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RSC Files IPO Registration Statement

SCOTTSDALE, Ariz. — RSC Holdings Inc. recently filed a registration statement on Form S-1 with the Securities and Exchange Commission to file an initial public offering of common stock. The number of shares to be offered and the price range has not yet been determined. The company plans to go public on the New York Stock Exchange.

Deutsche Bank Securities and Morgan Stanley & Co. will act as joint global coordinates and, together with Lehman Brothers, will act as joint book-running managers for the offering. The offering of common stock will be made only by means of a prospectus.

Stockholm, Sweden-based manufacturer Atlas Copco sold 85 percent of RSC to Ripplewood Holdings LLC and Oak Hill Capital Partners in a deal finalized last December for about $3.8 billion. Based in Scottsdale, Ariz., RSC Equipment Rental is No. 2 on the RER 100 listing of North America's 100 largest rental companies with $1.2 billion in rental revenue in 2005. Atlas Copco retained ownership of about 15 percent of the company.

According to the S-1, RSC grossed $1 billion in rental volume for the nine months ended Sept. 30, 2006, with total revenue for the period of $1.2 billion. Rental revenue for the 12-month period ended Sept. 30 was $1.3 billion, with $1.6 billion in total volume for the period. The numbers compare favorably with the calendar year of 2005, when RSC posted $1.1 billion in rental volume and $1.5 billion in total revenue, the filing said.

The filing adds that through Sept. 30, RSC experienced positive same-store, year-over-year rental revenue growth for 13 consecutive quarters. During 2004, 2005, and the first nine months of 2006, respectively, RSC's same-store rental revenue growth was 12 percent, 18 percent and 21 percent. Operating income growth was 76 percent, 44 percent and 46 percent for the same period.

As of Sept. 30, RSC had 452 rental locations across nine regions in the United States and parts of Canada.

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