EX-99.1

Exhibit 99.1

FOR IMMEDIATE RELEASE

Sonic Automotive, Inc. Posts All-Time Record New Vehicle Retail and Fixed Operations Gross Profits - True Price^® Strategy Gains Traction

CHARLOTTE, N.C. – February 19, 2014 – Sonic Automotive, Inc. (NYSE: SAH), one of the nation’s largest automotive retailers, today reported fourth quarter of 2013 adjusted diluted earnings per share from continuing operations of $0.67, an increase of 28.8% compared to $0.52 in the prior year quarter. 2013 fourth quarter adjusted net income from continuing operations was $35.5 million, a 23.4% increase over prior year fourth quarter results of $28.8 million. On an unadjusted basis, fourth quarter 2013 diluted earnings per share from continuing operations were $0.55, compared to $0.52 in the prior year quarter.

For the full year 2013, Sonic Automotive grew adjusted diluted earnings per share from continuing operations by 18.0% to $2.03 per diluted share, compared to an adjusted amount of $1.72 per diluted share in the 2012. On an unadjusted basis, full year 2013 diluted earnings per share from continuing operations were $1.59, compared to $1.56 in the prior year. See the accompanying tables for reconciliation between all adjusted and unadjusted amounts.

Q4 2013 and 2013 Annual Highlights

•

All-time record new retail unit sales for Q4 and full year 2013 of 34,001 and 132,363, respectively.

•

All-time record Q4 new retail gross profit of $82.1 million.

•

All-time record fixed operations gross profit for Q4 and full year 2013 of $152.6 million and $597.1 million, respectively.

•

All-time record used retail unit and gross profit for full year 2013 of 107,054 units and $150.4 million, respectively.

•

Record Q4 used retail unit sales of 26,354.

•

Total revenues up 5.8% in Q4 over prior year quarter, and up 5.7% over the prior full year.

•

New vehicle retail revenue up 3.1% in Q4 over the prior year quarter, and up 6.0% over the prior full year.

•

Used vehicle retail revenue up 12.7% in Q4 over the prior year quarter, and up 6.0% over the prior full year.

•

Fixed Operations (Parts, Service & Collision) revenue up $29.8 million in Q4 over the prior year quarter, or 10.4%, and up $67.9 million, or 5.8%, over the prior full year.

•

Full year SG&A to gross profit of 77.1%.

Sonic Automotive’s EVP of Operations, Jeff Dyke, commented, “Wow what a year for Sonic Automotive! We made great progress as we continued the process of preparing our Company for the long-term growth. I am very pleased with Q4 results that included our largest profit quarter in our history, absent the non-cash impairment charges. This kind of performance amidst all of the change our team endured to prepare for our One Sonic-One Experience transition and the work going into our stand-alone pre-owned concept further highlights the strength and talent of our operations team and the mix of quality brands we proudly represent. We continue to execute at a very high level and there is no question our Playbook execution strategy implemented years ago is a very big part of our success. The creation of a customer-centric culture has allowed Sonic Automotive to develop technologies, processes, branding and marketing that our industry has never experienced. We are very excited to unveil our work beginning this year as we start the rollout One Sonic-One Experience and we introduce the Denver market to a very special pre-owned concept. 2014 is going to be another challenging year for our team with all of the changes we plan but, if history is any indication, our team will succeed in executing these initiatives and I can’t wait to see them go to work. It’s going to be fun!”

Growth & Operating Strategies

Commenting on 2013 results and the 2014 outlook, B. Scott Smith, Sonic Automotive’s President, noted, “The 2013 year was a transition year for us. We were able to improve our capital structure earlier in the year by replacing costly 9% notes with 5% notes. This action will save us over $15 million over the long-term as we strive to continually increase shareholder value. Our balance sheet has never been stronger. Going forward, we are committed to the following growth and operating strategies:

•

Stand-alone pre-owned stores

•

One Sonic-One Experience (customer experience initiative)

•

Franchise acquisitions

•

Own dealership properties

•

Return capital to shareholders

As we have demonstrated over the last several years, one of our core competencies and competitive advantages is our ability to execute in the pre-owned space. We intend to capitalize on this strength. In addition, through our One Sonic-One Experience initiative, we intend to leverage the Sonic Automotive brand by changing the way customers shop and buy vehicles at our stores. The customer will drive the process and we will do everything we can to make their buying experience the best they’ve ever had. We are on track to opening our first pre-owned store in Denver in the fourth quarter of 2014 and we will be working diligently in 2014 to ultimately bring both of these initiatives to our customers.”

