 
Stock Option and Stock Purchase Plans [Member]
 
 
 
 
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
 
 
 
 
Share-based compensation expense
1,956 
2,241 
4,257 
4,478 
Nonvested Stock [Member]
 
 
 
 
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
 
 
 
 
Share-based compensation expense
$ 3,548 
$ 2,890 
$ 6,912 
$ 5,511 
Share-Based Compensation Plans (Details Textual) (USD $)
In Millions, unless otherwise specified
6 Months Ended
Jun. 30, 2015
Disclosure of Compensation Related Costs, Share-based Payments [Abstract]
 
Total unrecognized pre-tax compensation expense
$ 30.1 
Weighted-average period to recognize pre-tax compensation expense (in years)
2 years 
Share-Based Compensation Plans - Summary of Awards Granted (Details)
In Thousands, unless otherwise specified
6 Months Ended
Jun. 30, 2015
Jun. 30, 2014
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
 
 
Total awards granted during period
503 
615 
Stock options [Member]
 
 
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
 
 
Options, granted in period
362 
405 
Market-based restricted stock rights [Member]
 
 
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
 
 
Restricted stock rights, granted during period
19 
22 
Performance-based restricted stock [Member]
 
 
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
 
 
Restricted stock rights, granted during period
42 
30 
Time-vested restricted stock rights [Member]
 
 
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
 
 
Restricted stock rights, granted during period
80 
158 
Earnings Per Share (Details) (USD $)
In Thousands, except Per Share data, unless otherwise specified
3 Months Ended 6 Months Ended 9 Months Ended 12 Months Ended
Jun. 30, 2015
Mar. 31, 2015
Sep. 30, 2014
Jun. 30, 2014
Mar. 31, 2014
Jun. 30, 2015
Jun. 30, 2014
Sep. 30, 2014
Dec. 31, 2014
Dec. 31, 2013
Dec. 31, 2012
Earnings per share — Basic:
 
 
 
 
 
 
 
 
 
 
 
Earnings from continuing operations
$ 85,917 
$ 53,326 
$ 83,895 
$ 75,721 
$ 49,126 
$ 139,243 
$ 124,847 
$ 208,742 
$ 220,225 
$ 243,275 
$ 200,668 
Less: Distributed and undistributed earnings allocated to nonvested stock
(246)
 
 
(302)
 
(393)
(582)
 
 
 
 
Earnings from continuing operations available to common shareholders — Basic
85,671 
 
 
75,419 
 
138,850 
124,265 
 
 
 
 
Weighted average common shares outstanding - Basic (shares)
52,827 
 
 
52,564 
 
52,712 
52,612 
 
 
 
 
Earnings from continuing operations per common share — Basic
$ 1.62 1
 
 
$ 1.43 1
 
$ 2.63 1
$ 2.36 1
 
 
 
 
Earnings per share — Diluted:
 
 
 
 
 
 
 
 
 
 
 
Earnings from continuing operations
85,917 
53,326 
83,895 
75,721 
49,126 
139,243 
124,847 
208,742 
220,225 
243,275 
200,668 
Less: Distributed and undistributed earnings allocated to nonvested stock
(244)
 
 
(299)
 
(390)
(578)
 
 
 
 
Earnings from continuing operations available to common shareholders — Diluted
$ 85,673 
 
 
$ 75,422 
 
$ 138,853 
$ 124,269 
 
 
 
 
Weighted average common shares outstanding - Basic (shares)
52,827 
 
 
52,564 
 
52,712 
52,612 
 
 
 
 
Effect of dilutive equity awards (shares)
468 
 
 
482 
 
492 
472 
 
 
 
 
Weighted average common shares outstanding — Diluted (shares)
53,295 
 
 
53,046 
 
53,204 
53,084 
 
 
 
 
Earnings from continuing operations per common share — Diluted
$ 1.61 1
 
 
$ 1.42 1
 
$ 2.61 1
$ 2.34 1
 
 
 
 
Anti-dilutive equity awards not included above (shares)
363 
 
 
412 
 
273 
314 
 
 
 
 
Revenue Earning Equipment - Schedule of Revenue Earning Equipment (Details) (USD $)
In Thousands, unless otherwise specified
Jun. 30, 2015
Mar. 31, 2015
Dec. 31, 2014
Dec. 31, 2013
Revenue Earning Equipment [Line Items]
 
 
 
 
Cost
$ 11,665,734 
 
$ 10,890,902 
 
Accumulated Depreciation
(3,811,697)
 
(3,689,016)
 
Net Book Value
7,854,037 
7,409,529 
7,201,886 
6,592,826 
Held for use: Full service lease [Member]
 
