May 2017 Northeastern Edition

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VOL. 8 ISSUE 2 MAY 2017

AASP/NJ Debuts Path to Certification Series and More at 40th NORTHEAST™ Conference & Tradeshow

by Chasidy Rae Sisk

AASP/NJ’s 40th Annual NORTHEAST™ Conference and Tradeshow, held at the Meadowlands Exposition Center on March 17–19, was bigger and better than ever with a handful of first-of-a-kinds.

AASP/NJ hosted a four-part Path to Certification panel series and presented the first James Moy Memorial Award for Dedication to the Automotive Repair Industry. Additionally, this was the first agenda to include presentations from Superare Marketing, and Mike Anderson of Collision Advice presented a brand new seminar

on the importance of disassembly.

According to AASP/NJ Executive Director Charles Bryant, “The 2017 NORTHEAST Automotive Tradeshow was once again a great success. These

are not just my words; this is what I constantly heard from people at the show and from people that attended the show who have called to comment after the show. There was something

Panel on Shop Perspectives: (l to r) Gary Wano (GW & Son Auto Body Shop), Tom Elder (Compact Kars Inc.), James Carvino (Rojo Collision), Rick Starbard (Rick’s Auto Collision & Repair) & Barry Dorn (Dorn’s Body & Paint)

Collision Shop Owners Share the (Mostly) Pros and (Few) Cons of Getting OEM Certified

Are automaker shop certifications a “I basically have no issue [with potential substitute for collision repair them], and I think they are happy to shops seeking less dependence on inhave someone who, even though my surer direct repair programs? estimates may be 400 lines, they can That was among the questions adsee the car and know I’m doing the dressed by a panel of shop work,” Carvino said. “I had to owners at the recent NORTHget rid of pretty much everyEAST Automotive Services one else because of us getting Show held in Secaucus, N.J. certified, but it’s really only been to my benefit. An insurer James Carvino of RoJo Colcan take any [agreement] I lision in Brooklyn, NY, whose shop holds certifications from have [with them] away, but about 10 automakers, said they can’t take my certificaJames Carvino he’s eliminated most of the tion. The DRPs helped us get shop’s DRP relationships other than to the point where we had the money to two with insurance companies “that are spend on OEM certification. But you very understanding.”

See OEM Certification, Page 22

for everyone at the NORTHEAST Tradeshow, from the most informative seminars to the most modern tools and equipment available in the industry.

Every year, the Northeast Tradeshow seems to get better and better, making it a must-attend event for the members of the industry. Congratulations to all that played a part in making the Northeast Tradeshow available to the many members of the automotive industry.”

On Friday afternoon, AASP/NJ and SCRS co-hosted the annual East Coast Resolution Forum and Leadership Meeting. This closed session offered industry leaders an opportunity See NORTHEAST, Page 12

Northeast Lawmakers Consider Proposed Collision Repair Legislation A number of bills impacting collision repairers have been introduced in state legislatures throughout the Northeast this year.

A Maryland bill (SB 1007), for example, would have required insurers in that state to use either OEM parts or non-OEM crash parts certified by an organization meeting specific requirements; those requirements appeared to allow the use of parts certified by the Certified Automotive Parts Association (CAPA) but not NSF-certified nonOEM parts. A March hearing scheduled on the bill, however, was canceled after the bill received an unfavorable report from a Senate committee and was withdrawn.

A half-dozen industry-related bills have been introduced in New York. One (AB 1678) would limit the sale of automotive refinish materials labeled “for professional use only” to only those with a valid state tax and federal EPA identification number, and who meet all local ordinances for the application of such materials.

Two of the New York bills are parts-related bills. The first (AB 6617) would require that vehicle owners pro-

vide a written signature consenting to the parts that will be used in the repair of their vehicle; that disclosure form would be required to define each of the types of parts used. The bill also would require the use of only new OEM parts on vehicles two years old or newer, or for the duration of the manufacturer’s sheet metal warranty on the vehicle, whichever is longer. The bill also would make clear that the insurer is responsible for additional costs for labor or materials if non-OEM parts stipulated for use are found to be “ill-fitting.”

The other New York parts-related bill (AB 6861) would prohibit an insurer from requiring a repair facility to “use a specific vendor or process for the procurement of parts or other materials.”

Another New York bill (AB 414) would prohibit an insurer from limiting payment based on pricing caps for labor, parts, paint or materials; it also would require that if an insurer-recommended repair facility fails to return a vehicle to pre-accident condition, the insurer will, at no additional cost to the See Northeast Legislation, Page 10

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REGIONAL

AASP/NJ Debuts Path to Certification Series and More at 40th NORTHEAST™ Conference

ASA Promotes National Car Care Month . . . . 73 Automotive Management Institute Honors

Class of 2017 . . . . . . . . . . . . . . . . . . . . . 73

& Tradeshow. . . . . . . . . . . . . . . . . . . . . . . 1

Axalta Launches Imron 8460S Clearcoat for

Prestigious Top Automaker Recognition . . . 8

By 2030, 25% of Miles Driven in US Could Be

Woodside Man Charged . . . . . . . . . . . . . . . 6

Caliber Collision Sets Challenge to Collect 5

Restoring 1926 Model T Ford . . . . . . . . . . 56

Capital Region BOCES Auto Body Students

Performance Certification. . . . . . . . . . . . . . 6

Chief® University Introduces Industry’s First

Practices Lifelong Learning. . . . . . . . . . . . 11

Collision Shop Owners Share the (Mostly) Pros

New York State. . . . . . . . . . . . . . . . . . . . . . 3

CREF & ASE Team on Cars, Careers,

Collision Repair Legislation. . . . . . . . . . . . . 1

Driverless Wreck Video. . . . . . . . . . . . . . . . . . 4

Corona Cyclist Killed in Sunnyside Hit-And-Run, MA Automotive Tech Programs Painstakingly Mallery’s Auto Body Earns Assured

Military Veteran and Tech Program Grad NABR to do Labor Rate Survey in

Northeast Lawmakers Consider Proposed Pennsylvania Lawmakers Propose Recall

Notification Legislation . . . . . . . . . . . . . . . 11

Commercial Transportation Market . . . . . . 70

in Shared Self-Driving Electric Cars. . . . . . 54 Million Meals for Children This Summer . . 68

to Renovate ‘84 BMW. . . . . . . . . . . . . . . . . 8 Joining Technologies Class. . . . . . . . . . . . 72

and (Few) Cons of Getting OEM Certified . . 1

Celebrities Expo . . . . . . . . . . . . . . . . . . . . 27

Enterprise Holdings Increases Support of SCRS;

Established New Corporate Membership. . 70

Service King Adds 2 Rochester, New York

Everything’s Algood at Mike’s Auto Body

Sisk - American Honda Hosts Two ProFirst

FCA US Marks Opening of New Mopar Parts

Sisk - Collision Shops Across CT Flock to

Global Finishing Solutions Adds to the

Repair Centers . . . . . . . . . . . . . . . . . . . . . . 6

Training Seminars at NORTHEAST 2017 . . 28

ABAC March Meeting for Second

Mike Anderson Presentation . . . . . . . . . . . 18

Sisk - LIABRA’s March Meeting Includes

CDS Presentation Among Others . . . . . . . 24

in Antioch, CA . . . . . . . . . . . . . . . . . . . . . 52

Distribution Center in Virginia . . . . . . . . . . 10

Refinish Team . . . . . . . . . . . . . . . . . . . . . 38

GYS Wins Tesla Approval . . . . . . . . . . . . . . . 72 I-CAR® Has Online Cycle Time Course

for Appraisers . . . . . . . . . . . . . . . . . . . . . 76

Sisk - Mike Anderson Debuts Seminar on 100%

I-CAR® Honors Chuck Sulkala With

Sisk - Superare Marketing: Stop Playing by the

Learn How to Crush It in the Collision Repair

Stolen U-Haul Chase - Ends in Flames . . . . . . 8

Midwest Lawmakers Consider Proposed

COLUMNISTS

NABC Opens Nominations for Awards to

Disassembly and Parts Mirror Matching . . 26

Appraiser’s Rules and Set Your Own Prices. 32

Attanasio - Do You Have the Next Great

Body Shop Invention? . . . . . . . . . . . . . . . 44

Lifetime Contribution Award . . . . . . . . . . . 76

Industry With Newly-Released Book . . . . . 61 Collision Repair Legislation. . . . . . . . . . . . 43

Recognize Professionalism and Integrity

in the Collision Industry . . . . . . . . . . . . . . 64

Attanasio - Zenia Amezquita Is Just

News From Collision Repair Education

Yoswick - Retro News: Could that 180-line

PARTS Act Reintroduced in Congress, Claims

Starting to Rev Her Engine . . . . . . . . . . . . 42 estimate you just wrote be 179 lines

too long? . . . . . . . . . . . . . . . . . . . . . . . . . 50 NATIONAL

2017 SEMA Board Candidates, Election

Details Available . . . . . . . . . . . . . . . . . . . . 74

Foundation . . . . . . . . . . . . . . . . . . . . . . . . 58 Motoring Consumers will Choose Quality,

Affordable Crash Parts . . . . . . . . . . . . . . . 70

Registration Opens for AAPEX 2017 in

Las Vegas . . . . . . . . . . . . . . . . . . . . . . . . . . 74 Sisk - An Introduction to WIN’s 2017

MIW Honorees . . . . . . . . . . . . . . . . . . . . . 48

AkzoNobel Rejects Another Unsolicited

Take Me Out To The Ballgame! Join

AkzoNobel Signs on as Platinum Sponsor

TechnaGlass Purchases Ohio and Utah

American Honda Releases New ProFirst

The Pre- and Post-Scan Revolution. . . . . . . . 36

Proposal from PPG. . . . . . . . . . . . . . . . . . 79

for Women’s Industry Network . . . . . . . . . 68

ASA-Midwest at the Ballpark in June. . . . . 46

Franchises . . . . . . . . . . . . . . . . . . . . . . . . 64

Logo for Better Brand Recognition . . . . . . 68

Uber Briefly Puts The Brakes on its Self-Driving

ARMS® Automotive Suite Training. . . . . . . 64

Uber Continues Growing Pains, Loses a Top

AMi Offers Online Enterprise Rent-A-Car

Apple Applies for and is Granted Driverless Car Testing Permit, But What it’s Testing

May Not be a Car . . . . . . . . . . . . . . . . . . . . 4

Apply for Auto Care Internship Scholarships

by May 1 . . . . . . . . . . . . . . . . . . . . . . . . . 76

Fleet After Arizona Car Crash . . . . . . . . . . . 4

Self-Driving Executive, Legal Battle

with Google . . . . . . . . . . . . . . . . . . . . . . . . 4

YANG Announces Next Step Program

Scholarship Winners . . . . . . . . . . . . . . . . 74

“The VRS brings tremendous value and benefits to the shops of New York,” said the survey sponsor. “In the VRS, we now have an independent, third-party we can rely on to take labor rate surveys properly, producing survey results we can trust. The labor rate data is fully transparent, with nothing to hide. And the VRS contains an assortment on online tools to enable shops to price their labor appropriately and to get paid for more not-included procedures. Every quality shop needs to strongly consider using the VRS in their business.” See http://www.national autobodyresearch.com.

Publisher & Editor: Jeremy Hayhurst General Manager: Barbara Davies Online Editor and Copywriter: Deana Cacus Contributing Writers: Tom Franklin, David Brown, John Yoswick, Janet Chaney, Toby Chess, Ed Attanasio, Chasidy Sisk, David Luehr, Stacey Phillips, Victoria Antonelli Advertising Sales: Joe Momber, Sean Hartman, Bill Doyle, Norman Morano (800) 699-8251 Office Manager: Louise Tedesco Sales Assistant: Jessica Day Digital Marketing Manager: Cass Heckel Art Director: Rodolfo Garcia Graphic Designer: Michelle Lucas

Indexof Advertisers

Castle Collision Earns Official Certification and

NABR announced the launch of the VRS Labor Rate Survey in New York, sponsored by an anonymous western New York collision repairer. The online survey is free for all New York collision repairer centers and can be found on the NABR website. The VRS Labor Rate Survey provides both collision repairers and insurers with an independent, third party, trusted survey of labor rates in markets across the United States. The VRS reports labor rate ranges based on shops' posted labor prices, down to the ZIP code and shop level, filterable by key training, equipment, certifications, and more.

Acura of Westchester . . . . . . . . . . . 52 Aircat Pneumatic. . . . . . . . . . . . . . . 31 Amato Agency . . . . . . . . . . . . . . . . 46 Atlantic Hyundai . . . . . . . . . . . . . . . 43 Audi Wholesale Parts Dealers . . . . 72 Axalta Coating Systems . . . . . . . . . . 5 Bald Hill Chrysler-Jeep-DodgeRam . . . . . . . . . . . . . . . . . . . . . . . 28 Bergey’s Wholesale Parts . . . . . . . . 25 BMW Wholesale Parts Dealers . 66-67 Cadillac of Mahwah . . . . . . . . . . . . 60 CarcoonAmerica Airflow Systems. . 42 Central Avenue Chrysler-JeepDodge-Ram. . . . . . . . . . . . . . . . . 30 Certified Automotive Parts Association (CAPA). . . . . . . . . . . 37 ChemSpec USA, LLC . . . . . . . . . . . 16 Chief Automotive. . . . . . . . . . . . . . . 21 Classifieds. . . . . . . . . . . . . . . . . . . . 78 Clinton Acura . . . . . . . . . . . . . . . . . 61 Collision Equipment Consulting, Inc. 50 Colonial Automotive Group . . . . . . 69 Dent Magic Tools . . . . . . . . . . . . . . . 8 Diamond Standard Parts, LLC.. . . . 51 Ditschman/Flemington Auto Group . 59 DJS Fabrications. . . . . . . . . . . . . . . 24 Eco Repair Systems of North America, LLC . . . . . . . . . . 39 ECS Automotive Concepts . . . . . . . 32 Empire Auto Parts . . . . . . . . . . . . . . 36 Equalizer Industries, Inc . . . . . . . . . 35 Fitzgerald’s Lakeforest HyundaiSubaru. . . . . . . . . . . . . . . . . . . . . 49 Ford Wholesale Parts Dealers . . . . 64 Fred Beans Parts . . . . . . . . . . . . . . 80 Fuccillo Kia of Schenectady . . . . . . 63 GM Wholesale Parts Dealers . . . . . 71 GYS Welding USA. . . . . . . . . . . . . . 44 Heritage Chrysler-Jeep-DodgeRAM Owings Mills . . . . . . . . . . . . 34 Herkules Equipment Corporation. . 46 Honda-Acura Wholesale Parts Dealers. . . . . . . . . . . . . . . . . . 40-41 Hyundai Wholesale Parts Dealers . . 79 Infiniti of Norwood. . . . . . . . . . . . . . 54 Insta Finish Car Care . . . . . . . . . . . 29 Kia Motors Wholesale Parts Dealers . . . . . . . . . . . . . . . . . . . . 75 Killer Tools & Equipment. . . . . . . . . 47 Koeppel Mazda . . . . . . . . . . . . . . . . 58

Serving New York, New Jersey, Pennsylvania, Delaware, Maryland, Northern Virginia, Connecticut, Rhode Island, Massachusetts, Maine, New Hampshire, Vermont 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. ©2017 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

Contents

NABR to do Labor Rate Survey in New York State

Lancer Insurance Company . . . . . . 11 Long Automotive Group . . . . . . . . . 48 Lusid Technologies . . . . . . . . . . . . . 17 Lynnes Auto Group. . . . . . . . . . . . . 65 Malco. . . . . . . . . . . . . . . . . . . . . . . . 19 Malouf Chevrolet-Cadillac. . . . . . . . . 6 Mazda Wholesale Parts Dealers . . . 62 McGovern Chrysler-Jeep-DodgeRam . . . . . . . . . . . . . . . . . . . . . . . 18 Mercedes-Benz of Atlantic City. . . . 57 Mercedes-Benz of Fort Washington . . . . . . . . . . . . . . . . . 57 Mercedes-Benz of West Chester . . 57 Mercedes-Benz of Wilmington . . . . 55 Mercedes-Benz Wholesale Parts Dealers . . . . . . . . . . . . . . . . . . . . 70 MINI Wholesale Parts Dealers . . . . 64 Mitsubishi Wholesale Parts Dealers . . . . . . . . . . . . . . . . . . . . 76 MOPAR Wholesale Parts Dealers . . 45 Nissan/Infiniti Wholesale Parts Dealers . . . . . . . . . . . . . . . . . . . . 76 Nucar. . . . . . . . . . . . . . . . . . . . . . . . 53 Ourisman Chrysler-Jeep-DodgeRam . . . . . . . . . . . . . . . . . . . . . . . 10 Porsche Wholesale Parts Dealers . . 68 PPG . . . . . . . . . . . . . . . . . . . . . . . . . . 2 Prima Welds, Inc . . . . . . . . . . . . . . . 26 Providence Lacquer & Supply Centre . . . . . . . . . . . . . . . . . . . . . 20 SATA Dan-Am Company . . . . . . . . 13 Security Dodge-Chrysler-JeepRam . . . . . . . . . . . . . . . . . . . . . . . . 7 Spanesi Americas . . . . . . . . . . . . . . 22 Subaru of Morristown . . . . . . . . . . . 15 Subaru Wholesale Parts Dealers . . 73 Tasca Automotive Group . . . . . . . . 33 Toyota of Morristown . . . . . . . . . . . 15 Toyota Wholesale Parts Dealers . . . 74 Valspar Automotive . . . . . . . . . . . . . . 9 VIP Honda . . . . . . . . . . . . . . . . . . . . 38 Volkswagen Wholesale Parts Dealers . . . . . . . . . . . . . . . . . . . . 77 Wesch Tools . . . . . . . . . . . . . . . . . . 12 Westbury Jeep-Chrysler-DodgeRam-SRT. . . . . . . . . . . . . . . . . . . 23 Wizards Products . . . . . . . . . . . . . . 27 Yellow Jacket . . . . . . . . . . . . . . . . . 14 Yonkers Kia . . . . . . . . . . . . . . . . . . . 56

www.autobodynews.com | MAY 2017 AUTOBODY NEWS 3

Apple Applies for and is Granted Driverless Car Testing Permit, But What it’s Testing May Not be a Car Apple has formally thrown its name into the driverless car ring. The iPhone manufacturer’s name is plainly listed on the California Department of Motor Vehicles website as an approved autonomous vehicle tester within the state’s borders. Apple stands out on the list, which otherwise constitutes recognizable car companies and tech startups; Nissan, Subaru, Tesla, and Udacity are among them.

That Apple is doing something with autonomous vehicles is one of the worst-kept secrets in Silicon Valley according to Chris Mills, writing in BGR News. Rumors have circulated for years that Apple is planning some kind of car, and now we know for sure that a research group is testing something.

The California DMV awarded Apple a permit to test autonomous vehicles in the state. Apple has not commented on the application for a permit, but a spokesperson instead referred to a previous statement that said Apple continues to invest in autonomous technology, AI, and machine learning.

The obvious point is that you don’t apply for a permit to test au-

tonomous vehicles unless you actually want to test autonomous vehicles. This doesn’t mean that Apple is building an Apple Car, just that it’s working on some kind of driverless technology.

The majority of the companies that are permitted to test in California aren’t trying to build their own vehicle platform. Instead, most companies take an off-the-shelf car and attach some kind of sensor package, which is most likely what Apple’s doing currently.

This is not the first confirmed interest that Apple has had in vehicles.

The company attempted a takeover of McLaren, a British racing car company, late last year. Reports suggested that Apple initially considered making its own fully-electric car to rival Tesla, codenamed Project Titan. It sounds like that project ended, and Apple decided instead to focus on the technology side of car-making.

Uber briefly took its self-driving cars off the streets following a crash involving one of the vehicles on March 24. Tempe police confirmed to CNNTech the selfdriving Uber vehicle involved in the rollover accident was not at fault, and there were no life-threatening injuries.

The self-driving car tests resumed in both cities March 27, after a temporary halt to investigate the accident.

Photos of the accident scene in Tempe, Arizona, showed one of Uber’s Volvo SUVs on its side, while another car nearby appeared pretty beat up.

There were no reports of serious injuries.

Uber’s car, which had engineers in the front two seats and no one in the back, was in self-driving mode at the time of the collision, local cop Josie Montenegro told reporters. She added that the accident occurred when the other car apparently failed to yield to Uber’s vehicle at a left turn.The company’s fleet of 16 self-driving cars had been on the streets of Tempe for just over a month as part of a pilot program.

It confirmed over the weekend that it’s also suspended testing at its two other sites in San Francisco and Pittsburgh

while it continues with investigations into what caused the smash-up.

Uber customers had been able to take rides in the self-driving cars, but anyone nervous about doing so could use the app to opt out of the opportunity. While Uber’s technology doesn’t appear to have been at fault in Saturday’s accident, it’s possible the publicity surrounding the incident will prompt some riders to think twice about hopping into one of Uber’s driverless cars when they return to the streets.

The San Francisco-based ridehailing giant started testing its driverless car technology in Pittsburgh last year before expanding the pilot program to its home city. However, a runin with regulators at the end of 2016 prompted the company to shift testing from San Francisco to Tempe, Arizona.

Uber recently received permission to relaunch testing in the California city.

The Tempe crash certainly isn’t a first for self-driving car companies, with, for example, Google’s own project—now operated by Waymo— having experienced a few incidents up to now.

www.autobodynews.com

Uber Briefly Puts The Brakes on its Self-Driving Fleet After Arizona Car Crash

4 MAY 2017 AUTOBODY NEWS | www.autobodynews.com

Driverless Wreck Video

PreFab Ads has just launched “Driverless Wreck,” the latest in a line of humorous TV/Internet collision repair commercials. It is currently available for licensing on an exclusive-by-territory basis for just a fraction of the cost of production.

The spot depicts an autonomous taxi cab tangling with an impatient man driving a Mercedes followed by the line, “Need a body shop?” and the featured body shop’s tag.

The impatient man was played by actor Jeffrey Weissman who has starred in a number of movies including “Back To The Future” II & III where he played George McFly, father of Michael J. Fox’s character.

“Driverless Wreck” has already been licensed by 15 collision repair centers across the US, including Joe Hudson’s Collision Center, AL; North Haven Auto Body, CT; Collision Specialist, TN; Auto Tech, NY; and Fountain Valley Auto Body, CA; Olson Autobody, Casper, WY; Peter’s Body Shop, Fort Wayne, IN; Car Center Collision, Big Rapids, MI; Lefler Collision & Glass, Evansville, IN; AutoTech, NYC; Branson Collision, Branson, MO; Jeffrey’s Auto Body, North Syracuse, NY; and The Professional Touch, Scotts Valley, CA. It marks the 20th collision repair commercial produced by Chuck Jessen of Jessen Productions & PreFab ads over the years. All commercials can be viewed at www.prefabads.com.

To view video, go to: http://prefabads.com/myportfolio/driverless-wreck/

Uber Continues Growing Pains, Loses a Top Self-Driving Executive, Legal Battle with Google Uber has lost yet another executive after its vice president of the self-driving car division resigned. Uber is also is currently fighting a high-profile lawsuit with Google about the autonomous technology.

Sherif Markaby resigned from his position as Uber’s vice president of global vehicle programs a year after he joined the company from Ford, where he had spent 25 years and was director of global electronics and engineering.

Markaby’s departure is the fifth high-profile exit from Uber in recent months, creating doubts about the firm’s ability to bounce back. Markaby’s resignation is one of a number of significant departures among senior Uber figures, including the resignation of its president, two other vice presidents, a well-known security researcher and an engineering executive.

Uber is currently fighting allegations that it stole driverless car technology from Google, while trying to recover from claims of sexual harassment and lack of diversity in its offices. In the UK it is also appealing an employment tribunal’s ruling that its

drivers should be classed as employees, which could undermine its business model there.

Uber said Markaby’s departure is not related to any lawsuit.

“Self-driving is one of the most interesting challenges I’ve worked on in my career, and I’m grateful to have contributed to what will soon be a safer future for everyone,” said Markaby.

A spokesman for Uber said: “[Markaby’s] deep experience and knowledge of the automotive industry that have helped us tremendously in working to make self-driving cars a reality.”

Former president Jeff Jones quit just six months after he was hired to alter the ride-hailing app’s public image over an irreconcilable culture clash.

“The beliefs and approach to leadership that have guided my career are inconsistent with what I saw and experienced at Uber,” said Mr. Jones when he left last month.

Uber’s difficulties in recent weeks have led to suggestions that it would be better off if its chief executive Travis Kalanick were next to go.

www.autobodynews.com | MAY 2017 AUTOBODY NEWS 5

Service King Adds 2 Rochester, New York Repair Centers

Service King Collision Repair Centers®, in continuation of the organization’s national growth initiative, has announced the opening of two repair centers in Rochester, New York.

The announcement comes as Service

King and its teammates finalized a deal to partner with Gates Automotive.

As part of the deal, operations of the two facilities, located at 73 Marway Circle in Rochester and 50 Thruway Park Drive in Henrietta officially transitioned to Service King.

