Common use of EVALUATION OF RISKS IN RECEIVING LITHIA SECURITIES Clause in Contracts

EVALUATION OF RISKS IN RECEIVING LITHIA SECURITIES. Each Shareholder is capable of evaluating the merits and risks of an investment in the Class A Common Stock and the Series M Preferred Stock. By reason of their respective business or financial experience, and/or the business or financial experience of their respective professional advisors (who are not affiliated, either directly or indirectly, with Lithia or any affiliate or selling agent of Lithia), each Shareholder has the capacity to protect their interests in connection with an investment in the Lithia securities. Each Shareholder has had access to and has reviewed such portions of Lithia's SEC Filings as he or his professional advisors has deemed necessary and has met either directly or through such respective professional advisors with a representative of Lithia and has had the opportunity to ask questions of, and receive answers from, Lithia concerning Lithia, the Class A Common Stock and the Series M Preferred Stock and the terms and conditions of this transaction. Each Shareholder has received any information requested by such Shareholder or his professional advisors. Any questions raised concerning this transaction have been answered to the satisfaction of each Shareholder or their respective professional advisor.