Northeastern November 2015 Issue by Autobody News

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VOL. 4 ISSUE 10 JANUARY 2015

Four News Stories from 2014 that Will Impact the Entire Collision Repair Industry in 2015

Freer Auto Body in Illinois Raises Money Year-Round for Community Christmas

As in most years, 2014 ended with some unfinished business for the collision repair industry. Here’s a look at four of the news stories from this part year that will likely continue to make headlines in the year ahead.

At the age of 18, it was David Freer’s dream to own a body shop, and that dream came true in 1991 when he and his brother, Tim, opened Freer Auto Body in Godfrey, IL. From the start, Freer Auto Body contributed to Community Christmas, which was David’s favorite project. Community Christmas, sponsored by United Way and Telegraph, raises money, toys and clothes for 15 local agencies. These agencies then distribute the goods to more than 6,000 less fortunate families in Riverbend. According to his mother and shop owner Margaret Freer, David would purchase sale items throughout the year and save them for the event. When David passed away in an

by John Yoswick

1. “We are requiring that you have the separation of the work area, but that can be (achieved) using curtains and proper filtration; it’s not going to require brick and mortar.” Ford Motor Company’s Paul Massie was a featured speaker at many in-

dustry events in 2014 as they automaker prepared to roll-out its 2015 F-150 pick-up, the first high-volume aluminumintensive vehicle. Ford and Massie worked last year to convince about 750 of its dealerPaul Massie ship body shops – and about 850 independent shops – to invest in the equipment and training to be certified by Ford to work on the vehicle. For shops with virtually See Four News Stories, Page 14

Auto Body Associations Look Back on 2014 by Chasidy Rae Sisk

From record snowfalls in the southern U.S. to a missing Malaysian airplane to the fear of an Ebola outbreak, 2014 was a memorable, if somewhat frightening, year around the world. In the American collision repair industry, 2014 was riddled with lawsuits against insurers’ unfair business practices and other battles for the rights of collision repair professionals, but industry associations still managed to provide some positive experiences for their members throughout the year. As the New Year rolls around, Autobody News asked a handful of association leaders about the most memorable things their associations did in 2014.

Dan Risley, Executive Director of ASA-National, states that “without a doubt, the most memorable thing in 2014 was NACE|CARS in Detroit. We made significant changes to the show including but not limited to the location, dates and show management company. We had no idea what to expect or how the industry would respond because the show had steadily declined for several years. What made it memorable was the overwhelming support and positive response from the industry. We are humbled, thankful and appreciative for all of those individuals and companies that helped make it a success.” “I think one of the most memorable moments of 2014 for me was at

by Victoria Antonelli, Online Editor

automobile accident on September 11, 2008, the Freer family decided to go even further with their contributions

The Godfrey Women’s Club baked all of the cookies for the year’s Cookies and Cocoa Community Christmas event

to Community Christmas by creating Cookies and Cocoa for Community Christmas the following December. “Freer Auto Body is very comSee Community Christmas, Page 34

Main Auto Body and CitySquare Brighten the Holidays for Dallas, TX, Children Main Auto Body has reached an agreement with CitySquare in which the body shop will collect and donate unwrapped toys and gifts to families CitySquare serves that are unable to

See Associations Look Back, Page 30

One of the many children to benefit from the CitySquare holiday fundraiser poses with Santa Claus, surrounded by donated gifts for Dallas youths in need. Photo credit: CitySquare

provide for their children on Christmas. In exchange for donating an unwrapped toy, Main Auto Body will give a free headlight restoration. Each year, CitySquare collects

(l to r) Albert Perez, technician; Ray Mundo Esqueda Jr, technician; Gerardo Valadez, owner and technician; and CeeCee Evans, manager; pose below the Main Auto Body shop sign

new, unwrapped toys and then distributes them as Christmas gifts to children in need. “Main Auto Body is very excited to be working hand-inSee Brighten the Holidays, Page 34

Change Service Requested

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Contents Auto Body Craftsmen’s Guild Looks to

CCC Pinnacle Yard Management™ Software

Solution Endorsed by URG . . . . . . . . . . . . . 16

Increase Membership in 2015 . . . . . . . . . . . 28

Collision Avoidance Technology Could

Center . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 10

Conviction of Saturn Ion Driver Thrown Out

Investigation in PA . . . . . . . . . . . . . . . . . . . . 10

Dropping Gas Prices and Strong Car Sales

AXALTA Opens New US Product Development Damaged SUV Found in Fatal Hit-N-Run

Decrease in Accidents in MD . . . . . . . . . . . . . . 12

Dramatically Change Repair Industry . . . . . . 57 After 10 Years . . . . . . . . . . . . . . . . . . . . . . . 60 Could Create Manufacturer Problems. . . . . . 48

Fire That Destroyed Auto Body Shop in

Federal Judge Rules Harrassment Claims

GM Presents Technical Training at

First Fully Robotic Paint Curing Equipment

Upstate NY Under Investigation . . . . . . . . . . 12 LIABRA’s November Meeting . . . . . . . . . . . . . 4

Jaguar, Land Rover Dealer May Relocate in CT . . 16 Keenan Auto Body in PA Donates Car to Charity. . 6

Knights Collision Gives Car To St. Nicks Alliance . 8 NJ CARSTAR’s Recycling Effort Aids

Local Food Bank . . . . . . . . . . . . . . . . . . . . . 10

NY Man Sentenced for Staging 30 Crashes . . . . 6

Viable in Car Repossession Case. . . . . . . . . . 4 Can Improve Bottom Line for Shops

and the Environment . . . . . . . . . . . . . . . . . . 52

Ford Begins Building All-New F-150 Truck . . . . 54 Four News Stories from 2014 that Will Impact

the Entire Collision Repair Industry in 2015 . . 1

Freer Auto Body in Illinois Raises Money

Year-Round for Community Christmas . . . . . . 1

PA Parks Benefit from Auto Body &

Hey Body Techs! Malco Tools Are Built

Preston Automotive Group of Delaware and

Industry Looks to Plant DNA to Solve

Welding Students . . . . . . . . . . . . . . . . . . . . 16 Maryland Makes Large Donation to the

Just for You. . . . . . . . . . . . . . . . . . . . . . . . . . 9 Scrap Metal Theft . . . . . . . . . . . . . . . . . . . . 38

American Cancer Society . . . . . . . . . . . . . . . 4

Judge Grants Permanent Injunction Against

Toy Drives . . . . . . . . . . . . . . . . . . . . . . . . . 12

Main Auto Body and CitySquare Brighten

Repair Shop and Dealership in NJ Host

Woman Found Dead in Car at Body Shop in NJ . 12 COLUMNISTS

Connecticut Anti-Steering Auto Glass Law . . 48 the Holidays for Dallas, TX, Children . . . . . . . 1

Manheim Reports Wholesale Used Vehicle

Price Adjustments in Q3 . . . . . . . . . . . . . . . 58

Attanasio - Exposing the Truth About How

Mike Rose’s Auto Body Never Stops

Attanasio - Your To-Do Marketing List for 2015 . 44

National Auto Body Council & Enterprise

to Write Great Press Releases . . . . . . . . . . . 18

Franklin - Commercial Customers—

A Reliable Business Source . . . . . . . . . . . . . 36

Franklin - Guild 21—Inventing the Next

40 Years of Collision Repair . . . . . . . . . . . . . 26

Luehr - Successful Change Using

Modern Leadership . . . . . . . . . . . . . . . . . . . 40

Yoswick - CIC Says ‘No’ to ASA, Sheila Loftus Predicts, Multi Association Task Force,

Labor Rates. . . . . . . . . . . . . . . . . . . . . . . . . 20 NATIONAL

Allstate Gives $100,000 to Collision

Giving Cars Away . . . . . . . . . . . . . . . . . . . . 58 Rent-A-Car Partner with Progressive

to Donate 117 Vehicles to Vets . . . . . . . . . . 56

New Alternative Fuel Vehicle Course by I-CAR®. . 46 Nissan Settles Class-Action Suit Claiming

Faulty Brakes. . . . . . . . . . . . . . . . . . . . . . . . 36

Pass the Salt: Winter Road Treatments Can

Cause Costly Automotive Damage . . . . . . . . . 6

PPG Redesigned Website for ADJUSTRITE . . . 62

Rust-Oleum Donation to Five Collision

School Programs Through CREF . . . . . . . . . 27

The Hybrid Shop Carves a Niche in

Hybrid Maintenance and Service . . . . . . . . . 42

Repair Education . . . . . . . . . . . . . . . . . . . . . 24

Toyota’s “Game-Changing” Recommended

Preparation for Ford F-150. . . . . . . . . . . . . . 54

Using Industry Statistics to Your Advantage

Aluminum Repair Tips & Techniques in

American Family Insurance Sponsors Collision

School Grants through CREF . . . . . . . . . . . . 46

Merry Christmas, Happy Holidays, and a Joyous New Year from all of us at Autobody News. We look forward to bringing you our collision news in 2015, including a more frequent e-newsletter, more regional coverage and easier access to content on our websites. Get in touch with us to promote your regional events, association meetings and anything you think the rest of the industry should know. Advertisers can reach us at advertising@autobodynews.com. Articles can be submitted to editor@autobodynews.com. Publisher & Editor: Jeremy Hayhurst General Manager: Barbara Davies Assistant Editor: Stacey Phillips Online Editor: Victoria Antonelli Contributing Writers: Tom Franklin, David Brown, John Yoswick, Janet Chaney, Toby Chess, Ed Attanasio, Chasidy Sisk, David Luehr Advertising Sales: Joe Momber, Sean Hartman, Bill Doyle, Norman Morano (800) 699-8251 Sales Assistant: Louise Tedesco Art Director: Rodolfo Garcia

Repair Procedures Set to Launch in 2015 . . 60

with Mike Anderson. . . . . . . . . . . . . . . . . . . 50

Acura of Westchester . . . . . . . . . . 12 Amato Agency. . . . . . . . . . . . . . . . 18 Assured Performance . . . . . . . . . . . 4 Atlantic Hyundai . . . . . . . . . . . . . . 27 Audi Wholesale Parts Dealers. . . . 55 Axalta Coating Systems . . . . . . . . . 5 B & R Associates. . . . . . . . . . . . . . 47 Bald Hill Chrysler-Jeep-DodgeRam . . . . . . . . . . . . . . . . . . . . . . 14 Baystate Chrysler-Jeep-DodgeRam . . . . . . . . . . . . . . . . . . . . . . 10 BMW Wholesale Parts Dealers . . . 49 Car-Part.com . . . . . . . . . . . . . . . . . 16 CarcoonAmerica Airflow Systems . 39 Central Avenue Chrysler-JeepDodge-Ram . . . . . . . . . . . . . . . . 26 Certified Automotive Parts Association (CAPA) . . . . . . . . . . 35 Classifieds . . . . . . . . . . . . . . . . . . . 62 Clay Auto Group . . . . . . . . . . . . . . 41 Colours, Inc . . . . . . . . . . . . . . . . . . 21 Ditschman/Flemington Auto Group. 25 Empire Auto Parts . . . . . . . . . . . . . 30 Equalizer Industries, Inc . . . . . . . . 12 Fairfield Chrysler-Jeep-Dodge-Ram . 22 First Auto Group . . . . . . . . . . . . . . . 8 Fitzgerald’s Lakeforest HyundaiSubaru. . . . . . . . . . . . . . . . . . . . 46 Ford Wholesale Parts Dealers. . . . 52 Fred Beans Parts. . . . . . . . . . . . . . 64 Gary Rome Hyundai-Kia . . . . . . . . 36 Glanzmann Subaru . . . . . . . . . . . . 43 GM Wholesale Parts Dealers . . . . 44 Honda-Acura Wholesale Parts Dealers . . . . . . . . . . . . . . . . . 32-33 Hyundai Motor America . . . . . . . . 11 Hyundai Wholesale Parts Dealers . 51 Imperial Ford-Chrysler . . . . . . . . . 18 Infiniti of Norwood . . . . . . . . . . . . . 28 Jaguar Wholesale Parts Dealers. . 58

Serving New York, New Jersey, Pennsylvania, Delaware, Maryland, Northern Virginia, Connecticut, Rhode Island, Massachusetts and adjacent metro areas. Autobody News is a monthly publication for the autobody industry. Permission to reproduce in any form the material published in Autobody News must be obtained in writing from the publisher. ©2015 Adamantine Media LLC. Autobody News P.O. Box 1516, Carlsbad, CA 92018 (800) 699-8251 (760) 603-3229 Fax www.autobodynews.com Email: news@autobodynews.com

Northeast

ABAC Hosts Ron Perretta at Nov. 18 Meeting . . 24

Auto Body Associations Look Back on 2014 . . . 1

Indexof Advertisers

REGIONAL

Kia Motors Wholesale Parts Dealers . . . . . . . . . . . . . . . . . . . 53 Koeppel VW-Mazda. . . . . . . . . . . . 38 Lexus Wholesale Parts Dealers. . . 60 Malco. . . . . . . . . . . . . . . . . . . . . . . . 9 Maxon Hyundai . . . . . . . . . . . . . . . 42 Maxon Mazda . . . . . . . . . . . . . . . . 20 Mazda Wholesale Parts Dealers . . 57 Mercedes-Benz . . . . . . . . . . . . . . . 19 Mercedes-Benz of Fort Washington . . . . . . . . . . . . . . . . 15 Mercedes-Benz of West Chester . 15 MINI Wholesale Parts Dealers. . . . 48 MOPAR Wholesale Parts Dealers . 37 Nissan/Infiniti Wholesale Parts Dealers . . . . . . . . . . . . . . . . . . . 56 Paul Miller Audi . . . . . . . . . . . . . . . 23 Porsche Wholesale Parts Dealers . 50 PPG . . . . . . . . . . . . . . . . . . . . . . . . . 2 Providence Lacquer & Supply Centre . . . . . . . . . . . . . . . . . . . . 24 Safety Regulation Strategies. . . . . 40 SATA Spray Equipment . . . . . . . . 13 Security Dodge-Chrysler-JeepRam . . . . . . . . . . . . . . . . . . . . . . . 7 Sherwin-Williams Automotive Finishes . . . . . . . . . . . . . . . . 30, 31 Subaru Wholesale Parts Dealers . 59 Tasca Automotive Group. . . . . . . . 29 Thompson Organization . . . . . . . . 63 Toyota Wholesale Parts Dealers . . 56 Valspar Automotive . . . . . . . . . . . . 17 VIP Honda . . . . . . . . . . . . . . . . . . . 34 Volkswagen Wholesale Parts Dealers . . . . . . . . . . . . . . . . . . . 61 Volvo Wholesale Parts Dealers . . . 54 Wagner Auto Group . . . . . . . . . . . 45 Wheel Collision Center . . . . . . . . . . 6 Yonkers Kia . . . . . . . . . . . . . . . . . . 16

www.autobodynews.com | JANUARY 2015 AUTOBODY NEWS 3

Preston Automotive Group of Delaware and Maryland Makes Large Donation to the American Cancer Society As reported by Autobody News in October 2014, Preston Automotive Group (PAG) took a stand against Breast Cancer and each dealership and auto body shop became United for a Cure. To support Breast Cancer Awareness Month, the campaign United for a Cure meant that each dealership would donate $50 per car sold to the American Cancer Society and each body shop would donate two percent total sales for the month. Preston Automotive Group has been a supporter of Breast Cancer Awareness as it has affected many of their own employees and families. The Automotive Group was able to raise a total of $38,500 for the American Cancer Society towards the fight against Breast Cancer. Preston Automotive Group employees wore “Pink” all month to show support and for the first time ever, Preston created a pink frog. Customers traditionally receive a green Preston frog with every vehicle purchase. During October 2014, pink frogs were given to help show support in the fight against Breast Cancer. Preston Automotive Group created its first ever “Pink” fleet that

consisted of a 2015 Ford Transit, two 2014 Ford Transit Connects, and a 2013 Ford Transit Connect. These vehicles were wrapped in pink to aide in Breast Cancer Awareness. A 2014 Ford F-150 was also wrapped as this year’s Drive to Inspire vehicle. The Drive to Inspire campaign was with Comcast Spotlight and Saving Second Base and they raised $3,500, which was also donated to the American Cancer Society. Preston Automotive Group consists of car dealerships and auto body shops in both Delaware and Maryland. Delaware stores include Boulevard Ford Lincoln in Georgetown, Boulevard Ford in Lewes, and the newly redesigned Millsboro Automart. Maryland stores include Preston Ford Lincoln, Preston Hyundai, Preston Mazda, Preston Nissan, Denton Ford, Pittsville Ford, Preston Auto Body, Cambridge Auto Body, and Snow Hill Auto Body.

www.autobodynews.com C

GM Presents Technical Training at LIABRA's November Meeting by Chasidy Rae Sisk

On Tuesday, November 18, the Long Island Auto Body Repairmen’s Association (LIABRA) held their monthly member meeting at 7:30PM at the Melville Marriott. At the meeting, shop owners and technicians received free technical training from General Motors (GM) who, along with Eagle Auto Mall, co-sponsored the event. Ed Kizenberger, Executive Director of LIABRA, states, “GM provided training on new technology for 2015, giving shop owners and technicians a chance to see this upcoming year’s technology and to plan ahead for training and equipment needs in order to be prepared for what’s coming.” GM’s presentation was given by Jim Mickle, GM Wholesale Parts Manager, and Jonathan Shaver of OE Connection also participated in the meeting, helping attendees understand the benefits of using their system. Over 160 individuals were present at LIABRA’s November meeting, and Kizenberger says the information was well-received and that he has received a lot of positive feedback from attendees. LIABRA recognizes the value of providing this type of educational

training to members because “knowledge is power.” Kizenberger says, “it’s difficult for shop owners to be able to afford training for their people; it requires outside assistance, and that’s what we’re here for. LIABRA is big enough to attract beneficial training for our members, but it also benefits our hosts and sponsors. For example, at this meeting, our members learned how GM cars should be repaired which is also good for GM since they want to ensure that their vehicles are being repaired properly and safely.” Although LIABRA will not hold a meeting December, they will continue their educational seminar program in January with a meeting on Competition Imports with BMW/Mercedes-Benz. In the near future, Kizenberger also hopes to hold meeting on airbags, structural components and electrical systems, plus he plans to incorporate estimating components in order to teach people about the new predictive estimating approach.

