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Jay Leno Receives Token of Appreciation from BASF During SEMA 2015 by Stacey Phillips, Assistant Editor
Jay Leno, legendary comedian and host of Jay’s Leno’s Garage, received a special token of appreciation from BASF during SEMA 2015. Fans gathered at the BASF booth on November 4 while Dan Bihlmeyer, BASF’s North A- Jay Leno and the BASF Refinish team at SEMA 2015 merican marketing manager, his preference for BASF products. presented a signature leather jacket to “I’ve been using their products for Leno, who has a collection of 140 cars years and years,” said Leno. “It’s fun of his own. to have this kind of relationship. It’s Autobody News asked Leno about See Jay Leno, Page 12
CIC Debates How to Define a ‘Class A’ Shop—And If Such a Definition is Even Needed
See CIC debates, Page 16
P.O. BOX 1516, CARLSBAD, CA 92018
Whether the 2013 version of the Collision Industry Conference (CIC) definition of the “Minimum Recommended Requirements for a ‘Class A’ Collision Repair Facility” is up-to-date given changes in vehicle and repair technology was not up for debate at the latest CIC in Las Vegas in November. Randy Stabler “We have a wholly inadequate Class A shop definition today,” CIC Chairman Randy Sta-
bler said. “Things are moving a lot faster than we are. So we need to keep up.” But a number of representatives of the Society of Collision Repair Specialists (SCRS) argued at the meeting that there is no longer much of a need for the document at all. “The real-world situation is this Class A definition is irrelevant in today’s market,” SCRS board member Dusty Womble of Roger Beasley Collision Center in Austin, Texas, said. “The cars have changed. The [automaker shop certification] programs have changed. There’s really not a
Change Service Requested
by John Yoswick
VOL. 33 ISSUE 12 DECEMBER 2015
Winning SEMA New Product Awards Can Be Life Changers by Ed Attanasio
Capturing an award in the Specialty Equipment Market Association’s (SEMA) New Products Showcase can be a life changing experience for manufacturers that are looking for a fast track to success. Years of research and development coupled with hard work and buoyed by the spirit of entrepreneurship, these awards are given to the most innovative and cutting-edge new automotive aftermarket products in the industry today, judged by some of the biggest names in the automotive world. On Nov. 3 at SEMA’s opening breakfast, a handful of companies from all over the world received these highly coveted awards announced at a ceremony rivaling the Academy Awards. By just being associated with the SEMA brand, companies can gain instant cred-
ibility and fast track their journey to success.
The Collision Repair & Refinish Product First place winner went to Innovative Tools and Technologies, Inc. for the Scangrip Sunmatch Color Match LED. From left, General Manager Jason Cox and Scangrip’s Marketing Manager Hanne Nadolny.
Nearly 2,000 products were entered into 16 different Showcase categories to be considered for SEMA New See SEMA New Product Awards, Page 26
Five Things to Know about CA’s Bureau of Automotive Repair (BAR) by Ed Attanasio
If you were at SEMA this year, you probably visited a few bars, but the BAR many body shop owners and managers were talking about does not sell $15 specialty cocktails or plays loud music. This BAR is the Jack Molodanof,a Bureau of AutomoCalifornia attorney tive Repair and if and lobbyist told you don’t comply body shop owners with their rules and and managers how regulations, you to “Protect Your Business from could get a hangFines and over that can last Disciplinary Actions for many years. by the CA Bureau Jack Molodanof, of Automotive a California attorRepair” at SEMA last month ney and lobbyist who has distinguished himself in areas of automotive legislative and regulatory
law over the past 30 years gave a 2hour presentation on Nov. 6 at the SEMA Show as part of the educational series offered by SCRS. “Protect Your Business from Fines and Disciplinary Actions by the CA Bureau of Automotive Repair” was the title of Molodanof’s comprehensive class. Molodanof is the go-to lawyer/ lobbyist in California for the automotive repair industry and represents several statewide automotive associations, including the California Autobody Association (CAA) and Automotive Service Councils of California (ASCCA). Molodanof also serves on the California Bureau of Automotive Repair (BAR) Advisory Group, which provides input on BAR programs. Here are five important things that we gleaned from this highly-informative presentation: 1)
The BAR is a 100% complaintSee Five Things to Know, Page 18
Presorted Standard US Postage PAID San Bernardino, CA Permit #2244
2 DECEMBER 2015 AUTOBODY NEWS | www.autobodynews.com
Contents
REGIONAL A Crazy Hectic October for ASA-AZ. . . . . . . . . . 4 Certified Collision Group Adds Red Hill Collision Center in CA to its 1stCERTIFIED Initiative . . . 6 Chris’ Collision in Grass Valley, CA, Has Been Sold to Caliber Collision . . . . . . . . . . . . 9 Five Things to Know about the Bureau of Automotive Repair (BAR) . . . . . . . . . . . . . . . 1 G&C Auto Body Acquires Sonoma Location . . . 9 Jose Heded to Assist Urethane Supply in AZ, CA and NV . . . . . . . . . . . . . . . . . . . . . . . 4 King of Kustomizers’ George Barris Passes Away at 89 . . . . . . . . . . . . . . . . . . 17 NABR Launches Labor Rate Surveys in AZ, President Discusses Overall Findings . . . . . 30 Service King Continues Southern California Expansion . . . . . . . . . . . . . . . . . . . . . . . . . . 9 Tucson Customer Sues After Shop Fixes Car with Cardboard . . . . . . . . . . . . . . . . . . . 6 Young’s Detail Shop in Mesa, AZ Warns Against Inflated Insurance Repair Costs . . . . . . . . . . 4 COLUMNS Attanasio - IL Body Shop Owner Becomes Nationally Acclaimed Motivational Speaker . . 34 Attanasio - NABC Gives Away 4 Cars at Annual SEMA Luncheon . . . . . . . . . . . . . . . 20 Luehr - A Secret to Success – Dealing with Fear. 22
NATIONAL 2015 VeriFacts Achievement in Collision Repair Excellence (ACE) Awards. . . . . . . . . 52 3M Automotive Aftermarket and NASCAR Announce Partnership for Five Years. . . . . . 39 Addressing Total Loss Write-Offs Needs a 'Triple Bottom Line' Approach . . . . . . . . . . . 54 Aging Vehicle Fleet Continues to Create New Opportunity for Automotive Aftermarket, IHS Says . . . . . . . . . . . . . . . . . . . . . . . . . . 60 ASA Finalizes Program for Safety Inspection Forum . 6 Assured Performance Announces 5-Star Business Performance Program . . . . . . . . . 55 Assured Performance Co-Op Announces 2016 Board of Directors November 10, 2015. . . . 61 AudaExplore Signs Agreement for GM’s MyPriceLink . . . . . . . . . . . . . . . . . . . . . . . . 3 Auto Body Repairers Team with Progressive Insurance to Donate More Than 130 Cars to Veterans. . . . . . . . . . . . . . . . . . . . . . . . . 50 Axalta Coating Systems Acquires ChemSpec USA . . . . . . . . . . . . . . . . . . . . . 51 CARSTAR CEO David Byers Discusses Acquisition and Reaction from Employees . . . . . . . . . . 28 CARSTAR CEO Makes Unique Bet with Franchisee President . . . . . . . . . . . . . . . . . 56 CCC Receives Classroom Grant Through CREF. . 52 CIECA Names PartsTrader Electronic Commerce Company of the Year. . . . . . . . . 43 CREF’s 2016 Spring Career Fair Schedule Announced. . . . . . . . . . . . . . . . . . . . . . . . . 21 Determining Values for Total Loss Vehicles Often Complicated and Controversial . . . . . 58 Driven Brands Executive Jose Costa Describes What Auto Body Shops Can Expect. . . . . . . 29 Duluth Auto Body and Insurance Executives in MN See Uptick in Deer Collisions . . . . . . 59 Four Collision Schools Awarded GEICO Grants Through Collision Repair Education Foundation . . . . . . . . . . . . . . . . . . . . . . . . . 60 GYS USA is SCRS’ Newest Corp. Member . . . 13 I-CAR® Announces Organizational Changes, Strengthening and Expanding the Leadership Team . . . . . . . . . . . . . . . . . . . . 60 New Chief Videos Teach Proper 2015 Ford F-150 Anchoring, Available on Chief’s Website . . . 61 NHTSA: Repair Shops Could Get Airbag Recall Work . . . . . . . . . . . . . . . . . . . . . . . . 50 Nominations Open for WIN’s Most Influential Women Award . . . . . . . . . . . . . . . . . . . . . . 46 NY Swindler Guilty in No-Fault Auto Insurance Scam that Cost $118M . . . . . . . . . . . . . . . 24 Oh Deer, Bigger Bucks as Glass Damage on Rise . 8 Scott Wendel Scholarship Fund Reaches Second Milestone of $20,000 in Donations . . . . . . . 38 Service King, Chicago’s CARCARE, Inc. Partner in 15 Location Deal . . . . . . . . . . . . 56 Sherwin-Williams SEMA Booth Devoted to Getting Collision Shops “In The Fast Lane” . . 13 U.S. House Committee Holds Hearing on Vehicle Safety . . . . . . . . . . . . . . . . . . . . 43 Vehicle Software Access from Librarian of Congress . . . . . . . . . . . . . . . . . . . . . . . . 12 WIN Hosts Industry Webinar on “Choice Management”. . . . . . . . . . . . . . . . . . . . . . . 61 Winning SEMA New Product Awards Can Be Life Changers . . . . . . . . . . . . . . . . . . . . . 1 Write it Right: Estimating Best Practices Seminar . 18
less workflow experience when writing estimates for Genuine GM Parts. “A year ago the industry asked General Motors to engage collision industry stakeholders in an effort to collaborate and integrate into our design of MyPriceLink. AudaExplore stepped right up ... and we are very pleased they collaborated during this entire period; taking into account the needs of their customers, providing valuable technical assistance to the program, with the end goal being a seamless workflow solution for their customers on the AudaExplore estimating platform. It’s fully integrated into the GM MyPriceLink system,” said Kris Mayer, general director, Wholesale Channel, Customer Care & Aftersales, General Motors Corporation.
Publisher & Editor: Jeremy Hayhurst General Manager: Barbara Davies Assistant Editor: Stacey Phillips Online Editor: Victoria Antonelli Contributing Writers: Tom Franklin, David Brown, John Yoswick, Janet Chaney, Toby Chess, Ed Attanasio, Chasidy Sisk, David Luehr Advertising Sales: Joe Momber, Sean Hartman, Bill Doyle, Norman Morano (800) 699-8251 Office Manager: Louise Tedesco Sales/Research Associate: Cass Heckel Art Director: Rodolfo Garcia
Serving California, Nevada, Arizona and Utah. Autobody News is a monthly publication for the autobody industry. Permission to reproduce in any form the material published in Autobody News must be obtained in writing from the publisher. ©2015 Adamantine Media LLC. Autobody News P.O. Box 1516, Carlsbad, CA 92018 (800) 699-8251 (760) 603-3229 Fax www.autobodynews.com Email: news@autobodynews.com
Western
Yoswick - CIC debates how to define a ‘Class A’ shop – and if such a definition is even needed . . . . . . . . . . . . . . . . . . . . . . . 1
AudaExplore, a business unit of Solera Holdings, Inc. and a leading provider of software and technology solutions for collision repair and automotive insurance industries, announced on November 16 that it has signed an integration agreement to receive MyPriceLink dynamic part pricing data from General Motors beginning on December 1. MyPriceLink is the new realtime pricing initiative that replaces GM’s monthly static price tape for its collision parts portfolio. The application was successfully piloted by collision repairers and insurers using AudaExplore’s estimating platform beginning in July 2015. As a result of this agreement, the company said that AudaExplore users will have a seam-
Indexof Advertisers
SEMA COVERAGE Apollo Sprayers HVLP Introduces Turbo Pro 3000 for Paint Savings and Eliminating Contamination . . . . . . . . . . . . . . . . . . . . . . 44 Attanasio - WD-40 Unveils Two New Products at SEMA 2015 . . . . . . . . . . . . . . . . . . . . . . 36 CAR BENCH Displays Manta - Bench Rack for All Vehicles . . . . . . . . . . . . . . . . . . . . . . 44 Chief™ Now Offers Collision Repair Frame Racks and Benches . . . . . . . . . . . . . . . . . . 40 Garmat 2015 Sharp Shooter Contest Winners Announced. . . . . . . . . . . . . . . . . . . . . . . . . 10 GFS Demonstrates REVO Accelerated Curing Systems . . . . . . . . . . . . . . . . . . . . . 46 Industry Awards Presented During CIC at SEMA. . . . . . . . . . . . . . . . . . . . . . . . . . . 40 ITW Evercoat Launches New Body Filler . . . . . 10 Japanese Panel Repair System Demonstrated by Equipment Gateway's Miracle System at SEMA. . . . . . . . . . . . . . . . . . . . . . . . . . . 44 Jay Leno Receives Token of Appreciation from BASF During SEMA 2015 . . . . . . . . . . . . . . . 1 NAPA/MARTIN SENOUR Unveiled NHRA Superstars & Custom Hot Rods at SEMA . . . 52 Novol Introduces European Car Refinish Solutions to US & Canada . . . . . . . . . . . . . 46 PPG Showcases Products & Painters in Mardi Gras-Themed Booth at SEMA . . . . . . 42 Prima Welds Showcases Prima Multi Torch 5-in-1 Inverter Welders. . . . . . . . . . . . . . . . 47 Pro Spot Offers a Look at New Products at SEMA. . . . . . . . . . . . . . . . . . . . . . . . . . . 25 Race Car Driver Ashley Sanford Sign Autographs at Herkules Booth. . . . . . . . . . . 47 Ringbrothers Reveal 1965 Mustang Fastback “SPLITR” . . . . . . . . . . . . . . . . . . . . . . . . . . . 8 SEMA Continues to Dazzle the Largest Crowd Ever . . . . . . . . . . . . . . . . . . . . . . . . 48 Service King, Chicago’s CARCARE, Inc. Partner in 15 Location Deal . . . . . . . . . . . . 56 Urethane Supply Displayed 6066-CG Nitrocell Nitrogen Plastic Welder at SEMA 2015 . . . . 10 Valspar Features Celebrity Appearances at SEMA . . . . . . . . . . . . . . . . . . . . . . . . . . 58
AudaExplore Signs Agreement for GM’s MyPriceLink
Alfred Matthews Buick-GMC-Cadillac .39
Honda-Acura Wholesale Parts
Audi Burlingame . . . . . . . . . . . . . . .25
Hyundai Wholesale Parts Dealers . .57
Allstate Insurance Company . . . . . . .9
Audi Wholesale Parts Dealers . . . . .54
Automotive ID . . . . . . . . . . . . . . . . . .29 AutoNation Chrysler-Dodge-Jeep-
Dealers . . . . . . . . . . . . . . . . . .32-33
Kearny Mesa Subaru-Hyundai . . . . .20 Kia Motors Wholesale Parts
Dealers . . . . . . . . . . . . . . . . . . . . .45
Ram-Fiat . . . . . . . . . . . . . . . . . . . .18
Larson Electronics, LLC. . . . . . . . . . .4
Ram of North Phoenix . . . . . . . . . .8
Mark Kia-Mitsubishi . . . . . . . . . . . . .48
AutoNation Chrysler-Jeep-Dodge-
Axalta Coating Systems . . . . . . . .2, 63
BMW Wholesale Parts Dealers . . . .53
Bob Smith BMW . . . . . . . . . . . . . . . .34
Bob Smith MINI . . . . . . . . . . . . . . . .34 Capitol Subaru . . . . . . . . . . . . . . . . .64
Car-Part.com . . . . . . . . . . . . . . . . . .10 Certified Automotive Parts
Association (CAPA) . . . . . . . . . . .27
Classifieds . . . . . . . . . . . . . . . . . . . .62
Colortone Automotive Paints . . . . . . .6 CRS Collision Repair Management
System . . . . . . . . . . . . . . . . . . . . .21
Del Grande Dealer Group . . . . . .14-15 Downtown Motors of LA
(Audi, VW, Porsche) . . . . . . . . . . .19
Earnhardt Hyundai . . . . . . . . . . . . . .43
Eco Repair Systems of
North America, LLC . . . . . . . . . . .12
Elk Grove Toyota . . . . . . . . . . . . . . .46
Maita Subaru . . . . . . . . . . . . . . . . . .26
Martech Services Company . . . . . .42
Mazda Wholesale Parts Dealers . . .58
McPeek Dodge of Anaheim . . . . . . .24
MINI Wholesale Parts Dealers . . . . .52 Mitsubishi Wholesale Parts Dealers . .56
MOPAR Wholesale Parts Dealers . .37 Nicolosi Imports . . . . . . . . . . . . . . . .22
Nissan/Infiniti Wholesale Parts
Dealers . . . . . . . . . . . . . . . . . . . . .51
Orange Coast Chrysler-Dodge-
Jeep-Ram . . . . . . . . . . . . . . . . . . .16
Puente Hills Subaru . . . . . . . . . . . . .44
Riverside Kia . . . . . . . . . . . . . . . . . .42 Riverside Metro VW-Honda-Hyundai-
Nissan-Mazda . . . . . . . . . . . . . . .28
SATA Spray Equipment . . . . . . . . . .11
Shingle Springs Subaru . . . . . . . . . .38 Sierra Chevrolet-Honda-Mazda-
Subaru . . . . . . . . . . . . . . . . . . . . .47
EMM . . . . . . . . . . . . . . . . . . . . . . . . . .7
Subaru Wholesale Parts Dealers . . .49
Equalizer Industries, Inc . . . . . . . . .30
Toyota Wholesale Parts Dealers . . .61
Enterprise Rent-A-Car . . . . . . . . . . .36 First Auto Group . . . . . . . . . . . . . . . .40
Ford Wholesale Parts Dealers . . . . .41 G & C Auto Body . . . . . . . . . . . . . . .35
Galpin Motors . . . . . . . . . . . . . . . . .23
GM Wholesale Parts Dealers . . . . . .50
H & S Autoshot Mfg. Co. . . . . . . . . .25
The Bay Area Automotive Group . . .31
Urethane Supply Company . . . . . . .17
Valspar Automotive . . . . . . . . . . . . . .5 Volkswagen Wholesale Parts
Dealers . . . . . . . . . . . . . . . . . . . . .55
Volvo Wholesale Parts Dealers . . . .59 WyoTech . . . . . . . . . . . . . . . . . . . . .13
www.autobodynews.com | DECEMBER 2015 AUTOBODY NEWS 3
Young’s Detail Shop in Mesa, AZ, Warns Against Inflated Insurance Repair Costs by Marissa Roper, Special to Tribune
A local auto repair shop opens customers’ eyes to the inflated prices of repairs when claiming an accident under their insurance or taking it to large auto cooperations. “Don’t file a claim with your insurance without coming to us first,” said Pat Young, owner of Young’s Detail Shop in Mesa. “There is no reason for you to file the claim and jack up your premium if you’re not even going to get enough money to fix your car in the first place. We can probably fix it for less.” Young urges customers to be aware of the inflated prices body shops and insurance companies charge on auto repairs, in order to make a higher profit. “A lot of it has to do with insurance,” Young said. “Many people will try to file a claim after getting into a fender bender. Say the claim is $700 or $800. The insurance company is going to take their $500 deductible, which only leaves you with $300, and you can’t fix your car.” However, most repairs can be done for cheaper than it would be to pay the deductible, according to Young, and no premiums go up at car insur-
ance companies. “People get these outrageous quotes and don’t realize that they can get their car fixed for a reasonable cost, something that they can afford,” said Young. “There’s enough profit in
dealerships, such as Cactus Jack. Now the shop is doing mostly private work, consisting of detail, repair and paint work. “We’ve been doing this off and on for over a decade,” Young said. “We use good products and the finished quality is great.” According to Young, many of his customers want Young to promote his business and help make people aware of the other options they have when it comes to fixing their car. “For every customer I get, I get two referrals,” Young said. “People are very happy with what they get at this shop that they didn’t even Pat Young, owner of The Detail Shop, sprays a base know existed.” coat on a refinished car roof on Friday, Oct. 16, 2015. Young’s Detail Shop’s Credit: David Jolkovski/Tribune hours of operations are bethis type of business, where I can tween 9 a.m.-3 p.m. and according to charge that little and still make a Young, he has no intention of raising profit, instead of other companies that his rates. charge two or three times that price.” “I tell people to take their car to Young’s Detail Shop, which is a shop around town and get a quote located at 2626 E. Evergreen St. in after the quote I give them, and see Mesa, started in 1999, closed briefly who gives the better quote.” in 2007 and restarted in 2013. We would like to the eastvilThe detail shop has done work lagetribune.com for reprint permisfor large dealerships and used car sion.
