Sonic Automotive Reaffirms FY Guidance; Sees Q3 Adjusted Ops EPS Up 18%

Sonic Automotive SAH, one of the nation's largest automotive retailers, today reported it is reaffirming its full year guidance for adjusted diluted earnings per share from continuing operations to be between $1.65 and $1.70.  Excluded from this range are costs associated with retiring its outstanding 5.0% Convertible Senior Notes due 2029 ("5% Notes") and tax benefits related to the settlement of certain tax matters in the second and third quarters of 2012 which total a net charge of $0.16 per diluted share.  This range of expected adjusted diluted earnings per share supersedes the previously communicated expected range of $1.62 to $1.70.  On an unadjusted basis, full year guidance for diluted earnings per share from continuing operations is expected to be between $1.49 and $1.54.  Sonic anticipates announcing in its earnings release scheduled for October 23^rd, 2012 adjusted earnings per share from continuing operations of $0.40, in line with the company's expectations.  These results were driven by double-digit retail volume growth and improved cost performance.  Adjusted earnings per share from continuing operations of $0.40 excludes the effect of a pre-tax charge of $18.5 million, or $0.19 per diluted share, related to costs associated with retiring its 5% Notes in the third quarter of 2012.