LIABRA PO Box 482 Centereach NY 11720 631-941-9647 www.liabra.com

4 JANUARY 2015 AUTOBODY NEWS | www.autobodynews.com

Federal Judge Rules Harrassment Claims Viable in Car Repossession Case A U.S. District Court said a Hartford, CT man and his niece have the right to pursure a claim against Wayside Auto Body and Wells Fargo Bank for harrassment that occurred while his car was being repossessed in 2012. According to reports by Jay Stapleton of ctlawtribune.com, Jacques Aviles claimed that the repossession crew committed unlawful abuse against his 21-year-old niece, Sabrina Soto, who was sitting in his Honda Accord when the tow truck arrived. The Fair Dept Collection Practices Act states that car repossession companies can forfeit their right to take possession of a vehicle from someone who is behind in their payments if a “breach of peace” occurs while the vehicle is being taken, according to the court. Damages in these types of cases can run over $10,000 per incident – not including plaintiff attorney fees, according to Stapleton. Aviles bought the 2006 Honda Accord from CarMax in 2009, and arranged financing through Wells Fargo Bank, according to the complaint filed by attorney Daniel Blinn, of the Consumer Law Group in Rocky Hill, on behalf of Aviles and Soto. He started falling behind on pay-

ments in June 2012, and was told that his car would be repossessed if he did not pay by Aug. 11, 2012. Aviles took the car to Steben Auto Body in West Hartford on Aug. 8, three days before the deadline, to look at repair options for the vehicle. In the meantime, a repossession order had been sent to Wayside, a company Wells Fargo uses to repossess cars from debtors. One of the Wayside drivers happened to be outside Steben Auto Body while Aviles was inside and his niece was in the car. The driver, Robert Penny, had been looking for the Honda for about three weeks. When he saw the car parked in front of the shop, he backed the tow truck up behind the Honda, and began hooking it on to his tow truck. That’s when Soto, who was in the car, looked up. A confrontation ensued, during which Penny told Soto to get out of the car, using explicit language, according to Stapleton. Soto eventually got out of the car and exchanged words with Penny, who towed the car away. U.S. District Judge Vanessa Bryant said that Penny harassed Soto and his actions, under the Fair Debt Collections Act, forfeited his lawful right to take the car, according to Stapleton. A settlement conference occured Dec. 4 and the case goes to trial in early 2015.

www.autobodynews.com | JANUARY 2015 AUTOBODY NEWS 5

Keenan Auto Body in PA Donates Car to Charity

Keenan Auto Body, Inc., a member of the National Auto Body Council, is preparing the finishing touches to its contribution to Recycled Rides. State Farm® donated the 2005 Dodge Dakota to Keenan for its part in this nationally recognized program of giving back. “We are in the final stages of completion,” stated Mike LeVasseur, Keenan Auto Body President and COO. “Our crew has worked diligently to completely restore this Dakota and not only to make it roadworthy again, but safe as well. I would like to personally thank State Farm® for donating the truck, LKQ Corp, Church’s Auto Parts and D’Ambrosio’s Auto Group for generously donating all the parts needed for a safe and proper repair and our staff for their commitment to excellence and seeing this project through to its fruition.” The Little Sisters of the Poor was given the truck in Philadelphia, PA on Dec. 12th. With branches throughout the country, the charity offers the needy elderly a family-like home. For information on the Recycled Rides program, call (804) 427-6982 or visit www.autobodycouncil.org

Pass the Salt: Winter Road Treatments Can Cause Costly Automotive Damage by Victoria Ford, The SandPaper

For the last few years throughout the state, a brine solution pre-treatment has been the method of choice for guarding roadways against winter weather, as a proactive approach to keeping motorists safe in the ice, sleet and snow. But a hidden danger of wintry roadways may be lurking under your car: rust. The guys at Streamline Auto Body in Tuckerton say the unfortunate downside to anti-icing measures is accelerated erosion of vehicles’ undercarriages, to the point of major rust holes and rotted rocker panels, according to Assistant Manager Chris Mack. Stafford Township’s brine system has been in place since 2011, according to Township Administrator James Moran. “Our salt shed is full as we head into winter, and we maintain higher levels than we think we’ll need. … We budget for the worst-case scenario.” The crews use dump trucks outfitted with tanks and sprayers, to apply the liquid salt solution to roadways in advance of a forecasted storm. The solution dries and bonds to the asphalt, preventing snow and ice from adher-

NY Man Sentenced for Staging 30 Crashes

Preet Bharara, the United States Attorney for the Southern District of New York, announced that Maxo Jean, 52 from New York, NY, was sentenced to 10 years in prison for perpetrating a multi-year insurance fraud scheme. Jean directed co-conspirators to engage in more than 30 car crashes with innocent third parties, and then fraudulently obtained insurance benefits based on unnecessary medical treatments he secured for his partners in crime following the crashes. A jury convicted Jean of conspiracy to commit mail, wire and health care fraud on January 31, 2014, after a oneweek trial. Bharara said, “A car crash is an awful experience. Yet Maxo Jean directed others to cause crashes with innocent drivers, just so that he and his co-conspirators could line their pockets. His scheme quite literally added insult to injury for the innocent drivers and the insurance companies he defrauded.” According to the indictment and evidence presented at Jean’s trial and other court proceedings: From 2006 through 2011, Jean engaged in a scheme to cause more than 30 intentional car crashes to fraudulently obtain insurance benefits. Jean orchestrated the scheme by finding cars, recruiting crews of drivers and passengers, and then sending them

to hit cars driven by innocent victims. Jean paid the drivers and passengers he recruited, and directed them to crash into cars driven by innocent people so that the supposed “accidents” would appear to be real. Following the crashes, Jean took his co-conspirators to corrupt medical clinics and directed them to submit to unnecessary treatment, including unnecessary surgeries, for their non-existent injuries, so that the treatments could be billed to car insurance companies. Jean encouraged his co-conspirators to submit to treatments he thought were likely to result in the largest payments from insurance companies, such as unnecessary back and shoulder surgeries. Jean and his co-conspirators then filed fraudulent no-fault insurance claims and insurance claims that fraudulently alleged pain and suffering. These totaled over $1.5 million, of which they succeeded in collecting nearly $600,000 in payments from ten different insurance companies. Jean also profited by collecting more than $150,000 in insurance company payouts and in kickbacks from the corrupt medical clinics. In addition to the prison term, Judge Chin ordered Jean to forfeit $586,831.74 and pay restitution to his victims.

6 JANUARY 2015 AUTOBODY NEWS | www.autobodynews.com

ing, which saves on manpower and overtime costs associated with snow removal. The township mixes its own brine solution, at 23 to 25 percent, and even sells it to other towns, which helps offset costs further. After the brine solution is laid, the crews continue to salt and sand as needed, in addition to plowing. “We have a significant and wellplanned plowing program,” Moran said, which uses Public Works and Water and Sewer crews to get the job done. Likewise, at the county level, the maintenance yards are stocked and ready. Ocean County Roads Department Director Tim Curcio said 10,000 gallons of brine solution are kept on hand, plus 25,000 tons of salt, to which calcium-chloride solution gets added to enhance the salt’s melting ability by lowering the freezing point. Last year the county went through its whole supply twice, totaling $3.5 million. Some less conventional ideas, such as using beet juice on the roads, tend not to fly, Curcio said, because they would require costly equipment modifications that don’t appear, at this point, to be cost-effective. At the New Jersey Department of Transportation, winter readiness is the

same story, with the three-pronged approach including the brine pretreatment, salt and calcium-chloride, which means every local, county and state road are getting heavily salted all season long. But as Mack explained, all that salt on the roads, before, during and after every weather event, is corrosive, especially if it is allowed to accumulate. (Good news for the car wash business.) Moreover, auto manufacturers’ undercoating seems not to be as protective as it once was, in Mack’s opinion. All of which spells higher expense to vehicle owners, either at the car wash, or in automotive bills when repairs out-price the value of the rusted parts, he said. “In our business, rust is not a friendly thing,” Mack said.

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NY’s Knights Collision Gives Car To St. Nicks Alliance with Support from Akzo Nobel and LKQ by Queens Gazette

In the spirit of the season, an event of celebration and giving was hosted by Knights Collision & Auto Care Center on December 19. The celebration marks Knights’ decades of success since its establishment in 1948, the Grand Opening of its new location at 2000 Eastern Parkway, and the holiday giving season. The gift comes from the coalition of Knights Collision & Auto Care Center with other members of the Akzo Nobel Acoat selected organization, which formed the Acoat selected National Benevolence Program, a community relations program that has a mission to present refurbished cars to deserving individuals or organizations during the holiday season. This year St. Nicks Alliance was chosen to receive a 2006 Chevy Suburban by the Acoat selected National Benevolence Program. St. Nicks Alliance is a North Brooklyn community development organization that has been in the vanguard of the nationwide grassroots movement to preserve and improve neighborhoods since they started in 1975. St. Nicks Alliance provides services to low and moderate income individuals and

families in the areas of affordable housing, workforce development, elder care, and youth and education. “The donated vehicle will be a valuable tool useful in aiding all St. Nicks Alliance divisions: from transporting educational and administrative materials used at community events, fairs and forums, to its role in being a vital help in critical situations such as emergencies caused by severe weather in that it would help secure senior centers and our program sites so they remain open to the public. This gift will benefit so many in the North Brooklyn community,” stated Lori Doyon, communications manager for St. Nicks Alliance. “We strategically focus on providing services in four main areas: housing, health care, workforce and economic development, and youth and education. St. Nicks Alliance provides services to over 9,000 individuals and families annually.” The idea of donating a vehicle came about because, as Robert Karadzas and Sean Cusick, owners of Knights Collision & Auto Care Center observed, “Each year the collision repair industry as a whole comes across cars that are ‘written off’ by either the owner or the insur-

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ance company. Oftentimes these are vehicles that just need some mechanical and body work to get them road ready and perfectly safe to drive. Because we believe these cars are going to waste when there are people who really need them, we decided to do something about it.” St. Nicks Alliance is delighted to have been chosen to receive a gift of this kind that will be put to such good use and give back to the community in a multitude of ways. Knights Collision & Auto Care Center is just one of many Acoat selected members across North America that will present a vehicle to a member of their community during the month of December. Knights Collision & Auto Care Center honors the good work of St. Nicks Alliance by helping them with their need of reliable transportation. Knights Collision & Auto Care Center recently moved from its location on Union Avenue in Williamsburg, where it has served its customers for over four decades. Established in 1948, the entire team at Knights feels it provides its customers with confidence in collision repair and makes accidents easy for its customers. Akzo Nobel, the world’s largest

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manufacturer of paint and coatings, developed and sponsors the Acoat selected program, a development program for leading collision repairers. The Acoat selected program is available only to shops that use Sikkens brand paint by Akzo Nobel and meet stringent selection requirements, which are based on a proven commitment to the highest industry standards. Akzo Nobel Car Refinishes, headquartered in Norcross, Georgia manufactures and markets Sikkens brand paint refinishes system to high quality collision repair shops. Additional vendors that helped contribute towards the refurbishment of the 2006 Chevy Suburban include: Danken Auto Parts donated the necessary mechanical parts; LKQ donated body parts; Keystone donated necessary aftermarket parts; and Kristal Auto Mall – which donated all factory parts.

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Hey Body Techs! Malco Tools Are Built Just for You by Ed Attanasio

One consequence of the evolution of the collision industry is that better tools exist now than ever before, thereby dramatically improving the working lives of body technicians everywhere.

The S6R Redline, 6-inch model, Hand Seamer by Malco Products is designed to save time, prevent hand fatigue and last for many years

Malco Products, Inc. in Annandale, MN, won first place at the 2014 SEMA Show’s New Product Showcase in the Collision Repair and Refinish Products category for its Quarter Panel Hemming Air TurboXTool. Founded in 1950, Malco was a market pioneer with its innovative HVAC hand tools initially, but today the company serves several industries, including collision repair.

Designing tools that are easy to use and cause minimal impact on the human body has been instrumental in Malco’s success. When the company designs any tool, it first looks at how it will be used; how long it will last and how it can save labor and wear and tear on the person that will use it every day. If a tool does the job, but it injures the hands, elbows or shoulders of the user, what’s the advantage? As a body shop owner, you obviously want your techs to be healthy and injury-free, because losing an employee to injury can drastically impact your cycle times and compromise your production. One of the most unique aspects of all Malco’s hand tools are the fact that they’re designed to comfortably fit hands of all sizes, from small to very large or gloved hands. The human hand’s natural power stroke range falls within a gripping range of 2-1/2 to 3-1/2 inches (63 to 89 mm). The challenge for accommodating this entire range is to provide handle openings and natural ergonomic contours that complement hand strength and resist strain and fatigue of repetitive motions without sacrificing the labor-saving, productivity

features of the working end of the tool, such as length of cut or throat depth. This balancing act has been achieved with all of Malco’s Redline Handled family of Hand Seamers (hand brake) and the company’s 11 models of “Andy” lightweight-with-the-strengthof-steel Aluminum Handled Snips.

This model MV12“Andy” Aluminum Handled Snip is designed with the busy body tech in mind and is specially designed to cut plastics including auto bumpers

Development Engineer Thomas Batho has worked on Malco’s design team for the past 15 years, which means he has played an integral role in the creation of more than 50 tools for Malco. “Every tool we make is designed with things like ergonomics, safety and the life cycle of the tool at the forefront,”

Batho explained. “We pride ourselves on making products that the customers want because they fill a need and then we stand behind them 100%. That’s something we take very seriously here at Malco.” At least 1,000 hours goes into the development of each tool manufactured by Malco. The company’s Redline Handled seamers were no exception, according to Batho. “With every tool, we do the field research first—to see if there’s a need and where the markets are headed. With our collision tools, we go to body shops to gather data. We personally visit shops in our area and do webinars with others country-wide. The ideas come in and the results are documented. Then we enter the concept stage followed by the initial design stage and prototyping. When we have a functional product we take it into the field and get reactions from techs, before we finalize it. Once we’ve completed that, we release it to manufacturing, do final testing and finally offer it to the public.” More information about the tool designs and the entire Malco Products line can be accessed at www.malcotools.com.

www.autobodynews.com | JANUARY 2015 AUTOBODY NEWS 9

AXALTA Opens New US Product Development Center

Axalta Coating Systems, a manufacturer of liquid and powder coatings, is strengthening its performance testing capability by opening a new product development center at its facility in Lionville, PA. The center is equipped with a Global Finishing Solutions professional spraybooth and advanced HVAC infrastructure that enables specialists to simulate a variety of North American climate conditions. The simulation will help to assess refinish automotive paint application. “Now application specialists can evaluate products in extreme environmental conditions and fine-tune a product’s application characteristics, if necessary. This should help us make a more robust product and get it to the customer faster,” said Stefan Reinartz, Axalta National Refinish Product Manager. “Opening this facility is a testament to Axalta’s commitment to be the leader in product innovation and technology.” Axalta’s refinish coatings range from surface preparation to undercoats, basecoats and high gloss clearcoats across a portfolio of brands that include Cromax®, Standox®, Spies Hecker®, Nason®, and

Imron PowerTint™. Each product is formulated to be effective in different climates and when coating various substrates such as metals, plastics and composite materials. The facility is engineered to enable a quick turnaround from product development to launch. “A more refined prototype helps to eliminate some of the iterative processes in field testing and should ultimately shorten the time to get a finished product to market,” said Burt Palmer, Axalta Product Manager. The new center is part of Axalta’s dedicated network of research and development facilities that focus on new products to meet evolving customer needs and evaluates ways to improve existing products. For more information on Axalta, visit www.axaltacs.us or on social media for up-to-date information. ®

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10 JANUARY 2015 AUTOBODY NEWS | www.autobodynews.com

Damaged SUV Found in Fatal Hit-N-Run Investigation in PA

A vehicle has been recovered and a person of interest identified after a fatal hit-and-run in Thorndale, Chester County, according to police. The dark grey 2011 Honda Pilot SUV was recovered at a nearby body shop. The vehicle was impounded and is being processed for evidence, according to 6abc.com. The person of interest, a Chester County woman whose name has yet to be revealed, was questioned by police on December 5 and then released. On the night of December 4,, 19-year old Ke'asya Gray of Coatesville, an aspiring nurse, was struck and killed by the SUV on the 3400 block of Lincoln Highway, 6abc.com reported. Before her overnight shift at Dollar Tree, Gray was walking near the highway after being dropped off at work by her boyfriend. She was then hit and killed by a driver who fled the scene without stopping. According to 6abc.com, Gray was transported to Brandywine Hospital where she was pronounced dead. Officials plan to obtain a warrant to search the SUV and examine the clothing of the owner.

NJ CARSTAR’s Recycling Effort Aids Local Food Bank

CARSTAR Lakeside Collision has come up with a “Green” way to help their local community. For the fifth year in a row, the Mt. Laurel, NJ shop participated in the WMMR FM Preston & Steve Morning Show, Camp Out for Hunger. The weeklong food drive benefits Philabundance, the largest hunger relief organization in the Delaware Valley. When Dave Thompson, coowner of CARSTAR Lakeside Collision, started participating in the program, he said he wanted to be both earth conscious and community conscious. The shop takes all of the scrap aluminum from cars they repaired throughout the year to be recycled. The money earned from recycling goes toward purchasing 1,200 jars of peanut butter and jelly, which is then donated. “When we started donating to this program five years ago, the Phillabundance Food Bank was only able to accept food donations. They were not yet taking monetary donations,” said Thompson. “That’s when I tried finding a creative way to come up with the food to give to needy families in the area.” A total of $2,000 worth of food was raised by the company.

www.autobodynews.com | JANUARY 2015 AUTOBODY NEWS 11

Repair Shop and Dealership in NJ Host Toy Drives

One Simple Wish, a foster home in Trenton, NJ, is never short of presents during the holidays, thanks to the kindness of individuals, organizations, local businesses and the community as a whole. Chris Winter, owner of Winter Auto Repair in Robbinsville, hosted a toy drive for the foster home on Nov. 22—anyone bringing a new, unwrapped toy to the shop could get their photo taken with Santa at no cost, according to The Times of Trenton. Foster parents Adam and Kim Barish, who own Route 23 Honda in Pompton Plains, also hosted a toy drive at their dealership after meeting OSW staff members at the Winter Auto event. Fellow non-profit, The Rose and Louis H. Linowitz Charitable Foundation, has pledged to match the next $5,000 raised from contributors. NJM Insurance Group of West Trenton has also pledged to donate $1,000 for every $5,000 contributed by the community and other business donors throughout the 2014 campaign, reported The Times of Trenton. Visit www.onesimplewish.org for more information.

Woman Found Dead in Car at Body Shop in NJ

Police said that the body of an unidentified woman was found on December 11 in a car in a body shop on Montgomery Street in Paterson, New Jersey. An employee at the shop said the woman was known to be homeless in the neighborhood, and workers had frequently allowed her to stay at the garage to escape the cold weather, reported Jim Norman of northjersey.com. The cause of death is still under investigation.

Decrease in Accidents in MD

Ocean City, Maryland saw a 14 percent decrease in traffic collisions in 2013, and the Ocean City Police Department (OCPD) said it is hoping the stats continue to show a decline in accidents in 2014. Between 2009-2013, DUI-related collisions killed 856 people in Maryland. An additonal 600 lives were taken in accidents because they didn’t wear a seatbelt, according to mdcoastdispatch.com. In 2013, more than 400 people were arrested in Ocean City and charged with DUIs, and hundreds of seat belt citations were given, according to mdcoastdispatch.com.

Fire That Destroyed Auto Body Shop in Upstate NY Under Investigation by WNYT Staff

Fire officials are still investigating what caused an early morning fire at an auto shop in North Granville. The fire broke out around 2 a.m. November 24 at D&K Quality Auto on Route 22 in North Granville, NY torching the building. “There’s a lot of heavy damage, pretty much a total loss,” said Scott McCullen, Chief of the North Granville Hose Company. “A lot of tools, there was a Jaguar in there also, pretty much gone.” Fire crews responded to the auto body shop to find flames shooting out of the building. Even hours later, firefighters were still spraying water on the fire and cutting off pieces of the roof to get to hotspots. Firefighters say the materials inside the building made fighting the fire a challenge. “A lot of combustibles with the garage material, we got waste oil there and a lot of combustibles,” said McCullen. “Our crews had a heck of a knockdown upon arrival, you know, at two in the morning. But we had a

really good knockdown.” Six fire companies responded to the fire. Water had to be brought in by tankers because there are no hydrants on the street. Chief McCullen says the business owner does have insurance. McCullen also says that homeowners need to be careful as the weather gets colder to keep themselves and their families safe. “Hopefully this isn’t a start,” said McCullen. “Last year, about this time, we had the same thing and we had almost 14 structure fires last year. So I'm hoping this is not the start again this year.” There were no injuries because of the fire. Firefighters say they have not determined a cause, but fire investigators were out that day looking into it. The Autobody News staff would like to thank the WNYT staff for giving us permission to use this article in our January 2015 Northeast issue.