“Our growth strategy also includes opportunistic acquisitions in markets where we currently conduct business, development of open points in coordination with our manufacturing partners and the possibility of the acquisition of substantial dealership platforms that would augment our current operations. Our purchase of a BMW store and a Mercedes Benz store in the Denver market in 2013 demonstrates our commitment to continual growth. These two stores are expected to add approximately $200 million to our annual revenues. We have also continued to strengthen our balance sheet in 2013 by investing over $75 million in our properties. We added ten stores to our portfolio of owned properties increasing the percentage of properties owned to 31%. By the end of 2017, we expect to own approximately 45% of our properties. In addition, during 2013 we returned $17.1 million to shareholders through share repurchases and approximately $5.3 million in declared dividends. At December 31, 2013, our common stock repurchase authorization was $133 million.”

“We expect the automotive retailing sector to continue to grow in 2014 and are anticipating 2014 new vehicle industry volume of between 15.75 million units and 16.25 million units. We will have additional comments on our 2014 outlook in our earnings call later today.”

Fourth Quarter Earnings Conference Call

Senior management will host a conference call today at 11:00 A.M. (Eastern) to discuss the quarter’s results. To access the live broadcast of the call over the Internet go to: www.sonicautomotive.com, then click on “Our Company”, then “Investor Relations”, then “Earnings Conference Calls”.

Presentation materials for the conference call can be accessed on Sonic Automotive’s website at www.sonicautomotive.com by clicking on the “Investor Relations” tab under “Our Company” and choosing “Webcasts & Presentations”.

The conference call will also be available live by dialing in 10 minutes prior to the start of the call at:

Domestic: 1.877.441.0824

International: 1.706.643.0958

A conference call replay will be available one hour following the call for seven days and can be accessed by calling:

Domestic: 1.855.859.2056

International: 1.404.537.3406

About Sonic Automotive

Sonic Automotive, Inc., a Fortune 500 company based in Charlotte, N.C., is one of the nation’s largest automotive retailers. Sonic can be reached on the web at www.sonicautomotive.com.

The results reported in this press release, the accompanying summary tables and the presentation materials for the conference call today at 11:00 AM (Eastern) are preliminary and unaudited and are subject to change upon completion of the audit for our financial statements for the period ended December 31, 2013.

This release contains certain non-GAAP financial measures as defined under SEC rules, such as, but not limited to, adjusted income from continuing operations and related earnings per share data. The Company has reconciled these measures to the most directly comparable GAAP measures in the accompanying tables. The Company believes that these non-GAAP financial measures improve the transparency of the Company’s disclosure by providing period-to-period comparability of the Company’s results from operations.

Included herein are forward-looking statements, including statements with respect to anticipated 2013 industry new vehicle sales volume, the implementation of growth and operating strategies, including acquisitions of dealerships and properties, the development of open points and stand-alone pre-owned stores, the return of capital to shareholders and anticipated future success and impacts from the implementation of our strategic initiatives. There are many factors that affect management’s views about future events and trends of the Company’s business. These factors involve risk and uncertainties that could cause actual results or trends to differ materially from management’s view, including without limitation, economic conditions in the markets in which we operate, new and used vehicle industry sales volume, the success of our operational strategies, the rate and timing of overall economic recovery or decline, and the risk factors described in the Company’s annual report on Form 10-K for the year ending December 31, 2012 and quarterly report on Form 10-Q for the period ended September 30, 2013. The Company does not undertake any obligation to update forward-looking information.

###

Sonic Automotive, Inc.

Results of Operations (Unaudited)

This release contains certain non-GAAP financial measures (the “Adjusted” columns) as defined under SEC rules, such as, but not limited to, adjusted income from continuing operations and related earnings per share data. The Company has reconciled these measures to the most directly comparable GAAP measures (the “Reported” columns) in the release. The Company believes that these non-GAAP financial measures improve the transparency of the Company’s disclosure by providing period-to-period comparability of the Company’s results from operations.


	Fourth Quarter Ended December 31, 2013							Fourth Quarter Ended December 31, 2012
	Reported		Adjustments			Adjusted		Reported		Adjustments		Adjusted
	(In thousands, except per share and unit amounts)

Revenues:
New retail vehicles	$	1,299,444	$	-		$	1,299,444	$	1,259,924	$	-	$	1,259,924
Fleet vehicles		38,254		-			38,254		43,130		-		43,130

Total new vehicles		1,337,698		-			1,337,698		1,303,054		-		1,303,054
Used vehicles		551,028		-			551,028		489,063		-		489,063
Wholesale vehicles		40,772		-			40,772		44,820		-		44,820

Total vehicles		1,929,498		-			1,929,498		1,836,937		-		1,836,937
Parts, service and collision repair		316,888		-			316,888		287,113		-		287,113
Finance, insurance and other, net		68,983		-			68,983		64,685		-		64,685

Total revenues		2,315,369		-			2,315,369		2,188,735		-		2,188,735
Gross profit		338,700		-			338,700		314,119		-		314,119
Selling, general and administrative expenses		(254,647)		-			(254,647)		(236,798)		-		(236,798)
Impairment charges		(9,803)		9,803	(1)		-		(383)		-		(383)
Depreciation and amortization		(14,986)		-			(14,986)		(11,886)		-		(11,886)

