RICHMOND, Va., May 24 /PRNewswire-FirstCall/ -- CarMax, Inc. (NYSE: KMX),
the nation's largest retailer of used cars, today announced that Thomas J.
Folliard, executive vice president-store operations of the company, has been
elected president, chief executive officer, and member of the board of
directors, succeeding Austin Ligon, who is retiring. Folliard will assume his
new responsibilities on June 21st following the company's June 20 annual
shareholders' meeting.
Folliard, 41, was a key member of the team that developed and launched
CarMax in 1993. He has served as executive vice president-store operations
since 2001, overseeing sales, service, store operations, inventory management,
and merchandising for the company's 71 retail superstores. Prior to that, he
was senior vice president-store operations in 2000-2001. He also served as
vice president-merchandising from 1996-2000 and before that as the director of
purchasing.
"Tom is a talented executive who helped create this company," said Ligon.
"He knows every facet of our business and is highly respected by our
associates and the industry. One of the most important advantages of CarMax is
the unique culture we've built, and Tom's experience as one of the developers
of this culture is an enormous advantage. I was privileged to lead the
company in its initial growth stage, and I am confident that Tom will continue
its strong growth."
Folliard said, "In my 13 years here, I have had the unparalleled
opportunity to be deeply involved in the birth of a new retailing concept that
has successfully demonstrated its appeal to millions of customers across the
country. I have worked with and learned from the finest team members one
could ask for, and I look forward to leading them and this company as we
continue to work to produce outstanding results for our customers, associates,
and shareholders."
Richard L. Sharp, CarMax chairman and former CEO of Circuit City, said,
"Austin led CarMax, first as president and later as CEO, through a difficult
time in the company's history, when many questioned the viability of the
concept. He never wavered in his commitment and has guided the company to
today's industry-leading position. Speaking for the entire board, we want to
express our gratitude for Austin's innumerable contributions to the company."
Sharp continued, "Last year, CarMax sold approximately 290,000 used
vehicles, 21,000 new vehicles, and nearly 180,000 wholesale vehicles,
generating more than $6 billion in revenue. That's an extraordinary
achievement, of which Austin and the company can be justly proud, and an
enviable legacy that we are confident Tom will build upon."
William R. Tiefel, chairman of the search committee and recently elected
lead director of the board, said, "The board search committee examined a wide
range of candidates, including current CEOs and other talented senior
corporate executives from a diverse group of industries, as well as internal
candidates. We were looking for a corporate leader who could bring the
operational leadership, talent development, emphasis on performance, and deep
knowledge of business process needed to take CarMax to its next plateau. The
board of directors voted unanimously in support of the search committee's
recommendation of Tom as the best person to achieve the company's goals of
doubling sales and earnings within the next five years."
Conference Call Information
CarMax will host a conference call for investors at 10:00 a.m. Eastern
time today, May 24, 2006. Domestic investors may access the call at
1-888-298-3261 (conference I.D.: 9750250). International investors should
dial 1-706-679-7457 (conference I.D.: 9750250). A live webcast of the call
will be available on the company's investor information home page at
http://investor.carmax.com or at http://www.streetevents.com.
A replay of the call will be available beginning at approximately 1:00
p.m. Eastern time on May 24, 2006, and will run through midnight, May 31,
2006. Domestic investors may access the recording at 1-800-642-1687
(conference I.D.: 9750250) and international investors at
1-706-645-9291 (conference I.D.: 9750250). A replay of the call also will be
available on the company's investor information home page or at
http://www.streetevents.com.
About CarMax
CarMax, a Fortune 500 company and one of the Fortune 2006 "100 Best
Companies to Work For," is the nation's largest retailer of used cars.
Headquartered in Richmond, Va., CarMax currently operates 71 used-car
superstores in 34 markets. CarMax also operates seven new-car franchises, all
of which are integrated or co-located with its used-car superstores. During
the twelve month period ended February 28, 2006, the company retailed 289,888
used cars, which is 93% of the total 310,789 vehicles the company retailed
during that period. For more information, access the CarMax website at
http://www.carmax.com.
Forward-Looking Statements
The company cautions readers that the statements contained herein
regarding the company's future sales and earnings are forward-looking
statements made pursuant to the safe harbor provisions of the Private
Securities Litigation Reform Act of 1995. Such forward-looking statements are
based upon management's current knowledge and assumptions about future
events and involve risks and uncertainties that could cause actual results to
differ materially from anticipated results. Among the factors that could
cause actual results and outcomes to differ materially from those contained in
the forward-looking statements are the following: changes in the general U.S.
or regional U.S. economy; intense competition within the company's industry;
significant changes in retail prices for used and new vehicles; a reduction in
the availability or the company's access to sources of inventory; the
significant loss of key employees from the company's store, regional, and
corporate management teams; the efficient operation of the company's
information systems; changes in the availability or cost of capital and
working capital financing; the company's ability to acquire suitable real
estate; the occurrence of adverse weather events; seasonal fluctuations in the
company's business; the geographic concentration of the company's superstores;
and the regulatory environment in which the company operates. For more
details on factors that could affect expectations, see the company's Annual
Report on Form 10-K for the fiscal year ended February 28, 2006, and its
quarterly or current reports as filed with or furnished to the Securities and
Exchange Commission.
SOURCE CarMax, Inc.
CONTACT: Dandy Barrett, Assistant Vice President, Investor Relations of
CarMax, Inc., +1-804-935-4591