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National Press Release
 | AutoNation Reports 2008 Fourth Quarter and Full Year ResultsPublished 2009-01-29 06:45By AutoNation, Inc. |
- AutoNation exceeds cost savings objectives by 100%, with an annualized reduction now of $200 million
- Full year debt reduction of approximately three-quarters of a billion dollars
- Announces manufacturer consent agreements relating to largest stockholder, ESL Investments, Inc.
Fourth quarter 2008 revenue totaled
Commenting on the fourth quarter,
Jackson added, "Despite the severely depressed sales environment,
AutoNation continues to generate solid cash flow which allowed the Company to
reduce its non-vehicle debt by
Looking forward, Jackson also stated, "We agree with industry projections that the 2009 SAAR will be in the range of 11 million new vehicle units with obvious weakness in the first half of the year. In this environment, we believe we will be able to manage within all financial covenants."
AutoNation provides additional detail on its three operating segments: Domestic, Import, and Premium Luxury. The Domestic segment is comprised of stores that sell vehicles manufactured by General Motors, Ford, and Chrysler; the Import segment is comprised of stores that sell vehicles manufactured primarily by Toyota, Honda, and Nissan; and the Premium Luxury segment is comprised of stores that sell vehicles manufactured primarily by Mercedes, BMW, and Lexus.
Segment Results for the Quarter
-- Domestic -Domestic segment income (1) was
-- Import -Import segment income was
-- Premium Luxury -Premium Luxury segment income was
(1) Segment income is defined as operating income less floor plan interest expense
For the full year ended
Manufacturer Consent Agreements Relating to Largest Stockholder, ESL Investments, Inc.
The Company also announced that it has obtained consents under its framework agreements with manufacturers in order to eliminate any potentially adverse consequences under such agreements in the event that ESL Investments, Inc. (with its affiliates, "ESL"), the Company's largest stockholder, were to acquire over 50% of the Company's common stock. ESL currently owns approximately 45% of the Company's outstanding common stock.
"ESL has been a long-term significant stockholder of the Company," said
The consents contain various terms and conditions, including that should ESL's percentage ownership of Company common stock exceed 50%, ESL would vote its shares owned above 50% in the same proportion as shares unaffiliated with ESL are actually voted and that a majority of AutoNation's directors shall be independent of AutoNation and ESL. In addition, pursuant to a separate agreement between AutoNation and ESL (the "ESL Voting Agreement"), ESL agreed to further limit its vote to 45%, with shares owned by ESL in excess of 45% voted in the same proportion as shares unaffiliated with ESL are actually voted. The ESL Voting Agreement expires in one year, unless extended by mutual agreement of the parties. Additional details are included in the Current Report on Form 8-K filed with the Securities and Exchange Commission today.
The fourth quarter conference call may be accessed at
About AutoNation, Inc.
AutoNation, Inc., headquartered in
FORWARD LOOKING STATEMENTS
Certain statements and information included in this release constitute "forward-looking statements" within the meaning of the Federal Private Securities Litigation Reform Act of 1995. Such forward-looking statements involve known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievements of the Company to be materially different from any future results, performance or achievements expressed or implied in such forward-looking statements. Additional discussion of factors that could cause actual results to differ materially from management's projections, estimates and expectations is contained in the Company's SEC filings. The Company undertakes no duty to update its forward-looking statements.
NON-GAAP FINANCIAL MEASURES
This press release and the attached financial tables contain certain non-GAAP financial measures as defined under SEC rules, such as net income and diluted earnings per share from continuing operations, adjusted in each case to exclude certain items disclosed in the attached financial tables. As required by SEC rules, the Company has provided reconciliations of these measures to the most directly comparable GAAP measures, which are set forth in the attachments to this release. The Company believes that each of the foregoing non-GAAP financial measures improves the transparency of the Company's disclosure, provides a meaningful presentation of the Company's results from its core business operations excluding the impact of items not related to the Company's ongoing core business operations, and improves the period-to-period comparability of the Company's results from its core business operations.
AUTONATION, INC.
