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SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, DC 20549
FORM 8-K
CURRENT REPORT
Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934
Date of Report (Date of Earliest Event Reported): MAY 16, 2000
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UNITED AUTO GROUP, INC.
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(Exact Name of Registrant as Specified in its Charter)
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DELAWARE 1-12297 22-3086739
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(State or Other Jurisdiction of (Commission File Number) (IRS Employer Identification
Incorporation) Number)
13400 OUTER DRIVE WEST 48239
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DETROIT, MI (Including Zip Code)
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(Address of Principal Executive Offices)
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313-592-7311
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(Registrant's Telephone Number, Including Area Code)
375 Park Avenue
New York, NY 10152
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(Former Name or Address, If Changed From Last Report)
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ITEM 5. OTHER EVENTS
On May 16, 2000, United Auto Group, Inc. (the "COMPANY") issued a press release
announcing, among other things, a strategic alliance with CarsDirect.com, a
leading direct on-line automotive provider. In major parts of the United States,
the alliance is expected to enhance the on-line based sale, distribution and
service of vehicles by UnitedAuto and the Penske Automotive Group, which have
combined annual revenues of over $5 billion. The alliance enables CarsDirect.com
to serve its customers locally and more conveniently with UnitedAuto's and
Penske Automotive Group's expedited vehicle fulfillment and comprehensive
customer service capabilities. The organizations intend to jointly build an
automated transaction system that links the companies in a streamlined and
ultimately "real time" vehicle sourcing and fulfillment solution.
As part of a $17 million investment in CarsDirect.com by the two dealer groups
and other associated companies, Roger S. Penske, Chairman of UnitedAuto, will
join CarsDirect.com's Board of Directors.
A copy of the press release is attached hereto as EXHIBIT 99.1 and is
incorporated herein by reference.
ITEM 7. FINANCIAL STATEMENTS AND EXHIBITS
(a) FINANCIAL STATEMENTS:
Financial Statements are not required
(b) PRO FORMA FINANCIAL INFORMATION:
Pro Forma financial information is not required
(c) EXHIBITS:
Exhibit 99.1 - Press Release of United Auto Group, Inc., dated May 16,
2000
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SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the
Registrant has duly caused this report to be signed on its behalf by the
undersigned hereunto duly authorized.
Dated: May 18, 2000 UNITED AUTO GROUP, INC.
By: /s/ Robert H. Kurnick, Jr.
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ROBERT H. KURNICK, JR.
Its: EXECUTIVE VICE PRESIDENT
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EXHIBIT INDEX
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EXHIBIT DESCRIPTION OF EXHIBIT SEQUENTIAL PAGE
NUMBER NUMBER
EXHIBIT 99.1 Press Release of United Auto Group,
Inc., dated May 16, 2000
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EXHIBIT 99.1
PRESS RELEASE
[UNITEDAUTO LOGO] [CARSDIRECT.COM LOGO]
UnitedAuto Group, Inc. CarsDirect.com
13400 Outer Drive West 10567 Jefferson Boulevard
Detroit, MI 48239 Culver City, CA 90232
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Contact: Sam DiFeo Phil Hartz Greg Penske
President SVP - Communications President
UnitedAuto Group UnitedAuto Group Penske Automotive Group
201 325-3305 313 592-5365 626 580-6000
[email protected] [email protected] [email protected]
Wendy Barbour Ken Greenberg
Director - Public Relations President
CarsDirect.com Edge Communications, Inc.
