Group 1

As the coronavirus pandemic began to force the partial closure of many of its stores, Group 1 Automotive Inc. on March 25 announced furloughs and other cost-cutting measures.

The retailer initially said it would furlough about 3,000 employees for at least 30 days, while slashing executive salaries and closing stores in the U.K. and Brazil. It has since furloughed about 4,800 employees in the U.S. and 2,800 in the U.K., and it has terminated or furloughed more than 450 personnel in Brazil.

In the U.S., although sales dived in late March and early April, there have since been signs of recovery. Most of the company's 119 stores are now able to sell vehicles, in some cases by appointment or home delivery. Service operations in the U.S. have remained open throughout the crisis.

Group 1 CEO Earl Hesterberg said the decision to roll out the AcceleRide online retail platform last year helped stores cope with reduced traffic. Group 1, ranked No. 4 on Automotive News' list of the top 150 U.S. dealership groups, said on May 5 that leads on AcceleRide were up 60 percent in April from January and February levels.

In its first quarter, the company reported a $29.8 million profit, down 23 percent on an annual basis, and revenues down 4.2 percent to $2.69 billion.