UNAUDITED CONDENSED CONSOLIDATED INCOME STATEMENTS
($ in millions, except per share data)
Three Months Ended Twelve Months Ended
December 31, December 31,
2008 2007 2008 2007
Revenue:
New vehicle $1,426.7 $2,409.1 $7,756.2 $10,014.3
Used vehicle 640.9 950.6 3,364.5 4,139.9
Parts and service 571.6 623.3 2,465.2 2,539.9
Finance and insurance, net 84.1 139.6 482.6 584.3
Other 13.6 17.1 63.4 68.1
Total revenue 2,736.9 4,139.7 14,131.9 17,346.5
Cost of sales:
New vehicle 1,334.2 2,239.4 7,245.3 9,305.2
Used vehicle 593.4 878.5 3,086.1 3,787.9
Parts and service 323.0 353.2 1,393.4 1,431.1
Other 5.5 7.8 27.6 29.0
Total cost of sales 2,256.1 3,478.9 11,752.4 14,553.2
Gross profit 480.8 660.8 2,379.5 2,793.3
Selling, general and
administrative expenses 384.2 486.1 1,813.8 1,999.8
Depreciation and amortization 22.4 26.3 90.8 90.3
Goodwill impairment - - 1,610.0 -
Franchise rights impairment - 1.2 146.5 2.2
Other expenses (income), net 10.0 (1.0) 13.2 (0.4)
Operating income (loss) 64.2 148.2 (1,294.8) 701.4
Floorplan interest expense (21.4) (32.6) (87.4) (129.0)
Other interest expense (20.1) (31.7) (89.4) (114.1)
Gain on senior note
repurchases 39.2 - 51.3 -
Interest income 0.7 0.8 2.2 3.4
Other losses, net (1.8) (1.6) (4.6) (1.3)
Income (loss) from continuing
operations before income
taxes 60.8 83.1 (1,422.7) 460.4
Income tax provision
(benefit) (9.3) 32.5 (197.3) 171.7
Net income (loss) from
continuing operations 70.1 50.6 (1,225.4) 288.7
Income (loss) from
discontinued operations, net
of income taxes (3.0) 1.1 (17.7) (10.0)
Net income (loss) $67.1 $51.7 $(1,243.1) $278.7
Diluted earnings (loss) per
share:
Continuing operations $0.40 $0.28 $(6.89) $1.44
Discontinued operations $(0.02) $0.01 $(0.10) $(0.05)
Net income (loss) $0.38 $0.28 $(6.99) $1.39
Weighted average common
shares outstanding 176.8 183.5 177.8 200.0
Common shares outstanding,
net of treasury stock, at
December 31 176.9 180.4 176.9 180.4
AUTONATION, INC.
UNAUDITED SUPPLEMENTARY DATA
($ in millions, except per vehicle data)
Operating Highlights Three Months Ended December 31,
$ %
2008 2007 Variance Variance
Revenue:
New vehicle $1,426.7 $2,409.1 $(982.4) (40.8)
Retail used vehicle 557.9 758.8 (200.9) (26.5)
Wholesale 83.0 191.8 (108.8) (56.7)
Used vehicle 640.9 950.6 (309.7) (32.6)
Parts and service 571.6 623.3 (51.7) (8.3)
Finance and insurance, net 84.1 139.6 (55.5) (39.8)
Other 13.6 17.1 (3.5)
Total revenue $2,736.9 $4,139.7 $(1,402.8) (33.9)
Gross profit:
New vehicle $92.5 $169.7 $(77.2) (45.5)
Retail used vehicle 52.0 73.9 (21.9) (29.6)
Wholesale (4.5) (1.8) (2.7)
Used vehicle 47.5 72.1 (24.6) (34.1)
Parts and service 248.6 270.1 (21.5) (8.0)
Finance and insurance 84.1 139.6 (55.5) (39.8)
Other 8.1 9.3 (1.2)
Total gross profit 480.8 660.8 (180.0) (27.2)
Selling, general and administrative
expenses 384.2 486.1 101.9 21.0
Depreciation and amortization 22.4 26.3 3.9
Goodwill impairment - - -
Franchise rights impairment - 1.2 1.2
Other expenses (income), net 10.0 (1.0) (11.0)
Operating income (loss) 64.2 148.2 (84.0)
Floorplan interest expense (21.4) (32.6) 11.2
Other interest expense (20.1) (31.7) 11.6
Gain on senior note repurchases 39.2 - 39.2
Interest income 0.7 0.8 (0.1)
Other losses, net (1.8) (1.6) (0.2)
Income (loss) from continuing
operations before income taxes $60.8 $83.1 $(22.3)
Retail vehicle unit sales:
New 45,405 75,610 (30,205) (39.9)
Used 36,107 45,763 (9,656) (21.1)
81,512 121,373 (39,861) (32.8)
Revenue per vehicle retailed:
New $31,422 $31,862 $(440) (1.4)
Used $15,451 $16,581 $(1,130) (6.8)
Gross profit per vehicle retailed:
New $2,037 $2,244 $(207) (9.2)
Used $1,440 $1,615 $(175) (10.8)
Finance and insurance $1,032 $1,150 $(118) (10.3)
AUTONATION, INC.
