NYSE : GBX De c e mb e r 2015 I nve sto r Co nta c t: I nve sto - - PowerPoint PPT Presentation

NYSE : GBX

De c e mb e r 2015

I nve sto r Co nta c t: I nve sto r.Re la tio ns@ g b rx.c o m We b site : www.g b rx.c o m

Sa fe Ha rb o r Sta te me nt

UNDE R T HE PRI VAT E SE CURI T I E S L I T I GAT I ON RE F ORM ACT OF 1995: T his pre se nta tio n ma y c o nta in fo rwa rd-lo o king sta te me nts, inc luding sta te me nts re g a rding e xpe c te d ne w ra ilc a r pro duc tio n vo lume s a nd sc he dule s, e xpe c te d c usto me r de ma nd fo r the Co mpa ny’ s pro duc ts a nd se rvic e s, a va ila b le ma nufa c turing c a pa c ity, re struc turing pla ns, ne w ra ilc a r de live ry vo lume s a nd sc he dule s, de ma nd fo r the Co mpa ny’ s ra ilc a r se rvic e s a nd pa rts b usine ss, a nd the Co mpa ny’ s future fina nc ia l pe rfo rma nc e . Gre e nb rie r use s wo rds suc h a s “a ntic ipa te s,” “b e lie ve s,” “fo re c a st,” “po te ntia l,” “g o a l,” “c o nte mpla te s,” “e xpe c ts,” “inte nds,” “pla ns,” “pro je c ts,” “ho pe s,” “se e ks,” “e stima te s,” “stra te g y,” “c o uld,” “wo uld,” “sho uld,” “like ly,” “will,” “ma y,” “c a n,” “de sig ne d to ,” “future ,” “fo re se e a b le future ” a nd simila r e xpre ssio ns to ide ntify fo rwa rd-lo o king sta te me nts. T he se fo rwa rd-lo o king sta te me nts a re no t g ua ra nte e s o f future pe rfo rma nc e a nd a re sub je c t to c e rta in risks a nd unc e rta intie s tha t c o uld c a use a c tua l re sults to diffe r ma te ria lly fro m in the re sults c o nte mpla te d b y the fo rwa rd-lo o king sta te me nts. F a c to rs tha t mig ht c a use suc h a diffe re nc e inc lude , b ut a re no t limite d to , re po rte d b a c klo g a nd a wa rds a re no t indic a tive o f o ur fina nc ia l re sults; unc e rta inty o r c ha ng e s in the c re dit ma rke ts a nd fina nc ia l se rvic e s industry; hig h le ve ls o f inde b te dne ss a nd c o mplia nc e with the te rms o f o ur inde b te dne ss; write -do wns o f g o o dwill, inta ng ib le s a nd o the r a sse ts in future pe rio ds; suffic ie nt a va ila b ility o f b o rro wing c a pa c ity; fluc tua tio ns in de ma nd fo r ne wly ma nufa c ture d ra ilc a rs o r fa ilure to o b ta in o rde rs a s a ntic ipa te d in de ve lo ping fo re c a sts; lo ss o f o ne o r mo re sig nific a nt c usto me rs; c usto me r pa yme nt de fa ults o r re la te d issue s; so ve re ig n risk to c o ntra c ts, e xc ha ng e ra te s o r pro pe rty rig hts; a c tua l future c o sts a nd the a va ila b ility o f ma te ria ls a nd a tra ine d wo rkfo rc e ; fa ilure to de sig n o r ma nufa c ture ne w pro duc ts o r te c hno lo g ie s o r to a c hie ve c e rtific a tio n o r ma rke t a c c e pta nc e o f ne w pro duc ts o r te c hno lo g ie s; ste e l o r spe c ia lty c o mpo ne nt pric e fluc tua tio ns a nd a va ila b ility a nd sc ra p surc ha rg e s; c ha ng e s in pro duc t mix a nd the mix b e twe e n se g me nts; la b o r dispute s, e ne rg y sho rta g e s o r o pe ra ting diffic ultie s tha t mig ht disrupt ma nufa c turing o pe ra tio ns o r the flo w o f c a rg o ; pro duc tio n diffic ultie s a nd pro duc t de live ry de la ys a s a re sult o f, a mo ng o the r ma tte rs, ine ffic ie nc ie s a sso c ia te d with e xpa nsio n o r sta rt-up, o r c ha ng ing

• f pro duc tio n line s o r inc re a se d pro duc tio n ra te s, c ha ng ing te c hno lo g ie s, tra nsfe r o f pro duc tio n b e twe e n fa c ilitie s o r no n-

pe rfo rma nc e o f a llia nc e pa rtne rs, sub c o ntra c to rs o r supplie rs; a b ility to o b ta in suita b le c o ntra c ts fo r the sa le o f le a se d e q uipme nt a nd risks re la te d to c a r hire a nd re sidua l va lue s; inte g ra tio n o f c urre nt o r future a c q uisitio ns a nd e sta b lishme nt o f jo int ve nture s; suc c e ssio n pla nning ; disc o ve ry o f de fe c ts in ra ilc a rs o r se rvic e s re sulting in inc re a se d wa rra nty c o sts o r litig a tio n; physic a l da ma g e

• r pro duc t o r se rvic e lia b ility c la ims tha t e xc e e d o ur insura nc e c o ve ra g e ; tra in de ra ilme nts o r o the r a c c ide nts o r c la ims tha t c o uld

sub je c t us to le g a l c la ims; a c tio ns o r ina c tio ns b y va rio us re g ula to ry a g e nc ie s inc luding po te ntia l e nviro nme nta l re me dia tio n

• b lig a tio ns o r c ha ng ing ta nk c a r o r o the r ra il c a r o r ra ilro a d re g ula tio n; a ll a s ma y b e disc usse d in mo re de ta il unde r the he a ding s

"Risk F a c to rs" a nd “F

• rwa rd L
• o king Sta te me nts” in o ur Annua l Re po rt o n F
• rm 10-K

fo r the fisc a l ye a r e nde d Aug ust 31, 2015, a nd

• ur o the r re po rts o n file with the Se c uritie s a nd E

xc ha ng e Co mmissio n. Re a de rs a re c a utio ne d no t to pla c e undue re lia nc e o n the se fo rwa rd-lo o king sta te me nts, whic h re fle c t ma na g e me nt's o pinio ns o nly a s o f the da te he re o f. E xc e pt a s o the rwise re q uire d b y la w, we do no t a ssume a ny o b lig a tio n to upda te a ny fo rwa rd-lo o king sta te me nts.