A Crazy Hectic October for ASA-AZ
by Chasidy Rae Sisk
The Automotive Service Association of Arizona (ASA-AZ) had another crazy busy month in October. The association’s events included the Mohave Chapter’s Management
Traveling Show on 10/3, the Tucson Chap- ter Roundtable on 10/6, the State Board of Directors meeting on 10/8, the Tucson Chapter’s dinner meeting on 10/14, and the Phoenix Chapter’s dinner meeting on 10/21. The association’s hectic schedule commenced with their full-day board retreat in Laughlin, NV, with representatives from the Yuma, Phoenix, Mohave, Tucson and Verde Valley chapters. Luz Rubio, Executive Director of ASA-AZ, notes that their purpose was “to put together a plan for 2016. The board also discussed ideas on how to help the Yuma and Mohave Chapters grow and establish ongoing activities. The meeting resulted in the Yuma Chapter schedul-
ing a couple of Automotive Roundtables for the first Tuesday of the month; November 3 and December 1 have been confirmed.” On October 6, the Tucson Chapter held their monthly Roundtable at the El Corral restaurant in Tucson, and on October 9, the Chapter held their monthly member dinner meeting. Rubio shares, “Diane Schmidt Kelley of Sandbrook Benefits Group talked about cost savings plans for health care and shared update changes that will take place in 2016. Several issues were discussed at the Verde Valley Roundtable on October 20, and the group plans to share ideas at their next meeting to put on a community event to promote ASA. Speaking at the Phoenix Chapter’s dinner meeting on October 21, Rubio says, “Timothy S. Franquist, Deputy Director of the Air Quality Division for the Arizona Department of Environmental Quality, talked about the Arizona Vehicle Emission Program and the new Waiver process. He shared information on the various types of test done at the emission station and also the tampering techniques that they have found on vehicles that have been installed by shops in order to pass.”
4 DECEMBER 2015 AUTOBODY NEWS | www.autobodynews.com
Jose Heded to Assist Urethane Supply in AZ, CA and NV
Urethane Supply Company announced the hiring of a new full-time company sales representative on the west coast, Jose Heded. Heded will represent the company in Arizona, California and Nevada. Heded has over 25 years of experience in the automotive collision repair industry. His career has encompassed work at major paint manufacturers, equipment manufacturers, PBE distributors and jobbers. While working full time and raising a family in Southern California, he studied for and attained a bachelor’s degree in business administration at night. Heded has been involved with training his whole career — he is currently an I-CAR instructor and teaches classes at Cerritos College. A native of Guadalajara, Mexico, he has also developed Spanish-language training for his previous employers and will be able to provide bilingual instruction on Urethane Supply’s product line. Heded recently received factory training on Urethane Supply’s I-CAR Industry Training Alliance course. In business since 1981, the company has focused exclusively on plastic repair and refinishing products. For information, contact Kurt Lammon at 800-633-3047.
www.autobodynews.com | DECEMBER 2015 AUTOBODY NEWS 5
ASA Finalizes Program for Safety Inspection Forum
On Dec. 2, the Automotive Service Association (ASA), ASA-Midwest and the Missouri Alliance of Automotive Service Providers (AASP-MO) will host the Second Annual Safety Inspection Forum in St. Louis, MO, at Hunter Engineering. The mission is to raise awareness about the importance of periodic vehicle inspection programs to motorists’ safety and develop strategies to protect these programs nationwide. Participants include: ● Doug Wolverton, Hunter Engineering ● Paul Meyer, Missouri State Highway Patrol ● JoJo Heselmeyer, Texas Department of Public Safety ● Lester Elder, Missouri State Highway Patrol ● Paul Rehbein, Missouri State Highway Patrol ● Jade Winfree, U.S. Government Accountability Office (GAO) ● Steve Hoskins, Motor Vehicle Bureau, Missouri Department of Revenue ● Ben Steinman, ASA-Midwest ● Mike Moehlenkamp, AASP-Missouri ● Joe Battista, Parsons Engineering To register for the free event, visit www.TakingTheHill.com.
Certified Collision Group Adds Red Hill Collision Center in CA to its 1stCERTIFIED Initiative Certified Collision Group (CCG) announced on October 27 further expansion of the its 1stCERTIFIED™ initiative. With the California addition of Red Hill Collision Center, the group now offers more than two dozen affiliate locations in 4 states. The father and son team of Armando and Christian are the second and third generations of the Nogueiras family that has providing quality collision repair to the Southern California community for nearly 44 years ago. Armando Nogueiras worked in his father’s Los Angeles shop at the age of 15, was an operations manager by 18 and has been an owner operator since 1986. Christian, now 30, has held virtually every position available in the collision repair business and is currently the President of Red Hill. Breaking ground for their new stateof-the-art facility in 2013, the Nogueiras family continues more than 50 years of providing trusted and leading edge collision repair. Red Hill’s father and son duo possess a commitment to old world
craftsmanship, while utilizing the most technologically advanced management and repair capabilities as exhibited by Red Hill’s OEM certifications and advanced aluminum repair capabilities. They are a family business fully committed to repair quality and proud to serve their community’s collision repair needs. “CCG is executing on a strategy that aligns very well with Red Hill’s commitment to market-leading KPI performance, advanced aluminum repair expertise and consistency in delivering quality repair outcomes for our customers and DRP partners,” commented Armando Nogueiras, CEO and Founder of Red Hill. “Knowing that 1stCERTIFIED™ membership is only achievable through a strict qualification process focusing on proven performance, advanced repair capabilities and successful DRP participation, truly resonates with us. The opportunity for us to participate in a national entity that is 100% aligned with our commitment to repair quality, fully supports our desire to retain our market brand and identity
while competing more effectively in a rapidly consolidating industry.” 1stCERTIFIED™ affiliates are OEM certification-centric, ensuring that each facility possesses the equipment, training and skills necessary to meet or exceed industry repair standards. Affiliates are those who consistently deliver verifiable, market -leading, proven performance in repair quality, customer satisfaction, cycle time and loss of use management. Thomas Adams, CCG Managing Director stated, “The addition of Red Hill exemplifies our mission to identify the very best independent operators - those with unmatched commitment to proven KPI performance results, advanced repair capabilities, providing highest quality repair outcomes - then to vigorously assist them in sustaining and strategically growing their businesses. This is to the benefit of our of all CCG affiliates and the insurance community alike.” Please visit us at www.certified cg.com
Tucson Customer Sues After Shop Fixes Car with Cardboard
by Michel Marizco & Steve Ryan, News4Tuscon
A Tucson man has some harsh words for a [custom] body shop that he says tried to get away with repairing his car using the repair compound bondo and cardboard instead of real steel. The first thing Randall Throp saw wrong with his car was the hole in the floorboard. But the next was the cardboard under the fender. Throp bought a 1954 Buick and decided to pay a bodyshop in town $3,500 to fix it. “And I did not get what I paid for at all,” he said. Throp says he paid the shop to cut out the rusted metal, weld new metal, and fill in the holes in the body. “Instead, all that I got was a coat of bondo over all the imperfections.” He squatted over the rear left fender. “Here’s where there was a big hole in the fender and they put cardboard in here, then put fiberglass sheet and then bondo’d over the top of that to pass that off as a fender repair,” he said. There were other visible damages, as well. “All they did was put bondo over this rusted out headlight shell and now you can see it’s already starting to crack all over again,” he said. Throp won a lawsuit against Moses Heredia, of Dave’s Customs in Septem-
ber. But since then, Heredia has not paid him the restitution ordered by a judge. The News 4 Tucson Investigators went to the bodyshop to ask why. Heredia declined to speak with us. But his brother, Eric who runs the bodyshop his brother runs the custom shop out of, did agree to an interview. His brother acknowledges that his brother lost the suit, a summary judgment issued because the defendant didn’t appear. But he says the work was completed fair and square as a cash deal. He says Throp only won the suit on a technicality. “But the fact that Moses from Dave’s Customs missed the appointment—boom, judgment,” he said. The filing does show Moses Heredia didn’t show up to court a second time and Throp was granted the judgment. As for the cardboard repair? “That notion of cardboard. I don’t know, I didn’t do the work,” he said. Eric Heredia says his brother will be paying off the lawsuit. But he’s not his brother’s keeper. Meanwhile, Throp will have to wait, his frustration growing. “I just want them to apologize, admit they’re wrong, pay me back the $3,500 plus court costs and they’ll never hear from me again. They’ll never have to hear from me or see me ever again if they just do that,” he said.
6 DECEMBER 2015 AUTOBODY NEWS | www.autobodynews.com
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Ringbrothers Reveal 1965 Mustang Fastback “SPLITR”
Ringbrothers™, the creators of some of the most innovative and beautiful vehicles in the world, debuted its latest automotive masterpiece, the 1965 “SPLITR” Mustang Fastback in the Flowmaster booth at the SEMA Show.
Mustang SPLITR
Their newest vehicle preserves the spirit of the ’65 ‘Stang, but is a far cry from the original with a sleek, modified body and modern amenities. Ringbrothers revealed this restomodded Mustang dubbed “SPLITR”
in the Flowmaster booth at the 2015 SEMA Show. “SPLITR” was a different creative experience for Jim and Mike. When the Rings were approached by a graphic designer with a rendering for his dream car, they
were initially a little hesitant. The Rings were used to coming up with the vehicle designs on their own, but when they saw the renderings, they said they knew they had to take on the project.
8 DECEMBER 2015 AUTOBODY NEWS | www.autobodynews.com
Oh Deer, Bigger Bucks as Glass Damage on Rise
by Jenna Reed, Glassbytes.com
With deer mating season upon us, many AGRR company owners in the north are seeing an increase in automotive glass damage as these frisky animals run haphazardly into the road.
“I saw collisions with deer picking up two or three weeks ago. The does are on the move and the bucks are chasing them,” says Ted Corwin, owner of Cherryland Auto Glass in Traverse City, MI. His company services many of the auto body shops in the Traverse City area. “I pull out the broken windshields so the body shop technicians can repair the roof or whatever damage necessary, and then I install a new windshield,” Corwin explains. Dave Etapa, owner of Akron Auto Glass in Akron, Ohio, has also seen collision damage climb. “Body shops are getting more busi-
ness and they need glass,” he says. “It started about two weeks ago and will probably continue until the weather turns freezing.” Gary Louth, owner of Buffalo Auto Glass in Buffalo, NY, says it’s a bit early for a lot of deer-related damage in his area. “By the time we usually see it, it’s February and March,” he explains. “But I definitely see more business from deer hits. We’re just getting into the heavy running season. If it’s serious damage, it’ll take time for the vehicle to go through appraisal and the collision shop. It’ll be a least a month until we see some damage.” A customer service representative with Advanced Auto Glass in Youngstown, Ohio, noted it will be a while before her company sees an impact. “In the next month or so we’ll see more,” she says. “We work with local auto body shops.” US drivers are as likely to have a claim involving a collision with deer, elk or moose than they were last year, according State Farm. The odds are about one out of 169. “That likelihood more than doubles during October, November and December, when deer collisions are most prevalent,” according to a statement from State Farm. Thanks to Ms. Reed and Glassbytes for permission to reprint their article.
Service King Continues Southern California Expansion
Service King Collision Repair Centers announced on October 26 continued growth in the Los Angeles market through a formal partnership with Chaffey Auto Body. Service King and Chaffey Auto Body mutually agreed on terms of the deal Friday, Oct. 23, commencing the partnership immediately. The collision repair center is located at 5534 Arrow Highway in Montclair, Calif., with the operation boosting Service King’s strategic growth initiative in the area. “I am excited for Chaffey Auto Body to become part of Service King’s family of repair centers,” said Chaffey Auto Body owner and operator John Tarrant. “Their employee culture assures me that our staff will have tremendous growth opportunity as Service King grows across California.” Following the merger, Service King now provides its superior collision repair service at 21 Southern Cal-
ifornia locations and 260 in 23 states across the U.S. Service King and its teammates offer free professional estimates, on-site rental assistance and a written lifetime warranty on all workmanship accepted at any location nationwide. “Chaffey Auto Body joining the Service King family creates a synergy that will help us better serve the community surrounding our other locations,” said Chris Anderson, Service King Regional Vice President. “Their business model and philosophy of providing great customer service and a quality repair mirrors that of Service King.” Service King’s partnership with Chaffey Auto Body comes on the heels of the company’s recent expansion into the San Diego market through a partnership with Carter Collision Service and its five area locations earlier this month.
G&C Auto Body Acquires Sonoma Location
G&C Auto Body recently acquired a building in Sonoma, CA, where this MSO will open its 10th location. Known as a “Brownfield” building, which means it was previously
A rendering of G&C Auto Body’s new shop, the first body shop in downtown Sonoma, CA
used for industrial or commercial purposes, this facility is in downtown Sonoma and the first body shop located there in the history of the city. G&C is currently in the pro-
Chris’ Collision in Grass Valley, CA, Has Been Sold to Caliber Collision
Mark and Samantha Landon, who have owned their body shop for about 12 years, recently sold the business to Caliber Collision, a Texas-based company with more than 330 repair centers nationwide, including in Auburn and Roseville. Mark
Landon said he and Samantha had been approached by other companies interested in buying the business, which was started by Mark’s father, Chris, in 1984. None of those companies ever seemed like a good fit to continue the cul-
ture they built at Chris’ —until they met with representatives from Caliber Collision. “We sat down and talked, and I was like, this is something we want to be a part of,” Mark Landon said. Caliber Collision
cess of remodeling and equipping the facility and hopes to open it before the end of the year, with projected revenues of $2,000,000+ the first year with six employees. G&C’s COO Shawn Crozat worked hard to get the newest location and is happy that the hard work finally paid off, he said. “Our newest facility is located on the main street of Sonoma in the heart of Sonoma wine country. Many insurance companies have already committed to adding G&C Auto Body to their DRP programs prior to opening. We are excited to serve our customers and insurance partners in this new market. Our customers and insurance partners have been asking us for years to come to Sonoma and it has been challenging, because real estate and zoning is very tight. For us, the third try was the charm.”
will enable the auto body shop, located on Idaho-Maryland Road in Grass Valley, to better keep up with changing industry trends by providing the shop with improved equipment and more employee training and certifications.
www.autobodynews.com | DECEMBER 2015 AUTOBODY NEWS 9
Garmat 2015 Sharp Shooter Contest Winners Announced GARMAT USA announced on November 16 the winners of their 2015 Sharp Shooter Contest. This contest was designed to recognize quality paint techs and shop owners that use Garmat equipment.
(l to r) Tony Larimer, Independent Distributor of SATA Spray Guns; Debbie Teter, Garmat USA Marketing Director; Kristen Fankhauser, Finalist from Tom Gill Chevrolet; Valentine Perez, Grand Prize Winner from Toyota of Dallas; Johan Huwaert, President of Garmat USA
Judging was based on the shop owner and paint tech’s dedication to providing quality paint jobs, superior customer service, attention to safety and overall equipment knowledge. Additional questions included an inquiry on how Garmat could improve their Garmat experience with product improvements. One lucky winner, Valentin Perez, from Toyota of Dallas won a trip for two to SEMA 2015, He was accompanied by his wife Maria. In addition to the trip, Val was awarded a SATA Jet 5000
HVLP Paint Gun, 3M back pack, Garmat Sharp Shooter cap, a Samsung tablet, $500 and a Sharp Shooter Award Certificate. Five finalists were also awarded two Samsung Galaxy Wi-Fi tablets, (one for the contestant and one for the owner/manager), a 3M back pack, a Sharp Shooter hat, and a Sharp Shooter Award Certificate. The top two finalists were each awarded SATA 5000 HVLP paint guns in addition to their prize package. The Full List of 2015 Sharp Shooter Winners: Grand Prize Winner: Toyota of Dallas. Dallas, TX Painter: Valentine Perez Manager: Bill Sorley Distributor: Downdraft Systems
Finalists: David Maus Collision Center Sanford, Fla Painter: David Halving Body Shop Manager: Anthony Villanueva Distributor: Filterworks USA Additional award of a SATA JET 5000 HVLP Spray Gun
Tom Gill Chevrolet. Florence, KY Painter: Kristen Fankhauser
Urethane Supply Displayed 6066-CG Nitrocell Nitrogen Plastic Welder at SEMA 2015
Urethane Supply Company, a leader in plastic repair and refinishing for vehicles, displayed its new 6066-CG Nitrocell Nitrogen Plastic Welder at SEMA. Urethane Supply introduced the first commercialized nitrogen plastic welder to the collision repair industry in 2006, and the new 6066CG Nitrocell is the most advanced generation of nitrogen welder yet. The 6066-CG is designed to generate its own nitrogen gas from shop air and requires no onboard air compressor. Kurt Lammon, president of Urethane Supply Company, said that ompared to other welders, the new 6066-CG is lighter in weight, easier for technicians to maneuver into position and features an easy-to-handle welding torch that can get into tight spots without causing user fatigue. “Repair shops want to minimize repair times and maximize profits, and we’ve designed the new 6066CG Nitrocell Nitrogen Welder to help them do just that,” said Lammon. “The new unit will help collision specialists reduce cycle times and increase their opportunities to do more profitable labor-based repair of plastic components.”
Lammon said nitrogen gas welding creates a strong material bond, because it eliminates oxidation of the plastic during the welding process. Using the shop’s own common air supply, the 6066-CG Nitrocell employs a three-stage filter to clean impurities from the air, and then uses sophisticated membrane technology to extract an endless supply of nitrogen. Lammon said the resulting welding mechanism creates the strongest plastic Urethane Supply welds possible in Company’s 6066-CG today’s repair enNitrocell Nitrogen vironment. Plastic Welder “Our flow meter allows shops to achieve and maintain a high-quality, repeatable result when repairing virtually all types of plastic components,” Lammon said. “Consistent results help shops meet key performance indicators, and that, in turn, drives more business from insurance companies.”
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10 DECEMBER 2015 AUTOBODY NEWS | www.autobodynews.com
Body Shop Manager: Scott Yust Distributor: Archer Equipment Additional award of a SATA JET 5000 HVLP Spray Gun Mannes Collison. Holland, MI Painter: Brian Johnson Body Shop Manager: Scott Johnson Distributor: Altra Products Inc. Drive Collision Freeland, MI 48623 Painter: Joel Searles Body Manager: Tim Garchow Distributor: Altra Products Inc.
Sheboygan Chevrolet. Sheboygan, WI Painter: John Michaels Body Shop Manager: Eric Wiegand Distributor: Wakeman Equipment, Inc
“On behalf of Garmat USA, I would like to personally thank all of the contestants for taking the time to send in or post your applications,” said Johan Huwaert, general manager of Garmat USA. “Having the opportunity to hear your thoughts and suggestions about our paint booths is a priceless opportunity in helping us develop products that truly meet the needs of our customers.” For more information, contact www.garmat.com / 303-781-6802 / sales@garmat.com
ITW Evercoat Launches New Body Filler
ITW Evercoat, a leader in professional collision repair chemicals, announced the launch of Rage® Ultra XTRA extended work time body filler. Featured in the new products showcase during SEMA, Rage Ultra XTRA Body Filler gives body repair technicians worktime flexibility according to their needs—up to 40 minutes at 75°F (24°C) using traditional catalyst and catalyst ratios. Rage Ultra XTRA can be mixed with Rage Ultra at different percentages. “Rage Ultra XTRA is a true revolution in body filler technology and demonstrates Evercoat’s industry innovation leadership” said Marvin Gillfillan, VP and general manager of ITW Evercoat. “Rage Ultra XTRA is part of our new proprietary dent repair system that features products that can be adapted for repairs of most any size or temperature condition. This system of products was developed for body shop technicians who need application flexibility, high quality, and increased productivity … this system does it all.” Rage Ultra XTRA is available in one gallon containers (Part # 100144) and 16 ounce pouches (Part #100145).
www.autobodynews.com | DECEMBER 2015 AUTOBODY NEWS 11
umes,” said Bihlmeyer. “The Glasurit leather jacket is a token of our appreciation that we thought Jay would enjoy and goes a long way to thank him for his not financial, it’s not contractual... I long-standing support of Glasurit. like the products. They’ve been really “BASF Glasurit paints utilize Euhelpful to us.” ropean technology that gives the ultiBased in California, Leno said, mate blend of speed, ease of use, color “Painting in California is really tricky match and durability,” said Bihlmeyer “The rich liquid color and deep brilliant gloss defines Glasurit as a world-class finish. Glasurit delivers a comprehensive system of perfectly matched products and processes from pri-mer to clearcoat.” BASF unveiled the 1933 Ford Coupe by Chip Foose, featuring Glasurit 90 Line custom blue and silver two-tone paint; a 1965 customized carDan Bihlmeyer, BASF’s North American marketing manager, gifts Jay Leno a custom leather jacket bon fiber Ford Mustang from during SEMA 2015 The Ringbrothers, painted in because of environmental concerns.” Spy Green from Glasurit 90 Line; and Leno talked about the importance of a 1967 Pontiac Acadian from JF Kusfinding good water-based paints that toms, featuring R-M® HD custom red don’t run and bleed. “These guys know paint. how to do it,” he said. In addition, West Coast Customs “Jay can choose any paint he wants showed a 1959 Chevrolet Corvette and the fact that he chooses Glasurit 90 painted with R-M Onyx HD and a 2016 Line for use in his shop speaks volHarley Street Glide from Camtech CusContinued from Cover
Jay Leno
12 DECEMBER 2015 AUTOBODY NEWS | www.autobodynews.com
tom Baggers, featuring R-M Carizzma Candy paint. With its expanded show presence, BASF had a show booth in the Collision Repair & Refinish section featuring its value-added products and services that help collision repair shops and distributors improve profits and drive business growth. In addition, BASF conducted spray demonstrations outside with Chip Foose, Mike and Jim Ring and JF Launier. Jay Leno’s Garage began on YouTube and received a Primetime Emmy Award for “Outstanding Special Class – Short Format Nonfiction Program” in 2011. The show premiered on CNBC October 7. The eight-episode hour-long primetime series covers all things automotive, including classic cars, super cars, restoration projects, road tests, investments and the inner workings of the car collectors’ market. Leno’s custom-built shop, Big Dog Garage, has its own sanding and painting booth and is located in Burbank, California near Bob Hope Airport.
