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VOL. 1 ISSUE 9 NOVEMBER 2010
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SEMA-AAPEX
Chicago Pneumatic/Rich Evans exhibit at SEMA 2009
• SEMA to Award Hottest Vehicle
Honors . . . . . . . . . . . . . . .p. 5
• SEMA asks IRS to Help Kill 1099
Report Mandate . . . . . . . .p. 21
• Cover Story, continued . . . . .p. 31
This year’s separation between ASA’s ASRW show, NACE-CARS (October), and AAIW’s SEMA-AAPEX (November), has divided the allegiances of the collision industry in ways not seen since the two events were first co-located in Las Vegas in 2004. The rift is likely to widen due to ASA “flexibility” about the location of the NACE-CARS event in future. While strongly defending the existence and independence of the show as one for service providers and repairers only, and guaranteeing that “there will be a show,” ASA President Ron Pyle has allowed that “there is a lot of flexibility in the decision” to hold the next NACE-CARS on its already announced dates of Oct. 16–19th next year in Las Vegas. ASA takes a targeted-marketing view, distinguishing automobile service-repair as a separate and distinct business model from specialtyaftermarket and OE distribution and manufacturing, and therefore deserving of its own event, saying “we’re not an extension of the aftermarket or the OE service market. We are unique and we have a specific value proposition for independent repairers.” Some repairers, however—notably members of the SCRS and CIC participants—actively seek the energy and creativity of the diverse specialty and aftermarket, and the significantly greater foot-traffic provided by SEMA-AAPEX. They believe this divergence is good for repairers. The sea-change that has resulted comes at an inopportune time for the industry as strong cross-currents from the OEM and Aftermarket parts interests, and pending right to repair and patent defense legislation, are further dividing repairers’ opinions. Many of the most engaging discussions at the NACE-CARS event were panel discussions held on the certification of Aftermarket parts at a time when the aftermarket is feeling significant pressure from an energized automaker and repairerdriven counterattack, each side positioning itself on the one issue that trumps all others, vehicle and consumer safety. continued on page 31
NACE-CARS • NACE Continues as Collision Gathering Place . .p. 18
• Mitchell Interface with Sherwin-Williams . . . . .p. 24 • Women’s Industry Network Hosts Events . . . . .p. 8
• NABC’s Recycled Rides Gives to Needy . . . . . . .p. 9
• Cover Story, continued . . . . . . . . . . . . . . . . . . . .p. 31
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Contents
REGIONAL AL’s Auto Production Nearly Two-Thirds Ahead of ‘09’s Pace • Shreveport Woman Claims Insurance Hike Due to Zip Code • The Boyd Group Gains Two More Locations in Georgia • TN Ignition Cutoff Law Targets First Time DUI Convicts . . . . . 4 Central Florida Shops and Businesses Assist Community • Birmingham Business Group Woos VW Suppliers • CCAR Adds Locations as ‘GreenLink Shops’ in MS, GA, FL • Hialeah, FL, Insurance Adjusters Accused of Fraud • Alabama Students Learn Driver Safety from Simulation Software . . . 6 ABRA Opens Repair Center in Griffin, Ga • Killeen, TX, Sees Catalytic Converter Theft on the Rise . . . . . . . . . . . . . . . . 7 U.S. Motorcycle bulider Viper Powersports Relocates to Auburn, AL • Vehicle Glass Distribution Center Opens in Braselton, GA . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 10 Atlanta-based Wheego Electric Cars Plans to Add 25 Dealers • Birmingham Has Third Worst Traffic in the Nation • Ford Sales in Atlanta Region Up 58% in September Year on Year11 14th Annual GCIA Golf Invitational a Success . . . . . . . . . 14 Celette, Inc. Announces Change in Southeast Dealer Network . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 10 COLUMNS McGee, Webster - To Sublet or Not to Sublet—That’s the Question . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 12 Weaver - Corvette’s Etched Glass Mystery, Was it the ‘Hand of Turin’? . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 17 Yoswick - NACE Continues as Collision Gathering Place (Albeit Smaller). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 18 Franklin - How One Impression Multiplies . . . . . . . . . . . . 20 Chess - A Reader Unpacks his Baggage on the Industry . 22 Espersen - Who needs OE repair information?. . . . . . . . . 28 NATIONAL SEMA to Award Hottest Vehicle Honors to Car, Truck and SUV • Vacationing Couple Allow Bar Acquaintance to Drive Rental. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 5 Automakers Oppose New Fuel Efficiency Plan • Ford to Sell Mazda Stake • I-CAR CEO Search Ongoing • I-CAR Education Foundation Renamed ‘Collision Repair’. . . . . . . . . . . . 7
Women’s Industry Network Events at NACE . . . . . . . . . . . 8 NABC’s Recycled Rides Gives Refurbished Cars . . . . . . . . 9 Celette, Inc. Change in SE Dealer Network. . . . . . . . . . . . 10 Carfax QuickVIN Connects Car’s License to VIN . . . . . . . 11 California Opposition to Proposed ‘Crash Tax’ . . . . . . . . . 14 85 Billion Mile Annual Shift & Specialists Top Service Growth . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 15 ALLDATA Introduces Next Gen. ALLDATA Collision . . . . . . . 17 Big Retail Auto-Parts Chains See Strong Sales, Rise in Stock Prices • GM to Recall ‘09–‘10 Impalas • GM’s Volt Can Use IC Engine Power at Hwy. Speeds . . . . . . . . . . . . . . . . . . . 19 Mercedes-Benz iPhone App • Silver Top Color. . . . . . . . . 20 Delaware VOC Law Goes into Effect Oct. 11, 2010 • Ford Says Tech Brings in 14% More Revenue • MI Ford Dealer’s Shop Fire • Military Buys Into R2R • Mitchell’s New iPhone App • Mopar Offers 60+ Custom Grand Cherokee Parts • Ohio Rep: GM Should Stop Dealer Terminations • Pennsylvania Considers Doubling Auto Coverage • Progressive Insurance Sees Lower Profit in Qtr. • SEMA asks IRS to Help Kill 1099 Report Mandate • Subaru Ads Poke Fun at ‘2011 Mediocrity’ Sedans • Zurich Alert: Safe Driving . . . . . . . . . . . 21 LKQ Announces Winners of 2011 Calendar Contest • Mitchell Announces Interface with Sherwin-Williams® at NACE . . 24 Ford Issues Rare Recall for 7-plus-year-old Windstars • Hertz Corp. Continues Rapid Off-Airport Expansion in ‘10 • Mitchell’s AutoAdvise Growing • Two NJ Police Officers Charged with Insurance Fraud. . . . . . . . . . . . . . . . . . . . . 25 Mercedes-Benz USA Sells Survival Stories • Nissan’s Leaf Wins Magazine’s Breakthrough Award • Two Indicted in NJ for Alleged Insurance Fraud Scheme . . . . . . . . . . . . . . . . 26 Allstate will pay $10 million over Improper Use of Collosus Software • Tesla Motors Recalls One-third of its Cars citing Fire Hazard • TG Missouri Will Invest $3M in Indiana Plant Upgrades • Toyota Says Progress in Safety Fixes Has Calmed Customers • Toyota Sued by Allstate for $3M in Accelerationrelated Claims. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 27 Collision Industry Legal Fund Reports Large Contribution • Book Store Gets N. Texas’ First Electric Car Charging Station • Texas-Sized Trucks Take Spotlight at Dallas Auto Show. 30
Southeast
Indexof Advertisers
Publisher & Editor: Jeremy Hayhurst General Manager: Barbara Davies Editorial Assistant: Erica Schroeder Contributing Writers: Tom Franklin, Stefan Gesterkamp, John Yoswick, Lee Amaradio, Toby Chess, Mike Causey, Dan Espersen, Tom McGee, Jeff Webster, Rich Evans, Ed Attanasio Advertising Sales: Joe Momber, Christina Shubert (800) 699-8251 Sales Assistant: Kristy Mangum Art Director: Rodolfo Garcia Serving Florida, Georgia, Alabama, Mississippi and adjacent metro areas, Autobody News is a monthly publication for the auto body industry. Permission to reproduce in any form the material published in Autobody News must be obtained in writing from the publisher. ©2010 Adamantine Media LLC.
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www.autobodynews.com | NOVEMBER 2010 AUTOBODY NEWS 3
Shreveport Woman Claims Insurance Hike Due to Zip Code
A Shreveport woman says her car insurance rate has nearly doubled, and that her insurance company told her that it’s because of where she lives according to reports made by Shreveport’s KSLA News 12. “My bill was $160 every six months, and it jumped to $312,” says Carrie Price. Price gets GEICO’s five-year good driving discount, so she was shocked when she saw the spike. We asked her what the company said when she called them. “...That we had a lot of crime and a lot of wrecks in this particular area, so everyone’s insurance would be rising to cover their cost.” The GEICO Customer Service Representative handling her case tells KSLA News 12 that it’s true that rate increases hit all customers because of accidents involving other drivers. He says it’s to make sure they can cover each individual appropriately. Farm Bureau of Louisiana Insurance Agent Reneé Carr says this is pretty standard. “Every company has different rating factors and different statistics in how they develop their ratings,” Carr says. GEICO is one of those companies that uses location to develop
rates. Customer Service Representative George Felder says: “When accidents do happen, and we do actually increase the rate in the area due to the accident rate, it’s just to make sure that we can cover our customers in the event that they’re in an accident.” Carrie Price says it’s going to be tough on people who can’t afford the increases, but Reneé Carr says there’s not much that one person can do alone. “If there were enough people that were concerned enough about that, they might can get someone to change how their rates are developed, but as far as getting an individual exception, I wouldn’t think so.” Price was able to get her rate down, but it came with reduced coverage. George Felder says anyone who has questions about their rate jumping or even going down should follow Price’s example and call their insurer.
The Boyd Group Inc. opened two new repair centers in Georgia. The repair centers, previously known as CollisionWorks, were recently acquired by the Boyd Group and now operate under the Gerber Collision & Glass trade name. With these additions, the Boyd Group now owns and operates 10 repair centers in Georgia and a total of 95 in the U.S., including 37 repair centers that operate under the True2Form trade name. The first center, in Atlanta (Buckhead), is approximately 31,000 square feet in size, with nearly 26,000 square feet of production space. It is well situated to help serve consumers and insurance clients in the densely populated north Atlanta area. The second center, which will be the second location in Roswell, is approximately 11,250 square feet with 10,000 square feet of production space. Adding a second Roswell location strengthens our competitive position in the area. "The acquisition of CollisionWorks is in line with our strategy of expanding into select markets and growing our network of repair centers across North America," said Tim O’Day, President and COO of the Boyd Group’s U.S. Operations.
Alabama’s auto production is up by two thirds this year, as demand for the vehicles built by Mercedes-Benz, Honda and Hyundai surges over the industry’s sickly state in 2009 according to reports made by the Birmingham News. Through August, the automakers’ state factories had built 465,529 vehicles, according to estimates by the Automotive News Data Center. That’s compared to 280,718 vehicles built during the same time last year. To put it in sharper perspective, auto production for all of 2009 totaled about 480,000, just 15,000 fewer than the current total, and there’s still another quarter left in this year. Hyundai has been a success story, sales of its redesigned Montgomery-made Sonata sedan are soaring over last year. Meanwhile, Honda is getting ready to roll out a redesigned Odyssey minivan, the flagship vehicle of its Lincoln factory. Factories have had employees working overtime this year, a stark contrast to the cost-cutting that went on when the industry’s global sales slump started in mid-2008. Alabama hit its auto production peak in 2007, as the three plants produced about 740,000 vehicles.
The Boyd Group Gains Two More Locations in Georgia
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AL’sAuto Production Nearly Two-ThirdsAhead of ‘09’s Pace
4 NOVEMBER 2010 AUTOBODY NEWS | www.autobodynews.com
TN Ignition Cutoff Law Targets First Time DUI Convicts Tennessee, already considered tough on first-time DUI offenders, is about to get tougher according to reports madeby Insurance Journal. Lawmakers recently passed a bill that will require some drivers convicted of a first DUI to install alcoholdetecting ignition devices to stop their cars from starting if they’ve been drinking. Some defense attorneys say the law, which takes effect Jan. 1, goes too far. But police and victims say the stringent measures are necessary. Last year, police made 27,775 driving-under-the-influence arrests in Tennessee, said Dayla J. Qualls, spokeswoman for the Tennessee Department of Safety. Of those convicted of their first DUI, about one-third will net a second DUI charge within three years, said Tom Kimball, the traffic safety resource prosecutor with the Tennessee District Attorneys General Conference in Nashville. The device will be required in certain cases, including for those arrested with a blood-alcohol content of .15 — nearly twice the legal limit of .08 — or above. Anyone who has previously been charged with a DUI that was reduced to a charge of
reckless driving will also get the device. Memphis defense attorney Edward S. Ryan says the device, which won’t allow the ignition to start if the driver registers a .02, is too restrictive. “If it’s someone with a history of drinking and violating the law, then it’s a good tool,” he said. “But it’s not for someone who made a poor decision one night.’’ Knoxville defense attorney Steven Oberman said the device is also expensive. Defendants will have to pay installation costs of up to $70 and monthly monitoring of up to $100. Those who can’t pay can ask for assistance through the indigent reserve fund, which is money from court fees. But Oberman said he doubts there will be enough money in the fund to keep up with demand. Unlike some other states, Tennessee mandates a 48-hour jail stay for every person convicted on his or her first DUI, he said. And, unlike some other jurisdictions, the Volunteer State doesn’t allow the record of a DUI conviction to be expunged even if the driver is never arrested again, he said.
Central Florida Shops and Businesses Come Together to Assist Community
A lunch meeting in mid-October launched a new program for Central Florida collision repairers and local businesses to work together in securing and reconditioning four or more vehicles to bestow upon local families in need of a hand-up. The intent is to have the vehicles ready and the recipients selected in time for this coming Christmas. The group was called together by Ray Gunder of Gunder’s Auto Center who stated: ”I am proud to be associated with those I consider respected collision repair leaders in our market area for such a worthy cause and look forward to seeing what
we can accomplish by working together for a common goal of helping others. The community has been very good to each of us and we invite other Polk County industry professionals to join us in what we hope to continue throughout the years ahead.” Attendees at the planning lunch meeting included: Doc Jenkins (Jenkins Lincoln Mercury), Barrett Smith (Auto Damage Experts), Sean Douglas & Matt McCall (Douglas Collision Center), Dave Stewart (Stewart’s Auto Repair), Cherri Surrency (Regal Automotive Group) and Ray Gunder (Gunder’s Auto Center). Special thanks to Randy at AllPro Used
Auto Parts for his committment to assist the program as well. The group is currently seeking the best name for the project (i.e. Angel Autos) and welcomes suggestions on this as well as other information to assist the project and avoid potential pitfalls from those who have experience in similar programs such as NABC’s Recycled Rides program. They welcome contact from those in Polk County who would like to offer their time, resources and/or donate their services or products to this program. Please contact: Ray Gunder at rgunder@gundersauto.net or call (863) 688-7897 before October 25th. 2010.
