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.

Group Session

September 2011

WANADA

December 7, 2011

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Industry Sales(Unit Sales in Millions)

17.3 17.118

. . . .

16.5

16.116

17

13.212.6

14

11.6

11

12

.

10

2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013

2

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No Double Dip

3

3

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and better positioned for long-term recovery

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Path Back to 16 Million SAARAnnual U.S. SAAR, Units from HH Formation & Scrappage Rate

18.0

12.0

14.0

16.0

ofun

its

6.0

8.0

10.0

Inmillions

0.0

2.0

.

2006 2007 2008 2009 2010 2011 2012 2013 2014 2015

-

____________________Sources: Polk / J.D. Power / AutoNation estimates

Units from HH formationScrappage estimates US SAAR

5

Replacement demand driving sales, as current selling rates below scrappage rates

Continued increase in annual household formation expected

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Units in Operations (in millions of units)

84 83

80

73

76

68

63 65

71

647 0

5 0

2006 2007 2008 2009 2010 2011 2012 2013 2014 2015

Source: J.D.PowerSource: J.D.Power

Trailing 5Yrs New Sales

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Off-Lease Vehicles

3.5

3.0

2.5

ns

ofunit

1.5

2.0

milli

1.0

98 99 00 01 02 03 04 05 06 07 08 09 0E 1E 2E 3E 4E 5E1 1 2 2 2 2 2 2 2 2 2 2

20 20 20 20 20 20

Source: Manheim Consulting 7

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President Obama on Financial Reforms

Obama thought for a moment as he spoke to Elizabeth Warren -

and then got authentic. It just kills me that car lenders are not

included, Obama opened up, referencing the Brownbackamendment, which exempted dealers from regulation by the

pro ec on ureau us ng an arcane par amen ary r c .

The president then launched into a more personal story. c e e an , w en we were younger, ec e we were go ng

to lease a car. I went out and shopped around and got a car.

When I returned the car four ears later like I was su osed to

it was the first time I realized how expensive that car was, he

confided, trying to show Elizabeth his empathy for her cause.

How could anyone understand that? I really tried!

Source: Confidence Men8

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Be Prepared To Sell a Lot More Broccoli

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Fast and Furious

Financial Panic

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Healthy Auto Industry

Financial Panic

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Q&A Discussion