Asbury Automotive Group, Inc. - ABG STOCK NEWS

Tekion has filed a federal antitrust lawsuit against CDK Global for allegedly engaging in anticompetitive practices in the franchise dealer management system (DMS) market. The lawsuit accuses CDK of maintaining market dominance by restricting customers' access to their own data, preventing them from switching to competing platforms.

The lawsuit highlights several instances of CDK's alleged anticompetitive behavior, including a recent case where a Georgia court had to order CDK to release data for four Asbury Automotive Group dealerships, a $100 million settlement in August 2024 related to DMS price inflation, and CDK's unsuccessful attempt to block Arizona's DMS law requiring unrestricted data access.

Tekion seeks damages and an injunction requiring CDK to facilitate data transfer within 10 days of a dealership's request.

Park Place Dealerships, part of Asbury Automotive Group (NYSE: ABG), has acquired 15 acres of land in Dallas, Texas from Raytheon on December 4, 2024. The company plans to develop a state-of-the-art Porsche dealership and a Volvo service center on the newly purchased property.

Demolition is scheduled to begin in early 2025, with construction expected to complete in Q2 2027. The new facilities will be located near Love Field and existing dealerships, featuring cutting-edge technology and a seamless experience for clients. The Volvo service center will be built beside the current Park Place Volvo dealership at Lemmon Avenue and Inwood Road, offering a combined showroom and service experience.

Landcar Casualty Company, a subsidiary of Asbury Automotive Group (NYSE: ABG), received an upgraded Financial Strength Rating to A (Excellent) from A- (Excellent) by AM Best. The credit rating agency also changed Landcar's outlook from stable to positive, citing its very strong balance sheet strength and strongest risk-adjusted capitalization. AM Best highlighted Landcar's advantageous position as a writer of auto-related insurance products through Asbury's dealership network, noting that its expansion has diversified its geographic footprint and enhanced growth opportunities.

Asbury Automotive Group (NYSE: ABG) has been recognized in Newsweek's World's Most Trustworthy Companies 2024 list, ranking 27th in the Vehicles & Components Industry. The recognition comes from a comprehensive survey conducted by Newsweek and Statista, evaluating companies with revenue over $500 million USD across Investor Trust, Customer Trust, and Employee Trust metrics.

The survey involved more than 70,000 participants and focused on companies demonstrating the highest levels of global trust. David Hult, Asbury's President and CEO, emphasized the company's commitment to maintaining integrity in their practices and procedures, aligning with their core mission and values.

Asbury Automotive Group's Vice President and Chief DEI Officer, Wendy Reynolds-Dobbs, has been named a 2024 Automotive News Champion of Diversity. With 15 years of public company experience, Reynolds-Dobbs leads strategic initiatives in DEI, ESG, and organizational development at Asbury. She spearheads various programs including the HBCU Change initiative, DEI newsletter 'Mosaic,' and Asbury Center for Learning. The recognition comes as part of the fourth annual Champions of Diversity in Automotive program, which acknowledges individuals championing diversity, equity, and inclusion in the automotive industry.

Asbury Automotive Group (NYSE: ABG) reported Q3 2024 results with revenue of $4.2 billion, up 16% year-over-year. Net income was $126 million ($6.37 per diluted share), down 25% from $169 million in Q3 2023. Parts & Service showed strong performance with 16% gross profit growth. The company faced challenges from stop sale orders affecting nearly 1,200 new units and Hurricane Helene, impacting EPS by $0.39-$0.43. During Q3, Asbury repurchased approximately 394,000 shares for $89 million. The company maintained strong liquidity of $768 million and a transaction adjusted net leverage ratio of 2.9x.

Asbury Automotive Group (NYSE: ABG), a leading automotive retail and service company in the U.S., has announced the schedule for its third quarter 2024 financial results release. The company will unveil its results before the market opens on Tuesday, October 29, 2024. Following the release, Asbury will host a conference call at 10:00 a.m. Eastern Time on the same day.

Investors and interested parties can access the conference call through multiple channels:

• Live simulcast on the internet at https://investors.asburyauto.com
• 30-day replay available on the same website
• Live audio accessible to the public

Participants can join the call by dialing:
Domestic: (877) 407-2988
International: +1 (201) 389-0923
Passcode: 13749524

Callers are advised to enter the conference call five to ten minutes before the scheduled start time.

Asbury Automotive Group (NYSE: ABG) has filed a lawsuit challenging the constitutionality of an administrative proceeding initiated by the Federal Trade Commission (FTC). The lawsuit, filed on October 4, 2024, in the U.S. District Court for the Northern District of Texas, seeks to enjoin the FTC's proceeding against three Asbury dealerships in the Dallas-Ft. Worth area.

Asbury argues that the FTC's administrative process violates its constitutional rights by denying a jury trial and allowing the FTC to act as both prosecutor and judge. The company cites the recent Supreme Court decision in SEC v. Jarkesy, which reaffirmed a defendant's right to a jury trial in similar administrative proceedings.

The original FTC complaint, which Asbury rejected in August, alleged that the dealerships sold protection products to customers without their agreement. Asbury, a Fortune 500 company and one of the largest automotive retailers in the U.S., operates 153 new vehicle dealerships across 31 brands as of September 30, 2024.

Asbury Automotive Group (NYSE: ABG) has won a preliminary injunction against CDK Global in a lawsuit filed in Georgia. The court order directs CDK to transfer data for four Asbury dealerships to Tekion Corp., a competitor in Dealership Management System (DMS) services, as part of Asbury's pilot program. CDK had previously refused to transfer the data.

Barry Cohen, VP and CIO at Asbury, expressed satisfaction with the decision, stating it allows them to test products that improve the car-buying and servicing experience. Asbury, a Fortune 500 company, operates 153 new vehicle dealerships with 202 franchises across 31 brands. The company also runs Total Care Auto and 37 collision repair centers, offering a wide range of automotive products and services.