Service King now locally provides collision repair service to customers at three locations in the greater Rochester, New York area.

“This is an exciting step forward in Service King’s steady growth in New York,” said Darren DuVall,

Service King Market Vice President.

“We are always intentional about partnering with great organizations that believe in superior customer service and high-quality repairs. We couldn’t be more proud to partner with Gates Automotive and welcome its teammates to the Service King family.”

One of the fastestgrowing collision repair providers in the U.S., Service King first expanded to the Rochester community in 2014. All Service King locations back repair work with a lifetime warranty valid at any Service King Collision Repair Center in the U.S. “The Gates Automotive team is proud to align with Service King and its premier family of repair centers,” said Jim Fonzi, Gates Automotive founder. “This is a tremendous opportunity for our teammates and customers to benefit from the premier name in collision repair service. We look forward to a bright future under the Service King name.”

For more information, visit www.ServiceKing.com.

Mallery’s Auto Body Earns Assured Performance Certification

by Olean Times Herald

Mallery’s Auto Body Inc. in Olean, NY, has been certified by Assured Performance, a nonprofit consumer advocacy organization “for maintaining the right tools, equipment, training and facility necessary to repair the

participating automaker-brand vehicles according to the manufacturer’s specifications.”

Adding to its credentials, Mallery’s is officially recognized, along with Assured Performance, by General Motors, Ford, Nissan, Infiniti and Hyundai.

To become certified and officially recognized by the various automakers,

“Mallery’s passed the certification process essential to help ensure a proper and safe repair of the new generation of advanced vehicles,” according to Assured Performance. Less than 5 percent of body shops in the nation meet the requirements.

“We’ve worked hard to stay ahead of the curve in the collision repair industry,” owner John Mallery said.

“This official certification demonstrates that commitment to our customers. We take pride in our highly trained technicians who use the latest tools and equipment to deliver a top quality repair and the best customer service.”

Certification criteria is based on auto manufacturer requirements, critical to ensure the vehicle fit, finish, durability, value and safety following an accident. Assured Performance notes that as new-model vehicles are introduced using lightweight, highstrength materials and advanced technology, “a proper repair according to manufacturer specification is even more important than ever to ensure the passenger safety and proper performance of the vehicle.”

We thank Olean Times Herald for reprint permission.

Corona Cyclist Killed in Sunnyside Hit-And-Run, Woodside Man Charged

by Bill Parry, Times Ledger

A 32-year old married father of three cycling home to Corona, NY, on April 2 was struck and killed by an alleged drunk and unlicensed driver

The NYPD puts an electronic billboard at the intersection where 32-year-old cyclist Gelacio Reyes was killed in a hit-and-run collision at 39th Street and 43rd Avenue in Sunnyside. Credit: Bill Parry

in Sunnyside, police said. Gelacio Reyes was heading east on 43rd Avenue and 39th Street around 3 a.m. when a southbound red 2002 Ford Escape crashed into him and fled the scene, according to the NYPD. Police found the bicycle deliveryman, who was heading home from the Manhattan restaurant where he worked, lying on the roadway with trauma to his body. Reyes was rushed to Elmhurst Hospital Center, where he was pronounced dead. Woodside resident Cris-

tian Guiracocha, 25, was arrested hours later at an auto body shop, texting inside the vehicle with vomit on his pants, and police smelled alcohol on his breath, according to the criminal complaint filed by the Queens district attorney’s office. His vehicle, parked in front of Brian’s Auto Body Shop at 5104 58th Place in Woodside, had extensive damage to the front end and the passenger side mirror was missing.

Guiracocha was taken to the 112th Precinct in Forest Hills, where he refused to take a Breathalyzer test, police said. Records show Guiracocha, a resident of 59th Street in Woodside, had his driver’s license revoked at least twice before, most recently on January 28, 2014, according to the criminal complaint. He is charged with driving under the influence, aggravated unlicensed driving and refusal to take a Breathalyzer test, authorities said.

Guiracocha was released on $100,000 bail and was due back in court on April 14. Meanwhile, Reyes’ wife is planning a fundraiser in Corona, and the PTA at PS 143—where his two sons attend school—will be collecting money to help the family bury him in his home country of Mexico. We thank Times Ledger for reprint permission.

6 MAY 2017 AUTOBODY NEWS | www.autobodynews.com

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Capital Region BOCES Auto Body Students to Renovate ‘84 BMW

For their latest project, Capital Region BOCES Career and Technical School (CTE) students will be restoring a car that is at least twice as old as they are.

Students in Chris Shader’s Auto Body Collision Repair and Auto Body Refinishing programs in Albany are working on the classic 1984 BMW 635 owned by Paul Tacy of Castleton.

Students are sanding, repairing dents and painting the automotive classic, said Shader.

Shiv Singh (left) of Schenectady and Sukhnandan (right) remove the fender from the car

Nijuan West (right) and Kumar Sukhnandan (left), both of Schenectady, prepare the fender for sanding

“Nothing is coming off the car because it is long out of production and they just don’t make the parts for it anymore, so they are going to repair and paint it right on the body,” he said.

Tacy learned of the program’s abilities through a relative who had a 1970 Buick restored by CTE students last year.

“It’s great to give the students something tangible to work on, for them to have a project for a customer who expects results,” said Shader.

Stolen U-Haul Chase - Ends in Flames

by Mike Carraggi, Patch National Staff

A Cambridge, MA man’s escape attempt ended in flames early Sunday, March 19 when the reportedly stolen U-Haul he was using to flee police crashed into a Revere auto body shop, police said.

The chase began when Saugus police investigated a burglary alarm at an Essex Street sub shop. It ended after the driver allegedly struck a Revere police cruiser and drove into Gulino’s Auto Body on Broadway.

Police say the U-Haul was stolen out of Somerville. No one was injured, police said.

Robert Silva, 50, is accused of breaking and entering into Santoro’s Sub-Villa in Saugus, where police had noticed a 2017 Ford U-Haul just prior to the alarm going off at approximately 3:02 a.m. Officers saw the shop’s glass front doors had been smashed.

Police a short time later noticed the U-Haul exit off Route 1 onto Walnut Street. Officers stopped the vehicle, but when they exited their vehicle, the U-Haul sped off. The truck went into Lynn, then back to Saugus, and entered Revere on Route 107, where it struck the cruiser. The officer was not in the cruiser at the time and was

Castle Collision Earns Official Certification and Prestigious Top Automaker Recognition

Castle Collision in Westbury, NY has been officially Certified by Assured Performance, a non-profit consumer advocacy organization for maintaining the right tools, equipment, training, and facility necessary to repair the participating automaker brand vehicles according to the manufacturer’s specifications. In achieving their certification, Castle Collision is now an integral part of the most advanced repair capable and efficient auto body repair network in the world.

Adding to their credentials, Castle Collision is officially recognized by Assured Performance, FCA, GM, Nissan, Infiniti, and Hyundai. To become certified and officially recognized by the various automakers, Castle Collision passed the rigorous certification process essential to help ensure a proper and safe repair of the new generation of advanced vehicles. Less than 5 percent of body shops across the nation are able to meet the requirements to become officially Certified and recognized. The certified network is made up exclusively of bestin-class collision repair businesses that have met or exceeded the stringent requirements of the Certification program.

According to Castle Collision Owner Robert Scarpelli, “This certification

supports our reputation for superior customer service serving our community.

We are your neighbors and friends, so it is important to provide our customers with the peace of mind that their vehicles are being repaired correctly by highly trained professionals that care about them.” The Certification criteria is based upon auto manufacturer requirements. These are critical to ensure the vehicle fit, finish, durability, value and safety following an accident. As new model vehicles are being introduced that use lightweight high strength materials and advanced technology, a proper repair according to manufacturer specification is even more important than ever to ensure the passenger safety and proper performance of the vehicle. Auto manufacturers want to ensure that consumers have the option of Certified Collision Repair wherever they live, work, or travel. “Consumers need the confidence and peace of mind to know their vehicle is repaired by a shop that has what it takes to ensure the vehicle safety. Castle Collision is officially a Collision Care Provider™,” said Scott Biggs, CEO of Assured Performance Collision Care™.

“They represent the standard by which all other body shops are measured.”

8 MAY 2017 AUTOBODY NEWS | www.autobodynews.com

able to avoid the crash.

The driver then crashed into the auto body shop, exited the U-Haul, and fled inside the building. Police located Silvia inside the building, where he was arrested.

The Revere Fire Department arrived to extinguish a fire that occurred at Gulino’s after the U-Haul crashed into the building and caught fire, which extended into the auto body shop.

Silva will be arraigned at Lynn District Court. He is being charged with breaking and entering into a building at nighttime for a felony, attempting to commit a crime (larceny from a building), failure to stop for police, negligent operation of a motor vehicle, operating a motor vehicle with a revoked license as a habitual traffic offender, speeding, marked lanes violation, red light violation, stop sign violation, and receiving stolen property over $250.

It was reported by multiple outlets that the U-Haul was stolen.

Saugus Police are also investigating a break-in which occurred Saturday morning at a business close to Santoro’s.

We thank Cambridge Patch for reprint permission.

www.autobodynews.com | MAY 2017 AUTOBODY NEWS 9

FCA US Marks Opening of New Mopar Parts Distribution Center in Virginia FCA US celebrated the official opening today of a new Mopar Parts Distribution Center (PDC) in Winchester, Virginia. The 400,000-plus squarefoot facility represents a $12.2 million investment by FCA US and more than 70 jobs over two shifts. It is also the first of two new Mopar PDCs scheduled to open in the U.S. this year.

FCA US and UAW leadership were joined by federal and state government dignitaries and dealership representatives in marking the Winchester PDC grand opening. Ceremony attendees included Pietro Gorlier, Head of Parts and Service (Mopar), FCA – Global; Norwood Jewell, UAW Vice President and Director of the Chrysler Department; Mark Bosanac, Director – NAFTA Supply Chain Management and Global Parts Supply Chain Management and Operations; Kevin Farrish, President, Farrish Chrysler Dodge Jeep® Ram; Urooj Mughal, representative for U.S. Senator Tim Kaine; Dave Stegmaier, Director of Community Outreach for U.S. Representative Barbara Comstock; and Hayes Framme, Virginia Deputy Secretary of Commerce and Trade.

“We are celebrating our 80th anniversary in 2017, and throughout the years customer satisfaction has been and continues to be the Mopar brand’s No. 1 priority,” said Pietro Gorlier, Head of Parts and Service (Mopar), FCA Global. “This new Parts Distribution Center builds upon our mission, allowing us to more quickly and efficiently serve our dealers and customers, delivering the parts they need, when they need them. This is our 22nd PDC in North America and we’ll continue to expand our distribution network as the parts and accessories business keeps growing.”

“Today’s opening adds more than 70 jobs to the Virginia economy and makes the Mopar brand’s delivery of parts to dealers and consumers more efficient. FCA continues to grow, which is a constant reminder that the auto loans were a great investment,” said Jewell.

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Continued from Cover

Northeast Legislation vehicle owner, return the vehicle to pre-accident condition at a repair facility of the vehicle owner’s choice.

Bills (SB 2959, AB 2612) introduced in both the New Jersey Senate and General Assembly would require dealers to give new-car buyers a written statement noting that federal legislation makes it illegal for automakers or dealers to “void a motor vehicle warranty or deny coverage under the motor vehicle warranty simply because an aftermarket or recycled part was installed on the vehicle, or simply because someone other than the dealer performed service on the vehicle.”

Lawmakers in Massachusetts are considering a bill (HB 479) that would allow shops to demand arbitration in the event an agreement cannot be reached as to the amount of a loss; current law requires that such a request come from the insured.

Three other Massachusetts bills (HB 494, SB 599, HB 546), similar to those introduced in previous years, would require that a minimum labor

rate be established by the Massachusetts Insurance Commissioner based on the average rates paid by insurers in surrounding states (Connecticut, New York, New Hampshire, Rhode Island and Vermont).

A bill (HB 5896) introduced in Rhode Island in March would add two new requirements to the state’s existing law requiring insurers to survey shops in order to determine prevailing labor rates. The first change would require an insurer’s labor rate survey report to the state be signed by “an authorized representative executed under the penalty of perjury.”

The second change would prevent smaller insurers (which are exempted from conducting the surveys based on their market share) from simply adopting the labor rates of another insurer. Those smaller insurers, the bill proposes, would either have to negotiate with each individual shop, or voluntarily conduct a labor rate survey of their own.

The Automotive Service Association is opposing two proposed bills in Maine that would either require vehicle safety inspections only every other year rather than annually (HB 439), or scrap the program entirely (HB 567).

Pennsylvania Lawmakers Propose Recall Notification Legislation

Pennsylvania House Bill (HB) 1182, introduced by State Rep. Madeleine Dean, D-153, would require inspection agents to perform a Vehicle Identification Number (VIN) recall search as a part of the vehicle safety inspection process. If there is an outstanding recall on a particular vehicle, the inspection agent would be required to notify the owner of the vehicle.

Under HB 1182, the presence of a recall notice would not necessitate failure of a vehicle to pass inspection.

Pennsylvania currently requires an annual vehicle safety inspection.

Dean’s bill exists along with a larger package of automotive consumer protection bills, including HB 1119, introduced by Rep. Brian Sims, D-182, that requires dealerships that sell used vehicles to inform customers of unperformed manufacturer recall work.

www.autobodynews.com

Military Veteran and Tech Program Grad Practices Lifelong Learning Glenn Josephides’ mantra is “Life is a learning lesson. If you don’t learn something during the day, the day was wasted.” A retired U.S. Army Sergeant First Class, Glenn was honorably discharged after serving his country for 24 years and was deemed 90% disabled.

of Technology’s (NEIT) Automotive Technology with High Performance program, where he earned an Associate in Science degree in May of 2015.

From there, he wanted to continue his quest for learning, so he enrolled in the Automotive Collision Repair Technol-

During his time in the military, Glenn served in combat infantry for 11 years and later as a military recruiter and career counselor until he retired. Glenn decided to return to school through the Post 9/11 GI Bill. From that point on, Glenn has not stopped learning.

Glenn always had a passion for repairing and rebuilding cars, so he decided to enroll in New England Institute

ogy program and was awarded a second Associate in Science degree in June of 2016. Upon deciding he should round out his repertoire of transportation degrees, Glenn enrolled in New England Tech’s Marine Technology program and anticipates earning his third Associate in Science degree in September of 2017.

Whether he continues his education to earn a bachelor’s degree remains

to be seen. Glenn believes that all the knowledge and hands-on training he will have acquired through these three NEIT technology programs will be invaluable when he decides to pursue a career as an adjuster with an insurance company in the future.

One of Glenn’s instructors, Manny Couto, Assistant Professor in the Automotive Collision Repair Technology program, stated, “Glenn is like a sponge.

No matter what I say in class, he seems to be one step ahead and if he is not, he will always ask questions.” Glenn enjoys helping others and has served as a peer tutor in some of his automotive classes.

Paul Harden, Director of Transportation Technologies at NEIT, said “It’s great to have an older student in class who is also a military veteran. The younger students respect Glenn for what he has accomplished in life and for his passion and drive to keep learning.”

Glenn is in the process of restoring his eighth vehicle. He has sold some of them and given others to his three children, ages 24, 21 and 19. Because of his hardworking and “always learning” philosophy in life, Glenn serves as a role model not only for this family but for all of the students and faculty at New England Tech.

www.autobodynews.com | MAY 2017 AUTOBODY NEWS 11

such an expensive process. A lot of the OEMs require I-CAR Gold training, but some require additional courses and education. Elder admitted, “It to discuss collision repair concerns takes a lot of time, effort and pride to and brainstorm solutions as a group. make it work.”

Friday evening’s seminars began Dorn contributed, “You have to with AASP/NJ’s Path to Certification: choose someone who’s passionate beThe Shop Owner’s Perspective, a panel cause you want to have every possible discussion moderated by Gary Wano advantage to pass.” The overall conof GW & Son Auto Body Shop, which sensus among the panel participants was that OEM certification requires diligent shop owners who are willing to obtain the training necessary to properly repair specific vehicles.

The panel discussed cusPanel on OEM (non-luxury) Perspective: (l to r) Aaron Clark (Assured Performance Network), Mark Mandl (Ford), Dave tomer expectations for certified Pyle (Toyota), Gary Ledoux (American Honda) & Brian shops, the challenges inherent Wayne (FCA) in technological advancements, featured Tom Elder of Compact Kars and the importance of blueprinting.

Inc, James Carvino from Rojo ColliDorn stressed, “There are procedures sion, Rick Starbard of Rick’s Auto that change weekly, so you have to pull Collision & Repair, and Barry Dorn the OEM specs on every single repair. from Dorn’s Body and Paint. All of Keep in mind that consumers are relying these shops are certified by a variety of on this technology, and if it’s not propOEMs, and they shared their experierly calibrated, it can cause major issues ences during this session. and be extremely dangerous!”

A useful benefit of OEM certification, according to the panel, is that they’ve found it easier to justify the use of OE parts to the insurers since the manufacturers’ requirements necessitate their utilization. Dorn noted, “OEs are demanding like insurers, so Panel on tooling & equipment considerations: we need the carriers to understand the (l to r) David Gruskos (Reliable Automotive differences between original and afEquipment), Frank Ponte (Car-O-Liner) & Ron termarket parts. There’s a learning Olsson (Prospot) curve to get them to understand the When questioned about how they real cost behind what we do; the cergot involved with the certification tification process is very stressful but process, responses varied from being worth the effort.” approached by the OEM, the shop Since obtaining their OEM certipursuing the certification, or being fications, some of the shop owners redealership driven, depending on the ported reducing the number of DRP manufacturer. The transition to becoming certified includes audits from the OEM to view the shop setup, equipment requirements and training standards.

Carvino noted, “You have to look Panel on OEM (luxury) Perspective: (l to r) at every aspect of how you run the Aaron Clark (Assured Performance Network), business slightly differently because Mark Allen (Audi) & Benito Cid (Mercedesthe scope of work changes,” and Dorn Benz) added, “You have to change the way you and your team think. It’s a culture relationships they’d previously had, shift so you really need your team to but most of the panel members still buy in, and it can be a challenge, but participate in some DRPs. According like all challenges, the reward is there to Elder, “Our price is our price, and when you get through the process; you that’s what we charge. We got rid of sleep well knowing that you’re doing the DRPs that require substandard the right thing.” parts and processes, but I don’t have a Considering which technicians to problem with the others as long as they send for the OEM required training is let me follow OE requirements, charge also an important step since it can be a fair rate, and perform a proper repair Continued from Cover

NORTHEAST

12 MAY 2017 AUTOBODY NEWS | www.autobodynews.com

for the consumer.”

Regarding how customers react to the OEs referring them to certified shops, Carvino shared, “Customers want certified shops and really get behind us because they want to feel confident that their car is being taken care of.”

Taking the money, time and resources required into consideration, Wano asked if the shops would go through the certification process again, and the response was a resounding “yes!” Elder “wouldn’t do it any other way,” and Carvino stated, “It’s meaningful to see that certification.” Starbard insisted, “With all cars becoming so high-tech, you need to step your game up,” while Dorn added, “OEM certification takes your shop to the next level, and the sense of pride you see in your team makes it worthwhile.”

Friday night’s offerings also included “Ford High Voltage Vehicles Components and Operations,” presented by Mike Brabble, Ford Motorcraft Technical Trainer, and facilitated

by Flemington Car & Truck Country.

Recommended for all aftermarket service technicians interested in high voltage vehicle technology, the course provided some of the latest information

on advanced automotive technology.

Ford Service Engineer Gerry Bonnani provided examples of the improved repair elements of the aluminum F-150 in “Aluminum F-Series Collision Repair Information,” and Collision Advice’s Mike Anderson shared “Who Pays for What? Survey Results” in a presentation sponsored by Axalta Coating Systems.

Jim Saeli of Management Success presented “Supercharge Your Profit”

Also on Friday evening, Jim Saeli of Management Success shared tips to “Supercharge Your Profits.” Beginning by telling attendees that some shops aren’t getting paid like they should, Saeli encouraged them to take a look at what isn’t working well enough so they can fix the real problem. “Too often, See NORTHEAST, Page 16

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Stella Collision Celebrates 70 Years

by Mallory Diefenbach

This year, Stella Collision in Le Roy, NY has reached the platinum mark as it celebrates 70 years in business.

Stella Collision Services opened after War World II ended, when Chris Stella’s father returned from the Pacific Theater. After working at a couple of different auto body repair shops, he built the original structure with his brother and other people from the neighborhood, finally opening in 1947.

“We don’t know the exact date in 1947, but I think it was April,” Chris said. “So actually, we are right about at the 70-year mark exactly.”

Chris and his wife, Gina, took over the business on April 27, 1984.

Growing up next to his father’s shop, Chris said his whole life was involved there. He would help with the tow calls during the night, and when his father turned 65 and wanted to retire, it was a “no-brainer” to buy the business.

When Chris and Gina took over, there was no paint booth or frame equipment.

Now Stella Collision is using environmentally friendly water-based paints. What used to take over an hour

for an estimate now only takes 10 minutes.

“Everything is done (now) with the help of a computer,” Chris said.

“Obviously we are still hands-on when we repair something; the process is still very similar.”

Gina and Chris Stella in the paint area of their collision repair shop. Credit: Rocco Laurienzo/Daily News

While the business itself closes at 5 p.m., the tow service is 24-hours.

He said there were days they are awake almost around the clock.

Chris said they like this time of year because with the snow starting to melt away, business starts to calm down slightly.

Although Stella Collision gets a lot of business from crashes, it also has a lot of business from repeat customers.

14 MAY 2017 AUTOBODY NEWS | www.autobodynews.com

“A lot of people who were with my dad back in the day continued on with us and now their families continue coming to us,” Chris said. “We’re getting the grandchildren now — so a lot of repeat business I think. When you are in business since 1947, I think people realize you must be pretty good at what you do, otherwise you wouldn’t be there that long.”

He said as a business, Stella Collision tries the best it can do. He said it drives him crazy when he can’t get something right, and if they can’t do it, they’ll find someone who can.

One of the biggest misconceptions Chris says he struggles with as an auto repair mechanic is people assuming he — and other auto repair mechanics — are out to get them.

“We get a bad rep because people think we are repairing your car

and doing it haphazardly or shoddy,” he said, adding that when he had it said to him he wasn’t sure how to respond.

While the couple have nobody in the family to take over the business, they said they would like to keep it as an independent auto repair shop for as long as possible.

“We would love to see it remain an independent business,” Gina said.

For the immediate future, the couple is toying with the idea of becoming a “one-stop” shop for auto repair.

Open from 8 a.m. to 5 p.m. on Monday through Friday, Stella Collision Service is located at 8375 E. Main Road in Le Roy. For more information, call (585) 768-7370.

We thank The Daily News for reprint permission.

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Continued from Page 12

NORTHEAST

shop owners work harder than anyone and make less money. You should be paid well for all you do!”

The process begins by watching your numbers and connecting the dots.

Shops may have plenty of work, but they need to get it out the door in a timely manner. Saeli warned, “Owners often get stuck on one thing and miss the big picture. You have to track your numbers, not go by your gut or rely on emotions. A common fixation is that a shop needs more cars or better marketing, but I often find that you’re trying to fix something that isn’t broken. The most frequent issue is that shops don’t have anyone up front who can sell. Your sales guys should be doing 80% or better. You need to make time for estimates and invest in a real sales department.”

Saeli continued, “Making money comes from efficient problem-solving and then getting paid well for the skills and solutions your team provides.

Without evaluating your key numbers, you’re running blind, but your vision improves once you start tracking those numbers. You need statistics for each step of the process. You will make money if your numbers are where they should be, and then your customers do your marketing for you.”

Shops must track numbers for each person in the business to ensure they are producing, and putting those numbers into graphs paints a picture and helps easily identify problem areas by revealing what needs to be fixed and what strengths to focus on. “It gives you better control and understanding so you can start making the money you always thought you should,” Saeli emphasized.

Noting that the people working at a shop are the number one thing to make or break a business, Saeli turned to recruiting which should be a fulltime endeavor. He dropped a “truth bomb:” “You can’t hire great employees, but you can hire great potential employees. It’s management’s job to cultivate that potential and to create a great working environment.”

Basic marketing techniques are required to recruit a prospective employee, it begins by knowing what employees are looking for in a business: well-equipped, good environment, location and benefits; money is not a driving factor, but showing appreciation makes a huge difference.

Business owners need to sell recruits on joining their team and look for people with the right attitude.

Pointing out that people (not cars) have problems, Saeli stated that employees should be friendly, observant, and enjoy helping customers solve their problems. After discussing efficiency expectations for technicians, Saeli noted that expenses should consist of these percentages: 18% technician pay, 30% cost of parts, 8% front office, 24% overhead, and 20% owner pay, but “If you’re still working in your shop, you should be pulling in more than 20%.” He added, “Treat your employees right because they are as important as your customers—they’re your most valuable asset!”

