Trinity Industries Inc. (NYSE: TRN) is a company that owns a variety of market-leading businesses which provide product and services to the industrial, energy, transportation and construction sectors.
Now, the company has five business groups which are Rail Group, Construction Products Group, Inland Barge Group, Energy Equipment Group and Railcar Leasing & Management Services Group.
Trinity Industries, Incorporated, is a diversified manufacturer of heavy metal products. The company's six basic business segments comprise rail car leasing and the production of rail cars, marine products, structural metal products, pressure and non-pressure tank containers, and metal components. Trinity is a leading rail car manufacturer in the United States, controlling nearly half of the national production capacity for freight cars. Tank cars and hopper cars are leading products. Marine products such as commercial boats, barges, and offshore service vessels for the United States government make up the company's second largest business segment, generating about 17 percent of revenues. Pressure and non-pressure containers for gas and chemical storage, and structural products used in construction of highways, bridges, and buildings each account for 12 percent of revenues. Metal components such as weld fittings and container heads currently make up about eight percent of the company's sales, with the remaining five percent coming from rail car leasing operations.
Trinity Industries was formed in 1958 when the Dallas Tank Company merged with Trinity Steel Company, which made metal products for the petroleum industry; the name was changed to Trinity Industries in 1966. The company has been run by W. Ray Wallace since its first year. Wallace had joined the original Trinity Steel in the late 1940s as the company's 17th employee.
After the merger, Trinity was the only publicly owned company that produced a varied line of metal products for liquefied petroleum gas (LPG). LPG, a relatively new form of fuel at that time, is used for industrial production and residential heating. Compressed natural gas and petroleum by-products can be conveniently stored and transported in specially designed tanks that permit a consumer to obtain 270 cubic feet of gas from one liquified cubic foot. As the LPG industry grew rapidly in the late 1950s and early 1960s, Trinity was the only tank manufacturer operating across a large geographical area. The company's competitors were generally smaller concerns whose markets were limited to their own regions, and Trinity, demonstrating an ability to offer consistent quality to LPG suppliers, became the industry leader.
Trinity's tank manufacturing expertise was also applied to containers for anhydrous ammonia fertilizer, which was another burgeoning industry in the 1960s. Pressure and non-pressure storage containers made up about 75 percent of Trinity's business. The company also manufactured custom metal products for the chemical and petroleum industries, and enjoyed phenomenal growth in the 1960s.
In the early 1970s Trinity broadened its operations to include construction of marine vessels and fabrication of structural steel products. In 1973 the company bought the Equitable Equipment Company, with shipyards in New Orleans and Madisonville, Louisiana, and the Mosher Steel Company of Houston, a large manufacturer of steel beams and framing. Other structural steel operations were acquired or built, including the Texas Metal Fabricating Company in 1976. Trinity subsidiaries manufactured highway guardrails and a number of products aimed at the road construction industry. By 1977 bridge girders and other structural products generated 37 percent of Trinity's sales.
Trinity Industries, Inc. (Trinity), incorporated in 1933, is a multi-industry company that owns a variety of businesses, which provide products and services to the industrial, energy, transportation, and construction sectors. The Company manufactures and sells railcars and railcar parts in addition to leasing railcars to its customers through its integrated business model, which includes a captive leasing business, Trinity Industries Leasing Company (TILC). Trinity also manufactures and sells inland barges, structural wind towers, concrete and aggregates, highway products, tank containers, and a variety of steel parts and components. The Company serves its customers through five business groups: Rail Group, Railcar Leasing and Management Services Group, Construction Products Group, Inland Barge Group, and Energy Equipment Group.
The Company’s all other includes its insurance and transportation companies; legal, environmental and upkeep costs associated with non-operating facilities; other peripheral businesses, and the change in market valuation related to ineffective commodity hedges. Trinity’s foreign operations are primarily located in Mexico. Trinity manufactures railcars, propane tank containers, tank heads, structural wind towers, and other parts at its Mexico facilities for local consumption, as well as for export to the United States and other countries.
