Document_and_Entity_Informatio
Document and Entity Information | 3 Months Ended | |
Mar. 31, 2015 | Apr. 28, 2015 | |
Document and Entity Information [Line Items] | ||
Document Type | 10-Q | |
Amendment Flag | FALSE | |
Document Period End Date | 31-Mar-15 | |
Document Fiscal Year Focus | 2015 | |
Document Fiscal Period Focus | Q1 | |
Trading Symbol | SAH | |
Entity Registrant Name | SONIC AUTOMOTIVE INC | |
Entity Central Index Key | 1043509 | |
Current Fiscal Year End Date | -19 | |
Entity Filer Category | Large Accelerated Filer | |
Common Class A [Member] | ||
Document and Entity Information [Line Items] | ||
Entity Common Stock, Shares Outstanding | 38,841,740 | |
Common Class B [Member] | ||
Document and Entity Information [Line Items] | ||
Entity Common Stock, Shares Outstanding | 12,029,375 |
CONDENSED_CONSOLIDATED_STATEME
CONDENSED CONSOLIDATED STATEMENTS OF INCOME (Unaudited) (USD $) | 3 Months Ended | |
In Thousands, except Per Share data, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 |
Revenues: | ||
New vehicles | $1,202,323 | $1,146,620 |
Used vehicles | 593,742 | 559,816 |
Wholesale vehicles | 41,656 | 41,598 |
Total vehicles | 1,837,721 | 1,748,034 |
Parts, service and collision repair | 323,194 | 318,771 |
Finance, insurance and other, net | 74,600 | 69,581 |
Total revenues | 2,235,515 | 2,136,386 |
Cost of Sales: | ||
New vehicles | -1,138,973 | -1,079,947 |
Used vehicles | -552,898 | -519,123 |
Wholesale vehicles | -41,866 | -41,691 |
Total vehicles | -1,733,737 | -1,640,761 |
Parts, service and collision repair | -166,819 | -166,625 |
Total cost of sales | -1,900,556 | -1,807,386 |
Gross profit | 334,959 | 329,000 |
Selling, general and administrative expenses | -270,862 | -263,973 |
Impairment charges | -6,192 | -3 |
Depreciation and amortization | -16,409 | -14,381 |
Operating income (loss) | 41,496 | 50,643 |
Other income (expense): | ||
Interest expense, floor plan | -4,778 | -4,689 |
Interest expense, other, net | -13,219 | -13,818 |
Other income (expense), net | 90 | 97 |
Total other income (expense) | -17,907 | -18,410 |
Income (loss) from continuing operations before taxes | 23,589 | 32,233 |
Provision for income taxes - benefit (expense) | -9,200 | -12,249 |
Income (loss) from continuing operations | 14,389 | 19,984 |
Discontinued operations: | ||
Income (loss) from operations and the sale of dealerships | -691 | -965 |
Income tax benefit (expense) | 269 | 367 |
Income (loss) from discontinued operations | -422 | -598 |
Net income (loss) | $13,967 | $19,386 |
Basic earnings (loss) per common share: | ||
Earnings (loss) per share from continuing operations | $0.28 | $0.38 |
Earnings (loss) per share from discontinued operations | ($0.01) | ($0.01) |
Earnings (loss) per common share | $0.27 | $0.37 |
Weighted average common shares outstanding | 50,854 | 52,418 |
Diluted earnings (loss) per common share: | ||
Earnings (loss) per share from continuing operations | $0.28 | $0.38 |
Earnings (loss) per share from discontinued operations | ($0.01) | ($0.02) |
Earnings (loss) per common share | $0.27 | $0.36 |
Weighted average common shares outstanding | 51,403 | 52,946 |
Dividends declared per common share | $0.03 | $0.03 |
CONDENSED_CONSOLIDATED_STATEME1
CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (Unaudited) (USD $) | 3 Months Ended | |
In Thousands, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 |
Statement Of Income And Comprehensive Income [Abstract] | ||
Net income (loss) | $13,967 | $19,386 |
Other comprehensive income (loss) before taxes: | ||
Change in fair value of interest rate swap agreements | -1,489 | 1,673 |
Provision for income tax benefit (expense) related to components of other comprehensive income (loss) | 566 | -636 |
Other comprehensive income (loss) | -923 | 1,037 |
Comprehensive income (loss) | $13,044 | $20,423 |
CONDENSED_CONSOLIDATED_BALANCE
CONDENSED CONSOLIDATED BALANCE SHEETS (Unaudited) (USD $) | Mar. 31, 2015 | Dec. 31, 2014 |
In Thousands, unless otherwise specified | ||
Current Assets: | ||
Cash and cash equivalents | $3,958 | $4,182 |
Receivables, net | 315,106 | 371,994 |
Inventories | 1,280,027 | 1,311,702 |
Other current assets | 83,973 | 81,081 |
Total current assets | 1,683,064 | 1,768,959 |
Property and Equipment, net | 823,139 | 799,319 |
Goodwill | 476,159 | 475,929 |
Other Intangible Assets, net | 83,559 | 83,720 |
Other Assets | 56,334 | 55,208 |
Total Assets | 3,122,255 | 3,183,135 |
Current Liabilities: | ||
Notes payable - floor plan - trade | 649,577 | 711,618 |
Notes payable - floor plan - non-trade | 541,919 | 551,118 |
Trade accounts payable | 115,384 | 132,405 |
Accrued interest | 12,531 | 12,409 |
Other accrued liabilities | 203,846 | 208,654 |
Current maturities of long-term debt | 38,237 | 30,802 |
Total current liabilities | 1,561,494 | 1,647,006 |
Long-Term Debt | 756,388 | 742,610 |
Other Long-Term Liabilities | 71,215 | 69,200 |
Deferred Income Taxes | 61,098 | 57,601 |
Commitments and Contingencies | ||
Stockholders' Equity: | ||
Class A convertible preferred stock, none issued | ||
Paid-in capital | 702,423 | 697,760 |
Retained earnings | 389,074 | 376,353 |
Accumulated other comprehensive income (loss) | -7,347 | -6,424 |
Treasury stock, at cost; 23,603,393 Class A shares held at March 31, 2015 and 23,156,433 Class A shares held at December 31, 2014 | -412,835 | -401,712 |
Total Stockholders' Equity | 672,060 | 666,718 |
Total Liabilities and Stockholders' Equity | 3,122,255 | 3,183,135 |
Common Class A [Member] | ||
Stockholders' Equity: | ||
Common stock, value | 624 | 620 |
Total Stockholders' Equity | 624 | 620 |
Common Class B [Member] | ||
Stockholders' Equity: | ||
Common stock, value | 121 | 121 |
Total Stockholders' Equity | $121 | $121 |
CONDENSED_CONSOLIDATED_BALANCE1
CONDENSED CONSOLIDATED BALANCE SHEETS (Unaudited) (Parenthetical) (USD $) | Mar. 31, 2015 | Dec. 31, 2014 |
Convertible preferred stock issued | 0 | 0 |
Common Class A [Member] | ||
Common stock, par value | 0.01 | 0.01 |
Common stock, shares authorized | 100,000,000 | 100,000,000 |
Common stock, shares issued | 62,416,612 | 62,046,966 |
Common stock, shares outstanding | 38,813,219 | 38,890,533 |
Treasury stock, shares | 23,603,393 | 23,156,433 |
Common Class B [Member] | ||
Common stock, par value | 0.01 | 0.01 |
Common stock, shares authorized | 30,000,000 | 30,000,000 |
Common stock, shares issued | 12,029,375 | 12,029,375 |
Common stock, shares outstanding | 12,029,375 | 12,029,375 |
CONDENSED_CONSOLIDATED_STATEME2
CONDENSED CONSOLIDATED STATEMENT OF STOCKHOLDERS' EQUITY (Unaudited) (USD $) | Total | Paid-In Capital [Member] | Retained Earnings / (Accumulated Deficit) [Member] | Accumulated Other Comprehensive Income (Loss) [Member] | Common Class A [Member] | Common Class A [Member] | Common Class B [Member] |
In Thousands, except Share data | Treasury Stock [Member] | ||||||
Beginning Balance at Dec. 31, 2014 | $666,718 | $697,760 | $376,353 | ($6,424) | $620 | ($401,712) | $121 |
Beginning Balance, Treasury Shares at Dec. 31, 2014 | -23,156,433 | -23,156,000 | |||||
Beginning Balance, Shares at Dec. 31, 2014 | 62,047,000 | 12,029,000 | |||||
Shares awarded under stock compensation plans | 1,881 | 1,877 | 4 | ||||
Shares awarded under stock compensation plans, shares | 370,000 | ||||||
Purchases of treasury stock | -11,123 | -11,123 | |||||
Purchases of treasury stock, shares | -447,000 | ||||||
Income tax benefit associated with stock compensation plans | 394 | 394 | |||||
Fair value of interest rate swap agreements, net of tax benefit of $566 | -923 | -923 | |||||
Restricted stock amortization | 2,392 | 2,392 | |||||
Net income (loss) | 13,967 | 13,967 | |||||
Dividends ($0.025 per share) | -1,246 | -1,246 | |||||
Ending Balance at Mar. 31, 2015 | $672,060 | $702,423 | $389,074 | ($7,347) | $624 | ($412,835) | $121 |
Ending Balance, Treasury Shares at Mar. 31, 2015 | -23,603,393 | -23,603,000 | |||||
Ending Balance, Shares at Mar. 31, 2015 | 62,417,000 | 12,029,000 |
CONDENSED_CONSOLIDATED_STATEME3
CONDENSED CONSOLIDATED STATEMENT OF STOCKHOLDERS' EQUITY (Unaudited) (Parenthetical) (USD $) | 3 Months Ended |
In Thousands, except Per Share data, unless otherwise specified | Mar. 31, 2015 |
Tax effect on fair value of interest rate swap agreements | $566 |
Dividends per share | $0.03 |
Accumulated Other Comprehensive Income (Loss) [Member] | |
Tax effect on fair value of interest rate swap agreements | $566 |
Retained Earnings / (Accumulated Deficit) [Member] | |
Dividends per share | $0.03 |
CONDENSED_CONSOLIDATED_STATEME4
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (Unaudited) (USD $) | 3 Months Ended | |
In Thousands, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 |
CASH FLOWS FROM OPERATING ACTIVITIES: | ||
Net income (loss) | $13,967 | $19,386 |
Adjustments to reconcile net income (loss) to net cash provided by operating activities: | ||
Depreciation and amortization of property, plant and equipment | 16,408 | 14,379 |
Provision for bad debt expense | -2 | 80 |
Other amortization | 162 | 390 |
Debt issuance cost amortization | 483 | 663 |
Debt discount amortization, net of premium amortization | 36 | 24 |
Stock - based compensation expense | 2,392 | 2,187 |
Deferred income taxes | 4,063 | 5,758 |
Equity interest in earnings of investee | -32 | -49 |
Asset impairment charges | 6,192 | 3 |
Loss (gain) on disposal of dealerships and property and equipment | -95 | -807 |
Loss (gain) on exit of leased dealerships | 503 | 421 |
Changes in assets and liabilities that relate to operations: | ||
Receivables | 56,920 | 50,259 |
Inventories | 31,675 | 12,095 |
Other assets | -5,089 | -16,304 |
Notes payable - floor plan - trade | -62,041 | -49,439 |
Trade accounts payable and other liabilities | -21,486 | -24,782 |
Total adjustments | 30,089 | -5,122 |
Net cash provided by (used in) operating activities | 44,056 | 14,264 |
CASH FLOWS FROM INVESTING ACTIVITIES: | ||
Purchase of businesses, net of cash acquired | -2,573 | |
Purchases of land, property and equipment | -46,767 | -21,549 |
Proceeds from sales of property and equipment | 635 | 2,572 |
Proceeds from sales of dealerships | 3,117 | |
Net cash provided by (used in) investing activities | -46,132 | -18,433 |
CASH FLOWS FROM FINANCING ACTIVITIES: | ||
Net (repayments) borrowings on notes payable - floor plan - non-trade | -9,199 | -24,592 |
Borrowings on revolving credit facilities | 120,534 | 48,509 |
Repayments on revolving credit facilities | -120,534 | -48,509 |
Proceeds from issuance of long-term debt | 25,618 | 40,422 |
Principal payments on long-term debt | -4,446 | -3,768 |
Purchases of treasury stock | -11,123 | -8,388 |
Income tax benefit (expense) associated with stock compensation plans | 394 | 56 |
Issuance of shares under stock compensation plans | 1,881 | 879 |
Dividends paid | -1,273 | -1,317 |
Net cash provided by (used in) financing activities | 1,852 | 3,292 |
NET INCREASE (DECREASE) IN CASH AND CASH EQUIVALENTS | -224 | -877 |
CASH AND CASH EQUIVALENTS, BEGINNING OF YEAR | 4,182 | 3,016 |
CASH AND CASH EQUIVALENTS, END OF PERIOD | 3,958 | 2,139 |
SUPPLEMENTAL SCHEDULE OF NON-CASH FINANCING ACTIVITIES: | ||
Change in fair value of cash flow hedging instruments (net of tax benefit and expense of $566 and $636 in the three months ended March 31, 2015 and 2014, respectively) | -923 | 1,037 |
Cash paid (received) during the period for: | ||
Interest, including amount capitalized | 17,482 | 18,111 |
Income taxes | ($667) | $2,688 |
CONDENSED_CONSOLIDATED_STATEME5
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (Unaudited) (Parenthetical) (USD $) | 3 Months Ended | |
In Thousands, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 |
Statement Of Cash Flows [Abstract] | ||
Tax effect on fair value of interest rate swap agreements | $566 | ($636) |
Summary_of_Significant_Account
Summary of Significant Accounting Policies | 3 Months Ended | ||||
Mar. 31, 2015 | |||||
Accounting Policies [Abstract] | |||||
Summary of Significant Accounting Policies | 1. Summary of Significant Accounting Policies | ||||
