May 2012 Western Edition by Autobody News

Western Edition California Nevada Arizona

YEARS

VOL. 30 ISSUE 4 MAY 2012

www.autobodynews.com ww ww.autobodynews.com

Collision Repair Industry v. Sacramento at the Annual ASCCA/CAA Legislation Day feedback about proposed legislation potentially impacting their businesses. Imagine the film “Mr. Smith Goes to “This is the one opportunity Washington” but with the title: “Body every year when we can meet with our Shop Owners Goe to Sacramento.” political representatives en masse and get our message out there,” ASCCA President Tracy Renee said. “We can influence these bills before they become laws and provide valuable feedback for our key decision makers. Most importantly, we can provide them with a look CAA members Shawn Said (left) and Randy Greenbelt met with into how we run our busiSenator Leland Yee (right) in his office at the State Capitol to nesses and all of the facdiscuss SB1460 and the organization’s opposition to it tors that can affect us and ASCCA/CAA’s Joint Legislative Day our livelihoods.” The hottest potato on the table at on April 18 at the State Capitol did not this year’s Legislative Day for the colhave the same cast as the 1939 classic lision industry was Senate Bill 1460, film, but the storyline seems familiar: The leading mechanical and collision known as the Automotive Repair Rerepairers in the state convene to take placement Parts Bill, introduced by See Legislation Day, Page 17 on the powers-that-be and provide by Ed Attanasio

IAL SPEC T ISSUE PAIN

REFINISH PAINT &

of 3 issues

OGIES

TECHNOL

BAR CHIEF Job Description— ● Oversee an agency with about 640 employees ● Oversee 5,177 registered body shops in California ● Manage an operating budget of about $188 Million ● Supervise a statewide network of 12 field offices

Who is JOHN WALLAUCH and how did he get to be the new Sheriff for California’s auto repair industry?

INTERVIEW by Ed Attanasio

see page 44 for interview

Paint Focused Articles in this issue... Standox® Partnership In Excellence (PIE) Member Conference .p. 6 AkzoNobel Holds Independent Distributor Conference . . . . . . . .p. 6 PCL Automotive Products Help Rich Evans Excel . . . . . . . . . . . .p. 23 Top Chicago Painter Prefers Preval’s vFan Airbrush . . . . . . . . . .p. 25 Airbrush Artist Shannon MacDonald Uses PPG Envirobase . . . .p. 20 Matrix Has World’s First Premium Low VOC Solvent Basecoat .p. 38 How Innovations Meet Needs and Adding Value for Customers .p. 50 Decade of Innovation Turns Paint Industry Upside Down . . . . . .p. 58

Change Service Requested

Collision Repair Estimates—Excellence Now Required . . . . . . .p. 52

P.O. BOX 1516, CARLSBAD, CA 92018

The Advantages of a Thin Paper Masking Tape . . . . . . . . . . . . . .p. 14

Presorted Standard US Postage PAID Ontario, Ca. Permit No. 1

2 MAY 2012 AUTOBODY NEWS | www.autobodynews.com

Contents

NATIONAL AAIA and ASE Recognize World Class Technicians . . . . . . . . . . . . . . . . . . . . . . . 22 AkzoNobel Holds North American Independent Distributor Conference in Boca April 24–26 . . 6 Another Lakeland, FL, Shop Files Breach of Contract Suit Against Progressive Insurance . . . . . . . . . . . . . . . . . . . . . . . . . . 4 Automakers Could Face up to $250M in Recall Fines . . . . . . . . . . . . . . . . . . . . . . . 34 Boyd Group Achieves Record Sales in 2011, Acquisitions . . . . . . . . . . . . . . . . . 36 CAPA Adds SF Insurance Executive to Board. 29 CARSTAR & Mitchell Inc. Join Efforts on Store Management . . . . . . . . . . . . . . . . . . 22 Chrysler Recalls Some 2012 Jeep Patriot And Compasses for Suspected Fuel Tank Flaws . . . . . . . . . . . . . . . . . . . . . . . . 34 Chrysler Recalls Some 2012 Town & Country and Dodge Grand Caravans for Machining . 34 CollisionPartsSource.com Platform Now Available . . . . . . . . . . . . . . . . . . . . . . . . . 36 Diamond Standard Says its Warranty Exceeds the OEMs . . . . . . . . . . . . . . . . . . 36 DOE to Accelerate New High-Tech Materials

PAINT SPECIAL

A Decade of Innovation Turns Paint Industry Literally Upside Down. . . . . . . . . . . . . . . . 58 Airbrush Artist Shannon MacDonald Uses PPG Envirobase to Bring Icons to Life on Vehicles and Just About Everything Else. . . . . . . . . 20 BASF Recounts How Innovations Meet Needs and Adding Value for Customers. . . . . . . . 50 Collision Repair Estimates—Excellence Now Required . . . . . . . . . . . . . . . . . . . . . 52 How Blended Nitrogen Improves on Dr. DeVilbiss’ Invention . . . . . . . . . . . . . . . 51 Matrix System Launches World’s First Premium Low VOC Solvent Basecoat . . . . 38 PCL Automotive Products Help Rich Evans Excel on Every Project He Touches . . . . . . 23 The Advantages of a Thin Paper Masking Tape . 14 Top Chicago Painter Prefers Preval’s vFan Airbrush for Mobility & Versatility . . . . . . . 25

Publisher & Editor: Jeremy Hayhurst General Manager: Barbara Davies Assistant Editor: Erica Schroeder Contributing Writers: Tom Franklin, David Brown, John Yoswick, Lee Amaradio, Rich Evans, Janet Chaney, Toby Chess, Mike Causey, Tom McGee, Ed Attanasio, Chasidy Sisk Advertising Sales: Joe Momber, Sean Hartman, Jay Lukes (800) 699-8251 Sales Assistant: Kristy Navarro Art Director: Rodolfo Garcia

Audi Wholesale Parts Dealers . . . . .46 Automotive ID . . . . . . . . . . . . . . . . . .10 BMW Wholesale Parts Dealers . . . .45 California Superstores . . . . . . . . . . .21 Chief Automotive . . . . . . . . . . . . . . .31 Classifieds . . . . . . . . . . . . . . . . . . . .62 Completes Plus . . . . . . . . . . . . . . . .12 CSS USA, Inc. . . . . . . . . . . . . . . . . .18 Downtown Motors of LA (Audi, VW, Porsche) . . . . . . . . . . .19 Drew Hyundai . . . . . . . . . . . . . . . . . .6 DuPont . . . . . . . . . . . . . . . . . . . . . . . .5 Elk Grove Toyota . . . . . . . . . . . . . . .42 Enterprise Rent-A-Car . . . . . . . . . . .57 Equalizer Industries . . . . . . . . . . . . .42 Ford Wholesale Parts Dealers AZ, CA, & NV . . . . . . . . . . . . . . . .39 G & C Auto Body . . . . . . . . . . . . . . .35 Galpin Motors . . . . . . . . . . . . . .29, 37 Garmat USA . . . . . . . . . . . . . . . . . . .12 Glenn E. Thomas Chrysler-JeepDodge . . . . . . . . . . . . . . . . . . . . .15 GM Wholesale Parts Dealers . . . . . .48 Honda-Acura Wholesale Parts Dealers . . . . . . . . . . . . . . . . . .32-33 Hyundai Wholesale Parts Dealers . .53 Innovative Tools & Technologies . . .17 Kearny Mesa Subaru-Hyundai . . . . .28 Kia Motors Wholesale Parts Dealers .47 Levan Group, Inc. . . . . . . . . . . . . . . .4 LKQ . . . . . . . . . . . . . . . . . . . . . . . . .63

Serving California, Nevada and Arizona, 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. ©2012 Adamantine Media LLC. Autobody News P.O. Box 1516, Carlsbad, CA 92018 (800) 699-8251 (760) 721-0253 Fax www.autobodynews.com Email: news@autobodynews.com

Western

COLUMNS Attanasio - John Wallauch INTERVIEW. . . . . 44 Franklin - “Power Babes” Throw a Successful Event . . . . . . . . . . . . . . . . . . . 12 Mainstream Media - Complaints Lead to Arrest of Ohio Car Restoration Business Owner. . 60 Nigro - Reaching Beyond Traditional Advertising to Engage Your Customers . . . 54 Schroeder - CAA San Diego Chapter Meeting Goes Nuts Over Efficiency . . . . . . . . . . . . 46 Sherosky - Aluminum Stock—A Long-Term Auto-Related Opportunity? . . . . . . . . . . . . 30 Sisk - SCRS Weighs In on State Farm Parts Ordering Program. . . . . . . . . . . . . . . . . . . 10 Weaver - “GI—Think Like a Mechanic!” . . . . 35 Williams - Nevada’s Henderson Chevrolet. . . 61 Yoswick - Standards Program in the U.K. Offers Lessons for the U.S.. . . . . . . . . . . . 43

for Autos . . . . . . . . . . . . . . . . . . . . . . . . . 42 Enterprise Elite Service Partner Program Launches . . . . . . . . . . . . . . . . . . . . . . . . 29 Farmers Recognizes Caliber Collsion as MSO of the Year . . . . . . . . . . . . . . . . . . . . 36 Gunder’s Receives Settlement Payments from Three Insurers, Files Suit Against Travelers . 10 Insurer Report Card in Oregon Ranks State Farm #1, Farmers and GEICO Replace Allstate at Lowest Rank . . . . . . . . . . . . . . . . . . . . 40 Iowa Collision Repair Centers Raise $1,329 for Charity . . . . . . . . . . . . . . . . . . . . . . . . 14 LKQ’s ‘Promise of Protection Program’ has Launched . . . . . . . . . . . . . . . . . . . . . 42 Mike Orso Launches $3 Million Suit Against Three Insurers, Citing Capping and Shorting . 4 MN Court Awards $157K in Progressive Ins. Underpays . . . . . . . . . . . . . . . . . . . . . . . . 22 Mopar Division Introduces First In-Vehicle Wireless Charging . . . . . . . . . . . . . . . . . . 34 NHTSA Proposes Standard for Brake-Throttle Override . . . . . . . . . . . . . . . . . . . . . . . . . . 34 Oregon Body Shop Steps Up to Help Student’s Project Destroyed by Vandals, Assistance Helps him Graduate . . . . . . . . . . . . . . . . . 57 OSHA Publishes Final “Right to Understand” Rule . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 42 Pennsylvania’s Keenan Auto Body’s Jingle Contest . . . . . . . . . . . . . . . . . . . . . . . . . . 16 Peter Vann Joins Urethane Supply Company Sales Team . . . . . . . . . . . . . . . . . . . . . . . 29 Registration for SEMA 2012 is Now Open for Attendees . . . . . . . . . . . . . . . . . . . . . . 29 Rich Evans CoSponsors Fundraiser for Baby Cancer Foundation . . . . . . . . . . . . . . . . . . 56 Standox® Partnership In Excellence (PIE) Member Conference Gives Industry Trends Insight, Human Resources & Marketing . . . 6 Study Says EVs Cost $1200 Less to Run . . . 34 VW Names OEConnection as Collision Program Provider . . . . . . . . . . . . . . . . . . . 42 Women’s Industry Network Adds New Boardmembers . . . . . . . . . . . . . . . . . . . . 22

Melanie Anderson joined the Autobody News editorial team in April, 2012 as Assistant Editor. She received her Journalism degree from Humboldt State University and has been a professional writer for more than 20 years. Her background includes working as a newspaper reporter, a freelance writer and as a public relations and marketing communications professional. Melanie recently re-located back to San Diego county after Jay Lukes joined the Auhaving raised two kids in northern California. She tobody News sales and maris very happy to be back in the area. For fun, keting team in April, 2012 as a Melanie enjoys travel, photography, explorRegional Sales Manager. Originally ing locally, gardening and spending time from the Chicago area, he has spent with family and friends. If you have a the last 25 years in Southern California. story idea, please contact her at He has worked in the marketing and adver(800) 699-8251 or email to tising community since graduating from Cal manderson@autoboPoly San Luis Obispo and enjoys the relationships dynews.com. he builds with his clients. Jay’s most recent position was coordinating ad sales for Google’s online clients. When he’s not working, Jay likes spending time with his family, Notre Dame Football and traveling, preferably to Cabo San Lucas. He’s also an avid sailor having boated everywhere from Lake Michigan to Panama. Call Jay about an ad in any of our editions, or just to say “Hi” at 800699-8251 or email jlukes@autobodynews.com

Indexof Advertisers

REGIONAL CAWA and ASCCA Find Common Ground at Annual Aftermarket Industry Summit . . . . 26 Collision Repair Industry v. Sacramento at the Annual ASCCA/CAA Legislation Day . . . 1 Former MLB Pitcher, Now Motivational Speaker, Engages East Bay CAA Members . . . . . . . . 8 Fremonts Auto Body and Maaco Donate Complete Paint Voucher to Washington High School . . . . . . . . . . . . . . . . . . . . . . . . 7 Gyant Compliance’s New ‘Vocwebmanager Application . . . . . . . . . . . . . . . . . . . . . . . . . 7 Mossy Toyota Collision Center Hosts SkillsUSA. 59 Poway, CA, Navy Veteran Has Vehicle Painted to Honor Troops . . . . . . . . . . . . . . . . . . . . 14 Tiny Community of Heber-Overgaad Gets its Own Body Shop. . . . . . . . . . . . . . . . . . 62

