Company: GPI
Filing Date: 2025-04-25
Form Type: 10-Q
Source: 0001031203-25-000029
Chunk: 21

Company: GROUP 1 AUTOMOTIVE INC
Filing Date: 2025-04-25
Form: 10-Q
Item: Part I, Item 1
Chunk 21
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 Notes Payable — Manufacturer AffiliatesFMCC FacilityThe Company has a $300.0 million floorplan arrangement with FMCC for financing of new Ford vehicles in the U.S. (the “FMCC Facility”). The FMCC Facility bears interest at the U.S. prime rate which was 7.50% as of March 31, 2025.GM Financial FacilityThe Company has a master loan agreement with General Motors Financial for financing of new GM vehicles (the “GM Financial Facility”). As of March 31, 2025, the GM Financial Facility had a total borrowing capacity of $348.1 million. The GM Financial Facility bears interest at the U.S. prime rate less 100 basis points.Other Manufacturer FacilitiesThe Company has other credit facilities in the U.S. and the U.K., respectively, with financial institutions affiliated with manufacturers for financing of new, used and rental vehicle inventories. As of March 31, 2025, borrowings outstanding under these facilities totaled $412.6 million, comprised of $186.3 million in the U.S. and $226.3 million in the U.K., with annual interest rates ranging from 1% to approximately 9%. Interest rates on the Company’s manufacturer facilities vary across manufacturers.Offset AccountsOffset accounts consist of immediately available cash used to pay down the U.S. Floorplan Line and FMCC Facility, and therefore offset the respective outstanding balances in the Company’s Condensed Consolidated Balance Sheets. The offset accounts are the Company’s primary options for the short-term investment of excess cash.

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Table of Contents            GROUP 1 AUTOMOTIVE, INC. NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (UNAUDITED) – (Continued)

11. CASH FLOW INFORMATION 

Non-Cash ActivitiesThe accrual for capital expenditures was $5.3 million and $9.0 million as of March 31, 2025 and December 31, 2024, respectively.Interest and Income Taxes Paid Cash paid for interest, including the monthly settlement of the Company’s interest rate swaps, was $78.8 million and $52.5 million for the three months ended March 31, 2025 and 2024, respectively. Refer to Note 7. Financial Instruments and Fair Value Measurements for further discussion of the Company’s interest rate swaps. 

The Company received a net tax refund of $1.1 million for three months ended March 31, 2025