Basis of Presentation – The accompanying condensed consolidated financial statements of Sonic Automotive, Inc. and its wholly-owned subsidiaries (“Sonic,” the “Company,” “we,” “us” and “our”) for the three months ended March 31, 2015 and 2014, are unaudited and have been prepared in accordance with United States generally accepted accounting principles (“U.S. GAAP”) for interim financial information and applicable rules and regulations of the Securities and Exchange Commission (“SEC”). Accordingly, they do not include all of the information and footnotes required by U.S. GAAP for complete financial statements. These unaudited condensed consolidated financial statements reflect, in the opinion of management, all material normal recurring adjustments necessary to fairly state the financial position, results of operations and cash flows for the periods presented. The operating results for interim periods are not necessarily indicative of the results to be expected for the entire fiscal year or future interim periods, because the first quarter normally contributes less operating profit than the second, third and fourth quarters. These interim financial statements should be read in conjunction with the audited consolidated financial statements included in Sonic’s Annual Report on Form 10-K for the year ended December 31, 2014. | |||||
Recent Accounting Pronouncements – In April 2015, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) 2015-03 to simplify the presentation of debt issuance costs. The amendments in this ASU require that debt issuance costs related to a recognized debt liability be presented in the balance sheet as a direct deduction from the carrying amount of that debt liability, consistent with debt discounts and premiums. The ASU also requires that the amortization of debt issuance costs be reported as interest expense. For public companies, this ASU is effective for fiscal years, and interim periods within those years, beginning after December 15, 2015 (early adoption is permitted). The adoption of this ASU will impact the presentation of certain items in Sonic’s consolidated financial position and other disclosures. | |||||
Principles of Consolidation – All of Sonic’s dealership and non-dealership subsidiaries are wholly-owned and consolidated in the accompanying condensed consolidated financial statements, except for one 50% - owned dealership that is accounted for under the equity method. All material intercompany balances and transactions have been eliminated in the accompanying condensed consolidated financial statements. | |||||
Lease Exit Accruals – Lease exit accruals relate to facilities Sonic has ceased using in its operations. The accruals represent the present value of the lease payments, net of estimated or actual sublease proceeds, for the remaining life of the operating leases and other accruals necessary to satisfy the lease commitment to the landlord. These situations could include the relocation of an existing facility or the sale of a dealership whereby the buyer will not be subleasing the property for either the remaining term of the lease or for an amount of rent equal to Sonic’s obligation under the lease. See Note 12, “Commitments and Contingencies,” of the notes to the consolidated financial statements in Sonic’s Annual Report on Form 10-K for the year ended December 31, 2014 for further discussion. | |||||
A summary of the activity of these operating lease exit accruals consists of the following: | |||||
(In thousands) | |||||
Balance, December 31, 2014 | $ 18,962 | ||||
Lease exit expense (1) | 503 | ||||
Payments (2) | -1,562 | ||||
Balance, March 31, 2015 | $ 17,903 | ||||
(1) Expense of approximately $0.4 million is recorded in income (loss) from discontinued operations and expense of | |||||
approximately $0.1 million is recorded in selling, general and administrative expenses in the accompanying | |||||
condensed consolidated statements of income. | |||||
(2) Amount is recorded as an offset to rent expense in selling, general and administrative expenses, with approximately | |||||
$0.2 million in continuing operations and $1.4 million in income (loss) from discontinued operations in the | |||||
accompanying condensed consolidated statements of income. | |||||
Income Tax Expense – The overall effective tax rate from continuing operations was 39.0% and 38.0% for the three months ended March 31, 2015 and 2014, respectively. Sonic’s effective tax rate varies from year to year based on the distribution of taxable income between states in which Sonic operates and other tax adjustments. Sonic expects the effective tax rate in future periods to fall within a range of 38.0% to 40.0% before the impact, if any, of changes in valuation allowances related to deferred income tax assets or unusual discrete tax adjustments. |
Business_Acquisitions_and_Disp
Business Acquisitions and Dispositions | 3 Months Ended | ||||||||||
Mar. 31, 2015 | |||||||||||
Business Combinations [Abstract] | |||||||||||
Business Acquisitions and Dispositions | 2. Business Acquisitions and Dispositions | ||||||||||
Acquisitions – Sonic acquired one luxury franchise during the three months ended March 31, 2014 for an aggregate purchase price of approximately $2.6 million. Sonic did not acquire any franchises during the three months ended March 31, 2015. | |||||||||||
Dispositions – As discussed in Note 1, “Description of Business and Summary of Significant Accounting Policies,” of the notes to the consolidated financial statements in Sonic’s Annual Report on Form 10-K for the year ended December 31, 2014, the FASB issued ASU 2014-08 which amended the definition of and reporting requirements for discontinued operations. Sonic elected to adopt and apply this guidance beginning with its Quarterly Report on Form 10-Q for the period ended June 30, 2014. The results of operations for those dealerships that were classified as discontinued operations as of March 31, 2014 are included in income (loss) from discontinued operations in the accompanying condensed consolidated statements of income and will continue to be reported within discontinued operations in the future. Revenues and other activities associated with dealerships classified as discontinued operations were as follows: | |||||||||||
Three Months Ended March 31, | |||||||||||
2015 | 2014 | ||||||||||
(In thousands) | |||||||||||
Income (loss) from operations | $ | (335 | ) | $ | (588 | ) | |||||
Gain (loss) on disposal | - | (45 | ) | ||||||||
Lease exit accrual adjustments and charges | (356 | ) | (332 | ) | |||||||
Pre-tax income (loss) | $ | (691 | ) | $ | (965 | ) | |||||
Total revenues | $ | - | $ | - | |||||||
Beginning with disposals occurring during the second quarter ended June 30, 2014, only the operating results of disposals that represent a strategic shift that has (or will have) a major impact on Sonic’s results of operations and financial position will be included in the income (loss) from discontinued operations in the accompanying condensed consolidated statements of income. | |||||||||||
Revenues and other activities associated with disposed dealerships that remain in continuing operations were as follows: | |||||||||||
Three Months Ended March 31, | |||||||||||
2015 | 2014 | ||||||||||
(In thousands) | |||||||||||
Income (loss) from operations | $ | 252 | $ | (513 | ) | ||||||
Gain (loss) on disposal | (102 | ) | 363 | ||||||||
Pre-tax income (loss) | $ | 150 | $ | (150 | ) | ||||||
Total revenues | $ | - | $ | 72,449 | |||||||
Inventories
Inventories | 3 Months Ended | ||||||||
Mar. 31, 2015 | |||||||||
Inventory Disclosure [Abstract] | |||||||||
Inventories | 3. Inventories | ||||||||
Inventories consists of the following: | |||||||||
31-Mar-15 | 31-Dec-14 | ||||||||
(In thousands) | |||||||||
New vehicles | $ | 856,967 | $ | 924,818 | |||||
Used vehicles | 246,713 | 214,015 | |||||||
Service loaners | 115,741 | 112,520 | |||||||
Parts, accessories and other | 60,606 | 60,349 | |||||||
Net inventories | $ | 1,280,027 | $ | 1,311,702 | |||||
Property_and_Equipment
Property and Equipment | 3 Months Ended | ||||||
Mar. 31, 2015 | |||||||
Property Plant And Equipment [Abstract] | |||||||
Property and Equipment | 4. Property and Equipment | ||||||
Property and equipment, net consists of the following: | |||||||
31-Mar-15 | 31-Dec-14 | ||||||
(In thousands) | |||||||
Land | $ 232,812 | $ 224,124 | |||||
Building and improvements | 627,372 | 582,261 | |||||
Office equipment and fixtures | 164,731 | 151,165 | |||||
Parts and service equipment | 71,774 | 68,248 | |||||
Company vehicles | 8,969 | 8,958 | |||||
Construction in progress | 50,024 | 81,180 | |||||
Total, at cost | 1,155,682 | 1,115,936 | |||||
Less accumulated depreciation | -332,543 | -316,617 | |||||
Property and equipment, net | $ 823,139 | $ 799,319 | |||||
In the three months ended March 31, 2015 and 2014, capital expenditures were approximately $46.8 million and $21.5 million, respectively. Capital expenditures in both periods were primarily related to real estate acquisitions, construction of new dealerships and EchoPark® stores, building improvements and equipment purchased for use in Sonic’s dealerships and EchoPark® stores. | |||||||
Impairment charges for the three months ended March 31, 2015 were approximately $6.2 million, with $4.8 million recorded in the Franchised Dealerships segment and $1.4 million recorded in the EchoPark® segment, and primarily consist of the write-off of certain costs associated with abandoned website and software development projects in addition to the abandonment of certain construction projects. |
Goodwill_and_Intangible_Assets
Goodwill and Intangible Assets | 3 Months Ended | |||||
Mar. 31, 2015 | ||||||
Goodwill And Intangible Assets Disclosure [Abstract] | ||||||
Goodwill and Intangible Assets | 5. Goodwill and Intangible Assets | |||||
The change in the carrying amount of franchise assets and goodwill for the three months ended March 31, 2015 was as follows: | ||||||
Franchise | Net | |||||
Assets | Goodwill | |||||
(In thousands) | ||||||
Balance, December 31, 2014 | $ 77,100 | $ 475,929 | -1 | |||
Prior year acquisition allocations | - | 230 | ||||
Balance, March 31, 2015 | $ 77,100 | $ 476,159 | -1 | |||
(1) Net of accumulated impairment losses of $796,725. | ||||||
At December 31, 2014, Sonic had approximately $6.6 million of definite life intangibles related to favorable lease agreements. After the effect of amortization of the definite life intangibles, the balance recorded at March 31, 2015 was approximately $6.5 million and is included in other intangible assets, net, in the accompanying condensed consolidated balance sheets. |
LongTerm_Debt
Long-Term Debt | 3 Months Ended | ||||||||
Mar. 31, 2015 | |||||||||
Debt Disclosure [Abstract] | |||||||||
Long-Term Debt | 6. Long-Term Debt | ||||||||
Long-term debt consists of the following: | |||||||||
31-Mar-15 | 31-Dec-14 | ||||||||
(In thousands) | |||||||||
2014 Revolving Credit Facility (1) | $ - | $ - | |||||||
7.0% Senior Subordinated Notes due 2022 (the "7.0% Notes") | 200,000 | 200,000 | |||||||
5.0% Senior Subordinated Notes due 2023 (the "5.0% Notes") | 300,000 | 300,000 | |||||||
Notes payable to a finance company bearing interest from 9.52% to 10.52% (with | |||||||||
a weighted average of 10.19%) | 3,496 | 4,367 | |||||||
Mortgage notes to finance companies-fixed rate, bearing interest from 3.51% to 7.03% | 145,732 | 147,554 | |||||||
Mortgage notes to finance companies-variable rate, bearing interest | |||||||||
at 1.25 to 3.50 percentage points above one-month LIBOR | 142,305 | 118,368 | |||||||
Net debt discount and premium (2) | -1,724 | -1,761 | |||||||
Other | 4,816 | 4,884 | |||||||
Total debt | $ 794,625 | $ 773,412 | |||||||
Less current maturities | -38,237 | -30,802 | |||||||
Long-term debt | $ 756,388 | $ 742,610 | |||||||
(1) The interest rate on the 2014 Revolving Credit Facility was 2.25% above LIBOR at March 31, 2015 and December 31, 2014. | |||||||||
(2) March 31, 2015 includes a $1.4 million discount associated with the 7.0% Notes, a $0.1 million premium associated with | |||||||||
notes payable to a finance company and a $0.4 million discount associated with mortgage notes payable. | |||||||||
December 31, 2014 includes a $1.5 million discount associated with the 7.0% Notes, a $0.1 million premium associated with | |||||||||