New Talent to Serve Readers Better at Autobody News

Mazda Wholesale Parts Dealers . . .60 MINI Wholesale Parts Dealers . . . . .54 Mitsubishi Wholesale Parts Dealers .58 MOPAR Wholesale Parts Dealers . .27 Moss Bros. Chrysler-Jeep-Dodge . . .9 Nick Alexander BMW . . . . . . . . . . . .13 Nick Alexander MINI . . . . . . . . . . . .64 Nissan/Infiniti Wholesale Parts Dealers . . . . . . . . . . . . . . . . . . . . .50 PCL Automotive . . . . . . . . . . . . . . . .22 PPG . . . . . . . . . . . . . . . . . . . . . . . . . .2 Pro-Spray . . . . . . . . . . . . . . . . . . . . .11 Rare Parts Inc. . . . . . . . . . . . . . . . . . .8 RBL Products, Inc. . . . . . . . . . . . . . .36 Replica Plastics . . . . . . . . . . . . . . . .55 Riverside Metro VW-Honda-HyundaiNissan-Mazda . . . . . . . . . . . . . . .41 Safety Regulation Strategies . . . . . .26 SATA Spray Equipment . . . . . . . . . . .7 Shingle Springs Nissan-Subaru . . .40 Sierra Chevrolet-Honda-MazdaSubaru . . . . . . . . . . . . . . . . . . . . .16 Solution Finish . . . . . . . . . . . . . . . . .56 Subaru Wholesale Parts Dealers . . .49 Timmons VW-Subaru . . . . . . . . . . . .30 Toyota Wholesale Parts Dealers . . .61 VeriFacts . . . . . . . . . . . . . . . . . . . . . .43 Volkswagen Wholesale Parts Dealers .52 Volvo Crash Wholesale Dealers . . .59 Weatherford BMW . . . . . . . . . . . . . .24

www.autobodynews.com | MAY 2012 AUTOBODY NEWS 3

Mike Orso Launches $3 Million Suit Against Three Insurers, Citing Capping and Shorting by Kyle Mallory Leif’s Auto Collision Centers, Oregon

A long-established New York auto body shop owner who has successfully won over $1 million from insurance companies announced recently lawsuits seeking nearly $3 million from the trio of State Farm, Allstate and Adirondack Insurance. Mike Orso, the president of Nick Orso’s Body Shop of Syracuse, New York, is suing the insurers for a variety of reasons, including shorting the shop on payments and the continued battle of OEM (original equipment manufacturer) vs. aftermarket parts. “In a few words I can sum of these suits,” Mike said in a press release. “Capping and short payments,” before adding “the longer version, by and large, they consist of ‘shorting’ or ‘capping’ of labor rate, paint materials per itemized PaintEx, ‘Data base P-page’ denials, omissions, and a host of arbitrary caps. Some of the caps are related to clear coat labor and materials or refusal of necessary body shop materials. Some itemized deficiencies are for parts cost, OEM vs aftermarket and used parts that we refuse for relevant reasons.” The tactics Mike is suing over, unfortunately, aren’t dissimilar from what Leif’s Auto Collision Centers sees in its Oregon shops. Both Orso and Leif Hansen see the same “deny, delay, defend” protocol from a myriad of insurance companies. Like Orso, Leif sees a problem with some insurers refusing to pay certain labor rates, which is why he recently had an independent survey conducted to verify his prices were well within the market. Indeed they are. Orso is fed up with seeing these same tactics over and over again and isn’t afraid to head to court seeking remedy. “We keep seeing the same nonsensical issues over and over it’s ridiculous,” he said. “I think this going on more and more because the shops don’t push back or… appraisers keep dictating the same nonsense over and over in shops everyday everywhere. After a while it becomes the normal practice. Some shops have never known it differently. We’re told it’s ‘market price’ that sets rates and fees. We think it’s the allocated and dictated rates and fees that set the market price. I’m sorry to let the cat out of the bag but not all

shops are the same.” As dealing with insurers is often times cumbersome, Orso has an inhouse attorney to deal with lawsuits. In a 2010 appeals suit vs. Adirondack— a lower court ruled Orso didn’t have standing to sue for recover due to policy restrictions on assignments— Onondaga County Supreme Court Judge William D. Walsh reversed the lower court’s ruling, affirming that by law, assignments of claim proceeds on post-lost assignments are indeed allowed under NYS law regardless of policy language. Orso’s in-house attorney, Joseph Talarico Jr. said lots of money was spent on the court process. “Mike spent big bucks to file that appeal,” Talarico said. “There is a lot involved in preparing an appeal but he knew a lot was at stake. It was clear the insurance side knew the potential also based on the effort expended trying to defeat us. By winning Mike cleared the way for himself and others to use the assignment process.” The assignment process is important because, as Orso points out, it allows a person with knowledge to negotiate a car’s repair settlement. “We are willing to negotiate if authorized,” Orso said. “If Orso’s handles the loss and negotiates, it’s because most consumers don’t have the time or expertise to pursue collection on their own.” While lawsuits with insurance companies who continue these practices isn’t ideal for Orso, he notes the alternative simply isn’t sustainable. “No one likes to go this route, it’s expensive and time consuming but the cost of doing nothing as you can see by the numbers is unsustainable.” “I didn’t wake up one day and say ‘I think I’ll fire off a few lawsuits,’” Orso continued. But, he mentioned the importance of pleasing the customer, making sure they have up-to-date equipment to handle repairs and keeping up-to-date with environmentally friendly products. “Right now we’re looking into installing two new energy efficient spray booths,” he said. As Orso explains, he’s in the business to make money, and what he’s seeking from insurance companies is that they adhere to the law and stop with the endless deny, delay, defend tactics. “Interesting, we’re finding insurance attorneys and deposed claims per-

4 MAY 2012 AUTOBODY NEWS | www.autobodynews.com

sonnel are stating that appraisers in the field DO HAVE authority to settle claims and negotiate,” Orso said. “We all know that’s not what shops hear or experience every day. We

notify every company of deficiencies in writing. Some requests are disregarded or responded to late by the same repeat offenders. You know who they are.”

Another Lakeland, FL, Shop Files Breach of Contract Suit Against Progressive Insurance Paul Hawks, owner of Bernie’s Body Shop in Lakeland, Fla., is using a limited power of attorney signed by

his customer and has filed a breach of contract suit against Progressive Insurance Co. on behalf of his customer, a Progressive policyholder who asked that his name be withheld. The lawsuit is the results of the

nation’s fourth largest personal auto insurer’s refusal to pay for repair related body materials. The insurer’s position is that body materials are not compensable because they are part of a repairer’s “cost of doing business.” “It’s most unfortunate that a repairer must take these legal steps but the under-payments and non-payments are continually increasing as insurer’s squeeze consumers and their repairers,” Hawks said. “I’m sick of being intimidated by insurance companies. While rent, lights, advertising and such are (the cost of doing business) body materials are not.” Hawks’ shop is in Lakeland, the same city where Gunder’s Auto Center is located. (See p. 10 this issue.)

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www.autobodynews.com | MAY 2012 AUTOBODY NEWS 5

AkzoNobel Holds North American Independent Distributor Conference in Boca April 24–26 AkzoNobel Automotive & Aerospace Coatings Americas (A&AC) is putting the final touches on the upcoming 2012 North American Independent Distributor Conference to be held April 24 to 26, at the Boca Raton Resort & Club in Boca Raton, FL. For network members this gathering represents one of the industries most anticipated and longest running distributor association events. Automotive paint and supply distributors from across the U.S. and Canada will rally together under the event’s “Win Forever—Always Compete” theme for three action-packed days of innovative workshops, exciting new product launches and training opportunities. Each element of the program has been designed with the goal of providing attendees’methods to better support the growth and profitability of the network of collision repair centers which they support throughout North America. “Many of our distributors have been part of the AkzoNobel family since we came to North America in the early eighties’ with our then innovative SIkkens Mixing Machine concept”, said AkzoNobel

A&AC General Manager, Margret Kleinsman. “These same distributors have been instrumental in keeping us aligned with industry needs, selecting body shops that were eager for the innovation we delivered, and in turn helped us introduce new product lines.As a result of our close working relationship and our mutual understanding of the value of all parties in the repair chain, we have been successful in getting the right Color Solutions and Repair Support Services to our valued body shops customers.This conference will provide information on new tools and products to be launched in 2012. Most importantly, it will provide the platform for the co-generation of future products and services to further improve our joint support to the collision repair Industry.” In addition to the array of products and services to be found at the conference this year, industry leaders such as 3M, SATA, Dedoes and Summit Marketing Group, will participate in a special Opportunity Fair, where attendees will have the benefit of viewing current and upcoming product introductions and supporting services.

Standox® Partnership In Excellence (PIE) Member Conference Gives Industry Trends Insight, Human Resources & Marketing Standox® recently hosted its 2012 Standox® Partnership In Excellence (PIE) Member Conference in Maui, HI, for collision center PIE mem-

Keith Sena, Standox® Brand Manager

bers from the United States and Canada. The PIE Program is a business partner with Standox® customers, maintaining a shared goal to achieve a sustainable competitive

advantage, through quality networking, innovative marketing and intelligent programs. Member benefits include Member Conferences, Training Programs, Strategic Partner Relationships, Business Council Membership and Bowtie Bucks Rebate. The meeting was held at The Ritz-Carlton, Kapalua on the island of Maui and gave PIE members the opportunity to network and learn from each other in a relaxing environment. The conference is an excellent forum for collaboration and networking among the collision center owners and managers who attend. Attendees also can take the knowledge they gain from conference sessions and from their peers, back to their collision centers, inspiring their future business decisions. Opening the conference were industry experts Greg Horn, See PIE Conference, Page 31

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Fremonts Auto Body and Maaco Donate Complete Paint Voucher to Washington High School Maaco Auto Body and Paint in the Fremont, Newark and Union City areas, is donating a complete car paint voucher to Washington High School. The paint job will be raffled during the school’s Ninth Annual Car Show to raise money for tools and equipment needed by the school’s auto shop department. “The first year we sponsored Washington High’s car show, we thought it was a nice thing to do for the kids and the community,” Frank Barnard of Maaco Auto Body and Paint said. “I didn’t expect it to be big or very interesting, but I had the best time. The kids and Doug Natale do an incredible job organizing the event, and the cars that get displayed are fantastic. You can expect a bit of everything from old classics to wildly modified hot rods to modern cars with outrageous engines, sounds systems, you name it.” Organized by students and automotive technology instructor Doug Natale, the event will close out the school year and will display student

automative projects on May 12, from 7 a.m. to 4 p.m. “The event has grown to be a significant car show in the region,” Barnard said. “Scores of vehicle owners come from all over the San Francisco Bay Area to display classic cars, hot rods, motorcycles and trucks.” Registration costs $20 for cars or motorcycles, and $7 for bicycles, plus two cans of food per vehicle. Registration continues from 7 a.m. until 3 p.m., and there is no early registration. Participants at the car show will have the chance to win great prizes, such as gift baskets, raffle items and certificates--all while supporting good causes. The school partners with the Tri-City Homeless Shelter and Mission Valley ROP (Regional Occupational Program). For more information about the event or any of Maaco Auto Body and Paint’s services, call 510-745-9770, view the shop on the web at www.fremont-maaco.com or visit 37414 Centralmont Place in Fremont.

Gyant Compliance’s New ‘Vocwebmanager’ Application

Gyant Compliance, a division of Gyant Group, a Lake Forest, CA, based company, announced Feb. 9 that it has launched a New VOCWEBMANGER Application for the Collision Repair Industry. “Gyant Compliance developed VOCWEBMANGER due to experiencing first-hand challenges of compliance that McLaren Unibody, my father in law’s old shop had faced with AQMD,” said Jon Gypsyn, CEO. ”I witnessed auto body shops struggling with tracking VOC’s, expiring permits, keeping up with new regulations, getting fines for being over their VOC limits, and scrambling for product last minute with no central system for all of their environmental needs,” Gypsyn continued. “It took three years to develop the VOCWEBMANAGER web application, and there were several considerations in the development of the VOCWEBMANAGER,” said Mike Ramirez. “It needed to be web based so that there would not be a need for extra equipment, or interference with existing software programs. It had to be user friendly for the painter to operate. The painter adds the usage amount, and with a click the VOC’s

are automatically calculated and populated into reports. It needed to keep track of inventory and send an email alert when the shop was low on product and allow them to order with a click. It had to alert the shop when they were nearing VOC limits or when permits were expiring. It needed to store MSDS and technical data sheets, and be able to update owners on new regulations that affected their business with access anywhere at any time. In other words, it needed to be the compliance and inventory tracker all in one place and that’s exactly what the vocwebmanager accomplishes, added Ramirez. Gyant is an environmental compliance company focused on emissions tracking, reporting and carbon footprint management. The company operates and maintains a web-based VOC and CO2 Monitoring & Tracking System to assist clients in complying with governmental regulations and guidelines. The web application also complies with COSHH, HAPS, and HSE regulations. VOCWEBMANAGER streamlines monitoring and reporting in real time at any time. For more information contact: amclaren@gyantgroup.com

www.autobodynews.com | MAY 2012 AUTOBODY NEWS 7

Former MLB Pitcher, Now Motivational Speaker, Engages East Bay CAA Members by Ed Attanasio

In a tough industry full of trials and tribulations, body shop owners are very susceptible to stress and burnout. If they’re not encountering issues with customers, insurance companies, vendors and/or employees, they have to worry about things like their cycle times and car count. It’s a never-ending struggle just to earn a Best-selling author buck and make their and renowned motivational payroll every week speaker Mike in this ever-changRobbins was the ing business. featured presenter And that’s why it at the EB-CAA’s was refreshing when monthly meeting the East Bay Calion March 20th fornia Autobody Association (EB-CAA) Chapter featured an inspirational speaker at its monthly meeting held on March 20th at Scott’s Seafood restaurant in Walnut, Creek, Calif. Sponsors for the evening were LKQ, Diamond Standard Class AAA Safety Parts and Enterprise Rent-A-Car. Best-selling author/motivational speaker Mike Robbins was the featured guest and presenter of the evening. His first book, Focus on the Good Stuff, reached #4 on the Amazon bestseller list, and his latest book, Be Yourself, Everyone Else is Already Taken, reached #17 on the Amazon bestseller list Robbins and his work have been featured on ABC News, the Oprah radio network, in Forbes, Fast Company, and the Washington Post, and on over 500 radio and TV shows in North America. He is also a regular contributor to Oprah.com and the Huffington Post.