Rail Group
Through wholly owned subsidiaries, the Company’s Rail Group is the freight railcar manufacturer in North America (Trinity Rail Group). It provides railcars used for transporting a variety of liquids, gases and dry cargo. Trinity Rail Group offers an array of railcar solutions to its customers. It manufactures a line of railcars, including auto carrier cars, box cars, gondola cars, hopper cars, intermodal cars, specialty cars, and tank cars. The Company also, provides a variety of railcar components primarily for the North American market from its plants in the United States and Mexico. It manufactures and sells railcar parts used in manufacturing and repairing railcars, such as couplers, axles and other devices. It also has two repair and coating facilities located in Texas. Its customers include railroads, leasing companies, and shippers of products, such as utilities, petrochemical companies, grain shippers, agricultural product companies, and construction and industrial companies. During the year ended December 31, 2010, Trinity shipped approximately 4,750 railcars, or approximately 29% of total North American railcar shipments.
Railcar Leasing and Management Services Group
Through the Company’s wholly owned subsidiaries, primarily TILC, and a majority owned subsidiary, TRIP Rail Holdings LLC (TRIP Holdings), it provides operating leases for tank cars and freight cars. As a provider of leasing and management services, its Leasing Group is a resource that links its Rail Group with the Company’s customers. Trinity’s Rail Group and TILC coordinate sales and marketing activities under the brand name TrinityRail, thereby providing a single point of contact for railroads and shippers seeking solutions to their rail equipment and service needs.
The Company’s railcars are leased to industrial shippers and railroads. These companies operate in the petroleum, chemical, agricultural and energy industries, among others. Substantially all of its railcars are manufactured by its Rail Group. The terms of the Company’s railcar leases vary from 1 to 20 years and provide for fixed monthly rentals. A small percentage of its fleet is leased on a per diem basis. As of December 31, 2010, the lease fleet of the Company’s wholly owned subsidiaries included approximately 51,910 owned or leased railcars that were 99.3% utilized. Of this total, approximately 40,690 railcars were owned by TILC and approximately 11,220 railcars were financed in sale leaseback transactions. TRIP Holdings’ lease fleet included approximately 14,700 owned railcars that were 99.9% utilized as of December 31, 2010. In addition, Trinity manages railcar fleets on behalf of third-parties.
Construction Products Group
Through wholly owned subsidiaries, the Company’s Construction products group produces concrete and aggregates, and manufactures highway products, as well as, other steel products for infrastructure related projects. Trinity supplies ready mix concrete in certain areas of Texas with additional plant locations in Arkansas. Its customers for concrete include contractors and subcontractors in the construction and foundation industry who are located near its plant locations. The Company also distributes construction aggregates, such as crushed stone, sand and gravel, asphalt rock, and recycled concrete in several regions of Texas, as well as smaller operations in Arkansas and Louisiana. Its aggregates customers are primarily other concrete producers and paving contractors.
The Company’s highway products business is the producer of guardrails, crash cushions and other protective barriers that dissipate the force of impact in collisions between vehicles and fixed roadside objects in North America. Its crash cushions and other protective barriers include multiple products manufactured through various product license agreements with certain public and private research organizations and inventors. The Company holds patents and are a licensee for certain of its guardrail and end-treatment products. It sells highway products in Canada, Mexico, and all 50 of the United States. Trinity also exports its highway products to more than 50 countries worldwide.
Inland Barge Group
Through wholly owned subsidiaries, the Company’s Inland Barge Group is the manufacturer of inland barges in the United States and the manufacturer of fiberglass barge covers. Trinity manufactures a variety of dry cargo barges, such as deck barges, and open or covered hopper barges that transport various commodities, such as grain, coal and aggregates. It also manufactures tank barges used to transport liquid products. The Company’s fiberglass reinforced lift covers are used primarily for grain barges. Its four barge manufacturing facilities are located along the United States inland river systems, allowing for delivery to its customers. The Company’s primary Inland Barge customers are commercial marine transportation companies.
Energy Equipment Group
Through wholly owned subsidiaries, the Company’s Energy Equipment Group manufactures structural wind towers, tank containers and tank heads for pressure vessels, tank heads for non-pressure vessels, propane tanks, and utility, traffic, and lighting structures, along with power transmission poles. Trinity is a manufacturer of structural wind towers in North America for use in the wind energy market. These towers are manufactured in the United States and Mexico to customer specifications and installed by its customers. The Company’s customers are turbine producers. It is a manufacturer of tank containers and tank heads for pressure and non-pressure vessels. It manufactures tanks in the United States and Mexico. The Company markets a portion of its products in Mexico under the brand name of TATSA.
