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Note 12 - Segments
 3 Months Ended
Mar. 31, 2015
Segment Reporting [Abstract]  
Segment Reporting Disclosure [Text Block]

Note 12. Segments


While we have determined that each individual store is an operating segment, we have aggregated our operating segments into three reportable segments based on their economic similarities: Domestic, Import and Luxury.


Our Domestic segment is comprised of retail automotive franchises that sell new vehicles manufactured by Chrysler, General Motors and Ford. Our Import segment is comprised of retail automotive franchises that sell new vehicles manufactured primarily by Honda, Toyota, Subaru, Nissan and Volkswagen. Our Luxury segment is comprised of retail automotive franchises that sell new vehicles manufactured primarily by BMW, Mercedes-Benz and Lexus. The franchises in each segment also sell used vehicles, parts and automotive services, and automotive finance and insurance products.


Corporate and other is comprised of our stand-alone collision center; unallocated corporate overhead expenses, such as corporate personnel costs, certain interest expense and depreciation expense, and retrospective commissions for certain finance and insurance transactions that we arrange under agreements with third parties.


We define our chief operating decision maker (“CODM”) to be certain members of our executive management group. Historical and forecasted operational performance is evaluated on a store-by-store basis and on a consolidated basis by the CODM. We derive the operating results of the segments directly from our internal management reporting system. The accounting policies used to derive segment results are substantially the same as those used to determine our consolidated results. Management measures the performance of each operating segment based on several metrics, including earnings from operations. Management uses these results, in part, to evaluate the performance of, and to allocate resources to, each of the operating segments.


Certain financial information on a segment basis is as follows (in thousands):


   

Three Months Ended March 31,

 
   

2015

   

2014

 

Revenues:

               

Domestic

  $ 691,404     $ 568,930  

Import

    758,638       351,061  

Luxury

    336,922       158,611  
      1,786,964       1,078,602  

Corporate and other

    2,214       (496 )
    $ 1,789,178     $ 1,078,106  
                 

Segment income*:

               

Domestic

  $ 27,129     $ 22,421  

Import

    16,100       9,265  

Luxury

    5,899       2,185  
      49,128       33,871  

Corporate and other

    8,928       6,833  

Income from continuing operations before income taxes

  $ 58,056     $ 40,704  
                 

*Segment income is defined as operating income less floor plan interest expense.

 
                 

Floor plan interest expense:

               

Domestic

  $ 4,736     $ 4,058  

Import

    3,698       1,808  

Luxury

    2,062       1,129  
      10,496       6,995  

Corporate and other

    (5,847 )     (4,011 )
    $ 4,649     $ 2,984  

   

March 31,

2015

   

December 31,

2014

 

Total assets:

               

Domestic

  $ 869,313     $ 831,574  

Import

    707,736       696,162  

Luxury

    399,373       405,222  

Corporate and other

    947,963       947,974  
    $ 2,924,385     $ 2,880,932