CAA Executive Director David McClune (left) and this year’s CAA President David B. Picton (G & R Body & Paint) were there for the EB-CAA’s March monthly meeting

As a former professional baseball player in the Kansas City Royals organization, Robbins’s sports career was on track for stardom in the major leagues until he suffered an injury that

ended his playing days instantly when he blew out his pitching arm. Through the healing power of appreciation and authenticity, as well as his own personal journey of self discovery, Robbins was able to move beyond the injury to find more meaning and purpose in his life, he said to the approximately 60 EBCAA members in attendance. Robbins has worked with clients such as Google, the San Francisco Giants, Wells Fargo, the US Department of Labor, Apple, Chevron, the State of California, New York Life Insurance, Genentech, the Gap, Stanford University, Adobe, Banana Republic, the Arizona Diamondbacks, Kaiser, UC Berkeley, AT&T, The Atlanta Braves, Sutter Health, The Vancouver Canucks, US Bank, and many others. In a nutshell, Robbins’ message was: 1) People need to be more authentic 2) Be appreciative and show it and 3) Hey—quit complaining!

From left, Margo Brough (Premier Wholesale Parts) and Annie Thompson (Walnut Creek Toyota) enjoying the show at the EB-CAA’s monthly meeting

About authenticity, Robbins said, “If you want to be a true champion in your life, be 100% real all the time. If you’re afraid to tell people the truth, try it sometime and you will discover that it’s empowering. Many people massage the truth and it breaks down relationships and can lead to big problems. Why do people lie? Because they’re scared of losing business or being embarrassed, among other reasons. But if you can be totally authentic all the time, your life will change. Be real with your spouse, friends and employees. Sometimes it might result in a 10minute sweaty palm conversation, but in the end both parties will feel better and respect each other more.” Robbins’s second point was to appreciate your life and the people around you and show it every day. “Acknowledge your employees for their work and let them know that you appreciate their hard work. Many employers don’t want to pass out the praise, because they feel as though their employees will get

8 MAY 2012 AUTOBODY NEWS | www.autobodynews.com

complacent, but just the opposite will take place. And also humbly receive praise when people show appreciation to you. Many individuals can’t take praise, so they deflect it or re-direct it. Being authentic includes accepting praise as well as distributing it.” And lastly, Robbins said stop complaining all the time. “In this culture,

control: 1) Our attitude 2) Our effort and 3) Our perspective. So, why complain about things we can’t control? Complaining is highly counterproductive, so concentrate on breaking that cycle.” After his presentation, EB-CAA members asked Robbins a series of questions and then new Chapter President Tiffany Cichon-Silva made announcements and talked about upcoming events sponsored by the organization. Notable dates include May 22, when the EB-CAA’s monthly dinner meeting at Scott’s will feature Richard Forness, an industry writer who will talk about the future of the collision repair EB-CAA Officers for 2012, back row, from left: business, sponsored by AudaJack Sandri (Dublin GMC, Cadillac) and Mike Govette tex. Also, on June 2nd, the (Finishmasters in Concord); Middle row: Trish Pickens EB-CAA will host its 26th an(Audatex); Peter Lock (Contra Costa College); Greg Decker (California Color Source) and Tiffany Cichon-Silva nual golf tournament at Diablo Creek golf course in (Accurate Auto Body). Front row, from left: Gigi Walker Concord, California. On July (Walker’s Auto Body & Fleet Repair); Kathy Mello (TGIF Body Shop) and Lisa Daves (D & S Body Shop) 24th, there will be a summer we’re chronic complainers,” he exbarbecue at the PPG Training Center, plained. “If you’re busy being a victim, where Aaron Schulenburg with the Soyou can’t be the victor. There are a lot of ciety of Collision Repair Specialists things in life we can’t change, but we can (SCRS) will be the featured speaker.

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www.autobodynews.com | MAY 2012 AUTOBODY NEWS 9

Northeast News with Chasidy Rae Sisk

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

SCRS Weighs In on State Farm Parts Ordering Program In early 2012, State Farm began testing PartsTrader, an online parts-ordering/bidding software program developed by a New Zealand firm. Tests began in select shops in Tucson, AZ and Birmingham, AL. SCRS Executive Director, Aaron Schulenburg, spoke about State Farm’s parts bidding program at the CCRE Legal Seminar in Philadelphia, PA, on Friday, March 30. He urged shop owners to “explore how such programs will impact their business and to be vocal about their concerns. Our industry is not obligated to say ‘yes’ to every program put in front of us, especially if there are ramifications that have the potential to affect your businesses profitability and productivity.” State Farm first began testing a parts-ordering program with DRP shops in California and Indiana in 2007–2009. Auto manufacturers granted State Farm a parts discount through the electronic parts-ordering program. In April 2011, the insurance company released an online video discussing future parts-ordering initiative. As parts sales represent 33% of the collision industry, or around $10 billion annually, it is no surprise that insurance carriers seek control over the parts procurement process. An article in “Insurance and Technology” in

April 2011 references a report by Stephen Applebaum and the Aite group which states “State Farm is leading the way to greater control of the auto repair procurement process with its announcement of a new electronic parts-ordering initiative.” The question shop owners should ask is: do you want the insurance company to have greater control over parts procurement? When State Farm began testing in Arizona and Alabama early this year, they sent a letter to their parts suppliers stating that all repairers in the Select Service program have agreed to use their automated replacement parts system and will be required to use PartsTrader. Their letter also claims that “suppliers registered with PartsTrader will have the ability to provide competitive pricing on the entire parts order through the quoting process which may provide opportunities to increase sales volumes.” Repair facilities received communications regarding the electronic parts ordering and workflow process which begins with writing an estimate and uploading it to PartsTrader which will pull the parts list before shops forward the quote request to the part suppliers in the program. Once the quotes are received, sometime later, shops can review the

Gunder’s Receives Settlement Payments from Three Insurers, Files Suit Against Travelers Gunder’s Auto Center of Lakeland, Fla., has received settlement payments from State Farm, 21st Century and Security National for processes and materials Gunder’s says they previously refused to pay. On behalf of and at the request of his customers, owner Ray Gunder filed legal complaints against 21st Century and Security National. Last week, Gunder’s received notice that both had agreed to pay charges for previously denied items including paint and materials, parts return fees, and miscellaneous processes and procedures necessary to perform proper repairs. They also agreed to pay all legal costs and attorney’s fees, which

amounted to $3,314 and $1,690 , respectively. In the week of April 15, Gunder’s received a settlement payment of $346 from State Farm after the shop filed a Civil Remedy Notice. The insurer elected to settle rather than go before a judge and jury for previously denied processes and materials. In the same week, a second lawsuit was filed against Travelers for non-payment of a parts return fee resulting from the acquisition and return of what Gunder’s claims were “ill-fitting” aftermarket parts—a fee that Gunder says “most, if not all other carriers, now pay.” See Gunder’s Gets Paid, Page 41

10 MAY 2012 AUTOBODY NEWS | www.autobodynews.com

quotes, order the selected parts and update the estimate accordingly. In April 2011, State Farm Auto Claims Consultant George Avery claimed the program will benefit the repairer, the supplier, the customer and the insurance company. Though State Farm will obviously save money through the program, the benefit to shops, suppliers and customers is a bit more elusive. In exploring this concept of the benefits for shops, SCRS gathered information pertaining to a sample scenario in parts quotes were requested to repair front-end damage on a job requiring four parts: three bumper components and a lamp. For this example, quotes result in a loss of $95.88 to the repair facility and savings of $239.85 for the insurance company if the cheapest parts are selected, compared to if all parts were ordered using traditional OEM MSRP. In addition to decreased profit re-

garding parts, this program also incurs additional expenses in time as the repair facility must wait to receive quotes on parts and then manually reenter the estimate before it can be committed. SCRS’s press release points out “this particular example only has 4 parts; how much administrative cost is associated with that task if there are 40 parts? What is the cost of potentially dealing with multiple suppliers to maintain the most ‘competitive price’?” So, how does this parts bidding program benefit you, the shop owner? Do your research, and be vocal if you find this will negatively affect your business. It is your industry, and you are the only ones who can defend it. More information about SCRS’s sample above, including a breakdown of the losses incurred for each part, can be found at their website, www.scrs.com.

www.autobodynews.com | MAY 2012 AUTOBODY NEWS 11

On Creative Marketing with Thomas Franklin

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

“Power Babes” Throw a Successful Event

Last year, as summer approached, I just women, but many uninformed wrote an article about holding an people. Several automotive profesevent in the summer to bring in new sionals would be invited to speak on business. I was pleased recently to car care issues in their area of expertlearn of an event put on by a shop in ise. To help the women in the group my area. “POWER BABES,” a pro- better understand what is going on fessional womens’ networking group when they need a vehicle repair, the in the vicinity of the shop, meets reg- professionals would be asked to make ularly to explore and discuss issues of detailed presentations during the car care clinic. Several did agree to come. interest and importance to theStrom memwith Dick bers. The location of the meeting is A lot of information for the meetdifferent each time, and often held at a ing came from “Vehicle MD.” They place of business of interest to the were kind enough to provide everyone members. The marketing lady at the with a copy of their magazine host shop learned of this group of (http://vehiclemd.com). A woman asabout forty women and invited them sistant manager at an auto parts comto hold their next meeting at the shop. pany surprised the group by providing The current group president ex- very detailed technical information pressed an interest in holding a meet- they could all understand. And a maning that focused on a women’s car ager from Americas Tire Company care clinic. It was agreed that the provided a wealth of little known inmeeting would be held at the shop. with Lee Amaradioformation Jr. about tire care. Several other of the shop’s vendors were invited to Automobile repair people who despeak, but had to decline because of the scribe a vehicle problem using the jarshort notice. A local Nissan dealership gon of the industry can confuse not

Opinions Count

Action Counts

provided a technician along with a noemissions “Leaf” vehicle from the dealership for the group to examine at great length. The ladies had this rare opportunity to learn many technical details about this state-of-the-art vehicle in a way they never could have without the help of an expert technician. The cost of providing food and drink for a group this size might convince many shop owners that an event like this could not be cost-effective. But the fact is this was a highly profitable venture. The tour of the shop alone convinced many women in the group that this was an exceptionally clean, technically advanced place to bring their car when they needed autobody repair. The close personal contact with the owner and marketing people also convinced many that this was a highly ethical, caring place to bring a vehicle. From the viewpoint of the shop, follow-up is what made the biggest difference in cost effectiveness. Photos of the event and key

members of the group were posted on Facebook and the shop’s website. Comments by ladies attending the event were recorded by the host — especially comments praising the attractive layout and the shop’s neatness and cleanliness — and also posted on Facebook and the shop’s website. While this was obviously nice publicity for the shop, the women running the networking group were well aware that this would also be a big help in their recruiting efforts to get other women to join their network. If structured properly, events like this can be a win-win for both the shop and the attending group. Profiles of leading players in the group were also captured so acknowledgements could be sent to the key people and, in some cases, their subordinates and family. This action fitted in nicely with the shop’s effort to maintain broader profiles of repeat customers and prospective customers. A See A Successful Event, Page 14

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Poway, CA, Navy Veteran Has Vehicle Painted to Honor Troops

Kano Williams, US Navy Veteran HM1(FMF/PJ), had his 2006 Dodge Magnum RT painted as a tribute piece for all armed forces, active and retired, in October of 2011. At first Kano had

decided to make the concept permanent by getting it airbrushed on my car,” said Williams. Kano’s car was featured at last year’s SEMA show and also just fin-

painted on the car was the work of Wesley Smith at Studio Wes in Lemon Grove. The inside of the car carries on the theme with purple upholstery and

an organization that uses all variations of vehicles as a way to create awareness for the past, present and on-going military related affairs. The group is a non-profit, veteran owned

the car wrapped with a vinyl graphic with a similar concept to the way the car is painted now. He decided to make the photos and concept permanent by having the design airbrushed on the car. All the photos on the vehicle are actual pictures of the 6 tours Kano has done throughout his career in the armed forces. The Purple Heart design is also inspired by Williams’ career as he is a Purple Heart recipient. “The car was really getting a lot of attention with the vinyl on it so I

ished the DUB Tour in Anaheim, CA, earlier this month, where it won Best of Show in Painted Graphics. Kano’s car will also be part of the inaugural Veterans’ Cruise for a Cause in Oceanside this year. The shop that did the build was Sinful Enhancements in Lemon Grove, CA. Owners Sinh and Han helped Kano accomplish his dream car. The beautiful artwork

more Purple Hearts embroidered in the headrests. Kano is the CEO for an organization called Vets Cruzin’ for a Cause,

and operated organization. They hope to raise money to provide bi-annual bike and car shows in selected areas, as well as, hosting an annual bike/car ride/cruise. For more information about this organization visit: www.vetscruzinforacause.org.

