Pub. 6 2024 Issue 1

ISSUE 1, 2024 12 2023 Economic Impact Report 24 Driving Inspiration with the CNCDA Foundation Official Publication of the California New Car Dealers Association

Business Transactions • Buy-Sell Agreements • DMV, BAR, and other governmental approvals • Lender flooring and capital loan agreements • Entity formation and structure • Shareholder Agreements • Manufacturer approvals and relations • NMV non-profit association representation Estate Planning • Succession planning for businesses • Trust Agreements including lifetime benefit trusts • Gift and Estate Tax planning Tax • Property Tax planning, audits, and appeals • Federal estate and gift tax controversy audits • EDD Audits BUSINESS LAW | LITIGATION | ESTATE PLANNING | REAL ESTATE | TAX | EMPLOYMENT PRACTICES FERRUZZO & FERRUZZO, LLP | A Limited Liability Partnership, including Professional Corporations 3737 Birch Street, Suite 400, Newport Beach, California 92660 | PH: (949) 608-6900 | ferruzzo.com Business Litigation • Consumer Legal Remedies Act lawsuits • Sales and Service Agreements • Disputes before the CA New Motor Vehicle Board • Consumer claims regarding the sale of automobiles • Manufacturer audit disputes • Hearings before the AQMD, RWQC and OSHA Real Estate • Dealership site acquisition and dispositions • Lease agreements • Lender Opinion Letters Employment Practices • Wage and hour class action lawsuits • Private Attorneys General Act (PAGA) claims • Arbitration Agreements • Employer Handbooks and Employer Compliance Procedures Ferruzzo & Ferruzzo, LLP began providing legal representation to new car and truck dealers over four decades ago. Over the course of that time, one of the central goals of the firm has been to remain rooted in our client relationships. With the strength of over 25 attorneys, we provide a spectrum of legal services to support every aspect of running and owning your new car and/or truck dealership. We have practice groups in each area of the law that service the needs of you and your dealership.

Anticipate every turn In an industry that’s always evolving, your dealership can rely on our Dealer Financial Services team’s 90 years of experience to see what’s around the corner, forward-thinking insights to prepare you, and technology to keep you ahead of the curve. What would you like the power to do?® John Alexander, john.f.alexander@bofa.com James Diedrich, james.a.diedrich@bofa.com Liane Low-Bevett, liane.low-bevett@bofa.com Bob Ludwig, robert.ludwig@bofa.com business.bofa.com/dealer ©2024 Bank of America Corporation. All rights reserved. 5949042 12-23-0323 Investment products offered by Investment Banking Affiliates: Are Not FDIC Insured Are Not Bank Guaranteed May Lose Value “Bank of America” and “BofA Securities” are the marketing names used by the Global Banking and Global Markets divisions of Bank of America Corporation. Lending, derivatives, other commercial banking activities, and trading in certain financial instruments are performed globally by banking affiliates of Bank of America Corporation, including Bank of America, N.A., Member FDIC. Trading in securities and financial instruments, and strategic advisory, and other investment banking activities, are performed globally by investment banking affiliates of Bank of America Corporation (“Investment Banking Affiliates”), including, in the United States, BofA Securities, Inc., which is a registered broker-dealer and Member of SIPC, and, in other jurisdictions, by locally registered entities. BofA Securities, Inc. is a registered futures commission merchant with the CFTC and a member of the NFA. Anticipate every turn In an industry that’s always evolving, your dealership can rely on our Dealer Financial Services team’s 90 years of experience to see what’s around the corner, forward-thinking insights to prepare you, and technology to keep you ahead of the curve. What would you like the power to do?® John Alexander, john.f.alexander@bofa.com James Diedrich, james.a.diedrich@bofa.com Liane Low-Bevett, liane.low-bevett@bofa.com Bob Ludwig, robert.ludwig@bofa.com business.bofa.com/dealer ©2024 Bank of America Corporation. All rights reserved. 5949042 12-23-0323 Investment products offered by Investment Banking Affiliates: Are Not FDIC Insured Are Not Bank Guaranteed May Lose Value “Bank of America” and “BofA Securities” are the marketing names used by the Global Banking and Global Markets divisions of Bank of America Corporation. Lending, derivatives, other commercial banking activities, and trading in certain financial instruments are performed globally by banking affiliates of Bank of America Corporation, including Bank of America, N.A., Member FDIC. Trading in securities and financial instruments, and strategic advisory, and other investment banking activities, are performed globally by investment banking affiliates of Bank of America Corporation (“Investment Banking Affiliates”), including, in the United States, BofA Securities, Inc., which is a registered broker-dealer and Member of SIPC, and, in other jurisdictions, by locally registered entities. BofA Securities, Inc. is a registered futures commission merchant with the CFTC and a member of the NFA.

illion illion 16% ,455 illion ,807 illion illion illion 5,915 ,350 ,075 ,340 0,891 cludes ysis Count THE CONTRIBUTIONS OF CALIFORNIA’S FRANCHISED NEW CAR DEALERS Economic Impact Report 2023 6 Cheers to Another 100 Years of Success 8 PRESIDENT’S MESSAGE Committed to Supporting Our Members By Brian Maas, President, California New Car Dealers Association 10 2024 Officers and Directors 12 New Employment Law Manual Added to Resources Available on CNCDA Comply By Anthony Bento, CNCDA Chief Legal Officer 13 Save the Date! CNCDA 2024 Annual Convention 14 2023 Economic Impact Report ©2024 California New Car Dealers Association (CNCDA) | The newsLINK Group, LLC. All rights reserved. The California New Car Dealer Quarterly is published four times each year by The newsLINK Group, LLC for the CNCDA and is the official publication for this association. The information contained in this publication is intended to provide general information for review, consideration and dealer education. The contents do not constitute legal advice and should not be relied on as such. If you need legal advice or assistance, it is strongly recommended that you contact an attorney as to your specific circumstances. The statements and opinions expressed in this publication are those of the individual authors and do not necessarily represent the views of the CNCDA, its board of directors, or the publisher. Likewise, the appearance of advertisements within this publication does not constitute an endorsement or recommendation of any product or service advertised. The California New Car Dealer Quarterly is a collective work, and as such, some articles are submitted by authors who are independent of the CNCDA. While the California New Car Dealer Quarterly encourages a first-print policy, in cases where this is not possible, every effort has been made to comply with any known reprint guidelines or restrictions. Content may not be reproduced or reprinted without prior written permission. For further information, please contact the publisher at 855.747.4003. 12 20 20 ASK ALISON Controlling Your Dealerships’ Healthcare Costs By Alison McCallum, EPIC Insurance Brokers and Consultants 22 CNCDA 2024 Sponsors 24 What the Fork(lift)? Required Daily and Other Regularly Timed Inspections at the Dealership By David Estrada, Regulatory Compliance Specialist, ComplyAuto 28 Driving Inspiration with the CNCDA Foundation 30 California Auto Outlook Fourth Quarter, 2023 ContentsISSUE 1, 2024 1517 L St. Sacramento, CA 95624 www.cncda.org (916) 441-2599 Brian Maas President Michael Walsh, MBA Chief Financial Officer Anthony Bento Chief Legal Officer Autumn Heacox Director of Communications & Marketing Cathy Mason Director of Operations Rebecca Matulich Director of Events & Partnerships Kenton Stanhope Director of Government Affairs Crissy Hodgson Senior Staff Counsel Andrea Daugherty Political Engagement Manager Lauren Johnston Membership Manager Liza Hernandez Staff Accountant Stacy Barawed Executive Assistant McKenna Bediamol Administrative Coordinator Jamie Cowden Administrative Assistant 4

