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Group 1 Automotive Closes Three Acquisitions

10 July 1999

  Messer Establishes West Texas Platform; Tuck-ins Added to Dallas Platform

    HOUSTON -- Group 1 Automotive, Inc., a leading operator and consolidator 
in the automotive retailing industry, announced today that it has completed 
its previously announced acquisitions of Gene Messer Automotive Group, Rodeo 
Dodge and Village Chrysler-Plymouth.  The company also announced that it has 
reached a mutual agreement with Pensacola, Fla.-based Sandy Sansing Automotive 
Group to terminate acquisition negotiations.

    With operations in Lubbock, Texas, Amarillo, Texas, and Rockwall, Texas,
Messer will become Group 1's West Texas platform.  The Messer Group consists
of three Ford dealerships, as well as Toyota, Mitsubishi, Cadillac, Jeep,
Mercury, Kia, Hyundai and Volkswagen franchises.  Greg Wessels, chief
operating officer, who has been with the Messer organization for over 20
years, and his management team have executed long-term employment contracts
and will continue to operate the dealerships.

    "Our new platform gives us a strong market position with premier
franchises in the West Texas market, and expands our presence in the Dallas
market with the addition of Rockwall Ford/Mercury," said B.B. Hollingsworth
Jr., Group 1's chairman, president and chief executive officer.  "We are
pleased to welcome Greg and his managers to the Group 1 team."

    Hollingsworth added, "In 1999, Group 1 has closed 22 franchise
acquisitions with aggregate revenues of over $520 million.  We are pursuing
our disciplined strategy of select acquisitions and are confident that we will
meet our target of acquiring dealerships that meet our criteria during 1999."

    Group 1, with an annualized revenue run rate of over $2.3 billion, is a
leading operator and consolidator in the highly fragmented automotive
retailing industry.  Upon completion of all announced acquisitions, Group 1
will own 79 dealership franchises comprised of 26 different brands, and 15
collision service centers located in Texas, Oklahoma, Florida, New Mexico,
Colorado, 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, vehicle service and
insurance contracts.

    This press release contains certain forward-looking statements within the
meaning of the Securities Act of 1933 and the Securities Exchange Act of 1934,
which are subject to known and unknown risks, uncertainties or other factors
not under Group 1's control that may cause the actual results, performance or
achievements of Group 1 to be materially different from the results,
performance or other expectations implied by these forward-looking statements.
Some of these risks, uncertainties and other factors include those disclosed
in Group 1's filings with the Securities and Exchange Commission.