Quarterly report pursuant to Section 13 or 15(d)

Business Acquisitions and Dispositions

v2.4.0.8
Business Acquisitions and Dispositions
 3 Months Ended
Mar. 31, 2014
Business Combinations [Abstract]  
Business Acquisitions and Dispositions

2. Business Acquisitions and Dispositions

Acquisitions – Sonic acquired one luxury franchise during the first quarter ended March 31, 2014 for an aggregate purchase price of approximately $2.6 million. The balance sheet as of March 31, 2014 includes preliminary allocations of the purchase price of these acquisitions to the assets and liabilities acquired based on their estimated fair market values at the date of acquisition and are subject to final adjustment.

Dispositions – Sonic disposed of one luxury franchise during the first quarter ended March 31, 2014, which generated net cash from disposition of approximately $1.9 million. The operating results of material disposed dealerships and terminated facilities are included in the income (loss) from discontinued operations in the accompanying Unaudited Condensed Consolidated Statements of Income. As of March 31, 2014, there were no dealerships held for sale.

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

 

     First Quarter Ended March 31,  
     2014     2013  
     (In thousands)  

Income (loss) from operations

    $ (588 )    $ (34 ) 

Gain (loss) on disposal

      (45 )      (37 ) 

Lease exit accrual adjustments and charges

      (332 )      (667 ) 
  

 

 

    

 

 

  

Pre-tax income (loss)

    $ (965 )    $ (738 ) 
  

 

 

    

 

 

  

Total revenues

    $ 0      $ —