the notes payable to a finance company and a $0.4 million discount associated with mortgage notes payable. | |||||||||
2014 Credit Facilities | |||||||||
On July 23, 2014, Sonic entered into agreements to amend and restate its syndicated revolving credit agreement and syndicated new and used vehicle floor plan credit facilities. The amended and restated syndicated revolving credit agreement (the “2014 Revolving Credit Facility”) and the amended and restated syndicated new and used vehicle floor plan credit facilities (the “2014 Floor Plan Facilities” and, together with the 2014 Revolving Credit Facility, the “2014 Credit Facilities”) are scheduled to mature on August 15, 2019. | |||||||||
Availability under the 2014 Revolving Credit Facility is calculated as the lesser of $225.0 million or a borrowing base calculated based on certain eligible assets, less the aggregate face amount of any outstanding letters of credit under the 2014 Revolving Credit Facility (the “Revolving Borrowing Base”). The 2014 Revolving Credit Facility may be increased at Sonic’s option up to $275.0 million upon satisfaction of certain conditions. Based on balances as of March 31, 2015, the Revolving Borrowing Base was approximately $181.8 million. As of March 31, 2015, Sonic had no outstanding borrowings and $25.5 million in outstanding letters of credit under the 2014 Revolving Credit Facility, resulting in total borrowing availability of $156.3 million under the 2014 Revolving Credit Facility. See Note 6, “Long-Term Debt,” of the notes to the consolidated financial statements in Sonic’s Annual Report on Form 10-K for the year ended December 31, 2014 for further discussion. | |||||||||
7.0% Senior Subordinated Notes | |||||||||
On July 2, 2012, Sonic issued $200.0 million in aggregate principal amount of unsecured senior subordinated 7.0% Notes which mature on July 15, 2022. The 7.0% Notes were issued at a price of 99.11% of the principal amount thereof, resulting in a yield to maturity of 7.125%. Interest on the 7.0% Notes is payable semi-annually in arrears on January 15 and July 15 of each year. See Note 6, “Long-Term Debt,” of the notes to the consolidated financial statements in Sonic’s Annual Report on Form 10-K for the year ended December 31, 2014 for further discussion. | |||||||||
5.0% Senior Subordinated Notes | |||||||||
On May 9, 2013, Sonic issued $300.0 million in aggregate principal amount of unsecured senior subordinated 5.0% Notes which mature on May 15, 2023. The 5.0% Notes were issued at a price of 100.0% of the principal amount thereof. Interest on the 5.0% Notes is payable semi-annually in arrears on May 15 and November 15 of each year. See Note 6, “Long-Term Debt,” of the notes to the consolidated financial statements in Sonic’s Annual Report on Form 10-K for the year ended December 31, 2014 for further discussion. | |||||||||
Notes Payable to a Finance Company | |||||||||
Three notes payable (due October 2015 and August 2016) were assumed in connection with an acquisition in 2004 (the “Assumed Notes”). Sonic recorded the Assumed Notes at fair value using an interest rate of 5.35%. The interest rate used to calculate the fair value was based on a quoted market price for notes with similar terms as of the date of assumption. As a result of calculating the fair value, a premium of $7.3 million was recorded that is being amortized over the lives of the Assumed Notes. At March 31, 2015, the outstanding principal balance on the Assumed Notes was approximately $3.5 million with a remaining unamortized premium balance of approximately $0.1 million. | |||||||||
Mortgage Notes | |||||||||
At March 31, 2015, Sonic had mortgage financing totaling approximately $288.0 million related to approximately 30% of its operating properties. These mortgage notes require monthly payments of principal and interest through their respective maturities and are secured by the underlying properties. Maturity dates range between 2015 and 2033. The weighted average interest rate was 3.57% at March 31, 2015. | |||||||||
Covenants | |||||||||
Sonic was in compliance with the covenants under the 2014 Credit Facilities as of March 31, 2015. Financial covenants include required specified ratios (as each is defined in the 2014 Credit Facilities) of: | |||||||||
Covenant | |||||||||
Minimum | Maximum | ||||||||
Minimum | Consolidated | Consolidated | |||||||
Consolidated | Fixed Charge | Total Lease | |||||||
Liquidity | Coverage | Adjusted Leverage | |||||||
Ratio | Ratio | Ratio | |||||||
Required ratio | 1.05 | 1.2 | 5.5 | ||||||
March 31, 2015 actual | 1.21 | 1.64 | 4.16 | ||||||
The 2014 Credit Facilities contain events of default, including cross-defaults to other material indebtedness, change of control events and events of default customary for syndicated commercial credit facilities. Upon the future occurrence of an event of default, Sonic could be required to immediately repay all outstanding amounts under the 2014 Credit Facilities. | |||||||||
In addition, many of Sonic’s facility leases are governed by a guarantee agreement between the landlord and Sonic that contains financial and operating covenants. The financial covenants are identical to those under the 2014 Credit Facilities with the exception of one financial covenant related to the ratio of EBTDAR to Rent (as defined in the lease agreements) with a required ratio of no less than 1.50 to 1.00. As of March 31, 2015, the ratio was 3.59 to 1.00. | |||||||||
Derivative Instruments and Hedging Activities | |||||||||
Sonic has interest rate cash flow swap agreements to effectively convert a portion of its LIBOR-based variable rate debt to a fixed rate. The fair value of these swap positions at March 31, 2015 was a net liability of approximately $12.5 million, with $7.0 million included in other accrued liabilities and $5.5 million included in other long-term liabilities in the accompanying condensed consolidated balance sheets. The fair value of these swap positions at December 31, 2014 was a net liability of approximately $11.1 million, with $8.2 million included in other accrued liabilities and $3.5 million included in other long-term liabilities, offset partially by an asset of approximately $0.6 million included in other assets in the accompanying condensed consolidated balance sheets. | |||||||||
Under the terms of these cash flow swaps, Sonic will receive and pay interest based on the following: | |||||||||
Notional | Pay | Receive Rate (1) | Maturing Date | ||||||
Amount | Rate | ||||||||
(In millions) | |||||||||
$ 2.7 | 7.10% | one-month LIBOR + 1.50% | 10-Jul-17 | ||||||
$ 8.5 | 4.66% | one-month LIBOR | 10-Dec-17 | ||||||
$ 7.3 | -2 | 6.86% | one-month LIBOR + 1.25% | 1-Aug-17 | |||||
$ 100.0 | 3.28% | one-month LIBOR | 1-Jul-15 | ||||||
$ 100.0 | 3.30% | one-month LIBOR | 1-Jul-15 | ||||||
$ 6.3 | -2 | 6.41% | one-month LIBOR + 1.25% | 12-Sep-17 | |||||
$ 50.0 | 3.24% | one-month LIBOR | 1-Jul-15 | ||||||
$ 50.0 | 3.07% | one-month LIBOR | 1-Jul-15 | ||||||
$ 100.0 | -3 | 2.07% | one-month LIBOR | 30-Jun-17 | |||||
$ 100.0 | -3 | 2.02% | one-month LIBOR | 30-Jun-17 | |||||
$ 200.0 | -3 | 0.79% | one-month LIBOR | 1-Jul-16 | |||||
$ 50.0 | -4 | 1.32% | one-month LIBOR | 1-Jul-17 | |||||
$ 250.0 | -5 | 1.89% | one-month LIBOR | 30-Jun-18 | |||||
$ 25.0 | -4 | 2.08% | one-month LIBOR | 1-Jul-17 | |||||
$ 100.0 | -3 | 1.56% | one-month LIBOR | 1-Jul-17 | |||||
(1) The one-month LIBOR rate was approximately 0.179% at March 31, 2015. | |||||||||
(2) Changes in fair value are recorded through earnings. | |||||||||
(3) The effective date of these forward-starting swaps is July 1, 2015. | |||||||||
(4) The effective date of these forward-starting swaps is July 1, 2016. | |||||||||
(5) The effective date of this forward-starting swap is July 3, 2017. | |||||||||
For the interest rate swaps not designated as cash flow hedges (changes in the fair value of these swaps are recognized through earnings) and amortization of amounts in accumulated other comprehensive income (loss) related to terminated cash flow swaps, certain benefits and charges were included in interest expense, other, net, in the accompanying condensed consolidated statements of income. For the three months ended March 31, 2015 and 2014, these items were a benefit of approximately $0.1 million. | |||||||||
For the cash flow swaps that qualify as cash flow hedges, the changes in the fair value of these swaps have been recorded in other comprehensive income (loss), net of related income taxes, in the accompanying condensed consolidated statements of comprehensive income and are disclosed in the supplemental schedule of non-cash financing activities in the accompanying condensed consolidated statements of cash flows. The incremental interest expense (the difference between interest paid and interest received) related to these cash flow swaps was approximately $2.3 million and $2.9 million for the three months ended March 31, 2015 and 2014, respectively, and is included in interest expense, other, net, in the accompanying condensed consolidated statements of income and the interest paid amount disclosed in the supplemental disclosures of cash flow information in the accompanying condensed consolidated statements of cash flows. The estimated net expense expected to be reclassified out of accumulated other comprehensive income (loss) into results of operations during the next twelve months is approximately $4.3 million. |
Per_Share_Data_and_Stockholder
Per Share Data and Stockholders' Equity | 3 Months Ended | ||||||||||||||||
Mar. 31, 2015 | |||||||||||||||||
Earnings Per Share [Abstract] | |||||||||||||||||
Per Share Data and Stockholders' Equity | 7. Per Share Data and Stockholders’ Equity | ||||||||||||||||
The calculation of diluted earnings per share considers the potential dilutive effect of options and shares under Sonic’s stock compensation plans. Certain of Sonic’s non-vested restricted stock and restricted stock units contain rights to receive non-forfeitable dividends and thus, are considered participating securities and are included in the two-class method of computing earnings per share. The following table illustrates the dilutive effect of such items on earnings per share for the three months ended March 31, 2015 and 2014: | |||||||||||||||||
Three Months Ended March 31, 2015 | |||||||||||||||||
Income (Loss) | Income (Loss) | ||||||||||||||||
From Continuing | From Discontinued | Net | |||||||||||||||
Operations | Operations | Income (Loss) | |||||||||||||||
Weighted | Per | Per | Per | ||||||||||||||
Average | Share | Share | Share | ||||||||||||||
Shares | Amount | Amount | Amount | Amount | Amount | Amount | |||||||||||
(In thousands, except per share amounts) | |||||||||||||||||
Earnings (loss) and shares | 50,854 | $ 14,389 | $ (422) | $ 13,967 | |||||||||||||
Effect of participating securities: | |||||||||||||||||
Non-vested restricted stock | |||||||||||||||||
and restricted stock units | -5 | - | -5 | ||||||||||||||
Basic earnings (loss) and shares | 50,854 | $ 14,384 | $ 0.28 | $ (422) | $ (0.01) | $ 13,962 | $ 0.27 | ||||||||||
Effect of dilutive securities: | |||||||||||||||||
Stock compensation plans | 549 | ||||||||||||||||
Diluted earnings (loss) and shares | 51,403 | $ 14,384 | $ 0.28 | $ (422) | $ (0.01) | $ 13,962 | $ 0.27 | ||||||||||
Three Months Ended March 31, 2014 | |||||||||||||||||
Income (Loss) | Income (Loss) | ||||||||||||||||
From Continuing | From Discontinued | Net | |||||||||||||||
Operations | Operations | Income (Loss) | |||||||||||||||
Weighted | Per | Per | Per | ||||||||||||||
Average | Share | Share | Share | ||||||||||||||
Shares | Amount | Amount | Amount | Amount | Amount | Amount | |||||||||||
(In thousands, except per share amounts) | |||||||||||||||||
Earnings (loss) and shares | 52,418 | $ 19,984 | $ (598) | $ 19,386 | |||||||||||||
Effect of participating securities: | |||||||||||||||||
Non-vested restricted stock | |||||||||||||||||
and restricted stock units | -63 | - | -63 | ||||||||||||||
Basic earnings (loss) and shares | 52,418 | $ 19,921 | $ 0.38 | $ (598) | $ (0.01) | $ 19,323 | $ 0.37 | ||||||||||