Continued from Page 12

mailings, e-mails and invitations. Because of the professional nature of the women in this group, I would call this a truly brilliant marketing event for this shop. Most of these ladies drove recent model, highend cars. Because most were also very active in business, they do a lot of driving and given the urban area in which they reside, a certain number of at least small accidents are bound to occur. Because of most of the ladies’ immaculate attire, you could see they cared a great deal about appearance and so would choose to keep their vehicle in spotless condition. All of these factors added together amount to a group of the very best prospective customers a shop could hope to attract.

A Successful Event

while back I wrote about a shift away from broadcasting to what has been called “narrow-casting” in promotional parlance. Using today’s powerful preference identification technology, advertisers know just about everything you like to eat, to wear, to read, and more. If you can build a database with searchable fields for gender, marital status, family members, occupation, professional affiliation, vehicles owned (also by other family members), pets, social networks, birthdays, anniversaries and more, you have a tool for perfectly targeted promotional calls,

Iowa Collision Repair Centers Raise $1,329 for Charity BODYPROS Collision Repair, a group of Des Moines-based collision repair centers, has raised a total of $1,329 for the Iowa Chapter of the Leukemia & Lymphoma Society (LLS) Team in Training during the Arena Football League Iowa Barnstormers’ home games. BODYPROS Collision Repair, the greater Des Moines area’s only collision network, will hold a a 50/50

raffle at all Iowa Barnstormers home games to benefit the Iowa Chapter of LLS Team in Training. “What an electrifying night, both outside and inside!” said BODYPROS Collision Repair’s Christy Jones of the April 14 game. “With the Iowa Barnstormers’ first home field win, BODYPROS Collision Repair raised $415 for the Iowa Chapter of the Leukemia & Lymphoma Society.”

14 MAY 2012 AUTOBODY NEWS | www.autobodynews.com

Sinful Enhancements 7666 Lemon Avenue Lemon Grove, CA 91945 (619) 466-0800 www.sinfulenhancements.com

The Advantages of a Thin Paper Masking Tape by Vibac Group Inc.

During the last couple of years, some manufacturers have launched new automotive masking tapes. These products have the main characteristic of being slightly thinner to what we actually have on the market. These new

masking tapes have a total thickness (including the adhesive) of less or around 6 mils. At the beginning, many users in the automotive industry didn’t take the chance to use these new masking tapes in their body shops, thinking that this will be more complicated to use and/or hard to remove. But time and word of mouth (very effective in this industry) demonstrates that this new thinner

masking tape can largely do the job. The price point has largely participated in the success of the new thinner masking tapes: not only the job is easier and quicker to do, with no seepage or bleeding, but the price is around 10-15 % less expensive that the common products that exist on the market. The thin paper masking tape is also very user friendly for these who uses it for paint stripping jobs Another advantage is the ecological side of these natural rubber masking tapes: the adhesive is natural with a very limited impact on the environment with no chemicals, also a thinner paper means less waste. Vibac (www.vibac.com) is one of the companies that have first launched this natural rubber masking tape. The product can be used in higher temperatures and leaves no residue when removed. The product was first launched in Europe (where the use of waterborne paints is more common) before being launched in the Americas. In both parts, the success was au rendez-vous! Even other masking tape suppliers are working on similar products!

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Pennsylvania’s Keenan Auto Body’s Jingle Contest by Chasidy Rae Sisk

In a press release on February 17, Mike LeVasseur, President and COO of Keenan Auto Body, announced that the company would turn to their Facebook community of nearly 2400 to aid them

in coming up with a jingle for part of their advertising campaign. Though a production company has produced Keenan’s commercials for the past six years, Marketing Director Craig Camacho said “we felt this year was the year of change,” noting “we know there is a lot of talent out there” in reference to their large Facebook community. Keenan’s jingle contest began on Thursday, February 16 and runs through Tuesday, May 1. Winners will

be announced on Monday, May 21. The grand prize winner will receive $1500 cash as well as the notoriety of having their jingle played on the radio and online, while the second place winner will gain $500 cash. On March 6, Keenan decided to add a third prize, “Fan Favorite,” where eligible entries will be uploaded to YouTube where everyone can vote, and the winner will receive a $300 gift certificate to any of Keenan’s locations. Since announcing the contest, Keenan’s Facebook page has increased by over 200 “likes,” up to 2658 as of March 28. They have received fourteen legitimate entries for the contest so far. According to Craig, “we have received several really good jingles, ranging from ‘Where Do Broken Cars Go,’ (a parody of Whitney Houston’s ‘Where Do Broken Hearts Go’), to a country western to one-line catchy jingles. We are having a blast listening to them and can’t wait until we start judging for the best.” In order to boost awareness of the

contest, Mike and Craig recorded a promotional commercial at 94.1 WIP studios which is now running on local radio stations, including 94.1 WIP and 93.3 WMMR, two of the area’s largest media outlets. LeVasseur hopes the commercial will “reach a broader audience and spark more entries.” In their commercial, after Craig sings two potential jingles, Mike advises him to stick to marketing before announcing

and describing the jingle contest. The 60-second promo can be found at www.youtube.com/watch?v=H2De_9I dLfk where it has received 135 views currently. Keenan announced an additional,

smaller contest on their Facebook page on March 27, asking fans to describe their current jingle promotion in fifty words or less. The winner, who will be announced Friday, March 30 at noon, will receive four tickets to the Phillies vs. Marlins game on April 12 as well as a parking pass. The jingle contest will be judged by a panel made up of Keenan representatives who will judge entries on a 1-20 point scale for melody, composition, originality, lyrics and creativity. Rules and disclaimers can be found at www.keenanautobody.com. Submissions can be emailed to keenanautobodyjinglecontest@gmail.com (if less than 10mg), uploaded to Keenan’s YouTube page, or physically mailed to their corporate office via disk or flashdrive: Keenan Auto Body, Inc., 557-A East Baltimore Pike, Clifton Heights, PA 19018. Audio or video files are accepted, but files cannot exceed sixty seconds in length. Keenan Auto Body has eleven centers in Southeastern Pennsylvania and Northern Delaware. They have been in business for sixty years.

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Legislation Day

Senator Leland Yee. On April 16, the California Senate Business, Professions, and Economic Development Committee held a hearing to consider the bill, and at that time several amendments were made to it. In essence, SB1460 would create a new legal presumption that all certified crash parts will be deemed sufficient to return a vehicle to its preloss condition. The CAA opposes the bill, because it asks more questions than provides answers, according to Jack Molodanof, who represents both the ASCCA and CAA as its legal advocate. “This is the big one right now for body shops, because it will impact the automotive crash parts industry in a significant way,” Molodanof said. “It eliminates current law and shifts all of the warranty responsibility of aftermarket crash parts to the body shops, third party vendors and suppliers— and that’s why we oppose it.” Legislative Day speakers included John Wallauch, the new Chief of the

Bureau of Automotive Repair (see related story this issue); Assistant BAR Chief Doug Ballati and BAR Deputy Chief Pat Dorais, all of which discussed upcoming changes in the state’s Smog Check program. State politicians who spoke to the ASCCA/ CAA assemblage included Senator Juan Vargas, 40th Senate District and Chair of Senator Juan the Senate Banking Vargas, 40th and Financial InstiSenate District and tutions Committee; Chair of the Senate Banking and FinanAssembly Member cial Institutions Katcho Achadjian, Committee spoke Vice Chair of the to the ASCCA/CAA Assembly Banking members and Finance Committee and a member of the Higher Education Committee; and Assembly Member Curt Hagman, the Assistant Republican Floor Leader and Vice Chair of the Assembly Insurance Committee. During the entire day, ASCCA/CAA members visited their senators and assembly members to share their views and concerns about the bills most affecting their respec-

as much territory as possible. One tive industries. But before members were to meet with their political repgroup of CAA members, led by resentatives, they were briefed by Dave Mello met with Senator LeMolodanof about the proper protocol land Yee to discuss SB1460. Alto be used while encountering politi- though Yee seemed open to the cians or their representatives. dialog, one of his assistants was less “The number one thing to re- than receptive to the CAA members’ member is don’t tell your senator, for suggested changes to the bill, acinstance, that you’re a taxpayer,” he said. “They’ve heard it so many times it may just annoy them. Also, speak clearly and don’t chitchat. Get through your presentation succinctly and be prepared.” Other dos and don’ts about how to lobby in California were explained in a booklet provided by From left, CAA members Mark D’Angelo, vice president of Molodanof. Some of sales for D’Angelo Business Group, and Gigi Walker, owner of these include things such Walker’s Auto Body & Fleet Repair were ready to take on their as don’t complain; mis- government representatives on Legislative Day lead anyone or most importantly— cording to Mello. never threaten or antagonize a “We received some pushback— legislator of their staff! more than I’ve ever encountered in 20 With scheduled appointments years doing this,” Mello said. “But throughout the Capitol’s offices all this is an important bill. We obviously day long, ASCCA/CAA members as- oppose it for a wide range of reasons sembled into small groups to cover and the California Department of In-

www.autobodynews.com | MAY 2012 AUTOBODY NEWS 17

surance (CDI) also opposes it because they said that SB1460 obfuscates a rulemaking process already underway on this matter at CDI to update and improve existing law and, at its worst, appears to reverse a long-standing law that has served to protect consumers

members use non-OEM parts regularly in the repair of vehicles. The quality of non-OEM crash parts has improved over the last 10 or 15 years, but is still inconsistent. Sometimes non-OEM parts fit and perform and sometimes they don’t. Unfortunately,

From left, Jack Molodanof, ASCCA/CAA attorney and lobbyist, and ASCCA chapter officers Jack Scarified and John Villa were on the job at the organizations’ Joint Legislative Day

from defective or inferior aftermarket parts for almost 20 years.’” The CAA recently made a statement outlining their opposition to the bill. “The CAA supports improving the quality, safety and fit of non-OEM crash parts for the benefit of consumers and body repair shops,” CAA Executive Director David McClune wrote in a letter to Senator Yee. “Our

SB1460 takes the wrong approach to addressing issues surrounding nonOEM crash parts. This bill eliminates current law (CCR section 2695.8 (g)), creates new crash part certification standards and requirements, but fails to designate a consumer protection agency to regulate, enforce and oversee this new program. Also, it shifts all insurer warranty responsibility of

non-OEM crash parts to repair shops and third party suppliers. And most importantly, the bill creates a ‘new legal presumption’ that all certified crash parts are presumed sufficient to return the vehicle to its pre-loss condition, even though the non-OEM certified crash parts may not fit properly or is defective.” Other bills on CAA’s radar are SB1115 (Employment Working Hours: Dutton), a bill that would permit an individual nonexempt employee to request an employee-selected flexible work schedule providing for workdays up to 10 hours per day within a 40-hour workweek. The organization supports this bill, according to Jack Molodanof. “It failed once in the Assembly but now it’s back,” he said. “It’s designed for smaller companies, because right now a business has to have a human relations person essentially to make it possible. We support it, because we believe that smaller businesses should be able to shift their workers’ work schedules without the process being prohibitive.” Another bill impacting the collision industry is SB1323 (Career Technical Education: Wyland). This bill

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lays out a roadmap for what the state must do to reinvigorate career education programs in California. The bill reconstitutes the CTE Advisory Committee in each school district to include representation of technical education industry sectors including transportation, with a focus on the automotive industry. The CAA support SB1323, but is afraid that it might encounter problems primarily due to budget cuts throughout the state’s middle schools and high schools. AB 2505 (Motor Vehicle Replacement Parts: Ma) is also a concern of the CAA for many reasons, mainly because it has the potential to create additional liabilities and burdens for auto body repair shops that install certified crash parts on vehicles and later learn that the certified crash part was “decertified’ by the certifying entity. “The main questions with this bill are— is the shop responsible for contacting the consumer even if the car has been sold to a third party?” Molodanof explained. “And who is financially responsible for repairing and/or replacing the decertified crash part?”

