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Mobile Mini Reports 2012 Fourth Quarter Results

  Mobile Mini Reports 2012 Fourth Quarter Results

        Total Revenues Increase 5.1%; Adjusted EBITDA Increases 10.5%

      Eighth Consecutive Comparable Quarter Increase in Leasing Revenues

Business Wire

TEMPE, Ariz. -- February 22, 2013

Mobile Mini, Inc. (NASDAQ GS: MINI) today reported actual and adjusted
financial results for the fourth quarter and twelve months ended December 31,
2012.

Fourth Quarter 2012 Compared to Fourth Quarter 2011

  *Total revenues rose 5.1% to $100.3 million from $95.5 million;
  *Leasing revenues rose 8.2% to $91.6 million from $84.7 million;
  *Leasing revenues comprised 91.4% of total revenues compared to 88.7% of
    total revenues;
  *Sales revenues declined to $8.0 million from $10.2 million;
  *Sales margins were 36.7% compared to 37.9%;
  *Adjusted EBITDA was $40.6 million, up 10.5% compared to $36.8 million; the
    adjusted EBITDA margin improved to 40.5% from 38.5%;
  *Adjusted net income rose 35.8% to $14.8 million from $10.9 million; and
  *Adjusted diluted earnings per share increased 37.5% to $0.33 from $0.24.

Other Fourth Quarter 2012 Highlights

  *Free cash flow was $25.9 million, after $6.7 million of net capex;
  *Net debt was paid down by $26.7 million;
  *Yield (total leasing revenues per unit on rent) increased 2.1% compared to
    the fourth quarter of 2011; excluding holiday rentals, yield on our core
    rental units increased 4.2% compared to the fourth quarter of 2011;
  *Average utilization rate was 65.1%, up from 60.6% in the third quarter of
    2012 and 61.0% in the fourth quarter of 2011; and
  *Excess availability under our revolver at December 31, 2012 was $449.2
    million.

2012 Compared to 2011

  *Total revenues increased 5.5% to $381.3 million from $361.3 million;
  *Leasing revenues rose 7.9% to $340.8 million and comprised 89.4% of total
    revenues compared to $315.7 million and 87.4% of total revenues;
  *Sales revenues declined 10.6% to $38.3 million with margins of 38.4%
    compared to $42.8 million with margins of 36.8%;
  *Adjusted EBITDA rose 3.5% to $138.3 million from $133.6 million;
  *Adjusted net income increased 24.7% to $40.5 million compared to $32.5
    million;
  *Adjusted diluted earnings per share increased 23.3% to $0.90 from $0.73;
  *Free cash flow was $65.1 million compared to $80.0 million reflecting
    investments in our U.K. lease fleet; and
  *Net debt was reduced by $53.7 million after payment of $10.6 million of
    financing costs relating primarily to our new Credit Agreement and
    redemption premiums on the 2015 Senior Notes.

During 2012, we changed our recognition methodology for pickup revenue.
Historically, the pickup revenues and the accrued estimated costs to pick up a
unit were recognized at the time of delivery. We are now recognizing this
revenue and the related costs when the unit is pickedup.

Although the effect of this change does not materially impact any prior
quarter or years’ results, we have revised prior period financial information
to reflect these changes. This change reduced 2012’s total revenues by 0.6%,
or $2.3 million, and adjusted EBITDA by 0.8%, or $1.1 million, as reflected in
our results. Our consolidated statement of stockholders’ equity was revised to
reflect the cumulative effect of this change from prior years resulting in a
decrease to retained earnings and total stockholders’ equity of $5.1 million,
which is reflected in the beginning balance as of January 1, 2011. Tables
summarizing these changes are attached on pages 9 and 10.

Non-GAAP reconciliation tables are on page 8 of this news release, and show
the nearest comparable GAAP results to the adjusted results.

Business Overview

We are pleased to report the final quarter of 2012 was our eighth consecutive
reporting period of comparable quarter leasing revenue growth and reflects
improvement in both yield and utilization. Leasing revenues were at our
highest level since the first quarter of 2009 at $91.6 million for the
quarter. Year-over-year yield was 2.1% ahead of 2011 and average yield was at
an all-time fourth quarter high of $594 per unit. When our holiday rentals are
excluded from both years, yield on our core rental units actually increased
4.2% compared to the fourth quarter of 2011. This was a result of a greater
weighting of holiday rentals in the third quarter of 2012 as customers took
delivery of units earlier than they had in 2011, impacting the year-over-year
yield comparison. Utilization continued to improve, averaging 65.1% in the
final quarter of 2012, up from 61.0% in the same period last year and 60.6% in
the 2012 third quarter. We closed the fourth quarter with utilization at
62.3%, compared to 63.5% at the end of September, reflecting the seasonal
buildup that typically occurs in the third quarter.

