Lithia cuts jobs, millions

| Print |  Email
Tuesday, July 01, 2008

MEDFORD Lithia Motors, the eighth-largest U.S. auto group, announced in June that it would cut $18 million annually in costs because of falling consumer confidence, tight credit, high gas prices and sluggish domestic auto sales.

Among the cost-cutting measures, the Medford-based Lithia said it would restructure store management personnel and duties, reduce headcount across the company, further centralize offices by region, sell 10 to 15 of its stores, and postpone further acquisitions.

Since going public in 1994, the company, helmed by CEO Sid DeBoer, has been on a tear of acquisitions. In an April 2006 interview with Oregon Business, DeBoer predicted the company would hit 350 dealerships and $11 billion in revenue by 2014. “I don’t see anything handicapping us,” he said then. Lithia currently has 110 stores in 15 states and posted $3.22 billion in total revenue in 2007.

Three months ago, an internal investigation of Lithia found “a limited number” of its dealerships had incorrectly reported car sales to manufacturers as part of volume-based incentive programs.

 

More Articles

The Human Factor

February 2015
Monday, January 26, 2015
BY BRIAN LIBBY

Matt French opens up South Waterfront.


Read more...

Umbrella Revolution

March 2015
Monday, February 23, 2015

Yeah, we know: Oregonians are way too cool for umbrellas. But today’s stylish, high-tech models will soften the resistance of the most rain hardened.


Read more...

A legislative preview — and celebration

Linda Baker
Friday, January 23, 2015
012315-speaker-thumbBY LINDA BAKER | OB EDITOR

The Northwest Environmental Business Council previews the 2015 legislative agenda as Hatch Oregon celebrates Oregon's new community crowdfunding rules.


Read more...

How a Utah-based essential oils company cornered the Oregon market

March 2015
Friday, February 20, 2015
BY AMY MILSHTEIN | OB CONTRIBUTOR

Multilevel marketing, health claims and zyto scanner biofeedback machines: How dōTERRA thrives in Oregon. 


Read more...

That's Not a Watch (This Is a Watch)

February 2015
Tuesday, January 27, 2015

Smartwatches are all the rage. But old-fashioned timepieces keep on ticking.


Read more...

Ski traffic

Linda Baker
Tuesday, January 20, 2015
0121-skiway-thumbBY LINDA BAKER | OB EDITOR

A place-based multimodal transportation plan for Mt. Hood is long overdue.


Read more...

6 chiefs of staff dish on their bosses

The Latest
Thursday, February 05, 2015
legilistiblog-thumbBY JACOB PALMER | OB DIGITAL NEWS EDITOR

We ask chiefs of staff for the scoop on Oregon legislators.


Read more...
Oregon Business magazinetitle-sponsored-links-02
SPONSORED LINKS