The California New Car Dealers Association has protected and promoted the interests of California’s franchised new car dealers for the last 10 decades. In that time, we have made a tremendous impact on the industry as a whole and will continue to bring value and support to our members. To learn more about the nation’s largest state automobile dealer association and all the key advantages of being a member, please visit us at cncda.org. CHEERS TO ANOTHER 100 YEARS OF SUCCESS

Sweeten the deal with Home Delivery, powered by Cottrell’s home delivery units. More and more customers are expecting home delivery as part of the car-buying experience. Make sure your dealership is prepared with a specialized home delivery unit from Cottrell, Inc., the worldwide leader in car haul manufacturing — the same company that builds the equipment that’s been delivering cars to your dealership for more than 40 years. These 1-Car units allow for quick loading and unloading and do not require a CDL to operate. Your sales staff will be on the road in minutes with a rolling billboard for your dealership. CONTACT: Adam Strong, Western Region Sales Manager 770.532.7251, ext. 304 astrong@cottrelltrailers.com Unit in the field. Thanks to Beaver Toyota, Cumming, GA. VISIT: CottrellTrailers.com

Dear CNCDA members, sponsors and friends, I am pleased to provide an overview of some key insights from our recently released Q4 2023 California Auto Outlook report. This quarterly report offers a comprehensive analysis of the automotive landscape, presenting data-driven observations that show the strength of our dealer members and the auto industry in California. Here are some notable highlights from our Q4 2023 Auto Outlook report: • In 2023, California experienced robust new car sales, surpassing expectations with 1.78 million vehicles sold, marking a significant milestone since the onset of the COVID-19 pandemic. • Toyota maintained its position as the leading brand in California, reflecting continued consumer trust and preference. • The state’s electric vehicle market demonstrated some fluctuations, with the BEV market share declining in Q4 2023 from the previous quarter (closing the year at 21.4%). Alternatively, the state’s hybrid vehicle market share jumped to its highest level, at 11.1% sold in 2023. California’s total new BEV market share sales increased by 5% compared to 2022. Additionally, I am pleased to share that CNCDA has produced a new 2024 California Employment Law Manual, authored by Littler Mendelson P.C. This resource has been specifically crafted to assist our dealer members in navigating the intricate landscape of employment laws. It provides practical guidance and compliance strategies to mitigate legal risks and ensure operational efficiency in your employment departments. Our association remains committed to equipping our members with the most current tools and updated resources necessary to thrive in California’s dynamic legal and regulatory climate. The insights provided in the Auto Outlook report, coupled with the guidance offered in the 2024 Employment Law Manual, serve as invaluable assets to support your dealership’s ongoing success. I encourage you to leverage these resources effectively and to engage actively with CNCDA at our upcoming events and webinars as we work towards advancing the interests of our members’ dealerships and fostering a culture of dedication to excellence. Warm regards, Brian Maas, President The California New Car Dealers Association Brian Maas, President California New Car Dealers Association PRESIDENT’S MESSAGE Committed to Supporting Our Members 8 California New Car Dealer Quarterly

A Better Core in 2024 DominionDMS.com (866) 928-3210 1515 South Federal Highway, Suite 406 Boca Raton, FL 33432, USA SCHEDULE YOUR DEMO Discover how VUE By Dominion DMS gives your dealership: Hearing the cries of the automotive community, we developed a brand new cloud core DMS, called VUE. This software is flexible, efficient and innovative. Schedule a demo and upgrade to a Better Core in 2024. EFFICIENCY INNOVATION FLEXIBILITY SAVINGS Personalization, Engagement, and Speed – the holy trinity of an amazing customer experience. Being a cloud-core DMS and using agile development methodologies means that we can keep dishing out top-notch solutions for our dealers and partners. Dominion DMS is easy to learn and simple to use. You have easy access from any web connection and you get to choose the apps you want and need to drive your success. Behold, VUE! Waving a magic wand to make DMS core fees vanish into thin air. Franchise dealerships can now save while still enjoying our best in class accounting, parts, sales, and service modules.

2024 Officers and Directors EXECUTIVE COMMITTEE DAVID SIMPSON Chairman Simpson Buick GMC Cadillac of Buena Park, Simpson Chevrolet of Garden Grove, Simpson Chevrolet of Irvine TONY TOOHEY Immediate Past Chairman Auburn Toyota RICK NIELLO Region 1 Vice President The Niello Company MARK NORMANDIN Region 2 Vice President Normandin Chrysler Dodge Jeep Ram BILL HATFIELD Region 3 Vice President Hatfield Buick GMC JARED HARDIN Region 4 Vice President Hardin Buick GMC ROBB HERNANDEZ Vice Chairman Camino Real Chevrolet SAL GONZALES Region 5 Vice President Culver City Volvo ANNE BOLAND Secretary/Treasurer Bob Smith BMW 10 California New Car Dealer Quarterly

DIRECTORS Randy Denham S.J. Denham Inc. Matthew Hall AutoNation Western Region Taz Harvey Dublin Mazda Rick Niello The Niello Company Tony Toohey Auburn Toyota Jessie Dosanjh Stevens Creek Chevrolet Ryan Fitzpatrick Coliseum Lexus of Oakland Dave Moeller City Toyota Mark Normandin Normandin Chrysler Jeep Dodge Ram Devinder Singh Bains Turlock Chrysler Dodge Jeep Ram Cheryl Bedford Sunset Auto Center Don Groppetti Nissan of Visalia Bill Hatfield Hatfield Buick GMC Ted Nicholas Three-Way Chevrolet Cadillac Ellena Sweet Fresno Acura James Graham Santa Margarita Ford Bruce Hamlin Guaranty Chevrolet Motors Inc. Jared Hardin Hardin Buick GMC John Oh Lexus of Westminster David Simpson Simpson Buick GMC Cadillac of Buena Park Anne Boland Bob Smith BMW Matt Browning Browning Automotive Group Sal Gonzales Culver City Volvo Rinaldi Halim Sierra Automotive Group Robb Hernandez Camino Real Chevrolet Region 1 Region 2 Region 3 Region 4 Region 5 11 California New Car Dealer Quarterly

New Employment Law Manual Added to Resources Available on CNCDA Comply By Anthony Bento, CNCDA Chief Legal Officer Your membership to CNCDA includes access to our electronic compliance resources on Comply, which you can access on our website (www.cncda.org). Since January 2023, over 20 resources on different topics have been added to Comply. In addition to our monthly bulletins and various dealer alerts, these include: • Updated COVID-19 Resources (February 2023) • Model Voluntary Protection Products Policy (February 2023) • F&I Compliance Manual (April 2023) • Credit Card Surcharges Compliance Memo (June 2023) • Privacy Law Handbook (June 2023) • 2023 Legislative Summary (November 2023) • Catalytic Converter Marking Guidance (December 2023) • New Employment Policies and Documents for 2024 (December 2023) • COVID-19 Compliance Update (December 2023) 12 California New Car Dealer Quarterly

