Cautionary Notice Regarding

Forward-Looking Statements

• This presentation contains statements that constitute “forward-looking statements” within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934.

• These forward-looking statements are not historical facts, but only predictions by our company and/or our company’s management.

• These statements generally can be identified by lead-in words such as “believe,” “expect” “anticipate,” “intend,” “plan,” “foresee” and other similar words. Similarly, statements that describe our company’s objectives, plans or goals are also forward-looking statements.

• You are cautioned that these forward-looking statements are not guarantees of future performance and involve risks and uncertainties, and that actual results may differ materially from those projected in the forward-looking statements as a result of various factors. Among others, factors that could materially adversely affect actual results and performance include those risk factors that are listed in Sonic Automotive’s Form 10-Q for the quarter ended March 31, 2008.

Sonic Automotive, Inc.

• #298 among the Fortune 500

• $8.3 Billion in Revenues

• Brand and Geographic diversity– 168 franchises

– 32 collision repair centers

– 33 vehicle brands

– 15 states

– 26 metro markets

Major metro area served

North/West Division – 41.4%

South/East Division – 58.6%

Percent of Total Revenues

Strategic Progression2008

• Expense Control

- Advertising

- Variable Comp

• Store Financial Modeling

• Leverage Reduction

• Growth Initiatives

- Pre-owned

- F&I and Fixed Ops

• Portfolio Enrichment

• Regional Infrastructure

• Corporate Infrastructure:

- Treasury

- Profit Analysis

- Project Management

• Refine Capital Allocation

2004-2007

• Used Vehicle

Strategy –

Phase II

• F&I Strategy

• Digital Marketing

• Fixed Operations

• Capital Allocation

•Associate Training

Sonic Sales Mix of Select Brands (% of Total Revenue)

6.7%7.9%

3.8%

9.5%

0.0%

6.8% 6.7%

23.2%

13.5%

11.2%

6.1%

18.7%

9.5% 9.5% 9.4%

6.9%

Honda Toyota Lexus BMW Mercedes Cadillac GM (excl.

Cadillac)

Ford

FY 1999 FY 2007

• Actively manage brand portfolio to stay ahead of market trends

Portfolio Enrichment Strategy

Focus on brands with higher margins and higher growth potential

Percent of Total Revenues within Division

4% 29% 67%

27% 24% 49%

7% 33% 60%

0% 20% 40% 60% 80% 100%

CA Only

Eastern

Western

Domestic Import Luxury

Geographic Brand Mix

Used Vehicle Strategy

Trade Desk

Phase II – In Process

Phase III

Web-Tail

Maximize Margin

Volume Growth

Increased ProfitabilityRight inventory, Right Location, Right Price

On-line

Branding

Virtual Lot

Sonic “Auto

Pilot”

Optimizing

Inventory

Market Shift to

Consumer

Control

Basic Process rollout (best practices)

Less Wholesale/Keep more trades

Common Technology (S.I.M.S) Inventory

Control

Process

Standardization

Phase I - Complete

Used to New Ratio

47% 48%

52%

64%

40%

45%

50%

55%

60%

65%

70%

2005 2006 2007 Q1 2008

Used Vehicle Unit Trend

63%

55%

52% 52% 55%

60%

37%

45% 48% 48%

45% 40%

-

20,000

40,000

60,000

80,000

100,000

120,000

140,000

2003 2004 2005 2006 2007 Q1 2008

Retail Units Wholesale Units

Phase I Objectives:

• Getting the basics right

• Retain more trades for retail

• Technology introduction

Phase II Objectives:

• Trade desk

• Improve pricing

• Getting the right inventory at the

right place at the right price

$1,191

$1,009

$1,118

$578

$814

$907

$733

2001 2002 2003 2004 2005 2006 2007

50.5%

45.8%

50.1%

49.1%

48.3%48.6%

47.4%

2001 2002 2003 2004 2005 2006 2007

REVENUE ($ in millions)

Parts, Service and Collision Repair

Grow service capacity in high margin brands

Operating Initiatives

Continue to expand service stall capacity

GROSS MARGIN RATE

Finance and InsuranceProfit per Unit (excluding fleet sales)

Continue training on Electronic Menu

Focus on extended Service Agreements to Drive Product Penetration

$938

$939$925 $929

$953

$1,004

$1,078

2003 2004 2005 2006 2007 Q1

2008

Associate Training Initiative

Certified Professional

Chartered Professional

Master Professional

Sonic Learning and

Development Strategy

Written Communication:

Reference material, self-study,

career planning

Video Learning – Role

playing activities, specific job

duty training

Web-Based Learning –

Interactive course presentation

Live Training – Hands-on

training, small group activities

Sonic Training Certification Levels

Phase 1 Marketing Plan

Traffic Generation

Merchandising

Action

Search Engine

Optimization -

Organic

Search

Engine

Marketing Advertising

Inventory

Online Service

AppointmentVideo

Information

Dealership Sales Team

Drive more

traffic

through more

targeted

marketing

Build customer

friendly websites

that create

engagement

Deliver the

offer – buy here,

buy now!

Fulfill the customer

experience through

disciplined Sales

Process

Parts & Body

shop

Prudent, Opportunistic Acquisition Growth

Consistent Leverage and Balance Sheet Management

Shift to Owning More Real Estate to Take Advantage of

Lower Financing Rates

Disciplined Capital Allocation and Capital Expenditures –

Invest Money Where We Make Money

Financial Strategy

Financial Performance(amounts in millions, except per share data)

2007 2006 2008 2007

Revenue $8,337 $7,985 $1,901 $1,883

Gross Profit $1,291 $1,228 $306 $298

– Margin 15.5% 15.4% 16.1% 15.8%

Operating Profit

– Amount $296 $262 $55 $61

– Margin 3.6% 3.3% 2.9% 3.2%

Net Income

– Continuing Operations $114.8 $96.8 $18.0 $22.3

– Total Operations 95.5 81.1 14.2 20.0

EPS

– Continuing Operations $2.54 $2.18 $0.44 $0.49

– Total Operations 2.13 1.85 0.35 0.44

YTD Q1

7

(1) Includes Q2 2006 pretax charge of $27.6m.

Same Store Revenue Growth

(8.2%)

11.5%

0.7%

5.9%

(2.9%)

(23.5%)

(4.0%)

New Used Fixed

Operations

F&I Sub Total Wholesale Total

(0.7%)

9.8%

3.0%

9.1%

1.9%

(14.9%)

0.9%

New Used Fixed

Operations

F&I Sub Total Wholesale Total

FY 2007

Q1 2008

SG&A Expenses as % of Gross Profit

2003 2004 2005 2006 2007 Q1 2008

All Other SG&A Rent

6.0%

71.9%

8.0%

•Continued improvements in compensation and other operating expenses

•Favorable brand mix should continue to improve this metric

6.9%7.4%

71.0% 68.9% 68.8%

77.9% 77.9%76.3%

(1) Excludes Q2 non-cash charges

(1) 66.8%

76.8%74.9%

7.1%

66.8%

8.4%

79.3%

Capitalization

54.0%

60.6%57.6%

53.7%53.7%

41.3%

43.6%

39.5%

39.4%

46.0%

2005 2006 2007 Act Q1 2008 Pro Forma

Q1 2008Equity Debt Mortgages

46.3%42.4% 46.3%Debt to Cap With Mortgages

2.9% 2.7% 5.0%