The 10.5% increase in fourth quarter adjusted EBITDA and 200 basis point
improvement in adjusted EBITDA margin demonstrate the operating leverage in
our business, which was achieved on 5.1% comparable quarter growth in
revenues. The 16 new markets we entered since the beginning of 2011 have been
building units on lease, and 13 were EBITDA positive for 2012. As these
locations mature, we believe our operating leverage should continue to
improve.

As of December 31, 2012, we have generated free cash flow for 20 consecutive
quarters. Free cash flow for the fourth quarter and full year was $25.9
million and $65.1 million, respectively. Net capital expenditures were $6.7
million in the fourth quarter and $25.8 million for the full year, the
majority of which are attributable to lease fleet expansion in our U.K.
operations where business conditions remained strong. Debt reduction totaled
$26.7 million in the fourth quarter and $53.7 million for the full year, after
payment of $10.6 million of financing costs related to our new Credit
Agreement and redemption premiums on our 2015 Senior Notes.

As a result of our reduced borrowings and better rates under our new Credit
Agreement, interest expense in the fourth quarter of 2012 was reduced by
nearly 28% or approximately $3.0 million, compared to the same period of 2011.
We expect the August 2, 2012 redemption of our previously issued $150.0
million 2015 Senior Notes to produce in excess of $6.6 million in annualized
interest savings based on our current Credit Agreement borrowing rate and debt
level. We continue to have a great deal of financial flexibility with $449.2
million available under our Credit Agreement at December 31, 2012.

Throughout the year, we served a large, diverse base of over 83,000 customers,
up from 80,000 in 2011, with the growth driven by traction gained by newer
locations, recent investments, leadership changes in our National Sales Center
and a modest improvement in the economy.

Outlook

Looking ahead, we are increasingly enthusiastic about opportunities to more
deeply penetrate our existing markets and over time, expand into new ones.
These strategies, along with improving business conditions, should enable us
to further increase our utilization rate. We anticipate that 2013 will be
another growth year in leasing revenues which, with our strong operating
leverage, should translate into EBITDA margin expansion. This projected growth
combined with lower interest expense should enhance our bottom line. We expect
capital expenditures to approximate 2012 levels, supported by continued solid
free cash flow and our ample liquidity position, fostering ongoing investments
in growth and continued debt paydown.

With respect to our management transition, it appears that we are in the final
stages of our search for a new CEO and hope to have an announcement in the
coming weeks. We look forward to bringing this individual on board.

EBITDA, adjusted EBITDA, EBITDA margin, adjusted EBITDA margin, adjusted SG&A,
adjusted net income, adjusted diluted earnings per share and free cash flow
are non-GAAP financial measures as defined by Securities and Exchange
Commission (“SEC”) rules. Reconciliations of these measurements to the most
directly comparable GAAP financial measures can be found later in this
release.

Conference Call

Mobile Mini will host a conference call today, Friday, February 22, 2013 at 12
noon ET to review these results. To listen to the call live, dial (201)
493-6739 and ask for the Mobile Mini Conference Call or go to
www.mobilemini.com and click on the Investors section. Additionally, a slide
presentation that will accompany the call will be posted at www.mobilemini.com
on the Investors section and will be available in advance and after the call.
We will also post the reconciliation of non-GAAP financial measures used in
the slide show to the most directly comparable GAAP financial measures. Please
go to the website 15 minutes early to download and install any necessary audio
software. If you are unable to listen live, a replay of the call can be
accessed for approximately 14 days after the call at Mobile Mini’s website.

Mobile Mini, Inc. is the world’s leading provider of portable storage
solutions through its total lease fleet of over 234,700 portable storage
containers and office units with 136 locations in the U.S., United Kingdom,
Canada and The Netherlands. Mobile Mini is included on the Russell 2000^® and
3000^® Indexes and the S&P Small Cap Index.

This news release contains forward-looking statements, particularly regarding
growth, free cash flow and liquidity, ability to enter new markets, increases
in operating leverage, increases in utilization, EBITDA margin expansion, the
ability to strengthen, grow and expand our operations and increasing debt pay
down, which involve risks and uncertainties that could cause actual results to
differ materially from those currently anticipated. Risks and uncertainties
that may affect future results include those that are described from time to
time in the Company’s SEC filings. These forward-looking statements represent
the judgment of the Company, as of the date of this release, and Mobile Mini
disclaims any intent or obligation to update forward-looking statements.

