UnitedAuto Enters Cleveland, Ohio Market; Expands Operations in Little Rock, Arkansas

25 May 2000

UnitedAuto Enters Cleveland, Ohio Market; Expands Operations in Little Rock, Arkansas

    DETROIT--May 25, 2000--UnitedAuto Group, Inc. , a leading publicly-traded automobile retailer, announced today that it has acquired two Mercedes-Benz and two Infiniti dealerships in the Cleveland, Ohio area. In addition, it has acquired a Toyota dealership, which will be added to its existing hub in Little Rock, Arkansas.
    The Cleveland area dealerships were acquired from Motorcars Group and consist of Mercedes-Benz and Infiniti franchises in both Bedford and North Olmsted, Ohio. The Motorcars dealerships will become part of UnitedAuto Group's Midwest Region. Mr. James Pilla will be named President of the Dealerships. Mr. Lee Seidman, former owner and President of the Dealerships, has agreed to assist Mr. Pilla through the remainder of the calendar year.
    Roger S. Penske, UnitedAuto Chairman, commented on the Cleveland area acquisitions, "We were fortunate to acquire extremely well-run and customer-focused businesses that represent leading European and Asian brands. Cleveland has undergone a tremendous resurgence, becoming a premier market. This acquisition is an outstanding opportunity to expand our presence in the Midwest."
    The Toyota dealership, formerly Jones Toyota, is being renamed Landers Toyota and will be part of the company's South Central Region.
    Steve Landers, Sr., South Central Regional President, who was instrumental in acquiring the store from the Jones Automotive Group, stated the following, "We are very excited about adding Toyota to our regional portfolio. It's our first Toyota store here in Arkansas, and it is a fantastic brand that will fit into our current market very well. We are looking forward to great things out of this store."
    The acquisition of the five dealerships is expected to add approximately $100 million in revenues on an annual basis.
    UnitedAuto, which has pursued a strategy based on internal growth from its existing dealerships, as well as from strategic acquisitions, operates 111 franchises in 17 states, Puerto Rico and Brazil. UnitedAuto dealerships sell new and used vehicles, and market a complete line of after-market automotive products and services.
    This press release contains forward-looking information, and actual results may materially vary from those expressed or implied herein. Factors - including economic conditions, manufacturer approvals, and acquisitions risks that could affect these results - are described in reports and documents filed by the Company with the Securities and Exchange Commission.