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www.autobodynews.com | JANUARY 2015 AUTOBODY NEWS 13

Continued from Cover

Four News Stories

no aluminum repair capabilities, that investment likely topped $50,000. Will that investment begin to pay off in 2015 for those shops and the 1,400 more independent shops Ford hopes to get certified this year? Just as Ford is rolling the dice to some degree in making such a significant change to its best-selling vehicle, shops too should probably be thinking long-term

about the investment needed to ramp up for aluminum repairs. One study predicts that even by the end of 2015, there may be only nine aluminum F150s a month needing repairs in most major markets. But other automakers are expected in 2015 to announce new aluminum vehicles coming. So while shops equipped to do aluminum work may see only a trickle of such work this year, they’re getting ready for what is likely more to come.

2. “(Shops are left in) the untenable position of either performing incomplete or substandard repairs and thus breaching their obligations to automotive owners to return vehicles to pre-accident condition, or performing labor and expending materials without proper compensation.” That’s the description used in almost 20 lawsuits filed by shops in 17 states in 2014, accusing insurance companies of conspiring to manipulate labor rates and other shop charges to reduce

Also Heard Around the Industry in 2014

“If they want to return a part, you need to tell them, ‘You bought this through PartsTrader; you need to return it through the system,’ so you get credit for the return. If they don’t want to return it through the system, then I hate to say it, but they are probably up to no good.” – PartsTrader’s Ken Weiss telling non-OEM parts distributors at a conference why the system will help vendors “avoid some of the games and will help bring down (parts) returns.” “We have most of the U.S. large cities or popu-

lation areas covered. We’re not targeting to be in all 50 states. We’ve got the vast majority of Americans covered for what we need to do from an insurance perspective.” – CARSTAR CEO David Byers on the company’s plans to work for growth in key markets (it now has about 440 franchises in 32 states) rather than specific states.

“We’re giving you guys a lot of instructions. Yet I could walk into three-quarters of shops in the country and they’re not doing it right.”

14 JANUARY 2015 AUTOBODY NEWS | www.autobodynews.com

costs. The suits allege that State Farm is at the heart of an effort by the insurers to suppress labor rates, to coerce shops into accepting less than actual or market costs for materials, to refuse to pay for a list of required procedures, and to punish non-compliant shops through steering. The suits allege these actions constitute tortuous interference, unjust enrichment and violation of Sherman Act price-fixing and boycotting prohibitions. They seek un-

– Rick Leos of Toyota, expressing frustration with what he sees as the industry’s failure to use the OEM collision repair procedures that do exist. “The shop didn’t sell a rental coverage policy, and they didn’t profit from the sale of that policy.” – Aaron Schulenburg, executive director of the Society of Collision Repair Specialists, on why it’s unfair for an insurer to expect a shop to pay the cost of a rental vehicle if cycle time for a job exceeds an unrealistic formula adopted by the insurer.

specified damages for lost revenue and damages suffered by the shops, and treble damages and attorneys’ fees for the Sherman Act violations. They also seek an injunction prohibiting the insurers from “directing, advising or otherwise suggesting that any person or firm do business or refuse to do business” with any of the named shops; from using boycott, coercion or flat rate manuals to establish or control repair shop pricing; and from requiring the shops to participate in any parts procurement program. As 2014 came to an end, most of the lawsuits were being consolidated into one U.S. District Kris Mayer Court in Florida, a court whose first decision on them in 2015 could be whether to dismiss them or allow them to continue. If they are not dismissed, the judicial process could easily extend not only through 2015 but on into 2016.

3. “There’s probably some disruption and some unintended consequences in this process.”

Within 24 hours of surprising almost everybody by announcing in November that General Motors was discontinuing the publication of traditional list prices for crash parts, GM’s Kris Mayer had clearly heard a lot about those disruptions and unintended consequences. In less than a week, GM backed off a December 1 launch of the change, pushing it back into sometime in early 2015. As described by GM, the new system means that parts prices will no longer be available within the estimating systems. Instead, shops will need to upload all estimates requiring prices for GM parts to MyPriceLink, which will then return the estimate back with current, competitive prices. Mayer said the prices returned by the system will be dynamic, based on “the market or a particular price and its competition.” Mayer said GM does not intend to “change margin structure for the people who are involved.” What happens in 2015 may depend a little on what the real reason was for GM delaying the launch. Publicly, GM said that “workflow pressures on outside parties have brought to light enhanced solutions and the in-

creased desire for integration opportunities,” necessitating the delay. In a memo to its dealers, GM said it had “uncovered a system issue that could negatively impact the performance of MyPriceLink across a number of industry work streams.” Some sources have said a major technology partner working with GM on the system pulled out based on push-back it received from shops and insurers. Jason Bartanen In any case, whatever GM decides about launch of the system, it definitely will be among the major news stories in 2015.

4. “We really want to put this information into technician’s hands.” I-CAR’s Jason Bartanen said the goal of I-CAR’s “Repairability Technical

Support Portal,” launched back in August, is to get OEM repair procedures and vehicle information as close to technicians as the nearest computer, tablet or smartphone screen. The portal (http://rts.i-car.com) is a hybrid of both a guide to what procedures each automaker makes available (on their own websites) and increasingly a source for the actual procedures themselves. In late 2014, for example, the portal posted 51 collision repair instruction sheets from Ford for the new F-150. I-CAR promises to offer similar access to even more OEM information in 2015. The portal also enables a technician to submit an inquiry about OEM information he or she can’t locate, and the responses to those inquiries will be posted to the portal as well. That may make it an increasingly valuable resource in 2015 – and beyond.

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Jaguar, Land Rover Dealer May Relocate in CT

Jaguar, Land Rover of Fairfield is looking to relocate dealerships from Darien and Milford to the former Connecticut Limousine property on Commerce Drive in Fairfield, according to the Connecticut Post. An application has been filed with the Fairfield Planning and Zoning Commission and while no decision has been made yet by the commission, a public hearing that began in December will be continued on Jan. 13, according to the Post. The Post reports that British Motor Works is the contract purchaser for the property and wants to move its Jaguar dealership from Darien and Land Rover dealership from Milford. The proposed dealership in Fairfield would employ 22 people and if everything is approved, construction would start February or March with a target opening of December 2015, according to the Post.

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PA Parks Benefit from Auto Body & Welding Students

After being approached by the city due to their welding and auto body skills, students at Connellsville Area Career and Technical Center created new backdrops for basketball hoops in several residential parks. The students have completed two of the backdrops and are planning to have up to a dozen finished by summer, according to Marilyn Forbes of triblive.com. After the backdrops are fabricated and welded in a separate department, they are sent to the body shop to be painted before installation. The Pennsylvania winters may prolong the final stages of completion. The two that are finished will be installed in Woodruff Park, according to Forbes. Cameron and South Side will be receiving backdrops before the warm weather and summer league games. According to auto body shop instructor Karl Butchko, the students enjoy the community projects and the feedback is positive from the residents. Students in the welding and auto body programs have completed multiple projects for the city throughout the years, and will continue to do so.

CCC Pinnacle Yard Management™ Software Solution Endorsed by URG

Information Services Inc. announced that its CCC Pinnacle Yard Management™ software solution has been named the sole endorsed auto recycler yard management system by United Recyclers Group (URG), a partnership of more than 400 auto recyclers. CCC also announced it will collaborate with URG on future enhancements to CCC Pinnacle Yard Management, securing input from the organization to help grow and strengthen the solution to meet the evolving needs of auto recyclers. The CCC Pinnacle Yard Management solution combines CCC ONE® Estimating and Pinnacle Professional recycler software to become an integrated yard management and parts eCommerce solution for recyclers, and connects CCC customers with the entire parts industry, OEM, Recyclers and Aftermarket. “URG is a leading voice within the auto recycler community,” said Jim Dickens, Executive Vice President, CCC Information Services. ”Having the CCC Pinnacle Yard Management solution named as the sole endorsed yard management solution for its membership is a significant endorsement for which we

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Media and Publicity for Shops Exposing the Truth About How to Write Great Press Releases with Ed Attanasio

You’ve done something you feel deserves attention, mainly from the local press, TV and radio stations and the general public as well. You want to get your message out there, but you don’t know how to put the words together, and more importantly, get it in the right peoples’ hands. Throughout my 30 years as a journalist, I’ve read literally thousands and thousands of press releases, most of which end up in the recycling bin— but why? One of the main problems is that shops think everything they do is newsworthy, but unfortunately, editors and writers don’t agree. Press releases announcing your great cycle times, quality work, or how you landed another DRP aren’t going to make the front pages, or even the back cover, for that matter. Collision repair shops often have business announcements, initiatives or events that are worth promoting. Things

like new shop openings, community service efforts or educational programs can catch the attention of your community. One of the best ways of getting the word out is the development and distribution of press releases that are readable, relevant and easy to edit, as well as accompanied by quality, high-resolution color photos. Kristen Simpson is the president at Simpson Communications, an 11year-old public relations firm that represents automotive companies such as Chief Automotive Technologies, Ford Motor Company, the Automotive Lift Institute (ALI) and Elektron. As a former journalist, Simpson provides some helpful tips about how to produce press releases that will get significant results. “Some companies think that they need to produce press releases at predetermined intervals, such as monthly, quarterly, etc. whether they have something to say or not,” Simpson said.

“That drives media insane, because they don’t want to get a press release that has only been sent for the sake of sending a press release. They want actual news. The biggest part is finding something that is indeed newsworthy.” Simpson suggests using a professional, well-established public relations firm to get your release out to the world. “There’s a reason why public relations companies exist, because they know how to write effective press releases and they have relationships with media. And today it’s even more important because Search Engine Optimization (SEO) has become such a large part of the process. Finding the best keywords and using them in the headline is so important now. Back in the old days when we were writing for the trade magazines, we could write witty headlines without any concerns for SEO, but now it’s important, because much of what we write appears online.”

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Put the vital stuff upfront and make your releases easy to edit, and you’ll get more love from the media, Simpson explained. “I still believe that the inverted pyramid style is the best way to go with any press release. You put your most important information at the beginning, because for space considerations, editors know that they can cut it from the bottom. That way, if they only run one paragraph from your release, you know that you’ve gotten your most important information across.” Every press release should also be accompanied by one or more photos. “Quality, high resolution photos are key because a picture is worth a thousand words. In many cases, they might not run your article, but they will opt for running your photo, with a caption. Increasingly, people read less and that’s why photos are more imSee Exposing the Truth, Page 22

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Historical Snapshot

—John Yoswick is a freelance writer based in Portland, Oregon, who has a body shop in the family and has been writing about the automotive industry since 1988. He is the editor of the weekly CRASH Network (for a free 4-week trial subscription, visit www.CrashNetwork.com). Contact him by email at jyoswick@SpiritOne.com.

CIC Says ‘No’ to ASA, Sheila Loftus Predicts, Multi Association Task Force, Labor Rates with John Yoswick

20 years ago in the collision repair industry (January 1995) Participants at the Collision Industry Conference (CIC) in San Diego in January voted to reject the Automotive Service Association’s offer to fund and administer future CIC meetings. While shop owners, suppliers and insurers at the meeting praised ASA’s offer, many also said they felt ASA’s resources could be put to better use. “I would like to commend the leadership of ASA for being willing to look at benevolent programs on the part of the industry,” Mitchell’s Ted Hill said. “But CIC has gotten where it has with its present (funding) method. If we change it, would we be cheating ourselves from some other opportunity that ASA’s funds could go toward to benefit the industry?” ASA’s offer was presented to CIC by Bob Anderson, an Ohio shop owner and director of the ASA’s Collision Division. The proposal stated that ASA would use profits from the Na-

“I honestly would be surprised if tional Autobody Congress and Exposition (NACE) to fund its administration at any point in time this group decided of CIC, eliminating the need for CIC to have any other group administrate participants to pay a per-meeting fee or it,” Jeff Hendler, a past CIC chairman annual sponsorship fee. and current administrator of CIC, said. “It would be an open-door policy for anyone who would like to attend,” Anderson said. “Many times, ASA has been criticized by those saying, ‘NACE makes some money; why don’t you do something for the industry?’ That is our intent here today. This is not an attempt by ASA to take control of CIC. We are not asking for any special considerations from Bob Anderson presented the Automotive Service this group by making this pro- Association’s 1995 offer to fund and administer the posal. Our motives are sincere. quarterly Collision Industry Conference (CIC) meetings, an offer CIC declined It is merely to provide financial assistance to the industry.” “I don’t think Mitchell would like it if CIC participants voiced several ADP or CCC made this proposal. I concerns with ASA’s proposal, in- don’t think Ford would like it, if Gencluding the possible perception of CIC eral Motors made this proposal. I don’t if administered by ASA. think ASA would like it if the Wash-

ington Metropolitan Auto Body Association made the proposal. I think it’s the most benevolent gesture I’ve heard in a long, long time. I’d just like to see the money funneled somewhere else.” Anderson said ASA would be open to consider CIC proposals for use of ASA resources and NACE profits. – As reported in Autobody News. Now in its 31st year, CIC continues to be administered by Hendler’s company. ASA’s profits from NACE have presumably declined significantly since its offer to CIC in 1995. That year, NACE had 620 exhibiting companies and 31,000 attendees; last year, NACE had 6,500 attendees and 180 exhibiting companies.

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even settle for being able to see about to the next 10 years. Or 50. Or 10. I’m afraid, though, that I, like most non-visionaries, will just have to see how things go. Even so, I’ll venture my own New Year’s list of predictions. Situation: The Baby Boomers are aging. The collision repair industry is already struggling to replace the Boomers in the workplace, and the search for good help will only get more difficult in this millennium. I’d like to see our industry actively embrace works we haven’t pursued in the past: women, minorities, non-English speakers. Prediction: By 2005, women will represent 10 percent of business owners in the collision repair industry, and the majority of workers in the industry will be first- and second-generation Americans. Situation: One collision repairer I know said he’d be happy to concentrate all his business on one insurer. So in the future, will collision repair shops be appropriated by insurance company claims departments? Prediction: In 2008, you’ll see the opening of Progressive Body Shop. And in 2009, you’ll se the closing of Progressive Body Shop. – From an editorial in Hammer &

Dolly by Sheila Loftus. Progressive has not owned body shops, but within two years of Loftus’ column, the insurer began piloting its “Concierge” service centers. Allstate bought Sterling Collision Centers in 2001 and grew the chain until it sold it off last year. Virtually all auto insurers, however, have shifted significant portions of their claims administration to direct repair shops.

10 years ago in the collision repair industry (January 2005) The three national collision repair associations have formed a “groundbreaking” joint taskforce as an off-shoot of the Collision Industry Conference (CIC) to work on “macro issues related to the way the [estimating] database companies operate.” Although the Association of Automotive Service Professionals (AASP), the Automotive Service Association (ASA), and the Society of Collision Repair Specialists (SCRS) pushed for formation of the task force, the three groups said it will be open to participants from other segments of the industry, including insurers. In announcing the proposal, SCRS chairman Lou DiLisio said the taskforce will not address concerns about a specific

labor time. Rather, the taskforce will look at issues such as how large-scale changes are made to the estimating databases and introduced into the industry. The creation of the taskforce comes in the wake of the ADP October (2004) situation in which paint labor times for about 150 vehicles were reduced. Such time reductions, whether made in error or not, are typically found by users only through trial and error, DiLisio said. The new taskforce may work toward a disclosure system for such changes. “The ADP issue caused problems across the industry for insurers, repairers and consumers,” DiLisio said. “To try to stop that from happening again, we’d like to sit down with the information providers and figure out a better way to make sure there’s full disclosure of any changes that come forward.” – As reported in Autobody News. The taskforce was active for about five years, during which time it successfully pushed the estimating system providers to add more information to the systems about such things as what types of metals are used in various parts of particular vehicles. It was less successful in pressing for such changes as automation of operations such as “feather, prime and block.” “We’re disappointed

in the lack of progress with some of the issues we’ve brought to the table,” DiLisio said in April of 2010.

5 years ago in the collision repair industry (January 2010) The Rhode Island Supreme Court will hear arguments on February 9 in the legal battle over a 2006 state law mandating that every insurer (with more than 1 percent market share) in Rhode Island conduct a labor rate survey. A state agency had said that under the law such surveys can be just one of a number of factors an insurer uses to determine a prevailing rate. But the Auto Body Association of Rhode Island sued the agency, and a lower court ruled in 2008 that the survey results must be “the sole determinant of the prevailing auto body labor rate.” The agency appealed that decision to the state’s Supreme Court. – As reported in CRASH Network (www.CrashNetwork.com), January 4, 2010. The Rhode Island Supreme Court later that year overturned the lower court’s ruling, saying that while the labor rate surveys must be conducted, they don’t have to be the sole determinant used by insurers in the state to determine a prevailing labor rate in a market.

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Continued from Page 18

Exposing the Truth

portant now than ever,” added Simpson. Following up with a phone call or an email to an editor or reporter after sending your press release is a good idea, but only in the right situation. “Editors don’t like it when you call them to ask them did you receive my press release, because they receive so many every day. You should call only when you have something worthwhile to share or pitch, because otherwise you’re essentially wasting their time. Building relationships with the media is vital, but you should only reach out when you have something you definitely believe they will be interested in,” Simpson explained. Eli Greenbaum works for Worden & Company in Royal Oak, MI and has been writing press releases for PPG since 2008. “People don’t read as much anymore, so get all of your important information in that first paragraph,” Greenbaum said. “Any press release should be written like a news story and it needs to report news—new

products, new services, new personnel, new management—but it has to be news. Otherwise, there isn’t any point. A good press release acts like free advertising, but remember--a press release is not an advertisement. So, if you toot your own horn too much, it will normally backfire on you.” It doesn’t always have to be earth shattering news to get ink from the right forms of media, Greenbaum explained. “If a body shop switches to PPG products, for instance, yes—that is news. If you hire a new manager or acquire a new shop, those are the types of things that publications are looking for. But, if you write a release about how good you are at fixing cars, it’s likely that it won’t get any attention from any editors, because they see that type of thing every day and will undoubtedly avoid running it at all costs.” Also, in certain parts of the country, you may need to create several press releases written in different languages. Greenbaum said, “Don’t try to do a straight translation, because there are nuances with each language obviously. So get someone to do the trans-

22 JANUARY 2015 AUTOBODY NEWS | www.autobodynews.com

lation if at all possible. Many years ago, Chevrolet introduced the Nova to the Spanish market without checking out the translation and they ended up with egg on their faces, because in Spanish, ‘Nova’ means ‘Don’t Go!’” One of the great things about press releases is once you’ve created one, you can utilize it in many other ways—in brochures, flyers, newsletters, blogs, web site content and in your e-mail marketing efforts, just to name a few. We love recycling and reusing things in this industry, so press releases should be a perfect match for that. So, you’ve written a great press release and taken some excellent fullcolor high-res photos to go with it. But, now you have to figure out whom to send it to. The first step is to identify all of the media organizations that operate in your market— daily and weekly newspapers, radio stations, TV stations, regional magazines and business publications, as well as national trade publications for the industry. Then, you will need to locate the appropriate person within each organization to send the release to. Focus on local consumer, business and automo-

tive publications first, because those will likely get you the best results. Emailing the releases is preferable to snail mailing them, because they’re easier for editors and reporters to use them and if they’ve cut and pasted it into their magazine or newspaper, that’s obviously ideal. Once you’ve assembled your media list, start building relationships with everyone on it, because sometimes just knowing a media contact by name and making small talk with them from time to time can lead to free ink and/or exposure for your shop.