On Saturday morning, Jerry McNee and John Niechwiadowicz hosted an interactive workshop designed to help shops explore ways to become more efficient, productive and profitable, entitled “Open Your Eyes... and You WILL Become a Game Changer.” They delivered an encore presentation on Saturday afternoon. At the same time, Peter Fryzel and Michael Bonsanto taught I-CAR Vehicle Technology Trends and Diagnostics Overview (VT117L01) off-site at the Embassy Suites, located next door to the Meadowlands.

Also on Saturday morning, Larry Montanez of P & L Consultants held “Proper and Accurate Blueprinting with Pre-Scan and Pre-Measure,” with assistance from asTech’s Jake Rodenroth and Metropolitan Car-O-Liner’s Anthony Cetani. The trio explored two specific and important procedures for preparing a vehicle for repair, measuring and scanning. James Meyer, Senior Collision Training Administrator for Toyota, presented “Toyota OE Resources: Get Connected” on Saturday morning and again Sunday afternoon.

The Women’s Industry Network (WIN) also held a seminar on “Engaging Women in Collision Repair.”

Beginning at 11AM, the Assured Performance Network’s Aaron Clark moderated AASP/NJ’s Path to Certification: The OEM Perspective (NonLuxury Brands) with a panel consisting of Ford’s Mark Mandl, Dave Pyle from Toyota, Gary Ledoux of American Honda, and FCA’s Brian Wayne. The OEM representatives discussed their specific eligibility requirements, all of which are based on training, tools, knowledge and the facility itself. In addition to their own training requirements, all of the OEMs present require

16 MAY 2017 AUTOBODY NEWS | www.autobodynews.com

I-CAR Gold status, except Toyota which uses its own benchmarks, but Honda will accept VQ status through VeriFacts in lieu of the I-CAR classification.

Discussing the role of certification in the shop’s relationship with insurance companies, Wayne mentioned the ability to leverage improved CSI, and Mandl stressed that how the shop is promoted to the insurers is critical.

Pyle encouraged shops to educate consumers on the difference between OE and aftermarket parts so the customer can have an educated conversation with their insurance carrier.

While the OEMs do not generally have parts restrictions, FCA and Honda both have restrictions for certain models, and they all prefer the use of original parts. Although MSOs continue to be an industry trend, the manufacturers’ requirements for certification are exactly the same for independent shops and MSOs. When it comes to consumer awareness, each OEM does its best to teach consumers that they can choose the shop that repairs their vehicle, and they all deliver messages about the benefit of going to a certified facility.

Wayne noted, “We want to add the

right shops to our program, and we try to drive consumers to our certified shops so their vehicle is repaired properly the first time. In 60% of re-repairs, the customer switches cars within 12 months, and 62% of them change brands. We don’t want to lose customers due to a poor repair.”

The OEMs determine their coverage needs for any given area based on the number of their vehicles driven in that area, and while the manufacturers’ certification requires that the shop possess the tools and information for proper procedures, Clark reminded attendees that it is ultimately up to the shop to adhere to those guides and perform the repair properly and safely.

Summarizing the OEMs’ goal in certifying shops, Mandl said, “We are trying to set standards in the industry with the consumer at the center because we want to make sure their vehicle has been repaired properly. OEs, shops and insurers have the same customer, and we all want to do right by the consumer.

Certification is a great way to do that.”

From 12:30–2PM, “2020 - The Future of Staffing: Where Will You Be?” was presented by Mike Lanza of Sherwin-Williams as he used analySee NORTHEAST, Page 20

www.autobodynews.com | MAY 2017 AUTOBODY NEWS 17

Northeast Associations with Chasidy Rae Sisk

Chasidy Rae Sisk is a freelance technical writer from Wilmington, Delaware, who writes on a variety of fields and subjects, and grew up in a family of NASCAR fans. She can be contacted at crsisk@chasidyraesisk.com.

Collision Shops Across CT Flock to ABAC March Meeting for Second Mike Anderson Presentation Over 130 CT collision repair professionals gathered at the Country House Restaurant in Foxon, CT, for the Auto Body Association of Connecticut’s (ABAC) Member Meeting on March 7th. The meeting featured, for the second month in a row, a presentation from industry favorite Mike Anderson of Collision Advice. Additional guest speakers at the meeting included Tony Lombardozzi, President of the Coalition of Collision Repair Excellence (CCRE) and co-founder of Superare Marketing, and ABAC Legal Counsel John Parese.

According to ABAC President Tony Ferraiolo, “Our guest speakers deliver training and information to keep association members moving forward in this ever-changing collision industry, and everyone left the event armed with more knowledge and information to help them keep this momentum. The value of attending these ABAC meetings cannot be measured.

There is a lot of information that is discussed during our meetings that you won’t see in the ABAC News, but it’s information that you need to be successful!”

After welcoming attendees and announcing the evening’s agenda, Ferraiolo thanked meeting sponsors Axalta, Albert Kemperle, Enterprise, and Forrest Law. He recognized the Hoffman Auto Group for their ongoing yearly Diamond Sponsorship, and he also expressed gratitude to new supporting advertisers for the ABAC News: County Line Nissan, Premiere Kia, Sherwin-Williams, and Auto Data Labels.

Ferraiolo then acknowledged Don Cushing from Bald Hill Auto Group for his role in designing, formatting and producing the ABAC News. He also thanked Dave Fogerty from the Lorensen Auto Group for leading sales with the ABAC News Advertisers Directory and for his help with the con-

18 MAY 2017 AUTOBODY NEWS | www.autobodynews.com

sumer bulletin which was placed on a foam-backed board and is available for all shops to place in their waiting areas, at no cost, for customers to see.

The evening’s first guest speaker, Matt Forrest of Forrest Law, presented on “Short Pay,” detailing the benefits his firm can offer ABAC members.

ABAC Board of Director Tony Cavallaro has used Forrest’s firm for a short pay claim, and he provided a testimonial. More information on Forrest’s presentation and services is available at http://matthewforrestlaw.com.

Next Tony Lombardozzi, cofounder of Superare Marketing and CCRE President, announced that Superare Marketing will be holding two short pay seminars in CT in the upcoming months, and he also encouraged meeting attendees to participate in AASP/NJ’s 40th Annual NORTHEAST Tradeshow scheduled for March 17-19.

The final presentation before din-

ner was given by John Parese, Legal Counsel for the association, who offered a legal analysis on “What is an insurance estimate and what is its value.” Ferraiolo notes, “Once again, this was great information for members who attend our meetings. You learn, you apply, you move forward in your business.”

Following dinner, Ferraiolo introduced Collision Advice’s Mike Anderson, featured guest speaker for the second consecutive ABAC meeting.

During his brief bio and description of the services offered by Collision Advice, Anderson explained, “I travel around the country, I do classes on behalf of Axalta Coatings System such as estimating, sales and marketing, CSI classes, etc. I also facilitate 20 groups for Axalta Coating Systems which is where shop owners who are not competitors get together on a quarterly basis, and I’m like a business coach for them to help them improve their busi-

ness. I also have a team of several young people that work with me, and we travel around the country and work with shops to help them improve their processes.”

Stressing that “In order for a business to THRIVE, not just SURVIVE, you need to focus on the three major areas of the three-legged stool: sales & marketing, production, and finance & HR,” Anderson proceeded with his presentation to discuss who we serve and what they want. Consumers are looking for trust, empathy and direction, and insurers seek service, speed and accuracy, while OEMs desire safety, brand and OEM parts.

Referencing a recent consumer survey conducted by the Assured Performance Network in which consumers identified OEM certification as the most important aspect they consider when choosing a collision repair shop (vs. insurance companies recommendation, family/friend recommendation and geographic convenience), Anderson states, “This was an ‘ah-ha’ moment for me. Why do the OEMs care? One of the things I’ve been doing the past year is I’m now working directly with seven OEM manufacturers, and I can tell you absolutely, unequiv-

ocally, without a shadow of a doubt, that the OE manufacturers are going to be more involved in this repair industry than you’ve ever seen since you’ve been alive.”

Suggesting his audience write the following statistic down, Anderson continued, “60% of all consumers who have a problem in a body shop either their car is not fixed right, the lights don’t work, the paint doesn’t match, whatever the case may be – 60% of those consumers who have a problem with that body shop will trade or sell their car within one year.

And 63% of that 60% will change vehicle brands. They may go from a Toyota to a Honda, or a GM to a Chrysler, or a BMW to an Audi, which means these vehicle brand manufacturers lose out on all those potential mechanical

repairs to that car. So, the single most important reason you will see OE manufacturers get more involved in our industry is because they want to protect their brand.”

Continuing, Anderson discussed the many OEMs that now have vehicle technology and apps that immediately interact with the driver and occupant after a collision to determine if they need assistance and to ascertain the damage to the vehicle using onboard diagnostics. These systems will also ask if the customer has a collision shop in mind and, if not, will recommend the closest OEM-certified collision repair facility.

After sharing updates on the 2016 Who Pays for What survey, Anderson fielded attendees’ questions and provided tools to use to be more profitable. He also encouraged attendees to visit CollisionAdvice.com to “get all

the information that you need to be successful in your business. Read it, research it, apply it – it will work!”

Ferraiolo is proud that ABAC’s March meeting was another success for the association, and he notes, “The ABAC continues to bring in guest speakers and industry professionals from throughout the country who are willing to share their knowledge, expertise and processes with ABAC members to help make their businesses more profitable. The association continues to make their mark nationally in the automotive industry by offering this type of knowledge and education to their membership. Be a part of the Auto Body Association of Connecticut… It will forever change the way you think about your collision industry!”

For more information about the ABAC, visit www.abaconn.com.

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Continued from Page 16

NORTHEAST

sis, statistics and trends to forecast the next few years and discussed how to attract, train and retain the industry’s best employees. In the demo area, Michael Finazzo from Absolute Perfection Media discussed “Shifting Your Online Marketing into High Gear for 2017;” an encore presentation was scheduled on Sunday morning.

On Saturday afternoon, Collision Hub’s Kristen Felder moderated AASP/NJ’s Path to Certification: Tooling and Equipment Considerations, a panel which included David Gruskos from Reliable Automotive Equipment, Frank Ponte of Car-O-Liner, and Prospot’s Ron Olsson. These tool company representatives described the extensive research and testing that OEs do before certifying a tool, and they also

Superare’s Peter Abdelmaseh helps explain why it’s important for shop owners to recognize their dominance in their relationships with insurance appraisers

stressed the importance of following OEM procedures in order to safely restore a vehicle to its pre-loss condition.

Gruskos explained, “The OEM has a financial interest in ensuring a proper repair. Certain procedures require specialized equipment, and the manufacturers want to develop a list that’s economically feasible for the shop, but the safety of the consumer and the technician is the most important consideration. A lot is driven by safety—do it right or don’t do it at all!”

Ponte added, “The manufacturers test and retest the equipment to ensure it performs to the expected standards.

They know they are asking shops to make an investment so they want it to be a good, long-term investment with ROI, and they also verify that the necessary product support is available.”

The panel discussed the variety of challenges posed by advancing technology and the multitude of metals and alloys. Olsson noted, “We try to build the best possible equipment to accommodate the different metals, and the

quality of the equipment you buy becomes obvious through use. It’s imperative that the technicians learn how to use the equipment; you have to commit to training and knowing what you’re doing.”

Additional topics included maintaining the equipment, the importance of training and education, and the need for each shop to evaluate its own business needs. Ponte urged shop owners to do their research before purchasing equipment to be confident they’re making a wise investment: “Your responsibility is to find out what you actually need based on OEM requirements and the vehicles you repair. You should be prepared to buy the best. I’ve never had a customer complain about buying the best, but if you base your decision on price, you may regret it down the road.”

Felder left the audience with an important reminder: “There will be some vehicles you can’t repair, not because you don’t have the skills, but because you simply cannot afford every [necessary] piece of equipment... Even if you’re not interested in OEM certification, you still need to make sure you’re using the right equipment if you’re repairing that brand.”

On Saturday afternoon, Peter Fryzel and Michael Bonsanto shared information on I-CAR’s joining process training in “I-CAR Certification and Technical Hour.” During Larry Montanez’s “Take Back Your Business from the Rekey Process,” Montanez took a moment to honor his friend and industry legend, James Moy, as he presented Barry Roopnarine with AASP/NJ’s first annual James Moy Memorial Award for Dedication to the Automotive Repair Industry.

The penultimate educational session on Saturday was AASP/NJ’s Path to Certification: The OEM Perspective (Luxury Brands) which was again moderated by the Assured Performance Network’s Aaron Clark. Audi’s Mark Allen and Benito Cid of Mercedes-Benz participated in this panel, discussing their tool and training requirements as well as the need to be sponsored by a dealership to be considered for certification and the costs of enrolling in the program.

Talking about how OEM certification impacts shops’ relationships with insurers, Cid pointed out that it’s important to stay updated since repair procedures change constantly, and he encouraged the education of insurance appraisers so they can understand why shops ask for certain items. “It’s actually the repair procedure that needs to

20 MAY 2017 AUTOBODY NEWS | www.autobodynews.com

be done to restore the vehicle per derson of Collision Advice: “100% manufacturer specifications.”

Disassembly and Parts Mirror MatchNeither Audi nor Mercedes-Benz ing.” Anderson debuted this seminar to restrict access to information about re- a packed room. pairing their vehicles, but they both Sunday morning featured educarestrict repairs on certain alutional seminars presented by minum structures due to the Tony Lombardozzi and Peter complexity, and Audi also reAbdelmaseh of Superare Marstricts the repair of certain keting. In “Stop Playing by the carbon fiber components. The Appraiser’s Rules,” they extime it takes to acquire certifiplained their approach to dealcation varies greatly based on ing with insurance appraisers, the shop with the OEM repreand the dynamic duo shared Tony Lombardozzi sentatives reporting ranges strategies for setting legally from several weeks up to eight months. binding prices in “Set Your Prices and Both manufacturers encourage cusMake Them Stick.” tomers to have their vehicles repaired Over 100 exhibitors participated at certified shops and offer a variety of in the 2017 NORTHEAST Tradeshow, logos and signage to help shops adverand this year’s booths were bigger and tise their certification. better than ever with multiple vehicles Allen noted, “We understand our on display, representatives from the requirements are different because we largest paint and supply companies, manufacture high-end vehicles, but and vendors representing every segwe expect other OEMs to start having ment of the industry. The tradeshow similar requirements. We recommend was open on Friday night at 5–10 PM, business owners start thinking about followed by the Exhibitor Appreciation it. Shops must meet our expectations, After-Party. The tradeshow continued and sometimes cultural differences from 10AM to 5PM and 10AM–3PM mean they just aren’t a good fit for on Sunday. certification.”

AASP/NJ’s 2018 NORTHEAST Saturday’s conference ended with Conference and Tradeshow will take a brand new presentation by Mike Anplace on March 16-18, 2018.

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been filled in by all those give-aways that [are part of] direct repair, like storage, administrative fees and other things.”

Rick Starbard of Rick’s Auto get to the point where you say, ‘Listen, I don’t need you. So if you don’t want Collision in Revere, MA was the only to pay my rate or do this, you can take one of the speakers on the panel who the program and go because now I’m has never had referral or contract certified. I don’t really need you. You agreements with insurers. He said he thinks it’s easier to build up the fican’t cripple my business.’” nancing for the training and Tom Elder of Kompact equipment OEM certificaCars, Inc. in Clarksburg, NJ tions require “by not having agreed, saying the 11 DRPs those relationships.” He said he previously had “helped us automakers’ increasing abilbecome better financed and ity through vehicle telematbetter equipped,” but that ics to know about collisions Mercedes-Benz and other in real-time and be able to OEM certifications have alTom Elder influence customers’ shop lowed him to drop all but a choice at the accident scene will make couple.

“I use the adage: If you let me fix OEM shop certifications increasingly the car to manufacturers standards, valuable.

“I think that gives us an idea of use all OEM parts and charge you a fair rate and get the car done quickly where the industry is going and how for the customer, I’ll do business with the OEMs are going to start driving [business],” Starbard said. you,” Elder said. “Other than that, forBut Barry Dorn of Dorn’s Body get it. I’m not going to be dictated to by an insurer that comes in looking for & Paint in Mechanicsville, VA, a shop second-rate work that would reduce that has earned shop certifications our reputation or injure our customers. from Porsche, Audi, Tesla and JaguarIt’s worked well. I’ve seen some drop- Land Rover, cautioned that although off in volume. But the drop-off has OEM certification programs are difContinued from Cover

OEM Certification

22 MAY 2017 AUTOBODY NEWS | www.autobodynews.com

ferent from DRPs, they similarly place producing. So it’s not just that techninon-negotiable requirements on shops, cian; it’s everyone else he’s associated such as what specific equipment is with and what he generates for every mandatory. other department. That’s gone. That is “It’s different than from a pricing sales [revenue] that you cannot get matrix, but make no mistake about it: back.”

A lot of the OEM certification requireThat said, the panelists agreed ments are very similar to a DRP,” Dorn that customers can be strongly influsaid. “It’s different, but still, they want enced by dealer or automaker referrals this, that want that. There’s no grey and the concept of a shop being certiarea.” fied to repair their particular vehicle Certified shops, he said, still find make or model. themselves in a position of needing to “When you have a customer explain the necessary costs involved come to you because you’re a Merin proper repairs to adjustors cedes-Benz certified shop, in and insurers. They may unour experience, they don’t derstand the costs involved want to hear what an insurfor the equipment, for examance company has to say ple, but generally don’t grasp [about other shops],” Carvino the costs involved for trainsaid. “They want to take their ing beyond the fees and vehicle to a certified shop.” travel expenses.

Elder agreed that such reRick Starbard “It’s the number of peoferrals are “a done deal, a sold ple we have gone in a given month, ticket.” training somewhere,” Dorn said.

“It does a great job for us,” he “These are not your lower-end folks. said.

These are your higher-end folks who The panel was asked how OEM aren’t producing labor [while they are certifications have led to changes in away at training]. Your painters aren’t how they prepare estimate or “blueproducing paint labor because they’re print” jobs. not getting those cars that [the body “I don’t think you write an estimate See OEM Certification, Page 35 technicians away at training)] would be

www.autobodynews.com | MAY 2017 AUTOBODY NEWS 23

Northeast Associations

Chasidy Rae Sisk is a freelance technical writer from Wilmington, Delaware, who writes on a variety of fields and subjects, and grew up in a family of NASCAR fans. She can be contacted at crsisk@chasidyraesisk.com.

LIABRA’s March Meeting Includes CDS Presentation Among Others with Chasidy Rae Sisk

On March 15, the Long Island Auto association shops and their customers Body Repairmen’s Association (LIA- with any automobile liability claims.

BRA) and the Auto Body Craftsman’s For help from the Kaplan Group, visit Guild (ABCG) held a joint meeting at www.KaplanLawyers.com.

Bayridge Lexus in Brooklyn, hosted by Next, Rosemarie Delbove, an exthe Bram Auto Group and Parts Operapediter for Fire Violations Service Inc., tion Director Vito Deliso. Before the explained that her role is to “help make meeting began, attendees enjoyed a sure you have the right certificates of gourmet pizza dinner, provided by Scott occupancy, and you are operating Saal Auto Damage Labels. legally and comply with all At 7PM, ABCG Executhe agencies and regulations tive Director Ed Kizenberger in your area.” To acquire asJr. opened the meeting by insistance with repair facility troducing Deliso who thanked design plans and submission attendees for their continued to local agencies, shops can support and announced that reach Delbove at 718-545the Bram Auto Group will be 3473 or fireviolations@gmail Ed Kizenberger Jr. opening a new Chevrolet .com. dealership in April.

Collision Diagnostic Services’ Kizenberger Jr. then proceeded (CDS) Director of Business Developwith a review of industry news and ment, Lisa Brown, then took the floor current events. He stressed the im- to discuss all the high-tech devices portance of completing repairs ac- and safety systems on today’s vehicles cording to OEM guidelines, advising as well as the diagnostic services the that OEM position statements can be company offers. Brown stated, “If obtained from oem1stop.com and these devices are damaged or need to suggesting shops print these be reset because of a collistatements to include with sion, the vehicle must be their estimates. scanned to determine what is Addressing members wrong with it. Using the CDS who are subject to an unfair scan tool connected to the veclaim practice, Kizenberger hicle OBD-11 port and your Jr. encouraged them to file a computer, all the vehicle incomplaint with the New formation will be sent via the Lisa Brown of York State Department of Fi- Collision Diagnostic cloud to CDS where the vehiServices nancial Services and to email cle will be remotely scanned the claim number and pertinent details and diagnosed using OEM scanning to liabracomplaint@gmail.com. He equipment and OEM trained techniadded, “Encourage your customer to cians. A report will be generated and file the complaint as well. A complaint returned to the repair facility. The scan can be filed by the repair facility or the will determine if the problem came consumers, and consumer complaints from the accident or not. If the vehicle are very helpful.” needs repairs, the CDS techAfter reviewing new asnicians will assist the repair sembly bill 6617 which would facility in the repair.” require collision repair faciliThe CDS scanning tool ties to get a signed customer costs $2500 with the first scan notice and authorization form costing $119.95, and subsebefore using any non-OEM quent scans are available for parts on a current model year $50 each; however, timely Ed Kizenberger Sr. vehicle and two subsequent paid invoices receive a 25% years thereafter, Kizenberger Jr. introdiscount. Kizenberger Jr. reminded atduced Rich Sabatino, Executive Ditendees, “Virtually all OEM manufacrector for the Kaplan Lawyers Group. turers are now requiring that their In business for 20 years, the Kaplan vehicles be scanned before and after reGroup’s primary mission is to help pairs to be sure that all safety systems consumers who have been injured in are in proper working order.” For more auto accidents and are willing to help information, Brown can be reached at

24 MAY 2017 AUTOBODY NEWS | www.autobodynews.com

888-486-1166.

John Walczuk of ZB Negotiations followed with a review of the services his company offers. He said,

any diminished value, contact Walczuk at 516-364-0713.

The last speaker of the evening was LIABRA Executive Director Ed Kizenberger Sr. who discussed the association’s current legislative initiatives.

According to Kizenberger Sr., “We have introduced four new bills this year. Because of legislation we had passed last year, all insurance company estimates are now reAssociation members listen to speakers during LIABRA quired to carry 2610 of the and ABCG’s March 2017 Meeting insurance law that tells con“If your customer has a total loss, we sumers they have the right to have will negotiate with the insurance com- their car repaired in the shop of their pany on their behalf; in many cases, choice.” we are recovering 20-30% more for The evening concluded with the the consumer than the company’s first drawing of raffle prizes at 9PM. offer. We now also provide assistance with third-party claims for diminished value. Even if a vehicle is properly repaired, it may still have a diminished value.” To help your customer recover

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Northeast News

Chasidy Rae Sisk is a freelance technical writer from Wilmington, Delaware, who writes on a variety of fields and subjects, and grew up in a family of NASCAR fans. She can be contacted at crsisk@chasidyraesisk.com.

Mike Anderson Debuts Seminar on 100% Disassembly and Parts Mirror Matching with Chasidy Rae Sisk

During AASP/NJ’s 2017 NORTHEAST Conference and Tradeshow, Mike Anderson of Collision Advice presented a seminar on “100% Disassembly and Parts Mirror Matching” for the first time ever. Designed as a four-hour class, Anderson’s brand new session was condensed to just over an hour. Despite it being the last session of the day, the presenter began with the energy and enthusiasm that have come to be synonymous with the name “Mike Anderson.”

Noting that “shops say they are doing 100% disassembly, but they really only do about 80%,” Anderson dove into the benefits of 100% disassembly.

Locating all damage and parts in the beginning means one estimate and one parts order, thus minimizing the stress and chaos caused by repeatedly starting and stopping the repair process.

In addition to reducing last minute rush orders and accompanying fees, the benefits of 100% disassembly include

minimizing supplements, improving CSI, ensuring on-time delivery, and enhancing the efficiency of the mirror matching process. Anderson pointed out, “It costs $100 in manpower each time you have to order parts. It’s cheaper to do it right the first time.”

By performing 100% disassembly at the beginning of the repair process, shops can identify all critical parts and ensure they arrive before the repair begins. This eliminates the stop and start process which makes technicians inefficient, and it can also improve a shop’s sales per technician. It’s also a great way to get paid easier because the part has already been removed when the insurance adjuster comes out, showing the validity of your R&I item on the estimate.

Sharing some tips for implementing 100% disassembly, Anderson stressed that it begins by working with your technicians to determine why they would R&I something. He stressed the

26 MAY 2017 AUTOBODY NEWS | www.autobodynews.com

need to be respectful during this conversation and to create mutual understanding.

Next, shop owners should make a list and check it twice to ensure they’ve R&I’d everything for access to control points for measuring, to restore corrosion protection, to set up and measure, and to perform the repair. Anderson confirmed that shops who’ve implemented 100% disassembly have seen improved performance and reduced cycle time. “We made the difference by evoking a thought process, developing a culture they could buy into, and starting a discussion with shop employees. That discussion was valuable because it created an ‘a-ha moment.’ My goal today is to create an ‘a-ha moment’ for each of you that you can share with your teams.”

Defining the need to R&I for access to repair a vehicle, Anderson noted, “It is not uncommon to have to remove a vehicle component to gain access to perform a repair on a damaged panel.”