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Audi of Downtown LA 1900 S. Figueroa St., Los Angeles, CA 90007 Tel: (213) 747-7248 Fax: (213) 222-1261 Parts Manager: Fausto G. www.audiofdowntownla.com Service Hours: M–F, 7:30 – 6:30; Sat 8 - 4 www.autobodynews.com | MAY 2012 AUTOBODY NEWS 19

Airbrush Artist Shannon MacDonald Uses PPG Envirobase to Bring Icons to Life on Vehicles and Just About Everything Else by Erica Schroeder

Airbrush artist Shannon MacDonald, who exhibited her airbrush portrait of John Lennon at the Anest Iwata booth at SEMA 2011, uses PPG’s Envi-

KILLER (parrot) was created in 1991 by Shannon and made his way onto mall backlit duratrans, large street billboards, teeshirts, motorcycles, automobiles, night clubs and more. This particular painting was done in 1994 on a Camaro show car hood. It was painted with an airbrush using One Shot sign paint kicked with Dupont gloss hardener

robase waterborne paint to bring her art alive on just about every surface. Shannon’s art has been featured on guitars, drums, motorcycles, boats, cars, planes, helmets and of course traditional canvas or illustration board. “I use PPG’s Envirobase on everything now,” said Shannon, “I love it and it seems to love me.” Shannon, well known for her lifelike portraits of iconic celebrities such as The Beatles, Sylvester Stallone, James Dean, Jackie Kennedy and Elvis Presley—among others, failed art in high school due to differences she had with her art teacher. Instead of pasting macaroni on paper and throwing glitter on it she rebelled and went to the back of the room to study the “Old Masters” (Norman Rockwell, Michelangelo, etc.). Her teacher would insult her and say, “You will never get anywhere drawing those pigs”. Her teacher was referring to Shannon’s drawings and paintings of The Beatles. After a few years of failing art, Shannon’s already paved road to go onto college with scholarships was derailed. Depressed and aggravated, she gave up art and focused on a “still successful” music career. 15 years later, Shannon was given an airbrush, as a

gift. This was the instrument in her life that gave her back her art. Her first airbrushed painting was of John Lennon. She entered the painting in a contest and won first place. Beatles fans saw Shannon’s painting and wanted more. Her fan base grew rapidly and she began to get invited to Beatles Conventions all over the USA. Owners of The Cavern Club (a Liverpool club made famous by The Beatles) discovered Shannon painting at a Beatles Convention in Connecticut. They took the news back to Liverpool and said of Shannon’s works, “We were Gobsmacked!” Eventually, so was the UK audience. With only a few years of airbrushing under her belt, Shannon was declared “The World’s Greatest Beatles Artist” in 1998 by the Lord Mayor of Liverpool. Shannon says of the art teacher that failed her, “My art teacher has to eat her words everyday. I will always be the “main course” in her life. As far as my art goes, I owe a lot to the airbrush.” After using mainly PPG solventbased paints for years, Shannon began using PPG’s Envirobase about a year ago and has decided to go totally green in her studio. “I love it now,” said Shannon, although she thought she’d never get the hang of using waterborne paint at first, Shannon is now very comfortable with it. According to Shannon, when she first started using waterborne she noticed a difference right away. The waterborne paint would stay just as she painted it—critical to an artist who paints with such detail. With the solvent, Shannon says, sometimes the

MINI-REVOLUTION was created in 2007 for the Beatles’ Hard Day’s Night Hotel in Liverpool, England. (detail done with IWATA Airbrush, electric eraser, and Createx paint)

fine details would melt and merge a bit as it dried. “As far as changing from solvent to waterborne, all I had to do was be sold on the product and what it had to

20 MAY 2012 AUTOBODY NEWS | www.autobodynews.com

offer. I was visiting ‘Ideal Distributors & Auto Paint’ in St. George, Utah to meet with Walter Rapp. While there, I had mentioned wanting to try the new

“LET ME TAKE YOU DOWN” is a 10’ tall Fender Stratocaster made of fiberglass. These were made for the Rock and Roll Hall of Fame. Together artists from around the world such as Peter Max, Yoko Ono, Keith Richards and many others were featured on Good Morning America. On that early morning’s live from NYC program, Shannon’s guitar was declared the most outstanding of them all. Tony Perkins (weather man) spotlighted Shannon’s guitar three times during the program to show the audience the unbelievable detail. (Created using PPG, Sherwin Williams, and Createx paints using an IWATA micron and electric eraser.) © 2002

PPG waterborne; PPG’s Envirobase® changed my mind about solvents,” said Shannon, “For me, solvents tend to ‘merge’ with each other in a way that detail is lost, especially when applying top coats. I am in the detail business! I can’t afford to see hours worth of work slowly disappear after topcoating with clearcoats and/or candies. Solvents easily ‘blur’ after top coating. PPG Waterbornes do not.” Shannon also appreciates that she is breathing in less paint fumes with the waterborne versus solvent. “If you are a painter that loves that 24 hour a day ‘sucking on helium rush’, you might miss solvent,” said Shannon. Shannon was also impressed with the cost savings associated with using waterborne and as a custom paint business there wasn’t a lot of cost in changing over from solvent. “There was no big cost factor in changing over; being involved in the custom paint business is probably less

invasive then a full body shop change over. As I move forward I can see the advantage; I am getting more done at a faster pace which makes way for more clientele and I am using less paint. I am saving every day,” said Shannon. Although waterborne sprayed differently, according to Shannon, the techniques associated with using waterborne were actually quite similar to much of her artistic education. She also noticed that with solvent, the color that it is in the can is just about the same as it comes out when you spray it; but with waterborne, the color looks a lot different in the can than when it is sprayed. So color matching with the waterborne was a bit of a challenge because you can’t really color match by eye, you’ve got to spray a bit of it to know what color you’re really working with. “I have probably 50 Anest Iwata guns,” said Shannon, who has been

This is a fine creation establishing the detail Shannon can get using an airbrush and an electric eraser. The new name attached to her creations is “Hyper-Realism”. This portrait was created for the IWATA/ANEST booth sponsored by ASET at SEMA 2011. (IWATA micron airbrush and an Electric Eraser on white baked aluminum panel) This was the first time SHANNON performed for an audience using PPG’s Envirobase Colors. (She had done so once before using PPG Envirobase shades of black and gray for the ASET produced show…ULTIMATE AIR AFFAIR) At this point, PPG is by far SHANNON’s favorite paint to use for both illustration and automotive painting

using their spray guns since 1994. She came to be very comfortable with the Anest Iwata guns after relying on the Iwata Custom Micron series when she painted her tribute stamp to Sylvester Stallone in 1996. Shannon’s process also differs from a lot of traditional See Shannon MacDonald, Page 37

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MN Court Awards $157K in Progressive Ins. Underpays

GlassBYTES has reported that the Minnesota Court of Appeals upheld a decision that gave Rapid Glass, an automotive glass repair and replacement company, $157,851.46 for 580 underpaid and unpaid claims from Progressive Insurance. The court ruled that the glass company’s charges were fair, reasonable and competitive. Rick Rosar, president of Rapid Glass, told GlassBYTES. “The windshield has become an integral part of the vehicle’s safety system. It is not a place to cut corners when a windshield needs to be replaced…” The court said the dispute was whether Progressive satisfied the contract by paying “the amount necessary to repair damaged property to its pre-loss condition.” “[Progressive] was not required to interpret the term ‘necessary’ because the contract provided the definition…,” the court wrote in its decision. “Under the terms of the contract, ‘necessary’ means ‘a competitive price that is fair and reasonable within the local industry at large.’”

AAIA and ASE Recognize World Class Technicians

Of the more than 759,000 automotive technicians working in the United States, 20 outstanding individuals have qualified for the prestigious 2012 World Class Technician Award. The Automotive Aftermarket Industry Association (AAIA) and National Institute for Automotive Service Excellence (ASE) work together to recognize these professional technicians who have tested and obtained ASE certification in 22 specialty areas during the 2011 test administrated by ASE. “The AAIA World Class Technician Award is for automotive diagnostic and repair professionals what the Super Bowl is for professional football players or what the Stanley Cup is for hockey players,” said Kathleen Schmatz, AAIA president and CEO. “Just imagine the knowledge and skills needed by a technician to pass 22 ASE tests. These folks are truly the best of the best and we are proud to be associated with them through our annual recognition in conjunction with ASE.” “This recognition partnership between AAIA and ASE goes back 26 years and represents the most significant achievement award available to our ASE-certified professionals,” said Tim Zilke, ASE president and CEO.

Women’s Industry Network Adds New Boardmembers

The Women’s Industry Network (WIN) welcomes Jessica Voss-Kehl, Senior Product Development Supervisor, 3M and Melissa Perez, District Sales Manager, FinishMaster Inc. as the newest Directors to its Board. The WIN Board consists of various industry segments including but not limited to: shop owners, jobbers, suppliers, consultants, paint companies and insurance companies. As an all volunteer organization, WIN Board members, serving 3 year terms, work together to guide the organization as well as foster an environment that encourages the education, recruitment, retention and networking of women in the collision repair industry. New board members will be introduced and officially welcomed by seated Directors and WIN members-at-large at the annual WIN Educational Conference, Be The Change, being held May 6–8 at the Intercontinental Buckhead in Atlanta, GA. To learn more about WIN, please visit www.WomensIndustryNetwork.org or for information on becoming a member, please contact Denise Caspersen at denisec@asashop.org.

CARSTAR & Mitchell Inc. Join Efforts on Store Management

CARSTAR Auto Body Repair Experts has developed a proprietary store management system that integrates its technology solutions with the Mitchell RepairCenter Shop Workspace to deliver technology tools to its store owners. The system is the culmination of significant technical investments to realize the vision of a tightly integrated system that will significantly improve CARSTAR store performance, the company said. It enables the capture, processing and delivery of key data elements and metrics to help stores better manage their key performance indicators. The system also will provide the information required to forge strategic industry partnerships, CARSTAR said. Reporting to support both insurance relationships and purchasing will benefit user shops.” The information gathered by using the CARSTAR Solution Software and the reports available are invaluable to our store and to the entire CARSTAR network in helping analyze our numbers and in selling to our local and national markets,” said Jan Combs, of Auto Body Specialists CARSTAR in Billings, Montana.

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PCL Automotive Products Help Rich Evans Excel on Every Project He Touches by Ed Attanasio Almost every successful car builder/painter over the years has been able to find what they call their “go to” products—whether it’s paint, primers, sealers or even a certain tape product that they utilize in almost all their work. Rich Evans, reality television star, Autobody News columnist, and owner of Huntington Beach Bodyworks, uses products made by Pacific Coast Lacquer (PCL Automotive) in every project he does. After 3,000 jobs performed over his 25-year career as a premier car builder and collision repair expert, Evans knows what he wants and what he needs to produce quality work time after time. That’s why he exclusively uses PCL’s refinishing products, primarily the company’s primers and clears, as well as their flat black topcoats, that have become increasingly popular with customizers and body shops alike. Evans has nothing but great things to say about PCL and identifies the manufacturer’s role in consistently saving time and money on every job that comes through the doors at Huntington Beach Bodyworks. “I use their products on a wide range of projects and they perform perfectly every single time. I started using PCL’s products in 2000, when

I built my Hummer Limousine (see photo) out a 2002 Chevy pickup with the 333-inch wheel base on it. That was the first time I was introduced to PCL, because I had miles of panel blocking to do on that vehicle.” Evans appreciates PCL’s primers because of their versatility and quality. “We use a ton of their #901 (gray primer) and the black primer, #903. What’s great about their #901 primer is that it’s a high build primer. I shoot it out of a 1.9 gun. I can pull the trigger and just blast on a panel and it will fill 36 and 80 grit scratches faster than most other types of primers. It’s actually a polyester product, so it’s just like spreading polyester putty on but with a gun, which allows me to

SHOP & PRODUCT SHOWCASE Huntington Beach Bodyworks Location: Huntington Beach, CA

Telephone: 714-842-9907 www.richevansdesigns.com Company At A Glance...

Type: Collision Repair & Customization Facility Employees: One

In Business Since: 1992 DRP Programs: Zero

Number of Locations: One

Combined Production Space: 13,000 square feet Evans designed and built this stunning 1964 Lincoln Continental using PCL primers and clears on the TV show Autoholics on the Speed Channel

skip steps and spray it as opposed to spreading it.” Uniformity and consistency is vital to the way Evans does his body work. “My approach has never changed over the years and I won’t ever deviate because it works for me,” he said. “Basically, I shape with 36 grit sand paper and then get the 36-grit scratches removed with the 80 grit; then I move onto the 150 grit and then chase the 150 scratches with the 400 grit, either dry or wet. Then I’m ready to apply the PCL sealer which gives me a great foundation to lay down my paint. When I can do it all in one single step, I’m saving time and—as I always say— time is money! “At the end of the day, I’m not going to get any shrinkage or imperfections, and that’s key,” Evans emphasized. “Many of the primers out there right now on the market will cause shrinkage, which means you have to take mil build off of your clear to try and chase the shrinkage out. The shrinkage is like a dry river bed that shows all the imperfections. But PCL’s primers provide a solid platform so it does not move after it dries. It gives me a lot of options depending on the situation. In the end PCL’s primers can allow me to skip a few steps if I want to. By switching a step and filling those scratches in, I can complete the job faster. On average, it can save me 50% in time when I go that way, so it’s a big deal, especially when I’m super busy. Sometimes it can even save me up to 75% of the time I’d spend otherwise.

“When I do a hot rod and I’m in a hurry, I will take each panel and instead of just applying Bondo™ I can get everything in the ballpark with a heavy mil build. That way, I can then work with the product without putting Bondo™ on, or it allows me to work with the product and get my panels true. Because I can apply as much as a gallon on one panel and by the time I come back and hit it with 80, 150 and 400 grit, I’ve already removed 60% of the product while getting the build I need. That means I don’t have to put more Bondo™ on it. Anyone who does this type of work knows that it takes time to mix Bondo™ up and spread it.” Evans also appreciates the PCL’s customer support as well. “Our PCL field rep is Paul Casanova and he’s great. They’ve been sponsoring me for the past six years and I used their products on the reality show Car Warriors (see Corvette photo) where we were able to complete cars within 72 hours with a high quality, long-lasting paint job. Without PCL’s products, we never could have been able to do what we did on that show. And we probably wouldn’t have been able to be so creative and the quality would have suffered if we didn’t have the PCL primers and sealers when we did our Lincoln Continental (see photo) in just eight days on Autoholics. It’s a big part of my process and it helps me to do things in a speedy time. I tell people that I am a “mutt painter” because I never commit to one paint manufacturer or paint line, but I have stuck with PCL from day one!”