In February 2024, our new Employment Law Manual was added to this list. The manual, which can be downloaded as a 125-page PDF, includes a comprehensive discussion on a myriad of employment law compliance topics impacting California dealers. These topics include: • Hiring • Recordkeeping Obligations • Wage & Hour • Laws Prohibiting Discrimination, Harassment and Retaliation • Leaves of Absence and Workplace Safety • Privacy Rights • End of Employment Before developing any compliance manual, CNCDA consults with legal experts with extensive experience in the area. Because California law is complex and can differ greatly from federal law, and dealership operations present unique challenges, CNCDA ensures that the experts that we consult have deep knowledge in advising California dealerships. Our new Employment Law Manual is no different. CNCDA worked with expert legal counsel at Littler Mendelson P.C. over the course of many months to develop the content in the manual. As we move deeper into 2024, you can expect to receive electronic copies of additional compliance resources. Development of our 2024 Franchise Law Manual is well underway and will cover important new topics related to CNCDA’s 2023 Franchise Bill (AB 473). Expect that manual and an accompanying webinar in Spring 2024. As always, if you have any questions about any topic discussed on CNCDA Comply or about an issue involving California law, do not hesitate to call our legal hotline at (916) 441-2599. The hotline is yet another benefit that you receive as part of your membership. A SAVE THE DATE www.cncda.org/events 13 California New Car Dealer Quarterly

THE CONTRIBUTIONS OF CALIFORNIA’S FRANCHISED NEW CAR DEALERS Economic Impact Report 2023

AVERAGE DEALERSHIP INDUSTRY TOTAL New vehicle department $61.96 million $90.16 billion Used vehicle department $24.60 million $35.79 billion Service department $5.86 million $8.53 billion Parts and accessories department $7.96 million $11.58 billion Finance & insurance department $3.85 million $5.60 billion Other departments $0.77 million $1.12 billion Total dealership sales $105 million $152.78 billion VEHICLE SALES Summary for Average CA Dealership UNITS SOLD $ PER UNIT TOTAL New vehicles 1,262 $49,100 $61.96 million Used vehicles* 935 $26,310 $24.60 million DEALERSHIP SALES 7.5% 5.5% 23.4% 58.9% 3.6% AVERAGE DEALERSHIP INDUSTRY TOTAL Planned spending on EV infrastructure during 2023 and 2024 $295,000 $429.23 million CA’S ELECTRIC VEHICLE MARKET 2023 EV MARKET SHARE 21.4% (17.1% in ‘22) NUMBER OF EVS SOLD IN 2023 380,891 (285,199 in ‘22) * Includes retail and wholesale transactions. Generated by CA’s New Car Dealers in 2023 % OF TECHNICIANS CERTIFIED FOR EV SERVICING 40% TOTAL SPENT FOR PRODUCTS AND SERVICES FROM OTHER CALIFORNIA BUSINESSES AVERAGE DEALERSHIP $2.32 million INDUSTRY TOTAL $3.38 billion

TAXES Generated by CA’s New Car Dealers in 2023 AVERAGE DEALERSHIP INDUSTRY TOTAL State sales tax $6.01 million $8.74 billion Federal payroll taxes $2.50 million $3.64 billion State payroll taxes $600,000 $873 million Real estate taxes $163,000 $237.17 million Other state and local taxes $105,000 $152.78 million Total taxes collected and paid by California’s new car dealers $9.27 million $13.64 billion AVERAGE DEALERSHIP INDUSTRY TOTAL Full time employees 92 133,860 Part time employees 3.4 4,947 Change in full time employment from 2022 to 2023 +1 +2,729 Annual payroll $9.98 million $14.51 billion Percentage of dealerships that provide access to health insurance for employees 96% 96% EMPLOYMENT & PAYROLL AVERAGE SALES TAX GENERATED ON THE SALE OF A NEW VEHICLE IN LOS ANGELES: $4,920 % OF REPAIR WORK: Recalls Warranty Customer pay AVERAGE DEALERSHIP INDUSTRY TOTAL Number of service technicians employed at dealerships 23 33,465 Number of additional service technicians needed 3 4,365 Number of repair orders 23,100 33.61 million SERVICE TECHNICIANS 9% 30% 61% ADVERTISING EXPENDITURES AVERAGE DEALERSHIP $877,000 INDUSTRY TOTAL $1.28 billion PERSONAL AND DEALERSHIP CONTRIBUTIONS TO CHARITABLE AND CIVIC ORGANIZATIONS AVERAGE DEALERSHIP $46,500 INDUSTRY TOTAL $67.66 million

Smart In Automotive ArentFox Schiff’s Automotive Group drives innovative strategies forward. Our cutting-edge, national practice advises automotive leaders as the industry faces a dizzying array of competitive and regulatory hurdles. Key Contacts Smart In Your World Aaron H. Jacoby Managing Partner, LA; Chair, Automotive 213.443.7568 aaron.jacoby@afslaw.com Russell P. McRory Partner, NY 212.484.3942 russell.mcrory@afslaw.com Victor P. Danhi Partner, SF 415.757.5505 victor.danhi@afslaw.com

CALIFORNIA NEW CAR DEALERS ASSOCIATION 1517 L Street l Sacramento, CA 95814 l Phone 916.441.2599 l www.cncda.org ANNUAL CONTRIBUTIONS OF CALIFORNIA NEW CAR DEALERS Total sales $152.78 billion Average sales per dealership $105 million Share of total statewide sales tax collected 16% Number of new car dealerships 1,455 DEALERS EMPLOY HARD-WORKING CALIFORNIANS Total payroll for all new car dealerships $14.51 billion Total number of new car dealership employees 138,807 DEALERS PLAY AN IMPORTANT ROLE IN CALIFORNIA AS BUSINESS AND CIVIC LEADERS Total taxes collected or paid $13.64 billion Total spent for products and services from other California businesses $3.38 billion Donations to charitable and civic organizations $67.66 million 2023 CALIFORNIA VEHICLE SALES New vehicles sold* 1,775,915 Used retail vehicles sold** 829,350 Used wholesale vehicles sold 531,075 Total new and used vehicles sold 3,136,340 Electric vehicles sold 380,891 * New vehicles sold based on California registrations. ** Includes retail transactions only This report provides an in-depth analysis of the economic impact of California new car and truck dealers on the State’s economy. It includes estimates of employment, personal income, and tax collections generated by California new car dealers. Also included is a review of dealership financial statistics and operations. This report was prepared by Auto Outlook, Inc., an independent automotive market analysis firm, and was sponsored by the California New Car Dealers Association. The report was compiled based on data collected from AutoCount from Experian, Auto Outlook, California’s new car dealerships, as well as government sources. CALIFORNIA’S NEW CAR DEALERS ARE DRIVING THE CALIFORNIA ECONOMY