310 280-4494 818 719-9292
[email protected] [email protected]
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UNITED AUTO GROUP, PENSKE AUTOMOTIVE GROUP, CARSDIRECT.COM
FORM ALLIANCE FOR
VEHICLE SOURCING, EXPEDITED FULFILLMENT
UNITED AUTO GROUP AND PENSKE AUTOMOTIVE GROUP TO TAKE EQUITY STAKE IN LEADING
ON-LINE AUTO PROVIDER; ROGER PENSKE TO JOIN
CARSDIRECT.COM BOARD OF DIRECTORS
DETROIT AND LOS ANGELES (May 16, 2000) -- UnitedAuto Group, Inc. (NYSE:
UAG), a leading publicly-traded automobile retailer, and Penske Automotive
Group, Inc. today announced a strategic alliance with CarsDirect.com, a leading
direct on-line automotive provider. In major parts of the United States, the
alliance is expected to enhance the on-line based sale, distribution and service
of vehicles by UnitedAuto and the Penske Automotive Group, which have combined
annual revenues of over $5 billion. The alliance enables CarsDirect.com to serve
its customers locally and more conveniently with UnitedAuto's and Penske
Automotive Group's expedited vehicle fulfillment and comprehensive customer
service capabilities. The organizations intend to jointly build an automated
transaction system that links the companies in a streamlined and ultimately
"real time" vehicle sourcing and fulfillment solution.
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As part of a $17 million investment in CarsDirect.com by the two dealer
groups and other associated companies, Roger S. Penske, Chairman of UnitedAuto,
will join CarsDirect.com's Board of Directors. Roger Penske stated: "It is clear
that consumers, dealers, and OEMs are embracing the Internet as a viable channel
for automotive sales, distribution and service. A growing number of our
customers require an automotive e-commerce solution to meet their automotive
needs. This solution adds value to our business model and meets the customer
service needs of the OEM's. After extensive research, our team concluded that
the best overall approach is a strategic partnership with CarsDirect.com. The
relationship with CarsDirect.com now firmly positions UnitedAuto and Penske
Automotive Group as prominent forces in the on-line consumer automotive sector."
"This is yet another significant step in achieving our goal of working
collectively with all members of the automotive industry to provide fresh
options, attractive choices and an unparalleled Internet car buying experience
for the consumer," said Bob Brisco, CEO of CarsDirect.com. "The alliance
enhances our business's scalability, which is critical as we expand our customer
base."
"We are building a closely integrated transaction system to address
our increased volumes," said Brisco. "Our strategic alliance enables us to marry
our front-end technology, proven over the last year through our reliable,
scalable website, with UnitedAuto's and Penske Automotive Group's world-class,
customer-focused delivery and service abilities."
Penske Automotive Group's President, Greg Penske, added: "We believe
that our association with CarsDirect.com will prove to be an attractive source
of new vehicle and related parts and service volume. In addition, we believe
this alliance will provide the best experience for the consumer while
maintaining brand integrity, which is crucial to our OEM partners."
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ABOUT UNITEDAUTO GROUP
UnitedAuto, which pursues a strategy based on internal growth from its
existing dealerships as well as from strategic acquisitions, operates 111
franchises in 17 states, Puerto Rico and Brazil. UnitedAuto dealerships sell new
and used vehicles and market a complete line of aftermarket automotive products
and services.
ABOUT PENSKE AUTOMOTIVE GROUP
Penske Automotive Group serves the Los Angeles markets. The automotive
retailer represents Honda, Jaguar, Lexus, Mercedes Benz and Toyota, and includes
Longo Toyota, the largest retail dealership in the United States.
ABOUT CARSDIRECT.COM
CarsDirect.com (http://www.carsdirect.com) is a leading direct online
provider of new automobiles and related products and services, such as loan and
lease financing and extended warranties. CarsDirect.com allows consumers to
research, price, configure, order, purchase and finance a vehicle online. The
company's user-friendly, intuitive Web site offers consumers product information
for nearly every make, model and style of new automobile available in the United
States today, as well as the ability to simultaneously compare the
specifications of competing vehicles. CarsDirect.com offers an online shopping
experience that features competitive, up-front, no-haggle pricing on new
vehicles which, in many cases, can be delivered directly and conveniently to a
consumer's home or office.
The company sources vehicles through a priority dealer network of more
than 2,500 automotive dealer franchises nationwide.
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