                                                 
                                                    
Mobile Mini, Inc. Condensed Consolidated Statements of Income
(Unaudited)/(in 000’s except per share data)/(includes effects of rounding)
                                                    
                       Three Months Ended           Three Months Ended
                       December 31,                 December 31,
Revenues:              2012         2012           2011         2011
                       Actual        Adjusted (1)   Actual        Adjusted (1)
Leasing                $ 91,640     $  91,640      $ 84,673     $  84,673
Sales                    8,040          8,040         10,181         10,181
Other                   607         607         597         597     
Total revenues          100,287     100,287     95,451      95,451  
Costs and expenses:
Cost of sales            5,088          5,088         6,325          6,325
Leasing, selling and     54,716         54,565        52,952         52,337
general expenses (2)
Integration, merger
and restructuring        5,533          -             599            -
expenses (3)
Depreciation and        9,091       9,091       8,964       8,964   
amortization
Total costs and         74,428      68,744      68,840      67,626  
expenses
Income from              25,859         31,543        26,611         27,825
operations
                                                                  
Other income
(expense):
Interest expense         (7,735  )      (7,735  )     (10,740 )      (10,740 )
Foreign currency        -           -           (6      )    (6      )
exchange
Income before
provision for income     18,124         23,808        15,865         17,079
taxes
Provision for income    6,866       9,054       5,802       6,214   
taxes
Net income             $ 11,258    $  14,754     $ 10,063    $  10,865  
Earnings per share:
Basic                  $ 0.25      $  0.33       $ 0.23      $  0.25    
Diluted                $ 0.25      $  0.33       $ 0.23      $  0.24    
                                                                  
Weighted average
number of common and
common share
equivalents
outstanding:
Basic                   44,822      44,822      44,038      44,038  
Diluted                 45,349      45,349      44,611      44,611  
                                                                  
EBITDA                 $ 34,950    $  40,634     $ 35,569    $  36,783  

    This column represents a non-GAAP presentation even though certain
(1) individual line items presented, such as revenues, are identical under
    both GAAP and the adjusted presentations.
    In 2012, the difference represents estimated damages, net of estimated
(2) insurance recoveries, to our assets caused by natural disasters that are
    excluded in the adjusted presentation.
    In 2011, the difference represents one-time costs that are excluded in the
    adjusted presentation.
    Integration, merger and restructuring expenses represent costs relating
(3) primarily to the restructuring of our operations that are excluded in the
    adjusted presentation.

                                                 
                                                    
                                                    
Mobile Mini, Inc. Condensed Consolidated Statements of Income
(Unaudited)/(in 000’s except per share data)/(includes effects of rounding)
                                                    
                       Twelve Months Ended          Twelve Months Ended
                       December 31,                 December 31,
Revenues:              2012         2012           2011         2011
                       Actual        Adjusted (1)   Actual        Adjusted (1)
Leasing                $ 340,797    $  340,797     $ 315,749    $  315,749
Sales                    38,281         38,281        42,842         42,842
Other                   2,181       2,181       2,723       2,723   
Total revenues          381,259     381,259     361,314     361,314 
Costs and expenses:
Cost of sales            23,592         23,592        27,070         27,070
Leasing, selling and     219,658        219,368       202,621        200,605
general expenses (2)
Integration, merger
and restructuring        7,133          -             1,361          -
expenses (3)
Depreciation and        36,187      36,187      35,665      35,665  
amortization
Total costs and         286,570     279,147     266,717     263,340 
expenses
Income from              94,689         102,112       94,597         97,974
operations
                                                                  
Other income
(expense):
Interest income          1              1             -              -
Interest expense         (37,339 )      (37,339 )     (46,200 )      (46,200 )
Debt restructuring       (2,812  )      -             (1,334  )      -
expense (4)
Deferred financing       (1,889  )      -             -              -
costs write-off (5)
Foreign currency        (5      )    (5      )    (7      )    (7      )
exchange
Income before
provision for income     52,645         64,769        47,056         51,767
taxes
Provision for income    18,467      24,238      16,460      19,256  
taxes (6)
Net income               34,178         40,531        30,596         32,511
Earnings allocable
to preferred            -           -           (966    )    (1,160  )
stockholders
Net income available
to common              $ 34,178    $  40,531     $ 29,630    $  31,351  
stockholders
                                                                  
