Welcome to Automotive Retail, Mr. Buffett

Welcome to Automotive Retail, Mr. Buffett

October 2, 2014 – Warren Buffett’s announcement today that his Berkshire Hathaway Group is acquiring the Van Tuyl Group Group has the potential to change the market over the next year. Certainly, adding his iconic stature to an industry that already has business luminaries such as Roger Penske and MikeJackson only adds further validation that automotive retail is…

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Lithia Motors Completes DCH Purchase

Lithia Motors Completes DCH Purchase

Despite our earlier report this morning that a manufacturer may have been trying to block part of the deal, the Lithia Motors’ acquisition of the DCH Automotive Group was just signed this afternoon and includes all of DCH’s 27 dealerships. The purchase closely follows what Lithia laid out in its investor presentation in mid-June. The Medford, OR-based…

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Bye Bye ADP, Hello CDK

Bye Bye ADP, Hello CDK

September 30, 2014 — After the market’s close today, the ADP Dealer Services Group moniker will cease to exist. The group, a division of ADP, is being spun off today as a separate public company and will be called CDK Global. What does this mean for dealers? The Dealer Services Group was started in 1972…

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Cliff Banks - The Banks Report

CDK Global Clients to Get New Financing Partner

September 17, 2014 — ADP announces details and the date of the spin off of its Dealer Services Group (now called CDK Global) along with information about a new financing partner for its dealers. ADP Dealer Services U.S. and Canadian clients who have financed with ADP Commercial Leasing will be moved to a new co-branded financing…

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Cliff Banks - The Banks Report

Group 1 Automotive Doubles Down in Brazil; Exits Long Island

September 15, 2014 — In the words of Kenny Rogers — “You’ve got to know when to hold ’em; know when to fold ’em; know when to walk away; know when to run.” And Group 1 Automotive’s Chairman and CEO Earl Hesterberg is showing he’s not afraid to follow that advice and cut his losses.…

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Cliff Banks - The Banks Report

SoCal Penske Building Empire in Southern California

September 14, 2014 — Drew AutoCenter in La Mesa, CA announced on Friday to its employees that it is being acquired by Roger Penske Jr.’s group, SoCal Penske Dealer Group, according to multiple sources familiar with the deal. The auto center includes Drew Ford and Drew Hyundai along with a used vehicle super store. The industry…

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Cliff Banks - The Banks Report

Edmunds Launching New Mobile and Data Initiatives

September 13, 2014 — Edmunds.com is rolling out new initiatives over the next several months that will integrate into its Price Promise program launched in 2013. The goal is to improve the buying experience for consumers. More than 8,000 of Edmunds’ approximate 10,000 dealership clients are participating in Price Promise, in which they provide a…

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Cliff Banks - The Banks Report

Barrier Motors to be Sold to Public Dealer Group?

UPDATED: AutoNation just sent a press release announcing the acquisition of Barrier Motors, which we reported earlier this morning. Industry sources are telling us that a sale of Barrier Motors Group in Bellevue, WA is imminent and that the likely buyer is a public dealer group. Based on the rumors, the market and the brands, it’s…

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