UNAUDITED SUPPLEMENTARY DATA
($ in millions, except per vehicle data)
Operating Highlights Twelve Months Ended December 31,
$ %
2008 2007 Variance Variance
Revenue:
New vehicle $7,756.2 $10,014.3 $(2,258.1) (22.5)
Retail used vehicle 2,839.7 3,305.7 (466.0) (14.1)
Wholesale 524.8 834.2 (309.4) (37.1)
Used vehicle 3,364.5 4,139.9 (775.4) (18.7)
Parts and service 2,465.2 2,539.9 (74.7) (2.9)
Finance and insurance, net 482.6 584.3 (101.7) (17.4)
Other 63.4 68.1 (4.7)
Total revenue $14,131.9 $17,346.5 $(3,214.6) (18.5)
Gross profit:
New vehicle $510.9 $709.1 $(198.2) (28.0)
Retail used vehicle 286.9 351.1 (64.2) (18.3)
Wholesale (8.5) 0.9 (9.4)
Used vehicle 278.4 352.0 (73.6) (20.9)
Parts and service 1,071.8 1,108.8 (37.0) (3.3)
Finance and insurance 482.6 584.3 (101.7) (17.4)
Other 35.8 39.1 (3.3)
Total gross profit 2,379.5 2,793.3 (413.8) (14.8)
Selling, general and
administrative expenses 1,813.8 1,999.8 186.0 9.3
Depreciation and amortization 90.8 90.3 (0.5)
Goodwill impairment 1,610.0 - (1,610.0)
Franchise rights impairment 146.5 2.2 (144.3)
Other expenses (income), net 13.2 (0.4) (13.6)
Operating income (loss) (1,294.8) 701.4 (1,996.2)
Floorplan interest expense (87.4) (129.0) 41.6
Other interest expense (89.4) (114.1) 24.7
Gain on senior note repurchases 51.3 - 51.3
Interest income 2.2 3.4 (1.2)
Other losses, net (4.6) (1.3) (3.3)
Income (loss) from continuing
operations before income taxes $(1,422.7) $460.4 $(1,883.1)
Retail vehicle unit sales:
New 255,843 322,849 (67,006) (20.8)
Used 181,281 201,175 (19,894) (9.9)
437,124 524,024 (86,900) (16.6)
Revenue per vehicle retailed:
New $30,316 $31,019 $(703) (2.3)
Used $15,665 $16,432 $(767) (4.7)
Gross profit per vehicle retailed:
New $1,997 $2,196 $(199) (9.1)
Used $1,583 $1,745 $(162) (9.3)
Finance and insurance $1,104 $1,115 $(11) (1.0)
Three Months Ended Twelve Months Ended
Operating Percentages December 31, December 31,
2008 (%) 2007 (%) 2008 (%) 2007 (%)
Revenue mix percentages:
New vehicle 52.1 58.2 54.9 57.7
Used vehicle 23.4 23.0 23.8 23.9
Parts and service 20.9 15.1 17.4 14.6
Finance and insurance, net 3.1 3.4 3.4 3.4
Other 0.5 0.3 0.5 0.4
100.0 100.0 100.0 100.0
Gross profit mix percentages:
New vehicle 19.2 25.7 21.5 25.4
Used vehicle 9.9 10.9 11.7 12.6
Parts and service 51.7 40.9 45.0 39.7
Finance and insurance 17.5 21.1 20.3 20.9
Other 1.7 1.4 1.5 1.4
100.0 100.0 100.0 100.0
Operating items as a percentage of
revenue:
Gross profit:
New vehicle 6.5 7.0 6.6 7.1
Used vehicle - retail 9.3 9.7 10.1 10.6
Parts and service 43.5 43.3 43.5 43.7
Total 17.6 16.0 16.8 16.1
Selling, general and administrative
expenses 14.0 11.7 12.8 11.5
Operating income (loss) 2.3 3.6 NM 4.0
Operating items as a percentage of
total gross profit:
Selling, general and administrative
expenses 79.9 73.6 76.2 71.6
Operating income (loss) 13.4 22.4 NM 25.1
NM = Not Meaningful
AUTONATION, INC.