Trinity manufactures tank heads, which are pressed metal components used in the manufacturing of many of its finished products, as well as pressure rated or non-pressure rated tank heads, depending on their intended use. The Company uses a portion of the tank heads it manufactures in the production of its tank cars and containers. The Company also sells its tank heads to a range of other manufacturers. It manufactures propane tanks that are used by industrial plants, utilities, residences, and small businesses in suburban and rural areas. Trinity also manufactures fertilizer containers for bulk storage, farm storage, and the application and distribution of anhydrous ammonia. Its propane tank products range from nine-gallon tanks for motor fuel use to 1,800,000-gallon bulk storage spheres.
The Company sells its propane tanks to propane dealers and large industrial users. In the United States, the Company delivers the containers to its customers who install and fill the containers. Trinity manufactures utility, traffic, and lighting structures, which are used principally by municipalities, and various other local and state governmental entities. It also manufactures transmission structures to be used in the erection of private and public electric transmission lines. These structures are manufactured in the United States and Mexico to customer specifications and installed by its customers.
During the mid- to late 1980s more rail cars were being taken out of service than were purchased, creating pent-up demand, and Trinity anticipated a massive rail car replacement program on the part of the nation's railroad operators. However, while a steady flow of orders came in each year, massive reorders were not forthcoming, and in 1985 the company reported a $6 million loss on sales of $455 million--Trinity's first loss in 27 years. By the end of the decade the situation had finally reversed itself, and the company anticipated record profits. The number of companies producing rail cars had dropped from 17 to 6 in the mid-1980s, and Trinity controlled more than half the industry's entire output capacity.
The company's other units also made significant contributions. Trinity's consistently profitable LPG container sales provided the capital for the company's rail car acquisitions; although LPG handling was a mature industry offering limited opportunities for growth, Trinity's leading position was never seriously challenged and the unit brought in steady revenues. In 1987 the Master Tank and Welding Company and certain operations of the Brighton Corporation were purchased, augmenting the container and metal components business segments. Trinity's metal components division produced weld fittings, flanges, and container heads used in piping systems and on pressure and nonpressure tank containers for the oil and gas industry. Trinity remained the American leader in this highly active market.
The marine products division continued to operate in an extremely competitive environment, and profitability was inconsistent. The company continued to bid for new types of commercial watercraft contracts, including boats for the fishing industry, tug and barge units, river hopper barges for grain transportation, and surveillance ships for the United Sates Navy. The market remained sluggish in the late years of the decade. In 1987 Trinity sold two shipyards; the company upgraded its remaining shipbuilding capacity and acquired Moss Point Marine in 1988. The marine division invested heavily in training employees and upgrading plants. In the early 1990s demand for new ships and barges increased sharply. Trinity's investment began to pay off as the marine subsidiaries showed satisfactory profits and healthy backlogs of orders.
In the structural products segment, Trinity focused on products marketed to public utility, highway, and bridge construction, and de-emphasized its products used in high-rise and other building construction. Trinity expected to profit from massive federal highway revamping. In 1992 Trinity diversified into concrete for road construction with the acquisition of the Transit Mix Concrete and Materials Company, one of the largest concrete companies in Southeastern Texas.
Although Trinity's core businesses showed disappointing growth in the 1980s, the company was able to absorb some of its stronger competitors as they went out of business without overextending itself. The company entered the 1990s financially strong and ready to benefit from the long-anticipated modernization of the American transportation infrastructure.
Principal Subsidiaries: Beaird Industries, Incorporated; HBC Barge, Incorporated; McKees Rocks Forgings, Incorporated; Moss Point Marine, Incorporated; Standard Forged Products, Incorporated; Standard Forgings, Incorporated; Trinity-Axle Limited Partnership (90%); Trinity Industries Leasing Company; Trinity Railcar Leasing Corporation; Trinity Industries Transportation, Incorporated.