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Vehicle Software Access from Librarian of Congress
In October, the Librarian of Congress released the sixth triennial set of exemptions to the prohibition of circumvention of the Digital Millennium Copyright Act (DMCA). This refers to the bypassing of technological measures employed by or on behalf of copyright owners to protect their works. In regard to automotive repair, the document recognizes the growing need for repairers to be able to access and sometimes alter vehicle software. The final exemption would allow repairers to modify programs that are: “... contained in and control the functioning of a motorized land vehicle such as a personal automobile, commercial motor vehicle or mechanized agricultural vehicle, except for computer programs primarily designed for the control of telematics or entertainment systems for such vehicle, when circumvention is a necessary step undertaken by the authorized owner of the vehicle to allow the diagnosis, repair or lawful modification of a vehicle function.” The Automotive Service Association’s (ASA) leadership has expressed some apprehension about the telematics language in those exemptions, in that it excludes third-party access to “telematics and entertainment systems.”
Sherwin-Williams SEMA Booth Devoted to Getting Collision Shops “In The Fast Lane”
In the world of collision repair, if your shop isn’t In the Fast Lane, then it’s probably being lapped by the competition. Sherwin-Williams Automotive Finishes—already the Official Automotive Paint of NASCAR®—recognizes increased productivity and profitability are at the top of every shop owners’ and managers’ list. That’s why its 2015 SEMA Show display, “In the Fast Lane,” featured an entire booth of innovative products, services and presentations reinforcing the brand’s dedication to helping shops produce zero-day repairs, reduced cycle times and increased revenue.
To kick off these events, booth activities included: ● Press conference, autograph session with eight-time NASCAR Sprint Cup Series™ race winner Clint Bowyer, driver of the No. 15 5-hour ENERGY/ Peak Antifreeze Toyota of Michael Waltrip Racing. ● The unveiling / press conference of a 1970 Plymouth Hemi NST ‘Cuda’— “New School Technology” by Bair Customs, Inc. It featured the Sherwin-
Williams Ultra 7000® Refinish System with a customized color called “Purple Haze” inspired by the Rod & Restoration color collection.
● The unveiling / press conference of a 1961 Cadillac convertible by Lucky Luciano Custom Paint, LLC. It too featured the Sherwin-Williams Ultra 7000® Refinish System with an OE Exact Match Rod & Restoration color chip – PCCL23 (Ivy Green Metallic). ● Attendees also had the opportunity to take a ‘spin’ in a real stock car simulator and try to beat the posted time of NASCAR Sprint Cup Series driver Clint Bowyer. The special Sherwin-Williams No. 150 car was on site at the booth for all comers to take on and try to beat Bowyer’s established time. The fastest lap of each day got to experience a 2016 NASCAR Sprint Cup Series race of their
choice. In addition, Sherwin-Williams donated a sum to The NASCAR Foundation and Emporia Community Foundation in honor of each participant. ● Booth goers also were able to experience a live in-booth demonstration of the new FormulaExpress® 2.0 Color Formula Retrieval System. This is a user friendly, web-based system designed to make color retrieval faster and more manageable for refinish technicians. From simple search capabilities to intuitive color filtering and selection, the company said this system will help improve cycle time, productivity and profit. In addition, FormulaExpress 2.0 works in conjunction with the iFEX® spectro, a hand-held spectrophotometer designed for precise and consistent color measurement. ● Enthusiasts learned about the HP Process™ Refinish System with Air-Dry
Technology. This patented repair process enables refinish technicians to complete one to three panel repairs in 50 minutes or less, producing zero-day repairs. It features air-dry primers and clearcoats that can be sanded or polished after only
15 minutes. At the booth, shop owners got to see how using the HP Process reduces energy costs, decreases cycle times and increases shop profitability. ● SCRS Repair Driven Education Series. Lee Rush, Judy Lynch and Mike Lanza conducted four of the 18 sessions: RDE 4 Compensation Solutions, RDE 7 Process Driven Collision Repair, RDE12 The Lean Office – Organizing the Shop Office for Maximum Efficiency and RDE 15 In-Process Quality Assurance. For more information about Sherwin-Williams Automotive Finishes, visit www.sherwin-automotive.com or call 1-800-798-5872.
www.autobodynews.com | DECEMBER 2015 AUTOBODY NEWS 13
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Continued from Cover
CIC debates
need for it in the market today. I think our time at CIC could be better spent doing something more productive.” But Stabler back in January had charged the CIC Definitions Committee with revising the document – which Stabler called a “valuable tool” that has been “used widely throughout our industry – following a vote of CIC participants that found overwhelming support for doing so. So at CIC in Las Vegas, the committee shared a “working draft” of a revision of the definition. Since its creation in the late 1980s (and revision every few years since), the “Class A” definition attempts to outline the equipment, capabilities, training and regulatory compliance practices that distinguish superior repair facilities. The committee has posted to the CIC website copies of both the 2013 version of the definition (http://tinyurl .com/2013def) and the current revised draft (http://tinyurl.com/2015draftdef) in a format that allows anyone to offer comment and suggestions to the committee.
One significant change that has been proposed is to define three segments of “Class A” repair facilities: those that do only non-structural or cosmetic repairs, those that do structural repairs, and those that do structural repair on “advanced materials” (such as aluminum). “It became apparent to the committee that we co Chris Evans uld not continue with a one-size-fits-all approach,” committee co-chairman Chris Evans said in presenting the new draft document. “Is it time to consider three different ‘Class A’ segments? That doesn’t mean that when we present this in final form that there will be three. This is a draft.” (This aspect of the draft drew criticism from CIC participant Scott Biggs of the Assured Performance Network. “If I’m a consumer and I have an estimate, do I know whether I’m taking it to a cosmetic repairer or a structural repairer?” Biggs asked rhetorically. “Most consumers don’t know more than the year, make and model of their vehicle.”) Committee member Rick Tuuri said the training and certification re-
16 DECEMBER 2015 AUTOBODY NEWS | www.autobodynews.com
quirements of the Class A shop definition also have been revised in the new draft. “We want to make sure the training or certification actually applies to the technician doing the job,” Tuuri said. “We’ve all heard about the shop that has one I-CAR-trained or ASEcertified technician, but the question is, is that the technician that’s working on your car? We now say every person that’s doing the job has to have the training and/or certification that’s required to do that job.” The committee has also proposed a significant change to the “compliance and sustainability” section of the document, eliminating a complex chart of regulatory agencies and requirements that had been added to the 2013 version Rick Tuuri of the “Class A” definition. Instead, the document returns to a simple statement that all “Class A” shops meet and comply with federal, state and local regulations. That requirement, however, will include a link to a new website (www .ciccomplyandsustain.com) the com-
mittee is developing to give shops state-by-state assistance with environmental and worker safety compliance regulations and sustainability assistance. Evans said that website is still “a work in progress.” “But we feel as a committee that adding this resource is of real value,” he said. Evans pointed out that the “Class A” definition is just that – only a document outlining the industry’s view of the topic. CIC is only a gathering place for discussion, not a formal organization. Therefore the definition is not a certification program itself. “We don’t have an ability or authority to police compliance with this Class A document,” Evans said. “It’s really those who chose to adopt the Class A documents – maybe regulatory bodies, governmental folks, people who manage fleets, maybe some insurers – that if they choose to embrace the Class A document and reference it in their material, they’re the ones who would police or determine compliance in their own way.” It was that aspect that a number of SCRS representatives said make the document much less relevant today, given the growth of automaker shop
certification programs that they feel better set the “Class A” standard in the industry – and include some level of verification and enforcement. “When the Class A definition was first created, we didn’t have as an industry a lot of the programs that exist today,” Aaron Schulenburg, executive director of the SCRS told the committee in Las Vegas. “There weren’t the delineations and differentiations for shops that are there now. I think one of the things to consider is whether or not the need for this document from this body persists, given the developments that have taken place in other areas of the industry that have filled the need that was once there.” SCRS board member Amber Al-
ley of Barsotti’s Body & Frame in San Rafael, Calif., said she felt the definition “waters down” the various OEM shop certification requirements which she views as “the gold standard” in the industry. “It’s dangerous, in my opinion,” she said. Womble said the definition seemed more needed in the industry a quarter-century ago when vehicles and circumstances were different. “It was an attempt to give a headsup to part of our industry on who they should be looking for as their direct repair programs evolved,” Womble said. “No disrespect intended. You all do a great job with this committee. But I would encourage you to flush this and
move to something else.” Tuuri reminded CIC participants in Las Vegas that the committee worked on a revision of the definition based on direction from the CIC body back in January. “Mr. Stabler asked, ‘Should we or shouldn’t we update the existing Class A document,’ and I think 80-some percent of the people in the room said yes, we should,” Tuuri said. “This is not the Definitions Committee running wilynily and doing something that we [alone] think is a good idea. We’re doing what you told us you thought was a good idea.” “I think if you would have taken a vote of just the people you’re trying to define, the shop owners, I would
known builder of hot rods and custom cars, in addition to the original Batmobile from Batman (1966) and the truck from The Beverly Hillbillies (1962). George Barris was born in Chicago in the mid twenties. In 1928, he and his older brother Sam moved to Roseville, California with relatives after their parents died. George pursued a passion for building scratch-built aircraft models which led to model cars. The brothers interest in cars
intensified during their teenage years as they discovered “the black art” of body work by hanging out after school at local body shops. The movie studios had taken note of Barris kustoms on the streets and at races and came to George for cars for their films. One of the first films Barris made cars for was called High School Confidential! (1958). The success of the initial movie car venture motivated George to seek business in Hollywood.
King of Kustomizers’ George Barris Passes Away at 89 George Barris was known throughout the world as the ‘original’ King of Kustomizers. His creations have been legendary in the world of television and motion pictures including the likes of the original television series Batmobile, Munster Koach, Beverly Hillbillies, KITT from Nightrider and more! His personal Star Collection included the General Lee, Starsky & Hutch, Torino, Green Hornet and Monkee Mobile. He was a well-
say the vast majority of them would tell you you’re wasting your time,” Womble responded. Committee co-chair Evans said that if the CIC body decides the document has outlived its useful life, the committee is fine with that. For now, he said, the proposed draft is available for input and comment prior to the next CIC meeting, being held Thursday, January 14 in Palm Springs, CA. John Yoswick, a freelance writer based in Portland, Oregon, who has been writing about the automotive industry since 1988, is also the editor of the weekly CRASH Network (for a free 4week trial subscription, visit www .Crash Network.com). He can be contacted by email at jyoswick@SpiritOne.com. This included customizing the personal cars of the stars as well. As the past forty plus years have shown, this association with the studios and stars has been long and fascinating. As the sixties began, George shifted gears and bought a new shop in Toluca Lake, CA where he designed and built award winning cars. He died on November 5, 2015, in his sleep at his home in Encino, California, at the age of 89.
www.autobodynews.com | DECEMBER 2015 AUTOBODY NEWS 17
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Five Things to Know
driven organization The BAR doesn’t normally conduct random shop inspections, so if they’re calling you or knocking at your door, it’s likely that a customer complained. That’s why we always tell shops to take the Nordstrom’s approach to customer service—placate the customer and keep the BAR away from the door. Bad customer service can bite you on your backside in more than one way, because the BAR may look at your Yelp and Goggle reviews during the course of any investigation. In the 2014/15 fiscal years, the BAR received approximately 15,000 complaints, of which 1,718 (12%) were auto body related, which ends up being roughly one complaint for half of all the shops in the state. BAR has also instituted an Auto Body Inspection Program. Under this program, inspectors from the BAR will examine a consumer’s car at no cost to verify that all repairs listed on the invoice were performed correctly. The BAR will even make house calls or meet you at the local Starbucks to inspect your car,
while the consumer is relaxing and sipping a latte.
2) Customers aren’t the only people that can turn you into the BAR Keeping your customers happy is always paramount, but falling down in other areas can also cause a complaint to the BAR. In many cases, insurance companies and competitors will complain about things such as sloppy repair orders, inaccurate estimates, incomplete authorizations and other issues that can potentially ruin your day (or year). The message here is if you do quality work, produce accurate paperwork and operate a transparent and accountable business, you’ll be fine, but remember—everyone is watching you and many of them are not your biggest fans.
3) The BAR is always looking for fraud The cherry on the sundae for any organization like the BAR is uncovering fraud. If the BAR is investigating you for fraud, you won’t know it until they tell you. They won’t warn you or try to help you to make amends with a complaining customer once they smell fraud. The consequences for fraud are serious and can even lead to the loss
“Write it Right: Estimating Best Practices” Seminar
On November 10, over 80 industry professionals gathered at the Radisson Hotel in Roseville, MN to hear industry expert Mike Anderson, Collision Advice, present “Write it Right: Estimating Best Practices.” The seminar, was a joint endeavor of Alliance of Automotive Service Providers of Minnesota (AASPMN) and Axalta Coating Systems, and had a sell-out crowd. The seminar provided attendees with information and resources to support and justify their position on what it takes to restore a vehicle back to its pre-accident condition. Highlights of the seminar included:
● Tools to help identify the not-included items, such as the DEG website, ASA Not-Included Guides and the SCRS Guide to Estimating; ● How to use negotiation tools with insurers and get paid for hotly-contested items, such as prepping raw plastic, blend within a panel, “feather, prime and block,” masking operations, weld burn damage and more; ● How to improve photo quality; ● Utilization of line notes; ● How to write a damage analysis in conjunction with 100% disassem-
bly; ● The importance of OEM information and where to find it; and ● Key performance indicators (KPIs) to monitor when auditing the quality of estimates. Attendees raved about Anderson’s presentation and the information provided in the seminar. One attendee stated, “Wow! Best instructor I’ve seen in 30 years!” “Mike is always a great draw,” said Judell Anderson, AASP-MN executive director. “His programs provide the perfect mix of technical information, practical tips and motivation. We are very pleased to have had the opportunity to partner with Axalta to share Mike’s extensive knowledge with Minnesota’s collision repair industry.” AASP-MN looks forward to providing its members with other exceptional training opportunities in 2016. The Alliance of Automotive Service Providers of Minnesota (AASP-MN) is an association of independently-owned automotive service businesses and industry suppliers dedicated to improving the state’s automotive service industry and the success of its members.
18 DECEMBER 2015 AUTOBODY NEWS | www.autobodynews.com
of your license, so when the BAR calls, take it very seriously for obvious reasons. Unless you’re inviting the BAR to be at your shop, it’s never a good thing to have a BAR representative at your business. Protecting consumers from fraudulent and substandard work is, and will remain, the BAR’s highest priority.
4) Many problems begin with sloppy paperwork One body shop owner was asked about a recent visit at his shop by the BAR, but he didn’t seem concerned. “They just wanted to look at my paperwork, including my vendor invoices.” But, we told him—“no, that’s serious.” They’re looking at your paperwork to find fraud. The top five allegations against body/collision facilities cited by the BAR are in order: Negligence/competence; false and misleading statements; estimates/invoices; fraud and authorization. But, if you look closely at all of these, most of them begin with the paperwork; because it provides concrete evidence in any case that the BAR is building against any shop. This is why the accuracy and completeness of all your paperwork is so crucial.
5) MSOs are more at risk than the independents If you’re the owner of a Multi-Shop Operation (MSO) then you already know that you can’t be in all of your locations simultaneously. This means that it’s much easier for details to be omitted and/or estimates and invoices aren’t checked for accuracy. It’s just makes sense—an MSO has thousands of moving parts, which presents a wide range of additional problems that an independent does not have. We have seen this scenario more than a few times, when a manager at an MSO’s shop gets a formal complaint from the BAR and then does not tell the owner. The manager is scared and embarrassed, but in the end it becomes a much larger problem than it originally was. The point is this—if you’re an MSO owner (or manager) the BAR is more likely to call, because with more customers the odds are higher and that is why MSOs need to be more careful and thorough in everything they do.
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National Associations
NABC Gives Away 4 Cars at Annual SEMA Luncheon with Ed Attanasio
Five deserving Las Vegas families and individuals received the gift of transportation to pursue their dreams and further their careers when they were
nies representing all facets of the collision industry team up to repair and donate refurbished vehicles. All of their time is 100% donated—including body
presented with newly refurbished vehicles on Nov. 4 at the 2015 SEMA Show at the National Auto Body Council’s Annual Recycled Rides™ presentation luncheon. Since 2009, members of the National Auto Body Council have donated 55 vehicles to help a wide range of people in Las Vegas—individuals, families and non-profit organizations that badly need transportation. Nationally, nearly 1,000 vehicles have been donated through the Recycled Rides program since 2007 in which compa-
technicians, refinish professionals and even estimators—which means that the giving goes a long way and can involve 20-30 people in refurbishing one car. This year’s vehicles were donated by Allstate Insurance (GMC Terrain); GEICO (Hyundai Elantra); Enterprise Rent-A-Car (Chrysler Town & Country); Hertz Corporation (Nissan Juke); State Farm Insurance (Toyota Corolla) and refurbished by body shops such as Proficient Auto Body, Caliber Collision, Gerber Collision & Glass, Service King and Jim Marsh Auto Body.
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Ed Attanasio is an automotive journalist based in San Francisco, California. He can be reached at era39@aol.com.
Other companies that contributed parts them to do that. It’s all about empowand services include LKQ Corporaering people and helping them to be tion, Axalta Coatings, and AkzoNobel, better and getting them in a position 1-800 Charity Cars, powered by Auwhe-re they can truly flourish. Our redaExplore, a Solera Company, and cipients become lifelong spokespeople many other local businesses. for the Recycled Rides Program and Always opening the luncheon, that’s why it’s so wonderful, because it Chuck Sulkala, NABC Executive Di- keeps giving again and again.” rector welcomed all in attendance and After Sulkala’s comments, Rick kicked off an afternoon of giving. Turri, Chair of the Recycled Rides “This program has grown over Committee made a brief presentation, the years and it’s very satisfying to see it as it has evolved,” Sulkala said. “Changing lives is one thing we can all do in the collision industry and giving deserving people the gift of transportation is a unique role we can play. If the lack of a vehicle will deter someone’s success for whatever reason, it is our duty to help them if we For Chrysalyn and Ny Springer and their four children, a can. These recipients just need car that would add countless hours to their day, allowing a car to complete their jour- them to spend quality time with their family instead of neys and this program enables sitting on the bus PARTS DEPT. HOURS:
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children, one of which is ■ For Chrysalyn and Ny Sprinwheelchair-bound, have been ger and their four children, a car will without a car for several years. add countless hours to their day, allowHaving a car will allow the ing them to spend quality time with their family to participate in more family instead of sitting on the bus. school activities and open new “We would like to thank all of the employment opportunities for insurance companies that donate the Wade-El. cars and all of the shops that refurbish ■ A dependable car will them, back to where they look new,” help Nicole Williams, a sin- Terry Lindemann, Executive Direcgle mother with three chil- tor of Family Promise of Las Vegas dren to achieve her goal of said. “It means so much more, because being self-sufficient despite we know (and the recipients know) Sherwood Wade-El and his four children, one of which is having medical challenges of that a lot of people really care and are wheelchair-bound, have been without a car for several her own. willing to step up in a big way This years. Having a car will allow the family to participate ■ Thomas Mlechick is a program is special and we’re blessed in more school activities and open new employment opportunities for Wade-El Vietnam War veteran who reto be part of it.” lies on rides from followed by Linda Sulkala, Program Manager for Recycled Rides; Dave friends for frequent medical appointments, so a new car will Jochman, Chaplain for the Leatherneck Club, Marines Corps League and help him to complete his Ph.D. and continue his ministry as a Terry Lindemann, the Executive Director of Family Promise of Las Vegas, chaplain in the Marine Corps all of which talked about the history of Honor Guard. ■ Robert and Shasity Bathe program. Four of the Recycled rides vehi- suil depend on public transcles were gifted to families nominated portation to get themselves to by Family Promise of Las Vegas and work, school and day care for the fifth vehicle was presented to a their five children, so their newmilitary veteran selected by the Leath- ly refurbished vehicle will allow A dependable car will help Nicole Williams, a single mother then to be more productive and with three children to achieve her goal of being self-sufficient erneck Club. The recipients are: despite having medical challenges of her own ■ Sherwood Wade-El and his four enjoy their family more.
Collision Repair
CREF’s 2016 Spring Career Fair Schedule Announced
As part of the Collision Repair Education Foundation’s (CREF) newly adopted mission that revolves around both supporting high school and college collision school programs and connecting these students with career opportunities, the organization’s initial spring 2016 schedule of career fairs has been announced. These local events will bring together local high school and college collision students and industry employers. Nearly 1,000 students have already participated in the CREF’s 2015 career fairs that took place in Dallas, Chicago, and Salt Lake City.
2016 Career Fair Schedule: Houston – January 13th Phoenix – February (TBD) Orlando – March 10th Denver – April 14th Seattle – April 21st Chicago – May 4th Nashville, Memphis, Knoxville (1 statewide event) – Week of May 9th Atlanta – May (TBD) Additional dates for Dallas, Boston, Philadelphia, and Charlotte events will be announced soon. Contact Brandon.Eckenrode@ed-foundation .org or 847-463-5244 for information.
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www.autobodynews.com | DECEMBER 2015 AUTOBODY NEWS 21
Lean Operations
A Secret to Success – Dealing with Fear with David Luehr
I find it interesting that after years of being labeled as the “Lean Process Guy” you less frequently see articles by me on the subject of “Lean” as of late. It is not that I don’t still enjoy Lean and Theory of Constraints, in fact I can still “geek out” and talk about it for hours. The fact is, is that I created my business to help collision repairers not only survive in these challenging times, but to thrive, and right now what shops need even more than process methodologies is to learn to get out of their own way! The shops that are hugely successful these days are able to overcome the odds by challenging their beliefs and create a new normal for their businesses. Collision repairers can compete with MSO consolidators or anyone else for that matter, but only after they first learn to compete with their own thinking! Right now in history can be the best time ever to own a collision repair business, but ironically, for some, it is also the worst! You don’t need to be a consolidator for this to be the best time ever in the history of the world to own a collision repair business; you just need to have the right mindset! I recently had an epiphany while dining at my favorite Chinese restaurant where I got this fortune cookie message. “No one is standing in your way anymore, time to moving forward.” I question the grammar, but this message speaks to the very heart of what is keeping most of us from reaching our God-given potential in life. This is a nice way of saying, “Get out of your own way!”
