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Segment Information
 6 Months Ended
Jun. 30, 2020
Segment Reporting [Abstract]  
Segment Information 10. Segment Information
As of June 30, 2020, Sonic had two operating segments comprised of: (1) retail automotive franchises that sell new vehicles and buy and sell used vehicles, sell replacement parts, perform vehicle repair and maintenance services, and arrange finance and insurance products (the “Franchised Dealerships Segment”); and (2) pre-owned vehicle specialty retail locations that provide customers an opportunity to search our nationwide inventory, purchase a pre-owned vehicle, select finance and insurance products and sell their current vehicle to us (the “EchoPark Segment”). Sonic has determined that its operating segments also represent its reportable segments.
The reportable segments identified above are the business activities of Sonic for which discrete financial information is available and for which operating results are regularly reviewed by Sonic's chief operating decision maker to assess operating performance and allocate resources. Sonic’s chief operating decision maker is a group of three individuals consisting of: (1) the Company’s Chief Executive Officer; (2) the Company’s President; and (3) the Company’s Chief Financial Officer.
Reportable segment financial information for the three and six months ended June 30, 2020 and 2019 are as follows:
Three Months Ended June 30,Six Months Ended June 30,
2020201920202019
(In thousands)
Segment Revenues:
Franchised Dealerships Segment revenues:
New vehicles$900,003  $1,204,754  $1,859,492  $2,271,088  
Used vehicles535,699  637,090  1,102,587  1,241,039  
Wholesale vehicles28,509  43,720  70,948  96,253  
Parts, service and collision repair251,998  347,337  576,499683,563
Finance, insurance and other, net80,401  89,507  163,429170,028
Franchised Dealerships Segment revenues$1,796,610  $2,322,408  $3,772,955  $4,461,971  
EchoPark Segment revenues:
Used vehicles$273,178  $248,537  $556,343  $464,953  
Wholesale vehicles4,666  6,319  10,770  8,557  
Parts, service and collision repair7,060  7,975  17,239  13,179  
Finance, insurance and other, net30,372  28,842  62,635  54,559  
EchoPark Segment revenues$315,276  $291,673  $646,987  $541,248  
Total consolidated revenues$2,111,886  $2,614,081  $4,419,942  $5,003,219  

Three Months Ended June 30,Six Months Ended June 30,
2020201920202019
(In thousands, except unit data)
Segment Income (Loss) (1):
Franchised Dealerships Segment (2)$35,689  $35,129  $58,346  $96,310  
EchoPark Segment2,577  1,693  4,672  3,800  
Total segment income (loss)$38,266  $36,822  $63,018  $100,110  
Impairment charges (3)(833) —  (268,833) (1,952) 
Income (loss) from continuing operations before taxes$37,433  $36,822  $(205,815) $98,158  
Retail New and Used Vehicle Unit Sales Volume:
Franchised Dealerships Segment43,864  57,067  91,626  109,676  
EchoPark Segment13,207  12,587  27,193  23,638  
Total retail new and used vehicle unit sales volume57,071  69,654  118,819  133,314  

(1)Segment income (loss) for each segment is defined as income (loss) from continuing operations before taxes and impairment charges.
(2)For the six months ended June 30, 2019, the above amount includes a pre-tax net gain on the disposal of franchised dealerships of approximately $46.7 million, offset partially by approximately $6.3 million of pre-tax executive transition costs.
(3)For the three months ended June 30, 2020, the above amount includes a pre-tax impairment charge of approximately $0.8 million related to the abandonment of certain construction projects. For the six months ended June 30, 2020, the above amount includes a pre-tax impairment charge of approximately $268.0 million related to adjustments in fair value of goodwill for the Franchised Dealerships Segment as a result of the economic disruptions due to the worldwide spread of
COVID-19 which has adversely affected our business, as well as a pre-tax impairment charge of approximately $0.8 million related to the abandonment of certain construction projects. For the six months ended June 30, 2019, the above amount includes approximately $1.9 million of pre-tax fair value adjustments to real estate at former EchoPark locations classified as held for sale.
Three Months Ended June 30,Six Months Ended June 30,
2020201920202019
(In thousands)
Impairment Charges:
Franchised Dealerships Segment$833  $—  $268,833  $26  
EchoPark Segment—  —  —  1,926  
Total impairment charges$833  $—  $268,833  $1,952  

Three Months Ended June 30,Six Months Ended June 30,
2020201920202019
(In thousands)
Depreciation and Amortization:
Franchised Dealerships Segment$19,895  $21,144  $39,484  $41,381  
EchoPark Segment2,752  2,662  5,460  5,075  
Total depreciation and amortization$22,647  $23,806  $44,944  $46,456  

Three Months Ended June 30,Six Months Ended June 30,
2020201920202019
(In thousands)
Floor Plan Interest Expense:
Franchised Dealerships Segment$5,675  $11,597  $15,283  $24,102  
EchoPark Segment639  921  1,539  1,642  
Total floor plan interest expense$6,314  $12,518  $16,822  $25,744  

Three Months Ended June 30,Six Months Ended June 30,
2020201920202019
(In thousands)
Interest Expense, Other, Net:
Franchised Dealerships Segment$9,557  $13,192  $20,156  $25,606  
EchoPark Segment240  436  606  875  
Total interest expense, other, net$9,797  $13,628  $20,762  $26,481  

Three Months Ended June 30,Six Months Ended June 30,
2020201920202019
(In thousands)
Capital Expenditures:
Franchised Dealerships Segment$35,388  $16,449  $52,637  $41,678  
EchoPark Segment6,540  4,165  9,096  9,556  
Total capital expenditures$41,928  $20,614  $61,733  $51,234