Business Combinations

9 Months Ended

Sep. 30, 2019

Business Combinations

Business Combinations

6. Business Combinations

During the nine months ended September 30, 2019, we acquired one dealership related to our Commercial Vehicle Distribution business in New Zealand and six retail commercial truck locations. During the nine months ended

September 30, 2018, we acquired The Car People, a stand-alone specialty retailer of used vehicles in the U.K. representing four locations; acquired four retail automotive franchises; and acquired one retail commercial truck dealership. Our financial statements include the results of operations of the acquired entities from the date of acquisition. The fair value of the assets acquired and liabilities assumed have been recorded in our consolidated condensed financial statements, and may be subject to adjustment pending completion of final valuation. A summary of the aggregate consideration paid and the aggregate amounts of the assets acquired and liabilities assumed for the nine months ended September 30, 2019 and 2018 follows:

	September 30,
	2019		2018
Accounts receivable	$	—	$	3.6
Inventories		150.7		62.8
Other current assets		0.6		—
Property and equipment		2.6		52.6
Indefinite-lived intangibles		214.0		73.9
Current liabilities		(16.8)		(16.9)
Noncurrent liabilities		(13.6)		(0.6)
Total consideration		337.5		175.4
Deferred consideration		—		(6.8)
Contingent consideration		(10.6)		—
Total cash used in acquisitions	$	326.9	$	168.6

The following unaudited consolidated pro forma results of operations of PAG for the three and nine months ended September 30, 2019 and 2018 give effect to acquisitions consummated during 2019 and 2018 as if they had occurred effective at the beginning of the periods:

	Three Months Ended September 30,				Nine Months Ended September 30,
	2019		2018		2019		2018
Revenues	$	6,013.7	$	5,996.3	$	17,888.9	$	18,384.2
Income from continuing operations		115.5		117.9		319.7		338.0
Net income		115.7		118.0		320.4		338.0
Income from continuing operations per diluted common share	$	1.41	$	1.39	$	3.86	$	3.96
Net income per diluted common share	$	1.42	$	1.39	$	3.86	$	3.96