Northeastern December 2015 Issue

Northeastern Edition New York Delaware New Jersey Pennsylvania

Maryland Connecticut Rhode Island Massachusetts

34

YEARS

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Jay Leno Receives Token of Appreciation from BASF During SEMA 2015

by Stacey Phillips, Assistant Editor

Jay Leno, legendary comedian and host of Jay’s Leno’s Garage, received a special token of appreciation from BASF during SEMA 2015.

Fans gathered at the BASF booth on November 4 while Dan Bihlmeyer, BASF’s North A- Jay Leno and the BASF Refinish team at SEMA 2015 merican marketing manager, his preference for BASF products. presented a signature leather jacket to “I’ve been using their products for Leno, who has a collection of 140 cars years and years,” said Leno. “It’s fun of his own. to have this kind of relationship. It’s Autobody News asked Leno about See Jay Leno, Page 18

CIC Debates How to Define a ‘Class A’ Shop—And If Such a Definition is Even Needed

See CIC debates, Page 48

P.O. BOX 1516, CARLSBAD, CA 92018

Whether the 2013 version of the Collision Industry Conference (CIC) definition of the “Minimum Recommended Requirements for a ‘Class A’ Collision Repair Facility” is up-to-date given changes in vehicle and repair technology was not up for debate at the latest CIC in Las Vegas in November.

Randy Stabler “We have a wholly inadequate Class A shop definition today,” CIC Chairman Randy

Stabler said. “Things are moving a lot faster than we are. So we need to keep up.”

But a number of representatives of the Society of Collision Repair Specialists (SCRS) argued at the meeting that there is no longer much of a need for the document at all.

“The real-world situation is this Class A definition is irrelevant in today’s market,” SCRS board member Dusty Womble of Roger Beasley Collision Center in Austin, Texas, said.

“The cars have changed. The [automaker shop certification] programs have changed. There’s really not a

Change Service Requested

by John Yoswick

VOL. 6 ISSUE 9 DECEMBER 2015

Winning SEMA New Product Awards Can Be Life Changers

by Ed Attanasio

Capturing an award in the Specialty Equipment Market Association’s (SEMA) New Products Showcase can be a life changing experience for manufacturers that are looking for a fast track to success. Years of research and development coupled with hard work and buoyed by the spirit of entrepreneurship, these awards are given to the most innovative and cutting-edge new automotive aftermarket products in the industry today, judged by some of the biggest names in the automotive world.

On Nov. 3 at SEMA’s opening breakfast, a handful of companies from all over the world received these highly coveted awards announced at a ceremony rivaling the Academy Awards. By just being associated with the SEMA brand, companies can gain instant cred-

ibility and fast track their journey to success.

The Collision Repair & Refinish Product First place winner went to Innovative Tools and Technologies, Inc. for the Scangrip Sunmatch Color Match LED. From left, General Manager Jason Cox and Scangrip’s Marketing Manager Hanne Nadolny.

Nearly 2,000 products were entered into 16 different Showcase categories to be considered for SEMA New See SEMA New Product Awards, Page 54

NY Swindler Guilty in No-Fault Auto Insurance Scam that Cost $118M A New York man was found guilty last week in what authorities say was the largest single no-fault automobile insurance fraud scheme ever.

Michael Danilovich, 41, of Brooklyn, N.Y., was found guilty on racketeering conspiracy, securities fraud, health care fraud, mail fraud, wire fraud, and money laundering charges following a five-week jury trial before U.S. District Judge Deborah A. Batts.

According to U.S. Attorney Preet Bharara, Danilovich was responsible for the payment of more than $100 million in fraudulent medical treatments by insurance companies, and swindling investors out of another $18 million.

The federal jury convicted Danilovich of racketeering arising out of his operation, from 2007 through 2012, of the largest single no-fault automobile insurance fraud scheme ever charged; his operation, from 2007 to 2009, of two investment fraud schemes, Lyons Ward & Associates and the Rockford

Group; and his attempted operation, from 2011 to 2012, of a third investment fraud scheme, Baron & Caplan, including after he was arrested and released on bail in this case.

According to a statement, Bharara said: “Michael Danilovich has been convicted by a unanimous jury of committing several frauds. As the jury found, he took a lead role in scamming insurance companies of over $100 million in fraudulent medical treatments and in engaging in other investment scams that swindled investors out of another $18 million. Today’s verdict ensures that Danilovich will be punished for the wide-ranging frauds he perpetrated.”

According to the Superseding Indictment and evidence admitted at trial: From 2007 through 2012, Danilovich was a leader of an enterprise engaged in a pattern of racketeering that included a massive scheme to defraud See NY Swindler Guilty, Page 33

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2 DECEMBER 2015 AUTOBODY NEWS | www.autobodynews.com

REGIONAL AASP-PA Holds 8th Annual Clay Shoot, Announces Upcoming Meetings . . . . . . . . . . . . . . . . . . . 44 ABRA Auto Body & Glass Announces Wave of Expansion in Northeast . . . . . . . . . . . . . . . 4 ASA Concern Over PA House Bill 1614 . . . . . . 15 Carubba Collision Presents $10,000 Check to SPCA for New Animal Shelter Construction in Upstate NY . . . . . . . . . . . . . 20 H&V Collision Center Donates Car to NY Mother . 18 LIABRA Executive Director Informs Attendees That NY Sales Tax Department is Targeting Industry . . . . . . . . . . . . . . . . . . . . . . . . . . . 34 NY Swindler Guilty in No-Fault Auto Insurance Scam that Cost $118M . . . . . . . . . . . . . . . . . 1 Oh Deer, Bigger Bucks as Glass Damage on Rise . . . . . . . . . . . . . . . . . . . . . . . . . . . . 65 PA Body Shop Owner Addresses Markup Fees with Insurance Companies. . . . . . . . . . 10 PARTS Holds Successful Education Seminar and Tradeshow . . . . . . . . . . . . . . . . . . . . . . 50

State Farm Donates Car to CCCTC Repair Programs . . . . . . . . . . . . . . . . . . . . . . 4 Superare Marketing in CT to Host Seminar on December 5 on “Running a More Profitable Body Shop” . . . . . . . . . . . . . . . . . . . 4 COLUMNISTS Attanasio - IL Body Shop Owner Becomes Nationally Acclaimed Motivational Speaker . . . 26 Attanasio - NABC Gives Away 4 Cars at Annual SEMA Luncheon . . . . . . . . . . . . . . . 14 Luehr - A Secret to Success – Dealing with Fear . . . . . . . . . . . . . . . . . . . . . . . . . . . 16 NATIONAL 2015 VeriFacts Achievement in Collision Repair Excellence (ACE) Awards . . . . . . . . . 42 3M Automotive Aftermarket and NASCAR Announce Partnership for Five Years . . . . . . 70 Addressing Total Loss Write-Offs Needs a Triple Bottom Line Approach . . . . . . . . . . . . 62 Alcoa Awards CREF $75,000 Aluminum Training Grant . . . . . . . . . . . . . . . . . . . . . . . 64 Assured Performance Announces 5-Star Business Performance Program . . . . . . . . . 56 Assured Performance Co-Op Announces 2016 Board of Directors November 10, 2015 . . . . 44 AudaExplore Signs Agreement for GM’s MyPriceLink . . . . . . . . . . . . . . . . . . . . 3 Auto Body Repairers Team with Progressive Insurance to Donate More Than 130 Cars to Veterans . . . . . . . . . . . . . . . . . . . . . . . . . 40 Axalta Coating Systems Acquires ChemSpec USA. . . . . . . . . . . . . . . . . . . . . . 43 Car-O-Liner Welcomed Distributor and Introduced Measuring Software in Preparation for SEMA. . 57 CARSTAR CEO David Byers Discusses Acquisition and Reaction from Employees . . . . . . . . . . . . . 8 CARSTAR CEO Makes Unique Bet with Franchisee President . . . . . . . . . . . . . . . . . . 24 CCC Receives Classroom Grant Through CREF . . 42 CIC Debates How to Define a ‘Class A’ Shop— And If Such a Definition is Even Needed. . . . . 1 Determining Values for Total Loss Vehicles Often Complicated and Controversial . . . . . . 46 Driven Brands Executive Jose Costa Describes What Auto Body Shops Can Expect . . . . . . . . 9 Five Things to Know about California’s Bureau of Automotive Repair (BAR). . . . . . . . . . . . . 38 IADA Holds Northeast Fall 2015 Repair Conference in VA. . . . . . . . . . . . . . . . . . . . . 61 King of Kustomizers’ George Barris Passes Away at 89 . . . . . . . . . . . . . . . . . . . . . . . . . 64 NABR Launches Labor Rate Surveys in AZ, President Discusses Overall Findings . . . . . 68 NHTSA: Repair Shops Could Get Airbag Recall Work. . . . . . . . . . . . . . . . . . . . . . . . . 40 Nominations Open for WIN’s Most Influential Women Award. . . . . . . . . . . . . . . . . . . . . . . 27 Scott Wendel Scholarship Fund Reaches Second Milestone of $20,000 in Donations . . . . . . . 65 Tucson Customer Sues After Shop Fixes Car with Cardboard . . . . . . . . . . . . . . . . . . . . . . 68 Vehicle Software Access from Librarian of Congress . . . . . . . . . . . . . . . . . . . . . . . . 61 VeriFacts Names Recipient for Disruptive Innovation Award . . . . . . . . . . . . . . . . . . . . 56 Write it Right: Estimating Best Practices Seminar . 21

AudaExplore, a business unit of Solera Holdings, Inc. and a leading provider of software and technology solutions for collision repair and automotive insurance industries, announced on November 16 that it has signed an integration agreement to receive MyPriceLink dynamic part pricing data from General Motors beginning on December 1.

MyPriceLink is the new realtime pricing initiative that replaces GM’s monthly static price tape for its collision parts portfolio. The application was successfully piloted by collision repairers and insurers using AudaExplore’s estimating platform beginning in July 2015. As a result of this agreement, the company said that AudaExplore users will have a seam-

less workflow experience when writing estimates for Genuine GM Parts.

“A year ago the industry asked General Motors to engage collision industry stakeholders in an effort to collaborate and integrate into our design of MyPriceLink. AudaExplore stepped right up ... and we are very pleased they collaborated during this entire period; taking into account the needs of their customers, providing valuable technical assistance to the program, with the end goal being a seamless workflow solution for their customers on the AudaExplore estimating platform. It’s fully integrated into the GM MyPriceLink system,” said Kris Mayer, general director, Wholesale Channel, Customer Care & Aftersales, General Motors Corporation.

Publisher & Editor: Jeremy Hayhurst General Manager: Barbara Davies Assistant Editor: Stacey Phillips Online Editor: Victoria Antonelli Contributing Writers: Tom Franklin, David Brown, John Yoswick, Janet Chaney, Toby Chess, Ed Attanasio, Chasidy Sisk, David Luehr Advertising Sales: Joe Momber, Sean Hartman, Bill Doyle, Norman Morano (800) 699-8251 Office Manager: Louise Tedesco Sales/Research Associate: Cass Heckel Art Director: Rodolfo Garcia

Acura of Westchester . . . . . . . . . . . 12 Allstate Insurance Company. . . . . . . 9 Amato Agency . . . . . . . . . . . . . . . . 44 Atlantic Hyundai . . . . . . . . . . . . . . . 43 Audi Wholesale Parts Dealers . . . . 55 Axalta Coating Systems . . . . . . . 2, 71 Bald Hill Chrysler-Jeep-DodgeRam . . . . . . . . . . . . . . . . . . . . . . . 26 Baystate Chrysler-Jeep-DodgeRam . . . . . . . . . . . . . . . . . . . . . . . 14 BMW Wholesale Parts Dealers . 52-53 Cadillac of Mahwah . . . . . . . . . . . . 18 Car-Part.com . . . . . . . . . . . . . . . . . . 22 CarcoonAmerica Airflow Systems. . 56 Central Avenue Chrysler-JeepDodge-Ram. . . . . . . . . . . . . . . . . 32 Certified Automotive Parts Association (CAPA). . . . . . . . . . . 35 Cherry Hill Audi . . . . . . . . . . . . . . . . 21 Cherry Hill Porsche . . . . . . . . . . . . . 21 Cherry Hill Volkswagen. . . . . . . . . . 21 Classifieds. . . . . . . . . . . . . . . . . . . . 70 Clay Auto Group . . . . . . . . . . . . . . . 49 Colours, Inc. . . . . . . . . . . . . . . . . . . 15 Crashmax Equipment . . . . . . . . . . . . 8 Ditschman/Flemington Auto Group . 31 Dover Chrysler-Dodge-Jeep . . . . . . 19 Eco Repair Systems of North America, LLC . . . . . . . . . . 33 EMM . . . . . . . . . . . . . . . . . . . . . . . . 11 Empire Auto Parts . . . . . . . . . . . . . . 16 Equalizer Industries, Inc . . . . . . . . . 38 Fitzgerald’s Lakeforest HyundaiSubaru. . . . . . . . . . . . . . . . . . . . . 61 Ford Wholesale Parts Dealers . . . . 58 Fred Beans Parts . . . . . . . . . . . 25, 72 Fuccillo Kia of Schenectady . . . . . . 29 Gary Rome Hyundai-Kia . . . . . . . . . 34 GM Wholesale Parts Dealers . . . . . 60 H & S Autoshot Mfg. Co. . . . . . . . . 51 Honda-Acura Wholesale Parts Dealers. . . . . . . . . . . . . . . . . . 36-37

Serving New York, New Jersey, Pennsylvania, Delaware, Maryland, Northern Virginia, Connecticut, Rhode Island, Massachusetts and adjacent metro areas. Autobody News is a monthly publication for the autobody industry.

Permission to reproduce in any form the material published in Autobody News must be obtained in writing from the publisher. ©2015 Adamantine Media LLC. Autobody News P.O. Box 1516, Carlsbad, CA 92018 (800) 699-8251 (760) 603-3229 Fax www.autobodynews.com Email: news@autobodynews.com

Northeast

SEMA COVERAGE Apollo Sprayers HVLP Introduces Turbo Pro 3000 for Paint Savings and Eliminating Contamination . 30 Attanasio - WD-40 Unveils Two New Products at SEMA 2015 . . . . . . . . . . . . . . . 12 CAR BENCH Displays Manta - Bench Rack for All Vehicles . . . . . . . . . . . . . . . . . . . . . . 30 Chief™ Now Offers Collision Repair Frame Racks and Benches. . . . . . . . . . . . . . . . . . . 22 Garmat 2015 Sharp Shooter Contest Winners Announced . . . . . . . . . . . . . . . . . . . . . . . . . 60 GFS Demonstrates REVO Accelerated Curing Systems. . . . . . . . . . . . . . . . . . . . . . 24 Industry Awards Presented During CIC at SEMA . . . . . . . . . . . . . . . . . . . . . . . . . . . 22 ITW Evercoat Launches New Body Filler . . . . . 60 Japanese Panel Repair System Demonstrated

by Equipment Gateway's Miracle System at SEMA . . . . . . . . . . . . . . . . . . . . . . . . . . . 30 Jay Leno Receives Token of Appreciation from BASF During SEMA 2015 . . . . . . . . . . . 1 NAPA/MARTIN SENOUR Unveiled NHRA Superstars & Custom Hot Rods at SEMA . . . 51 New Chief Videos Teach Proper 2015 Ford F-150 Anchoring, Available on Chief’s Website . . . 66 Novol Introduces European Car Refinish Solutions to US & Canada . . . . . . . . . . . . . . 24 PPG Showcases Products & Painters in Mardi Gras-Themed Booth at SEMA. . . . . . . 32 Prima Welds Showcases Prima Multi Torch 5-in-1 Inverter Welders . . . . . . . . . . . . . . . . 28 Pro Spot Offers a Look at New Products at SEMA . . . . . . . . . . . . . . . . . . . . . . . . . . . 44 Race Car Driver Ashley Sanford Sign Autographs at Herkules Booth . . . . . . . . . . . 28 Ringbrothers Reveal 1965 Mustang Fastback “SPLITR” . . . . . . . . . . . . . . . . . . . . . . . . . . 58 SEMA Continues to Dazzle the Largest Crowd Ever . . . . . . . . . . . . . . . . . . . . . . . . . . 6 Sherwin-Williams SEMA Booth Devoted to Getting Collision Shops “In The Fast Lane” . . . . . . . 58 Urethane Supply Displayed 6066-CG Nitrocell Nitrogen Plastic Welder at SEMA 2015 . . . . 66 Valspar Features Celebrity Appearances at SEMA . . . . . . . . . . . . . . . . . . . . . . . . . . . . 6 Winning SEMA New Product Awards Can Be Life Changers . . . . . . . . . . . . . . . . . . . . . . 1

AudaExplore Signs Agreement for GM’s MyPriceLink

Indexof Advertisers

Contents

Hyundai Wholesale Parts Dealers . . 64 Infiniti of Norwood. . . . . . . . . . . . . . 10 J & R Auto Body Supply . . . . . . . . . . 5 Kia Motors Wholesale Parts Dealers . . . . . . . . . . . . . . . . . . . . 63 Koeppel VW-Mazda . . . . . . . . . . . . 57 Larson Electronics, LLC.. . . . . . . . . . 6 Lexus Wholesale Parts Dealers . . . 66 Martech Service Company . . . . . . . 24 Maxon Hyundai. . . . . . . . . . . . . . . . 50 Maxon Mazda . . . . . . . . . . . . . . . . . 42 Mazda Wholesale Parts Dealers . . . 69 Mercedes-Benz of Fort Washington . . . . . . . . . . . . . . . . . 46 Mercedes-Benz of West Chester . . 46 Mercedes-Benz of Wilmington . . . . 28 Mercedes-Benz Wholesale Parts Dealers . . . . . . . . . . . . . . . . . . . . 62 MINI Wholesale Parts Dealers . . . . 54 MOPAR Wholesale Parts Dealers . . 39 Nissan/Infiniti Wholesale Parts Dealers . . . . . . . . . . . . . . . . . . . . 51 Porsche Wholesale Parts Dealers . . 65 Providence Lacquer & Supply Centre . . . . . . . . . . . . . . . . . . . . . 30 SATA Spray Equipment . . . . . . . . . 17 Security Dodge-Chrysler-JeepRam . . . . . . . . . . . . . . . . . . . . . . . . 7 Smyth Performance Inc. . . . . . . . . . . 4 Subaru Wholesale Parts Dealers . . 67 Tasca Automotive Group . . . . . . . . 23 Thompson Organization . . . . . . . . . 45 Toyota Wholesale Parts Dealers . . . 68 Urethane Supply Company . . . . . . 27 Valspar Automotive . . . . . . . . . . . . . 13 VIP Honda . . . . . . . . . . . . . . . . . . . . 47 Volkswagen Wholesale Parts Dealers . . . . . . . . . . . . . . . . . . . . 59 Volvo Wholesale Parts Dealers . . . . 48 Wagner Auto Group . . . . . . . . . . . . 41 Wheel Collision Center . . . . . . . . . . 40 WyoTech . . . . . . . . . . . . . . . . . . . . . 20

www.autobodynews.com | DECEMBER 2015 AUTOBODY NEWS 3

Superare Marketing in CT to Host Seminar on December 5 on “Running a More Profitable Body Shop”

by Chasidy Rae Sisk

From 9AM until 2:30PM on Saturday, December 5, Superare Advertising and Marketing Agency will host an informative seminar on “Running a More Profitable Body Shop” at the Best Western Plus Hotel, located at 201 Washington Avenue in North Haven, CT.

During their seminar, Tony Lombardozzi and Peter Abdelmaseh, owners of Superare Advertising and Marketing, will address vital topics, including how to determine the true cost of labor and materials and how this impacts a shop’s marketability.

A longtime advocate of independent shops, Lombardozzi stated, “If a shop owner thinks his or her true costs for a labor hour is the wage that is paid to the technician, or that the true

cost of paint, materials, and parts is the amount on the invoice, then he or she needs to attend this seminar to understand reality. Only when a shop owner fully understands true costing methods can he or she even begin to make real profits.”

At the seminar, attendees will learn how to determine the true cost for loaded labor, paints and materials, parts and more.

According to Abdelmaseh, “It’s clear in the auto body repair industry that ‘insurer-offered’ labor rates don’t cover the true cost of labor. It’s also clear that parts, paint, and materials prices don’t cover the real costs of getting those products to the vehicle waiting to be repaired. These ‘true cost’ methods will be explored in great detail and should be a real eye-opener for those in attendance. Shop owners complain that they’re unable to set their own selling prices yet, if they could – and we believe they can and must do so – most of them wouldn’t know where to begin. Setting prices begins with knowing the true cost, and that cost is much more than the amount that shows up on invoices and paychecks.”

Lombardozzi and Abdelmaseh

ABRA Auto Body & Glass Announces Wave of Expansion in Northeast

ABRA Auto Body & Glass announced plans on October 30 to add 12 new repair centers across Pennsylvania, Delaware, and New Jersey in the coming days. The news also reflects ABRA’s initial entry into the state of New Jersey.

Driving the growth is the announcement of a definitive agreement to acquire 11 CollisionMax Auto Body and Glass repair centers located throughout Philadelphia and New Jersey.

In a separate transaction completed earlier today, ABRA acquired Blue Hen Collision Express repair center in Dover, Delaware. Details of the deal were not disclosed. Today’s growth activity will bring ABRA’s national repair center count to 332 in 24 states.

This latest expansion doubles ABRA’s footprint in the Northeast to a total of 24 repair centers just six months after entering the region.

ABRA’s President and Chief Executive Officer, Duane Rouse said the company is pleased to be in a position to significantly increase its footprint and looks forward to initiating its highly customized integration plan.

“The Northeast presents tremendous potential for continued and controlled growth despite being a very new market for us. We carefully consider the brand fit and reputation each time we grow and I am confident these additions will continue to drive success for us and our business partners in these states for years to come.”

CollisionMax Auto Body and Glass Chief Operating Officer, Pat Beavers states the company is eager to begin the transition to ABRA in the coming weeks. “For the past thirty years we have built our reputation around excellent customer service and a high quality repair, each of which is well aligned with ABRA’s mission.

This transaction will bring increased opportunities for our communities, business partners, and team members alike.”

Interested parties in major markets should contact Scott Gerling, Vice President of Corporate Development (sgerling@abraauto.com or 763-585-6210).

For franchise opportunities in small and midsize markets contact Mark Wahlin, Vice President of Franchise Development/Relations (mwahlin @abraauto.com or 763-585-6315).