To follow the advice of my fortune cookie, let’s dig a little deeper. Getting out of your own way really means believing in yourself more. Fear is what keeps you from believing in yourself, right? A little voice in your head likes to tell you things like, “You’re not good enough”, or “Remember the last time you tried expanding your collision shop, you’ll probably fail again.” The biggest enemy of belief is fear, so if you want to get out of your own way, you need to learn to deal with fear! The secret to success and happi-
David Luehr is the owner of Elite Body Shop Solutions, LLC, a collision business consulting firm based in Nashville, Tennessee. He is a 30 year veteran of the collision repair industry. David is an expert in Body Shop Operations and specializes in Lean, and Theory of Constraints methods. Email him at dluehr@msn.com
ness probably lies in our ability to change our relationship to fear. We have a tendency to view fear as a bad thing. If we could view the feeling of fear as a
other thing to recognize is that the negative chatter in your head is just noise! Most of us don’t realize that all the incessant chatter that goes on in our head
“Whether you think you can or think you can’t, you’re right.”
sign that there is an opportunity –ahead, you could have a different relationship with fear. What if, every time you noticed the feeling of fear creeping up, instead of bolting back into your comfort zone, you headed into the source of the fear? To many of you, that seems like backwards thinking. You are exactly right, it is backwards (unusual) thinking, and not going there is exactly why so many people fail to achieve their potential and their dreams.
– Henry Ford
is not real or true. When you recognize the chatter for the nonsense that it is, your life will change in very powerful ways! YOU WILL GET OUT OF YOUR OWN WAY! The big take-away here, and what you can immediately start doing to make a dramatic change in your life, is simply to Practice Awareness. It takes practice, and that’s why it is called “Practice Awareness”. It takes time to become proficient at listening to your thoughts, but once you start to take notice it will have a profound impact on your life. The technique I use goes kind of like this…
1. When you feel your chest start tightening, fear is setting in. 2. Sit with the feeling for a moment to recognize what’s going on. (This gives you the power over the fear!) 3. Choose to do the thing that is causing you fear, like engaging in a conversation with the person that may be intimidating you. 4. The more times you do the thing causing you the fear, the less you will feel the fear. Just to be clear, I am not talking about being fearless or doing stupid things that will get you hurt or killed, I am talking about the thousands of opportunities we pass up, because we have an adversarial relationship with our own fears. To me, the real definition of courage is when you feel the fear, and do it anyway! For help reaching your unlimited potential contact Elite Body Shop Solutions today. www.elitebodyshop solutions.com
Automotive Paint & Body Shop Supplies Embracing Fear Will Help You To: Invite Change - What stories do you tell yourself when facing a choice to try something new? Do you only think about things that could go wrong? Have you wanted to implement a blueprinting program at your shop, but are worried about rocking the boat with your team? Make New Friends – Is there someone who inspires you that you could reach out to? Many of us are a product of the people we choose to hang out with. Choose to hang out with winners. Enhance Relationships Through Communication – Fear affects us through the communications we choose to have or not have. Imagine what your life would be like if you could speak and live freely. Learn New Things & Become Curious – When you accept failure as an acceptable part of life, you will want to try many new things and experience life in a whole new way. If you will recognize that your ego is an obstacle and that vulnerability is freeing, you can be your true self. An-
22 DECEMBER 2015 AUTOBODY NEWS | www.autobodynews.com
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NY Swindler Guilty in No-Fault Auto Insurance Scam that Cost $118M
A New York man was found guilty last week in what authorities say was the largest single no-fault automobile insurance fraud scheme ever. Michael Danilovich, 41, of Brooklyn, N.Y., was found guilty on racketeering conspiracy, securities fraud, health care fraud, mail fraud, wire fraud, and money laundering charges following a five-week jury trial before U.S. District Judge Deborah A. Batts. According to U.S. Attorney Preet Bharara, Danilovich was responsible for the payment of more than $100 million in fraudulent medical treatments by insurance companies, and swindling investors out of another $18 million. The federal jury convicted Danilovich of racketeering arising out of his operation, from 2007 through 2012, of the largest single no-fault automobile insurance fraud scheme ever charged; his operation, from 2007 to 2009, of two investment fraud schemes, Lyons Ward & Associates and the Rockford Group; and his attempted operation, from 2011 to 2012, of a third investment fraud scheme, Baron & Caplan, including after he was arrested and released on bail in this case. According to a statement, Bharara said: “Michael Danilovich has been convicted by a unanimous jury of committing several frauds. As the jury found, he took a lead role in scamming insurance companies of over $100 million in fraudulent medical treatments and in engaging in other investment scams that swindled investors out of another $18 million. Today’s verdict ensures that Danilovich will be punished for the wide-ranging frauds he perpetrated.” According to the Superseding Indictment and evidence admitted at trial: From 2007 through 2012, Danilovich was a leader of an enterprise engaged in a pattern of racketeering that included a massive scheme to defraud automobile insurance companies under New York’s no-fault insurance law, multiple securities fraud schemes, money laundering, and the operation of illegal gambling businesses. Under New York State Law, every vehicle registered in the State is required to have no-fault automobile insurance, which enables the driver and passengers of a registered and insured vehicle to obtain benefits of up to $50,000 per person for injuries sustained in an automobile accident, regardless of fault (the “No Fault Law”). The No Fault Law requires prompt payment for medical treatment, thereby obviating the need for claimants to file personal injury lawsuits in order to be reimbursed. Under the No Fault Law, patients can assign their right to reimbursement from an insurance company to others, including medical clinics that provide treatment for their injuries. New York State Law also requires that all medical clinics in the State be incorporated, owned, operated, and controlled by a licensed medical practitioner in order
to be eligible for reimbursement under the No Fault Law. Insurance companies will not honor claims for medical treatments from a medical clinic that is not actually owned, operated, and controlled by a licensed medical professional. From 2007 through 2012, Danilovich’s organization defrauded automobile insurance companies of more than $100 million by, among other things, creating and operating medical clinics that provided unnecessary and excessive medical treatments in order to take advantage of the No Fault Law. In addition, Danilovich’s organization fraudulently owned and controlled more than a dozen medical professional corporations (“PCs”)—including no-fault clinics, MRI offices, and acupuncture and chiropractic PCs—by paying licensed medical professionals to use
24 DECEMBER 2015 AUTOBODY NEWS | www.autobodynews.com
their licenses to incorporate the professional corporations. Danilovich and his co-conspirators paid kickbacks of thousands of dollars to runners to recruit patients to receive the same battery of tests and treatments, and received kickbacks from other co-conspirators for referring patients for additional unnecessary treatments. Danilovich’s organization billed insurance companies for tens of millions of dollars in fraudulent medical treatments. Furthermore, Danilovich and his co-conspirators laundered the proceeds of the fraud through check cashing entities and shell companies, and used the money to pay for luxury cars, watches, and vacations. In addition to the no-fault insurance fraud scheme, Danilovich was convicted for operating two investment fraud schemes that swindled innocent victims
out of nearly $18 million. Both schemes—Lyons Ward & Associates and the Rockford Group—purported to be settlement claims funding companies that invested in lawsuits in return for a portion of future settlements. Danilovich also attempted to operate a third scheme, Baron & Caplan, including after he was arrested and released on bail in this case. Danilovich’s organization also operated high-stakes illegal poker games and illegal sports books. In total, Danilovich faces a maximum sentence of 280 years in prison. Danilovich is scheduled to be sentenced on March 8, 2016 before Judge Batts. The maximum potential sentences are prescribed by Congress and are provided here for informational purposes only, as any sentencing of the defendant will be determined by the judge.
Pro Spot Offers a Look at New Products at SEMA Pro Spot International, manufacturer of welding equipment for the collision repair industry, released a sneak peek of some of their new products at SEMA 2015.
NEW & Improved Rivet Gun: PR-5 Riveting System Pro Spot has taken all of your current and future riveting needs and put it ALLIN-ONE easy-to-use unit! The Pro Spot Riveter uses pressure and specialized dies to apply and remove a variety of rivets without heat. For heat sensitive materials, like aluminum, this cold joining process is necessary for rivet application. Pro Spot has designed & enhanced many features that make the PR-5 the most innovative and versatile Rivet Gun around! What’s NEW? New & Enhanced Dies, a variety of magnetic dies for applying Self-Piercing Rivets (SPR), Solid Rivets, Flow Form Rivets, and Hollow Rivets. It also has dies for Removing Rivets, Flattening and Cal-
ibrating. A Quick Connect Adapter makes switching arms faster and easier. New Features: Flow Form System, Lightweight, Deep Throat Arms. Battery system ensures structural riveting cycle regardless of battery power level.
Latest Technology in Precise Aluminum Repair: PS-DA5 Drawn Arc Welder Sophisticated technology, but simple to use—the PS-DA5 applies Pulling Keys and Threaded Studs using Drawn Arc Technology. We are seeing more and more aluminum stud welding in the collision repair environment. The PS-DA5 is the latest technology in precise dent pulling and stud welding. These applications are going to be key for aluminum repairs, as more and more aluminum vehicles hit the market. Many replacement parts may not have the studs included with the parts. You will see a lot more aluminum stud welding in the collision repair environment as well.
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Continued from Cover
SEMA New Product Awards
Product Awards this year. Winners were selected based on a variety of factors that included quality, marketability, innovation, technology, consumer appeal and more. First place in the Tools & Equipment Product category went to Nelson Glass Tools for its Automated Bonded Glass Removal System, made by Glass Bot, a company that was founded by Rick Nelson, a former glass technician. The Glass Bot™ has a top speed that exceeds the fastest of any tool or technique available, according to Nelson. The smooth trigger pull applies power when needed and then slows to a crawl for the technical difficulties of the corners. The compact footprint of the 7” suction cup featured in the system allows access to many locations on a glass part for faster removal. The strong
Nelson is happy to finally win a SEMA product award. “I’ve been inventing solutions for many years and the Glass Bot is the continuation of that,” he said. “This system is taking the glass industry into the 22nd century, because now
message to the asTech2 unit informing adjusts both horizontally and vertically instantly to fit under any vehicle, withthe shop that the scan is about to begin. out tools or adaptors. You can have it Once the scan is completed, the asTech master technician transmits a full report under a Volkswagen one minute and a school bus the next. The 4,800 lb. cato the shop. By using this device, techs can find out what issue is causing the pacity can be turned into a 9,600 lb. capacity in just a few seconds, accorddashboard warning lights to ing to the company’s web site. stay lit; ensure that all sensor systems are functioning properly; identifying any hidden damage due to collision and other problems that do not cause a warning light, according to a company’s spokesperson. Another runners-up in the Collision Repair & Refinish (l to r) Sales Rep Alexandra Kelly, Sales Rep Lisa DeLong Product category was Uniand Director of Business Development Lisa Brown from Dolly for its patented car AsTech, who won a runners up award for its web-based dolly system is a portable jack Uni-Dolly rolled into SEMA and captured a diagnostic tool runners up spot in the Collision & Refinish stand that will free up your Product category. From left, President Rick techs don’t need to use knives and this work bay, overhead hydraulic lifts, and Davie and National Sales & Marketing Director product has removed the physical asfloor jacks. An affordable and cost-efKeith Cooksey proudly display their award pects of the work from the process.” fective piece of automotive equipment The winner in the Collision ReUni-Dolly’s President Rick Davie that will increase productivity and is pair & Refinish Product category was much safer to use than floor jacks. Its knows the value of this recognition. “SEMA is a huge name and to be assoInnovative Tools & Technology for its 6” swivel casters with sealed precision Scangrip Sunmatch Color Match LED, bearings allow a disassembled drive ciated with it is a big deal. We design the only color match work light range train, chassis, sub frame, or car body and manufacture products to make the in the world for any paint, polish, to be placed anywhere in the shop collision industry better and when peocleaning or prep-zone operation, acple recognize that—well, that’s satisfywhile waiting for parts. cording to the company. Supplied with The Uni-Dolly is a car dolly that ing.” a replaceable glass lens resistant to all kind of solvents and tolerating daily cleaning, the long operating time of the Scangrip Sunmatch Color Match LED makes it possible to complete a job without interruption by time-con• Delivery to Greater Sacramento and suming recharging. Reno/Tahoe Areas One of the runners up in the Col• Highly experienced parts personnel lision Repair & Refinish Product cate• No order too big or too small gory went to AsTech, the manufacturer of the asTech2 device, a remote diag• Large late model inventory nostic tool that allows collision shops • Absolute best prices and repair technicians to have a vehicle scanned before or after repair work is done. This ensures that all of the vehicle’s issues have been fully addressed and all systems are working properly. To use it, the technician connects the asTech2 unit to the vehicle, puts the key in the car, turns the ignition on and connects a battery support so that the car battery won’t die during the scan. The technician goes to the asTech website to submit a service request and then www.maitasubaru.com an OEM master technician sends a
Maita SUBARU
The winner in the Tools & Equipment Product category is Glass Bot for its Glass Bot Bonded Glass Removal System. Pictured: Company Owner/Founder Rick Nelson
holding power of the cup provides an anchor for the powerful automotive grade DC motor. A state-of-the-art remote controller provides excellent speed control for precision cutting and with the six-foot cord you can visually watch the cutting action and ensure safety measures are in place, according to Nelson. As the inventor of several devices that can help automotive window techs,
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www.autobodynews.com | DECEMBER 2015 AUTOBODY NEWS 27
CARSTAR CEO David Byers Discusses Recent Acquisition and Reaction from Employees by Stacey Phillips, Assistant Editor
Following the announcement on October 22 that Driven Brands acquired CARSTAR Auto Body Repair Experts, Autobody News interviewed two key executives. David Byers, CARSTAR’s CEO, spoke about the reaction from employees and the company’s shortand long-term goals. Also, read comments from Jose Costa, who will David Byers, be heading up DriCEO of CARSTAR Auto Body ven Brands’ Paint Repair Experts & Collision Division. He talked to Autobody News about the benefits for shops as a result of the acquisition and what to expect moving forward. The new division is comprised of CARSTAR, Maaco and Drive N Style, a smaller mobile interior company. Q. Will there be any changes made at CARSTAR following the October
22 announcement?
A. It’s business as usual. We’re going to continue to operate as a whollyowned subsidiary of Driven Brands and there will be no changes to our existing franchise base, our franchise contract, employees or anything else.
Q. As one of the largest multi-shop network of independently owned collision repair facilities in the United States, how were franchisees notified about the announcement and what has the reaction been?
A. Employees were notified through internal memos, which outlined the process, as well as a series of calls where we talked to different employee groups within the company. I don’t think it’s a big surprise because many of the MSOs have been bought and sold multiple times in the last five years and most of them are owned by private equity groups. Private equity groups are known to buy and sell businesses over time. I think our franchise community
is really excited about the fact that not only do we get to continue to operate as the CARSTAR brand, but we get all of these resources that will help us fuel for future growth.
tractive proposition to a lot of independents out there who are frankly on their own and would love to be part of something bigger.
A. We’re going to continue to be focused on our ability to accelerate our growth in the collision repair space. CARSTAR reported record revenue last year and we’re on track for record revenue again this year. Our model is so different from the rest of the large MSOs that are consolidators in the industry. It is based on individual owners operators who own their businesses and have a deep passion for what they do and for the customer service they provide. That’s always to me what has made our brand unique in the industry is that we’re really the only ones who do that. I think that’s how we became the largest because that’s an at-
A. One of the biggest benefits is the ability to aggregate purchases across all of the brands. CARSTAR is probably one of the largest purchasers in the industry today of various products and services because we’re the largest. When you combine us with multiple brands under not only Driven brands but also under Roark Capital Group, that gives us buying power that is really unmatched in the automotive aftermarket industry. I think from a resource perspective it opens all kinds of doors for us to embark on new growth initiatives that perhaps we didn’t have the resources to do in the past. To me, that’s the single advantage that this provides for us.
Q. What are your short- and longterm goals for the Kansas-based company?
Q. What are the biggest benefits that you foresee for the 240 CARSTAR locations in 30 states and 450 locations across North America?
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Driven Brands Executive Jose Costa What Auto Body Shops Can Expect After Acquisition by Stacey Phillips, Assistant Editor
Following the announcement on October 22 that Driven Brands acquired CARSTAR Auto Body Repair Experts, Autobody News interviewed two key executives. Jose Costa, who will be heading up Driven Brands’ Paint & Collision Division, talked about the benefits for shops as a result of the acquisition and what to expect moving forward. The new Jose Costa, head of division is comprised of CARthe Paint & Collision division for Driven STAR, Maaco and Brands Drive N Style, a smaller mobile interior company. Also, read comments from David Byers, CARSTAR’s CEO, about the reaction from employees and the company’s short- and long-term goals. Q. Congratulations on your new position as the head of Paint & Collision for Driven Brands. What will
this division focus on and who will be taking over as Maaco President?
A. Historically, it was just one brand in each category at Driven Brands. Maaco was the only brand in Paint & Collision and Meinke was the only brand in the repair and maintenance environment. With the acquisition of 1-800 Radiator earlier this year, it created the platform for us to focus on areas of specialties. Now, anything that has to do with repairing the exterior of a vehicle, both cosmetically and collision repair, will be under Paint & Collision. Anything that falls under repair and maintenance will be our second division and anything related to parts will be under the distribution division. After being promoted to head up the Paint & Collision division for Driven Brands, I will be based in Charlotte, North Carolina where Driven Brands’ headquarters are. Chief Operations Officer Jason Ryan was promoted to president of Maaco. Q. Will Driven Brands’ employees
notice any day-to-day differences?
A. They will see a lot more support and resources. We’re investing significantly back into hiring more people and putting more resources in the field. For example, making sure shops have the right capabilities when it comes to equipment, facilities, IT and customer service. We want to put more ‘boots on the ground’ around training, operations and sales so the sales team can go out and get more business for the franchise owners. Maaco will do $500 million in sales and about $80 million will come from the fleet side of the business. On the CARSTAR side, the company will do $700 million and about 90 percent is insurance based. Q. What are the main benefits for shops?
A. Number one, it’s around profitability and procurement. I think that’s the biggest win for the franchise owner. We bring a lot of expertise in the fran-
chising world. We’re backed by Roarke Capital, which is the largest private equity firm in the world, focusing on franchising. We’re going to bring very sophisticated procurement to help both companies buy much smarter so our franchises are able to increase their bottom line by a couple of points at least. I think there are a lot of costsaving opportunities when you go from 470 to more than 700 body shops. Our purchases doubled almost overnight. Maaco will spend around $42 to $45 million in supplies and with CARSTAR it will be close to $100 million in purchases. When we talk to suppliers going forward we now have a much bigger platform to leverage cost savings and best practices for both brands. Q. What are the company’s long-term goals? A. In the last six months, Maaco added more than 12 people to the business. I See Jose Costa Discusses, Page 35
www.autobodynews.com | DECEMBER 2015 AUTOBODY NEWS 29
NABR Launches Labor Rate Surveys in AZ, President Discusses Overall Findings by Victoria Antonelli, Online Editor
National AutoBody Research has added another state’s data to its ongoing labor rate surveys.
nationwide data. “From that data, users can search all the way down to the zip code level or within mileage ranges of their shop,” Valenzuela added. “They can also
also launched a new online library, which stores documents stating whether insurers paid shops for necessary, but not included parts. The studies allow body shops to find out what ‘not included procedures’ insurers are paying for across the country.
“Shops are having exuberant reactions to the information, because I think they’ve been looking for something like this for a while,” said Valenzuela. “Without this they’ve never really been able to prove or even know that some shop in Florida was
Survey Results for Arizona as of November 13. Credit: vrssystem.com
“The recent Arizona survey has been a special case because it’s sponsored by three independent shops,” said Sam Valenzuela, President of National AutoBody Research. “Previous surveys we’ve launched have been sponsored by an individual or an association.”
search for other shops with any type of factory certification and equipment.” He said he’s slowly starting to see the outcome he was hoping for. “At a state wide level, it’s a little harder to see results, because the states are so big and there are so many shops,”
Survey Results for So. California as of November 13. Credit: vrssystem.com
The three shops that sponsored this survey are Arizona Collision Center, Lake Pleasant Collision Center, and Vince’s Auto Body, Inc. “So far, we’re getting good responses,” he added. “People are filling out the survey and they’re excited about it.”
said Valenzuela. “But the success is coming from individuals and that is starting to grow.” He said on November 12, he received a call from a shop owner in California who received a “significant jump” in his hourly labor rate after making a case from the VRS survey results.
