2. Safe Harbor Language and Reconciliation of
Non-GAAP Measures
Safe Harbor Statement Under the Private Securities Litigation Reform Act of 1995:
This presentation contains certain forward-looking statements within the meaning of the Private Securities Litigation Reform Act of
1995 and federal securities laws, and is subject to the safe-harbor created by such Act. Forward-looking statements include our 2009
financial performance outlook and statements regarding our goals, beliefs, future growth strategies, investments, objectives, plans and
current expectations. These statements involve known and unknown risks, uncertainties and other factors that may cause the actual
results to be materially different from those contemplated in the forward-looking statements. Such factors include, but are not limited
to: (i) the cost to comply with current and future legislation, regulations and customer demands relating to privacy issues; (ii) the
impact of litigation that may arise in connection with incidents in which the Company fails to protect the Company’s customers’
information; (iii) changes in the price for the Company’s services relative to the cost of providing such services; (iv) changes in
customer preferences and demand for the Company’s services; (v) in the various digital businesses in which the Company is
engaged, the cost of capital and technical requirements, demand for the Company’s services or competition for customers; (vi) the
Company’s ability or inability to complete acquisitions on satisfactory terms and to integrate acquired companies efficiently; (vii) the
cost or potential liabilities associated with real estate necessary for the Company’s business; (viii) the performance of business
partners upon whom the Company depends for technical assistance or management and acquisition expertise outside the United
States; (ix) changes in the political and economic environments in the countries in which the Company’s international subsidiaries
operate; (x) claims that the Company’s technology violates the intellectual property rights of a third party; (xi) other trends in
competitive or economic conditions affecting Iron Mountain’s financial condition or results of operations not presently contemplated;
and (xii) other risks described more fully in the Company’s most recently filed Annual Report on Form 10-K under “Item 1A. Risk
Factors”. Except as required by law, Iron Mountain undertakes no obligation to release publicly the result of any revision to these
forward-looking statements that may be made to reflect events or circumstances after the date hereof or to reflect the occurrence of
unanticipated events.
Reconciliation of Non-GAAP Measures:
Throughout this presentation, Iron Mountain will be discussing Operating Income Before Depreciation & Amortization (OIBDA), and
Free Cash Flow Before Acquisitions & Investments (FCF), which do not conform to accounting principles generally accepted in the
United States (GAAP). For additional information and the reconciliation of OIBDA and FCF to the appropriate GAAP measure, as
required by Securities and Exchange Commission Regulation G, please access the “Non-GAAP Measures” link on the Investor
Relations page of the Company’s website at www.ironmountain.com.
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CONFIDENTIAL AND PROPRIETARY INFORMATION OF IRON MOUNTAIN
3. Agenda
• Q1/2009 Results
• Capex, Cash Flow & Debt
• Q2 & FY/2009 Guidance
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CONFIDENTIAL AND PROPRIETARY INFORMATION OF IRON MOUNTAIN
4. Key Messages
• Solid core revenue internal growth across all
segments
– FX and complementary service weakness pressure
overall reported revenue growth, as expected
• Disciplined approach delivering strong profit gains
and improved cash flows
• Raising 2009 OIBDA guidance on Q1 performance
– Lowering capex forecast to ~$380MM
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CONFIDENTIAL AND PROPRIETARY INFORMATION OF IRON MOUNTAIN
5. Components of Revenue Growth
FY 2009 Forecast
Q1/2009 Low High
Internal Growth by Revenue Type
Storage 7% 8% 9%
Core Services 7% 8% 10%
Total Core Revenue 7% 8% 9%
Complementary Services (15)% (10)% (20)%
Total Internal Growth 4% 5% 7%
Impact of Acquisitions --% --%
Impact of FX Fluctuations (7)% ~(7)%
Total Revenue Growth (3)% (3)% (0)%
Total Service Revenue 0%
NOTE: Columns may not foot due to rounding.
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CONFIDENTIAL AND PROPRIETARY INFORMATION OF IRON MOUNTAIN
6. Q1/2009 Revenue to Operating Income ($MM)
% Growth
Q1/2008 Q1/2009 Reported Internal
Revenue $ 749 $ 723 (3)% 4%
NA Physical $504 $512 1% 4%
Int’l Physical $191 $157 (18)% 3%
Worldwide Digital $54 $ 55 3% 6%
Gross Profit(1) $ 402 $ 406 1%
Gross Profit % 53.6% 56.2%
OIBDA $ 176 $ 197 12%
OIBDA % 23.5% 27.3%
D&A $ 70 $ 76 10%
Operating Income $ 106 $ 121 14%
(1) Excluding depreciation and amortization.
