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Acquisitions
 12 Months Ended
Dec. 31, 2022
Business Combination and Asset Acquisition [Abstract]  
Acquisitions ACQUISITIONS
In 2022, we completed the following acquisitions:
•In January 2022, John L. Sullivan Chevrolet, John L. Sullivan Chrysler Dodge Jeep Ram, and Roseville Toyota in California.
•In March 2022, Sahara Chrysler Dodge Jeep Ram, Desert 215 Superstore, and Jeep Only in Nevada.
•In May 2022, Sisley Honda in Canada.
•In June 2022, Esserman International Volkswagen & Acura in Florida.
•In June 2022, Henderson Hyundai Superstore in Nevada.
•In June 2022, Lehman Auto Group in Florida.
•In July 2022, Elk Grove Ford in California.
•In September 2022, Wilde Honda, Wilde Subaru, Wilde Chrysler Dodge Jeep Ram, Wilde Toyota, and Wilde East Towne Honda in Wisconsin.
•In October 2022, Seattle Airstream Adventures and Spokane Airstream Adventures in Washington.
•In October 2022, Portland Airstream Adventures and Ultimate Airstream Adventures in Oregon.
•In October 2022, Bay Area Airstream Adventures and South Bay Airstream Adventures in California.
•In October 2022, Boise Airstream Adventures in Idaho.
•In November 2022, Meador Chrysler Dodge Jeep Ram in Texas.
•In December 2022, Denver Exotics in Colorado.
•In December 2022, Glenn's Freedom Chrysler Jeep Dodge Ram in Kentucky.

Revenue and operating income contributed by the 2022 acquisitions subsequent to the date of acquisition were as follows:
Year Ended December 31,
($ in millions)2022
Revenue$1,404.0 
Operating income66.9 

In 2021, we completed the following acquisitions:
•In February 2021, Fields Chrysler Jeep Dodge Ram and Land Rover Orlando in Florida.
•In March 2021, Fink Auto Group in Florida.
•In March 2021, Avondale Nissan in Arizona.
•In April 2021, The Suburban Collection in Michigan.
•In April 2021, Planet Honda in New Jersey.
•In May 2021, Superstore Auto Group in Nevada.
•In May 2021, Center BMW and Center Acura in California.
•In June 2021, Southwest Kia Group in Arizona.
•In June 2021, Herrin-Gear Toyota in Mississippi.
•In June 2021, Michael’s Subaru and Michael’s Toyota in Washington.
•In July 2021, Koby Subaru in Alabama.
•In August 2021, Rock Honda in California.
•In August 2021, Pfaff Automotive Partners in Canada.
•In September 2021, Curry Honda in Georgia.
•In September 2021, Orange Coast Chrysler Dodge Jeep Ram Fiat in California.
•In November 2021, Coral Springs Audi and Fort Lauderdale Audi in Florida.
•In November 2021, Pfaff Harley-Davidson in Canada.
•In December 2021, Elder Ford of Tampa in Florida.
•In December 2021, Elder Ford of Troy and Elder Ford of Romeo in Michigan.
All acquisitions were accounted for as business combinations under the acquisition method of accounting. The results of operations of the acquired stores are included in our Consolidated Financial Statements from the date of acquisition.

The following tables summarize the consideration paid for the acquisitions and the preliminary amount of identified assets acquired and liabilities assumed as of the acquisition date:
Year Ended December 31,
($ in millions)20222021
Cash paid, net of cash acquired$1,240.8 $2,697.5 
Contingent consideration3.9 — 
Redeemable non-controlling interest— 33.1 
Debt issued— 356.0 
Total consideration transferred$1,244.7 $3,086.6 
Year Ended December 31,
($ in millions)20222021
Trade receivables, net$0.2 $1.3 
Inventories228.3 626.2 
Franchise value63.7 — 
Goodwill30.1 — 
Property and equipment379.9 767.5 
Other assets639.1 1,726.2 
Floor plan notes payable(0.7)(4.0)
Debt and finance lease obligations(78.5)— 
Other liabilities(17.4)(30.6)
Total net assets acquired and liabilities assumed$1,244.7 $3,086.6 

The purchase price allocations for the 2022 acquisitions are preliminary as we have not obtained all of the detailed information to finalize the opening balance sheet related to real estate purchased, leases assumed and the allocation of franchise value to each reporting unit. Management has recorded the purchase price allocations based on the information that is currently available.

We expect substantially all of the goodwill related to acquisitions completed in 2022 to be deductible for federal income tax purposes.

The purchase price allocations for the 2021 acquisitions were finalized in 2022, including amounts posted to contingent consideration, real estate, franchise value, and goodwill, reducing the amounts posted to “Other assets” shown in the table above.

We account for franchise value as an indefinite-lived intangible asset. We recognized $15.0 million and $20.2 million, respectively, in acquisition related expenses as a component of selling, general and administrative expenses in the Consolidated Statements of Operations in 2022 and 2021, respectively.

The following unaudited pro forma summary presents consolidated information as if the acquisitions had occurred on January 1 of the year:
Year Ended December 31,
($ in millions, except for per share amounts)
20222021
Revenue$29,748.1 $26,200.5 
Net income1,338.2 1,236.9 
Basic net income per share47.47 42.95 
Diluted net income per share47.25 42.64 

These amounts have been calculated by applying our accounting policies and estimates. The results of the acquired stores have been adjusted to reflect the following: depreciation on a straight-line basis over the expected lives for property, plant and equipment; accounting for inventory on a specific identification method; and recognition of interest expense for real estate financing related to stores where we purchased the facility. No non-recurring pro forma adjustments directly attributable to the acquisitions are included in the reported pro forma revenues and earnings.