Survey Results for No. California as of November 13. Credit: vrssystem.com
The organization has also launched labor rate surveys in California, Florida, Georgia, Hawaii, Idaho, Indiana, New Jersey, North Carolina, Ohio, Oregon, Texas, and Utah. He recommends that shop owners who want to “drill down deeper” go beyond the general survey results and subscribe to the Variable Rate System (VRS), so they can get access to all the
“The shop collected $58 per hour from an insurer that had previously paid in the high $40s, maybe low $50s, because that was the prevailing rate in the area,” said Valenzuela. “That’s just one example, and we are seeing those examples all over. We are definitely experiencing results and success and those numbers are starting to grow bit by bit.” National Autobody Research has
30 DECEMBER 2015 AUTOBODY NEWS | www.autobodynews.com
Survey Results for Utah as of November 13. Credit: vrssystem.com
“After shop owners search for an insurer or procedure, we show them the list of documents we have. These include the dates, the name of the insurer, the actual claim number for that case, the name and address of the shop, and the full list of the non-included procedures that were paid,” said Valenzuela. He said the online library has been very helpful in allowing NABR to move in the direction of “leveling the playing field” in the industry.
getting paid for a procedure that wasn’t being covered in California.” He added that consistency in payment by insurers to shops is the main goal of the new document search capability. “We believe if one shop does the work, then they should get paid for it, and if any other shop does the same work, they should also get paid for it,” said Valenzuela. “Practices should not See NABR Launches, Page 38
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Day Job/Night Job
Ed Attanasio is an automotive journalist based in San Francisco, California. He can be reached at era39@aol.com.
IL Body Shop Owner Becomes Nationally Acclaimed Motivational Speaker with Ed Attanasio
Running a body shop is a daily challenge that is not for everyone. Each day, shop owners encounter issues and obstacles that can be challenging and daunting. Finding the inspiration to go on can be difficult, but what if you were both a body shop owner and a motivational speaker/life coach that helps individuals to overcome life’s many impediments, including your own? It would definitely be a win-win and that’s why Louie Sharp, the owner of Sharp Auto Body in Island Lake, IL, is winning in every aspect of his professional and personal life by motivating himself and others to achieve great things. Sharp’s journey started when he joined the U.S. Marine Corps right out of high school and served almost five years on active duty as an aviation ordinance man on A6 Intruders. He was selected to the elite duty of Marine Security Guard where he spent his last 2 ½ years guarding American Embassies
overseas. He was posted at Nicosia, Cyprus and then Paris, France. Upon release from active duty Louie joined the Marine Corps active reserve program at Glenview Naval Air Station. He was assigned to HML776 a helicopter squadron and became a crew chief and door gunner on Huey helicopters. His squadron was activated for Desert Storm and Louie Sharp owns served 12 months Sharp Auto Body overseas. Louie in Island Lake, IL then retired from during the day, but is a motivational the Marines after speaker and life 20 years of honorcoach the rest able service. of the time After retiring from the Marines after 20 years of honorable service, Sharp started Sharp Auto Body doing collision repair and restoration repairs on all makes and models of
cars. In the mid-1990’s he started his towing operation and in 2000 he purchased a local auto repair shop adding mechanical repairs to the mix. Today, Sharp has 13 employees and runs a busy shop in a small town (population: 8,000). He is currently writing an automotive blog for the Lake County Journal and delivers his “Car Cents” power point presentations to local clubs, organizations and companies to show people how to save money on every aspect of their vehicle maintenance. In 1999, Sharp was elected village trustee in Island Lake where he successfully completed a four-year term. He retired from political life to focus on his passion for music. Louie plays guitar, harmonica and mandolin in a number of local bands including Stone Quarry Road and his local church band. He also performs solo acoustic guitar performances. In 2000, Sharp started on a jour-
ney that would lead him to his newest company. It began when his doctor’s nurse suggested that he try yoga to lower his high blood pressure. The rest as they say is history. In 2009, he started Sharp-Skills, a company with a simple goal to help individuals and companies to develop and achieve their full potential. In June of 2010, he successfully completed a year-long training program under Jack Canfield, a nationally renowned motivational speaker and the co-author of the Chicken Soup for the Soul series, which has more than 250 titles and 500 million copies in print in over 40 languages. Being a personal coach is not just a profession for Sharp, but rather a calling, he explained. “I’ve been a motivational speaker my whole life but I didn’t know it. I want to change the world, to be honest and that’s why I’m here, I believe. Once you find your passion, it’s not work anymore
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and this is something I am driven to do. I tell people that you can change the world everyday by the way you interact with others. In a service drivenoriented business like collision repair
When he isn’t running his shop or speaking to groups, Sharp plays guitar, harmonica and mandolin in a number of local bands including Stone Quarry Road and his local church band
you get back what you give. If you treat people—customers, co-workers, vendors—with kindness fairness and respect—it all comes back to you.”
Sharp also tells people that networking and getting involved in the community is essential for any business and that’s why he is currently a member of the Island Lake Chamber of Commerce, the Wauconda Chamber of Commerce, Island Lake Lions, the local American Legion, VFW, Business Exchange, Wauconda Rotary, BNI and Messiah Lutheran Church. He is also the past president of the Island Lake Chamber of Commerce and past president of the Island Lake Lions club and sits on the board of directors for Transitional Living Services, an organization that helps homeless veterans. “The old days of hanging a sign and waiting for the customers to start filing in just doesn’t exist anymore,” Sharp said. “Getting out there is difficult for many body shop owners and managers, but the benefits and rewards can be great. People tell me ‘you know everybody’ and I tell them that’s the idea.” Sharp takes many of the skills he has learned owning a body shop and communicates them to people in all fields during his motivational presentations. “Being a body shop owner has been a springboard for everything I’m currently doing,” Sharp explained.
“I’ve learned so much working in this industry, but in many ways, the things I’ve gleaned in this business can be used in any industry. Continual learning and getting better is one of the things I really stress, because some people hit a certain age and they don’t want to learn or try new things anymore. But not growing means you’re shrinking and going in reverse.” Many body shop owners live in a life of scarcity within a world of abundance, Sharp said. “There are wrecked cars everywhere, so there’s no lack of business. But, some shop owners tend to get caught up in things like being suspicious of the insurance companies and the other shop down the street. They’re working their butts off with no retirement in sight and they’re scared of the future, because the industry is changing every day. I teach them how to no longer live in fear, which allows them to do things they didn’t think they could.” A final note from Sharp summarizes his approach to life. “Learn to love unconditionally. It sounds easy, but it is one of the most difficult things that people can do. If you can achieve that, other great things will happen for you.”
Continued from Page 29
Jose Costa Discusses
foresee with CARSTAR we’ll start investing back within three to six months and we’ll put a lot more resources behind the brand. We see a lot of wide space for both brands to continue to grow. Our dream is to double the size of both brands from a unit count standpoint and from a top line sales standpoint. We’re very excited. It has been in the works for many months now and we’re very excited to welcome CARSTAR into our family and help them keep growing and become even more profitable.
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New Product Showcase
WD-40 Unveils Two New Products at SEMA 2015 with Ed Attanasio
The SEMA Show is an ideal time to introduce new products and that’s why WD-40 presented two new innovative solution-based products in Las Vegas, Nov. 3-6. By continually researching and developing new cutting-edge products to help body technicians and other collision professionals worldwide, WD40 is always looking for a better, easier
because we all know that time is money in any production environment, especially collision repair.” The new WD-40 EZ-REACH features an attached, 8-inch flexible straw that bends and retains its shape regardless of how much usage it receives and enabling users to get around corners and crevices to deliver WD-40 Multi-Use Product exactly where it’s needed. “The WD-40 EZ-REACH was designed with our endusers’ needs and wants in mind,” said Tim Lesmeister, vice president of marketing at WD-40 Company. “This new delivery system gives automotive professionals and enthusiasts the ability to reach the unreachable and accomplish difficult tasks in overhead After doing extensive research and actually talking to areas, under the vehicle, or on body shop professionals, WD-40 developed the WD-40 specific sections of motors and EZ-REACH that features an attached, 8-inch flexible straw that bends and retains its shape regardless of how much engines, among numerous usage it receives other uses.” way to fix cars and these two introducThe second new product unveiled tions do exactly that. at SEMA is the WD-40® Specialist® Industrial-Strength Degreaser with PowThe two new products are the WD40 EZ-REACH™ and the WD-40® erSolve Technology™, a solvent that is Specialist® Industrial-Strength Dedesigned to take on serious dirt and greaser with PowerSolve Technolgrease. Its fast-acting formula is 50-state ogy™. The former is designed to better VOC compliant. WD-40 Com-pany meet the needs of automotive profesalso markets the WD-40 Specialist Masionals and enthusiasts who use WD- chine & Engine Degreaser, a water40® Multi-Use Product to get the job based degreaser that uses deep done. And the WD-40® Specialist® Industrial-Strength Degreaser with PowerSolve Technology™ is a solvent that quickly breaks down grease, oil and dirt and works on a variety of surfaces, as well as being safe to use on metals, plastics, rubber, glass and aluminum. WD40 Brand Development Manager Shannon Edwards has already seen a very positive response for both new products, because body techs can now be more efficient and work more quickly by using them, she explained. “For more than 60 years, automotive professionals and enthusiasts have used WD-40 Multi-Use Product to get their jobs done correctly, but the feedback we were hearing from different industries told us that getting the formula WD-40’s booth at the 2015 SEMA Show was into tight and hard-to-reach places was a big hit. Attendees had their pictures taken in not easy,” Edwards said. “That’s why front of a green screen for fun photos that they could take home and post online we developed the 8-inch flexible straw,
36 DECEMBER 2015 AUTOBODY NEWS | www.autobodynews.com
Ed Attanasio is an automotive journalist based in San Francisco, California. He can be reached at era39@aol.com.
penetrating foaming action to remove tough, stuck grease. “This powerful, solvent-based degreaser makes removing tough, cakedon grease, oil and dirt from machinery, engines and equipment easier than ever,” said Dr. Ernest Bernarducci,
vice president of research and development at WD-40 Company. “It’s also the only degreaser on the market that has a permanently attached straw to help you pinpoint where to apply it.” WD-40’s Smart Straw® sprays works two ways—as a pinpoint stream when flipped up or as a wide spray when flipped down. “Being able to control how and where to spray the product
avoids messy overspray and helps professionals save time and money,” Edwards explained. “We have the finest products in the industry, so that is why we want to come up with better ways to deliver them to the right places. We talked with people in the automotive repair industry and found out that one of their main ‘pain points’ they were encountering was their inability to get the lubricants into hard to reach spots. So, we decided to enhance the delivery system and expedite their processes as a result.” Edwards is SEMA veteran and knows the importance of shows like this, for many reasons. “This is our playground and a great place to connect with automotive professionals from all over the planet,” she said. “We know that our users know and respect our products, because I think they realize that we’re always looking for ways to help them in fixing cars and making them more efficient.”
www.autobodynews.com | DECEMBER 2015 AUTOBODY NEWS 37
Continued from Page 30
NABR Launches
be inconsistent across the country, even though they are today. So, this tool is helping to level that out so shops are fairly paid for their work.” Autobody News asked Valenzuela whether state laws can play a role in how much shops are paid by insurers for certain procedures and equipment. “To my knowledge, there are no specific state laws that prohibit any particular procedure or operation from getting covered by insurers; I think it’s just more of a market dynamic that’s just out there,” he said. Valenzuela said he’s heard insurers tell shop owners, “We don’t pay for that in your area or in your market.” “If you read into that, you can see it’s implied that they may pay for it somewhere else,” he explained. “We don’t think geography should have anything to do with it; it’s a pretty irrelevant variable. No matter where you are, if you do the work, you should get paid, and that’s what we’re trying to help with.” To view current surveys: http:// www.nationalautobodyresearch.com/ surveys.html
For more information on the new Procedures Document Search product, or to submit documents: http:// www.nationalautobodyresearch.com/ vrs-procedures-search.html *Explanation of the Labor Rate Data Tables: The data in the table above is based on your search criteria and is calculated from the use of Statistics, the science of collecting and analyzing numerical data. High Rate is the average rate plus two standard deviations (see definition below). Above Avg. is the average rate plus one standard deviation. Average Rate is the simple mathematical average of the rates matching your search criteria. “Standard deviation” is a Statistics calculation, and it measures a data point’s difference (or “deviation”) from the average. It tells us how tightly grouped together or how spread out the data is. When standard deviation is low, then the data is tightly grouped together, which means that most shops tend to charge similar rates. When standard deviation is high, then the data is spread out, which means that shops charge a greater variety of rates.
Scott Wendel Scholarship Fund Reaches $20,000
Scott Wendel passed away suddenly last April while in Atlanta to participate at CIC. Scott was just 53. His strong support for our industry, both from the automotive claims and collision repair perspectives were significant. Wendel is survived by his wife Shelley, and sons Eric and Matthew whom he lived with in Winston-Salem, NC. He was the beloved brother of Lisa Hathaway, and son of Marge and Calvin Wendel, all of Milford, CT. Wendel touched people in a very unique way, positively influencing the lives of so many of us with a sincerity we all strive to achieve and an optimism we all hope to live by. All who knew him will miss his great sense of humor, humility, commitment to excellence, and unforgettable smile. It was with that in mind, the Wendel family created The Scott Wendel Scholarship Fund. The Wendel family found a way to honor his memory, while benefiting the student-athletes whom he so passionately coached and cared for. The Scott Wendel Scholarship Fund reached a milestone of $20,000 in contributions, with a goal of $25,000. Shelley said, “We are so thankful for all of the thoughts, well wishes, and remarkable response of the insurance, collision repair, and local communities in honoring Scott. Our family is so very
grateful to all of the contributors, both individuals and companies, over the past months. On behalf of the entire family, Scott’s close friends, the Ronald Reagan High School, and from the bottom of our hearts we can’t thank you all enough.” “Scott will not be forgotten by the many he positively impacted both within the industry he loved, and just as importantly outside of it. This scholarship fund helps those who knew and loved Scott honor his memory for years to come. For those who may not have been unaware of the opportunity to contribute, nor simply not been in a position to, it’s not too late to do so for this worthy cause,” said Thomas Adams. Contributions can be made at www.gofundme.com/xjybhc, or by check to: Ronald Wilson Reagan High School Booster Club C/O Scott Wendel Scholarship, PO Box 306, Pfafftown, NC 27040 FEIN 2032353492 501(c)
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3M Automotive Aftermarket and NASCAR Announce Partnership for Five Years
NASCAR® and 3M Automotive Aftermarket Division announced on November 6 a five-year extension to their long-standing official partnership. As part of the agreement, 3M Automotive Aftermarket will continue its nearly
two-decade NASCAR Sprint Cup Series contingency sponsorship that provides many of its innovative automotive products and solutions used in race cars and race shops throughout NASCAR. As an official partner, 3M Automotive Aftermarket Division will continue to carry the NASCAR bar mark on key product categories sold to car enthusiasts everywhere and to professional auto repair shops. In addition, the division will collaborate with the NASCAR R&D Center to integrate 3M automotive products and solutions into the sport. “For years, 3M has provided science-driven products to solve NASCAR’s toughest challenges in the
garage, in the car and at the track, and we are very proud of this long-standing and successful relationship,” said Laurie Altman, vice president and general manager, 3M Automotive Aftermarket Division. “Race teams can continue to have access to advanced 3M solutions that save time in car construction, enhance the paint process and make repairs easier during a race weekend. Our customer base is rich with fans of the sport, and this relationship allows us to spend time with those fans over several race weekends.” 3M Automotive Aftermarket Division will kick off its partnership with NASCAR during the 2016 Daytona 500®. “Our long-standing partnership is driven by the authentic integration of 3M products across our sport,” said Steve Phelps, executive vice president and chief marketing officer, NASCAR. “This agreement continues the recent trend of innovative companies partnering with NASCAR to ensure we deliver the best racing product in the world.” For more information about 3M automotive products, contact 1-877MMM-CARS, contact your local 3M Distributor or 3M Sales Representative or visit the website at www.3M
collision.com. Follow 3M AAD on Facebook at www.facebook.com/3M Collision and on twitter @3M_Collision and Instagram @3MCollision. Tune-in to the Chase for the NASCAR Sprint Cup™ Eliminator
Round’s™ second race, the AAA Texas 500 at Texas Motor Speedway, on Sunday, Nov. 8 at 2 p.m. ET on NBC, SiriusXM NASCAR Radio and PRN, with additional coverage on www .NASCAR.com.
3M AAD hosted winners of a sales incentive contest for 3M body fillers at the Talladega race in October that included a weekend in Birmingham and a special Sunday at the track that included pace car rides, a garage tour, celebrity visits and more.
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Industry Awards Presented During CIC at SEMA
James Moy (second from right) of Mid Island Collision in Rockville Centre, NY, receives the National Auto Body Council (NABC) “Award of Distinction” at a presentation in Las Vegas in November. The award honors acts of bravery, philanthropy or selflessness that help improve the image of the industry. Presenting the award on behalf of the NABC were (from left) Chuck Sulkala, Marie Peevy and Nick Notte
Jeanne Silver, co-owner of CARSTAR Mundelein in Mundelein, Ill., became the 100th person (and the first since 2012) to be inducted into the “Hall of Eagles,” entry requires a two-thirds majority vote among the previous inductees. Silver has been active in CIC, the National Autobody Council, the Women’s Industry Network and in her community, and in 2002 was named among the “Most Influential Women in the Industry.” Presenting the award were previous Hall of Eagles inductees Bob Smith (left) and Rick Tuuri
Jeff Silver (c), co-owner of CARSTAR Mundelein, received the I-CAR Chairman’s Award, recognizing his decades of support for that training organization, which he helped create and then led from 1985-1996. Presenting were I-CAR CEO John Van Alstyne (left) and I-CAR board chairman Joe Laurentino.
Mike Loy (right) of Mike Loy’s Collision in Lewisberg, Ohio, received the I-CAR “Russ Verona Memorial Award” at a ceremony in Las Vegas in November. The award honors Loy for having maintained his shop’s I-CAR “Gold Class status for 20 years while Loy has also served on several I-CAR committees, and actively promotes Gold Class in his shop’s consumer marketing. Presenting the award were (from left) I-CAR CEO John Van Alstyne and I-CAR board chairman Joe Laurentino
Chief™ Now Offers Collision Repair Frame Racks and Benches
On November 3, Chief™ added Globaljig® benches, universal fixture systems and other “European style” structural repair equipment to its North American product offering. The new line augments Chief’s existing product portfo-
Andrea Iacucci Ostini, export manager of Bellini Systems (left) and Mike Cranfill, VP of global collision and new business development for Vehicle Service Group (VSG)
lio that includes frame racks, vehicle holding systems, computerized measuring, vehicle specifications and joining equipment like welders and rivet guns. Chief parent company Vehicle Service Group (VSG) and Bellini Systems, manufacturer of the Globaljig product line, have signed an agreement giving VSG exclusive marketing and distribution rights for Globaljig collision repair equipment in the U.S. and Canada. “In North America, where the bestselling vehicle for more than 35 consecutive years has been a pickup truck, frame racks remain integral to proper
Gary Wano Jr. (right) of G.W. & Son Auto Body in Oklahoma City, Okla., receives the “Completely Elite Award” from Robb Young of TenPoint Complete at a ceremony in Las Vegas in November. The annual award recognizes a collision repair organization for consistently high CSI, marketplace innovation, and industry and community involvement.
collision repair,” says Mike Cranfill, VSG vice president of global collision and new business development. “But as car manufacturers continuously evolve their new vehicle designs to meet stringent CAFE standards, we expect the repair methodologies used in European markets to expand deeper into North American shops. As a result, it’s important that we offer our customers a simple, fast and easy-to-use bench and fixture system to supplement their frame racks. After thoroughly evaluating every bench system on the market, we have determined that Globaljig’s system is the most user-friendly. Further, we have supplied Globaljig with Chief computerized measuring systems in Europe for 15 years, so we know the products work together seamlessly.” Globaljig products are made in Italy and have been approved by a number of vehicle OEMs. They will be marketed under the “Globaljig Presented by Chief” brand in North America. Globaljig Presented by Chief products will be sold through the extensive Chief North American distribution network. “We believe this partnership will increase market share for both companies and provide greater choices for our customers,” said Erik Larum, Globaljig CEO of North American operations.
40 DECEMBER 2015 AUTOBODY NEWS | www.autobodynews.com
Marion Rodriguez CARSTAR Mundelein in received the National Auto Body Council (NABC) “Excellence in Community Service Award” for her charitable work that helps improve the image of the industry. Presenting was Nick Notte, the immediate past chairman of the NABC.
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www.autobodynews.com | DECEMBER 2015 AUTOBODY NEWS 41
PPG Showcases Products & Painters in Mardi Gras-Themed Booth at SEMA by Stacey Phillips, Assistant Editor
World-class automotive builders and painters brought their designs to life at PPG’s Automotive Refinish booth during SEMA. The Mardi Gras-themed booth included a line up of artists who an-swered questions, signed autographs and talked about why they use PPG products.
Automotive painter and fabricator Charley Hutton signed autographs at the PPG booth
Autobody News spoke to Charley Hutton, renowned automotive painter and fabricator, af-ter he finished an autograph session with fans at the PPG booth. “Eve-ryone thinks of me as a painter. I also love to do fabrication and the body work part,” he said. Born and raised in Caldwell, Idaho, Hutton said he always loved cars. “I used
to paint my hot wheels,” said Hutton. “I used to steal my sister’s finger nail polish and use scotch tape to mask off the windows.” He and his wife Teri opened Charley Hutton’s Color Studio in 2009 in Nampa, Idaho. Over the years, Hutton has been part of many award-winning teams and received numerous industry awards including the Ridler award. “When I’m teaching my guys and working with my crew, I always explain to them that you have to visualize what you’re making—not sanding for the sake of sanding, you’re creating shapes,” said Hutton. “It is art. We’re sculpting, we’re creating things. Even when you’re fabricating sheet metal, you’re creating these things.” When he visits schools, he often tells students, “I can teach the skill. I can’t teach passion. It doesn’t matter what you do in life. If you’re passionate about it, you’re going to succeed. Just be happy.” Hutton joined other well-known names in the industry at the PPG booth including Kenny Youngblood of Youngblood Art; Tom and Mitch Kelly of Kelly & Son Crazy Painters; Dave Kindig of Kindig-It Design; Bobby Alloway, Alloway’s Hot Rod Shop; and Joey Logano, Team Penske.
