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Business Combinations
 9 Months Ended
Sep. 30, 2012
Business Combinations  
Business Combinations

3. Business Combinations

 

We acquired twenty-one and three franchises during the nine months ended September 30, 2012 and 2011, respectively, in our retail operations. Our financial statements include the results of operations of the acquired dealerships from the date of acquisition. The fair value of the assets acquired and liabilities assumed have been recorded in our consolidated condensed financial statements, and may be subject to adjustment pending completion of final valuation. A summary of the aggregate consideration paid and the aggregate amounts of the assets acquired and liabilities assumed for the nine months ended September 30, 2012 and 2011 follows:

 

 

 

September 30,

 

 

 

2012

 

2011

 

Accounts receivable

 

$

28,907

 

$

953

 

Inventory

 

94,627

 

61,247

 

Other current assets

 

411

 

—

 

Property and equipment

 

34,261

 

40,190

 

Goodwill

 

35,343

 

107,498

 

Franchise Value

 

26,343

 

29,491

 

Other non-current assets

 

745

 

628

 

Current liabilities

 

(58,926

)

(6,190

)

Non-current liabilities

 

(23,906

)

—

 

Total consideration

 

137,805

 

233,817

 

Seller financed/assumed debt

 

—

 

(1,711

)

Cash used in dealership acquisitions

 

$

137,805

 

$

232,106

 

 

The following unaudited consolidated pro forma results of operations of PAG for the three and nine months ended September 30, 2012 and 2011 give effect to acquisitions consummated during 2012 and 2011 as if they had occurred on January 1, 2011:

 

 

 

Three Months Ended September 30,

 

Nine Months Ended September 30,

 

 

 

2012

 

2011

 

2012

 

2011

 

 

 

(amounts in millions, except per share data)

 

Revenues

 

$

3,407

 

$

3,072

 

$

10,075

 

$

9,011

 

Income from continuing operations

 

42

 

58

 

142

 

138

 

Net income

 

41

 

57

 

137

 

135

 

Income from continuing operations per diluted common share

 

$

0.46

 

$

0.63

 

$

1.56

 

$

1.49

 

Net income per diluted common share

 

$

0.45

 

$

0.62

 

$

1.52

 

$

1.46