1

 L

• ng -te rm o wne d fle e t 6,600

units

 Sho rt-te rm o wne d fle e t 6,000

units

 Ma na g e d F

le e t 258,000 units

Three business units working together

L e a ding I nte g ra te d T ra nspo rta tio n E q uipme nt & Se rvic e Pro vide r

Afte r mar ke ts2 L e asing & Se r vic e s2 Manufac tur ing 1

 Whe e ls & Par

ts – nine whe e l

se rvic e lo c a tio ns a nd fo ur ra ilc a r pa rt re c o nditio ning lo c a tio ns

 GBW R

ailc ar Se r vic e s - 50/ 50 JV

pro vide s re pa ir se rvic e s a c ro ss 33 lo c a tio ns

 L

e a ding ma nufa c ture r o f ra ilc a rs in No rth Ame ric a a nd E uro pe

 L

e ading do me stic manufac tur e r

• f o c e a n-g o ing b a rg e s

 Ne w ra ilc a r b a c klo g o f $4.71

b illio n2

 Ma rine b a c klo g o f ~$52 millio n

2

• 500

1,000 1,500 2,000 2,500 3,000 1994 2015 $ millio ns

Histo ric a l Re ve nue

I PO I PO

1 As o f 8/ 31/ 2015 2 As o f 9/ 30/ 2015

Gre e nb rie r’ s inte g ra te d b usine ss mo de l de live rs supe rio r va lue to c usto me rs b y c re a ting c usto mize d fre ig ht c a r so lutio ns

• ve r the e ntire life o f a ra ilc a r.

Our dive rsifie d po rtfo lio o f q ua lity pro duc ts a nd se rvic e s e nha nc e s

• ur fina nc ia l pe rfo rma nc e

a c ro ss the b usine ss c yc le .

I nte g ra te d Busine ss Mo de l

L e asing and Se r vic e s Whe e ls, R e pair and Par ts

Manufac tur ing

3

I nve stme nt Hig hlig hts

Attractive Industry Dynamics Unique Strategic Position Strong Financial Profile

4

 Ro b ust ra il c yc le

drive n b y c urre nt b usine ss a nd industry tre nds

 Bro a de ning pro duc t

de ma nd a c ro ss c yc le s

 Cha ng ing ta nk c a r

re g ula to ry e nviro nme nt

 Pro vide s c usto mize d

so lutio ns

 T

ra nsfo rma tio na l initia tive s c re a te g ro wth pla tfo rm

• E

nha nc e d L e a sing mo de l

• Pro duc t & se rvic e

dive rsific a tio n

• E

xte nsive No rth Ame ric a n a fte rma rke t re pa ir ne two rk

 Dive rse re ve nue a nd

e a rning s stre a m

 Stro ng ra ilc a r

b a c klo g

 Po sitive fina nc ia l

tre nds a nd o utlo o k

 Stra te g ic initia tive s to

drive sha re ho lde r va lue

30 35 40 45 50

Millions

N.A. F r e ight T r affic

T ra nspo rta tio n I ndustry Dyna mic s F a vo r Ra il

Ra il sig nific a ntly mo re

fue l e ffic ie nt tha n truc ks

E

nviro nme nta l c o nc e rns fa vo r ra il

Hig hwa y c o ng e stio n,

drive r sho rta g e , re g ula tio n a nd a g ing hig hwa y infra struc ture c o nstra in truc king

5

So urc e : F T R Asso c ia te s – Ra il E q uipme nt Outlo o k (Se pte mb e r 2015)

10,000 20,000 30,000 40,000 50,000 60,000 70,000 80,000 90,000 2009 2010 2011 2012 2013 2014 2015F 2016F 2017F 2018F 2019F Units

No rth Ame ric a n Ra il Ca r De live rie s

A Ro bust Cyc le Driving Ne w Railc ar De live rie s

 Sha le o il a nd g a s re vo lutio n dro ve

e a rly sta g e s; L

• we r na tura l g a s &

liq uid na tura l g a s driving e xpa nsio n in c he mic a l a nd pla stic s industrie s will c re a te a se c o nd wa ve o f de ma nd

 Cha ng ing ta nk c a r

re g ula to ry e nviro nme nt

 Bro a de ning de ma nd g ro wth in:

• I

nte rmo da l

• Auto mo tive lo a ding s
• Co mmo ditie s
• F
• re st pro duc ts

 Ag ing fle e t  Stro ng ra ilro a d b a la nc e she e ts

a nd c a pita l e xpe nditure b udg e ts 6

So urc e : F T R Asso c ia te s F L ASH Upda te – Ra il E q uipme nt Outlo o k (De c e mb e r 2015)

L

• ng -te rm a ve ra g e :

~50,000 units

No rth Ame ric a n De ma nd Ab o ve L

• ng -te rm Ave ra g e

7

So urc e : F T R Asso c ia te s F L ASH Upda te – Ra il E q uipme nt Outlo o k (De c e mb e r 2015)

Gre e nbrie r has do uble d its pro duc t o ffe rings o ve r the last se ve ral ye ars driving bac klo g and gro wth in marke t share

