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Republic Industries to Buy Dealerships in Austin, Atlanta, L.A., and Cincinnati

4 May 1998

Republic Industries, Inc. To Acquire Dealerships In Austin, Atlanta, Los Angeles, And Cincinnati

            Transactions Add Approximately $500 Million of Revenue

    FORT LAUDERDALE, Fla., May 4 -- Republic Industries, Inc.
announced today that it has signed definitive agreements to
acquire four automotive dealership groups in a series of separate transactions
that will add approximately $500 million of revenue to the company's
operations. The transaction costs, which were not disclosed, will be paid in
cash or Republic common stock, at Republic's discretion.
    Each transaction is subject to customary closing conditions, including
manufacturer and government approval.
    The dealerships to be acquired include the B.J. "Red" McCombs Chevrolet,
Pontiac/GMC/Jeep/Hyundai, and Toyota franchises and the Hendrix GMC and Isuzu
Truck franchises in Austin, Texas; Steve Rayman Pontiac-Buick-GMC Truck in the
Atlanta, Georgia market; Peyton Cramer Ford and Peyton Cramer Infiniti of
Torrance, California; and Bob Townsend Ford of Cincinnati, Ohio.  Acquisition
of the Toyota franchise is subject to compliance with a framework agreement
between Republic and Toyota Motor Sales U.S.A.
    The McCombs dealerships had about $290 million of revenue in 1997. The
acquisition is Republic's first franchised vehicle acquisition in the
metropolitan Austin, Texas area and is an important component in building the
company's presence in this market. Red McCombs Chevrolet is located across the
street from the site of a future AutoNation USA used car megastore, which is
scheduled to open in Austin in 1999.
    Steve Rayman Pontiac-Buick-GMC Truck had about $70 million of revenue in
1997. This acquisition adds an additional dealership to Republic's current
franchised vehicle operations in the Atlanta area, where the company presently
operates Gene Evans Ford, Hub Ford, Chuck Clancy Ford and the Sutherlin
Automotive Group. There are also three AutoNation USA used car megastores in
the Atlanta market and the company plans to open a fourth AutoNation USA
megastore in the Atlanta area later this year.
    The Peyton Cramer Ford Jaguar/Lincoln-Mercury/VW and Infiniti franchises
in Torrance, California, about 20 miles south of Los Angeles, had
approximately $100 million of revenue in 1997. Peyton Cramer Ford is located
adjacent to Republic's South Bay Autohaus Mercedes Benz dealership in
Torrance, California, and close to South Bay Volvo, which Republic has agreed
to acquire. Also in the Los Angeles area, Republic has signed a definitive
agreement to acquire the Webb Automotive Group.  Currently there is an
AutoNation USA used car megastore in nearby Irvine, and Republic has plans to
open an additional four AutoNation USA megastores in Southern California by
the end of this year.
    Bob Townsend Ford had about $40 million of revenue in 1997. The dealership
is Republic's first franchised automotive retail acquisition in the
Cincinnati, Ohio area. Republic operates an AutoNation USA used car megastore
in Cincinnati.
    Republic Industries, Inc. operates subsidiaries in the automotive
retailing, automotive rental, and solid waste service industries. The company
owns the nation's largest chain of franchised vehicle dealerships and operates
a chain of used car megastores under the AutoNation USA brand name. Republic
also owns National Car Rental System, Inc., Alamo Rent-A-Car, Inc., and
CarTemps USA.

SOURCE  Republic Industries, Inc.