4 DECEMBER 2015 AUTOBODY NEWS | www.autobodynews.com

will also teach participants to understand the real “exit cost” of a repair, how to set their own prices like a truly independent business and how to determine the losses incurred due to the DRP system. “Shop owners need to know the extent to which they give away their profits just to ‘accommodate’ insurers.” Lombardozzi hopes, “Maybe by understanding how much is lost and wasted for no good reason, some will begin to just say no.”

A shop’s awareness of its true cost is important because, by allowing a shop owner to see where their hard-earned profit really goes, Lombardozzi and Abdelmaseh hope to help shops increase profitability, create a strategy for change, and implement a step-by-step action plan. They stress, “You can do this, and we can help you!”

The seminar costs $249 per person, but additional attendees from the same shop pay just $179. Prices include a continental breakfast and a buffet-style lunch.

For more information or to register, visit www.superaremarketing.com, or call 617-993-6901 between 9AM to 5PM EST, Monday through Friday.

State Farm Donates Car to CCCTC Repair Programs

State Farm Insurance Company donated a 2012 Chevrolet Sonic to the automotive mechanics and collision repair programs at Clearfield County Career and Technology Center (CCCTC) in PA to assist students in learning how to diagnose and repair both mechanical as well as body damage on the late model vehicle.

Collision repair students and state farm agents pose in front of the donated 2012 Chevrolet

The company said this donation will allow CCCTC and the instructors in the programs to provide updated, modern training to students who wish to pursue a career in the automotive repair industry which helps combat a shortage of qualified technicians in the United States.

To learn more about CCCTC, visit www.ccctc.edu.

HAPPY HOLIDAYS During this Holiday Season and with thanks to the support of our customers, vendors, staff & friends, we are making donations to the following outstanding organizations.

Honor Flight www.honorflight.org

Compassionate Care ALS www.ccals.org

Cystic Fibrosis Foundation www.cff.org

The Charles River Center www.charlesrivercenter.org www.charlesriverce

J&R AUTO BODY SUPPLY CO. The Pr Proper Mix of people and Product!

82 Herb Herbert Street, Framingham, MA 01702 Phone: 508-872-3594 or 800-649-6898 50 Fax: 508-879-2374 www.jwww.j-rauto.com www.autobodynews.com | DECEMBER 2015 AUTOBODY NEWS 5

SEMA Show Dazzles Largest Crowd Ever

6 DECEMBER 2015 AUTOBODY NEWS | www.autobodynews.com

www.autobodynews.com | DECEMBER 2015 AUTOBODY NEWS 7

CARSTAR CEO David Byers Discusses Recent Acquisition and Reaction from Employees

by Stacey Phillips, Assistant Editor

Following the announcement on October 22 that Driven Brands acquired CARSTAR Auto Body Repair Experts, Autobody News interviewed two key executives. David Byers, CARSTAR’s CEO, spoke about the reaction from employees and the company’s shortand long-term goals.

Also, read comments from Jose Costa, who will David Byers, be heading up DriCEO of CARSTAR Auto Body ven Brands’ Paint Repair Experts & Collision Division. He talked to Autobody News about the benefits for shops as a result of the acquisition and what to expect moving forward. The new division is comprised of CARSTAR, Maaco and Drive N Style, a smaller mobile interior company.

Q. Will there be any changes made at CARSTAR following the October

22 announcement?

A. It’s business as usual. We’re going to continue to operate as a whollyowned subsidiary of Driven Brands and there will be no changes to our existing franchise base, our franchise contract, employees or anything else.

Q. As one of the largest multi-shop network of independently owned collision repair facilities in the United States, how were franchisees notified about the announcement and what has the reaction been?

A. Employees were notified through internal memos, which outlined the process, as well as a series of calls where we talked to different employee groups within the company.

I don’t think it’s a big surprise because many of the MSOs have been bought and sold multiple times in the last five years and most of them are owned by private equity groups. Private equity groups are known to buy and sell businesses over time.

I think our franchise community

is really excited about the fact that not only do we get to continue to operate as the CARSTAR brand, but we get all of these resources that will help us fuel for future growth.

tractive proposition to a lot of independents out there who are frankly on their own and would love to be part of something bigger.

A. We’re going to continue to be focused on our ability to accelerate our growth in the collision repair space.

CARSTAR reported record revenue last year and we’re on track for record revenue again this year.

Our model is so different from the rest of the large MSOs that are consolidators in the industry. It is based on individual owners operators who own their businesses and have a deep passion for what they do and for the customer service they provide.

That’s always to me what has made our brand unique in the industry is that we’re really the only ones who do that. I think that’s how we became the largest because that’s an at-

A. One of the biggest benefits is the ability to aggregate purchases across all of the brands. CARSTAR is probably one of the largest purchasers in the industry today of various products and services because we’re the largest. When you combine us with multiple brands under not only Driven brands but also under Roark Capital Group, that gives us buying power that is really unmatched in the automotive aftermarket industry.

I think from a resource perspective it opens all kinds of doors for us to embark on new growth initiatives that perhaps we didn’t have the resources to do in the past. To me, that’s the single advantage that this provides for us.

Q. What are your short- and longterm goals for the Kansas-based company?

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Driven Brands Executive Jose Costa What Auto Body Shops Can Expect After Acquisition

by Stacey Phillips, Assistant Editor

Following the announcement on October 22 that Driven Brands acquired CARSTAR Auto Body Repair Experts, Autobody News interviewed two key executives.

Jose Costa, who will be heading up Driven Brands’ Paint & Collision Division, talked about the benefits for shops as a result of the acquisition and what to expect moving forward. The new division is comprised of CARSTAR, Maaco and Drive N Style, a smaller mobile interior company.

Also, read comments from David Byers, CARSTAR’s CEO, about the reaction from employees and the company’s short- and long-term goals.

Q. Congratulations on your new position as the head of Paint & Collision for Driven Brands. What will this division focus on and who will be taking over as Maaco President?

A. Historically, it was just one brand in each category at Driven Brands.

Maaco was the only brand in Paint & Collision and Meinke was the only brand in the repair and maintenance environment. With the acquisition of 1-800 Radiator earlier this year, it cre-

ated the platform for us to focus on areas of specialties.

Now, anything that has to do with repairing the exterior of a vehicle, both cosmetically and collision repair, will be under Paint & Collision. Anything that falls under repair and maintenance will be our second division and anything related to parts will be under the distribution division.

After being proJose Costa, head of moted to head up the Paint & Collision the Paint & Collidivision for Driven sion division for Brands Driven Brands, I will be based in Charlotte, North Carolina where Driven Brands’ headquarters are. Chief Operations Officer Jason Ryan was promoted to president of Maaco.

Q. Will Driven Brands’ employees notice any day-to-day differences?

A. They will see a lot more support and resources. We’re investing significantly back into hiring more people and putting more resources in the field.

For example, making sure shops

have the right capabilities when it comes to equipment, facilities, IT and customer service. We want to put more ‘boots on the ground’ around training, operations and sales so the sales team can go out and get more business for the franchise owners.

Maaco will do $500 million in sales and about $80 million will come from the fleet side of the business. On the CARSTAR side, the company will do $700 million and about 90 percent is insurance based.

Q. What are the main benefits for shops?

A. Number one, it’s around profitability and procurement. I think that’s the biggest win for the franchise owner.

We bring a lot of expertise in the franchising world. We’re backed by Roarke Capital, which is the largest private equity firm in the world, focusing on franchising.

We’re going to bring very sophisticated procurement to help both companies buy much smarter so our franchises are able to increase their bottom line by a couple of points at least.

I think there are a lot of cost-saving opportunities when you go from

470 to more than 700 body shops. Our purchases doubled almost overnight.

Maaco will spend around $42 to $45 million in supplies and with CARSTAR it will be close to $100 million in purchases.

When we talk to suppliers going forward we now have a much bigger platform to leverage cost savings and best practices for both brands.

Q. What are the company’s long-term goals?

A. In the last six months, Maaco added more than 12 people to the business. I foresee with CARSTAR we’ll start investing back within three to six months and we’ll put a lot more resources behind the brand. We see a lot of wide space for both brands to continue to grow. Our dream is to double the size of both brands from a unit count standpoint and from a top line sales standpoint.

We’re very excited. It has been in the works for many months now and we’re very excited to welcome CARSTAR into our family and help them keep growing and become even more profitable.

www.autobodynews.com C

www.autobodynews.com | DECEMBER 2015 AUTOBODY NEWS 9

PA Body Shop Owner Addresses Markup Fees with Insurance Companies

by Stacey Phillips, Assistant Editor

After resolving a lawsuit with Travelers Insurance in March, a Pennsylvania body shop owner said he could have never predicted he would be involved in a similar lawsuit with GEICO a few months later. Both cases involved the reimbursement of markup fees charged for the administration of ordering, receiving, warehousing and dispatching of parts used on vehicles.

“Far more people need to be proactive and stand up for themselves and not be afraid to ask for what they are owed,” said Tim Kilkeary, owner of Kilkeary’s Auto Body in Eighty Four, PA. “Nobody is getting rich in this business anyway and to do it and not make a profit, it’s just insane.”

In the first case, Kilkeary’s Auto Body repaired a 2006 Dodge Ram truck in February 2013. The body shop originally wrote the estimate using OEM parts; however, the Travelers’ estimate reflected using an aftermarket front bumper.

Kilkeary said the usual protocol at his shop is to contact the customer to let him or her know the cost difference be-

tween the parts. “We will install those parts if the customer gives us permission to, but at the same time we make it perfectly clear to the customer that it’s not our policy, it’s not our decision and it’s not what we would recommend,” he said.

Tim Kilkeary, owner of Kilkeary Auto Body in Eighty Four, PA

After 35 years running his shop, Kilkeary has found that in most cases the customer will opt to pay the difference to install OEM parts on their vehicle, which can equate to approximately a 20 percent increase in cost.

Kilkeary called the owner of the vehicle and told him that he would use the aftermarket parts on the truck but if anything went awry, the customer would need to address it with the in-

surance company. “I’m not going to be held responsible for a decision that someone else made,” said Kilkeary.

His customer decided to go ahead and have the car repaired with the aftermarket part. After it was installed, the techs found it did not fit like the factory Dodge bumper. When Kilkeary told Travelers that his customer wouldn’t accept the aftermarket bumper, the insurance company sent an appraiser back to the body shop.

Kilkeary was told to put a factory bumper on the truck and he would be paid for the labor to replace the part as well as the cost difference between the OEM part and the aftermarket part.

However, he said he was not reimbursed for the markup on the part, which was $156.88 including tax. He filed a civil case in March 2013 for the markup fee and received a favorable settlement in March 2015.

“The bottom line is if you’re doing something that they insist you do, you have to be diligent about getting paid for whatever it is,” said Kilkeary. “I don’t think any collision repair shop owner should allow any insurance company to come in and dictate to them

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how to run their business.”

A few months later after receiving the settlement, Kilkeary’s shop was involved in a similar situation. GEICO wrote an estimate on a 2007 Mazda 6 that included aftermarket headlights.

The shop notified the customer and he decided not to use the OEM parts. Kilkeary said there were some internal issues with the headlight and it wouldn’t aim properly. After contacting the appraiser, Kilkeary was told to replace it with a used headlight. When the part arrived, the shop found it was damaged. “By this time the car was held up for four days so we put a factory headlight on the car,” he said.

GEICO paid the difference between the list price of the parts as well as the labor to repair the vehicle.

“The issue on the Mazda repair became who is going to pay us the markup money on the aftermarket light and the used light — both of which they insisted we use,” said Kilkeary. “We submitted a supplement to them with the markup money on it and they refused to pay it.”

Kilkeary sued GEICO for $266.06 plus court costs and was awarded the See Markup Fees, Page 34

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www.autobodynews.com | DECEMBER 2015 AUTOBODY NEWS 11

New Product Showcase

WD-40 Unveils Two New Products at SEMA 2015 with Ed Attanasio

The SEMA Show is an ideal time to introduce new products and that’s why WD-40 presented two new innovative solution-based products in Las Vegas, Nov. 3-6. By continually researching and developing new cutting-edge products to help body technicians and other collision professionals worldwide, WD40 is always looking for a better, easier

because we all know that time is money in any production environment, especially collision repair.”

The new WD-40 EZ-REACH features an attached, 8-inch flexible straw that bends and retains its shape regardless of how much usage it receives and enabling users to get around corners and crevices to deliver WD-40 Multi-Use Product exactly where it’s needed.

“The WD-40 EZ-REACH was designed with our endusers’ needs and wants in mind,” said Tim Lesmeister, vice president of marketing at WD-40 Company. “This new delivery system gives automotive professionals and enthusiasts the ability to reach the unreachable and accomplish difficult tasks in overhead After doing extensive research and actually talking to areas, under the vehicle, or on body shop professionals, WD-40 developed the WD-40 specific sections of motors and EZ-REACH that features an attached, 8-inch flexible straw that bends and retains its shape regardless of how much engines, among numerous usage it receives other uses.” way to fix cars and these two introducThe second new product unveiled tions do exactly that. at SEMA is the WD-40® Specialist® Industrial-Strength Degreaser with PowThe two new products are the WD40 EZ-REACH™ and the WD-40® erSolve Technology™, a solvent that is Specialist® Industrial-Strength Dedesigned to take on serious dirt and greaser with PowerSolve Technolgrease. Its fast-acting formula is 50-state ogy™. The former is designed to better VOC compliant. WD-40 Com-pany meet the needs of automotive profesalso markets the WD-40 Specialist Masionals and enthusiasts who use WD- chine & Engine Degreaser, a water40® Multi-Use Product to get the job based degreaser that uses deep done. And the WD-40® Specialist® Industrial-Strength Degreaser with PowerSolve Technology™ is a solvent that quickly breaks down grease, oil and dirt and works on a variety of surfaces, as well as being safe to use on metals, plastics, rubber, glass and aluminum. WD40 Brand Development Manager Shannon Edwards has already seen a very positive response for both new products, because body techs can now be more efficient and work more quickly by using them, she explained.

“For more than 60 years, automotive professionals and enthusiasts have used WD-40 Multi-Use Product to get their jobs done correctly, but the feedback we were hearing from different industries told us that getting the formula WD-40’s booth at the 2015 SEMA Show was into tight and hard-to-reach places was a big hit. Attendees had their pictures taken in not easy,” Edwards said. “That’s why front of a green screen for fun photos that they could take home and post online we developed the 8-inch flexible straw,

12 DECEMBER 2015 AUTOBODY NEWS | www.autobodynews.com

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

penetrating foaming action to remove tough, stuck grease.

“This powerful, solvent-based degreaser makes removing tough, cakedon grease, oil and dirt from machinery, engines and equipment easier than ever,” said Dr. Ernest Bernarducci,

vice president of research and development at WD-40 Company. “It’s also the only degreaser on the market that has a permanently attached straw to help you pinpoint where to apply it.”

WD-40’s Smart Straw® sprays works two ways—as a pinpoint stream when flipped up or as a wide spray when flipped down. “Being able to control how and where to spray the product

avoids messy overspray and helps professionals save time and money,” Edwards explained. “We have the finest products in the industry, so that is why we want to come up with better ways to deliver them to the right places. We talked with people in the automotive repair industry and found out that one of their main ‘pain points’ they were encountering was their inability to get the lubricants into hard to reach spots. So, we decided to enhance the delivery system and expedite their processes as a result.”

Edwards is SEMA veteran and knows the importance of shows like this, for many reasons. “This is our playground and a great place to connect with automotive professionals from all over the planet,” she said. “We know that our users know and respect our products, because I think they realize that we’re always looking for ways to help them in fixing cars and making them more efficient.”

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www.autobodynews.com | DECEMBER 2015 AUTOBODY NEWS 13

National Associations

NABC Gives Away 4 Cars at Annual SEMA Luncheon with Ed Attanasio

Five deserving Las Vegas families and individuals received the gift of transportation to pursue their dreams and further their careers when they were

nies representing all facets of the collision industry team up to repair and donate refurbished vehicles. All of their time is 100% donated—including body

presented with newly refurbished vehicles on Nov. 4 at the 2015 SEMA Show at the National Auto Body Council’s Annual Recycled Rides™ presentation luncheon.

Since 2009, members of the National Auto Body Council have donated 55 vehicles to help a wide range of people in Las Vegas—individuals, families and non-profit organizations that badly need transportation. Nationally, nearly 1,000 vehicles have been donated through the Recycled Rides program since 2007 in which compa-

technicians, refinish professionals and even estimators—which means that the giving goes a long way and can involve 20-30 people in refurbishing one car.

This year’s vehicles were donated

by Allstate Insurance (GMC Terrain); GEICO (Hyundai Elantra); Enterprise Rent-A-Car (Chrysler Town & Country); Hertz Corporation (Nissan Juke); State Farm Insurance (Toyota Corolla) and refurbished by body shops such as Proficient Auto Body, Caliber Collision, Gerber Collision & Glass, Service King and Jim Marsh Auto Body.

14 DECEMBER 2015 AUTOBODY NEWS | www.autobodynews.com

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

Other companies that contributed parts them to do that. It’s all about empowand services include LKQ Corporaering people and helping them to be tion, Axalta Coatings, and AkzoNobel, better and getting them in a position 1-800 Charity Cars, powered by Auwhe-re they can truly flourish. Our redaExplore, a Solera Company, and cipients become lifelong spokespeople many other local businesses. for the Recycled Rides Program and Always opening the luncheon, that’s why it’s so wonderful, because it Chuck Sulkala, NABC Executive Di- keeps giving again and again.” rector welcomed all in attendance and After Sulkala’s comments, Rick kicked off an afternoon of giving.

Turri, Chair of the Recycled Rides “This program has grown over Committee made a brief presentation, the years and it’s very satisfying to see it as it has evolved,” Sulkala said. “Changing lives is one thing we can all do in the collision industry and giving deserving people the gift of transportation is a unique role we can play. If the lack of a vehicle will deter someone’s success for whatever reason, it is our duty to help them if we For Chrysalyn and Ny Springer and their four children, a can. These recipients just need car that would add countless hours to their day, allowing a car to complete their jour- them to spend quality time with their family instead of neys and this program enables sitting on the bus

children, one of which is ■ For Chrysalyn and Ny Sprinwheelchair-bound, have been ger and their four children, a car will without a car for several years. add countless hours to their day, allowHaving a car will allow the ing them to spend quality time with their family to participate in more family instead of sitting on the bus. school activities and open new “We would like to thank all of the employment opportunities for insurance companies that donate the Wade-El. cars and all of the shops that refurbish ■ A dependable car will them, back to where they look new,” help Nicole Williams, a sin- Terry Lindemann, Executive Direcgle mother with three chil- tor of Family Promise of Las Vegas dren to achieve her goal of said. “It means so much more, because being self-sufficient despite we know (and the recipients know) Sherwood Wade-El and his four children, one of which is having medical challenges of that a lot of people really care and are wheelchair-bound, have been without a car for several her own. willing to step up in a big way This years. Having a car will allow the family to participate ■ Thomas Mlechick is a program is special and we’re blessed in more school activities and open new employment opportunities for Wade-El Vietnam War veteran who reto be part of it.” lies on rides from followed by Linda Sulkala, Program Manager for Recycled Rides; Dave friends for frequent medical appointments, so a new car will Jochman, Chaplain for the Leatherneck Club, Marines Corps League and help him to complete his Ph.D. and continue his ministry as a Terry Lindemann, the Executive Director of Family Promise of Las Vegas, chaplain in the Marine Corps all of which talked about the history of Honor Guard.

■ Robert and Shasity Bathe program.

Four of the Recycled rides vehi- suil depend on public transcles were gifted to families nominated portation to get themselves to

by Family Promise of Las Vegas and work, school and day care for the fifth vehicle was presented to a their five children, so their newmilitary veteran selected by the Leath- ly refurbished vehicle will allow A dependable car will help Nicole Williams, a single mother then to be more productive and with three children to achieve her goal of being self-sufficient erneck Club. The recipients are: despite having medical challenges of her own ■ Sherwood Wade-El and his four enjoy their family more.

ASA Concern Over PA House Bill 1614

Pennsylvania House Bill 1614, introduced by state Rep. Jaret Gibbons, D-10, seeks to eliminate emissions inspections for certain vehicles. The bill, which is currently before the House Committee on Transportation, includes the following provisions: ● Vehicles never before registered in the state will be exempt from emission inspections for 10 years from the date of original registration. ● Vehicles powered by electric, hybrid electric or compressed natural gas will be exempt from emission inspections.

The Automotive Service Association (ASA) opposes the 10-year emissions inspection exemption and said H.B. 1614 stands to weaken PA’s vehicle emissions inspection and maintenance program.

If passed, the legislation will take effect within 60 days of approval. ASA urges PA’s independent repairers to send a letter in opposition to state representatives. Visit ASA’s legislative website at www.TakingTheHill.com, go to “Alerts,” and scroll down to information about bill.” For ASA information, visit www.ASAshop.org.

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Lean Operations

A Secret to Success – Dealing with Fear with David Luehr

I find it interesting that after years of being labeled as the “Lean Process Guy” you less frequently see articles by me on the subject of “Lean” as of late.

It is not that I don’t still enjoy Lean and Theory of Constraints, in fact I can still “geek out” and talk about it for hours.

The fact is, is that I created my business to help collision repairers not only survive in these challenging times, but to thrive, and right now what shops need even more than process methodologies is to learn to get out of their own way!

The shops that are hugely successful these days are able to overcome the odds by challenging their beliefs and create a new normal for their businesses. Collision repairers can compete with MSO consolidators or anyone else for that matter, but only after they first learn to compete with their own thinking! Right now in history can be the best time ever to own a collision repair business, but ironically, for some, it is also the worst! You don’t need to be a consolidator for this to be the best time ever in the history of the world to own a collision repair business; you just need to have the right mindset!

I recently had an epiphany while dining at my favorite Chinese restaurant where I got this fortune cookie message.

“No one is standing in your way anymore, time to moving forward.”

I question the grammar, but this message speaks to the very heart of what is keeping most of us from reaching our God-given potential in life. This is a nice way of saying, “Get out of your own way!”

To follow the advice of my fortune cookie, let’s dig a little deeper. Getting out of your own way really means believing in yourself more. Fear is what keeps you from believing in yourself, right? A little voice in your head likes to tell you things like, “You’re not good enough”, or “Remember the last time you tried expanding your collision shop, you’ll probably fail again.” The biggest enemy of belief is fear, so if you want to get out of your own way, you need to learn to deal with fear!

The secret to success and happi-

David Luehr is the owner of Elite Body Shop Solutions, LLC, a collision business consulting firm based in Nashville, Tennessee. He is a 30 year veteran of the collision repair industry.

