*All RER 100 rankings are current for the time in question unless otherwise noted.
Jan. ’90
Grace Equipment changes name to Prime Equipment and names Tom Bennett its new CEO, replacing Roger Weems. In an interview with RER, Bennett describes himself as “a street-smart guy who knows how to make money.”
Feb. ’90
Brambles, an Australian company, acquires Wreckair and its U.S. rental holdings.
1990
Pop group Milli Vanilli is forced to give its Grammy back in 1990 after the duo was found out to be a fraud because they used other singers to record their songs.
May ’90
The RER 50 is now the RER 100, listing more companies to reflect industry growth. Still, HERC occupies the top spot with $199.7 million in rental volume.
July ’90
Ashtead Plant Hire joins fellow British rental companies BET and Vibroplant in acquiring a U.S. beachhead with the purchase of Sunbelt Rentals, a two-location rental company. Still owned by Ashtead, Sunbelt now has 450 locations.
1990
Continental Airlines files for bankruptcy in 1990.
Sept. ’90
Acme Rents expands to 25 branches with the acquisition of San Francisco’s Can Do Equipment Rentals.
Jan. ’91
Italian automobile and equipment manufacturer Fiat acquires 80 percent of Ford New Holland.
1991
Elizabeth Taylor marries Larry Fortensky, her eighth husband, in 1991.
May ’91
Often called the grandfather of rentals, influential pioneer Sam Greenberg of Sam’s U-Drive dies at age 81. The popular Greenberg started renting trucks in 1935.
1991
Michael Jordan leads the Chicago Bulls to victory in the first of two sets of three-peats of the NBA Championship title from 1991-1993 and 1996-1998.
1991
Four white police officers are indicted in 1991 in the beating of Rodney King in Los Angeles.
1991
Terminator 2 is the most expensive movie ever made, costing more than $100 million in 1991.
1991
After 13 seasons, the television drama Dallas ends in 1991.
1991
The 150HAX, a four-wheel-drive/four-wheel-steer unit, is introduced by JLG Industries as the world’s highest-reaching self-propelled lift. Construction Equipment magazine names it one of the top new construction products for that year.
1991
The cost of a U.S. postage stamp rises to $0.29 in 1991.
Nov. ’91
Troubles in Houston’s banking system lead to the Chapter 11 bankruptcy protection filing of Gaedcke Equipment Co., No. 40 on the RER 100. When Mbank, which had financed Gaedcke’s line of credit and real estate loans, failed, its acquirer Bank One demanded payment in full for all debts to the failed bank.
Jan. ’92
In the midst of a recession, the rental industry is energized by the recently signed $151 billion surface transportation bill focused on rehabilitating a newly designated 155,000-mile national highway system.
Jan. ’92
The looming possibility of tightening environmental regulations has rental companies concerned that engine emission regulations may increase the price of equipment.
1992
ARA hires an independent consulting firm to determine what the association can do to better serve its members.
1992
CRA contacts membership asking them to list the equipment they would have available in case of emergency. Members were asked to list the person who could be contacted at any hour, as well as to list universities, hospitals, zoos and other organizations that might benefit from the services of a rental company in the event of an emergency. An example of how the program would work was illustrated during the 1989 San Francisco earthquake when a Santa Cruz rental company sent generators to an aquarium, saving the lives of hundreds of fish.
1992
Concerns over lead poisoning present an opportunity for rental companies to offer products, such as blasting equipment and HEPA vacuum units, that can help federal and state health agencies in their efforts to remove lead from homes, the air, soil and water.
April ’92
A Letter to the Editor in April 1992 tells the tale of a customer who brought her puppy in to a rental center in Richmond, Va., to use a metal detector to determine if the animal had swallowed her wedding rings. Indeed, it had, but a couple weeks passed and so did the rings.
March ’92
Rental pioneer K.D. Sampson dies at the age of 85. Sampson entered the Phoenix rental industry with a handmade trailer in 1946. Changed the company name from Sampson Equipment Rentals to Rental City when it reached four branches.
“Mr. Sampson was to Arizona what Sam Greenberg was to California,” says Bob Robinson of Kachina Rentals in Phoenix, who worked for Sampson in the 1960s.
May ’92
The 1992 Los Angeles riots, ignited after the not-guilty verdict came down for the four police officers accused of beating Rodney King, didn’t spare South-Central LA rental centers. Central Rentals is destroyed by fire and looting despite the best efforts of its owner Tony Lyons (pictured) to protect the rental yard with a gun from the roof of the building. Customers were still coming in to rent generators and other equipment, even while the fire was raging.
