Item 7.01 Regulation FD Disclosure.

On March 26, 2020, KAR Auction Services, Inc. (the "Company") issued a press release providing a business update related to the ongoing COVID-19 pandemic and announcing that it will hold a conference call on Friday, March 27, 2020 at 11:00 a.m. Eastern Time. A copy of the press release is attached hereto as Exhibit 99.1 and is incorporated herein by reference.

The Company is withdrawing its 2020 outlook and financial guidance provided in its Current Report on Form 8-K furnished on February 18, 2020 given the uncertainty of the business climate as impacted by COVID-19 and the unpredictable timeline of market recovery.

The Company's executive officers have voluntarily elected to reduce or forgo their respective base salaries effective April 5, 2020 through at least June 27, 2020, including James P. Hallett, Chief Executive Officer, Eric M. Loughmiller, Executive Vice President and Chief Financial Officer, and Peter J. Kelly, President, each voluntarily electing to forgo 100% of his base salary during this period. In addition, each non-employee director serving on the Company's Board of Directors voluntarily elected to forgo one-fourth of his or her annual cash retainer and applicable chair, membership and lead independent director fees, which was each to be paid at the end of the second quarter 2020.

Item 8.01. Other Events.

In light of the rapidly evolving COVID-19 outbreak, the Company is supplementing the risk factors disclosed in Item 1A of its Annual Report on Form 10-K for the year ended December 31, 2019 by adding the following risk factor:

Our business is subject to risks arising from pandemics, epidemics or disease outbreaks, such as the recent outbreak of the COVID-19 virus. The extent to which COVID-19 impacts our business will depend on future developments, which are highly uncertain and cannot be predicted.

The recent outbreak of COVID-19, which has been declared by the World Health Organization to be a pandemic, has spread across the globe and is impacting worldwide economic activity. The outbreak has resulted in authorities implementing numerous measures to try to contain the virus, such as travel bans and restrictions, quarantines, shelter in place orders and business shutdowns. These measures have not only negatively impacted consumer spending and business spending habits, they have also adversely impacted and may further impact our workforce and operations and the operations of our customers, suppliers and business partners. These measures may remain in place for a significant period of time and they are likely to continue to adversely affect our business, results of operations and financial condition.

The spread of COVID-19 has caused us to modify our business practices (including restricting employee travel, modifying employee work locations, suspending physical sale operations and reducing operations at our facilities), and we may take further actions as may be required by government authorities or that we determine are in the best interests of our employees, customers and business partners. There is no certainty that such measures will be sufficient to mitigate the risks posed by the virus or otherwise be satisfactory to government authorities.

The extent to which the COVID-19 outbreak impacts our business, results of operations and financial condition will depend on future developments, which are highly uncertain and cannot be predicted, including, but not limited to, the duration and spread of the outbreak, its severity, the actions to contain the virus or treat its impact, and how quickly and to what extent normal economic and operating conditions can resume. Even after the COVID-19 outbreak has subsided, we may continue to experience materially adverse impacts to our business as a result of its global economic impact, including any economic downturn or recession that has occurred or may occur in the future.

Forward-Looking Statements Certain statements contained in this Current Report on Form 8-K include "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995 and which are subject to certain risks, trends and uncertainties. In particular, statements made that are not historical facts may be forward-looking statements. Words such as "should," "may," "will," "anticipates," "expects," "intends," "plans," "believes," "seeks," "estimates," and similar expressions identify forward-looking statements. Such statements are based on management's current expectations, are not guarantees of future performance and are subject to risks and uncertainties that could cause actual results to differ materially from the results projected, expressed or implied by these forward-looking statements. Factors that could cause or contribute to such differences include those uncertainties regarding the impact of the COVID-19 virus on our business and the economy generally, and those other matters disclosed in the Company's Securities and Exchange Commission filings. The Company does not undertake any obligation to update any forward-looking statements.


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Item 9.01 Financial Statements and Exhibits.

(d) Exhibits:

EXHIBIT NO. DESCRIPTION OF EXHIBIT

99.1 Press release dated M arch 26 , 2020 - "KAR Global

Pr ovides Business U p date "

104 Cover Page Interactive Data File - the cover page XBRL tags are embedded within the Inline XBRL document.

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