Some of the examples provided included R&I a door to repair the door when the door post is damaged, R&I a wheel to gain access to remove the splash shield, and R&I the trunk trim to perform a repair from inside the quarter panel.

Anderson continued to identify the R&Is needed for access to install jigs and fixtures, to anchor a vehicle for measuring and structural pulls, for access to control points and reference points for the structural diagnosis/measuring process, to inspect for hidden damage, and for discovery of nonreusable and/or broken parts, also describing the symbols each manufacturer uses to identify non-reusable parts that must be replaced during the repair process.

Looking at R&I for safety, Anderson pointed out, “There are several components that may need to be removed during the repair process as they are safety related components.

Most, if not all, OEMs state that you should not perform any welding, grinding, heating, vibrating, hammering or any task that may cause an impact in the vicinity of safety parts.” He discussed why technicians can’t weld near electrical components and why seatbelts may need to be removed. He also noted that it may be necessary to remove speakers to avoid attracting metal shavings since speakers have magnetic components.

Anderson emphasized, “Make sure your estimate reflects what you are actually doing to the vehicle and list everything you R&I on your estimate, adding notes to explain the reason. If you don’t do 100% disassembly, you’re leaving things off the estimate.”

As he concluded the portion of the seminar focused on disassembly, Anderson identified reasons for R&I’ing components for external paint and refinish purposes, for internal paint and refinish, for access to dress welds, for protection during the repair process, and for access to reset/reprogram electronic components. It may also be necessary to R&I a part to gain access to another part, to access the battery, or for cleaning and removal of prior molding and decal adhesive.

Moving on to Parts Mirror Matching, Anderson observed, “It has been proven that the best time to determine if an incorrect part has been received or if the new part has been damaged is when that part actually arrives on-site and is received. Too often, a technician will be ready to perform the repairs only to discover that the part is incorrect or damaged. Thus, repair delays are incurred. Therefore, it is important that all parts are mirror matched (comparing the old part to the new part) immediately upon arrival and receipt of the part. In order for the parts department to do this in a timely and efficient manner, it is critical to have all of the damaged parts in ONE common place.

Technicians cannot mirror match unless you do 100% disassembly. It’s not rocket science — it’s setting your technicians up to win!”

Shops should set up a receiving area with a parts mirror matching table with damaged parts sitting on rolling racks by repair order. Non-damaged parts can be separately stored on a cart or in a tub, and when critical parts are received, they should be compared to the original damaged parts.

Assuming $50,000 per month in sales per technician and a gross profit of

43% results in $21,500 per month in gross profit per technician. If a technician works 180 hours in a month, the gross profit per technician is $119.44 per hour. Anderson urged shop owners to include line notes on their estimate as to why R&I was performed, taking and labeling photos to match each line. He also stressed the importance of using correct terminology to avoid being told “work billed, not performed.”

In his call to action, Anderson urged attendees to do this WITH their teams, not TO their teams. Work with technicians to ensure that they R&I for everything, and audit them to ensure it is being done correctly. It takes 30 days to create a habit, but creating as habit takes up to 80 days if employees don’t work weekends. Anderson also emphasized how critical it is for shops to research OEM procedures in every repair.

In closing, Anderson noted, “There are times when you can’t R&I, but that should be the exception, not the rule.

This system works, regardless of shop size - I’ve never found a shop that wasn’t more successful with 100% disassembly and parts mirror matching.”

For more information about Mike Anderson and his informational seminars, visit www.collisionadvice.com.

CREF & ASE Team on Cars, Careers, Celebrities Expo

The Collision Repair Education Foundation (CREF) is partnering with the National Institute for Automotive Service Excellence (ASE) on the Cars, Careers & Celebrities event being held on September 15, 2017. This is CREF’s third year hosting the event, which last year brought together over 400 high school and college collision students from 10 states. CREF will work with ASE to open the event up to both collision and automotive repair students.

Cars, Careers & Celebrities will take place at Chicagoland Speedway (Joliet, IL) on Friday, September 15th in conjunction with the first race in The Chase for the NASCAR Sprint Cup. Hundreds of students from the Midwest and beyond are anticipated to attend. They will have the opportunity to meet industry employers, view product demonstrations, hold initial/mock interviews, potentially meet race car drivers, and more in the Chicagoland Speedway’s hospitality village area.

Companies interested in participating in the 2017 event should contact CREF Director of Development Brandon Eckenrode at Brandon.Eckenrode @ed-foundation.org or (847) 4635244.

www.autobodynews.com | MAY 2017 AUTOBODY NEWS 27

Northeast News

Chasidy Rae Sisk is a freelance technical writer from Wilmington, Delaware, who writes on a variety of fields and subjects, and grew up in a family of NASCAR fans. She can be contacted at crsisk@chasidyraesisk.com.

American Honda Hosts Two ProFirst Training Seminars at NORTHEAST 2017 with Chasidy Rae Sisk

During AASP/NJ’s 40th Annual NORTHEAST Conference and Tradeshow, American Honda held two unique educational opportunities for the shops on their ProFirst certification program. The first, held Saturday from 8-10AM, was “Honda Technology and Emerging Industry Trends,” presented by American Honda’s Chris Tobie and Susanna Gotsch of CCC In-

Susanna Gotsch of CCC Information Services

formation Services. Sunday morning’s Honda OEM panel discussion, “Information for Innovation,” was co-hosted by Axalta Coating Systems and was mediated by Axalta’s Livia Guarneri. The panel included Gotsch, Collision Advice’s Mike Anderson, Andy MacDonald from VeriFacts, Caliber Collision’s Jeff Brewer, and from American Honda: Leigh Guarnieri and Gary Ledoux.

On Saturday morning, the room filled with ProFirst shops who indulged in the breakfast burritos provided by American Honda as Gary Ledoux, ProFirst Administrator, welcomed attendees. Noting American Honda’s goal to bring value to their certified shops, Ledoux announced that the OE is in the process of revamping its ProFirst logo to assist with brand recognition and that they will also be providing a short advertisement that certified shops can personalize and use as a marketing tool. He stated, “We have 975 certified shops, and our goal is 1200. About 50% of the shops that apply for certification don’t make it, so you all are the elite!”

American Honda’s Chris Tobie then began the “Honda Technology” session with a Honda and Acura body repair update. Mentioning that Honda vehicles’ body structures have seen some minor model changes and alterations in the locations of the ultra high-strength steel used, he warned,

“Looks can be deceiving. You need to look at the OEM specifications for the specific model you are repairing, or you may unknowingly repair the vehicle unsafely. You always have to go to the information to know what you’re working with because it’s not possible to memorize all of this.”

Looking at the 2017 CR-V, Tobie noted it’s a completely different car as it has a front floor center tunnel with 1500 MPa rear frame rails. While shops have to follow manual procedures, specific areas of the rear frame can be sectioned.

Tobie then turned to the 2017 Clarity fuel cell which has all bolt-on exterior panels and front bumper beams constructed of aluminum which was driven by safety regulations and fuel efficiency requirements. The 980 MPa front frame rails and center floor tunnel permit no sectioning, and the laser brazed roof panel is serviced by boltedon brackets and a panel bond adhesive.

It also comes with Honda’s standard sensing suite of advanced driver assistance technology. Tobie hinted, “These are things you’re likely to see more in the future, so you should start thinking about the tools you’ll need if you aren’t already prepared.”

Chris Tobie of American Honda

Tobie informed attendees that 95% of Honda and Acura questions can be answered with published information and encouraged shops to call Honda’s technology line whenever they need support. He pointed out, “Every improper repair begins with the best intentions and a lack of information. You don’t know what you don’t know.”

Honda’s new diagnostic scanning and calibration position statement applies to all Honda and Acura models. It

28 MAY 2017 AUTOBODY NEWS | www.autobodynews.com

requires pre and post repair diagnostic scans and provides the background, reasons and guidelines for these requirements to explain how to do it, why and how to get paid. The OE’s Warranty Paint Refinish Requirements

Gary Ledoux of American Honda

Service Bulletin announced the need to use approved paint vendors and specific lines with many requiring hardener in the basecoat to meet Honda’s standards. Tobie encouraged the audience to utilize their Body Repair News Publications for free industry support: “They don’t replace the manual, but they highlight things that can trip you up. Use them for repair planning - it all

starts at the estimate.”

After mentioning I-CAR’s Hands on Mig Brazing Course (BRZ02), Tobie demonstrated how to access the Service Express information from the ProFirst website, and he discussed some of the diagnostic tools that are useful for repairing Honda vehicles.

He closed with “Even if you can’t be a ProFirst shop, this information is available to aid safe repairs. There aren’t enough ProFirst shops to repair all our vehicles, but Honda provides the resources, and it’s up to the shop to market itself as ProFirst.”

Moving on to the “Industry Trends” portion of the morning, Susanna Gotsch, Industry Analyst for CCC Information Services, began by noting that miles driven, collision frequency, and collision severity (average cost) have all increased over the past few quarters. Data compiled by the National Safety Council indicates that more people are driving during peak time and in congested areas,

www.autobodynews.com | MAY 2017 AUTOBODY NEWS 29

and as a result, an increasing number of vehicles are being equipped with safety features.

Each year since 2013, the population of vehicles in the US has grown by an average of 2% so more people are driving, and there are more cars on the road. Additionally, higher speed limits have resulted in an 8% increase in fatality rates on interstates and highways for every 5mph increase. People are also distracted with 40-50% of surveyed drivers admitting to texting while behind the wheel.

Vehicle sales show continued growth which is setting records, though growth has begun to stabilize. The average age of vehicles in the US is 11 years old with more owners of each vehicle and an increasing demand for used cars.

This means insurance companies have to pay the value of the vehicle more often as repair costs are more likely to exceed the value. Historically, 15% of vehicles were totaled, and this number has increased to closer to 20% for non-comprehensive claims. Gotsch noted, “More older vehicles mean more total losses, and this translates to fewer repairs.”

Gotsch explained how estimates are uploaded to CCC and how this information is disseminated to insurance

companies as well as the difference between how CCC and insurers use this data and apply it to scorecards. She predicted, “The industry is shifting towards a more holistic view of performance.”

Claim costs are rising steadily with repair costs for newer vehicles increasing the fastest; the average repair

and post repair days remain stable,” Gotsch said. Noting OEs’ increase in safety components, Gotsch predicted, “Frequency will begin to taper due to safety features, and we anticipate a 12% reduction with 80% penetration by 2033.

With vehicles becoming more complex and more miles being driven, we can ex-

Panel: Livia Guarnieri of Axalta, Susanna Gotsch of CCC, Mike Anderson of Collision Advice, Andy MacDonald of VeriFacts, Caliber Collision’s Jeff Brewer, Leigh Guarnieri of American Honda and Gary Ledoux from Honda

cost rose 4.5% last year. Assuming similar shifts, Gotsch anticipates a 2.6% increase in 2017. She discussed the distribution of repair costs, noting an increase in labor hours, labor rates and calibration costs. Technological advances have led to repair complexities and newer vehicles require more replacement parts than in the past.

“Due to complexity, cycle time has also increased by nearly half a day industrywide for the actual repair, but pre

30 MAY 2017 AUTOBODY NEWS | www.autobodynews.com

pect an increase in repair costs and total loss frequency to remain elevated.”

At Sunday morning’s “Information for Innovation” OEM panel, cohosted by American Honda and Axalta Coating Systems, Ledoux introduced the event moderator, Livia Guarnieri from Axalta, and the panel of experts which included Gotsch, Collision Advice’s Mike Anderson, Andy MacDonald of VeriFacts and Caliber Collision’s Jeff Brewer, while Leigh Guarnieri and

Ledoux represented Honda.

The discussion began with an exploration of how autonomous cars will impact the collision repair industry.

The panel agreed that autonomous technology is exciting and should be embraced by the industry, but they also noted that it’s not an immediate concern since they need to work out details such as improving GPS accuracy and determining when the driver needs to take control of the vehicle.

Mentioning the rising number of fatalities, Anderson informed attendees that OEMs’ current focus is on collision avoidance systems. In regard to avoidance systems, it will be necessary for shops to acquire the training and equipment needed. Leigh predicted, “Shops will need to become more mechanical. All of these vehicles can’t be taken to the dealers, so shops will need to learn how to use repair information as it’s made available.”

Discussions about the future of vehicle ownership turned to ride sharing and the importance of shops managing online reviews. Brewer observed, “Technological changes make repairs more challenging, and the universal repair approach is in its dying days.

See American Honda, Page 35

www.autobodynews.com | MAY 2017 AUTOBODY NEWS 31

Northeast News

Chasidy Rae Sisk is a freelance technical writer from Wilmington, Delaware, who writes on a variety of fields and subjects, and grew up in a family of NASCAR fans. She can be contacted at crsisk@chasidyraesisk.com.

Superare Marketing: Stop Playing by the Appraiser’s Rules and Set Your Own Prices with Chasidy Rae Sisk

On the last day of AASP/NJ’s 40th Annual NORTHEAST Conference and Tradeshow, Superare Marketing’s Tony Lombardozzi and Peter Abdelmaseh hosted two sold-out sessions for shop owners: “Stop Playing by the Appraiser’s Rules” and “Set Your Own Prices and Make Them Stick.” In his introduction, Lombardozzi stated, “Twenty-five years ago, I made a commitment that I’d leave this industry better off. The word ‘superare’ is Italian for excellence, and we need to be more advanced than we are currently. We play by the insurer’s rules not because we have to but because we allow it. Our seminars focus on teaching people to step outside the box and think for themselves and for the improvement of their business.”

After adding a disclaimer that neither session should be construed as legal advice and recommending that shop owners consult with a licensed attorney for legal advice, Lombardozzi warned that some of the day’s content may not work under DRP contracts.

Noting that insurers have made a very profitable business at the shop’s expense, he urged independent shop owners to use the information to receive proper compensation.

According to Lombardozzi, “The insurance appraiser’s basic job is price suppression and stealing your money.

Why do they remain profitable at our expense? Because we allow it! You have the ability to legally charge free market prices, and fearing you’ll realize this, the insurance companies put more and more effort into controlling the collision repair industry, establishing low estimates to maintain their control.”

Deeming the insurer’s estimate useless, Lombardozzi pointed out that shops put a lot of credibility into a document known to be worthless and then try to make adjustments as they perform the repair. He stressed, “That’s why we lose.”

Diving into how to legally charge free market prices, Lombardozzi lectured that substantiated free market prices are nearly impossible to fight in court. Asking why shops allow the lines between their business and the insurers’ to cross, Lombardozzi cautioned, “If you give them too much control, you can’t complain. Appraisers and the process

force lowball prices, and the more you give away, the more they profit. We are the only $60 billion industry that sells its services for $30 billion, and that $30 billion goes to someone else who is already making money.”

Appraisers commandeer this money and control shops by instilling a permanent fear in the minds of shop owners, Lombardozzi taught. That fear is instilled by creating a takeaway with the most common being, “We don’t pay for that,” and the fear is reinforced until the insurer successfully obtains the shop’s compliance, putting them in a position where the insurer has assumed control of their business.

“DRP programs are the insurer’s primary means of controlling payment,” Lombardozzi coached, “And these programs also allow them to control the shop’s behavior. We know there’s a problem - we are allowing somebody else to control what we do, but the shops that don’t comply may be treated as hostile.”

If a shop doesn’t comply with the insurer’s demands, appraisers are taught to enhance fear by issuing threats such as pulling cars from the shop or telling customers that the shop overcharges.

They also perpetuate myths of past actions taken against noncompliant shops, and this usually leads to the shop’s compliance. As a result, this diminishes the shop’s value.

Taking these threats personally often leads to irrational behavior, such as arguing with the appraiser, but the appraiser controls that argument, leaving shops with a feeling of hopelessness. With the belief that the insurer won’t pay for certain items, many shops cease to include it on their estimates, permitting the insurer to maintain dominance in the relationship.

Shops frequently use inadequate documentation to support their charges which is why it’s important to obtain legal advice from a licensed attorney, but Lombardozzi insists that litigation should be a last resort. “Your goal should be outthinking the appraisers and resisting their intrusions into your business.”

Fighting appraisers with threats rarely works because shops have a poor history of following through on their

32 MAY 2017 AUTOBODY NEWS | www.autobodynews.com

threats. Losing constantly causes them to give up, and price compliance is reinforced with each loss.

Another tactic that appraisers use is the idea of gift-giving. By offering to “work with” shops on particular jobs, they create a sense of cooperation that shops view as good negotiation skills, but Lombardozzi points out, “This gifted money never comes close to the money they take away - it’s totally lopsided! Accepting how the insurers’ game is played is a loss for the collision repair industry.

It perpetuates the system of permissions and denials, putting the appraiser in charge and leaving the shops to wonder ‘Can I charge for that?’”

When it comes to resisting appraiser and insurer intrusions, Lombardozzi advised, “You must be the authoritative party in the transaction by establishing the professional, legal and ethical high ground. Developing the right mindset is the most important part of the solution, and you should

use this to your benefit. Once you know where you can position yourself, take advantage of it!”

Shops can establish authority by understanding the roles of each party.

The consumer is the mutual customer of the shop and the insurer so there’s no reason to involve the insurance company unless the customer requests it.

Shops must define the points in the transaction that they can control and then take control. Forming a complete strategy for a variety of situations and developing a documentation system provides a shop with total control. If negotiations are required, a pre-planned formula should be used that keeps the shop in a position of power and strength.

Turn objectives into opportunities.

Lombardozzi also promotes consumer education, noting “A self-interested customer can be your best and only ally. When you get the customer involved, they’re likely to be on your side after realizing how the insurer is

www.autobodynews.com | MAY 2017 AUTOBODY NEWS 33

taking advantage of the situation.”

Shops can maintain their authority by establishing their supremacy and isolating insurer involvement, Lombardozzi suggests. “Offer what they need, not what they want.”

Lombardozzi taught that shops should react to insurer demands by responding immediately and using documentation for important issues. He stated, “Insurers are very sensitive to policyholder opinion. They don’t like negative publicity, and if their intimidation attempts don’t work, they usually stop. Call their bluffs. The insurance companies absolutely don’t want to pursue expensive litigation, so if you demonstrate your dominant position, they’ll likely comply.”

As the first segment concluded, Lombardozzi stated, “These strategies are a long-term plan for greater profitability. You need to understand and execute the strategy, making adjustments only when necessary. You have to always be totally consistent, and this is likely to result in much more money in your pocket. Realize that there’s a lot at stake.”

Moving right into “Set Your Own Prices and Make Them Stick,” Lombardozzi asked attendees who sets the

prices at their shops. Many collision repair industry professionals believe the insurance companies set their prices and that shops can’t charge more since the insurers won’t pay. According to Lombardozzi, “This has gone on for decades, and we allow it to happen, setting up a system of permission and denials. Some people believe adding more operations to their estimate will fix the problem, but that doesn’t necessarily equate to increased profits so then they give up and think they should just get in bed with the appraisers.”

Lombardozzi believes that many shops allow the insurers to set pricing benchmarks because they don’t know how to take control, and the solution is to learn the process. “We gave control to the insurance companies,” he reiterated. “This leads to steering, but the problem would disappear if we just took control.”

Another issue is that few shops know how to set their own pricing to ensure profitability. With obvious disappointment, Lombardozzi noted, “There’s too much apathy in this industry. It’s easier to let someone else do it. DRP shops agree to program prices, and when the insurer tries to force those prices on us, we feel that we can’t win. Some feel that

34 MAY 2017 AUTOBODY NEWS | www.autobodynews.com

the answer is more laws and regulations that favor our industry, but legislation is expensive and the big insurance companies own the legislature. We complain that the insurers need to give us a raise, but they don’t pay you - the customer does! People in this industry need to stop thinking like subcontractors and start thinking like CEOs; YOU are the CEO of your business!”

It’s imperative that shops determine their true costs for all items, such as labor, materials and overhead. The true cost is not the same as invoiced cost or what you pay employees, though. Start by calculating the shop’s needed gross margin which must be based on an ROI profit model. True costs must be segmented, and then the profit margin is added. Lombardozzi emphasized, “Shops can use set prices or specific pricing methods for all billable items. Every item is billable. This is a for-profit industry - the more you give away, the less you make.”

Establishing a shop pricing policy is complex and requires consistent bookkeeping. Success at this eventually leads to creating a pricing policy, and it also helps with legal standing, though Lombardozzi reiterated that shops should only litigate when neces-

sary. To set legally binding prices, the shop owner must acknowledge that his final invoice is a statement of fact, but he must also realize that prices with no real basis are suspect. Communicating with the customer and explaining why certain prices are charged is beneficial, and proper documentation will help the customer retrieve payment from their carrier. A short pay is a gap between the invoiced price and payment, but it’s common for customers to pay small short pay amounts out of pocket.

As time ran short, Lombardozzi concluded, “I’m trying to make you aware that things can be changed. To be successful requires documentation and a process, but if you do it right, you will win. You CAN set your own prices.”

Superare Marketing offers advisory services on collecting short pays, attorney trial preparation, setting your own prices, minimizing third party intrusions, and transitioning your shop away from DRP programs for greater profit. For more information, visit www.superaremarketing.com or call 617-993-6901. Lombardozzi promised, “We don’t tell you what to do; we tell you what you can do if you want to run a successful and profitable collision repair facility.”

Continued from Page 30

American Honda

Shops need to focus on technology and the customer. First and foremost for the OEs is protecting the customer experience, and we are likely to see a lot of segmentation in the near future.

The primary reason for certification is access to information to ensure we’re repairing these cars correctly, the car has to go to the right place for the right reasons, and certification helps define that.”

Livia added, “The way the vehicle is repaired, based on the information available to the shops, is ultimately what drives lifetime customer loyalty.”

Returning to the topic of collision mitigation systems, the panel was asked if the vehicle owner is responsible for insuring the car or if it’s the manufacturer’s responsibility to insure the technology. Gotsch noted that there is still a lot to be determined about who owns the digital copyrights to the electronic control modules data and anticipates a lot more discussion around personal and product liability. MacDonald quipped, “The attorneys will benefit the most until this all gets figured out.”

Talking about recalls, the panel emphasized the shops’ role in helping inform customers of recalled parts and the difficulty for OEMs to locate vehicles with recalled parts given the frequency with which cars are resold.

When the audience was invited to ask the panel questions, topics ranged from the value of OE certification to how certification is managed by MSOs, and the necessity of technicians’ involvement in the process.

OEMs are now holding regular roundtables to discuss the direction the industry is taking and to better serve their customers, and all members of the panel agreed that communication is key. Anderson predicted that OEMs will monitor KPIs more closely to ensure certified shops are performing to their standard, but he insisted that there is a lot of value in OE certification.

Brewer contributed, “You have to have the right training and equipment to safely repair today’s vehicles. Training is the most critical component of certification, and certification is the cornerstone of the relationship between you and the dealer.” MacDonald agreed, adding “Program involvement brings more value and helps improve your shop and your employees’ skills.”

Continued from Page 22

OEM Certification

on this monitor without having vehicle information up on this [other] monitor [next to it],” Starbard said.

“They go hand-in-hand now.”

Carvino said automakers have good reason for emphasizing the need to print-out the OEM procedures every time, even if the shop has previously done a similar repair on a particular make and model of vehicle, and it’s not just because automakers check for those print-outs in certified shops’ files when conducting audits.

He said when one particular Mercedes-Benz model first came out, the OEM procedure for replacing the quarter panel required replacing the roof as well.

“Maybe a month or two later, we did the same car, and found there’s now a sectioning procedure, you don’t have to lose the roof,” he said. “So the first thing is to always pull the OEM procedures.”

Does OEM certification influence shops’ choice of parts? They all agreed they use little in the way of used or non-OEM parts.

“If you want to be a certified shop, I don’t see why you’d even want to consider alternative parts,” Carvino said. “Other than maybe if you have a 2016 car with the door ripped off and missing, you might want a [used] door from another 2016 or 2017 car so you don’t have to build that whole door completely.”

Elder said increasing vehicle technology is doing as much to make new OEM parts the best choice for any shop, certified or not. Mercedes headlamps, for example, must be synched with the vehicle’s computer system.

“We had one example where a major insurer wrote ‘opt-OE’ headlights for a new Mercedes,” Elder said. “I got the car after another shop repaired the car, because the car went nuts. Nothing worked. I saw the Mercedes star on the headlight, and I didn’t understand it. The car was totally confused. So I gave the part number to the parts department, and found out the headlight was...for a Canadian [version of the] car that had some sort of different circuitry in it. It cost Allstate Insurance $7,500 to figure that out and put two real headlights back in the car.”

www.autobodynews.com | MAY 2017 AUTOBODY NEWS 35

The Pre- and Post-Scan Revolution

by Gene Bilobram

Last year, a number of major automakers issued position statements on diagnostic scanning in the collision repair of their respective nameplates.

With officials from both Honda and Nissan pounding the table recently with terms like “mandatory” and “100% mandatory,” this is a revolution. Only instead of taking back a country, this revolution is about collision repair shops taking back the customer. Collision repairers must protect the interest and safety of the customer by meeting the requirements promulgated by the vehicle manufacturers.

Post-collision diagnostic scanning is now a matter of compliance. What is better than a compliance matter that a shop can actually get paid for and turn a profit?