Operating income (loss)		59,264		9,803			69,067		65,052		-		65,052
Other income (expense):
Interest expense, floor plan		(5,688)		-			(5,688)		(5,534)		-		(5,534)
Interest expense, other, net		(13,183)		-			(13,183)		(14,215)		-		(14,215)
Other income (expense), net		1		-			1		183		-		183

Total other income (expense)		(18,870)		-			(18,870)		(19,566)		-		(19,566)

Income (loss) from continuing operations before taxes		40,394		9,803			50,197		45,486		-		45,486
Provision for income taxes - benefit (expense)		(10,832)		(3,823)			(14,655)		(16,694)		-		(16,694)

Income (loss) from continuing operations		29,562		5,980			35,542		28,792		-		28,792

Income (loss) from discontinued operations		(1,478)		-			(1,478)		1,590		-		1,590

Net income (loss)	$	28,084	$	5,980		$	34,064	$	30,382	$	-	$	30,382


Diluted earnings (loss) per common share:
Earnings (loss) per share from continuing operations	$	0.55	$	0.12		$	0.67	$	0.52	$	-	$	0.52
Earnings (loss) per share from discontinued operations		(0.02)		(0.01)			(0.03)		0.03		-		0.03

Earnings (loss) per common share	$	0.53	$	0.11		$	0.64	$	0.55	$	-	$	0.55

Weighted average common shares outstanding		52,974					52,974		54,763				54,763

Gross Margin Data (Continuing Operations):
New retail vehicles		6.3%					6.3%		6.1%				6.1%
Fleet vehicles		2.2%					2.2%		2.4%				2.4%
Total new vehicles		6.2%					6.2%		5.9%				5.9%
Used vehicles		6.5%					6.5%		6.7%				6.7%
Wholesale vehicles		(3.9%)					(3.9%)		(3.5%)				(3.5%)
Parts, service and collision repair		48.2%					48.2%		49.1%				49.1%
Finance, insurance and other		100.0%					100.0%		100.0%				100.0%
Overall gross margin		14.6%					14.6%		14.4%				14.4%

SG&A Expenses (Continuing Operations):
Compensation	$	151,704						$	140,423
Advertising		15,327							13,243
Rent		17,632							19,286
Other		69,984							63,846

Total SG&A expenses	$	254,647	$	-		$	254,647	$	236,798	$	-	$	236,798
SG&A expenses as % of gross profit		75.2%					75.2%		75.4%				75.4%

Operating Margin %		2.6%					3.0%		3.0%				3.0%

Unit Data (Continuing Operations):
New retail units		34,001							33,767
Fleet units		1,250							1,312

Total new units		35,251							35,079
Used units		26,354							23,943
Wholesale units		6,670							7,452

(1) Represents $9.2 million of property and equipment impairment charges and a $0.6 million franchise asset impairment charge.

Sonic Automotive, Inc.

Results of Operations (Unaudited)


	Year Ended December 31, 2013							Year Ended December 31, 2012
	Reported		Adjustments			Adjusted		Reported		Adjustments			Adjusted
	(In thousands, except per share and unit amounts)
Revenues:
New retail vehicles	$	4,819,787	$	-		$	4,819,787	$	4,546,209	$	-		$	4,546,209
Fleet vehicles		169,398		-			169,398		169,715		-			169,715

Total new vehicles		4,989,185		-			4,989,185		4,715,924		-			4,715,924
Used vehicles		2,176,034		-			2,176,034		2,053,477		-			2,053,477
Wholesale vehicles		175,328		-			175,328		183,326		-			183,326

Total vehicles		7,340,547		-			7,340,547		6,952,727		-			6,952,727
Parts, service and collision repair		1,230,178		-			1,230,178		1,162,319		-			1,162,319
Finance, insurance and other, net		272,443		-			272,443		250,422		-			250,422

Total revenues		8,843,168		-			8,843,168		8,365,468		-			8,365,468
Gross profit		1,301,607		-			1,301,607		1,235,153		-			1,235,153
Selling, general and administrative expenses		(1,003,125)		-			(1,003,125)		(949,026)		-			(949,026)
Impairment charges		(9,872)		9,872	(1)		-		(440)		-			(440)
Depreciation and amortization		(54,007)		-			(54,007)		(45,285)		-			(45,285)

Operating income (loss)		234,603		9,872			244,475		240,402		-			240,402
Other income (expense):
Interest expense, floor plan		(21,954)		-			(21,954)		(19,454)		-			(19,454)
Interest expense, other, net		(55,485)		788	(2)		(54,697)		(60,090)		1,167	(4)		(58,923)
Other income (expense), net		(28,143)		28,235	(3)		92		(19,625)		19,898	(5)		273