OVERALL
Beta: 2.51
Market Cap (Mil.): $2,654.92
Shares Outstanding (Mil.): 79.90
Annual Dividend: 0.36
Yield (%): 1.08
FINANCIALS
TRN.N Industry Sector
P/E (TTM): 29.60 40.63 18.80
EPS (TTM): 150.14 -- --
ROI: 1.91 1.77 4.19
ROE: 4.97 3.31 7.33
Statistics:
Public Company
Incorporated: 1933 as Trinity Steel
Employees: 9,800
Sales: $1.19 billion
Stock Exchanges: New York
SICs: 3743 Railroad Equipment; 3441 Fabricated Structural Metal; 3731 Ship Building & Repairing
Name Age Since Current Position
Timothy Wallace 57 1999 Chairman of the Board, President, Chief Executive Officer
James Perry 39 2011 Chief Financial Officer, Senior Vice President
William McWhirter 46 2010 SVP, Group President - Construction Products Segment
S. Theis Rice 60 2011 Senior Vice President , Chief Legal Officer
D. Stephen Menzies 55 2006 Senior Vice President; Group President of TrinityRail
Antonio Carrillo 44 2011 Senior Vice President, Group President - Energy Equipment Group
Mary Henderson 52 2010 Vice President, Chief Accounting Officer, Controller
Andrea Cowan 48 2001 Vice President
Donald Collum 62 2005 Vice President, Chief Audit Executive
Virginia Gray 51 2007 Vice President - Organizational Development
Madhuri Andrews 44 2008 Vice President - Information Technology
John Lee 50 1994 Vice President - Business Development
Gail Peck 43 2010 Treasurer
Jared Richardson 38 2010 Secretary, Associate General Counsel
John Adams 66 2007 Independent Director
David Biegler 64 1992 Independent Director
Diana Natalicio 71 1996 Independent Director
Ronald Gafford 61 1999 Independent Director
Ronald Haddock 70 2005 Independent Director
Rhys Best 64 2005 Presiding Independent Director
Adrian Lajous 67 2006 Independent Director
Leldon Echols 55 2007 Independent Director
Charles Matthews 66 2010 Independent Director
Douglas Rock 64 2010 Independent Director
Address:
2525 Stemmons Freeway
Dallas, Texas 75207-2401
U.S.A.
Now, the company has five business groups which are Rail Group, Construction Products Group, Inland Barge Group, Energy Equipment Group and Railcar Leasing & Management Services Group.
Trinity Industries, Incorporated, is a diversified manufacturer of heavy metal products. The company's six basic business segments comprise rail car leasing and the production of rail cars, marine products, structural metal products, pressure and non-pressure tank containers, and metal components. Trinity is a leading rail car manufacturer in the United States, controlling nearly half of the national production capacity for freight cars. Tank cars and hopper cars are leading products. Marine products such as commercial boats, barges, and offshore service vessels for the United States government make up the company's second largest business segment, generating about 17 percent of revenues. Pressure and non-pressure containers for gas and chemical storage, and structural products used in construction of highways, bridges, and buildings each account for 12 percent of revenues. Metal components such as weld fittings and container heads currently make up about eight percent of the company's sales, with the remaining five percent coming from rail car leasing operations.
Trinity Industries was formed in 1958 when the Dallas Tank Company merged with Trinity Steel Company, which made metal products for the petroleum industry; the name was changed to Trinity Industries in 1966. The company has been run by W. Ray Wallace since its first year. Wallace had joined the original Trinity Steel in the late 1940s as the company's 17th employee.
After the merger, Trinity was the only publicly owned company that produced a varied line of metal products for liquefied petroleum gas (LPG). LPG, a relatively new form of fuel at that time, is used for industrial production and residential heating. Compressed natural gas and petroleum by-products can be conveniently stored and transported in specially designed tanks that permit a consumer to obtain 270 cubic feet of gas from one liquified cubic foot. As the LPG industry grew rapidly in the late 1950s and early 1960s, Trinity was the only tank manufacturer operating across a large geographical area. The company's competitors were generally smaller concerns whose markets were limited to their own regions, and Trinity, demonstrating an ability to offer consistent quality to LPG suppliers, became the industry leader.