Effect of dilutive securities: | |||||||||||||||||
Stock compensation plans | 528 | ||||||||||||||||
Diluted earnings (loss) and shares | 52,946 | $ 19,921 | $ 0.38 | $ (598) | $ (0.02) | $ 19,323 | $ 0.36 | ||||||||||
In addition to the stock options included in the table above, options to purchase approximately 0.4 million shares and 0.6 million shares of Class A common stock were outstanding during the three months ended March 31, 2015 and 2014, respectively, but were not included in the computation of diluted earnings per share because the options were not dilutive. |
Contingencies
Contingencies | 3 Months Ended |
Mar. 31, 2015 | |
Commitments And Contingencies Disclosure [Abstract] | |
Contingencies | 8. Contingencies |
Legal and Other Proceedings | |
Sonic is involved, and expects to continue to be involved, in numerous legal and administrative proceedings arising out of the conduct of its business, including regulatory investigations and private civil actions brought by plaintiffs purporting to represent a potential class or for which a class has been certified. Although Sonic vigorously defends itself in all legal and administrative proceedings, the outcomes of pending and future proceedings arising out of the conduct of Sonic’s business, including litigation with customers, employment related lawsuits, contractual disputes, class actions, purported class actions and actions brought by governmental authorities, cannot be predicted with certainty. An unfavorable resolution of one or more of these matters could have a material adverse effect on Sonic’s results of operations, financial position or cash flows. | |
Included in other accrued liabilities and other long-term liabilities in the accompanying condensed consolidated balance sheets was approximately $1.5 million and $0.3 million, respectively, at March 31, 2015, and approximately $2.0 million and $0.3 million, respectively, at December 31, 2014, in reserves that Sonic was holding for pending proceedings. Except as reflected in such reserves, Sonic is currently unable to estimate a range of reasonably possible loss, or a range of reasonably possible loss in excess of the amount accrued, for pending proceedings. | |
Guarantees and Indemnification Obligations | |
In accordance with the terms of Sonic’s operating lease agreements, Sonic’s dealership subsidiaries, acting as lessees, generally agree to indemnify the lessor from certain exposure arising as a result of the use of the leased premises, including environmental exposure and repairs to leased property upon termination of the lease. In addition, Sonic has generally agreed to indemnify the lessor in the event of a breach of the lease by the lessee. | |
In connection with dealership dispositions, certain of Sonic’s dealership subsidiaries have assigned or sublet to the buyer their interests in real property leases associated with such dealerships. In general, the subsidiaries retain responsibility for the performance of certain obligations under such leases, including rent payments, and repairs to leased property upon termination of the lease, to the extent that the assignee or sub-lessee does not perform. In the event the sub-lessees do not perform their obligations under such leases, Sonic remains liable for the lease payments. See Note 12, “Commitments and Contingencies,” of the notes to the consolidated financial statements in Sonic’s Annual Report on Form 10-K for the year ended December 31, 2014 for further discussion. | |
In accordance with the terms of agreements entered into for the sale of Sonic’s franchises, Sonic generally agrees to indemnify the buyer from certain exposure and costs arising subsequent to, but that existed prior to, the date of sale, including environmental exposure and exposure resulting from the breach of representations or warranties made in accordance with the agreement. While Sonic’s exposure with respect to environmental remediation and repairs is difficult to quantify, Sonic’s maximum exposure associated with these general indemnifications was approximately $16.8 million at both March 31, 2015 and December 31, 2014. These indemnifications expire within a period of one to two years following the date of sale. The estimated fair value of these indemnifications was not material and the amount recorded for this contingency was not significant at March 31, 2015. Sonic also guarantees the floor plan commitments of its 50% owned joint venture, the amount of which was approximately $2.8 million at both March 31, 2015 and December 31, 2014. |
Fair_Value_Measurements
Fair Value Measurements | 3 Months Ended | ||||||||||
Mar. 31, 2015 | |||||||||||
Fair Value Disclosures [Abstract] | |||||||||||
Fair Value Measurements | 9. Fair Value Measurements | ||||||||||
In determining fair value, Sonic uses various valuation approaches including market, income and/or cost approaches. “Fair Value Measurements and Disclosures” in the Accounting Standards Codification (“ASC”) establishes a hierarchy for inputs used in measuring fair value that maximizes the use of observable inputs and minimizes the use of unobservable inputs by requiring that the most observable inputs be used when available. Observable inputs are inputs that market participants would use in pricing the asset or liability developed based on market data obtained from sources independent of Sonic. Unobservable inputs are inputs that reflect Sonic’s assumptions about the assumptions market participants would use in pricing the asset or liability developed based on the best information available in the circumstances. The hierarchy is broken down into three levels based on the reliability of inputs as follows: | |||||||||||
Level 1 – Valuations based on quoted prices in active markets for identical assets or liabilities that Sonic has the ability to access. Assets utilizing Level 1 inputs include marketable securities that are actively traded. | |||||||||||
Level 2 – Valuations based on quoted prices in markets that are not active or for which all significant inputs are observable, either directly or indirectly. Assets and liabilities utilizing Level 2 inputs include cash flow swap instruments and deferred compensation plan balances. | |||||||||||
Level 3 – Valuations based on inputs that are unobservable and significant to the overall fair value measurement. Asset and liability measurements utilizing Level 3 inputs include those used in estimating fair value of non-financial assets and non-financial liabilities in purchase acquisitions, those used in assessing impairment of property, plant and equipment and other intangibles and those used in the reporting unit valuation in the annual goodwill impairment evaluation. | |||||||||||
The availability of observable inputs can vary and is affected by a wide variety of factors. To the extent that valuation is based on models or inputs that are less observable or unobservable in the market, the determination of fair value requires more judgment. Accordingly, the degree of judgment required by Sonic in determining fair value is greatest for assets and liabilities categorized in Level 3. In certain cases, the inputs used to measure fair value may fall into different levels of the fair value hierarchy. In such cases, for disclosure purposes, the level in the fair value hierarchy within which the fair value measurement is disclosed is determined based on the lowest level input (Level 3 being the lowest level) that is significant to the fair value measurement. | |||||||||||
Fair value is a market-based measure considered from the perspective of a market participant who holds the asset or owes the liability rather than an entity-specific measure. Therefore, even when market assumptions are not readily available, Sonic’s own assumptions are set to reflect those that market participants would use in pricing the asset or liability at the measurement date. Sonic uses inputs that are current as of the measurement date, including during periods when the market may be abnormally high or abnormally low. Accordingly, fair value measurements can be volatile based on various factors that may or may not be within Sonic’s control. | |||||||||||
Assets and liabilities recorded at fair value in the accompanying condensed consolidated balance sheets as of March 31, 2015 and December 31, 2014 are as follows: | |||||||||||
Fair Value Based on | |||||||||||
Significant Other Observable | |||||||||||
Inputs (Level 2) | |||||||||||
31-Mar-15 | 31-Dec-14 | ||||||||||
(In thousands) | |||||||||||
Assets: | |||||||||||
Cash surrender value of life insurance policies (1) | $ | 29,576 | $ | 27,552 | |||||||
Cash flow swaps designated as hedges (1) | - | 618 | |||||||||
Total assets | $ | 29,576 | $ | 28,170 | |||||||
Liabilities: | |||||||||||
Cash flow swaps designated as hedges (2) | $ | 11,122 | $ | 10,251 | |||||||
Cash flow swaps not designated as hedges (3) | 1,388 | 1,469 | |||||||||
Deferred compensation plan (4) | 16,527 | 15,863 | |||||||||
Total liabilities | $ | 29,037 | $ | 27,583 | |||||||
(1) Included in other assets in the accompanying condensed consolidated balance sheets. | |||||||||||
(2) As of March 31, 2015, approximately $6.4 million and $4.7 million were included in other accrued liabilities | |||||||||||
and other long-term liabilities, respectively, in the accompanying condensed consolidated balance sheets. | |||||||||||
As of December 31, 2014, approximately $7.5 million and $2.8 million were included in other accrued liabilities | |||||||||||
and other long-term liabilities, respectively, in the accompanying condensed consolidated balance sheets. | |||||||||||
(3) As of March 31, 2015, approximately $0.6 million and $0.8 million were included in other accrued liabilities | |||||||||||
and other long-term liabilities, respectively, in the accompanying condensed consolidated balance sheets. | |||||||||||
As of December 31, 2014, approximately $0.7 million and $0.8 million were included in other accrued liabilities | |||||||||||
and other long-term liabilities, respectively, in the accompanying condensed consolidated balance sheets. | |||||||||||
(4) Included in other long-term liabilities in the accompanying condensed consolidated balance sheets. | |||||||||||
There were no instances in the three months ended March 31, 2015 which required a fair value measurement of assets ordinarily measured at fair value on a non-recurring basis. Therefore, the carrying value of assets measured at fair value on a non-recurring basis in the accompanying condensed consolidated balance sheets as of March 31, 2015 have not changed since December 31, 2014. | |||||||||||
As of March 31, 2015 and December 31, 2014, the fair values of Sonic’s financial instruments including receivables, notes receivable from finance contracts, notes payable – floor plan, trade accounts payable, borrowings under the 2014 Credit Facilities and certain mortgage notes approximate their carrying values due either to length of maturity or existence of variable interest rates that approximate prevailing market rates. | |||||||||||
At March 31, 2015 and December 31, 2014, the fair value and carrying value of Sonic’s fixed rate long-term debt were as follows: | |||||||||||
31-Mar-15 | 31-Dec-14 | ||||||||||
Fair Value | Carrying Value | Fair Value | Carrying Value | ||||||||
(In thousands) | |||||||||||
7.0% Notes (1) | $ 218,000 | $ 198,593 | $ 216,000 | $ 198,556 | |||||||
5.0% Notes (1) | $ 299,250 | $ 300,000 | $ 294,000 | $ 300,000 | |||||||
Mortgage Notes (2) | $ 152,137 | $ 145,732 | $ 152,240 | $ 147,554 | |||||||
Assumed Notes (2) | $ 3,494 | $ 3,563 | $ 4,365 | $ 4,474 | |||||||
Other (2) | $ 4,530 | $ 4,816 | $ 4,588 | $ 4,884 | |||||||
(1) As determined by market quotations as of March 31, 2015 and December 31, 2014, respectively (Level 1). | |||||||||||
(2) As determined by discounted cash flows (Level 3). | |||||||||||
Accumulated_Other_Comprehensiv
Accumulated Other Comprehensive Income (Loss) | 3 Months Ended | ||||||
Mar. 31, 2015 | |||||||
Equity [Abstract] | |||||||
Accumulated Other Comprehensive Income (Loss) | 10. Accumulated Other Comprehensive Income (Loss) | ||||||