1992
RER celebrates 35 years.
Oct. ’92
RER reports that Associated General Contractors of America, Washington, D.C., recently released two coloring books designed to promote construction careers to children in kindergarten through third grade. The story suggests rental companies consider carrying the coloring books at the counter for contractor customers’ children.
Nov. ’92
A new study co-sponsored by Associated Equipment Distributors indicates a dramatic upswing in construction industry rentals over the past 10 years. The Rental 2000 study, conducted by Chicago-based Manfredi & Associates, shows that the number of businesses renting construction equipment has nearly tripled since 1982. Manfredi’s study indicates that estimated annual rental revenue for those firms has increased nearly five-fold during that period, from $240,000 to $1.1 million. Total construction equipment industry revenue has increased from $614 million to nearly $8 billion during this 10-year span, the survey reports.
1993
Tom Hanks wins two consecutive Academy Awards for Best Actor in 1993 and 1994 for his performances in Philadelphia and Forrest Gump.
March ’93
The National Rental Association forms and announces it will hold a national show called The Rental World Trade Exposition in Indianapolis, amidst industry skepticism.
In September The Rental World convention draws only a few hundred attendees, far fewer than the 5,000 predicted by the National Rental Association.
June ’93
After four years as RER managing editor, Michael Roth is named editor in chief.
June ’93
Acme Group acquires Rental Service Co., ranked No. 72 on the RER 100.
July ’93
Massive floods across the Midwest cause extensive damage to the Elwood and Wathena, Kan., facilities of high-reach equipment manufacturer Snorkel-Economy.
Aug. ’93
Klaus Wacker, president of Wacker Corp. dies of cancer at age 51. Wacker was the fifth generation of the Wacker family to play a major role in the construction manufacturing company. Wacker worked his way up in the company, becoming president in 1977.
Nov. ’93
The Construction Industry Manufacturers’ Association announces that ConExpo will begin for the first time on a three-year cycle in 1996. The construction equipment trade show was previously held every six years.
Nov. ’93
Edward Harding, executive vice president and co-founder of Edco dies at 68. Harding was the design engineer for Edco and he developed many of the products the company manufactured and sold to rental centers throughout the world. He held more than a dozen patents. Harding co-founded Edco in 1959 in Silver Spring, Md., with still-active Leo Swan.
1993
Versatility of the backhoe loader has catapulted it to the most popular piece of construction equipment in North America. According to Construction Equipment magazine, in 1993, there were an estimated 221,000 backhoe loaders at work in North America — more than any type of construction machine. The magazine estimated that 25- to 35-percent of backhoe loaders in the United States are first used in a rental fleet. Rental centers are becoming more attuned to the benefits and versatility that attachments can add to these machines.
1993
The Brady Bill is passed in 1993 mandating a waiting period before purchasing a gun.
Dec. ’93
Burch-Lowe, No. 60 on the 1993 RER 100, acquires Conley Ga.-based Trico Equipment Co., which has two branches in Albany and Savannah, Ga., in an effort to have rental centers operating in all of the markets in Georgia with a population greater than 100,000. The company says it hopes to capitalize on the strong economy in Georgia that exists leading up to the Summer Olympic Games in 1996.
Jan. ’94
A STAFDA report indicates that national discount chain stores such as Home Depot and Lowe’s are taking aim at customers beyond the homeowner/DIYers, and expanding their efforts to another segment of rental customers — contractors.
In 1992, Home Depot reported a 39-percent sales increase, with 12.3 percent of its $7.1 billion in sales coming from power tools and hardware. Another big chain, Contractors’ Warehouse, has already launched a rental program — a sign of what’s to come with Home Depot Rentals and Lowe’s future partnership with NationsRent.
Jan. ’94
Rescoe Rents, then ranked No. 27 on the RER 100, opens a new division called Resco Power that specializes in renting temporary electrical power and climate systems. There is a growing need for temporary power solutions — construction sites, sporting events, concerts, carnivals, golf tournaments.
Jan. ’94
Devastating Southern California earthquake helps spur rental business in the recession-plagued region.
Jan. ’94
Prior to the major consolidation of the rental industry in the late 90s, RER ran a series of three articles, with the third published in Jan. ’94 (the first two ran in July & Aug. ’93), on business valuation.
Feb. ’94
The 38th annual Rental Show is held in Miami Beach, Fla., despite an avalanche of negative media reports concerning attacks on tourists in the Miami area in the prior year. Exhibitors report increased buying from the third-largest crowd in the show’s history.