UNAUDITED SUPPLEMENTARY DATA
($ in millions, except per vehicle data)
Segment Operating Highlights Three Months Ended December 31,
$ %
2008 2007 Variance Variance
Revenue:
Domestic $955.3 $1,507.6 $(552.3) (36.6)
Import 978.6 1,486.3 (507.7) (34.2)
Premium luxury 781.4 1,113.5 (332.1) (29.8)
Corporate and other 21.6 32.3 (10.7) (33.1)
Total revenue $2,736.9 $4,139.7 $(1,402.8) (33.9)
*Segment income (loss)
Domestic $13.8 $36.3 $(22.5) (62.0)
Import 20.3 51.5 (31.2) (60.6)
Premium luxury 38.5 58.7 (20.2) (34.4)
Corporate and other (29.8) (30.9) 1.1
Total segment income (loss) 42.8 115.6 (72.8)
Add: Floorplan interest expense 21.4 32.6 (11.2)
Operating income (loss) $64.2 $148.2 $(84.0)
* Segment income (loss) is defined as operating income net of
floorplan interest expense
Retail new vehicle unit sales:
Domestic 14,442 25,744 (11,302) (43.9)
Import 22,429 36,768 (14,339) (39.0)
Premium luxury 8,534 13,098 (4,564) (34.8)
45,405 75,610 (30,205) (39.9)
AUTONATION, INC.
UNAUDITED SUPPLEMENTARY DATA
($ in millions, except per vehicle data)
Segment Operating Highlights Twelve Months Ended December 31,
$ %
2008 2007 Variance Variance
Revenue:
Domestic $4,927.2 $6,562.9 $(1,635.7) (24.9)
Import 5,449.9 6,397.9 (948.0) (14.8)
Premium luxury 3,645.2 4,272.8 (627.6) (14.7)
Corporate and other 109.6 112.9 (3.3) (2.9)
Total revenue $14,131.9 $17,346.5 $(3,214.6) (18.5)
*Segment income (loss)
Domestic $107.1 $204.5 $(97.4) (47.6)
Import 187.9 250.0 (62.1) (24.8)
Premium luxury 184.2 226.2 (42.0) (18.6)
Corporate and other (1,861.4) (108.3) (1,753.1)
Total segment income (loss) (1,382.2) 572.4 (1,954.6)
Add: Floorplan interest expense 87.4 129.0 (41.6)
Operating income (loss) $(1,294.8) $701.4 $(1,996.2)
* Segment income (loss) is defined as operating income net of
floorplan interest expense
Retail new vehicle unit sales:
Domestic 80,153 113,549 (33,396) (29.4)
Import 135,464 161,232 (25,768) (16.0)
Premium luxury 40,226 48,068 (7,842) (16.3)
255,843 322,849 (67,006) (20.8)
Brand Mix - New Vehicle Retail Units
Sold
Three Months Ended Twelve Months Ended
December 31, December 31,
2008 (%) 2007 (%) 2008 (%) 2007 (%)
Domestic:
Ford, Lincoln-Mercury 15.5 13.8 14.0 15.1
Chevrolet, Pontiac, Buick,
Cadillac, GMC 11.1 13.7 11.9 13.4
Chrysler, Jeep, Dodge 5.2 6.5 5.4 6.7
Domestic total 31.8 34.0 31.3 35.2
Import:
Honda 12.3 12.3 13.5 12.5
Toyota 20.6 19.3 21.0 20.0
Nissan 9.5 11.2 11.9 11.5
Other imports 7.0 5.9 6.5 5.9
Import total 49.4 48.7 52.9 49.9
Premium Luxury:
Mercedes 8.2 8.0 6.9 6.5
BMW 5.7 4.4 4.7 4.1
Lexus 3.0 3.4 2.7 2.9
Other premium luxury (Land
Rover, Porsche) 1.9 1.5 1.5 1.4
Premium Luxury total 18.8 17.3 15.8 14.9
100.0 100.0 100.0 100.0
AUTONATION, INC.