The changes in accumulated other comprehensive income (loss) for the three months ended March 31, 2015 are as follows: | |||||||
Changes in Accumulated Other Comprehensive | |||||||
Income (Loss) by Component | |||||||
for the Three Months Ended March 31, 2015 | |||||||
Gains and | Defined | Total | |||||
Losses on | Benefit | Accumulated | |||||
Cash Flow | Pension | Other | |||||
Hedges | Plan | Comprehensive | |||||
Income (Loss) | |||||||
(In thousands) | |||||||
Balance at December 31, 2014 | $ (5,973) | $ (451) | $ (6,424) | ||||
Other comprehensive income (loss) before reclassifications (1) | -2,371 | - | -2,371 | ||||
Amounts reclassified out of accumulated | |||||||
other comprehensive income (loss) (2) | 1,448 | - | 1,448 | ||||
Net current-period other comprehensive income (loss) | -923 | - | -923 | ||||
Balance at March 31, 2015 | $ (6,896) | $ (451) | $ (7,347) | ||||
(1) Net of tax benefit of $1,453. | |||||||
(2) Net of tax expense of $887. | |||||||
See the heading “Derivative Instruments and Hedging Activities” in Note 6, “Long-Term Debt,” for further discussion of Sonic’s cash flow hedges. For further discussion of Sonic’s defined benefit pension plan, see Note 10, “Employee Benefit Plans,” of the notes to the consolidated financial statements in Sonic’s Annual Report on Form 10-K for the year ended December 31, 2014. | |||||||
Segment_Information
Segment Information | 3 Months Ended | ||||||||
Mar. 31, 2015 | |||||||||
Segment Reporting [Abstract] | |||||||||
Segment Information | 11. Segment Information | ||||||||
As of March 31, 2015, Sonic had two operating segments: Franchised Dealerships and EchoPark®. The Franchised Dealerships segment is comprised of retail automotive franchises that sell new and used vehicles, replacement parts and vehicle repair and maintenance services, and finance and insurance products. The EchoPark® segment is comprised of stand-alone pre-owned specialty retail locations that provide customers an opportunity to search, buy, service and sell pre-owned vehicles. | |||||||||
The operating segments identified above are the business activities of Sonic for which discrete financial information is available and for which operating results are regularly reviewed by Sonic’s chief operating decision maker to assess operating performance and allocate resources. Sonic’s chief operating decision maker is a group consisting of the Company’s Chief Executive Officer, President and Chief Strategic Officer and the Chief Financial Officer. The Company has determined that its operating segments also represent its reportable segments. | |||||||||
Reportable segment revenue and segment income are as follows: | |||||||||
Three Months Ended March 31, | |||||||||
2015 | 2014 | ||||||||
(In thousands) | |||||||||
Revenues: | |||||||||
Franchised Dealerships | $ | 2,219,830 | $ | 2,136,386 | |||||
EchoPark® | 15,685 | - | |||||||
Total consolidated revenues | $ | 2,235,515 | $ | 2,136,386 | |||||
Three Months Ended March 31, | |||||||||
2015 | 2014 | ||||||||
(In thousands) | |||||||||
Segment income (loss) (1): | |||||||||
Franchised Dealerships | $ | 43,072 | $ | 47,696 | |||||
EchoPark® | (6,354 | ) | (1,742 | ) | |||||
Total segment income | 36,718 | 45,954 | |||||||
Interest expense, other, net | (13,219 | ) | (13,818 | ) | |||||
Other income (expense), net | 90 | 97 | |||||||
Income (loss) from continuing operations before taxes | $ | 23,589 | $ | 32,233 | |||||
(1) Segment income (loss) for each segment is defined as operating income less floor plan interest expense. | |||||||||
Summary_of_Significant_Account1
Summary of Significant Accounting Policies (Policies) | 3 Months Ended | ||||
Mar. 31, 2015 | |||||
Accounting Policies [Abstract] | |||||
Basis of Presentation | Basis of Presentation – The accompanying condensed consolidated financial statements of Sonic Automotive, Inc. and its wholly-owned subsidiaries (“Sonic,” the “Company,” “we,” “us” and “our”) for the three months ended March 31, 2015 and 2014, are unaudited and have been prepared in accordance with United States generally accepted accounting principles (“U.S. GAAP”) for interim financial information and applicable rules and regulations of the Securities and Exchange Commission (“SEC”). Accordingly, they do not include all of the information and footnotes required by U.S. GAAP for complete financial statements. These unaudited condensed consolidated financial statements reflect, in the opinion of management, all material normal recurring adjustments necessary to fairly state the financial position, results of operations and cash flows for the periods presented. The operating results for interim periods are not necessarily indicative of the results to be expected for the entire fiscal year or future interim periods, because the first quarter normally contributes less operating profit than the second, third and fourth quarters. These interim financial statements should be read in conjunction with the audited consolidated financial statements included in Sonic’s Annual Report on Form 10-K for the year ended December 31, 2014. | ||||
Recent Accounting Pronouncements | Recent Accounting Pronouncements – In April 2015, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) 2015-03 to simplify the presentation of debt issuance costs. The amendments in this ASU require that debt issuance costs related to a recognized debt liability be presented in the balance sheet as a direct deduction from the carrying amount of that debt liability, consistent with debt discounts and premiums. The ASU also requires that the amortization of debt issuance costs be reported as interest expense. For public companies, this ASU is effective for fiscal years, and interim periods within those years, beginning after December 15, 2015 (early adoption is permitted). The adoption of this ASU will impact the presentation of certain items in Sonic’s consolidated financial position and other disclosures. | ||||
Principles of Consolidation | Principles of Consolidation – All of Sonic’s dealership and non-dealership subsidiaries are wholly-owned and consolidated in the accompanying condensed consolidated financial statements, except for one 50% - owned dealership that is accounted for under the equity method. All material intercompany balances and transactions have been eliminated in the accompanying condensed consolidated financial statements. | ||||
Lease Exit Accruals | Lease Exit Accruals – Lease exit accruals relate to facilities Sonic has ceased using in its operations. The accruals represent the present value of the lease payments, net of estimated or actual sublease proceeds, for the remaining life of the operating leases and other accruals necessary to satisfy the lease commitment to the landlord. These situations could include the relocation of an existing facility or the sale of a dealership whereby the buyer will not be subleasing the property for either the remaining term of the lease or for an amount of rent equal to Sonic’s obligation under the lease. See Note 12, “Commitments and Contingencies,” of the notes to the consolidated financial statements in Sonic’s Annual Report on Form 10-K for the year ended December 31, 2014 for further discussion. | ||||
A summary of the activity of these operating lease exit accruals consists of the following: | |||||
(In thousands) | |||||
Balance, December 31, 2014 | $ 18,962 | ||||
Lease exit expense (1) | 503 | ||||
Payments (2) | -1,562 | ||||
Balance, March 31, 2015 | $ 17,903 | ||||
(1) Expense of approximately $0.4 million is recorded in income (loss) from discontinued operations and expense of | |||||
approximately $0.1 million is recorded in selling, general and administrative expenses in the accompanying | |||||
condensed consolidated statements of income. | |||||
(2) Amount is recorded as an offset to rent expense in selling, general and administrative expenses, with approximately | |||||
$0.2 million in continuing operations and $1.4 million in income (loss) from discontinued operations in the | |||||
accompanying condensed consolidated statements of income. | |||||
Income Tax Expense | |||||
Income Tax Expense – The overall effective tax rate from continuing operations was 39.0% and 38.0% for the three months ended March 31, 2015 and 2014, respectively. Sonic’s effective tax rate varies from year to year based on the distribution of taxable income between states in which Sonic operates and other tax adjustments. Sonic expects the effective tax rate in future periods to fall within a range of 38.0% to 40.0% before the impact, if any, of changes in valuation allowances related to deferred income tax assets or unusual discrete tax adjustments. |
Summary_of_Significant_Account2
Summary of Significant Accounting Policies (Tables) | 3 Months Ended | ||||
Mar. 31, 2015 | |||||
Accounting Policies [Abstract] | |||||
Summary of Operating Lease Exit Accruals | A summary of the activity of these operating lease exit accruals consists of the following: | ||||
(In thousands) | |||||
Balance, December 31, 2014 | $ 18,962 | ||||
Lease exit expense (1) | 503 | ||||
Payments (2) | -1,562 | ||||
Balance, March 31, 2015 | $ 17,903 | ||||
(1) Expense of approximately $0.4 million is recorded in income (loss) from discontinued operations and expense of | |||||
approximately $0.1 million is recorded in selling, general and administrative expenses in the accompanying | |||||
condensed consolidated statements of income. | |||||
(2) Amount is recorded as an offset to rent expense in selling, general and administrative expenses, with approximately | |||||
$0.2 million in continuing operations and $1.4 million in income (loss) from discontinued operations in the | |||||
accompanying condensed consolidated statements of income. | |||||
Business_Acquisitions_and_Disp1
Business Acquisitions and Dispositions (Tables) | 3 Months Ended |
Mar. 31, 2015 | |
Business Combinations [Abstract] | |
Revenues and Other Activities Associated with Dealerships Classified as Discontinued Operations | Revenues and other activities associated with dealerships classified as discontinued operations were as follows: |
Revenues and Other Activities Associated with Disposed Dealerships That Remain in Continued Operations | Revenues and other activities associated with disposed dealerships that remain in continuing operations were as follows: |
Inventories_Tables
Inventories (Tables) | 3 Months Ended | ||||||||
Mar. 31, 2015 | |||||||||
Inventory Disclosure [Abstract] | |||||||||
Components of Inventories | Inventories consists of the following: | ||||||||
31-Mar-15 | 31-Dec-14 | ||||||||
(In thousands) | |||||||||
New vehicles | $ | 856,967 | $ | 924,818 | |||||
Used vehicles | 246,713 | 214,015 | |||||||
Service loaners | 115,741 | 112,520 | |||||||
Parts, accessories and other | 60,606 | 60,349 | |||||||
Net inventories | $ | 1,280,027 | $ | 1,311,702 | |||||
Property_and_Equipment_Tables
Property and Equipment (Tables) | 3 Months Ended | ||||||
Mar. 31, 2015 | |||||||
Property Plant And Equipment [Abstract] | |||||||
Components of Property and Equipment, Net | Property and equipment, net consists of the following: | ||||||
31-Mar-15 | 31-Dec-14 | ||||||
(In thousands) | |||||||
Land | $ 232,812 | $ 224,124 | |||||
Building and improvements | 627,372 | 582,261 | |||||
Office equipment and fixtures | 164,731 | 151,165 | |||||
Parts and service equipment | 71,774 | 68,248 | |||||
Company vehicles | 8,969 | 8,958 | |||||
Construction in progress | 50,024 | 81,180 | |||||
Total, at cost | 1,155,682 | 1,115,936 | |||||
Less accumulated depreciation | -332,543 | -316,617 | |||||
Property and equipment, net | $ 823,139 | $ 799,319 | |||||
Goodwill_and_Intangible_Assets1
Goodwill and Intangible Assets (Tables) | 3 Months Ended | |||||
Mar. 31, 2015 | ||||||
Goodwill And Intangible Assets Disclosure [Abstract] | ||||||
Changes in Carrying Amount of Franchise Assets and Goodwill | The change in the carrying amount of franchise assets and goodwill for the three months ended March 31, 2015 was as follows: | |||||
Franchise | Net | |||||
Assets | Goodwill | |||||
(In thousands) | ||||||
Balance, December 31, 2014 | $ 77,100 | $ 475,929 | -1 | |||
Prior year acquisition allocations | - | 230 | ||||