Total other income (expense)		(105,582)		29,023			(76,559)		(99,169)		21,065			(78,104)

Income (loss) from continuing operations before taxes		129,021		38,895			167,916		141,233		21,065			162,298
Provision for income taxes - benefit (expense)		(44,343)		(15,169)			(59,512)		(49,972)		(11,784)	(6)		(61,756)

Income (loss) from continuing operations		84,678		23,726			108,404		91,261		9,281			100,542

Income (loss) from discontinued operations		(3,060)		-			(3,060)		(2,160)		-			(2,160)

Net income (loss)	$	81,618	$	23,726		$	105,344	$	89,101	$	9,281		$	98,382


Diluted earnings (loss) per common share:
Earnings (loss) per share from continuing operations	$	1.59	$	0.44		$	2.03	$	1.56	$	0.16		$	1.72
Earnings (loss) per share from discontinued operations		(0.06)		0.01			(0.05)		(0.03)		(0.01)			(0.04)

Earnings (loss) per common share	$	1.53	$	0.45		$	1.98	$	1.53	$	0.15		$	1.68

Weighted average common shares outstanding		52,941					52,941		60,406					60,406

Gross Margin Data (Continuing Operations):
New retail vehicles		5.9%					5.9%		6.0%					6.0%
Fleet vehicles		2.6%					2.6%		2.8%					2.8%
Total new vehicles		5.8%					5.8%		5.9%					5.9%
Used vehicles		6.9%					6.9%		7.0%					7.0%
Wholesale vehicles		(4.5%)					(4.5%)		(3.3%)					(3.3%)
Parts, service and collision repair		48.5%					48.5%		48.9%					48.9%
Finance, insurance and other		100.0%					100.0%		100.0%					100.0%
Overall gross margin		14.7%					14.7%		14.8%					14.8%

SG&A Expenses (Continuing Operations):
Compensation	$	601,495						$	566,886
Advertising		56,609							50,349
Rent		73,976							76,484
Other		271,045							255,307

Total SG&A expenses	$	1,003,125	$	-		$	1,003,125	$	949,026	$	-		$	949,026
SG&A expenses as % of gross profit		77.1%					77.1%		76.8%					76.8%

Operating Margin %		2.7%					2.8%		2.9%					2.9%

Unit Data (Continuing Operations):
New retail units		132,363							128,636
Fleet units		5,911							5,928

Total new units		138,274							134,564
Used units		107,054							102,556
Wholesale units		29,961							31,188

(1) Represents $9.3 million of property and equipment impairment charges and a $0.6 million franchise asset impairment charge.

(2) Represents double-carry interest on the 9.0% Senior Subordinated Notes.

(3) Represents loss on extinguishment of the 9.0% Senior Subordinated Notes.

(4) Represents double-carry interest on the 7.0% Senior Subordinated Notes.

(5) Represents loss on extinguishment of the 5.0% Convertible Senior Notes.

(6) Includes tax adjustments related to the settlement of certain tax matters and the tax effect of items (4) and (5) above.

Sonic Automotive, Inc.

Results of Operations (Unaudited)

Per Share Data


	Fourth Quarter Ended December 31, 2013
			Income (Loss)				Income (Loss)
			From Continuing				From Discontinued
			Operations				Operations				Net Income (Loss)
	Weighted				Per				Per				Per
	Average				Share				Share				Share
	Shares		Amount		Amount		Amount		Amount		Amount		Amount
	(In thousands, except per share amounts)

Reported:
Earnings (loss) and shares		52,492	$	29,562			$	(1,478)			$	28,084
Effect of participating securities:
Non-vested restricted stock and stock units				(208)				-				(208)

Basic earnings (loss) and shares		52,492	$	29,354	$	0.56	$	(1,478)	$	(0.03)	$	27,876	$	0.53
Effect of dilutive securities:
Contingently convertible debt (5.0% Convertible Notes)		-		-				-				-
Stock compensation plans		482

Diluted earnings (loss) and shares		52,974	$	29,354	$	0.55	$	(1,478)	$	(0.02)	$	27,876	$	0.53

Adjustments (net of tax):
Impairment Charges			$	5,980	$	0.11	$	-	$	-	$	5,980	$	0.11
Effect of two-class method & rounding				(42)		0.01		-		(0.01)		(42)		-

Total adjustments			$	5,938	$	0.12	$	-	$	(0.01)	$	5,938	$	0.11

Adjusted:

Diluted earnings (loss) per share					$	0.67			$	(0.03)			$	0.64


	Fourth Quarter Ended December 31, 2012
			Income (Loss)				Income (Loss)
			From Continuing				From Discontinued
			Operations				Operations				Net Income (Loss)
	Weighted				Per				Per				Per
	Average				Share				Share				Share
	Shares		Amount		Amount		Amount		Amount		Amount		Amount
	(In thousands, except per share amounts)
Reported:
Earnings (loss) and shares		54,289	$	28,792			$	1,590			$	30,382
Effect of participating securities:
Non-vested restricted stock and stock units				(433)				-				(433)

Basic earnings (loss) and shares		54,289	$	28,359	$	0.52	$	1,590	$	0.03	$	29,949	$	0.55
Effect of dilutive securities:
Stock compensation plans		474

Diluted earnings (loss) and shares		54,763	$	28,359	$	0.52	$	1,590	$	0.03	$	29,949	$	0.55

Sonic Automotive, Inc.