The first time he ever used PCL’s products, Rich Evans built a Hummer Limousine out of a 2002 Chevy pickup with a 333-inch wheel base.

Evans and his crew used PCL products while building this amazing 1976 Corvette on the T.V. car building competition Car Warriors

PCL Automotive Phone: (800) 752-1566 x 260 email: rlaguna@ellispaint.com website: www.pclautomotive.com

www.autobodynews.com | MAY 2012 AUTOBODY NEWS 23

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Top Chicago Painter Prefers Preval’s vFan Airbrush for Mobility & Versatility by Ed Attanasio Shawn Orr, 37, is a Chicago-based freelance airbrush painter who has painted murals on cars, helmets, dealership windows, trucks, semis, motorcycles and has even done some painting on human bodies as well. Orr uses the vFan Portable Airbrush System for precision paint and material dispensing, particularly touch-ups and surface repairs, as well as surface preparation and curing. Orr relies 100% on his Preval vFan Airbrush to do touchups for body shops—work they would rather sub out than do themselves. “Body shops line up cars for me and I come in there and paint primarily bumpers with the Prevals vFan Airbrush,” Orr said. “This way the shop does not have to pay their painters a full day of wages to do a few bumpers. I can come in there and get it done a lot faster, because I’m mobile and they don’t have to worry about buying any new equipment or pulling their people off other projects to do the job. Plus, I can do it in half the time!” Sold globally, the Preval vFan Airbrush is made in the USA, and is used heavily in the automotive, aerospace, packaging, semiconductor, solar energy and textile industries, because it’s the only airbrush on the market that converts to an airgun and achieves both 3inch fan and 1/16-inch hairline patterns. Fully portable, the vFan Airbrush can be used in all environments when powered by 150 feet of energy, Preval’s innovative, ecofriendly aerosol compressor unit. Each canister of 150 feet of energy contains seven ounces of VOC-exempt propellant that powers more than 150 feet of linear paint coverage and up to 40 square feet of paint coverage. The vFan Airbrush is also compatible with most workshop compressors. Orr appreciates the fact that his Preval vFan Airbrush offers his body shop customers a great alternative and a smart way for them to improve their cycle times, he said. “If a shop wants to do this type of work inhouse, they have to tape it off and then in the end they’re painting the entire bumper of the car anyway to avoid overspray. With the Preval system, I only have to paint the immediate area on the bumper and feather it off at the edges and then put the clear on top of that. So, it saves time, money and materials for them. They take what I charge and mark it up appropriately, so it’s obvi-

SHOP & PRODUCT SHOWCASE Shawn Orr Freelance Airbrush Painter Location: Chicago, IL

Telephone: 773-456-4423

By contracting body shops throughout the Chicago area, freelance airbrush painter Shawn Orr can get the work done fast and efficiently with his Preval vFan Airbrush

ously another source of revenue for them.” Orr also likes the versatility of the vFan Portable Airbrush System, he explained. “I spray the base, the color and the clear all with the vFan. Of course, in between each phase, I have to clean the airbrush, but it’s an easy task and it doesn’t take very long. The o-rings inside the unit are coated, so you can spray urethane, water-based paints and solvents. The air coming out of the cans is a dry air, so you don’t have to worry about moisture coming through the hose and ruining whatever you’re working on.” During his 20 years as a mural painter, Orr hasn’t found anything like the Preval vFan Airbrush, he said. “The biggest difference is that it changes from a standard airbrush to a fan pattern air cap. It goes from about a one-inch fan pattern to about three inches. With the standard air cap you can use it to get those really fine scratches for hairline touchups, starting from 1/16th of an inch to a full inch. Then, with the fan pattern, you can do a full three-inch area. The mini jet can’t do that and a standard airbrush can’t go up in size like that, so that’s what distinguishes the vFan Airbrush.” Orr has a wide range of clients and the VFan Airbrush is a nice fit in every scenario without fail, he said. “Lots of people call for us for touch up work and in many cases we will go to their home to do the work. It’s a combination of do-it-yourselfers, customizers, interior vinyl/leather repairers, and of course, the body shops and car dealerships.” Orr is currently doing a mural on a truck and it might be one of his best

projects ever, he explained. “We’re currently working on a truck for Oscar’s Auto Body & Mechanical in Chicago, Illinois. The paint job has black on the bottom with silver on top and fading into it, with an Aztec tribal sign in silver. We’re obviously going to do this design with the vFan Airbrush and we’re excited to see how it comes out.” For retailing less than $200, Orr recognizes that the Preval vFan Airbrush is a superior value. “It’s definitely a great deal, because these airbrushes will last and they can work with most air compressors. Each can has about 150 linear feet and that is more than enough for me to do touch up. And you have two cans with the system, so there’s enough to do an entire bumper with that supply, placing each can into the EDU (Energy Disbursement Unit).” This allows for five times longer lasting spray. By avoiding the use of a loud air compressor, Orr is able to concentrate more on his mural designs while creating, he said. “All you can hear out of the Preval vFan system while you’re using it is the sound of the air coming out of the tip of the airbrush. You won’t hear anything coming out of the portable air cans, which is nice. When you use one of those Chinese-made air compressors, it pretty much rattles the whole house. When I come into a body shop to work, they don’t even know I’m there, because it’s so quiet.” To see a demonstration of the Preval vFan Portable Airbrush, go to YouTube and search for: “Preval vFan Airbrush in the Field: Auto body.”

Orr covets the mobility, versatility and convenience of working with the Preval vFan mobile airbrush system

Retailing at less than $200, the Preval vFan Airbrush is an outstanding value for body shops, mechanical shops who do occasional touch ups and automobile customizers

Preval Spray Team Phone: (877) 753-0021 email: sales@preval.com website: www.preval.com

www.autobodynews.com | MAY 2012 AUTOBODY NEWS 25

CAWA and ASCCA Find Common Ground at Annual Aftermarket Industry Summit by Ed Attanasio

The Automotive Service Councils of California (ASCCA) and the California/Nevada/Arizona Automotive Wholesalers’ Association (CAWA) hosted their third annual Aftermarket

pulling together,” he said. “Some people in this industry like to stay disjointed, but we need to realize that we possess power in numbers. We’ve experienced some significant legislative victories, but we need to continue our fight. At this summit, the hope is to

From left, Tracy Renee, Gene’s Auto Repair, ASCCA President; Craig Johnson, Craig Johnson Automotive, ASCCA Board of Directors; Joe Bergieker, Robert Bosch Corporation; CAWA Manufacturers’ Advisory Council; Ron Aparicio, Walker Products; Chair, CAWA Manufacturers’ Advisory Council; Tim Gerrity, General Auto Parts/Parts Plus; CAWA Past Chair; Glenn Davis, GDA Enterprises, ASCCA Past President; Ward Myers, Interamerican Motor Corporation, Member, CAWA Board of Directors; Dennis Montalbano, German Auto Repair, Inc., ASCCA Immediate Past President; Stuart Terry, Stuart Auto Repair, ASCCA Past President; Steve Vanlandingham, Van’s Automotive; ASCCA Board of Directors; Norm Plotkin, Plotkin Government Relations, CAWA legislative advocate; and Jack Molodanof, Molodanof Government Relations; ASCCA legislative advocate were the presenters at the 2012 Third Annual Joint Summit, held by the CAWA and the ASCCA.

Joint Summit on February 18, 2012 in Sacramento, CA. More than 70 members representing independent repair facilities and aftermarket parts’ manufacturers and distributors were in attendance. The purpose of a joint summit was to seek common ground between the organizations and create a unified plan to strengthen the automotive repair industry as a whole. The morning kicked off when Dennis Montalbano, owner of German Auto Repair, Inc. and the ASCCA Immediate Past President and Joe Bergieker, Robert Bosch Corpora-

Jack Molodanof ASCCA legislative advocate (at left) and Norm Plotkin CAWA legislative advocate made a presentation discussing common ground among the two groups concerning legislative agendas and proposed bills that can affect both industries.

tion; and CAWA Manufacturers’ Advisory Council, made a presentation called “Strength in Industry Unity.” Montalbano got the dialog started with some intriguing opening statements. “For too many years, we’ve been pushing the rope instead of all

rev it up and get it done!” At that point, he queried the body shop owners in attendance and said, “Is it worth our time and effort to work together for a common cause?” In response, the room exploded with an emphatic “Yes!” The next presentation was entitled “Sharing Legislative Agendas”, made by Jack Molodanof from Molodanof Government Relations and an ASCCA legislative advocate with Norm Plotkin, owner of Plotkin Government Relations and a CAWA legislative advocate. The two outlined a series of bills they helped to defeat and many that may emerge in 2012 and next year. Some of these relate to new requirements for the California Smog Check System; a new proposed cite and fine program to eliminate “backyard shops”; and others related to issues directly and impacting both aftermarket parts distributors and automotive repair shops, both mechanical and collision. Fighting for the rights of these organizations is an ongoing, unending battle, Molodanof explained. “We need to monitor everything and stay on top of all the bills, because they can appear quickly in the middle of the night, like mushrooms.” To this end, both legislative advocates meet monthly to plan strategy and antici-

26 MAY 2012 AUTOBODY NEWS | www.autobodynews.com

pate issues before they emerge, Molodanof said. Plotkin illustrated the automotive industry’s current situation and stressed the importance of a unified approach, he said. “Ben Franklin said that if we can’t hang together, we will hang separately,” Plotkin said. “The State of California doesn’t want cars with combustion engines. They want social utopia and eliminating cars that run on gas is on their big list. On top of it, the carmakers are constantly trying figure out new ways to take their cars out of your bays and get them back into their bays. It’s a real threat to our industry and increased competition between the carmakers, the aftermarket and the independent shops will definitely get more intense.” The next presentation was made by Steve Vanlandingham, Van’s Automotive; ASCCA Board of Directors and Ron Aparicio, Walker Products; Chair, CAWA Manufacturers’ Advisory Council, concerning the AWDA’s (Automotive Warehouse Distributing Association) work on warranties and labor claim forms, while adhering to

best practices. The Automotive Warehouse Distributors Association (AWDA) was founded in 1947 and is the country’s oldest organized group

Tim Gerrity, General from Auto Parts/Parts Plus (at left) and Craig Johnson from Craig Johnson Automotive talked about technological changes that will impact both industries today and in the future.

of warehouse distributors and their respective suppliers of parts, accessories tools and other supplies for the automotive aftermarket. The next speech dealt with industry training and was presented by ASCCA Past President Glenn Davis and Joe Bergieker, Robert from Bosch Corporation; and a member of See CAWA and ASCCA, Page 28

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CAWA and ASCCA

CAWA’s Manufacturers’ Advisory Council. Topics discussed involved with the availability of good training; how to encourage participation; and offering scholarships to deserving candidates. “Why aren’t shops requiring training and making it a priority?” Davis asked. “Training is vital, because in the end it leads to better shops and more profits, while cutting down on returned parts and warranty problems. Techs can quickly become outdated and many of them feel like they know it all already. Making class times more attractive to them (by changing them from evenings after work to during the workday or on weekends) can help. We’re falling behind the dealerships, because they stress training and make it mandatory.” The shop owners in attendance brought up the main reasons why many don’t embrace the available training, outlining issues like “boring classes”; “not hands-on or interactive

and longer warranties. These things are proven, but we don’t use this to send a consistent message to the public.” Some of the answers Renee discussed included a more professional appearance; improving customer skills; more training and education; and playing a role in trade schools and high schools with repair programs. By both organizations working together, Renee said, the aftermarket and independent shops can achieve their goals. “We need parts and the CAWA wants to sell us parts, so it’s a nice little circle here. And that’s why we need to stick together. These two organizations are more clicking Joe Bergieker, a member of CAWA Manufacturers’ Advisory Council (at left) and ASCCA Past President more than ever, so now is the Glenn Davis discussed industry training and how it time to push our message and can be changed for the better. see the value of it.” native? We have 70% of the public The Summit’s final talk outlined bringing us their cars, yet why aren’t many of the technological changes that are transforming the automotive we taking that message to the public parts and repair industries in a signifand leveraging it? We know that people feel like we charge less than the icant way, primarily impacting the ways between suppliers and cusdealerships, and that they trust us more or get up sold. As a rule, we’re tomers interact. Craig Johnson, shop more connected to our communities owner and member for the ASCCA

enough”; and either “not containing enough useful information or being way too technical in nature.” Tracy Renee, 2012 ASCCA President then spoke about how the independent repair industry wants to project a positive image while attracting top people to enter the industry. “What is our image and why are we always referred to as “the dealer alter-

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Board of Directors and Tim Gerrity of General Auto Parts/Parts Plus and a CAWA Past Chair, were on hand to discuss the future of the industry and its ramifications. Innovations such as Telematics, information management and explosive changes to the Internet are just a few of the ways the aftermarket and independent shops will be changed forever, according to Gerrity. “These changes are targeted to moving business from the OEs to the aftermarket and from independent repair shops to the dealerships,” Gerrity stated. “Right now, we’re suffering from limited communication and we don’t have one centralized location for information. While the dealerships have all the tools and aren’t afraid to embrace them, we’re not currently looking for a linkage between shops and the aftermarket. If we don’t step up and do it ourselves, no one will.” After the Joint Summit, members of both organizations attended a series of workshops to further analyze topics such as marketing, customer service, government relations, public relations, education and training.