Earnings per share:
Basic                  $ 0.77      $  0.91       $ 0.71      $  0.75    
Diluted                $ 0.76      $  0.90       $ 0.69      $  0.73    
                                                                  
Weighted average
number of common and
common share
equivalents
outstanding:
Basic                   44,657      44,657      41,566      41,566  
Diluted                 45,102      45,102      44,569      44,569  
                                                                  
EBITDA                 $ 130,872   $  138,295    $ 130,255   $  133,632 

    This column represents a non-GAAP presentation even certain individual
(1) line items presented, such as revenues, are identical under both GAAP and
    the adjusted presentations.
    In 2012, the difference relates to estimated damages, net of estimated
(2) insurance recoveries, to our assets caused by natural disasters and
    acquisition activity costs that are excluded in the adjusted presentation.
    In 2011, the difference represents one-time costs that are excluded in the
    adjusted presentation.
    Integration, merger and restructuring expenses represent costs relating
(3) primarily to the restructuring of our operations that are excluded in the
    adjusted presentation.
    In 2012, this represents the redemption premiums and the unamortized
    original issuance discount on the redemption of $150.0 million of 6.875%
(4) Notes originally due in 2015. In 2011, this represents the redemption
    premiums and the unamortized acquisition date discount on the redemption
    of $22.3 million of 9.75% Notes. Debt restructuring expense is excluded in
    the adjusted presentation.
    Represents the unamortized deferred financing costs associated with the
    $150.0 million of 6.875% Notes redeemed in August 2012 and a portion of
(5) deferred financing costs associated with our prior $850.0 million credit
    agreement, which was replaced with our new $900.0 million Credit Agreement
    in February 2012. Deferred financing costs write-off is excluded in the
    adjusted presentation.
    Provision for income taxes includes approximately $1.2 million and $1.0
(6) million in 2012 and 2011, respectively, in income tax benefits related to
    statutory corporate income tax rate reductions in the United Kingdom that
    are excluded in the adjusted presentation.

                                                              
                                                                 
Mobile Mini, Inc.
Condensed Consolidated Balance Sheets
(in 000’s except par value data)
(includes effects of rounding)
                                                                 
                                                 December 31,    December 31,
                                                 2012            2011
                                                 (unaudited)     
ASSETS
Cash                                             $ 1,937         $ 2,860
Receivables, net                                   50,644          47,102
Inventories                                        19,534          20,803
Lease fleet, net                                   1,031,589       1,018,742
Property, plant and equipment, net                 80,822          79,875
Deposits and prepaid expenses                      6,858           7,338
Other assets and intangibles, net                  17,868          16,862
Goodwill                                          518,308       513,918   
Total assets                                     $ 1,727,560    $ 1,707,500 
                                                                 
                                                                 
LIABILITIES AND STOCKHOLDERS' EQUITY
Liabilities:
Accounts payable                                 $ 19,898        $ 20,849
Accrued liabilities                                56,874          57,036
Lines of credit                                    442,391         345,149
Notes payable                                      310             316
Obligations under capital leases                   642             1,289
Senior Notes, net                                  200,000         349,718
Deferred income taxes                             197,926       179,229   
Total liabilities                                 918,041       953,586   
                                                                 
Commitments and contingencies
                                                                 
Stockholders' equity:
Common stock; $.01 par value, 95,000 shares
authorized, 47,880 issued and 45,705
outstanding at December 31, 2012 and 47,787
issued and 45,612 outstanding at
December 31, 2011                                  482             478
Additional paid-in capital                         522,372         508,936
Retained earnings                                  343,782         309,604
Accumulated other comprehensive loss               (17,817   )     (25,804   )
Treasury stock, at cost, 2,175 shares             (39,300   )    (39,300   )
Total stockholders' equity                        809,519       753,914   
Total liabilities and stockholders' equity       $ 1,727,560    $ 1,707,500 

                        Three Months Ended         Twelve Months Ended
                         December 31,                December 31,
                          2012       2011        2012       2011    
                         (In thousands)              (In thousands)
Reconciliation of
EBITDA to net cash                                              
provided by operating
activities:
EBITDA                   $ 34,950      $ 35,569      $ 130,872     $ 130,255
Interest paid              (10,814 )     (9,603  )     (35,145 )     (42,683 )
Income and franchise       (109    )     (97     )     (831    )     (816    )
taxes paid
Share-based                3,899         1,895         9,575         6,456
compensation expense
Gain on sale of lease      (2,330  )     (3,134  )     (11,781 )     (13,800 )
fleet units
Loss (gain) on
disposal of property,      133           106           (130    )     91
plant and equipment
Changes in certain
assets and
liabilities, net of
effect of businesses
acquired:
Receivables                3,827         1,994         (2,899  )     (4,148  )
Inventories                2,315         (1,666  )     1,352         (1,242  )
Deposits and prepaid       (387    )     154           537           1,067
expenses
Other assets and           103           63            (161    )     (33     )
intangibles
Accounts payable and      998        (4,116  )    (440    )   9,822   
accrued liabilities
Net cash provided by     $ 32,585    $ 21,165     $ 90,949    $ 84,969  
operating activities
                                                                   
