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Sonic Automotive, Inc. Awarded Oldsmobile Franchise

20 July 1998

Sonic Automotive, Inc. Awarded Oldsmobile Franchise

    CHARLOTTE, N.C., July 20 -- Sonic Automotive, Inc.
announced today that the Oldsmobile Division of General Motors
Corporation has granted Sonic Automotive, Inc. approval to open a new
Oldsmobile franchise in Atlanta, Georgia.  The new Oldsmobile dealership will
be located in the Greater Atlanta Metropolitan area at Sonic-owned Dyer & Dyer
Volvo of Atlanta's existing used car retail facility.  This facility will be
expanded to accommodate the new Oldsmobile dealership which will be named Dyer
& Dyer Oldsmobile.
    Operations will begin at Dyer & Dyer Oldsmobile in the first quarter of
1999.  The facility will consist of an estimated 13,353 square-foot building
situated on approximately two acres of property.  The dealership will sell and
service both new and used vehicles.  Dyer & Dyer Oldsmobile will be a
subsidiary of Sonic Automotive's Dyer & Dyer Volvo of Atlanta, the largest
Volvo dealership in the United States.
    B. Scott Smith, Sonic's President and Chief Operating Officer, stated,
"This franchise award demonstrates General Motors' confidence in Sonic's
ability to represent Oldsmobile in Atlanta.  We're proud of our management
team in Atlanta, led by Richard Dyer, and their efforts to obtain the
franchise for Sonic Automotive."
    Theodore M. Wright, Sonic's Chief Financial Officer, also added, "The
addition of this franchise allows Sonic to increase its new vehicle, service
and parts revenue with only a minimal additional investment.  We are using
existing leased real estate, existing management infrastructure and taking
advantage of the outstanding reputation of Dyer & Dyer Volvo in the Atlanta
market."
    Included herein are forward-looking statements, including statements with
respect to anticipated revenue growth.  There are many factors which affect
management's views about future events and trends of the Company's business.
These factors involve risk and uncertainties that could cause actual results
or trends to differ materially from management's view, including without
limitation economic conditions, risks associated with acquisitions and the
risk factors set forth from time to time in the Company's filings with the
Securities and Exchange Commission.