Feb. ’94
RER publishes article titled, “Will NAFTA Bring A Rental Boom?” Increased infrastructure spending and a possible Mexican construction boom has rental industry hopeful that NAFTA will bring new opportunities to manufacturers and rental centers.
Feb. ’94
The cell phone industry is growing rapidly, several California rental centers are exploring the potential of cell phone sales and rentals in an attempt to capture revenue in an area untapped by the rental industry. CRA encourages members to try the concept at their locations.
March ’94
One month after the RER cover story spotlighting Prime Equipment and its CEO Tom Bennett, it’s parent company announces it is exploring strategic alternatives for the No. 2-ranked company on the 1993 RER 100.
In December, Investcorp, a New York-based international investment bank, acquires Prime Equipment for an estimated $300 million.
April ’94
RER reports that equipment lead times are growing longer, causing logistical nightmares for some rental companies.
May ’94
RER 100 shows signs of recovery after a period of recession. The survey reveals an all-time high volume of $1.7 billion, and many companies say they are more profitable now than before the recession, a result of lessons learned from lean business management.
1994
Dan Kaplan, CEO of Hertz Equipment Rental Corp., publishes Service Success!, which offers a comprehensive guide on how to run a rental operation.
Aug. ’94
In response to the severe economic climate in Southern California during the early 90s recession, GKN Rentals develops a creative approach to doing business. The company, observing that its contractor customers care less about a fancy showroom than whether the equipment works and is delivered on time, identifies areas of potential building activity, signs short-term leases for small patches of land and rents equipment out of portable facilities.
Sept. ’94
Telescopic handlers start to pervade forklifts in the material-handling segment. Gradall, SkyTrak and JCB offer them.
1994
In 1994, a jury awards $2.9 million to a woman scalded by McDonald’s coffee.
Oct. ’94
RER profiles Hawthorne Rent-it Service, which was No. 27 on the 1993 100. Today the company is No. 38.
Dec. ’94
Investcorp, a New York-based international investment bank, acquires Prime Equipment for an estimated $300 million.
1995
After a strong year in 1994, RER readers expect solid gains in 1995. Rental people have the most optimistic attitude of any time yet in the 90s.
Jan. ’95
A 7.2-magnitude earthquake rocks Kobe, Japan, leaving millions without basic services. Equipment manufacturers serving the U.S. rental industry expect the impact on deliveries from machines manufactured there to be minimal.
Feb. ’95
Bob Grasse, industry pioneer and co-founder of influential Acme Rents dies at age 75. Bob was the brother of RER columnist Bill Grasse, Mr. RenTopics. The Grasse family is still involved in the industry.
Feb. ’95
British GKN Rentals sells its U.S. assets to two Southern California rental companies — Pro Equipment Co., based in Bellflower, Calif., and Santa Fe Springs-based Able Equipment.
Feb. ’95
This issue’s cover story looks as how the rental industry has rebounded from the tough recession of the early ’90s and equipment rental is now an integral part of the fabric of American life. Regional rental companies and distributors are emerging as the major players in the rental industry.
“There has been a dramatic shift from ownership to rentals since 1986,” says Dan Kaplan, president of Hertz Equipment Rental Corp. “It’s increasing significantly year by year.”
A more crowded rental market is emerging as one of the most profound challenges rental centers will face in the late 90s.
The recession leads many manufacturers to scale down production and convert to a just-in-time approach to manufacturing.
April ’95
RER launches fax newsletter called RER Reports. The weekly four-page newsletter is $247 per year for 48 issues, plus occasional special editions for late-breaking news stories.
May ’95
The rental industry’s two major associations, the American Rental Association and the California Rental Association initiate discussions on a potential restructuring of the industry’s long-standing tradeshow format. ARA decides to cut its regional shows in favor of East and West Coast shows in the fall, and its usual national tradeshow in February.
May ’95
RER 100 total rental volume tops $2 billion mark, with the top 10 companies alone surpassing $1 billion in volume — another first. The RER 100 combined for almost $400 million more in rentals than 1993’s RER 100, an astounding 24-percent increase.
July ’95
During papal ceremonies earlier this year in the Philippines and Australia, Pope John Paul II is transported to the speakers’ platform by Snorkel SL-25 scissorlifts. Australian sales manager Dave Miller greets the pope at a downtown Sydney appearance.