YOUR SUCCESS IS OUR SUCCESS

ASK ALISON Controlling Your Dealerships’ Healthcare Costs By Alison McCallum, EPIC Insurance Brokers and Consultants With record-breaking general inflation rates, the specter of significant medical insurance cost increases has been looming over employers and individuals alike. Many dealerships are grappling with medical insurance cost increases that are dramatically higher than what they experienced during the years of COVID-driven cost suppression. It is crucial for dealerships that are facing unaffordable increases in their medical insurance costs to explore various strategies to mitigate their financial burden. One common approach used by insurance providers is to project high expected trends in healthcare costs even though this inflation may not necessarily materialize. With large trend rates impacting renewal costs, dealerships should closely examine alternative funding options — especially those where maximum costs are capped. Under these programs, the dealership is not responsible for paying excessive amounts if these projected costs do not materialize, yet there is downside protection if they do. Captive Insurance programs can also mitigate individual client risk. Emerging providers in many markets can also help lower healthcare access costs. These providers offer innovative solutions to avoid shifting towards even higher deductibles and increased cost-sharing. By partnering with such providers, dealerships can provide their employees with more affordable healthcare options without compromising the quality of care. Managing eligibility and contribution strategy is another critical opportunity in controlling healthcare costs. Implementing eligibility and contribution management strategies won’t lower per-employee costs but can reduce overall employer spending. By carefully evaluating eligibility requirements and contribution structures, dealerships can optimize their healthcare plans and ensure that they are not overpaying for coverage. It is essential to work with an innovative broker who possesses the knowledge, access and market clout to educate your dealership about these available options. Early engagement with such a broker can help minimize disruption and ensure that dealerships are steered toward the optimal solution that meets their specific needs. The broker should offer comprehensive solutions, market influence and expansive resources to guide dealerships toward the most suitable healthcare options so your dealership can make informed choices to balance budgetary and employee satisfaction. If you would like more information or a review of your current benefits/costs, EPIC is happy to provide details to CNCDA members at no cost. A EPIC ranks among the top 15 retail insurance brokers in the United States and is the largest insurer of auto dealers in the state. Alison McCallum has been in the employee benefits industry for over 20 years and personally works with more than 80 California Dealerships. She is a Principal with EPIC Insurance Brokers and Consultants. EPIC offers unique dealership expertise and services available to CNCDA dealer members at no cost. If you have questions or would like further information, please feel free to contact her at (949) 417-9136 or alison.mccallum@epicbrokers.com. 20 California New Car Dealer Quarterly

It is crucial for dealerships that are facing unaffordable increases in their medical insurance costs to explore various strategies to mitigate their financial burden. 21 California New Car Dealer Quarterly

22 California New Car Dealer Quarterly

LOS ANGELES | SAN DIEGO | SACRAMENTO | SAN FRANCISCO | scalirasmussen.com Avoiding litigation when it’s possible. Protecting you when it isn’t. •Labor & Employment •Regulatory & Licensing •Complex Litigation •General Counsel Services •Mergers & Acquisitions AV® and AV Preeminent® are Certification Marks used under license in accordance with the Martindale-Hubbell® certification procedures, standards and policies.

What the Fork(lift)? REQUIRED DAILY AND OTHER REGULARLY TIMED INSPECTIONS AT THE DEALERSHIP By David Estrada, Regulatory Compliance Specialist, ComplyAuto 24 California New Car Dealer Quarterly

Forklifts, eyewash stations, aerial lifts and fire extinguishers, oh my! This is just a short list of the equipment at the dealership that must be inspected on a routine basis. In a highly regulated state like California, it should come as no surprise that state law requires dealers to routinely inspect their equipment at regular intervals. But aside from the regulatory requirements, routinely inspecting equipment ensures that all equipment meets safety standards, functions efficiently and remains in optimal condition, which is essential for maintaining both employee and customer satisfaction. By identifying potential issues early on, equipment inspections help prevent accidents from occurring, reduce any downtime due to those accidents and avoid repairs that eventually become costly. Keeping track of the various intervals of multiple inspections can be confusing. Here is a list of the most common dealer equipment that requires a routine inspection: EQUIPMENT INSPECTION FREQUENCY LEGAL CITATION TIPS Eyewash Stations Monthly 8 CCR § 5162 Inspection requirements differ between plumbed and non-plumbed eyewash stations. Aboveground Tanks Daily 22 CCR § 66265.195 Daily inspection only required on operating days (weekends and holidays excluded). Forklifts Pre-operation (daily) 8 CCR § 3664 Scissor Lifts Pre-operation (daily) 8 CCR § 3646 Aerial Lifts Pre-operation (daily) 8 CCR § 3648 Applies to all boom lifts, bucket trucks and cherry pickers. Portable Ladders Frequent (as necessary) and periodic 8 CCR § 3276 Automotive Lifts Annual 8 CCR § 3542 ANSI/ALI ALOIM. (2020). Standard for Automotive Lifts — Safety Requirements for Operation, Inspection and Maintenance. Inspection must be performed by a “certified” inspection company under ANSI/ALI standards. Portable Fire Extinguishers Monthly 8 CCR § 6151 Includes those stationed on forklifts. Personal Fall Arrest Systems Semi-annual 8 CCR § 1670 Compressed Gas Cylinders No explicit inspection documentation requirement, but detailed storage and implied inspection requirements exist. 8 CCR § 4650 Common items that implicate compressed gas cylinder inspections include oxy-fuel cutting equipment and helium tanks for balloons. Overhead and Gantry Cranes Annual 8 CCR § 5031 This equipment is commonly found in heavy line shops. Scaffolding Pre-operation (daily) 8 CCR § 1637 Commonly found in larger parts departments. 25 California New Car Dealer Quarterly

Practical Tips As we stated above, performing these routine inspections should be a cornerstone of every dealer’s safety program. In fact, most entries on OSHA’s top 10 citations list for 2023 involve equipment requiring regular inspections. Not only should the equipment be inspected on a regular basis, but dealers should adhere to lockout/tagout procedures whenever equipment is in need of service or repairs. Keep in mind that Cal/OSHA may request to review inspection records if they ever decide to visit your dealership. All dealers should document equipment inspections on an equipment inspection checklist. A checklist documents that employees are inspecting all required equipment components. Paper inspection checklists are a thing of the past; switch to electronic checklists accessible through QR codes posted directly on the equipment. Electronic checklists are durable against time and weather, offering employees easy access through a quick QR scan with an electronic device. This method also allows for electronic notifications for any missed inspections, enhancing efficiency and compliance. Because there are various pieces of equipment scattered throughout different departments of the dealership, we also recommend that department managers appoint staff to perform the necessary equipment inspections within their departments. Thereafter, the same managers should verify that their staff are completing equipment inspections in a timely manner by occasionally auditing inspection checklists. Think of it as an inspection for the inspection! This type of topdown accountability will help establish a culture of compliance in service and parts departments that will extend beyond equipment inspections and positively benefit the dealership’s overall safety efforts. Questions? For more information on how ComplyAuto Safety can assist your dealership in automating your required routine inspections, please contact us at info@complyauto.com. A All dealers should document equipment inspections on an equipment inspection checklist. 26 California New Car Dealer Quarterly