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CAPA Adds SF Insurance Executive to Board

The Certified Automotive Parts Association has elected Carol Waldron of State Farm Mutual Insurance Company to CAPA’s Board. “CAPA is fortunate to have Carol join us in our effort to ensure truly high quality alternative parts are readily available to the market. Carol’s extensive background contributes to the broad range of industry expertise and organizations who’ve joined together on CAPA’s board to keep repairs affordable, cars repairable, and protect consumers from poor quality,” said Jack Gillis, Executive Director of the non-profit association. “State Farm, and many other diverse organizations, joining together in CAPA, provide a unique insight into issues facing the aftermarket parts industry and make an important contribution to CAPA’s continuing success. We look forward to working with Carol.” CAPA’s Board includes: Bill Brower, Liberty Mutual Insurance; Bill Daly, Allstate Insurance; Bill DeGrocco, GEICO; Jack Gillis, CAPA; John Palumbo, PartsChannel, Inc.; Clark Plucinski, Boyd’s Group /Gerber; Ed Salamy, K.S.I. Trading Corp.; Ben Steinman, Ben’s Auto Body; Carol Waldron, State Farm.

Registration for SEMA 2012 is Now Open for Attendees

The market for hybrids, plug-in hybrids and electric vehicles is perking up significantly, with much of the credit going to the high price of gas. In the first three months of 2012, U.S. sales of hybrids, plug-in hybrids and EVs shot up 44 percent from the year-ago quarter, to 113,457. March sales of those vehicles were double those of January. It was a breakout quarter for sales of vehicles with alternative powertrains, which had been rising at a much slower pace than expected despite waves of fresh entries. The strong performance is a measure of validation for automakers that have persevered despite tepid demand for hybrids and criticism in political circles. Hybrids accounted for the bulk of alternative powertrain sales, 106,207, compared with 7,250 EVs and plug-in hybrids. Better sales of Toyota Prius drove much of the growth as buyers snapped up recently launched models, including a wagon and subcompact. Also providing a lift: launches of General Motors’ mild hybrid technology, dubbed eAssist, on volume models such as the redesigned Chevrolet Malibu, released in February.

Peter Vann Joins Urethane Supply Company Sales Team

Peter Vann, collision repair consultant and trainer, has joined Urethane Supply Company (USC) as the West Coast sales representative. Vann comes to USC with much aftermarket experience, including as a consultant for Caliber Collision Centers and a technical trainer for VeriFacts Automotive, Cerritos College, 3M, Pro Spot and Car Bench. He was also an estimator supervisor/production manager at a certified BMW collision center and a certified Mercedes-Benz collision center, both in California. Vann is based in Southern California. Beginning May 1, he will be responsible for all states west of the Rocky Mountains. Vann has been trained on USC’s new Nitrogen Welding System. In addition, he has training from I-CAR, Car Bench, Blackhawk Automotive, Chief Automotive Technologies (EZ Liner), Autorobot, Celette (Bench), MercedesBenz of North America, BMW of North America, the American Iron and Steel Institute, the American Welding Institute and Cerritos College. Said USC President Kurt Lammon. “His industry knowledge is exceptional, and he is a solid addition to our sales team.”

Enterprise Elite Service Partner Program Launches

Assured Performance Network and Enterprise Rent-A-Car have introduced the Enterprise Elite Service Partner Program. This program, using the certification services of Assured Performance Network, allows collision repair facilities to take advantage of innovative service tools including Enterprise® Priority Pass, an upgraded level of replacement rental service designed to increase customer satisfaction. Shops enrolling in the program also will receive several communications tools. For example, Enterprise Rent-A-Car’s ARMS® Automotive suite of products streamlines communication between shops and Enterprise. In addition, Customer Status Notification software enables shops to keep consumers informed on the progress of their vehicle repairs. Enrollment in the Enterprise Elite Service Partner program is open to repair businesses that are able to become officially certified by Assured Performance and meet the qualifications to participate in its Certified Collision Care Partner Network. Please visit www.CertifyMyShop.com for more details.

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Industry Business Beat with Frank Sherosky

This is a new column in Autobody News. It will focus on investment opportunities in the auto industry and will feature guest columnists on a regular basis. Opinions herein are strictly those of the author. Autobody News accepts no responsibility for investment actions taken or not taken based on this column.

Aluminum Stock—A Long-Term Auto-Related Opportunity? This article is reprinted from Torque News with permission.

Aluminum and light-weight automotive body structures surely go together, no less than light-weight bodies and lower MPG. So, it should be no surprise that the earnings of Alcoa (NYSE:AA) would bring the company into focus once again, especially with the advent of higher MPG requirements by 2016 and 2025. All of us know that forcing people into smaller cars is not advancement. Even a Ford engineering manager at 2012 NAIAS had the sense to say there is a limit to downsizing engines as well as auto bodies. In fact, he noted the next wave of gains for automotive will have to come from lighter body structures. Truth is, auto body structures are already becoming hybridized, but have a long way to go. They are still

made mostly of sheet steel stamped in complex forms, then welded together for that unibody construction. However, they are getting increasingly amounts of aluminum and magnesium pieces, too, especially for the unsprung portions like suspension parts. Looking at the future, consider the Tesla Model S and the Mercedes new SL. That’s where we need to go as an industry; and that’s where we are going as an industry. It’s simply a matter of time and investment. With regard to Tesla and Mercedes SL, both have all-aluminum structures. They cost more money, but so do lithium-ion batteries. Furthermore, a lighter body structure would provide greater driving range even for full EVs. Now, imagine an all-aluminum Chevy Cruze, for example, powered by a revised Ecotec engine with a split-cycle configuration or even a

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downsized engine with an electric supercharger, stop-start and maybe even an air-hybrid component. Then the gas mileage would be awesome compared to what we have now even in the city; and the overall cost wouldn’t be formidable for the masses as what we have for EVs. Point is, any company that makes aluminum will be in the sweet spot, provided they can remain healthy during this latest downturn. Thus far, it seems Alcoa may be getting into fighting shape. Sure, there are other aluminum competitors, but AA is an American company; and its position to provide the American auto industry with what it needs can literally position itself like the companies that sold picks and shovels to gold miners of old.

Aluminum vs. Steel vs. Carbon Fiber One Torque News reader noted many

months back that billet steel trades around $500/ton, while aluminum trades at $2,200/ton during a period of rock bottom aluminum prices. His implication seems clear: If you cut a thousand pounds off the weight of a car by going aluminum, the ton of aluminum you had would still add over a thousand dollars to every car. While he agreed that lowering the weight of cars is definitely the future, there are lots of other ways of doing it. He felt the auto industry could very easily take a page out of Boeing book and investigate carbon composite body structures. Or a page from the SmartCar book and investigate highstrength steel reinforcements. Fact is, the auto industry is already using those materials, just not extensively. Problem with carbon fiber is the cure time. Try doing that at the rate of 60 cars per hour. At least aluminum has the potential to have

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present welding technology, not to mention more use of extrusions which are far cheaper, thus eliminating many key stampings altogether. In highstress areas, castings could be used, as witnessed on the Mercedes SL.

Alcoa Stock Chart Looking at a recent chart of AA, it is clear that aluminum and Alcoa have not faired well since 2008. And that should tell you something. If the auto industry faired well before 2008, though, then crashed only to revive to its present position, perhaps aluminum use and production will likely follow that same pattern. It’s just shifted in its timing of recovery. AA is now trading at 9.32 with its lowest low in the past five years at 4.97 and its highest high of the past five years at 48.77. That makes today’s price look like a cheap option play, in my opinion. Granted, it is not my usual writ to recommend any stocks. I prefer to let the charts do the talking. However, I must admit this chart has yet to show a turnaround. Then again, today’s quarterly report may be the catalyst

that might turn the trend; perhaps not all at once, but over the next year. Personally, I will be watching the prices of the options as well as the stock dynamics for opportunities. For sure, the general market is swaying the entire market including the auto sector stocks, but that will not remain forever. Frank Sherosky took early retirement from GM, Saturn and spent 39 years in the auto industry as a draftsman, product designer, CAD operator and Studio Design Engineer. His direct experience within the auto industry enables him to contribute insights into business, people, processes and technology; and has written as the Detroit Automotive Technology Examiner. He also trades stocks & commodities, writes books and ebooks, like “Perfecting Corporate Character,“ “Millennial World Order,” “Awaken Your Body to Healthy Aging” and “Awaken Your Speculator Mind.” He lives in Clinton Township, Michigan with his wife and best friend, Judi.He may be contacted via his forwarding email: fsherosky@authorfrank.com and followed on Twitter under @Authorfranks

Continued from Page 6

PIE Conference Mitchell International; Bruce Cooley, DuPont Performance Coatings (DPC); and George Avery, State Farm Insurance. They each offered valuable insights into key industry trends impacting collision repairers and insurance business models. Steve Trapp from DPC also presented attendees with scorecard improvement. The conference also featured an informative discussion by Dave Smith of Enterprise Rent-A-Car on human resource insight. Scott Bragg of Marketing Associates closed the conference with a presentation about inbound marketing and digital strategy. “Standox® has been hosting PIE Member Conferences for over a decade. It allows our key customers the opportunity of three days of networking, learning and relaxing,” said Keith Sena, brand manager. “Our focus with the conference is to give our customers a de-

tailed review of key industry trends that will affect them in the coming year, give them some specific tools that they can use to improve their businesses in areas that they’ve said are important to them—and of course, put a group of smart business people in the same room to allow them to learn from each other.”

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NHTSA Proposes Standard for Brake-Throttle Override

The National Highway Traffic Safety Administration (NHTSA) has proposed an update to the Federal Motor Vehicle Safety Standard (FMVSS) No. 124, Accelerator Control Systems, according to the AAIA Capital Report. The proposal would require manufacturers to install a BrakeThrottle Override (BTO) mechanism in all vehicles. BTO systems would trigger the vehicle to stop should both the accelerator and brake pedals be applied at the same time, which would reduce the risk of drivers losing control of their vehicles due to the accelerator pedal sticking or the entire throttle system becoming disconnected. The Alliance of Automobile Manufacturers has been pushing for regulators to take action on this issue for some time, and most manufacturers have already begun outfitting their new models with these systems, according to AAIA.

Chrysler Recalls Some 2012 Town & Country and Dodge Grand Caravans for Machining

Chrysler is recalling certain model year 2012 Town and Country and Dodge Grand Caravan vehicles manufactured from November 15, 2011, through November 21, 2011. Some vehicles may be equipped with right rear hub and bearing assemblies that were not fully machined. This could result in a decrease in durability, which may lead to wheel separation, increasing the risk of a crash. Chrysler will notify owners, and dealers will replace the right rear hub and bearing assembly, free of charge. The safety recall is expected to begin during April 2012. Chrysler recall number is m13. Owners may also contact the national highway traffic safety administration’s vehicle safety hotline at 1-888-327-4236 (tty 1-800-4249153), or go to http://www.Safercar.Gov.

“America’s drivers should feel confident that anytime they get behind the wheel they can easily maintain control of their vehicles – especially in the event of an emergency,” said U.S. Transportation Secretary Ray LaHood. “By updating our safety standards, we’re helping give drivers peace of mind that their brakes will work even if the gas pedal is stuck down while the driver is trying to brake.” This proposal would also modify the current standard by accounting for throttle disconnection during the testing procedure of all vehicles. Comments on the proposal must be submitted to NHTSA by June 15, 2012. Early last year, NASA engineers found no electronic cause for the claims of unintended acceleration levied at Toyota. The report prompted Transportation Secretary Ray LaHood to blame the cases on “pedal misapplication.”

Chrysler Recalls Some 2012 Jeep Patriot And Compasses for Suspected Fuel Tank Flaws

Chrysler is recalling certain model year 2012 Jeep Patriot and Compass vehicles manufactured from December 17, 2011, through January 2, 2012. Some vehicles may have been built with a fuel tank assembly containing a damaged roll-over valve. In the event of an impact or roll-over, fuel leakage could occur, increasing the risk of a fire. Chrysler will notify owners, and dealers will replace the fuel tank, free of charge. The safety recall is expected to begin during June 2012. Chrysler’s recall number is m11. Owners may also contact the national highway traffic safety administration’s vehicle safety hotline at 1-888-327-4236 (tty 1-800-4249153), or go to http://www.Safercar.Gov.