Reconciliation of net
income to EBITDA and
adjusted EBITDA:
Net income               $ 11,258      $ 10,063      $ 34,178      $ 30,596
Interest expense           7,735         10,740        37,339        46,200
Provision for income       6,866         5,802         18,467        16,460
taxes
Depreciation and           9,091         8,964         36,187        35,665
amortization
Debt restructuring         -             -             2,812         1,334
expense
Deferred financing        -          -           1,889      -       
costs write-off
EBITDA                     34,950        35,569        130,872       130,255
Leasing, selling and       151           5             151           1,406
general expenses
Integration, merger,
restructuring and          5,533         599           7,133         1,361
other
Acquisition expenses      -          610         139        610     
Adjusted EBITDA          $ 40,634    $ 36,783     $ 138,295   $ 133,632 
                                                                   
Reconciliation of net
cash provided by
operating activities
to free cash flow:
Net cash provided by     $ 32,585      $ 21,165      $ 90,949      $ 84,969
operating activities
                                                                   
Additions to lease         (11,151 )     (10,268 )     (43,934 )     (29,824 )
fleet
Proceeds from sale of      5,959         8,363         29,358        36,201
lease fleet units
Additions to property,     (1,570  )     (2,905  )     (12,741 )     (11,498 )
plant and equipment
Proceeds from sale of
property, plant and       69         25          1,497      117     
equipment
Net capital
expenditures,             (6,693  )   (4,785  )    (25,820 )   (5,004  )
excluding acquisitions
                                                              
Free cash flow           $ 25,892    $ 16,380     $ 65,129    $ 79,965  

            Reconciliation of Adjusted Measurements to Actuals      Reconciliation of Adjusted Measurements to Actuals
           Three Months Ended December 31, 2012                   Three Months Ended December 31, 2011
            (in thousands except per share data)                    (in thousands except per share data)
            (includes effects of rounding)                          (includes effects of rounding)
                          Leasing,    Integration,                               Leasing,                 Integration,
                          selling     merger                        As           selling    Acquisition   merger
            As Adjusted  and        and            Actual        Adjusted    and       Expenses     and            Actual
            (1)           general     restructuring                 (1)          general    (3)           restructuring
                          expenses    expenses (4)                               expenses                 expenses (4)
                          (2)                                                    (2)
Revenues    $ 100,287    $ -        $  -           $ 100,287     $ 95,451    $  -                   $   -          $ 95,451
EBITDA      $ 40,634      $ (151 )    $  (5,533  )    $ 34,950      $ 36,783     $  (5  )      (610  )    $   (599  )     $ 35,569
EBITDA        40.5    %     (0.2 )%      (5.5    )%     34.8    %     38.5   %      -          (0.6  )%       (0.6  )%      37.3   %
margin
Operating   $ 31,543      $ (151 )    $  (5,533  )    $ 25,859      $ 27,825     $  (5  )   $  (610  )    $   (599  )     $ 26,611
income
Operating
income        31.5    %     (0.2 )%      (5.5    )%     25.8    %     29.2   %      -          (0.6  )%       (0.6  )%      27.9   %
margin
Pre tax     $ 23,808      $ (151 )    $  (5,533  )    $ 18,124      $ 17,079     $  (5  )   $  (610  )    $   (599  )     $ 15,865
income
Net         $ 14,754      $ (93  )    $  (3,403  )    $ 11,258      $ 10,865     $  (3  )   $  (375  )    $   (424  )     $ 10,063
income
Diluted
earnings    $ 0.33        $ -         $  (0.08   )    $ 0.25        $ 0.24       $  -       $  (0.01 )    $   -           $ 0.23
per share

            Reconciliation of Adjusted Measurements to Actuals

            Twelve Months Ended December 31, 2012
         
            (in thousands except per share data)

            (includes effects of rounding)
                                                                                                            