In the never ending struggle between shops and insurers over new and non-included procedures, many shops have become battle fatigued. These mandated scan procedures by automakers are being shrugged off by some as just the latest allowance shops will ask for only to be quickly denied.

Not so; this time it really is different.

This isn’t fighting over things like color tint or prime and block that are often viewed as overkill or procedures which are included in the labor times despite what the P-pages say. Even if the shop is not properly reimbursed, those ancillary procedures are likely being done anyway.

For instance, if tint color is disallowed, a shop would not purposely mismatch the paint and damage the customer relationship along with the shop’s reputation. That would be cutting off one’s own nose to spite their face. Although some brave shops out there will bill the customer on these additional costs over the deductible, most will suck it up as the alternative, asking the customer for more money, is about as desirable as scheduling a colonoscopy.

Many of the previous struggles with certain insurers relate to differences of opinion on what is necessary to restore the appearance of the vehicle. This time it is about safety. A collision shop is tasked with not only restoring the appearance of a vehicle following a collision but the repairer is responsible for restoring the vehicle’s functionality. Automakers recognize this and so do insurers.

Insurers are providing allowances to meet or exceed the recent automaker scan positions. The trick is, you have to ask! And if the responsible insurance company refuses to make the proper allowance, the collision repairer

scanning or calibrations would be clearly on the shoulders of the shop that chooses not to perform these operations. Following some unforeseen event, an insurer would likely say, “We would have paid for it, but the shop never asked.”

The shops already leading the charge may have faced some early resistance as the local field appraiser had no prior knowledge of this situation. Appropriate communication with the insurer and customer is crucial in overcoming objections. Proper documentation of the procedural work performed can also overcome insurer resistance.

Some shops feel entitled (l to r) Dalila Martinez and Gene Bilobram at Collision to payment by virtue of the Diagnostic Service’s booth at the 40th Annual AASP/NJ OBDII cable pins making NORTHEAST® Automotive Services Show in March contact with the OBDII port is duty bound to ask the vehicle owner. in the vehicle. However, scanning and The automaker mandates apply to non- clearing codes is only a portion of insurance, customer pay repairs as what is required. There is real techniwell. They are not somehow negated cian work involved on the pre- and in these instances even though some post-scans and requisite safety sysrepairers have convinced themselves tems inspections and calibrations not of that. The repairer has an implied obligation to inform the consumer regardless of the source or method of payment.

Automakers have confirmed that the dashboard light is an insufficient diagnostic tool and numerous trouble codes plus potentially compromised vehicle systems may exist with no outward warnings on the instrument panel.

A small number of insurers may be resistant by only paying for diagnostic scanning in the presence of a dashboard indicator or air bag deployment.

Any shop that accepts the “no light = no scan” policy without informing the vehicle owner with the option to pay is setting themselves up for trouble.

Worse is the shop that perhaps unwittingly conspires with an insurer with the mantra of “what the customer doesn’t know won’t hurt them.” With no warning light on the dash, the average consumer believes all is well as did many in the collision and insurance industry until recently.

The unwitting participation in concealing these important procedures from the consumer works the other way as well. Until a shop asks, the insurer is not denying payment. Any ramifications of a vehicle leaving a body shop without proper diagnostic

36 MAY 2017 AUTOBODY NEWS | www.autobodynews.com

always identified by a trouble code.

Repairers cannot afford to meet these automaker safety protocols only half way as some shops are doing. If a collision repair shop wishes to reduce their liability and be properly compensated, the value of complete compliance with the automaker position should be delivered to the consumer.

Ignoring the post-repair scan is not without its consequences. One shop I’ve worked with had a vehicle they worked on find its way to the OEM dealership once the owner had it back. The dealership service department diagnosed an issue with the Blind Spot Monitor (BSM) and discovered an unplugged connector. Not only that, the dealer inspected the collision repair and cited welding and workmanship issues that were put in the written narrative of the invoice.

Had the shop followed the OEM scan mandate, they could have been paid to scan the vehicle and able to catch the BSM issue beforehand. Now the shop is paying the dealer bill of almost $300 as there is no way they will submit that invoice to the insurer showSee Scan Revolution, Page 62

www.autobodynews.com | MAY 2017 AUTOBODY NEWS 37

Jeff Tech Students Get Creative With Fender Project

by Eric Hrin, The Courier Express

Some members of the Jeff Tech joint operating committee in Reynoldsville, PA had more to take home with them than meeting papers after the last committee meeting.

Airbrushed fenders were created for each of the school’s four school districts as part of a fender project by collision repair students.

mented.

At the meeting, some of the students talked to the board about the project.

Around the library, where the committee met, the fenders were on display.

Matt Beck, right, is airbrushing a desighn on a fender with the help of Logan Smith, in the background

Fred Park, chairman of the Jeff Tech joint operation committee, shows a fender that was created by students at Jeff Tech for his home school district of Brookville

Committee chairman Ron Park, who represents the Brookville Area School District, accepted the fender created for his home district.

He especially liked this one, but he thought they all looked good.

“Nice job on all of them,” he com-

Students Jerilyn Brumbaugh, Lacy Powers, Matt Beck and Logan Smith appeared before the board to provide information about the fender project, which also involved some other students, as well.

Collision repair instructor Pam Kerr thought the experience was good for the students.

“It’s nice,” she commented. “It gives them a real world work experience of presenting to the public.”

The students airbrushed the fenders, with the name of the school and the mascot of the school. They were painted

the school colors of each district.

According to Kerr, the students first sanded and prepared the fenders, and then painted them with a base coat, followed by airbrushing.

Then they applied a mid-coat, which she noted contains a blue-to-purple chameleon paint pearl.

“They turned out nice,” she commented. “If you would hold a light to it, the light would reflect that into the different colors, show the different pearls in it.”

Finally, the students applied a clear coat to the fenders.

The project took a month, with the students finishing up on the Friday before the committee meeting, on March 24.

According to Kerr, airbrushing was taught a little last year, and more in detail this year.

She said the students enjoyed it, and thought it was fun.

“I wanted the students to have a little fun while they’re learning,” she said.

Kerr noted that the airbrushing instruction gives the students basic technical skills and teaches them technique, so that they can move forward on their own and do some custom airbrushing.

Or they could take a custom airbrushing course in the future.

We thank The Courier Express for reprint permission.

Global Finishing Solutions Adds to the Refinish Team

Global Finishing Solutions (GFS) is proud to welcome Chassis Liner Supply, Purified Air and Quality Finish Services to the GFS Auto and Truck Refinish distribution team.

These new distributors expand the company’s ability to provide service to automotive and truck refinish customers in Minnesota, southern Texas, western Pennsylvania and Maryland.

Chassis Liner Supply, Purified Air and Quality Finish Services come to GFS with great opportunities for building new customer relationships in their respective markets. Prior to joining the GFS Refinish team, these companies have built a strong customer base and are experienced at supplying and servicing a wide variety of automotive repair equipment.

“GFS is committed to providing the highest level of service and support to our customers through the finest distribution network in the world,” a statement from the company read.

“We are confident that customers in Minnesota, southern Texas, western Pennsylvania and Maryland will benefit greatly from increased access to technical support, parts, filters and a wide range of GFS products. Visit www.globalfinishing.com.

aSuperior a Superior Service aHuge Fleet of Delivery Vans aHighly Competitive Discounts aOver 30 Years Experience and $1 Million Inventory VIP Honda 700 Rt. 22 East N. Plainfield, NJ 07060

Start something special.

38 MAY 2017 AUTOBODY NEWS | www.autobodynews.com

PH FX

908.753.1680 908.753.5135

www.viphonda.com

Mon-Fri 7:30am-6:00pm Sat 8:00am-3:00pm

www.autobodynews.com | MAY 2017 AUTOBODY NEWS 39

H ONDA C ONN ECT I CUT

Lia Honda of Enfield E n fie l d

800-221-3131 860-741-3401 Dept. Hours: M-F 7:30-5:30; Sat 8-4 jdoucette@liacars.com

Manchester Honda M a nch e ste r

800-442-6614 860-645-3115 Dept. Hours: M-F 7-5; gabe.llantin@manchesterhonda.com

Schaller Honda N ew Br i tai n

800-382-4525 860-826-2080 Dept. Hours: M-F 7:30-5; Sat 8-1 jkiniry@schallerauto.com M AI NE

Berlin City Honda So u th P or tl a nd

800-640-6685 207-774-6685 Dept. Hours: M-F 7:30-5:30 mmmparts@berlincity.com

Prime Honda Saco

207-391-7910 207-282-0900 Dept. Hours: M-F 7:30-6; Th. 7:30-7; Sat 7:30-4 klavalle@driveprime.com M ARY L AND

Criswell Honda Ge r m a n town

866-738-2886 Dept. Hours: M-Thu 7-9; Fri 7-7:30; Sat 8-6 hondaparts@criswellauto.com AC URA M ARY L AND

Tischer Acura Lau rel

800-288-6983 301-498-3322 Dept. Hours: M-F 7-6; Sat 8-4 wholesaleparts@tischerauto.com M ASSA CHU SETT S

Acura of Boston Brig ht on

800-254-1169 617-254-5400 Dept. Hours: M-F 8-5:30; Sat 8-5 bruce.fisher@acuraofboston.com N EW J ERS EY

Acura Turnersville Tu r ners v ille

888-883-2884 856-516-6060 Dept. Hours: M-F 8-5; Sat 8-4 kristen.powell@penskeautomotive.com 40 MAY 2017 AUTOBODY NEWS | www.autobodynews.com

Please contact these dealers for your Honda or Acura Genuine parts needs.

MA R Y LAND

NE W J ERSE Y

N EW YOR K

P EN N SY LVA NI A

O’Donnell Honda

Madison Honda

Dick Ide Honda

El li cott Ci ty

Ma dis on

R o che st e r

Wex ford

410-461-5000 410-461-9654

800-648-0293 973-822-1710

800-462-0056 (N.Y.) 585-586-4919

724-940-2006

Dept. Hours: M-F 8-6; Sat 8-5 bshortt@odonnellhonda.com

Dept. Hours: M-Thu 7-8; Fri 7-6; Sat 8-6; mschumer@madisonhonda.com

Dept. Hours: M-Thur 8-8; Fri 8-5:30; Sat 8-5 parts@dickide.com

Ourisman Honda of Laurel

Rossi Honda

Lamacchia Honda

La ure l

Vin elan d

S y ra cu se

800-288-6985 301-498-6050

800-893-3030 856-692-4449

315-471-7278

Dept. Hours: M-F 7:30-7; Sat 7-4 julio.cruz@ourismanautomotive.com

Dept. Hours: M-F 6:30-5; Sat 7:30-3 dave@rossihonda.com

MA S SAC H U S ET TS

LIA Honda Northampton Nor tha mpto n

800-369-7889 413-586-6043 Dept. Hours: M-F 7:30-5:30; Sat 8-4 dstanisewski@liacars.com NE W J E R S E Y

Clinton Honda Ann a ndal e

877-657-2787 Dept. Hours: M-F 8-5 chrish@clintonhonda.com

Honda of Turnersville Tur ne rs vill e

800-883-0002 856-649-1584 Dept. Hours: M-F 8-6; Sat 8-4 sbaptist@penskeautomotive.com

Hudson Honda West Ne w Yor k

Route 22 Honda Hi lls id e

973-705-9100 Dept. Hours: M-F 7-7:30; Sat 8-5 rt22hondaparts@route22honda.com

VIP Honda

Lia Honda of Albany A l ba n y

800-272-6741 518-482-2598 Dept. Hours: M, T, W, F 7:30-5:30; Thur 7:30-8; Sat 8-5 apersaud@liacars.com

Nor t h P lain f i el d

Lia Honda of Williamsville

908-753-1680

W i ll ia m sv il l e/ B u ff a l o

Dept. Hours: M-F 7:30-6; Sat 8-3 kevinh@viphonda.com NE W YO RK

Babylon Honda We s t Ba by lo n

631-669-5800 Dept. Hours: M-F 7-7; Sat 7:30-3:30 babylonparts@aol.com

Brewster Honda B rew st e r

845-278-4177 Dept. Hours: M-F 8-5; Sat 8-4 kbennett@liacars.com

866-483-6917 201-868-9500

877-659-2672 716-632-3800 Dept. Hours: M-Thu 7:30-8; Fri 7:30-5; Sat 8-5:30 liaparts@liacars.com

Ray Laks Honda

Dept. Hours: M-F 8-5; Sat 8-4 johnryan@baierl.com

J.L. Freed Honda M o ntg o m e r yv il l e

215-855-3587 Dept. Hours: M-Thur 8-6; Fri 8-5; Sat 8-4 joseph.sciacca@jlfreed.com

Shadyside Honda Pi ttsb u rg h

800-468-2090 412-390-2908 Dept. Hours: M-F 7:30-5 shadysidehondaparts@hotmail.com

Sussman Honda Ro sl yn

800-682-2914 215-657-3301 Dept. Hours: M-F 8-5; Sat 8-1 rendrick@sussmanauto.com VER MO NT

802 Honda Be rl i n

We st S e ne ca

802-223-9700

716-824-7852

Dept. Hours: M-F 7:30-5; Sat 8-Noon hondaparts@802cars.com

Dept. Hours: M-F 7:30-8; Sat 7:30-5:30 ekuznicki@raylaks.com PEN NS YLVANIA

Apple Honda Yo r k

800-960-9041 717-848-2600 Dept. Hours: M-F 7-6; Sat 7-4; Sun 10-4 applehondaparts@appleauto1.com

Dept. Hours: M-F 7-7; Sat 7:30-5; Sun 8-3 anthony.perrone@hudsonhonda.com

NE W J E R S E Y

Dept. Hours: M-F 7:30-5:30; Sat 9-1 parts@lamacchiahonda.com

Baierl Honda

NE W YO RK

PEN NS YLVANIA

PEN NSY LVAN IA

Elite Acura

Curry Acura

Baierl Acura

Ma p le Sh ad e

S c ar s da l e

Wexfo rd

Jen kint own

856-722-9600

800-725-2877 914-472-7406

800-246-7457 724-935-0800

800-826-4078 215-884-6285

Dept. Hours: M-F 8-6; Sat 8-5 parts@curryacura.com

Dept. Hours: M-F 8-5; Sat 8-1 johnsabella@baierl.com

Dept. Hours: M-F 8-5; Sat 8-1 rendrick@sussmanauto.com

Paragon Acura

Davis Acura

Dept. Hours: M-F 8-5; Sat 8-4 bmartinsen@group1auto.com

Park Ave Acura Ma ywoo d

888-690-7621 201-587-0028 Dept. Hours: M-F 8-6; Sat 8-3 jon.tangen@parkaveacura.com NE W Y O R K

Acura of Westchester We st ch est er

914-834-8887 Dept. Hours: M-F 7:30-8; Sat 8-4; Sun 9-4 acura.parts@yahoo.com

Woo d s i d e

L a ngho r ne

718-507-3990

866-50-ACURA 215-943-7000

Dept. Hours: M-F 8-6; Sat 8-5; Sun 9-4 johnp@paragonacura.com

Smithtown Acura St. James

888-832-8220 631-366-4114 Dept. Hours: M-F 7:30-5:30; Sat 8-4 parts@smithtownacura.com

Sussman Acura

Dept. Hours: M-F 7-7; Sat 8-4 markh@davisacura.com

Lehigh Valley Acura Emma us

877-860-3954 610-967-6500 Dept. Hours: M-F 7-5; Sat 8-5 mustafa@vinart.com

www.autobodynews.com | MAY 2017 AUTOBODY NEWS 41

Day Job/Night Job Zenia Amezquita Is Just Starting to Rev Her Engine with Ed Attanasio

Five days a week and sometimes on Saturdays, Zenia Amezquita, 32, works at Cali Style Auto Body in Hemet, CA as the office manager. But when she isn’t processing claims and meeting with customers, she spends much of her free time pursuing her passion for car racing. She loves working on her family’s shop, but what really gets Zenia going is driving fast in a powerful car. She’s taken it from drift racing to road racing and is also a driving coach at The Porsche Experience in Carson, CA. Cali Style Auto Body was started

by Zenia’s father, Javier, in 1997, so the collision industry has been in her life as long as she can remember. “I tell people I was born in it,” Amezquita said. “I was helping my father doing side jobs when I was 10. I remember him handing me sand paper to keep me busy and entertained. I had my Quinceañera here at the shop and now I work here with my mother and father and my brother, so it’s nice.”

Zenia operates the front office at Cali Style Auto Body, but she isn’t afraid to jump in and get dirty if needed. “I have zero problems getting in there and if everyone else is busy, I will tear down a car,” she said. “My

Originally an amateur drifting racer, now Zenia Amezquita is all-in when it comes to road racing

mother even tears down cars, so we’re not afraid to do whatever it takes to get the job done. In a small shop, everyone has to contribute. We’ve realized after all these years that working together is the only way it’s going to work and it’s

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

really nice. Some people find it hard to believe that a family can work well together every day, but we love it. We have breakfast and lunch together every day and I value the time that I get to spend with my family here at the shop.”

Zenia couldn’t wait to start driving when the time came. “I got my driver’s license at age 15, before the California law changed to 16,” she said. “My first car was a 1997 Honda Civic that my father bought from an auction and we worked on it together.

It needed a new front end and we painted it and he sent me on my way.

I didn’t know how to drive stick shift, but he told me I’d figure it out.”

Zenia started racing as soon as she could, but it wasn’t exactly the legal kind. “My brother Francisco is two years older than me, so he was already street racing when I was 14, so I would tag along, “ she said. “So when I got my car, I thought, ‘Wow, I can street

race now.’ That’s how it started, racing with my brother and his friends.”

Zenia isn’t proud of that period in her life, but she wouldn’t change it for anything either. “I admit that we did some racing in some places where it was very illegal” she said. “I was a wild child back then and as a result, I did get a lot of tickets, but I haven’t gotten one in a long, long time. I’m a very safe driver now; I drive real slow.

Kids go speeding past my house now and I yell at them-’Slow down!’ So it’s funny how much my life has changed.”

To pursue a new rush (and avoid more tickets), Zenia found drift racing, or maybe it found her. “I had no idea what drifting was, but when I discovered it, I loved it,” she said. “I got my drifting vehicle back in 2003 and I still use it today. It’s a 1985 Toyota Corolla and perfect for drifting. It looks crazy and chaotic while I’m out there, but it’s actually very safe when you compare it to other types of racing. A drifter has

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never been killed during an event.”

If you’re not familiar with drifting, it’s a driving technique where the driver intentionally oversteers, loses traction in the rear wheels or all tires, and does it all while maintaining control and driving the car through the entirety of a corner. Drifting competitions were first popularized in the 1970s in Japan and today they are held worldwide and judged according to the speed, angle, showmanship and the line taken through a corner or set of corners, according to www.everything drift.com.

As an amateur drifter, Zenia kept busy competing in a lot of amateur

of Porsche Motorsport North America. “I am a driving coach, for people who want to try the newer Porsches and learn about what the car can do and how it handles—it’s pretty neat. The other day, one of my students was the actress By leveraging her racing experience, Zenia now coaches Lisa Kudrow (Friends) and it people how to drive Porsches at the Porsche Experience was pretty exciting. It’s a Center in Los Angeles, CA great gig!”

In addition, Zenia is events throughout California. “I have been doing this for 14 years, so I have working in the Ford Driving School probably been in 140 competitions at for Life program in southern Califorplaces like Thunder Hill and Angels nia, where she helps young drivers to Stadium in Anaheim,” she said. “My be safe and better drivers. “It’s funny best finish was 16th out of a field of 54, because I used to race illegally mybut for the last three years, I self and now I am showing these kids have been focusing more on how to be safe and make smart decisions on the road. Wow, my life has road racing rather than drifting. In every race I’m in, I am changed a lot, and it’s all for the betusually the only woman and ter.”

Still single, Zenia said she’s marsome people look twice when they see me out there, but ried to racing at least for now. She loves working with her family at the they’re always very nice.”

Most recently, Zenia has shop and hopes to become a profestaken her passion for race sional racer in road racing. “My father driving to another level by will probably be retiring at some point, landing a coveted job at the so my brother and I have discussed takZenia is the office manager at Cali Style Auto Body in ing it over,” she said. “And I want to The Porsche Experience CenHemet, CA where she works with her family every day. get a seat in professional road racing, ter, a 53-acre venue in Carson, (l to r) her brother, Francisco; her father, Javier; Zenia and her mother, Angelica CA that is also the new home because that is my ultimate goal.”

Midwest Lawmakers Consider Proposed Collision Repair Legislation

A number of bills impacting collision repairers have been introduced in state legislatures throughout the Midwest this year. A bill (SF 74) in Minnesota would clarify the state’s list of unfair claims settlement practices to include failure of an insurer to assume all costs for loss of use of a vehicle, including rental car reimbursement. In Indiana, proposed legislation (HB 1559) would have extended to third-party claimants the same right “to approve the type of body parts used to repair a motor vehicle” currently spelled out in state law for first-party insureds. But the bill failed to make it out of committee by a legislative deadline. An Illinois Senate committee in March gave a “do pass” recommendation to a bill (SB 1694) (opposed by the Alliance of Automotive Service Providers of Illinois) that would require a company imposing vehicle storage fees to provide the fee schedule to not only the owner of the vehicle but any lienholder on the vehicle as well. In Michigan in March, Sen. Joe Hune introduced a bill (SB 291) prohibiting an insurer from requiring a shop “to use a specific vendor or process for the procurement of parts or other materials.”

www.autobodynews.com | MAY 2017 AUTOBODY NEWS 43

Do You Have the Next Great Body Shop Invention?

by Ed Attanasio

A body shop owner invents some ingenious software that can make estimators’ lives easier. A former tech develops equipment that can help technicians to work more efficiently.

Brad Weschler, the owner of WeschTools, is the inventor of numerous collision tools, including four currently in development

The son of body shop owner develops an app that goes viral. We read stories like these all the time and they’re always inspiring. Collision professionals who think outside of the box and are willing to chase their dreams have created tools that many body shops use today.

But for every brilliant invention that comes out of the collision repair industry, how many other great ones are left sitting on desks or buried in filing cabinets? And if you think your idea is the “next best thing,” how can you patent it and get it to market without someone stealing it from you or wiping you out financially as you try to develop it?

To find out the ins and outs of patenting and manufacturing collision repair tools, we interviewed Brad Weschler, the founder of WeschTools of Baiting Hollow, NY. While the owner of a small body shop, Weschler’s ideas became sketches, drawings and eventually prototypes before taking each one through the arduous patenting process.

Today, Weschler’s line of auto body repair clamps, chains, hooks and other frame straightening equipment is sold online at CollisionClamps.com and used in over 18,000 body shops worldwide.

The inspiration for any invention can come around anytime or any-

where, Weschler explained. “My first product idea for WeschTools was the Quick Stick that came to me while I was in bed in 1996, so I got up immediately and wrote it down,” he said. “I knew when I woke up, it would be fresh in my mind, and it was. Over a period of time, I came up with new ideas to make the Quick Stick even better. I knew then that I had something special and felt it was important to protect the idea until I could figure out my next steps. But it took two years to develop it and test it and then another two years to get it patented.”

To immediately protect himself and his idea, Weschler did what is known as a “poor man’s patent.” “I knew I had to prove that I was the first with this idea, so I made copies and put the original drawing and notes into a self-addressed envelope, sealed it, and then sent it to myself,” he said.

“When I got it back, I left it sealed and put it away in a safe location. The postmark proves the date of my idea, like a time stamp.”

Now it was time for Weschler to find a good patent attorney, and luckily he found one with an engineering degree who had spent five years in Washington D.C. working as a patent examiner inside the department of patents and trademarks.

$15,000 for that first patent. Over time and with continued product development, I received an additional seven patents covering this single product which increased the cost by an additional $25,000.”

Once you get your official patent number (upper right) you can start making your product and changing the collision industry one tool at a time

After everything is submitted, it’s a long waiting game, Weschler ex-

plained. “Once my application has been filed at the patent and trademark office in Washington D.C., my product is declared “patent pending” and secured with a patent serial number.

Patent pending allowed me to move to immediate manufacturing, marketing and selling my first of many products.

In my case, I received some great advice and suggestions that I applied to the product which improved on my original idea. In my case, with no additional disputes or conflicts, I was granted my first of 13 patents.”

Now the successful inventor of numerous collision tools and with four more currently in development, was all of the hard work worth it, we asked Weschler? “Absolutely, because I have the satisfaction of knowing that I invented a patented product [that is] unique and unlike anything else out there,” he said. “I’m proud to know that this product will save my fellow body collision shop owners’ time and money while increasing profits. That first patent provided me the template that made future patent applications easier and less stressful, and that alSee Body Shop Invention?, Page 58

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“My attorney first sent me a full disclosure form to complete and return to him as soon as possible to protect me from potential theft of my idea,” Weschler said. “His initial fee was $1,200 to begin the search process to find out if other patented products that resembled mine in any way existed. In the end, it cost me

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www.autobodynews.com | MAY 2017 AUTOBODY NEWS 45

Nurse Fights to Get Car Back from Bronx, NY, Auto Shop

by Arnold Diaz, atdiaz@pix11.com

Stephanie Guttierrez, a nurse in the Bronx, is worried she’ll never see her car again.

