Quarterly report pursuant to Section 13 or 15(d)

Discontinued Operations

v2.3.0.15
Discontinued Operations
 9 Months Ended
Sep. 30, 2011
Discontinued Operations [Abstract]  
Discontinued Operations

2. Discontinued Operations

Dispositions — The operating results of disposed franchises are included in the loss from discontinued operations in Sonic’s Unaudited Condensed Consolidated Statements of Income. At September 30, 2011, there were no dealership franchises held for sale.

 

Revenues and other activities associated with franchises classified as discontinued operations were as follows:

 

                                 
    Third Quarter Ended
September 30,		     Nine Months Ended
September 30,		  
    2011     2010     2011     2010  
    (In thousands)     (In thousands)  

Loss from operations

   $ (413)      $ (1,773)      $ (1,893)      $ (5,920)   

Gain (loss) on disposal of businesses

     (136)        829         (286)        2,182    

Lease exit income (charges)

     653        
 311  
  
     (220)        (2,411)   
   

 

 

    

 

 

    

 

 

    

 

 

  

Pre-tax income (loss)

   $ 104       $ (633)      $ (2,399)      $ (6,149)   
   

 

 

    

 

 

    

 

 

    

 

 

  
         

Total revenues

   $     —       $ 9,473       $     —       $ 55,127    

Lease exit charges recorded for the third quarter and nine-month periods ended September 30, 2011 and 2010 relate to interest charges, the revision of estimates on previously established lease exit accruals and adjustments for new sublease agreements. The lease exit accruals represent the present value of the lease payments, net of estimated or actual sublease proceeds, for the remaining life of the operating leases and other accruals necessary to satisfy the lease commitment to the landlord.