David is an expert in Body Shop Operations and specializes in Lean, and Theory of Constraints methods. Email him at dluehr@msn.com

ness probably lies in our ability to change our relationship to fear. We have a tendency to view fear as a bad thing.

If we could view the feeling of fear as a

other thing to recognize is that the negative chatter in your head is just noise!

Most of us don’t realize that all the incessant chatter that goes on in our head

“Whether you think you can or think you can’t, you’re right.”

sign that there is an opportunity –ahead, you could have a different relationship with fear. What if, every time you noticed the feeling of fear creeping up, instead of bolting back into your comfort zone, you headed into the source of the fear? To many of you, that seems like backwards thinking. You are exactly right, it is backwards (unusual) thinking, and not going there is exactly why so many people fail to achieve their potential and their dreams.

Embracing Fear Will Help You To: Invite Change - What stories do you tell yourself when facing a choice to try something new? Do you only think about things that could go wrong? Have you wanted to implement a blueprinting program at your shop, but are worried about rocking the boat with your team?

Make New Friends – Is there someone who inspires you that you could reach out to? Many of us are a product of the people we choose to hang out with.

Choose to hang out with winners.

Enhance Relationships Through Communication – Fear affects us through the communications we choose to have or not have. Imagine what your life would be like if you could speak and live freely.

Learn New Things & Become Curious – When you accept failure as an acceptable part of life, you will want to try many new things and experience life in a whole new way.

If you will recognize that your ego is an obstacle and that vulnerability is freeing, you can be your true self. An-

16 DECEMBER 2015 AUTOBODY NEWS | www.autobodynews.com

– Henry Ford

is not real or true. When you recognize the chatter for the nonsense that it is, your life will change in very powerful ways! YOU WILL GET OUT OF YOUR OWN WAY! The big take-away here, and what you can immediately start doing to make a dramatic change in your life, is simply to Practice Awareness. It takes practice, and that’s why it is called “Practice Awareness”. It takes time to become proficient at listening to your thoughts, but once you start to take notice it will have a profound impact on your life. The technique I use goes kind of like this…

1. When you feel your chest start tightening, fear is setting in.

2. Sit with the feeling for a moment to recognize what’s going on. (This gives you the power over the fear!)

3. Choose to do the thing that is causing you fear, like engaging in a conversation with the person that may be intimidating you.

4. The more times you do the thing causing you the fear, the less you will feel the fear.

Just to be clear, I am not talking about being fearless or doing stupid things that will get you hurt or killed, I am talking about the thousands of opportunities we pass up, because we have an adversarial relationship with our own fears. To me, the real definition of courage is when you feel the fear, and do it anyway!

For help reaching your unlimited potential contact Elite Body Shop Solutions today. www.elitebodyshop solutions.com

www.autobodynews.com | DECEMBER 2015 AUTOBODY NEWS 17

umes,” said Bihlmeyer. “The Glasurit leather jacket is a token of our appreciation that we thought Jay would enjoy and goes a long way to thank him for his not financial, it’s not contractual... I long-standing support of Glasurit. like the products. They’ve been really “BASF Glasurit paints utilize Euhelpful to us.” ropean technology that gives the ultiBased in California, Leno said, mate blend of speed, ease of use, color “Painting in California is really tricky match and durability,” said Bihlmeyer “The rich liquid color and deep brilliant gloss defines Glasurit as a world-class finish. Glasurit delivers a comprehensive system of perfectly matched products and processes from pri-mer to clearcoat.”

BASF unveiled the 1933 Ford Coupe by Chip Foose, featuring Glasurit 90 Line custom blue and silver two-tone paint; a 1965 customized carDan Bihlmeyer, BASF’s North American marketing manager, gifts Jay Leno a custom leather jacket bon fiber Ford Mustang from during SEMA 2015 The Ringbrothers, painted in because of environmental concerns.” Spy Green from Glasurit 90 Line; and Leno talked about the importance of a 1967 Pontiac Acadian from JF Kusfinding good water-based paints that toms, featuring R-M® HD custom red don’t run and bleed. “These guys know paint. how to do it,” he said.

In addition, West Coast Customs “Jay can choose any paint he wants showed a 1959 Chevrolet Corvette and the fact that he chooses Glasurit 90 painted with R-M Onyx HD and a 2016 Line for use in his shop speaks volHarley Street Glide from Camtech CusContinued from Cover

Jay Leno

tom Baggers, featuring R-M Carizzma Candy paint.

With its expanded show presence, BASF had a show booth in the Collision Repair & Refinish section featuring its value-added products and services that help collision repair shops and distributors improve profits and drive business growth. In addition, BASF conducted spray demonstrations outside with Chip Foose, Mike and Jim Ring and JF Launier.

Jay Leno’s Garage began on YouTube and received a Primetime Emmy Award for “Outstanding Special Class – Short Format Nonfiction Program” in 2011. The show premiered on CNBC October 7.

The eight-episode hour-long primetime series covers all things automotive, including classic cars, super cars, restoration projects, road tests, investments and the inner workings of the car collectors’ market.

Leno’s custom-built shop, Big Dog Garage, has its own sanding and painting booth and is located in Burbank, California near Bob Hope Airport.

www.autobodynews.com

H&V Collision Center Donates Car to NY Mother

H&V Collision Center, a company comprised of seven collision repair facilities based in the Capital Region, has partnered with State Farm Insurance® to donate a car to a community member in need. The donation was made at H&V Collision Center’s Saratoga Springs, NY location, 2202 Route 50 South (2202 Ballston Avenue on some GPS) on November 24. This is H&V’s 13th car donation since 2009.

The 2015 car donation recipient is a single mother from Amsterdam, NY who was selected based on her perseverance through countless life challenges. In 2014, her son was diagnosed with leukemia and an immune system deficiency disorder. A reliable vehicle is a necessity to safely transport her son to the hospital on a regular basis.

“We are so pleased to be able to present this gift to a very deserving family,” said Vartan Jerian, Jr., owner of H&V Collision Center. The sponsors include LKQ Corp, CCCOne Claims Management Software, Axalta Performance Coatings, Dean Fox Auto Services, Norton/Saint-Gobain and Enterprise Rent-A-Car.

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Carubba Collision Presents $10,000 Check to SPCA for New Animal Shelter Construction in Upstate NY

Carubba Collision Corp. President, Joe Carubba, presented a $10,000 check to the SPCA serving Erie County on Friday, October 23 at the offices of the SPCA in Tonawanda, New York.

which was held this past August in Buffalo, NY. “Thanks to the tremendous support we received from our sponsors and participants of our golf tournament this year, we are thrilled to present this check which will help support the construction of the new SPCA animal shelter project in West Seneca” stated Carubba Collision Corp.

President Joe Carubba.

“We are so appreciative of receiving this wonderful donation from the Carubba Collision Golf Classic. We know that Mr. Carubba is very passionate about animals and has been a supporter of the work that we do here at the SPCA” said Development Director All smiles at the SPCA Serving Erie County as Carubba Jennifer Garver.

Collision Corp. President and CEO Joe Carubba (left), presents a $10,000 check to the SPCA. Members of the Over the years, Joe Carubba SPCA Administrative staff were on hand to accept the has personally fostered sevCarubba Collision donation eral shelter dogs and cats The monies are from part of the from the SPCA Serving Erie County. proceeds of the 3rd Annual Carubba “I believe that these animals from the Collision Golf Classic Tournament SPCA make wonderful pets and com-

20 DECEMBER 2015 AUTOBODY NEWS | www.autobodynews.com

panions and really need to be adopted by caring individuals” Carubba said.

Carubba Collision’s support and care for animals goes even farther as evidenced by their involvement with local police K-9 Units. Mr. Carubba has also funded the purchase of special safety vests for the dogs in police units.

lice dogs who had served over the years and who have died in the line of duty.

Niagara County Sheriff Jim Voutour said that calls came from across the county from folks looking to do

Carubba Collision President & CEO Joe Carubba showing the love for one of the SPCA shelter dogs while SPCA Administrator Kara Lee looks on at the Carubba Collision Check Presentation to the SPCA Serving Erie County

Last year, through the donation given by Carubba Collision, the Niagara County Sheriffs K-9 Unit was able to erect a special memorial to those po-

A Niagara County Deputy Sheriff K-9 Unit officer holds on to his partner at the Carubba Collision check presentation to the Niagara County Sheriffs K-9 Unit in 2014

something to support the K-9 Unit.

One of those calls came from businessman Joe Carubba.

“I’m an animal lover, I’ve had dogs all my life,” Carubba said. “It’s amazing how these K-9s serve so fearlessly. You can’t say enough about them and they serve, to the end.”

ans suffer from Post Traumatic Stress Disorder (PTSD)” explained Carubba “The SPCA’s Paws & Patriots pro-

Niagara County Deputy Sheriffs line up and admire the beautiful K-9 Unit Memorial Monument that was funded through the generosity of Carubba Collision

Niagara County Sheriff Jim Voutour addresses the gathering for the Niagara County Sheriffs K-9 Unit Memorial Dedication

Sheriff Voutour said “Joe Carubba asked to make a donation from his annual charity golf tournament in support of the sheriff’s K-9 Unit and in memory of our beloved fallen K-9 Rocky.

However, no one was prepared for the generous check that followed from Carubba Collision” Supporting our veterans is also something that Carubba Collision is passionate about. “Many of our veter-

gram which pairs veterans with shelter dogs is another program that we will be supporting”.

The SPCA Paws & Patriots program was developed for veterans in the community in need of giving and receiving special love and attention, and for animals at the SPCA who need exactly the same thing.

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“Write it Right: Estimating Best Practices” Seminar On November 10, over 80 industry professionals gathered at the Radisson Hotel in Roseville, MN to hear industry expert Mike Anderson, Collision Advice, present “Write it Right: Estimating Best Practices.”

The seminar, was a joint endeavor of Alliance of Automotive Service Providers of Minnesota (AASPMN) and Axalta Coating Systems, and had a sell-out crowd.

The seminar provided attendees with information and resources to support and justify their position on what it takes to restore a vehicle back to its pre-accident condition.

Highlights of the seminar included: ● Tools to help identify the not-included items, such as the DEG website, ASA Not-Included Guides and the SCRS Guide to Estimating; ● How to use negotiation tools with insurers and get paid for hotly-contested items, such as prepping raw plastic, blend within a panel, “feather, prime and block,” masking operations, weld burn damage and more; ● How to improve photo quality; ● Utilization of line notes; ● How to write a damage analysis in conjunction with 100% disassem-

bly; ● The importance of OEM information and where to find it; and ● Key performance indicators (KPIs) to monitor when auditing the quality of estimates.

Attendees raved about Anderson’s presentation and the information provided in the seminar. One attendee stated, “Wow! Best instructor I’ve seen in 30 years!”

“Mike is always a great draw,” said Judell Anderson, AASP-MN executive director. “His programs provide the perfect mix of technical information, practical tips and motivation. We are very pleased to have had the opportunity to partner with Axalta to share Mike’s extensive knowledge with Minnesota’s collision repair industry.”

AASP-MN looks forward to providing its members with other exceptional training opportunities in 2016.

The Alliance of Automotive Service Providers of Minnesota (AASP-MN) is an association of independently-owned automotive service businesses and industry suppliers dedicated to improving the state’s automotive service industry and the success of its members.

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Industry Awards Presented During CIC at SEMA

James Moy (second from right) of Mid Island Collision in Rockville Centre, NY, receives the National Auto Body Council (NABC) “Award of Distinction” at a presentation in Las Vegas in November. The award honors acts of bravery, philanthropy or selflessness that help improve the image of the industry. Presenting the award on behalf of the NABC were (from left) Chuck Sulkala, Marie Peevy and Nick Notte

Jeanne Silver, co-owner of CARSTAR Mundelein in Mundelein, Ill., became the 100th person (and the first since 2012) to be inducted into the “Hall of Eagles,” entry requires a two-thirds majority vote among the previous inductees. Silver has been active in CIC, the National Autobody Council, the Women’s Industry Network and in her community, and in 2002 was named among the “Most Influential Women in the Industry.” Presenting the award were previous Hall of Eagles inductees Bob Smith (left) and Rick Tuuri

Jeff Silver (c), co-owner of CARSTAR Mundelein, received the I-CAR Chairman’s Award, recognizing his decades of support for that training organization, which he helped create and then led from 1985-1996.

Presenting were I-CAR CEO John Van Alstyne (left) and I-CAR board chairman Joe Laurentino.

Mike Loy (right) of Mike Loy’s Collision in Lewisberg, Ohio, received the I-CAR “Russ Verona Memorial Award” at a ceremony in Las Vegas in November. The award honors Loy for having maintained his shop’s I-CAR “Gold Class status for 20 years while Loy has also served on several I-CAR committees, and actively promotes Gold Class in his shop’s consumer marketing. Presenting the award were (from left) I-CAR CEO John Van Alstyne and I-CAR board chairman Joe Laurentino

Chief™ Now Offers Collision Repair Frame Racks and Benches

On November 3, Chief™ added Globaljig® benches, universal fixture systems and other “European style” structural repair equipment to its North American product offering. The new line augments Chief’s existing product portfo-

Andrea Iacucci Ostini, export manager of Bellini Systems (left) and Mike Cranfill, VP of global collision and new business development for Vehicle Service Group (VSG)

lio that includes frame racks, vehicle holding systems, computerized measuring, vehicle specifications and joining equipment like welders and rivet guns.

Chief parent company Vehicle Service Group (VSG) and Bellini Systems, manufacturer of the Globaljig product line, have signed an agreement giving VSG exclusive marketing and distribution rights for Globaljig collision repair equipment in the U.S. and Canada.

“In North America, where the bestselling vehicle for more than 35 consecutive years has been a pickup truck, frame racks remain integral to proper

Gary Wano Jr. (right) of G.W. & Son Auto Body in Oklahoma City, Okla., receives the “Completely Elite Award” from Robb Young of TenPoint Complete at a ceremony in Las Vegas in November. The annual award recognizes a collision repair organization for consistently high CSI, marketplace innovation, and industry and community involvement.

collision repair,” says Mike Cranfill, VSG vice president of global collision and new business development. “But as car manufacturers continuously evolve their new vehicle designs to meet stringent CAFE standards, we expect the repair methodologies used in European markets to expand deeper into North American shops. As a result, it’s important that we offer our customers a simple, fast and easy-to-use bench and fixture system to supplement their frame racks. After thoroughly evaluating every bench system on the market, we have determined that Globaljig’s system is the most user-friendly. Further, we have supplied Globaljig with Chief computerized measuring systems in Europe for 15 years, so we know the products work together seamlessly.”

Globaljig products are made in Italy and have been approved by a number of vehicle OEMs. They will be marketed under the “Globaljig Presented by Chief” brand in North America. Globaljig Presented by Chief products will be sold through the extensive Chief North American distribution network.

“We believe this partnership will increase market share for both companies and provide greater choices for our customers,” said Erik Larum, Globaljig CEO of North American operations.

22 DECEMBER 2015 AUTOBODY NEWS | www.autobodynews.com

Marion Rodriguez CARSTAR Mundelein in received the National Auto Body Council (NABC) “Excellence in Community Service Award” for her charitable work that helps improve the image of the industry. Presenting was Nick Notte, the immediate past chairman of the NABC.

www.autobodynews.com | DECEMBER 2015 AUTOBODY NEWS 23

GFS Demonstrates REVO Accelerated Curing Systems

Global Finishing Solutions (GFS) demonstrated its REVO accelerated curing systems during SEMA. Introduced to the industry this past year, all four REVO products utilize short wave electric infrared technology.

erating how fast the coatings dry. We’re not just drying them, we’re curing them from the inside out, so it’s going to be a better repair as well.”

The four products are the REVO Speed, Rapid, Spot and Handheld.

Brandon Lowder, VP of Auto Refinish Sales for GFS, used the REVO Speed and REVO Handheld to showcase how fast primer can be applied and cured with REVO products

“The main benefits are going to be faster repairs and better results,” said Brandon Lowder, VP of Auto Refinish Sales for GFS. “Essentially we’re going to be able to get up to 80 percent more paint shop throughout by accel-

REVO Speed is semi-automatic and best suited for shops that perform large volumes of average repairs on one to four panels. It can accommodate all sizes of vehicles. REVO Rapid, with 12,000 watts of power, was designed

Novol Introduces European Car Refinish Solutions to US & Canada

NOVOL introduced its European-manufactured car refinish solutions during SEMA. Leszek Chudzynski, business development director for USA, said the products have innovative features that meet the needs of modern workshops to

clear clearcoats and performance primers enable fast and effective repairs with the guarantee of the perfect paint job,” said Chudzynski. “They have been developed and tested at the NOVOL R&D Laboratory to support the painter across the

CARSTAR CEO Makes Unique Bet with Franchisee President

for full panel repairs or body shops with space restrictions. REVO Spot, with 6,000 watts, is for curing small surfaces and REVO Handheld, with 1,000 watts of power, is lightweight and has an ergonomic handle for fast spot repairs.

“They all use the exact same technology and the same bulbs; however they are scalable to your shop and what your needs are,” said Lowder. During SEMA, he used roll on primer to showcase how fast primer can be applied and cured with the REVO system.

“That process would have normally taken an hour and a half to two hours to dry in the shop,” said Lowder. “We did it in less than 10 minutes with REVO.” Jessica Leinon, marketing sales coordinator for GFS, said there are currently several IR systems in the U.S. “Our application is electric,” she said.

“To us, the benefit is safety and cost savings.”

She said GFS has over 130 years’ experience in the industry with a network of more than 45 distributors across the US and Canada that can support, train and service the REVO products. Contact Jessica Leinon, Marketing Sales Coordinator, jleinon@global finishing.com

CARSTAR Auto Body Repair Experts CEO David Byers made a unique bet on this Major League Baseball playoffs—that the Kansas City Royals would persevere against CARSTAR Collision and Glass Service president Michael Macaluso’s Toronto Bluejays. The Royals pre-

(l to r) David Byers and Michal Macaluso

vailed, so Macaluso had to don a Kansas City Royals jersey at the SEMA Show in November, and donate $500 to Make-A-Wish Foundation in CARSTAR Auto Body Repair Experts’ name.

“With CARSTAR headquartered in Kansas City and CARSTAR Canada located in Hamilton, Ontario (near Toronto) there was a lot of excitement leading up to the ALCS showdown between our hometown teams,” said Byers.

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enhance the efficiency of the painting process. They are currently being used in Europe, Asia, Australia, New Zealand, the Middle East and Africa.

Chudzynski said the company is targeting to launch its full range of products in the U.S. and Canada. Products are already being used in California, Texas, Alabama and Florida. “NOVOL crystal

whole refinish job.” He said the products have extremely fast drying properties.

“Normally, you would use two or three coats of a clear coat. Our products could manage the same with just one and half coat,” said Chudzynski.

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Day Job/Night Job

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

IL Body Shop Owner Becomes Nationally Acclaimed Motivational Speaker with Ed Attanasio

Running a body shop is a daily challenge that is not for everyone. Each day, shop owners encounter issues and obstacles that can be challenging and daunting. Finding the inspiration to go on can be difficult, but what if you were both a body shop owner and a motivational speaker/life coach that helps individuals to overcome life’s many impediments, including your own?

It would definitely be a win-win and that’s why Louie Sharp, the owner of Sharp Auto Body in Island Lake, IL, is winning in every aspect of his professional and personal life by motivating himself and others to achieve great things.

Sharp’s journey started when he joined the U.S. Marine Corps right out of high school and served almost five years on active duty as an aviation ordinance man on A6 Intruders. He was selected to the elite duty of Marine Security Guard where he spent his last 2 ½ years guarding American Embassies

overseas. He was posted at Nicosia, Cyprus and then Paris, France.

Upon release from active duty Louie joined the Marine Corps active reserve program at Glenview Naval Air Station. He was assigned to HML776 a helicopter squadron and became a crew chief and door gunner on Huey helicopters. His squadron was activated for Desert Storm and Louie Sharp owns served 12 months Sharp Auto Body overseas. Louie in Island Lake, IL then retired from during the day, but is a motivational the Marines after speaker and life 20 years of honorcoach the rest able service. of the time After retiring from the Marines after 20 years of honorable service, Sharp started Sharp Auto Body doing collision repair and restoration repairs on all makes and models of

26 DECEMBER 2015 AUTOBODY NEWS | www.autobodynews.com

cars. In the mid-1990’s he started his towing operation and in 2000 he purchased a local auto repair shop adding mechanical repairs to the mix.

Today, Sharp has 13 employees and runs a busy shop in a small town (population: 8,000). He is currently writing an automotive blog for the Lake County Journal and delivers his “Car Cents” power point presentations to local clubs, organizations and companies to show people how to save money on every aspect of their vehicle maintenance.

In 1999, Sharp was elected village trustee in Island Lake where he successfully completed a four-year term.

He retired from political life to focus on his passion for music. Louie plays guitar, harmonica and mandolin in a number of local bands including Stone Quarry Road and his local church band.

He also performs solo acoustic guitar performances.

In 2000, Sharp started on a jour-

ney that would lead him to his newest company. It began when his doctor’s nurse suggested that he try yoga to lower his high blood pressure. The rest as they say is history. In 2009, he started Sharp-Skills, a company with a simple goal to help individuals and companies to develop and achieve their full potential. In June of 2010, he successfully completed a year-long training program under Jack Canfield, a nationally renowned motivational speaker and the co-author of the Chicken Soup for the Soul series, which has more than 250 titles and 500 million copies in print in over 40 languages.

Being a personal coach is not just a profession for Sharp, but rather a calling, he explained. “I’ve been a motivational speaker my whole life but I didn’t know it. I want to change the world, to be honest and that’s why I’m here, I believe. Once you find your passion, it’s not work anymore

and this is something I am driven to do. I tell people that you can change the world everyday by the way you interact with others. In a service drivenoriented business like collision repair

When he isn’t running his shop or speaking to groups, Sharp plays guitar, harmonica and mandolin in a number of local bands including Stone Quarry Road and his local church band

you get back what you give. If you treat people—customers, co-workers, vendors—with kindness fairness and respect—it all comes back to you.”

Sharp also tells people that networking and getting involved in the community is essential for any business and that’s why he is currently a member of the Island Lake Chamber of Commerce, the Wauconda Chamber of Commerce, Island Lake Lions, the local American Legion, VFW, Business Exchange, Wauconda Rotary, BNI and Messiah Lutheran Church. He is also the past president of the Island Lake Chamber of Commerce and past president of the Island Lake Lions club and sits on the board of directors for Transitional Living Services, an organization that helps homeless veterans.

