Severe storms cause damage to over 750 new, used and customer service loaner vehicles at Penske dealerships
Round Rock, Texas—Penske Automotive Group, Inc. has announced last week that severe storms at its Genesis, Honda, Hyundai, and Toyota dealerships located in Round Rock, Texas, disrupted operations and caused significant hail damage to over 750 new, used and customer service loaner vehicles.
The company estimates these vehicles represent over $27 million in inventory value. Most of the damaged vehicles are not repairable and are anticipated to be total losses.
The company is assessing the damage caused by these severe storms to determine their financial impact. Although a portion of the damage is expected to be covered by insurance, the company will incur the potential loss of new and used vehicles sales and will be responsible for its insurance deductibles.
The company is working with each manufacturer to replace the damaged inventory as soon as possible, although it cannot predict when replacement inventory will be available.
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