Enters into Transaction to Manage Capital Intermodal and Xines Fleets

HAMILTON, Bermuda, Jun 22, 2009 (BUSINESS WIRE) -- Textainer Group Holdings Limited (NYSE:TGH) (“Textainer” or the “Company”), the world’s largest lessor of intermodal containers based on fleet size, today reported that it entered into an agreement with Capital Intermodal Limited, Capital Intermodal GmbH, Capital Intermodal Inc., Capital Intermodal Assets Limited (jointly, “Capital Intermodal”), and Xines Limited (“Xines”, and together with Capital Intermodal, “Capital”) to purchase the rights to manage Capital’s 156,000 twenty-foot equivalent unit (“TEU”) container fleet effective as of July 1, 2009.

With this agreement and including the acquisition of management rights for Amficon’s container fleet, which was announced on April 16, 2009, Textainer has added 300,000 TEU to its fleet, representing an increase of 15%. As a result of these purchases, Textainer will operate a fleet of approximately 2.3 million TEU.

John Maccarone, President and CEO of Textainer, commented, “We are proud to have entered into our second transaction with Ian Karan, a legend in container leasing and trading and noted philanthropist. With this agreement, we have once again drawn upon our considerable financial flexibility to further enhance the Company’s leading position and cost effectively increase its earnings power in a low-risk manner. We expect this transaction to be immediately accretive to earnings and further reduce our overhead cost per container. In addition, the fleet has an average age of only two years and, as a result, we anticipate it will generate attractive management fees until at least 2019. The fleet also includes refrigerated containers, an area of emphasis for Textainer, as well as several other types of special containers which complement our strategic growth initiatives.”

Mr. Maccarone continued, “We are pleased to continue to take advantage of this challenging economic environment and expand the Company in a disciplined manner that meets our strict growth and return criteria. In accomplishing this important objective, we have maintained our significant financial strength, which includes over $350 million in liquidity. Accordingly, we remain well positioned to continue to seek additional favorable opportunities in acquisitions, purchase-leasebacks and long-term lease transactions, which we believe may arise in the second half of 2009.”

Ian K. Karan, Chairman of Capital Intermodal, said, “Two years ago, amid stiff competition, I chose Textainer to manage the 510,000 TEU Capital Lease Limited fleet. Textainer’s performance even in this challenging operating environment has been exemplary, and I remain pleased with my decision. The fleet of mostly specialized units operating under Capital Intermodal has expanded rapidly since its inception in 2005 both organically and through the takeover of the Management of the Xines Ltd. fleet. In addition to standard dry freight containers, the fleet consists of refrigerated, tank and bulk containers and also includes open tops, flat racks, bitumen and other highly specialized equipment. Capital Intermodal’s customer base extends over 100 operators and shipping lines and the investment in the owned and managed fleet totals over $500 million. In today’s difficult economic environment, it seemed obvious to me that a company of the scale and depth of Textainer should guide Capital Intermodal going forward.

“Inevitably, Textainer was the best choice to manage a large part of the fleet. Capital Intermodal will continue to be an investor in containers and will operate certain types of equipment such as tank containers for its own account.”

Important Cautionary Information Regarding Forward-Looking Statements

This press release contains forward-looking statements within the meaning of U.S. securities laws. Forward-looking statements include statements that are not statements of historical facts, and include, without limitation, statements regarding (i) Textainer’s expectation that the acquisition of management rights to Capital’s container fleet will cost effectively increase its earnings power in a low-risk manner; (ii) Textainer’s expectation that the Capital acquisition will be immediately accretive to earnings and further reduce its overhead cost per container; (iii) Textainer’s expectation that the Capital acquisition will generate attractive management fees until at least 2019 and (iv) Textainer’s belief that additional favorable opportunities in acquisitions, purchase-leasebacks and long-term lease transactions may arise in the second half of 2009. These risks and uncertainties include, without limitation, the possibility that the economies of scale, cost savings, and any other synergies expected from the acquisition may not be fully realized or may take longer to realize than expected; the risk that the acquisition could present unforeseen integration obstacles or costs; the continued downturn and other adverse developments in the global economy; the Company’s continued ability to finance any future transactions, including the Company’s continued borrowing availability under its debt facilities; and other risks and uncertainties, including those set forth in the Company’s filings with the Securities and Exchange Commission. For a discussion of some of these risks and uncertainties, see Item 3, “Key Information--Risk Factors” and Item 5, “Operating and Financial Review and Prospects” in the Company’s Annual Report on Form 20-F for the fiscal year ended December 31, 2008 filed with the Securities and Exchange Commission on March 16, 2009 and the risks and uncertainties described in the Company’s Quarterly Report on Form 6-K for the three months ended March 31, 2009 filed with the Securities and Exchange Commission on May 12, 2009.

The Company’s views, estimates, plans and outlook as described in this press release may change subsequent to the release of this press release. The Company is under no obligation to modify or update any or all of the statements it has made herein despite any subsequent changes the Company may make in its views, estimates, plans or outlook for the future.

About Textainer Group Holdings Limited

Textainer has operated since 1979 and is the world’s largest lessor of intermodal containers based on fleet size. We currently have a total of more than 1.3 million containers, representing 2.15 million TEU, in our owned and managed fleet. We lease containers to more than 400 shipping lines and other lessees. We principally lease dry freight containers, which are by far the most common of the three principal types of intermodal containers, although we also lease refrigerated and other specialized containers. We have been one of the largest purchasers of new containers among container lessors over the last 10 years. We believe we are one of the largest sellers of used containers, having sold more than 170,000 containers during the last two years. We provide our services worldwide via a network of 14 regional and area offices and over 330 independent depots in more than 150 locations.

SOURCE: Textainer Group Holdings Limited

Textainer Group Holdings Limited
Mr. Tom Gallo, 415-658-8227
Investor Relations Director
ir@textainer.com
or
Capital Intermodal GmbH
Mrs. Navina Karan, +49-40-41 47 79 38
n.karan@capital-intermodal.com

Copyright Business Wire 2009