Results of Operations (Unaudited)

Per Share Data


	Year Ended December 31, 2013
			Income (Loss)				Income (Loss)
			From Continuing				From Discontinued
			Operations				Operations				Net Income (Loss)
	Weighted				Per				Per				Per
	Average				Share				Share				Share
	Shares		Amount		Amount		Amount		Amount		Amount		Amount
	(In thousands, except per share amounts)
Reported:
Earnings (loss) and shares		52,556	$	84,678			$	(3,060)			$	81,618
Effect of participating securities:
Non-vested restricted stock and stock units				(601)				-				(601)

Basic earnings (loss) and shares		52,556	$	84,077	$	1.60	$	(3,060)	$	(0.06)	$	81,017	$	1.54
Effect of dilutive securities:
Stock compensation plans		385

Diluted earnings (loss) and shares		52,941	$	84,077	$	1.59	$	(3,060)	$	(0.06)	$	81,017	$	1.53


Adjustments (net of tax):
Impairment Charges			$	6,022	$	0.11	$	-	$	-	$	6,022	$	0.11
Double-carry interest				481		0.01		-		-		481		0.01
Debt extinguishment charges				17,223		0.33		-		-		17,223		0.33
Effect of two-class method & rounding				(167)		(0.01)		-		0.01		(167)		-

Total adjustments			$	23,559	$	0.44	$	-	$	0.01	$	23,559	$	0.45

Adjusted:

Diluted earnings (loss) per share					$	2.03			$	(0.05)			$	1.98


	Year Ended December 31, 2012
			Income (Loss)				Income (Loss)
			From Continuing				From Discontinued
			Operations				Operations				Net Income (Loss)
	Weighted				Per				Per				Per
	Average				Share				Share				Share
	Shares		Amount		Amount		Amount		Amount		Amount		Amount
	(In thousands, except per share amounts)
Reported:
Earnings (loss) and shares		53,550	$	91,261			$	(2,160)			$	89,101
Effect of participating securities:
Non-vested restricted stock and stock units				(1,381)				-				(1,381)

Basic earnings (loss) and shares		53,550	$	89,880	$	1.68	$	(2,160)	$	(0.04)	$	87,720	$	1.64
Effect of dilutive securities:
Contingently convertible debt (5.0% Convertible Notes)		6,411		4,617				64				4,681
Stock compensation plans		445

Diluted earnings (loss) and shares		60,406	$	94,497	$	1.56	$	(2,096)	$	(0.03)	$	92,401	$	1.53


Adjustments (net of tax):
Double-carry interest			$	712	$	0.01	$	-	$	-	$	712	$	0.01
Debt extinguishment charges				12,138		0.20		-		-		12,138		0.20
Settlement of tax matters				(3,569)		(0.06)		-		-		(3,569)		(0.06)
Effect of two-class method & rounding				(141)		0.01		-		(0.01)		(141)		-

Total adjustments			$	9,140	$	0.16	$	-	$	(0.01)	$	9,140	$	0.15

Adjusted:

Diluted earnings (loss) per share					$	1.72			$	(0.04)			$	1.68

Sonic Automotive, Inc.

Results of Operations (Unaudited)

New Vehicles


	Fourth Quarter Ended December 31,				Better / (Worse)
	2013		2012		Change			% Change
	(In thousands, except units and per unit amounts)
Reported:
Revenue	$	1,337,698	$	1,303,054	$	34,644			2.7%
Gross profit	$	82,936	$	77,381	$	5,555			7.2%
Unit sales		35,251		35,079		172			0.5%
Revenue per unit	$	37,948	$	37,146	$	802			2.2%
Gross profit per unit	$	2,353	$	2,206	$	147			6.7%
Gross profit as a % of revenue		6.2%		5.9%		30			bps

	Year Ended December 31,				Better / (Worse)
	2013		2012		Change			% Change
	(In thousands, except units and per unit amounts)
Reported:
Revenue	$	4,989,185	$	4,715,924	$	273,261			5.8%
Gross profit	$	289,603	$	278,349	$	11,254			4.0%
Unit sales		138,274		134,564		3,710			2.8%
Revenue per unit	$	36,082	$	35,046	$	1,036			3.0%
Gross profit per unit	$	2,094	$	2,069	$	25			1.2%
Gross profit as a % of revenue		5.8%		5.9%		(10	)		bps