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With over 4,300 unfilled positions at California’s new car dealers last year, it is a critical time for the California New Car Dealers Association Foundation to partner with educators and students to ensure the next generation of auto technicians receive top-tier training and resources to thrive in this lucrative field. At the CNCDA Foundation, we join together with nearly 1,300 new car and truck dealerships across the state to strengthen our footprint by inspiring talented young people to join our industry. The mission of the CNCDA Foundation is to create career pathways for highly skilled automotive service professionals throughout California. We achieve our mission as the statewide champion in the development of automotive tech training through our dynamic and accessible programming. Did you know that as a CNCDA member, your organization has access to top talent and apprentice development and placement through the CNCDA Foundation Apprenticeship, powered by Automotive Apprentice Group? This unique “earn and learn” service model launches in April in Southern California and is just one of the many benefits afforded to you through your membership with CNCDA. Identifying and building high-performing teams cannot be done alone, and we support your journey every step of the way. Through our mission-focused work, the CNCDA Foundation has a shared commitment to inspire the next generation of students by connecting educators and young people to dealers and automotive manufacturer training through our Automotive Technology Career Days. These outreach events serve as the gateway to ushering in the next generation of automotive technicians, and we need your commitment right now. Please join us and share this exciting 2024 lineup with your network and regional partners. It is critical that we remove access barriers and continue to provide a rigorous mentorship program to our brightest student technicians in the community. College students who are 18+ and enrolled in auto tech classes are eligible to earn Dealer-sponsored $1,000 Scholarships to assist with books, tools, tuition and more. With many community college students eligible for the California Promise Grant, which covers tuition and books, having an extra $1,000 goes a long way to paying for industry-recognized certifications and building your tool set. But connecting dealers to great student techs deserving of their dealership scholarship is just the beginning of what we offer our members at CNCDA. Driving Inspiration with the CNCDA Foundation 28 California New Car Dealer Quarterly

Our goal is to support dealers and educators who create sustainable, permanent change in each of our students’ lives. It all starts with just one inspired student. We invite you to celebrate the good work you are doing every day with our entire membership. Do you have a success story at your dealership? Did a scholarship winner grow into a valued team member? Was their mentor involved in their personal and professional achievements as an auto tech? Look for these powerful student scholarship winner stories in future newsletters. Contact Kim McPhaul at kmcphaul@cncda.org or (916) 441-2599 ext. 117. A To learn more about the CNCDA Foundation, scan the QR code. https://www.cncdafoundation.org/ To learn more about the California College Promise Grant, scan the QR code. https://www.cccapply.org/en/money/ california-college-promise-grant EPICBROKERS.COM ©2024 Edgewood Partners Insurance Center. All rights reserved. | CA License: 0B29370 EPIC Insurance Brokers & Consultants is proud of its partnership with more than 300 California dealerships and is the CNCDA’s only licensed broker for health insurance and employee benefits. As the dealers’ consultant, experience what EPIC can do for you, including: • A team producing significant results with decades of experience understanding the specific needs of dealerships • Fully insured and unique alternative funding options to best fit your needs and generate the best possible costs • Full compliance services and HR support for your team LEARN MORE ABOUT OUR SERVICES BY CONTACTING: Alison McCallum (949) 422-6431 alison.mccallum@epicbrokers.com 29 California New Car Dealer Quarterly

California Auto Outlook Comprehensive Information on the California Vehicle Market Volume 20, Number 1 Released January 2024 Covering Fourth Quarter 2023 TM Publication Sponsored By: New Vehicle Market Predicted to Increase in 2024 TWO YEAR PERSPECTIVE Historical Data sourced from Experian Automotive. *2024 forecast by Auto Outlook. Historical figures have been updated since the previous release. California Annual New Light Vehicle Registrations - 2009 thru 2024 ANNUAL TRENDS QUARTERLY RESULTS California Quarterly New Light Vehicle Registrations Percent Change vs. Year Earlier Data sourced from Experian Automotive. 0.96 1.08 1.19 1.49 1.66 1.78 1.99 2.03 2.03 1.99 1.89 1.60 1.77 1.59 1.78 1.83 0.0 0.5 1.0 1.5 2.0 2.5 '09 '10 '11 '12 '13 '14 '15 '16 '17 '18 '19 '20 '21 '22 '23 '24* New vehicle regs. (millions) Years California U.S. 2022 2023 Change 2022 2023 Change Registrations TOTAL 1,586,413 1,775,915 11.9% 13,366,498 15,049,478 12.6% Car 503,542 542,471 7.7% 2,793,044 3,079,645 10.3% Light Truck 1,082,871 1,233,444 13.9% 10,573,454 11,969,833 13.2% Domestic 568,568 644,197 13.3% 5,846,843 6,500,785 11.2% European 239,912 263,545 9.9% 1,405,995 1,528,457 8.7% Japanese 628,976 701,395 11.5% 4,698,986 5,404,804 15.0% Korean 148,957 166,778 12.0% 1,414,674 1,615,432 14.2% Market Share Car 31.7 30.5 -1.2 20.9 20.5 -0.4 Light Truck 68.3 69.5 1.2 79.1 79.5 0.4 Domestic 35.8 36.3 0.5 43.7 43.2 -0.5 European 15.1 14.8 -0.3 10.5 10.2 -0.3 Japanese 39.7 39.5 -0.2 35.2 35.9 0.7 Korean 9.4 9.4 0.0 10.6 10.7 0.1 Data sourced from Experian Automotive. -14.1% 11.4% 6.1% 16.0% 20.3% 6.0% 3Q '22 vs. 3Q '21 4Q '22 vs. 4Q '21 1Q '23 vs. 1Q '22 2Q '23 vs. 2Q '22 3Q '23 vs. 3Q '22 4Q '23 vs. 4Q '22 % change vs. year earlier California and U.S New Light Vehicle Registrations 2022 and 2023 New vehicle registrations in California are predicted to approach 1.83 million units this year and increase 3.2 percent from 2023. Pent-up demand is still significant, California labor market is strong, and consensus is for economic growth to remain positive. Vehicle affordability is still an issue, but should improve as the year progresses. As always there are some risks (geopolitical tensions and uncertainties surrounding the presidential election, for example), but if interest rates ease, the market could post a larger increase than expected this year. New light vehicle registrations in California increased 11.9 percent from 2022 to 2023, just below the 12.6 percent improvement in the Nation. Light truck market share in the state reached 69.5 percent. However, the surge in light truck market share during the past several years can send a misleading signal regarding the apparent shift to bigger vehicles. The proliferation of small crossover SUVs, which are typically classified as light trucks, are in many ways more similar to traditional passenger cars (see page 7). New vehicle registrations in the state increased for the fifth consecutive quarter in 4Q ‘23. The total exceeded 426,000 units, 24,000 units higher than in 4Q ‘22. The pace of improvement is expected to ease in 2024, with percentage increases expected to remain in the single digits. 30 California New Car Dealer Quarterly