SEMA to Award Hottest Vehicle Honors to Car, Truck and SUV
The SEMA Award will be presented to the hottest car, hottest truck and hottest 4x4-SUV during a special media luncheon on November 2. The awards will reveal which trend-setting vehicle models SEMA Show exhibitors are choosing to trick-out, modify and display most often in their booths. The award winners, chosen by exhibitors, will help guide consumers to the most accessoryfriendly vehicles. Industry experts have identified 21 vehicles as those most likely to be named a SEMA Award winner, based on factors such as early registration numbers, the collaboration automakers have had with exhibitors, the buzz surrounding the vehicles. Contenders for the 2010 SEMA Award are: Car •Audi A4 •Chevrolet Camaro •Dodge Challenger •Ford Fiesta •Ford Mustang •Honda CR-Z •Hyundai Sonata •Kia Soul •Lexus IS •Mazda 2 •Scion tC •Subaru Impreza Truck •Chevrolet Silverado •Ram Truck •Ford F-Series •Toyota Tundra Hottest 4x4-SUV •Ford Explorer •Jeep Grand Cherokee •Jeep Wrangler •Subaru Outback •Toyota FJ Cruiser See www.sema.org/challenge
Vacationing Couple Allow Bar Acquaintance to Drive Rental
John Settles, who lives in Pacific Beach, San Diego, saw a $50,000 Corvette parked in the breaking surf on Oct. 14 and told CBS News, “Brand-new Corvette in the water. I saw a wave go over the hood, over the wind-shield and into the convertible.” Turns out the car, rented from Hertz had been driven by a bar acquaintance of the couple who rented it, who had talked them into letting him take the wheel and had bolted the scene. “They originally denied any knowledge or association with the car or how it got in the water,” said San Diego police Lt. Andra Brown. “They eventually admitted that, yeah, they were in the car, passengers in the car.” Witnesses reported seeing the bright yellow sports car doing doughnuts and spin-outs on the sand before getting stranded in the surf. The man and his wife were detained and questioned before being sent to a local detox facility to sober up. www.autobodynews.com | NOVEMBER 2010 AUTOBODY NEWS 5
Hialeah, FL, Insurance Adjusters Accused of Fraud
Hialeah, FL, Police have arrested five insurance adjusters accused of fraud. Investigators said the suspects were caught on camera taking money from an informant from a Hialeah body shop. According to Hialeah Police, three of the suspects are Allstate adjusters and the other two work for State Farm. Authorities said these men would help tamper and further damage cars and write up more expensive claims. Then, the suspects would allegedly split the money amongst themselves. “They, in many ways, betrayed their employers, betrayed the colleagues they worked with, they betrayed the people for whom they were filing these claims for and then of course ultimately all of us — you the consumer,” said Miami-Dade State Attorney Katherine FernandezRundle. Thursday, the Miami-Dade State Attorney’s Office talked about Operation Crash & Bash for Cash and released undercover video. For more than a year, prosecutors, police, an insurance industry agent and an informant have been working to crack the $5 million case.
CCARAdds Locations as ‘GreenLink Shops’ in MS, GA, FL
The Coordinating Committee For Automotive Repair (CCAR®) announced new recipients of the organization’s “GreenLink Shop” recognition on October 4. The GreenLink Shop status, an extension of CCAR’s CCAR-GreenLink® Environmental Compliance Assistance Center and S/P2® Safety and Pollution Prevention E-learning Program, is designed to promote consumer confidence in local automotive repair facilities’ environmental/safety awareness and stewardship. The new GreenLink Shops are: AutoBody America, Jackson, MS, AutoBody America, Southaven, MS, Rick’s Paint & Body Shop, Augusta, GA Rick’s Paint & Body Shop, Martinez, GA and Viverette’s Paint & Body Shop, Jacksonville, Fla. Repair facilities seeking the GreenLink Shop recognition must maintain high standards of excellence in environmental, health and safety (EHS) practices. The CCAR initiative recognizes both auto mechanical service facilities and collision repair shops, with separate criteria established for each type of business. For more information go to www.ccar-greenlink.org/gls or call toll-free to1-888-476-5465.
Investigators used undercover video to show how people would allegedly fake car accidents and injuries, take their cars to auto body shops that would make the wreckage seem worse. “We are going to be coming after you,” said Hialeah Police Chief Mark Overton. “We are not going to allow you to continue to impact the citizens of our communities, financially the way that they’ve been doing it.” The insurance industry has inside investigators to impede schemes similar to this one. “Ultimately, the money that we save on fraudulent claims, we can give back to our customers and help protect those lawabiding drivers,” said Amy Moore of Allstate Insurance. In all, 40 people have been arrested, as a result of 23 alleged staged car wrecks. All of them were either car owners or body shop workers until these recent arrests. Investigators said they are simply working up the foodchain. The five men accused of racketeering and several grand theft charges are identified as Jeremazine Kirkland, Roman A. Hernandez, Julio Manuel Ravelo, Eduardo Javier Quinonez and Roy Joseph Stella.
Birmingham,ALBusiness Group Travels to Germany to Woo VW Suppliers for MetroArea
The Birmingham Business Alliance will be among a group of economic developers traveling to Germany in October to try to lure Volkswagen suppliers according to reports made by the Birmingham News. Patrick Murphy, head of economic development for the city’s main business group, is making the trip with other state economic developers to the International Suppliers Fair in Wolfsburg, Germany. Wolfsburg is home to VW, which is building a $1 billion auto plant in Chattanooga. “This is our best opportunity to get in front of more than 200 exhibitors and convince them they need to be in the Birmingham region,” Murphy said. Murphy said the BBA will target new suppliers who want to build a plant to support VW and other automakers. But he said there will also be a strong push for VW to consider giving contracts to existing suppliers in the Birmingham area, allowing them to expand and add workers. Murphy said three Birmingham area companies already have won contracts with Volkswagen and others are in negotiations to do so.
6 NOVEMBER 2010 AUTOBODY NEWS | www.autobodynews.com
Alabama Students Learn Driver Safety from Simulation Software
High school students in Muscle Shoals, Alabama got some realworld experience in just how dangerous it can be to text while behind the wheel of a car October 1 as part of Northwest-Shoals Community College’s Career Tech Camp according to reports made by Insurance Journal. Software developed by the University of Iowa simulates what a driver can face when he takes his attention from the road for even a few seconds to initiate or respond to a text message. Heather Myers, 18, said she had no idea it could be so dangerous. Her simulation ended with a crash into a vehicle parked at a curb. “I don’t think I’ll be texting and driving anymore,” she said. It’s that lesson NorthwestShoals instructors Cindy Tidwell and Abby Tedford hope all students who use the simulator take away with them. “Statistics tell us that 28 percent of vehicle crashes are related to cell phone use,’’ Tedford said. “Handsfree devices are no safer because it splits the attention. We know the brain cannot perform two functions at the same time with the same degree of at-
tention to both.’’ High school and college students aren’t the only ones to blame when it comes to distracted driving, Tidwell said. “For baby boomers and Gen Xers, talking while driving is the problem, while in Gen Y, this group now, the problem is with texting,’’ she said. Drew Quillen, 17, and Colton Landers, 18, both of Belgreen, said the simulator presented its own set of challenges. “It wasn’t all that unlike driving my own car,’’ Landers said. “And it was a little hard to watch for the people.’’ Both Landers and Quillen exceeded the speed limit while using the simulator, and Landers hit a few construction cones while driving and texting. “Yes, I’ve texted once or twice while driving,’’ Quillen said. “But, with my parents, it’s not something they allow.’’ The camp, which is in its fifth year at Northwest-Shoals, allows high school students from across the region to get a sneak peek at technical and health occupations offered at the community college.
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I-CAR CEO Search Ongoing
I-CAR Education Foundation Renamed ‘Collision Repair’
I-CAR CEO and former Allstate executive, John Edelen has announced his retirement at the end of 2010. Speaking at the 2010 NACE-CARS event, Tom Moreland, chair of I-CAR’s board of directors,said the organization is holding interviews over the next two weeks with candidates for the position of I-CAR CEO, saying that a search firm has told him that “there is a new CEO within the [existing] candidate pool.” Moreland said that I-CAR expects to be announcing a new CEO along December 1, 2010, timeline previously announced.
At NACE-CARS 2010, the I-CAR Education began using its new name— the Collision Repair Education Foundation. The name and logo change is in keeping with the organization’s new mission and vision of supporting the future of the collision industry by enriching opportunities for collision repair students and schools. The overall goal is to support the pre-employment stage for students and the funding focus remains secondary and post-secondary career, technical school and college programs and their students.
Ford Motor has decided to sell the bulk of its 11% stake in Japan’s Mazda Motor and invest the money instead in emerging markets. Ford, which has been the top shareholder in the Hiroshima-based automaker since 1979, plans to slash its current equity stake of 11% to 3% or less. Ford has owned more than a third of Mazda, but started cutting its stake in 2008. The two companies have reached a basic agreement on the deal, Nikkei said. The Mazda shares held by Ford are worth a total of $515 million based on current stock prices.
The Alliance of Automobile Manufacturers—a trade group representing twelve major automakers—told EPA at a public hearing in Chicago Oct. 14 that it opposes a plan to set letter grades of “A+” to “D” for new vehicle fuel efficiency. “This letter grade format indirectly focuses attention on a single attribute (CO2) while ignoring other consumer needs like towing capacity, safety, comfort, cost and reliability,” the alliance said in prepared testimony. Auto dealers have also expressed concerns.
Ford to Sell Mazda Stake
Automakers Oppose New Fuel Efficiency Grades Plan
Killeen, TX, Sees Catalytic Converter Theft on the Rise
Catalytic converter theft is on the rise in Killeen, TX. Tracey Williams, owner of Affordable Towing & Recovery in Killeen, told the Killeen Daily Herald that one of her impound yards was hit multiple times. “They’re just jumping fences and cutting catalytic converters off cars,” she said. “They are getting rid of them and selling copper.” Killeen Police Department spokeswoman Carroll Smith also confirmed there was an increase in catalytic converter theft. So far, Williams’ yard has been hit three times in the past week, including a theft of eight at once. Williams has filed reports with the police department, however, she is now running her own stakeout at night in order to catch the culprit. Williams said she’s having to spend about $600 extra a month for security measures to protect vehicles she was planning to sell. Teddy Mullins, co-owner of Bill’s Towing and B&T Salvage, said his business has been hit for about 25 to 30 catalytic converters over the past several years. Mullins said his company has been cutting converters off first thing.
ABRA Opens Repair Center in Griffin, Ga
ABRA Auto Body & Glass announced the awarding of a franchise to The Community Automotive Group, LLC, which is spearheaded by James Muzik. The repair center, located at 1416 Experiment Street in Griffin, Ga., increases the number of ABRA repair centers in Georgia to 17. When asked why he pursued an ABRA franchise, Muzik responded, “ABRA’s operational processes, ongoing consultation, and marketing support combine to make their company far superior to any other operations that we’ve seen. Because of their standard operating procedures, they consistently deliver Key Performance Indicators (KPIs) that out-perform the industry. ABRA also has developed strong relationships with the insurance industry at the national and regional levels, which will help us build relationships at the local level.” ABRA Auto Body & GlassGriffin offers ABRA’s full line of services, including collision repair, paintless dent removal, auto glass replacement and repair, and 24/7 towing.
www.autobodynews.com | NOVEMBER 2010 AUTOBODY NEWS 7
Women’s Industry Network Hosts Events and Sessions at NACE, Brings Information to Girl Scouts The number of women entering the collision repair industry has been quite substantial in recent years, and is fur-
expo floor. SkillsUSA automotive refinishing technology winner Kayla Toncik was on hand at the WIN booth to talk about her recent SkillsUSA win and her upcoming trip to WorldSkills in London in 2011. WIN is also sponsoring Kayla’s upcoming WorldSkill trip and presented her with $10,000 for the event on the NACE floor; Kayla was the first female to win a gold medal in automotive refinishing technology at SkillsUSA in 2009. SkillsUSA winner Kayla Toncik will go on to compete in WorldSkills automotive refinishing technology in London “Kayla is a talented young
in 2011 thanks to a donation from WIN
ther encouraged by events and sessions put on by the Women’s Industry Network (WIN) at the NACE expo this year. WIN sponsored the Women’s Professional Development Track which included a total of five sessions during the event, as well as having their own booth on the
The Girl Scouts of Southern Nevada at the NABC Recycled Rides booth
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stage,” said Kim White, WIN’s Chair. Collision Hub, NABC, I-CAR and WIN also brought in the Girl Scouts of Southern Nevada to tour
the expo in the program called Tools for Success. “We hope girls realize this is a viable career track for women,” said Kristen Felder, CEO and founder of Collision Hub, “We need more women in this industry.” The Girl Scouts toured the expo, visiting sponsoring booths from WIN, CCC, Insurance Auto Auctions, Collision Hub (with Esurance), Car-O-Liner, Ford, 3M, Enterprise, NABC, PPG, ASA and AzkoNobel. The tour ended at the NABC booth where the girls were each given a 51-piece tool bag called the “tools for success.” For more information on WIN please visit: www.womensindustrynetwork.com.
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NABC’s Recycled Rides Program Gives Refurbished Cars to Needy Las Vegas Families at NACE Rides Chair, Nick Notte, spoke on behalf of the organization and thanked the insurers, sponsors and repair shops that make this program possible. “This program not only shows the craftsmanship and expertise of this industry, it also shows the incredible generosity,” said Notte. Each of the five vehicles were donated by the three participating insurers: State Farm Insurance, Allstate and California State Automobile Association (CSAA), and the $2-3,000 in repairs required for each vehicle to be in reliable, working condition was donated by the three participating repair facilities: Sterling Auto Body Centers, 911 Collision and Gerber Collision & Glass. Families receiving cars were; the McCurdy family received an ‘05 Dodge Caravan, the Waller family received an ‘04 Ford Explorer, the Milton The Drake family stepped up to receive the keys to their family received an ‘07 Honda Recycled Ride from Allstate Insurance and Sterling Auto Pilot, the Drake famlily reBody Centers
The National Auto Body Council’s Recycled Rides Program gave five refurbished vehicles to families involved with the Family Promise of Las Vegas program which provides support to families in crisis on October 12 on the NACE show floor. The program partners with body shops and insurers to take donated vehicles considered to be total losses and refurbishes them into reliable transportation for families in need. NABC’s President, George Avery, and the 2010 Recycled
One of the Recycled Rides given away on the NACE floor
ceived an ‘04 Chevy Venture and the Bryant family received an ‘04 Toyota RAV4. 1-800-Radiator donated all of the radiator and cooling parts needed for repairs, along with AutoZone and LKQ/Keystone pitching in for parts. Auto Data
provided VIN stickers and badging for all vehicles and Azko-Nobel provided all of the paint necessary to return these vehicles to prime condition. AutoZone also provided each family with a $200 gift certificate to their stores should the Recycled Rides need any parts or supplies in the future. For more information about NABC’s Recycled Rides program please visit: recycledrides.org.
Representatives from the collision repair shops that worked on the Recycled Rides received ‘thank you’ plaques from 2010 Chair Nick Notte
www.autobodynews.com | NOVEMBER 2010 AUTOBODY NEWS 9
Celette, Inc.Announces Change in Southeast Dealer Network
Celette, Inc. has announced there will be a change in their distribution network in the Southeast U.S. Gene Hamilton, owner of Sports & Imports—a multi-location collision repair and service network in the Atlanta, GA, area—will be retiring as a dealer for Celette products and equipment, effective October 11. “Gene has been a long-time supporter of Celette and the entire industry. We regret this change, but we will still have a strong relationship with Gene and his facilities,” said Timothy Morgan, General Manager of Celette. “He will always be a valuable resource for us. His commitment to the best repairs and strongest value for his customers and their insurance companies are a model for our industry. Gene will be at NACE assisting Celette, not only this year, but in the future.” Celette will announce an updated distribution network at NACE, Booth #N841. The company will also be exhibiting at SEMA, North Hall #10861 in November. Celette is a leading producer of automobile frame repair benches and measuring devices.