 
 
 
Revenue Earning Equipment [Line Items]
 
 
 
 
Cost
8,398,012 
 
8,008,122 
 
Accumulated Depreciation
(2,677,023)
 
(2,598,140)
 
Net Book Value
5,720,989 
 
5,409,982 
 
Held for use: Commercial rental [Member]
 
 
 
 
Revenue Earning Equipment [Line Items]
 
 
 
 
Cost
2,925,063 
 
2,570,081 
 
Accumulated Depreciation
(898,319)
 
(864,543)
 
Net Book Value
2,026,744 
 
1,705,538 
 
Held-for-sale [Member]
 
 
 
 
Revenue Earning Equipment [Line Items]
 
 
 
 
Cost
342,659 
 
312,699 
 
Accumulated Depreciation
(236,355)
 
(226,333)
 
Net Book Value
106,304 
 
86,366 
 
Assets Held under Capital Leases [Member]
 
 
 
 
Revenue Earning Equipment [Line Items]
 
 
 
 
Cost
48,000 
 
47,800 
 
Accumulated Depreciation
$ (20,300)
 
$ (22,500)
 
Revenue Earning Equipment (Details Textual) (USD $)
3 Months Ended 6 Months Ended 6 Months Ended 6 Months Ended 12 Months Ended
Jun. 30, 2015
Jun. 30, 2015
Mar. 31, 2015
Dec. 31, 2014
Dec. 31, 2013
Jun. 30, 2015
Trucks [Member]
Minimum [Member]
Jun. 30, 2015
Trucks [Member]
Maximum [Member]
Jun. 30, 2015
Trailers [Member]
Maximum [Member]
Mar. 31, 2015
Adjustment [Member]
Dec. 31, 2014
Adjustment [Member]
Dec. 31, 2013
Adjustment [Member]
Jun. 30, 2015
Asset-backed U.S. obligations [Member]
Dec. 31, 2014
Asset-backed U.S. obligations [Member]
Revenue Earning Equipment [Line Items]
 
 
 
 
 
 
 
 
 
 
 
 
 
Revenue earning equipment, net
$ 7,854,037,000 
$ 7,854,037,000 
$ 7,409,529,000 
$ 7,201,886,000 
$ 6,592,826,000 
 
 
 
$ 201,200,000 
$ 207,438,000 
$ 102,000,000 
$ 346,100,000 
 
Revenue earning equipment, cost
11,665,734,000 
11,665,734,000 
 
10,890,902,000 
 
 
 
 
 
 
 
403,300,000 
247,800,000 
Accumulated depreciation on asset-backed obligations
 
 
 
 
 
 
 
 
 
 
 
(57,100,000)
(40,300,000)
Effect of change in estimated residual values of revenue earning equipment on pre tax earnings
10,000,000 
20,000,000 
 
 
 
 
 
 
 
 
 
 
 
Lease term
 
 
 
 
 
3 years 
7 years 
10 years 
 
 
 
 
 
Net investment in direct financing and sales-type leases
432,800,000 
432,800,000 
 
417,000,000 
 
 
 
 
 
 
 
 
 
Allowance for credit losses
$ 300,000 
$ 300,000 
 
$ 300,000 
 
 
 
 
 
 
 
 
 
Goodwill (Details) (USD $)
In Thousands, unless otherwise specified
6 Months Ended 6 Months Ended 6 Months Ended 6 Months Ended 3 Months Ended
Jun. 30, 2015
Dec. 31, 2014
Jun. 30, 2015
Fleet Management Solutions [Member]
Dec. 31, 2014
Fleet Management Solutions [Member]
Jun. 30, 2015
Dedicated Transportation Solutions [Member]
Dec. 31, 2014
Dedicated Transportation Solutions [Member]
Jun. 30, 2015
Supply Chain Solutions [Member]
Dec. 31, 2014
Supply Chain Solutions [Member]
Jun. 30, 2015
Quantitative [Member]
reporting_unit
Jun. 30, 2015
Qualitative Test [Member]
reporting_unit
Carrying amount of goodwill attributable to each reportable business segment
 
 
 
 
 
 
 
 
 
 
Goodwill, gross
$ 421,481 
$ 422,250 
$ 232,970 
$ 233,217 
$ 40,808 
$ 40,808 
$ 147,703 
$ 148,225 
 
 
Accumulated impairment losses
(29,221)
(29,221)
(10,322)
(10,322)
0 
0 
(18,899)
(18,899)
 
 
Goodwill
392,260 
393,029 
222,648 
222,895 
40,808 
40,808 
128,804 
129,326 
 
 
Foreign currency translation adjustments
$ (769)
 