Page 2 California Auto Outlook Gasoline, 61.6% Electric (BEV), 21.4% Hybrid, 11.1% Plug In Hybrid (PHEV), 3.4% Diesel, 2.3% Fuel Cell, 0.2% Annual Registrations and Market Share Quarterly Registrations and Market Share 2019 2020 2021 2022 2023 4Q '22 1Q '23 2Q '23 3Q '23 4Q '23 Electric registrations 99049 92393 161863 260687 380891 Electric registrations 76501 87816 102991 100151 89933 Electric share 5.2% 5.8% 9.1% 16.4% 21.4% Electric share 19.0% 20.5% 21.8% 22.3% 21.1% Hybrid regs. (excl. plug ins) 92279 97945 160225 144794 197368 Hybrid regs. (excl. plug ins) 34841 36814 51163 52700 56691 Hybrid share (excl. plug ins) 4.9% 6.1% 9.0% 9.1% 11.1% Hybrid share (excl. plug ins) 8.7% 8.6% 10.8% 11.7% 13.3% Plug in hybrid regs. 48360 29151 54414 42578 59725 Plug in hybrid regs. 11107 14359 15136 15068 15162 Plug in hybrid share 2.6% 1.8% 3.1% 2.7% 3.4% Plug in hybrid share 2.8% 3.3% 3.2% 3.4% 3.6% 0.0% 5.0% 10.0% 15.0% 20.0% 25.0% 2016 2017 2018 2019 2020 2021 2022 2023 Market Share Electric Hybrid (excl. plug ins) Plug in Hybrid 0.0% 5.0% 10.0% 15.0% 20.0% 25.0% 1Q '22 2Q '22 3Q '22 4Q '22 1Q '23 2Q '23 3Q '23 4Q '23 Market Share Electric Hybrid (excl. plug ins) Plug in Hybrid Vehicle Powertrain Dashboard Annual Quarterly Data sourced from Experian Automotive. Hybrid vehicle registrations and market share excludes mild hybrids. BEV market share increased to 21.4 percent last year. BEV market share declined in 4Q ‘23. Market Share for all Powertrain Types - 2023 California and U.S. Markets California BEV market share 2023: 21.4% ❏ Gasoline powered vehicles accounted for 61.6 percent of state new vehicle registrations in 2023. ❏ ICE market share (including gasoline and diesel vehicles) was 63.9 percent last year, down from 71.6 percent in 2022 and 88.4 percent in 2018. ❏ Combined share for BEVs, PHEVs, hybrids, and fuel cell vehicles was 35.9 percent in 2023, up from just 11.6 percent in 2018. Hybrid and Electric Vehicle Market Share U.S. BEV market share 2023: 7.5% California share of U.S. BEV registrations 2023: 33.8% Data sourced from Experian Automotive. Hybrid vehicle registrations and market share excludes mild hybrids. Data sourced from Experian Automotive. 31 California New Car Dealer Quarterly

Page 3 California Auto Outlook 0 50000 100000 150000 200000 250000 300000 350000 400000 2022 2023 2022 2023 2022 2023 Hybrid BEV PHEV New vehicle registrations Franchised Direct 4,457 1,123 1,674 1,687 2,869 3,845 4,206 4,319 7,279 10,889 17,377 Others Audi Hyundai Mazda Lexus Kia Volvo Chrysler BMW Toyota Jeep (29.1%) (18.2%) (12.2%) (7.2%) (7.0%) (6.4%) (4.8%) (2.8%) (1.9%) (2.8%) (7.5%) Vehicle Powertrain Dashboard Make and Model Registrations for BEVs and PHEVs in California BEVs are full battery electric vehicles. PHEVs are plug in hybrids. Data sourced from Experian Automotive. Top Ten Selling PHEV Makes - 2023 Registrations and market share Top 15 Selling BEV and PHEV Models - 2023 Alternative Powertrain Sales by Type of Selling Dealership - 2022 and 2023 ❏ The graph on the left shows new vehicle registrations for Hybrids, BEVs, and PHEVs broken down by type of selling dealership. Franchised dealerships accounted for more than 62 percent of combined sales for all three alternative powertrain types. ❏ Franchised dealership share of the BEV only market increased to 35.8 percent last year. ❏ Sales of BEVs at franchised dealerships increased 94 percent from 2022 to 2023, compared to the 29 percent increase for direct sellers. Data sourced from Experian Automotive. California New Battery Electric Vehicle Registrations by Make 2022 and 2023 Registrations Market Share (%) 2022 2023 % Change 2022 2023 Change TOTAL 260,687 380,891 46.1 Audi 5,120 8,270 61.5 2.0 2.2 0.2 BMW 4,241 14,585 243.9 1.6 3.8 2.2 Cadillac 25 1,339 5256.0 0.0 0.4 0.4 Chevrolet 10,593 19,149 80.8 4.1 5.0 0.9 Ford 12,152 16,259 33.8 4.7 4.3 -0.4 Genesis 879 1,552 76.6 0.3 0.4 0.1 GMC 125 230 84.0 0.0 0.1 0.1 Hyundai 9,608 16,858 75.5 3.7 4.4 0.7 Jaguar 74 174 135.1 0.0 0.0 0.0 Kia 7,056 8,042 14.0 2.7 2.1 -0.6 Lexus 0 1,870 0.0 0.5 0.5 Mazda 358 102 -71.5 0.1 0.0 -0.1 Mercedes 3,679 15,878 331.6 1.4 4.2 2.8 MINI 1,130 871 -22.9 0.4 0.2 -0.2 Nissan 3,454 4,651 34.7 1.3 1.2 -0.1 Other 1,106 3,624 227.7 0.4 1.0 0.6 Polestar 2,956 3,124 5.7 1.1 0.8 -0.3 Porsche 2,154 2,375 10.3 0.8 0.6 -0.2 Rivian 4,242 10,297 142.7 1.6 2.7 1.1 Subaru 2 2,019 0.0 0.5 0.5 Tesla 185,090 230,588 24.6 71.0 60.5 -10.5 Toyota 348 3,753 978.4 0.1 1.0 0.9 Volkswagen 4,791 12,280 156.3 1.8 3.2 1.4 Volvo 1,504 3,001 99.5 0.6 0.8 0.2 Rank Model Type Regs. 1 Tesla Model Y BEV 132,636 2 Tesla Model 3 BEV 82,786 3 Chevrolet Bolt BEV 19,041 4 Jeep Wrangler PHEV 13,351 5 Volkswagen ID.4 BEV 12,280 6 Ford Mustang Mach-E BEV 11,311 7 Tesla Model X BEV 10,448 8 Hyundai Ioniq 5 BEV 9,632 9 BMW i4 BEV 8,695 10 Toyota RAV4 PHEV 7,181 11 Rivian R1S BEV 6,665 12 Tesla Model S BEV 4,718 13 BMW iX BEV 4,603 14 Chrysler Pacifica PHEV 4,319 15 Kia EV6 BEV 4,148 32 California New Car Dealer Quarterly

DID YOU KNOW? Enjoy your association news anytime, anywhere. Scan the QR code to visit our online publication to stay up to date on the latest association news, share articles and read past issues. california-new-car-dealer.thenewslinkgroup.org Is your business in the dark? ADVERTISE IN THIS MAGAZINE AND SHINE A LIGHT ON YOUR COMPANY. QR Code: website /ad-space CONTACT US TO LEARN MORE. 801.676.9722 • 855.747.4003 sales@thenewslinkgroup.com 33 California New Car Dealer Quarterly

