EX-99.1

PENSKE AUTOMOTIVE REPORTS SECOND QUARTER RESULTS
____________________________________________________________

Income From Continuing Operations Increases 47% to $29.2 Million and Related Earnings
Per Share Increases 45% to $0.32

Repurchased Additional $84.6 Million of Convertible Notes
$150.6 Million Currently Outstanding

U.S. Credit Facility Capacity Increased by $50 Million
___________________________________________________________

BLOOMFIELD HILLS, MI, July 29, 2010 – Penske Automotive Group, Inc. (NYSE: PAG), an international automotive retailer, today reported second quarter income from continuing operations attributable to common shareholders of $29.2 million, or $0.32 per share. This compares to income from continuing operations attributable to common shareholders of $19.8 million, or $0.22 per share, in the second quarter last year.

Total revenue in the second quarter increased 16.6% to $2.7 billion. The revenue growth was driven by a 16.2% increase in new and used retail unit sales. Total new retail unit sales increased 19.6%, including increases of 20.5% and 17.2% in our U.S. and International operations, respectively, resulting in a 24.4% increase in total new retail revenue. Used retail unit sales increased 12.0%, including increases of 17.1% and 4.2% in our U.S. and International operations, respectively, resulting in a 13.8% increase in total used retail revenue.

Total same-store retail revenue increased 13.3% during the quarter, including growth of 15.8% and 9.0% in our U.S. and International operations, respectively. Excluding changes in exchange rates, total same-store retail revenue increased 15.0%.

Penske Automotive Group Chairman Roger Penske said, “The improving retail environment and our premium/luxury brand mix helped drive double-digit growth in units, revenue, income from continuing operations and earnings per share in the second quarter. Our new vehicle unit sales outperformed industry sales in both the U.S. and the U.K., and we maintained a greater than one to one ratio of used unit to new unit sales in our international markets. Along with our strong operating performance, we have further reduced our leverage, resulting in a decrease in our long-term debt to capital ratio from 50% at the beginning of this year to 47% as of June 30.”

Total revenues for the six months ended June 30, 2010, increased 15.9% to $5.2 billion. Income from continuing operations attributable to common shareholders for the six months ended June 30, 2010 and 2009, amounted to $49.9 million, or $0.54 per share, and $36.2 million, or $0.40 per share, respectively. Income from continuing operations for the six months ended June 30, 2010 and 2009, include after-tax gains of $0.7 million, or $0.01 per share, and $6.5 million, or $0.07 per share, respectively, relating to purchases of the Company’s 3.5% Senior Subordinated Convertible Notes due 2026. Net income attributable to common shareholders in the six months ended June 30, 2010, was $49.8 million, or $0.54 per share.

During the second quarter, smart USA wholesaled 2,040 units, which compares to 956 units in the first quarter of this year. Recent sales activity and proactive management of current model year inventory purchases has resulted in inventory levels more closely aligned with current market conditions. Based on the increase in sales in the second quarter, coupled with expense reduction efforts, the loss in the distribution segment improved to $0.02 per share in the second quarter compared to $0.04 in the first quarter.

In the second and third quarters, the Company repurchased $84.6 million principal amount of its 3.5% Senior Subordinated Convertible Notes due 2026 (the “Notes”), leaving $150.6 million principal amount of the securities outstanding today. The Company also repurchased 68,340 shares of its common stock at an average price of $10.97 per share in July, and currently has approximately 92.1 million shares outstanding.

The Board of Directors of the Company has increased the Company’s authority to repurchase its outstanding common stock, debt and convertible debt, depending on market conditions, price and other factors to $150 million. Securities may be acquired from time to time either through open market purchases, negotiated transactions or other means.

The Company’s U.S. credit facility has been amended to increase the revolving credit line by $50 million to $300 million. Including this increase, the Company currently has approximately $250 million of revolving credit available under the U.S. credit facility, all of which is currently available to repurchase or redeem the remaining $150.6 million of outstanding Notes.