“The old days of hanging a sign and waiting for the customers to start filing in just doesn’t exist anymore,” Sharp said. “Getting out there is difficult for many body shop owners and managers, but the benefits and rewards can be great. People tell me ‘you know everybody’ and I tell them that’s the idea.”

Sharp takes many of the skills he has learned owning a body shop and communicates them to people in all fields during his motivational presentations. “Being a body shop owner has been a springboard for everything I’m currently doing,” Sharp explained.

“I’ve learned so much working in this industry, but in many ways, the things I’ve gleaned in this business can be used in any industry. Continual learning and getting better is one of the things I really stress, because some people hit a certain age and they don’t want to learn or try new things anymore. But not growing means you’re shrinking and going in reverse.”

Many body shop owners live in a life of scarcity within a world of abundance, Sharp said. “There are wrecked cars everywhere, so there’s no lack of business. But, some shop owners tend to get caught up in things like being suspicious of the insurance companies and the other shop down the street.

They’re working their butts off with no retirement in sight and they’re scared of the future, because the industry is changing every day. I teach them how to no longer live in fear, which allows them to do things they didn’t think they could.”

A final note from Sharp summarizes his approach to life. “Learn to love unconditionally. It sounds easy, but it is one of the most difficult things that people can do. If you can achieve that, other great things will happen for you.”

Nominations Open for WIN’s Most Influential Women Award

Women’s Industry Network (WIN®) announced that nominations for the prestigious Most Influential Women Awards opened on Monday, November 2 and will be accepted through Thursday, December 31, 2015.

The winners will be recognized at a Most Influential Women gala held during the 2016 WIN Educational Conference, May 2-4, 2016 at the Hilton Tampa Downtown in Tampa, FL. Nominations of women working in any segment of the collision repair industry across the United States and Canada are welcomed, and WIN membership is not a requirement.

Once again, WIN has retained an independent consultant to interview those who have been nominated for the award so that WIN can remain unbiased in the selection process.

Established in 1999 by AkzoNobel, the Most Influential Women program has recognized close to 85 women who have enriched the collision repair industry with their leadership, vision, and commitment to excellence.

The 2016 nomination form may be downloaded from the WIN website at www.womensindustrynetwork.com

www.autobodynews.com | DECEMBER 2015 AUTOBODY NEWS 27

Prima Welds Showcases Prima Inverter Welders

Prima Welds showcased its Prima Inverter welders during SEMA. These included the 35-pound Multi Torch 5-in-1; and the 18-pound Multi 190 for aluminum, brazing (with or without pulse)

Ray Zitzloff, president of Prima Welds, explained the features of the Prima Multi Torch 5-in-1 inverter welder to SEMA attendees

and steel plus or minus 30 volts 230/1 16 amp power for 200 amp output.

Ray Zitzloff, president of the Florida-based company, said the light-weight, easy-to-use welders re-

duce welding training and set up time in the shop. Zitzloff said Prima was the first to introduce the multi-torch welders. He said the welders are easy to operate and have single processors and common torches that are simple to replace.

“The programs are based on body shop applications and for aluminum, steel and brazing,” said Zitzloff. “Everything is software driven.

A microprocessor runs the unit so it’s an overnight parts exchange from a service standpoint.”

Zitzloff said you select the torch, set the program number, set the metal thickness and weld. Onsite training for the use of the welder is optional, however, it is not necessary. “We also provide remote, live online diagnostics and training,” said Zitzloff. There is also no need for onsite welder training. “We’ve eliminated a lot of training and we also provide remote, live online diagnostics and training,” said Zitzloff. The welders are manufactured in Italy. “With the exchange rate dropping by more than 30 percent, our sale prices have also been reduced by over 30 per cent,” said Zitzloff.

For information, contact (239) 314-7683, emairayz@primawelds.com, or www.primawelds.com.

Race Car Driver Ashley Sanford Visits Herkules Booth

Ashley Sanford, a 21-year-old race car driver, signed autographs at Herkules Equipment Corporation’s booth during SEMA. The company showcased its pneumatic lifts while the racer greeted show attendees.

Race car driver Ashley Sanford and her mother Michele at the Herkules booth

Growing up in Fullerton, CA, Ashley began driving recreationally when she was eight. Her grandpa Ed taught her sand drag racing, which she spent time doing with her parents Michele and Shane. “There are only a few races a year but they were big events for our family,” said Ashley.

“She went slow in the beginning and then when she turned 14 she was going over 100 miles an hour,” said Michelle. “I thought it was insane. I was happy but it was hard.”

Ashley said she was always adventurous and nicknamed by her family

as the Wild Child.’ She recalls seeing photos of her first birthday when she received an electric ATV. Currently, she races in the NH circuit from Southern California to New Jersey. She participated in 14 out of 24 races this season.

“My favorite part would first be the adrenaline rush, from the moment the car starts to the second I hit the parachutes and everything in between,” said Ashley. “There’s nothing comparable to it in the world.” She said her other favorite part is interacting with the fans who have been so supportive.

She was asked by Herkules to sign autographs during SEMA. “We’re just happy to be involved with them and that they invited me to come.”

“When people asked why we asked Ashley to sign autographs at our booth, we told them that racers need to maintain their cars, so who better than someone who needs quality, dependable lifts to make those quick and necessary fixes,” said Kathleen Okray, marketing manager at Herkules.

Based in Michigan, Herkules has been focused on pneumatic lifts for 30 years. All lifts are manufactured in the United States with U.S. steel.

For information about Herkules, contact (248) 960-7011, kathleen @herkules.us or visit: www.herkules.us

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New Products and Techniques Abound at SEMA Apollo Sprayers HVLP Introduces Turbo Pro 3000 for Paint Savings and Eliminating Contamination

Apollo Sprayers International launched its TurboPro 3000 during SEMA. John Darroch, president and CEO of the California-based company, said their previous systems have been limited to being able to cope with no more than two or three body panels at

Donald Vargo, national sales manager; John Darroch, president and CEO; and Bill Boxer, VP of Sales at the Apollo Sprayers HVLP booth during SEMA

a time, mostly for the mobile arena.

“The system we’ve developed has 30 percent more power than the other systems do, which allows you to basically do a complete car,” said Darroch. “We have the ability now to go into a body

shop, plumb it into a spray booth just like you would a compressed air system and then be able to utilize the turbo system in the spray booth and get all of the same paint advantages and savings.

“We’ve had independent tests done showing that you get 40 percent paint savings over traditional air systems when using the TurboPro,” he said. In addition to the paint savings, Darroch said the other main advantage is the turbo system in general, which produces a clean, warm, dry flow of air that eliminates contamination in the air supply. The system doesn’t compress air and due to the high-speed motor, it actually eliminates humidity in the air, which saves time and re-work. No filters or dryers are needed.

Apollo Sprayers International has designed HVLP (High Volume Low Pressure) Turbospray systems, HVLP spray guns and accessories for more than 48 years. All TP models are made in the company’s Vista, CA factory.

Contact John Darroch at (888) 900-HVLP (4857), john@hvlp.com or visit www.TurboProHVLP.com.

Japanese Panel Repair System Demonstrated by Equipment Gateway's Miracle System at SEMA

SEMA attendees had the opportunity to view a demonstration of the Miracle System product from Equip-

Shun Kobayashi, am export manager based in Japan, demonstrated how to repair a rocker panel with Equipment Gateway’s Miracle System

ment Gateway. Matthew Bannister, owner of Equipment Gateway, said the panel repair system from Japan has been in use for 30 years but was

introduced just six years ago in the United States.

“It’s a full concept of panel repair for steel and aluminum vehicles,” said Bannister. He said the system is different than others in the industry due to its lift arc technology.

Bannister said other systems that use capacitor discharge are typically for smaller dents.

“With our system, because of the way the key welds on, you can repair some larger damage,” said Bannister. “We’re finding that is showing up at the shops and that’s what they need to be able to do the repair.”

He said the main advantages are the quality of the repair and the time savings. “With our steel system, there is little to no burning on the inside of the panel, which is a big advantage for corrosion,” said Bannister. The company is also offering more adapters for the aluminum system.

For more information, call Matthew Bannister (866) 588-7599, matt@equipmentgateway or visit www.equipmentgateway.com

30 DECEMBER 2015 AUTOBODY NEWS | www.autobodynews.com

CAR BENCH Displays Manta Bench Rack & Contact Evolution

This year, CAR BENCH introduced the New Manta Bench Rack, a dual purpose bench rack system.

“It’s expandable to be an all-purpose bench for all vehicles from trucks

and Asian vehicles. The Contact is capable of measuring vehicles on its wheels.

The Manta Bench Rack, manufactured in Italy, is available in three differ-

CAR BENCH’s Lorenzo Manfredi, marketing & research development director; Clint Waters, North American manager; and Peter Choate, North American Technical Manager

to Mercedes Benz,” said Clint Waters, from CAR BENCH North America, in Murrieta, CA. Waters said it’s flexible enough to allow shops to work with any type of repair system and is certified by most manufacturers. During SEMA, the company also displayed its new electronic measuring system, the Contact Evolution, with its expanded database that includes domestic, European

ent lengths: 4.0m, 4.5m and 5.15m. All three come with a six-ton lift. Waters said there is maximum flexibility with the bench rack, which can either be mobile on four wheels or installed in a pit allowing drive over and still provide a lifting height of up to 60 inches. For information, call (800) 637-4780, Email Carbenchna@gmail.com or visit www.carbenchnorthamerica.com for more information.

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PPG Showcases Products & Painters in Mardi Gras-Themed Booth at SEMA

by Stacey Phillips, Assistant Editor

World-class automotive builders and painters brought their designs to life at PPG’s Automotive Refinish booth during SEMA. The Mardi Gras-themed booth included a line up of artists who an-swered questions, signed autographs and talked about why they use PPG products.

Automotive painter and fabricator Charley Hutton signed autographs at the PPG booth

Autobody News spoke to Charley Hutton, renowned automotive painter and fabricator, af-ter he finished an autograph session with fans at the PPG booth. “Eve-ryone thinks of me as a painter. I also love to do fabrication and the body work part,” he said.

Born and raised in Caldwell, Idaho, Hutton said he always loved cars. “I used

to paint my hot wheels,” said Hutton. “I used to steal my sister’s finger nail polish and use scotch tape to mask off the windows.”

He and his wife Teri opened Charley Hutton’s Color Studio in 2009 in Nampa, Idaho. Over the years, Hutton has been part of many award-winning teams and received numerous industry awards including the Ridler award.

“When I’m teaching my guys and working with my crew, I always explain to them that you have to visualize what you’re making—not sanding for the sake of sanding, you’re creating shapes,” said Hutton. “It is art. We’re sculpting, we’re creating things. Even when you’re fabricating sheet metal, you’re creating these things.”

When he visits schools, he often tells students, “I can teach the skill. I can’t teach passion. It doesn’t matter what you do in life. If you’re passionate about it, you’re going to succeed. Just be happy.”

Hutton joined other well-known names in the industry at the PPG booth including Kenny Youngblood of Youngblood Art; Tom and Mitch Kelly of Kelly & Son Crazy Painters; Dave Kindig of Kindig-It Design; Bobby Alloway, Alloway’s Hot Rod Shop; and Joey Logano, Team Penske.

32 DECEMBER 2015 AUTOBODY NEWS | www.autobodynews.com

“SEMA is a great time to see some remarkable cars, meet some outstand-

(l to r) John Parran, director, PPG marketing; John Outcalt, vice president, PPG global refinish; Charley Hutton, owner, Charley Hutton’s Color Studio; Justin Kowallek, PPG segment communications manager; Cindy Schauer (in front), PPG segment communications manager; Cristina Fronzaglia-Murray, PPG manager, marketing communications; and Jocelyn Faenza, PPG social media manager

ing painters and learn about what’s happening in our industry,” said Cristina Fronzaglia-Murray, manager, mar-

keting communications, PPG Automotive Refinish. “Every year we wonder what more these painters can do with our products to astound us, and every year they manage to astound us even more.”

During the show, PPG displayed many custom, restoration and refinish products including the Envirobase® High Performance waterborne basecoat system and the Vibrance Collection® line of custom paint finishes.

“We work on trying to make sure that we’re delivering what our customers are really looking for,” said John Outcalt, PPG’s VP of Global Automotive Refinish. “When I talk about collision repair shops, which is the core of our business, it all starts with listening to our customer and then delivering great support as well as the best product and color solutions.”

Outcalt said that PPG understands that collision centers want to match a car as quickly as possible. “Great color match, easy to use and environmentally preferred technology. To me, those kinds of things are a homerun for us,” said Outcalt. “But being here at SEMA to meet our customers and feel their enthusiasm about what they have seen or heard at the booth is what makes this industry so fun to be a part of.”

Continued from Cover

NY Swindler Guilty

automobile insurance companies under New York’s no-fault insurance law, multiple securities fraud schemes, money laundering, and the operation of illegal gambling businesses.

Under New York State Law, every vehicle registered in the State is required to have no-fault automobile insurance, which enables the driver and passengers of a registered and insured vehicle to obtain benefits of up to $50,000 per person for injuries sustained in an automobile accident, regardless of fault (the “No Fault Law”). The No Fault Law requires prompt payment for medical treatment, thereby obviating the need for claimants to file personal injury lawsuits in order to be reimbursed.

Under the No Fault Law, patients can assign their right to reimbursement from an insurance company to others, including medical clinics that provide treatment for their injuries. New York State Law also requires that all medical clinics in the State be incorporated, owned, operated, and controlled by a licensed medical practitioner in order to be eligible for reimbursement under the No

Fault Law. Insurance companies will not honor claims for medical treatments from a medical clinic that is not actually owned, operated, and controlled by a licensed medical professional.

From 2007 through 2012, Danilovich’s organization defrauded automobile insurance companies of more than $100 million by, among other things, creating and operating medical clinics that provided unnecessary and excessive medical treatments in order to take advantage of the No Fault Law. In addition, Danilovich’s organization fraudulently owned and controlled more than a dozen medical professional corporations (“PCs”)—including no-fault clinics, MRI offices, and acupuncture and chiropractic PCs—by paying licensed medical professionals to use their licenses to incorporate the professional corporations. Danilovich and his co-conspirators paid kickbacks of thousands of dollars to runners to recruit patients to receive the same battery of tests and treatments, and received kickbacks from other co-conspirators for referring patients for additional unnecessary treatments. All told, Danilovich’s organization billed insurance companies for tens of millions of dollars in fraudulent medical treat-

ments. Furthermore, Danilovich and his co-conspirators laundered the proceeds of the fraud through check cashing entities and shell companies, and used the money to pay for luxury cars, watches, and vacations.

In addition to the no-fault insurance fraud scheme, Danilovich was convicted for operating two investment fraud schemes that swindled innocent victims out of nearly $18 million. Both schemes—Lyons Ward & Associates and the Rockford Group—purported to be settlement claims funding companies that invested in lawsuits in return for a portion of future settlements. Danilovich also attempted to operate a third scheme, Baron & Caplan, including after he was arrested and released on bail in this case.

As part of these schemes, Danilovich and his co-conspirators created bogus documents and account statements used by cold-callers to solicit victims through false representations. In reality, there was no investment fund at all; instead, Danilovich and his co-conspirators simply stole the money invested by victims and laundered the proceeds by wiring them overseas to shell companies in Eastern Europe, which were then turned into cash in the United States.

Danilovich’s organization also

operated high-stakes illegal poker games and illegal sports books.

Danilovich was convicted of one count of conspiracy to commit racketeering, which carries a maximum sentence of 20 years in prison. In addition, Danilovich was convicted of conspiracies to commit securities fraud, health care fraud, mail fraud, wire fraud, and money laundering, as well as substantive counts of securities fraud, health care fraud, mail fraud, wire fraud, and money laundering, which, in total, carry a maximum sentence of 260 years in prison. In total, Danilovich faces a maximum sentence of 280 years in prison. Danilovich is scheduled to be sentenced on March 8, 2016, at 11:00 a.m., before Judge Batts. The maximum potential sentences are prescribed by Congress and are provided here for informational purposes only, as any sentencing of the defendant will be determined by the judge.

Danilovich, 41, of Brooklyn, New York, is the thirty-sixth defendant convicted in this case. Danilovich was remanded pending sentencing following his conviction.

At Danilovich’s first trial in the fall of 2013, a mistrial was declared after the jury failed to reach a unanimous verdict on all counts.

www.autobodynews.com | DECEMBER 2015 AUTOBODY NEWS 33

LIABRA Executive Director Informs Attendees That NY Sales Tax Department is Targeting Industry

by Chasidy Rae Sisk

On October 20, the Long Island Auto Body Repairmen’s Association (LIABRA) held their October General Meeting at Levittown Ford’s Service Department in Hicksville, hosted by Jack Christales, parts manager at Levittown Ford. Attendees enjoyed a buffet-style dinner, courtesy of their host, before the meeting officially began.

Ed Kizenberger, executive director of LIABRA, opened the meeting with a discussion on current events and industry news. He informed attendees that the New York State Sales Tax Department and Labor Department are targeting the collision repair industry by increasing inspections on Long Island, and some LIABRA Executive of these investigaDirector Ed tions have resulted Kizenberger in criminal charges, large fines and penalties. Additionally, the New York State Conservation Department will be re-registering air permits for collision repair facilities.

Kizenberger encouraged members to call him at 631-941-9647 if they hear from any of these departments.

Continued from Page 10

Markup Fees

full amount.

“Moving forward, we’ll have the ability to pursue an insurance carrier who chooses not to pay the same money for bad faith. We’ve now set precedence and it has been established that they in fact owe the money,” said Kilkeary. “That markup money is the body shop’s, regardless of whether the parts get put on the car or not.”

“Each of the cases is similar in the sense that they involve aftermarket parts,” said Tom Vreeland, Kilkeary’s lawyer.

“I think Tim wants other shops to know that the expenses they incur for these kinds of requests by the insurance company should be compensated,” he said. “When they say, ‘install an aftermarket part,’ and it doesn’t fit, why is the burden on the mechanic to absorb that overhead expense?”

Vreeland advises shops to document their personnel costs for doing inventory and office paperwork. “They need to be able to document what their expenses are,” said Vreeland.

“Some people might think $100 does-

After reminding attendees that General Motors will be rolling out its new parts pricing program in early De-

Attendees fill the room for the monthly October meeting

cember, Kizenberger introduced Scott Noel, Ford Wholesale Zone manager, who connected online with Gerry Bonnani, Ford’s senior engineer of the Paint and Body Repair Division. Bonnani delivered a one-hour presentation on the Ford aluminum F-150 pickup, beginning with a product overview and also diving into the repairability of the vehicle.

Because the F-150 frame is constructed completely from a highstrength, low-alloy steel, convenient frame repair sections are available. The vehicle’s exterior panels, as well as most of the cab, are aluminum, and he said with body sections and repair panels being welded or bonded and riveted together, it’s clear that Ford has designed the new F-150 with repairability in mind.

n’t seem like much, but it adds up.

Multiply that times the number of situations that you have on an annual basis and that could be substantial money for some shops.”

“With all of the money I spent to win these lawsuits the only saving grace will be that I can get some information to the rest of the industry that says, ‘Listen, the insurance companies knew they owned me that money,” said Kilkeary. “If they paid me, they will pay anyone else. You have to ask for it.”

Travelers Insurance and GEICO both declined to be interviewed for this article. Autobody News talked to Michael Barry from the Insurance Information Institute about who bears the cost of markup fees.

“U.S. auto insurers cumulatively pay the nation’s auto body repair shops billions of dollars a year to repair their policyholders’ vehicles,” said Michael Barry, vice president, media relations, Insurance Information Institute. “Those monies are used to pay auto body repair shops for the parts they purchase as well as their legitimate labor costs. Auto body repair shop markup fees are not an expense auto insurers should be absorbing.”

34 DECEMBER 2015 AUTOBODY NEWS | www.autobodynews.com

Outlining the type of adhesives and repair tools needed, Bonnani emphasized that aluminum repair is quite easy with the proper tools, careful hygiene and proper training. Ford will release all aluminum replacement parts with service sheets that detail how to properly install the part as well as a list of the materials and rivets necessary for installation. Aluminum repair training is available through motorcraftservice .com and I-CAR, and Bonnani highly recommended I-CAR’s aluminum welding course. The presentation concluded with a 30-minute question and answer sessi-on, and attendees were very receptive to the information Bonnani shared.

Next, Kizenberger introduced Kelly Stalcup of Assured Performan-ce who shared a 45-minute powerpoint presentation on the requirements and benefits of becoming an Assured Performance shop. In addiKelly Stalcup of tion to being OEM Assured Performance -certified, Assured Performance shops must meet all the requirements of a Class A facility. Anyone interested in becoming an Assured Performance shop, can contact Stalcup at www.assuredperformancecare.com.

The meeting adjourned at 10 p.m. after the 50/50 prize was drawn, and Juan of Portside Collision in Port Jefferson won the $250 cash prize.

LIABRA expressed their gratitude to Levittown Ford for the use of their facility, the buffet dinner and their gracious hospitality.

Ed Kizenberger presenting the 50/50 winnings to Juan of Portside Collision

LIABRA held their next meeting on November 17 at the Long Island Marriott. The association’s November General Meeting included a free GM training seminar, “2015 GM Restraint Systems - Repair It Safely After Collision,” presented by GM trainer Jim Mickle, and participants received a certificate of completion. The November meeting was being sponsored by Eagle Parts Center.