	Fourth Quarter Ended December 31,				Better / (Worse)
	2013		2012		Change			% Change
	(In thousands, except units and per unit amounts)
Same Store:
Revenue	$	1,312,838	$	1,303,054	$	9,784			0.8%
Gross profit	$	81,500	$	77,961	$	3,539			4.5%
Unit sales		34,800		35,079		(279	)		(0.8%	)
Revenue per unit	$	37,725	$	37,146	$	579			1.6%
Gross profit per unit	$	2,342	$	2,222	$	120			5.4%
Gross profit as a % of revenue		6.2%		6.0%		20			bps

	Year Ended December 31,				Better / (Worse)
	2013		2012		Change			% Change
	(In thousands, except units and per unit amounts)
Same Store:
Revenue	$	4,954,737	$	4,715,924	$	238,813			5.1%
Gross profit	$	287,394	$	279,648	$	7,746			2.8%
Unit sales		137,649		134,564		3,085			2.3%
Revenue per unit	$	35,995	$	35,046	$	949			2.7%
Gross profit per unit	$	2,088	$	2,078	$	10			0.5%
Gross profit as a % of revenue		5.8%		5.9%		(10	)		bps

Sonic Automotive, Inc.

Results of Operations (Unaudited)

Used Vehicles


	Fourth Quarter Ended December 31,				Better / (Worse)
	2013		2012		Change			% Change
	(In thousands, except units and per unit amounts)
Reported:
Revenue	$	551,028	$	489,063	$	61,965			12.7%
Gross profit	$	35,784	$	32,776	$	3,008			9.2%
Unit sales		26,354		23,943		2,411			10.1%
Revenue per unit	$	20,909	$	20,426	$	483			2.4%
Gross profit per unit	$	1,358	$	1,369	$	(11	)		(0.8%)
Gross profit as a % of revenue		6.5%		6.7%		(20	)		bps

	Year Ended December 31,				Better / (Worse)
	2013		2012		Change			% Change
	(In thousands, except units and per unit amounts)
Reported:
Revenue	$	2,176,034	$	2,053,477	$	122,557			6.0%
Gross profit	$	150,400	$	143,454	$	6,946			4.8%
Unit sales		107,054		102,556		4,498			4.4%
Revenue per unit	$	20,327	$	20,023	$	304			1.5%
Gross profit per unit	$	1,405	$	1,399	$	6			0.4%
Gross profit as a % of revenue		6.9%		7.0%		(10	)		bps

	Fourth Quarter Ended December 31,				Better / (Worse)
	2013		2012		Change			% Change
	(In thousands, except units and per unit amounts)
Same Store:
Revenue	$	537,694	$	489,063	$	48,631			9.9%
Gross profit	$	34,576	$	33,775	$	801			2.4%
Unit sales		25,885		23,943		1,942			8.1%
Revenue per unit	$	20,772	$	20,426	$	346			1.7%
Gross profit per unit	$	1,336	$	1,411	$	(75	)		(5.3%)
Gross profit as a % of revenue		6.4%		6.9%		(50	)		bps

	Year Ended December 31,				Better / (Worse)
	2013		2012		Change			% Change
	(In thousands, except units and per unit amounts)
Same Store:
Revenue	$	2,157,213	$	2,053,477	$	103,736			5.1%
Gross profit	$	148,683	$	143,759	$	4,924			3.4%
Unit sales		106,397		102,556		3,841			3.7%
Revenue per unit	$	20,275	$	20,023	$	252			1.3%
Gross profit per unit	$	1,397	$	1,402	$	(5	)		(0.4%)
Gross profit as a % of revenue		6.9%		7.0%		(10	)		bps

Sonic Automotive, Inc.

Results of Operations (Unaudited)

Wholesale Vehicles


	Fourth Quarter Ended December 31,						Better / (Worse)
	2013			2012			Change			% Change
	(In thousands, except units and per unit amounts)
Reported:
Revenue	$	40,772		$	44,820		$	(4,048	)		(9.0%	)
Gross profit (loss)	$	(1,589	)	$	(1,576	)	$	(13	)		(0.8%	)
Unit sales		6,670			7,452			(782	)		(10.5%	)
Revenue per unit	$	6,113		$	6,014		$	99			1.6%
Gross profit (loss) per unit	$	(238	)	$	(211	)	$	(27	)		(12.8%	)
Gross profit (loss) as a % of revenue		(3.9%	)		(3.5%	)		(40	)		bps

