CarMax 2009 Annual Report Download - page 20

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Item 1B. Unresolved Staff Comments.
None.
Item 2. Properties.
We conduct our used vehicle operations in two basic retail formats – production and non-production superstores.
Production superstores are those locations at which vehicle reconditioning is performed, while non-production
superstores do not perform vehicle reconditioning. In determining whether to construct a production or a non-
production superstore on a given site, we take several factors into account, including the anticipated long-term
reconditioning needs and the available acreage of this and other sites in that market. As a result, some superstores
that are constructed to accommodate reconditioning activities may initially be operated as non-production
superstores until we expand our presence in that market. As of February 28, 2009, we operated 59 production
superstores and 41 non-production superstores. At that date, we also operated one new car store, which was located
adjacent to our used car superstore in Laurel, Maryland. Our remaining five new car franchises are operated as part
of our used car superstores.
Production superstores are generally 40,000 to 60,000 square feet on 10 to 25 acres, but a few range from
approximately 70,000 to 95,000 square feet on 20 to 35 acres. Non-production superstores are generally 10,000 to
25,000 square feet on 4 to 12 acres.
USED CAR SUPERSTORES AS OF FEBRUARY 28, 2009
Total
Alabama............................................................................ 2
Arizona ............................................................................. 3
California.......................................................................... 13
Colorado ........................................................................... 1
Connecticut....................................................................... 2
Florida............................................................................... 10
Georgia ............................................................................. 5
Illinois............................................................................... 6
Indiana .............................................................................. 2
Kansas............................................................................... 2
Kentucky........................................................................... 1
Maryland........................................................................... 4
Mississippi........................................................................ 1
Missouri............................................................................ 1
Nebraska........................................................................... 1
Nevada.............................................................................. 2
New Mexico ..................................................................... 1
North Carolina .................................................................. 8
Ohio .................................................................................. 2
Oklahoma ......................................................................... 2
South Carolina.................................................................. 3
Tennessee ......................................................................... 4
Texas ................................................................................ 12
Utah .................................................................................. 1
Virginia............................................................................. 8
Wisconsin ......................................................................... 3
Total.................................................................................. 100
We have financed the majority of our stores through sale-leaseback transactions. As of February 28, 2009, we
leased 59 of our 100 used car superstores. We owned the remaining 41 stores currently in operation and the three
superstores that have been substantially completed, but which will not be opened until market conditions improve.
We also own our home office building in Richmond, Virginia, and land associated with planned future store
openings.