EX-99.1

PENSKE AUTOMOTIVE REPORTS THIRD QUARTER RESULTS
____________________________________________________________

Income from Continuing Operations Per Share Increases 18% to
$0.45 Per Share
____________________________________________________________

BLOOMFIELD HILLS, MI, October 25, 2007 – Penske Automotive Group, Inc. (NYSE: PAG), an international automotive retailer, today reported that third quarter income from continuing operations increased 17.4% to $42.4 million and related earnings per share increased 18.4% to $0.45. Third quarter net income increased 28.7% to $43.4 million and related earnings per share increased 27.8% to $0.46. Revenues in the third quarter increased 14.6% to $3.4 billion, with each area of the Company’s business experiencing double digit growth. Same-store retail revenues increased 8.5%, including a 14.0% increase from the Company’s premium brand portfolio. The components of the same-store increase were as follows:

“Our business performed exceptionally well during the third quarter” said Penske Automotive Group Chairman Roger Penske. “PAG’s performance in the third quarter further supports the geographic diversification, brand mix and investment strategies which differentiate our overall business model. While I am happy with our 15% growth in total revenues and the robust same-store growth of 8.5% posted by our dealerships, I am particularly pleased to see that our selling, general and administrative expenses as a percentage of gross profit declined 69 basis points compared to the third quarter last year.”

For the nine months ended September 30, 2007, revenues increased 18.3% to $9.9 billion. Income from continuing operations and related earnings per share for the nine months were $97.4 million and $1.03, respectively. Adjusted to exclude the $12.3 million ($0.13 per share) of after-tax costs resulting from the March 2007 redemption of the Company’s 9.625% Senior Subordinated Notes, income from continuing operations for the nine months increased 11.6% to $109.7 million and related earnings per share increased 10.5% to $1.16. Net income and related earnings per share for the nine months were $98.3 million and $1.04, respectively. Adjusted for the debt redemption charge, net income increased 17.2% to $110.6, and related earnings per share increased 17.0% to $1.17.

The Company currently projects earnings from continuing operations in the fourth quarter to be in the range of $0.31 to $0.35 per share. Excluding the $12.3 million ($0.13 per share) debt redemption charge, earnings from continuing operations for the year are now expected to be in the range of $1.47 to $1.51 per share. These estimates include costs associated with developing the distribution network for the smart^® product launch in the U.S. and are based on an estimated average of 94.6 million shares outstanding.

Penske Automotive will host a conference call discussing financial results relating to the third quarter of 2007 on Thursday, October 25, 2007 at 2:30 p.m. EDT. To listen to the conference call, participants must dial (800) 288-8976 [International, please dial (612) 332-0718]. The call will be simultaneously broadcast over the Internet through the Penske Automotive Group website at www.penskeautomotive.com.

Penske Automotive Group, Inc., headquartered in Bloomfield Hills, Michigan, operates 307 retail automotive franchises, representing 40 different brands, and 26 collision repair centers. Penske Automotive, which sells new and previously owned vehicles, finance and insurance products and replacement parts, and offers maintenance and repair services on all brands it represents, has 164 franchises in 19 states and Puerto Rico and 143 franchises located outside the United States, primarily in the United Kingdom. Penske Automotive is a member of the Fortune 500 and Russell 1000 and has approximately 16,000 employees.

Statements in this press release may involve forward-looking statements, including forward-looking statements regarding Penske Automotive Group, Inc.’s future sales and earnings potential. Actual results may vary materially because of risks and uncertainties, including external factors such as interest rate fluctuations, changes in consumer spending and other factors over which management has no control. These forward-looking statements should be evaluated together with additional information about Penske Automotive’s business, markets, conditions and other uncertainties which could affect Penske Automotive’s future performance. These risks and uncertainties are addressed in Penske Automotive’s Form 10-K for the year ended December 31, 2006, and its other filings with the Securities and Exchange Commission (“SEC”). This press release speaks only as of its date, and Penske Automotive disclaims any duty to update the information herein.

This release contains certain non-GAAP financial measures as defined under SEC rules, such as adjusted income from continuing operations and related earnings per share, which exclude certain items disclosed in the release. The Company has reconciled these measures to the most directly comparable GAAP measures in the release. The Company believes that these non-GAAP financial measures improve the transparency of the Company’s disclosure and the period-to-period comparability of the Company’s results from operations.