	Year Ended December 31,						Better / (Worse)
	2013			2012			Change			% Change
	(In thousands, except units and per unit amounts)
Reported:
Revenue	$	175,328		$	183,326		$	(7,998	)		(4.4%	)
Gross profit (loss)	$	(7,931	)	$	(5,975	)	$	(1,956	)		(32.7%	)
Unit sales		29,961			31,188			(1,227	)		(3.9%	)
Revenue per unit	$	5,852		$	5,878		$	(26	)		(0.4%	)
Gross profit (loss) per unit	$	(265	)	$	(192	)	$	(73	)		(38.0%	)
Gross profit (loss) as a % of revenue		(4.5%	)		(3.3%	)		(120	)		bps

	Fourth Quarter Ended December 31,						Better / (Worse)
	2013			2012			Change			% Change
	(In thousands, except units and per unit amounts)
Same Store:
Revenue	$	39,355		$	44,820		$	(5,465	)		(12.2%	)
Gross profit (loss)	$	(1,494	)	$	(1,576	)	$	82			5.2%
Unit sales		6,523			7,452			(929	)		(12.5%	)
Revenue per unit	$	6,033		$	6,014		$	19			0.3%
Gross profit (loss) per unit	$	(229	)	$	(211	)	$	(18	)		(8.5%	)
Gross profit (loss) as a % of revenue		(3.8%	)		(3.5%	)		(30	)		bps

	Year Ended December 31,						Better / (Worse)
	2013			2012			Change			% Change
	(In thousands, except units and per unit amounts)
Same Store:
Revenue	$	173,612		$	183,325		$	(9,713	)		(5.3%	)
Gross profit (loss)	$	(7,830	)	$	(5,976	)	$	(1,854	)		(31.0%	)
Unit sales		29,785			31,188			(1,403	)		(4.5%	)
Revenue per unit	$	5,829		$	5,878		$	(49	)		(0.8%	)
Gross profit (loss) per unit	$	(263	)	$	(192	)	$	(71	)		(37.0%	)
Gross profit (loss) as a % of revenue		(4.5%	)		(3.3%	)		(120	)		bps

Sonic Automotive, Inc.

Results of Operations (Unaudited)

Parts, Service and Collision Repair (“Fixed Operations”)


	Fourth Quarter Ended December 31,				Better / (Worse)
	2013		2012		Change		% Change
	(In thousands)
Reported:
Revenue
Customer Pay	$	139,443	$	130,595	$	8,848		6.8%
Warranty		50,572		41,621		8,951		21.5%
Wholesale Parts		44,468		38,282		6,186		16.2%
Internal, Sublet & Other		82,405		76,615		5,790		7.6%

Total	$	316,888	$	287,113	$	29,775		10.4%

Gross profit
Customer Pay	$	76,315	$	71,587	$	4,728		6.6%
Warranty		26,694		21,972		4,722		21.5%
Wholesale Parts		8,084		7,244		840		11.6%
Internal, Sublet & Other		41,493		40,051		1,442		3.6%

Total	$	152,586	$	140,854	$	11,732		8.3%

Gross profit as a % of revenue
Customer Pay		54.7%		54.8%		(10)		bps
Warranty		52.8%		52.8%		0		bps
Wholesale Parts		18.2%		18.9%		(70)		bps
Internal, Sublet & Other		50.4%		52.3%		(190)		bps

Total		48.2%		49.1%		(90)		bps

	Year Ended December 31,				Better / (Worse)
	2013		2012		Change		% Change
	(In thousands)
Reported:
Revenue
Customer Pay	$	546,695	$	525,674	$	21,021		4.0%
Warranty		188,061		167,964		20,097		12.0%
Wholesale Parts		169,338		153,827		15,511		10.1%
Internal, Sublet & Other		326,084		314,854		11,230		3.6%

Total	$	1,230,178	$	1,162,319	$	67,859		5.8%

Gross profit
Customer Pay	$	300,800	$	289,427	$	11,373		3.9%
Warranty		101,351		88,287		13,064		14.8%
Wholesale Parts		31,242		29,494		1,748		5.9%
Internal, Sublet & Other		163,699		161,695		2,004		1.2%

Total	$	597,092	$	568,903	$	28,189		5.0%

Gross profit as a % of revenue
Customer Pay		55.0%		55.1%		(10)		bps
Warranty		53.9%		52.6%		130		bps
Wholesale Parts		18.4%		19.2%		(80)		bps
Internal, Sublet & Other		50.2%		51.4%		(120)		bps

Total		48.5%		48.9%		(40)		bps

Sonic Automotive, Inc.