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www.autobodynews.com | DECEMBER 2015 AUTOBODY NEWS 35

H OND A C ON NEC TI CU T

Lia Honda of Enfield E nf ield

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

Schaller Honda New Britain

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

Criswell Honda Ger m an t ow n

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

O’Donnell Honda E llicot t City

410-461-5000 410-461-9654 Dept. Hours: M-F 8-6; Sat 8-5 bshortt@odonnellhonda.com

Ourisman Honda of Laurel Lau rel

800-288-6985 301-498-6050 Dept. Hours: M-F 7:30-7; Sat 7-4 ron.malitz@ourismanautomotive.com

AC URA MAR Y LA ND

Tischer Acura Lau rel

800-288-6983 301-498-3322 Dept. Hours: M-F 7-6; Sat 8-4 wholesaleparts@tischerauto.com MAS SAC HUSET T 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 JE RSEY

Acura Turnersville Tu r ners ville

888-883-2884 856-516-6060 Dept. Hours: M-F 8-5; Sat 8-4 kristen.powell@penskeautomotive.com 36 DECEMBER 2015 AUTOBODY NEWS | www.autobodynews.com

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

M AS S AC H U SE T T S

Herb Chambers Honda of Seekonk Se ekon k

508-336-7100

NE W J ERSE Y

Brewster Honda

Wes t Ne w Yo r k

Bre ws te r

York

866-483-6917 201-868-9500

845-278-4177

800-960-9041 717-848-2600

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

LIA Honda Northampton

M a di so n

800-369-7889 413-586-6043 Dept. Hours: M-F 7:30-5:30; Sat 8-4 dstanisewski@liacars.com NEW JERSEY

Clinton Honda An n a n d ale

Madison Honda 800-648-0293 973-822-1710

Ro che s te r

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

Rossi Honda

Lamacchia Honda

V i ne l a nd

800-893-3030 856-692-4449

Dept. Hours: M,Tue, F 7-6; W, Thu 7-7; Sat 7-4 chrish@clintonhonda.com

Route 22 Honda

P r in c et on

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

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

800-682-5941 609-683-5941

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

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

908-735-0900

Honda of Princeton

P EN NSY LVAN IA

Hudson Honda

Dept. Hours: M-Thu 7-8; Fri 7-6; Sat 8-5; Sun 9-5 Tespinola@herbchambers.com N or t ha m p t o n

N EW YORK

H i l l si d e

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

VIP Honda

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315-471-7278 Dept. Hours: M-F 7:30-5:30; Sat 9-1 parts@lamacchiahonda.com

Lia Honda of Albany A lba 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

Dept. Hours: M-F 8-4:30 kphillips2@princetoncars.com

N o rt h P l a i n f ie l d

Lia Honda of Williamsville

908-753-1680

W il l ia msv il le / Buffa l o

Honda of Turnersville

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

Tu r n e rs vil le

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

NE W YO RK

Babylon Honda Wes t B a by lo n

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

NEW JERSEY

NE W YO RK

877-659-2672 716-632-3800

Apple Honda Dept. Hours: M-F 7-6; Sat 7-4; Sun 10-4 applehondaparts@appleauto1.com

Baierl Honda Wex f ord

724-940-2006 Dept. Hours: M-F 8-5; Sat 8-4 johnryan@baierl.com

J.L. Freed Honda Mont g omer yv ille

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

Shadyside Honda Pit ts b urgh

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

Sussman Honda Ros ly n

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

Dept. Hours: M-Thu 7:30-8; Fri 7:30-5; Sat 8-5:30 liaparts@liacars.com

Ray Laks Honda We s t Se ne c a

716-824-7852 Dept. Hours: M-F 7:30-8; Sat 7:30-5:30 ekuznicki@raylaks.com

PEN NS YLVANIA

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Yo r k

E mm aus

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

Dept. Hours: M-F 7-5:30; Sat 7-3 parts@appleacura.com

Dept. Hours: M-F 7-5; Sat 8-5 mustafa@vinart.com

Paragon Acura

Baierl Acura

Sussman Acura

Woo d si de

Wexfo rd

Jen kint own

718-507-3990

800-246-7457 724-935-0800

800-826-4078 215-884-6285

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

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

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 N E W Y OR K

Acura of Westchester We st che s te r

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

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

Lehigh Valley Acura

Davis Acura L a ngho r ne

866-50-ACURA 215-943-7000 Dept. Hours: M-F 7-7; Sat 8-4 markh@davisacura.com

www.autobodynews.com | DECEMBER 2015 AUTOBODY NEWS 37

Five Things to Know about California’s Bureau of Automotive Repair (BAR)

by Ed Attanasio

If you were at SEMA this year, you probably visited a few bars, but the BAR many body shop owners and managers were talking about does not sell $15 specialty cocktails or plays loud music. This BAR is the Bureau of Automotive Repair and if you don’t comply with their rules and regulations, you could get a hangover that can last for many years.

Jack Molodanof, a California attorney and lobbyist who has distinguished himself in areas of automotive legislative and regJack Molodanof,a ulatory law over the California attorney past 30 years gave a and lobbyist told body shop owners 2-hour presentation and managers how on Nov. 6 at the to “Protect Your SEMA Show as Business from part of the educaFines and tional series offered Disciplinary Actions by the CA Bureau

by SCRS. “Protect of Automotive Your Business from Repair” at SEMA Fines and Disciplilast month nary Actions by the CA Bureau of Automotive Repair” was the title of Molodanof’s comprehensive class.

Molodanof is the go-to lawyer/ lobbyist in California for the automotive repair industry and represents several statewide automotive associations, including the California Autobody Association (CAA) and Automotive Service Councils of California (ASCCA).

Molodanof also serves on the California Bureau of Automotive Repair (BAR) Advisory Group, which provides input on BAR programs.

Here are five important things that we gleaned from this highly-informative presentation:

1) The BAR is a 100% complaintdriven organization The BAR doesn’t normally conduct random shop inspections, so if they’re calling you or knocking at your door, it’s likely that a customer complained.

Free

That’s why we always tell shops to take the Nordstrom’s approach to customer service—placate the customer and keep the BAR away from the door. Bad customer service can bite you on your backside in more than one way, because the BAR may look at your Yelp and Goggle reviews during the course of any investigation. In the 2014/15 fiscal years, the BAR received approximately 15,000 complaints, of which 1,718 (12%) were auto body related, which ends up being roughly one complaint for half of all the shops in the state. BAR has also instituted an Auto Body Inspection Program. Under this program, inspectors from the BAR will examine a consumer’s car at no cost to verify that all repairs listed on the invoice were performed correctly. The BAR will even make house calls or meet you at the local Starbucks to inspect your car, while the consumer is relaxing and sipping a latte.

2) Customers aren’t the only people that can turn you into the BAR Keeping your customers happy is always paramount, but falling down in other areas can also cause a complaint to the BAR. In many cases, insurance companies and competitors will complain about things such as sloppy repair orders, inaccurate estimates, incomplete authorizations and other issues that can potentially ruin your day (or year). The message here is if you do quality work, produce accurate paperwork and operate a transparent and accountable business, you’ll be fine, but remember—everyone is watching you and many of them are not your biggest fans.

3) The BAR is always looking for fraud The cherry on the sundae for any organization like the BAR is uncovering fraud. If the BAR is investigating you for fraud, you won’t know it until they tell you. They won’t warn you or try to help you to make amends with a complaining customer once they smell fraud. The consequences for fraud are serious and can even lead to the loss

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of your license, so when the BAR calls, take it very seriously for obvious reasons. Unless you’re inviting the BAR to be at your shop, it’s never a good thing to have a BAR representative at your business. Protecting consumers from fraudulent and substandard work is, and will remain, the BAR’s highest priority.

4) Many problems begin with sloppy paperwork One body shop owner was asked about a recent visit at his shop by the BAR, but he didn’t seem concerned.

“They just wanted to look at my paperwork, including my vendor invoices.” But, we told him—“no, that’s serious.” They’re looking at your paperwork to find fraud. The top five allegations against body/collision facilities cited by the BAR are in order: Negligence/competence; false and misleading statements; estimates/invoices; fraud and authorization. But, if you look closely at all of these, most of them begin with the paperwork; because it provides concrete evidence in any case that the BAR is building against any shop. This is why the accu-

racy and completeness of all your paperwork is so crucial.

5) MSOs are more at risk than the independents If you’re the owner of a Multi-Shop Operation (MSO) then you already know that you can’t be in all of your locations simultaneously. This means that it’s much easier for details to be omitted and/or estimates and invoices aren’t checked for accuracy. It’s just makes sense—an MSO has thousands of moving parts, which presents a wide range of additional problems that an independent does not have. We have seen this scenario more than a few times, when a manager at an MSO’s shop gets a formal complaint from the BAR and then does not tell the owner. The manager is scared and embarrassed, but in the end it becomes a much larger problem than it originally was. The point is this—if you’re an MSO owner (or manager) the BAR is more likely to call, because with more customers the odds are higher and that is why MSOs need to be more careful and thorough in everything they do.

www.autobodynews.com | DECEMBER 2015 AUTOBODY NEWS 39

NHTSA: Repair Shops Could Get Airbag Recall Work

Independent repair shops could soon step on what has always been a franchised dealer’s exclusive turf: recall repairs.

National Highway Traffic Safety Administration officials said they see a possible role for nondealer service shops to help with the mammoth task of replacing the 23 million defective Takata airbag inflators spread across 19 million U.S. vehicles made by 12 manufacturers.

Such a move would be unprecedented, as only franchised new-car dealers are currently authorized to perform recall repairs. It also would add another layer of complexity and risk to what NHTSA is already calling the most complex auto safety recall effort in U.S. history. Still, the fact that it’s under consideration reflects the urgency with which NHTSA views the inflator recall effort and a recognition by the agency that it may require extraordinary measures to complete it.

“If dealers for a vehicle manufacturer are unable to keep up with the demand for replacements even though plenty of parts are available, we may consider allowing repair shops or other facilities to complete recall repairs,” Stephen Ridella, director of vehicle crashworthiness research at NHTSA, said at the Oct. 22, briefing. “While this is something specifically allowed in the law, these in-

flator parts are complex and unique ... only someone with specialized training should replace these parts.”

Involving independent repair shops won’t be easy, says Aaron Jacoby, a partner at the law firm Arent Fox who specializes in automotive matters.

Takata’s supplier contracts, which are regulated by law, dictate that Takata work only with authorized dealers of their automaker clients and could prohibit sales of replacement parts directly to independent auto shops. Additionally, manufacturers set standards and provide recall repair instructions only to their dealers.

“There are numerous statutory, practical, business and contract hurdles to overcome that would negate any perceived benefit of going forward with such a plan,” Jacoby said.

The National Automobile Dealers Association said NHTSA’s priority should be adding supply capacity, not repair capacity. “Every dealer of the affected brands has the expertise, tools, training, and capacity necessary to fix impacted vehicles, and they are expeditiously doing so as soon as they take delivery of replacement parts,” NADA spokesman Jared Allen said in a statement.

NHTSA Administrator Mark Ro-

Auto Body Repairers Team with Progressive Insurance to Donate More Than 130 Cars to Veterans

To honor their service to our country, more than 130 veterans across the country each received a completely refurbished vehicle on Veterans Day as members of the National Auto Body Council teamed up with The Progressive Group of Insurance Companies for its third annual Keys To Progress car giveaway.

Keys To Progress is an extension of the National Auto Body Council’s Recycled Rides™ program and is the single largest one-day vehicle donation.

Recycled Rides is an industry-wide program in which companies representing all facets of the collision industry collaborate to repair and donate vehicles to individuals and organizations in need.

Collision repair members of the National Auto Body Council volunteered resources and time to repair the vehicles which were presented at 60 Progressive Service Centers. A number of other National Auto Body Council members contributed parts and materials for the vehicle repair.

“We commend Progressive for its leadership role to support our military men and women by providing the gift of reliable transportation. We are proud to be part of this great effort for the third

year in a row,” said Chuck Sulkala, NABC Executive Director. “Keys To Progress is a wonderful opportunity for our members to collaborate with colleagues to give back to their local communities. This truly exemplifies the professionalism and integrity of the collision industry.

Other partners in the Keys To Progress event include: Enterprise Rent-A-Car which provides insurance for each donated vehicle for the first six months, and also provided free car rentals to transport families to the Progressive Service Centers for the event as needed. The insurance policies are written by Progressive.

VRC Investigations, a veteranowned and operated organization, helps support the recipient selection process each year.

The Original 1-800-Charity Cars, powered by AudaExplore, a Solera Company, donates resources to facilitate titling and registration of vehicles for recipients.

Salvage partners Copart and Insurance Auto Auctions (IAA) donate some of the vehicles.

Local charity partners helped to identify the most deserving recipients in each region.

40 DECEMBER 2015 AUTOBODY NEWS | www.autobodynews.com

sekind acknowledged the many obstacles and risks, telling reporters last week that bringing independent shops into the mix “would be opening up exactly that concern about the quality of repairs, and that would be one of the things that we would have to look at before we could implement that aspect” of NHTSA’s authority.

Still, NHTSA officials said, the pace of progress is far too slow given the millions of cars with the suspect inflators and the high risk of bodily harm when a Takata inflator ruptures. The defective airbag inflators, which can explode in a crash and send out a spray of metal fragments, have been linked to eight deaths and about 100 injuries.

After a sharp expansion of the inflator recalls over the last year, the repair completion rate as of Oct. 9 was just 22.5 percent nationally, NHTSA officials said at the briefing. In high-humidity areas, mostly along the Gulf of Mexico, where the risk of a rupture is viewed to be greatest, about 29.5 percent of the recalled vehicles have been repaired. Many fixed vehicles are merely getting newer sets of the same inflators and may need to be repaired again later, NHTSA officials said.

Expanding the repair network is one of eight possible actions that NHTSA officials are contemplating to speed

completion of the Takata recalls, with final decisions due from Rosekind by Thanksgiving. For example, NHTSA may require automakers to speed their recalls for vehicles that pose the highest risk of a rupture, which NHTSA says are vehicles that are 5 to 10 years old and have spent several years in hot, muggy climates. Such an order could include a directive to expand their sources for procuring replacement inflators.

Takata is shipping about 2.8 million replacement airbag kits—including inflator components from various manufacturers—a month to dealers for recall repairs in the U.S. and other markets.

American Honda Motor Co. says it has repaired almost 40 percent of the 9.9 million recalled Takata inflators contained in about 6.3 million U.S. vehicles.

Honda and Acura dealers are replacing an average of 24,000 airbag units daily using replacement inflators coming from Takata as well as rival firms TRW, Daicel and Autoliv. Its dealers are “well positioned to handle incoming demand,” the company said, and it’s focusing on getting owners to bring their cars in.

Spokesman Chris Martin said: “If we reach a point where our dealers are unable to handle ongoing repair volume, Honda will explore all available options to ensure the safety of our customers.”

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2015 VeriFacts Achievement in Collision Repair Excellence (ACE) Awards: “The March Taylor Award” and “The John Loftus Award” VeriFacts announced its 2015 Achievement in Collision Repair Excellence (ACE) awards. ACE awards recognize shops and individuals contributing to the advancement of the industry. At Collision Industry Conference in November, VeriFacts Vice President Greg Gray said, “The winners for these awards were picked from the best in the industry. They

(l to r) Mark Olson, David Nordeen, Miro Baliver, Gregory Gray

have an impressive commitment to quality that we want to recognize them for.”

The March Taylor Award and John Loftus Award are earned by individuals who contribute to the success of VeriFacts VQ facilities by excelling in their role.

● David Shugart of Mike Johnson’s Collision operated by DCR Systems, Hickory, NC is the 2015 winner of the

March Taylor Award for Excellence in Automotive Refinishing.

● Jaimes Higuera of Caliber Collision Riverside – Indiana, Riverside, CA is the 2015 winner of March Taylor Award for Excellence in Traditional Material Repair.

Collision Repair Management.

● Rich Fish of Fix Auto USA is the 2015 winner of the John Loftus Award for Excellence in Collision Repair Leadership.

The ACE Award recognizes the remarkable collision repair center that consistently produces and delivers the highest repair quality.

● Caliber Collision, Gainesville, VA is the 2015 winner of the ACE Award for Excellence in Traditional Material Repair.

(l to r) Mark Olson, David Goldstein (accepting for Gainesville, VA), Gregory Gray

● Frank Garibaldi of Chilton Auto Body, San Carlos, CA is the 2015 winner of the March Taylor Award for Excellence in Aluminum and Advanced Material Repair.

● Miro Bilaver of DC Autocraft, Burbank, CA is the 2015 winner of the John Loftus Award for Excellence in

● Fletcher Jones Motor Cars, Newport Beach, CA is the 2015 winner of the ACE Award for Excellence in Aluminum and Advanced Material Repair.

The Disruptive Innovation award is given to people and companies determining the direction of the automotive collision repair industry. ● Keith Myers of Eurotech, Torrance, CA is the 2015 individual winner of the Disruptive Innovation Award.

● Tesla Motors of Palo Alto, CA is the 2015 organizational winner of the Disruptive Innovation Award.

CCC Receives Classroom Grant Through CREF

The Collision Repair Education Foundation (CREF) announced United Technical Center as the recipient of the CCC Information Services Inc. (CCC) Classroom Enhancement Grant. United Technical Center in Clarksburg, WV, will receive a $12,000 grant that will assist the school with collision-related classroom materials such as electronics, classroom furniture, and other items to ensure students have a professional learning environment.

United Technical Center was eligible for this award by applying for the 2015 Collision Repair Education Foundation’s Ultimate Collision Education Makeover grant. CCC has been a member of the Collision Repair Education Foundation since 1993.

“Today’s students will become important members of the collision repair community,” said Mary Jo Prigge, president, Service Operations for CCC. “Equipping them with the technology, tools and environment needed to learn and hone their skills will help them be successful and confident as they enter the workforce.”

For more information, contact Brandon Eckenrode at 847-463-5244 or Brandon.Eckenrode@ed-foundation .org

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Axalta Coating Systems Acquires ChemSpec USA

by Victoria Antonelli, Online Editor

Axalta Coating Systems, a global supplier of liquid and powder coatings, announced the purchase of ChemSpec USA on November 3 during the 2015 SEMA Show in Las Vegas.

of coatings for the economy segment.

“The team at ChemSpec USA is very excited about the opportunities that the acquisition by Axalta will present to our customers, employees and external partnerships,” added Ron Snow, President ChemSpec USA. “It will allow ChemSpec USA as well as its current and future customers to have huge growth opportunities by having the financial backing and automotive refinish experience that Axalta will bring to our organization.”

Autobody News interviewed Jonathan Purifoy, Axalta Integration Manager-NA Refinish, during the show to find out more about the purchase.

Q: Please give some background on Axalta Coating System’s acquisition of ChemSpec USA.

“We’re very excited about the ChemSpec acquisition,” said Nigel Budden Axalta Vice President and head of its North America operations at the time of the deal. “This acquisition will help us to better understand and enable new growth in the economy coatings segment.”

ChemSpec USA is a manufacturer

A: “We wanted to grow our market share in the economy segment. ChemSpec USA gives us a strong portfolio of products that help meet the needs of customers in this important segment.

Timing for the transaction was good for both parties.

Q: How will this acquisition help the collision repair sector of Axalta Coating Systems?

A:“ChemSpec USA has good distribution, a results-oriented team of sales people with great products and solutions. The ChemSpec USA refinish color system has great color capabilities, is domestically manufactured, and was developed to cover the color space well. We have heard great feedback from customers on the results that they get from the products. ChemSpec USA is in a market space and channel that we would like to develop and grow.

This acquisition complements our company.”

Q: Will ChemSpec USA be rebranded /remarketed now that it is owned by Axalta?

A:“ChemSpec does very well in the economy market space, and Axalta does very well in the premium and mainstream markets. Our goal is to maintain ChemSpec’s nimbleness and entrepreneurial mindset, operating them as a wholly owned subsidiary.

We do not have plans to co-brand or co-market ChemSpec product, or rebrand the company, at this time.”

Q: Will the ChemSpec products continue to be manufactured in the same location?

A: “The manufacturing plant and headquarters for ChemSpec in Orrville, Ohio, will remain open and functional.

The team is very agile and can manufacture products very quickly.”

Q: What are the most frequent questions you’ve been asked by SEMA attendees concerning the acquisition?

A: “The questions I’ve heard at SEMA are mostly from distributors. Distributors across the country recognize the power of Axalta and the value of ChemSpec products. They want to expand their product offering and together we want to bring the best of Axalta and ChemSpec to the end-user customer without altering ChemSpec brands or personality.”

Axalta and ChemSpec jobbers alike can contact Jonathan Purifoy at: jonathan .p.purifoy@axaltacs.com for more information.

A full description of ChemSpec USA automotive paint products can be found at http://www.montprod.com/ More information on Axalta Coating Systems can be found at www.axalta cs.com

www.autobodynews.com | DECEMBER 2015 AUTOBODY NEWS 43

AASP-PA Holds 8th Annual Clay Shoot, Announces Upcoming Meetings

by Chasidy Rae Sisk

On September 26, AASP-PA held their 8th Annual Clay Shoot at Warrington Sporting Clays, located in Wellsville, PA. According to Amanda Henry, assistant executive director and advertising and marketing director of AASP-PA, “We had great attendance and sponsorship this year. Thank you again to our attendees and sponsors for making this such a wonderful event!”

The first place winners of AASPPA’s 8th Annual Clay Shoot were Tom Zech of Zech’s Service Center and Mark Gass of Jasper Engine and Transmission. Second and third place honors were awarded to Codorus Service Center teams. The competition for Highest Individual Score yielded a tie between First Niagara’s Brandon and Curvin Miller from Codorus, but a shoot-out determined Curvin to be the winner; Brandon won the new gun raffle introduced this year.

AASP-PA’s Chapter 8 was the Platinum Sponsor for this event, and Auto Zone provided a Gold Sponsorship. Silver Sponsors included First Niagara, Jasper Engine and Transmission, Keystone Insurers Group and Zimmerman’s Automotive.

AASP-PA hosted a variety of

chapter meetings in October and November. On November 12, they held a Snyder County Safety Inspection meeting at Sun Area Technical Institute, featuring an update on the safety inspection program with questions addressed by QAO Will Kern and Mark Zmiejko.

The same evening, Chapters 9 and 24 held a meeting at Greenvillage Drive-In

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by Jeremy Pourst of Amsoil.

Pro Spot Offers a Look at New Products at SEMA Pro Spot International, manufacturer of welding equipment for the collision repair industry, released a sneak peek of some of their new products at SEMA 2015.

NEW & Improved Rivet Gun: PR-5 Riveting System Pro Spot has taken all of your current and future riveting needs and put it ALLIN-ONE easy-to-use unit! The Pro Spot Riveter uses pressure and specialized dies to apply and remove a variety of rivets without heat. For heat sensitive materials, like aluminum, this cold joining process is necessary for rivet application.

Pro Spot has designed & enhanced many features that make the PR-5 the most innovative and versatile Rivet Gun around!

What’s NEW? New & Enhanced Dies, a variety of magnetic dies for applying Self-Piercing Rivets (SPR), Solid Rivets, Flow Form Rivets, and Hollow Rivets. It also has dies for Removing Rivets, Flattening and Cal-

ibrating. A Quick Connect Adapter makes switching arms faster and easier.

New Features: Flow Form System, Lightweight, Deep Throat Arms. Battery system ensures structural riveting cycle regardless of battery power level.

Latest Technology in Precise Aluminum Repair: PS-DA5 Drawn Arc Welder Sophisticated technology, but simple to use—the PS-DA5 applies Pulling Keys and Threaded Studs using Drawn Arc Technology.