10,000 20,000 30,000 40,000 50,000 60,000 70,000 80,000 90,000 2011A 2012A 2013A 2014A 2015F 2016F 2017F 2018F 2019F Co ve re d ho ppe r Bo xc a r T a nks F la t c a rs Ope n ho ppe rs / g o ndo la s

L

• ng -te rm a ve ra g e :

~50,000 units

1.35 1.45 1.55 1.65 1.75 1.85 1.95

Millions

U.S. R ail T

• nmile s

Afte rma rke t De ma nd Drive rs

So urc e : F T R Asso c ia te s – Ra il E q uipme nt Outlo o k (Se pte mb e r 2015)

8

 Whe e l de ma nd drive n b y

ra il to n mile s

 Ro b ust to n mile s a nd

e q uipme nt upg ra de s drive re pa ir spe nding

 Appro a c hing sub sta ntia l

ta nk c a r ma inte na nc e c yc le

 Cha ng ing ta nk c a r

re g ula to ry e nviro nme nt

Rule De ta ils: Ne w Ca r & Re tro fit Sta nda rds



All ne w HHF T c a rs b uilt afte r

Oc tobe r 1, 2015 a re re q uire d to me e t DOT

• 117P (Pe r

for manc e ) spe c ific ation



All HHF T c a rs b uilt pr

ior to Oc tobe r 1, 2015 to a re re q uire d to me e t DOT

• 117R

(R e tr

• fit)

spe c ific ation (sa me a s DOT

• 117P e xc e pt b ut 7/ 16” ta nk she ll pe rmitte d) o n pre sc rib e d 2-10 ye a r

sc he dule

9

So urc e : DOT PHMSA, GBX Inte rna l

E

• st. Ne w Ca r Co st:

$150-$170k pe r c a r E

• st. Re tro fit Co st:

$60-$80k pe r c a r

E stima te d Re tro fit / Pha se -Out T ime line

10

So urc e : Bra ttle Gro up 2014, DOT PHMSA

23,000 7,000 22,000 28,000 74,500

20,000 40,000 60,000 80,000 100,000 120,000 140,000 160,000 180,000 Ma y-2017 Ma rc h-2018 April-2020 July-2023 Ma y-2025

PHMSA T ank Car Phase -Out T ime line *

Othe r F la mma b le E tha no l Crude

Car s

Ja c ke te d

CPC-1232 DOT

• 111

*F le e t c o unts pe r Bra ttle Gro up e nd o f 2015 e stima te s. Assume s a ll c a rs pa rt o f HHF T .

Ca r Owne r Optio ns

11

Re pla c e

• r

Re tro fit

33

13

Gr e e nbr ie r Annual Manufac tur ing Capac ity = 7,000 – 8,000 tank c ar s GBW Annual R e tr

• fit Capac ity = 2,000 – 3,000

tank c ar s at 13 c e r tifie d tank c ar shops, inc luding at le ast 5 de dic ate d r e tr

• fit loc ations

L e a sing & Se rvic e s De ma nd Drive rs

 Stro ng le a se ma rke t a s use rs se e k fle xib ility  F

ina nc ia l institutio ns se e k yie ld a nd c re a te o ppo rtunity fo r syndic a tio ns a nd se rvic e c o ntra c ts

 T

re nd o f inc re a sing priva te (“le a sing / shipping c o mpa nie s”) ra ilc a r

• wne rship e xpe c te d to c o ntinue

12

So urc e : AAR – Ra ilro a d E q uipme nt Outlo o k (Aug ust 2014)

52% 4% 44%

2005

Ra ilro a ds T T X Priva te

39% 4% 57%

2014

Ra ilro a ds T T X Priva te

Histo ric a l N.A. Ra ilc a r F le e t Owne rship

Uniq ue Stra te g ic Po sitio n

13

Histo ry o f Qua lity a nd I nno va tio n

 T

T X e xc e lle nt supplie r a wa rd fo r 21 ye a rs

 Ne w Ra ilc a r Ma nufa c turing – I

nte rmo da l, Auto mo tive , ‘ T a nk Ca r o f the F uture ’ , Pla stic Pe lle t

 Whe e ls & Pa rts – de ve lo ping c utting e dg e

te le me try te sting to re vo lutio nize sa fe ty & q ua lity o f whe e ls a nd a xle s

 Re pa ir – ta nk c a r re tro fits, re purpo sing o f ra ilc a rs  L

e a sing & Se rvic e s – E nha nc e d syndic a tio n mo de l, pro prie ta ry fle e t ma inte na nc e a nd ma na g e me nt so lutio ns a nd c a pa b ilitie s

14

T ra nsfo rma tio na l I nitia tive s Cre a te Dive rsifie d Gro wth Pla tfo rm



Impr

• ve s c ompe titive position due to dive rse pro duc t mix a t

lo we r-c o st, fle xib le ma nufa c turing fa c ilitie s



Dive r sifie s busine ss mix b y e xpa nding re pa ir a nd whe e l

ma inte na nc e b usine ss - la rg e a fte rma rke t b usine ss pro vide s sta b ility thro ug ho ut b usine ss c yc le s



E nhanc e s le asing ac tivitie s, c a pturing mo re va lue thro ug ho ut

the ra ilc a r life c yc le



E xpands available mar ke t b y inc re a sing thro ug hput a nd

dive rsifying pro duc t po rtfo lio while ma inta ining the q ua lity c usto me rs de ma nd



E xpands ge ogr aphic r e ac h into ne w inte rna tio na l ma rke ts

with re c e nt e ntrie s into Bra zil a nd Sa udi Ara b ia

Gr e e nbr ie r is we ll-positione d to be ne fit fr

• m nume r
• us tailwinds. Our

dive r sifie d busine ss mode l le ave s Gr e e nbr ie r r e lative ly we ll-insulate d fr

• m any major

pote ntial he adwinds.