$ (247)
 
$ 0 
 
$ (522)
 
 
 
Number of reporting units
 
 
 
 
 
 
 
 
4 
1 
Accrued Expenses and Other Liabilities (Details) (USD $)
In Thousands, unless otherwise specified
Jun. 30, 2015
Mar. 31, 2015
Dec. 31, 2014
Dec. 31, 2013
Accrued Expenses
 
 
 
 
Salaries and wages
$ 94,846 
 
$ 114,446 
 
Deferred compensation
2,243 
 
3,209 
 
Pension benefits
3,687 
 
3,739 
 
Other postretirement benefits
2,097 
 
2,112 
 
Other employee benefits
7,681 
 
7,172 
 
Insurance obligations
136,394 
 
132,246 
 
Environmental liabilities
3,728 
 
3,877 
 
Operating taxes
106,286 
 
92,330 
 
Income taxes
2,785 
 
5,066 
 
Interest
35,875 
 
33,509 
 
Deposits, mainly from customers
64,059 
 
59,388 
 
Deferred revenue
14,388 
 
11,759 
 
Acquisition holdbacks
6,061 
 
3,817 
 
Other
43,592 
 
41,009 
 
Total
523,722 
482,521 
513,679 
494,395 
Non-Current Liabilities
 
 
 
 
Salaries and wages
0 
 
0 
 
Deferred compensation
41,518 
 
37,093 
 
Pension benefits
457,170 
 
444,657 
 
Other postretirement benefits
25,904 
 
26,889 
 
Other employee benefits
16,910 
 
19,276 
 
Insurance obligations
198,860 
 
189,431 
 
Environmental liabilities
7,152 
 
8,002 
 
Operating taxes
0 
 
0 
 
Income taxes
24,704 
 
22,843 
 
Interest
0 
 
0 
 
Deposits, mainly from customers
5,648 
 
5,929 
 
Deferred revenue
0 
 
0 
 
Acquisition holdbacks
0 
 
2,187 
 
Other
21,549 
 
27,035 
 
Total
799,415 
784,948 
783,342 
614,713 
Total
 
 
 
 
Salaries and wages
94,846 
 
114,446 
 
Deferred compensation
43,761 
 
40,302 
 
Pension benefits
460,857 
 
448,396 
 
Other postretirement benefits
28,001 
 
29,001 
 
Other employee benefits
24,591 
 
26,448 
 
Insurance obligations
335,254 
 
321,677 
 
Environmental liabilities
10,880 
 
11,879 
 
Operating taxes
106,286 
 
92,330 
 
Income taxes
27,489 
 
27,909 
 
Interest
35,875 
 
33,509 
 
Deposits, mainly from customers
69,707 
 
65,317 
 
Deferred revenue
14,388 
 
11,759 
 
Acquisition holdbacks
6,061 
 
6,004 
 
Other
65,141 
 
68,044 
 
Total
$ 1,323,137 
 
$ 1,297,021 
 
Debt - Schedule of Debt (Details) (USD $)
Jun. 30, 2015
Mar. 31, 2015
Dec. 31, 2014
Dec. 31, 2013
Short-term debt and current portion of long-term debt:
 
 
 
 
Short-term debt, weighted-average interest rate
2.75% 
 
1.30% 
 
Short-term debt
$ 316,000 
 
$ 3,773,000 
 
Current portion of long-term debt
347,501,000 
 
32,511,000 
 
Total short-term debt and current portion of long-term debt
347,817,000 
35,452,000 
36,284,000 
272,203,000 
Long-term debt:
 
 
 
 
Total before fair market value adjustment
5,210,041,000 
 
4,722,016,000 
 
Fair market value adjustment on notes subject to hedging
6,668,000 
 
4,830,000 
 
Total after fair market value adjustment
5,216,709,000 
 
4,726,846,000 
 
Current portion of long-term debt
(347,501,000)
 
(32,511,000)
 
Long-term debt
4,869,208,000 
4,880,638,000 
4,694,335,000 
4,022,975,000 
Total debt
5,217,025,000 
 
4,730,619,000 
 
Unamortized original issue discounts
8,100,000 
 
7,900,000 
 
Aggregate notional amount of interest rate swaps
600,000,000 
 
600,000,000 
 
U.S commercial paper [Member]
 
 
 
 
Long-term debt:
 
 
 
 
Long-term debt, weighted-average interest rate
0.43% 
 
0.35% 
 
U.S. commercial paper
311,432,000 
 
276,694,000 
 
Global revolving credit facility [Member]
 
