Group 1’s Oklahoma City Dealerships Withstand Damage from Violent Hail Storm

In light of last week’s supercell thunderstorm in northwest Oklahoma that pounded the area with softball size hail, Group 1 Automotive assessed the damage done to its dealerships affected by the storm.
The storm launched multiple tornadoes, as well, but its main impact was unusually large hail that produced at least $250,000 in damage and injured three people around the town of Woodward, Okla., according to a report from The Washington Post.
And as for Group 1’s rooftops in Oklahoma City, the retailer provided reports on damage assessment at seven of its eight import and domestic dealerships in the area.
The company reported that preliminary assessments indicate there is damage to some of the facilities and most of the new- and used-vehicle inventory located at the seven stores, which together made up 5.8 percent of Group 1’s total new vehicle unit sales in 2011.
“The company is insured with large deductibles and currently estimates it will incur after-tax charges related to the deductibles in the range of $1.8 million to $2.3 million, or approximately $0.07 to $0.10 per common share, in the second quarter,” officials shared.
That said, the seven affected dealerships — which are composed of 10 franchises, including Buick, GMC, Chevrolet, Chrysler, Dodge, Jeep, Nissan, Toyota, Honda and Acura — are not letting the storm bring them down.
All of the seven stores — which are located in an automall — are open for business with full capacity in the parts, service and collision areas, but with limited sales operations, officials shared.
Group 1 also provided some information on their plans to restore the lots’ inventory.
The company noted it is working with its manufacturer partners to replace the damaged inventory as quickly as possible, and will source inventory from its other stores, but does not expect inventories at these locations to be fully replenished until late summer.
Group 1’s three Tulsa-area and one of its Oklahoma City dealerships were not impacted by the storm and continue to operate normally.
And officials noted that it would provide an update if one is warranted.