15

$749 $2,136 $102 $371 $92 $98

$0 $500 $1,000 $1,500 $2,000 $2,500 $3,000

2006 2015

$ in millions (% of T

• tal R

e ve nue ) L e a sing & Se rvic e s Whe e ls & Pa rts Ma nufa c turing

I nitia tive s L e a d to L a rg e r, Dive rsifie d Re ve nue Stre a ms

16

Greenbrier’s revenue has more than doubled since the prior new railcar delivery peak in 2006.

$943 $2,605

(10%) (11%) (79%) (4%) (82%) (14%)

Dive rse Ra ilc a r Ba c klo g ($ in millio ns e xc e pt pe r unit va lue s)

Bac klog Units

14,700 12,100 16,200 13,400 5,300 15,400 10,700 14,400 31,500 41,300

I n F Y 2015, Gre e nb rie r re c e ive d o rde rs fo r 32,400 units va lue d a t $3.44 b illio n. Ba c klo g e xte nds into fisc a l 2020.

17

$1,000 $830 $1,440 $1,160 $420 $1,230 $1,200 $1,520 $3,330 $4,710

$68 $69 $89 $87 $79 $80 $112 $106 $106 $114 $- $20 $40 $60 $80 $100 $120 $- $500 $1,000 $1,500 $2,000 $2,500 $3,000 $3,500 $4,000 $4,500 $5,000 Aug . 06 Aug . 07 Aug . 08 Aug . 09 Aug . 10 Aug . 11 Aug . 12 Aug . 13 Aug . 14 Aug . 15

Ave ra g e Sa le s Pric e / Unit ($ in tho usa nds) Ba c klo g Va lue ($ in millio ns)

Pr

• vide s Str
• ng E

ar nings Visibility

Ove r 4.5x hig he r tha n prio r industry pe a k

Se pte mbe r 30, 2006 Se pte mbe r 30, 2015

No rth Ame ric a n Ra ilc a r Ba c klo g Co mpa riso n

(By Builde r)

GBX, 13% AR I, 21% R AIL , 14% T R N, 36% Othe r s,16 % 0% 20% 40% 60% 80% 100%

100% = 88,116 units

So urc e : RSI ARCI , pub lic filing s

GBX, 30% AR I, 7% R AIL , 10% T R N, 45% Othe r s, 8%

0% 20% 40% 60% 80% 100%

100% = 122,591 units 18

Se pte mbe r 30, 2006 Se pte mbe r 30, 2015

No rth Ame ric a n Ra ilc a r Ba c klo g Co mpa riso n

(By Ca r T ype )

100% = 122,591 units

So urc e : RSI ARCI , pub lic filing s

100% = 88,116 units 19

Cove r e d Hoppe r s, 49% T ank Car s, 31% F lat Car s, 4% Box Car s, 6%

Gondolas, 3% Ope n-T

• p

Hoppe r s, 1% Inte r modal , 6%

0% 20% 40% 60% 80% 100%

Cove r e d Hoppe r s, 32% T ank Car s, 39% F lat Car s, 10% Box Car s, 1% Gondolas, 10% Ope n Hoppe r , 8%

0% 20% 40% 60% 80% 100%

$5.93

$(1.00) $- $1.00 $2.00 $3.00 $4.00 $5.00 $6.00 2010 2011 2012 2013 2014 2015

Adjuste d E PS

(1)

21.1

0.0 3.0 6.0 9.0 12.0 15.0 18.0 21.0 2010 2011 2012 2013 2014 2015

De live rie s (U

nits)

Co nso lida te d F ina nc ia l T re nds ($ in millio ns)

(1) Adjuste d E PS & Adjuste d E BI T DA e xc lude Go o dwill impairme nt, Re struc turing c ha rg e s a nd o the r Spe c ia l I te ms. (2) Ne t de b t is de fine d a s Gro ss de b t plus de b t disc o unt le ss Ca sh (3) With c urre nt pro duc tio n pla ns a nd e xisting L e a se d Ra ilc a rs fo r Syndic a tio n, o ve r 90% o f F Y16 de live rie s a re firm

F Y 2016 De live r ie s = ~20-22,500 units(3) F Y 2016 De live r ie s = ~20-22,500 units(3) F Y 2016 Guidanc e = $5.65-6.15 F Y 2016 Guidanc e = $5.65-6.15 We e xpe c t the positive tr e nd to c ontinue in F Y 2016 We e xpe c t the positive tr e nd to c ontinue in F Y 2016

20

5.5x 4.6x 2.7x 2.0x 1.1x

0.5x

0.0x 2.0x 4.0x 6.0x 8.0x 2010 2011 2012 2013 2014 2015

Ne t De b t(2) to Adj. E BI T DA(1)

$2,605

$- $500 $1,000 $1,500 $2,000 $2,500 $3,000 2010 2011 2012 2013 2014 2015

Re ve nue

F Y 2016 R e ve nue = Gr e ate r than $2.8 billion F Y 2016 R e ve nue = Gr e ate r than $2.8 billion

$105 $105 $192 $299 $304 $321 $268 $76 $99 $50 $54 $97 $185 $173 $181 $204 $242 $353 $401 $506 $441

2009 2010 2011 2012 2013 2014 2015 7.7x 5.5x 4.6x 2.7x 2.0x 1.1x 0.5x

0.0x 2.0x 4.0x 6.0x 8.0x

2009 2010 2011 2012 2013 2014 L T M 8/ 31/ 2015

Stro ng Ba la nc e She e t a nd L iq uidity Pro vide F le xib ility

Ne t F unde d De bt

(2) / Adjuste d E

BIT DA

(1)

L iquidity Summar y ($ in millions)