U.S. Motorcycle bulider Viper Powersports Appoints Directors and Relocates to Auburn, AL
Viper Powersports designs, manufactures and markets a line of premium American V-Twin Super Cruiser motorcycles and is America’s newest domestic OEM of motorcycles. Alabama businessman Tim Wellborn —owner of the Wellborn Muscle Car Museum which houses the world’s largest Mopar classic car collection—and Grant Lynch, Chairman of Talladega Superspeedway, have agreed to join the board as directors of Viper Powersports Inc. CEO John R. Silseth II stated, “In conjunction with the relocation to our new world class manufacturing facility in Auburn, Alabama, we made a strategic decision to add representation from leading members of the Alabama business community to our board of directors. Thanks to the help we received from Mike Hubbard, the Alabama House Minority Leader and Governor Bob Riley, we were able to find our first two nominees. Terry Nesbitt, President, stated, “It’s an honor that as we relocate to the state of Alabama that two of its most successful and visible businessmen join our board.”
10 NOVEMBER 2010 AUTOBODY NEWS | www.autobodynews.com
Vehicle Glass Distribution Center Opens in Braselton, GA Safelite AutoGlass® celebrated the official opening of its newest vehicle glass distribution center. The 357,000 sq. ft. facility in Braselton, Ga., will process 3 million units of glass in 2011. Safelite AutoGlass® will have a significant impact on the town of just over 2,000, bringing 77 immediate jobs to the area, with an eventual 120 person workforce anticipated. "Being able to provide employment opportunities for the residents of the Braselton area and aid in the overall economic health of the Jackson County area is something we’re very excited about,” said Tom Feeney, president and CEO of Safelite®. Safelite AutoGlass® is partnering with Quick Start, Georgia’s economic development program, to provide customized workforce training to its employees. Lanier Technical College also will assist Safelite AutoGlass® with ongoing training programs. “Safelite’s Braselton distribution center is a very real example of how Georgia’s highly networked logistics infrastructure plays a vital role in bringing jobs and investment to communities throughout our state,” said Heidi Green, commissioner of the Georgia Department of Economic Development. “As a Georgia Certified Work Ready
Community, Jackson County has a pipeline of skilled talent that will benefit Safelite as it expands its Braselton workforce. We welcome the addition of Safelite® to Georgia’s automotive industry, and look forward to the company’s growth and success in our state.” Not only is Safelite AutoGlass® the largest vehicle glass repair and replacement company, the company is committed to bettering the world by building eco-friendly locations. In fact, Safelite® has reduced its carbon footprint by 15 tons this year. The company has applied to the U.S. Green Building Council for a Leadership in Energy & Environmental Design (LEED) certification. Examples of the environmental friendly design include: reduced storm water pollution by vehicle fluid leaks and mechanical equipment wastes, increased water efficiency reducing consumption by 44 percent, Energy Star qualified equipment for more than 90 percent of all appliances, office equipment and electronics, banned use of any CFC-based refrigerants in heating, ventilating and air conditioning systems to reduce stratospheric ozone depletion and energy conservation with occupancy sensors on more than 75 percent of lighting.
Atlanta-based Wheego Electric Cars Plans to Add 25 Dealers
Wheego Electric Cars Inc. is entering its second year by planning to launch an all-electric 2-seater and signing up 25 more dealers in select markets. Wheego CEO Mike McQuary calls the Atlanta-based firm’s new Whip LiFe model the “most affordable” of the new crop of EVs and hybrid vehicles hitting the market. Wheego harnesses a lithium-ion battery for its Whip LiFe, which goes into production in January. Its first product this past year was the Wheego Whip, which uses a leadacid battery. The Whip LiFe base model’s price is $32,995, plus a $1,995 airconditioning option, but minus a tax credit of $7,500. The Whip is priced at $18,995 for the base model and $21,990 fully equipped with a $1,000 freight fee. About 300 Wheego Whip cars have been sold in 2009 and 2010, with U.S. sourcing accounting for 75% of contents. The vehicles are made in Ontario, CA. Wheego plans to build new manufacturing facilities in one of four states: Alabama, Louisiana, Oklahoma or Virginia.
Ford Sales inAtlanta Region Up 58% in September Year on Year
Ford sales for the Atlanta region, which includes Alabama, were up 58.3 percent for the month of September. The jump outpaced the company’s overall 46 percent jump in sales for the month. For the area, car sales increased 68 percent. The line-up, which includes the Fiesta, Fusion and Focus, posted gains of up to 63 percent individually. Meanwhile, truck sales for the Atlanta region jumped 64 percent for the month. The company’s truck line-up includes the Escape, Edge and its widely popular F-series of pick-ups. The Ford Lincoln Mercury Car and Truck line-up also saw a jump in sales in the Atlanta region with a 61 percent uptick for the month of September.
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Birmingham Has Third Worst Traffic in the Nation
Birmingham has the third worst traffic in the nation, according to a report that measures mobility based on total drive time, as opposed to delays. Birmingham’s total hours of peak period travel hit 245. Nashville was the worst traffic city with 284 hours of peak period travel. However, when based solely on total hours of delay, Birmingham ranked 24th in the nation, with a total of 32 hours. By this measure, Los Angeles had the worst traffic at 70 hours of delay and Atlanta had the third worst at 57 hours of delay. The report, “Driven Apart: How sprawl is lengthening our commutes and why misleading mobility measures are making things worse,” was released Wednesday by CEOs for Cities with support from the Rockefeller Foundation. The report found that Birmingham was also one of the worse cities for excess travel. Birmingham motorists drive an extra 1,828 miles and spend an extra 85 hours in the car due to longer travel distances. Only Nashville and Oklahoma City had worse excess travel statistics. The report argues that compact development eases traffic congestion.
Carfax QuickVIN Connects Car’s License Number to VIN
Carfax QuickVIN is a new, free tool available to SMS providers that matches a car’s registered license plate to instantly return the vehicle identification number (VIN) as well as the year/make/model of your customers’ cars. It can avoid costly mistakes that can plague other shops. According to industry insiders, one out of every four automotive parts that service shops order is returned. Think about how many parts your store orders in a year. Now consider the extra costs you’re incurring to return overstocked or incorrect parts and the additional time it takes to receive new ones. Chances are those numbers are pretty significant across the board. Good service means business. Timely repairs, competitive rates and increased attention on customer service results in more repeat business and word-of-mouth advertising from satisfied customers. Carfax QuickVIN gives you the correct VIN to help ensure you order the right parts, operate more efficiently and ultimately increase your profit margin. For more information about Carfax QuickVIN, email quickvin@carfax.com.
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www.autobodynews.com | NOVEMBER 2010 AUTOBODY NEWS 11
ALL OEM Information with Tom McGee and Jeffrey Webster
Tom McGee is National Account Manager for ALLDATA Collision. He has had a long career with I-CAR, including as President & CEO. Tom is an ASE certified Master Collision Repair/Refinish Technician. He has also run his own collision facility and been a career and technical school instructor. He can be reached at Tom.McGee@alldata.com. For other Tom McGee articles in Autobody News, go to: http://www.autobodynews.com/tom-mcgee/index.php — JEFF WEBSTER is an ALLDATA Technical Writer.
To Sublet or Not to Sublet—That’s the Question. The Answer is OE Repair Information.
Here’s a scenario that may sound familiar. A few days after you repaired the collision damage to your customer’s 2010 pickup, a cold-front moved in, and an early winter seemed right around the corner. A week or so later, the pickup re-appeared at your shop, with the owner complaining of strange noises coming from the front end. Did you miss something? Is it related to the work you did? You quickly determine that the noise is suspension related. But can you really say it was not linked to your repair? So, do you just say, “Not our fault,” and send the customer on his way? There are two things wrong with this solution: 1. You probably just lost a repeat customer, along with any referrals she might send your way. 2. You just sent some possible revenue out the door.
Information is Power The answer to this dilemma is information… accurate information… OE information! Here’s how OE information can help in a situation like this one: 1. If you can give your customer a legitimate reason for the condition – a reason unrelated to your repair – you immediately defuse the situation. 2. If you have the procedures to actually fix the problem, you will cement your relations with the customer. 3. If the problem is unrelated to your prior repair, you could profit from this unexpected opportunity. At collision shops, mechanical work is traditionally sublet to other facilities – often due to limited information. Outsourcing work not only cuts off a source of revenue, it can also mean a loss of control over scheduling and, ultimately, delivery of the vehicle. With accurate manufacturers’ repair information, a collision shop can reduce unnecessary outsourcing. In addition to detailed repair procedures, manufacturers’ information includes technical service bulletins (TSBs), which describe known problems and solutions for specific vehicles. Many auto dealers and mechanical repair shops always check TSBs first. Here is a Tech Tip which was ex-
cerpted from a typical manufacturer’s TSB found in ALLDATA Collision. It concerns a suspension issue that was identified on the 2010 Chevrolet Silverado and several other General Motors trucks and SUVs.
Strut Noise on GM Vehicles Subject: Squeak/Creak/Rumble/Rattle Type Noise Coming from Front of Vehicle During Low Speed Maneuvers in Colder Ambient Temperatures (Enlarge Upper Inside Diameter (ID) of Strut Jounce Bumper)
Models: 2007-2010 Cadillac Escalade, Escalade ESV, Escalade EXT 2007-2010 Chevrolet Avalanche, Silverado LD, Suburban LD, Tahoe 2007-2010 GMC Sierra LD, Sierra Denali, Yukon, Yukon XL LD, Yukon Denali XL
Condition Some customers may comment on a squeak, creak, rumble or rattle-type noise coming from the front of the vehicle (may sound like it’s coming through front of dash) during low speed maneuvers. The noise may be most noticeable in colder temperatures (typically 0°C (32°F) or lower). This noise will most likely be heard during small to medium suspension travel such as in parking lot maneuvers, over small bumps, when stopping.
12 NOVEMBER 2010 AUTOBODY NEWS | www.autobodynews.com
Cause The front strut jounce bumper inside diameter to the piston rod of the strut may be experiencing a slip/stick condition during certain colder weather ambient conditions. Always refer to ALLDATA® CollisionSM for safety procedures, identification of material types, recommended refinish materials, and removal and installation procedures.Always refer to the vehicle manufacturer for questions relating to applicable or non-applicable warranty repair information.
Correction 1. Test drive the vehicle under the same type of weather conditions (typically 0°C (32°F) or lower) and low speed maneuvers mentioned by the customer in order to verify the concern. 2. Using Chassis Ears, verify that the noise is most noticeable at the
upper strut mount area. The concern may be on one or both sides of the vehicle. 3. By jouncing the vehicle, the noise or vibration can be isolated using a stethoscope, and may possibly be felt in the vicinity. 4. Raise and support the vehicle. 5. Remove the LH and RH strut assemblies from the vehicle. 6. Disassemble the coil spring and top mount assembly from each strut.
7.
Remove the jounce bumper (5)
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from the top mount assembly (3) (Figure 1).8. Secure the jounce bumper upright in a bench vise. Only clamp the lower portion of the bumper to
allow the upper portion of the ID to remain at rest.
Note A standard drill bit will not cut the ID of the jounce bumper. The jounce bumper will comply and stretch around the bit, then return after the drill is removed.
9. Prepare a single flute countersink bit or a bladed cutting bit, or equivalent, in a die grinder, Dremmel® Tool, or equivalent (Figure 2).
Note Do Not attempt to drill out the jounce bumper while attached to the strut top mount assembly. The bumper must be removed from the top mount assembly.
Note Do Not attempt to drill out the jounce bumper from the lower end toward the upper end, as this could affect characteristics of the jounce bumper. 10. Enlarge the Upper ID (1) from the top side of the jounce bumper to the following dimensions (Figure 3): • Diameter of enlarged ID: 16 mm • Depth of enlarged ID: 15 mm 11. Ensure that the ID of the jounce bumper is as smooth as possible and free of loose material. If necessary, an Exacto® knife, or equivalent, can be
Crown Automobile Company
NOTE: This Repair/Service Procedure is excerpted from a Technical Service Bulletin published by the vehicle manufacturer, and is intended for use by trained, professional technicians with the knowledge, tools and equipment to do the job properly and safely. It is recommended that this procedure not be performed by “do-ityourselfers.”
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Note Ensure that the jounce bumper is fully seated to the top mount assembly. 12. Install the jounce bumper to the top mount assembly. Ensure that the jounce bumper is secure to the top mount. 13. Assemble the coil spring and top
mount to each strut. 14. Install the LH and RH strut assemblies to the vehicle. 15. Move the vehicle outdoors to allow it to return to ambient temperature. 16. Test drive the vehicle under the same conditions to verify the repair. For more information on OE repair information, please visit: www.alldata.com/promo/abn7tt/
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used to carefully trim the edge and remove any loose material. Figure 4 shows a jounce bumper with the enlarged upper ID (1) as compared to the original ID (2).
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14th Annual GCIA Golf Invitational a Success The Georgia Collision Industry Association held its 14th annual GCIA Invitational Golf Tournament at the Golf Club at Bradshaw Farms in Woodstock, Georgia on October 13th.
team on each hole is recorded towards the team’s final score. A playing fee of $75 per person included lunch & dinner, unlimited supply of drinks and snacks, trophies
Second place “Best Ball” winners Steve Barnes, Tony Moore and Brad Parker
Max Gryder, Greg Stroud and Jamie Crump get ready to tee off
The event was quite a success, filling to capacity as it has for many years in the past according to Howard Batchelor, Tournament Coordinator. Registration started at 11:30 am with lunch at noon and Tee Off at 1:00 pm. Competitve events included the Four Man “Best Ball” Tournament; a tournament where 4 players make up teams and the better score for each
and chances at over $1000 worth of door prizes. Visit gacollisionindustry.wordpress.com to view more photos from the event. All photos courtesy of Bob Winn with Enterprise Rent-A-Car.
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California Opposition to Proposed ‘Crash Tax’ Californians overwhelmingly oppose efforts by some cities to charge for fire and police response to traffic accidents, a new poll has found. California communities should not levy fees on out-of-town, at-fault motorists who cause accidents, half of the survey’s respondents say. The accident tax can range from $500 to $2,000 and is levied on motorists from outside the area who cause accidents. The fees would be used to cover the locals’ costs of cleaning up car crashes. Legislative discussion has emerged on the subject as dozens of local towns have already implemented the fee. Municipalities across the U.S. have been looking at fees for emergency responses, which are paid by insurers in most cases, as new revenue sources to battle their budget difficulties, according to Online Auto Insurance. About 18 states have jurisdictions in which accident fees are charged. About 63% of survey respondents opposed levying a fee after learning that it would increase insurance premiums; however, providers of police and fire services say the levy will cover their costs and replenish recessionplagued budgets depleted by cuts.
“It is not a revenue generator. We are trying to recover costs for the fire departments…If a person gets into an at-fault accident, the insurance companies raise their rates. That’s a fair system. It’s a lot fairer than a fire department having to consider reducing the level of services or, more importantly, the timeliness of services,” Rick Benner, chief operating officer of Fire Recovery in Roseville, told Capitol Weekly. Only 21 percent supported the concept of emergency response fees, while 50 percent opposed the idea of cities charging fees to respond to traffic accidents, according to the poll commissioned by the Insurance Information Network of California. Twenty-six percent were undecided. Opposition to the fees increased when respondents were told that cities typically billed drivers’ insurance companies to collect the charges. When asked whether they support or oppose the idea of insurers being charged accident fees, 62 percent said they opposed the idea while 29 percent supported it. Respondents also rejected the idea of making accident response fees a covered insurance peril, which could cause insurance costs to rise.
