Company: GPI
Filing Date: 2025-03-20
Form Type: PRE 14A
Source: 0001031203-25-000018
Chunk: 67

Company: GROUP 1 AUTOMOTIVE INC
Filing Date: 2025-03-20
Form: PRE 14A
Chunk 67
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 supermajority vote of shareholders (the affirmative vote of the holders of at least 80% of the voting power of the outstanding Voting Stock). The Charter Supermajority Amendment would eliminate these Charter Supermajority Voting Requirements, and instead, amendments or repeal of Article FIFTH or Article SEVENTH of the Charter may be implemented by the affirmative vote of a majority of the stock issued and outstanding and entitled to vote thereon, voting together as a single class.

The Board has unanimously approved the Charter Supermajority Amendment, subject to shareholder approval. The Board has unanimously determined that the Charter Supermajority Amendment is advisable and in the best interests of the Company and our shareholders, and, in accordance with the Delaware General Corporation Law, hereby seeks approval of the Charter Supermajority Amendment by our shareholders.

#### GROUP 1 AUTOMOTIVE2025 PROXY STATEMENT67

#### Reasons for the Charter Supermajority Amendment
Our Board regularly considers a broad range of corporate governance issues and is committed to adopting governance practices that are beneficial to the Company and our shareholders. The elimination of supermajority voting requirements to amend or repeal certificates of incorporation is increasingly considered an important aspect of good corporate governance and a concern to many of our investors. The Company adopted the current Charter Supermajority Voting Requirements because it believed this threshold was an important piece of the Company’s governance structure in order to promote continuity and stability and were in the best interests of the Company and its shareholders. At the time, the Company also believed that this supermajority voting threshold enhanced the independence of our directors from special interests and protected the Company from unfair and abusive takeover practices. Our Board recognizes that removing the Charter Supermajority Voting Requirements is consistent with generally held views of evolving corporate governance practices. Our Board has listened to the views of shareholders and the investor community on this issue and has also considered the limited benefits of the Charter Supermajority Voting Requirements to the Company and its shareholders. In addition, our Board acknowledges that many other public companies have transitioned away from these kinds of supermajority voting provisions. The Board has also considered the fact that removing the Charter Supermajority Voting Requirements would make future amendment of aspects of our Certificate of Incorporation possible with the affirmative votes of fewer shareholders. In view of these considerations, our Board has unanimously determined to eliminate the Charter Supermajority Voting Requirements as proposed.

Effectiveness of the Charter Supermajority Amendment

If the Charter Supermajority Amendment is approved by our shareholders, the Charter Supermajority Amendment will become effective upon the