21

(1) Adjuste d E BI T DA e xc lude g a in o n c o ntrib utio n to GBW, re struc turing c ha rg e s, g o o dwill impa irme nt a nd o the r spe c ia l ite ms (2) Ne t de b t is de fine d a s funde d de b t le ss c a sh

Curre nt F inanc ial Go als

F

• c us Ar

e a Goal

Gro ss Ma rg in E nha nc e me nt Ag g re g a te g ro ss ma rg in o f a t le a st 20% b y the se c o nd ha lf o f F Y 2016 Ca pita l E ffic ie nc y Re turn o n I nve ste d Ca pita l (“ROI C”) o f a t le a st 25% fo r the se c o nd ha lf o f F Y 2016 22

17.2% 17.8% 19.9% 20.9% 22.8% 0.0% 5.0% 10.0% 15.0% 20.0% 25.0% Q4 14 Q1 15 Q2 15 Q3 15 Q4 15

Aggr e gate Gr

• ss Mar

gin

16.9% 11.1% 19.6% 21.3% 23.7% 0.0% 5.0% 10.0% 15.0% 20.0% 25.0% Q4 14 Q1 15 Q2 15 Q3 15 Q4 15

R e tur n on Inve ste d Capital

Str

• ng balanc e

sheet and po sitive fr ee c ash flo w tr end

Clear Path to Gr

• wth and Shar

eho lder Value

Pr

• duc t and

c usto mer diver sity pr

• vides visibility

U nique mo del that enhanc es financ ial per fo r manc e ac r

• ss the c yc le,

with po wer ful c r

• ss

selling o ppo r tunities I nitiatives to impr

• ve gr
• ss

mar gins and c apital effic ienc y

Solid R ailc ar Bac klog Dive r sifie d R e ve nue Str e ams Str

• ng

Balanc e She e t & L iquidity Str ate gic Initiative s 23

Appe ndix

4Q F Y 2015 K e y Me tric Hig hlig hts

25

31,500 41,200 46,000 45,100

41,300 4Q 14 1Q 15 2Q 15 3Q 15 4Q 15

Bac klog

4,800 4,000 5,200 5,700

6,200 4Q 14 1Q 15 2Q 15 3Q 15 4Q 15

T

• tal De live r

ie s

1,100 1,800 1,700 1,000

2,200 4Q 14 1Q 15 2Q 15 3Q 15 4Q 15

Syndic ate d De live r ie s

 Ba c klo g 41,300 units va lue d a t $4.71

b illio n

• Re c e ive d o rde rs fo r 2,900 units va lue d a t

$470 millio n

• E

ne rg y re la te d ra ilc a rs c o mprise a b o ut 30%

• f b a c klo g
• Bro a d ra ng e o f no n-e ne rg y re la te d c a r

type s inc luding b o xc a rs, me dium a nd la rg e c o ve re d ho ppe rs, no n-e ne rg y ta nk c a rs, inte rmo da l a nd g o ndo la c a rs

 Re c o rd de live ry o f 6,200 units inc luding

hig he r tha n a ve ra g e le ve ls o f syndic a tio n a c tivity o f 2,200 units

4Q F Y 2015 I nc o me Sta te me nt Hig hlig hts

26

$618.1 $495.1 $630.1 $714.6

$765.5 4Q 14 1Q 15 2Q 15 3Q 15 4Q 15

R e ve nue ($ millions)

$80.8 $67.2 $102.7 $116.3

$147.6 4Q 14 1Q 15 2Q 15 3Q 15 4Q 15

Adjuste d E BIT DA* ($ millions)

$1.03 $1.01 $1.57 $1.33

$2.02 4Q 14 1Q 15 2Q 15 3Q 15 4Q 15

Dilute d E PS*

 Re c o rd re ve nue to $765.5 millio n  Gro ss ma rg in to 22.8%  Re c o rd a djuste d E

BI T DA to $147.6 millio n

• Adjuste d E

BI T DA ma rg in o f 19.3%

• I

nc re a se d de live rie s a nd ma rg in g ro wth

 Dilute d E

PS to $2.02

 Re sults drive n b y:

• F

a vo ra b le pro duc t mix a nd pric ing

• I

mpro ve d o pe ra ting e ffic ie nc ie s

• Stro ng le a se syndic a tio n a c tivity

*E xc lude s Re struc turing c ha rg e s in F Y14 a nd g a in o n c o ntrib utio n to GBW in 4Q F Y14.

4Q F Y 2015 Ba la nc e She e t & Ca sh F lo w Hig hlig hts

27

$54.2 $(53.8) $46.0 $37.4

$162.7 4Q 14 1Q 15 2Q 15 3Q 15 4Q 15

Ope r ating Cash F low ($ millions)

$33.5 $31.7 $24.8 $44.6

$34.0 4Q 14 1Q 15 2Q 15 3Q 15 4Q 15

Ne t Capital E xpe nditur e & Inve st. In Unc onsol. Affiliate s(1) ($ millions)

$273.3 $370.9 $386.4 $316.0

$204.4 4Q 14 1Q 15 2Q 15 3Q 15 4Q 15

Ne t F unde d De bt ($ millions)

 Po sitive Ope ra ting Ca sh F

lo w

• I

mpro ve d o pe ra ting pe rfo rma nc e

• Available liquidity e xc e e ds $440 million

 Qua rte rly divide nd inc re a se o f 33% to $0.20

pe r sha re

 Re purc ha se d ro ug hly 496k sha re s o f

c o mmo n sto c k a t a c o st o f $21.8 in 4Q

 Ne a rly $145 millio n o f c a pita l re turne d to

sha re ho lde rs thro ug h divide nds a nd sha re re purc ha se s sinc e Oc to b e r 2013