Trinity's tank manufacturing expertise was also applied to containers for anhydrous ammonia fertilizer, which was another burgeoning industry in the 1960s. Pressure and non-pressure storage containers made up about 75 percent of Trinity's business. The company also manufactured custom metal products for the chemical and petroleum industries, and enjoyed phenomenal growth in the 1960s.
In the early 1970s Trinity broadened its operations to include construction of marine vessels and fabrication of structural steel products. In 1973 the company bought the Equitable Equipment Company, with shipyards in New Orleans and Madisonville, Louisiana, and the Mosher Steel Company of Houston, a large manufacturer of steel beams and framing. Other structural steel operations were acquired or built, including the Texas Metal Fabricating Company in 1976. Trinity subsidiaries manufactured highway guardrails and a number of products aimed at the road construction industry. By 1977 bridge girders and other structural products generated 37 percent of Trinity's sales.
Trinity Industries, Inc. (Trinity), incorporated in 1933, is a multi-industry company that owns a variety of businesses, which provide products and services to the industrial, energy, transportation, and construction sectors. The Company manufactures and sells railcars and railcar parts in addition to leasing railcars to its customers through its integrated business model, which includes a captive leasing business, Trinity Industries Leasing Company (TILC). Trinity also manufactures and sells inland barges, structural wind towers, concrete and aggregates, highway products, tank containers, and a variety of steel parts and components. The Company serves its customers through five business groups: Rail Group, Railcar Leasing and Management Services Group, Construction Products Group, Inland Barge Group, and Energy Equipment Group.
The Company’s all other includes its insurance and transportation companies; legal, environmental and upkeep costs associated with non-operating facilities; other peripheral businesses, and the change in market valuation related to ineffective commodity hedges. Trinity’s foreign operations are primarily located in Mexico. Trinity manufactures railcars, propane tank containers, tank heads, structural wind towers, and other parts at its Mexico facilities for local consumption, as well as for export to the United States and other countries.
Rail Group
Through wholly owned subsidiaries, the Company’s Rail Group is the freight railcar manufacturer in North America (Trinity Rail Group). It provides railcars used for transporting a variety of liquids, gases and dry cargo. Trinity Rail Group offers an array of railcar solutions to its customers. It manufactures a line of railcars, including auto carrier cars, box cars, gondola cars, hopper cars, intermodal cars, specialty cars, and tank cars. The Company also, provides a variety of railcar components primarily for the North American market from its plants in the United States and Mexico. It manufactures and sells railcar parts used in manufacturing and repairing railcars, such as couplers, axles and other devices. It also has two repair and coating facilities located in Texas. Its customers include railroads, leasing companies, and shippers of products, such as utilities, petrochemical companies, grain shippers, agricultural product companies, and construction and industrial companies. During the year ended December 31, 2010, Trinity shipped approximately 4,750 railcars, or approximately 29% of total North American railcar shipments.
Railcar Leasing and Management Services Group
Through the Company’s wholly owned subsidiaries, primarily TILC, and a majority owned subsidiary, TRIP Rail Holdings LLC (TRIP Holdings), it provides operating leases for tank cars and freight cars. As a provider of leasing and management services, its Leasing Group is a resource that links its Rail Group with the Company’s customers. Trinity’s Rail Group and TILC coordinate sales and marketing activities under the brand name TrinityRail, thereby providing a single point of contact for railroads and shippers seeking solutions to their rail equipment and service needs.
The Company’s railcars are leased to industrial shippers and railroads. These companies operate in the petroleum, chemical, agricultural and energy industries, among others. Substantially all of its railcars are manufactured by its Rail Group. The terms of the Company’s railcar leases vary from 1 to 20 years and provide for fixed monthly rentals. A small percentage of its fleet is leased on a per diem basis. As of December 31, 2010, the lease fleet of the Company’s wholly owned subsidiaries included approximately 51,910 owned or leased railcars that were 99.3% utilized. Of this total, approximately 40,690 railcars were owned by TILC and approximately 11,220 railcars were financed in sale leaseback transactions. TRIP Holdings’ lease fleet included approximately 14,700 owned railcars that were 99.9% utilized as of December 31, 2010. In addition, Trinity manages railcar fleets on behalf of third-parties.
