CAI - CAI International to sell its remaining railcar fleet; Q4 net income to grow 40%

CAI International ([[CAI]] +4.1%) reached an agreement to sell all of its remaining railcar fleet to affiliates of Infinity Transportation for $228.7M.Transaction is subject to Hart-Scott-Rodino review and closing is expected to occur on or before Dec. 31, 2020.The sale will generate ~$33M in net cash proceeds after repayment of rail related debt and transaction costs; the company expects to incur an after-tax loss of ~$17M in discontinued operations ($0.96 per fully diluted share).Around 75% of the charge represents a non-cash write down of the carrying cost of our rail car fleet, with the remaining 25% consisting of selling and employee related costs.The forward order book of committed leases is increasing, CAI's utilization, which is currently 99.4% and continues to trend upwards."We will also benefit from a locked-in low cost interest rate position over the next several years, as ~80% of our funded debt is fixed at an average rate

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CAI International to sell its remaining railcar fleet; Q4 net income to grow 40%