An AutoNation location in Cerritos, California
Rick Loomis | Los Angeles Times | Getty Images
Automotive retailers are cutting executive pay and laying off or furloughing thousands of workers as U.S. auto sales plummet amid the coronavirus pandemic.
AutoNation, the nation’s largest U.S. auto dealership chain, is furloughing 7,000 employees, slashing executive pay and postponing more than $50 million of capital spending as its year-over-year sales declined by about 50% last month, according to a Friday filing with the U.S. Securities and Exchange Commission.
Shares of AutoNation were down 2.7% during the final hour of trading to $24.53. The stock is down 49.7% this year.
The company, as automakers did earlier in the week, cited “shelter-in-place” or “stay-at-home” orders from federal, state, and local governments as reasons for the decline in sales: “The COVID-19 pandemic has adversely impacted, and is expected to continue to adversely impact, AutoNation’s operations,” AutoNation said…