Covering Fourth Quarter 2023 Page 4 The table below shows the top five selling models in 2023 in 18 segments. In addition to unit registrations, it also shows each model’s market share in its respective segment. MODEL RANKINGS Tesla Model Y Retains Top Spot in California New Vehicle Market BEST SELLERS IN PRIMARY SEGMENTS Small Cars: Honda Civic Full Size Pickup: Ford F-Series Mid-Size and Large Cars: Toyota Camry Compact SUV: Toyota RAV4 Near Luxury Cars: Tesla Model 3 2 Row Mid-Size SUV: Subaru Outback Comp./Mid Size Pickup: Toyota Tacoma Luxury Mid-Size SUV: Lexus RX Data sourced from Experian Automotive. Figures for Prius include Prius Prime. Model Regs. Share Model Regs. Share Model Regs. Share Model Regs. Share Honda Civic 42564 22.7 Toyota Camry 51330 38.0 Ford Mustang 6149 33.2 Tesla Model 3 82786 52.8 Toyota Corolla 38198 20.4 Honda Accord 40878 30.2 Dodge Challenger 3559 19.2 BMW i4 8695 5.5 Kia Forte 21555 11.5 Nissan Altima 9726 7.2 Chevrolet Camaro 2967 16.0 Lexus ES 8459 5.4 Chevrolet Bolt 19041 10.2 Chevrolet Malibu 7864 5.8 Toyota 86 2387 12.9 Mercedes C-Class 7749 4.9 Hyundai Elantra 14125 7.5 Dodge Charger 6086 4.5 Mazda MX5 1689 9.1 BMW 3-Series 7175 4.6 Model Regs. Share Model Regs. Share Model Regs. Share Model Regs. Share Tesla Model S 4718 10.6 Toyota Tacoma 35513 48.4 Ford F-Series 40507 28.9 Toyota Sienna 9123 36.3 BMW 5-Series 4614 10.4 Ford Maverick 10721 14.6 Chevrolet Silverado 36821 26.3 Honda Odyssey 7322 29.2 Mercedes S-Class 3442 7.7 Chevrolet Colorado 5869 8.0 Ram Pickup 22501 16.1 Chrysler Pacifica 5565 22.2 Mercedes EQS Sedan 3095 7.0 Nissan Frontier 5537 7.5 GMC Sierra 20234 14.4 Kia Carnival 2684 10.7 Chevrolet Corvette 2939 6.6 Honda Ridgeline 3938 5.4 Toyota Tundra 11978 8.5 Chrysler Voyager 412 1.6 Model Regs. Share Model Regs. Share Model Regs. Share Model Regs. Share Ford Transit Connect 10076 36.1 Honda HR-V 20356 17.4 Toyota RAV4 58496 21.7 Subaru Outback 15259 20.4 Mercedes Sprinter 7034 25.2 Subaru Crosstrek 17805 15.2 Honda CR-V 42044 15.6 Ford Mustang Mach-E 11311 15.1 Ram Promaster 5905 21.1 Kia Niro 10211 8.7 Jeep Wrangler 19090 7.1 Toyota 4Runner 10740 14.3 Chevrolet Express 1554 5.6 Toyota Corolla Cross 9524 8.1 Nissan Rogue 16741 6.2 Hyundai Santa Fe 8215 11.0 Ford E-Series 1303 4.7 Hyundai Kona 8512 7.3 Hyundai Tucson 15092 5.6 Jeep Grand Cherokee 8163 10.9 Model Regs. Share Model Regs. Share Model Regs. Share Model Regs. Share Toyota Highlander 19148 17.3 Ford Bronco 10198 29.1 Mercedes EQB 4023 16.9 Tesla Model Y 132636 64.8 Ford Explorer 13893 12.5 Chevrolet Tahoe 7093 20.3 Audi Q3 3490 14.7 Lexus NX 15309 7.5 Honda Pilot 12361 11.2 Chevrolet Suburban 3753 10.7 Lexus UX 3224 13.6 Audi Q5 11580 5.7 Kia Telluride 8999 8.1 Ford Expedition 3679 10.5 Volvo XC40 3090 13.0 BMW X3 8127 4.0 Kia Sorento 8671 7.8 GMC Yukon 3054 8.7 Audi Q4 E-Tron 2933 12.3 Porsche Macan 6215 3.0 Model Regs. Share Model Regs. Share Model Regs. Share Model Regs. Share Lexus RX 17149 17.3 Rivian R1S 6665 21.0 Tesla Model 3 82786 15.3 Tesla Model Y 132636 10.8 Tesla Model X 10449 10.5 Cadillac Escalade 4309 13.6 Toyota Camry 51330 9.5 Toyota RAV4 58496 4.7 BMW X5 9848 9.9 BMW X7 3617 11.4 Honda Civic 42564 7.8 Honda CR-V 42044 3.4 Mercedes GLE-Class 9349 9.4 Mercedes EQS SUV 3547 11.2 Honda Accord 40878 7.5 Ford F-Series 40507 3.3 Acura MDX 5554 5.6 Land Rover Range Rover 3285 10.4 Toyota Corolla 38198 7.0 Chevrolet Silverado 36821 3.0 Luxury Mid Size SUV Luxury Large SUV Top Selling Passenger Cars Top Selling Light Trucks Large Van Subcompact SUV Compact SUV 2 Row Mid Size SUV 3 Row Mid Size SUV Large SUV Luxury Subcompact SUV Luxury Compact SUV Luxury and High End Sports Cars Compact/Mid Size Pickup Full Size Pickup Mini Van Top Selling Models in Each Segment - New Retail Light Vehicle Registrations (2023) Small Cars Mid Size and Large Cars Sports/Pony Cars Near Luxury Cars 34 California New Car Dealer Quarterly

Page 5 California Auto Outlook 2.3% 1.5% 4.1% 2.0% 2.3% 4.1% 5.5% 2.1% 5.1% 5.2% 11.2% 11.8% 7.5% 4.2% 12.6% 2.1% 2.2% 2.3% 3.2% 3.6% 3.6% 3.8% 3.9% 4.2% 4.7% 6.7% 7.7% 9.7% 13.0% 15.7% 0.0% 6.0% 12.0% 18.0% Mazda Audi Jeep Lexus BMW Subaru Nissan Mercedes Hyundai Kia Chevrolet Ford Honda Tesla Toyota Market Share State U.S. BRAND SUMMARY Registrations Increased for 26 of the Top 30 Selling Brands in 2023; Toyota was Best-Seller Registrations increased by more than 22 percent for Rivian, Buick, Infiniti, Honda, Audi, Acura, Tesla, and Volvo. California and U.S. Market Share - 2023 (Top 15 selling brands in CA) Percent Change in Brand Registrations 2023 vs. 2022 (Top 30 selling brands in CA) Data sourced from Experian Automotive. Toyota, Tesla, Honda, Ford, and Chevrolet were market share leaders in California last year. -27.3% -12.4% -6.7% -1.2% 0.8% 2.0% 3.3% 4.8% 6.2% 6.8% 7.3% 10.7% 10.8% 11.0% 11.7% 12.2% 13.2% 14.2% 16.8% 17.3% 18.2% 18.6% 22.5% 24.6% 27.5% 31.5% 33.4% 34.7% 57.3% 142.7% Dodge Ram Jeep Mercedes Chrysler Toyota Subaru MINI Kia Nissan Ford Volkswagen GMC BMW Mazda Land Rover Genesis Cadillac Porsche Chevrolet Hyundai Lexus Volvo Tesla Acura Audi Honda Infiniti Buick Rivian 35 California New Car Dealer Quarterly

