Lake Success, N.Y. - Arkona, Inc., a subsidiary of DealerTrack Holdings, Inc. (Nasdaq: TRAK), a leading provider of on-demand software and data solutions for the U.S. automotive retail industry, announced that it has signed a multi-year contract with General Motors Corporation to offer Integrated Dealer Management Systems (IDMS) on behalf of GM to its nearly 6,700 franchised dealers in the United States.
With the signing of this contract, which is effective immediately, DealerTrack becomes one of only four DMS systems providers endorsed under General Motors' IDMS program.
"We are pleased to welcome DealerTrack to our IDMS program, and to recommend the DealerTrack Arkona DMS to our dealers," said Bill Powell, Vice President of Industry-Dealer Affairs at GM. "The IDMS program provides our dealers a solution to integrate and more efficiently manage all aspects of dealership operations, including vehicle sales and inventory, parts and service, accounting, human resources and payroll, and contact management."
"We are delighted to be chosen by GM as an endorsed DMS provider as part of its IDMS technology initiative," said Mark O'Neil, chairman and chief executive of DealerTrack. "This is another key milestone for DealerTrack, which recently signed its 1,000th DMS customer. This agreement opens up a wide range of growth opportunities for DealerTrack, including driving incremental sales of the DealerTrack Arkona DMS to GM dealers. We are excited to partner with GM and to offer their dealers a comprehensive and cost-effective web-based solution."
DealerTrack Holdings, Inc. (Nasdaq: TRAK) is a leading provider of on-demand software and data solutions for the U.S. automotive and related industries. The company's solutions enable dealers to receive consumer leads, submit credit applications and receive responses, compare financing and leasing options, sell insurance, accessories and other aftermarket products, document compliance, and execute financing contracts electronically. In addition, the DealerTrack Arkona DMS (dealer management system) is used by dealerships nationwide. Over 22,000 dealers, including more than 90% of all franchised dealers; over 500 financing sources; and other service and information providers are active in the DealerTrack network.
Safe Harbor for Forward-Looking and Cautionary Statements
Statements in this press release regarding DealerTrack, the benefits of the participation in the Integrated Dealer Management Systems (IDMS) program, level of incremental sales for the DealerTrack Arkona DMS, acceptance of the DealerTrack Arkona DMS by GM dealers, and all other statements in this release other than the recitation of historical facts are forward-looking statements (as defined in the Private Securities Litigation Reform Act of 1995). These statements involve a number of risks, uncertainties and other factors that could cause actual results, performance or achievements of DealerTrack to be materially different from any future results, performance or achievements expressed or implied by these forward-looking statements.
Factors that might cause such a difference include: increased competitive pressure from other industry participants; the inability to execute any element of DealerTrack's business strategy; ability to expand our customer base and product and service offerings; and other risks listed in our reports filed with the Securities and Exchange Commission (SEC), including our Annual Report on Form 10-K for the year ended December 31, 2007. These filings can be found on DealerTrack's website at www.dealertrack.com and the SEC's website at www.sec.gov. Forward-looking statements included herein speak only as of the date hereof and DealerTrack disclaims any obligation to revise or update such statements to reflect events or circumstances after the date hereof or to reflect the occurrence of unanticipated events or circumstances.