July ’95
U.K.-based Vibroplant PLC announces plans to sell American Hi-Lift, No. 8 on the most recent RER 100. Former American Hi-Lift CEO Guy Ramsey is now publisher of Lift & Access Magazine.
Aug. ’95
A boom in communications infrastructure construction, namely laying fiber-optic cable, is boosting rentals of trenchers and directional boring equipment. Telecommunications companies are spending millions of dollars to build information superhighway infrastructure, which includes digging trenches to connect service lines to millions of U.S. homes and businesses.
Oct. ’95
Acme Rents restructures after emerging from bankruptcy and changes its name to Rental Service Corp., moving its headquarters from Irvine, Calif., to Scottsdale, Ariz.
1995
In 1995, more than 7 million people subscribe to online computer services for Internet access.
Oct. ’95
After months of hush-hush planning, including joining ARA under an abbreviated name, The Home Depot opens two rental departments in Nashville, Tenn., offering a range of new homeowner equipment at rates well below market. If successful, the company says it plans to rapidly roll out additional stores in other markets.
Nov. ’95
The DVD (digital video/versatile disc) is introduced in Nov. 1995, and backed by major players in the CE, IT and movie industries. The first DVD players appear in Japan in Nov. ’96, followed by the U.S. in March ’97.
Jan.’ 96
Bruce Simpson, manager of Action Rentals, Lenexa, Kan., goes out of his way to pick up and store a car trailer stolen from Simi Valley, Calif.-based Tri-Valley Rentals & Sales that ends up in Lenexa. Tri-Valley’s Richard Campbell writes a letter to RER to publicly thank Simpson for his kindness.
Feb. ’96
Deere & Co. acquires a minority interest in Phoenix-based Sunstate Equipment, No. 14 on the RER 100.
Feb. ’96
Prime Equipment, ranked No. 3 on the RER 100, reaches a definitive agreement with United Kingdom-based Vibroplant to acquire the outstanding stock of Euless, Texas-based American Hi-Lift Corp., No. 8 on the RER 100, ending months of speculation that Prime would acquire the company. Including the payment by Prime of existing debt, the transaction is valued at about $67.5 million.
Feb. ’96
Greenville, S.C.-based American Equipment Co., led by president Jeff Putman, acquires S&R Equipment Co., one of the Midwest’s leading high-reach equipment dealers and rental companies. American is No. 6 on the RER 100, and Perrysburg, Ohio-based S&R is No. 34.
March ’96
Accelerating Caterpillar’s involvement in the rental industry, Toromont Cat, a Canadian Caterpillar dealer acquires Battlefield Equipment, one of Canada’s largest rental companies. Battlefield is ranked No. 60 on the RER 100 with 1994 rental volume of U.S. $9.9 million. In a fast-tracked expansion effort, Battlefield acquires London, Canada-based MBS Equipment just two months later. Today, Battlefield Equipment Rentals is No. 22 with 2006 rental volume of U.S. $88 million.
’96 Sunbelt Rentals acquires McLean Rentals, No. 29 on the RER 100. The $30 million deal, brings the number of locations operated by Sunbelt to 24, and gives the company combined sales and rental revenues of more than $75 million. Former McLean Rentals owner Tod Theros does not stay on with the company.
July ’96
Past ARA president and industry veteran Skip Evans and his partner Larry Davidson sell Zodiac Rentals to investment company Bace Industries, which plans to acquire a slew of medium-sized rental centers throughout the U.S. to create a national rental power, which it calls RentX Industries.
Just one month later, Rent X Industries acquires A to Z Rentals & Sales in Spokane, Wash., and in Sept. acquires E-Z Way Rentals, a five-location general tool rental company in Eagle, Colo.
July ’96
Chicago venture capital firm Golder, Thoma, Cressey, Rauner Inc. acquires the funding to begin a series of acquisitions of rental companies and forms a purchase chain called National Equipment Services. Kevin Rodgers, former president and CEO of Brambles Equipment Services, partners with the firm and is named president and CEO of NES.
July ’96
Jerry Losey (pictured), owner of Albuquerque, N.M.-based Zuni Rentals, dies in a plane crash over Colorado. Losey overcame a life-long fear of flying and learned to pilot his own plane. Zuni Rentals is acquired by Denver-based Center Rentals & Sales in Oct.
Aug. ’96
A new survey released by the Associated Equipment Distributors shows that 77.4 percent of equipment customers prefer to rent and purchase equipment from the same dealer whenever possible. The survey of 754 contractors, government agencies and other equipment users also found that 32.5 percent of the respondents value the relationship with their rental dealer above all other factors when choosing where to rent.