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85 Billion Mile Annual Shift & Specialists Top Service Growth Autobody News
by Jim Lang, Lang Marketing
Between 2010 and 2013, more than 340 billion car and light truck miles will shift from vehicles five years and younger to a much older mix of vehicles. Vehicles in the U.S. five years and younger are typically driven approximately 40% more miles annually than the average older light vehicle. With the significant downturn in new car and light truck sales beginning in 2008, the number of vehicles five years and younger on U.S. roads by the end of 2010 will be nearly 17 million units less than it would have been had new sales continued at the annual level recorded from 1999 through 2007. By 2013, the total number of “lost” younger vehicles (five years and under) could top 26 million units. As a result of this historic reduction in vehicles five years and under, older cars and light trucks are being pressed into “harder” service as total miles by all types of light vehicles inched up over the past few years.
340 Billion Miles Shifting: 2010 - 2013 Lang Marketing estimates over 340 billion miles (one-third trillion) will be transferred from newer vehicles (five years and under) to older cars and light trucks on U.S. roads from 2010 to 2013.
Not All Miles Driven are Equal This means these 340 billion miles will generate more aftermarket product volume, since this wear-and-tear is accumulating on older vehicles between 2010 and 2013, rather than newer cars and light trucks (five years and younger). Miles on older vehicles result in greater repair and maintenance product use per mile traveled than the same miles driven by newer cars and light trucks. Record-Setting Accumulated Mileage Odometer readings of light vehicles in
November 2010
the U.S. (accumulated mileage) are setting new records. As older vehicles are being driven more annual miles than ever before, accumulated mileage on U.S. vehicles is reaching new heights. This means many aftermarket products are likely to gain an additional replacement cycle because older vehicles are accumulating record-high total mileage.
Vehicle-Age “Sweet Spot” Getting Broader As a result of more mileage on older vehicles in the U.S., the upper-end of the vehicle-age “sweet spot” for aftermarket product use will migrate to higher vehicle age levels.
Strong Recipe for More Aftermarket Growth Over one-third trillion miles shifting from newer to older vehicles on U.S. roads and older vehicles being driven record-setting miles per year mean that aftermarket product use per miles traveled on U.S. roads for cars and light trucks continues to increase. This is a strong recipe for aftermarket product growth through 2013.
Specialists Top Service Market Growth Two types of car and light truck specialty outlets are generating over 60% of 2010 light vehicle Service (DIFM) market product growth. Repair Specialists (outlets offering a limited menu of vehicle repair and maintenance) and Foreign Specialists (outlets focusing on the repair and maintenance of foreign cars and light trucks) combined for a 3.6% average sales gain between 2004 and 2009, 80% faster than the growth pace of all other non-Dealer service outlets. Repair Specialists Outlets offering a limited menu of light vehicle repair and maintenance
(Repair Specialists) rank third in 2010 Service market product volume, installing nearly one-quarter of light vehicle aftermarket products. Over the past five years, Repair Specialists averaged 3.3% annual product growth, second among all service outlets, while posting the largest dollar gain in products installed on cars and light trucks at user-price.
Foreign Specialists Focusing on the repair of foreign cars and light trucks (imports and transplants), Foreign Specialists achieved the strongest annual product growth over the past five years, 4.1%. Concentrated on both coasts, as well as larger metropolitan areas, Foreign Specialists will generate nearly onefifth of total light vehicle aftermarket product expansion over the next five years.
Service Bay Shift Although Lang Marketing projects the number of car and light truck service bays in the U.S. will decline approximately 22,000 over the next five years (steadily increasing the average number of cars and light trucks per bay nationwide), Repair Specialists and Foreign Specialists will each expand their outlet count as well as their number of light vehicle service bays. Between 2009 and 2014, Lang Marketing projects Repair Specialists will climb from 18% to 20% of total light vehicle service bays in the U.S.; while Foreign Specialist bay share will increase from 6% to 7% during this five year span.
Brand Implications Service market growth of Repair Specialists and Foreign Specialists has important implications for aftermarket product brands installed by nonDealer outlets.
Repair Specialists purchase a different mix of product brands than other types of independent service outlets (particularly Service Stations and Garages). Foreign Specialists also have specific brand preferences, with OE brands, OE-supplier brands, and Foreign brands accounting for most of their purchases.
Distribution Channel Impact Integrated distribution will benefit from the growth of Repair Specialists in Service market product repair over the next five years; while the Import channel will gain volume from the Service market share growth of Foreign Specialists. Historic Aftermarket Product Channel Shift Over $11 billion in light vehicle products will change aftermarket distribution channels between 2008 and 2014, at user-price. Underway for more than 24 months, this will be the largest aftermarket sales percentage shift in over 40 years, and the greatest-ever dollar-volume transfer among channels.
Forces Driving Change Three forces are driving this historic shift in distribution channel volume: a reduction in Dealer strength, expanding integrated distributors, and the explosion of foreign vehicle (import and transplant) product sales. Winners and Losers Three of the five major aftermarket distribution channels will expand their sales share, exceeding the average pace of aftermarket product growth between 2008 and 2014; while two channels will diminish in product share and are likely to recede in product volume during this six year span.
www.autobodynews.com | NOVEMBER 2010 AUTOBODY NEWS 15
Integrated Distribution The Integrated channel will achieve the largest increase in aftermarket product share between 2008 and 2014, stretching its sales lead over all other distribution channels. Integrated distribution (characterized by products not changing ownership or franchise affiliation from the time they are purchased from Manufacturers to the point of sale to ultimate users or installers) will grow at a pace nearly 50% faster than the average rate of aftermarket expansion between 2008 and 2014. Integrated distribution is gaining strength in the commercial (wholesale) parts market as well as in the distribution of foreign vehicle products and across the DIY automotive sector.
Traditional Distribution The Traditional channel (aftermarket distribution involving traditional Warehouses and/or Jobbers) will increase its light vehicle product share nearly onetenth between 2008 and 2014. Longterm success of the Traditional channel will depend on its ability to substantially penetrate the fast-growing foreign vehicle DIFM market.
Specialized Distribution The Specialized channel (distribution involving a limited range of products or involvement in a specialized segment of the aftermarket) will decline approximately one-tenth in product share between 2008 and 2014. Much of this reduction will reflect the struggle of accessory sales, as well as growing competition from Integrated distribution.
OE Distribution The OE channel will diminish in Service market product share between 2008 and 2014. The declining number of vehicles under six years of age (the primary vehicle mix repaired by Dealers) will reduce Dealer bay volume; while changing buying habits of installers and strong competition from independent distributors will significantly erode Dealer redistribution sales. OE channel aftermarket share will drop nearly one-fifth between 2008 and 2014. Import Channel The Import channel (distribution involving import Warehouses and/or Jobbers) will increase its aftermarket
16 NOVEMBER 2010 AUTOBODY NEWS | www.autobodynews.com
product share more than one-fifth between 2008 and 2014, fueled by rapid growth of the foreign vehicle aftermarket as well as the emergence of strong and innovative foreign parts distributors with regional and national reach.
Rebounding Service Stations and Garages Revitalization of Service Station and Garage car and light truck Service market product share was triggered by the sharp drop in Dealer service work, resulting from widespread Dealer closings during the past 24 months and the conversion of many cancelled Dealers to used-vehicle outlets with bays. While Dealer attrition will continue over the next two years, Service Station and Garage repair market expansion will increasingly depend on their ability to penetrate the fast-growing foreign vehicle repair market.
Slowing Service Station and Garage Attrition While the number of Service Stations and Garages dropped at a 1.5% average annual rate between 1998 and
2008, Service Station and Garage closings slowed during the past 18 months to less than a 0.6% yearly pace.
Service Bay Share Although declining in population over the past ten years, Service Stations and Garages still operate the largest number of car and light truck service bays in the U.S. At mid-year 2010, Service Stations and Garages accounted for an estimated 340,000 bays nationwide, nearly 30% of all car and light truck service bays. As Dealers close, Service Stations and Garages, because of their large number, offer a convenient alternative to consumers seeking vehicle repair. Lang Annual in Digital Format For complete analysis of all major distribution channels over ten years, see the all-new 2011 Lang Annual, digitally published in conjunction with the AAIA Factbook.
From Aftermarket Insight™ by Jim Lang, President of Lang Marketing Resources, Inc., www.langmarketing.com.
Gonzo’s Toolbox
This is a new story by Scott “Gonzo” Weaver as posted on his website, www.gonzostoolbox.com. See his book “Hey Look! I Found The Loose Nut”, which provides a Good Laugh for Mechanics of Any Age. The book is available at amazon.com. Contact Gonzo at Gonzosae@aol.com
Corvette’s Etched Glass Mystery, Was it the ‘Hand of Turin’? with Gonzo Weaver
A mid 90’s Corvette with a couple of problems to take care of came into my shop some time ago. The first problem was an intermittent start and the other problem was that the suspension warning light stayed on all the time. The first problem had been looked at many times by a dealer in Florida where the owner had a second home and where he stored the car for those times he would be there. The car sat around a lot and the owner was getting very upset that it wouldn’t start when he would show up at his vacation place to drive his car around. Apparently not much was solved but like most other electrical problems if it’s intermittent and you can’t duplicate, read a history code or at least see the problem… most anything you do is just a guess. The lucky guy to actually see the problem looks like the genius and in the customers mind all others that have tried have reached some level of stupidity… or worse. Someone tried a new starter, another battery, a little of this and some of that. None of which fixed the problem. Luckily for me, the Vette went through its death rolls right there in the shop for me. It turned out that the thin wires that make up the security system which are attached to the ignition switch tumbler had broken. As you turn the ignition switch the wires must twist with the switch and like anything else that moves, it will wear out—it did. I replaced the unit and all is well. The second problem
required a little more effort and a whole lot of waiting. The driver’s side shock had gone bad. On top of the shock is an electronic sensor that had broken its little gear and the shock had “locked-up” which is probably why the sensor failed. But, the only place that still had parts for it was in Florida. Imagine that. Drive the car halfway across the country to Oklahoma, to my shop, and find out the only replacement parts are right where you were to start with. Go figure. It was about a week or more before the replacement parts showed up. The car was finished and sent home with the owner. All parties are paid up, car is starting with no problem, and the suspension is working as it should. What could be wrong? A few days later my daughter Mandy got a phone call: “Yes, I remember the car…. really? I wonder how that happened. Are you sure about that? Hmmm, I’ll check with the shop. I can’t think of any way that could happen… OK, I’ll call you back when I know something. Thanks for letting me know, Good-bye.” I was standing nearby a little puzzled as to who and what the call was about. Mandy turned to me. “Dad, you’re not going to believe this. That Vette you just finished the other day. The guy’s wife insists that there is human hand print in the windshield. I don’t mean ‘on’ the windshield. She says it’s permanently “etched” into the glass.”
“You’re kidding,” I answered, wondering how this miraculous event could occur. “Nope, she’s dead serious. She told me that she took the car to a glass shop and they couldn’t get it out. They tried all kinds of chemical cleaners and it’s there as plain as day.” Mandy recounted. “Oh come on, this is ridiculous. Let me guess, it’s my hand print right? How in the world would I have done that? Anything that would carve a hand in a windshield would have carved whosever hand did it,” I said in a fit of confusing reactions. “Have her bring the car back and let me take a look at it,” I told Mandy. “Ok, but I don’t think that’s going to happen, they’re pretty upset with you.” Upset or not, to me there is only one way to resolve things like this. “Bring the car back to the shop that has done the work so they can see what’s going on, or I’m coming up to see it.” But, do you think that happened… nooooo. Not a chance. A few weeks later I ran into the husband at a meeting I was attending. It was a meeting of some of the top businesses in town, some of the largest but also some of the best. I wouldn’t think there was anybody in this room that would have any misunderstandings about any service work done for them since we all are basically in private business and deal with people, parts and things like this every day. I asked him why he didn’t
to be located instantly. “Smart” filtering further speeds up finding relevant information by type or category. ‘The OE repair information at the heart of ALLDATA Collision is all still there,” said ALLDATA Senior Collision Program Manager, Dan Espersen. ‘But now, it’s easier than ever to locate the procedures and diagrams that a shop needs to efficiently repair a vehicle, whether it’s sectioning procedures, weld types, reset procedures or air bag information. It’s all still there
in a new easier-to-use package.’ Electronic estimate integration is enabled with NuGen IT, Inc.’s Collision Data Exchange (CDX) software, to automatically link and retrieve the exact OE repair information relevant to the repairs listed on an estimate. It is compatible with all the major collision estimating programs. Pinning is a feature unique to ALLDATA Collision S3500, which allows technicians to keep articles open for reference while they continue to gather the information necessary for a
bring the car back to me to have it looked at. There again, I was surprised at the answer. “You obviously have no idea of the concern that my wife is having over this issue. The trauma caused her to go to a rehab in Denver for a nervous condition. I had to take the car into a glass shop and have the windshield replaced with a new one. That finally made things right with my wife. So I don’t think I’ll be bringing anymore work to you. She’s still very upset but, she is on medication for it now.” In all my years of working with the general public, nothing surprises me anymore. You think you’ve seen it all then some crackpot, off the wall lady like this comes along. I’m not the type of person who wants to think that I’ve done something wrong and caused someone to have to go to rehab, but then I’m thinking… You’ve got the time and money to go to rehab over a magical defect in a friggin’ windshield? The problem here ain’t the windshield. People and their emotional states can be the hardest automotive diagnostics you’ll ever run across and if they could be left out of the equation things would go a lot smoother. There’s one thing I can say about cars that I can’t say about their owners. Cars are never crazy, wacky, or just plain nuts in the need of counseling. They’re just a car. I’d like to have a ‘professional’ opinion on these people but, I’m no shrink. I’m only the mechanic. I’ll leave the emotional evaluations to a doctor.
ALLDATA Introduces the Next Generation of ALLDATA Collision ALLDATA LLC, a leading provider of vehicle manufacturers’ service and repair information for professional repair shops, announces the release of ALLDATA Collision S3500, the highperforming next generation of the popular ALLDATA Collision repair product. At the core of ALLDATA Collision S3500 is an innovative search feature, which makes acquiring information much faster than previous generations. The intelligence behind the robust database allows information
proper repair. “Several articles can be opened and pinned so that technicians and estimators have all the information on a particular procedure at their fingertips,” says Espersen. “This can help a shop create accurate repair plans, reduce the need for supplements and streamline operations.” For more information on ALLDATA and ALLDATA Collision S3500, please visit www.alldata.com/vegas10 or call 800-697-2533.
www.autobodynews.com | NOVEMBER 2010 AUTOBODY NEWS 17
Industry Insight
John Yoswick is a freelance writer based in Portland, Oregon, who has been writing about the automotive industry since 1988. He is the editor of the weekly CRASH Network (for a free 4-week trial subscription, visit www.CrashNetwork.com). He can be contacted by email at jyoswick@SpiritOne.com.
NACE Continues as Collision Gathering Place (Albeit Smaller) with John Yoswick
As it has for 28 years, the International Autobody Congress and Exposition (NACE) served as an annual meeting place for the collision repair industry when it was held in Las Vegas in mid-October. A bit smaller of a meeting place, given the continued sluggish economy in the United States, but still likely the largest gathering of the industry this year. Ron Pyle, president of the Automotive Service Association, which sponsors NACE, reminded about 1,000 attendees at the opening session that the event’s success enables ASA to provide key funding for a long list of industry organizations. Just since 2004, Pyle Ron Pyle said, NACE has provided 83,534 hours of training to 47,764 students. And NACE also has donated $2.5 million in booth and meeting space at the event to industry non-profits. The opening session has traditionally also included a type of “state of the industry” presentation by the shop owner who serves as chairman of the event, and a keynote speech by a well-known celebrity, sports or political figure, or motivational speaker. This year, however, Pyle said NACE organizers chose to kick off the event with a presentation that would give attendees something they could “go and put into practice in their business.” Marketing consultant Kelly McDonald offered advice on how shop owners can use the growing diversity of the population to improve their business. McDonald, for example, noted that for the first time in history, four generations of Americans are in the workforce, and each brings its own styles and expectations to the workplace. The youngest Kelly McDonald generation of workers, she pointed out, have grown up with new gaming
systems every year, so are very adaptable to new technology. They are accustomed to multitasking, she said, and indeed may excel when given many smaller tasks rather than one big project. This youngest generation (currently 19- to 32-years-old) is 70 million strong, second only to the Baby Boomer generation in size, and is also projected to be the wealthiest generation in American history. McDonald said marketing to this group shouldn’t include efforts to be “hip.” They instead want straight information, and want to work with businesses they view as being diverse, “green” and supportive of the community or charitable causes. She cited several examples within the collision repair industry of shops using diversity in the population to their advantage. Keenan Auto Body, which operates nine shops in Pennsylvania, reaches the growing Korean and Russian populations in its market by advertising in specialty newspapers aimed at those audiences. The company recruits new employees from within these communities, working with an immigration attorney as needed to help get these potential employees’ residency and work documents in order. By then having speakers of those languages on staff at its shops, McDonald said, Keenan attracts customers who like interacting with “someone like them” or who may have limited English skills.