Construction Products Group
Through wholly owned subsidiaries, the Company’s Construction products group produces concrete and aggregates, and manufactures highway products, as well as, other steel products for infrastructure related projects. Trinity supplies ready mix concrete in certain areas of Texas with additional plant locations in Arkansas. Its customers for concrete include contractors and subcontractors in the construction and foundation industry who are located near its plant locations. The Company also distributes construction aggregates, such as crushed stone, sand and gravel, asphalt rock, and recycled concrete in several regions of Texas, as well as smaller operations in Arkansas and Louisiana. Its aggregates customers are primarily other concrete producers and paving contractors.
The Company’s highway products business is the producer of guardrails, crash cushions and other protective barriers that dissipate the force of impact in collisions between vehicles and fixed roadside objects in North America. Its crash cushions and other protective barriers include multiple products manufactured through various product license agreements with certain public and private research organizations and inventors. The Company holds patents and are a licensee for certain of its guardrail and end-treatment products. It sells highway products in Canada, Mexico, and all 50 of the United States. Trinity also exports its highway products to more than 50 countries worldwide.
Inland Barge Group
Through wholly owned subsidiaries, the Company’s Inland Barge Group is the manufacturer of inland barges in the United States and the manufacturer of fiberglass barge covers. Trinity manufactures a variety of dry cargo barges, such as deck barges, and open or covered hopper barges that transport various commodities, such as grain, coal and aggregates. It also manufactures tank barges used to transport liquid products. The Company’s fiberglass reinforced lift covers are used primarily for grain barges. Its four barge manufacturing facilities are located along the United States inland river systems, allowing for delivery to its customers. The Company’s primary Inland Barge customers are commercial marine transportation companies.
Energy Equipment Group
Through wholly owned subsidiaries, the Company’s Energy Equipment Group manufactures structural wind towers, tank containers and tank heads for pressure vessels, tank heads for non-pressure vessels, propane tanks, and utility, traffic, and lighting structures, along with power transmission poles. Trinity is a manufacturer of structural wind towers in North America for use in the wind energy market. These towers are manufactured in the United States and Mexico to customer specifications and installed by its customers. The Company’s customers are turbine producers. It is a manufacturer of tank containers and tank heads for pressure and non-pressure vessels. It manufactures tanks in the United States and Mexico. The Company markets a portion of its products in Mexico under the brand name of TATSA.
Trinity manufactures tank heads, which are pressed metal components used in the manufacturing of many of its finished products, as well as pressure rated or non-pressure rated tank heads, depending on their intended use. The Company uses a portion of the tank heads it manufactures in the production of its tank cars and containers. The Company also sells its tank heads to a range of other manufacturers. It manufactures propane tanks that are used by industrial plants, utilities, residences, and small businesses in suburban and rural areas. Trinity also manufactures fertilizer containers for bulk storage, farm storage, and the application and distribution of anhydrous ammonia. Its propane tank products range from nine-gallon tanks for motor fuel use to 1,800,000-gallon bulk storage spheres.
The Company sells its propane tanks to propane dealers and large industrial users. In the United States, the Company delivers the containers to its customers who install and fill the containers. Trinity manufactures utility, traffic, and lighting structures, which are used principally by municipalities, and various other local and state governmental entities. It also manufactures transmission structures to be used in the erection of private and public electric transmission lines. These structures are manufactured in the United States and Mexico to customer specifications and installed by its customers.
During the mid- to late 1980s more rail cars were being taken out of service than were purchased, creating pent-up demand, and Trinity anticipated a massive rail car replacement program on the part of the nation's railroad operators. However, while a steady flow of orders came in each year, massive reorders were not forthcoming, and in 1985 the company reported a $6 million loss on sales of $455 million--Trinity's first loss in 27 years. By the end of the decade the situation had finally reversed itself, and the company anticipated record profits. The number of companies producing rail cars had dropped from 17 to 6 in the mid-1980s, and Trinity controlled more than half the industry's entire output capacity.
The company's other units also made significant contributions. Trinity's consistently profitable LPG container sales provided the capital for the company's rail car acquisitions; although LPG handling was a mature industry offering limited opportunities for growth, Trinity's leading position was never seriously challenged and the unit brought in steady revenues. In 1987 the Master Tank and Welding Company and certain operations of the Brighton Corporation were purchased, augmenting the container and metal components business segments. Trinity's metal components division produced weld fittings, flanges, and container heads used in piping systems and on pressure and nonpressure tank containers for the oil and gas industry. Trinity remained the American leader in this highly active market.