UNAUDITED SUPPLEMENTARY DATA, Continued
($ in millions, except per share data)
Three Months Twelve Months
Capital Expenditures / Stock and Ended December 31, Ended December 31,
Debt Repurchases
2008 2007 2008 2007
Capital expenditures $20.2 $31.1 $117.4 $159.7
Acquisitions $2.8 $2.5 $32.2 $6.7
Proceeds from exercises of stock
options $- $4.7 $1.0 $96.6
Senior note repurchases (aggregate
principal) $144.8 $- $232.9 $-
Stock repurchases:
Aggregate purchase price $- $64.9 $54.1 $645.7
Shares repurchased (in millions) - 4.0 3.8 33.2
Floorplan Assistance and Three Months Ended Twelve Months Ended
Expense December 31, December 31,
2008 2007 Variance 2008 2007 Variance
Floorplan assistance
earned (included in cost
of sales) $11.9 $22.2 $(10.3) $70.0 $97.2 $(27.2)
Floorplan interest
expense (new vehicles) (20.0) (32.5) 12.5 (83.7) (128.5) 44.8
Net inventory carrying
cost $(8.1) $(10.3) $2.2 $(13.7) $(31.3) $17.6
Balance Sheet and Other Highlights
December 31, December 31,
2008 2007
Cash and cash equivalents $111.0 $33.0
Inventory $1,876.0 $2,258.1
Total floorplan notes payable $1,927.9 $2,123.0
Non-vehicle debt $1,258.9 $1,775.8
Equity $2,198.1 $3,473.5
New days supply (industry standard
of selling days, including fleet) 84 days 52 days
Used days supply (trailing 30 days) 30 days 44 days
AUTONATION, INC.
UNAUDITED SUPPLEMENTARY DATA, Continued
($ in millions, except per share data)
Comparable Basis Reconciliations*
Three Months Ended December 31,
Net Income Diluted Earnings
(Loss) Per Share
2008 2007 2008 2007
As reported $67.1 $51.7 $0.38 $0.28
Discontinued operations, net of
income taxes 3.0 (1.1) $0.02 $(0.01)
From continuing operations, as
reported 70.1 50.6 $0.40 $0.28
Income tax adjustments (31.9) - $(0.18) $-
Gain on senior note repurchases (24.1) - $(0.14) $-
Property and other impairments 7.6 - $0.04 $-
Adjusted $21.7 $50.6 $0.12 $0.28
Twelve Months Ended December 31,
Net Income Diluted Earnings
(Loss) Per Share
2008 2007 2008 2007
As reported $(1,243.1) $278.7 $(6.99) $1.39
Discontinued operations, net of
income taxes 17.7 10.0 $0.10 $0.05
From continuing operations, as
reported (1,225.4) 288.7 $(6.89) $1.44
Impairment of goodwill and
franchise rights 1,459.1 - $8.21 $-
Income tax adjustments (31.9) (12.0) $(0.18) $-
Gain on senior note repurchases (31.5) - $(0.18) $-
Property and other impairments 7.6 - $0.04 $-
Stock compensation expense
adjustment 3.2 - $0.02 $(0.06)
Adjusted $181.1 $276.7 $1.02 $1.38
* Please refer to the "Non-GAAP Financial Measures" section of the
Press Release.
AUTONATION, INC.
UNAUDITED SAME STORE DATA
($ in millions, except per vehicle data)
Operating Highlights Three Months Ended December 31,
$ %
2008 2007 Variance Variance
Revenue:
New vehicle $1,411.2 $2,407.6 $(996.4) (41.4)
Retail used vehicle 552.3 758.3 (206.0) (27.2)
Wholesale 81.1 191.2 (110.1) (57.6)
Used vehicle 633.4 949.5 (316.1) (33.3)
Parts and service 567.7 623.1 (55.4) (8.9)
Finance and insurance, net 82.9 139.6 (56.7) (40.6)
Other 4.0 5.9 (1.9) (32.2)
Total revenue $2,699.2 $4,125.7 $(1,426.5) (34.6)
Gross profit:
New vehicle $91.4 $169.5 $(78.1) (46.1)
Retail used vehicle 51.5 73.9 (22.4) (30.3)
Wholesale (4.8) (2.3) (2.5)
Used vehicle 46.7 71.6 (24.9) (34.8)
Parts and service 246.3 269.5 (23.2) (8.6)
Finance and insurance 82.9 139.6 (56.7) (40.6)
Other 5.2 6.0 (0.8)
Total gross profit $472.5 $656.2 $(183.7) (28.0)
Retail vehicle unit sales:
New 45,085 75,562 (30,477) (40.3)
Used 35,875 45,722 (9,847) (21.5)
80,960 121,284 (40,324) (33.2)
Revenue per vehicle retailed:
New $31,301 $31,863 $(562) (1.8)
Used $15,395 $16,585 $(1,190) (7.2)
Gross profit per vehicle retailed:
New $2,027 $2,243 $(216) (9.6)
Used $1,436 $1,616 $(180) (11.1)
Finance and insurance $1,024 $1,151 $(127) (11.0)
AUTONATION, INC.
