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Sonic Automotive, Inc. Reports First Quarter Earnings in Line with Company Expectations


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CHARLOTTE, N.C., April 29 -- Sonic Automotive, Inc. , a leader in automotive retailing, today reported that its 2008 first quarter earnings from continuing operations were $18.0 million, or $0.44 per diluted share, compared to $22.3 million, or $0.49 per diluted share, for the same period in 2007.

Total revenue for the first quarter of 2008 increased 1.0% over the prior year period primarily from the impact of acquisitions made during 2007. Overall same store revenue declined 4.0% over the prior year quarter with softness in new vehicle sales being partially offset by growth in used vehicles and finance and insurance. On a same store basis compared to the same quarter last year, new vehicle retail revenues declined 8.2%, used vehicle retail revenues were up 11.5%, fixed operations revenue was up 0.7% and finance and insurance revenues were up 5.9%.

B. Scott Smith, the Company's President said, "Our results for this quarter are in line with our expectations given our previous forecast of a soft new vehicle sales environment through the first half of this year. To confront these challenges, we are continuing our strong focus on the higher-margin segments of our business -- fixed operations, finance and insurance, and used vehicles. In particular, the growth in our used vehicle business demonstrates the strength of our business model and strategy as our stores continue to embrace the concepts we have rolled out over the last 24 months. The quarter's results met our internal forecasts and, as a result, we remain comfortable with our 2008 continuing operations EPS target of $2.35 to $2.50 per diluted share."

Presentation materials for the Company's April 29, 2008 earnings conference call at 11:00 A.M. (Eastern) can be accessed on the Company's website at www.sonicautomotive.com by clicking on the "For Investors" tab and choosing "Webcasts & Presentations" on the left side of the monitor.

To access the live broadcast of the call over the Internet go to: SONIC AUTOMOTIVE

A live audio of the call will be accessible to the public by calling (877) 791-3416. International callers dial (706) 643-0958. Callers should dial in approximately 10 minutes before the call begins.

A conference call replay will be available one hour following the call for seven days and can be accessed by calling: 800-642-1687, Conference ID: 43381696, International callers dial (706) 645-9291.

About Sonic Automotive

Sonic Automotive, Inc., a Fortune 300 company based in Charlotte, N.C., is one of the largest automotive retailers in the United States operating 168 franchises. Sonic can be reached on the web at SONIC AUTOMOTIVE.