The marine products division continued to operate in an extremely competitive environment, and profitability was inconsistent. The company continued to bid for new types of commercial watercraft contracts, including boats for the fishing industry, tug and barge units, river hopper barges for grain transportation, and surveillance ships for the United Sates Navy. The market remained sluggish in the late years of the decade. In 1987 Trinity sold two shipyards; the company upgraded its remaining shipbuilding capacity and acquired Moss Point Marine in 1988. The marine division invested heavily in training employees and upgrading plants. In the early 1990s demand for new ships and barges increased sharply. Trinity's investment began to pay off as the marine subsidiaries showed satisfactory profits and healthy backlogs of orders.
In the structural products segment, Trinity focused on products marketed to public utility, highway, and bridge construction, and de-emphasized its products used in high-rise and other building construction. Trinity expected to profit from massive federal highway revamping. In 1992 Trinity diversified into concrete for road construction with the acquisition of the Transit Mix Concrete and Materials Company, one of the largest concrete companies in Southeastern Texas.
Although Trinity's core businesses showed disappointing growth in the 1980s, the company was able to absorb some of its stronger competitors as they went out of business without overextending itself. The company entered the 1990s financially strong and ready to benefit from the long-anticipated modernization of the American transportation infrastructure.
Principal Subsidiaries: Beaird Industries, Incorporated; HBC Barge, Incorporated; McKees Rocks Forgings, Incorporated; Moss Point Marine, Incorporated; Standard Forged Products, Incorporated; Standard Forgings, Incorporated; Trinity-Axle Limited Partnership (90%); Trinity Industries Leasing Company; Trinity Railcar Leasing Corporation; Trinity Industries Transportation, Incorporated.
OVERALL
Beta: 2.51
Market Cap (Mil.): $2,654.92
Shares Outstanding (Mil.): 79.90
Annual Dividend: 0.36
Yield (%): 1.08
FINANCIALS
TRN.N Industry Sector
P/E (TTM): 29.60 40.63 18.80
EPS (TTM): 150.14 -- --
ROI: 1.91 1.77 4.19
ROE: 4.97 3.31 7.33
Statistics:
Public Company
Incorporated: 1933 as Trinity Steel
Employees: 9,800
Sales: $1.19 billion
Stock Exchanges: New York
SICs: 3743 Railroad Equipment; 3441 Fabricated Structural Metal; 3731 Ship Building & Repairing
Name Age Since Current Position
Timothy Wallace 57 1999 Chairman of the Board, President, Chief Executive Officer
James Perry 39 2011 Chief Financial Officer, Senior Vice President
William McWhirter 46 2010 SVP, Group President - Construction Products Segment
S. Theis Rice 60 2011 Senior Vice President , Chief Legal Officer
D. Stephen Menzies 55 2006 Senior Vice President; Group President of TrinityRail
Antonio Carrillo 44 2011 Senior Vice President, Group President - Energy Equipment Group
Mary Henderson 52 2010 Vice President, Chief Accounting Officer, Controller
Andrea Cowan 48 2001 Vice President
Donald Collum 62 2005 Vice President, Chief Audit Executive
Virginia Gray 51 2007 Vice President - Organizational Development
Madhuri Andrews 44 2008 Vice President - Information Technology
John Lee 50 1994 Vice President - Business Development
Gail Peck 43 2010 Treasurer
Jared Richardson 38 2010 Secretary, Associate General Counsel
John Adams 66 2007 Independent Director
David Biegler 64 1992 Independent Director
Diana Natalicio 71 1996 Independent Director
Ronald Gafford 61 1999 Independent Director
Ronald Haddock 70 2005 Independent Director
Rhys Best 64 2005 Presiding Independent Director
Adrian Lajous 67 2006 Independent Director
Leldon Echols 55 2007 Independent Director
Charles Matthews 66 2010 Independent Director
Douglas Rock 64 2010 Independent Director
Address:
2525 Stemmons Freeway
Dallas, Texas 75207-2401
U.S.A.