Sept. ’96
Scottsdale, Ariz.-based Rental Service Corp. goes public with an IPO of 5 million shares. The company raises $88 million by selling 5½ million shares at $16 a piece. By mid-Oct., the stock is trading in the $23 to $25 range.
Sept. ’96
NES acquires Industrial Crane Maintenance Systems in Brazoria, Texas. It is the first of a number of acquisitions by NES, which has more than $150 million to invest in creating a national chain of rental companies. In Feb. and March ’97, NES acquires Atlanta-based high-reach specialist Aerial Platforms and Houston-based Lone Star Rentals.
Sept. ’96
In an effort to compete with the national chain discount suppliers, Sam’s U-Rent forms a marketing alliance with Anawalt Lumber Co. in Southern California. Sam’s will add scissorlifts, air compressors, forklifts and a variety of other equipment to the small inventory of rental equipment available at Anawalt’s Hollywood store. The machines are directly rented from Anawalt’s and a computerized reservation system allows the lumber company’s customers to order any other item available at Sam’s.
Sept. ’96
In this issue’s cover story, “The Internet and Your Business,” RER reports that the Internet was conceived in 1969 by the U.S. government to act as a nuclear-attack-resistant method of exchanging scientific information and intelligence.
Source: The Internet Rough Guide
Nov. ’96
Prime Equipment’s parent company, Prime Service, goes public raising more than $170 million in its IPO. Prime sells 7.25 million shares at $23.50 per share.
1996
Bret Favre of the Green Bay Packers throws for a record 39 touchdowns in a season in 1996. Favre also wins the NFL Pro MVP award and leads his team to win in Superbowl XXXI against the New England Patriots.
Jan. ’97
In a move that would create the largest chain of independent hardware dealers in the country, True Value and Servistar Coast to Coast Corp., agree to merge the two companies. The newly created co-op, based in Cary, Ill., is called TruServ Corp.
Jan. ’97
Sunbelt Rentals embarks on massive expansion plan to double its number of rental outlets in the mid-Atlantic and Southeast United States.
Feb. ’97
U.S. Rentals acquires ABC Tool & Equipment Rentals, El Paso, Texas, and is making plans to go public, making it the third major equipment rental company to do so since Sept.
In April, U.S. Rentals’ IPO raises $200 million, the largest amount of any of the four rental companies that have recently gone public. The company sells 10 million shares at $20 a piece.
Feb. ’97
Pam McKenney, The Rent-All Shops, Columbia, S.C., becomes the first female president of ARA.
March ’97
Sam’s U-Rent, one of the rental industry’s oldest companies founded in 1935 by Sam Greenberg, sells its assets to Able Equipment Rental, Buena Park, Calif.
April ’97
Prime Equipment acquires Rental Depot, an eight-location rental company.
May ’97
Just two years after topping $2 billion, the RER 100 tops $3 billion, marking the third consecutive year the list has grown by at least 20 percent.
June ’97
Atlas Copco agrees to buy Prime Equipment, No. 4 on the RER 100, for about $1.16 billion in cash and assumed debt — the largest acquisition deal in the rental industry to date.
July ’97
Vinnie Nardi and Guy Paparella co-founded Florida Contractor Rental & Sales in Fort Meyers and Naples, Fla., in 1984, then sold out to BET in 1989 on an offer they couldn’t refuse. Uphappy with that decision, the business partners bought it back again five years later. Then, in June 1997, they sold the company again, this time to U.S. Rentals.
July ’97
Gerald Plescia takes over as president of Hertz Equipment Rental Corp. from long-time president Daniel Kaplan, who continues as vice president of parent company Hertz Corp.
July ’97
Miami-based Neff Corp. agrees to purchase Buckner Rental Service, Houma, La., No. 21 on the RER 100. The acquisition, terms of which were not disclosed, gives Neff a significant presence in the Gulf of Mexico with expertise in the oil and gas, industrial and petrochemical industries.
July ’97
Omniquip International agrees to acquire St. Joseph, Mo.-based Snorkel from Figgie International in a transaction valued at $120 million.
Oct. ’97
Greenwich, Conn.-based United Rentals bursts onto the scene when eight former United Waste Systems executives, led by CEO Brad Jacobs (pictured), announce plans to use $110 million in initial capital to build a national rental presence through acquisition of medium-sized companies. Among its first acquisitions are A&A Tool Rentals & Sales in Stockton, Calif., and Mercer Equipment in Charlotte, N.C.