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ABAC Hosts Ron Perretta at November 18 Meeting by Chasidy Rae Sisk

At 6:30PM on November 18, the Auto Body Association of Connecticut (ABAC) held a member meeting at the Chowder Pot IV in Hartford. During the meeting, Ron Perretta presented several updates on the collision repair industry and discussed common trends within the industry. According to Tony Ferraiolo, President of ABAC, “the event went great. Our membership wants educational content, and we are providing it at every meeting.” Ferraiolo began the meeting by welcoming attendees and thanking the evening’s sponsors which were Bald Hill Dodge – Chrysler – Jeep & Kia, Albert Kemperle Inc., Enterprise Rent-A-Car, and Midstate Insurance and Financial Services. Ferraiolo also expressed gratitude for the support of the ABAC News Supporting Advertisers and Corporate Sponsors before announcing ABAC’s new members which are as follows: Premiere Subaru – Volvo in Watertown, BMW of Watertown, Woodbury Chevrolet, United Auto Parts in Colchester, Rte 25 Auto Collision in Monroe, Gillette Auto Body of New Haven, and Wallingford’s Barberino’s Nissan. The meeting’s first guest speaker was Jay Forgione, Financial Professor for Midstate Insurance and Financial Services, who was joined by Director of Sales, Toni Litrenta. The pair explained that their primary objective is to help independent business owners, such as the shop owners in attendance, achieve financial freedom in a complex and constantly changing world by designing strategies to help

them achieve what is most important to them. Forgione can be reached at 860-678-2933 or via email: JForgione@financialguide.com Next, Gerard Carbonaro of Security First Insurance discussed the new rules for 2015 which concern automotive service businesses, including how those new rules will impact the designation of technicians in both the collision repair and mechanical industries. Chuck Sulkala of the National Auto Body Council (NABC) was also present at ABAC’s meeting to present NABC’s Award of Distinction to one of Albert Kemperle’s employees in recognition of his successful efforts to save an accident victim. Mike Startz was honored for his selfless and heroic action of rescuing a young woman and her two small children from a burning car earlier in 2014. Sulkala also discussed NABC’s recently introduced program, “Texting and Driving: It Can Wait,” and distributed window clings to attendees in support of this initiative. Next, Ferraiolo introduced the featured speaker of the evening, Ron Perretta. With over 29 years of experience in the collision repair industry, Perretta has been a certified MVP Business Development Instructor since 1997, and he also holds an MVP Green Belt Certification for Throughput Performance Solutions. As the owner of two collision repair facilities in Central PA, Perretta is active in local trade associations and holds many trade certifications and accreditations. At the beginning of his presentation, Perretta stated, “I’ve been in

business for 35 years. My locations were built around ‘lean’ processes. Here’s what’s interesting about lean processes in our businesses today; it’s not working. People still aren’t lean. The touch times and cycle times in our industry have actually gotten worse. There’s a lot of people out there that talk lean but aren’t lean. And some of the reasons that I think that it’s like that is that it’s too complicated. So I want to take you through my process. Use what you can, or don’t use any anything at all. The only thing that I know is the body shop business. I started when I was 19 years old. All we’ve ever done is body shop stuff so I’ve honed these processes very well.” Continuing his presentation, Perretta provided details about his processes as well as facts to support their effectiveness. Anyone with questions is invited to contact him via email at RonPerretta@aol.com. Although attendance was slightly down from the association’s last two meetings, a factor Ferraiolo attributes to the Thanksgiving holiday, he states “mostly everyone in attendance stayed until the end and hung around to ask

questions of the speakers… the content was good, and Ron Perretta gave a great presentation.” The evening concluded with a raffle for gift certificates, donated by the event’s sponsors. Bald Hill Dodge – Chrysler – Jeep & Kia also donated a Mopar winter coat which was won by TJ’s Auto Body in Wallingford who was also recognized as ABAC’s Shop of the Month. As with all of ABAC’s meetings, “the purpose was to educate members on industry trends, better their office and shop efficiency, provide updates on proper documentation, and network them with businesses that they can profit from,” Ferraiolo explains. Ferraiolo believes that association meetings and other events are important because they “keep our members up to date on what is happening in their industry, such as new equipment and training as well as OEM statements and procedures that are important to them in making informed repair decisions.” ABAC www.abaconn.com

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Allstate Gives $100,000 to Collision Repair Education

Allstate Insurance Company announced on Dec. 3 a contribution of $100,000 to the Collision Repair Education Foundation. The donation will help support high school and technical college school programs, instructors and students nationwide. The money will be allocated to the foundation’s Collision Repair Education Campaign fund that provides annual student scholarships, school grants, and the annual Ultimate Collision Education Makeover school grant, which is $50,000. “Education is a vital step in preparing the next generation of great techni-

cians needed to repair vehicles that are becoming more complex by the day,” says Allstate’s Claims Vice President Pam Overton. “Contributing to the Collision Repair Education Foundation is an investment in the future and something we take great pride in at Allstate.” Collision Repair Education Foundation Executive Director Clark Plucinski said, “Allstate’s continued support has allowed the Collision Repair Education Foundation to help collision school programs graduate students who are productive, efficient, and capable staff members day one on the job within the collision industry.

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On Creative Marketing

Tom Franklin has been a sales and marketing consultant for fifty years. He has written numerous books and provides marketing solutions and services for many businesses. He can be reached at (323) 871-6862 or at tbfranklin@aol.com. See Tom’s columns at www.autobodynews.com under Columnists > Franklin

Guild 21—Inventing the Next 40 Years of Collision Repair with Thomas Franklin

Last month I wrote about the Guild 21 meetings, the once a month, one-hour conferences sponsored by VeriFacts Automotive. This month’s meeting again began with an invitation for individuals to commit to being inventors of our industry’s future. Members take an oath: “We are repairers, insurers and vehicle manufacturers who hereby declare the possibility of aligning our industry to a common vision, which puts the consumer first.” A message from Farzam Afshar, CEO, VeriFacts Automotive, and the Guild 21 Board of Directors was next. Farzam emphasized that although Verifacts sponsors Guild 21, the Guild is an independent group of collision repairers, insurers and vehicle manufacturers that stand for sweeping innovation in the industry. The commitment is to create transparent customer focused solutions. The emphasis is to invent a radical new future where safety, efficiency

and a cost-effective process are our guiding principles. The speaker at this MaestroConference was Jeff Peevy, Senior Director of Field Support and Segment Development for I-Car. His topic was “Learning Culture, the Only Sustainable Competitive Advantage.” He said he hopes to show that there is always a significant return on investment from training. To show this, he referred to three study groups where how to study and develop a learning culture were researched by I-Car. There were nine shops in Group One, eleven shops in Group Two, and twenty-eight shops in Group Three. The study focused on four metrics: cycle time, touch time, CSI score and supplement frequency. Among the shops studied there were three differing degrees of “learning culture.” The typical shop was essentially neutral, top-performing shops had a strategic learning culture, and the rest had a minimal (if any) learning

26 JANUARY 2015 AUTOBODY NEWS | www.autobodynews.com

culture. For shops with a strategic learning culture, the six-month average after training was a 28.9% reduction in cycle time, a 35.5% increase in touch time, a 4.8% increase in CSI scores, and a 12.5% reduction in supplement frequency. For shops with a typical learning culture, the six-month average after training was a 13.8% reduction in cycle time, a 49.2% increase in touch time, a 6% increase in CSI scores, and an 11.2% reduction in supplement frequency. For shops with a minimal learning culture, the sixmonth average after training was a 3.6% reduction in cycle time, a 1.9% increase in touch time, a 1.2% increase in CSI scores, and a 10% reduction in supplement frequency. Another measure of the effectiveness of a learning culture was employee retention. There was essentially no turnover for strategic learning culture shops. The typical shop had a 14% turnover rate, and

minimal learning culture shops had a 20% turnover rate. Where the best learning culture was established, personnel believed knowledge is a company asset and learning is the only source of sustainable competitive advantage. Management promoted and supported this belief throughout the organization. There was a learning expectation for all staff members and a commitment to strive for expertise in one’s role. Knowledge was shared freely. Solutions were sought that involved the whole operation. And a common vision was created together. New personnel were recruited to support the learning culture. By contrast, the attitude toward learning where there was little if any learning culture was essentially negative. Management would apologize if an employee were sent for training. With that negative attitude, 60% failed to even show up for training or to notify anyone of the failure to show. For

those who did show, the negative attitude minimized any benefits. There was apparently no recognition that the industry is facing a technological tsunami that can be a death blow to shops that fail to keep up with the needed knowledge and expertise. And these days there is even a limited shelf life to technical knowledge as vehicles are undergoing constant change. Jeff closed with a summary of the “Eight Practices of a Learning Culture.” (1) Believe that knowledge is a company asset and learning is the only source of sustainable competitive advantage. (2) Promote and support this belief throughout the organization. (3) Establish a learning expectation for all staff members. (4) Commit to expertise within your roles. (5) Share knowledge freely. (6) Think of the whole operation when looking for solutions to challenges. (7) Create a vision together. (8) Recruit to support a learning culture.

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Rust-Oleum Donation to Five Collision School Programs Through CREF Rust-Oleum, a manufacturer of protective paints and coatings, recently donated epoxy floor coating to five collision school programs through the Collision Repair Education Foundation. The collision schools programs are all Education Foundation Ultimate Collision Education Makeover grant applicants and will prep the floors and apply the donated product. The collision school programs that received the donated epoxy floor coating from Rust-Oleum in 2014 include: ● Contra Costa Community College (San Pablo, CA) ● Maxwell High School of Technology (Lawrenceville, GA) ● Regional Career Tech Center (Ypsilanti, MI) ● Tennessee Technology Center at Livingston (Livingston, TN) ● Thomas Edison Career and Technical High School (Jamaica, NY) ● Waubonsee Community College (Sugar Grove, IL) Rust-Oleum Vice President Human Resources and Administration Steve Gillmann noted, “Through our Rust-Oleum Cares initiative we are happy to support educational organizations that lack the funding required to provide students with top-notch fa-

don Eckenrode said, “If the industry is serious about attracting new students, that starts in the collision school programs and together we can assist these instructors and students by helping to provide them with a professional learning environment. Through Rust-Oleum’s continued generosity, we have been able to assist a collision school program every other month and when viewing the before and after pictures, the schools are almost unrecognizable with how well they look. I invite the industry to take this program nationwide with us by adopting a local collision school program and help in their efforts to ensure the collision program looks professional.” Industry members interested in adopting a local collision school program Before and after photos at Waubonsee Community College through the Collision Rein Sugar Grove, IL pair Education Foundation for learning. It also demonstrates a and help ensure that they have a propersonal respect for the students as in- fessional learning environment should dividuals.” contact Brandon Eckenrode at: Collision Repair Education Foun- 847.463.5245 or Brandon.Eckenrode dation Director of Development Bran- @ed-foundation.org.

cilities. Allowing students to work in a facility that looks professional, orderly and clean creates a better environment

www.autobodynews.com | JANUARY 2015 AUTOBODY NEWS 27

Auto Body Craftsmen’s Guild Looks to Increase Membership in 2015 by Chasidy Rae Sisk

Although the Auto Body Craftsmen’s Guild (ABCG) was founded in the early 1960s by a group of concerned shop owners, the association became stagnant over the past five years due to the absence of a dedicated administrator; only the Board of Directors was holding the association together. Matters changed this fall when ABCG enlisted the aid of Eddie Kizenberger Jr. as their Executive Director. Kizenberger explains, “being that ABCG’s Board of Directors were all fulltime shop owners, there wasn’t anyone who was running the association which is, in itself, a full-time job. Once the Guild’s Board of Directors contacted us at LIABRA (the Long Island Auto Body Repairmen’s Association), we met with them and promptly worked out an agreement, thus creating a new ABCG. We’ve now grown to our current size and hope that we will continue to grow as the New Year approaches.” Currently, the ABCG consists of over 60 members, and the association’s immediate goals include educating members on the pressing issue that the collision repair industry is facing, instituting programs to increase profitability, and continuing to grow their member base. In addition to enjoying free access

to all of ABCG’s meeting and training events, association members are also invited to all of the activities hosted by the more established LIABRA. ABCG’s focus on providing member training relates to their mission that Kizenberger describes as “Education. Knowledge is power, and we believe that we must take the least educated shop owners and bring them up to a standard that will allow them to run their shop in a profitable and efficient manner.” Because ABCG serves all five boroughs of New York City, the association’s long-term goal, as they strengthen and rebuild their group, is “to create a unified ‘down state’ group which will be comprised of Long Island the five boroughs.” Kizenberger adds, “having a unified group will strengthen our ability to educate and represent our members in the political and regulatory arenas.” The association will attempt to attract new members next year. Kizenberger says, “At the beginning of 2015, we will be holding a membership drive where we will be asking our current members to help us spread the word about our growing group. We are also planning to conduct a labor rate survey for the members in our geographical area, and we hope to continue expanding our educational seminar program.”

Providing educational training seminars for members to attend is ABCG’s method of ensuring that the association does what it can to overcome one of the biggest challenges faced in trying to maintain operations, which is keeping members up-to-date on current technology in the collision repair industry. The other challenge Kizenberger identifies is the need to attract new entry-level workers into the industry. In regards to the challenges facing the collision repair industry as a whole, Kizenberger lists overbearing insurance companies and ever-evolving technology as two areas that impact shop owners and technicians the most. He believes that these collision repair industry professionals can combat these challenges by “keeping pace with new technology so that they are able to properly repair today’s vehicles.” ABCG’s current legislative activities include their parts procurement bill proposed in collaboration with LIABRA. Kizenberger states, “We believe each shop should have the right to purchase parts where they see fit, and no one should interfere with that. We also have proposed legislation dealing with unfair claims practices and deception referrals.” Kizenberger believes this legisla-

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tion, if passed, “will allow the shop to properly repair the car and help them help their customer receive the settlement that they are entitled to. Most importantly, it will allow repairers to return their customers without being tortuously interfered with at the time of the claim.” Like other industry associations with similar proposed legislation, the biggest challenge ABCG faces is their opponent, the insurance industry, who “has an endless supply of cash flow,” Kizenberger laments. When questioned about some of the national legislation still pending, Kizenberger states that ABCG supports both the PARTS Act and Right to Repair: “We support the ability of OEM manufacturers to keep their designs proprietary. We also feel that, as part of the repair, OEM technical software data should be available to all repairers.” Looking forward, Kizenberger states, “We are looking to hold a few different training seminars in 2015. One will be very similar to the GM training that we just held for the Long Island group [with LIABRA], and another that we hope to run is on comprehensive estimating so that these shop owners can see all the places that they are losing money on their estimates.” ABCG can be reached at 631-941-9647.

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Continued from Cover

Associations Look Back

the conclusion of the OEM Collision Repair Technology Summit that we launched during the SEMA Show,” recalls Aaron Schulenburg, Executive Director of the Society of Collision Repair Specialists (SCRS). “This was a first year event that we spent the entire year working to develop content for. I love that our trade association produces events that can make our members feel inspired and empowered, and it is one of the very specific reasons that SCRS and SEMA partnered on our work together over 5 years ago. We saw opportunity for an industry that had everything to gain from good ideas being delivered in an environment that fostered creativity and business development. I never fail to be in awe of that ‘electricity’ that fills the halls and classrooms of the Show, and this particular day of focused discussion was memorable because it brought people together to focus on an issue that is important to all.” Schulenburg continues, “this session generated some remarkable responses from the attendees, as we took

a good hard look at the defining responsibilities of collision repair businesses, automakers and equipment manufacturers as the room focused on a common issue relative to repairability of new technology found in the structural design of the modern vehicle. The topics from this new forum have spawned a whole new level of engagement from an industry hungry for more information. It has shone a light on areas that SCRS can help to encourage and promote relevant and much-needed industry discussion, and where we can provide insight into areas of curiosity. The work from this session has already fueled potential programs and offerings that we will launch during the year and that will inspire programs next year. What makes it memorable isn’t the event; it is watching the ideas flow in the postevent conversations and to see what was just a spark of imagination in our planning session turn into such a valuable resource that inspires so many others. For those that joined us this year, I hope it was equally as memorable for you. For those who couldn’t, I really hope you can next year!” In 2014, the National Auto Body Council (NABC) assisted in facilitating

the donation of over 300 vehicles that were restored by members of the collision repair industry and donated to families and military heroes in need of reliable transportation. “In speaking for the NABC, I’m proud to say that our organization, made up of dedicated members of our inter-industry, changed the lives of the recipients of those vehicles, forever, through the NABC’s Recycled Rides initiative,” states NABC President, Nick Notte. “ This activity was in direct support of the NABC’s vision, which states that ‘Automotive Collision Repairers are Admired Professionals.’ It absolutely supports the NABC’s mission to ‘Develop, implement and promote community-based initiatives which exemplify the professionalism and integrity of the Collision Repair Industry’.” Tony Ferraiolo, President of the Auto Body Association of Connecticut (ABAC), believes that the best thing the association did in 2014 was to “bring education style meetings to our membership, specifically by presenting topics with speakers to address industry concerns and ever-changing evolution. We strive to entice members to get away from their normal way of conducting business and experience new

and different approaches to keep up with training, technology, and equipment.” For the Georgia Collision Industry Association (GCIA), “our most memorable achievement was raising money for a local technical school to help them educate the next generation of technicians,” according to GCIA Executive Director Howard Batchelor. “The average age of technicians is over 45 years, and we need a well-educated work force to work on the technically advanced vehicles of today.” John Petrarca, President of the Auto Body Association of Rhode Island (ABARI), says “in 2014, ABARI witnessed the positive effects of its hard fought legislation regarding the valuation of total losses that was passed in 2013. As the regulatory process concluded in 2014, consumers quickly began to see the benefits of the legislation, as insurers must now use the 75% repair cost/value threshold for every vehicle, or obtain the owner’s written consent to total the vehicle, thereby preventing insurers from unfairly declaring a consumer’s repairable vehicle a total loss, because it would cost less. The law also requires insurers to value total loss vehicles based upon either

