U-Haul 2006 Annual Report Download - page 4

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Dear Fellow Shareholders,
This past year we have experienced tremendous growth in the market price of our common equity. For that,
I trust you are pleased.
AMERCO serves many constituencies: shareholders, lenders, customers, employees, U-Haul dealers and
organized political society. As a result, decisions are frequently made with priorities other than our near-term
common stock price.
In 2004, I wrote regarding what I call “AMERCO’s Shareholder Value Proposition”; Point 6 is “Maintaining
a reasonable price/earnings ratio on our common stock. Emphasize the strength of the company, not the
strength of the stock price.” I continue to support this value proposition.
In 2006, we reinvested aggressively in our U-Move rental fleet and we are continuing this reinvestment.
Further improvement on fuel economy is needed to be responsive to our customers.
Occupancy increases dominated our performance in the U-Store part of our business. These increases have
been driven by service improvements for our customer base. We continue with our eMove Storage Affiliate
Program and at the same time are selectively building, buying and converting more self-storage room
capacity. We must progress in service, affiliates and capacity as we move ahead.
Both our U-Move and U-Store businesses are fiercely competitive. There are capable and well financed
competitors constantly taking our measure. We are resolved to compete on the cutting edge.
Our Oxford Life Insurance Company is regaining its status as a regular contributor to the company’s strength.
Republic Western Insurance Company is showing modest profitability while it winds down existing lines and
provides claims handling for the U-Haul organization.
As always, we are competing for human resources. Our existing teams have done well. Additional
participants are needed to realize our future potential.
This July marks the completion of U-Haul Company’s 60th year of serving the American public. Our successes
this year have been built on these years of service, and the good work of those who came before us.
It is our plan to serve our customers well again this year so that we have many more successful years
in business.
I request your continued support and patronage of our products and services.
Sincerely,
E.J. (Joe) Shoen
Joe Shoen, Chairman
of the Board