Overview Key strengths Key risks One of the leading railcar lessors in Europe. Substantial fleet concentration in Europe that accounts for the vast majority of operations. Capital-intensive nature of the sector and presence in the highly regulated European market serve as entry barriers for new entrants. Below-average EBIT margin of 14%-16% compared with operating lease industry benchmarks, constrained by the typically lower-margin logistics business. Ability to offer in-house maintenance and production services enhances the competitive position. Significant capital expenditure (capex) along with an aggressive financial policy could constrain cash flow generation. Demand for railcars remained stable in 2021 and VTG?s fleet utilization improved to over 91% on average from about 90% in 2020. In 2022, VTG?s revenue will decline 4%-6%,