Balance, March 31, 2015 | $ 77,100 | $ 476,159 | -1 | |||
(1) Net of accumulated impairment losses of $796,725. | ||||||
LongTerm_Debt_Tables
Long-Term Debt (Tables) | 3 Months Ended | ||||||||
Mar. 31, 2015 | |||||||||
Debt Disclosure [Abstract] | |||||||||
Long-Term Debt | Long-term debt consists of the following: | ||||||||
31-Mar-15 | 31-Dec-14 | ||||||||
(In thousands) | |||||||||
2014 Revolving Credit Facility (1) | $ - | $ - | |||||||
7.0% Senior Subordinated Notes due 2022 (the "7.0% Notes") | 200,000 | 200,000 | |||||||
5.0% Senior Subordinated Notes due 2023 (the "5.0% Notes") | 300,000 | 300,000 | |||||||
Notes payable to a finance company bearing interest from 9.52% to 10.52% (with | |||||||||
a weighted average of 10.19%) | 3,496 | 4,367 | |||||||
Mortgage notes to finance companies-fixed rate, bearing interest from 3.51% to 7.03% | 145,732 | 147,554 | |||||||
Mortgage notes to finance companies-variable rate, bearing interest | |||||||||
at 1.25 to 3.50 percentage points above one-month LIBOR | 142,305 | 118,368 | |||||||
Net debt discount and premium (2) | -1,724 | -1,761 | |||||||
Other | 4,816 | 4,884 | |||||||
Total debt | $ 794,625 | $ 773,412 | |||||||
Less current maturities | -38,237 | -30,802 | |||||||
Long-term debt | $ 756,388 | $ 742,610 | |||||||
(1) The interest rate on the 2014 Revolving Credit Facility was 2.25% above LIBOR at March 31, 2015 and December 31, 2014. | |||||||||
(2) March 31, 2015 includes a $1.4 million discount associated with the 7.0% Notes, a $0.1 million premium associated with | |||||||||
notes payable to a finance company and a $0.4 million discount associated with mortgage notes payable. | |||||||||
December 31, 2014 includes a $1.5 million discount associated with the 7.0% Notes, a $0.1 million premium associated with | |||||||||
the notes payable to a finance company and a $0.4 million discount associated with mortgage notes payable. | |||||||||
Financial Covenants Include Required Specified Ratios | Sonic was in compliance with the covenants under the 2014 Credit Facilities as of March 31, 2015. Financial covenants include required specified ratios (as each is defined in the 2014 Credit Facilities) of: | ||||||||
Covenant | |||||||||
Minimum | Maximum | ||||||||
Minimum | Consolidated | Consolidated | |||||||
Consolidated | Fixed Charge | Total Lease | |||||||
Liquidity | Coverage | Adjusted Leverage | |||||||
Ratio | Ratio | Ratio | |||||||
Required ratio | 1.05 | 1.2 | 5.5 | ||||||
March 31, 2015 actual | 1.21 | 1.64 | 4.16 | ||||||
Summary of Interest Received and Paid under Term of Cash Flow Swap | Under the terms of these cash flow swaps, Sonic will receive and pay interest based on the following: | ||||||||
Notional | Pay | Receive Rate (1) | Maturing Date | ||||||
Amount | Rate | ||||||||
(In millions) | |||||||||
$ 2.7 | 7.10% | one-month LIBOR + 1.50% | 10-Jul-17 | ||||||
$ 8.5 | 4.66% | one-month LIBOR | 10-Dec-17 | ||||||
$ 7.3 | -2 | 6.86% | one-month LIBOR + 1.25% | 1-Aug-17 | |||||
$ 100.0 | 3.28% | one-month LIBOR | 1-Jul-15 | ||||||
$ 100.0 | 3.30% | one-month LIBOR | 1-Jul-15 | ||||||
$ 6.3 | -2 | 6.41% | one-month LIBOR + 1.25% | 12-Sep-17 | |||||
$ 50.0 | 3.24% | one-month LIBOR | 1-Jul-15 | ||||||
$ 50.0 | 3.07% | one-month LIBOR | 1-Jul-15 | ||||||
$ 100.0 | -3 | 2.07% | one-month LIBOR | 30-Jun-17 | |||||
$ 100.0 | -3 | 2.02% | one-month LIBOR | 30-Jun-17 | |||||
$ 200.0 | -3 | 0.79% | one-month LIBOR | 1-Jul-16 | |||||
$ 50.0 | -4 | 1.32% | one-month LIBOR | 1-Jul-17 | |||||
$ 250.0 | -5 | 1.89% | one-month LIBOR | 30-Jun-18 | |||||
$ 25.0 | -4 | 2.08% | one-month LIBOR | 1-Jul-17 | |||||
$ 100.0 | -3 | 1.56% | one-month LIBOR | 1-Jul-17 | |||||
(1) The one-month LIBOR rate was approximately 0.179% at March 31, 2015. | |||||||||
(2) Changes in fair value are recorded through earnings. | |||||||||
(3) The effective date of these forward-starting swaps is July 1, 2015. | |||||||||
(4) The effective date of these forward-starting swaps is July 1, 2016. | |||||||||
(5) The effective date of this forward-starting swap is July 3, 2017. | |||||||||
Per_Share_Data_and_Stockholder1
Per Share Data and Stockholders' Equity (Tables) | 3 Months Ended | ||||||||||||||||
Mar. 31, 2015 | |||||||||||||||||
Earnings Per Share [Abstract] | |||||||||||||||||
Dilutive Effect on Earnings Per Share | The following table illustrates the dilutive effect of such items on earnings per share for the three months ended March 31, 2015 and 2014: | ||||||||||||||||
Three Months Ended March 31, 2015 | |||||||||||||||||
Income (Loss) | Income (Loss) | ||||||||||||||||
From Continuing | From Discontinued | Net | |||||||||||||||
Operations | Operations | Income (Loss) | |||||||||||||||
Weighted | Per | Per | Per | ||||||||||||||
Average | Share | Share | Share | ||||||||||||||
Shares | Amount | Amount | Amount | Amount | Amount | Amount | |||||||||||
(In thousands, except per share amounts) | |||||||||||||||||
Earnings (loss) and shares | 50,854 | $ 14,389 | $ (422) | $ 13,967 | |||||||||||||
Effect of participating securities: | |||||||||||||||||
Non-vested restricted stock | |||||||||||||||||
and restricted stock units | -5 | - | -5 | ||||||||||||||
Basic earnings (loss) and shares | 50,854 | $ 14,384 | $ 0.28 | $ (422) | $ (0.01) | $ 13,962 | $ 0.27 | ||||||||||
Effect of dilutive securities: | |||||||||||||||||
Stock compensation plans | 549 | ||||||||||||||||
Diluted earnings (loss) and shares | 51,403 | $ 14,384 | $ 0.28 | $ (422) | $ (0.01) | $ 13,962 | $ 0.27 | ||||||||||
Three Months Ended March 31, 2014 | |||||||||||||||||
Income (Loss) | Income (Loss) | ||||||||||||||||
From Continuing | From Discontinued | Net | |||||||||||||||
Operations | Operations | Income (Loss) | |||||||||||||||
Weighted | Per | Per | Per | ||||||||||||||
Average | Share | Share | Share | ||||||||||||||
Shares | Amount | Amount | Amount | Amount | Amount | Amount | |||||||||||
(In thousands, except per share amounts) | |||||||||||||||||
Earnings (loss) and shares | 52,418 | $ 19,984 | $ (598) | $ 19,386 | |||||||||||||
Effect of participating securities: | |||||||||||||||||
Non-vested restricted stock | |||||||||||||||||
and restricted stock units | -63 | - | -63 | ||||||||||||||
Basic earnings (loss) and shares | 52,418 | $ 19,921 | $ 0.38 | $ (598) | $ (0.01) | $ 19,323 | $ 0.37 | ||||||||||
Effect of dilutive securities: | |||||||||||||||||
Stock compensation plans | 528 | ||||||||||||||||
Diluted earnings (loss) and shares | 52,946 | $ 19,921 | $ 0.38 | $ (598) | $ (0.02) | $ 19,323 | $ 0.36 | ||||||||||
Fair_Value_Measurements_Tables
Fair Value Measurements (Tables) | 3 Months Ended | ||||||||||
Mar. 31, 2015 | |||||||||||
Fair Value Disclosures [Abstract] | |||||||||||
Assets and Liabilities Recorded at Fair Value | Assets and liabilities recorded at fair value in the accompanying condensed consolidated balance sheets as of March 31, 2015 and December 31, 2014 are as follows: | ||||||||||
Fair Value and Carrying Value of Fixed Rate Long-Term Debt | At March 31, 2015 and December 31, 2014, the fair value and carrying value of Sonic’s fixed rate long-term debt were as follows: | ||||||||||
31-Mar-15 | 31-Dec-14 | ||||||||||
Fair Value | Carrying Value | Fair Value | Carrying Value | ||||||||
(In thousands) | |||||||||||
7.0% Notes (1) | $ 218,000 | $ 198,593 | $ 216,000 | $ 198,556 | |||||||
5.0% Notes (1) | $ 299,250 | $ 300,000 | $ 294,000 | $ 300,000 | |||||||
Mortgage Notes (2) | $ 152,137 | $ 145,732 | $ 152,240 | $ 147,554 | |||||||
Assumed Notes (2) | $ 3,494 | $ 3,563 | $ 4,365 | $ 4,474 | |||||||
Other (2) | $ 4,530 | $ 4,816 | $ 4,588 | $ 4,884 | |||||||
(1) As determined by market quotations as of March 31, 2015 and December 31, 2014, respectively (Level 1). | |||||||||||
(2) As determined by discounted cash flows (Level 3). | |||||||||||
Accumulated_Other_Comprehensiv1
Accumulated Other Comprehensive Income (Loss) (Tables) | 3 Months Ended | ||||||
Mar. 31, 2015 | |||||||
Equity [Abstract] | |||||||
Summary of Changes in Accumulated Other Comprehensive Income (Loss) | The changes in accumulated other comprehensive income (loss) for the three months ended March 31, 2015 are as follows: | ||||||
Changes in Accumulated Other Comprehensive | |||||||
Income (Loss) by Component | |||||||
for the Three Months Ended March 31, 2015 | |||||||
Gains and | Defined | Total | |||||
Losses on | Benefit | Accumulated | |||||
Cash Flow | Pension | Other | |||||
Hedges | Plan | Comprehensive | |||||
Income (Loss) | |||||||
(In thousands) | |||||||
Balance at December 31, 2014 | $ (5,973) | $ (451) | $ (6,424) | ||||
Other comprehensive income (loss) before reclassifications (1) | -2,371 | - | -2,371 | ||||
Amounts reclassified out of accumulated | |||||||
other comprehensive income (loss) (2) | 1,448 | - | 1,448 | ||||
Net current-period other comprehensive income (loss) | -923 | - | -923 | ||||
Balance at March 31, 2015 | $ (6,896) | $ (451) | $ (7,347) | ||||
(1) Net of tax benefit of $1,453. | |||||||
(2) Net of tax expense of $887. | |||||||
Segment_Information_Tables
Segment Information (Tables) | 3 Months Ended | ||||||||
Mar. 31, 2015 | |||||||||
Segment Reporting [Abstract] | |||||||||
Summary of Reportable Operating Segment | Reportable segment revenue and segment income are as follows: | ||||||||
Three Months Ended March 31, | |||||||||
2015 | 2014 | ||||||||
(In thousands) | |||||||||
Revenues: | |||||||||
Franchised Dealerships | $ | 2,219,830 | $ | 2,136,386 | |||||
EchoPark® | 15,685 | - | |||||||
Total consolidated revenues | $ | 2,235,515 | $ | 2,136,386 | |||||
Three Months Ended March 31, | |||||||||
2015 | 2014 | ||||||||
(In thousands) | |||||||||
Segment income (loss) (1): | |||||||||
Franchised Dealerships | $ | 43,072 | $ | 47,696 | |||||
EchoPark® | (6,354 | ) | (1,742 | ) | |||||
Total segment income | 36,718 | 45,954 | |||||||
Interest expense, other, net | (13,219 | ) | (13,818 | ) | |||||
Other income (expense), net | 90 | 97 | |||||||
Income (loss) from continuing operations before taxes | $ | 23,589 | $ | 32,233 | |||||
(1) Segment income (loss) for each segment is defined as operating income less floor plan interest expense. | |||||||||
Summary_of_Significant_Account3
Summary of Significant Accounting Policies - Additional Information (Detail) | 3 Months Ended | |
Mar. 31, 2015 | Mar. 31, 2014 | |
Significant Accounting Policies [Line Items] | ||
Percentage of dealership that is accounted for under the equity method | 50.00% | |
Effective tax rate from continuing operations | 39.00% | 38.00% |
Minimum [Member] | ||
Significant Accounting Policies [Line Items] | ||
Expected effective tax rate for continuing operations Range | 38.00% | |
Maximum [Member] | ||
Significant Accounting Policies [Line Items] | ||
Expected effective tax rate for continuing operations Range | 40.00% |
Summary_of_Significant_Account4
Summary of Significant Accounting Policies - Summary of Operating Lease Exit Accruals (Detail) (USD $) | 3 Months Ended |
In Thousands, unless otherwise specified | Mar. 31, 2015 |
Accounting Policies [Abstract] | |
Balance, December 31, 2014 | $18,962 |
Lease exit expense | 503 |
Payments | -1,562 |
Balance, March 31, 2015 | $17,903 |
Summary_of_Significant_Account5
Summary of Significant Accounting Policies - Summary of Operating Lease Exit Accruals (Parenthetical) (Detail) (USD $) | 3 Months Ended |
In Millions, unless otherwise specified | Mar. 31, 2015 |
Accounting Policies [Abstract] | |
Component of lease exit expense in income (loss) from operations and the sale of dealerships | $0.40 |
Component of lease exit expense in selling, general and administrative expenses | 0.1 |
Component of lease exit payments in selling, general and administrative expenses | 0.2 |
Component of lease exit payments in income (loss) from operations and the sale of dealerships | $1.40 |
Business_Acquisitions_and_Disp2
Business Acquisitions and Dispositions - Additional Information (Detail) (USD $) | 3 Months Ended | |
In Millions, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 |
Franchise | ||
Business Acquisition [Line Items] | ||
Number of franchise acquired | 0 | |
Aggregate purchase price of franchise | $2.60 | |
Luxury Franchise [Member] | ||