 Bo a rd a utho rize d $100 millio n inc re a se to

sha re re purc ha se pro g ra m; c umula tive re purc ha se a utho riza tio ns to $225 millio n sinc e Oc to b e r 2013

 Ne t F

unde d De b t de c re a se d in Q4 re fle c ting stro ng o pe ra ting c a sh flo w

(1)I

nve stme nt in Unc o nso lida te d Affilia te s inc lude d to re fle c t inve stme nts in unc o nso lida te d jo int ve nture s

T wo Wa ys to Se ll Ne w Ra ilc a rs

Dir e c t Sale s

 Custo me r o rde rs ra ilc a r to b uy a nd use  We b uild ra ilc a r a nd de live r it to

c usto me r

 Re ve nue re c o g nize d in Ma nufa c turing

se g me nt

L e ase Syndic ation

 Custo me r o rde rs ra ilc a r to le a se  We b uild ra ilc a r a nd le a se it  Ra ilc a rs he ld te mpo ra rily o n b a la nc e she e t

g e ne ra ting inte rim le a se inc o me fo r GBX

• Ca lle d “Ra ilc a rs he ld fo r syndic a tio n” o n

Ba la nc e She e t

• “I

nte rim” le a se inc o me re c o g nize d in L e a sing & Se rvic e s se g me nt

 Ra ilc a rs a g g re g a te d a nd so ld (“syndic a te d”)

to multiple third pa rty inve sto rs (no n-re c o urse to GBX)

• Sa le s pric e pre mium o ve r dire c t sa le fro m a tta c he d

le a se

• Re ve nue fro m sa le re c o g nize d in Ma nufa c turing

se g me nt

 L

• ng te rm Ma na g e me nt fe e s e a rne d fro m

inve sto rs o n ra ilc a rs a fte r syndic a tio n

• Re ve nue re c o g nize d in L

e a sing & Se rvic e s se g me nt

28

Dir e c t L e ase

L e a sing & Se rvic e s Supple me nta l I nfo rma tio n

F le e t Infor mation

U nits Aug . 31, 2014 No v. 30, 2014 F e b . 28, 2015 Ma y 31, 2015 Aug . 31, 2015 Se p. 30, 2015 L

• ng te rm o wne d units

(“E q uipme nt o n o pe ra ting le a se ”) 6,800 6,600 6,400 6,300 6,500 6,600 Sho rt te rm o wne d units (“Ra ilc a rs he ld fo r syndic a tio n”) 1,800 1,900 1,900 2,500 2,800 6,000 T

• ta l o wne d fle e t

8,600 8,500 8,300 8,800 9,300 12,600 Ma na g e d fle e t (units) 238,000 238,000 241,000 245,000 260,000 258,000

Owne d & Manage d F le e t

 Owne d E

q uipme nt o n o pe ra ting le a se ‘ rig ht- size d’ o ve r la st 2 ye a rs

• Additio na l mo ne tiza tio n wo uld b e ta x ine ffic ie nt

with o ve r $60 millio n o f De fe rre d T a xe s re la te d to the L e a se fle e t

• Se c ure s L

e a sing te rm lo a n o f $190 millio n

 Manage d fle e t se rvic e s inc lude ra ilc a r

re ma rke ting , ma inte na nc e ma na g e me nt, c a r hire a c c o unting a nd va rio us o the r se rvic e s

• Ma na g e d fle e t ha s g ro wn a lmo st 16% o ve r la st 2

ye a rs a s Syndic a tio n vo lume inc re a se d

• No w a c c o unts fo r ~16% o f No rth Ame ric a n ra ilc a r

fle e t

L e ase Syndic ation Mode l

 Almo st $700 millio n o f Syndic a tio n vo lume in

F Y 2015 (re po rte d in Ma nufa c turing se g me nt)

 One o f two c ha nne ls to ma rke t  Dwe ll time o f re nt pro duc ing ra ilc a rs o n

b a la nc e she e t (“Ra ilc a rs he ld fo r Syndic a tio n”) a ve ra g e s 3 mo nths, a s ra ilc a r le a se s a re a g g re g a te d a nd so ld in b undle s to inve sto rs

 I

n a dditio n to pre mium pric ing a b o ve dire c t sa le s, c re a te s stre a m o f multi-ye a r ma na g e me nt fe e inc o me

 E

xpa nds c usto me r unive rse b e yo nd Gre e nb rie r’ s tra ditio na l b a se

29

Ma nufa c turing

Quar te r ly T r e nds Quar te r ly T r e nds R e ve nue and Gr

• ss Mar

gin % R e ve nue and Gr

• ss Mar

gin % F Y 16 Outlook F Y 16 Outlook

• Se q ue ntia l re ve nue g ro wth re fle c ts hig he r

de live rie s

• Ma rg in inc re a se re fle c ts impro ve d

e ffic ie nc ie s a nd fa vo ra b le pro duc t mix a nd pric ing

• Ma rine b a c klo g a s o f Aug 31, 2015 to ta le d

a ppro xima te ly $52 millio n

• Ro b ust fina nc ia l pe rfo rma nc e will c o ntinue

re fle c ting stro ng de live rie s utilizing o ur fle xib le , lo we r c o st fo o tprint.

• Ca pita l e xpe nditure s a re e xpe c te d to b e

a ppro xima te ly $50 millio n in F Y 2016, prima rily re la te d to ma inte na nc e a nd e ffic ie nc y e nha nc e me nts.