A Look At Standards Another session at NACE focused on the value of certification or standards within the industry. Among those on the panel was Leslie Upham of Thatcham, who discussed that organization’s role in the implementaLeslie Upham tion of shop and repair standards in the United Kingdom. Upham said creating such standards should include input from all segments of the industry, but also should be done on a prescribed timeline.
18 NOVEMBER 2010 AUTOBODY NEWS | www.autobodynews.com
“Take time to get consensus, but don’t take too long,” said Upham, adding that the process in the U.K. took about a year. She said the standards set guidelines for “man, machine, methods and materials,” and three levels of certification are available to allow for different types of shops (those doing only cosmetic repair, for example). Certified shops are allowed to use the “Kitemark” logo, which is a independent quality mark recognized by 80 percent of U.K. consumers. She said there are about 1,700 collision repair shops in the U.K. involved in insurer programs, and Thatcham’s initial goal is to get about 1,400 shops certified. It is about halfway to that goal, with about 700 certified shops, two-and-a-half years into the program. The number of shops in the U.K. has fallen from about 18,000 20 years
ago to about 4,500 today. The panel was asked if certification programs lead to shop closures. Jeff Patti, an insurance company executive who is leading one of the efforts to create standards in the United States, said he sees such standards more as a differentiator, to help consumers locate a shop with the appropriate equipJeff Patti ment and training. “It’s kind of a crap shoot right now for a consumer. When they take their car to a shop they have no idea of the qualifications of that repair facility,” Patti said. “And yes, unfortunately, some smaller shops may go out of business, but it is what it is. We have to be mindful of that, but we as an industry have to provide the consumer with a proper repair.”
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GM’s Volt Can Use IC Engine Power at Highway Speeds, Contrary to Earlier Claims
GM has revealed that the Volt can, in some situations, use its small 84-hp 1.4 4-cylinder internal combustion engine to power the wheels at highway speeds in order to improve its efficiency, however, the Volt engine never drives the wheels all by itself like a conventional hybrid. Volt had previously been promoted as an extended range electric vehicle: an all electric car with a gas-powered generator on board which never powers the wheels directly. GM said it is just now revealing the full details due to a key patent that has been allowed by the US patent office. The 2011 Chevrolet Volt is powered by 16-kWh, “T”-shaped lithium-ion battery that powers the electric drive unit, which allows it to drive 40 miles on battery power alone. The Volt has been approved for the full $7,500 federal tax credit. The tax credit is for any vehicle that can “draw propulsion using a battery with at least four kilowatt hours that can be recharged from an external source of electricity.” Prices for the 2011 Chevrolet Volt start at $41,000, and with the full tax credit, will cost $33,500.
GM to Recall 2009–2010 Impalas
GM is recalling 322,409 Chevrolet Impalas from the 2009 and 2010 model years because of a possible defect associated with the seat belt. The automaker is searching for what it thinks is a small number of vehicles. The reason is the front seat belt webbing may not have been properly secured to the lap belt anchor pretensioner mounted to the side of the seat nearest the door. Officials believe vehicles with this condition may have an anchor that can separate in a crash. As a result, the belt may not meet the anchor strength requirements of the U.S. and Canadian Motor Vehicle Safety Standard that covers seat belt assembly anchorages. Dealers are being instructed to inspect both front seat belts for proper installation of anchors to pretensioners. If necessary, franchise service departments are being told to reinstall the anchors. “GM knows of no injuries or deaths related to this condition,” the automaker emphasized. The company also noted Impala owners are be notified on or around Oct. 25 by mail to bring their vehicles in free inspection. OEM officials added any repairs related to this condition are to be done free of charge.
Big Retail Auto-Parts Chains See Strong Sales, Rise in Stock Prices
The theory that weaker new car sales creates a boon for auto-parts sellers is gaining credibility. Big auto-parts chains have seen dramatic increase in their share prices due to strong sales recently. Shares of Advance Auto Parts (AAP), AutoZone (AZO) and O’Reilly Automotive (ORLY) are near 52-week highs. “People who are not buying new cars are hanging on to their old cars and repairing them,” says Michael Odell, CEO of the Pep Boys (PBY) chain, which has 600 stores, with plans to add 35 more. The average fleet age for all cars and trucks in the U.S. was 10.2 years in the latest R.L. Polk survey, up 21% in the past 14 years. In the year 2000, the auto industry was selling more than 16 million cars a year, vs. the 10 million-plus that sold last year, which is now a “the sweet spot” for auto parts retailers because they often need substantial repairs, says analyst Colin McGranahan of Bernstein Research. Auto-parts dealers have adapted by stocking more basic repair items, such as alternators, starters and brakes instead of the bling-bling accessories popular in better economic times. “People have realized their cars will last longer than five years,” says Judd Nystrom, senior vice president of Advance Auto Parts. Also driving the
parts industry: ● Driving more miles. Americans cut back on driving when gas prices rose a couple of years ago. Now, car mileage is starting to rise again, Federal Highway Administration figures show. The more miles driven, the more servicing that cars need. ● Fewer auto dealers. General Motors, Ford Motor (F) and Chrysler collectively closed hundreds of car dealers, creating fewer places for car owners to get their cars serviced. More have turned to independent mechanics, who often get their supplies from parts sellers. More auto-repair school graduates are getting jobs at independent garages instead of at auto dealerships, says John Frala, professor at Rio Hondo College in Whittier, CA. ● Higher used car values. Since fewer new cars are being sold, there are fewer trade-ins, which has caused used prices to rise in the past two years. Since used cars are worth more, owners are willing to spend more to keep their more valuable assets in good working order. ● Do-it-yourselfers. With more people out of work and short on cash, more are trying to fix cars themselves, McGranahan says.
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On Creative Marketing
Tom Franklin has been a sales and marketing consultant for forty-five years. He has written numerous books and provides marketing solutions and services for many businesses. He can be reached at (323) 871-6862 or at tbfranklin@aol.com. See Tom’s columns at www.autobodynews.com under Columnists > Franklin
How One Impression Multiplies with Thomas Franklin
A while back I made a sales call at a high-quality body shop in my area. There was no one at the front desk so I took a seat to wait. I didn’t mind waiting since I had something to gain from being there. A few minutes after I arrived, a potential customer pulled up out front and came up to the front desk. Ten minutes passed and no one came out. The customer began to pace around. Ten more minutes passed and still no one appeared to take his information. He turned around, walked out and drove away. Is the loss of just one potential customer any big deal? Another shop I visited this past week had just completed painting ground effects on a brand new Camaro. The new car owner was a local doctor who wrote a glowing letter of appreciation for the fine color match and the fast service. He also mentioned that he had first approached a competitor’s shop a short distance away but had been treated rudely by the estimator he spoke to there. So he checked the Internet for an alternative shop. He was so pleased with this shop’s work that he planned to share his experience at the Camaro Club he belonged to. The loss of this one customer had a ripple effect. The loss was multiplied many times.
Silver Top Color Choice
For the 10th straight year, Silver is the top vehicle color, according to an annual report released by PPG Industries. Silver, along with gray and charcoal, was the color of choice for 31% of all new cars and trucks sold in North America. That’s up from 25% in 2009 and 20% in 2008. Black and white tied for second place with 18% in PPG’s annual color report. Red came in third with 11% and blue fourth, with 10%. Natural tones: brown, tan, golds, orange and yellow, rounded out the top five with 8%. Green was least popular, garnering only 4% of the color market, according to the company.
A body shop isn’t much like a young ball player being sought by a scout for a major or minor league team. But there is always the possibility that an insurance company or other potential referral source has a scout, pretending to be a potential customer, checking out possible shops for a direct repair or referral relationship. And then there are also fraud investigation agents who might come around. A shop owner never knows if a potential customer might have some hidden motive for being there. It might be a wise decision to treat each customer as though he or she represents much more than meets the eye. So assuming you agree with me that every potential customer is important enough to warrant special attention, what can you do to ensure that the customer knows he or she is getting it? Like the guy I described who walked out of the shop after waiting twenty minutes, these days everyone hates to wait. Much of our society revolves around instant food, instant printing, instant photos and more. If you eat out a restaurant for the first time and have slow service or faulty food, do you go back? Not likely. Nevertheless, we all know there will be days when it seems
Mercedes-Benz iPhone App
Mercedes-Benz USA has created an iPhone App to provide news, photos and event content. Users can access the app with their mbusa.com log-in and password to get Latest News - all the latest releases from MercedesBenz USA; Vehicle Info - browse photos, videos, technical data, pricing and other model-specific data; Events - access all the news related to industry activities such as auto shows and lifestyle events including MercedesBenz Fashion Week; Contacts - reach out to MBUSA PR staff through the contacts page with phone number and email address listings.
everyone comes into the shop at once. It seems unavoidable to keep at least a couple of them waiting. How can you convey this “special attention” intent when you’re swamped with too many prospective customers? During the many years I spent in sales and marketing, I attended many training programs. One of the best pieces of advice I received had to do with calling prospective customers to set appointments. The instructor said to avoid being brushed off when you make a call, always start by asking something like, “Am I interrupting you right now? Is this a bad time to speak to you?” Immediately the person you’re calling knows you respect his or her time and you may get a couple of minutes to set an appointment. I took this advice to heart and whenever I call anyone, I always ask if I’m calling at an inconvenient time. I’ve found that it’s always best
to call someone when his or her attention isn’t focused on some more important issue. Perhaps a variation of this might work with collision repair customers waiting for an estimate. A minute or two asking each person if they’re under some time pressure should yield enough answers to get the most impatient people to the front of the line. And you will definitely have created the “special attention” perception you wanted. Out of every six people, it’s not likely more than one or two will really be in a hurry, and if you take care of them quickly, they’ll remember the special service. Even those who are willing to wait a few minutes will be impressed by your concern for every customer. And one of those people may be the one that belongs to the Corvette Club or the Camaro Club and will spread the word that yours is the shop to go to.
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Delaware VOC Law Goes into Effect Oct. 11, 2010
SEMA asks IRS to Help Kill 1099 Report Mandate
In May, Delaware’s Department of Natural Resources and Environmental Control proposed language known as DE 2601. The language revises rules to mandate lower volatile organic compound (VOC) content of both cleaning and coating solvents used to refinish automobiles. Developed by the Ozone Transport Commission (OTC), the proposed new section includes language from the U.S. Environmental Protection Agency’s auto refinishing regulation. DE 2601 became effective Oct. 11, 2010.
SEMA his submitted comments to the IRS opposing a requirement that businesses issue 1099 reporting forms to all vendors from whom they buy more than $600 of goods or services in any year, beginning in 2012. The mandate was included in the health-care law as a revenue-raising provision. SEMA said that it will fail in its mission to collect much under-reported income, but it will succeed in punishing small-business taxpayers who already comply with U.S. tax law. The 1099 provision was imposed upon the IRS which required to implement the law.
The American Military Society (AMS) requests that Congress support passage of the Motor Vehicle Owners Right to Repair Act (S 3181/HR 2057) on behalf of its membership which includes active, reserve, National Guard, retired and veterans of the uniformed services, their families and survivors. “Military personnel and their families are often stationed in remote locations far from any dealerships, relying on independent repair shops to service their vehicles,” said Charles C. Partridge, Col, USA (Ret) of AMS, adding “As cars become more complicated, the problem becomes more acute.”
A fire in the body shop at Borgman Ford in Grandview, MI, on Oct. 7 damaged at least four cars after an engine fire began in one of the vehicles. The vehicle caught fire around 6:30 p.m. and was “totally destroyed,” and three or four others were damaged by smoke inside the facility at 3150 28th St. SW, Grandville Fire Chief Harvey Veldhouse said. No one was injured and the fire was contained to the body shop area, he said. Four employees were working when cleaning crews alerted them to the fire, said worker Jeremy Christian. “Smoke was coming in by the body shop,” he said.
Military Buys Into R2R
MI Ford Dealer’s Shop Fire
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Progressive Insurance Sees Lower Profit in Qtr.
Ohio Rep: GM Should Stop Dealer Terminations
Mitchell’s New iPhone App
Ford Says Tech Brings in 14% More Revenue
Progressive Corp. reported a decline in profit for the month of September as well as the third quarter, despite higher net premiums. The Ohio-based holding company reported that net income for the month of September dropped 18% to $81.9 million from $100.0 million last year, and earnings per share were down 17% to $0.12 from $0.15 a year ago. The latest monthly results included pretax net realized gains on securities of $19.9 million, higher than $7.4 million last year. Monthly revenues were $1.18 billion and net premiums written were $1.15 billion.
Mitchell International, Inc., announced the launch of RepairCenter™ for the Apple® iPad™ to enable wireless shop management. The RepairCenter shop Workspace is now fully compatible with both the iPad and iPhone™ and is designed to enhance workflow by allowing collision repairers to stay connected to the shop and keep jobs moving—even when they are not on-site. Application provides access tocustomer and job tracking, task management, and vehicle repair status. Estimates can be written quickly and accurately in the field-from either the iPad or the iPhone.
Subaru Ads Poke Fun at ‘2011 Mediocrity’ Sedans
Subaru has launched a satirical TV ad campaign hawking the “2011 Mediocrity.” The obviously tounge-in-cheek fictional car comes in “medium crumb” or “stale biscuit” colors, and is designed to “get you from A to B without anybody noticing, and that’s a good thing.” On the web site, fake buyers can build their own boring sedan. However, the Facebook fan page for the 2011 Mediocrity includes comments from people who apparently don’t get the joke, such as “Sorry, but it’s horrid...” and “but it’s just UGLY.” No word on sales, yet.
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The Obama administration should ask GM to suspend the 500 dealership terminations it plans Oct. 31 until a federal investigation of dealer cuts is completed, Rep. Steven LaTourette, R-Ohio, said. tThe investigative findings of the Special Inspector General for the U.S. Troubled Asset Relief Program could come too late for the GM dealerships scheduled to be closed. The inspector general’s office, headed by former federal prosecutor Neil Barofsky, has not said when it would complete its investigation of dealer cuts by GM and Chrysler.
Ford’s growing reputation as a technology-driven brand is helping the company make more money on every car it sells, the automaker’s vice president of product development, Derrick Kuzak, said Oct 19. During a speech to an auto electronics show, Kuzak said Ford’s average revenue per vehicle jumped 14% from 2008 to 2009, to $26,100. He attributed roughly one-third of the increase to new technologies such as the Sync in-car communication system, which operates the hands-free media system.