We are seeing more and more aluminum stud welding in the collision repair environment. The PS-DA5 is the latest technology in precise dent pulling and stud welding.

These applications are going to be key for aluminum repairs, as more and more aluminum vehicles hit the market.

Many replacement parts may not have the studs included with the parts. You will see a lot more aluminum stud welding in the collision repair environment as well.

44 DECEMBER 2015 AUTOBODY NEWS | www.autobodynews.com

Assured Performance Co-Op Announces 2016 Board of Directors November 10, 2015

Assured Performance announced on November 10 their 2016 Board of Directors for their Co-Op entity. In accordance with their bylaws, the Co-Op Board of Directors is represented exclusively by body shop owners on behalf of over 3,000 collision repair businesses across the entire U.S that are official Co-Op Members. The Board includes the following industry notables: Brett Bailey, A&B CARSTAR - Midwest Region Kathy Mello, TGIF Body Shop, Inc. - Northern California Region Luis Alonso, Pan American Collision Center - Southern California Region Dusty Womble, Roger Beasley Collision - South Central Region Ron Reichen, Precision Body & Paint, Northwest Region Matt Parker, Parker Auto Body South East Region Dave Rush, D&M Auto Body - North East Region Paul Van Aken, Paul’s Quality Collision, LLC. - North Central Region Matt Thornton, Park’s Royal Body Works - Western Region These shop owners represent all regions of the country with hundreds of years of experience collectively. In-

dividually, they have shown themselves to be effective leaders in the industry and their respective markets.

The Co-Op enables body shops to earn and receive rebates and special pricing on products and services such as Certified Rebate Reward Programs from participating auto makers along with various other vendors. These rebates and rewards help to create a funding mechanism for shops, helping with continuous improvements necessary for shops to be successful, and further invest in the critical business needs that shops are facing now and in the future.

“We are proud that our Board represents the brightest minds and the best collision repair businesses across the country and look forward to their participation on our board to make our Co-Op and Certified Rewards programs the best service to shops in North America,” stated Scott Biggs, Chairman and CEO of Assured Performance. “These professionals have proven themselves through their past success, acute business knowledge, and leadership within the industry.”

Participation in the Certified Rewards and rebate programs is restricted to official certified body shops.

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www.autobodynews.com | DECEMBER 2015 AUTOBODY NEWS 45

Determining Values for Total Loss Vehicles Often Complicated and Controversial

by Stacey Phillips, Assistant Editor

Earlier this fall, Autobody News talked to Robert McDorman from Vehicle Value Experts about total loss evaluations. Based in Vidor, Texas, McDorman works as a third-party appraiser, negotiating with insurance companies to receive higher amounts for consumers whose vehicles are deemed total losses.

Following that news coverage, we reached out to several insurance companies as well as market valuation companies to learn how total losses are determined and how prices are set.

All declined to be interviewed.

“There are over 3.5 million vehicles deemed total losses each year in the United States,” according to Insurance Auto Auctions (IAA). “Since 1997, this number has grown significantly, mostly due to vehicle manufacturing changes and improvements including air bags.”

Established in 1982, IAA is a salvage vehicle auction company with more than 165 auction locations.

Twice a year, IAA releases an industry report that analyzes and interprets major industry trends, as well as the industry’s response to the economy.

The findings help IAA analyze the salvage vehicle market.

The six indicators they use include: crushed-car price index, metal prices, vehicle parts and equipment prices, used-car price index, U.S. dollar index and an index of foreign buyers.

“IAA collaborates with sellers to facilitate the sale of vehicles deemed total losses,” according to IAA’s web-

value assigned to the car,” said Michael Barry, vice president, media relations of I.I.I. “For you to get a settlement higher than the book value of your car’s make and model, you will have to submit evidence such as mileage records, service history and affidavits from mechanics to show that your car was worth more.

You’re entitled to the market price of

“There are over 3.5 million vehicles deemed total losses each year in the United States,”

—Insurance Auto Auctions (IAA)

site. “When a vehicle comes to IAA, its experts have a detailed process to inventory the vehicle, prepare it for auction, and load it for transport once it’s sold. IAA’s efforts to provide a vast network of local, national, and international buyers ensure that vehicles sell quickly and for the best possible price.”

Autobody News contacted the Insurance Information Institute (I.I.I.), a New York City-based consumer education organization that is funded by the insurance industry. “Most standard auto policies will not pay to repair a vehicle if the repairs cost more than the cash

the car you just lost. You shouldn’t get more or less than what you are due.”

Vehicle Value Experts Case Studies After more than 25 years of working in the industry, McDorman began focusing on detailed valuations for consumers and body shops in 2013. “It is my contention as much as 50 percent of the total losses were totaled in error by the insurance companies,” said McDorman.

“I work every day on overturning economic total loss claims and convincing the insurance company to repair the vehicle instead of totaling it out.”

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McDorman wrote an in-depth review entitled “The Science of Risk” that outlines the economic impact of such actions from a body shop, lender and consumer position. “It is my adamant professional opinion based on factorial archived data, that the wrongful perceived value computation used by the market valuation firms at the direct instructions of the insurance industry on motor vehicles is the driving factor of economic total loss claims.”

His study was based on a situation with Terry and Victoria Ceramis and State Farm Insurance.

Terry and her daughter Victoria purchased a 2008 Dodge Avenger in 2013 from Martin Motors, located in Beaumont, Texas. McDorman said the car was above average, had a clean car fax and no accidents reported.

State Farm Insurance issued full coverage insurance for the owners of the vehicle and ChrisDan Capital, the lender, against the potential loss and/or damage of the vehicle through March 2014. In January of that year Victoria was involved in an accident while driving the vehicle, of which she was at fault. State Farm estimated

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the repair costs at $6,375.30 and determined that the market value of the vehicle was $8,336.12. Subsequently, the insurance company notified Terry they were going to total the car.

Terry contacted McDorman and said that she owed $16,951.43 on the car and she had no choice but to release the car back to ChrisDan Captital dba Martin Motors and walk away from her investment in the vehicle.

McDorman conducted a market evaluation report and estimated the fair market value at $9,300.

“State Farm should have repaired the Ceramis’ vehicle,” said McDorman. “Since State Farm solely chose to total out the Ceramis’ vehicle, they should have used a realistic fair market value to compensate all interested parties and they did not.”

Danny Martin of Martin Motors has known McDorman for more than 25 years. “We used to be in competition with each other,” he said. “My son and I used to drive by his car dealerships and laugh about how many wrecked customer cars were in his storage lot. Little did we know these were insurance claims he was working on for his customers that he had financed.” Today, McDorman handles

all of Martin Motors’ insurance claims on his customer loan portfolio.

“The benefit of doing the analysis has been staggering,” said Martin.

“Prior to me employing Mr. McDorman a little over seven years ago to handle the wreck claims on our customer loans, Martin Motors was losing an average of $6,500 a loan on customers’ car loans we had financed that were in a wreck and subsequently totaled out.”

He said they have reduced that number to an average of $3,300 per total loss

market settlement, which he said drastically cuts down repossession losses from vehicles that are totaled.

Danny Smith also hired McDorman as a third-party appraiser to help with a 2005 Toyota Camry. His wife was hit by another vehicle and the damage seemed to be limited to the trunk area. S&W Paint and Body in Vidor, Texas evaluated the car, and told the Smiths the cost of repairs would be about $4,500. The other insurance company proposed the value at $5,100 with

“It is my contention as much as 50 percent of the total losses were totaled in error by the insurance companies,”

–Robert McDorman of Vehicle Value Experts

claim. Martin Motors averages three total loss transactions a month and an average of six collision damage claims a month on the cars they are the lien holder on.

“I wish every lender in the industry could find out that they do not have to take the original offer of settlement from the insurance company,” said Martin. He said most lenders are not aware that the lender who is the loss payee of the collateral can hire a third-party appraiser to receive a fair

a $1,500 salvage value, totaling the car.

The Smiths purchased their car new and had driven it for more than 10 years. “It was in excellent condition and we were not ready to purchase another car with notes,” said Smith. “We felt there was no need to total the car and we really wanted to keep it.” The Smiths hired McDorman to conduct a market evaluation report. When the report was submitted to State Farm, the insurance company changed their evaluation to $7,800, which enabled the Smiths to re-

pair the car.

Smith said the evaluations “…offer the vehicle owner a choice in the matter to recover their valued loss instead of being dictated by insurance companies what they must do. It took into consideration every aspect of the car and its uniqueness instead of evaluating it with a dozen similar vehicles on the market.

In this case, it proved it was of more value than those that were compared to it.”

Autobody News contacted State Farm about these situations and total loss claims in general. “We handle each claim on its own merits and cannot discuss the specifics of our customer’s individual claim,” said Roszell Gadson, State Farm Pulic Affairs–Media Relations. “As an organization, we take pride in our customer service. We are committed to paying what we owe, promptly, courteously, and efficiently.”

The following companies declined to be interviewed: CCC, Mitchell, Farmers Insurance and Germania Insurance.

Autobody News will continue to follow this story and welcomes any information from the industry about total loss evaluations. Contact Stacey Phillips at sphillips@autobodynews .com.

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www.autobodynews.com | DECEMBER 2015 AUTOBODY NEWS 47

Continued from Cover

CIC debates

need for it in the market today. I think our time at CIC could be better spent doing something more productive.”

But Stabler back in January had charged the CIC Definitions Committee with revising the document – which Stabler called a “valuable tool” that has been “used widely throughout our industry – following a vote of CIC participants that found overwhelming support for doing so.

So at CIC in Las Vegas, the committee shared a “working draft” of a revision of the definition. Since its creation in the late 1980s (and revision every few years since), the “Class A” definition attempts to outline the equipment, capabilities, training and regulatory compliance practices that distinguish superior repair facilities.

The committee has posted to the CIC website copies of both the 2013 version of the definition (http://tinyurl .com/2013def) and the current revised draft (http://tinyurl.com/2015draftdef) in a format that allows anyone to offer comment and suggestions to the committee.

One significant change that has been proposed is to define three segments of “Class A” repair facilities: those that do only non-structural or cosmetic repairs, those that do structural repairs, and those that do structural repair on “ad- vanced materials” (such as aluminum).

“It became apparent to the committee that we co uld not continue with a one-size-fits-all approach,” committee co-chairman Chris Evans said in presenting the new draft document. “Is it time to consider three different ‘Class A’ segments? That doesn’t mean that when we present this in final form that there will be three. This is a draft.”

(This aspect of the draft drew criticism from CIC participant Scott Biggs of the Assured Performance Network.

“If I’m a consumer and I have an estimate, do I know whether I’m taking it to a cosmetic repairer or a structural repairer?” Biggs asked rhetorically. “Most consumers don’t know more than the year, make and model of their vehicle.”)

Committee member Rick Tuuri said the training and certification requirements of the Class A shop definition also have been revised in the new draft.

“We want to make sure the training or certification actually applies to the technician doing the job,” Tuuri said.

“We’ve all heard about the shop that has one I-CAR-trained or ASE-certified technician, but the question is, is that the technician that’s working on your car?

We now say every person that’s doing the job has to have the training and/or certification that’s required to do that job.”

The committee Chris Evans has also proposed a significant change to the “compliance and sustainability” section of the document, eliminating a complex chart of regulatory agencies and requirements that had been added to the 2013 version of the “Class A” definition. Instead, the document returns to a simple statement that all “Class A” shops meet and comply with federal, state and local regulations.

That requirement, however, will include a link to a new website (www .ciccomplyandsustain.com) the committee is developing to give shops state-by-state assistance with environmental and worker safety compliance regulations and sustainability assistance. Evans said that website is still “a work in progress.”

“But we feel as a committee that adding this resource is of real value,” he said.

Evans pointed out that the “Class A” definition is just that – only a document outlining the industry’s view of the topic. CIC is only a gathering place for discussion, not a formal organization. Therefore the definition is not a certification program itself.

“We don’t have an ability or authority to police compliance with this Class A document,” Evans said. “It’s really those who chose to adopt the Class A documents – maybe regulatory bodies, governmental folks, people who manage fleets, maybe some insurers – that if they choose to embrace the Class A document and reference it in their material, they’re the ones who would police or determine compliance in their own way.”

It was that aspect that a number of SCRS representatives said make the document much less relevant today, given the growth of automaker shop certification programs that they feel better set the “Class A” standard in the industry – and include some level of verification and enforcement.

“When the Class A definition was first created, we didn’t have as an industry a lot of the programs that exist today,” Aaron Schulenburg, execu-

48 DECEMBER 2015 AUTOBODY NEWS | www.autobodynews.com

tive director of the SCRS told the committee in Las Vegas. “There weren’t the delineations and differentiations for shops that are there now. I think one of the things to consider is whether or not the need for this document from this body persists, given the developments that have taken place in other areas of the industry that have filled the need that was once there.”

SCRS board member Amber Alley of Barsotti’s Body & Frame in San Rafael, Calif., said she felt the definition “waters down” the various OEM shop certification requirements which she views as “the gold standard” in the industry.

“It’s dangerous, in my opinion,” she said.

Womble said the definition seem-ed Rick Tuuri more needed in the industry a quarter-century ago when vehicles and circumstances were different.

“It was an attempt to give a headsup to part of our industry on who they should be looking for as their direct repair programs evolved,” Womble said.

“No disrespect intended. You all do a

great job with this committee. But I would encourage you to flush this and move to something else.”

Tuuri reminded CIC participants in Las Vegas that the committee worked on a revision of the definition based on direction from the CIC body back in January.

“Mr. Stabler asked, ‘Should we or shouldn’t we update the existing Class A document,’ and I think 80-some percent of the people in the room said yes, we should,” Tuuri said. “This is not the Definitions Committee running wily-nily and doing something that we [alone] think is a good idea. We’re doing what you told us you thought was a good idea.”

“I think if you would have taken a vote of just the people you’re trying to define, the shop owners, I would say the vast majority of them would tell you you’re wasting your time,” Womble responded.

Committee co-chair Evans said that if the CIC body decides the document has outlived its useful life, the committee is fine with that. For now, he said, the proposed draft is available for input and comment prior to the next CIC meeting, being held Thursday, January 14 in Palm Springs, CA.

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www.autobodynews.com | DECEMBER 2015 AUTOBODY NEWS 49

PARTS Holds Successful Education Seminar and Tradeshow

by Chasidy Rae Sisk

On Saturday, October 3, the Pennsylvania Automotive Recycling Trade Society (PARTS) held their 2015 Train for Success event, hosted by Dorman Products.

The event featured a tour of Dorman’s facility, an industry trade show and seven educational sessions, as well as plenty of opportunities for networking. According to Doug Reinert from PARTS, “The event went great! It was a very successful show with 56 attendees from 25 facilities and 14 vendors at the tradeshow.

Attendees were very receptive to the educational information presented, and our survey yielded great responses in regards to the subject matter. Thanks to our vendors and speakers who helped to educate us on the latest and greatest and made the event a huge success!”

Saturday morning began with a tour of Dorman Products’ facility, but the HPI Car Part Wash demo had to be cancelled due to inclement weather.

Reinert said that during the tour, “We learned a lot, including how they identify issues with OEM parts. It was very informative.”

When the tour ended, the tradeshow opened for three hours, giving attendees a chance to visit booths and learn about the products offered by the exhibitors in

attendance. This year’s vendors included Dorman Products, MCI Core, SAS Forks, HPI Processes, Pinnacle, Electric Guard Dog, Keystone Alliance Insurance Services, Car-Part.com, Buddy Automotive, Crush U Pull It Software, Phoenix Automotive Cores, JB Core, Rebuilders Automotive Supply, Premium Car Solution, and G J Sullivan Company. Reinert noted, “The quality of the vendors and buyers was good, and vendors were pleased with the turnout.”

The educational portion of the event began at 2 p.m. with “What to Do When the Investigators Come Knockin’: Do You Start Talkin’ or Tell Them to Keep Walkin’” presented by Barbara Zemlock, partner in the law firm of Perry, Shore, Weisenberger & Zemlock.

In addition to addressing your rights when law enforcement knocks at your door, Zemlock provided best practices and strategies when dealing with law enforcement in various situations. Simultaneously, Sue Schauls, Environmental and Safety consultant with the Iowa Certified Automotive Recyclers Environmental (I-CARE) program presented “Prescription for Safety,” offering a simple approach to developing a strong safety program to meet all OSHA Haz Comm, MSDS/SDS and labeling requirements by current deadlines.

Next, “How Social Media, Customer Service and Extended Warranties Will Increase Your Bottom Line” was presented by Theresa Colbert, sales and training specialist for Car-Part.com, and this seminar covered interacting with customers through social media as well as online ratings and advertising.

She also explained why competitors offer extended warranties and why attendees should do the same. At the same time, Brian Seltzer from Premium Card Solutions presented “Winning Chargebacks and Avoiding Scams” in which he focused on how to manage credit cards to limit exposure to fraud and comebacks, things sales teams should be aware of to avoid being scammed, new smart cars laws and their impacts on businesses, and how the PARTS credit card program can help businesses.

The final three segments were offered during the same time slot, allowing attendees to choose between Sue Schauls’ “Hazmat Shipping Certification,” Theresa Colbert’s “Retrain Your Brain and Retain Your Customers,” and “Safety Orientation – Star Insurance Company” with GE Risk Management’s Principal Consultant Ken Librizzi. Schauls’ seminar provided the classroom certificate required for non-deployed airbag and seatbelt pre-

tensioners, while Colbert’s topics included how brokering trusted yards raises profits without capital, why “the way we used to do it” no longer works, and how to have what customers want through aftermarket brokering. “Safety Orientation” covered basics of safety leadership and risk management and also provided attendees with website resources.

Reinert explained that the main purpose of the PARTS event was to “provide education for business owners and their employees. Our sessions focused on thinking outside the box, helped attendees stay current on industry trends, and provided compliance updates. Every segment of our industry was addressed in the seminars. Of course, the opportunity to network is also a big attraction; with virtually all business being conducted online, it's nice to meet face-to-face, and our event provided an opportunity for industry professionals to gather and share ideas one-on-one.”

Reinert said that association-sponsored events are important to the industry. “It shows the benefit for attendees by demonstrating that the association is looking out for its members, and attendees always walk away with more than they arrived with,” she said.

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NAPA/MARTIN SENOUR Unveiled NHRA Superstars & Custom Hot Rods at SEMA

NAPA/Martin Senour’s booth provided something for all SEMA attendees from collision repair to shop professionals, jobbers and automotive enthusiasts. NAPA/Martin Senour SEMA Show highlights included: ● The unveiling/press conference of a 1949 Buick custom coupe, restored by Chris Carlson Hot Rods out of Mulvane, Kansas; it featured the Tec/BASE® premium refinish system color Granite (PCRS23) of the Martin Senour Rod & Restoration Color Deck on the exterior and Dark Blue Denim (PCRC30) for the engine and wheels.

This 1949 Buick is Carlson’s third SEMA Show vehicle in the NAPA/Martin Senour booth. It was chopped 3½ inches in front and eightinches at the rear of the deck lid. The car featured unique shaved door handles and custom items like its inner fenders, core support, dash, floor and firewall. There was a TCI Mustang II front end and four-link rear with a Curry differential, a pancaked and pie-cut hood, rear fenders molded to the quarter panels and its front and rear bumper were even sucked in. ● The other unveil featured a custom build of the Dir-T-Bird (an intensely modified 1964 Ford Thunderbird), by

Caleb Luce of Luce Customs in Albuquerque, New Mexico.

This build featured a modified OEM tri-stage, complete with a unique midcoat, painted in the Vortex® premium waterborne refinish system. It had a full 2000 Corvette chassis with a 500 hp lq4 engine. “The Bird’s” frame, floor work, interior, trunk, engine bay, head tunnels, front and rear fascias were all hand-formed steel. The body was widened three inches and functional brake cooling scoops were built.

The car was just shy of 18 feet long and about 3.5 feet tall. It had a custom three-stage paint job with a rally stripe wrapping everything inside and outside of the car. It also had a fully polished stainless exhaust system. ● In addition, there was a meet and greet autograph session with NHRA Superstar Ron Capps, driver of the NAPA Auto Parts Dodge Charger R/T funny car. Capps’ 20-year career highlights include 45 wins, 90 final rounds reached and a top speed of 320.89 mph.

For more information about NAPA/Martin Senour paints at the 2015 SEMA Show, visit www.martin senour-autopaint.com or call 1-800526-6704.

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www.autobodynews.com | DECEMBER 2015 AUTOBODY NEWS 53

Continued from Cover

SEMA New Product Awards

Product Awards this year. Winners were selected based on a variety of factors that included quality, marketability, innovation, technology, consumer appeal and more.

First place in the Tools & Equipment Product category went to Nelson Glass Tools for its Automated Bonded Glass Removal System, made by Glass Bot, a company that was founded by Rick Nelson, a former glass technician.

The Glass Bot™ has a top speed that exceeds the fastest of any tool or technique available, according to Nelson. The smooth trigger pull applies power when needed and then slows to a crawl for the technical difficulties of the corners. The compact footprint of the 7” suction cup featured in the system allows access to many locations on a glass part for faster removal. The strong

The winner in the Tools & Equipment Product category is Glass Bot for its Glass Bot Bonded Glass Removal System. Pictured: Company Owner/Founder Rick Nelson

holding power of the cup provides an anchor for the powerful automotive grade DC motor. A state-of-the-art remote controller provides excellent speed control for precision cutting and with the six-foot cord you can visually watch the cutting action and ensure safety measures are in place, according to Nelson.

As the inventor of several devices that can help automotive window techs,

Free

Nelson is happy to finally win a SEMA product award. “I’ve been inventing solutions for many years and the Glass Bot is the continuation of that,” he said.

“This system is taking the glass industry into the 22nd century, because now

message to the asTech2 unit informing adjusts both horizontally and vertically instantly to fit under any vehicle, withthe shop that the scan is about to begin. out tools or adaptors. You can have it Once the scan is completed, the asTech master technician transmits a full report under a Volkswagen one minute and a school bus the next. The 4,800 lb. cato the shop. By using this device, techs can find out what issue is causing the pacity can be turned into a 9,600 lb. capacity in just a few seconds, accorddashboard warning lights to ing to the company’s web site. stay lit; ensure that all sensor systems are functioning properly; identifying any hidden damage due to collision and other problems that do not cause a warning light, according to a company’s spokesperson.

