Company: GPI
Filing Date: 2025-04-04
Form Type: DEF 14A
Source: 0001031203-25-000023
Chunk: 13

Company: GROUP 1 AUTOMOTIVE INC
Filing Date: 2025-04-04
Form: DEF 14A
Chunk 13
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Director independence   
 •Workplace safety        
 •Political contributions 
 •Sustainability efforts  
 •Reputation management   |     |                                              |

The Board’s risk oversight governance framework is designed to enable it to understand significant near, medium and long-term risks in the Company’s business and strategy, allocate responsibilities for risk oversight among the full Board and its committees, evaluate the Company’s risk management processes and whether they are functioning adequately, and engage in regular communications with management regarding risk trends, developments, mitigation and responsive actions. For the sake of efficiency, the full Board retains primary oversight responsibility over certain risks that cut across the subject area expertise of multiple committees.

The Company maintains robust internal processes and an effective internal control environment, which facilitate the identification and management of risks and regular communication with the Board. A core element is the Company’s ERM program, which is designed to identify and evaluate the full range of significant risks to the Company, including legal, compliance, financial, operational, strategic and reputational risks. Our Finance function leads the ERM program, with an annual cycle for structured reviews, discussions, and mitigation planning. Risks are identified and evaluated through both a “bottom-up” and a “top-down” process involving senior management and all of the functions and business units. Through this process, senior management considers trends and developments, as well as the effectiveness of the Company’s mitigation plans. Our risk management processes are informed by the results of our ERM program, including those relating to our Internal Audit plans and our financial reporting and SEC disclosures. In addition, from time to time, the individuals responsible for our ERM Program, as well as for the underlying risks within our risk universe, may engage outside advisors and experts for purposes such as benchmarking, testing and assessing their programs and associated controls and procedures. In 2024, we engaged Alvarez and Marsal to evaluate our ERM program, including the identification of enterprise-level risks, calibration of our existing risk assessment and our overall process for monitoring, mitigating and reporting risks.

#### 20GROUP 1 AUTOMOTIVE2025 PROXY STATEMENT
Management regularly reviews significant risks, including trends and developments, with the Board and its committees, providing updates on long-term risks during annual long-range planning, strategic reviews and thorough regular reviews of annual operating plans, as well as providing a near- and medium-term focus on financial performance, market environment updates, and presentations on specific associated risk areas. Between Board and committee meetings, directors receive updates regarding developments in the Company’s business as well as emerging