“SEMA is a great time to see some remarkable cars, meet some outstand-
keting communications, PPG Automotive Refinish. “Every year we wonder what more these painters can do with our products to astound us, and every year they manage to astound us even more.” During the show, PPG displayed many custom, restoration and refinish products including the Envirobase® High Performance waterborne basecoat system and the Vibrance Collection® line of custom paint finishes. “We work on trying to make sure that we’re delivering what our customers are really looking for,” said John Outcalt, PPG’s VP of Global Automotive Refinish. “When I talk about collision repair shops, which is the core of our business, it all starts with listening to our customer and then delivering great support as well as the best product and color solutions.” Outcalt said that PPG understands that collision centers want to match a car as quickly as possible. “Great color match, easy to use and environmentally preferred technology. To me, those kinds of things are a homerun for us,” said Outcalt. “But being here at SEMA to meet our customers and feel their enthusiasm about what they have seen or heard at the booth is what makes this industry so fun to be a part of.”
(l to r) John Parran, director, PPG marketing; John Outcalt, vice president, PPG global refinish; Charley Hutton, owner, Charley Hutton’s Color Studio; Justin Kowallek, PPG segment communications manager; Cindy Schauer (in front), PPG segment communications manager; Cristina Fronzaglia-Murray, PPG manager, marketing communications; and Jocelyn Faenza, PPG social media manager
ing painters and learn about what’s happening in our industry,” said Cristina Fronzaglia-Murray, manager, mar-
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CIECA Names PartsTrader Electronic Commerce Company of the Year PartsTrader® was named the Electronic Commerce Company of the Year by the Collision Industry Electronic Commerce Association (CIECA) Board of Trustees. Rob Cooper, CEO and Founder of PartsTrader, accepted the award at the Collision Industry Awards presentation held in conjunction with the Specialty Equipment Manufacturers Association (SEMA) trade show in Las Vegas. “This recognition is tremendous validation of the work we’ve been doing
and I thank CIECA for this,” said Cooper. “Using the BMS standard for integrations has helped us further develop and enhance the product, allowing us to bring even more value to our repairer and supplier community of users.” In July 2012, PartsTrader was the first company to officially adopt the BMS standard for all transactions originating from a collision repair facility. In the ensuing years, the CIECA-created standard has been integral to inte-
gration development between PartsTrader and collision repair technology providers. Use of the standard is a cornerstone of the PartsTrader Technology Partners Program as well as its Parts Supplier Inventory and Shop Management integration APIs. “PartsTrader made a commitment to the use of the BMS standard early in its company history,” said Fred Iantorno, Executive Director of CIECA. “The Board of Directors wanted to honor the com-
pany’s trailblazing path and its contribution to the collision repair industry.” As part of its work using the BMS standard, PartsTrader has delivered several projects including: ● Estimatics 2-way integration with the three leading systems ● Shop Management Integrations ● Parts Supplier Inventory Integrations ● CIECA Part Code Expansion ● PartsTrader Technology Partner Program
Spurred by the recent series of major recalls as well as the continued development of new vehicle technologies, the U.S. House Committee on Energy and Commerce’s Subcommittee on Commerce, Manufacturing and Trade held a hearing titled, “Examining Ways to Improve Vehicle and Roadway Safety” today. During the hearing, members addressed a legislative staff discussion draft that detailed strategies to improve vehicle safety. Key points included increased reporting requirements for the National Highway Traffic Safety Administration (NHTSA), a comprehensive plan to improve recall completion rates and a series of directives to the automakers, designed to better protect consumer privacy and prevent vehicle hacking.
Mark Rosekind, NHTSA administrator, and Maneesha Mithal, associate director of the Division of Privacy and Identity Protection at the Federal Trade Commission (FTC), served as the hearing’s key witnesses. They were joined by a panel of select automotive industry representatives. In her testimony, Mithal expressed her concern with some of the provisions in the discussion draft, specifically noting potential research complications that could arise from prohibiting all unauthorized access of electronic vehicle data. She explained that security researchers help hold automakers responsible to produce the best product by informing them of system vulnerabilities. Mithal also warned against an
overrepresentation of automakers in the proposed “Automotive Cybersecurity Advisory Council,” saying, “Because any best practices approved by the Council will be ‘by a simple majority of members,’ manufacturers alone could decide what best practices would be adopted...The proposed legislation, as drafted, could substantially weaken the security and privacy protections that consumers have today.” Rosekind’s testimony took a similar route, highlighting NHTSA’s responsibility to the public to set safety standards. He also acknowledged concerns with the draft and said, “The Committee’s discussion draft includes an important focus on cybersecurity, privacy, and technology innovations, but the current proposals
may have the opposite of their intended effect. By providing regulated entities majority representation on committees to establish appropriate practices and standards ... the proposals could seriously undermine NHTSA’s efforts to ensure safety.” Rosekind also noted that the discussion draft included a requirement that state departments of motor vehicles (DMV) notify vehicle owners of recalled vehicles when they register their vehicle or renew their registration with the state DMV. He said in his testimony, “State agencies are one potential touch-point for owners, especially second or third owners of used vehicles. But the costs to establish or maintain such a system are unknown and the technology is not yet in place.”
U.S. House Committee Holds Hearing on Vehicle Safety
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www.autobodynews.com | DECEMBER 2015 AUTOBODY NEWS 43
New Products and Techniques Abound at SEMA Apollo Sprayers HVLP Introduces Turbo Pro 3000 for Paint Savings and Eliminating Contamination
Apollo Sprayers International launched its TurboPro 3000 during SEMA. John Darroch, president and CEO of the California-based company, said their previous systems have been limited to being able to cope with no more than two or three body panels at
Donald Vargo, national sales manager; John Darroch, president and CEO; and Bill Boxer, VP of Sales at the Apollo Sprayers HVLP booth during SEMA
a time, mostly for the mobile arena. “The system we’ve developed has 30 percent more power than the other systems do, which allows you to basically do a complete car,” said Darroch. “We have the ability now to go into a body
shop, plumb it into a spray booth just like you would a compressed air system and then be able to utilize the turbo system in the spray booth and get all of the same paint advantages and savings. “We’ve had independent tests done showing that you get 40 percent paint savings over traditional air systems when using the TurboPro,” he said. In addition to the paint savings, Darroch said the other main advantage is the turbo system in general, which produces a clean, warm, dry flow of air that eliminates contamination in the air supply. The system doesn’t compress air and due to the high-speed motor, it actually eliminates humidity in the air, which saves time and re-work. No filters or dryers are needed. Apollo Sprayers International has designed HVLP (High Volume Low Pressure) Turbospray systems, HVLP spray guns and accessories for more than 48 years. All TP models are made in the company’s Vista, CA factory. Contact John Darroch at (888) 900-HVLP (4857), john@hvlp.com or visit www.TurboProHVLP.com.
Japanese Panel Repair System Demonstrated by Equipment Gateway's Miracle System at SEMA
SEMA attendees had the opportunity to view a demonstration of the Miracle System product from Equip-
Shun Kobayashi, am export manager based in Japan, demonstrated how to repair a rocker panel with Equipment Gateway’s Miracle System
ment Gateway. Matthew Bannister, owner of Equipment Gateway, said the panel repair system from Japan has been in use for 30 years but was
introduced just six years ago in the United States. “It’s a full concept of panel repair for steel and aluminum vehicles,” said Bannister. He said the system is different than others in the industry due to its lift arc technology. Bannister said other systems that use capacitor discharge are typically for smaller dents. “With our system, because of the way the key welds on, you can repair some larger damage,” said Bannister. “We’re finding that is showing up at the shops and that’s what they need to be able to do the repair.” He said the main advantages are the quality of the repair and the time savings. “With our steel system, there is little to no burning on the inside of the panel, which is a big advantage for corrosion,” said Bannister. The company is also offering more adapters for the aluminum system. For more information, call Matthew Bannister (866) 588-7599, matt@equipmentgateway or visit www.equipmentgateway.com
44 DECEMBER 2015 AUTOBODY NEWS | www.autobodynews.com
CAR BENCH Displays Manta Bench Rack & Contact Evolution
This year, CAR BENCH introduced the New Manta Bench Rack, a dual purpose bench rack system. “It’s expandable to be an all-purpose bench for all vehicles from trucks
and Asian vehicles. The Contact is capable of measuring vehicles on its wheels. The Manta Bench Rack, manufactured in Italy, is available in three differ-
CAR BENCH’s Lorenzo Manfredi, marketing & research development director; Clint Waters, North American manager; and Peter Choate, North American Technical Manager
to Mercedes Benz,” said Clint Waters, from CAR BENCH North America, in Murrieta, CA. Waters said it’s flexible enough to allow shops to work with any type of repair system and is certified by most manufacturers. During SEMA, the company also displayed its new electronic measuring system, the Contact Evolution, with its expanded database that includes domestic, European
ent lengths: 4.0m, 4.5m and 5.15m. All three come with a six-ton lift. Waters said there is maximum flexibility with the bench rack, which can either be mobile on four wheels or installed in a pit allowing drive over and still provide a lifting height of up to 60 inches. For information, call (800) 637-4780, Email Carbenchna@gmail.com or visit www.carbenchnorthamerica.com for more information.
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M-F 8am - 6pm; Sat 8am - Noon www.autobodynews.com | DECEMBER 2015 AUTOBODY NEWS 45
GFS Demonstrates REVO Accelerated Curing Systems
Global Finishing Solutions (GFS) demonstrated its REVO accelerated curing systems during SEMA. Introduced to the industry this past year, all four REVO products utilize short wave electric infrared technology.
erating how fast the coatings dry. We’re not just drying them, we’re curing them from the inside out, so it’s going to be a better repair as well.” The four products are the REVO Speed, Rapid, Spot and Handheld.
Brandon Lowder, VP of Auto Refinish Sales for GFS, used the REVO Speed and REVO Handheld to showcase how fast primer can be applied and cured with REVO products
“The main benefits are going to be faster repairs and better results,” said Brandon Lowder, VP of Auto Refinish Sales for GFS. “Essentially we’re going to be able to get up to 80 percent more paint shop throughout by accel-
REVO Speed is semi-automatic and best suited for shops that perform large volumes of average repairs on one to four panels. It can accommodate all sizes of vehicles. REVO Rapid, with 12,000 watts of power, was designed
Novol Introduces European Car Refinish Solutions to US & Canada
NOVOL introduced its European-manufactured car refinish solutions during SEMA. Leszek Chudzynski, business development director for USA, said the products have innovative features that meet the needs of modern workshops to
clear clearcoats and performance primers enable fast and effective repairs with the guarantee of the perfect paint job,” said Chudzynski. “They have been developed and tested at the NOVOL R&D Laboratory to support the painter across the
for full panel repairs or body shops with space restrictions. REVO Spot, with 6,000 watts, is for curing small surfaces and REVO Handheld, with 1,000 watts of power, is lightweight and has an ergonomic handle for fast spot repairs. “They all use the exact same technology and the same bulbs; however they are scalable to your shop and what your needs are,” said Lowder. During SEMA, he used roll on primer to showcase how fast primer can be applied and cured with the REVO system. “That process would have normally taken an hour and a half to two hours to dry in the shop,” said Lowder. “We did it in less than 10 minutes with REVO.” Jessica Leinon, marketing sales coordinator for GFS, said there are currently several IR systems in the U.S. “Our application is electric,” she said. “To us, the benefit is safety and cost savings.” She said GFS has over 130 years’ experience in the industry with a network of more than 45 distributors across the US and Canada that can support, train and service the REVO products. Contact Jessica Leinon, Marketing Sales Coordinator, jleinon@global finishing.com
Nominations Open for WIN’s Most Influential Women Award
Women’s Industry Network (WIN®) announced that nominations for the prestigious Most Influential Women Awards opened on Monday, November 2 and will be accepted through Thursday, December 31, 2015. The winners will be recognized at a Most Influential Women gala held during the 2016 WIN Educational Conference, May 2-4, 2016 at the Hilton Tampa Downtown in Tampa, FL. Nominations of women working in any segment of the collision repair industry across the United States and Canada are welcomed, and WIN membership is not a requirement. Once again, WIN has retained an independent consultant to interview those who have been nominated for the award so that WIN can remain unbiased in the selection process. Established in 1999 by AkzoNobel, the Most Influential Women program has recognized close to 85 women who have enriched the collision repair industry with their leadership, vision, and commitment to excellence. The 2016 nomination form may be downloaded from the WIN website at www.womensindustrynetwork.com
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Parts 800-952-5307 Joe Momber, sales manager at Autobody News magazine with the team from Novol: Grazya Fiksa-Leszczynska; Filip Nowakowski, CEO; Leszek Chudzynski, business development director USA; Zenon Goralski, business development director Canada; and Andrew Cynk, business development manager Canada
enhance the efficiency of the painting process. They are currently being used in Europe, Asia, Australia, New Zealand, the Middle East and Africa. Chudzynski said the company is targeting to launch its full range of products in the U.S. and Canada. Products are already being used in California, Texas, Alabama and Florida. “NOVOL crystal
whole refinish job.” He said the products have extremely fast drying properties. “Normally, you would use two or three coats of a clear coat. Our products could manage the same with just one and half coat,” said Chudzynski. For information, contact Leszek Chudzynski, at l.chudzynski@novol.pl or visit www.novolrefinish.com.
46 DECEMBER 2015 AUTOBODY NEWS | www.autobodynews.com
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Prima Welds Showcases Prima Inverter Welders
Prima Welds showcased its Prima Inverter welders during SEMA. These included the 35-pound Multi Torch 5-in-1; and the 18-pound Multi 190 for aluminum, brazing (with or without pulse)
Ray Zitzloff, president of Prima Welds, explained the features of the Prima Multi Torch 5-in-1 inverter welder to SEMA attendees
and steel plus or minus 30 volts 230/1 16 amp power for 200 amp output. Ray Zitzloff, president of the Florida-based company, said the light-weight, easy-to-use welders re-
duce welding training and set up time in the shop. Zitzloff said Prima was the first to introduce the multi-torch welders. He said the welders are easy to operate and have single processors and common torches that are simple to replace. “The programs are based on body shop applications and for aluminum, steel and brazing,” said Zitzloff. “Everything is software driven. A microprocessor runs the unit so it’s an overnight parts exchange from a service standpoint.” Zitzloff said you select the torch, set the program number, set the metal thickness and weld. Onsite training for the use of the welder is optional, however, it is not necessary. “We also provide remote, live online diagnostics and training,” said Zitzloff. There is also no need for onsite welder training. “We’ve eliminated a lot of training and we also provide remote, live online diagnostics and training,” said Zitzloff. The welders are manufactured in Italy. “With the exchange rate dropping by more than 30 percent, our sale prices have also been reduced by over 30 per cent,” said Zitzloff. For information, contact (239) 314-7683, emairayz@primawelds.com, or www.primawelds.com.
Race Car Driver Ashley Sanford Visits Herkules Booth
Ashley Sanford, a 21-year-old race car driver, signed autographs at Herkules Equipment Corporation’s booth during SEMA. The company showcased its pneumatic lifts while the racer greeted show attendees.
Race car driver Ashley Sanford and her mother Michele at the Herkules booth
Growing up in Fullerton, CA, Ashley began driving recreationally when she was eight. Her grandpa Ed taught her sand drag racing, which she spent time doing with her parents Michele and Shane. “There are only a few races a year but they were big events for our family,” said Ashley. “She went slow in the beginning and then when she turned 14 she was going over 100 miles an hour,” said Michelle. “I thought it was insane. I was happy but it was hard.” Ashley said she was always adventurous and nicknamed by her family
as the Wild Child.’ She recalls seeing photos of her first birthday when she received an electric ATV. Currently, she races in the NH circuit from Southern California to New Jersey. She participated in 14 out of 24 races this season. “My favorite part would first be the adrenaline rush, from the moment the car starts to the second I hit the parachutes and everything in between,” said Ashley. “There’s nothing comparable to it in the world.” She said her other favorite part is interacting with the fans who have been so supportive. She was asked by Herkules to sign autographs during SEMA. “We’re just happy to be involved with them and that they invited me to come.” “When people asked why we asked Ashley to sign autographs at our booth, we told them that racers need to maintain their cars, so who better than someone who needs quality, dependable lifts to make those quick and necessary fixes,” said Kathleen Okray, marketing manager at Herkules. Based in Michigan, Herkules has been focused on pneumatic lifts for 30 years. All lifts are manufactured in the United States with U.S. steel. For information about Herkules, contact (248) 960-7011, kathleen @herkules.us or visit: www.herkules.us
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www.autobodynews.com | DECEMBER 2015 AUTOBODY NEWS 47
SEMA Continues to Dazzle the Largest Crowd Ever
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48 DECEMBER 2015 AUTOBODY NEWS | www.autobodynews.com
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www.autobodynews.com | DECEMBER 2015 AUTOBODY NEWS 49
NHTSA: Repair Shops Could Get Airbag Recall Work
Independent repair shops could soon step on what has always been a franchised dealer’s exclusive turf: recall repairs. National Highway Traffic Safety Administration officials said they see a possible role for nondealer service shops to help with the mammoth task of replacing the 23 million defective Takata airbag inflators spread across 19 million U.S. vehicles made by 12 manufacturers. Such a move would be unprecedented, as only franchised new-car dealers are currently authorized to perform recall repairs. It also would add another layer of complexity and risk to what NHTSA is already calling the most complex auto safety recall effort in U.S. history. Still, the fact that it’s under consideration reflects the urgency with which NHTSA views the inflator recall effort and a recognition by the agency that it may require extraordinary measures to complete it. “If dealers for a vehicle manufacturer are unable to keep up with the demand for replacements even though plenty of parts are available, we may consider allowing repair shops or other facilities to complete recall repairs,” Stephen Ridella, director of vehicle crashworthiness research at NHTSA, said at the Oct. 22, briefing. “While this is something specifically allowed in the law, these in-
flator parts are complex and unique ... only someone with specialized training should replace these parts.” Involving independent repair shops won’t be easy, says Aaron Jacoby, a partner at the law firm Arent Fox who specializes in automotive matters. Takata’s supplier contracts, which are regulated by law, dictate that Takata work only with authorized dealers of their automaker clients and could prohibit sales of replacement parts directly to independent auto shops. Additionally, manufacturers set standards and provide recall repair instructions only to their dealers. “There are numerous statutory, practical, business and contract hurdles to overcome that would negate any perceived benefit of going forward with such a plan,” Jacoby said. The National Automobile Dealers Association said NHTSA’s priority should be adding supply capacity, not repair capacity. “Every dealer of the affected brands has the expertise, tools, training, and capacity necessary to fix impacted vehicles, and they are expeditiously doing so as soon as they take delivery of replacement parts,” NADA spokesman Jared Allen said in a statement. NHTSA Administrator Mark Ro-
Auto Body Repairers Team with Progressive Insurance to Donate More Than 130 Cars to Veterans
To honor their service to our country, more than 130 veterans across the country each received a completely refurbished vehicle on Veterans Day as members of the National Auto Body Council teamed up with The Progressive Group of Insurance Companies for its third annual Keys To Progress car giveaway. Keys To Progress is an extension of the National Auto Body Council’s Recycled Rides™ program and is the single largest one-day vehicle donation. Recycled Rides is an industry-wide program in which companies representing all facets of the collision industry collaborate to repair and donate vehicles to individuals and organizations in need. Collision repair members of the National Auto Body Council volunteered resources and time to repair the vehicles which were presented at 60 Progressive Service Centers. A number of other National Auto Body Council members contributed parts and materials for the vehicle repair. “We commend Progressive for its leadership role to support our military men and women by providing the gift of reliable transportation. We are proud to be part of this great effort for the third
year in a row,” said Chuck Sulkala, NABC Executive Director. “Keys To Progress is a wonderful opportunity for our members to collaborate with colleagues to give back to their local communities. This truly exemplifies the professionalism and integrity of the collision industry. Other partners in the Keys To Progress event include: Enterprise Rent-A-Car which provides insurance for each donated vehicle for the first six months, and also provided free car rentals to transport families to the Progressive Service Centers for the event as needed. The insurance policies are written by Progressive. VRC Investigations, a veteranowned and operated organization, helps support the recipient selection process each year. The Original 1-800-Charity Cars, powered by AudaExplore, a Solera Company, donates resources to facilitate titling and registration of vehicles for recipients. Salvage partners Copart and Insurance Auto Auctions (IAA) donate some of the vehicles. Local charity partners helped to identify the most deserving recipients in each region.