 
 
 
Long-term debt:
 
 
 
 
Long-term debt, weighted-average interest rate
2.78% 
 
1.60% 
 
Global revolving credit facility
40,908,000 
 
11,190,000 
 
Unsecured U.S. notes - Medium-term notes [Member]
 
 
 
 
Long-term debt:
 
 
 
 
Long-term debt, weighted-average interest rate
3.21% 
 
3.29% 
 
Unsecured U.S. notes - Medium-term notes
4,111,991,000 
 
3,772,159,000 
 
Unsecured U.S. obligations [Member]
 
 
 
 
Long-term debt:
 
 
 
 
Long-term debt, weighted-average interest rate
1.50% 
 
0.76% 
 
Unsecured U.S. obligations
50,000,000 
 
110,500,000 
 
Unsecured foreign obligations [Member]
 
 
 
 
Long-term debt:
 
 
 
 
Long-term debt, weighted-average interest rate
1.92% 
 
2.01% 
 
Unsecured foreign obligations
295,217,000 
 
295,776,000 
 
Asset-backed U.S. obligations [Member]
 
 
 
 
Long-term debt:
 
 
 
 
Long-term debt, weighted-average interest rate
1.79% 
 
1.81% 
 
Unsecured foreign obligations
362,075,000 
 
218,137,000 
 
Capital lease obligations [Member]
 
 
 
 
Long-term debt:
 
 
 
 
Long-term debt, weighted-average interest rate
1.79% 
 
1.73% 
 
Capital lease obligations
$ 38,418,000 
 
$ 37,560,000 
 
Debt (Details Textual) (USD $)
6 Months Ended 6 Months Ended 6 Months Ended
Jun. 30, 2015
Institutions
Dec. 31, 2014
Jun. 30, 2015
U.S commercial paper [Member]
Dec. 31, 2014
U.S commercial paper [Member]
Jun. 30, 2015
Unsecured Medium Term Notes Due May 2020 [Member]
May 31, 2015
Unsecured Medium Term Notes Due May 2020 [Member]
Jun. 30, 2015
Letter of Credit [Member]
Jun. 30, 2015
Minimum [Member]
Jun. 30, 2015
Maximum [Member]
Jun. 30, 2015
Asset-backed U.S. obligations [Member]
Dec. 31, 2014
Asset-backed U.S. obligations [Member]
Debt Instrument [Line Items]
 
 
 
 
 
 
 
 
 
 
 
Debt
 
 
 
 
 
 
 
 
 
$ 362,076,000 
$ 218,137,000 
Number of lending institutions
12 
 
 
 
 
 
 
 
 
 
 
Maximum borrowing capacity
1,200,000,000.0 
 
 
 
 
 
75,000,000 
 
 
 
 
Annual facility fees, percentage
0.10% 
 
 
 
 
 
 
0.075% 
0.25% 
 
 
Letter of credit outstanding amount
 
 
 
 
 
 
0 
 
 
 
 
Ratio of debt to consolidated net worth
3 
 
 
 
 
 
 
 
 
 
 
Debt to consolidated tangible net worth ratio
209.00% 
 
 
 
 
 
 
 
 
 
 
Line of credit remaining capacity
847,600,000 
 
 
 
 
 
 
 
 
 
 
Commercial paper classified as long term debt
 
 
311,432,000 
276,694,000 
 
 
 
 
 
 
 
Current maturities classified as long-term debt
338,400,000 
698,500,000 
 
 
 
 
 
 
 
 
 
Trade receivables borrowings
 
60,000,000 
 
 
 
 
 
 
 
 
 
Face amount of unsecured medium-term notes issued
 
 
 
 
 
300,000,000 
 
 
 
 
 
Debt repurchase price, percentage
 
 
 
 
101.00% 
 
 
 
 
 
 
Cash proceeds on financing transaction backed by a portion of revenue earning equipment
156,400,000 
 
 
 
 
 
 
 
 
 
 
Total available proceeds under trade receivables purchase and sale program
175,000,000 
 
 
 
 
 
 
 
 
 
 
Number of days under trade receivables purchase and sale program
364 days 
 
 
 
 
 
 
 
 
 
 
Letters of credit and surety bonds outstanding
$ 333,900,000 
$ 334,300,000 
 
 
 
 
 
 
 
 
 
Fair Value Measurements (Details) (Fair Value, Measurements, Nonrecurring [Member], USD $)
In Thousands, unless otherwise specified
3 Months Ended 6 Months Ended
Jun. 30, 2015
Jun. 30, 2014
Jun. 30, 2015
Jun. 30, 2014
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
 