PENSKE AUTOMOTIVE GROUP, INC.
Consolidated Statements of Income
(Amounts In Thousands, Except Per Share Data)
(Unaudited)


	Third Quarter
	2007			2006
Revenues:
New Vehicle	$	1,896,455		$	1,670,797
Used Vehicle		792,793			680,227
Finance and Insurance, Net		78,989			66,760
Service and Parts		359,628			318,471
Fleet and Wholesale Vehicle		278,122			235,879

Total Revenues		3,405,987			2,972,134
Cost of Sales:
New Vehicle		1,735,800			1,527,563
Used Vehicle		729,260			623,854
Service and Parts		159,836			142,127
Fleet and Wholesale Vehicle		277,595			235,027

Total Cost of Sales		2,902,491			2,528,571

Gross Profit		503,496			443,563
SG&A Expenses		394,565			350,648
Depreciation and Amortization		13,057			11,388

Operating Income		95,874			81,527
Floor Plan Interest Expense		(19,536	)		(15,647	)
Other Interest Expense		(12,454	)		(11,088	)
Equity in Earnings of Affiliates		1,475			2,389

Income from Continuing Operations Before Income Taxes and Minority Interests		65,359			57,181
Income Taxes		(22,418	)		(20,590	)
Minority Interests		(531	)		(478	)

Income from Continuing Operations		42,410			36,113
Income (Loss) from Discontinued Operations, Net of Tax		990			(2,383	)

Net Income	$	43,400		$	33,730

Income from Continuing Operations Per Diluted Share	$	0.45		$	0.38

Diluted EPS	$	0.46		$	0.36

Diluted Weighted Average Shares Outstanding		94,614			94,288

PENSKE AUTOMOTIVE GROUP, INC.
Consolidated Statements of Income
(Amounts In Thousands, Except Per Share Data)
(Unaudited)


	Nine Months
	2007			2006
Revenues:
New Vehicle	$	5,361,649		$	4,676,041
Used Vehicle		2,405,760			1,864,087
Finance and Insurance, Net		222,887			189,886
Service and Parts		1,068,587			918,066
Fleet and Wholesale Vehicle		815,064			696,520

Total Revenues		9,873,947			8,344,600
Cost of Sales:
New Vehicle		4,910,574			4,268,519
Used Vehicle		2,216,210			1,703,645
Service and Parts		472,829			411,398
Fleet and Wholesale Vehicle		810,575			691,462

Cost of Sales		8,410,188			7,075,024

Gross Profit		1,463,759			1,269,576
SG&A Expenses		1,156,802			1,005,569
Depreciation and Amortization		39,155			32,315

Operating Income		267,802			231,692
Floor Plan Interest Expense		(55,055	)		(45,680	)
Other Interest Expense		(44,230	)		(34,471	)
Equity in Earnings of Affiliates		3,183			5,507
Debt Redemption Charge		(18,634	)		—

Income from Continuing Operations Before Income Taxes and Minority Interests		153,066			157,048
Income Taxes		(54,110	)		(57,150	)
Minority Interests		(1,527	)		(1,536	)

Income from Continuing Operations		97,429			98,362
Income (Loss) from Discontinued Operations, Net of Tax		908			(3,984	)

Net Income	$	98,337		$	94,378

Income from Continuing Operations Per Diluted Share	$	1.03		$	1.05

Diluted EPS	$	1.04		$	1.00

Diluted Weighted Average Shares Outstanding		94,512			94,085

PENSKE AUTOMOTIVE GROUP, INC.
Consolidated Condensed Balance Sheets
(Amounts In Thousands)
(Unaudited)


	9/30/07		12/31/06
Assets
Cash and Cash Equivalents	$	24,830	$	13,147
Accounts Receivable, Net		495,062		468,810
Inventories		1,557,335		1,518,759
Other Current Assets		97,205		71,492
Assets Held for Sale		155,318		200,372

Total Current Assets		2,329,750		2,272,580
Property and Equipment, Net		566,057		581,969
Intangibles		1,620,783		1,505,555
Other Assets		102,011		109,698

Total Assets	$	4,618,601	$	4,469,802

Liabilities and Stockholders’ Equity
Floor Plan Notes Payable	$	1,058,995	$	874,326
Floor Plan Notes Payable – Non-Trade		440,483		298,222
Accounts Payable		264,545		300,764
Accrued Expenses		290,003		214,200
Current Portion Long-Term Debt		14,969		13,385
Liabilities Held for Sale		72,961		52,213