                          Leasing,                                                  Deferred
                         selling                   Integration,    Debt            financing    Income      
                         and       Acquisition   merger and     restructuring  costs       Tax       
                         general    Expenses^(3)   restructuring   expense ^(5)    Write-off    Benefit     
                          expenses                  expenses ^(4)                   ^(6)         ^(7)
            As Adjusted   ^(2)                                                                               Actual
            ^(1)
Revenues    $ 381,259    $ -       $   -         $  -           $  -           $ -         $ -        $ 381,259
EBITDA      $ 138,295     $ (151 )   $   (139  )    $  (7,133  )    $  -            $ -          $ -         $ 130,872
EBITDA        36.3    %     -            -             (1.9    )%      -              -            -           34.3    %
margin
Operating   $ 102,112     $ (151 )   $   (139  )    $  (7,133  )    $  -            $ -          $ -         $ 94,689
income
Operating
income        26.8    %     -            -             (1.9    )%      -              -            -           24.8    %
margin
Pre tax     $ 64,769      $ (151 )   $   (139  )    $  (7,133  )    $  (2,812  )    $ (1,889 )   $ -         $ 52,645
income
Net         $ 40,531      $ (93  )   $   (85   )    $  (4,447  )    $  (1,729  )    $ (1,162 )   $ 1,163     $ 34,178
income
Diluted
earnings    $ 0.90        $ -        $   -          $  (0.10   )    $  (0.04   )    $ (0.03  )   $ 0.03     $ 0.76
per share

            Reconciliation of Adjusted Measurements to Actuals

            Twelve Months Ended December 31, 2011
         
            (in thousands except per share data)

            (includes effects of rounding)
                                                                                                  
                          Leasing,      
                         selling and                  Integration,    Debt            Income      
                         general                   merger and     restructuring  Tax       
                         expenses                     restructuring   expense ^(5)    Benefit     
                          ^(2)          Acquisition    expenses ^(4)                   ^(7)
            As Adjusted                 Expenses^(3)                                               Actual
            ^(1)
Revenues    $ 361,314    $ -          $  -          $  -           $  -           $ -        $ 361,314
EBITDA      $ 133,632     $ (1,406 )    $  (610   )    $  (1,361  )    $  -            $ -         $ 130,255
EBITDA        37.0    %     (0.4   )%      (0.2   )%      (0.4    )%      -              -           36.1    %
margin
Operating   $ 97,974      $ (1,406 )    $  (610   )    $  (1,361  )    $  -            $ -         $ 94,597
income
Operating
income        27.1    %     (0.4   )%      (0.2   )%      (0.4    )%      -              -           26.2    %
margin
Pre tax     $ 51,767      $ (1,406 )    $  (610   )    $  (1,361  )    $  (1,334  )    $ -         $ 47,056
income
Net         $ 32,511      $ (865   )    $  (375   )    $  (893    )    $  (820    )    $ 1,038     $ 30,596
income
Diluted
earnings    $ 0.73        $ (0.01  )    $  (0.01  )    $  (0.02   )    $  (0.02   )    $ 0.02     $ 0.69
per share

    This column represents a non-GAAP presentation even though certain
(1) individual line items presented, such as revenues, are identical under
    both GAAP and the adjusted presentations.
    In 2012, this represents estimated damages, net of estimated insurance
(2) recoveries, to our assets caused by natural disasters that are excluded in
    the adjusted presentation. In 2011, this represents one-time costs that
    are excluded in the adjusted presentation.
(3) Represents acquisition activity costs that are excluded in the adjusted
    presentation.
    Integration, merger and restructuring expenses represent costs relating
(4) primarily to the restructuring of our operations that are excluded in the
    adjusted presentation.
    In 2012, this represents the redemption premiums and the unamortized
    original issuance discount on the redemption of $150.0 million of 6.875%
(5) Notes originally due in 2015. In 2011, this represents the redemption
    premiums and the unamortized acquisition date discount on the redemption
    of $22.3 million of 9.75% Notes. Debt restructuring expense is excluded in
    the adjusted presentation.
    Represents the unamortized deferred financing costs associated with the
    $150.0 million of 6.875% Notes redeemed in August 2012 and a portion of
(6) deferred financing costs associated with our prior $850.0 million credit
    agreement which was replaced with our new $900.0 million Credit Agreement
    in February 2012. Deferred financing costs write-off is excluded in the
    adjusted presentation.
(7) Represents the statutory corporate income tax rate reductions in the
    United Kingdom that are excluded in the adjusted presentation.