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NADA or Kelley Blue Book when settling total loss claims. ABARI fought hard at every step to prevent insurers from diluting the meaning and intent of the law at the regulatory level. We succeeded, and the law’s implementation has taken the guesswork and hassle out of the process and prevents insurers from using cost cutting programs to unfairly settle claims. The total loss legislation was an enormous win for consumers, and ABARI is very proud to be part of this victory, especially in Rhode Island where most residents are still struggling to crawl out of a very difficult economy.” For the Long Island Auto Body Repairmen’s Association (LIABRA), 2014 was filled with opportunities for growth and supporting their member-

ship. Executive Director Ed Kizenberger recalls, “we had several memorable items worth mentioning in 2014. First is our merger with the Auto Body Craftsmen’s Guild of NYC. This merger will allow us to support and represent all of downstate New York. Our membership now spans from the East end of Long Island to the western end of Staten Island. Also, our parts procurement bill, which was one of the first of its kind in the USA, came quite close to being voted into law. We hope to see it come to its full potential in 2015. Lastly, our educational seminars were well attended and received good reviews from our membership.” “At ASA-Illinois, our best accomplishment was hiring Donna Kelly as our new Executive Director,”

said Dave Walter, President and Chairman of ASA-IL’s Board. “That, along with Deb Bullwinkel staying on as Co-Executive Director, was the catalyst for our 15% growth on the Mechanical side. They were also instrumental in what many would say is our most significant accomplishment, opening ASA-Illinois to Collision members after almost 20 years. They did a great job this year, and we’re looking forward to more growth in 2015.” ASA-CO Board members got the chance to meet ASA-National’s Executive Director in 2014, and according to the affiliate chapter’s Executive Director Kari Foster, “meeting with Dan has been the highlight of ASA Colorado’s year. The work we do for

the Collision members on the national level and in Washington is why many local members are a part of the Automotive Service Association of Colorado—and we are so proud to be a part of the national community.” For many associations, no memories from 2014 can usurp memories of some of the events they hosted. Luz Rubio, Executive Director of ASA-AZ, cites the Phoenix Chapter’s Board retreat in August as being extremely memorable since it was the first time the retreat has been held in over a decade. Rubio states, “it was a great experience. All members contributed to the development of the plan for the year and agreed to reconvene in 2015.” For John Williams, Executive Vice President of the Independent Damage Appraisers Association (IADA), his most memorable association-related experience of 2014 was “the success of our 46th Vehicle Repair Conference in Baltimore, MD. Our conference was well attended, and speakers were outstanding; it was a great educational experience!” Similarly, “for the Texas Independent Automotive Association (TIAA), the most memorable event was the 2014 Texas Tire & Automotive EXPO. It was memorable because it was the first joint convention/EXPO of the Texas Tire Dealers and the Texas Automotive Collision/Repair organizations, and it was very successful. This first event set the stage for a great future alliance between the two industries,” says Chuck Space, Executive Director of the TIAA. ASA-Northwest also enjoyed a successful event in 2014 with their annual Automotive Training Expo (ATE) where Executive Director Jeff Lovell recounts, “we had over 900 attendees with 600 going through our training program; the Expo was sold out, and most of the training seminars were filled to capacity. Our first ATE had only 173 attendees going through the training, so it was a very special time for ASA-Northwest to see all of our efforts, which started seven years ago, come to fruition with such a successful ATE.” Overall, 2014 was a very productive year for the collision repair industry, and hopefully, 2015 will be even better, thanks to the efforts of these and many other associations. We look forward to continuing to provide you with all of the association news in 2015 also. Happy holidays! See you in 2015!

www.autobodynews.com | JANUARY 2015 AUTOBODY NEWS 31

H OND A C ONN ECT I CUT

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Continued from Cover

Community Christmas

munity minded,” said Margaret. “Our community has supported us 100 percent in all of our endeavors, so we try to give back as often as possible.” The shop’s finances, office management, public relations, and “you name it” are handled by Margaret. Her son, Tim, who co-owns the shop took over as president after David passed away. Margaret’s husband and daughter-in-law are also employees. The family’s seventh annual Cookies and Cocoa event, which took place on December 4, has raised $3,800 in cash donations so far, as well as 41 bikes and barrels of coats and toys. “We bought 36 of the bikes, and then our friends contributed the other five,” said Margaret. “I buy the coats from Rothschild; they give me an 85 percent discount for the event.” This year, Godfrey Women’s Club made all the cookies for Cookies and Cocoa, while in past years, Margaret and her two granddaughters, Taylor, 11, and Lily, 8 were in charge of baking. “[Godfrey Women’s Club] is a group of local women who do a lot of

good in the community,” said Margaret. “We are friends with all the ladies, so one of the members asked if she could make the cookies this year, which saved me a lot of work.”

Margaret’s granddaughters, Taylor and Lily Freer, pose in front of the spread of cookies before the crowd comes

The traditional holiday season isn’t the only time the Freers spread Christmas cheer. For the past five summers, they have raised money for the Community Christmas in December with a Christmas in July event. “It all started when Taylor wanted to donate her piggy bank to Community Christmas,” said Margaret. “I suggested they start a lemonade or Kool-Aid stand instead.”

The idea for a lemonade stand took off, and turned into a full-blown fundraiser. The girls raised $2,500 the first year, $6,500 the third year, and a whopping $18,200 this past summer. “My granddaughters and their friends do everything – they wait on people, serve food, sell the raffles, etc., while we make 100 lbs of Sloppy Joe’s.” The yearly prize for the raffle winner is a trip to Disneyland. Margaret and the rest of the family at Freer Auto Body ask 50 of their friends to sell 20 raffle tickets for $10 a piece in order to reach $10,000. Over the years, Freer Auto Body has raised over $36,000 in cash donations, toys and clothes for Community Christmas, which is one of the many reasons the Godfrey Women’s Club awarded the shop a Golden Leaf in 2011. “We are the most respected body shop in the community,” Margaret said. Please call United Way’s Southwest Illinois Division at 618-258-9800 or visit HelpingPeople.org for more information.

Continued from Cover

Brighten the Holidays

hand with CitySquare this holiday season,” said CeeCee Evans Main Auto Body’s General Manager. “This collaboration makes perfect sense. Our location has been in the heart of Downtown Dallas for many years and this gives us an opportunity to help support our surrounding communities and the Dallas area as a hold.” The objectives of the toy drive are to help children in need experience the joy of Christmas, to nurture the development of children, to unite members of local communities in a common cause and to contribute to the future betterment of communities. The toy drive will run December 12 through December 23 at 4pm. They toys will be given out on December 24, by CitySquare to deserving kids and their families.

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On Creative Marketing

Commercial Customers—A Reliable Business Source with Thomas Franklin

Although there are still many more independent shops than franchise and multiple operator shops, many of the best DRPs and dealership deals often go to the well-funded group shops. This trend may increase, as vehicle manufacturers require expensive equipment, tooling and certification to work on their vehicles. To carve out a successful niche for an independent shop, in the past I’ve suggested a variety of options. One that I think gets too little attention is the commercial vehicle market. In the past I’ve assisted three different shops that at least partly specialized in commercial vehicles. One focused on government and police vehicles. Another put in an oversize frame machine and an expanded spray booth to accommodate slightly larger delivery trucks, and a third shop, a GM dealership shop, focused on companies with Chevrolet and GM business vehicles. All three enjoyed above average profits on their commercial business. When I inquired about the pros and cons of this business, I learned that many small businesses prefer not to place minor damage claims with their insurance companies. They’d rather self-pay the repairs. Also since small dents and dings were a regular occurrence with some companies, the shop would provide a monthly billing statement and enjoy a steady stream of income. The shop owner who provided much of its commercial business to the local police department, quickly learned that he would get more of that

business if he also provided minor engine maintenance, lubrication and brakes and times. One single dedicated bay sufficed for that business, which also turned out to be quite profitable. This added service also got him into other commercial accounts. Plunging into the world of commercial accounts requires a very different method of marketing from normal insured and dealership vehicle promotions. Marketing to this world is more similar to that of many other services. Since most areas have a multitude of small and medium business with anywhere from a couple of vehicles to an entire fleet (one pest control company had over 200 vehicles), building a database of prospects can be a first step. For example, lists of appliance repair companies, air conditioning and heating companies, plumbers, electricians, and handyman and painting service companies can be purchased from a list company or built from on-line listings. The following four steps might be one way to develop opportunities to meet with prospective commercial account principals. It assumes you have a competent phone solicitation person who can modify the script to fit the conversation as he or she goes along. 1. Exploratory phone call: Could I please speak to your (delivery) vehicle maintenance manager. (If not in) Can I leave a message? What is his/her name, please? May I also send a note? What is the exact spelling of his/her name? Do I have the correct address? (If none, get mailing address. (If provided by outside

source, ask for company that provides delivery vehicles) 2. To vehicle manager: Hello. I noticed that your company has company-owned vehicles. Do you do your own maintenance? (If so) Do you also repair damage to vehicle if they get in an accident or pick up minor dents or dings? (Usually they say NO) We would like to do some minor repair on one of your vehicles to show you the quality and speed of our work. (If large vehicles, indicate if we have an oversize frame machine and expanded spray booth to accommodate oversize vehicles). (If not doing their own maintenance) I assume, then, that you’re using an outside company to do your maintenance? (Usually YES) How many vehicles do you have? Would you consider an alternate outside service, if just for emergencies, when you need very fast service – or just to try an al-

ternate source? (IF not at this time) May I send you some information about our company? 3. Follow up the call by sending a letter and some literature. After a while, when you’re sure your letter has arrived, call again to see if he or she got it. Check again for an opportunity to perform some minor service to demonstrate what our shop can do – or to meet with the appropriate person. 4. Continue to send an update every month. Call again in a couple of months. Continue until they begin to respond positively and are willing to come in for at least a minor repair. Eventually this will work with many of them. Soliciting commercial business is very different from the usual collision repair marketing. Speed of repair is of the greatest importance. The company wants to get a disabled vehicle back on the road as soon as possible. If you can prove your shop can be the fastest, you’re likely to get the business.

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Nissan Settles Class-Action Suit Claiming Faulty Brakes

Nissan North America has agreed to reimburse customers between $20 and $800 each to resolve a lawsuit alleging that defects in certain vehicles caused brakes to fail suddenly, according to court papers. The settlement agreement, filed on Dec. 5, would affect current or former owners of approximately 350,000 vehicles nationwide. They include 2004-08 Nissan Armadas, Infiniti QX56s or certain Nissan Titans, according to the court papers filed with the U.S. District Court for the Northern District of California. If approved by U.S. District Judge Phyllis Hamilton, the settle-

ment would resolve a 2011 lawsuit that claimed a problem with an electrical component would cause the brakes to fail without warning. Plaintiffs had sought reimbursement for monetary losses, including expenses incurred for replacement or repairs. It does not include claims for physical injuries.Under the agreement, Nissan would reimburse class members between $20 and $800, depending on a vehicle’s mileage. The court awarded $3.45M in legal fees and expenses for the plaintiffs’ lawyers. A Nissan spokesman declined to comment.

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Industry Looks to Plant DNA to Solve Scrap Metal Theft Retribution for Scrap Metal Thieves Arrives from Overseas by Victoria Antonelli, Online Editor

The thievery of aluminum, copper, and other scrap metals continues to haunt all corners of the international auto industry, despite a steady decline in prices since its peak in 2008 (nearly $500 a ton). Michael Cavanaugh, owner of J&D Auto Salvage in West Warwick, RI, is all too familiar with scrap metal scandals. “We used to have a list on a pad, and we could pick and choose which cars we were going to get, and which ones we’d send to the town over. Our truck would always come back with three to four cars a day. It never came back empty,” said Cavanaugh. “Now, for the past year, year-and-a-half, we’re lucky if we get three to four cars a week. It’s slim pickins’ now that everything has been scrapped.” Cavanaugh blames unlicensed scrap metal yards for his decline in business. He said that he and his wife have contacted the Rhode Island Department of Business Regulation about the issue.

“I have emails going back to 2009,” said Cavanaugh. “The position that deals with these types of issues was left unfilled for 10 months, so the department said they would keep my complaints in a folder until they hired someone, but even when they did, I never heard back.”

Photo courtesy of Mitchell Miller, Director of Communications at Applied DNA Sciences in Stony Brook, NY

“I understand [Cavanaugh’s] frustration that there are unlicensed people out there. That’s why, give us more tips,” said Maria D’Alessandro – the Deputy Director of Securities, Commercial Licensing, and Racing and Athletics at the Rhode Island DBR – in an article written by wpri.com re-

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now has constant police surveillance after hours and on weekends. “It’s time-consuming and costly to have to replace the locks, chains, and make 12 new keys for the employees,” he added. Also in Nebraska, a man was arrested for stealing wheel rims from Ron’s Body Shop and scrap metal from Precise Fabrication and T.O. Haas Tired Company back in 2012. Rhory M. Ivy became a suspect after police found a receipt from Beatrice Scrap Processing Co. stating that he brought in 2,800 lbs of scrap metal, which is worth about $554, according to reports by the Beatrice Daily Sun. Authorities were then able to trace the scrap metal back to the three locations. At a body shop in Elizabeth, N.J., five male burglars tied up patrons and employees before pursuing catalytic converters and cash in April 2014. No injuries were reported, according to ABC Eyewitness News, New York. Unassuming vehicle owners have also experienced the aftershock of these crimes. Five catalytic converters

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porter Tim White. “We are acting on these tips.” Autobody News contacted the DBR for comment, but never heard back. Cavanaugh has noticed a change outside his auto salvage yard as well. “When you used to drive through a neighborhood, there would be junk cars in everyone’s yard,” he said. “Now there’s not a car to be found – your car breaks down on the side of the highway, after no more than a day somebody comes and grabs it for scrap.” Body shops have also felt the pain of scrap metal theft. Travis Dowling of Great Plains Auto Body in Nebraska said their shop on Emmet Street has been robbed three times. “The burglars sliced through cables, torched the key hole on one side of the building, and then cut the pad locks on the containers where the scrap metal is kept,” said Dowling. “Luckily, they stole the older scraps – aluminum hoods, containers and condensers – and not the newer ones that are worth more.” After the third break-in, Dowling contacted authorities, and the property

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were cut off of vehicles parked in Silver Lake, Los Angeles during a span of one week in June 2014, according to an article by eastsiderla.com. Police stated that on average, there is about one catalytic converter theft per week. A Silver Lake resident reported that his Honda Element sounded like a “jet engine” when he turned it on in the morning after parking in the street. Sure enough, the catalytic converter had been severed off. “Cat-Clamps” have become a popular solution, since most car alarms do not react to this type of intrusion because windows or doors are not being accessed. Another alternative to stopping scrap metal theft has “taken off” in the UK and other parts of Europe, and is making its way to America’s shores. Applied DNA Sciences, a biotech company in Stony Brook, NY, has found a way to synthesize plant DNA into, well, anything, and then track the object from there. “There are so many applications, it’s almost a problem,” said Tony Benson, managing director of ADNAS, who is based in London, England. “You dream it and it’s there, I don’t think we’ve found anything we can’t

apply it to, it’s that flexible.” The product, called SigNature DNA, has a complex characteristic, which allows for the endless possibilities. “The fluorophore within the product or liquid glows bright red under UV light, but cannot be seen at all under normal conditions,” said Benson. “Law enforcement is aware of

An example of the SigNature DNA in visible light vs. UV light. Photo courtesy of Mitchell Miller, Director of Communications at Applied DNA Sciences in Stony Brook, NY

this, so when they scan an item with a UV light and it turns red, they know it is one of our products and from there we can track where it came from and who stole it.” The product was initially developed to combat the rising number of armored car attacks in England. In 2006, there were 1,006 attacks on ar-

mored cars driving to and from banks with cash. The first deterrent – an ink spray that was released when the robber opened a cash box – didn’t stop them, according to Benson. “They would just wash the ink off the cash,” he said. “But once the plant DNA was synthesized into the cash boxes in 2008, attacks dropped by 75 percent – close to 100 criminals have been put away with a combined sentence of 500 years, thanks to DNA technology.” Today, car dealerships, body shops, insurers, vehicle manufactures, boat owners, electrical and railroad companies, and even homeowners in Europe use DNA technology to target scrap metal theft. “A car dealer can use the kit we sell on the interior of their car, like in the leather seats for example, or on the underbody,” added Benson. And the improvement is monumental. “We have seen an 85 percent reduction in crime in areas where we’ve applied the DNA to copper and other scrap metals,” said Benson. Benson feels that getting the word out about this product will help prevent crime from happening in the

first place, which is the ultimate goal. “Criminals understand DNA, they all watch CSI, and they know they’d be in trouble if they got caught with that, so it’s a fantastic deterrence.” Another popular product created by Applied DNA Sciences is SmokeCloak® DNA. “As soon as someone enters a building after hours, the fog triggers, and fills the whole place,” said Benson. “You can’t see your hand in front of you. It’s like you’re at a pop concert.” “I’ve experienced it − and you literally don’t know where you are – it’s like you’re in a plane upside down,” added Mitchell Miller, director of communications at ADNAS. The fog is filled with: you guessed it, DNA molecules that stick to the trespassers’ clothes, hair, and skin, and can fill warehouses that are 200,000 sq. ft. or bigger. “Europeans understand it and get what it does, and it’s starting to get traction in the US,” added Benson. “In fact, it could be bigger in the US − the main thing is, it works − people love it, insurers love it, car dealerships love it.”

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Lean Operations

David Luehr is the owner of Elite Body Shop Solutions, LLC, a collision business consulting firm based in Nashville, Tennessee. He is a 30 year veteran of the collision repair industry. David is an expert in Body Shop Operations and specializes in Lean, and Theory of Constraints methods. Email him at dluehr@msn.com

Successful Change Using Modern Leadership with David Luehr

I have presented and written several articles recently where I have expressed my views on the new age of leadership. I have been openly critical about the outdated, Industrial Age leadership methods being used by leaders in many collision repair businesses. The reason I am so passionate about this subject is because it is at the very core of our continued success as a collision industry. The business leaders that first embrace modern leadership concepts will dominate the industry! Shop leaders continue to struggle implementing new systems for producing repair jobs faster and better. Lean systems are beginning to get a bad name. Technicians think that each new attempt at process change is just another “flavor of the month” and rarely if ever do they embrace the change initiatives. Why? I will give you my scaled down version of “why” containing two eye opening thoughts.

■ Why are you in business? ■ Why should the staff care? ■ Why are you in business?

This seemingly simple question completely stumps a vast majority of my clients. Why do you do what you do? Is the reason you get out of bed every day just to keep the bills paid or is there a grander more noble purpose to why you are managing or owning a collision repair business? The sad fact is that many of my clients forgot why they started their business to begin with. The harsh realities of daily business has changed the original why from what was once a why of great joy and passion to what is now mere survival. Have we forgotten how to dream? I have nothing against consolidators, but in many cases, MSO consolidation feeds on the lost dreams of independent owners. Can you see the connection? I can see it, because I have lived it, and seen it firsthand. What does this have to do with influence and getting people to do what you want? How does this affect your attempts at lasting change? It has everything to do with it! Values and vision are at the very foundation of every great organization. If you

don’t know the “WHY” how are you going to have a guiding vision in the first place? First you must deeply think about your why. Think about the dreams you had when you first opened your body shop or when you first became the manager of a shop. Find that passionate person inside of you and bring him back! What does your business model look and feel like in your dreams? In your dreams, is your shop the one everyone wants to come to work at? Are DRPs lining up at your door because your reputation is so amazing? Are your customers raving fans because you and your employees treat them with a level of excellence rarely seen in the industry? Are you and your staff enjoying your time at work? Thoughts like those I have mentioned are a distant dream for many, but it is also a pleasant reality for business owners that are willing to continue fighting when slapped in the face by reality, doubt, and fear! Once you have figured out and written down your why, it is time to shout it out to the world! It becomes the fabric of your business, the culture, and then you can begin to share the vision of the why with your employees. Only after you understand this can the next step be addressed.