She made the mistake of taking the recommendation of a tow truck driver after she had an accident in the 2016 Infinity G50 she’d just recently purchased.

She brought her car to a body shop on Blondell Avenue in the Bronx.

There’s no name on the outside, though records show it’s called both Inner City Automotive Recovery and Premium Auto works.

It’s owned by Hancey Abreu, whom Stephanie met with when she brought her car in on January 9, 2017.

She says “Hansey reassured me that the car would be fine and I’ll get it back shortly.”

The written estimate says the repairs would be complete in 15 days.

Her insurance company paid Inner City Automotive close to $15,500 in advance to do the work.

It’s now three months later and Stephanie still has no idea when she’ll get her car back.

“They don’t know how much longer. Maybe another week,” she says. “And a week later I come back

and it’s ‘We don’t know. You have to speak with the owner,’ and the owner has not returned my calls.”

When PIX11 went to the body shop with Stephanie recently, we spoke with Larry, the manager. “You’ve had her car for a long time. Are you working on it?” I asked him.

saying not to work on the car at all?

It’s evident because the car is not being worked on.” Stephanie told him Hansey is not going to get away with it. “This car’s worth over $50,000 dollars. You think I’m going to let Hansey keep 15 thousand dollars and then keep this car? I’m not an (expletive deleted). I’m not a (expletive deleted) idiot.”

It’s bad enough her car has been stuck at the body shop for months, but recently she says she got a troubling call from one of the employees. “An employee stated I should just report the car stolen and get a new one because the car will never run the same again.”

A nurse is fighting to get her vehicle back from an Larry said that is not true. auto body shop in the Bronx three months after Owner Hansey Abreu didn’t rebringing it in. Credit: pix11.com turn our calls. Stephanie, who “Yeah, we’re working on it”, he has had to rent a car while still making replied. But he refused to let us into month payments on the Infinity, has the garage to see the car. filed a complaint with the New York However, he allowed Stephanie State Department of Motor Vehicles, to come inside. We were recording the which says it is actively investigating audio when Larry told her he’s just her case. Stephanie says she is also following his boss’ orders. going to file a civil lawsuit to try to re“He’s the one that tells us what to claim the value of the car. do. So if he tells me not to do anything...” At that point, Stephanie inter- We thank pix11.com for reprint perrupted, “Is that what he’s saying? He’s mission.

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Take Me Out To The Ballgame!

Join ASA-Midwest at the Ballpark in June

Come enjoy an afternoon of great company and baseball as the Kansas City Royals take on the Cleveland Indians on Saturday, June 3.

Don’t miss this opportunity to network with your fellow industry professionals as you cheer on the Royals. The tailgate will begin at 11:00 am with burgers, hot dogs, brats and more.

A limited number of tickets are available. Seats are located in section 208 (through Gate A) just down the third base line!

Look for us before the game under the Advance Auto Parts/CARQUEST tents on the east side of Lot G, or call a staff member for directions.

www.autobodynews.com CHECK IT OUT!

www.autobodynews.com | MAY 2017 AUTOBODY NEWS 47

An Introduction to WIN’s 2017 MIW Honorees

by Chasidy Rae Sisk

The Women’s Industry Network (WIN®) introduced its 2017 Most Influential Women (MIW) honorees on March 3. This award is designed to recognize women whose leadership, vision and commitment to excellence have enriched the collision repair industry. This year’s honorees, to be recognized at WIN’s MIW Gala and Awards ceremony during the association’s May conference in Denver, are Cristina Fronzaglia-Murray, Manager of Marketing Communications for PPG’s Automotive Refinish Division; Renee Ricciotti, Sales and Marketing Manager for 3M Automotive Aftermarket; and Elizabeth Stein, Vice President of Business Development and Marketing for the Assured Performance Network.

WIN Chair Petra Schroeder stated, “Having been with WIN since its inception in 2006, it is wonderful to see firsthand how the MIW program has evolved and grown and how perfectly it aligns with WIN’s mission to ‘enhance the role of women in the industry.’ Every year, I am truly amazed

by the diversity of every nominee’s talent and industry involvement. It is my honor to extend heartfelt congratulations to Cristina, Renee and Liz for winning this prestigious award.”

This year’s three honorees graciously agreed to take time from their hectic schedules to chat with Autobody News about some of their accomplishments and what this award means to

them. Words like “shocked,” “humbled,” and “respected” were reiterated throughout each interview.

Fronzaglia-Murray had no thoughts of the collision repair industry 23 years ago when, as a recent college graduate, she started working for PPG as a light industrial sales representative in a newly emerging segment for PPG. A decade later, she began working more directly in the automotive refinish division and ultimately took over the communications side of the business, becoming more di-

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rectly involved with the collision repair 1994. Ricciotti confessed, “I knew industry. Fronzaglia-Murray observed, nothing about vehicles. The only thing “There are so many opportunities in this I knew was that I liked expensive cars.” industry – it’s been an awesome ride the Things have definitely changed whole time!” since then. Ricciotti is proud to have Feeling fortunate to work in difbeen the first female in many of her ferent roles at PPG, including being the roles within 3M, including marketing, Director of Communications and Marbusiness development, and sales leadketing, Fronzaglia-Murray has also ership positions. Being the first female been afforded the opportunity to host sales manager at the 100-year-old comPPG’s SEMA booth each pany is one great example of year, and she won a SEMA how Ricciotti has made hisaward for her groundbreaking tory within the organization. work—the Athena Champion She was also selected as 3M’s award—in 2014. FronzagliaBusiness Leader to Villanova, Murray also sits on PPG’s direpresenting the company as versity committee, and she they recruit positions and has assumed a mentorship role serving as a mentor. Ricciotti Cristina Fronzagliaat PPG. “I get to do the most was previously a board memMurray fun job at PPG every day,” she ber for the Collision Repair explained. “And it provides more opEducation Foundation (CREF), and she portunities to be seen and heard in this currently serves on the National Auto field.”

Body Council’s (NABC) board and exRicciotti had no intention of enterecutive committee. ing the automotive industry either. Her Like her peers, Stein ended up in father worked for 3M, but as she was the industry by accident. She began her interested in sales and marketing, she career as an entertainment publicist, but worked at the Four Seasons Hotel after finding that industry to be inauthentic, college until she interviewed for 3M’s she interviewed for a marketing manager automotive aftermarket department in position at Fix Auto in 2003. Stein re-

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called, “Something just clicked, and I fell businesses. The ability to help change in love with it. The people in the collian industry and see that change is just sion repair industry are some of the most awesome.” sincere, hard-working people there are.”

Stein has also served on the For nearly nine years, Stein worked NABC board for the past nine years, for Fix Auto, learning as she went and after being recruited at 8.5 months jumping in as needed until she earned the pregnant, and helped build the Recyposition of Director of Marketing and cled Rides guide shortly after they’d piMembership, and eventually, she helped loted the program with 25 vehicles. the company divide into two organizaThe organization just facilitated the tions. In 2011, Scott Biggs, CEO of the 1400th vehicle donation through RecyAssured Performance Netcled Rides, and Stein exwork, approached Stein and pressed admiration for how offered her a job as Executive far the program has come deDirector, promoting her to Vice spite being an all-volunteer President of Industry Relations organization. within two years.

Fronzaglia-Murray first beAccording to Stein, “I get came aware of WIN because to work with some of the same she was involved with paying Elizabeth Stein shops I’d come to know, and the sponsorship bill for a numit’s been great for my family. Our manber of PPG ladies who attended the conagement team is like family, allowing us ference. Curious about WIN, she to be candid with each other. It’s amazresearched the organization, and she deing how much we’ve grown through the termined, “WIN was a wonderful opteam approach, becoming the largest portunity for females to get more certification network in just five years. involved in this industry. I felt we needed Certification is based on criteria that to get invested in order to become more helps remove the politics; it’s about diverse, and it’s great for women to reproper requirements and ensuring the ceive support and be around people who consumer’s value and safety. I enjoy understand what we’re going through.” helping consumers find the right shop When she learned that she had and helping shop owners improve their been nominated as a MIW, Fronzaglia-

Murray was shocked. She had sugable to continue this award. I feel regested that PPG nominate someone spected by my peers honoring me and and was disappointed that they missed grateful for 3M’s support. I feel inthe deadline and an opportunity to exspired, unstoppable and fearless, and I pose a wonderful woman. She recalled, just can’t stop smiling.”

“I wasn’t looking internally, so I almost “I’ve worked hard, and this award died when WIN informed me that I is part of the legacy I can leave for othwas nominated. I was floored and feel ers in the industry and for my 13-yearso humbled to be placed in the same catold daughter,” Ricciotti shared. “It’s like egory as these women. I’m so proud that I’ve won the big one – this is a huge deal. my work has made a difference and is If I can win this, I can do anything!” being recognized. You don’t For Stein, involvement in really think about what you’re WIN is about personal develdoing and why until someone opment and becoming more points it out. We women tend knowledgeable about the colto hold ourselves to a differlision repair industry. She atent standard, but it just betended her first conference in comes a part of who you are.

2010 and left feeling enerIt’s great to see the number of gized and empowered. “I got Renee Ricciotti bold women coming into this so much from the conferindustry and taking charge!” ence,” she said. “WIN includes a great Ricciotti’s first WIN conference group of women who are there to prowas in 2007 after Stacee Royce recomvide kinship and advice. People don’t mended it as a growth opportunity, and remember what you say, but they reshe has attended every conference member how you made them feel, and since. Describing her feelings about I’ll never forget how great I felt after being honored as one of WIN’s 2017 that first conference.”

MIWs, Ricciotti said, “I truly feel like Stein was amazed when she learned a WINner! I’m humbled to be recogof her MIW nomination. “We all do nized with past and current MIW rethings where we don’t realize the posicipients and grateful that WIN, as an tive impact we’re making on people’s all-volunteer organization, has been See MIW Honorees, Page 61

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Historical Snapshot with John Yoswick

—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.

Could that 180-line Estimate You Just Wrote be 179 Lines too Long?

20 years ago in the collision repair industry (May 1997) Rick Tuuri of [estimating system provider] ADP said the company has no plans to change its current system of allowing the user to options to use a clearcoat “cap.” He did say, however, that the wording of the disclaimer printed on estimates calculated using the user-defined maximum value will change.

“We’re changing the term to ‘threshold,’” Tuuri said. “We’re printing on the estimate that the estimate has been calculated using the threshold value, and that further approvals may be required.

In 1997, Rick Tuuri was with ADP, whose estimating system was later sold and evolved in the AudaExplore system today

– As reported in Autobody News.

ADP’s estimating system was later sold, eventually becoming the AudaExplore system used today. Tuuri retired from AudaExplore last year.

15 years ago in the collision repair industry (May 2002) Caliber Collision Center’s Costs Mesa, CA, location was closed for a week by the California Bureau of Automotive Repair (BAR) as part of a settlement agreement reached by Caliber following allegations by the BAR of fraud, gross negligence, faulty record-keeping, and failure to comply with the regulations of the Automotive Repair Act. Caliber, the nation’s largest collision repair consolidator, with 62 shops in California and Texas, has come under increased scrutiny lately since it accepted a financial investment from the Inter-Insurance Exchange, which operates Auto Club insurance in California and Texas. A bill was recently introduced in the California Senate that would make such investment unlawful.

The BAR’s complaint alleged numerous failures to comply with state regulations, including invoicing for parts not actually provided; the use unclear abbreviations on invoices; failure to states clearly if a part was new, used, rebuilt or reconditioned; failure to identify all crash parts used as OEM or non-OEM; failure to obtain a vehicle owner’s permission before repairing the vehicle; and failure to properly annotate a repair order when a change to the original estimate was authorized verbally by a customer.

To settle the complaint, Caliber admitted to the truth of all the charges except for the fraud allegations, which it denied. The company agreed to pay the BAR $8,000 as partial cost recovery for the investigation, close its Costa Mesa shop for five days, and prominently post a sign indicating the reason for suspension. The shop will remain on probation for three years, subject to random inspections by BAR personnel.

– As reported in Autobody News.

Caliber remains the largest U.S. consolidator, with more than 400 shops in 18 states. The California legislation to prohibit insurer-owned shops was not passed, but similar legislation was enacted in Texas, leading the Inter-Insurance Exchange to sell off its interest in Caliber.

10 years ago in the collision repair industry (May 2007) Could that 180-line estimate you just wrote be 179 lines too long?

During a recent Collision Industry Conference (CIC) held in Atlanta, one participant at the meeting posed this question to insurers: Could you accept an estimate that didn’t include the line-by-line breakdown but instead just the total repair cost?

Scott Biggs, CEO of the Assured Performance Network of collision repair shops, said decades ago, estimates were as simple as, “Fix car, $300.”

“Now you have 180 lines and insurers saying, ‘No, we don’t pay for that, and we need to cap this,’” Biggs said. “What if repairers stopped itemizing the estimate? Just think abut it for a minute. It doesn’t matter how you got to that number at the bottom. You

50 MAY 2017 AUTOBODY NEWS | www.autobodynews.com

can use whatever means. But how do you debate when there are no lines?

How do you argue about the door rate when there are no lines?”

George Avery, a claims consultant with State Farm, said there are several factors that can necessitate the need for more detail on estimates. Some states, most notably California, have strict guidelines for what must be specified on the estimate for the consumer.

But Avery said that given that nearly two-thirds of estimates for State Farm work are written by shops in the company’s Service First / Select Service programs, there could be potentially less need for a detailed estimate up-front if other such obligations could be met.

“It could be as simple as the repairer saying, ‘I just want to let you know I have this car here. There are no issues associated with appearance allowance, betterment or depreciation, and I don’t have any recycled or af-

termarket parts on this car,’” Avery said. “I could be in a position where I would say, go ahead. You’re going to have an obligation eventually in your final repair bill to explain what you did to the car. So I think this is one of those things that we could talk about.”

Roger Wright, manager of material damage and direct repair programs for AIG, said he had virtually such a program in place a dozen years ago when he was with another insurance company.

“I built a partnership with a collision repair shop group and I said, ‘Fix the car and send me a bill, and fix the car like you are fixing it for your mother using your money,’” Wright said. “I felt very comfortable with that, and it worked great. Now we had some arm’s length auditing to manage it. And we had some outliers who wouldn’t behave well. But I didn’t have to have 100 people on the street; I only had to have 12.”

See 179 Lines Too Long?, Page 60

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Shop Showcase Everything’s Algood at Mike’s Auto Body in Antioch, CA with Ed Attanasio

When Lorenzo Algood recently became the second member of his family to graduate from the Mike’s Auto Body Metal Tech Training Program, it made the celebration a family affair.

This is the second class to graduate from the intensive five-month course at Mike’s Auto Body’s training facility in Antioch, CA. With three generations of body technicians spanning a century in the collision repair industry, the Algood family is all-in when it comes to fix-

ing at the corporate Concord location for Mike’s and I began working with a few trainees there,” Lupe said. “Dave Wedding and Dane Dearlove approached me and asked me if I was interested in being an instructor for the company’s training program and I said yes. I was already an I-CAR instructor and I enjoy teaching, so it was an easy decision.”

Lupe’s father is a retired body technician and hopefully soon, Lupe Jr., age 16, might be entering the in-

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

ceive classroom instruction along with performing hands-on repairs of metal, plastic, panel removal and vehicle construction on salvaged vehicles at the company’s ADAC facility in Antioch, CA. Students are trained in vehicle disassembly, panel repair, plastic welding, frame and instructional analysis and welded panel removal. In addition, upon graduation, the students will have already achieved I-CAR Training Pro Level 1 and will be fully Car-OLiner certified.

David Wedding, a business development manager at Mike’s Auto Body, who oversees the training program and teaches classes as well, is happy to announce that the first program’s graduates are working at Mike’s Auto Body’s various locations under the tutelage of mentors that have been carefully selected.

“We can already see that this program is going to benefit the company in many ways, and Ronnie Algood is a

good example of that,” Wedding said.

“He is currently working at our Richmond location and getting better by learning new skills and working with several of our more veteran technicians. Now, Lupe’s other son Lorenzo is in our training program and [is] doing well.”

Currently, the second training class, including Lorenzo Algood, is progressing well and those students will be graduating early next year with the third class entering in the spring of 2017.

If you know someone or have a member of your family that might be interested in pursuing a career in collision repair either as a tech or an estimator for Mike’s Auto Body, contact the Program at internship@mikesauto body.com.

Further information about the training program and an online application is available at www.mikesautobody .com/metaltechnicianinternship.

Acura of Westchester Mike’s Auto Body’s second in-house graduating class produced four new collision professionals, including Lorenzo Algood, (third from right), whose father Lupe (second from right) is one of the program's instructors

ing cars. Lupe Algood, 40, has been a body technician at Mike’s Auto Body for the past five years and is also an instructor for the company’s in-house training program that kicked off in 2016 and is already considered a success.

In addition, Lupe’s two sons, Ronnie and Lorenzo, are now entering the collision repair industry and onboard with Mike’s Auto Body. Ronnie recently graduated from the company’s training program and Lorenzo is currently enrolled.

Lupe Algood is a proud father, a passionate teacher and a highlyskilled metal technician who still repairs vehicles when he isn’t teaching or mentoring the collision professionals of the future.

How did he become an instructor for Mike’s Auto Body? “I was work-

dustry as well. “I tell young people that if they learn their skills and are dedicated to this craft, they can have long, lucrative careers in collision repair. There is a huge demand for technicians right now, so get your training and the jobs will be there.”

Lupe’s son Ronnie is one of the program’s first graduates and is delighted to be working in the collision repair industry as a fledgling metal technician for Mike’s Auto Body. “It is a great opportunity for me and it’s an awesome time to be in this industry,” Ronnie said. “My goal is to become a journeyman within 18 months or so. I know I can do it, because I have a lot of support here at Mike’s Auto Body and they want me to succeed.”

In order to complete this comprehensive training program, students re-

52 MAY 2017 AUTOBODY NEWS | www.autobodynews.com

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By 2030, 25% of Miles Driven in US Could Be in Shared Self-Driving Electric Cars By 2030, around a quarter of all miles driven in the US could be in shared autonomous electric vehicles, which will offer consumers in large cities the lowest-cost, most convenient form of transportation, according to new research by The Boston Consulting Group (BCG).

BCG’s key insight is that the convergence of three trends—ride sharing (services such as Uber and Lyft), autonomous driving, and vehicle electrification—create a far more compelling economic case than any of these forces alone. Due to their ability to cut travel costs by 60%, shared autonomous electric vehicles (SAEVs) could shift about 25% of miles traveled from private automobiles, creating enormous benefits for consumers as well as causing major disruption to the automotive industry. While total vehicle demand will only be affected slightly, by 2030, more than five million conventional cars per year could be replaced by a combination of fully autonomous electric vehicles for urban fleets and partially autonomous cars for personal use. Cities will benefit from less congestion and cleaner air, but could be

disadvantaged by falling ridership on public transit, fear of which could result in some cities proactively trying to regulate the number of SAEVs on the road.

“Such an evolution in mobility is no longer a fantasy. The technology exists and our research shows that many consumers will embrace it,” said Brian Collie, a Chicago-based partner who leads BCG’s automotive practice

per mile to around 50 cents per mile.

Over the course of a year, that could put more than $7,000 in that driver’s pocket, effectively doubling consumer discretionary income.

Unlike most industry studies, which look at trends such as autonomous driving and powertrain electrification in isolation, BCG’s research aims to provide an integrated view of the future of mobility in the US. The

in North America. “Yet, few players are taking the bold steps needed to position themselves to thrive in this nottoo-distant future. The time to act is now.”

SAEV is an apt acronym for these vehicles, as fleets would save time, money, and lives. By using SAEVs, a typical Chicagoan who owns a car and drives 10,000 miles a year could cut the cost of travel from around $1.20

consultants combine insights from a variety of sources—including a proprietary survey of more than 6,000 US consumers; detailed modeling and analysis of traffic patterns and population density in over 100 cities of varying sizes; economic forecasting; past BCG studies; and interviews with a wide range of industry experts.

The results focus on implications for automobile and parts manufacturers,

“Such an evolution in mobility is no longer a fantasy. The technology exists and our research shows that many consumers will embrace it” — Brian Collie

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car dealers, service providers, and city governments, as well as other key stakeholders, such as energy and insurance companies.

Radical Shift Will Be Concentrated in Large Cities BCG’s conservative estimate is that 23% to 26% of miles driven in the United States, or about 800 billion to 925 billion miles, could be traveled in SAEVs by 2030. The shift to SAEVs, which would be gradual and would begin by the early 2020s, would likely occur in cities with more than 1 million people, where there is sufficient demand to keep fleet utilization high and there are significant pain points associated with private vehicle ownership (expensive insurance, difficulty finding parking, and congestion).

Adoption could be even faster and more widespread if innovations in technology and pricing models reduce costs further for consumers. Innovations could include radically different vehicle designs (such as driverless pods), new tailored services (such as pooled ride sharing), and new revenue streams (such as in-vehicle advertis-

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ing). At a lower price point, SAEV service might be attractive in more mid-size cities (with populations of 500,000 to 1 million).

Nonetheless, significant hurdles remain. Major technical and infrastructure challenges must be solved. For example, BCG concludes that SAEVs are unlikely to be economically viable in small cities and rural areas. And even in larger cities, their survey findings suggest that many consumers remain skeptical of the technology or are unwilling to give up the many conveniences and benefits of private vehicle ownership.

Shift Will Have Massive Impact Moving up to a quarter of all miles driven would have massive impact, not only on household economics and lifestyles, but also on society as a whole, urban planning, the automotive industry, and key supporting industries such as energy, finance, and insurance. ● Automakers and parts suppliers would face the most profound challenge to their business models in a century. While total vehicle demand isn’t likely to change materially, the types of cars required will be vastly different. BCG estimates that in 2030,

a total of 4.7 million autonomous electric vehicles will replace 5.1 million conventional autos sold in the US. This shift undermines the current industry business model, with its focus on engine technology and its long product cycles, and opens the market to a range of new competitors. Hundreds of billions of dollars worth of industry assets could turn into liabilities. Dealers will be less relevant as fleets make up a much bigger portion of sales. Current aftermarket businesses will take a hit because SAEVs will require less maintenance and have fewer accidents. But at the same time, whole new businesses will develop to manage large urban fleets and service them daily. ● The new model would also have important implications for cities.

In addition to benefits such as less congestion, fewer traffic deaths, cleaner air, and reduced need for parking space, cities may also face financial hardship because of the impact on public transit.

The economics of shared autonomous electric vehicles makes them competitive with public transportation for short trips—and more convenient (no schedules, door-to-door service). According to BCG analysis of traffic patterns and “pain points” of mass transit riders in

Chicago, as many as 20% of public transit miles could shift to the new transportation mode. This could leave cities in the position of maintaining aging transit infrastructure with reduced ridership and fare income. However, cities can plan for the loss of transit income by finding other sources of tax revenue, such as fees on SAEV fleets and trips. They could even consider investing in publicly owned fleets. ● Additional effects would include a sharp drop in fuel demand— an impact looked at in depth in an upcoming comprehensive powertrain study by BCG. And the sharp reduction of traffic accidents and related injuries from autonomous and semiautonomous vehicles could reshape the auto insurance business. Tech companies, data providers, and electric utilities would benefit.

The Next Car You Own May Be Your Last “The age of shared autonomous electric vehicles is upon us and now is the time for automakers, suppliers, and cities to begin taking the bold steps necessary to thrive in this rapidly changing world,” said Justin Rose, a Chicago-based partner who leads

BCG’s digital efforts for industrial goods companies. “Companies need to deconstruct and rebuild business models, develop new capabilities, create new sources of sustainable advantage, and shift assets and talent to new purposes—or risk becoming irrelevant. As with any great disruption, this transition will be risky and extremely challenging, particularly in the face of near-term investor expectations of customer demands.”

To help navigate this turbulent period of transition and uncertainty, the authors have developed a roadmap to guide automakers, cities, and regulators in preparing for this profound change, with a set of recommended actions for each.

“The automotive industry is on the brink of a major transformation, and it’ll be here faster than people realize,” added Rose. “For millions of Americans living in large cities, the next vehicle they purchase may be the last car they ever own.”

A formal report with further details on the study—the first in a multipart series on the reinvention of the automotive industry—will be published in the coming weeks on www .bcg.com.

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www.autobodynews.com | MAY 2017 AUTOBODY NEWS 55

Automotive Tech Programs Painstakingly Restoring 1926 Model T Ford

by Rich Harbert

Students in the technical studies program at Plymouth South High School in MA are punching their way back in time, rivet by rusty rivet.

With a ball-peen hammer, a center punch and plenty of 1/8-inch drill bits, the students in the automotive collision

Nick Torrey, 14 and Joshua Meleski, 14, work together using a socket wrench and other tools to remove rusted bolts from the cowl of the 1926 Model T Ford. [Wicked Local Staff Photo/Alyssa Stone]

and repair program are slowly disassembling a Model T Ford that came off the assembly line 91 years ago.

