Segment Information

9 Months Ended

Sep. 30, 2012

Segment Information

Segment Information

11. Segment Information

Our operations are organized by management into operating segments by line of business and geography. We have determined we have two reportable segments as defined in generally accepted accounting principles for segment reporting, including: (i) Retail, consisting of our automotive retail operations, and (ii) PAG Investments, consisting of our investments in businesses other than automotive retail operations. The Retail reportable segment includes all automotive dealerships and all departments relevant to the operation of the dealerships and the retail automotive joint ventures. The individual dealership operations included in the Retail reportable segment have been grouped into four geographic operating segments, which have been aggregated into one reportable segment as their operations (A) have similar economic characteristics (all are automotive dealerships having similar margins), (B) offer similar products and services (all sell new and used vehicles, service, parts and third-party finance and insurance products), (C) have similar target markets and customers (generally individuals) and (D) have similar distribution and marketing practices (all distribute products and services through dealership facilities that market to customers in similar fashions).

Three Months Ended September 30

	Retail		PAG Investments		Total
Revenues
2012	$	3,401,409	$	—	$	3,401,409
2011	2,898,441		—		2,898,441
Segment income
2012	48,932		7,912		56,844
2011	61,711		8,475		70,186

Nine Months Ended September 30

	Retail		PAG Investments		Total
Revenues
2012	$	10,006,631	$	—	$	10,006,631
2011	8,466,560		—		8,466,560
Segment income
2012	191,873		18,947		210,820
2011	166,356		15,867		182,223