Total Current Liabilities		2,141,956		1,753,110
Long-Term Debt		792,674		1,168,666
Other Long-Term Liabilities		280,211		252,373

Total Liabilities		3,214,841		3,174,149
Stockholders’ Equity		1,403,760		1,295,653

Total Liabilities and Stockholders’ Equity	$	4,618,601	$	4,469,802


	Third Quarter						Nine Months
	2007			2006			2007			2006
Total Retail Units
New Retail		53,222			50,000			149,667			139,355
Used Retail		25,697			23,904			77,966			66,038

Total Retail		78,919			73,904			227,633			205,393

Same-Store Retail Units
New Same-Store Retail		48,246			48,183			134,642			134,245
Used Same-Store Retail		23,132			22,357			66,409			61,880

Total Same-Store Retail		71,378			70,540			201,051			196,125

Same-Store Retail Revenue
New Vehicles	$	1,718,384		$	1,599,899		$	4,769,016		$	4,471,389
Used Vehicles		704,619			630,513			1,986,012			1,723,361
Finance and Insurance, Net		71,693			64,798			199,632			183,439
Service and Parts		329,546			308,591			944,296			877,713

Total Same-Store Retail	$	2,824,242		$	2,603,801		$	7,898,956		$	7,255,902

Same-Store Retail Revenue Growth
New Vehicles		7.4	%		(0.8	%)		6.7	%		1.1	%
Used Vehicles		11.8	%		9.6	%		15.2	%		7.6	%
Finance and Insurance, Net		10.6	%		0.2	%		8.8	%		4.5	%
Service and Parts		6.8	%		6.1	%		7.6	%		7.3	%
Revenue Mix
New Vehicles		55.7	%		56.2	%		54.3	%		56.0	%
Used Vehicles		23.3	%		22.9	%		24.4	%		22.3	%
Finance and Insurance, Net		2.3	%		2.3	%		2.3	%		2.3	%
Service and Parts		10.6	%		10.7	%		10.8	%		11.0	%
Fleet and Wholesale		8.1	%		7.9	%		8.2	%		8.4	%
Average Retail Selling Price
New Vehicles	$	35,633		$	33,416		$	35,824		$	33,555
Used Vehicles		30,852			28,457			30,857			28,227
Gross Margin		14.8	%		14.9	%		14.8	%		15.2	%
Retail Gross Margin – by Product
New Vehicle		8.5	%		8.6	%		8.4	%		8.7	%
Used Vehicle		8.0	%		8.3	%		7.9	%		8.6	%
Service and Parts		55.6	%		55.4	%		55.8	%		55.2	%
Gross Profit per Retail Transaction
New Vehicles	$	3,019		$	2,865		$	3,014		$	2,924
Used Vehicles		2,472			2,358			2,431			2,429
Finance and Insurance		1,001			903			979			924


	Third Quarter						Nine Months
	2007			2006			2007			2006
Brand Mix:
BMW		21	%		18	%		22	%		17	%
Toyota/Lexus		20	%		21	%		20	%		22	%
Honda/Acura		15	%		16	%		15	%		16	%
Mercedes Benz		10	%		10	%		10	%		10	%
Ford		9	%		10	%		10	%		10	%
Audi		8	%		8	%		8	%		7	%
Porsche		3	%		4	%		4	%		4	%
General Motors		3	%		4	%		3	%		4	%
Nissan/Infiniti		3	%		3	%		3	%		3	%
Other		8	%		6	%		5	%		7	%

		100	%		100	%		100	%		100	%
Premium		65	%		61	%		66	%		60	%
Foreign		30	%		32	%		29	%		33	%
Domestic Big 3		5	%		7	%		5	%		7	%

		100	%		100	%		100	%		100	%
Revenue Mix:
U.S.		62	%		67	%		62	%		69	%
International		38	%		33	%		38	%		31	%

		100	%		100	%		100	%		100	%
Debt to Total Capital Ratio		37	%		41	%		37	%		41	%
Rent Expense	$	38,908		$	34,608		$	113,549		$	99,749


Contact:	Bob O’Shaughnessy Chief Financial Officer 248-648-2800 boshaughnessy@penskeautomotive.com	Tony Pordon Senior Vice President 248-648-2540 tpordon@penskeautomotive.com