($ in millio ns) 4Q 14 1Q 15 2Q 15 3Q 15 4Q 15 Re ve nue s $492.1 $379.9 $505.2 $ 593.4 $ 657.5 Gro ss Ma rg in $87.9 $63.9 $102.0 $127.7 $151.0 Gro ss Ma rg in % 17.9% 16.8% 20.2% 21.5% 23.0% Ope ra ting Ma rg in % 14.8% 13.7% 18.0% 19.5% 21.0% Ca pita l E xpe nditure s $31.2 $21.5 $19.5 $19.7 $23.7 Ne w Ra ilc a r Ba c klo g $3,330 $4,200 $4,780 $4,860 $4,710 Ne w Ra ilc a r Ba c klo g (units) 31,500 41,200 46,000 45,100 41,300 De live rie s (units) 4,800 4,000 5,200 5,700 6,200

4Q Busine ss Conditions 4Q Busine ss Conditions

30

• 2%

2% 6% 10% 14% 18% 22% $- $0.4 $0.8 $1.2 $1.6 $2.0

2010 2011 2012 2013 2014 2015

$ in Millio ns Re ve nue Gro ss Ma rg in

Whe e ls & Pa rts

Quar te r ly T r e nds Quar te r ly T r e nds R e ve nue and Gr

• ss Mar

gin % (1) R e ve nue and Gr

• ss Mar

gin % (1) F Y 16 Outlook F Y 16 Outlook

• Re ve nue de c re a se due to lo we r whe e l a nd

c o mpo ne nt vo lume s

• Prio r q ua rte r ma rg in inc lude d a dve rse e ffe c t
• f sudde n de c line in sc ra p pric e s whic h

sta b ilize d in Q4

• Ca pita l e xpe nditure s a re e xpe c te d to b e

a ppro xima te ly $9.0 millio n in F Y 2016 re la te d to ma inte na nc e a nd e ffic ie nc y

• I

mpro ve d o pe ra ting o utlo o k

4Q Busine ss Conditions 4Q Busine ss Conditions

31

* E xc luding g a in o n c o ntrib utio n to GBW, o pe ra ting ma rg in is 2.7% fo r Q4 F Y 2014

($ in millio ns) 4Q 14 1Q 15 2Q 15 3Q 15 4Q 15 Re ve nue s $105.0 $86.6 $102.6 $97.4 $84.6 Gro ss Ma rg in $6.8 $9.8 $9.9 $7.8 $9.2 Gro ss Ma rg in % 6.5% 11.3% 9.6% 8.0% 10.8% Ope ra ting Ma rg in % 30.3%* 9.2% 7.8% 5.2% 7.8% Ca pita l E xpe nditure s $3.0 $1.8 $1.7 $1.6 $4.3 0% 2% 4% 6% 8% 10% 12% $- $100 $200 $300 $400 $500 $600

2010 2011 2012 2013 2014 2015

$ in T ho usa nds Re ve nue Gro ss Ma rg in

(1) Histo ric a l re sults inc lude le g a c y Re pa ir o pe ra tio ns

whic h we re c o ntrib ute d to GBW Ra ilc a r JV in July 2014

L e a sing & Se rvic e s

Quar te r ly T r e nds R e ve nue and Gr

• ss Mar

gin % F Y 16 Outlook

• Re ve nue de c re a se due to slig ht de c line in

ma na g e me nt re ve nue a sso c ia te d with the timing o f ma na g e me nt a c tivitie s

• Ma rg in % inc re a se re fle c ts hig he r inte rim

re nts fro m le a se d ra ilc a rs he ld fo r syndic a tio n

• Syndic a tio n a c tivity to drive stro ng inte rim re nt

a nd g ro wth in ma na g e me nt se rvic e s

• Ne t c a pita l e xpe nditure s (inc luding c o rpo ra te

e xpe nditure s)a re e xpe c te d to b e a ppro xima te ly $16.0 millio n in F Y 2016

• Co nsiste nt with o ur stra te g y, a c q uisitio n o f

~4,000 c a r WL R po rtfo lio will drive mo re vo lume thro ug h le a se syndic a tio n a nd a sse t ma na g e me nt mo de l. Curre ntly e xpe c t to c o mple te syndic a tio n in 2Q/ 3Q.

4Q Busine ss Conditions

32

($ in millio ns) 4Q 14 1Q 15 2Q 15 3Q 15 4Q 15 Re ve nue s $21.0 $28.5 $22.3 $23.8 $23.4 Gro ss Ma rg in $11.3 $14.4 $13.4 $13.8 $14.5 Gro ss Ma rg in % 53.7% 50.6% 60.3% 58.0% 62.0% Ope ra ting Ma rg in % 38.9% 38.8% 44.1% 45.4% 43.6% Net Capi tal E xpendi tur es ($13.3) $5.9 $0.5 ($0.8) $1.3 L ease F l eet U ti l i zati

• n

98.2% 98.1% 99.5% 97.6% 96.6% 0% 10% 20% 30% 40% 50% 60% 70% $- $20 $40 $60 $80 $100

2010 2011 2012 2013 2014 2015

$ in T ho usa nds Re ve nue Gro ss Ma rg in

No rth Ame ric a n Se rvic e Co ve ra g e

33

Qua rte rly Adjuste d E BI T DA Re c o nc ilia tio n

Supple me ntal Disc losur e

R e c onc ilia tion of Ne t E ar nings to Adjuste d E BIT DA

(I n millio ns, unaudite d)

Quar te r E nding

Aug . 31, 2014 No v. 30, 2014 F e b . 28, 2015 Ma y 31, 2015 Aug . 31, 2015 Ne t e a rning s $60.1 $36.0 $61.0 $70.3 $98.0 I nte re st a nd fo re ig n e xc ha ng e 4.4 3.1 1.9 4.3 1.8 I nc o me ta x e xpe nse 35.7 16.1 29.4 30.8 35.9 De pre c ia tio n a nd a mo rtiza tio n 9.6 12.0 10.4 10.9 11.9 Ga in o n c o ntrib utio n to GBW (29.0)