Penske Automotive will host a conference call discussing financial results relating to the second quarter of 2010 on July 29, 2010, at 2:00 p.m. Eastern Daylight Time. To listen to the conference call, participants must dial (800) 230-1074 [International, please dial (612) 234-9959]. The call will also be simultaneously broadcast over the Internet through the Penske Automotive Group website at www.penskeautomotive.com.

Penske Automotive Group, Inc. (www.penskeautomotive.com), headquartered in Bloomfield Hills, Michigan, operates 323 retail automotive franchises, representing 40 different brands and 25 collision repair centers. Penske Automotive, which sells new and previously owned vehicles, finance and insurance products and replacement parts, and offers maintenance and repair services on all brands it represents, has 171 franchises in 17 states and Puerto Rico and 152 franchises located outside the United States, primarily in the United Kingdom.

Penske Automotive, through its wholly-owned subsidiary smart USA Distributor LLC (www.smartusa.com), is the exclusive distributor of the smart fortwo vehicle and related parts in the United States. smart USA supports more than 75 smart retail centers in the United States.

Penske Automotive is a member of the Fortune 500 and Russell 1000 and has approximately 14,100 employees. smart and fortwo are registered trademarks of Daimler AG.

Statements in this press release may involve forward-looking statements, including forward-looking statements regarding Penske Automotive Group, Inc.’s expected ability to access amounts under its U.S. revolving credit facility. Actual results may vary materially because of risks and uncertainties, including external factors such as consumer credit conditions, adverse conditions affecting a particular manufacturer, macro-economic factors, interest rate fluctuations, changes in consumer spending, and other factors over which management has no control. Availability of revolving credit under the Company’s U.S. credit facility is predicated on continued covenant compliance and other factors. These forward-looking statements should be evaluated together with additional information about Penske Automotive’s business, markets, conditions and other uncertainties which could affect Penske Automotive’s future performance. These risks and uncertainties are addressed in Penske Automotive’s Form 10-K for the year ended December 31, 2009, and its other filings with the Securities and Exchange Commission (“SEC”). This press release speaks only as of its date, and Penske Automotive disclaims any duty to update the information herein.

PENSKE AUTOMOTIVE GROUP, INC.
Consolidated Statements of Income
(Amounts In Thousands, Except Per Share Data)
(Unaudited)


	Second Quarter
		2010			2009
Revenues:
New Vehicle		$	1,355,813		$	1,090,127
Used Vehicle			749,669			658,787
Finance and Insurance, Net			63,558			54,674
Service and Parts			332,160			331,106
Distribution			19,933			53,152
Fleet and Wholesale Vehicle			182,555			130,849

Total Revenues			2,703,688			2,318,695

Cost of Sales:
New Vehicle			1,244,630			1,004,151
Used Vehicle			689,552			599,526
Service and Parts			141,655			148,692
Distribution			17,227			45,702
Fleet and Wholesale Vehicle			180,280			126,869

Total Cost of Sales			2,273,344			1,924,940

Gross Profit			430,344			393,755
SG&A Expenses			355,177			327,389
Depreciation			12,054			13,811

Operating Income			63,113			52,555
Floor Plan Interest Expense			(8,321	)		(8,969	)
Other Interest Expense			(12,542	)		(13,687	)
Debt Discount Amortization			(2,428	)		(3,135	)
Equity in Earnings of Affiliates			4,784			3,466
Gain on Debt Repurchase			422			—

Income from Continuing Operations Before Income Taxes			45,028			30,230
Income Taxes			(15,625	)		(10,329	)

Income from Continuing Operations			29,403			19,901
Income (Loss) from Discontinued Operations, Net of Tax			281			(5,734	)

Net Income			29,684			14,167
Income Attributable to Non-Controlling Interests			(243	)		(88	)

Net Income Attributable to Common Shareholders		$	29,441		$	14,079

Income from Continuing Operations Per Share		$	0.32		$	0.22

Income Per Share		$	0.32		$	0.15

Weighted Average Shares Outstanding			92,206			91,592

Amounts Attributable to Common Shareholders:
Reported Income from Continuing Operations		$	29,403		$	19,901
Income Attributable to Non-Controlling Interests			(243	)		(88	)