The effects of the adjustments made on the prior quarters are provided in summarized
format below and include the effects of rounding and certain other immaterial
adjustments.
                                                                     
Revised consolidated statements of operations amounts
             For the Three Months ended March     For the Three Months ended June
             31, 2012                             30, 2012
             As                        As         As                        As
             Previously  Adjustment  Revised    Previously  Adjustment  Revised
             Reported                             Reported
             (In Thousands except per share       (In Thousands except per share
             data)                                data)
Leasing      $  77,617    $ 827        $ 78,444   $  82,854    $  (930  )   $ 81,924
Total           87,923      827          88,750      94,150       (930  )     93,220
revenues
Leasing,
selling
and             53,714      (127   )     53,587      55,574       (197  )     55,377
general
expenses
Total
costs and       69,122      (127   )     68,995      71,552       (197  )     71,355
expenses
Income
from            18,801      954          19,755      22,598       (733  )     21,865
operations
Income
before
provision       7,491       954          8,445       12,415       (733  )     11,682
for income
taxes
Provision
for income      2,860       375          3,235       4,645        (275  )     4,370
taxes
Net income      4,631       579          5,210       7,770        (458  )     7,312
Earnings
per share:
Basic        $  0.10      $ 0.02       $ 0.12     $  0.17      $  (0.01 )   $ 0.16
Diluted      $  0.10      $ 0.02       $ 0.12     $  0.17      $  (0.01 )   $ 0.16
                                                                            
EBITDA       $  27,814    $ 954        $ 28,768   $  31,728    $  (733  )   $ 30,995
Adjusted     $  28,404    $ 954        $ 29,358   $  32,040    $  (733  )   $ 31,307
EBITDA
                                                                            
                                                                            
             For the Three Months ended
             September 30, 2012
             As                        As
             Previously  Adjustment  Revised
             Reported
             (In Thousands except per share
             data)
Leasing      $  90,666    $ (1,877 )   $ 88,789
Total           100,879     (1,877 )     99,002
revenues
Leasing,
selling
and             56,753      (775   )     55,978
general
expenses
Total
costs and       72,567      (775   )     71,792
expenses
Income
from            28,312      (1,102 )     27,210
operations
Income
before
provision       15,496      (1,102 )     14,394
for income
taxes
Provision
for income      4,413       (417   )     3,996
taxes
Net income      11,083      (685   )     10,398
Earnings
per share:
Basic        $  0.25      $ (0.02  )   $ 0.23
Diluted      $  0.25      $ (0.02  )   $ 0.23
                                                                            
EBITDA       $  37,261    $ (1,102 )   $ 36,159
Adjusted     $  38,098    $ (1,102 )   $ 36,996
EBITDA

                                                                           
               For the Three Months ended March 31,     For the Three Months ended June 30,
               2011                                     2011
               As                                       As
               Previously   Adjustment  As Revised    Previously   Adjustment  As Revised
               Reported                                 Reported
               (In Thousands except per share data)     (In Thousands except per share data)
Leasing        $ 72,679      $ (78    )   $ 72,601      $ 78,422      $ (1,451 )   $ 76,971
Total            82,859        (78    )     82,781        90,523        (1,451 )     89,072
revenues
Leasing,
selling and      47,088        (28    )     47,060        49,628        (516   )     49,112
general
expenses
Total costs      62,107        (28    )     62,079        65,982        (516   )     65,466
and expenses
Income from      20,752        (50    )     20,702        24,541        (935   )     23,606
operations
Income
before
provision        6,718         (50    )     6,668         12,763        (935   )     11,828
for income
taxes
Provision
for income       2,567         (13    )     2,554         4,821         (354   )     4,467
taxes
Net income       4,151         (37    )     4,114         7,942         (581   )     7,361
Earnings
allocable to     (777    )     7            (770    )     (193    )   $ (3     )     (196    )
preferred
stockholders
Net income
available to     3,374         (30    )     3,344         7,749       $ (584   )     7,165
common
stockholders
Earnings per
share:
Basic          $ 0.09        $ -          $ 0.09        $ 0.18        $ (0.01  )   $ 0.17
Diluted        $ 0.09        $ -          $ 0.09        $ 0.18        $ (0.01  )   $ 0.17
                                                                                   
EBITDA         $ 29,546      $ (50    )   $ 29,496      $ 33,558      $ (935   )   $ 32,623
Adjusted       $ 29,791      $ (50    )   $ 29,741      $ 34,115      $ (935   )   $ 33,180
EBITDA
                                                                                   
