CarMax 2011 Annual Report Download - page 24

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14
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. 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 the 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, 2011, we operated 61
production superstores and 42 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 four 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, 2011
Total
Alabama
2
Arizona
3
California
13
Colorado
1
Connecticut
2
Florida
10
Georgia
6
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
4
Oklahoma
2
South Carolina
3
Tennessee
4
Texas
12
Utah
1
Virginia
8
Wisconsin
3
Total 103
We have financed the majority of our stores through sale-leaseback transactions. As of February 28, 2011, we
leased 57 of our 103 used car superstores as well as our CAF office building in Atlanta, Georgia. We owned the
remaining 46 stores currently in operation. We also owned our home office building in Richmond, Virginia, and
land associated with planned future store openings.