“Think about it,” collision and repair instructor Chris Baker said as freshman Dan Hadfield went to work on an impossibly rusted bolt from the car’s deteriorating cab. “The last time anyone put a tool on that was 91 years ago. It’s kind of like archaeology, isn’t it?”

Students in the collision and repair program have been working on the 1926 Model T since last year, when upperclassmen took apart the chassis of the old car and then painstakingly sanded and buffed the rust and patched the dimples brought on by nearly a century of wear and tear.

Plymouth South High School students are rebuilding a Model T car in their Marine Tech class. [Wicked Local Staff photo/Alyssa Stone]

A local resident donated the old car to the program a couple of years ago in hopes it might provide some worthy lessons in restoration. It has become a long-term project, but one the tech program is willing to invest

in as it thins its stock of donations in anticipation of a move this summer to a new Plymouth South High School.

The chassis is ready to roll.

Juniors in Peter Gellar’s class sanded, epoxied and repainted the wooden-spoke wheels last year. Baker plans to push it over to the new school once that opens in July.

The frame rails for the cab and the cowl that separates the cab from the engine will likely be re-attached to the chassis before the end of school as well, but the actual progress is still anyone’s guess.

A lot will depend on how the existing cab cleans up. Much of the back is disintegrating. The top of the seating compartment can probably be salvaged.

But the lower half is an irregular piece of rusty flakes.

Students are in the process of breaking it all down into individual pieces that will be sanded and repainted. The freshmen expect to fabricate the rusted-out sections, but they will have to learn the art first.

Joshua Meleski, 14, uses a socket wrench on an old bolt on the cowl of the Model T. [Wicked Local Staff Photo/Alyssa Stone]

In their first year in the program, they are limited to learning basic skills using hand tools, which is not much different from the way the cars were made.

Between October 1908 and May 1927, Ford built and sold nearly 15 million of the cars. Nicknamed the Tin Lizzie, the first Model Ts had a 20horsepower, four-cylinder engine. They weighed 1,200 pounds and reached a top speed of approximately 45 miles per hour.

Ford built more than 1.5 million of the cars in 1926 alone. Auto experts estimate that approximately 30,000 Model T’s still exist, though some, like Plymouth South’s car, require extensive restoration.

The good news is there are still plenty of parts out there somewhere.

There is also a market for after-mar-

56 MAY 2017 AUTOBODY NEWS | www.autobodynews.com

ket replacement pieces, which could make or break a restoration.

Baker said he has already reached out to some old car buffs who deal in parts, letting them know that if they

Zachary Gregoire, 14, uses a drill on the cowl of the 1926 Model T Ford Plymouth South students are rebuilding. [Wicked Local Staff Photo/Alyssa Stone]

cannot get their price for an item, they could donate it to the school and get a tax credit.

At some point, he expects the project will have to come get some such donation. “Luckily there are aficionados who are frequently willing to help,” Baker said. “No one wants to see cars that age drop out. People tend to help with parts.”

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The engine will pose its own troubles.

Baker currently has the frozen motor in storage, in anticipation of the day next year when the automotive technology and automotive collision and repair program all operate out of the same shop in the new high school.

Baker said he anticipates years of work ahead for the project.

The freshmen now tearing the cab apart will likely be seniors when it all comes together, he said. That will be just in time to roll it out for the town’s 2020 anniversary parade. At some point, students will have to determine what goes on the back of the car.

In the 1920s, many Model Ts were built with truck beds and used commercially.

For now, it is perfect learning tool for freshmen still learning their way in collision repair.

“Certainly the muscle is not the problem,” Baker said. “And what are they going to do, wreck it?”

We thank Wicked Local for reprint permission.

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News From Collision Repair Education Foundation Collision Students’ Tuition Debt Erased through CREF’s Lon Baudoux Legacy Scholarship Fund Destiny Potter, a 2016 Lon Baudoux Legacy $2,000 Scholarship recipient, attended the recent I-CAR Volunteer & Instructor Conference in San Diego to highlight how significantly financial support has assisted in her technical education. At the end of her presentation, Potter was surprised with the announcement that to recognize her continued efforts in gaining part-time industry employment while finishing her remaining year at Lincoln College of Technology in Indianapolis, her 2017 student debt would

be “erased” through the Baudoux Legacy fund. In total, over $10,000 in student debt will be paid for Potter, who is on track to graduate from Lincoln Tech this October.

Potter, currently employed parttime with ABRA Auto Body & Glass, noted, “Being on stage in front of hundreds of people and to talk about the Lon Baudox Scholarship I won in 2016 was tremendous enough. But then for the Collision Repair Education Foundation to announce that they were paying my tuition just left me incredibly speechless. This means ‘no debt’ and ‘no stress.’ On a personal note, this also means that I am noticed, I am supported, and I am believed in. Who knew that something like this would happen to me?”

“It’s incredible to see the real impact of the foundation in the lives of individual students,” said Peterson Santos, regional vice president at ABRA Auto Body & Glass. “We are Continued from Page 44

Body Shop Invention?

lowed me to take more of my ideas to fruition.”

For that technician, painter, estimator or body shop owner with a great idea for a tool that can change the industry, what last piece of advice would Weschler offer them? “Invest

honored to have Ms. Potter on our team and are especially grateful for the mentorship ABRA team member Rebecca Stultz has provided her throughout her journey. Ms. Potter’s future is bright and we are certain she will enjoy a long and successful career in the industry.”

Nationwide Insurance Awards $50,000 to Six Collision School Grants CREF has announced that Nationwide Insurance has made a $50,000 donation to assist the Education Foundation’s support of high school and college collision school programs across the country through school grants.

Six schools were supported through these Nationwide school grants. The schools applied for the Education Foundation’s 2016 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 Nationwide Insurance school grant recipients include: ■

■ ■

■

$25,000 - Eastfield College (Mesquite, TX)

(Wilmington, NC)

“Nationwide recognizes the growing need for highly trained repair technicians,” said Patrick Burnett, Associate Vice President of Claims at Nationwide.

“That’s why we’re proud to support organizations dedicated to training and developing tomorrow’s collision repair professionals.”

CREF Recognizes 121 Career Programs With Collision School Career Readiness Benchmark CREF announced it has recognized 121 schools with its new designation program called the “Collision School Career Readiness Benchmark,” which was launched in 2016.

Under the new program developed by the Foundation, schools were classified into three tiers: • Tier 1: Advanced, • Tier 2: Proficient, or • Tier 3: Developing.

The designation was determined by the Foundation based upon information provided by schools about the capabil-

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your time to find the patent attorney that will represent you and your idea in the very best way possible and then trust him. Don’t expect your attorney or others to clearly know the features and benefits the way you do, so take the time to communicate and provide detailed explanations. And maybe most importantly, don’t wait. You never know when that next million dollar idea will present itself.”

58 MAY 2017 AUTOBODY NEWS | www.autobodynews.com

ities of their program on the Collision Repair Education Makeover grant application.

Last year, due to expanded financial and in-kind support from the industry, every school that completed an application received a grant to help them move to the next Tier or increase their capabilities. The program is currently accepting applications for 2017.

In 2016, nine schools received a Tier 1 designation, 80 schools achieved Tier 2 and 31 schools achieved Tier 3.

Schools are recognized at different levels based upon criteria that focus around the number of hours of instruction and curriculum in place along with the tools, equipment, and supplies a school uses to prepare their students for employment in the collision industry.

Participation in the Makeover grant program provides schools with necessary items to help them advance to higher levels and expand their programs to best serve students and the industry.

The goal is to help every school acquire the resources to eventually achieve a Tier 1: Advanced school designation.

For more information, visit www .collisioneducationfoundation.org.

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Learn How to Crush It in the Collision Repair Industry With Newly-Released Book

Discover the six secrets used by America’s greatest body shops in a newly-released book written by Dave Luehr and Stacey Phillips: The Secrets of America’s Greatest Body Shops. Throughout the book, the authors share insightful lessons along with real-world stories of actual collision repairers who have discovered the secrets that have propelled them to a much higher level than their competitors. Both Luehr and Phillips are regular contributors to Autobody News magazine.

“Right now is the best time in history to be in the collision repair business, but only for those with the right mindset,” said Luehr, who is also the owner of Elite Body Shop Solutions.

“In the book, we’ll challenge you think differently, explain how to reduce your dependency on DRPs, and provide many tips needed to grow the sustainable, profitable business you have always dreamed of.”

“Dave helps us see the current state of the collision repair industry in a kind and yet eye-opening way,” said Dave Dunn, CCRM, founder of Masters School of Autobody Management and Dave’s Auto Body. “Additionally, he offers hope for those of us who love our

industry and coaches us into seeing even greater opportunity.”

With over 30 years of expertise developing the profitability and efficiency of collision repair shops, Luehr combines his decades as a body shop owner with his expertise gained at some of America’s leading collision repair organizations as founder of Elite Body Shop Solutions. Based in Nashville, TN, the business development and professional coaching organization redefines the value and competitive advantage collision repair businesses can expect from an industry advisor.

“Filled with insight on the past, the present and the future, Dave Luehr is definitely someone who contributes to all that is good in the collision repair industry,” said Mike Anderson, owner of Collision Advice.

For a limited time, the authors are offering a 10% discount for book purchases made on the publisher’s website—the CreateSpace eStore. Go to https://www.createspace.com/6921940 The book is also available to purchase on Amazon. See also www.bodyshop secrets.com.

Please contact the authors at info @bodyshopsecrets.com.

Continued from Page 50

179 Lines Too Long?

Others at CIC pointed out that the initial estimate is needed for the customer to know what will be done for the car, and to generate the work order that is given to the technicians.

In 2007, Scott Biggs of Assured Performance suggested that detailed estimates were not necessarily something insurers and shops needed to negotiate ahead of repairs

But Biggs countered that today’s estimates are so full of abbreviations and “gibberish” that the average consumer can’t read them anyway, nor are they always complete and accurate enough to give technicians all the information they need.

“The estimate is a negotiating item, and we’re lying to ourselves if we

say that (it) is an exact blueprint for repairs,” Biggs said. “And I’m not suggesting that you... replace the databases and arbitrarily pick $300 or $3,000 out of the air. But we could get there faster, easier and less expensively and then have less minutia to argue about and get to the job of fixing cars. You can’t say, ‘We don’t pay for that,’ if there isn’t ‘that’ on the estimate.”

– As reported in Autobody News.

Wright is now an independent consultant in the industry. Avery retired from State Farm last year.

5 years ago in the collision repair industry (May 2012) State Farm has rolled out mandatory use of its PartsTrader parts ordering system for its Select Service shops in four markets: Tucson, AZ; Grand Rapids, MI; Charlottesville, NC; and Birmingham, AL. Aaron Schulenburg of the Society of Collision Repair Specialists (SCRS) said the association’s board met with State Farm executives in late April and PartsTrader was clearly “an issue we’re not going to see eye-toeye on.” Schulenburg questioned State Farm’s contention that the system improves efficiency.

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“Having an outside entity tell you what processes you’re required to do, and who you must do them through and how, is the furthest thing from ‘lean,’” Schulenburg said during the board meeting. “A process that requires you to review your vendors, especially ones you’ve built very strong relationships with and that provide excellent service, is far from lean as well.”

Schulenburg also questioned whether the system would be voluntarily adopted by the industry given that other electronic parts ordering systems are struggling to gain acceptance.

He asked State Farm’s George Avery if the insurer would move forward with PartsTrader if shops, dealers and other parts vendors are resistant to it.

“At this point, we are moving forward,” Avery said. “We are moving through our test. We’re obviously gathering information, making adjustments along the way. But I can tell you that State Farm is moving forward with this. We think it is in the best interest of our customer.”

– As reported in CRASH Network (www.CrashNetwork.com), May 7, 2012. By late 2014, State Farm had rolled out mandatory use of Parts Trader nationwide.

Continued from Page 49

MIW Honorees

lives, and when they reach out in appreciation, it validates that you’re doing the right thing. I am so humbled by all the support I’ve received, and I am shocked because I didn’t expect this tremendous honor. I’ve always looked up to my WIN predecessors who’ve broken down barriers, and we continue to break them down for the next generation.”

Looking at the importance of females entering the collision repair industry, Fronzaglia-Murray recounted her mentor, David Chapman, thwarting her fears and excuses when she first began working for him. “I was scared to talk to the men in the industrial segment because they had more experience and knew so much more, but Dave told me, ‘It’ll make you tougher. I’m not asking you to know what they know – I’m looking for a different perspective because we need that to grow the business.’ He was right; we need different people to bring different mindsets because if we stick to the same opinions, none of us grow and flourish.

“I had so many excuses, but Dave wouldn’t let me fail. He was positive

and encouraging. You have to thank the people who have challenged you along the way. You may do things differently, but that doesn’t mean it’s wrong.”

Ricciotti and Stein both agree that diversity of perspective is the most important reason for women to join the automotive industry. Ricciotti observed, “Everyone is more productive when you have more than one kind of voice.

It’s good for businesses to have multiple perspectives, and it gives us a great advantage to bring something unique to the table. The collision repair industry is truly a great place to be if you want to be unique, but it takes a special individual who is comfortable with growth, rapid changes, and a challenging environment – it’s never boring! This is the industry for you if you’re inspired and challenged by change.”

Stein added, “It’s all about who’s qualified and who is best for the position. I never want a position I didn’t earn. Being a well-rounded business requires a holistic approach. Women get that, and we add a little something because we offer a different perspective.”

All three MIWs offer similar advice to young ladies who are interested in pursuing a career in the automotive industry. “Do it!” Fronzaglia-Murray

encouraged. “It’s a great industry with great opportunities and room for growth. Don’t try to be like anyone else – just be the best you and bring your different opinions and views to the table. Don’t be afraid of failure, but learn from your mistakes. Be yourself.”

Stein’s advice is “Don’t be afraid to be a student. Ask questions, and instead of fearing failure, take on challenges outside the scope of what you know. I wouldn’t be in my current position if I didn’t take risks, and criticism has made me a better professional because results are what matter at the end of the day. Women set their own limitations, but there are so many options in this industry. We have a deficit of and a need for talented people, regardless of gender.”

Ricciotti added, “Invite yourself instead of waiting to be invited, and never give up. Seek companies that look at your capabilities, not your gender; it’s comforting to know that the way people treat you is due to your skills, not because you’re a woman.

There will always be challenges, so find a mentor and a great support system like WIN. I never thought I was any different, but I’ve always believed that achieving success is the only option.”

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Continued from Page 36

Scan Revolution

ing a disconnected sensor and harsh criticism on the workmanship. Additionally, the customer will be back to have them correct all of the shortcomings pointed out by the dealership.

I have been out in the field and on the phone with shops locally and in various areas of the country. Sadly, I have found an egregious lack of awareness about the procedures or lack of courage to broach the conversation with insurers, especially with DRP shops. What’s most surprising is some of the dealership shops and OEM certified shops are amongst this group of the unwilling or unaware.

It is time to sit down with the OEM scan position statements and have the necessary dialogue with insurers. Many insurers want to do the right thing by their customers. It is up to you to present the OEM documentation and be clear that the vehicle repairs are not complete until the completion scan, any necessary resets and calibrations and a road test are performed. The outcome of those discussions may pleasantly surprise you.

Resources Abound To assist shops and insurers in this important dialogue, I have created the “OEM Diagnostic Scanning Positions Quick Reference Chart” which is a fantastic tool for shops to use in educating the insurer and customer on the importance of Pre- and Post-Repair Scans in the collision restoration process. Auto body shops certainly would not want a mechanical shop or dealership notifying the customer and identifying trouble codes or procedures which the auto body shop left behind. The chart appeared in the March 2017 edition of Autobody News and is available FREE as a PDF file at the following site: www .oempositions.com “While the Quick Reference OEM Scan chart is no substitute for the complete OEM position statements, it provides a convenient overview with the basic essential information to assist the damage assessment and repair planning

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process,” said Charles Bryant, Executive Director of AASP/NJ. “This chart may also prove to be a useful tool when negotiating with an insurer for the appropriate allowance of these operations which automakers have deemed an integral part of the collision repair process.”

For those shops that are just starting to implement the latest automaker pre- and post-scan protocols, I’d recommend Automotive Management Institute’s (AMI) latest online course, “Management’s Guide to Scanning and New Technology.” It is a terrific overview of why post-collision scanning is important and highly effective in getting the process started. The 108minute course is reasonably priced at under $50. AMI is a non-profit where the funds go back to creating more valuable content to help auto repair shops. Even shops with a diagnostic scanning program already in place would stand to benefit from the AMI content. Some insurance companies have taken the cue and are having their personnel take the course. Go to: www .amionline.org Jeff Peevy, president of AMI, recently made a brief appearance with me at asTech™ maker, Collision Diagnostic Service’s booth at the 40th Annual AASP/NJ NORTHEAST® Automotive Services Show in March.

Booth visitors were introduced to the AMI course and also learned how the asTech™ remote diagnostics solution offers numerous benefits to their collision repair business. The AMI course was awarded in hourly drawings, the conversation was lively and the interest in pre- and post-repair scanning seemed strong.

I-CAR® offers new courses on diagnostics, calibration and scan tools as part of its “Vehicle & Technology Specific Training.” Also, the newest edition of its “Vehicle Technology and Trends” course is available. Savings of 10-15% may be had when choosing from multiple course packages options. Go to: www.i-car.com/Vehicle Technology Last Battle Cry Automakers have clearly shifted liability onto the shoulders of the collision

www.autobodynews.com

62 MAY 2017 AUTOBODY NEWS | www.autobodynews.com

repair industry in a move that I anticipated in an article in the insurance press last May. The pre- and post-scan revolution is here. The first shot across the bow was fired by FCA Group, LLC. (formerly Chrysler Group, LLC.) with their position statement, one month after my article appeared, in June 2016. Since that time, a half dozen more automakers have joined the fray and issued their own statements.

Collision repairers still on the sidelines should know that this is not the equivalent of ‘bringing a knife to a gunfight.’ Quite the contrary. There are stockpiles of ammunition in the form of automaker position statements with a war chest of educational articles, learning courses and industry pundits to lend battlefield support.

In the midst of this diagnostic scanning revolution, collision repairers must decide whether they are going to take the customer back in the name of safe and proper repairs or take cover and wave the white flag. Any liabilityconscious shop owner out there knows there is only one correct choice to make. Be one of the smart ones and join the Pre- and Post-Scan Revolution today. Your customers deserve nothing less.

Gene Bilobram has been an automobile physical damage appraiser for over 25 years. His company, Lacey Appraisal Service, Inc. is a physical damage appraisal, consultancy and manufacturers’ rep firm serving the collision repair and insurance industries. He may be reached at (609) 384-8093 or at laceyappraisal@ aol.com to discuss the latest shop tools and solutions in the pre- and post-repair scan revolution. His company is Manufacturer’s Representative for the leaders in post-collision remote vehicle diagnostics and systems calibrations. Gene will personally refund the purchase price of AMI’s scanning course to anyone who takes the course and later purchases any of the post-collision products or services he has to offer. Some restrictions apply. Contact him today for an updated OEM Scan Chart, email alerts, shop diagnostic program assistance and valuable insights into the often challenging process of insurance company reimbursement.

The opinions expressed are that of the author and not necessarily the opinion of any of the companies, individuals or organizations mentioned herein or of this publication.

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NABC Opens Nominations for Awards to Recognize Professionalism and Integrity in the Collision Industry The National Auto Body Council has announced that online nominations are now open for its Annual Awards Program, which recognizes individuals

and businesses that exemplify the professionalism and integrity of the colli-

sion industry.

“We have many heroes who work tirelessly and give generously of their time, talent and resources to promote the professionalism and integrity of our collision industry,” said Marie Peevy, Chair of NABC’s Awards Program. “We want to hear more about these individuals, who they are, hear their stories, so that we can recognize and honor their efforts.”

Winners of the NABC awards will be announced at the Collision Industry Conference during the SEMA Show in November in Las Vegas.

Nominations are being accepted in three award categories: The Award of Distinction recog-

nizes individuals for bravery, philanthropy, charity and selfless acts of kindness. It transcends the rigors of daily business to uncover those helping the world around them without a thought of recognition for themselves. Any individual, business organization, or group employed in a collision industry-related segment, such as collision repair facility, vehicle manufacturer, supplier/vendor, educator, insurer, independent appraiser or trade association is eligible to be nominated.

The Body Shop Image Award recognizes the most significant improvements made to a shop’s interior and exterior. Any body shop completing a remodeling during the calendar year

AMi Offers Online Enterprise Rent-A-Car ARMS® Automotive Suite Training

The Automotive Management Institute (AMi) has announced a new online course, teaching the proper use of Enterprise Rent-A-Car’s ARMS® Automotive Suite. The new course, developed by Enterprise, is designed for collision repair specialists to teach them how to use the ARMS program or to improve their functional knowledge of it. “The new course is a result

of AMi’s ongoing collaboration commitment to bring relevant administrative training to the industry,” said AMi President Jeff Peevy. “We appreciate Enterprise for its support and interest in working closely with us.”

The new online course offers one AMi credit hour towards the achievement of the institute’s Customer Service Certificate, and professional designa-

tions: Accredited Automotive Office Manager (AAOM), Accredited Automotive Manager (AAM), Accredited Master Automotive Manager (AMAM) and soon to be released, Accredited Collision-Repair Estimator (ACE) and Accredited Master Collision-Repair Estimator (AMCE).

In 1994, Enterprise created the Automated Rental Management System

2016 is eligible to be nominated. One winner and three runners-up will be recognized.

The Excellence in Community Service Award celebrates outstanding charitable efforts and volunteerism by collision industry individuals and businesses. The award recognizes exceptional service initiatives that improve the quality of life for individuals or the community at large.

Online nominations and more information for all three awards are available at www.NationalAutoBodyCouncil. org.

For more information contact Marie Peevy, Awards Program Chair, at marie .peevy@automotivetrainingcoordinators .com or 630-881-7945.

(ARMS®) to help insurance companies simplify the process of managing replacement rental cars for policyholders.

ARMS data helps collision repair centers increase operating efficiencies, enhance customer service and streamline communications with insurance companies and customers.

For more information, visit www .amionline.org.

TechnaGlass Purchases Ohio and Utah Franchises

TechnaGlass has reported that it has purchased the Cincinnati, Ohio and St. George, Utah franchises of TechnaGlass as part of its strategy to operate and develop company-owned units.

In Ohio, Joe Dills, the former TechnaGlass franchisee, will remain with the company and will oversee sales and marketing as Area Development Manager. The company will retain all employees and continue operations in Milford, Ohio. In St. George, Utah, TechnaGlass will also continue to operate at its current location and with existing staff.

These transactions are part of the company’s strategy to accelerate its growth through the acquisition of existing franchises in addition to rapid, regional corporate expansion.

“These deals allows us to accelerate our plans to open TechnaGlass retail locations throughout the country that are corporate-owned and operated,” said Troy Mason, CEO and Founder of TechnaGlass. “We anticipate opening new locations in Ohio and Kentucky in the near future.”

TechnaGlass provides high quality auto glass repair and replacement services in 11 states and 42 retail locations, along with its fleet of dis-

patched mobile technicians. TechnaGlass has serviced over 2 million customers since its inception in 1991 by providing outstanding customer service and guaranteeing its workmanship.

In addition to a large retail consumer base, TechnaGlass provides services to a diverse commercial account base including auto dealerships, municipalities, school systems, car rental firms, and fleet services companies. TechnaGlass is accredited by every major insurance provider, allowing direct billing and electronic reimbursement of claims, which is hassle-free for consumers.

Now in its 26th year, TechnaGlass has grown from a small familyowned auto glass company to become one of the largest regional auto glass repair and replacement companies in the United States. TechnaGlass is committed to pleasing its customers and providing a safe and high quality installation experience. TechnaGlass uses OEM materials and adheres to AGRSS (Auto Glass Repair Safety Standard), which is the accepted industry benchmark.

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AkzoNobel Signs on as Platinum Sponsor for Women’s Industry Network AkzoNobel, the global decorative paints, coatings and chemicals company, is celebrating Women’s History Month by announcing that it is the Platinum Sponsor for the non-profit Women’s Industry Network (WIN).

nent of our industry and the advancement of diversity within it,” said Holmberg. “Many of WIN’s founders and current leaders were first recognized by AkzoNobel through the Most Influential Women in the Collision Repair Industry program, began in 1999; and, today administered

WIN is dedicated to encouraging, developing and cultivating opportunities to attract women to vehicle collision repair. WIN recognizes excellence, promotes leadership, and fosters a network among women who are shaping the industry.

Doug Holmberg, Vehicle Refinishes Business Director for AkzoNobel in North America, says that he is extremely proud of AkzoNobel’s longstanding relationship with WIN. “AkzoNobel is a strong propo-

under the stewardship of WIN. As a result of this history, we were the first and primary corporate mentor for WIN as it aspired to be the only association in the North America collision repair industry specifically focused on the advancement of women at all strata. This sponsorship demonstrates our appreciation of their work.”