• Adjuste d E

BIT DA $80.8 $67.2 $102.7 $116.3 $147.6

Se e slide 18 fo r de finitio n o f Adjuste d E BI T DA

34

Annua l Adjuste d E BI T DA Re c o nc ilia tio n

Supple me ntal Disc losur e

R e c onc iliation of Ne t E ar nings (loss) to Adjuste d E BIT DA

(I n millio ns, unaudite d)

Ye ar E nding August 31, 2010 2011 2012 2013 2014 2015

Ne t e a rning s (lo ss) $8.3 $8.4 $61.2 ($5.4) $149.8 $265.3 I nte re st a nd fo re ig n e xc ha ng e 45.2 37.0 24.8 22.2 18.7 11.2 I nc o me ta x e xpe nse (b e ne fit) (0.9) 3.5 32.4 25.1 72.4 112.2 De pre c ia tio n a nd a mo rtiza tio n 37.5 38.3 42.4 41.4 40.4 45.1 Go o dwill impa irme nt

• 76.9
• Ga in o n c o ntrib utio n to GBW
• (29.0)
• L
• ss (g a in) o n de b t

e xting uishme nt (2.1) 15.7

• Spe c ia l ite ms

(11.9)

• 2.7

1.5

• Adjuste d E

BIT DA $76.1 $102.9 $160.8 $162.9 $253.8 $433.8

Se e slide 18 fo r de finitio n o f Adjuste d E BI T DA

35

Annua l Adjuste d E PS Re c o nc ilia tio n

Ye ar E nding August 31, 2010 2011 2012 2013 2014 2015

Net ear nings(l

• ss) attr

ibutabl e to Gr eenbr ier $4.3 $6.5 $58.7 ($11.1) $111.9 $192.8 Go o dwill impa irme nt (a fte r-ta x)

• 71.8
• Ga in o n c o ntrib utio n to GBW

(a fte r-ta x)

• (13.6)
• L
• ss (gai

n) on debt exti ngui shment (after

• tax)

(1.3) 9.4

• Spe c ia l ite ms (a fte r-ta x)

(11.9)

• 1.8

1.0

• Adjuste d Ne t E

a rning s (lo ss) ($8.9) $15.9 $58.7 $62.5 $99.3 $192.8 Wei ghted aver age di l uted shar es

• utstandi

ng 20.2 26.5 33.7 34.2 34.2 33.3

Adjuste d E PS ($0.44) $0.60 $1.91 $2.00 $3.07 $5.93

Se e slide 18 fo r de finitio n o f Adjuste d E PS

Supple me ntal Disc losur e

R e c onc iliation of Ne t E ar nings (loss) Attr ibutable to Gr e e nbr ie r to Adjuste d Ne t E ar nings (loss) (I n millio ns, e xc e pt pe r share amo unts, unaudite d)

36

Adjuste d F ina nc ia l Me tric De finitio n

Adjuste d Ne t E a rning s (lo ss), Adjuste d E BI T DA, a nd Adjuste d E PS a re no t fina nc ia l me a sure s unde r g e ne ra lly a c c e pte d a c c o unting princ iple s (GAAP). We de fine Adjuste d Ne t E a rning s (lo ss) a s Ne t E a rning s (lo ss) a ttrib uta b le to Gre e nb rie r b e fo re g o o dwill impa irme nt (a fte r-ta x), g a in o n c o ntrib utio n to GBW (a fte r-ta x), lo ss (g a in) o n de b t e xting uishme nt (a fte r-ta x) a nd spe c ia l ite ms (a fte r-ta x). We de fine Adjuste d E BI T DA a s Ne t e a rning s (lo ss) b e fo re inte re st a nd fo re ig n e xc ha ng e , inc o me ta x e xpe nse (b e ne fit), g o o dwill impa irme nt, g a in o n c o ntrib utio n to GBW, lo ss (g a in) o n de b t e xting uishme nt, spe c ia l ite ms, de pre c ia tio n a nd a mo rtiza tio n. We de fine Adjuste d E PS a s Adjuste d Ne t E a rning s (lo ss) b e fo re inte re st a nd de b t issua nc e c o sts (ne t o f ta x) o n c o nve rtib le no te s divide d b y We ig hte d a ve ra g e dilute d sha re s o utsta nding . We de fine Re turn o n I nve ste d Ca pita l a s E a rning s fro m Ope ra tio ns le ss Ca sh pa id fo r I nc o me ta xe s, whic h is the n a nnua lize d a nd divide d b y the sum o f a ve ra g e Re vo lving no te s plus No te s pa ya b le plus T

• ta l e q uity le ss Ca sh in e xc e ss o f $40 millio n o pe ra ting c a sh, whic h is

a ve ra g e d b a se d o n the q ua rte rly e nding b a la nc e s. Adjuste d Ne t E a rning s (lo ss), Adjuste d E BI T DA, a nd Adjuste d E PS a re pe rfo rma nc e me a sure me nt to o ls use d b y ra il supply c o mpa nie s a nd Gre e nb rie r. Yo u sho uld no t c o nside r Adjuste d Ne t E a rning s (lo ss), Adjuste d E BI T DA, a nd Adjuste d E PS in iso la tio n o r a s a sub stitute fo r o the r fina nc ia l sta te me nt da ta de te rmine d in a c c o rda nc e with GAAP. I n a dditio n, b e c a use Adjuste d Ne t E a rning s (lo ss), Adjuste d E BI T DA a nd Adjuste d E PS a re no t me a sure s o f fina nc ia l pe rfo rma nc e unde r GAAP a nd a re susc e ptib le to va rying c a lc ula tio ns, the se me a sure s pre se nte d ma y diffe r fro m a nd ma y no t b e c o mpa ra b le to simila rly title d me a sure s use d b y o the r c o mpa nie s.

37

NYSE : GBX

De c e mb e r 2015

I nve sto r Co nta c t: I nve sto r.Re la tio ns@ g b rx.c o m We b site : www.g b rx.c o m