In December 2025, the Company's Board of Directors (the "Board of Directors") approved a comprehensive network optimization initiative (the "Network Optimization Plan") designed to reduce real estate costs while maintaining market coverage and customer service capabilities. The Network Optimization Plan encompassed exiting approximately 665 acres of real estate representing 108 branch and drop lot locations and approximately 25% of the Company's leased acreage. To enable these exits, management identified rental fleet units with a net book value of $312.1 million to be abandoned, representing approximately 53,000 units (approximately 31,000 portable storage units and 22,000 modular space units). For the year ended December 31, 2025, the Company recorded restructuring costs for the Network Optimization Plan of $301.9 million, consisting of accelerated depreciation of rental equipment. As of June 30, 2026, the Company has disposed of approximately 23,000 portable storage units and 11,000 modular space units related to the Network Optimization Plan. The Company expects to substantially complete all real estate exits and related rental equipment disposals under the Network Optimization Plan by 2029.

recorded within restructuring costs when incurred. Relocation costs consist primarily of costs to relocate units to other branch locations and are recorded within costs of leasing when incurred. The Company does not expect to exit locations until the end of the contractual lease term; therefore, rental expense will continue to be incurred within selling, general and administrative ("SG&A") expense as the Company consumes its right to use the real estate.


(in thousands)	Three Months Ended June 30, 2026		Six Months Ended June 30, 2026		Costs to Date
					As of June 30, 2026
Disposal costs	$	5,086	$	16,336	$	16,336
Relocation costs	715		1,093		1,093
Accelerated depreciation	—		—		301,863
Other costs	362		362		362
Total charges	$	6,163	$	17,791	$	319,654


(in thousands)	Disposal Costs		Relocation Costs		Other Costs
Liability as of December 31, 2025	$	—	$	—	$	—
Restructuring and related charges	16,336		1,093		362
Cash payments	(14,002)		(590)		(260)

Liability as of June 30, 2026	$	2,334	$	503	$	102

As of June 30, 2026, the Company expects the initiative to result in total future costs of approximately $43 million, consisting of rental equipment disposal costs of approximately $27 million and rental equipment relocation costs of approximately $16 million. The amount and timing of the actual charges may vary due to a variety of factors, including the ability of vendors to accommodate disposal volumes and additional time needed to exit leased properties. The Company’s estimates for the charges discussed above exclude any potential income tax effects.