---
schema_version: "secwatch.filing_event.v1"
accession: "0001043509-23-000012"
form_type: "8-K"
ticker: "SAH"
cik: "0001043509"
company_name: "SONIC AUTOMOTIVE INC"
filed_at: "2023-06-22T23:59:59+00:00"
generated_at: "2026-06-13T18:45:59.474177+00:00"
event_type: "other_material"
sentiment: "negative"
materiality_score: 0.8
calibrated_materiality_score: 0.8
confidence: "high"
source: SEC EDGAR
---

# Sonic Automotive suspends operations at 8 EchoPark locations; expects $60-80M impairment charge

## Summary
- Indefinite suspension at eight EchoPark locations and related delivery/buy centers due to pre-owned market volatility.
- Expected non-cash impairment charge of $60-80M in Q2 2023, with $3-5M in cash severance costs.
- EchoPark EBITDA breakeven target remains Q1 2024; long-term goal of 90% U.S. population coverage maintained.
- Actions driven by lower new vehicle production, low lease returns, and volatile wholesale pricing.
- Company expects continued wholesale price volatility into 2024 but sees improvement from new vehicle production increases.

## SEC filing metadata
- accession: 0001043509-23-000012
- form_type: 8-K
- ticker: SAH
- cik: 0001043509
- company_name: SONIC AUTOMOTIVE INC
- filed_at: 2023-06-22T23:59:59+00:00
- event_type: other_material
- sentiment: negative
- materiality_score: 0.8
- calibrated_materiality_score: 0.8
- confidence: high
- sec_items: 2.05, 2.06, 7.01, 9.01
- EDGAR index: https://www.sec.gov/Archives/edgar/data/1043509/000104350923000012/0001043509-23-000012-index.htm
- EDGAR primary document: https://www.sec.gov/Archives/edgar/data/1043509/000104350923000012/sah-20230622.htm

## Machine-readable alternates
- HTML: https://secwatch.observer/filing/0001043509-23-000012
- JSON: https://secwatch.observer/filing/0001043509-23-000012.json
- Plain text: https://secwatch.observer/filing/0001043509-23-000012.txt

## Key facts
- Restructurings & Charges
  SONIC AUTOMOTIVE INC announced a restructuring with charges of ranging from $60.0 million to $80.0 million affecting EchoPark.
  - Type: restructuring
  - Charge: ranging from $60.0 million to $80.0 million
  - Affected area: EchoPark
  source text: Sonic expects to record an impairment charge ranging from $60.0 million to $80.0 million in the second quarter of 2023.
  evidence_url: https://www.sec.gov/Archives/edgar/data/1043509/000104350923000012/0001043509-23-000012-index.htm

This AI-assisted summary is a reading aid. Review the linked SEC EDGAR filing before relying on any specific claim.