Nov. ’97
Scottsdale, Ariz.-based RSC signs a letter of intent to acquire Center Rental & Sales for $129.6 million in cash, RSC stock and assumption of Center’s debt. At the 11th hour, RSC came in with a higher bid than the offer on the table from Hertz Equipment Rental Corp.
RSC signs letter of intent in Dec. to acquire Mesa, Ariz.-based Valley Rentals, No. 37 on the RER 100, for $104 million, and Elkridge Md.-based Siems Rental & Sales, No. 73 on the RER 100.
Nov. ’97
Wayne Huizenga, current owner of the Miami Dolphins and Blockbuster founder, has a 50-percent stake in newly formed Nations Rents, which aims to acquire as many as 60 outlets via buyouts in the next 12 months.
Dec. ’97
United Rentals raises $94.5 million in its initial public offering. Net proceeds from the IPO will be used to repay $31 million of debt and to fund future acquisitions.
Dec. ’97
Prime Equipment enters into an agreement to purchase Resco Rents, No. 29 on the RER 100. Resco has 16 outlets in 8 states. Terms of the deal were not disclosed.
Jan. ’98
Komatsu America International Corp. launches aggressive plan to put all of its nearly 50 North American dealers into the rent-to-rent business. The company acquires three of its independent dealerships, including Salt Lake City-based Rocky Mountain Machinery, Pioneer Machinery, Reno, Nev., and Furnival/State Machinery Co., Hatfield, Pa. The company also forms Komatsu Utility Corp. to put emphasis on its line of compact equipment products.
Jan. ’98
Home Depot announces a major expansion of its equipment rental program, beginning in 45 stores in up to eight markets in 1998, followed by an additional 100 rental departments in 1999 and as many as 800 the following year.
Jan. ’98
Caterpillar announces plans to enter the compact construction equipment market, including compact wheel loaders, mini-excavators and skid-steer loaders.
Feb. ’98
HERC announces it will begin offering franchises in the United States, Canada and Puerto Rico in an effort to expand its North American market by penetrating smaller markets.
Feb. ’98
Caterpillar agrees to acquire Perkins Engines for about $1.3 billion, giving Caterpillar immediate critical mass in the small and medium engine market for industrial, construction and agricultural equipment.
March ’98
Caterpillar’s North American Commercial Division announces its intentions to step up its rental program, projecting that 54 of its 72 North American dealers will have dedicated rental divisions by the end of the year.
1998
•In the largest merger deal in the rental industry to date, United Rentals agrees to acquire U.S. Rentals for $1.24 billion in stock. The deal gives United Rentals 296 rental locations in 33 states, Canada and Mexico. United Rentals also acquires Access Rentals, Batavia, N.Y., No. 24 on the RER 100; Kitchener, Ontario-based BNR Equipment, No. 61; and six-location Able Equipment Rentals, Buena Park, Calif., No. 59 on the RER 100.
•NES signs definitive purchase agreements to acquire seven-location Albany Ladder, No. 56 on the RER 100; eight-location Cormier Equipment Corp., No. 59; and in May agrees to acquire Paducah, Ky.-based Falconite Inc., a 27-location rental company and No. 16 on the RER 100.
•HERC buys Toronto-based aerial specialist Matthews Equipment,
No. 72 on the RER 100.
April ’98
United Rentals raises $191.7 million in secondary public stock offering. In May, the company debuts at No. 6 on the RER 100.
April ’98
Neff and NES file registration statements with the SEC for initial public offerings of their common stock. Neff raises $94 million with its IPO, about $31 million less than it hoped to raise. NES, which originally expected to gross proceeds of about $250 million to fund the acquisition of Falconite and then scaled back the IPO, raised just $94.5 million.
May ’98
The last episode of Seinfeld appears on May 14, 1998 after running a total of 9 seasons on NBC and winning 10 Emmy Awards.
May ’98
President and CEO of RentX Arnie Bernstein, and acting chief operating officer/western regional manager Hotch Manning resign from the company to pursue other interests. Brad Sharp takes over as interim president and CEO, and Skip Evans, who’s Zodiac Rentals was the first company acquired by RentX when it formed in 1996, takes office as interim chief operating officer.
May ’98
Case adopts plan designed to encourage and support its dealers’ rental programs.
June ’98
HERC accelerates its acquisition push by acquiring Northern California-based Big 4 Rents, No. 15 on the RER 100 with 11 locations.