Zurich Alert: Safe Driving
Zurich has issued “Drive focused, drive safe,” a brief video presentation for businesses and individuals. The presentation can be viewed here: https://www.brainshark.com/zurich/Dr iveSafe. “It is senseless and tragic that lives are being lost for the sake of a phone call or a text, personal or business-related,” said Armand Fernandez, Chief Risk Engineering Officer, Zurich Services Corporation. “In the business world alone, there have been numerous vicarious liability cases that resulted in multi-million dollar settlements and caused reputational damage for the liable company.”
Pennsylvania Considers Doubling Auto Coverage
The Pennsylvania General Assembly is considering a bill to double the minimum coverage requirements for auto insurance in the state. The bill, introduced in September, would require at least $30,000 for the injury of one person in an accident, $60,000 for the injury of two or more people in one accident and $10,000 for property damage from one accident. The state’s requirements now are $15,000, $30,000, $5,000. Bills to increase minimum requirements have passed in Maryland and Wisconsin, which set its rates at $50,000/$100,000/$15,000.
www.autobodynews.com | NOVEMBER 2010 AUTOBODY NEWS 21
Hey Toby!
Toby Chess is an I-CAR program instructor, Welding specialist, and former salvage yard operator. Toby is universally known in the collision industry for his charitable works, worthy causes, and magic tricks. He can be reached at tcspeedster@yahoo.com
A Reader Unpacks his Baggage on the Industry with Toby Chess
Hey Toby—I have never written a letI now have to use a different CSI ter to a magazine or newspaper until company, which is more money with now. I’ve read many of your columns less service. More concessions. and I want to thank you for the work I was told my alternative parts that you do for the collision industry. usage was too low. I am a second generation shop owner Listen to this one. I needed a and I am so frustrated that I don’t right quarter panel for a Dodge Carknow what to do. avan. I got 2½ hours (another conwith David McClune My father taught me the business. cession) for cut and trim. Where in The first thing he instilled on me is to God’s creation did they get that numgive the customer the best job possiber from? ble. He taught me honesty and inTo add insult, the wrecking yard tegrity and when a person dropped off sent me the entire van (it had major his or her car, they would get the best front end damage). How was I going repairs possible. We repaired cars and to get rid of the donor van when I was we were very successful. finished with it (I don’t have a fork In the mid 90’s we got caught up lift)? I refused the part, bought a new in the DRP movement. We were told one and ate the difference. I also purthat the insurance company would with John Yoswickchased a front clip (I need the core send us work in exchange for some support, hood, fenders, lights and minor concessions. We gave them a bumper). The part arrived at the shop discount on labor and parts. We still a couple of days later. Every part was gave our customers the repairs that aftermarket except the core support. I they deserved. sent it back. I could have ordered my My dad retired from the business own aftermarket parts. in the early 2000’s and by the time he The wrecking company told me left, I was giving more and more connot to call anymore because I was too cessions. Everything that I used to picky. Give me a break. charge for was now included. Free Talking about aftermarket parts, I storage was next. More threats if I did was told to use CAPA only A/M parts, with Richard Steffen not follow the rules. I had to hire extra but there are only a limited amount of people in the front office to cover all of CAPA-certified parts. My coordinator the new administrative tasks. told me to use any aftermarket parts, I asked for a raise in the door certified or not. I asked him to put it rate, but that never happened. I in writing to protect my shop, but he begged for more cars, but they added looked at me and I realized I was in more shops. More concessions. They big trouble. I made a joke of it, but I said maybe their DRP program was came real close to getting kicked off not for me. the program. I have lost my ability to sell my Next my new “consultant” (my shop’s service and its quality (all my DRP adjuster’s new title) tells me that with John YoswickI need to look at going lean. How can fault) repairs. More concessions. I was told that my repair-to- he call himself a consultant and tell replace ratio was out of whack. I me how to run my business? He has started to repair everything, even never worked in a body shop. Where though I knew that it was not the best does he get off at telling me how I for my customers. should run my business? Then they started to cut my times Oh, I forgot, he works for an inon the repairs. No prime and feathsurance company that controls my eredge was allowed. I showed them in business. I will admit that once we as the procedure pages that it was a non- a company embraced lean, things at included item. I was told that no one else the shop are better, but again, it should Karyn Hendricks was asking for it.with More concessions. be my decision and mine alone. Just To add insult to injury, my rental the other day, my insurance consultant car company wanted data on my cus- insinuated that I need to send everyone tomers. Next thing I know they are at the shop to the new I-CAR qualitytelling me how to manage my com- control class. Another worthless Ipany. More concessions. CAR class that I have to take. Even if
I go to the class, will the insurance company pay for the additional time that is needed for the better quality repairs? Hell no. More concessions, or I am off the program. I am really tired of the crap. I am really considering closing the shop and getting a job at WalMart as a greeter or TSA inspector. You know what? If I get at job with TSA, I can order people around and be rude and all anyone can say is ‘thank you.’ WOW. The TSA and adjusters sound like the same type of people. Maybe a requirement to become a TSA inspector is to work as adjuster for an insurance company? Thanks for listening to me ramble on. —Frustrated
California Autobody Association
Year in Quotes
Hey Frustrated—I really feel your pain. I see and hear repairers’ frustra-
tions on a daily basis. Times are tough for everyone. I would hate to see you give up. When you decided to look at the lean process, did you not see an improvement in your shop’s performance? Just maybe the insurance company did you a favor and you didn’t even know it. Lean can make you and your company more profitable. I realize that you place all of the blame on the insurance company, but you—like many other owners—took the easy way out. You mentioned that you built your business on quality and customer loyalty, but you got away from your core business and the skills to drive that core business. I hear your frustrations and I totally understand how you fell under the DRP myth. I had the same belief as you, and countless other shop owners, and I would probably have made Original BMW Parts
Collision Repair Association of CA.
Transition Planning
Shop Showcase
Shop Showcase
22 NOVEMBER 2010 AUTOBODY NEWS | www.autobodynews.com
with David M. Brown
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the same decisions, but the fact of the try do nothing, nothing will ever that as badge of honor because that is I hear from shops all the time matter is that there is hope. change. only way I can effect change. I-CAR about how great their cycle time is, You need to work with your state Lastly, your comments on I-CAR. is a vital part of the repair industry and but what they consider a quality repair and national organizations. Gentlemen I am an I-CAR instructor for live you and the rest of the industry need to and what I consider a quality repair get involved (through your local comcan be completely different. like Lee Amaradio of Faith Quality classes as well as all of the welding What we need is quality repairs Collision and Allen Wood of the Col- qualification tests. For the last 5½ mittees). Let them hear what you think lision Repair Association of Califoryears I have taught over 13,000 stuis wrong and what is right. Lastly, I and that only comes from a higher nia did not give up on California SB dents and I think I can speak with a litwould like to comment on your stateprice than what is being paid for by 427. They worked to get the governor tle bit of authority about I-CAR. It is ment about the Quality Control Class. the insurance industry. If the insurance of California to veto the bill and he not a perfect organization by a long The QUA 01 class was just reindustry is so concerned about quality did. The badly-worded bill would shot. There are excellent, above-averleased and I have taught it five times and not just a repair that gets by, they have put aftermarket parts, used parts, age and average classes. I don’t care to date. You need to realize that it is need to work with repairers and set OEM parts and rebuilt parts under one what class that you or your people atan overview of the entire collision standards and reimburse the repairers category called ‘crash parts,’ and Give the us tend, you will always on come away withaffecting processthe andindustry. demonstrates where Want accordingly. your opinion matters to Contribute to this Southw governor decided most of it was du- more knowledge than you started with. things can go wrong. Our world is changing and both plicative of existing law. Vehicles have changed drastically The lean process is about elimisides need to come together to give ww.autobodynews.com Embrace the lean concepts and the last 5 years and the repairs have nating waste. If you need to redo a rethe consumer the best possible repair publisher@autobodynews becomeITmore efficient in the repair followedpublisher@autobodynews.com suit. There is no way you can pair, think about the cost and the that pay for and deserve. CHECK OUT! process. If you can get out more vehikeep up with the changes without waste. Redos happen through the enHang in there. It will get better. cles through efficiency in the same training and I-CAR is one of a few tire process and after a vehicle has time period and with less personnel, sources that can give you the knowlbeen delivered. Having the advance Promote your business with P wouldn’t it be a whole lot better? edge to repair today’s vehicles. knowledge of where a glitch can an exclusive article featuring a Have you ever made an inquiry When I-CAR went to the repair occur, you can take steps to reduce or to the DEG (www.degweb.org)? We industry to find out what was needed, even eliminate that potential problem. your products or services. To To advertise for stepped timely forward to That saves all advertise assume that the times provided by The onlysource a few people time and money and reall Advertising Salesproviders at: callwaste. Joe Momber at: the information are accu- information voice their opinions. Everyone likes to duces that every 800-699-8251 800-699-8251 rate, but guess what, they are not. The bitch about it, but again, only a few We as an industry can deliver body shop needs! DEG researches all our inquires and stood up to be counted. I am always three things: time, price and quality. e-mail: e-mail: CALL: Joe Momber for details! ertising@autobodynews.com jmomber@autobodynews.com gets results (increase times). If some-CALL complaining about things I see wrong The insurance industry wants a cheap 800-699-8251 thing is not right let them know. If you with I-CAR and I have sometimes price in the shortest amount of time, ww.autobodynews.com www.autobodynews.com 800-699-8251 Youras FREE and everyone else in the repair indus- Start been branded a malcontent. I wear without loss of quality.
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parts@wilsonautos.com www.autobodynews.com | NOVEMBER 2010 AUTOBODY NEWS 23
Mitchell Announces Interface with Sherwin-Williams® at NACE Mitchell International, Inc., developer of workflow and performance management solutions to the collision repair industry, announced at the NACE expo on October 11, a seamless bi-directional integration between Mitchell RepairCenter™ and the SherwinWilliams® FormulaExpress® online color formula retrieval system. The integration helps collision facility customers save time and reduce errors
The FormulaExpress product is part of Sherwin-Williams Automotive Finishes’complete line of paint and coating systems for the automotive refinishing industry. Mitchell’s RepairCenter is the industry’s first Shop Workspace that enables collision repair facilities of any size to select the tools they want to manage the repair, the customer and the business the way that best meets their needs, and to add modules as their business grows. “The combining of the two is a very powerful tool for body shops,” said Jason Bertellotti, Vice President of Repair Solutions for Mitchell International. Bertellotti added, “RepairCenter offers shops the best in business management systems, repair information conSherwin-Williams’ Brian Shenk, IndyCar Driver Paul tent and customer satisfaction Tracy and Mitchell’s Jason Bertellotti announce Mitchell services functionality. We are and Sherwin-Williams’ partnership for FormulaExpress delighted to partner with Sheron the NACE floor win-Williams to deliver a by eliminating the need for shop personvaluable new service to Mitchell’s innel to rekey vehicle and repair order industry-leading solutions for collision formation within FormulaExpress. repairers.”
LKQ Announces Winners of 2011 Calendar Contest
LKQ’s Annual Calendar Contest drew over 300 entries from customers and automotive enthusiasts all over the U.S. and Canada. Entries ranged from hot rods and sports cars to trucks and classic vehicles, making it difficult to choose just twelve winning photos for the 2011 LKQ calendar. “Every year we get a great response to the Calendar Contest, and choosing the winners is always tough since we receive so many great submissions,” says Laurie Garcia, LKQ Vice President. “We think everyone will really enjoy the vehicles we picked for the 2011 calendar. Each one shows hard work and attention to detail that we can all admire. Congratulations to each of our winners!” LKQ Calendars are popular for their coupons, great photos, and information about the featured vehicles. Coupons are for special offers otherwise not available. Get a free copy of the calendar by sending a request to CalendarContest@LKQCorp.com Find more information about Calendar Winners and their pictures on our Facebook and Flickr pages. 2011 Calendar Contest Winners: January: Mark Reeves (Woodstock,
GA) - 1970 Buick Motion GSX February: Richard Valdez (Lodi, CA) - 1954 Chevy Belair Custom March: Keith Van Eyck (Marinette, WI) - 1931 Willys Knight Coupe April: Bill L. Schwindt (Black Forest, CO) - 1949 Dodge B-1-F 1-1/2 ton May: Fred Heckroth (Woodruff, SC) - 1967 Pontiac GTO June: Chuck Irwan (Knox, PA) Born Again Auto Body - 1969 Dodge Charger July: Paige Givens (Frederick, MD) 1970 Pontiac Firebird August: Ronnie Rose (Grayson, KY) - 1969 Plymouth Roadrunner September: Chris Berns (Garnavillo, IA) Top Gun Customs - 1949 Chevy ½ Ton Truck October: Barry & Erin Dohrmann (Foley, MN) - 1929 Ford Model A November: Jason Eixenberger (Rapid City, SD) - 1965 Chevy Malibu SS December: Mick Kreszock (Boone, NC) - 1956 Chrysler 300B For more information please visit www.lkqcorp.com.
The seamless bi-directional integration of Sherwin-Williams® FormulaExpress® within Mitchell’s
Adam Chafe, Vice President of Marketing for Sherwin-Williams Automotive Finishes, said, “Our partnership
The route body shops used to have to take to integrate the information from RepairCenter with the information from FormulaExpress
RepairCenter improves the accuracy of overall job costing. Shops simply enter their information once and the system will automatically transfer accurate paint material costs from FormulaExpress back into RepairCenter. This helps shops manage their materials more efficiently, improves technician efficiency, and ensures that invoices sent to customers and insurance companies reflect the true list price of the paint used.
with Mitchell represents the first time that shops have access to more accurate overall job costing information. Instead of a ‘rule-of-thumb-based’ cost estimate, RepairCenter customers now have the ability to create accurate estimates using the true paint costs based on Sherwin-Williams’ list price.” For more information, please contact Mitchell at 800-238-9111 or Sherwin-Williams at 800-798-5872 or go to www.mitchell.com.
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Hertz Corp. Continues Rapid Off-Airport Expansion in 2010
Hertz Corporation continues the expansion of its U.S. off-airport car rental business, with 60 new locations opening during the remainder of this year. By the end of December, Hertz will have opened more than 250 new locations in 2010. The openings are part of a Company-wide strategy to accelerate expansion in the off airport car rental market servicing the replacement, leisure and business customers in this segment. “Our revenues continue to expand at a double-digit rate in the off airport market, and we are increasing our investment to meet anticipated demand,” commented Mark P. Frissora, Chairman and Chief Executive Officer for The Hertz Corporation. “Since the beginning of the year, we’ve opened 192 new locations and we’re committed to an additional 60 before year end. We are opening in the most cost-efficient manner possible, partnering with key local businesses which generate car rental demand. Hertz is primarily co-locating with body shops, hotels and repair facilities. Off-airport rentals have a longer average length of keep, which drives revenue per transaction.
Two NJ Police Officers Charged with Insurance Fraud
Insurance fraud charges were filed after two probationary police office serving Hackensack, NJ, who allegedly were involved in an effort to falsify police records and inaccurately portray an auto accident involving one of the officers. The Associated Press reported that Officer Jakub Szostak, while off-duty, crashed a non-police vehicle June 2 after leaving a Hackensack bar. Officer Eric Mark reached the scene a few minutes later and did not administer a field sobriety test, despite “indications” the other officer had been drinking. He also reported the accident as a hit-and-run, according to the AP report. Szostak then gave the false information to his insurance carrier, leading to his receipt of undisclosed amount for a damage claim, the report said. Szostak was charged with falsifying records and insurance fraud, while Mark was charged with falsifying records. Both Szostak, 24, and Mark, 30, have been on unpaid leave since July and now face administrative charges in Hackensack. Mark’s lawyer, Michael Mitzner, said his client “is absolutely not guilty,” according to his statement to the AP.