Income from Continuing Operations, net of tax			29,160			19,813
Loss from Discontinued Operations, net of tax			281			(5,734	)

Net Income		$	29,441		$	14,079

PENSKE AUTOMOTIVE GROUP, INC.
Consolidated Statements of Income
(Amounts In Thousands, Except Per Share Data)
(Unaudited)


	Six Months
		2010			2009
Revenues:
New Vehicle		$	2,588,136		$	2,061,323
Used Vehicle			1,446,337			1,275,286
Finance and Insurance, Net			122,992			103,137
Service and Parts			666,183			658,009
Distribution			27,869			133,265
Fleet and Wholesale Vehicle			337,850			245,975

Total Revenues			5,189,367			4,476,995

Cost of Sales:
New Vehicle			2,375,452			1,903,990
Used Vehicle			1,329,500			1,160,009
Service and Parts			287,275			298,867
Distribution			24,949			114,016
Fleet and Wholesale Vehicle			331,819			238,319

Total Cost of Sales			4,348,995			3,715,201

Gross Profit			840,372			761,794
SG&A Expenses			695,691			640,055
Depreciation			24,428			26,692

Operating Income			120,253			95,047
Floor Plan Interest Expense			(16,842	)		(18,431	)
Other Interest Expense			(25,262	)		(28,187	)
Debt Discount Amortization			(5,343	)		(6,773	)
Equity in Earnings of Affiliates			4,355			4,180
Gain on Debt Repurchase			1,027			10,429

Income from Continuing Operations Before Income Taxes			78,188			56,265
Income Taxes			(28,060	)		(20,074	)

Income from Continuing Operations			50,128			36,191
Loss from Discontinued Operations, Net of Tax			(112	)		(5,822	)

Net Income			50,016			30,369
Income Attributable to Non-Controlling Interests			(221	)		(8	)

Net Income Attributable to Common Shareholders		$	49,795		$	30,361

Income from Continuing Operations Per Share		$	0.54		$	0.40

Income Per Share		$	0.54		$	0.33

Weighted Average Shares Outstanding			92,086			91,537

Amounts Attributable to Common Shareholders:
Reported Income from Continuing Operations		$	50,128		$	36,191
Income Attributable to Non-Controlling Interests			(221	)		(8	)

Income from Continuing Operations, net of tax			49,907			36,183
Loss from Discontinued Operations, net of tax			(112	)		(5,822	)

Net Income		$	49,795		$	30,361

PENSKE AUTOMOTIVE GROUP, INC.
Consolidated Condensed Balance Sheets
(Amounts In Thousands)
(Unaudited)


	6/30/10		12/31/09
Assets
Cash and Cash Equivalents	$	17,664	$	13,999
Accounts Receivable, Net		351,013		321,226
Inventories		1,364,718		1,302,495
Other Current Assets		106,479		95,426
Assets Held for Sale		572		10,625

Total Current Assets		1,840,446		1,743,771
Property and Equipment, Net		707,832		726,808
Intangibles		994,947		1,011,803
Other Long-Term Assets		295,438		313,625

Total Assets	$	3,838,663	$	3,796,007

Liabilities and Equity
Floor Plan Notes Payable	$	818,339	$	769,657
Floor Plan Notes Payable – Non-Trade		499,410		423,316
Accounts Payable		209,535		189,989
Accrued Expenses		218,716		227,294
Current Portion Long-Term Debt		16,551		12,442
Liabilities Held for Sale		501		7,675

Total Current Liabilities		1,763,052		1,630,373
Long-Term Debt		844,292		933,966
Other Long-Term Liabilities		269,585		285,629