Business Acquisition [Line Items] | ||
Number of franchise acquired | 1 |
Business_Acquisitions_and_Disp3
Business Acquisitions and Dispositions - Revenues and Other Activities Associated with Dealerships Classified as Discontinued Operations (Detail) (USD $) | 3 Months Ended | |
In Thousands, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 |
Business Combinations [Abstract] | ||
Income (loss) from operations | ($335) | ($588) |
Gain (loss) on disposal | -45 | |
Lease exit accrual adjustments and charges | -356 | -332 |
Pre-tax income (loss) | ($691) | ($965) |
Business_Acquisitions_and_Disp4
Business Acquisitions and Dispositions - Revenues and Other Activities Associated with Disposed Dealerships That Remain in Continued Operations (Detail) (USD $) | 3 Months Ended | |
In Thousands, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 |
Business Combinations [Abstract] | ||
Income (loss) from operations | $252 | ($513) |
Gain (loss) on disposal | -102 | 363 |
Pre-tax income (loss) | 150 | -150 |
Total revenues | $72,449 |
Inventories_Components_of_Inve
Inventories - Components of Inventories (Detail) (USD $) | Mar. 31, 2015 | Dec. 31, 2014 |
In Thousands, unless otherwise specified | ||
Inventory Disclosure [Abstract] | ||
New vehicles | $856,967 | $924,818 |
Used vehicles | 246,713 | 214,015 |
Service loaners | 115,741 | 112,520 |
Parts, accessories and other | 60,606 | 60,349 |
Net inventories | $1,280,027 | $1,311,702 |
Property_and_Equipment_Compone
Property and Equipment - Components of Property and Equipment, Net (Detail) (USD $) | Mar. 31, 2015 | Dec. 31, 2014 |
In Thousands, unless otherwise specified | ||
Property Plant And Equipment [Line Items] | ||
Total, at cost | $1,155,682 | $1,115,936 |
Less accumulated depreciation | -332,543 | -316,617 |
Property and equipment, net | 823,139 | 799,319 |
Land [Member] | ||
Property Plant And Equipment [Line Items] | ||
Total, at cost | 232,812 | 224,124 |
Building and Improvements [Member] | ||
Property Plant And Equipment [Line Items] | ||
Total, at cost | 627,372 | 582,261 |
Office Equipment and Fixtures [Member] | ||
Property Plant And Equipment [Line Items] | ||
Total, at cost | 164,731 | 151,165 |
Parts and Service Equipment [Member] | ||
Property Plant And Equipment [Line Items] | ||
Total, at cost | 71,774 | 68,248 |
Company Vehicles [Member] | ||
Property Plant And Equipment [Line Items] | ||
Total, at cost | 8,969 | 8,958 |
Construction in Progress [Member] | ||
Property Plant And Equipment [Line Items] | ||
Total, at cost | $50,024 | $81,180 |
Property_and_Equipment_Additio
Property and Equipment - Additional Information (Detail) (USD $) | 3 Months Ended | |
Mar. 31, 2015 | Mar. 31, 2014 | |
Property Plant And Equipment [Line Items] | ||
Capital expenditure | $46,800,000 | $21,500,000 |
Asset impairment charges | 6,192,000 | 3,000 |
Franchised Dealerships [Member] | ||
Property Plant And Equipment [Line Items] | ||
Asset impairment charges | 4,800,000 | |
Echo Park [Member] | ||
Property Plant And Equipment [Line Items] | ||
Asset impairment charges | $1,400,000 |
Goodwill_and_Intangible_Assets2
Goodwill and Intangible Assets - Changes in Carrying Amount of Franchise Assets and Goodwill (Detail) (USD $) | 3 Months Ended | |
In Thousands, unless otherwise specified | Mar. 31, 2015 | Dec. 31, 2014 |
Indefinite-lived Intangible Assets [Line Items] | ||
Net Goodwill, Beginning balance | $475,929 | |
Net Goodwill, Prior year acquisition allocations | 230 | |
Net Goodwill, Ending balance | 476,159 | |
Franchise Assets [Member] | ||
Indefinite-lived Intangible Assets [Line Items] | ||
Franchise Assets, Beginning balance | 77,100 | |
Franchise Assets, Ending balance | $77,100 | $77,100 |
Goodwill_and_Intangible_Assets3
Goodwill and Intangible Assets - Changes in Carrying Amount of Franchise Assets and Goodwill (Parenthetical) (Detail) (USD $) | Mar. 31, 2015 |
In Thousands, unless otherwise specified | |
Goodwill And Intangible Assets Disclosure [Abstract] | |
Net of accumulated impairment losses | $796,725 |
Goodwill_and_Intangible_Assets4
Goodwill and Intangible Assets - Additional Information (Detail) (Lease Agreements [Member], USD $) | Mar. 31, 2015 | Dec. 31, 2014 |
In Millions, unless otherwise specified | ||
Lease Agreements [Member] | ||
Finite-Lived Intangible Assets [Line Items] | ||
Definite life intangibles | $6.50 | $6.60 |
LongTerm_Debt_LongTerm_Debt_De
Long-Term Debt - Long-Term Debt (Detail) (USD $) | Mar. 31, 2015 | Dec. 31, 2014 |
Debt Instrument [Line Items] | ||
Total debt | $794,625,000 | $773,412,000 |
Less current maturities | -38,237,000 | -30,802,000 |
Long-Term Debt | 756,388,000 | 742,610,000 |
2014 Revolving Credit Facility [Member] | ||
Debt Instrument [Line Items] | ||
Total debt | 0 | |
7.0% Senior Subordinated Notes Due 2022 [Member] | ||
Debt Instrument [Line Items] | ||
Total debt | 200,000,000 | 200,000,000 |
5.0% Senior Subordinated Notes due 2023 [Member] | ||
Debt Instrument [Line Items] | ||
Total debt | 300,000,000 | 300,000,000 |
Notes Payable to Finance Company [Member] | ||
Debt Instrument [Line Items] | ||
Total debt | 3,496,000 | 4,367,000 |
Mortgage Loan at Fix Interest Rate [Member] | ||
Debt Instrument [Line Items] | ||
Total debt | 145,732,000 | 147,554,000 |
Mortgage Loan at Variable Interest Rate [Member] | ||
Debt Instrument [Line Items] | ||
Total debt | 142,305,000 | 118,368,000 |
Net Debt Discount and Premium [Member] | ||
Debt Instrument [Line Items] | ||
Total debt | -1,724,000 | -1,761,000 |
Other [Member] | ||
Debt Instrument [Line Items] | ||
Total debt | $4,816,000 | $4,884,000 |
LongTerm_Debt_LongTerm_Debt_Pa
Long-Term Debt - Long-Term Debt (Parenthetical) (Detail) (USD $) | Mar. 31, 2015 | Dec. 31, 2014 | Jul. 02, 2012 | 9-May-13 |
In Millions, unless otherwise specified | ||||
7.0% Senior Subordinated Notes Due 2022 [Member] | ||||
Debt Instrument [Line Items] | ||||
Stated interest rate on debt agreement | 7.00% | 7.00% | 7.00% | |
Discount associated with notes | $1.40 | $1.50 | ||
5.0% Senior Subordinated Notes due 2023 [Member] | ||||
Debt Instrument [Line Items] | ||||
Stated interest rate on debt agreement | 5.00% | 5.00% | 5.00% | |
Notes Payable to Finance Company [Member] | ||||
Debt Instrument [Line Items] | ||||
Interest on notes | 10.19% | |||
Premium associated with notes | 0.1 | 0.1 | ||
2014 Revolving Credit Facility [Member] | ||||
Debt Instrument [Line Items] | ||||
Interest rate | 2.25% | 2.25% | ||
Mortgage Notes Payable [Member] | ||||
Debt Instrument [Line Items] | ||||
Discount associated with notes | $0.40 | $0.40 | ||
Minimum [Member] | Notes Payable to Finance Company [Member] | ||||
Debt Instrument [Line Items] | ||||
Stated interest rate on debt agreement | 9.52% | |||
Minimum [Member] | Mortgage Loan at Fix Interest Rate [Member] | ||||
Debt Instrument [Line Items] | ||||
Stated interest rate on debt agreement | 3.51% | |||
Minimum [Member] | Mortgage Loan at Variable Interest Rate [Member] | ||||
Debt Instrument [Line Items] | ||||
Stated interest rate on debt agreement | 1.25% | |||
Maximum [Member] | Notes Payable to Finance Company [Member] | ||||
Debt Instrument [Line Items] | ||||
Stated interest rate on debt agreement | 10.52% | |||
Maximum [Member] | Mortgage Loan at Fix Interest Rate [Member] | ||||
Debt Instrument [Line Items] | ||||
Stated interest rate on debt agreement | 7.03% | |||
Maximum [Member] | Mortgage Loan at Variable Interest Rate [Member] | ||||
Debt Instrument [Line Items] | ||||
Stated interest rate on debt agreement | 3.50% |
LongTerm_Debt_Additional_Infor
Long-Term Debt - Additional Information (Detail) (USD $) | 3 Months Ended | 0 Months Ended | |||
Mar. 31, 2015 | Mar. 31, 2014 | Jul. 02, 2012 | 9-May-13 | Dec. 31, 2014 | |
Debt Instrument [Line Items] | |||||
Total debt | $794,625,000 | $773,412,000 | |||
Incremental interest expense | 2,300,000 | 2,900,000 | |||
Net expense expected to be reclassified | 4,300,000 | ||||
Derivative Instruments and Hedging Activities [Member] | |||||
Debt Instrument [Line Items] | |||||
Fair value of swap positions | 12,500,000 | 11,100,000 | |||
Benefits and charges related to cash flow swaps not designated as hedges | 100,000 | ||||
Derivative Instruments and Hedging Activities [Member] | Other Accrued Liabilities [Member] | |||||
Debt Instrument [Line Items] | |||||
Fair value of swap positions | 7,000,000 | 8,200,000 | |||
Derivative Instruments and Hedging Activities [Member] | Other Long-Term Liabilities [Member] | |||||
Debt Instrument [Line Items] | |||||
Fair value of swap positions | 5,500,000 | 3,500,000 | |||
Derivative Instruments and Hedging Activities [Member] | Other Assets [Member] | |||||
Debt Instrument [Line Items] | |||||
Fair value of swap positions | 600,000 | ||||
2014 Revolving Credit Facility [Member] | |||||
Debt Instrument [Line Items] | |||||
Current borrowing capacity | 225,000,000 | ||||
Maximum borrowing capacity | 275,000,000 | ||||
Borrowing base | 181,800,000 | ||||
Letters of credit outstanding amount | 25,500,000 | ||||
Total debt | 0 | ||||
Borrowing availability amount | 156,300,000 | ||||
7.0% Senior Subordinated Notes Due 2022 [Member] | |||||
Debt Instrument [Line Items] | |||||
Total debt | 200,000,000 | 200,000,000 | |||
Principal amount | 200,000,000 | ||||
Stated interest rate on debt agreement | 7.00% | 7.00% | 7.00% | ||
Notes maturity date | 15-Jul-22 | ||||
Interest payable description | semi-annually in arrears on January 15 and July 15 of each year | ||||
Subordinated Notes [Member] | |||||
Debt Instrument [Line Items] | |||||
Notes issued at a price of principal amount | 99.11% | ||||
Notes issued yield maturity, percentage | 7.13% | ||||
5.0% Senior Subordinated Notes due 2023 [Member] | |||||
Debt Instrument [Line Items] | |||||
Total debt | 300,000,000 | 300,000,000 | |||
Principal amount | 300,000,000 | ||||
Stated interest rate on debt agreement | 5.00% | 5.00% | 5.00% | ||
Notes issued at a price of principal amount | 100.00% | ||||
Notes maturity date | 15-May-23 | ||||
Interest payable description | semi-annually in arrears on May 15 and November 15 of each year | ||||
Assumed Notes [Member] | |||||
Debt Instrument [Line Items] | |||||
Total debt | 3,500,000 | ||||
Stated interest rate on debt agreement | 5.35% | ||||
Premium recorded on notes payable | 7,300,000 | ||||
Premium associated with notes | 100,000 | ||||
Notes payable due date | October 2015 and August 2016 | ||||
Mortgage Notes [Member] | |||||
Debt Instrument [Line Items] | |||||
Notes payable due date | Between 2015 and 2033 | ||||
Debt weighted average interest rate on note | 3.57% | ||||
Mortgage financing aggregate | $288,000,000 | ||||
Percentage of operating properties related to mortgage financing | 30.00% | ||||
2014 Credit Facility [Member] | |||||
Debt Instrument [Line Items] | |||||
Maturity date of revolving credit facility and floor plan facility | 15-Aug-19 | ||||
Minimum EBTDAR to rent ratio | 359.00% | ||||
2014 Credit Facility [Member] | Minimum [Member] | |||||
Debt Instrument [Line Items] | |||||
EBTDAR to rent ratio | 100.00% | ||||
2014 Credit Facility [Member] | Required Ratio [Member] | |||||
Debt Instrument [Line Items] | |||||
Minimum EBTDAR to rent ratio | 150.00% | ||||
2014 Credit Facility [Member] | Required Ratio [Member] | Minimum [Member] | |||||
Debt Instrument [Line Items] | |||||
EBTDAR to rent ratio | 100.00% |
LongTerm_Debt_Financial_Covena
Long-Term Debt - Financial Covenants Include Required Specified Ratios (Detail) | Mar. 31, 2015 |
Line Of Credit Facility [Line Items] | |
Minimum consolidated liquidity ratio | 121.00% |
Minimum consolidated fixed charge coverage ratio | 164.00% |
Maximum consolidated total lease adjusted leverage ratio | 416.00% |
Required Ratio [Member] | |
Line Of Credit Facility [Line Items] | |
Minimum consolidated liquidity ratio | 105.00% |
Minimum consolidated fixed charge coverage ratio | 120.00% |
Maximum consolidated total lease adjusted leverage ratio | 550.00% |
LongTerm_Debt_Summary_of_Inter
Long-Term Debt - Summary of Interest Received and Paid under Term of Cash Flow Swap (Detail) (USD $) | 3 Months Ended |
In Millions, unless otherwise specified | Mar. 31, 2015 |
Derivatives, Fair Value [Line Items] | |