Mitchell’s AutoAdvise Growing
Mitchell International, Inc. announced that AutoAdvise™—the online collision repair community recently rebranded from SceneExchange after Mitchell’s acquisition of SceneGenesis last year—is gaining momentum with its shop and insurance carrier participation levels. To date, over 2,000 collision repair facilities, including well-known body shop franchises such as MAACO and several major regional and national insurers have joined AutoAdvise. AutoAdvise is an online community that brings vehicle owners with a need for collision repair together with collision repair shops that have the capacity to perform repairs in an insurerbacked, web-based service solution. It allows insurers to submit claims, body shops to submit proposals for the work based on delivery date, and consumers to make their own selections. “Being a member of AutoAdvise has increased the amount of appraisal requests coming through our organization by 5%. AutoAdvise’s core value of giving shops the opportunity to bid for jobs based on cycle times, perfectly complements our commitment to quickly turn around high quality repairs for our customers,” said Ted James at Cook-Whitehead Ford, in Panama City, FL.
Ford Issues Rare Recall for 7-plus-year-old Windstars
Ford is recalling 975,000 1997–2003 Windstar minivans due to a rear axle which can fracture as a result of rust promoted by accumulated road salt. The vehicles affected are in 21 states where road salt is used to facilitate winter driving. The recall covers highmileage vehicles that have been on the road for a minimum of seven years. However, the problem has been evident to the automotive repair community, not because of its frequency, but for the severity of its consequences. Broken axles do not commonly happen over the lifetime of a vehicle. When they do, it is a rarity to the service facility that encounters one. The axle fractures (in this case at either end), the top of the wheel nearest to the break tilts in toward the vehicle, and, as the Ford recall letter states, “vehicle handling may be affected which could increase the risk of a crash.” NHTSA had received 234 complaints, including two accidents with no injuries. The recall letter states that if a vehicle fails an axle inspection, Ford will pay for a rental until “a remedy is available.” Ford plans to make repurchase offers to owners of Windstars “with cracked or perforated axles in lieu of replacing the axle.”
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These Dealers are Genuine Wholesale Parts Specialists. www.autobodynews.com | NOVEMBER 2010 AUTOBODY NEWS 25
Mercedes-Benz USA Sells Survival Stories The web site for Mercedes-Benz USA (MBUSA) features seven lifechanging collision stories which appeared October 5 as short films on MBUSA.com. The unscripted accounts told by real customers are the byproduct of a collaboration between MBUSA’s marketing agencies to creatively express one of the key features that sets Mercedes-Benz apart in the minds of many of its customers: the ability of a MercedesBenz to protect its occupants when they are most vulnerable. The common threads running through all the stories are phrases like: “I can’t believe we walked away” “The fireman told me ‘if you can live through that then I want my wife driving that car’” “I truly believe I owe that car my life and (my daughter’s) life.” “I decided I would never drive another car unless it was a Mercedes. The police told me I would have been dead in any other car.” “The car absorbed all the force. It saved our lives.” “I feel so strongly about it—it’s not just a pretty car—it will save your life.” “Everyone told me that it was
our car that saved us - both insurance companies, the police, the people in the ambulance. That specific car is the reason we walked away.” “We’ve always been very loyal Mercedes customers, and after this accident we will never ever buy another brand of car.” Steve Cannon, vice president of marketing for MBUSA says, “We literally have hundreds and hundreds of these experiences sent to us by our customers and we all agreed that we had to find a way to bring these experiences to life and share the stories of survival and perspective. We wanted the stories to be powerful but also authentic and, most of all, we wanted them to share the perspective that these people walked away with.” The campaign, known as “Impact,” can be accessed from the MBUSA.com home page or directly at (www.MBUSA.com/Impact) beginning Oct 5.
Two Hudson County, NJ, men were indicted for their alleged role in insurance fraud and identity theft, according to a report by IFAwebnews.com. Remny Gomez, 23, of West New York, was charged Aug. 27 with second-degree theft of identity, as well as trafficking in personal identifying information, insurance fraud, attempted theft by deception, receiving stolen property, and two counts of theft by deception (all in the third degree). The indictment alleges that Gomez fraudulently possessed a New Jersey driver’s license of another person. Gomez allegedly used this personal identifying information to obtain automobile insurance in Pennsylvania for a stolen 2003 BMW 745 with the Infinity Insurance Group of Dallas, Texas, and in New Jersey for a 1998 Lexus GS300 with the IFA Insurance Agency in Clark, NJ, according to the New Jersey Attorney General’s Office. William Collado, 27, also of West New York, was charged with third-degree insurance fraud for allegedly assisting Gomez in using the personal identifying information of another in an electronic application for the purpose of obtaining automobile insurance in New Jersey for the 1998 Lexus GS300 with the IFA Insurance Agency in Clark. That information included the other person’s driver’s license number,
date of birth and address, without the knowledge or authorization of the victim, authorities said. The insurance fraud was allegedly committed by Gomez and Collado working together to insure vehicles in the name of an innocent victim. The alleged fraud was discovered when the victim received insurance documents in the mail concerning a vehicle she had never purchased or insured and reported the incident to the police. The grand jury indictment alleges that Gomez fraudulently used other people’s personal identifying information to commit insurance fraud and to make credit card purchases without their authorization. Gomez was arrested on March 13, 2008, while allegedly attempting to use a $100 gift card to purchase an $850 computer in a Walmart in Secaucus, NJ. Authorities credit a “vigilant check-out clerk” for noticing that the account numbers on the check-out slip did not match the numbers on the gift card. Further investigation revealed that Gomez allegedly possessed a number of credit cards that had been “re-encoded,” whereby another account number has been stolen and then used to overwrite the information on the magnetic strip on the back of the card using a computer. Gomez allegedly also possessed a stolen BMW 745, valued in excess of $30,000, which he fraudulently insured.
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Nissan’s Leaf Wins Magazine’s Breakthrough Award Nissan North America, Inc. announced that the Nissan LEAF received a Popular Mechanics Breakthrough Award at an Oct. 5 ceremony at the Hearst Tower in New York City. The Nissan LEAF was chosen as one of the year’s 10 most transformative products by a panel of experts in addition to members of the Popular Mechanics’ editorial board of advisers. Popular Mechanics says of the Nissan LEAF: “It’s not the first pure EV, but the Nissan LEAF hits the mainstream like none of its predecessors. Powered by a 24-kilowatt-hour battery pack, the LEAF provides a 100-mile range, enough for most commuters, for the price of an average vehicle—and with a much lower operating cost than gasoline-powered vehicles.” “Nissan is honored to receive this highly prestigious award for the all-electric Nissan LEAF,” said Larry Dominique, vice president, Product Planning, NNA. “Popular Mechanics recognizes the transformative powers of electric-vehicle technology, and Nissan is proud to lead the way in bringing the Nissan LEAF, the world’s first affordable, all-electric vehicle, to the mass market.”
The awards, in their sixth year, are designed to heighten awareness of the advancements and innovations that are transforming, enhancing and improving lives. Winners are chosen with the help of an expert advisory panel of prominent thought leaders. Twenty awards are given out each year—10 products available to consumers, and 10 innovations that have potential to change lives. The Nissan LEAF appears in the November issue of Popular Mechanics, on newsstands Oct. 12, and at www.popularmechanics.com/breakthrough10. In North America, Nissan’s operations include automotive styling, engineering, consumer and corporate financing, sales and marketing, distribution and manufacturing. Nissan is dedicated to improving the environment under the Nissan Green Program 2010 and has been recognized as a 2010 ENERGY STAR® Partner of the Year by the U.S. Environmental Protection Agency. More information on Nissan in North America, the Nissan LEAF and zero emissions can be found at www.nissanusa.com.
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Tesla Motors Recalls One-third of its Cars citing Fire Hazard
Tesla Motors has launched a voluntary safety recall on Roadster models 2.0 and 2.5. The recall involves the 12V low voltage auxiliary cable from a redundant back up system that provides power to various systems, including the headlamps, taillights, turn signals and hazard lights, and airbags in the unlikely event the primary 12V power fails or drops below a minimum threshold value. The recall affects 439 Roadsters out of the 1,300 electric sports cars it has sold so far. The Palo Alto, CA-based company said it made the decision after a “single customer incident.” Tesla blamed the smoke and “possible fire” on a low-voltage cable that chafed against a carbon fiber panel. This was part of the 12-volt auxiliary system, not the main battery pack that drives the vehicle. The company said it could fix the problem by installing a sleeve over the cable so it wouldn’t rub against the panel. Tesla was notifying customers via e-mail and regular mail. Tesla said its service employees, who it calls Tesla Service Rangers, would go to customers’ homes or offices to make the repair, which takes about an hour.
Toyota Says Progress in Safety Fixes Has Calmed Customers
Toyota says that the number of customers expressing concern over acceleration problems has dropped 80% since April. “Toyota has made significant progress in recent months to help ensure that our customers can have complete confidence in the quality, safety and reliability of their vehicles, and our latest initiatives build on those accomplishments,” said Steve St. Angelo, Toyota’s chief quality officer. He said that Toyota engineers, after examining 4,200 vehicles, were unable to find a single case in which an electronic throttle system glitch would lead to sudden unintended acceleration. Toyota said it has performed more than 5 million fixes for the three recalls announced in the past year, including 1.8 million to address sticky pedals, 3.1 million to take care of floor mats, and about 128,000 to update the antilock-brake systems in certain 2010 Prius and Lexus models. Consumers have turned on the brand in the wake of the recalls. Sales have underperformed competitors, with Toyota’s market share dropping to 15.2% so far this year from 16.6% through Sept. 2009.
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Toyota Sued by Allstate for $3M in Acceleration-related Claims
Toyota is being sued by Allstate in Los Angeles Superior Court saying they have paid $3 million for accidents caused by sudden acceleration. Allstate said Oct. 1 in its complaint that “Toyota had full knowledge of the numerous complaints regarding its vehicles, that such vehicles were susceptible of sudden unintended acceleration, and thus that such vehicles posed a significant risk of property damage, as well as physical injury to vehicle occupants and other motorists.” Sudden acceleration has accounted for at least 725 accidents with 304 injuries and 18 fatalities, Allstate said, citing Safety Research and Strategies Inc. Undisclosed flaws in the electronic throttle have been linked to sudden acceleration, it said. It accused Toyota of negligence, product liability, breach of implied warranty and fraud. “While Toyota has not seen the complaint, based on reports, we believe the unfounded allegations in this suit have no basis,” Celeste Migliore, a spokeswoman for Toyota Motor Sales USA Inc. in Torrance, California, said in an e-mailed statement. The case is Allstate Insurance Co. v. Toyota Motor North America Inc., BC446704, Los Angeles County Superior Court.
TG Missouri Will Invest $3M in Indiana Plant Upgrades
TG Missouri Corp. is a Perryville, MO-based automotive parts supplier known for high-quality plastic and urethane products, including consoles, steering wheels, airbags, side molding, interior and exterior plastic trim components for automobiles. The company has announced plans to invest more than $3 million to upgrade equipment at its plant in New Albany, IN, creating up to 30 new jobs by 2013. The company said the expansion follows a new contract to supply components for the new Toyota Camry model. Founded in 1986, TG Missouri is a unit of Nagoya, Japan-based Toyoda Gosei Co. Ltd. Toyoda opened the New Albany site in 2005. TG Missouri also has an injection molding site at its headquarters plant in Perryville, MO, where it employs about 1200 people. TG Missouri currently employs 90 in New Albany. The Indiana Economic Development Corp. offered TG Missouri up to $200,000 in performance-based tax credits based on the company’s job creation plans. The city of New Albany, just across the Kentucky state line, will consider an additional property tax abatement, according to a news release from the IEDC, which did not specify the amount of the abatement.
Allstate will pay $10 million over Improper Use of Collosus Software Allstate Corp., the parent of Allstate Insurance Co., agreed to pay $10 million and institute new procedures after improperly using software for handling claims. The payment settles a multistate investigation, regulators said Oct. 19. The settlement by the Northbrook, Ill.-based company ends an 18month National Association of Insurance Commissioners “market conduct examination” of the insurer’s practices for handling bodily injury claims after auto accidents. The targeted investigation, which was led by New York, Florida, Illinois and Iowa, focused on Allstate’s use of the Colossus claims handling software. Forty-one other states were also involved and signed on to the settlement. The company used Colossus to guide settlement offers in auto accident cases. But the probe found “inconsistencies” in how Allstate managed and oversaw the program, failing to modify or “tune” the program “in a uniform and consistent manner across its claims handling regions,” according to a news release from the New York State Department of Insurance. However, “it is important to note that we found no systemic underpayment of bodily injury claims,” New
York Insurance Superintendent James J. Wrynn said in the release. Under the agreement, Allstate will notify claimants that it may use the software in adjusting their claims. It agreed to better oversee the software to ensure that the company follows established criteria and rules for which claims are used to “tune” the software to reflect recently settled claims. It will also tighten internal auditing of both the software and its claims handling to adhere to written guidelines and procedures, and it will consolidate its claims handling practices into a single manual. And it will not require or encourage claims adjusters to base settlements only on Colossus’ recommendations. “The new processes ensure that claims will be handled consistently in different regions of the country, and consumers will have the right to get the information they need in order to understand how Allstate evaluates their claims and make sure they are fairly treated,” Wrynn said. The fine, which includes $1.2 million to New York, will be used to set up a regulatory fund that will be used by the 45 states to develop and train examiners to monitor how the industry uses software technology in handling claims.
www.autobodynews.com | NOVEMBER 2010 AUTOBODY NEWS 27
ALL OEM Information
with Dan Espersen and Jeffrey Webster
Who needs OE repair information?
Based on this definition, I would have Shops, insurers and consumers all to ask myself: How should things be? benefit when vehicles are repaired to with Dan Espersen What are the rules, principles and manufacturers’ standards! Every day, collision shops are faced measures? And, perhaps most imporwith a multitude of challenges and tantly, Who is the Authority? decisions about repairing vehicles and satisfying the expectations of Answer: The Manufacturer (OE) valued customers. One of a repair They design it, develop it, test it and professional’s most important queswith Mike Causey deliver it. Vehicle manufacturers set tions should be, “How do I ensure the standard for correct repair inforproper repairs based on the quality mation, procedures and practices. Traand quantity of repair information ditional information gathering available.” With today’s fast-moving techniques are chaotic, time consumtechnology, procedures that were up- ing, costly and confusing. Ask yourwith Mike Causey self, when faced with a technical to-date yesterday can be out-of-date tomorrow. problem, “What would the manufacThe complexity of today’s vehicles, turer say about this?” Ready access to with sophisticated electronics and OE information could positively imsafety systems, new high-strength ma- pact your entire operation. terials, and alternative power Janet systems, makes with easy access to Chaney correct information an absolute must. In the absence of a single source for accurate, current and detailed repair procedures, how can anyone repair a damwith Tom McGee aged vehicle to a high, exacting and consistent standard?
ALL OEM Information
The Right Cause The Right Cause
Dan Espersen is ALLDATA® CollisionSM Program Manager. Dan is a Gold Pin Member of the Collision Industry Conference (CIC) and holds an AA Degree in Automotive Technology. He has 17 years of experience in the collision industry and 17 years of experience in the automotive industry.
and repair processes, Who benefits? Everyone, the repair facility, the insurer and, ultimately, the vehicle owner. Let’s break it down:
The benefits of OE Information to estimating 1. With OE information at hand, proper repair methodology will be reflected on the estimate. 2. Correct OE recommended parts will be ordered. 3. Correct replacement procedures will be followed, including, among others: full or partial outer/inner panel replacements, full or partial frame components, recommended adhesives, sealants and coatings, to name a few. 4. Unnecessary, time-wasting questions and discussions may be reduced or eliminated due to the availability of OE repair procedures. 5. Correct documentation will now
Automaker Actions and Announcements
ALL OEM Information
Question: Who sets the standard? Webster’s Dictionary with defines Tom McGee “standard” as: “A means of determining what a thing should be. Standard applies to any definite rule, principle, or measure established by authority.”