Results of Operations (Unaudited)

Parts, Service and Collision Repair (“Fixed Operations”)


	Fourth Quarter Ended December 31,				Better / (Worse)
	2013		2012		Change		% Change
	(In thousands)
Same Store:
Revenue
Customer Pay	$	134,542	$	130,595	$	3,947		3.0%
Warranty		49,209		41,621		7,588		18.2%
Wholesale Parts		43,236		38,282		4,954		12.9%
Internal, Sublet & Other		80,708		76,615		4,093		5.3%

Total	$	307,695	$	287,113	$	20,582		7.2%

Gross profit
Customer Pay	$	73,790	$	71,587	$	2,203		3.1%
Warranty		26,063		21,972		4,091		18.6%
Wholesale Parts		7,772		7,244		528		7.3%
Internal, Sublet & Other		40,367		39,778		589		1.5%

Total	$	147,992	$	140,581	$	7,411		5.3%

Gross profit as a % of revenue
Customer Pay		54.8%		54.8%		0		bps
Warranty		53.0%		52.8%		20		bps
Wholesale Parts		18.0%		18.9%		(90)		bps
Internal, Sublet & Other		50.0%		51.9%		(190)		bps

Total		48.1%		49.0%		(90)		bps

	Year Ended December 31,				Better / (Worse)
	2013		2012		Change		% Change
	(In thousands)
Same Store:
Revenue
Customer Pay	$	539,331	$	525,674	$	13,657		2.6%
Warranty		185,864		167,964		17,900		10.7%
Wholesale Parts		167,452		153,827		13,625		8.9%
Internal, Sublet & Other		323,543		314,854		8,689		2.8%

Total	$	1,216,190	$	1,162,319	$	53,871		4.6%

Gross profit
Customer Pay	$	296,956	$	289,427	$	7,529		2.6%
Warranty		100,574		88,287		12,287		13.9%
Wholesale Parts		30,766		29,494		1,272		4.3%
Internal, Sublet & Other		161,629		160,764		865		0.5%

Total	$	589,925	$	567,972	$	21,953		3.9%

Gross profit as a % of revenue
Customer Pay		55.1%		55.1%		0		bps
Warranty		54.1%		52.6%		150		bps
Wholesale Parts		18.4%		19.2%		(80)		bps
Internal, Sublet & Other		50.0%		51.1%		(110)		bps

Total		48.5%		48.9%		(40)		bps

Sonic Automotive, Inc.

Results of Operations (Unaudited)

Finance, Insurance and Other, Net (“F&I”)


	Fourth Quarter Ended December 31,				Better / (Worse)
	2013		2012		Change		% Change
	(In thousands, except per unit amounts)
Reported:
Revenue	$	68,983	$	64,685	$	4,298		6.6%
Gross profit per retail unit (excludes fleet)	$	1,143	$	1,121	$	22		2.0%

	Year Ended December 31,				Better / (Worse)
	2013		2012		Change		% Change
	(In thousands, except per unit amounts)
Reported:
Revenue	$	272,443	$	250,422	$	22,021		8.8%
Gross profit per retail unit (excludes fleet)	$	1,138	$	1,083	$	55		5.1%

	Fourth Quarter Ended December 31,				Better / (Worse)
	2013		2012		Change		% Change
	(In thousands, except per unit amounts)
Same Store:
Revenue	$	67,712	$	64,698	$	3,014		4.7%
Gross profit per retail unit (excludes fleet)	$	1,139	$	1,121	$	18		1.6%

	Year Ended December 31,				Better / (Worse)
	2013		2012		Change		% Change
	(In thousands, except per unit amounts)
Same Store:
Revenue	$	270,708	$	249,779	$	20,929		8.4%
Gross profit per retail unit (excludes fleet)	$	1,137	$	1,080	$	57		5.3%

Sonic Automotive, Inc.

Results of Operations (Unaudited)

Selling, General and Administrative (“SG&A”) Expenses


	Fourth Quarter Ended December 31,				Better / (Worse)
	2013		2012		Change		% Change
	(In thousands)

Compensation	$	151,704	$	140,423	$	(11,281)		(8.0%)
Advertising		15,327		13,243		(2,084)		(15.7%)
Rent		17,632		19,286		1,654		8.6%
Other		69,984		63,846		(6,138)		(9.6%)

Total	$	254,647	$	236,798	$	(17,849)		(7.5%)

SG&A as a % of gross profit
Compensation		44.8%		44.7%		(10)		bps
Advertising		4.5%		4.2%		(30)		bps
Rent		5.2%		6.1%		90		bps
Other		20.7%		20.4%		(30)		bps

Total		75.2%		75.4%		20		bps

	Year Ended December 31,				Better / (Worse)
	2013		2012		Change		% Change
	(In thousands)

Compensation	$	601,495	$	566,886	$	(34,609)		(6.1%)
Advertising		56,609		50,349		(6,260)		(12.4%)
Rent		73,976		76,484		2,508		3.3%
Other		271,045		255,307		(15,738)		(6.2%)

Total	$	1,003,125	$	949,026	$	(54,099)		(5.7%)

SG&A as a % of gross profit
Compensation		46.2%		45.9%		(30)		bps
Advertising		4.3%		4.1%		(20)
Rent		5.7%		6.2%		50		bps
Other		20.9%		20.6%		(30)		bps

Total		77.1%		76.8%		(30)		bps