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SEC Filings

10-K
PENSKE AUTOMOTIVE GROUP, INC. filed this Form 10-K on 02/24/2017
Entire Document
 

Dividends

 

We paid the following cash dividends on our common stock in 2015 and 2016:

 

Per Share Dividends

 

 

 

 

 

 

2015

    

 

 

  

 

 

 

 

 

First Quarter

 

$

0.22

 

Second Quarter

 

 

0.23

 

Third Quarter

 

 

0.24

 

Fourth Quarter

 

 

0.25

 

 

 

 

 

 

 

 

2016

    

 

 

 

 

 

 

 

 

First Quarter

 

$

0.26

 

Second Quarter

 

 

0.27

 

Third Quarter

 

 

0.28

 

Fourth Quarter

 

 

0.29

 

 

We also announced a cash dividend of $0.30 per share payable on March 1, 2017 to shareholders of record as of February 20, 2017. Future quarterly or other cash dividends will depend upon a variety of factors considered relevant by our Board of Directors, which may include our earnings, capital requirements, restrictions relating to any then-existing indebtedness, financial condition and other factors.

 

Vehicle Financing

 

We finance substantially all of the commercial vehicles we purchase for distribution, new vehicles for retail sale, and a portion of our used vehicle inventories for retail sale, under floor plan and other revolving arrangements with various lenders, including the captive finance companies associated with automotive manufacturers. In the U.S., the floor plan arrangements are due on demand; however, we have not historically been required to repay floor plan advances prior to the sale of the vehicles that have been financed. We typically make monthly interest payments on the amount financed. Outside of the U.S., substantially all of the floor plan arrangements are payable on demand or have an original maturity of 90 days or less, and we are generally required to repay floor plan advances at the earlier of the sale of the vehicles that have been financed or the stated maturity.

 

The agreements typically grant a security interest in substantially all of the assets of our dealership and distribution subsidiaries and, in the U.S., Australia and New Zealand, are guaranteed or partially guaranteed by us. Interest rates under the arrangements are variable and increase or decrease based on changes in the prime rate, defined LIBOR, Finance House Base Rate, the Euro Interbank Offered Rate, the Canadian Prime Rate, or the Australian or New Zealand Bank Bill Swap Rate. To date, we have not experienced any material limitation with respect to the amount or availability of financing from any institution providing us vehicle financing. We also receive non-refundable credits from certain of our vehicle manufacturers, which are treated as a reduction of cost of sales as vehicles are sold.

 

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