The WIN organization is currently in growth mode, as companies representing every segment of collision repair around the world are be-

American Honda Releases New ProFirst Logo for Better Brand Recognition

by Chasidy Rae Sisk

American Honda released a refreshed logo for its ProFirst certified shops in mid-March to help promote brand recognition. The new design includes the Honda Automobile Division marque and the Acura Division marque on either side of the ProFirst logo. Honda decided to revamp their ProFirst logo after learning that many shops were

not advertising their certified status because consumers didn’t affiliate the design with the manufacturers; the new design will be more easily identifiable to Honda and Acura owners.

According to Leigh Guarnieri, Collision Marketing Manager for American Honda, “This is consistent with the logo design format used by other OEs. This is a positive step for everyone, making the ProFirst shop more recognizable to Honda and Acura owners.” ProFirst program administrator Gary Ledoux adds, “Honda and Acura owners are some of the most loyal followers of a car brand in the industry. They recognize the Honda and Acura marques and know they stand for quality - in the car they drive, the

Honda and Acura dealerships where they have their cars serviced and now at the dealers and independent shops where they have collision damage repaired. ProFirst shops displaying the new logo may have a better chance of attracting Honda and Acura owners needing collision repair work.” Since the new logo may present placement challenges since it is quite long and cannot be altered in any way, the existing logo may also be used to officially signify a ProFirst shop. Both versions of the logo are available in a variety of color combinations. ProFirst shops will have exclusive access to the new logo in digital form to use in marketing materials, and now ProFirst shops will begin receiving their plaques and signs with the new logo in May with current certified shops receiving the updated signage as they renew their certifications. As such, Honda anticipates it will take approximately a year to complete the changeover. The new logo will be available on the CRN website in the near future, but certified ProFirst shops who went to starting using the new logo right away can email profirst@ ahm.honda.com with subject line “logo” to receive the logo in JPG, PDF, EPS or Adobe Illustrator format.

68 MAY 2017 AUTOBODY NEWS | www.autobodynews.com

coming members. Susanna Gotsch, chair of WIN’s Sponsorship Committee, says that their growth is made possible through the support of organizations like AkzoNobel.

“We are happy to support such a worthwhile organization,” said North American Marketing Manager for AkzoNobel Vehicle Refinishes Jennifer Solcz when announcing the $25,000 sponsorship. “In addition to providing financial support, AkzoNobel employees are actively involved with WIN. Past employees served on WIN’s founding Board of Directors and we have several current employees working to advance the association through their involvement on various committees.”

“The importance of WIN’s mission to our industry is reaffirmed by the tremendous support we have received from our sponsors,” said Gotsch. “At WIN, we provide a unique industry setting where women can connect with peers in the industry to share different perspectives, challenges and ideas to improve the industry.”

For more information, visit www .akzonobel.com.

www.autobodynews.com

Caliber Collision Sets Challenge to Collect 5 Million Meals for Children This Summer

In its ongoing commitment to fight childhood hunger, Caliber Collision is raising the bar with a goal to collect 5 million meals during its 6th Annual Restoration Food Drive, from April 17 to May 19, benefitting 49 food banks across the country.

As the largest collision repair company in the U.S, Caliber is partnering with its network of teammates, customers, business partners, schools and local communities to increase the number of meals collected in 2017 by 60%%. Caliber’s annual Food Drive is a grassroots effort driven by teammates nationwide who challenge each other in friendly competitions while hosting a wide variety of activities that engage and encourage their local communities to donate cash and food items. Collection centers are set up at each of Caliber’s 488 store locations across 17 states. Cash donations can also be made online at www.CaliberDonations.com.

Caliber Collision has committed to a corporate matching contribution for local food banks based on the amount of cash donations and food items collected by Caliber teammates across each local community.

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Enterprise Holdings Increases Support of SCRS; Established New Corporate Membership Enterprise Holdings Inc. has been announced as the newest Corporate Member of the Society of Collision Repair Specialists (SCRS), upgrading from a Company Membership which has been in place since 2013. Enter-

prise Holdings, through its regional subsidiaries, operates the Enterprise Rent-A-Car, National Car Rental and Alamo Rent A Car brands and delivers a comprehensive portfolio of transportation solutions, including car rental, car sharing, vanpooling, car sales, truck rental, online ride-matching and affiliated fleet management services.

“Our company was founded on a set of values, and one of those centers around the success we’ve experienced through listening to our customers and always looking for new ways to meet their needs,” said Dan Friedman, Assistant Vice President for Enterprise Holdings’ Insurance Replacement Division (Collision Industry) in North America. “I think collaborating with

a well-connected organization like SCRS provides an amazing opportunity to hear from a wide cross section of customers and, in turn, become a better informed and more valuable industry partner.”

Collaborative work in an effort to create a more informed industry isn’t a new objective for SCRS and Enterprise, but rather an ongoing approach that both groups have worked to cultivate.

“We’ve seen the benefits that come from bringing everyone’s strengths together,” added Friedman.

“We think the industry and our mu-

tual customers benefit even more with increased collaboration among all of the various stakeholders in our industry.”

“It’s always rewarding to have such respected entities within the industry both offer more support to the

PARTS Act Reintroduced in Congress, Claims Motoring Consumers will Choose Quality, Affordable Crash Parts

Promoting Automotive Repair, Trade and Sales Act of 2017 (PARTS Act), was introduced in Congress April 3.

The bi-partisan, bi-cameral bills (H.R. 1879/S. 812) would expand consumer choice for automotive collision repair parts, cut costs paid by motoring consumers and insurance companies, and increase competition.

Senate sponsors are U.S. Senators Orrin Hatch (R-UT) and Sheldon Whitehouse (D-RI), and lead sponsors U.S. Representatives Darrell Issa (RCA) and Zoe Lofgren (D-CA), with

original cosponsors Reps. Blake Farentold (R-TX), Steve Cohen (D-TN), Scott Perry (R-PA) and Jim Langevin (D-RI).

The PARTS Act would narrowly amend U.S. design patent law to reduce, from 14 years down to 2.5 years, a car manufacturer’s design patent on collision parts.

“According to a study by Microeconomic Consulting & Research Associates, consumers will realize a savings of $1.5 Billion a year by having the ability to purchase high quality, but less expensive, aftermarket collision parts when their vehicles have been involved in an accident,” said Ray Pohlman, president of the Coalition for Auto Repair Equality (CARE). “The automotive aftermarket wishes to thank the House and Senate sponsors for their leadership in doing what’s right for America’s motoring consumers.

“We hope that House Judiciary Chairman Bob Goodlette (R-VA) and Senate Judiciary Chairman Charles Grassley (R-IA) will hold hearings as soon as possible in order to progress the bills for consumers,” concluded Pohlman.

70 MAY 2017 AUTOBODY NEWS | www.autobodynews.com

work we undertake on behalf of our members, as well as actively seek more opportunities to collectively put our unique resources to work,” offered Andy Dingman, SCRS Chairman. “As the challenges the industry faces evolve, having organizations like Enterprise as a highly participatory member opens up the types of constructive dialogue that can take place, and solutions we can explore.

This may present itself in a variety of ways, and we are interested in the potential.”

“Technology is only going to become more complex and more critical to our mutual success in both the near and long term,” added Friedman. “We believe collaborating with SCRS on a variety of fronts has the potential to produce significant upside for the industry, and we are excited at what can be.”

Through its direct members and 40 affiliate associations, SCRS is comprised of 6,000 collision repair businesses and 58,500 specialized professionals who work with consumers and insurance companies to repair collision-damaged vehicles.

Additional information about SCRS including other news releases is available at www.scrs.com.

Axalta Launches Imron 8460S Clearcoat for Commercial Transportation Market

Continuing its tradition of developing next-generation high performance coatings, Axalta Coating Systems recently introduced Imron® Elite 8460S™ Clearcoat – its newest premium clearcoat for commercial vehicle customers in North America.

Imron Elite 8460S is a two-component, low volatile organic compound (VOC), high solids polyurethane clearcoat.

Designed to improve vertical sag stability, Imron Elite 8460S clearcoat is formulated to deliver a high-quality appearance while reducing cycle time due to its fast cure rate. Imron Elite 8460S clearcoat can be used over all approved commercial finish base coats. Suggested applications for the coating include fire and emergency vehicles, heavy duty trucks, and other commercial vehicles. It is also ideal for customers with air-dry or force-dry capability that desire a premium appearance without sacrificing robustness.

Six of the seven Class 8 heavy duty truck manufacturers in North America use Axalta’s premium line of Imron Elite coatings. For more information on Imron Elite or Axalta’s full range of commercial vehicle products, visit www.axalta.us/transportation.

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Chief® University Introduces Industry’s First Joining Technologies Class Chief University introduces the first all-encompassing, hands-on collision repair class focused on joining technologies. The one-day Chief University Joining Technologies class is designed to provide estimators and ap-

and provides the most hands-on classroom environment we have ever delivered.”

The Joining Technologies course is a combination of classroom and hands-on experiences in several new joining disciplines. Each student will have the opportunity to participate in the following exercises:

Standards. The new Chief University Joining Technologies class is approved for I-CAR credit hours through the I-CAR Industry Training Alliance® program. Cost for the eight-hour class is $395.

■ Perform steel and aluminum welding and brazing, using Chief’s virtual welder.

praisers a thorough understanding of the current welding, riveting and adhesive bonding and removal technologies being used in today’s shops.

“We are constantly updating the training curriculum at Chief University to keep pace with the OEM changes in vehicle design, technology and materials,” said Ken Boylan, global training manager. “Chief is proud to be the first in the industry to offer the opportunity to study and understand the joining technologies OEMs are requiring and want to see implemented in vehicle repair. This class is designed for all skill levels, from first-timers to experienced appraisers and estimators,

■ Install and remove self-piercing rivets and flow-form screws.

■ Install blind rivets.

■ Perform structural weld bonding and debonding.

Chief University introduces the industry’s first Joining Technologies class, covering welding, brazing, riveting, weld bonding and more

■ Perform spot welds with and without adhesive.

■ See a demonstration of carbon fiber repair.

Chief University training is certified by the National Institute for Automotive Service Excellence (ASE) for compliance with the Continuing Automotive Service Education (CASE)

The next Joining Technologies will be offered April 13 in Lewis Center, Ohio. Chief University class offerings are updated frequently. For the most up-to-date schedule, course descriptions and to register, visit www .vsgdover.com/training/ViewAvailable Classes.aspx?PL=2.

For more information, visit www.chief automotive.com.

GYS Wins Tesla Approval

GYS has announced that their NEOPULSE 300-T2 Pulse MIG Welding machine has been approved

by TESLA for aluminium welding for structural repairs to the vehicle manufacturer’s Model S and Model X cars. The NEOPULSE 300-T2 is a MIG/MAG inverter, offering up to 270A and high duty cycle, pulse in pulse welding. According to the company, a key feature of the machine is that it offers 2 torch operation so can be simultaneously set up to weld 2 metal types. An advanced yet easy to use LCD control panel offers a user-friendly interface. Neil Pulsford, GYS UK Commercial Director commented, “We are delighted to win this approval from Tesla, a company that is moving forward very quickly and is building a body repair network to operate at the highest standards in repairing Aluminium.” The approval follows other recent endorsements for the Neopulse range from Mercedes as well as from Ford Motor Company and Volkswagen Group for other welders in the GYS range. GYS is French family-owned industrial group which manufactures three product families: industrial welding machines, battery maintenance equipment and auto body welding equipment.

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ASA Promotes National Car Care Month www.autobodynews.com

The Automotive Service Association (ASA) is celebrating April as National Car Care Month by supporting the national “Be Car Care Aware” public service campaign by

the Car Care Council. The monthlong campaign is a national effort by industry-leading organizations to draw attention to the importance of having consumers get their vehicles professionally checked and serviced in preparation for the summer travel season.

ASA’s support of the campaign includes distributing information in its publications and online media and encouraging its 16 affiliated organizations to promote the campaign in member-shops across the nation.

“National Car Care Month in April is a great opportunity for ASA members to take advantage of the national exposure and reach out to their customers to explain the importance of proper vehicle mainte-

nance,” said Tony Molla, ASA vice CHECK IT OUT! president.

“The resources available through the Car Care Council can help set up an event providing free check lanes for consumers to have their vehicle inspected for common problems and provide an opportunity to demonstrate the value those businesses provide to their local communities.”

Additional information about To advertise the campaign and the Car Care call Advertising Sales at: Council is available at www.car800-699-8251 care.org, including in-depth vehicle service information and videos. By e-mail: following the Car Care Council on advertising@autobodynews.com Facebook, Twitter and YouTube, motorists will receive quick car care www.autobodynews.com tips and reminders.

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www.autobodynews.com | MAY 2017 AUTOBODY NEWS 73

Registration Opens for AAPEX 2017 in Las Vegas

Online attendee registration for AAPEX 2017 is now open at www .aapexshow.com/news. AAPEX represents the $740 billion global automotive aftermarket industry and will take place Tuesday, October 31 through Thursday, November 2 at the Sands Expo in Las Vegas.

AAPEX online registration is

only $40 (US) through Friday, October 13. Registration includes the expo with more than 2,200 exhibitors displaying new products and technologies to diagnose, service and maintain the nearly 1.2 billion vehicles on the road today. Registration also includes New Product and New Packaging Showcases and awards, a General Session keynote address, Let’s Tech presentations, and AAPEXedu sessions, including a Service Professionals Program and a REMANedu Conference. With an AAPEX badge, buyers have the opportunity to network with 44,000 targeted buyers and visit the SEMA Show, a separate event taking place in Las Vegas

the same week as AAPEX. The fee for registering via fax or mail, instead of online, is $65 (US) through October 13. After that date, online and onsite registration will be $90 (US) and $115 (US) for fax or mail registrations.

Registration for approved and credentialed media is free and can be completed at www.aapexshow.com /media.

In addition to registering early for AAPEX, attendees also should reserve their hotel rooms now for discounted rates at www.aapexshow .com/rooms. Attendees are encouraged to use only onPeak, the official hotel partner of AAPEX, to ensure the lowest rates at conveniently located hotels in Las Vegas.

Approximately 158,000 automotive aftermarket professionals from more than 140 countries are projected to be in Las Vegas during AAPEX and the SEMA Show.

AAPEX is co-owned by the Auto Care Association and the Automotive Aftermarket Suppliers Association (AASA), the light vehicle aftermarket division of the Motor & Equipment Manufacturers Association (MEMA).

For more information, visit www .aapexshow.com.

YANG Announces Next Step Program Scholarship Winners

The Young Auto Care Network Group (YANG) has announced the 2017 Auto Care Association Next Step Program honorees. Eleven young industry professionals will receive $1,100 scholarships to attend Auto Care Association Spring Leadership Days, May 3-5 at the Grand Hyatt in San Antonio, Texas.

sociation and various aspects of the industry work. Scholarships are made possible by the support of the Automotive Warehouse Distributors Association (AWDA), the Manufacturers’ Representatives Council and YANG.

The 2017 recipients are:

Erin Anderson, BBB Industries Hunter Brack, Hirsig-Frazier Company Inc. Isabel Burton, The NPD Group Kyle Ryan Byrne, Arnold Motor Supply Chris Castillo, tascosalesreps Jonny Dykstra, Auto-Wares Group of Companies Mario Garza, XL Parts Angela Golden, NGK Spark Plugs Charlotte Grimmett, Aftermarket Auto Parts Alliance, Inc. Sam Pennington, Valvoline Nolan Sponseller, Best One Tire of Upland

The Next Step Program offers future leaders in the auto care industry opportunities to experience how the as-

“These young people are our industry’s future and it is important for them to witness in person how thought leaders come together to discuss strategy and the direction of the auto care industry,” said Bill Hanvey, president and CEO, Auto Care Association. “The Next Step Program allows participants the chance to see the value of volunteering their time and expertise to participate in their industry’s trade association.”

More information about the program can be found at www.autocare .org/yang.

2017 SEMA Board Candidates, Election Details Available

by SEMA Editors

The following is the slate of candidates vying for a seat on the SEMA Board of Directors: Chair-elect Category (one open seat) • Mitch Fogle, president and CEO, Lund International

• Dennis Weese, president, LINE-X

Voting will take place online May 10–24, 2017, and is open to current SEMA-member companies. Votes must be cast by each company’s primary contact. Details with ballots and

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• Tim Martin, vice president, K&N Engineering Distributor/Retailer Category (one open seat)

• Greg Adler, CEO, Transamerican Auto Parts

• Brian Lounsberry, CEO, Motovicity Distribution Manufacturers Category (one open seat)

• James Lawrence, CEO, Power Automedia

• Shahriar “Nick” Niakan, president and CEO, Advanced Flow Engineering Inc. (aFe Power)

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The current SEMA Board of Directors led

by Chairman Doug Evans (front center).

links will be sent to the member company’s designated primary contact beginning on April 28. Winners will be announced by May 30 and formally introduced at the SEMA Installation Gala July 28.

For more information about the 2017 SEMA Board of Directors election, contact Susan Alfonso at 909978-6671 or susana@sema.org.

74 MAY 2017 AUTOBODY NEWS | www.autobodynews.com

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I-CAR® Honors Chuck Sulkala With Lifetime Contribution Award Chuck Sulkala, past chairman of the I- Chairman, Collision Industry ConferCAR International Board of Directors, ence (CIC) and chairman of numerwas awarded the Lifetime ous CIC committees Contribution Award in recogFounder, President and curnition of his years of dedirent Executive Director, cated leadership and service National Auto Body Counto I-CAR, and his passion cil (NABC) and commitment to excelVice-Chairman, I-CAR Edlence in the collision indusucation Foundation, now try. This award was presented the Collision Repair Educaat the recent 2017 I-CAR Voltion Foundation, and curChuck Sulkala unteer and Instructor Conferrent Trustee Emeritus file photo ence held in La Jolla, CA. Collision Division Steering “Chuck is still active on several Committee, Automotive Service AssoBoard Committees for both I-CAR and ciation (ASA) the Collision Repair Education Founda- Board of Directors, Collision Industion,” said I-CAR International Board try Foundation of Directors Chairman Jim Roach.

“His knowledge of the industry, I-CAR As a speaker and consultant, Sulkala and overall governance makes him a has been featured at NACE on more tremendous asset.” than 10 different occasions, and has Since taking over his family- been an educational consultant and owned business 45 years ago, Sulkala speaker for companies as diverse as has held a number of industry leader- 3M, Dawn Enterprises, AKZO Coatship positions, including serving as: ings, CARSTAR Automotive, CCC Information Services, Body Shop Chairman, Inter-Industry Conference Video, DuPont Refinishes, Processon Auto Collision Repair (I-CAR) Claims, Sherwin-Williams AutomoChairman, I-CAR Canada tive, Injury Sciences, CompEst Inc., President, Massachusetts Auto Body Modine Manufacturing, Auto Watch, Association (MABA) Verifacts, Proliance Int., I-CAR, and Chairman, Society of Collision Re- Allstate Insurance. He has conducted pair Specialists (SCRS) over 150 three-day seminars across

I-CAR® Offers New Online Cycle Time Course for Appraisers

In today’s business environment, efficiency is essential to bottomline performance, and reducing cycle time is one of the most powerful ways to increase efficiency in a collision repair facility. I-CAR has launched a new online course

on the topic specifically focused for auto physical damage appraisers (APDAs).

The course, Understanding Cycle Time as an Appraiser (AP05-5E01), was designed specifically to provide APDAs with an understanding of cycle time as it relates to the collision damage repair process.

The development of this course is part of I-CAR’s new approach to place an even greater emphasis on the perspective of each course’s intended audiences. In this case, the course was created with an additional focus on the specific needs of

APDAs. Conveniently offered in a onehour, online format, the course will help the APDA identify how to measure cycle time, identify waste in the repair process, and learn how standard operating procedures can be used to create a consistently high-quality repair process.

The course also presents APDAs with a basic understanding of repair blueprinting and 100 percent teardown, both of which can be beneficial for improving cycle time, as well as information on supplements and their impact on cycle time.

For more information on Understanding Cycle Time as an Appraiser (AP055E01), visit I-CAR.com or call (800) ICAR-USA.

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76 MAY 2017 AUTOBODY NEWS | www.autobodynews.com

North America in the 3M/ARMS Management Workshop program.

Sulkala has been honored as “Man of the Year” by the Massachusetts Auto Body Association and “Collision Executive of the Year” by BodyShop Business magazine, and received the “Industry Achievement Award” from SCRS. He was also named Honorary Life Member of NABC; a Hall of Eagles recipient; recognized with the ASA 2001 Humanitarian Award, and Automotive Body Repair Network (ABRN) recognized him as one of the Collision Industry’s 25 Movers and Shakers of the 20th Century. He was the first recipient of the Collision Industry Conference Chairman’s Award recognizing a lifetime of service to the collision industry.

In addition, he has also been recognized by both ABRN and SCRS for lifetime achievement awards.

“Chuck has always been willing to go the extra mile for our industry,” said I-CAR CEO & President John Van Alstyne. “He was very involved with our Professional Development Program transition a few years back; bridging the gap between I-CAR and repairers to ensure we got the program right. Chuck’s decades of support for I-CAR and the entire industry have had a tremendous and lasting impact.”

Parts You Need.

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Apply for Auto Care Internship Scholarships by May 1

Applications for the Auto Care Careers Internship Scholarship program are due by May 1, 2017. The scholarships provide financial support for students that have secured an internship in the auto care industry.

Auto Care Careers Internship Scholarships are valued up to $2,500 and are intended for those enrolled in internship programs with direct application to the auto care industry and working in fields such as engineering, supply chain management, information technology, finance, sales and marketing, and other business functions. The scholarships help ease the financial burden of temporary relocation for interns traveling more than 100 miles from their permanent address to the internship, including the costs of travel, lodging, utilities and meals during the internship period.

To apply for one of the 22 available Auto Care Careers Internship Scholarships, interns should visit the “Get Started” section of the AutoCareCareers.org website.

For information about careers and internships in the auto care industry, visit www.autocarecareers.org or contact Katy McQuiston at katy .mcquiston@autocare.org.

Shift into Genuine Nissan and Infiniti OEM Parts

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www.autobodynews.com | MAY 2017 AUTOBODY NEWS 77

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AkzoNobel Rejects Another Unsolicited Proposal from PPG AkzoNobel has announced that it has rejected a second unsolicited, non-binding and conditional proposal of 20 March from PPG Industries Inc. for all of the issued and outstanding ordinary shares in the capital of AkzoNobel.

The proposal not only fails to reflect the current and future value of AkzoNobel, it also neglects to address

the significant uncertainties and risks for shareholders and other stakeholders.

The Management Board and Supervisory Board of AkzoNobel, together with their financial and legal advisors, have thoroughly reviewed the second proposal taking into consideration the interests of AkzoNobel’s shareholders, customers, employees and other stakeholders.

The revised proposal represents a

value of €88.72 (adjusted for final dividend) consisting of €56.22 (adjusted for final dividend) in cash and 0.331 PPG shares, as at 20 March 2017, per AkzoNobel share.

The proposal does not address the concerns expressed by the Boards in their initial rejection of 9 March 2017.

The revised proposal:

1. Is not in the best interests of shareholders. It substantially undervalues AkzoNobel and fails to reflect the value creating opportunities of the new strategic direction and focus for both the Specialty Chemicals and the Paints and Coatings businesses, allowing them to build further on their respective leadership positions.

2. Contains significant risks related to the increased stock component and the high leverage of the proposed combined businesses.

3. Would result in a large number of substantial divestitures due to the major geographical and segment overlap of both companies across Decorative Paints and Performance Coatings, bringing into question value leakage.

It does not address the significant risk and uncertainty, including timing, of

deal completion due to extensive antitrust concerns. These anti-trust issues would have a significant negative impact on employees and customers which will affect the integrity of AkzoNobel.

4. Will lead to significant job cuts.

It includes synergies which can be expected to result in the restructuring of

the combined employee base, leading to job losses. PPG provides no substantive commitments to employees, creating potential uncertainty for thousands of jobs worldwide.

5. Does not address fundamental stakeholder concerns and uncertainties, nor does it substantiate any tangible solutions in relation to, among others, R&D, pensions and employees.

6. Does not meaningfully address our concerns regarding community

Maryland

The unsolicited proposal does not warrant AkzoNobel’s engagement with PPG. The Boards unanimously reject PPG’s revised proposal.

Ton Büchner, CEO, AkzoNobel:

“This proposal significantly fails to recognize the value of AkzoNobel. Our Boards do not believe it is in the best interest of AkzoNobel’s stakeholders, including our shareholders, customers and employees. That is why we have rejected it unanimously.

“We are convinced that AkzoNobel is best placed to unlock the value within our company ourselves. We are executing our plan, including the creation of two focused businesses and new cost structure, and believe this gives us a strong platform for continued profitability and long term value creation for all our stakeholders with substantially less execution risks.”

AkzoNobel will provide updated financial guidance and hold an upcoming investor event soon. Details of the event will be announced in due course.

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contribution and sustainability and the significant culture gap between both companies, including how any issues arising from this would be addressed.

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For Your Collision Job Visit these Genuine Hyundai Parts Dealers www.autobodynews.com | MAY 2017 AUTOBODY NEWS 79

80 MAY 2017 AUTOBODY NEWS | www.autobodynews.com