50 DECEMBER 2015 AUTOBODY NEWS | www.autobodynews.com
sekind acknowledged the many obstacles and risks, telling reporters last week that bringing independent shops into the mix “would be opening up exactly that concern about the quality of repairs, and that would be one of the things that we would have to look at before we could implement that aspect” of NHTSA’s authority. Still, NHTSA officials said, the pace of progress is far too slow given the millions of cars with the suspect inflators and the high risk of bodily harm when a Takata inflator ruptures. The defective airbag inflators, which can explode in a crash and send out a spray of metal fragments, have been linked to eight deaths and about 100 injuries. After a sharp expansion of the inflator recalls over the last year, the repair completion rate as of Oct. 9 was just 22.5 percent nationally, NHTSA officials said at the briefing. In high-humidity areas, mostly along the Gulf of Mexico, where the risk of a rupture is viewed to be greatest, about 29.5 percent of the recalled vehicles have been repaired. Many fixed vehicles are merely getting newer sets of the same inflators and may need to be repaired again later, NHTSA officials said. Expanding the repair network is one of eight possible actions that NHTSA officials are contemplating to speed
completion of the Takata recalls, with final decisions due from Rosekind by Thanksgiving. For example, NHTSA may require automakers to speed their recalls for vehicles that pose the highest risk of a rupture, which NHTSA says are vehicles that are 5 to 10 years old and have spent several years in hot, muggy climates. Such an order could include a directive to expand their sources for procuring replacement inflators. Takata is shipping about 2.8 million replacement airbag kits—including inflator components from various manufacturers—a month to dealers for recall repairs in the U.S. and other markets. American Honda Motor Co. says it has repaired almost 40 percent of the 9.9 million recalled Takata inflators contained in about 6.3 million U.S. vehicles. Honda and Acura dealers are replacing an average of 24,000 airbag units daily using replacement inflators coming from Takata as well as rival firms TRW, Daicel and Autoliv. Its dealers are “well positioned to handle incoming demand,” the company said, and it’s focusing on getting owners to bring their cars in. Spokesman Chris Martin said: “If we reach a point where our dealers are unable to handle ongoing repair volume, Honda will explore all available options to ensure the safety of our customers.”
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Axalta Coating Systems Acquires ChemSpec USA by Victoria Antonelli, Online Editor
Axalta Coating Systems, a global supplier of liquid and powder coatings, announced the purchase of ChemSpec USA on November 3 during the 2015 SEMA Show in Las Vegas.
of coatings for the economy segment. “The team at ChemSpec USA is very excited about the opportunities that the acquisition by Axalta will present to our customers, employees and external partnerships,” added Ron Snow, President ChemSpec USA. “It will allow ChemSpec USA as well as its current and future customers to have huge growth opportunities by having the financial backing and automotive refinish experience that Axalta will bring to our organization.” Autobody News interviewed Jonathan Purifoy, Axalta Integration Manager-NA Refinish, during the show to find out more about the purchase. Q: Please give some background on Axalta Coating System’s acquisition of ChemSpec USA.
“We’re very excited about the ChemSpec acquisition,” said Nigel Budden Axalta Vice President and head of its North America operations at the time of the deal. “This acquisition will help us to better understand and enable new growth in the economy coatings segment.” ChemSpec USA is a manufacturer
A: “We wanted to grow our market share in the economy segment. ChemSpec USA gives us a strong portfolio of products that help meet the needs of customers in this important segment. Timing for the transaction was good for both parties.
Q: How will this acquisition help the collision repair sector of Axalta Coating Systems?
Shift into Genuine Nissan and Infiniti OEM Parts
A:“ChemSpec USA has good distribution, a results-oriented team of sales people with great products and solutions. The ChemSpec USA refinish color system has great color capabilities, is domestically manufactured, and was developed to cover the color space well. We have heard great feedback from customers on the results that they get from the products. ChemSpec USA is in a market space and channel that we would like to develop and grow. This acquisition complements our company.” Q: Will ChemSpec USA be rebranded /remarketed now that it is owned by Axalta?
A:“ChemSpec does very well in the economy market space, and Axalta does very well in the premium and mainstream markets. Our goal is to maintain ChemSpec’s nimbleness and entrepreneurial mindset, operating them as a wholly owned subsidiary. We do not have plans to co-brand or co-market ChemSpec product, or rebrand the company, at this time.”
Q: Will the ChemSpec products continue to be manufactured in the same location?
A: “The manufacturing plant and headquarters for ChemSpec in Orrville, Ohio, will remain open and functional. The team is very agile and can manufacture products very quickly.”
Q: What are the most frequent questions you’ve been asked by SEMA attendees concerning the acquisition?
A: “The questions I’ve heard at SEMA are mostly from distributors. Distributors across the country recognize the power of Axalta and the value of ChemSpec products. They want to expand their product offering and together we want to bring the best of Axalta and ChemSpec to the end-user customer without altering ChemSpec brands or personality.” Axalta and ChemSpec jobbers alike can contact Jonathan Purifoy at: jonathan .p.purifoy@axaltacs.com for more information.
A full description of ChemSpec USA automotive paint products can be found at http://www.montprod.com/ More information on Axalta Coating Systems can be found at www.axalta cs.com
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www.autobodynews.com | DECEMBER 2015 AUTOBODY NEWS 51
2015 VeriFacts Achievement in Collision Repair Excellence (ACE) Awards: “The March Taylor Award” and “The John Loftus Award” VeriFacts announced its 2015 Achievement in Collision Repair Excellence (ACE) awards. ACE awards recognize shops and individuals contributing to the advancement of the industry. At Collision Industry Conference in November, VeriFacts Vice President Greg Gray said, “The winners for these awards were picked from the best in the industry. They
(l to r) Mark Olson, David Nordeen, Miro Baliver, Gregory Gray
have an impressive commitment to quality that we want to recognize them for.” The March Taylor Award and John Loftus Award are earned by individuals who contribute to the success of VeriFacts VQ facilities by excelling in their role.
● David Shugart of Mike Johnson’s Collision operated by DCR Systems, Hickory, NC is the 2015 winner of the
March Taylor Award for Excellence in Automotive Refinishing.
● Jaimes Higuera of Caliber Collision Riverside – Indiana, Riverside, CA is the 2015 winner of March Taylor Award for Excellence in Traditional Material Repair.
● Rich Fish of Fix Auto USA is the 2015 winner of the John Loftus Award for Excellence in Collision Repair Leadership. The ACE Award recognizes the remarkable collision repair center that consistently produces and delivers the highest repair quality.
● Caliber Collision, Gainesville, VA is the 2015 winner of the ACE Award for Excellence in Traditional Material Repair.
(l to r) Mark Olson, David Goldstein (accepting for Gainesville, VA), Gregory Gray
● Frank Garibaldi of Chilton Auto Body, San Carlos, CA is the 2015 winner of the March Taylor Award for Excellence in Aluminum and Advanced Material Repair.
● Miro Bilaver of DC Autocraft, Burbank, CA is the 2015 winner of the John Loftus Award for Excellence in
NAPA/MARTIN SENOUR Unveiled NHRA Superstars & Custom Hot Rods at SEMA
NAPA/Martin Senour’s booth provided something for all SEMA attendees from collision repair to shop professionals, jobbers and automotive enthusiasts. NAPA/Martin Senour SEMA Show highlights included: ● The unveiling/press conference of a 1949 Buick custom coupe, restored by Chris Carlson Hot Rods out of Mulvane, Kansas; it featured the Tec/BASE® premium refinish system color Granite (PCRS23) of the Martin Senour Rod & Restoration Color Deck on the exterior and Dark Blue Denim (PCRC30) for the engine and wheels. This 1949 Buick is Carlson’s third SEMA Show vehicle in the NAPA/Martin Senour booth. It was chopped 3½ inches in front and eightinches at the rear of the deck lid. The car featured unique shaved door handles and custom items like its inner fenders, core support, dash, floor and firewall. There was a TCI Mustang II front end and four-link rear with a Curry differential, a pancaked and pie-cut hood, rear fenders molded to the quarter panels and its front and rear bumper were even sucked in. ● The other unveil featured a custom build of the Dir-T-Bird (an intensely modified 1964 Ford Thunderbird), by
Collision Repair Management.
Caleb Luce of Luce Customs in Albuquerque, New Mexico. This build featured a modified OEM tri-stage, complete with a unique midcoat, painted in the Vortex® premium waterborne refinish system. It had a full 2000 Corvette chassis with a 500 hp lq4 engine. “The Bird’s” frame, floor work, interior, trunk, engine bay, head tunnels, front and rear fascias were all hand-formed steel. The body was widened three inches and functional brake cooling scoops were built. The car was just shy of 18 feet long and about 3.5 feet tall. It had a custom three-stage paint job with a rally stripe wrapping everything inside and outside of the car. It also had a fully polished stainless exhaust system. ● In addition, there was a meet and greet autograph session with NHRA Superstar Ron Capps, driver of the NAPA Auto Parts Dodge Charger R/T funny car. Capps’ 20-year career highlights include 45 wins, 90 final rounds reached and a top speed of 320.89 mph. For more information about NAPA/Martin Senour paints at the 2015 SEMA Show, visit www.martin senour-autopaint.com or call 1-800526-6704.
52 DECEMBER 2015 AUTOBODY NEWS | www.autobodynews.com
● Fletcher Jones Motor Cars, Newport Beach, CA is the 2015 winner of the ACE Award for Excellence in Aluminum and Advanced Material Repair. The Disruptive Innovation award is given to people and companies determining the direction of the automotive collision repair industry. ● Keith Myers of Eurotech, Torrance, CA is the 2015 individual winner of the Disruptive Innovation Award.
● Tesla Motors of Palo Alto, CA is the 2015 organizational winner of the Disruptive Innovation Award.
CCC Receives Classroom Grant Through CREF
The Collision Repair Education Foundation (CREF) announced United Technical Center as the recipient of the CCC Information Services Inc. (CCC) Classroom Enhancement Grant. United Technical Center in Clarksburg, WV, will receive a $12,000 grant that will assist the school with collision-related classroom materials such as electronics, classroom furniture, and other items to ensure students have a professional learning environment. United Technical Center was eligible for this award by applying for the 2015 Collision Repair Education Foundation’s Ultimate Collision Education Makeover grant. CCC has been a member of the Collision Repair Education Foundation since 1993. “Today’s students will become important members of the collision repair community,” said Mary Jo Prigge, president, Service Operations for CCC. “Equipping them with the technology, tools and environment needed to learn and hone their skills will help them be successful and confident as they enter the workforce.” For more information, contact Brandon Eckenrode at 847-463-5244 or Brandon.Eckenrode@ed-foundation .org
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www.autobodynews.com | DECEMBER 2015 AUTOBODY NEWS 53
Addressing Total Loss Write-Offs Needs a ‘Triple Bottom Line’ Approach by Stacey Phillips, Assistant Editor
An increasing number of total loss write-offs in the industry prompted Guild 21 to host a webinar in October to address this growing concern. Guest speaker Mike Shesterkin, the general manager of What’s Next, proposed a new business model for the future based on sustainability and what he referred to as a “triple bottom line” approach. This would encompass social, environmental and economic considerations while running a business. Shesterkin talked about applying the triple bottom line concept to total economic loss vehicles. The presentation was titled, “You Can Pay Me Now, or You can pay Me Later: Why the Collision and Service Repair Industry Needs a Triple Bottom line Approach.” Shesterkin’s company assists management teams develop strategies and implement action plans that take into account social, environmental and economic factors. He has been working with AkzoNobel to advance the sustainability movement within the collision industry, has over 30 years of experience in the paint and coatings industry and has held numerous positions in the OEM and vehicle refinish segments. Shesterkin shared insights with listeners about the emergent issue of total loss write-offs and the importance of creating the “building blocks of a radical new future.” “It is the consumer who is bearing the brunt of the burden of this,” said Shesterkin. “This is especially true when you look at those who exist at the margins of economic stability.” He said total overall transportation costs take up nearly 20 percent of the average American’s household income, which is up two-fold over what it was 50 years ago. For those in the lower income brackets, the cost is far more burdensome. Shesterkin said when we learn about science or economics, teachers will tell us to consider one variable and assume everything else remains constant; the term in Latin is ‘ceteris paribus.’ “The truth is all of nature and every human interaction occurs within a system of interconnected relationships. Nothing in life is static,” he said. He said the key to remember is that systems are constantly adapting; therefore, ceteris paribus is meaningless in the real world.
“These faulty sorts of assumptions are particularly troubling when we look back over the history of the 20th century, which has been shaped by the consumerist worldview,” said Shesterkin. “With the rise of consumerism, there has been a common assumption that there are limitless raw materials and an unlimited capacity for the earth to absorb the waste that’s put into it. That assumption is incorrect. This is the reason many of us sense a “disruption” when we’re forced to deal with total economic losses. There is a tremendous amount of waste that ought not to be happening.” He said there is a new model emer- ging based on sustainability. “Sustainable development is development that meets the needs of the present without compromising the ability of future generations to meet their own needs.” He explained the concept of a triple bottom line model, including social, environmental and economic aspects, which is a shift from the old paradigm of measuring the value of a business based solely on its performance. “There is mounting evidence that those enterprises that put work into developing triple bottom line value, are outperforming those who do not,” said Shesterkin. “Financial institutions are starting to funnel money into these enterprises that are showing the capacity to manage risk around these areas because they represent the longer-term return.” Areas where risk of exposure can be managed: 1) Morality: doing the right thing 2) Sustainability: being motivated to preserve the industry and the business in general 3) License to operate: society gives a business its license to operate; therefore, meeting the needs of all stakeholders drives this argument 4) Reputation: similar to License to Operate but goes more to perception, rather than anything approaching the objective What’s Next is a business in residence at the Green Garage, a coworking community in Detroit, MI, which includes sustainable businesses that come together with the intention of creating triple bottom line value. Working with a number of community members, Shesterkin devised a list of stakeholders who affect a body shop’s
54 DECEMBER 2015 AUTOBODY NEWS | www.autobodynews.com
ability to practice its business. “If we are actively engaging our circle of stakeholders and understanding what it is that they would like to see happen as part of our ecosystem, then we’re able to stay ahead and understand how the market is behaving and the ecosystem is behaving.”
Benefits of the triple bottom line strategy:
Community ● Healthier community ● Skills development and job opportunity ● Alignment with the social and environmental sense of the people
Economic Resilience ● Shop is more productive ● Fewer sick days taken ● Lower health care costs ● People wind up paying more for a healthier and greener service ● Market the shop as a business that cares about and is connected with the community ● Lower comprehensive insurance costs for the shop
● Revenue up from more customers— differentiate from the rest of the market Environment ● High recycled content-use of reman and recycled parts ● Less toxicity ● Less waste overall This triple bottom line approach is already taking place in the remanufacturing sector. “We’re putting people to work in meaningful jobs and rebuilding parts rather than throwing them away or down-cycling them,” he said. As a result, the benefits are 80 percent less energy impact, 88 percent less water used, 92 less chemical products and 70 percent less waste production. He said it’s not a big leap to apply this concept to the entire vehicle and the way decisions are made on whether or not the industry writes off total economic losses. “When you look at the complexity of the vehicle and the high strength steel now being used in the body, the question we need to ask ourselves is: ‘if none of this is destroyed in any way, and we can repair it safely, why on earth would we not do that?” said Shesterkin. A common misconception is that
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all of this metal is being recycled. Shesterkin said that only 25 percent of the metal that goes into the exterior body panels is recycled. The rest has to be mined. “The increasing number of total economic loss write-offs is adding to environmental degradation, by creating unnecessary toxic flows and carbon emissions and subtracting from social capital by taking meaningful work from within local communities,” said Shesterkin. He proposed holding a roundtable event to bring together highlevel stakeholders in late 2015 or early 2016 in Detroit. The purpose would be to examine the state of the industry today, what needs to be done and what is it going to take. Guild 21 consists of industry leaders who share information pertinent to the industry. Each month the group holds a webinar with a guest speaker. “The purpose of the call is to really bring our industry together, insurers, shops and manufacturers, and working together for the benefit of the consumer and also driving a safe repair in the most economical and efficient manner,” said Farzam Afshar of Verifacts Automotive, who hosted the webinar.
Assured Performance Announces 5-Star Business Performance Program Assured Performance Network announced the official launch of their 5Star Business Performance Program. While the Assured Performance/OEM Certification program focuses on the shops “technical capability”, their new 5-Star program helps the shop to improve their “business capability” aimed at exceeding the industry’s highest levels of performance and attainment of their personal success goals. The 5-Star program provides shops with an in depth business analysis resulting in a confidential self-assessing rating and ranking. Then, the shops get a business improvement action plan, expert coaching, and ongoing KPI monitoring. Upon enrollment in the optional program, shops go through a performance analysis determining areas of weaknesses and opportunities for improvement including production management, marketing, sales, customer service, financial management, HR management, and technical proficiency. Shops receive in depth improvement plans, KPI dashboard, and alerts when performance slips below goals and timelines. Unlike industry programs that use shop rating to penalize shops, through the Assured Performance program, participants
are actually rewarded and use the confidential rating and ranking for self evaluation and blind benchmarking with similar businesses, according to a company press release. Also according to this press release, shops now have an independent and confidential source to help monitor and improve their performance based upon KPI’s and business practices that are in their best interest for efficiency and profitability. Shop performance information is confidential, never shared with third-parties, and is only accessible by the participating shops who elect to enroll in the optional program. The program is designed for independent and dealership body shops. Already, nearly 1,000 dealership body shops are enrolled in the program. “Our 5-Star program is driving shops to levels of performance previously unimaginable. Our shops are already in a league of their own because they are technically compliant to perform advanced repairs,” stated Michael Quinn, Executive Vice President of Assured Performance. “Now we are empowering them to further distinguish themselves in their marketplace by focusing on proven best practices, KPIs, and financial per-
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formance.” Assured Performance has built and launched these business development services to ensure that the entire Assured Performance Certified Repair Network is both the most advanced repair capable and the most efficient and effective shops, and representing the best repair choice in every market. “A shop can be technically capable, but if they are not a healthy business, they are not the best choice as a Collision Repair Provider,” stated Aaron Clark, Vice President of Technical Compliance. “We are doing what it takes to make sure our Certified shops are also the best performing businesses in the industry!”
Assured Performance Appoints Leanne Jefferies to Lead Canadian Body Shop Certification Assured Performance Network is pleased to announce the appointment of Leanne Jefferies to the position of Vice-President of Canadian Operations. Ms. Jefferies will assume responsibility to launch and oversee Canadian operations of the Certified Collision Care program, powered by Assured Performance Network, effective October 1, 2015.
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www.autobodynews.com | DECEMBER 2015 AUTOBODY NEWS 55
Service King, Chicago’s CARCARE, Inc. Partner in 15 Location Deal
Service King Collision Repair Centers announced on November 9 its largest partnership of the year through closing a deal to acquire Chicago-based MSO CARCARE, Inc. The deal encompasses all 15 of CARCARE’s premier collision repair centers across the Chicago metro and central Illinois area with operations transitioning to Service King immediately. Terms of the merger were officially agreed upon and signed Friday, Nov. 6, as Service King continues its robust growth initiative in the market and across the U.S. “Partnering with Service King is truly an exciting step forward for the CARCARE team,” said Bill Aeschliman, CARCARE Owner and Chief Executive Officer. “Service King’s standard of superior service will only enhance our operations and propel opportunities for our very own teammates. CARCARE customers and insurance partners will continue to receive the same exceptional service they have come to expect throughout this period of growth.” Service King, a company that has pioneered premier customer-oriented accident repair service, now operates a total of 37 locations across
the Chicago and central Illinois market. The organization, which first expanded to Chicago in 2014, now provides all customers comprehensive automotive repair services at 275 locations in 23 states across the U.S.
“The Chicago community has embraced Service King and we couldn’t be more excited about continued growth,” said Jerod Guerin, Service King Regional Vice President. “Partnering with CARCARE and its excellent network of 15 superior collision repair centers and teammates is a monumental step forward in our mission to provide Chicago and its residents the very best service possible.” The Chicago market has played a key role in Service King’s growth strategy for 2015. This year alone, the organization has partnered with four area collision repair providers includ-
New Chief Videos Teach Proper 2015 Ford F-150 Anchoring, Available on Chief’s Website
Chief has developed six videos that show how to properly secure the new Ford F-150 to a frame rack for pulling or sectioning. The videos are part of Chief’s structural holding how-to series, and cover the components included in its F-150 aluminum cab holding system (P/N 30002). They can be viewed at www.chief automotive.com/Fixture-Holding /Structural-Holding and on Chief’s video library page. “Using Chief’s F-150 holding system, technicians can anchor the new aluminum-bodied truck in up to 10 locations,” says Richard Perry, Chief OEM and strategic account sales manager, and host of the videos. “This helps to distribute pulling pressure evenly, which reduces the chance that additional damage will be inflicted into the body during the repair. Multiple holding points are also needed to secure the vehicle during sectioning to ensure it does not shift out of place. The new videos show how easy it is to use Chief’s holding system to create these anchoring points.” Chief’s F-150 holding system adapters work with its Structural Holding Package and F.A.S.T. An-
choring System bases. The adapters include rigid cab mounts, pinch weld brackets and running board fixtures. All contents of the F-150 holding system come mounted on a rolling cart for convenience. The videos include demonstrations of how to temporarily replace the F-150’s rubber cab mounts with rigid mounts. This locks the cab to the frame, preventing it from flexing during the repair. Additional videos show how to position anchoring points along the F-150’s cab flange, and how to use the truck’s running board mounts to create a holding point that will leave no marks on the vehicle’s exterior. Chief’s new video series also includes a video that shows how to set up the Universal Structural Holding (USH) Clamp System, which enables technicians to use the Structural Holding Package on frame racks with non-rectangular tie-downs. To watch the video series or learn more about the Structural Holding Package, visit www.chiefautomotive.com/Fixture-Holding/Structu ral-Holding. Additional videos are available at www.chiefautomotive .com/video-library.
