AutoNation 2007 Annual Report Download - page 34

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Table of Contents
housing market, we anticipate that the automotive retail market will remain challenging in 2008. Additionally, the potential tightening in the
automotive retail credit market may adversely impact our vehicle sales, while the reduction in interest rates is expected to have a positive impact.
Same store retail used vehicle revenue increased $107.6 million or 3.1% during 2006, as compared to 2005, primarily as a result of
increased same store average revenue per unit retailed, partially offset by decreased sales volume. Same store revenue per vehicle retailed during
2006 increased 4.7%, as compared to 2005, due to a shift in our retail used vehicle sales mix to import luxury vehicles.
Same store gross profit per vehicle retailed decreased 4.8% during 2007, as compared to 2006, primarily as a result of an increase in the
average cost of our used vehicle inventory combined with the competitive retail market environment. Same store gross profit per vehicle retailed
decreased 0.5% during 2006, as compared to 2005, primarily as a result of a challenging automotive retail environment.
Used vehicle inventories were $313.1 million or 44 days supply at December 31, 2007, compared to $299.9 million or 42 days at
December 31, 2006.
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