June ’98
NationsRent raises $104 million in its initial public offering, selling 13 million shares for $8 each, well below its initial price range of $10 to $12 a share.
Aug. ’98
Prime Equipment signs letter of intent to acquire eight-location industrial specialist Clementina, No. 25 on the RER 100.
1998
In 1998, Linda Tripp reveals the secret tapes of her and Monica Lewinsky’s “girl talk,” which eventually leads to the House impeaching President Clinton for perjury and obstruction of justice. On Feb. 12, 1999, the Senate rejects the charges and Clinton is allowed to remain in office.
Aug. ’98
Mirroring the consolidation in the rental industry, high-reach equipment specialists begin to roll up. Terex buys Wilmington, N.C.-based American Crane Corp.
Sept. ’98
United Rentals reaches definitive agreements to acquire Rental Tools & Equipment, No. 17 on the RER 100, and McClinch Inc. Rental Tools president John Doran Jr., accepts a management role with United Rentals.
Sept. ’98
RSC acquires 52-year-old aerial specialist M.J. Struckel, No. 87 on the RER 100, for about $21.2 million in cash and assumed debt. The company also makes its first acquisitions outside the United States, with the purchase of five-location Fasco Rentals, based in Alberta, Canada.
Sept. ’98
NationsRent signs a definitive agreement to merge with 13-location A-1 Rental, naming A-1 owner Don O’Neal president of NationsRent.
Sept. ’98
HERC acquires seven-location Contractors Supply, No. 53 on the RER 100.
Oct. ’98
Thirty-nine-year-old Texas Rental Association officially affiliates with the American Rental Association to adapt to the changing industry environment.
1998
Mark McGwire of the St. Louis Cardinals, hits record 70 homeruns in 1998. Sammy Sosa of the Chicago Cubs hits 66.
Nov. ’98
RER is sold by Tim Novoselski’s Miramar Publishing to New York-based Primedia Intertec.
Nov. ’98
NES acquires aerial work platform and crane rental specialist Shaughnessy Crane Services, No. 58 on the RER 100, and expands NES’ presence in the New England market.
Nov. ’98
United Rentals acquires server and software developer Wynne Systems.
Dec. ’98
In separate high-yield bond offerings, industry consolidators United Rentals, NationsRent, NES and Neff Rental gross a combined $700 million to raise cash for debt repayment, and fleet capital expenditures.
Jan. ’99
Affiliates of New York-based private investment firm Apollo Management L.P. acquire about 15 percent ownership of United Rentals with the purchase of $300 million of preferred stock.
1998 acquisition summary: The 20 largest acquisitions of equipment rental companies in ’98 involved almost 300 locations and more than $1.4 billion in revenue — more than the combined revenue of all companies acquired in 1997, according to the RER Consolidation Report.
In all, more than 210 companies sold to industry consolidators in ’98, and more than $2.6 billion in total revenues, including $1.6 billion in rental volume, changed hands — double that of ’97.
Jan. ’99
RSC and NationsRent agree to merge, which would create the second billion-dollar rental company in the industry. The stock-for-stock transaction is valued at about $366 million.
In April, RSC rejects a $1.36-billion hostile takeover bid by United Rentals, as both companies continue to vie for control of the industry’s third-largest rental company — NationsRent.
In May, RSC and NationsRent terminate their merger agreement. RSC will pay NationsRent a $6 million settlement, clearing the way for other companies to pursue a deal with the company.
May ’99
Ritchie Bros. Auctioneers takes its first step into the realm of online equipment auctions, broadcasting two construction equipment auctions on the Internet.
May ’99
Caterpillar announces plans to increase the number of dealer-owned The Cat Rental Store locations by 50 percent in 2000, increasing the number of Cat dealer-operated rental centers from 200 to 300. The company also says it will add 100 rental locations each in Europe and Latin America.
May ’99
NES acquires two more companies that specialize in traffic-control equipment, making it a major player in the burgeoning traffic-control equipment rental sector.
May ’99
RER Fast Fact: Thirty-six companies on last year’s RER 100 list were acquired in 1998.
May ’99
Investment bank Brown Brothers Harriman & Co. agrees to pay $100 million to acquire slightly less than 25 percent of NES, No. 7 on the RER 100.
May ’99
CRA announces it will change its name to Rental Industry Association and will expand from California and Nevada to include other Western states.
May ’99
JLG signs a definitive agreement to buy Gradall Industries for $200 million in cash. The deal gives JLG access to the material handler and excavator markets, creating a diversified capital equipment group with combined revenues of $800 million.
