GROUP 1 AUTOMOTIVE INCGPI

GROUP 1 AUTOMOTIVE INC Debt Disclosure

10-KFiled Feb 13, 20262 min read
DEBT
Long-term debt consisted of the following (in millions):
December 31,
20252024
4.00% Senior Notes due August 15, 2028
$750.0 $750.0 
6.375% Senior Notes due January 15, 2030
500.0 500.0 
Acquisition Line964.0 95.0 
Other debt:
Real estate related1,151.0 1,253.9 
Finance leases329.5 311.4 
Other18.2 19.0 
Total other debt1,498.7 1,584.3 
Total debt3,712.7 2,929.3 
Less: unamortized debt issuance costs13.216.1
Less: current maturities259.0175.3
Total long-term debt$3,440.5 $2,737.9 
The aggregate annual maturities of debt for the next five years, excluding debt issuance costs, are as follows (in millions):
 Total
Years Ended December 31,
2026$260.0 
2027244.4 
2028926.0 
2029318.4 
20301,575.6 
Thereafter388.3 
Total$3,712.7 
Acquisition Line
The proceeds of the Acquisition Line (as defined in Note 13. Floorplan Notes Payable) are used for working capital, general corporate and acquisition purposes. As of December 31, 2025, borrowings under the Acquisition Line, a component of the Revolving Credit Facility (as defined in Note 13. Floorplan Notes Payable), totaled $964.0 million. The weighted average interest rate on this facility was 5.52% for the year ended December 31, 2025.
Real Estate Related
The Company has mortgage loans in the U.S. and the U.K. that are paid in installments. As of December 31, 2025, borrowings outstanding under these facilities totaled $1,151.0 million, gross of debt issuance costs, comprised of $760.8 million in the U.S. and $390.2 million in the U.K., respectively.
The Company’s mortgage loans are secured by real property owned by the Company. The carrying values of the related collateralized real estate as of December 31, 2025 and 2024 were $1,538.6 million and $1,612.9 million, respectively.
The Company has a master credit agreement with Wells Fargo Bank, National Association (the “Wells Fargo Credit Agreement”), which provides for delayed draw term loans with a maximum borrowing capacity of $258.3 million. The Wells Fargo Credit Agreement accrues interest at SOFR plus 175 basis points and matures on March 1, 2031. As of December 31, 2025, borrowings outstanding under the Wells Fargo Credit Agreement totaled $237.8 million and are included in the total U.S. mortgage loans described above.
Finance Leases
Refer to Note 11. Leases for further information regarding the Company’s finance leases.

Historical Timeline

Fiscal YearFiled
2025Feb 13, 2026Showing above
2024Feb 14, 2025
2023Feb 14, 2024
2022Feb 16, 2023
2021Feb 23, 2022
2020Feb 24, 2021
2019Feb 13, 2020
2018Feb 19, 2019
2017Feb 20, 2018
2016Feb 17, 2017
2015Feb 17, 2016

About Debt Disclosures

Debt disclosures detail a company's borrowing structure — the types of instruments, interest rates, maturity schedule, and covenant restrictions that define its financial obligations and flexibility. This section is essential for assessing refinancing risk, interest rate exposure, and the margin of safety against financial distress.

Key signals: the maturity schedule reveals concentration risk — large maturities within 1-2 years during tight credit markets can force dilutive refinancing or asset sales. Compare the fair value of debt against carrying amount to gauge whether the market views the company's credit risk differently than the balance sheet suggests. Watch covenant compliance disclosures for tightening cushions, especially leverage and interest coverage ratios. Variable-rate debt exposure quantifies sensitivity to interest rate changes. Secured versus unsecured mix affects recovery rates and future borrowing capacity. Compare net debt-to-EBITDA against industry peers and covenant limits to assess financial health.

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