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99 I AMERCO ANNUAL REPORT
1. Summary of Significant Accounting Policies
CONDENSED FINANCIAL INFORMATION OF AMERCO
NOTES TO CONDENSED FINANCIAL INFORMATION
MARCH 31, 2005, 2004, AND 2003
1. Summary of Significant Accounting Policies
AMERCO, a Nevada corporation, was incorporated in April, 1969, and is the holding company for
U-Haul International, Inc., Republic Western Insurance Company, Oxford Life Insurance Company and
Amerco Real Estate Company. The financial statements of the Registrant should be read in conjunction with
the Consolidated Financial Statements and notes thereto included in this Form 10-K.
AMERCO is included in a consolidated Federal income tax return with all of its U.S. subsidiaries.
Accordingly, the provision for income taxes has been calculated for Federal income taxes of AMERCO and
subsidiaries included in the consolidated return of the Registrant. State taxes for all subsidiaries are allocated
to the respective subsidiaries.
The financial statements include only the accounts of AMERCO, which include certain of the corporate
operations of AMERCO (excluding the SAC entities). The interest in AMERCO's majority owned
subsidiaries is accounted for on the equity method. The debt and related interest expense of AMERCO have
been allocated to the consolidated subsidiaries. The inter-company interest income and expenses are
eliminated in the consolidated financial statements.
2. Guarantees
AMERCO has guaranteed performance of certain long-term leases and other obligations. See Note 16
and Note 19 of Notes to Consolidated Financial Statements.
3. Notes and Loans Payable
Notes and loans payable consist of the following:
March 31,
2005 2004
(In thousands)
Revolving credit facility, senior secured first lienÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏ $ 84,862 $164,054
Senior amortizing notes, secured, first lien, due 2009 ÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏ 346,500 350,000
Senior notes, secured second lien, 9.0% interest rate, due 2009 ÏÏÏÏÏÏÏÏÏÏ 200,000 200,000
Senior subordinated notes, secured, 12.0% interest rate, due 2011 ÏÏÏÏÏÏÏ 148,646 148,646
Total AMERCO notes and loans payableÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏÏ $780,008 $862,700
For additional information, see Note 9 of Notes to Consolidated Financial Statements.
F-58
2. Guarantees
AMERCO฀has฀guaranteed฀performance฀of฀certain฀long-term฀leases฀and฀other฀obligations.฀See฀Note฀16฀and฀Note฀19฀of฀
Notes฀to฀Consolidated฀Financial฀Statements.
3. Notes and Loans Payable
Notes฀and฀loans฀payable฀consist฀of฀the฀following:
For฀additional฀information,฀see฀Note฀9฀of฀Notes฀to฀Consolidated฀Financial฀Statements.
AMERCO,฀ a฀ Nevada฀ corporation,฀ was฀ incorporated฀ in฀
April,฀ 1969,฀ and฀ is฀ the฀ holding฀ company฀ for฀ U-Haul฀
International,฀Inc.,฀Republic฀Western฀Insurance฀Company,฀
Oxford฀Life฀Insurance฀Company฀and฀Amerco฀Real฀Estate฀
Company.฀ The฀ financial฀ statements฀ of฀ the฀ Registrant฀
should฀ be฀ read฀ in฀ conjunction฀ with฀ the฀ Consolidated฀
Financial฀ Statements฀ and฀ notes฀ thereto฀ included฀ in฀ this฀
annual฀report.
AMERCO฀is฀included฀in฀a฀consolidated฀Federal฀income฀
tax฀return฀with฀all฀of฀its฀U.S.฀subsidiaries.฀Accordingly,฀
the฀ provision฀ for฀ income฀ taxes฀ has฀ been฀ calculated฀ for฀
Federal฀ income฀ taxes฀ of฀ AMERCO฀ and฀ subsidiaries฀
included฀ in฀ the฀ consolidated฀ return฀ of฀ the฀ Registrant.฀
State฀ taxes฀ for฀ all฀ subsidiaries฀ are฀ allocated฀ to฀ the฀
respective฀subsidiaries.
The฀ financial฀ statements฀ include฀ only฀ the฀ accounts฀
of฀ AMERCO,฀ which฀ include฀ certain฀ of฀ the฀ corporate฀
operations฀ of฀ AMERCO฀ (excluding฀ the฀ SAC฀ entities).฀
The฀interest฀in฀AMERCO’s฀majority฀owned฀subsidiaries฀
is฀ accounted฀ for฀ on฀ the฀ equity฀ method.฀ The฀ debt฀ and฀
related฀interest฀expense฀of฀AMERCO฀have฀been฀allocated฀
to฀ the฀ consolidated฀ subsidiaries.฀ The฀ inter-company฀
interest฀ income฀ and฀ expenses฀ are฀ eliminated฀ in฀ the฀
consolidated฀financial฀statements.
Condensed Financial Information of Amerco
Notes to Condensed Financial Information
March 31, 2005, 2004 and 2003