Total Liabilities		2,876,929		2,849,968
Equity		961,734		946,039

Total Liabilities and Equity	$	3,838,663	$	3,796,007


	Second Quarter						Six Months
	2010			2009			2010			2009
Total Retail Units:
New Retail		39,676			33,176			75,815			63,911
Used Retail		29,232			26,100			55,996			53,090

Total Retail		68,908			59,276			131,811			117,001

smart Wholesale Units		2,040			3,659			2,996			9,373

Same-Store Retail Units:
New Same-Store Retail		38,091			33,140			73,482			63,750
Used Same-Store Retail		28,239			26,070			54,512			52,854

Total Same-Store Retail		66,330			59,210			127,994			116,604

Same-Store Retail Revenue:
New Vehicles	$	1,301,745		$	1,088,359		$	2,498,367		$	2,049,239
Used Vehicles		727,441			657,920			1,396,170			1,261,872
Finance and Insurance, Net		62,064			54,620			119,743			102,669
Service and Parts		321,851			329,492			649,707			652,477

Total Same-Store Retail	$	2,413,101		$	2,130,391		$	4,663,987		$	4,066,257

Same-Store Retail Revenue Growth:
New Vehicles		19.6	%		(39.2	%)		21.9	%		(41.0	%)
Used Vehicles		10.6	%		(23.0	%)		10.6	%		(25.0	%)
Finance and Insurance, Net		13.6	%		(29.8	%)		16.6	%		(33.3	%)
Service and Parts		(2.3	%)		(11.5	%)		(0.4	%)		(11.8	%)
Revenue Mix:
New Vehicles		50.1	%		47.0	%		49.9	%		46.0	%
Used Vehicles		27.7	%		28.4	%		27.9	%		28.5	%
Finance and Insurance, Net		2.4	%		2.4	%		2.4	%		2.3	%
Service and Parts		12.3	%		14.3	%		12.8	%		14.7	%
Distribution		0.7	%		2.3	%		0.5	%		3.0	%
Fleet and Wholesale		6.8	%		5.6	%		6.5	%		5.5	%
Average Retail Selling Price:
New Vehicles	$	34,172		$	32,859		$	34,137		$	32,253
Used Vehicles		25,645			25,241			25,829			24,021
Gross Margin		15.9	%		17.0	%		16.2	%		17.0	%
Retail Gross Margin – by Product:
New Vehicles		8.2	%		7.9	%		8.2	%		7.6	%
Used Vehicles		8.0	%		9.0	%		8.1	%		9.0	%
Service and Parts		57.4	%		55.1	%		56.9	%		54.6	%


	Second Quarter						Six Months
	2010			2009			2010			2009
Gross Profit per Retail Transaction:
New Vehicles	$	2,802		$	2,591		$	2,805		$	2,462
Used Vehicles		2,056			2,271			2,086			2,171
Finance and Insurance		922			922			933			882
Brand Mix:
BMW		20	%		21	%		20	%		22	%
Toyota / Lexus		18	%		18	%		18	%		19	%
Honda / Acura		15	%		15	%		14	%		15	%
Audi		11	%		11	%		11	%		10	%
Mercedes Benz		10	%		10	%		10	%		10	%
Land Rover		4	%		3	%		5	%		4	%
Porsche		4	%		4	%		4	%		4	%
Ferrari / Maserati		3	%		3	%		3	%		3	%
Other		15	%		15	%		15	%		13	%

		100	%		100	%		100	%		100	%
Premium		64	%		65	%		65	%		65	%
Foreign		31	%		31	%		31	%		31	%
Domestic Big 3		5	%		4	%		4	%		4	%

		100	%		100	%		100	%		100	%
Revenue Mix:
U.S.		65	%		64	%		63	%		64	%
International		35	%		36	%		37	%		36	%

		100	%		100	%		100	%		100	%
Rent Expense	$	41,455		$	40,859		$	82,686		$	80,484


Contacts:		Bob O’Shaughnessy Chief Financial Officer 248-648-2800 boshaughnessy@penskeautomotive.com

		or
		Anthony R. Pordon Senior Vice President 248-648-2540 tpordon@penskeautomotive.com