56 DECEMBER 2015 AUTOBODY NEWS | www.autobodynews.com
ing Riverdale Body Shop, Central Collision and Loro Auto Body as it looks to bring the area a streamlined and consistent high quality collision repair experience. “CARCARE has built its business by promising the highest quality repairs coupled with outstanding customer service,” Jim Missig, CARCARE Owner and Chief Administrative Officer. “Through partnering with Service King we are able to continue to fulfill that promise, while at the same time providing the opportunity for our very own teammates to grow in the industry. This is truly a perfect fit our team, and I’m personally excited to see its positive impact across all facets of our business and the customers we serve.” CARCARE has served the Chicago area since opening its first location under its current name in 2001. CARCARE consistently ranks among the top-10 collision repair centers in the U.S. according to AutoChex, the leading provider of in-depth customer satisfaction ratings for the collision repair industry. For more information on Service King and to view a complete list of locations and services, visit www.Service King.com
CARSTAR CEO Makes Unique Bet with Franchisee President
CARSTAR Auto Body Repair Experts CEO David Byers made a unique bet on this Major League Baseball playoffs—that the Kansas City Royals would persevere against CARSTAR Collision and Glass Service president Michael Macaluso’s Toronto Bluejays. The Royals pre-
(l to r) David Byers and Michal Macaluso
vailed, so Macaluso had to don a Kansas City Royals jersey at the SEMA Show in November, and donate $500 to Make-A-Wish Foundation in CARSTAR Auto Body Repair Experts’ name. “With CARSTAR headquartered in Kansas City and CARSTAR Canada located in Hamilton, Ontario (near Toronto) there was a lot of excitement leading up to the ALCS showdown between our hometown teams,” said Byers.
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www.autobodynews.com | DECEMBER 2015 AUTOBODY NEWS 57
Determining Values for Total Loss Vehicles Often Complicated and Controversial by Stacey Phillips, Assistant Editor
Earlier this fall, Autobody News talked to Robert McDorman from Vehicle Value Experts about total loss evaluations. Based in Vidor, Texas, McDorman works as a third-party appraiser, negotiating with insurance companies to receive higher amounts for consumers whose vehicles are deemed total losses. Following that news coverage, we reached out to several insurance companies as well as market valuation companies to learn how total losses are determined and how prices are set. All declined to be interviewed. “There are over 3.5 million vehicles deemed total losses each year in the United States,” according to Insurance Auto Auctions (IAA). “Since 1997, this number has grown significantly, mostly due to vehicle manufacturing changes and improvements including air bags.” Established in 1982, IAA is a salvage vehicle auction company with more than 165 auction locations. Twice a year, IAA releases an industry report that analyzes and interprets major industry trends, as well as the industry’s response to the economy.
The findings help IAA analyze the salvage vehicle market. The six indicators they use include: crushed-car price index, metal prices, vehicle parts and equipment prices, used-car price index, U.S. dollar index and an index of foreign buyers. “IAA collaborates with sellers to facilitate the sale of vehicles deemed total losses,” according to IAA’s web-
“There are over 3.5 million vehicles deemed total losses each year in the United States,”
—Insurance Auto Auctions (IAA)
site. “When a vehicle comes to IAA, its experts have a detailed process to inventory the vehicle, prepare it for auction, and load it for transport once it’s sold. IAA’s efforts to provide a vast network of local, national, and international buyers ensure that vehicles sell quickly and for the best possible price.” Autobody News contacted the Insurance Information Institute (I.I.I.), a New York City-based consumer education organization that is funded by the insurance industry. “Most standard auto policies will not pay to repair a vehicle if the repairs cost more than the cash
Valspar Features Celebrity Appearances at SEMA
Valspar Automotive provided SEMA attendees a chance to meet, greet and take home the autograph of one or two reality television show celebrities at this year’s SEMA Show.
Valspar’s Custom brand, House of Kolor (HOK), hosted Richard Rawlings and John D’Agostino on Tuesday Nov. 3. Rawlings, owner of Gas Monkey Garage and star of from the Discovery Channel’s Fast N’ Loud, posted up from 10:00 a.m. until 11:30 a.m., and D’Agostino, owner of Celebrity Customs, visited from 2 to 3 p.m. HOK’s creator, famed Jon Kosmoski, also made appearances throughout the show. Danny “The Count” Koker, Kevin Mack and Ryan Evans, stars of the History Channel’s hit television show Counting Cars were in Valspar’s Refinish booth Thursday, Nov. 5, from noon to 2 p.m. The cast autographed limited-edition posters and took pictures with fans. “SEMA is an incredible place to connect with new and long-time customers,” said Valspar Marketing Director, Laura Yerkey. “We wan-ted
value assigned to the car,” said Michael Barry, vice president, media relations of I.I.I. “For you to get a settlement higher than the book value of your car’s make and model, you will have to submit evidence such as mileage records, service history and affidavits from mechanics to show that your car was worth more. You’re entitled to the market price of
to create memorable experiences for everyone who stopped by one of our booths while also showing off our newly expanded family of automotive refinishing and custom brands. “Whether it’s meeting with our celebrity lineup, checking out a mindblowing custom 1973 Buick Riviera, or
the car you just lost. You shouldn’t get more or less than what you are due.”
Vehicle Value Experts Case Studies After more than 25 years of working in the industry, McDorman began focusing on detailed valuations for consumers and body shops in 2013. “It is my contention as much as 50 percent of the total losses were totaled in error by the insurance companies,” said McDorman. “I work every day on overturning economic total loss claims and convincing the insurance company to repair the vehicle instead of totaling it out.”
McDorman wrote an in-depth review entitled “The Science of Risk” that outlines the economic impact of such actions from a body shop, lender and consumer position. “It is my adamant professional opinion based on factorial archived data, that the wrongful perceived value computation used by the market valuation firms at the direct instructions of the insurance industry on motor vehicles is the driving factor of economic total loss claims.” His study was based on a situation with Terry and Victoria Ceramis and State Farm Insurance. Terry and her daughter Victoria purchased a 2008 Dodge Avenger in 2013 from Martin Motors, located in Beaumont, Texas. McDorman said the car was above average, had a clean car fax and no accidents reported. State Farm Insurance issued full coverage insurance for the owners of the vehicle and ChrisDan Capital, the lender, against the potential loss and/or damage of the vehicle through March 2014. In January of that year Victoria was involved in an accident while driving the vehicle, of which she was at fault. State Farm estimated
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placing bids on fundraising items during our Artists 4 Education auction, I think everyone who stopped by grasped our core values and took home a good memory and maybe an autograph or two.”
58 DECEMBER 2015 AUTOBODY NEWS | www.autobodynews.com
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the repair costs at $6,375.30 and determined that the market value of the vehicle was $8,336.12. Subsequently, the insurance company notified Terry they were going to total the car. Terry contacted McDorman and said that she owed $16,951.43 on the car and she had no choice but to release the car back to ChrisDan Captital dba Martin Motors and walk away from her investment in the vehicle. McDorman conducted a market evaluation report and estimated the fair market value at $9,300. “State Farm should have repaired the Ceramis’ vehicle,” said McDorman. “Since State Farm solely chose to total out the Ceramis’ vehicle, they should have used a realistic fair market value to compensate all interested parties and they did not.” Danny Martin of Martin Motors has known McDorman for more than 25 years. “We used to be in competition with each other,” he said. “My son and I used to drive by his car dealerships and laugh about how many wrecked customer cars were in his storage lot. Little did we know these were insurance claims he was working on for his customers that he had financed.” Today, McDorman handles
all of Martin Motors’ insurance claims on his customer loan portfolio. “The benefit of doing the analysis has been staggering,” said Martin. “Prior to me employing Mr. McDorman a little over seven years ago to handle the wreck claims on our customer loans, Martin Motors was losing an average of $6,500 a loan on customers’ car loans we had financed that were in a wreck and subsequently totaled out.” He said they have reduced that number to an average of $3,300 per total loss
market settlement, which he said drastically cuts down repossession losses from vehicles that are totaled. Danny Smith also hired McDorman as a third-party appraiser to help with a 2005 Toyota Camry. His wife was hit by another vehicle and the damage seemed to be limited to the trunk area. S&W Paint and Body in Vidor, Texas evaluated the car, and told the Smiths the cost of repairs would be about $4,500. The other insurance company proposed the value at $5,100 with
“It is my contention as much as 50 percent of the total losses were totaled in error by the insurance companies,”
–Robert McDorman of Vehicle Value Experts
claim. Martin Motors averages three total loss transactions a month and an average of six collision damage claims a month on the cars they are the lien holder on. “I wish every lender in the industry could find out that they do not have to take the original offer of settlement from the insurance company,” said Martin. He said most lenders are not aware that the lender who is the loss payee of the collateral can hire a third-party appraiser to receive a fair
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a $1,500 salvage value, totaling the car. The Smiths purchased their car new and had driven it for more than 10 years. “It was in excellent condition and we were not ready to purchase another car with notes,” said Smith. “We felt there was no need to total the car and we really wanted to keep it.” The Smiths hired McDorman to conduct a market evaluation report. When the report was submitted to State Farm, the insurance company changed their evaluation to $7,800, which enabled the Smiths to re-
Duluth Auto Body and Insurance Executives in MN See Uptick in Deer Collisions by Kati Anderson
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pair the car. Smith said the evaluations “…offer the vehicle owner a choice in the matter to recover their valued loss instead of being dictated by insurance companies what they must do. It took into consideration every aspect of the car and its uniqueness instead of evaluating it with a dozen similar vehicles on the market. In this case, it proved it was of more value than those that were compared to it.” Autobody News contacted State Farm about these situations and total loss claims in general. “We handle each claim on its own merits and cannot discuss the specifics of our customer’s individual claim,” said Roszell Gadson, State Farm Pulic Affairs–Media Relations. “As an organization, we take pride in our customer service. We are committed to paying what we owe, promptly, courteously, and efficiently.” The following companies declined to be interviewed: CCC, Mitchell, Farmers Insurance and Germania Insurance. Autobody News will continue to follow this story and welcomes any information from the industry about total loss evaluations. Contact Stacey Phillips at sphillips@autobodynews .com.
Fall is the time of year when many Northlanders are getting out their guns or bows in hopes of harvesting a deer, but there’s another way people are killing the animal. According to the Minnesota Department of Public Safety there were 1,912 deer–vehicle collisions in the state in 2014. “You’re driving along and they just pop out in front of you,” said Nathanael Bailey, Production Manager at Arrowhead Auto Body. The Minnesota Department of Public Safety says the autumn months are the peak time for deer–vehicle crashes. Bailey says they are already seeing the end product. “I think right now we probably have four cars here that have hit deer, and it can vary. We can come in on a Monday morning and have three or four or five cars that have been towed in over the weekend,” he said. Last year, 247 people were injured in these collisions and one killed in Minnesota. If and when you find yourself
facing the decision to hit the deer or swerve, your insurance agent will always tell you it’s better to hit the deer. “If you willingly swerve your vehicle to miss the deer and you hit the tree, that’s a physical upset, meaning a collision loss and the col-
lision loss will be a chargeable accident on your driving record,” said Paul Johnsen, Account Executive at Otis-Magie Insurance in Duluth. Last year in St. Louis County there were 60 deer collisions, but the county that had the most accidents was Dakota County with 146 collisions. We would like to thank north landsnewscenter.com for reprint permission.
www.autobodynews.com | DECEMBER 2015 AUTOBODY NEWS 59
I-CAR® Announces Organizational Changes, Strengthening and Expanding the Leadership Team
I-CAR®, the Inter-Industry Conference on Auto Collision Repair, announced on November 2 several key organizational changes intended to further the vision and mission of the organization, serving the industry’s growing and evolving need for education, knowledge and related solutions. Nick Notte will shift from his current role as Director, Finance and Operations to the role of Director, Business Development. In this role, Notte will be responsible for the Collision Repair segment, the Field team and the Education segment, helping to align these connective key touch points under one leader that together serve I-CAR’s principal customer base: Collision Repairers. John Van Alstyne, CEO and President, provided insight into Notte’s role change, sharing, “Nick joined I-CAR in August and his immediate contributions brought new dimension to the leadership team, working to advance the vi-
sion of serving ‘every’ person in the collision repair industry,” Van Alstyne said. “Working closely with the Field organization, Nick has been contributing in numerous ways, while lending the breadth of his prior experience leading Sterling and other major industry organizations to help progress I-CAR’s sales and marketing program development. It became evident that Nick’s experience and capabilities would be very beneficial to advancement of the I-CAR vision across the Collision Repair segment; driving programs to inspire more shops to train, listening to and representing the voice of the repairer community, and helping to shape programs that better serve our customers. I am very pleased that Nick has taken on this new role.” Elise Quadrozzi has been promoted from Director, Segment Development for Insurance to Director, Business Development, with responsibility for ICAR’s Insurance and OEM segments,
Product Management and Segment Support including Customer Care. Quadrozzi joined I-CAR in January 2014 after serving two terms as Board Chair on the ICAR International Board of Directors and holding the position of Director of Claims for Houston International Insurance Group (HIIG). Quadrozzi’s contributions over the past two years have strengthened I-CAR’s relationships in the Insurance sector, as well as built support and program collaboration across segments. John Bosin, currently Director, Segment Development - OEM, has announced his retirement in the first quarter of 2016. I-CAR wishes Bosin all the best in the next phase of his life, and is excited to announce that he will be transitioning his responsibilities over the next few months to Mark Bochenek who joins ICAR today in the role of OEM Business Development Manager. Bochenek is an automotive industry sales and general management professional, most recently
with TTi Global, a large training firm that focuses on OEM training programs. Prior to TTi, Mark spent time in the technical staffing business and also service documentation publishing and distribution for large organizations like MSX and SPX – Valley Forge. I-CAR also announces the promotion of Keith Risley to the role of National Field Manager. Risley has held several Regional Manager positions with I-CAR as well as Claims leadership roles with Nationwide Insurance and Allstate, and he grew up in the industry working at his parent’s repair shop. Risley’s knowledge of the industry from both the collision repair and the insurer perspectives will serve him well as he helps I-CAR advance the Field ecosystem, improve segment support, expand segment engagement and evolve Committee programs. I-CAR welcomes and congratulates these team members on their new positions.
Aging Vehicle Fleet Continues to Create New Opportunity for Automotive Aftermarket, IHS Says The continued trend toward an older vehicle fleet presents unique opportunities for the automotive aftermarket, according to Mark Seng, global aftermarket practice leader for IHS Automotive, during a presentation to industry executives at the Automotive Aftermarket Products Expo (AAPEX) on November 4 in Las Vegas. Seng and other leaders from the aftermarket and commercial vehicle teams at IHS Automotive, part of IHS Inc. are taking part in the convention program this year. In the US, IHS Automotive anticipates the average light vehicle age will continue to rise but will do so more slowly than seen in the years following the 2008-2009 recession. While average age increased 15 percent from 20072014, it will increase only about 3 percent by 2020 from its current level of 11.5 years. This is roughly the same rate of increase that was seen in the five years prior to the recession. This also suggests the “sweet spot” for the aftermarket will reflect changes as well. Vehicles new to five years old will grow 24 percent by 2020, while vehicles 6-11 years of age will decline 11
percent and vehicles 12-plus years old will grow 15 percent, according to IHS estimates. The fact that these oldest vehicles are growing in number is a great trend for the aftermarket repair business. In fact, by 2020, there will be approximately 76 million vehicles in operation (VIO) that are 16 years old or older, up from just 35 million in 2002. “The aftermarket may need to begin thinking differently about the repair ‘sweet spot’ as vehicles age and consumer behaviors change. Success will require that businesses adapt to the evolution in a timely manner,” Seng said. “Nimble aftermarket organizations that embrace and prepare for the changes underway will have the greatest opportunity to succeed moving forward.”
VIO by the Numbers Global light vehicle population, or vehicles in operation (VIO), will experience substantial growth – 27 percent by 2021 – to 1.4 billion vehicles, according to IHS; and rise to two billion by 2040. VIO in the United States will also experience nice growth increasing in size by just more than 9 percent over the same
time period. This is driven by both the huge gains in new vehicle sales – expected to hit 17.3 million units in 2015 - and the fact that vehicles are simply lasting longer than ever before.
Vehicle Mix Shifting, Imports Gaining U.S. light vehicle sales continue to be dominated by compact CUVs, traditional mid-size sedans, traditional compacts and full-size pickups, which collectively represented more than 58 percent of new vehicle registrations in 2014. IHS Automotive expects the shift in favor of CUV designs to continue in the near term as well, while compact and mid-size sedans also maintain their dominance. In addition, the mix of domestic versus import vehicles in operation in the U.S. is shifting, with import cars now representing 27.3 percent share, while their light truck counterparts represent 15.7 percent, an increase of nearly 10 percent collectively since 2007. Domestic cars are down nearly two percent in the timeframe, to 37.4 percent of VIO, while domestic light trucks represent 19.6 percent share of VIO, down nearly 8 percent since
2007 gaining 4.3 percent share. This presents an opportunity for the aftermarket to build business strategies to service the growing numbers of import vehicles on U.S. roads. By 2020, IHS Automotive estimates imports will represent nearly 47 percent of the U.S. light vehicle VIO.
Global “Mega” Platforms Drive Opportunities The industry is looking forward to 100+ million sales by 2020, according to IHS Automotive forecasts. Additionally, by 2021, nearly 60 percent of light vehicle production is expected to be built on global platforms. OEMs are expected to double production volume per platform by 2021 as well, Seng said. This trend includes a shift to more modular architecture and standardized components across vehicles sold around the world. “Aftermarket suppliers must start planning now to understand global vehicle markets,” Seng said, “and identify where components will be the same and work to develop a global product and supply chain strategy to be competitive in the future.”
Four Collision Schools Awarded GEICO Grants Through Collision Repair Education Foundation
The Collision Repair Education Foundation announced the winners of GEICO’s collision school grants for 2015:
Cuesta College (San Luis Obispo, Calif.)
Eastfield College (Mesquite, Texas)
Monroe Tech Center (Leesburg, Va.)
Tidewater Community College (Chesapeake, Va.) Each of the winning schools applied for a grant from the Ultimate Collision Education Makeover program, and each will receive $5,500 to purchase items off their collision
60 DECEMBER 2015 AUTOBODY NEWS | www.autobodynews.com
tool, equipment and supply wish list from their application. The winners were named Nov. 3 at the Education Foundation’s industry reception held at SEMA in Las Vegas, Nev. “We are honored to support training in the collision repair industry,” said Bill DeGrocco, assistant vice
president of GEICO. “With the continued complexity of today’s automobile we recognize the importance of developing the appropriate skills, have the proper equipment and technical education in auto collision repair. GEICO is happy to support these schools.”
New Chief Videos Teach Proper 2015 Ford F-150 Anchoring, Available on Chief’s Website
Chief has developed six videos that show how to properly secure the new Ford F-150 to a frame rack for pulling or sectioning. The videos are part of Chief’s structural holding how-to series, and cover the components included in its F-150 aluminum cab holding system (P/N 30002). They can be viewed at www.chief automotive.com/Fixture-Holding /Structural-Holding and on Chief’s video library page. “Using Chief’s F-150 holding system, technicians can anchor the new aluminum-bodied truck in up to 10 locations,” says Richard Perry, Chief OEM and strategic account sales manager, and host of the videos. “This helps to distribute pulling pressure evenly, which reduces the chance that additional damage will be inflicted into the body during the repair. Multiple holding points are also needed to secure the vehicle during sectioning to ensure it does not shift out of place. The new videos show how easy it is to use Chief’s holding system to create these anchoring points.” Chief’s F-150 holding system adapters work with its Structural Holding Package and F.A.S.T. An-
choring System bases. The adapters include rigid cab mounts, pinch weld brackets and running board fixtures. All contents of the F-150 holding system come mounted on a rolling cart for convenience. The videos include demonstrations of how to temporarily replace the F-150’s rubber cab mounts with rigid mounts. This locks the cab to the frame, preventing it from flexing during the repair. Additional videos show how to position anchoring points along the F-150’s cab flange, and how to use the truck’s running board mounts to create a holding point that will leave no marks on the vehicle’s exterior. Chief’s new video series also includes a video that shows how to set up the Universal Structural Holding (USH) Clamp System, which enables technicians to use the Structural Holding Package on frame racks with non-rectangular tie-downs. To watch the video series or learn more about the Structural Holding Package, visit www.chiefautomotive.com/Fixture-Holding/Structu ral-Holding. Additional videos are available at www.chiefautomotive .com/video-library.
Assured Performance Co-Op Announces 2016 Board of Directors November 10, 2015
Assured Performance announced on November 10 their 2016 Board of Directors for their Co-Op entity. In accordance with their bylaws, the Co-Op Board of Directors is represented exclusively by body shop owners on behalf of over 3,000 collision repair businesses across the entire U.S that are official Co-Op Members. The Board includes the following industry notables: Brett Bailey, A&B CARSTAR - Midwest Region Kathy Mello, TGIF Body Shop, Inc. - Northern California Region Luis Alonso, Pan American Collision Center - Southern California Region Dusty Womble, Roger Beasley Collision - South Central Region Ron Reichen, Precision Body & Paint, Northwest Region Matt Parker, Parker Auto Body South East Region Dave Rush, D&M Auto Body - North East Region Paul Van Aken, Paul’s Quality Collision, LLC. - North Central Region Matt Thornton, Park’s Royal Body Works - Western Region These shop owners represent all regions of the country with hundreds of years of experience collectively. In-
dividually, they have shown themselves to be effective leaders in the industry and their respective markets. The Co-Op enables body shops to earn and receive rebates and special pricing on products and services such as Certified Rebate Reward Programs from participating auto makers along with various other vendors. These rebates and rewards help to create a funding mechanism for shops, helping with continuous improvements necessary for shops to be successful, and further invest in the critical business needs that shops are facing now and in the future. “We are proud that our Board represents the brightest minds and the best collision repair businesses across the country and look forward to their participation on our board to make our Co-Op and Certified Rewards programs the best service to shops in North America,” stated Scott Biggs, Chairman and CEO of Assured Performance. “These professionals have proven themselves through their past success, acute business knowledge, and leadership within the industry.” Participation in the Certified Rewards and rebate programs is restricted to official certified body shops.
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