Receive Rate | One-month LIBOR |
Variable Interest Rate | 0.18% |
Cash Flow Swap [Member] | |
Derivatives, Fair Value [Line Items] | |
Notional Amount | 2.7 |
Pay Rate | 7.10% |
Receive Rate | one-month LIBOR + 1.50% |
Maturing Date | 10-Jul-17 |
Variable Interest Rate | 1.50% |
Cash Flow Swap 1 [Member] | |
Derivatives, Fair Value [Line Items] | |
Notional Amount | 8.5 |
Pay Rate | 4.66% |
Receive Rate | one-month LIBOR |
Maturing Date | 10-Dec-17 |
Cash Flow Swap 2 [Member] | |
Derivatives, Fair Value [Line Items] | |
Notional Amount | 7.3 |
Pay Rate | 6.86% |
Receive Rate | one-month LIBOR + 1.25% |
Maturing Date | 1-Aug-17 |
Variable Interest Rate | 1.25% |
Cash Flow Swap 3 [Member] | |
Derivatives, Fair Value [Line Items] | |
Notional Amount | 100 |
Pay Rate | 3.28% |
Receive Rate | one-month LIBOR |
Maturing Date | 1-Jul-15 |
Cash Flow Swap 4 [Member] | |
Derivatives, Fair Value [Line Items] | |
Notional Amount | 100 |
Pay Rate | 3.30% |
Receive Rate | one-month LIBOR |
Maturing Date | 1-Jul-15 |
Cash Flow Swap 5 [Member] | |
Derivatives, Fair Value [Line Items] | |
Notional Amount | 6.3 |
Pay Rate | 6.41% |
Receive Rate | one-month LIBOR + 1.25% |
Maturing Date | 12-Aug-17 |
Variable Interest Rate | 1.25% |
Cash Flow Swap 6 [Member] | |
Derivatives, Fair Value [Line Items] | |
Notional Amount | 50 |
Pay Rate | 3.24% |
Receive Rate | one-month LIBOR |
Maturing Date | 1-Jul-17 |
Cash Flow Swap 7 [Member] | |
Derivatives, Fair Value [Line Items] | |
Notional Amount | 50 |
Pay Rate | 3.07% |
Receive Rate | one-month LIBOR |
Maturing Date | 1-Jul-17 |
Cash Flow Swap 8 [Member] | |
Derivatives, Fair Value [Line Items] | |
Notional Amount | 100 |
Pay Rate | 2.07% |
Receive Rate | one-month LIBOR |
Maturing Date | 30-Jun-17 |
Cash Flow Swap 9 [Member] | |
Derivatives, Fair Value [Line Items] | |
Notional Amount | 100 |
Pay Rate | 2.02% |
Receive Rate | one-month LIBOR |
Maturing Date | 30-Jun-17 |
Cash Flow Swap 10 [Member] | |
Derivatives, Fair Value [Line Items] | |
Notional Amount | 200 |
Pay Rate | 0.79% |
Receive Rate | one-month LIBOR |
Maturing Date | 1-Jul-16 |
Cash Flow Swap 11 [Member] | |
Derivatives, Fair Value [Line Items] | |
Notional Amount | 50 |
Pay Rate | 1.32% |
Receive Rate | one-month LIBOR |
Maturing Date | 1-Jul-17 |
Cash Flow Swap 12 [Member] | |
Derivatives, Fair Value [Line Items] | |
Notional Amount | 250 |
Pay Rate | 1.89% |
Receive Rate | one-month LIBOR |
Maturing Date | 30-Jun-18 |
Cash Flow Swap 13 [Member] | |
Derivatives, Fair Value [Line Items] | |
Notional Amount | 25 |
Pay Rate | 2.08% |
Receive Rate | one-month LIBOR |
Maturing Date | 1-Jul-17 |
Cash Flow Swap 14 [Member] | |
Derivatives, Fair Value [Line Items] | |
Notional Amount | 100 |
Pay Rate | 1.56% |
Receive Rate | one-month LIBOR |
Maturing Date | 1-Jul-17 |
LongTerm_Debt_Summary_of_Inter1
Long-Term Debt - Summary of Interest Received and Paid under Term of Cash Flow Swap (Parenthetical) (Detail) | 3 Months Ended |
Mar. 31, 2015 | |
Derivatives, Fair Value [Line Items] | |
One-month LIBOR rate | 0.18% |
Receive Rate | One-month LIBOR |
Swap agreement effective date | 1-Jul-15 |
Cash Flow Swap 11 [Member] | |
Derivatives, Fair Value [Line Items] | |
Receive Rate | one-month LIBOR |
Swap agreement effective date | 1-Jul-16 |
Cash Flow Swap 12 [Member] | |
Derivatives, Fair Value [Line Items] | |
Receive Rate | one-month LIBOR |
Swap agreement effective date | 3-Jul-17 |
Per_Share_Data_and_Stockholder2
Per Share Data and Stockholders' Equity - Dilutive Effect on Earnings Per Share (Detail) (USD $) | 3 Months Ended | |
In Thousands, except Per Share data, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 |
Earnings Per Share [Abstract] | ||
Weighted Average Shares, Earning (loss) and shares | 50,854 | 52,418 |
Weighted Average Shares, Stock compensation plans | 549 | 528 |
Weighted Average Shares, Diluted earnings (loss) and shares | 51,403 | 52,946 |
Income (Loss) From Continuing Operations, Amount | $14,389 | $19,984 |
Participating securities income (loss) from continuing operations non-vested restricted stock and restricted stock units | -5 | -63 |
Income (Loss) From Continuing Operations, Basic | 14,384 | 19,921 |
Income (Loss) From Continuing Operations Diluted, Amount | 14,384 | 19,921 |
Income (Loss) From Continuing Operations, Basic earnings (loss), Per Share Amount | $0.28 | $0.38 |
Income (Loss) From Continuing Operations, Diluted earnings (loss), Per Share Amount | $0.28 | $0.38 |
Dilutive effect on earnings per share | -422 | -598 |
Income (Loss) From Discontinued Operations, Basic earnings (loss), Amount | -422 | -598 |
Income (Loss) From Discontinued Operations, Diluted earnings (loss), Amount | -422 | -598 |
Income (Loss) From Discontinuing Operations, Basic earnings (loss), Per Share Amount | ($0.01) | ($0.01) |
Income (Loss) From Discontinued Operations, Diluted earnings (loss), Per Share Amount | ($0.01) | ($0.02) |
Net Income (Loss), Amount | 13,967 | 19,386 |
Net Income (Loss), Basic, Amount | 13,962 | 19,323 |
Net Income (Loss), Diluted, Amount | $13,962 | $19,323 |
Net Income (Loss), Basic, Per Share Amount | $0.27 | $0.37 |
Net Income (Loss), Diluted, Per Share Amount | $0.27 | $0.36 |
Per_Share_Data_and_Stockholder3
Per Share Data and Stockholders' Equity - Additional Information (Detail) (Common Class A [Member]) | 3 Months Ended | |
In Millions, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 |
Common Class A [Member] | ||
Antidilutive Securities Excluded From Computation Of Earnings Per Share [Line Items] | ||
Antidilutive stock options excluded in computation of diluted earnings per share | 0.4 | 0.6 |
Contingencies_Additional_Infor
Contingencies - Additional Information (Detail) (USD $) | 3 Months Ended | |
In Millions, unless otherwise specified | Mar. 31, 2015 | Dec. 31, 2014 |
Contingencies And Commitments [Line Items] | ||
Maximum exposure associated with general indemnifications | $16.80 | $16.80 |
General indemnifications minimum expiration period | 1 year | |
General indemnifications maximum expiration period | 2 years | |
Joint venture ownership percentage | 50.00% | |
Contingent liability reserve balance after reduction | 2.8 | 2.8 |
Other Accrued Liabilities [Member] | ||
Contingencies And Commitments [Line Items] | ||
Amount reserved for pending proceedings | 1.5 | 2 |
Other Long-Term Liabilities [Member] | ||
Contingencies And Commitments [Line Items] | ||
Amount reserved for pending proceedings | $0.30 | $0.30 |
Fair_Value_Measurements_Assets
Fair Value Measurements - Assets and Liabilities Recorded at Fair Value (Detail) (Significant Other Observable Inputs (Level 2) [Member], USD $) | Mar. 31, 2015 | Dec. 31, 2014 |
In Thousands, unless otherwise specified | ||
Significant Other Observable Inputs (Level 2) [Member] | ||
Assets: | ||
Cash surrender value of life insurance policies | $29,576 | $27,552 |
Cash flow swaps designated as hedges | 618 | |
Total assets | 29,576 | 28,170 |
Liabilities: | ||
Cash flow swaps designated as hedges | 11,122 | 10,251 |
Cash flow swaps not designated as hedges | 1,388 | 1,469 |
Deferred compensation plan | 16,527 | 15,863 |
Total liabilities | $29,037 | $27,583 |
Fair_Value_Measurements_Assets1
Fair Value Measurements - Assets and Liabilities Recorded at Fair Value (Parenthetical) (Detail) (USD $) | Mar. 31, 2015 | Dec. 31, 2014 |
In Millions, unless otherwise specified | ||
Cash Flow Swaps Designated as Hedges [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Amount included in other accrued liabilities | $6.40 | $7.50 |
Amount included in other long-term liabilities | 4.7 | 2.8 |
Cash Flow Swaps Not Designated as Hedges [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Amount included in other accrued liabilities | 0.6 | 0.7 |
Amount included in other long-term liabilities | $0.80 | $0.80 |
Fair_Value_Measurements_Fair_V
Fair Value Measurements - Fair Value and Carrying Value of Fixed Rate Long-Term Debt (Detail) (USD $) | Mar. 31, 2015 | Dec. 31, 2014 |
In Thousands, unless otherwise specified | ||
7.0% Senior Subordinated Notes Due 2022 [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Long-term Debt, Fair Value | $218,000 | $216,000 |
Long-term Debt, Carrying Value | 198,593 | 198,556 |
5.0% Senior Subordinated Notes due 2023 [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Long-term Debt, Fair Value | 299,250 | 294,000 |
Long-term Debt, Carrying Value | 300,000 | 300,000 |
Mortgage Loan at Fix Interest Rate [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Long-term Debt, Fair Value | 152,137 | 152,240 |
Long-term Debt, Carrying Value | 145,732 | 147,554 |
Assumed Notes [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Long-term Debt, Fair Value | 3,494 | 4,365 |
Long-term Debt, Carrying Value | 3,563 | 4,474 |
Other [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Long-term Debt, Fair Value | 4,530 | 4,588 |
Long-term Debt, Carrying Value | $4,816 | $4,884 |
Fair_Value_Measurements_Fair_V1
Fair Value Measurements - Fair Value and Carrying Value of Fixed Rate Long-Term Debt (Parenthetical) (Detail) | Mar. 31, 2015 | Dec. 31, 2014 | Jul. 02, 2012 | 9-May-13 |
7.0% Senior Subordinated Notes Due 2022 [Member] | ||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||||
Stated interest rate on debt agreement | 7.00% | 7.00% | 7.00% | |
5.0% Senior Subordinated Notes due 2023 [Member] | ||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||||
Stated interest rate on debt agreement | 5.00% | 5.00% | 5.00% |
Accumulated_Other_Comprehensiv2
Accumulated Other Comprehensive Income (Loss) - Summary of Changes in Accumulated Other Comprehensive Income (Loss) (Detail) (USD $) | 3 Months Ended | ||
In Thousands, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 | Dec. 31, 2014 |
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||
Balance at December 31, 2014 | ($6,424) | ||
Other comprehensive income (loss) before reclassifications | -2,371 | ||
Amounts reclassified out of accumulated other comprehensive income (loss) | 1,448 | ||
Other comprehensive income (loss) | -923 | 1,037 | |
Balance at March 31, 2015 | -7,347 | ||
Gains and Losses on Cash Flow Hedges [Member] | |||
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||
Balance at December 31, 2014 | -5,973 | ||
Other comprehensive income (loss) before reclassifications | -2,371 | ||
Amounts reclassified out of accumulated other comprehensive income (loss) | 1,448 | ||
Other comprehensive income (loss) | -923 | ||
Balance at March 31, 2015 | -6,896 | ||
Defined Benefit Pension Plan [Member] | |||
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||
Balance at December 31, 2014 | -451 | ||
Balance at March 31, 2015 | ($451) | ($451) |
Accumulated_Other_Comprehensiv3
Accumulated Other Comprehensive Income (Loss) - Summary of Changes in Accumulated Other Comprehensive Income (Loss) (Parenthetical) (Detail) (USD $) | 3 Months Ended |
In Thousands, unless otherwise specified | Mar. 31, 2015 |
Equity [Abstract] | |
Other comprehensive income (loss) before reclassifications, tax benefit | $1,453 |
Amounts reclassified out of accumulated other comprehensive income (loss), tax expense | $887 |
Segment_Information_Additional
Segment Information - Additional Information (Detail) | 3 Months Ended |
Mar. 31, 2015 | |
Segment | |
Segment Reporting [Abstract] | |
Number of operating segments | 2 |
Segment_Information_Summary_of
Segment Information - Summary of Reportable Operating Segment (Detail) (USD $) | 3 Months Ended | |
In Thousands, unless otherwise specified | Mar. 31, 2015 | Mar. 31, 2014 |
Segment Reporting Information [Line Items] | ||
Total consolidated revenues | $2,235,515 | $2,136,386 |
Total segment income | 36,718 | 45,954 |
Interest expense, other, net | -13,219 | -13,818 |
Other income (expense), net | 90 | 97 |
Income (loss) from continuing operations before taxes | 23,589 | 32,233 |
Franchised Dealerships [Member] | ||
Segment Reporting Information [Line Items] | ||
Total consolidated revenues | 2,219,830 | 2,136,386 |
Total segment income | 43,072 | 47,696 |
Echo Park [Member] | ||
Segment Reporting Information [Line Items] | ||
Total consolidated revenues | 15,685 | |
Total segment income | ($6,354) | ($1,742) |