Lithia Halts Superstore Expansions

Sidney DeBoer

Lithia is defer­ring fund­ing on any new L2 auto­mo­tive super­stores as part of its finan­cial restruc­tur­ing plan. The cost-cut­ting changes being made are expect­ed to save $18M in annu­al­ized expens­es. VCU eco­nom­ics pro­fes­sor George Hof­fer says the halt to L2 expan­sion could help Car­Max, but Lithia says that’s not a con­sid­er­a­tion.