 
 
 
Total Losses
$ 3,252 
$ 2,515 
$ 5,623 
$ 6,190 
Revenue earning equipment, Trucks [Member]
 
 
 
 
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
 
 
 
 
Total Losses
1,515 
1,572 
2,743 
3,454 
Revenue earning equipment, Tractors [Member]
 
 
 
 
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
 
 
 
 
Total Losses
1,081 
662 
1,908 
2,294 
Revenue earning equipment, Trailers [Member]
 
 
 
 
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
 
 
 
 
Total Losses
656 
281 
972 
442 
Fair Value, Inputs, Level 3 [Member]
 
 
 
 
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
 
 
 
 
Assets held for sale at fair value
15,819 
17,267 
15,819 
17,267 
Fair Value, Inputs, Level 3 [Member] |
Revenue earning equipment, Trucks [Member]
 
 
 
 
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
 
 
 
 
Assets held for sale at fair value
6,805 
10,713 
6,805 
10,713 
Fair Value, Inputs, Level 3 [Member] |
Revenue earning equipment, Tractors [Member]
 
 
 
 
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
 
 
 
 
Assets held for sale at fair value
7,389 
6,057 
7,389 
6,057 
Fair Value, Inputs, Level 3 [Member] |
Revenue earning equipment, Trailers [Member]
 
 
 
 
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
 
 
 
 
Assets held for sale at fair value
$ 1,625 
$ 497 
$ 1,625 
$ 497 
Fair Value Measurements (Details Textual) (Fair Value, Inputs, Level 2 [Member], USD $)
In Billions, unless otherwise specified
Jun. 30, 2015
Dec. 31, 2014
Fair Value, Inputs, Level 2 [Member]
 
 
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
 
 
Fair value of total debt
$ 4.91 
$ 4.59 
Derivatives (Details) (USD $)
6 Months Ended 6 Months Ended 6 Months Ended 6 Months Ended 6 Months Ended
Jun. 30, 2015
Dec. 31, 2014
Jun. 30, 2015
Designated as Hedging Instrument [Member]
Fair Value Hedging [Member]
Interest rate swaps maturing June 2017 [Member]
Jun. 30, 2014
Designated as Hedging Instrument [Member]
Fair Value Hedging [Member]
Interest rate swaps maturing June 2017 [Member]
Jun. 30, 2015
Designated as Hedging Instrument [Member]
Fair Value Hedging [Member]
Interest rate swaps maturing November 2018 [Member]
Jun. 30, 2014
Designated as Hedging Instrument [Member]
Fair Value Hedging [Member]
Interest rate swaps maturing November 2018 [Member]
Jun. 30, 2015
Designated as Hedging Instrument [Member]
Fair Value Hedging [Member]
Interest rate swaps maturing June 2019 [Member]
Jun. 30, 2014
Designated as Hedging Instrument [Member]
Fair Value Hedging [Member]
Interest rate swaps maturing June 2019 [Member]
Jun. 30, 2015
Designated as Hedging Instrument [Member]
Fair Value Hedging [Member]
Interest rate swaps maturing September 2019 [Member]
Jun. 30, 2014
Designated as Hedging Instrument [Member]
Fair Value Hedging [Member]
Interest rate swaps maturing September 2019 [Member]
Jun. 30, 2015
Designated as Hedging Instrument [Member]
Fair Value Hedging [Member]
Interest rate swaps maturing March 2020 [Member]
Jun. 30, 2014
Designated as Hedging Instrument [Member]
Fair Value Hedging [Member]
Interest rate swaps maturing March 2020 [Member]
Debt Instrument [Line Items]
 
 
 
 
 
 
 
 
 
 
 
 
Issuance date
 
 
May 24, 2011 
 
Nov. 12, 2013 
 
Feb. 25, 2014 
 
May 06, 2014 
 
Feb. 24, 2015 
 
Maturity date
 
 
Jun. 01, 2017 
 
Nov. 15, 2018 
 
Jun. 01, 2019 
 
Sep. 03, 2019 
 
Mar. 02, 2020 
 
Face value of medium-term notes
 
 
$ 350,000,000 
 
$ 300,000,000 
 
$ 350,000,000 
 
$ 400,000,000 
 
$ 400,000,000 
 
Aggregate notional amount of interest rate swaps
$ 600,000,000 
$ 600,000,000 
$ 150,000,000 
 