Another runners-up in the Collision Repair & Refinish (l to r) Sales Rep Alexandra Kelly, Sales Rep Lisa DeLong Product category was Uniand Director of Business Development Lisa Brown from Dolly for its patented car AsTech, who won a runners up award for its web-based dolly system is a portable jack Uni-Dolly rolled into SEMA and captured a diagnostic tool runners up spot in the Collision & Refinish stand that will free up your Product category. From left, President Rick techs don’t need to use knives and this work bay, overhead hydraulic lifts, and Davie and National Sales & Marketing Director product has removed the physical asfloor jacks. An affordable and cost-efKeith Cooksey proudly display their award pects of the work from the process.” fective piece of automotive equipment The winner in the Collision ReUni-Dolly’s President Rick Davie that will increase productivity and is pair & Refinish Product category was much safer to use than floor jacks. Its knows the value of this recognition.

“SEMA is a huge name and to be assoInnovative Tools & Technology for its 6” swivel casters with sealed precision Scangrip Sunmatch Color Match LED, bearings allow a disassembled drive ciated with it is a big deal. We design the only color match work light range train, chassis, sub frame, or car body and manufacture products to make the in the world for any paint, polish, to be placed anywhere in the shop collision industry better and when peocleaning or prep-zone operation, acple recognize that—well, that’s satisfywhile waiting for parts. cording to the company. Supplied with The Uni-Dolly is a car dolly that ing.” a replaceable glass lens resistant to all kind of solvents and tolerating daily YOU ONLY GET ONE CHANCE AT THE FIRST REPAIR. cleaning, the long operating time of the Scangrip Sunmatch Color Match Choose Original MINI Parts.

LED makes it possible to complete a Because you can’t repair job without interruption by time-conyour reputation. suming recharging.

One of the runners up in the Collision Repair & Refinish Product category went to AsTech, the manufacturer of the asTech2 device, a remote diagnostic tool that allows collision shops and repair technicians to have a vehiThese Dealers Below Are Original MINI Parts Distributors: cle scanned before or after repair work is done. This ensures that all of the veNew Jersey hicle’s issues have been fully addressed and all systems are working properly.

MINI of Mount Laurel Prestige MINI To use it, the technician connects Mt. Laurel Ramsey the asTech2 unit to the vehicle, puts the 855-465-6267 Ext. 6 201-760-5080 key in the car, turns the ignition on and (856) 813-4622 Fax (201) 760-5072 Fax connects a battery support so that the M-F 7-5; Sat 8-12 M-F 8-5; Sat 8-4 parts@MINIofMtLaurel.com parts@prestigemini.com car battery won’t die during the scan.

PRESTIGEMINI.COM The technician goes to the asTech webMaryland site to submit a service request and then an OEM master technician sends a MINI of Baltimore Owings Mills

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www.autobodynews.com | DECEMBER 2015 AUTOBODY NEWS 55

Assured Performance Announces 5-Star Business Performance Program Assured Performance Network announced the official launch of their 5Star Business Performance Program.

While the Assured Performance/OEM Certification program focuses on the shops “technical capability”, their new 5-Star program helps the shop to improve their “business capability” aimed at exceeding the industry’s highest levels of performance and attainment of their personal success goals. The 5-Star program provides shops with an in depth business analysis resulting in a confidential self-assessing rating and ranking. Then, the shops get a business improvement action plan, expert coaching, and ongoing KPI monitoring.

Upon enrollment in the optional program, shops go through a performance analysis determining areas of weaknesses and opportunities for improvement including production management, marketing, sales, customer service, financial management, HR management, and technical proficiency.

Shops receive in depth improvement plans, KPI dashboard, and alerts when performance slips below goals and timelines. Unlike industry programs that use shop rating to penalize shops, through the Assured Performance program, participants are actually rewarded and use the confidential rating and rank-

ing for self evaluation and blind benchmarking with similar businesses, according to a company press release.

Also according to this press release, shops now have an independent and confidential source to help monitor and improve their performance based upon KPI’s and business practices that are in their best interest for efficiency and profitability. Shop performance information is confidential, never shared with third-parties, and is only accessible by the participating shops who elect to enroll in the optional program. The program is designed for independent and dealership body shops. Already, nearly 1,000 dealership body shops are enrolled in the program.

“Our 5-Star program is driving shops to levels of performance previously unimaginable. Our shops are already in a league of their own because they are technically compliant to perform advanced repairs,” stated Michael Quinn, Executive Vice Pre-sident of Assured Performance. “Now we are empowering them to further distinguish themselves in their marketplace by focusing on proven best practices, KPIs, and financial performance.”

Assured Performance has built and launched these business development services to ensure that the entire

Assured Performance Certified Repair Network is both the most advanced repair capable and the most efficient and effective shops, and representing the best repair choice in every market.

“A shop can be technically capable, but if they are not a healthy business, they are not the best choice as a Collision Repair Provider,” stated Aaron Clark, Vice President of Technical Compliance. “We are doing what it takes to make sure our Certified shops are also the best performing businesses in the industry!”

Assured Performance Appoints Leanne Jefferies to Lead Canadian Body Shop Certification Assured Performance Network is pleased to announce the appointment of Leanne Jefferies to the position of VicePresident of Canadian Operations. Ms. Jefferies will assume responsibility to launch and oversee Canadian operations of the Certified Collision Care program, powered by Assured Performance Network, effective October 1, 2015.

www.autobodynews.com

VeriFacts Names Recipient for Disruptive Innovation Award

VeriFacts Automotive, LLC recognized Tesla Motors and Elon Musk with the Disruptive Innovation Award at the 2015 Collision Industry Conference (CIC) held in conjunction with SEMA. The company said it is a distinguished honor bestowed to an organization for their leadership in re-writing the future of the automotive collision repair industry.

“As the automotive industry and specifically the collision repair space continues to evolve and change at an increasing pace, there are organizations and leaders of those organizations that are facilitating disruptive business models,” said Gregory Gray, VP of sales and operations for VeriFacts. “A Disruptive Innovator is best described as a trailblazer, a leader or company that is willing to suspend traditional business practices for innovative and beyond leading edge thinking.

The award was received by Omar Rivera, director global service operations and Andy MacDonald, Tesla body repair program manager.

Mark Olson, VeriFacts COO and Gray presented the award.

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Car-O-Liner Welcomed Distributor and Introduced Measuring Software in Preparation for SEMA On October 29, Car-O-Liner® announced Vision2 Electronic Measuring Software for the Car-O-Tronic Vision electronic measuring product line.

The company said that Vision2 software offers an enhanced, user-friendly interface that guides the repair workflow process through automatic centering, measuring and documentation. The improved design allows for measuring of vehicles 20 percent faster than with previous software versions. Additional enhancements to the software include detailed graphics through 3D presentation of the measuring points. Color photos allow for quick identification and verification of each measuring point. Comprehensive reports including photos can be easily printed or e-mailed. All of these features are supported by the growing database of vehicles now exceeding 15,400 worldwide.

“The new Vision2 software will help technicians be more productive through the intuitive and easy-to-use interface that it provides. With shops needing to move more vehicles through the repair process faster, this enhancement to our measuring software meets the needs of both the shop and the customer waiting for their car to be repaired” said Doug Bortz, director of sales & marketing for Car-O-Liner.

For customers who already own

Car-O-Tronic Vision software, the update to Vision2 will be provided free of charge for the equivalent level of measuring software. Customers also have the

Vision2 Car-O-Liner Electronic Mearuring Software

option to upgrade to a more advanced product offering. Contact your local Car-O-Liner Distributor for details.

On that same day, Car-O-Liner® announced that Cronquist Equipment is a distributor of Car-O-Liner equipment with a territory representing the state of Alaska.

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visitors to meet their local distributor and experience new products and live demonstrations.

Product demonstrations were ongoing during the show and included aluminum MIG welding, aluminum and steel dent repair, demos using the aluminum short circuit welder, and resistance spot welding with the new CTR7 and CTR12000 welders. Live measuring with the new Vision2 electronic measuring software and high measuring point adapter showcased the capability to easily reach points on taller vehicles.

A 2016 Audi TT along with a complete suite of equipment to repair advanced materials was on display in their New Materials Bay. To highlight their EVO fixturing, Car-O-Liner had a unique display of a 2016 Cadillac CT6 body in white that gave visitors the chance to see the repair process up close. In addition, a 2015 Maserati Ghibli displayed on their frame alignment bench represented Car-O-Liner’s comprehensive global OEM approvals that contribute toward OEM safe repair strategies.

Car-O-Liner also engaged attendees through social media. Each day,, the first 100 people who stopped by their booth and took a photo to post on their social pages received a FREE Car-O-Liner t-shirt.

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Headquartered in Anchorage, Alaska, Cronquist Equipment’s owner, Tim Cronquist, began his career at a young age working in a family-run collision shop and then gaining 16 years sales experience in the PBE jobber business. In 2004, Tim started Cronquist Equipment, LLC, with a focus on sales, service and training of collision repair equipment.

“Working for an innovative company like Car-O-Liner is a great opportunity for me,” said Cronquist, “I am proud to distribute this product line to my customers.”

Bortz added, “Tim comes to CarO-Liner by recommendation from a few of our current distributors as well as our mutual customers throughout Alaska.

With Tim’s extensive experience, customer care skills and established relationships, we are confident and excited about his partnership to represent CarO-Liner in the state of Alaska.”

Tim is an I-CAR Instructor for the state of Alaska, as well as one of the state’s I-CAR Welding Instructors.

To contact Cronquist Equipment, call (907) 346-1777, e-mail cronquisteq@ icloud.com or visit: www.cronquist equipment.com Car-O-Liner introduced a new booth design at SEMA with the theme “Inform & Engage” that encouraged

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www.koeppelmazda.com www.autobodynews.com | DECEMBER 2015 AUTOBODY NEWS 57

Sherwin-Williams SEMA Booth Devoted to Getting Collision Shops “In The Fast Lane”

In the world of collision repair, if your shop isn’t In the Fast Lane, then it’s probably being lapped by the competition. Sherwin-Williams Automotive Finishes—already the Official Automotive Paint of NASCAR®—recognizes increased productivity and profitability are at the top of every shop owners’ and managers’ list.

That’s why its 2015 SEMA Show display, “In the Fast Lane,” featured an entire booth of innovative products, services and presentations reinforcing the brand’s dedication to helping shops produce zero-day repairs, reduced cycle times and increased revenue.

To kick off these events, booth activities included: ● Press conference, autograph session with eight-time NASCAR Sprint Cup Series™ race winner Clint Bowyer, driver of the No. 15 5-hour ENERGY/ Peak Antifreeze Toyota of Michael Waltrip Racing. ● The unveiling / press conference of a 1970 Plymouth Hemi NST ‘Cuda’— “New School Technology” by Bair Customs, Inc. It featured the Sherwin-

Williams Ultra 7000® Refinish System with a customized color called “Purple Haze” inspired by the Rod & Restoration color collection.

● The unveiling / press conference of a 1961 Cadillac convertible by Lucky Luciano Custom Paint, LLC. It too featured the Sherwin-Williams Ultra 7000® Refinish System with an OE Exact Match Rod & Restoration color chip – PCCL23 (Ivy Green Metallic). ● Attendees also had the opportunity to take a ‘spin’ in a real stock car simulator and try to beat the posted time of NASCAR Sprint Cup Series driver Clint Bowyer. The special Sherwin-Williams No. 150 car was on site at the booth for all comers to take on and try to beat Bowyer’s established time. The fastest lap of each day got to experience a 2016 NASCAR Sprint Cup Series race of their

choice. In addition, Sherwin-Williams donated a sum to The NASCAR Foundation and Emporia Community Foundation in honor of each participant. ● Booth goers also were able to experience a live in-booth demonstration of the new FormulaExpress® 2.0 Color Formula Retrieval System. This is a user friendly, web-based system designed to make color retrieval faster and more manageable for refinish technicians. From simple search capabilities to intuitive color filtering and selection, the company said this system will help improve cycle time, productivity and profit. In addition, FormulaExpress 2.0 works in conjunction with the iFEX® spectro, a hand-held spectrophotometer designed for precise and consistent color measurement. ● Enthusiasts learned about the HP Process™ Refinish System with Air-Dry

Technology. This patented repair process enables refinish technicians to complete one to three panel repairs in 50 minutes or less, producing zero-day repairs. It features air-dry primers and clearcoats that can be sanded or polished after only

15 minutes. At the booth, shop owners got to see how using the HP Process reduces energy costs, decreases cycle times and increases shop profitability. ● SCRS Repair Driven Education Series. Lee Rush, Judy Lynch and Mike Lanza conducted four of the 18 sessions: RDE 4 Compensation Solutions, RDE 7 Process Driven Collision Repair, RDE12 The Lean Office – Organizing the Shop Office for Maximum Efficiency and RDE 15 In-Process Quality Assurance.

For more information about Sherwin-Williams Automotive Finishes, visit www.sherwin-automotive.com or call 1-800-798-5872.

Ringbrothers Reveal 1965 Mustang Fastback “SPLITR”

Ringbrothers™, the creators of some of the most innovative and beautiful vehicles in the world, debuted its latest automotive masterpiece, the 1965 “SPLITR” Mustang Fastback in the Flowmaster booth at the SEMA Show.

BE AN

in the Flowmaster booth at the 2015 SEMA Show. “SPLITR” was a different creative experience for Jim and Mike. When the Rings were approached by a graphic designer with a rendering for his dream car, they

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www.autobodynews.com | DECEMBER 2015 AUTOBODY NEWS 59

Garmat 2015 Sharp Shooter Contest Winners Announced GARMAT USA announced on November 16 the winners of their 2015 Sharp Shooter Contest. This contest was designed to recognize quality paint techs and shop owners that use Garmat equipment.

(l to r) Tony Larimer, Independent Distributor of SATA Spray Guns; Debbie Teter, Garmat USA Marketing Director; Kristen Fankhauser, Finalist from Tom Gill Chevrolet; Valentine Perez, Grand Prize Winner from Toyota of Dallas; Johan Huwaert, President of Garmat USA

Judging was based on the shop owner and paint tech’s dedication to providing quality paint jobs, superior customer service, attention to safety and overall equipment knowledge. Additional questions included an inquiry on how Garmat could improve their Garmat experience with product improvements.

One lucky winner, Valentin Perez, from Toyota of Dallas won a trip for two to SEMA 2015, He was accompanied by his wife Maria. In addition to the trip, Val was awarded a SATA Jet 5000

HVLP Paint Gun, 3M back pack, Garmat Sharp Shooter cap, a Samsung tablet, $500 and a Sharp Shooter Award Certificate.

Five finalists were also awarded two Samsung Galaxy Wi-Fi tablets, (one for the contestant and one for the owner/manager), a 3M back pack, a Sharp Shooter hat, and a Sharp Shooter Award Certificate. The top two finalists were each awarded SATA 5000 HVLP paint guns in addition to their prize package.

The Full List of 2015 Sharp Shooter Winners: Grand Prize Winner: Toyota of Dallas. Dallas, TX Painter: Valentine Perez Manager: Bill Sorley Distributor: Downdraft Systems

Finalists: David Maus Collision Center Sanford, Fla Painter: David Halving Body Shop Manager: Anthony Villanueva Distributor: Filterworks USA Additional award of a SATA JET 5000 HVLP Spray Gun

Tom Gill Chevrolet. Florence, KY Painter: Kristen Fankhauser

Body Shop Manager: Scott Yust Distributor: Archer Equipment Additional award of a SATA JET 5000 HVLP Spray Gun Mannes Collison. Holland, MI Painter: Brian Johnson Body Shop Manager: Scott Johnson Distributor: Altra Products Inc. Drive Collision Freeland, MI 48623 Painter: Joel Searles Body Manager: Tim Garchow Distributor: Altra Products Inc.

Sheboygan Chevrolet. Sheboygan, WI Painter: John Michaels Body Shop Manager: Eric Wiegand Distributor: Wakeman Equipment, Inc

“On behalf of Garmat USA, I would like to personally thank all of the contestants for taking the time to send in or post your applications,” said Johan Huwaert, general manager of Garmat USA. “Having the opportunity to hear your thoughts and suggestions about our paint booths is a priceless opportunity in helping us develop products that truly meet the needs of our customers.”

For more information, contact www.garmat.com / 303-781-6802 / sales@garmat.com

ITW Evercoat Launches New Body Filler

ITW Evercoat, a leader in professional collision repair chemicals, announced the launch of Rage® Ultra XTRA extended work time body filler. Featured in the new products showcase during SEMA, Rage Ultra XTRA Body Filler gives body repair technicians worktime flexibility according to their needs—up to 40 minutes at 75°F (24°C) using traditional catalyst and catalyst ratios. Rage Ultra XTRA can be mixed with Rage Ultra at different percentages.

“Rage Ultra XTRA is a true revolution in body filler technology and demonstrates Evercoat’s industry innovation leadership” said Marvin Gillfillan, VP and general manager of ITW Evercoat. “Rage Ultra XTRA is part of our new proprietary dent repair system that features products that can be adapted for repairs of most any size or temperature condition. This system of products was developed for body shop technicians who need application flexibility, high quality, and increased productivity … this system does it all.”

Rage Ultra XTRA is available in one gallon containers (Part # 100144) and 16 ounce pouches (Part #100145).

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IADA Holds Northeast Fall 2015 Repair Conference in VA

by Chasidy Rae Sisk

On October 13–15, the Independent Automotive Damage Appraisers (IADA) Association held their Northeast Fall 2015 Repair Conference at the Doubletree by Hilton in Charlottesville, VA, and at the Insurance Institute of Highway Safety (IIHS).

The educational event, which also included plenty of networking opportunities, “went very well,” according to John Williams, Executive Vice President of the IADA Association. “Attendees included IADA members and insurance material damage managers as well as other associates from the auto-

Vehicle Software Access from Librarian of Congress

motive industry.”

The Conference began on Tuesday evening with a Welcome Reception. After breakfast on Wednesday morning, a bus took attendees to IIHS for a Mercedes collision workshop, followed by a presentation on “Parts Pricing and Logistics” by Dave Damon. That evening, IADA hosted a dinner and Sponsor ShowAttendees witnessed crash test of Nissan Maxima at IIHS case back at the hotel.

On Thursday morning, Kim Hazelbaker presented be- parted IIHS’s facility, IADA held their fore a tour of the IIHS facility. Then, member meeting. Williams explains attendees witnessed “a that these types of events are important crash test of a 2016 Nissan as a means “to educate our members as Maxima,” Williams re- well as our clients on the ever-changing counts. “The Maxima was technology and knowledge required to crashed into a stationary estimate and repair vehicles.”

IADA is now actively preparing barrier at 40 MPH. Crash tests at this facility help for its 47th Automotive Vehicle Redetermine ratings for vehi- pair Conference to be held in Charlotte, NC in June 2016. Registration cle safety.”

In the afternoon, atten- will open in December 2015, but the dees enjoyed a seminar on agenda is already available on the as“Test Track and Collision sociation’s website at www.iada.org.

Avoidance” before Closing.

Remarks were given, www.autobodynews.com and after non-members de-

In October, the Librarian of Congress released the sixth triennial set of exemptions to the prohibition of circumvention of the Digital Millennium Copyright Act (DMCA). This refers to the bypassing of technological measures employed by or on behalf of copyright owners to protect their works.

In regard to automotive repair, the document recognizes the growing need for repairers to be able to access and sometimes alter vehicle software.

The final exemption would allow repairers to modify programs that are: “... contained in and control the functioning of a motorized land vehicle such as a personal automobile, commercial motor vehicle or mechanized agricultural vehicle, except for computer programs primarily designed for the control of telematics or entertainment systems for such vehicle, when circumvention is a necessary step undertaken by the authorized owner of the vehicle to allow the diagnosis, repair or lawful modification of a vehicle function.”

The Automotive Service Association’s (ASA) leadership has expressed some apprehension about the telematics language in those exemptions, in that it excludes third-party access to “telematics and entertainment systems.”

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www.autobodynews.com | DECEMBER 2015 AUTOBODY NEWS 61

Addressing Total Loss Write-Offs Needs a ‘Triple Bottom Line’ Approach

by Stacey Phillips, Assistant Editor

An increasing number of total loss write-offs in the industry prompted Guild 21 to host a webinar in October to address this growing concern. Guest speaker Mike Shesterkin, the general manager of What’s Next, proposed a new business model for the future based on sustainability and what he referred to as a “triple bottom line” approach. This would encompass social, environmental and economic considerations while running a business.

Shesterkin talked about applying the triple bottom line concept to total economic loss vehicles.

The presentation was titled, “You Can Pay Me Now, or You can pay Me Later: Why the Collision and Service Repair Industry Needs a Triple Bottom line Approach.”

Shesterkin’s company assists management teams develop strategies and implement action plans that take into account social, environmental and economic factors. He has been working with AkzoNobel to advance the sustainability movement within the collision industry, has over 30 years of experience in the paint and coatings industry and has held numerous positions in the OEM and vehicle refinish segments. Shesterkin shared insights with listeners about the emergent issue of total loss write-offs and the importance of creating the “building blocks of a radical new future.”

“It is the consumer who is bearing the brunt of the burden of this,” said Shesterkin. “This is especially true when you look at those who exist at the margins of economic stability.”

He said total overall transportation costs take up nearly 20 percent of the average American’s household income, which is up two-fold over what it was 50 years ago. For those in the lower income brackets, the cost is far more burdensome.

Shesterkin said when we learn about science or economics, teachers will tell us to consider one variable and assume everything else remains constant; the term in Latin is ‘ceteris paribus.’ “The truth is all of nature and every human interaction occurs within a system of interconnected relationships. Nothing in life is static,” he said.

He said the key to remember is that systems are constantly adapting; therefore, ceteris paribus is meaningless in the real world.

“These faulty sorts of assumptions are particularly troubling when we look back over the history of the 20th century, which has been shaped by the consumerist worldview,” said Shesterkin.

“With the rise of consumerism, there has been a common assumption that there are limitless raw materials and an unlimited capacity for the earth to absorb the waste that’s put into it. That assumption is incorrect. This is the reason many of us sense a “disruption” when we’re forced to deal with total economic losses. There is a tremendous amount of waste that ought not to be happening.”

He said there is a new model emer- ging based on sustainability.

“Sustainable development is development that meets the needs of the present without compromising the ability of future generations to meet their own needs.”

He explained the concept of a triple bottom line model, including social, environmental and economic aspects, which is a shift from the old paradigm of measuring the value of a business based solely on its performance.

“There is mounting evidence that those enterprises that put work into developing triple bottom line value, are outperforming those who do not,” said Shesterkin. “Financial institutions are starting to funnel money into these enterprises that are showing the capacity to manage risk around these areas because they represent the longer-term return.”