Why Should the Staff Care? Industrial aged thinking views employee satisfaction and motivation primarily as a product of the almighty dollar. In Daniel Pink’s book, DRIVE, he states “The best use of money as a motivator is to pay people enough to take the issue of money off the table.” Daniel then goes on to say, “But once we’ve cleared the table, carrots and sticks can achieve precisely the opposite of their intended aims.” So to paraphrase Pink’s thoughts, paying people what they are worth is critical to fulfill their basic needs of living, but beyond that, throwing money at problems in an attempt to solve them usually doesn’t work. I believe that many of us still use this technique mainly because we don’t understand modern leadership skills. In my recent article “The Wrong Bonus Plan Can be Worse than None

40 JANUARY 2015 AUTOBODY NEWS | www.autobodynews.com

at All” (see Auto Body News August 2014) I go into depth on why this is so. “There will never be an incentive program that can make up for the lack of proper management and leadership!”

3 fundamental leadership steps I believe there are 3 fundamental leadership steps to getting your people to follow you and your change initiatives. Obviously there is a lot more to leadership and influence skills than what I am giving you today, but if you can get these 3 right, you are well on your way!

1. Learn how to communicate with people In order to get people to openly communicate with you, you need to learn how to talk to people correctly. Modern leadership involves creating a safe environment for people to speak freely with each other and leaders. Time

wisely spent just listening to your staff with your ego removed is huge to the development of a healthy change culture. Every shop has employees that mouth off and complain a lot, it is your job to find out what lies beneath the griping. Communication skills are paramount to all other leadership skills in my opinion and simply by being a better listener and making it safe for people to open up to you will make a huge difference over time.

2. Tie intrinsic values to key behaviors If you want to get your staff on board with your change initiatives, you must learn to tie your employees intrinsic values to key behaviors that will make your vision come to life! In other words, you have to know your people, what they value and think is important. Intrinsic value is another word for “what are you passionate about?” See Successful Change, Page 47

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The Hybrid Shop Carves a Niche in Hybrid Maintenance and Service by Stacey Phillips, Assistant Editor

With nearly 75 different hybrid vehicles currently on the road and more than 100 models expected to be in production by 2016, Matt Curry of The Hybrid Shop said education, training and technology are crucial for the expanding hybrid electric vehicle (HEV) industry. “There’s a pent up demand for hybrid and electric vehicles,” said Curry, the company’s Chief Visionary Officer. “In order to keep up with the future you need to be in the business.” Prior to launching The Hybrid Shop in 2013, Curry and his wife Judy owned Curry’s Auto Service in Northern Virginia since 1997. Over the years they expanded their auto repair business to include 10 shops. During this time Curry purchased eight Toyota Priuses to use as customer shuttles and learn more about hybrids. After talking to Dr. Mark Quarto, a PhD electrical engineer at GM for 28 years who specializes in alternative fuel and hybrid technology, Curry soon realized that HEVs were very different from traditional automotive design.

The Currys sold their retail stores to Monro Muffler Brake in 2013 and opened The Hybrid Shop, which is headquartered in Gainesville, Virginia. Just one year later they have 39 franchises across the U.S. and are looking at further expansion nationwide and around the world. They recently attended the SEMA show in Las Vegas to continue to educate the industry about their business.

In addition to selling full franchises, the Hybrid Shop offers fractional franchises to those who own existing automotive repair and tire facilities and want to add a hybrid component. New owners and their technicians go through a four and a half day training session in Wisconsin. “We teach them how to diagnose, maintain and repair everything on a hybrid vehicle,” said Curry. The fran-

The Hybrid Shop team at their booth during SEMA: Jennifer Martin, Marketing Director; Dave Crawford, CEO; Matt Curry, Chief Visionary Officer; and Bob Curry, President

chise includes diagnostic tools, training, branding, marketing and sales support. “It is a comprehensive system that teaches them everything about hybrid vehicles.” Once a shop is operational, The Hybrid Shop profiles them on their website, which Curry said generates more than 300 leads a month to their dealer network. “We actively drive traffic into their stores,” said Curry. “We drive car count revenues and profits.” He said that while running his prior business they always prided themselves on their marketing and branding ability. “That’s what allowed us to grow from one store to 10 in 15 years.” Another main component of The Hybrid Shop is the battery conditioning that is offered to customers. Working closely with Chief Technical Officer Dr. Quarto, the AR&D team developed an exclusive technology only found at The Hybrid Shop that can restore a hybrid’s battery to over 95 percent of its original performance. Since hybrid batteries have a 100 percent failure rate, Curry said the only option available has been to replace the battery at an average cost of

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$4,000. “We can condition the battery for about a third of the price of battery replacement so it saves the customers thousands of dollars, it makes the repair shops thousands of dollars, and it’s better for the environment.” Curry said by conditioning the battery every four to five years or every 80,000 miles, it will keep the vehicle running at maximum efficiency, keep the gas mileage up and the performance of the vehicle working properly. “We are revolutionizing the Hybrid Electric Vehicle (HEV) industry by making repair and maintenance as cost-effective and eco-friendly as we possibly can,” said Curry. The Hybrid Shop received a 2014 Stevie People’s Choice Award for Favorite New Products and the 2014 Stevie American Business Award. On Nov. 19, the company announced that a Northern Virginia investment firm that manages approximately $4 billion in assets, has invested in The Hybrid Shop. Funds managed by the firm now own 38% of the company. “We are proud to announce this investment in The Hybrid Shop by a leading, multi-billion dollar firm,” said CEO Dave Crawford. “The fact that a

multi-billion dollar investment firm would want to invest in an early stage company serves as affirmation of our brand, business model and future potential as well as recognition of our success to-date in our ongoing efforts to achieve a position of innovation and fast-growth in the rapidly-evolving hybrid and electric space.” Dave Carney, owner of Hillside Auto Repair, purchased a fractional franchise in March as an addition to their shop. “I think it has provided the most amazing opportunities that I’ve seen in the 30 years that I have been in the industry,” he said. The Torrance, California-based company had limited industry training and didn’t feel they had enough knowledge about this growing industry. After sending five employees to The Hybrid Shop’s training, Carney said he could dispatch a hybrid to any one of them and they had the skill sets to be able to diagnose and work on it. “I’ve never seen such an energized, motivated employee in my entire life in 30 years of business as these employees came back from this hybrid training,” he said. “It was extensive. It was a lot of hands on and they came back and had a lot of confidence.”

Carney has found that business comes in spurts and the hybrids that need conditioning are the earlier ones on the road. He predicts that as the number of hybrids increases, they will be working on at least one per week, if not three or four. “What the Hybrid Shop did for us is it gave us the confidence to venture into this area of the unknown,” he said. “My expectation is that a year from now, once we get a little experience under our belt, we will be the knowledge base of everything hybrid in our community in Southern California.” Rich Hoffman, owner of Hoffman Tire Pros in Fayetteville, Georgia, purchased a franchise in June. With no prior knowledge of hybrids, Hoffman said that he saw great potential for hybrids in the future. “I like to stay on top of technology and I like to be ahead of the curve,” said Hoffman, who has owned his business for 38 years. “I did some research and felt like the hybrid was here to stay and the Hybrid Shop has the advantage that nobody else has.” Hoffman estimates that he currently does 35 percent tire work and 65 percent service at his eight-bay facility, which he can also use to work on hy-

brids. He recently built a 10 foot by 20 foot “clean” room for the hybrid equipment and to service and condition the batteries. “Any service facility can do the job,” said Hoffman. “You just need to have, I feel, a separate place to work on it.” In addition to the training offered by The Hybrid Shop, Hoffman has learned a lot from staying in touch with other dealers in the network. The dealers recently met for a roundtable discussion during SEMA where they established a dealer advisory council. After hearing many wives’ tales about working on hybrids, Hoffman said, “The hybrid is not as difficult as it sounds as long as you have the training and knowledge and respect what you are working with.” “It’s an opportunity to differentiate yourself from the competition, Crawford. He said that with the mandated CAFÉ standards from the federal government, all new vehicle fleets must average 54.5 miles per gallon by 2025. “The traditional internal combustion engine as we know it today will not be able to meet this objective, which opens the door for hybrid technology. Fastforward 10 years from now and the hybrid business is going to be huge.”

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Media and Publicity for Shops Your To-Do Marketing List for 2015

Ed Attanasio is an automotive journalist based in San Francisco, California. He can be reached at era39@aol.com.

with Ed Attanasio

When body shop owners ask me how can we get started on marketing for our shop, I tell them to start off with baby steps and gradually build your efforts over time. Marketing for any business is like chopping down a huge tree and the average small company does not have the means or money to knock it down with one full swoop. Imagine that marketing is like a big old Redwood tree and you’re sitting there with a little pen knife, but if you keep hacking away at it, eventually you’ll see results. So, I came up with this list of five deliverables—things you can start doing tomorrow. Why just five? Because it’s better to do five things right, as opposed to 500 poorly. After you’ve successfully achieved these five things, come up with five more, but don’t try to do everything—advertising, public relations, online marketing, social media, etc.—all at once, because then you’re setting yourself up for failure. Make a list and work through it and delegate if you can and then re-group after say six months and assess what has worked and what hasn’t.

1) Get Closer to Your DRPS Strengthen the insurer relationships that you currently have while always looking for more, because you may be doing well currently, but what if a new shop (or an MSO) moves into your region and cuts into your workload? We’re all aware that this is the age of consolidation, so it’s more than likely that new players may enter your market at any time. If one or more of your DRPs is shaky for whatever reason, either shed them or figure out ways to re-energize them. Keep continually engaged with your insurance agents, through e-mail marketing, networking events, blogs, occasional drop-in visits and social media. Facebook and Instagram might not be appropriate for your DRPs, but LinkedIn is a perfect vehicle to keep your insurance partners in the loop. Have constant and open communication with insurers, and offer insurer services at your shop, such as hosting continuing education courses, for example. Some body shops have special sections on their web sites dedicated to their insurance partners. Many of these require passwords and some

shops ask their insurance agents to register before then can access these exclusive sections. On these pages, shops can offer valuable information for insurance agents and even maybe entertain them a little too. In some of these exclusive sections, insurance agents can keep abreast of their company’s cars in your shop and message the shop’s personnel, if needed.

2) Get Closer to Your Community Improve your shop’s image in the community by host local events like a summer barbecue, or sponsor organizations that are important to the people in your region. Don’t’ be another faceless company and start reaching out to the community and supporting charitable organizations if you can. Be sure to identify local charities that community members have a connection with and reach out to them. Giving refurbished vehicles to people in need is a big way to achieve this, because the local media loves these types of stories and you’re playing a positive role in your own backyard, which is huge. Too many shop owners are like groundhogs—they stick their heads out of their shop only occasionally and people in their community don’t get a chance to meet them or know them. A body shop’s image should be the same as a bank’s or a hospital’s—leverage the good things you do in the community and make yourself visible at events and other occasions. Check into your local chamber of commerce and start attending their business mixers, because if more people see you, it can only enhance your position in your region. If you’re out there and your competitors are not, there’s a distinct advantage there for obvious reasons. You want people to think about you when they get in an accident and one of the best ways to achieve this is by being seen and building a reputation for being a business that just isn’t into making a buck. 3) Get More Social Utilize social media more this year. Use Facebook, Twitter, Google + or Foursquare to get your message out there especially to the younger generation of customers. Research the newest forms of social media, but just don’t

44 JANUARY 2015 AUTOBODY NEWS | www.autobodynews.com

jump in without determining if it’s right for you. There are a lot of shops out there trying to use certain types of social media that aren’t ideal for them. If you start a Google + account and then never post anything, that looks bad. Find 4-6 forms of social media and post items on them (pictures and videos are best) and stay with them for the duration. Post on a regular basis and don’t deviate, because hammering away at social media is the most effective way to do it. If a customer can see that you haven’t posted anything on Facebook in quite some time, for example, it can actually hurt your image more than you think.

4) Update Your Web Site I’m shocked whenever I see a big, very successful body shop with a web site that is obviously 5-7 years old. With all of the great new platforms and development tools out there, remodeling your web site can likely be much easier this time around. With so

many new bells and whistles available for even a very simple site, you can quickly keep up with the shop down the street and stand out online. We all know that the Yellow Pages are on the endangered list and more and more people are going to their laptops, smart phones, iPads and other devices to find businesses, including body shops. If a potential customer sees a dated web site with old-looking graphics and clunky navigation, they’re going to keep looking. It’s all about “image perceived, mission achieved” and making a good first impression. Having a shabby web site is like having an ugly waiting room or dirty bathrooms. So, if your site is outdated, make a point to get a new one in 2015. 5) Get a Blog! A decade ago, people didn’t take blogs seriously. They thought a blog was for amateur poets or quilting clubs, but those See Your To-Do Marketing List, Page 47

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New Alternative Fuel Vehicle Course by I-CAR® On December 16, I-CAR launched its new instructor-led course, Alternative Fuel Vehicle Damage Analysis and Safety (ALT03). This live, instructor-led, 3-credit hour course is designed to enhance a collision repair professional’s understanding of how to safely approach alternative fuel vehicles of all types after a collision and how to understand the risks and risk-avoidance of working around such vehicles. In addition to the new live instructor-led course, Online options for Alternative Fuel Vehicle Damage Analysis and Safety (ALT03) are also available, broken into two courses: Alternative Fuel Vehicle Damage Analysis (ALT04e), 1-hour and Alternative Fuel Vehicle Safety (ALT05e), 2 hours. Josh McFarlin, I-CAR Director of Curriculum & Product Development explained, “Each vehicle will require specific knowledge about the different risk avoidance elements engineered into these vehicles from a propulsion system perspective. This makes building knowledge on the different alternative fuel vehicle types extremely important,” McFarlin continued, “This course serves as a solution to building a knowledge base on ®

hybrid, electric and advanced fossil fuel powertrain systems such as propane, CNG and Diesel.” These new courses meet training requirements in ProLevel® 1 for Estimators, Auto Physical Damage Appraisers and Electrical/Mechanical Technicians in I-CAR’s Professional Development Program™ (PDP). The new courses have replaced Electric and Electric Hybrid Vehicles (ALT01/e) and Hybrid Electric and Alternative Fuel Vehicles (ALT02/e). Either the Live course or both online courses must be completed in order to receive credit. I-CAR is also debuting the new “Hybrid and Electric Vehicle Disable Search” on the I-CAR Reparability Technical Support (RTS) Portal. Through the Hybrid and Electric Vehicle Disable Search, professionals can more easily find information on how to identify where parts of the hybrid or electric system are located, how to disable the system before beginning a repair, the best welding practices, and refinish precautions. All of this information can quickly be found by make, model and/or year. To begin using the Hybrid Disable Search on the RTS Portal, visit i-car.com/rts.

American Family Insurance Sponsors Collision School Grants through CREF American Family Insurance has awarded $15,000 in grants to four collision school programs through the Collision Repair Education Foundation. The schools applied for the Education Foundation’s 2014 Ultimate Collision Education Makeover school grant and these funds will help fulfill the schools collision program’s wish list of needed tools, equipment, and supplies. The American Family Insurance grant recipients include: ■ Kaskaskia College (Centralia, IL) ■ Lake Washington Institute of Technology (Kirkland, WA) ■ Northland Community & Technical College p (Thief River Falls, MN) ■ Southwest Wisconsin Technical College (Fennimore, WI) American Family Insurance Auto Policies & Procedures Administrator Dan Endres noted, “American Family Insurance is proud to partner with the Collision Repair Education Foundation in their goal of helping schools provide an outstanding technical education. We hope our donation will ensure these schools have the appropriate resources to help these students pursue their dreams.”

’

Collision Repair Education Foundation Director of Development Brandon Eckenrode noted, “I would like to thank American Family Insurance for their continued support of assisting collision school programs who need to graduate productive and efficient collision students however face restrictive program budgets. In some instances, these grants double a schools collision budget and allow the instructor to provide a higher quality technical education to their students.” Industry businesses can learn more information about CREF and make a donation online by visiting www.CollisionEducationFoundation .org.

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Continued from Page 40

Successful Change

Once you get to know your people at a deeper level, you can have conversations with them about why such and such change initiative is important not only to the company, but also to them. To illustrate this, imagine speaking to your body tech about the importance of thorough disassembly and why it is critical to the success of blueprinting. This body tech is often negatively vocal about the quality of the estimates that are being produced at your shop, and commonly complains about all the delays it causes for him. This problem does create a financial impact for him, but what really ticks him off is that every time he gets started on a vehicle, he runs into a supplement or parts issue, and has to stop again. Too many leaders would write him off as a chronic complainer and not act further on the matter. He values smooth continuous production and it is your job as a modern day leader to connect the dots for him as to specifically why the thorough disassembly will help eliminate his pain. You have then connected his

intrinsic values (smooth continuous production) to key behaviors (thorough disassembly.)

3. Share the vision If you closely follow steps one and two and act with integrity while doing so, you will have built a foundation of trust and respect. This foundation may take months or maybe years to create, but it is this foundation that allows you to successfully share your why with your team. Your why, when connected to the intrinsic values of your people becomes a powerful culture. The vision of your why becomes the vision that your entire organization “lives.” You must paint this vision every day, so don’t be afraid to yell it from the roof tops, talk about your vision in your morning meetings, live it! Just don’t make the mistake of acting contrary to your vision. If your vision is to produce the highest quality collision repair work in your city, you better not turn a blind eye to even one poor quality repair job. Every time you turn a blind eye on your why or your vision, you quickly lose respect, and your integrity suffers. Having created a culture where everyone understands the vision,

change initiatives such as those used in lean methods become much easier to pull off. If for example you want to implement a new Blueprint program, you gather your people, you explain why Blueprinting is important to the company’s vision. You connect the behaviors necessary for successful Blueprinting (such as thorough disassembly) to their intrinsic values (smooth continuous production, or whatever) and then you ask for their input on the best way to implement Blueprinting at your shop. (Buy-in)

Summary Clearly there is much more to becoming an Influence Master than what is written in this article, but as I have stated, if you can just master the techniques I have described in this article you will seriously be miles ahead of the vast majority of shops in this country. Go get ‘em!

@autobodynews Accept no Substitutes!

Continued from Page 44

Your To-Do Marketing List

days are long gone. Blogs are an ideal way to enhance your Search Engine Optimization (SEO) because Google indexes blog articles and will move your company’s name up the rankings by using a blog. It’s inexpensive to create a blog (using Word Press, for example) and linking it to your web site. There’s a lot going on at any busy shop, so ideas for articles are plentiful. Once you start looking around for blog article leads, you’ll see that there is a wealth of great things for you to write about. Did your shop recently win an award? Are you gearing up to work on aluminum vehicles? In what ways are you a green shop? A blog will keep people coming back to your web site, because blogs provide new, relevant information and by posting at least 2-4 times every month, there is always something fresh and new for your customers to read. Ed Attanasio 2005 Vallejo Street San Francisco, CA 94123 415.994.5335

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Dropping Gas Prices and Strong Car Sales Could Create Manufacturer Problems by Jason Plautz, Nationaljournal.com

Plummeting gas prices have pushed car buyers away from smaller, greener cars and back into their traditional comfort zone: big SUVs and lightduty trucks. Amid robust sales last month, automakers saw consumers flock toward larger cars, while shunning traditional small cars. And although the strong sales are good news for carmakers right now, that could create problems later as the manufacturers work to meet tightening federal fuel economy standards. “It is a fact that sales of our most energy-efficient vehicles mirror gas prices,” said Gloria Bergquist, spokeswoman for the Auto Alliance, the lobbying arm for American carmakers. “When gas is more costly, sales of high-mileage vehicles rises too, and vice versa. While low energy prices offer good news for our customers, it makes the steep climb to [fuel economy] compliance even more challenging.” Thanks in part to dealers’ promotions and a rebounding economy, auto sales were strong in November, with Subaru and Chrysler both reporting 20 percent increases over the previous

month. General Motors, Honda, Toyota, and Volkswagen all saw gains as well, as the industry is on track to finish with annual sales higher than in 2013.