$ 100,000,000 
 
$ 100,000,000 
 
$ 100,000,000 
 
$ 150,000,000 
 
Fixed interest rate
 
 
3.50% 
 
2.45% 
 
2.55% 
 
2.45% 
 
2.65% 
 
Weighted-average variable interest rate on hedged debt
 
 
1.49% 
1.42% 
1.23% 
1.18% 
1.15% 
1.10% 
0.90% 
0.85% 
1.14% 
0.00% 
Share Repurchase Programs (Details) (USD $)
In Thousands, except Share data, unless otherwise specified
6 Months Ended
Jun. 30, 2015
Jun. 30, 2014
Accelerated Share Repurchases [Line Items]
 
 
Common stock repurchases
$ 6,141 
 
December 2013 Anti-Dilutive Share Repurchase Program [Member]
 
 
Accelerated Share Repurchases [Line Items]
 
 
Common stock repurchases
6,100 
79,500 
Common Stock [Member]
 
 
Accelerated Share Repurchases [Line Items]
 
 
Repurchased and retired shares
69,107 
 
Common stock repurchases
$ 35 
 
Common Stock [Member] |
December 2013 Anti-Dilutive Share Repurchase Program [Member]
 
 
Accelerated Share Repurchases [Line Items]
 
 
Maximum number of share repurchases authorization (no more than 2 million)
2,000,000 
 
Repurchased and retired shares
69,107 
1,027,072 
Accumulated Other Comprehensive Loss (Details) (USD $)
In Thousands, unless otherwise specified
6 Months Ended
Jun. 30, 2015
Jun. 30, 2014
Accumulated Other Comprehensive (Loss) [Roll Forward]
 
 
Accumulated other comprehensive loss, beginning of period
$ (620,270)
$ (438,248)
Amortization
9,078 
6,120 
Other current period change: Currency translation adjustments and other
(35,666)
9,633 
Accumulated other comprehensive loss, end of period
(646,858)
(422,495)
Currency Translation Adjustments and Other [Member]
 
 
Accumulated Other Comprehensive (Loss) [Roll Forward]
 
 
Accumulated other comprehensive loss, beginning of period
(36,087)
35,875 
Amortization
0 
0 
Other current period change: Currency translation adjustments and other
30,345 
(11,681)
Accumulated other comprehensive loss, end of period
(66,432)
47,556 
Net Actuarial Loss [Member]
 
 
Accumulated Other Comprehensive (Loss) [Roll Forward]
 
 
Accumulated other comprehensive loss, beginning of period
(585,941)
(477,883)
Amortization
9,790 
7,455 
Other current period change: Net actuarial loss and prior service credit
(5,321)
(2,048)
Accumulated other comprehensive loss, end of period
(581,472)
(472,476)
Prior Service Credit [Member]
 
 
Accumulated Other Comprehensive (Loss) [Roll Forward]
 
 
Accumulated other comprehensive loss, beginning of period
1,758 
3,760 
Amortization
(712)
(1,335)
Other current period change: Net actuarial loss and prior service credit
0 
0 
Accumulated other comprehensive loss, end of period
$ 1,046 
$ 2,425 
Employee Benefit Plans (Details) (USD $)
3 Months Ended 6 Months Ended
Jun. 30, 2015
Jun. 30, 2014
Jun. 30, 2015
Jun. 30, 2014
Amortization of:
 
 
 
 
Contribution to pension plans
 
 
$ 7,900,000 
 
Estimated total contributions
 
 
36,000,000 
 
Pension Benefits [Member]
 
 
 
 
Amortization of:
 
 
 
 
Net periodic benefit cost (credit)
10,296,000 
6,289,000 
20,814,000 
14,423,000 
Company Administered Plan [Member] |
Pension Benefits [Member]
 
 
 
 
Components of net periodic benefit cost
 
 
 
 
Service cost
3,566,000 
3,171,000 
7,193,000 
6,594,000 
Interest cost
22,048,000 
25,135,000 
43,935,000 
50,696,000 
Expected return on plan assets
(25,021,000)
(29,284,000)
(49,921,000)
(58,002,000)
Amortization of:
 
 
 
 
Net actuarial loss (gain)
7,664,000 
5,579,000 
15,472,000 
11,814,000 
Prior service credit
(74,000)
(435,000)
(150,000)
(893,000)
Net periodic benefit cost (credit)
8,183,000 
4,166,000 
16,529,000 
10,209,000 
Company Administered Plan [Member] |
Pension Benefits U.S. [Member]
 
 
 
 
Amortization of:
 
 
 
 
Net periodic benefit cost (credit)
8,599,000 
4,499,000 
17,491,000 
10,786,000 
Company Administered Plan [Member] |
Pension Benefits Non-U.S. [Member]
 
 
 
 
Amortization of:
 
 
 