                                                                                   
               For the Three Months ended September     For the Three Months ended December
               30, 2011                                 31, 2011
               As                                       As
               Previously   Adjustment  As Revised    Previously   Adjustment  As Revised
               Reported                                 Reported
               (In Thousands except per share data)     (In Thousands except per share data)
Leasing        $ 82,635      $ (1,132 )   $ 81,503      $ 85,127      $ (454   )   $ 84,673
Total            95,141        (1,132 )     94,009        95,905        (454   )     95,451
revenues
Leasing,
selling and      53,551        (56    )     53,495        52,969        (16    )     52,953
general
expenses
Total costs      70,387        (56    )     70,331        68,856        (16    )     68,840
and expenses
Income from      24,754        (1,076 )     23,678        27,049        (438   )     26,611
operations
Interest         (10,983 )     -            (10,983 )     (10,883 )     142          (10,741 )
expense
Income
before
provision        13,771        (1,076 )     12,695        16,161        (296   )     15,865
for income
taxes
Provision
for income       4,040         (403   )     3,637         6,121         (319   )     5,802
taxes
Net income       9,731         (673   )     9,058         10,040        23           10,063
Earnings per
share:
Basic          $ 0.22        $ (0.01  )   $ 0.21        $ 0.23        $ -          $ 0.23
Diluted        $ 0.22        $ (0.02  )   $ 0.20        $ 0.23        $ -          $ 0.23
                                                                                   
EBITDA         $ 33,643      $ (1,076 )   $ 32,567      $ 36,007      $ (438   )   $ 35,569
Adjusted       $ 35,004      $ (1,076 )   $ 33,928      $ 37,221      $ (438   )   $ 36,783
EBITDA

This news release includes the financial measures “EBITDA”, “adjusted EBITDA”,
“EBITDA margin”, “adjusted EBITDA margin”, “adjusted SG&A”, “adjusted net
income”, “adjusted diluted earnings per share” and “free cash flow.” These
measurements are deemed “non-GAAP financial measures” under rules of the SEC,
including Regulation G. This non-GAAP financial information may be determined
or calculated differently by other companies.

EBITDA is defined as net income before interest expense, income taxes,
depreciation and amortization, and if applicable, debt restructuring or
extinguishment costs, including any write-off of deferred financing costs. We
typically further adjust EBITDA to ignore the effect of what we consider
transactions or events not related to our core business to arrive at adjusted
EBITDA. The GAAP financial measure that is most directly comparable to EBITDA
is net cash provided by operating activities. EBITDA and adjusted EBITDA
margins are calculated by dividing consolidated EBITDA and adjusted EBITDA by
total revenues. The GAAP financial measure that is most directly comparable to
EBITDA margin is operating margin, which represents operating income divided
by revenues. We present adjusted EBITDA and adjusted EBITDA margin because we
believe they provide useful information regarding our ability to meet our
future debt payment requirements, capital expenditures and working capital
requirements and they provide an overall evaluation of our financial
condition. We include adjusted EBITDA in the earnings announcement to provide
transparency to investors. Adjusted EBITDA has certain limitations as an
analytical tool and should not be used as a substitute for net income, cash
flows, or other consolidated income or cash flow data prepared in accordance
with GAAP or as a measure of our profitability or our liquidity. EBITDA margin
is presented along with the operating margin so as not to imply that more
emphasis should be placed on it than the corresponding GAAP measure.

Free cash flow is defined as net cash provided by operating activities, minus
or plus, net cash used in or provided by investing activities, excluding
acquisitions. Free cash flow is a non-GAAP financial measure and is not
intended to replace net cash provided by operating activities, the most
directly comparable GAAP financial measure. We present free cash flow because
we believe it provides useful information regarding our liquidity and ability
to meet our short-term obligations. In particular, free cash flow indicates
the amount of cash available after capital expenditures for, among other
things, investments in the Company’s existing businesses, debt service
obligations and strategic acquisitions.

Adjusted SG&A, adjusted net income and adjusted diluted earnings per share
permit a comparative assessment of our SG&A expenses, net income and diluted
earnings per share by excluding certain one-time expenses and integration,
merger and restructuring expenses to make a more meaningful comparison of our
operating performance.

Earlier in this release we provided a reconciliation of these adjusted
measurements to actual results along with a reconciliation of EBITDA to net
cash provided by operating activities, net income to EBITDA and adjusted
EBITDA and net cash provided by operating activities to free cash flow.

Contact:

Mobile Mini, Inc.
Mark Funk, Executive VP & Chief Financial Officer
480-477-0241
www.mobilemini.com
-or-
Investor Relations Counsel:
The Equity Group Inc.
Fred Buonocore, 212-836-9607
Linda Latman, 212-836-9609
 
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