U-Haul 2011 Annual Report Download - page 10

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5
and dealers electronically report their inventory in real-time, which facilitates matching equipment to
customer demand. Approximately 55% of all U-Move rental revenue originates from the Company
operated centers.
At our owned and operated retail centers we are implementing new initiatives to improve customer
service. These initiatives include improving management of our rental equipment to provide our retail
centers with the right type of rental equipment, at the right time and at the most convenient location for
our customers, effective marketing of our broad line of self-moving related products and services,
maintaining longer hours of operation to provide more convenience to our customers, and enhancing our
ability to properly staff locations during our peak hours of operations by attracting and retaining
“moonlighters” (part-time U-Haul employees with full-time jobs elsewhere) during our peak hours of
operation.
Our self-moving related products and services, such as boxes, pads and insurance, help our customers
have a better moving experience and helps them protect their belongings from potential damage during
the moving process. We are committed to providing a complete line of products selected with the “do-it-
yourself” moving and storage customer in mind.
Our self-storage business operations consist of the rental of self-storage rooms, sales of self-storage
related products, the facilitation of sales of services, and the management of self-storage facilities owned
by others.
U-Haul is one of the largest North American operators of self-storage and has been a leader in the self-
storage industry since 1974. U-Haul operates nearly 411,000 storage rooms, comprising 36.3 million
square feet of storage space with locations in 49 states and 10 Canadian provinces. U-Haul’s owned and
managed self-storage facility locations range in size up to 171,500 square feet of storage space, with
individual storage units in sizes ranging from 6 square feet to over 1,000 square feet.
The primary market for storage rooms is the storage of household goods. We believe that our self-
storage services provide a competitive advantage through such things as Max Security, an electronic
system that monitors the storage facility 24 hours a day, climate control, individually alarmed rooms,
extended hour access, and an internet-based customer reservation and account management system.
eMove® is an online marketplace that connects consumers to independent Moving Help™ service
providers and over 5,500 independent Self-Storage Affiliates. Our network of customer-rated affiliates
provides pack and load help, cleaning help, self-storage and similar services all over North America. Our
goal is to further utilize our web-based technology platform to increase service to consumers and
businesses in the moving and storage market.
Our business is seasonal and our results of operations and cash flows fluctuate significantly from
quarter to quarter. Historically, revenues have been stronger in the first and second fiscal quarters due to
the overall increase in moving activity during the spring and summer months. The fourth fiscal quarter is
generally weakest, due to a greater potential for adverse weather conditions.
Property and Casualty Insurance Operating Segment
Our Property and Casualty Insurance operating segment provides loss adjusting and claims handling
for U-Haul through regional offices across North America. Property and Casualty Insurance also
underwrites components of the Safemove, Safetow, Super Safemove and Safestor protection packages
to U-Haul customers. We continue to focus on increasing the penetration of these products into the
moving and storage market. The business plan for Property and Casualty Insurance includes offering
property and casualty products in other U-Haul related programs.
Net revenue from our Property and Casualty Insurance operating segment was approximately 1.7%,
1.6% and 1.8% of consolidated net revenue in fiscal 2011, 2010 and 2009, respectively.
Life Insurance Operating Segment
Our Life Insurance operating segment provides life and health insurance products primarily to the
senior market through the direct writing and reinsuring of life insurance, Medicare supplement and annuity
policies.