 
Net periodic benefit cost (credit)
(416,000)
(333,000)
(962,000)
(577,000)
Company Administered Plan [Member] |
Postretirement Benefits [Member]
 
 
 
 
Components of net periodic benefit cost
 
 
 
 
Service cost
79,000 
89,000 
190,000 
224,000 
Interest cost
275,000 
348,000 
559,000 
713,000 
Amortization of:
 
 
 
 
Net actuarial loss (gain)
(278,000)
(234,000)
(474,000)
(363,000)
Prior service credit
(478,000)
(615,000)
(956,000)
(1,230,000)
Net periodic benefit cost (credit)
(402,000)
(412,000)
(681,000)
(656,000)
Company Administered Plan [Member] |
Postretirement Benefits U.S [Member]
 
 
 
 
Amortization of:
 
 
 
 
Net periodic benefit cost (credit)
(531,000)
(524,000)
(946,000)
(921,000)
Company Administered Plan [Member] |
Postretirement Benefits Non-U.S [Member]
 
 
 
 
Amortization of:
 
 
 
 
Net periodic benefit cost (credit)
129,000 
112,000 
265,000 
265,000 
Union Administered Plan [Member] |
Pension Benefits [Member]
 
 
 
 
Amortization of:
 
 
 
 
Net periodic benefit cost (credit)
$ 2,113,000 
$ 2,123,000 
$ 4,285,000 
$ 4,214,000 
Other Items Impacting Comparability (Details) (USD $)
In Millions, unless otherwise specified
3 Months Ended 6 Months Ended
Jun. 30, 2015
Jun. 30, 2015
Other Income and Expenses [Abstract]
 
 
Professional fees associated with cost savings initiatives
$ 1.9 
$ 3.8 
Supplemental Cash Flow Information (Details) (USD $)
In Thousands, unless otherwise specified
6 Months Ended
Jun. 30, 2015
Jun. 30, 2014
Supplemental cash flow information
 
 
Interest paid
$ 69,681 
$ 69,834 
Income taxes paid
9,970 
7,332 
Changes in accounts payable related to purchases of revenue earning equipment
124,766 
1,520 
Operating and revenue earning equipment acquired under capital leases
5,847 
2,371 
Acquisition payments
$ 0 
$ 1,649 
Miscellaneous Income, Net (Details) (USD $)
In Thousands, unless otherwise specified
3 Months Ended 6 Months Ended
Jun. 30, 2015
Jun. 30, 2014
Jun. 30, 2015
Jun. 30, 2014
Other Income and Expenses [Abstract]
 
 
 
 
Rabbi trust investment income
$ 119 
$ 1,077 
$ 1,186 
$ 1,577 
Insurance proceeds
0 
756 
314 
756 
Foreign currency translation
137 
23 
266 
(383)
Gain on sales of operating property and equipment
27 
1,286 
81 
2,590 
Contract settlement
41 
0 
56 
2,908 
Other, net
704 
1,686 
1,762 
2,762 
Total
$ 1,028 
$ 4,828 
$ 3,665 
$ 10,210 
Segment Reporting (Details) (USD $)
In Thousands, unless otherwise specified
3 Months Ended 6 Months Ended 9 Months Ended 12 Months Ended
Jun. 30, 2015
Mar. 31, 2015
Sep. 30, 2014
Jun. 30, 2014
Mar. 31, 2014
Jun. 30, 2015
Jun. 30, 2014
Sep. 30, 2014
Dec. 31, 2014
Dec. 31, 2013
Dec. 31, 2012
Segment Reporting Information [Line Items]
 
 
 
 
 
 
 
 
 
 
 
Total revenue
$ 1,662,931 
 
 
$ 1,684,571 
 
$ 3,230,084 
$ 3,295,308 
 
 
 
 
Segment EBT
150,998 
 
 
133,758 
 
253,841 
222,947 
 
 
 
 
Unallocated CSS
(10,924)
 
 
(12,125)
 
(22,866)
(22,954)
 
 
 
 
Non-operating pension costs
(4,688)
 
 
(1,544)
 
(9,571)
(4,858)
 
 
 
 
Restructuring and other recoveries, net and other items
(1,939)
 
 
 
 
(3,780)
 
 
 
 
 
Earnings from continuing operations before income taxes
133,447 
84,177 
129,608 
120,089 
75,046 
217,624 
195,135 
324,743 
338,267 
369,014 
302,768 
Segment capital expenditures paid
765,758 
 
 
627,387 
 
1,311,197 
1,199,498 
 
 
 
 
Unallocated CSS
10,218 
 
 
49,113 
 
18,021 
55,724 
 
 
 