Photo credit: Scott Barbour/Getty Images

Those sales were largely driven by rebounding light-duty trucks and SUVs—the GMC truck brand was up 22.7 percent, the Jeep Cherokee rose 67 percent, and the Honda CR-V saw sales rise 38 percent. Toyota took a hit on its cars but stayed afloat thanks to increased sales of its 4Runner SUV (up 53.4 percent) and the Highlander crossover SUV (up 16.7 percent). The Washington Post has even anecdotally reported higher demand for the gas-guzzling Hummer on

Judge Grants Permanent Injunction Against Connecticut Anti-Steering Auto Glass Law

Jenna Reed, writing in Glassbytes, has reported that the lawsuit filed by Safelite Group and Safelite Solutions against Connecticut Attorney General George Jepsen and Thomas Leonardi, state insurance commissioner, over the state’s anti-steering law has reached a resolution. A Connecticut U.S. District Court judge has granted the parties’ joint motion for entry of final judgment, permanent injunction and stipulation of voluntary dismissal. “Plaintiffs and defendants have determined that their interests, and the interests of judicial economy would be served by the entry of a final judgment and permanent injunction with respect to section 38a354a(c)(2), joint waiver of all claims for attorneys’ fees or other costs or damages and voluntary dismissal of plaintiffs’ remaining claims …” attorneys write in their motion. “[N]o party shall assert, in this action or in any other or further action, any claim for monetary relief arising from the operation of 38a354a(c)(2), including but not limited to any claim for attorney’s fees, costs, expert fees or damages,” ac-

cording to the court document. An order granting the motion for judgment was signed by the judge. “Defendants, in their official capacities, their successors and all other persons in active or concert or participation with them are permanently enjoined from enforcing or attempting to enforce Section 38-354a(c)(2) of the Connecticut General Statutes,” the judge writes. “The parties have waived any right to appeal from this order,” she adds. The Second Circuit Court had ordered a preliminary injunction on First Amendment grounds that temporary halted enforcement of PA 1367—An Act Concerning Automotive Glass Work in September 2014. A permanent injunction has now gone into effect with the latest ruling by the U.S. District Court.

@autobodynews Accept no Substitutes!

48 JANUARY 2015 AUTOBODY NEWS | www.autobodynews.com

used-car lots, years after General Motors killed off the massive car. Those sales increase as low gas prices make bulkier, heavier vehicles cheaper to drive: per-gallon prices dropped 23 cents in November and now sit at $2.76 a gallon, a four-year low, according to AAA. And that’s bad news for smaller cars. Toyota’s car sales overall were down 2.7 percent, the Ford Fusion fell 11 percent, the Nissan Altima fell 7 percent, and the Chevy Malibu lost 16.7 percent of sales. Even one of the flagship electric vehicles, Chevy’s plug-in hybrid Volt, saw sales drop to 1,336 units, a 30 percent dip from last month and a 16 percent decline compared to 2013 (some of that drop could be driven by consumers waiting for a new model to be released next year). The all-electric Nissan Leaf defied the odds and continued its strong performance—November sales of 2,687 were up 34 percent, and the model is on pace for its best year yet. “Consumers respond very quickly to the changes in the price of gas,” said

Michael Sivak of the University of Michigan’s Transportation Research Institute. “Specifically, when the price of gas goes down, so does their interest in fuel-efficient vehicles. This is especially the case if the change in the price of gas is rapid, as was the case this fall.” Those market forces could present some problems as automakers strive to meet tougher Corporate Average Fuel Economy standards. The Obama administration set a fleetwide 54.5 mile per gallon limit by model year 2025, and automakers must meet a 35.4 mpg target in model year 2016. Although the standards allow a footprint approach that will keep automakers in line if they make their light trucks cleaner, to hit the fleetwide average automakers are counting on sales of their smaller, greener, more fuel-efficient models. Autobody News thanks the author and nationaljournal.com for permission to reprint this story.

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www.autobodynews.com | JANUARY 2015 AUTOBODY NEWS 49

Using Industry Statistics to Your Advantage with Mike Anderson by Victoria Antonelli, Online Editor

Statistics are a great way for any business, organization, or industry to figure out what areas need growth and improvement, and why. Mike Anderson of CollisionAdvice presented statistics helpful to every corner of the collision repair industry during his SCRS seminar at SEMA 2014.

The following industry statistics, both regional and national, were taken from Anderson’s PowerPoint. The original sources are credited in each section.

Studies by The Romans Group found: ● There are 13.3 million insured auto accidents annually ● Customers pay $3.2B (10.2% of total shop $) ● Insurers paid $28.2B ● Total repair revenue is $31.4B ● Up 2.2% from $30.7B in 2013

“A lot more people coming to your shops are paying out of their pocket,” said Anderson. “There are people in the industry looking to capitalize on that.”

Trends - Higher deductibles and more customer-pay work means shops are: ■ Offering no-interest financing ■ Offering 90 days same-as-cash ■ Suggesting gap insurance (www.4ubenefits.com) ■ Using tools to show how claim may impact rates ■ Offering good-better-best options

but up 3.1% from 2011 ● The 34,430 total does not include more than 6,300 dealership body shops, nor small shops without payroll

“Since 2011, we’ve been seeing an increase in shops and the number of people working in the collision re-

“According to a focus group study by 3M Automotive, the biggest complaint customers had was a lack of options,” said Anderson. “People want to feel like they have a part in the decision making. For example, a guy comes in with his 16-year-old who just crashed her car and needs the headlight fixed. Say, ‘we can fix it for $100, and it will still be safe and effective, but won’t look as good. The best option would cost $200.’”

Collision Shop Population Stats: (US Census Bureau, U.S. BLS, and Crash Network) ● Preliminary government data indicates 2014 will be third year in a row with growth in number of shops ● Still down from 5.7% peak in 2005,

in administration than ever before.”

‘Backyard’ Competition Stats: (U.S. BLS, CollisionWeek) ■ In 2011, 83,721 individuals reported wide variation in annual wages ■ Top painters average $70,420 compared to $25,700 for lowest 10% ■ Top body techs average $66,870 compared to $22,970 for lowest 10% ■ Top estimators average $83,990 compared to $32,390 for lowest 10%

Leasing Continues to Grow (Edmunds.com) ● Upside for shops: Leased vehicles tend to get repaired ● Potential downside for shops: Rising numbers of off-lease return vehicles in the coming years can drive down used car prices, which can drive up total losses

Mike Anderson of CollisionAdvice.com informs the packed seminar of industry statistics across the country

pair industry,” said Anderson. “The biggest area of increase is the office – we now have more people working

Labor Rates vs. Overall Inflation (Crash Network) ■ When looked at nationally, labor rates have not kept up with inflation. ■ Overall U.S. inflation 2006-2013 was 15.6%. ■ The national average rates for

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body/paint, frame and mechanical rose 14% or less during that period. ■ The national average rate for paint materials went up 19.7% from 20062013

Average Labor Hours per Claim: (Mitchell International) ● 2011: Avg. repair labor hours - 8.8, avg. removal of labor hours- 6.54, avg. refinish hours- 9.19 ● 2012: 8.78 hours, 6.85 hours and 9.23 hours ● 2013: 8.74 hours, 6.94 hours, and 9.25 hours ● 2014 (1Q): 8.31 hours, 6.94 hours, 9.13 hours

Uninsured Drivers (Insurance Research Council) ■ All but one state (New Hampshire) requires drivers to have insurance ■ Percentage of uninsured motorists rises or falls with unemployment (so percentage has fallen since 2009) ■ About 29.7 million drivers (12.6%) of drivers nationally lack insurance, down from 14.9% in 2003

Inflation Comparison (Collision Week) ● Over the last 12 months, price of auto

insurance and body work increased above the rate of inflation ● And since 2009, body work has risen 13.11%, slightly ahead of the overall inflation rate of 12.65% during that period ● But auto insurance costs have risen considerably higher, up 24.53% since 2009

Anderson says insurance companies need “service, speed, and accuracy” from body shops, in order to be as effective as possible. “Body shops should give extraordinary service, fix the car fast with quality, which is possible with a team system, allowing for more hands on deck and be accurate - know when the car is going to be returned to the customer, and stick with that time.”

The Romans Group studies show: ■ Of the largest 68 MSOs, almost 28% are in the West, and almost 26% are in the Southeast ■ The Northeast has the lowest MSO representation (just 5.6%) ■ Of the largest 68, more than half (39) do business in only one state

The 68 MSOs with annual sales over $20 million:

(The Romans Group) ● Processed 15.5% of the $31.4 billion in collision revenue (up from 14.7% the prior year) ● When combined with four largest franchise branded consolidators, they processed 19% of all collision revenue ● Had sales of about $4.9 billion in 2013 (up $400 million from 2012 ● Have annual average sales of $3.5 million per location ● The top 10 MSOs include four dealerowned and six independent MSOs

CCC information services answers the question, “Why aren’t MSOs adding DRPs as much as they did 2000-2009?” ■ As larger insurers gain market share, more claims are going through fewer DRPs ■ One major insurer replaced traditional DRP by placing adjusters in shops, reducing many shops’ DRP counts by one ■ Some insurers are allowing more shops to write and upload an initial estimate even if not part of the insurer’s formal DRP program ■ During recession, drop in claims may have allowed insurers to process higher percentage of claims through staff appraisers rather than through DRP shops

■ Some of the “regional MSOs” with higher DRP counts may have expanded across state lines, shifting them into “national MSOs” and thus leading to reduction in the average DRP count for regional MSOs

“I think DRPs have made body shops lazy,” said Anderson. “What happens is once they’re certified by the DRPs, they stop worrying about servicing the customer, building that rapport, and marking their business, and then when things don’t work right and the DRP wants possession, the body shop gets all mad. At the end of the day, we need to take responsibility.” If you’re not happy with the way your shop is performing, Anderson says, “take responsibility – it’s not ‘we’ it’s ‘I;’ what can I do differently as a shop owner to impact my community and the industry?”

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www.autobodynews.com | JANUARY 2015 AUTOBODY NEWS 51

First Fully Robotic Paint Curing Equipment Can Improve Bottom Line for Shops and the Environment by Stacey Phillips, Assistant Editor

Two industry veterans, with over 100 years of experience between them, recently brought an innovative paint curing technology to North America that offers collision repair owners potential energy and cost savings, as well as increased productivity in their shops. As the owners of D&S Curing Solutions, Doug Verdier and Sam Midgley are the official North American suppliers of the Ionitec Gas-Fired Infrared Technology. It is the only fully robotic piece of equipment that can be retrofitted into any paint booth and used with all types of paint, including High Solids or water-based paint materials.

The car is shown in the paint booth with the robot curing device

“The machine focuses energy just on the specific areas on the automobile that are about to be cured,” said Verdier, who installed the equipment in his Oregon-based shop, Active Auto Body, on October 2, 2014. “It definitely benefits shops by saving on their gas bill and by getting work out faster, putting more cars through the paint shop everyday. The system is very easy to use and my painter took to it within days.” Located in the center of Portland, Verdier said his shop has the capability to bring in more work but there is only so much room to expand. Working on high-end vehicles, Verdier said “We can only hurry them so fast before we start jeopardizing the quality of the repair.” He found that by adding the paint curing equipment to his existing paint booth, it doesn’t take up any more space in the shop and has helped with efficiency. “This equipment allows the body shop to move things through the paint shop much faster and they’re cured completely once they leave the booth so your body shop manager or your technicians can put them back together without messing up the paint. The paint is fully cured and it’s like working on a car that has come off the assembly line or from the dealership.” Typically, he said a shop with one

booth might paint four or five cars a day. “With this piece of equipment, you can easily step that up to eight to 14 cars a day,” said Verdier. “With the Ionitec curing process the only thing that is dried or heated are the panels that have been painted,” said Midgley. “With our system there is no need to heat the entire booth and total cross linking occurs within seconds at a temperature on the panel of around 250 degrees F. When the car comes out of the spray booth it is fully cured and ready for final assembly or minor polish and delivery to the customer. Midgley said unlike other machines, you do not have to mask the plastic parts with a protective coating to keep them from melting and it only takes one passage to cure the job. “You press a series of buttons on the machine and the curing process starts automatically,” he explained. Curing is when there is a full cross linking of the paint molecules. This process, called “exothermic reaction,” ties the paint molecules together and creates cross linking. “This allows a quick turnaround time for customers with the same result you would get from the car factory when the car was first painted,” said Midgley. In addition, he said the process saves a massive amount of energy – up to about 95 percent by not having to heat the entire spray booth – and also improves the gloss. The paint curing system received a green energy award in Europe at Automechanika in September 2014.

Bringing First Robotic System to U.S. The business partners have been friends since 1957 when Midgley immigrated to the United States from Australia and met Verdier at school in Concord, CA, located east of San Francisco. Verdier’s father owned an auto body repair shop in Rodeo, CA where Verdier and Midgley eventually worked. In 1976, Verdier moved to Oregon and opened a Porsche body repair shop in Portland. Midgley joined Verdier and helped as a painter in the shop. Two years later Verdier opened Active Auto Body. Meanwhile, Midgley had moved back to Australia to work for Ford Motor Company in design engineering and then joined General Motors manufacturing for 25 years, working throughout Australia, North America, Europe and Asia-Pacific as a paint specialist. He was hired back at Ford Motor Company Asia-Pacific to look after six assembly

52 JANUARY 2015 AUTOBODY NEWS | www.autobodynews.com

plants as a paint engineer. He also has a long association with lean manufacturing at both companies. When Midgley decided to retire, a friend of his with a large body repair shop in Melbourne asked his opinion about a new technology, gas-fired in-

Doug Verdier (l) and Sam Midgley (r in the paint booth with the 1st Ionitec Gas-Fired Infrared Technology in the U.S.A.

frared curing systems, manufactured by Italian-based company Symach. After learning about the technology, Midgley was offered a job as a training manager for the company in 2011. Following extensive training at the Symach facility in Bologna, Italy, he came back to Australia to teach body shops how to use the technology and shared the information with Verdier. One

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year later the two traveled to Italy and came across Ionitec’s robotic system. After visiting nearly a dozen shops throughout Switzerland, Italy and Germany, Verdier said he was so impressed with the system he purchased a machine for his own collision repair shop. “The success of this technology in Australia and Europe has really taken off in the last five or six years,” said Midgley, who predicts the U.S. will follow their lead. “The insurance companies are really pushing hard on the body repair shops to get their costs down,” said Midgley. “With this system you can get your costs down and improve your output at the same time.” Once a shop purchases the technology, a full measurement of the paint booth is taken and then the equipment is manufactured in Italy. After installation, Midgley and Verdier will take the shop through a full training process that normally lasts one or two weeks. “I think this would be a benefit to any shop that is conscientious about trying to save on fossil fuels as well as any shop that has a progressive attitude to improve work flow and generate more revenue for their shop,” said Verdier.

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www.autobodynews.com | JANUARY 2015 AUTOBODY NEWS 53

Aluminum Repair Tips & Techniques in Preparation for Ford F-150 by Stacey Phillips, Assistant Editor

With Ford’s new F-150 soon to be on the road, collision repair shops across the country are preparing for its release. During an SCRS seminar at SEMA, Larry Montanez of P&L Consultants discussed some of the new procedures and techniques shops will need to learn in order to repair this aluminum-bodied truck. Based in New York, P&L Consultants offers training programs for the collision and insurance industries. “Our mission is to make sure that everybody in the collision repair industry can work together towards making sure the vehicle is prepared properly,” said the company’s coowner Montanez. “There’s truly only one standard, which is what the manufacturer puts out.” He advised shops to learn about the new requirements that will be necessary to repair aluminum and to refer to the manuals provided by the dealer. During the seminar Montanez discussed the training options available for those in the industry, including vocational technical schools, third-party vendors, OEM training and the highest level of training in the au-

tomotive field – OEM welding certification. In a room filled with collision repair shop owners and technicians, he gave an overview of the types of steel and aluminum currently being used to manufacture vehicles. As a Larry Montanez of certified collision P&L Consultants damage analyst and ISO certified aluminum welder, Montanez said, “It’s a different repair process with aluminum than it is with steel. Aluminum is not as forgiving.” Aluminum melts at a much lower temperature than steel, 1,200 degree F versus 2,732 F, which he said changes the repair procedures with a vehicle. He stressed the importance of keeping the aluminum heated at the proper range. “Not staying within the repair heating range will cause the properties of the aluminum alloys to be lost and can anneal the component,” said Montanez. “Annealing is the process of heating the aluminum to the point that it is permanently softened and cannot be returned to its original state.”

