DealerTrack Completes DealerWire Acquisition

LAKE SUCCESS, N.Y., Feb. 6, 2006 -- DealerTrack Holdings, Inc. today announced that it has acquired substantially all of the assets and certain liabilities of Wired Logic, Inc., doing business as DealerWire(R). DealerWire, a privately-held company of ten employees based in Lebanon, New Hampshire, is a leading provider of inventory management solutions to the automotive retail industry.

"We are pleased to announce this expansion of DealerTrack's capabilities into dealership inventory analytics, control and ordering," said Mark O'Neil, chairman and chief executive officer of DealerTrack. "There are significant inefficiencies and foregone profit opportunities when dealerships manage both their new and used car inventories through memories and hunches rather than a systematic analysis of their historical sales and return on investment. We expect to leverage the pricing capabilities of ALG and the electronic vehicle description skills of Chrome to materially enhance the analytic functionality of the DealerWire products."

DealerWire, which is available by subscription for either new or used vehicle inventory, evaluates a dealership's sales and inventory performance by vehicle make, model and trim, including information about unit sales, costs, days to turn, and front-end gross profit. The solution reviews actual vehicles on the lot and provides specific recommendations for vehicles that should be added or deleted to improve a dealership's profitability and return on investment. DealerWire provides a host of easy-to-use, customizable reports that include historical annualized returns on investment, days to turn by make and model, and detailed breakdowns of current inventory aging that enable dealers to make smarter decisions in managing their inventories.

"DealerWire provides an intuitive, web-based solution to help dealers optimize their inventory decisions and maximize their profits. Our solution truly enables dealers to sell more cars with less inventory at higher profits," said Cameron Eldred, CEO of DealerWire. "We are very pleased to join the DealerTrack team, and particularly look forward to integrating our technology with its BookOut Pro and desking solutions. By leveraging DealerTrack's proven integration capabilities and reputation for innovation and execution excellence, DealerTrack can quickly bring the benefits of our products to DealerTrack's 21,000 dealers."

"This acquisition fits very well with our historical pattern of buying smaller companies that have developed outstanding technology in a complementary market sector," O'Neil said. "Enhancing and integrating the product within the DealerTrack platform will allow us to provide yet another tool for our dealer customers to maximize profit per sale."

  DealerWire was founded by Cameron Eldred and Tiger Shaw in 2000.

  About DealerTrack (http://www.dealertrack.com/)

DealerTrack is a leading provider of on-demand software and data solutions for the automotive retail industry in the United States. DealerTrack utilizes the Internet to link automotive dealers with banks, finance companies, credit unions and other financing sources, and other service and information providers, such as the major credit reporting agencies. DealerTrack has established a network of active relationships with over 21,000 automotive dealers, including over 80% of all franchised dealers; more than 200 financing sources, including the 20 largest independent financing sources in the United States and nine captive financing sources; and a number of other service and information providers to the automotive retail industry. DealerTrack's credit application processing product enables dealers to automate and accelerate the indirect automotive financing process by increasing the speed of communications between these dealers and their financing sources. DealerTrack's integrated subscription-based software products and services enable automotive dealer customers to receive valuable consumer leads, compare various financing and leasing options and programs, sell insurance and other aftermarket products, document compliance with certain laws and execute financing contracts electronically.