Group 1 Names Charles M. Smith SVP Industry Relations

5 January 1999
Group 1 Names Charles M. Smith SVP Industry Relations
    HOUSTON, Jan. 5 -- Group 1 Automotive , a leading
operator and consolidator in the automotive retailing industry, today
announced that it has named Charles M. Smith senior vice president-industry
relations.  Smith will serve as a liaison between Group 1 and the automobile
manufacturers, as well as the various automotive industry organizations.
    According to B.B. Hollingsworth Jr., Group 1's chairman, president and
chief executive officer, the company's current size and growth prospects
created the need for the new position.  "A cornerstone of our growth strategy
is strong industry relationships, particularly with our automobile
manufacturer partners," Hollingsworth said.  "Our acquisitions must be
approved by the respective automobile manufacturer, and our continued
excellent relationships with all manufacturers is essential to our strategy.
Charles is one of the most respected automobile professionals in the country
and a natural fit for this position."
    Smith, 52, is one of Group 1's founders.  He was president of the Smith
Group, a platform operation of the company, and is a member of Group 1's board
of directors.  Smith's family has been in the automotive retailing business
since 1917, and he has been involved in dealership operations for over
30 years.  Smith is a past chairman of the American International Automobile
Dealers Association and is vice chairman of the Texas Automobile
Dealers Association.  He has won the Time Magazine Quality Dealer Award
and the Sports Illustrated All-Star Dealer Award.
    "The creation of this position is evidence of the value Group 1 places
on the excellent relationships it has and wants to maintain with all
automobile manufacturers and other groups within the industry," Smith said.
"As a consolidator, Group 1 has positioned itself as the 'dealers' choice,'
and I am pleased to lead the company's efforts as it strives to become the
manufacturers' number one choice."
    With Smith's move to the corporate office, the Smith Group will become
three platform operations, one each in, Dallas; Beaumont, Texas; and Austin,
Texas.  The new platform presidents -- Ron Kutz in Dallas, Mike Smith in
Beaumont and Randy Ross in Austin -- will report directly to John S. Bishop,
senior vice president-operations.
    "We are comfortable moving Charles out of operations because of the
experience of the new platform presidents," Hollingsworth said.  "I am
confident that they will be successful running their own platforms."
    Group 1 was founded to become a leading operator and consolidator in the
highly fragmented automotive retailing industry.  Group 1 owns 59 dealership
franchises comprised of 23 different brands, and 12 collision service centers
located in Texas, Oklahoma, New Mexico, Colorado, Florida and Georgia.
Through its dealerships the company sells new and used cars and light trucks,
provides maintenance and repair services, sells replacement parts and arranges
related financing, insurance and vehicle service contracts.
    Group 1 Automotive, Inc. can be reached on the Internet at
http://www.group1auto.com