Lithia Motors, Inc. (NYSE:LAD) has completed the sale of Lithia Colorado
Chrysler Jeep and Lithia Dodge of Cherry Creek in Denver to a local
dealer. With these sales, the total number of stores divested in 2009 is
six, including four Chrysler locations. Saturn of Eugene was closed at
the beginning of April, leaving only two small Saturn stores in the
Lithia network.
The Company retired an additional $35.6 million in outstanding
convertible notes at a discount. Sufficient availability exists to
retire the remaining $6.9 million of convertible notes due in May 2009.
“We continue to make progress on the restructuring plan we laid out in
June 2008,” said Sid DeBoer, Chairman and CEO. “Of the 31 stores we had
identified for sale or closure, we have completed the disposal of 20 of
these locations. We are also pleased to announce continued progress on
the early retirement of our outstanding convertible notes, and believe
we are currently well-positioned to meet all of the Company’s current
debt obligations despite the turbulent credit markets. We will provide
further updates as we make additional progress on our plan.”
About Lithia
Lithia Motors, Inc. is a Fortune 700 Company, selling 27 brands of new
and all brands of used vehicles at 93 stores, which are located in 13
states. Internet sales are centralized at www.Lithia.com.
Lithia also sells used vehicles; arranges finance, warranty, and credit
insurance contracts; and provides vehicle parts, maintenance, and repair
services at all of its locations.
Additional Information
For additional information on Lithia Motors, contact the Investor
Relations Department: (541) 776-6591 or log-on to: www.lithia.com
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go to Investor Relations
Forward Looking Statements
This press release includes forward-looking statements within the
meaning of the "Safe-Harbor" provisions of the Private Securities
Litigation Reform Act of 1995, which management believes are a benefit
to shareholders. These statements are necessarily subject to risk and
uncertainty and actual results could differ materially due to certain
risk factors, including without limitation, future economic conditions
and others set forth from time to time in the company's filings with the
SEC. We make forward-looking statements about our ability to manage
through the current sales and economic environment. Specific risks in
this press release include execution of the restructuring plan and
macro-economic and market factors.
Lithia Motors, Inc.
Investor Relations, 541-776-6591