ALL OEM Information
Shop Showcase with Ed Attanasio
OE information and the insurer The dilemma of proper repairs reaches beyond the staff of a collision repair facility. With the potential to grow the collision repair business, many shops have turned to insurance direct repair programs (DRPs), to enhance or drive revenue to their doors. As more people – and more opinions – directly impact repair decisions, the issue of accurate repair information becomes even more critical. OE repair information helps remove the guesswork and the opinions from the estimating
Shop Showcase with Ed Attanasio
Say What?! Say What?!
28 NOVEMBER 2010 AUTOBODY NEWS | www.autobodynews.com
be recorded and made available to the insurer to substantiate repair decisions and the thought behind them. 6. Supplements may decrease, as correct repair procedures can be determined upfront at the time of the estimate rather than during repairs. 7. Unrelated existing conditions may be discovered in OE technical service bulletins (TSBs) or recall notices prior to repairs and estimates 8. Correct mechanical operations and labor times will be reflected on the estimate. (Current information may not be available in the shop’s/insurer’s estimating systems.) The benefits of OE Information to production 1. Correct OEM repair documentation will be available to the technician prior to beginning the repair. 2. OEM repair data will be accessible at the time of teardown, allowing
correct procedures to be estimated, documented and filed. 3. Technicians can access correct, up-to-date OE procedures, helping them to make repairs to current standards with fewer mistakes. 4. Fewer damaged or broken parts will result from the technician having OE disassembly and assembly procedures for components that they have never worked on before. 5. OE information can help facilitate constructive negotiations and discussions between the insurer and the technician/production manager. 6. Proper repair practices on the estimate can now be verified by the production team.
Cycle time 1. By having OE repair information available, correct parts are ordered upfront, resulting in fewer parts returns, more efficient sourcing and less down time. 2. Vehicles will not stop in production due to broken parts, subletting, authorizations, additional/ unnecessary supplements or improper repairs. 3. Questions affecting production can now be answered: • Does this vehicle need frame replacement or sectioning? Is the damaged area within the OE tolerance/dimension and can it be straightened? • Do I have to sublet this repair, or can I save time by repairing it in the shop with detailed OE instructions? • Do I have the correct tools and equipment to repair the vehicle properly?
Efficiencies / Productivity 1. Having OE repair procedures prior to production can streamline a technician’s repair practices and help prevent mistakes. 2. With accurate procedures and diagrams, the technician can spend more time working on the vehicle instead wasting time gathering repair information. 3. OE information opens the Give us your opinion on matters affecting the doorindustry. to performing repairs in the shop instead of continuing to outsource work, such as: publisher@autobodynews.com• Suspension and steering op7. Technical service bulletins erations (TSBs) can be accessed for existing • Electrical systems (possibly unrelated) conditions on the • Hybrid technology vehicle. • Air bags 8. Training for certain repair opera• Collision avoidance systems tions on specific vehicles can be reTo advertise The source for timely Overall Average Severity or cost of duced. call Joe Momber at: 9. Correct identification information that everyand repair repair 800-699-8251 methods can beneeds! performed and sub- This category is what I like to call body shop stantiated on various types of steels. the balance scale. On one side is the e-mail: jmomber@autobodynews.com insurer who wants to keep claim CALL 800-699-8251 severity under control, letting them The benefits of OE Information to your www.autobodynews.com Start Your FREE pass on the savings to the conbusiness KPI’s
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sumer. On the other side is the collision repairer, whose main goal is to capitalize on gross margins and profitability by cultivating as many sales as possible. The scale balances when both the insurer and collision facility negotiate an agreeable, cost effective, correct solution that benefits everyone, including the vehicle owner. Here’s how OE repair procedures help balance the scale: 1. OE Information reduces timely and costly sublet operations and keeps the vehicle in the repair facility. (“Now, I have the instructions to repair this system.”) 2. It lowers rental costs by reducing cycle times. (“I don’t have to stop this vehicle in production and extend rental days, because I have a proper repair plan. I can keep the vehicle moving.”) 3. Accurate information ensures correct billable repairs. (“I can produce proper OE repair steps, charges and documentation, which are not available in other systems.”) 4. Proper step-by-step procedures help increase efficiencies and overall productivity. (“I can now keep my hands on the vehicle more, because I have the proper instructions right from the
repair by having OEM repair instructions.”) “I have established or enhanced my professional credibility with an insurer
and my customer by providing OE guidelines and repair procedures.” “We conform to OE repair standards, allowing me to manage liabilities and provide accurate documentation.” The Benefits of referencing OE information first The greatest benefit of OE repair information will be realized when a vehicle first enters the shop. With procedures and diagrams in hand at the start, estimators can build proper repair plans, the correct parts can be ordered, and technicians can repair the vehicle faster and more efficiently. As a result, quality will increase and the overall time that a vehicle is spent in the shop will decrease. Give it a try! For more information on OE repair information, please visit: www.alldata.com/promo/abn6tt/
©2010 ALLDATA LLC. All rights reserved. All technical information, images andEdition? specifications are from Want to Contribute to this Southwest ALLDATA Collision. ALLDATA is a start of the repair.”) registered trademark and ALLDATA Customer satisfaction (CSI) Collision is a mark of ALLDATA publisher@autobodynews.com OE collision repair information enLLC. All other marks are the property hances customer satisfaction: of their respective holders. “I can explain to my valued customer that we are repairing the vehicle to OE Promote your business with Promote your business with standards.” an exclusive article featuring article featuring “Ian canexclusive show my customer OE repair your products or services. your products or services. documentation, technical service bulletins and recall information that may help them with other areas of concern on their vehicles.” “I can deliver the vehicle to my cusCALL:inJoe Momber for promised details! Call for details! tomer a more accurate, time frame because I have reduced the 800-699-8251 800-699-8251 mistakes made during the course of
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www.autobodynews.com | NOVEMBER 2010 AUTOBODY NEWS 29
Book Store Gets N. Texas’ First Electric Car Charging Station Half Price Books installed North Texas’ first electric vehicle charging station on September 19 according to reports made by the Dallas Morning News. As the cars roll in to Texas later this year, drivers will be able to juice up their electric vehicles at the bookstore’s flagship location on Northwest Highway for free. The charger is relatively slow, and some cars will take hours to get a full charge. So the idea is to change consumer thinking about refueling, from waiting next to the vehicle to just leaving the car plugged in while shopping. “We’re thinking, lunch hour, when they come and shop anyway,” said Becky Gomez, promotions manager for Half Price Books. “We’ll give them a basket, too.” The charging station can send text messages to drivers about the charging status. Half Price will let customers use the stations for free until next September, when executives will decide whether to charge. Half Price buys renewable electricity from Green Mountain Energy. Gomez said the store location, at 5803 E. Northwest Highway, draws
customers who drive alternative-fuel vehicles, and she expects the chargers to get some use once the plug-in cars hit Texas. She added that Half Price Books executives wanted to have the first charging station in North Texas to compliment the company’s earthy image. The station isn’t a promotion by electric vehicle companies. Gomez found charging manufacturer Coulomb Technologies Inc. online, and Half Price Books paid for the station and installation itself. The station, with charging spots for two vehicles, costs about $10,000, including installation. Guy Mannino, president of charging station distributor Verdek LLC, said the station at Half Price is designed for customers to “top off the battery.” Public charging stations require a change in customer mindset, since refueling can take a lot longer than gasing up. “Park the car and go do something else,” Mannino said. Like shopping, watching a movie or eating out. Many car manufacturers plan vehicle displays at the State Fair of Texas.
The great State Fair of Texas opened Friday, Sept. 24, in Dallas with all the exciting exhibits and activities fairgoers have come to expect from this gigantic annual extravaganza. This year’s theme is Supersized Fun. While there has been a state fair since 1886, one of the biggest components of the fair—the auto show— obviously didn’t come along until after 1904. The auto show really skyrocketed after WWII. It has grown from 84,000 square feet to over 300,000 square feet of exhibits with two buildings and an outdoor truck area. Since Texans like to boast that everything is bigger and better at their state fair, it’s no surprise that the politically correct greener automobiles of the future such as Nissan’s 100 percent electric Nissan LEAF and Chevrolet’s 2011 Volt have to share space in the auto exhibits with giant gas-guzzling and proud-of-it SUVs and trucks. Making its official debut at the State Fair of Texas Auto Show, the new Ram Laramie Longhorn edition is loaded with over-the-top features. Also, Toyota is touting two made in Texas trucks, with the Tundra and the Tacoma both manufactured in San Antonio. Two new special edition Tundras have been developed especially for Texans: the Tundra T-Force
Limited Edition is for serious off-road enthusiasts who want to “make a statement” about their outdoor lifestyle. Only 500 were built for Gulf States area customers, and they include 20-inch wheels with all-terrain tires, body color pocketed fender flares, matte-black Predator Step tubes, special T-Force badges and other extras. The Tundra Texas Edition, offered only in the Lone Star State, has custom exterior badges, 20inch BBS alloy wheels and upgraded tires, and sparkles with chrome accessories. Chevrolet’s new Volt was another high-buzz vehicle, with its expanded range of 340 miles giving travellers the option of going further than most electric-only vehicles. Long lines of fairgoers were waiting for their opportunity to test drive the Volt. Initially available at dealerships in Texas, California, Connecticut, Michigan, New York, New Jersey and the D.C. area, starting price will be a little more than $41,000. However, purchasers get a $7,500 tax credit to bring the total cost down even before those inexpensive battery charges kick in. For updated information about the 2010 State Fair of Texas and the Auto Show, visit bigtex.com.
Texas-Sized Trucks Take Spotlight at Dallas Auto Show
30 NOVEMBER 2010 AUTOBODY NEWS | www.autobodynews.com
Collision Industry Legal Fund Gets Large Contribution In October a contributor sent a check for $2,500.00 to the recently founded Collision Industry Legal Fund. The Collision Industry Fund was recently established to provide financial assistance to Gunder’s Auto Center in Lakeland, Florida who has been involved in a longlawsuit against State Farm Insurance over issues of Slander and Tortious interference, as well as State Farm’s wrongful failure to pay for certain repair procedures. Gunder’s lawsuit against the auto Insurer stems from derogatory comments and wrongful activities on the part of State Farm representatives. The statements and actions are believed to have been made with the intent to harm the collision shop’s business and long- standing reputation within their community. “While this is the largest single donation we have received to date, of which we are extremely grateful and thankful for, we also appreciate the many others we have received in various amounts from $10.00 to $500.00. The funds will be of enormous help in the ongoing legal costs, but this, along with the many other comments of support, provide us the motivation and conviction to con-
tinue this often difficult but honorable legal journey. This major contributor is courageous enough to authorize us to use their name but we chose to use discretion and not to release it”; says Ray Gunder, the company’s founder. Ray goes on to say: “This fight isn’t just about Gunder’s and our customers, or just about State Farm; it’s about repairers and consumers who face the same issues of abuse day in and day out across the country. The insurer will try to outlast and outspend us if they can, but [sic] we will see this through to the very end!” If you would like to contribute to the Collision Industry Legal Fund please make your donations out to The Collision Industry Legal Fund and send your donations by mail to: The Industry Legal Fund, Brent Geohagan Attny at Law 3001 Bartow Road, Lakeland, FL, 33803
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Cover Story
In what may yet turn into an East vs. West location strategy, ASA has suggested that NACE-CARS may not be in Las Vegas in the future, citing interest from the true decision makers— the exhibitors—in an East Coast venue for future shows. Saying “Las Vegas is not the draw it used to be,” implying that Vegas-fatigue may be an impetus for holding the ASRW event elsewhere, Pyle expressed confidence in the exhibitors. “Our folks will come regardless of where the show is located.” Pyle also noted that discussions with major exhibitors were leading him to conclude that “traditional marketing methods are less effective than in the past.” Suggestions for an every-second year show, based on what many see as a slowing in the rate of innovation of new products, are overruled by the majority of vendors, who want an every-year show, said Pyle. There seems to be no prospect of re-uniting the events as a single Industry week.
NACE-CARS put on a brave showing with 270 exhibiting companies, 1115 full conference attendees, and about 75,000 sq. ft. of exhibit space, adding 10,000 sq. ft. to each of its OEM Pavillion and on-floor education and demonstration space, but the continued decline in foot traffic has exhibitors wondering and worried. It cannot be good that estimates of attendance at NACE were no higher than 16,000, down from an already depleted 21,000 last year and a small fraction of the expected attendance at SEMA, which is likely to exceed 100,000—most of which are not a proven audience for collision-related product. Exhibitors on tight budgets must now gauge whether the targeted NACE audience is a better bet than the much larger, but more diffuse, group of specialty market shoppers. Bigger and better capitalized companies are having less trouble saying ‘yes’ to both shows, seeing opportunity in both, but start-ups and single product exhibitors are finding the separation of the events much more problematic. Larger and International
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exhibitors have simply stored bulky items in Las Vegas between the shows and swapped out personnel, but most small exhibitors who used to rely on the exhibit floor for sales are hurting. Exceptions exist of course. Some vendors reported more orders on the first day of this year’s NACECARS show than the whole of last year’s, which may be a harbinger of the generally improving economy Barry Dorn as well as the specificity of their products.
As SEMA-AAPEX open this week, the Paint, Body & Equipment has become the fastest-growing section, with 128% more exhibitors confirmed for 2010. In addition, there are hundreds of other companies throughout the SEMA Show this year that will be able to showcase their products to the paint and body market, including such long-standing exhibitors as House of Kolor, PPG, SherwinWilliams, 3M, and more. Collision repairers are encouraged to attend SEMA by SCRS’ Repairer Driven Education program and the Collision Industry Conference, which narrowly voted in favor of colocation with SEMA 2010 instead of NACE-CARS. These seminars and programs provide more rationale for collision repairers to attend SEMA, that is, if they are unable to attend both shows. SCRS Chair Barry Dorn observed, “We listen to what our membership says and we wanted to give them something different. There are so many different things that SEMA offers, such as alternate sources of revenue, and different Peter MacGillivray perspectives to think about. Add that to what we’re doing in grass-roots training, and what better place to do that than at SEMA?” Said CIC Chair and SCRS Events Administrator Jeff Hendler, “We’re not trying to polarize the industry, we’re offering choice... it’s really important that we give repairers these opportunities.” Hendler pointed out that the organizers of SEMA, Peter MacGillivray
and Chuck and Susan Schwarz put their cell phone numbers on the back of the registration badges. Access to the organizers is more than a symbolic gesture, said Hendler. Hendler was also instrumental in engaging Charles A. Coonradt, to be the “keynote instructor” at the RDE event. Coonradt is author of the Game of Work, which presents, among other concepts, an “if you can’t measure it, you can’t manage it,” message. Hendler says collision shows need to eschew the “rah, rah” of Hollywood or Policital keynote speakers, in favor of a “keynote instructor” so that repairers can get back to basics and take the message back to their shops—the theme of repairer driven education. SEMA vice president of communications and events, Peter MacGillivray, said “The paint and body market has increasingly become an important market. That’s why the PBE section of the show was expanded in just its second year of existence. That’s also why we are Jeff Hendler partnering with industry experts to provide this audience with quality education and networking opportunities.” “We’re working closely with SCRS, I-CAR and CIC to make it simple and easy for industry professionals in the automotive paint market to get the most value out of being at the SEMA Show,” MacGillivray said. “With meetings, education and quality exhibitors all available to this market, we’re confident that the return on the participants’ investments is sure to be huge.”
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www.autobodynews.com | NOVEMBER 2010 AUTOBODY NEWS 31
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