Ford Begins Building All-New F-150 Truck

Ford began building their all-new F150 truck as the first one rolled off the line on Nov. 11 at the historic Ford Rouge Center in Dearborn, Michigan. Interest in the new Ford F-150 has steadily grown since the truck was revealed in January at the 2014 North American International Auto Show. More than 225,000 truck enthusiasts submitted their contact information for updates about the

be proud of and our customers can depend on,” said Bill Ford, Executive Chairman, Ford Motor Company. He said both the historic Ford Rouge Center and the all-new Ford F150 are hallmarks of innovation. Throughout the 20th and 21st centuries, Rouge has represented Henry Ford’s vision for lean, flexible and sustainable manufacturing. The 2015 F150 – the first mass-produced truck in its class featuring a high-strength, military-grade, aluminum-alloy body and bed. “The all-new F-150 is a showcase of innovation and class-leading capability for truck customers,” said Mark Fields, Ford’s President and CEO. “It underscores the The new Ford F-150 goes on sale in December in product excellence and innothe United States vation we are delivering in vehicle, and more than 250,000 cus- every part of our business as we actomers have built and priced their celerate our pace of progress toward own unique version of the all-new F- profitable growth.” F-150 is part of the Ford F-Se150 online – a record through 13 generations. The new model will be ries truck lineup. Now in its 66th year, the F-Series has been the best-selling in showrooms in December. “The all-new F-150 continues truck in America for 37 consecutive to advance my great-grandfather’s years and the best-selling vehicle in vision of building vehicles we can America for 32 consecutive years. 54 JANUARY 2015 AUTOBODY NEWS | www.autobodynews.com

After teaching more than 40 classes over the past year, Montanez has found that most of the dents on a vehicle can be removed at a temperature of 200 to 300 degrees using MAP gas. He said that temperature-heating indicators, such as heat monitoring strips or a digital non-contact thermometer, should be used for measurement. Aluminum doesn’t change color like steel; instead it will just disappear, he said. “You can’t heat shrink a panel like you can with steel.” Due to aluminum softening at elevated temperatures, Montanez explained it allows the deformed areas to be straightened more easily. “Aluminum can be as strong as steel in a much thinner area.” He highlighted some of the other advantages of aluminum, such as its durability, strength, corrosion resistance, weight, recyclability and availability. Unlike steel, aluminum can be heated multiple times provided that the temperature remains within the heating range. He noted that quenching the panel with water or compressed air should be avoided and the panel should be allowed to cool naturally. Otherwise, there is a risk of crystallizing the

panel, which can lead to cracking. Regarding the heating equipment used on aluminum, Montanez said there are several options available, including a MAP torch, an oxyacetylene torch, an induction heater and a heat gun. He recommended the MAP torch due to its ease of use but advised against using propane gas. “Propane gas can only be used on a panel that is painted,” said Montanez. “The problem with propane gas is it will apply moisture to bare aluminum and can cause corrosion.” When working with aluminum, he recommended allocating a certain area or room to avoid cross contamination with steel. Ideally, shops should have a designated set of hand and power tools as well as separate equipment such as sandpaper and saw blades. In addition, shops will need vacuum extractors and a fan in the room that is explosion-proof. More information about P&L’s aluminum repair workshop can be found by contacting Larry Montanez at P&L Consulting: 917-860-3588 or info@pnlestimology.com

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National Auto Body Council & Enterprise Rent-A-Car Partner with Progressive to Donate 117 Vehicles to Vets

Insurance Auto Auctions The 117 recipients were seand Copart. NABC mem- lected by local VFW chapters and ber repair facilities do- other veteran organizations with supnated time and resources port from VRC Investigations, a vetto repair the vehicles and eran-owned business. Vehicle titling Enterprise Rent-A-Car and registration processing was fadonated six months of in- cilitated by 1-800 Charity Cars surance for each of the which also donates its services for all 117 recipients. A number Recycled Rides events throughout of other NABC members the year. – paint, parts suppliers Since the inception of Recycled and service providers – Rides in 2007, NABC members have also contributed to the donated over 1,000 vehicles to deIn the largest, single-day car giveaway Color Guard and Pledge of Allegiance in Bridgeton, MO. nationwide project to serving individuals and nonprofit orever, members of the National Auto Photos courtesy of Progressive Insurance Body Council partnered with the Pro- families across the country with prac- thank and honor military gressive Group of Insurance Compa- tically brand-new vehicles on Veterans veterans. “Our congratulations nies, Enterprise Rent-A-Car and Day, November 11. Spearheaded by Progressive In- to Progressive for its leaderothers in the collision industry to present 117 military veterans and their surance, the second annual Keys to ship role in rallying our inProgress is part of the Na- dustry to help our veterans,” tional Auto Body Council’s said Nick Notte, President Recycled Rides program, a of the National Auto Body collision industry-wide col- Council. “These gifts of laboration to repair and do- transportation will make a nate vehicles. The number of significant impact in the vehicles in this year’s Keys lives of these service men to Progress is nearly double and women who have sacrithe number from Progres- ficed much for our country. Former Army Spc Jerold C. of Glen Burnie, MD.Photos sive’s program last year. This grand-scale generosity courtesy of Progressive Insurance Most of the vehicles from so many of our memfor this year’s Keys to bers truly exemplifies the professional- ganizations. NABC estimates close to Progress were provided ism and integrity of our collision $4 million worth of vehicles will be Recipient Jeffrey Z. and his family at the Buffalo, NY donaby Progressive, as well as industry.” donated in 2014. tion event. Photos courtesy of Progressive Insurance

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Collision Avoidance Technology Could Dramatically Change Repair Industry by Stacey Phillips, Assistant Editor

Recent research on collision avoidance technology found that an estimated 30 percent of collision repairs could be avoided when this type of equipment is fully adopted by car manufacturers, according to Carlisle & Company. This will not only affect drivers and save lives, but it will also influence the future of the auto repair industry. The Massachusetts-based company studied collision avoidance technology based on data from the Insurance Institute of Highway Safety (IIHS), The Highway Loss Data Institute (HDLI) as well as their own company research. Carlisle & Company provides aftersales strategic guidance and tactical solutions for the major motor vehicle brands. “Collision avoidance technology is any application that helps drivers and their cars avoid obstacles and other factors that may cause a collision,” said David Carlisle, Chairman of the Board at Carlisle & Company. The company’s 2014 research specifically focused on the following four types of technologies that are the most common in new vehicles: forward collision, side view assistance, lane departure and adaptive headlights.

The Highway Loss Data Institute estimated that by 2020 approximately 20 percent of all registered vehicles will be built with forward collision warning systems. Carlisle & Company conducted their own research and found that approximately 40 percent of automobiles will be deployed with similar technology by 2022. When the technology is fully adopted, Carlisle said forward collision systems will result in 3,335,000 avoidable repairs (20%); side view assistance will result in 1,006,000 avoidable repairs (6%); lane departure systems will account for 336,000 avoidable repairs (2%); and adaptive headlights will equate to 362,00 avoidable repairs (2%). If these estimates hold true, Carlisle predicts a major impact to the auto repair industry. “At this point, 15 percent of all collision repair jobs will be avoided,” he said. This will not only affect OEMs, whose collision parts make up 35 to 40 percent of their parts revenue, but the independent repair shops as well. “While collision avoidance ultimately is a good thing as it will save lives, it will certainly force aftermarket facilities and repair shops to adapt to a new market in order to stay afloat,” said

Carlisle. “Just because you have collision avoidance sensors on your car, does not mean you’ll rid your life of an auto collision for good,” said Carlisle. “One of the major challenges is testing this technology on the open road,” he said. “Many of these systems can be challenged on a test track and come back with great results, but nothing is like the real road. The only way to make collision avoidance systems as safe as possible is to test them in as many real-world situations as possible.”

Collision Avoidance on the Road Used in automobiles since the early 1990s, some of the earliest equipment included backup cameras. Now collision avoidance features are rapidly making their way into new vehicles in all price ranges. Some of these include the Mobileye technology that detects other vehicles and objects using only a camera and software and is used by BMW AG, General Motors and Tesla Motors; Subaru’s EyeSight Driver Assist System and Mercedes’ Collision Prevention Assist Plus. Honda said it is focusing its efforts in regards to collision avoidance technology in three main areas: passive safety technology which mitigates injuries; active technology that may

help prevent accidents from happening; and connected and automated vehicles that could attempt to drastically reduce crashes and fatalities. “Honda is studying real world situations to develop vehicles with advanced collision protection and advanced safety and driver assistive technologies,” said Angie Nucci, Senior Environment and Safety Specialist for Honda Public Relations. Nucci said some of their technology includes the Acura Watch system available on the 2015 TLX and the Honda Sensing system on the 2015 Honda CRV Touring model. “Honda Sensing is an integrated camera and radar system to help detect vehicles and pedestrians in front of you,” she explained. This driver assist technology includes a Collision Mitigation Braking System, a Lane Keeping Assist System, Adaptive Cruise Control and Honda LaneWatch. Toyota Motor Corporation said it plans to launch new safety technologies in 2015 to help prevent or mitigate collisions across a wide range of vehicle speeds. They will be offered in two “Toyota Safety Sense” packages and rolled out across most passenger models in Japan, North America and Europe by the end of 2017. See Collision Avoidance, Page 58

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www.autobodynews.com | JANUARY 2015 AUTOBODY NEWS 57

Mike Rose’s Auto Body Never Stops Giving Cars Away by Ed Attanasio

Mike Rose’s Auto Body presented a staff sergeant from Travis Air Force Base in Fairfield, CA and his family with a Hyundai Sonata as part of a

driving his six-year-old son Brandon Pearson to the medical specialists he needs at Stanford and eight-year-old daughter Jenna Pearson to and from school. In addition, the Rose family gave the Pearson family one year of

Mike Rose’s Auto Body gave a completely refurbished Hyundai Sonata to Staff Sgt. Kyle Pearson a as part of their Benevolence presentation on Veterans Day. That’s Owner Mike Rose second from left

Benevolence presentation on Veterans Day, November 11 at the company’s Fairfield location. Thanks to this refurbished vehicle, it will be much easier for Staff Sgt. Kyle Pearson to get to and from his duty at Travis AFB, as well as

insurance coverage and a trunk full of gifts for the children. The Mike Rose’s Auto Body Benevolence program is a “community give back program” whose mission is to present cars to deserving individuals or organizations during the

Manheim Reports Wholesale Used Vehicle Price Adjustments in Q3

Wholesale used vehicle values declined by just over 2 percent in the third quarter, as the market showed signs of returning to more normal levels after historically high prices earlier in the year. The Manheim Used Vehicle Value Index, a measure of wholesale prices adjusted for mix, mileage and season, ended the third quarter at 121.4, a decline of 1.1 percent compared to a year ago, Manheim reported as it released the Index. After posting increases over the winter and early spring, used vehicle prices fell for five straight months through September. A boom in new car sales during the quarter resulted in more trade-ins and lease turn-ins in the quarter, which led to an increase in inventories and put downward pressure on prices. The price declines, however, took place as the market showed positive signs. Loan delinquencies and repossessions remained low. Certified pre-owned sales increased 20 percent in September, and showed a 10 percent rise year-to-date, as consumers evidenced strong demand for quality, late-model used vehicles. Lease penetration rates went up, a sign of satisfied customers. Dealers also closed out the quarter with higher retail unit sales in September, moving more vehicles as prices fell. “The decline in prices so far appears to be part of a healthy overall mar-

ket,” said Manheim Chief Economist Tom Webb. “Valuation adjustments enabled dealers not only to retail the large number of customer trade-ins and lease returns but also actively purchase from the growing supply of late-model vehicles available at auction. Dealers were able to turn their inventory more quickly because of the lower wholesale prices.” Third-quarter wholesale pricing for vehicle segments included: Compact Cars continued to be the weakest segment with prices ending the quarter down 3.4 percent compared to a year ago. Midsize Cars matched the overall market and experienced a 1.1 percent decline in values compared to a year ago. Luxury Cars fell 3 percent compared to a year ago. The multi-year decline in luxury cars appeared to be slowing in September. Pick-ups and Vans remained the strongest segment with prices up 6.5 percent for pick-ups and 1.5 percent for vans. Owners in this segment tend to hold onto their vehicles for longer than the average, keeping supplies tighter even as the overall market increases. SUV and CUV prices were down 1.5 percent to end the quarter compared to a year ago. Normally one of the stronger segments, SUV and CUV prices fell inline with the overall market.

58 JANUARY 2015 AUTOBODY NEWS | www.autobodynews.com

holiday season. Everything is donated, including the cars, parts, paint, mechanical inspections, tires and one full year of insurance. The body and paint technicians at Mike Rose’s Auto Body donate their time and skills to turn these cars into “new” used vehicles. The collision repair company, with 13 locations in the East Bay, has been participating in the Benevolence Program for the last 13 years and with this year’s 42nd Anniversary, it has donated 46 cars to the community. Mike Rose’s Auto Body will be presenting six fully re-furbished vehicles to those in need this year, with a second presentation to take place at their Antioch location in January. This year, Mike Rose’s Auto Body partnered with the Vintage Valley Blue Star Moms of Solano County, Travis AFB and GEICO Insurance during Veteran’s Day. Owner Mike Rose still gets a thrill when he sees a car going to a deserving family, he said. “It has been so rewarding over the last 13 years presenting the cars to deserving families and single parents who are working to improve their skills and become independent. We feel very honored to be able to do this and we will continue to do this as long as I am still around.”

Continued from Page 57

Collision Avoidance

These include several of the company’s existing technologies such as the Pre-Collision System that helps prevent and mitigate collisions; Lane Departure Alert that helps prevent vehicles from departing from their lanes; and Automatic High Beam, helping to ensure optimal forward visibility during nighttime driving. In addition, there is an option for a millimeter-wave radar and camera that can detect pedestrians and Radar Cruise Control. “Toyota’s vision is of a world without traffic fatalities, and these advanced connected and automated vehicle technologies hold the potential to revolutionize automotive safety,” said Seigo Kuzumaki, Chief Safety Technology Officer Secretary for Toyota Motor Corporation. “We are committed to bringing advanced active safety systems to market as quickly as possible and will make them accessible to a broad range of drivers.” For more information about Carlisle & Company, visit: www.carlisle-co.com.

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www.autobodynews.com | JANUARY 2015 AUTOBODY NEWS 59

Toyota’s “Game-Changing” Recommended Repair Procedures Set to Launch in 2015 by Victoria Antonelli, Online Editor

At the 2014 SEMA Show, Toyota Motor Sales, U.S.A., Inc. exhibited their updated collision repair estimating system, which can be accessed from every web browser on any device. Tens of thousands of collision industry professionals were introduced to Toyota Recommended Repair Procedures (TRRP)—a tool that provides repair specialists with instant access to all the information needed to restore vehicles to their pre-accident condition. In the first quarter of 2015, Toyota will begin their release of TRRP with coverage for 29 Toyota and Scion vehicles dating back to 2005. “This program is a game changer for the industry,” commented Rick Leos, Collision Program Developer, Toyota Motor Sales, U.S.A., Inc. “By offering a solution that provides Toyota repair procedures, parts and technical information in one place, we help the industry by establishing a standardized approach to repair planning. Collision repair specialists will benefit from decreased cycle times, reduced supplements and greater overall work efficiency. It’s a win for our customers, repair experts and insurance companies alike.”

Toyota has integrated with Mitchell Estimating, which will be the online platform for repair shops and insurance carriers. Although Toyota is the first and only OEM currently providing Recommended Repair Procedures, the estimating platform is capable of writing an estimate on any vehicle in Mitchell’s database, according to Kenny Crumpler, Product Manager at Mitchell International.

and sub-models.” Toyota’s template-based program reduces the preparation of a repair plan from hours to a couple minutes, saving collision repair specialists’ time, while increasing the level of efficiency and accuracy at the front end of the repair process. Repairers no longer need to start from a blank sheet of paper; they begin with a detailed repair plan, and omit what isn’t needed rather than adding each operation individually. Additionally, TRRP includes recommendations on parts that manufacturers designate as non-reusable or one-time use, which by definition means they must be replaced rather than reused. “When you have 1.8 million claims a year, a The new Toyota Recommended Repair Procedures featured 500-shop network isn’t going to able to make a big in a web-based platform enough footprint,” said “All these years we’ve relied on Leos. “Ninety percent of our cars are insurance companies to guide us on fixed by the independent repair shops cars, and now it’s time for the OEMs to − we owe them this data, so they can push their data down to the street level have the documentation to get the job to get our cars fixed,” said Leos. “With done correctly and, most importantly, the technology nowadays you got to safely, for our customers,” said Leos, a have all the information... there’s no 25-year collision veteran who has way you’re going to have technicians been developing Recommended Reable to specialize in 30 OEM models pair Procedures since he entered the

industry. Toyota’s long-term vision is to offer other OEMs the opportunity to leverage this patent-pending template technology, consequently shifting the industry paradigm to one with greater transparency and better access to factory-recommended repair procedures. As a result, OEMs will achieve a significant impact in maintaining the safety of their vehicles through greater visibility of the parts and procedures required to complete the repairs. “I hope this is the beginning of something that will catch fire,” said Crumpler. On November 4, Leos and Crumpler decided that the new template will be integrated into the legacy system, which they hope will make the transition to an upgraded platform smoother. TRRP is currently being tested at Beta certified Toyota locations. In an effort to broaden the reach of this template technology, it is being licensed under the name “OEM Recommended Procedures” to OEMs and data providers in the U.S. and internationally. To learn more about TRRP, contact Rick Leos, Collision Program Developer, Toyota Motor Sales, U.S.A., Inc. at (310) 468-3111.

Conviction of Saturn Ion Driver Thrown Out After 10 Years

As of Nov. 21, the GM compensa- tenced Anderson, agreed to throw tion fund had approved 35 death out the conviction. “She lives in a claims, each of which carries a min- small town, and her community imum payout of $1 million, and 44 thought she murdered someone that injury claims. A Texas judge has was held in high regard,” Anderoverturned a 7-year-old negligent son’s lawyer, Bob Hilliard, told homicide conviction against a Automotive News. “She was called woman whose boyfriend died when a murderer to her face.” In addition her Saturn Ion—now known to have to spending a decade thinking that had a defective ignition switch— she had killed her boyfriend, Ancrashed, her lawyer said. Candice derson, who was 21 at the time of Anderson was cleared 10 years and the crash, abandoned her ambitions nine days after the crash that killed of becoming a nurse because the 25-year-old Gene Mikale Erickson, felony conviction hindered her Wantwho towas Contribute to seat thiswhen Southwest Edition? in the passenger ability to apply for school and jobs, the Ion drove off a rural county road Hilliard said. and crashed into a tree. Anderson, “It’s overwhelming; it’s a range who police determined to be intoxi- of emotions,” Anderson told The New cated by illegal drugs, pleaded guilty York Times after the ruling. “I’m publisher@autobodynews.com to criminally negligent homicide and elated.” was sentenced to five years of probation. After your General Motors recalled Promote business with Promote your business with 2.6 million Ions, Chevrolet Cobalts anandexclusive article featuring an exclusive article featuring other small cars for the ignition-switch problem in February your products or services. your products or services. and March, the prosecutors who charged Anderson and the state trooper who investigated the crash conceded that the new evidence means she likely was not to blame. CALL: Joe Momber for details! Call for details! Van Zandt County District Judge Teresa Drum, who originally sen-

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www.autobodynews.com | JANUARY 2015 AUTOBODY NEWS 61

PPG Redesigned Website for ADJUSTRITE

PPG Industries launched a redesigned website for the ADJUSTRITE® Commercial Estimating System at www.adjustrite.com. The site features a refreshed look, user-friendly navigation and new information about the AdjustRite and AdjustRite Plus collision repair estimating systems. The website focuses on the two applications and details and compares their individual features and benefits. They are specifically designed for the commercial truck market and have been updated to coincide with the launch of the website. “The new website makes AdjustRite easier than ever to use,” said John Lewis, Manager of Pro-

grams and Services for PPG’s commercial coatings group. “The database has been expanded, a variety of estimate solutions are available, and visitors can even sign up for a free trial to see which program best fits their requirements. We’re confident that our current customers will appreciate the site and system enhancements, and I think those just learning about AdjustRite will also be pleased.” While the AdjustRite system is updated regularly, enhancements introduced on the website include: ● online alternative parts solution with list prices for a variety of truck makes, models and parts;

● generic light-duty pickup truck database; and ● combined pricing solution that first checks for facility pricing, then checks for available global average pricing. The AdjustRite system is an estimating platform that uses truck model information, based on a database compiled from truck parts and repairs. It is suitable for insurance companies and claims adjusters, and also offers a claims management component. PPG said it is the first and only full-service application that takes into consideration the complete commercial truck claim process and the automated features of the systems reduce the time

required to write an error-free professional repair estimate, eliminating the chance of miscalculation while improving overall cycle time and productivity. The AdjustRite estimating platform works on all Web-enabled computers, including mobile devices that meet system requirements. Estimates can be managed from the office, shop or in the field. The system is also EMS-capable, enabling it to communicate with other shop management systems. It was developed by PPG’s commercial coatings group. For information, contact 800-647-6050 or visit www.ppgcommercialcoatings.com

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