Areas where risk of exposure can be managed: 1) Morality: doing the right thing 2) Sustainability: being motivated to preserve the industry and the business in general 3) License to operate: society gives a business its license to operate; therefore, meeting the needs of all stakeholders drives this argument 4) Reputation: similar to License to Operate but goes more to perception, rather than anything approaching the objective What’s Next is a business in residence at the Green Garage, a coworking community in Detroit, MI, which includes sustainable businesses that come together with the intention of creating triple bottom line value.

Working with a number of community members, Shesterkin devised a list of stakeholders who affect a body shop’s

62 DECEMBER 2015 AUTOBODY NEWS | www.autobodynews.com

ability to practice its business.

“If we are actively engaging our circle of stakeholders and understanding what it is that they would like to see happen as part of our ecosystem, then we’re able to stay ahead and understand how the market is behaving and the ecosystem is behaving.”

Benefits of the triple bottom line strategy:

Community ● Healthier community ● Skills development and job opportunity ● Alignment with the social and environmental sense of the people

Economic Resilience ● Shop is more productive ● Fewer sick days taken ● Lower health care costs ● People wind up paying more for a healthier and greener service ● Market the shop as a business that cares about and is connected with the community ● Lower comprehensive insurance costs for the shop

● Revenue up from more customers— differentiate from the rest of the market Environment ● High recycled content-use of reman and recycled parts ● Less toxicity ● Less waste overall This triple bottom line approach is already taking place in the remanufacturing sector. “We’re putting people to work in meaningful jobs and rebuilding parts rather than throwing them away or down-cycling them,” he said.

As a result, the benefits are 80 percent less energy impact, 88 percent less water used, 92 less chemical products and 70 percent less waste production.

He said it’s not a big leap to apply this concept to the entire vehicle and the way decisions are made on whether or not the industry writes off total economic losses.

“When you look at the complexity of the vehicle and the high strength steel now being used in the body, the question we need to ask ourselves is: ‘if none of this is destroyed in any way, and we can repair it safely, why on earth would we not do that?” said Shesterkin.

A common misconception is that

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all of this metal is being recycled.

Shesterkin said that only 25 percent of the metal that goes into the exterior body panels is recycled. The rest has to be mined.

“The increasing number of total economic loss write-offs is adding to environmental degradation, by creating unnecessary toxic flows and carbon emissions and subtracting from social capital by taking meaningful work from within local communities,” said Shesterkin.

He proposed holding a roundtable event to bring together highlevel stakeholders in late 2015 or early 2016 in Detroit. The purpose would be to examine the state of the industry today, what needs to be done and what is it going to take.

Guild 21 consists of industry leaders who share information pertinent to the industry. Each month the group holds a webinar with a guest speaker.

“The purpose of the call is to really bring our industry together, insurers, shops and manufacturers, and working together for the benefit of the consumer and also driving a safe repair in the most economical and efficient manner,” said Farzam Afshar of Verifacts Automotive, who hosted the webinar.

Alcoa Awards CREF $75,000 Aluminum Training Grant

The Collision Repair Education Foundation (CREF) announced that Alcoa Foundation, the philanthropic arm of Alcoa, awarded the CREF a $75,000 grant that will provide aluminum repair focused training and technical presentations to high school and college collision school instructors.

Working together with industry partners, the Collision Repair Education Foundation will bring over 50 collision school instructors into the Chicago-land area in March 2016 for several days of “train the trainer” aluminum repair technical training.

“Alcoa Foundation seeks solutions that reduce weight, improve fuel efficiency, and minimize the environmental footprint of mass transportation,” said Alice Truscott, program manager, Alcoa Foundation.

“As aluminum usage becomes more popular in the making of cars with these very sustainable properties, we value partnerships with organizations like Collision Repair Education Foundation that will help prepare the workforce.”

Questions can be directed to 847-463-5244 or Brandon.Eckenrode @ed-foundation.org

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brother Sam moved to Roseville, California with relatives after their parents died.

George pursued a passion for building scratch-built aircraft models which led to model cars. The brothers’ interest in cars intensified during their teenage years as they discovered “the black art” of body work by hanging out after school at local body shops.

The movie studios had taken note of Barris kustoms on the streets and at races and came to Barris for cars for their films.

One of the first films Barris made cars for was called High School Confidential!

(1958). The success of the initial movie car venture motivated him to seek business in Hollywood. This included customizing the personal cars of the stars as well. As the past 40 plus years have shown, this association with the studios and stars has been long and fascinating. As the 1960s began, Barris shifted gears and bought a new shop in Toluca Lake, CA where he designed and built award-winning cars.

He died on November 5, in his sleep at his home in Encino, California, at the age of 89.

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Oh Deer, Bigger Bucks as Glass Damage on Rise

by Jenna Reed, Glassbytes.com

With deer mating season upon us, many AGRR company owners in the north are seeing an increase in automotive glass damage as these frisky animals run haphazardly into the road.

“I saw collisions with deer picking up two or three weeks ago. The does are on the move and the bucks are chasing them,” says Ted Corwin, owner of Cherryland Auto Glass in Traverse City, MI. His company services many of the auto body shops in the Traverse City area.

“I pull out the broken windshields so the body shop technicians can repair the roof or whatever damage necessary, and then I install a new windshield,” Corwin explains.

Dave Etapa, owner of Akron Auto Glass in Akron, Ohio, has also seen collision damage climb.

“Body shops are getting more busi-

ness and they need glass,” he says. “It started about two weeks ago and will probably continue until the weather turns freezing.”

Gary Louth, owner of Buffalo Auto Glass in Buffalo, NY, says it’s a bit early for a lot of deer-related damage in his area.

“By the time we usually see it, it’s February and March,” he explains.

“But I definitely see more business from deer hits. We’re just getting into the heavy running season. If it’s serious damage, it’ll take time for the vehicle to go through appraisal and the collision shop. It’ll be a least a month until we see some damage.”

A customer service representative with Advanced Auto Glass in Youngstown, Ohio, noted it will be a while before her company sees an impact.

“In the next month or so we’ll see more,” she says. “We work with local auto body shops.”

US drivers are as likely to have a claim involving a collision with deer, elk or moose than they were last year, according State Farm. The odds are about one out of 169.

“That likelihood more than doubles during October, November and December, when deer collisions are most prevalent,” according to a statement from State Farm.

Thanks to Ms. Reed and Glassbytes for permission to reprint their article.

Scott Wendel Scholarship Fund Reaches $20,000

Scott Wendel passed away suddenly last April while in Atlanta to participate at CIC. Scott was just 53. His strong support for our industry, both from the automotive claims and collision repair perspectives were significant. Wendel is survived by his wife Shelley, and sons Eric and Matthew whom he lived with in Winston-Salem, NC. He was the beloved brother of Lisa Hathaway, and son of Marge and Calvin Wendel, all of Milford, CT. Wendel touched people in a very unique way, positively influencing the lives of so many of us with a sincerity we all strive to achieve and an optimism we all hope to live by. All who knew him will miss his great sense of humor, humility, commitment to excellence, and unforgettable smile. It was with that in mind, the Wendel family created The Scott Wendel Scholarship Fund. The Wendel family found a way to honor his memory, while benefiting the student-athletes whom he so passionately coached and cared for. The Scott Wendel Scholarship Fund reached a milestone of $20,000 in contributions, with a goal of $25,000.

Shelley said, “We are so thankful for all of the thoughts, well wishes, and remarkable response of the insurance, collision repair, and local communities in honoring Scott. Our family is so very

grateful to all of the contributors, both individuals and companies, over the past months. On behalf of the entire family, Scott’s close friends, the Ronald Reagan High School, and from the bottom of our hearts we can’t thank you all enough.”

“Scott will not be forgotten by the many he positively impacted both within the industry he loved, and just as importantly outside of it. This scholarship fund helps those who knew and loved Scott honor his memory for years to come. For those who may not have been unaware of the opportunity to contribute, nor simply not been in a position to, it’s not too late to do so for this worthy cause,” said Thomas Adams.

Contributions can be made at www.gofundme.com/xjybhc, or by check to: Ronald Wilson Reagan High School Booster Club C/O Scott Wendel Scholarship, PO Box 306, Pfafftown, NC 27040 FEIN 2032353492 501(c)

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Porsche: There Is No Substitute www.autobodynews.com | DECEMBER 2015 AUTOBODY NEWS 65

Valspar Features Celebrity Appearances at SEMA

Valspar Automotive provided SEMA attendees a chance to meet, greet and take home the autograph of one or two reality television show celebrities at this year’s SEMA Show.

Valspar’s Custom brand, House of Kolor (HOK), hosted Richard Rawlings and John D’Agostino on Tuesday Nov. 3. Rawlings, owner of Gas Monkey Garage and star of from the Discovery Channel’s Fast N’ Loud, posted up from 10:00 a.m. until 11:30 a.m., and D’Agostino, owner of Celebrity Customs, visited from 2 to 3 p.m. HOK’s creator, famed Jon Kosmoski, also made appearances throughout the show.

Danny “The Count” Koker, Kevin Mack and Ryan Evans, stars of the History Channel’s hit television show Counting Cars were in Valspar’s Refinish booth Thursday, Nov. 5, from noon to 2 p.m. The cast autographed limited-edition posters and took pictures with fans.

“SEMA is an incredible place to connect with new and long-time customers,” said Valspar Marketing Director, Laura Yerkey. “We wan-ted

to create memorable experiences for everyone who stopped by one of our booths while also showing off our newly expanded family of automotive refinishing and custom brands.

“Whether it’s meeting with our celebrity lineup, checking out a mindblowing custom 1973 Buick Riviera, or

(l to r) Lonny Spears, Ryan Evans, Danny Koker, Kevin Mack, Horny Mike

placing bids on fundraising items during our Artists 4 Education auction, I think everyone who stopped by grasped our core values and took home a good memory and maybe an autograph or two.”

Urethane Supply Displayed 6066-CG Nitrocell Nitrogen Plastic Welder at SEMA 2015

Urethane Supply Company, a leader in plastic repair and refinishing for vehicles, displayed its new 6066-CG Nitrocell Nitrogen Plastic Welder at SEMA. Urethane Supply introduced the first commercialized nitrogen plastic welder to the collision repair industry in 2006, and the new 6066CG Nitrocell is the most advanced generation of nitrogen welder yet.

The 6066-CG is designed to generate its own nitrogen gas from shop air and requires no onboard air compressor. Kurt Lammon, president of Urethane Supply Company, said that ompared to other welders, the new 6066-CG is lighter in weight, easier for technicians to maneuver into position and features an easy-to-handle welding torch that can get into tight spots without causing user fatigue.

“Repair shops want to minimize repair times and maximize profits, and we’ve designed the new 6066CG Nitrocell Nitrogen Welder to help them do just that,” said Lammon. “The new unit will help collision specialists reduce cycle times and increase their opportunities to do more profitable labor-based repair of plastic components.”

Lammon said nitrogen gas welding creates a strong material bond, because it eliminates oxidation of the plastic during the welding process.

Using the shop’s own common air supply, the 6066-CG Nitrocell employs a three-stage filter to clean impurities from the air, and then uses sophisticated membrane technology to extract an endless supply of nitrogen. Lammon said the resulting welding mechanism creates the strongest plastic Urethane Supply welds possible in Company’s 6066-CG today’s repair enNitrocell Nitrogen vironment.

Plastic Welder “Our flow meter allows shops to achieve and maintain a high-quality, repeatable result when repairing virtually all types of plastic components,” Lammon said. “Consistent results help shops meet key performance indicators, and that, in turn, drives more business from insurance companies.”

New Chief Videos Teach Proper 2015 Ford F-150 Anchoring, Available on Chief’s Website

Chief has developed six videos that show how to properly secure the new Ford F-150 to a frame rack for pulling or sectioning. The videos are part of Chief’s structural holding how-to series, and cover the components included in its F-150 aluminum cab holding system (P/N 30002).

They can be viewed at www.chief automotive.com/Fixture-Holding /Structural-Holding and on Chief’s video library page.

“Using Chief’s F-150 holding system, technicians can anchor the new aluminum-bodied truck in up to 10 locations,” says Richard Perry, Chief OEM and strategic account sales manager, and host of the videos.

“This helps to distribute pulling pressure evenly, which reduces the chance that additional damage will be inflicted into the body during the repair. Multiple holding points are also needed to secure the vehicle during sectioning to ensure it does not shift out of place. The new videos show how easy it is to use Chief’s holding system to create these anchoring points.”

Chief’s F-150 holding system adapters work with its Structural Holding Package and F.A.S.T. An-

choring System bases. The adapters include rigid cab mounts, pinch weld brackets and running board fixtures.

All contents of the F-150 holding system come mounted on a rolling cart for convenience.

The videos include demonstrations of how to temporarily replace the F-150’s rubber cab mounts with rigid mounts. This locks the cab to the frame, preventing it from flexing during the repair. Additional videos show how to position anchoring points along the F-150’s cab flange, and how to use the truck’s running board mounts to create a holding point that will leave no marks on the vehicle’s exterior. Chief’s new video series also includes a video that shows how to set up the Universal Structural Holding (USH) Clamp System, which enables technicians to use the Structural Holding Package on frame racks with non-rectangular tie-downs.

To watch the video series or learn more about the Structural Holding Package, visit www.chiefautomotive.com/Fixture-Holding/Structu ral-Holding. Additional videos are available at www.chiefautomotive .com/video-library.

66 DECEMBER 2015 AUTOBODY NEWS | www.autobodynews.com

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www.autobodynews.com | DECEMBER 2015 AUTOBODY NEWS 67

NABR Launches Labor Rate Surveys in AZ, President Discusses Overall Findings

by Victoria Antonelli, Online Editor

National AutoBody Research has added another state’s data to its ongoing labor rate surveys.

about it.”

The organization has also launched labor rate surveys in California, Florida, Georgia, Hawaii, Idaho, Indiana, New Jersey, North Carolina, Ohio, Oregon,

the outcome he was hoping for.

“At a state wide level, it’s a little harder to see results, because the states are so big and there are so many shops,” said Valenzuela. “But the success is coming from individuals and that is starting to grow.”

He said on November 12, he received a call from a shop owner in California who received a “significant jump”

riencing results and success and those numbers are starting to grow bit by bit.”

National Autobody Research has also launched a new online library, which stores documents stating whether insurers paid shops for necessary, but not included parts. The studies allow body shops to find out what ‘not included procedures’ insurers are paying for across the country.

Survey Results for Arizona as of November 13. Credit: vrssystem.com

“The recent Arizona survey has been a special case because it’s sponsored by three independent shops,” said Sam Valenzuela, President of National AutoBody Research. “Previous surveys we’ve launched have been sponsored by an individual or an association.”

The three shops that sponsored this survey are Arizona Collision Center, Lake Pleasant Collision Center, and Vince’s Auto Body, Inc. “So far, we’re getting good responses,” he added. “People are filling out the survey and they’re excited

Texas, and Utah.

He recommends that shop owners who want to “drill down deeper” go beyond the general survey results and subscribe to the Variable Rate System (VRS), so they can get access to all the nationwide data.

“From that data, users can search all the way down to the zip code level or within mileage ranges of their shop,” Valenzuela added. “They can also search for other shops with any type of factory certification and equipment.”

He said he’s slowly starting to see

Tucson Customer Sues After Shop Fixes Car with Cardboard

by Michel Marizco & Steve Ryan, News4Tuscon

A Tucson man has some harsh words for a [custom] body shop that he says tried to get away with repairing his car using the repair compound bondo and cardboard instead of real steel.

The first thing Randall Throp saw wrong with his car was the hole in the floorboard. But the next was the cardboard under the fender.

Throp bought a 1954 Buick and decided to pay a bodyshop in town $3,500 to fix it.

“And I did not get what I paid for at all,” he said.

Throp says he paid the shop to cut out the rusted metal, weld new metal, and fill in the holes in the body.

“Instead, all that I got was a coat of bondo over all the imperfections.”

He squatted over the rear left fender.

“Here’s where there was a big hole in the fender and they put cardboard in here, then put fiberglass sheet and then bondo’d over the top of that to pass that off as a fender repair,” he said.

There were other visible damages, as well.

“All they did was put bondo over this rusted out headlight shell and now you can see it’s already starting to crack all over again,” he said.

Throp won a lawsuit against Moses Heredia, of Dave’s Customs in Septem-

ber. But since then, Heredia has not paid him the restitution ordered by a judge.

The News 4 Tucson Investigators went to the bodyshop to ask why.

Heredia declined to speak with us. But his brother, Eric who runs the bodyshop his brother runs the custom shop out of, did agree to an interview.

His brother acknowledges that his brother lost the suit, a summary judgment issued because the defendant didn’t appear. But he says the work was completed fair and square as a cash deal. He says Throp only won the suit on a technicality.

“But the fact that Moses from Dave’s Customs missed the appointment—boom, judgment,” he said.

The filing does show Moses Heredia didn’t show up to court a second time and Throp was granted the judgment. As for the cardboard repair?

“That notion of cardboard. I don’t know, I didn’t do the work,” he said.

Eric Heredia says his brother will be paying off the lawsuit. But he’s not his brother’s keeper. Meanwhile, Throp will have to wait, his frustration growing.

“I just want them to apologize, admit they’re wrong, pay me back the $3,500 plus court costs and they’ll never hear from me again. They’ll never have to hear from me or see me ever again if they just do that,” he said.

68 DECEMBER 2015 AUTOBODY NEWS | www.autobodynews.com

Survey Results for So. California as of November 13. Credit: vrssystem.com

in his hourly labor rate after making a case from the VRS survey results.

“The shop collected $58 per hour from an insurer that had previously paid in the high $40s, maybe low $50s, because that was the prevailing rate in the area,” said Valenzuela. “That’s just one example, and we are seeing those examples all over. We are definitely expe-

“After shop owners search for an insurer or procedure, we show them the list of documents we have. These include the dates, the name of the insurer, the actual claim number for that case, the name and address of the shop, and the full list of the non-included procedures that were paid,” said Valenzuela.

He said the online library has

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been very helpful in allowing NABR to move in the direction of “leveling the playing field” in the industry.

“Shops are having exuberant reactions to the information, because I think they’ve been looking for something like this for a while,” said Valenzuela. “Without this they’ve never really been able to prove or even know that some shop in Florida was getting paid for a procedure that wasn’t being covered in California.”

He added that consistency in payment by insurers to shops is the main goal of the new document search capability.

be inconsistent across the country, even though they are today. So, this tool is helping to level that out so shops are fairly paid for their work.”

Autobody News asked Valenzuela whether state laws can play a role in how much shops are paid by insurers for certain procedures and equipment.

“To my knowledge, there are no specific state laws that prohibit any particular procedure or operation from getting covered by insurers; I think it’s just more of a market dynamic that’s just out there,” he said.

Valenzuela said he’s heard insurers tell shop owners, “We don’t pay for

Survey Results for No. California as of November 13. Credit: vrssystem.com

“We believe if one shop does the work, then they should get paid for it, and if any other shop does the same work, they should also get paid for it,” said Valenzuela. “Practices should not

that in your area or in your market.”

“If you read into that, you can see it’s implied that they may pay for it somewhere else,” he explained. “We don’t think geography should have any-

thing to do with it; it’s a pretty irrelevant variable. No matter where you are, if you do the work, you should get paid, and

tion below).

Above Avg. is the average rate plus one standard deviation.

Survey Results for Utah as of November 13. Credit: vrssystem.com

that’s what we’re trying to help with.”

To view current surveys: http:// www.nationalautobodyresearch.com/ surveys.html For more information on the new Procedures Document Search product, or to submit documents: http://www .nationalautobodyresearch.com/vrsprocedures-search.html *Explanation of the Labor Rate Data Tables: The data in the table above is based on your search criteria and is calculated from the use of Statistics, the science of collecting and analyzing numerical data.

High Rate is the average rate plus two standard deviations (see defini-

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Average Rate is the simple mathematical average of the rates matching your search criteria.

“Standard deviation” is a Statistics calculation, and it measures a data point’s difference (or “deviation”) from the average. It tells us how tightly grouped together or how spread out the data is. When standard deviation is low, then the data is tightly grouped together, which means that most shops tend to charge similar rates. When standard deviation is high, then the data is spread out, which means that shops charge a greater variety of rates.

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3M Automotive Aftermarket and NASCAR Announce Partnership for Five Years

NASCAR® and 3M Automotive Aftermarket Division announced on November 6 a five-year extension to their long-standing official partnership. As part of the agreement, 3M Automotive Aftermarket will continue its nearly

two-decade NASCAR Sprint Cup Series contingency sponsorship that provides many of its innovative automotive products and solutions used in race cars and race shops throughout NASCAR. As an official partner, 3M Automotive Aftermarket Division will continue to carry the NASCAR bar mark on key product categories sold to car enthusiasts everywhere and to professional auto repair shops. In addition, the division will collaborate with the NASCAR R&D Center to integrate 3M automotive products and solutions into the sport.

“For years, 3M has provided science-driven products to solve NASCAR’s toughest challenges in the

garage, in the car and at the track, and we are very proud of this long-standing and successful relationship,” said Laurie Altman, vice president and general manager, 3M Automotive Aftermarket Division. “Race teams can continue to have access to advanced 3M solutions that save time in car construction, enhance the paint process and make repairs easier during a race weekend. Our customer base is rich with fans of the sport, and this relationship allows us to spend time with those fans over several race weekends.”

3M Automotive Aftermarket Division will kick off its partnership with NASCAR during the 2016 Daytona 500®.

“Our long-standing partnership is driven by the authentic integration of 3M products across our sport,” said Steve Phelps, executive vice president and chief marketing officer, NASCAR. “This agreement continues the recent trend of innovative companies partnering with NASCAR to ensure we deliver the best racing product in the world.”

For more information about 3M automotive products, contact 1-877MMM-CARS, contact your local 3M Distributor or 3M Sales Representative or visit the website at www.3M

collision.com. Follow 3M AAD on Facebook at www.facebook.com/3M Collision and on twitter @3M_Collision and Instagram @3MCollision.

Tune-in to the Chase for the NASCAR Sprint Cup™ Eliminator

Round’s™ second race, the AAA Texas 500 at Texas Motor Speedway, on Sunday, Nov. 8 at 2 p.m. ET on NBC, SiriusXM NASCAR Radio and PRN, with additional coverage on www .NASCAR.com.

3M AAD hosted winners of a sales incentive contest for 3M body fillers at the Talladega race in October that included a weekend in Birmingham and a special Sunday at the track that included pace car rides, a garage tour, celebrity visits and more.

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