June ’99
New Holland agrees to acquire Case Corp. for $4.3 billion in cash, a deal that makes the combined company the third-largest construction equipment manufacturer.
June ’99
In response to customer demand, HERC forms a specialty division to serve pump niche customers — The Hertz Equipment Rental Pump Solutions Division.
July ’99
Atlas Copco offers $1.63 billion for RSC, which rejected in April the $1.36-billion takeover bid by United Rentals.
July ’99
Meyer International PLC, parent of the United Kingdom’s largest building material supplier and one of its largest rental operations, agrees to buy RentX Industries for $98.7 million in cash and assumed debt. No. 16 on the RER 100, RentX formed in 1996 and has 72 outlets.
July ’99
Bruckman, Rosser, Sherrill & Co., a private equity firm that recently bought ICM Equipment Co., announces plans to acquire Baton Rouge, La.-based Head & Engquist Equipment and merge the two companies.
July ’99
GE Power Systems creates a new business unit called GE Energy Rentals to rent generators and temperature-control systems and to provide related maintenance, installation and logistical services.
July ’99
Stone Construction Equipment’s employee owners elect Lynne Woodworth to their board of directors, which, in turn, elects her president and chief operating officer of the Honeoye, N.Y.-based equipment manufacturer.
Aug. ’99
United Rentals adds three major players to its roster of recently acquired rental companies — Elmen Enterprises, No. 14 on the RER 100, Udelson Equipment, No. 30, and Burbank, Calif.-based Wanamaker Rents, No. 98.
Elmen brings 47 locations to United, which plans to use the acquisition as a platform to expand in the Midwest. Udelson, a major Terex dealer, has locations in Houston and Fort Worth, Texas; Miami and Orlando, Fla.; and Cleveland. Industry pioneer Jack Wanamaker also sells his Inglewood, Calif.-based A C Equipment Rentals outlet to United.
Aug. ’99
The pressure washer market was one of the fastest-growing rental segments of the 90s thanks to rising interest from the homeowner market and stricter government environmental and wastewater regulations.
Sept. ’99
United Rentals acquires 19 companies in its latest wave of rental acquisitions. Among them, aerial specialist Thomas Equipment, No. 31 on the RER 100, Coble Equipment & Rentals, No. 76, and six traffic safety equipment companies with about $110 million in combined annual revenue from 43 locations. These latest acquisitions make United Rentals the largest provider of traffic safety rental services.
Sept. ’99
In line with recent traffic safety acquisitions by United Rentals, NES acquires Interstate Traffic Co., the sixth traffic safety equipment rental specialist the company has bought. The acquisition gives NES about $80 million in annual traffic safety equipment rental revenue.
Sept. ’99
A longtime fixture in the southern Ontario homeowner and small contractor rental market, Stephenson’s Rent-All acquires six Canadian rental companies, establishing itself as a national player.
The company also announces plans to further develop its rental departments in Revy’s home improvement centers.
Nov. ’99
NationsRent acquires Contractors’ Equipment Corp., one of the largest remaining independently owned rental companies in the United States. The acquisition of
12-location CEC gives NationsRent a strong presence in Southern California. CEC is No. 32 on the RER 100.
Nov. ’99
GE Energy Rentals emerges as a major industry player in the power rental market, previously dominated by Aggreko and Caterpillar. Up and running in 8 major markets, its rental business is valued at about $4 billion by some studies.
Dec. ’99
Neff Corp. signs a definitive agreement to sell Neff Machinery, its construction dealership unit, to Nortrax, a newly formed joint venture between Deere and Credit Suisse Group in a deal valued at $91 million.
Dec. ’99
Though the size of its acquisition deals has diminished, the quantity of United Rentals’ purchases has not. The company adds 28 companies with 58 branches and about $175 million in revenues in the second half of 1999.
Dec. ’99
Not to be left out, Sunbelt Rentals agrees to acquire 19 U.S. branches with aggregate revenues of about $30 million. The company is aiming to reach 100 profit centers by its year-end.
Dec. ’99
Cummins launches Cummins Power Rent with plans to rent generators between 750 kw and 1,500 kw through up to 31 distributors throughout the U.S. Smaller generators from 60 to 250 kw will be available through about 150 rental dealers, the company says.
Dec. ’99
Atlanta-based home improvement retailer Home Depot has now opened about 75 tool rental centers within its nationwide chain of stores and plans to add 30 more by the end of January, giving it 150 rental outlets in the United States and Canada.