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CONFIDENTIAL AND PROPRIETARY INFORMATION OF IRON MOUNTAIN
7. Q1/2009 Operating Income to Net Income
Attributable to Iron Mountain ($MM except per share data)
%
Q1/2008 Q1/2009
Operating Income $ 106 $ 121 14%
Interest Expense, net $ 60 $ 56 (7)%
Other Income (Expense), net $ 6 $ (7)
Net Income Attributable to Iron Mountain $ 33 $ 29 (14)%
EPS – Fully Diluted $ 0.16 $ 0.14
Effective Tax Rate 34.9% 54.0%
Major component of Other Income (Expense), net:
FX exchange rate fluctuations $ 6 $ (7)
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CONFIDENTIAL AND PROPRIETARY INFORMATION OF IRON MOUNTAIN
8. Capital Spending & Investments ($MM)
YTD/2009 2009(F) 2008(A)
Capital Spending
Storage Systems $ 31 $ 219
IT 11 74
Other 8 36
Subtotal $ 49 ~$325 $ 329
(1)
As a % of revenues 6.8% 10.8% 10.8%
Discretionary Investments:
Real Estate acquisitions, net of 2 ~55 44
dispositions
Total Capital Spending (2) $ 51 ~$380 $ 373
(1) 2009(F) capex as a % of revenues is based on the midpoint of our full year revenue guidance.
(2) Based on incurred versus cash paid basis
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CONFIDENTIAL AND PROPRIETARY INFORMATION OF IRON MOUNTAIN
9. Free Cash Flow Before Acquisitions &
Discretionary Investments, Net ($MM)
YTD/2008 YTD/2009
Income from Continuing Operations $ 33 $ 29
Non-cash Reconciling Items 84 118
117 147
Changes in Assets & Liabilities (45) (19)
Cash Flows From Operating Activities 73 127
Less: Capital Expenditures (excluding real estate), net 90 68
Additions to Customer Acquisition Costs 3 2
(1)
Free Cash Flow Before Acquisitions & Discretionary Investments, net $ (20) $57
Cash Paid for Real Estate, net $ (4) $ (2)
Cash Paid for Acquisitions & Investments, net $ (4) $ (2)
(1) Columns may not foot due to rounding.
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CONFIDENTIAL AND PROPRIETARY INFORMATION OF IRON MOUNTAIN
10. Key Debt Statistics ($MM)
As of 3/31/2009:
% Fixed (1)
Debt, net of cash $2,889 81%
Wtd. Avg. Interest Rate 6.9% Wtd. Avg. Maturity 6.9 years
(1) Fixed with respect to interest rates.
Debt Maturity Schedule
Consolidated Leverage (2)
$700
6.0
$600
$500
5.0
$400
$300
4.0 3.6x
$200
$100
3.0
$0
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20
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20
20
20
20
20
/2
2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020
D
YT
(2) Per our bank agreements.
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CONFIDENTIAL AND PROPRIETARY INFORMATION OF IRON MOUNTAIN
11. 2009 Guidance
% Growth vs. 2008
$MM 2009 FX Neutral As Reported Q2/2009
Revenue $2,975-$3,050 5%-7% (3)%-0% $730-$750
Operating
$505-$545 $132-$142
Income
D&A ~$315 ~78
OIBDA $820-$860 11%-16% 4%-9% $210-$220
Capex ~$380
Note: 2009 figures exclude projections for potential acquisitions, including expenses that will be required to be recorded under SFAS 141(R)
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CONFIDENTIAL AND PROPRIETARY INFORMATION OF IRON MOUNTAIN
12. 2009 OIBDA to Net Income
($MM, except per share)
OIBDA $ 820 – 860
Depreciation & amortization ~315
Interest 220 – 225
Other (income) expense 7
PTI 278 – 313
Income tax expense 115 – 130
Noncontrolling interest (2)
Net income attributable to Iron Mountain $ 165 – 185
EPS diluted $0.81 – $0.91
NOTE: The above assumes 39% tax rate excluding FX changes and other discrete items and
204MM shares outstanding.
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CONFIDENTIAL AND PROPRIETARY INFORMATION OF IRON MOUNTAIN