 
Capital expenditures paid
775,976 
 
 
676,500 
 
1,329,218 
1,255,222 
 
 
 
 
Acquisition payments
 
 
 
 
 
0 
1,649 
 
 
 
 
Fleet Management Solutions [Member]
 
 
 
 
 
 
 
 
 
 
 
Segment Reporting Information [Line Items]
 
 
 
 
 
 
 
 
 
 
 
Total revenue
1,149,349 
 
 
1,181,222 
 
2,236,499 
2,316,309 
 
 
 
 
Dedicated Transportation Solutions [Member]
 
 
 
 
 
 
 
 
 
 
 
Segment Reporting Information [Line Items]
 
 
 
 
 
 
 
 
 
 
 
Total revenue
223,514 
 
 
234,014 
 
436,173 
449,976 
 
 
 
 
Supply Chain Solutions [Member]
 
 
 
 
 
 
 
 
 
 
 
Segment Reporting Information [Line Items]
 
 
 
 
 
 
 
 
 
 
 
Total revenue
396,941 
 
 
393,565 
 
767,995 
774,944 
 
 
 
 
Intersegment Eliminations [Member]
 
 
 
 
 
 
 
 
 
 
 
Segment Reporting Information [Line Items]
 
 
 
 
 
 
 
 
 
 
 
Total revenue
(106,873)
 
 
(124,230)
 
(210,583)
(245,921)
 
 
 
 
Segment EBT
(11,588)
 
 
(10,523)
 
(23,122)
(20,151)
 
 
 
 
Segment capital expenditures paid
0 
 
 
0 
 
0 
0 
 
 
 
 
Intersegment Eliminations [Member] |
Fleet Management Solutions [Member]
 
 
 
 
 
 
 
 
 
 
 
Segment Reporting Information [Line Items]
 
 
 
 
 
 
 
 
 
 
 
Total revenue
106,873 
 
 
124,230 
 
210,583 
245,921 
 
 
 
 
Intersegment Eliminations [Member] |
Dedicated Transportation Solutions [Member]
 
 
 
 
 
 
 
 
 
 
 
Segment Reporting Information [Line Items]
 
 
 
 
 
 
 
 
 
 
 
Total revenue
0 
 
 
0 
 
0 
0 
 
 
 
 
Intersegment Eliminations [Member] |
Supply Chain Solutions [Member]
 
 
 
 
 
 
 
 
 
 
 
Segment Reporting Information [Line Items]
 
 
 
 
 
 
 
 
 
 
 
Total revenue
0 
 
 
0 
 
0 
0 
 
 
 
 
Operating Segments [Member] |
Fleet Management Solutions [Member]
 
 
 
 
 
 
 
 
 
 
 
Segment Reporting Information [Line Items]
 
 
 
 
 
 
 
 
 
 
 
Total revenue
1,042,476 
 
 
1,056,992 
 
2,025,916 
2,070,388 
 
 
 
 
Segment EBT
122,452 
 
 
 
 
212,170 
 
 
 
 
 
Segment capital expenditures paid
761,542 
 
 
623,138 
 
1,300,285 
1,191,377 
 
 
 
 
Operating Segments [Member] |
Dedicated Transportation Solutions [Member]
 
 
 
 
 
 
 
 
 
 
 
Segment Reporting Information [Line Items]
 
 
 
 
 
 
 
 
 
 
 
Total revenue
223,514 
 
 
234,014 
 
436,173 
449,976 
 
 
 
 
Segment EBT
12,435 
 
 
12,998 
 
21,405 
21,684 
 
 
 
 
Segment capital expenditures paid
646 
 
 
408 
 
1,355 
658 
 
 
 
 
Operating Segments [Member] |
Supply Chain Solutions [Member]
 
 
 
 
 
 
 
 
 
 
 
Segment Reporting Information [Line Items]
 
 
 
 
 
 
 
 
 
 
 
Total revenue
396,941 
 
 
393,565 
 
767,995 
774,944 
 
 
 
 
Segment EBT
27,699 
 
 
17,730 
 
43,388 
30,828 
 
 
 
 
Segment capital expenditures paid
$ 3,570 
 
 
$ 3,841 
 
$ 9,557 
$ 7,463 
 
 
 
 
Other Matters (Details) (Tax Year 1997 and 1998 [Member], Brazil state operating tax [Member], USD $)
In Millions, unless otherwise specified
Jun. 30, 2015
Tax Year 1997 and 1998 [Member] |
Brazil state operating tax [Member]
 
Loss Contingencies [Line Items]
 
Tax amounts assessed but not reserved
$ 5