Covering Fourth Quarter 2023 Page 6 BRAND REGISTRATIONS Detailed Results for All Brands in California Market The table above shows new light vehicle (car and light truck) registrations in California. Figures are shown for the Fourth Quarters of 2022 and 2023, and annual totals. Vehicle registrations are recorded based on when the vehicle title information is processed by the state, which typically occurs after the vehicle is sold. The top ten ranked brands in each category are shaded yellow. Historical figures have been updated since the previous release. California Auto Outlook Published by: Auto Outlook, Inc., PO Box 390 Exton, PA 19341 Phone 610-640-1233 Email: jfoltz@autooutlook.com Any material quoted must be attributed to California Auto Outlook, published by Auto Outlook, Inc. on behalf of the California New Car Dealers Association. Data source must also be shown as “Data sourced from Experian Automotive.” Please contact CNCDA with any questions or comments regarding the publication. Copyright: Auto Outlook, Inc. January 2024. At Auto Outlook, we strive to provide sound and accurate analyses and forecasts based upon the data available to us. However, our forecasts are derived from third-party data and contain a number of assumptions made by Auto Outlook and its management, including, without limitation, the accuracy of the data compiled. As a result, Auto Outlook can make no representation or warranty with respect to the accuracy or completeness of the data we provide or the forecasts or projections that we make based upon such data. Auto Outlook expressly disclaims any such warranties, and undue reliance should not be placed on any such data, forecasts, projections, or predictions. Auto Outlook undertakes no obligation to update or revise any predictions or forecasts, whether as a result of any new data, the occurrence of future events, or otherwise. California New Car and Light Truck Registrations Fourth Quarter Annual Totals Registrations Market Share (%) Registrations Market Share (%) 4Q '22 4Q '23 % Change 4Q '22 4Q '23 Change 2022 2023 % Change 2022 2023 Change TOTAL 402,111 426,150 6.0 1,586,413 1,775,915 11.9 Acura 2,925 3,477 18.9 0.7 0.8 0.1 11,958 15,252 27.5 0.8 0.9 0.1 Alfa Romeo 614 302 -50.8 0.2 0.1 -0.1 2,042 1,260 -38.3 0.1 0.1 0.0 Audi 7,512 9,632 28.2 1.9 2.3 0.4 29,707 39,073 31.5 1.9 2.2 0.3 BMW 15,092 16,172 7.2 3.8 3.8 0.0 58,072 64,447 11.0 3.7 3.6 -0.1 Buick 760 1,547 103.6 0.2 0.4 0.2 3,104 4,883 57.3 0.2 0.3 0.1 Cadillac 3,011 2,656 -11.8 0.7 0.6 -0.1 10,213 11,661 14.2 0.6 0.7 0.1 Chevrolet 28,113 26,392 -6.1 7.0 6.2 -0.8 101,427 118,952 17.3 6.4 6.7 0.3 Chrysler 1,372 1,435 4.6 0.3 0.3 0.0 6,711 6,765 0.8 0.4 0.4 0.0 Dodge 4,233 2,773 -34.5 1.1 0.7 -0.4 17,392 12,646 -27.3 1.1 0.7 -0.4 Ford 30,976 32,311 4.3 7.7 7.6 -0.1 127,976 137,350 7.3 8.1 7.7 -0.4 Genesis 2,082 1,976 -5.1 0.5 0.5 0.0 7,174 8,118 13.2 0.5 0.5 0.0 GMC 8,189 8,280 1.1 2.0 1.9 -0.1 31,034 34,392 10.8 2.0 1.9 -0.1 Honda 33,578 43,642 30.0 8.4 10.2 1.8 129,580 172,834 33.4 8.2 9.7 1.5 Hyundai 16,296 17,552 7.7 4.1 4.1 0.0 63,183 74,713 18.2 4.0 4.2 0.2 Infiniti 955 1,955 104.7 0.2 0.5 0.3 4,468 6,018 34.7 0.3 0.3 0.0 Jaguar 334 399 19.5 0.1 0.1 0.0 1,407 1,331 -5.4 0.1 0.1 0.0 Jeep 9,244 8,693 -6.0 2.3 2.0 -0.3 43,948 40,991 -6.7 2.8 2.3 -0.5 Kia 19,493 18,041 -7.4 4.8 4.2 -0.6 78,600 83,512 6.2 5.0 4.7 -0.3 Land Rover 2,866 2,592 -9.6 0.7 0.6 -0.1 10,075 11,306 12.2 0.6 0.6 0.0 Lexus 11,081 15,904 43.5 2.8 3.7 0.9 47,826 56,706 18.6 3.0 3.2 0.2 Lincoln 975 1,006 3.2 0.2 0.2 0.0 3,881 4,079 5.1 0.2 0.2 0.0 Maserati 216 288 33.3 0.1 0.1 0.0 1,097 1,003 -8.6 0.1 0.1 0.0 Mazda 8,651 8,747 1.1 2.2 2.1 -0.1 33,066 36,922 11.7 2.1 2.1 0.0 Mercedes 16,889 15,772 -6.6 4.2 3.7 -0.5 69,522 68,684 -1.2 4.4 3.9 -0.5 MINI 1,293 1,581 22.3 0.3 0.4 0.1 4,926 5,161 4.8 0.3 0.3 0.0 Mitsubishi 702 721 2.7 0.2 0.2 0.0 3,608 3,528 -2.2 0.2 0.2 0.0 Nissan 13,938 14,567 4.5 3.5 3.4 -0.1 62,717 66,982 6.8 4.0 3.8 -0.2 Polestar 945 327 -65.4 0.2 0.1 -0.1 3,002 3,127 4.2 0.2 0.2 0.0 Porsche 3,296 3,909 18.6 0.8 0.9 0.1 14,469 16,899 16.8 0.9 1.0 0.1 Ram 6,744 6,803 0.9 1.7 1.6 -0.1 32,431 28,406 -12.4 2.0 1.6 -0.4 Rivian 1,807 3,600 99.2 0.4 0.8 0.4 4,242 10,297 142.7 0.3 0.6 0.3 Subaru 15,277 15,397 0.8 3.8 3.6 -0.2 62,740 64,808 3.3 4.0 3.6 -0.4 Tesla 52,782 47,592 -9.8 13.1 11.2 -1.9 185,090 230,589 24.6 11.7 13.0 1.3 Toyota 68,216 75,264 10.3 17.0 17.7 0.7 273,013 278,345 2.0 17.2 15.7 -1.5 Volkswagen 7,796 9,581 22.9 1.9 2.2 0.3 31,792 35,197 10.7 2.0 2.0 0.0 Volvo 2,800 3,125 11.6 0.7 0.7 0.0 11,056 13,544 22.5 0.7 0.8 0.1 Other 1,058 2,139 102.2 0.3 0.5 0.2 3,864 6,134 58.7 0.2 0.3 0.1 Data sourced from Experian Automotive. 36 California New Car Dealer Quarterly

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