UNAUDITED SAME STORE DATA
($ in millions, except per vehicle data)
Operating Highlights Twelve Months Ended December 31,
$ %
2008 2007 Variance Variance
Revenue:
New vehicle $7,712.0 $10,012.8 $(2,300.8) (23.0)
Retail used vehicle 2,819.1 3,305.2 (486.1) (14.7)
Wholesale 517.2 832.1 (314.9) (37.8)
Used vehicle 3,336.3 4,137.3 (801.0) (19.4)
Parts and service 2,450.5 2,539.7 (89.2) (3.5)
Finance and insurance, net 479.7 584.3 (104.6) (17.9)
Other 20.3 24.9 (4.6) (18.5)
Total revenue $13,998.8 $17,299.0 $(3,300.2) (19.1)
Gross profit:
New vehicle $507.5 $708.9 $(201.4) (28.4)
Retail used vehicle 284.7 351.0 (66.3) (18.9)
Wholesale (10.3) (1.1) (9.2)
Used vehicle 274.4 349.9 (75.5) (21.6)
Parts and service 1,062.8 1,106.4 (43.6) (3.9)
Finance and insurance 479.7 584.3 (104.6) (17.9)
Other 22.6 25.3 (2.7)
Total gross profit $2,347.0 $2,774.8 $(427.8) (15.4)
Retail vehicle unit sales:
New 254,739 322,801 (68,062) (21.1)
Used 180,304 201,134 (20,830) (10.4)
435,043 523,935 (88,892) (17.0)
Revenue per vehicle retailed:
New $30,274 $31,018 $(744) (2.4)
Used $15,635 $16,433 $(798) (4.9)
Gross profit per vehicle retailed:
New $1,992 $2,196 $(204) (9.3)
Used $1,579 $1,745 $(166) (9.5)
Finance and insurance $1,103 $1,115 $(12) (1.1)
Three Months Ended Twelve Months Ended
Operating Percentages December 31, December 31,
2008 (%) 2007 (%) 2008 (%) 2007 (%)
Revenue mix percentages:
New vehicle 52.3 58.4 55.1 57.9
Used vehicle 23.5 23.0 23.8 23.9
Parts and service 21.0 15.1 17.5 14.7
Finance and insurance, net 3.1 3.4 3.4 3.4
Other 0.1 0.1 0.2 0.1
100.0 100.0 100.0 100.0
Gross profit mix percentages:
New vehicle 19.3 25.8 21.6 25.5
Used vehicle 9.9 10.9 11.7 12.6
Parts and service 52.1 41.1 45.3 39.9
Finance and insurance 17.5 21.3 20.4 21.1
Other 1.2 0.9 1.0 0.9
100.0 100.0 100.0 100.0
Operating items as a percentage of
revenue:
Gross Profit:
New vehicle 6.5 7.0 6.6 7.1
Used vehicle - retail 9.3 9.7 10.1 10.6
Parts and service 43.4 43.3 43.4 43.6
Total 17.5 15.9 16.8 16.0
AUTONATION, INC.
KEY CREDIT AGREEMENT COVENANT COMPLIANCE CALCULATIONS
December 31, 2008
($ millions)
Income Statement information for the
last twelve months
(January 1, 2008 - December 31, 2008):
Net income (loss) from continuing
operations $(1,225.4)
Floorplan and other interest expense 176.8
Income tax provision (benefit) (197.3)
Depreciation and amortization 90.8
Stock-based compensation expense
(SFAS No. 123R) 21.0
Impairment charges (including
goodwill, franchise rights, and
long-lived assets) 1,765.7
EBITDA 631.6
Floorplan interest expense (87.4)
Adjusted EBITDA $544.2
As of December 31, 2008:
Funded indebtedness (primarily
comprised of current and long-term
debt and letters of credit) 1,331.8
Vehicle secured indebtedness
(floorplan payables) 1,927.9
Funded indebtedness including
floorplan 3,259.7
Shareholders' equity 2,198.1
Total capitalization including
floorplan $5,457.8
Ratio of funded indebtedness/
Adjusted EBITDA 2.45
Covenant less than 3.00
Ratio of funded indebtedness
including floorplan/
Total capitalization including
floorplan 59.7%
Covenant less than 65.0%
SOURCE AutoNation, Inc.