34 MAY 2012 AUTOBODY NEWS | www.autobodynews.com

Study Says EVs Cost $1200 Less to Run

Drivers of electric vehicles such as General Motors Co.’s Chevrolet Volt and Nissan Motor Co.’s Leaf may save as much as $1,200 a year compared with operating a new gasoline-powered compact car, scientists studying improved fuel economy found. With gasoline at $3.50 a gallon, drivers who plug cars into electrical outlets would save $750 to $1,200 a year instead of buying gasoline for a new car that gets 27 miles (43 kilometers) a gallon when driving 11,000 miles a year, the Union of Concerned Scientists said in a study released today. “While in this early electric vehicle market these products have higher up-front costs, knowing how much one can save by using electricity instead of gasoline is an important factor for consumers,” the study by the Cambridge, Mass.based group said. Ford Motor Co., maker of a Focus electric car scheduled to go on sale this year, said last month the price will start at $39,995 before a $7,500 U.S. tax credit. Nissan’s Leaf starts at $35,200. The Focus costs more than the $16,500 base price for the gasoline-powered version, Eddie Fernandez, a spokesman for Ford, said in an e-mail. The U.S. National Highway Traffic Safety Administration rates the fuel economy of the Focus SFE, a gasoline-powered model, at 33 mpg for city and highway driving. The electric Focus was certified by the U.S. Environmental Agency to offer the equivalent of 105 mpg. Edmunds.com, an auto-researcher, predicts electric vehicles may reach only 7 percent of U.S. auto sales by 2017 even when consumers take rising gas prices into account. The average U.S. gas price was $3.91 as of Sunday, according to U.S. motorist group AAA. That’s a 19 percent increase so far this year.

May 2012

Automakers Could Face up to $250M in Recall Fines Automakers nationwide are likely clutching their wallets and clenching their teeth after the announcement that recall fines could cost them $250 million instead of the current $17 million fine. A bill affecting the National Highway Traffic Safety Administration (NHTSA) that would raise the maximum fine for not issuing recalls in a timely manner $233 million from its current maximum already passed the Senate and is pending approval in the House of Representatives. Consumers Union, the advocacy group connected to Consumer Reports backing the surface transportation bill, says that the $250 million fine would elevate recalls for automakers to a level of concern instead of being a “cost of doing business.” This isn’t the first push to increase NHTSA’s involvement in automotive recalls. We told you last month about the push to get NHTSA to oversee recalls by car rental companies. Consumers Union also supports that position.

Mopar Division Introduces First In-Vehicle Wireless Charging

After being the first to eliminate heavy, bulky owner manuals from its vehicles, Chrysler Group LLC, through its Mopar® division, will now be the first to eliminate unsightly dangling power cords in its vehicles by offering in-vehicle wireless charging. The company will first make the technology available on the all-new 2013 Dodge Dart that arrives in dealerships in the second quarter of this year. “At Mopar, we look for every single opportunity to make our customers’ lives easier,” said Pietro Gorlier, President and CEO of Mopar, Chrysler Group LLC’s service, parts and customer-care brand. “Our industry-first in-vehicle wireless charging system is the perfect solution for those customers on the go.”

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Gonzo’s Toolbox with Gonzo Weaver

This is a new story by Scott “Gonzo” Weaver as posted on his website, www.gonzostoolbox.com. Gonzo has been serving the Tulsa area at Superior Auto Electric for over 27 years. See his book “Hey Look! I Found The Loose Nut”, which provides a Good Laugh for Mechanics of Any Age. The book is available at amazon.com. Contact Gonzo at Gonzosae@aol.com.

“GI—Think Like a Mechanic!”

After high school I made the choice more like your typical size for any to join the Marine Corps. It was a big home office or school desk. Well, being the bright, eager step for a young guy who really didyoung n’t have a direction, nor thought about with Richard Arnold lad I was I had to ask. “Sargent, ever hear of a lawnthe future. So, off I went to boot mower before?” camp. I’ll admit it was tough, it was Not that I was being smart and physically demanding and very mentally challenging. But, I did very all… it just struck me as dumb they well, got a lot of good marks and even wouldn’t have a lawnmower to do this job. But, then again, why not get a couple of special awards. surprises was One of the biggest with Ed Attanasioa couple of young recruits to clip the when my platoon was on the “mess lawn with scissors… we’ll work and maintenance” week. I was as- cheap. signed to the commandant’s head“Come here soldier, see what ya quarters building. I was to shine all think of this,” he said. the brass, wax the floors, and general In a hall closet just inside the building maintenance. One day the building there were four mowers with Schroeder Sargent in charge said Erica it was time to stacked up on top of each other. They mow the grass. He sent me and two all seemed to be the same brand of other recruits out with scissors to clip mower, but all of them seemed to the lawn in front of the headquarters have been taken apart and there were building. Really, I’m not kid- lots of parts missing. ding…scissors, and I’m not talking “Well, can we use them Sarge?” about a large pair of scissors, no… I asked.

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“Those things haven’t ran since I’ve been here, but if you think you can get one of them going, it would make us all look good,” the Sargent answered.

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Luckily, the Sargent had a small box of tools stashed away, which just so happened to have all the missing parts stored in it from the various mowers. After some careful maneuvering I managed to get the mowers separated, and within an hour I had three of them running. Talk about a proud bunch of Marines mowing the commandant’s lawn. OohRah! The Sargent got a promotion out of it, and I got a special award for my efforts. Not a bad day in boot camp after all. I really didn’t touch a car for a long time after that. I spent a long time overseas and cars weren’t on the top of the list of things to be concerned about. It wasn’t until I was stationed stateside, and I was leaving my barracks one day when I noticed these two guys sitting on the sidewalk with an entire four barrel carburetor laid out in pieces in front of them. These two jarheads had no clue what they were doing. They were taking apart anything that had a screw on it. Clearly, these guys needed some help. Now, I spent enough time back home working on my grandparent’s farms keeping the machinery running and reading a lot of old service manuals my dad had collected that I had a pretty good idea what I was doing. “Need some help?” I asked. “Sure could use a hand,” one of them said to me. The big challenge was to put all the parts back together on the carburetor without a new gasket kit, and make it work again. I’m telling you,

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this was one big mess for sure… these guys went as far as taking the small screws out of the butterfly flaps. (Never had much luck getting those things out when they are peened into place myself.) After I had the carburetor back together and installed on the car the last thing was to put the plugs back in and sort out the firing order. Only one problem, they broke one of the spark plugs off while taking them out. “Looks like we’ll have to run it on 7 cylinders for now,” I told them. It took a minute or so for the fuel to get up into the carburetor, but it did run. The exhaust was falling off, it was running pretty rich, but it was running. The guys were ecstatic! They bought the car for 50 bucks from another Marine who was getting shipped out, and the car had been sitting for about a year right there in the parking lot. Just hearing it run was an improvement. We all hopped into the car and drove around the barracks a few times belching smoke, backfiring, and making enough noise to bring the MP’s to the scene. (They thought it was pretty funny too… let us go with a warning.) After this little escapade I ended up being the barracks’ mechanic for everyone’s car problems. Most everything was “parking lot” type repairs, no engine rebuilds or tranny exchanges, just basic problems that could be handled with basic tools that a couple of young Marines could afford. It wasn’t til after I was out of the service that I realized repairing cars seemed to always fall into my lap. So I guess it’s safe to say I was destined to be a mechanic no matter what. A few tech classes, a little tutelage under an old watchful senior mechanic, and I was in business for myself. Well, here it is a few decades later and I’m still turning wrenches, I’m still scrapping a knuckle, and still making a living at it. I guess you could say it’s my career. Looking back on it now I guess I could have done something else with my working years, but like a lot of us See Think Like a Mechanic, Page 37

www.autobodynews.com | MAY 2012 AUTOBODY NEWS 35

Boyd Group Achieves Record Sales in 2011, Acquisitions The Boyd Group Income Fund reported record sales in 2011 thanks to several acquisitions made throughout the year that added $94.1 million to the company’s top line. The company also reported a same store sales increase of 6%, a more important indicator of business conditions. Brock Bulbuck, President and Chief Executive Officer of the Boyd Group, said, “The addition of Cars Collision to our operations had a strong positive impact on our results for the year, as both the performance and integration of this business continues to meet our expectations. We also saw meaningful positive samestore sales growth in 2011 despite the headwinds from persistent challenging market conditions as well as a difficult comparable period in 2010 given a significant hail storm experienced in the Arizona market late in the year. Miles driven continued its trend downwards this past year due, in part, to elevated levels in unemployment and gas prices. However, the merits of our business model and related strong industry position and geographical diversity have proven to counter this downside.”

Farmers Recognizes Caliber Collsion as MSO of the Year

Farmers Insurance announced that Caliber Collision Centers has been awarded the 2011 National Multiple Shop Organization of the Year Award for outstanding operational and customer satisfaction management. Under the leadership of Steve Grimshaw, President and CEO and Mark Sanders, Chief Operating Officer, Caliber Collision delivered the proactive management and self-discipline required by Farmers to further improve Farmers policy retention and customer value. “We wish to congratulate Caliber Collision on being named Multiple Shop Organization Group of the Year,” said Odom Wu, national director of auto specialty claims for Farmers Insurance. “Caliber Collision has consistently provided Farmers Insurance’s customers with excellent customer service, and a strong commitment to quality vehicle repairs, thus earning them the distinguished honor of MSO Group of the Year.” “Thanks to the hard work and commitment of Caliber Collision’s more than 2,500 associatese are honored to be awarded Farmers Insurance’s 2011 National MSO of the Year,” said Steve Grimshaw, Caliber Collision President and CEO.

36 MAY 2012 AUTOBODY NEWS | www.autobodynews.com

CollisionPartsSource.com Platform Now Available

VehicleOwnersGuide.com announced that CollisionPartsSource .com, a parts e-commerce platform, is now available for free to collision repair facilities in the United States and Canada. CollisionPartsSource. com creates a marketplace where collision repair facilities can list parts they have on hand for sale or trade to other collision repair facilities or publish a parts wish list. Parts suppliers or other collision repair facilities can view shops’ wish lists and submit offers via email directly to the repairer from CollisionPartsSource .com for the listed parts. The process is designed to facilitate the communications between collision users of parts and those that wish to provide them. Parts such as assemblies that are still usable but not returnable, uniside assemblies that are only partially used, or parts that weren’t returned for what-ever reason and are in shops’ parts rooms can be made available to other repairers. For more information, or to use the free module, visit www.EstimateScrubber.com or www.CollisionPartsSource.com.

Diamond Standard Says its Warranty Exceeds the OEMs

Diamond Standard Parts says its Limited Lifetime Warranty from the Diamond Standard Brand and its associated manufacturers group, Reflexxion Automotive and Production Bumper Stampings, exceeds the service parts warranty on OEM structural bumper components, stepbumper assemblies and face plates, and replacement hoods. The company says the warranty on all of its new parts exceeds the warranty offered by the OEMs, who typically offer coverage for 12 months or 12,000 miles from the date of installation or purchase.According to Diamond Standard, state regulations regarding aftermarket or crash parts warranty are typically general and require insurer or collision center disclosure statements such as: “must disclose estimate is based on use of body parts not manufactured by the original car manufacturer and that warranty applicable to the parts is provided by the manufacturer.” One state, for example, goes a step further and requires that “a copy of the part warranty will be provided with the estimate.” Diamond Standard has published aftermarket parts regulations for all 50 states on its website, diamondstandardparts.com under the Certification banner.

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Shannon MacDonald

custom vehicle painters; she doesn’t believe in using templates or taping off sections as she paints—she believes that gives her work too much hard edges. Shannon says she starts by outlining what she wants to paint with pencil, then she comes in with the spray gun free-hand. She starts out with the light colors, so at first it looks like a sepia-toned painting, then she comes in with an array of translucent color. Shannon says she prefers to paint the ‘old-school’ way and doesn’t conContinued from Page 35

Think Like a Mechanic

in this automotive repair business, this was my calling. I am one of many mechanics and technicians of any small town or big city who might have done something else with their life, but cars and tool boxes became our vocation. I may have chosen to be in

sider herself a graphic artist. Most of Shannon’s work has been labeled ‘hyper-realism.’ Shannon also uses an electric eraser, a drafting tool. A tool she calls her “second favorite”. She has been in the process of working on an air eraser for a few years now. It will come to fruition with the help of Anest Iwata. Her version will be more like a polishing tool like that of a dentist. It will have different variables and several eraser tips of various densities. “Speaking as the number one Beatles artist in the world, it’s a heavy ride to get to number one—but once you’re there it’s almost more difficult to stay there and fend off all the num-

ber twos who want your spot,” said Shannon, “But I’m very lucky to have the spot I do.” Shannon is currently working on a Beatles tribute piece that represents and celebrates the 50th Anniversary of the last member to join and finalize the famous quartet, Mr. Richard Starkey (Ringo Starr). She will fly to the UK to unveil that piece in Liverpool. This August, in Salt Lake City, Utah, she will be one of the headlining artists at the event “ASET presents The Ultimate Air Affair”. She also plans to attend SEMA again this year with ASET (Automotive Spraying Equipment Tech-

nologies) and Anest Iwata. Shannon will be displaying and painting live, as well as introducing some new SHANNON PRODUCTS including her air eraser mentioned earlier in this piece. Shannon is also teaching both custom automotive and illustration worldwide for those looking to start a career in airbrushing or for those who are accomplished looking to take it up a notch. For those interested call Shannon’s studio in New Jersey at 310-739-4930 or ASET at 800-6285449. See more of Shannon’s art, as well as her music, at www.theshannongallery.com.

this business but quite honestly, it might have actually chosen me. Can’t say it’s been that bad of a deal. I’m sure everyone in the business has a story to tell of how they got started, and when I get the chance to hear someone else’s story I’ll take the time to listen. It’s really fascinating to me how we all ended up here… bending over the hood of a car or truck. I’m very proud of the auto indus-

try, and I’m proud to be a part of it. Whatever some people may think about the job of a “mechanic” or how they might try to degrade it, there’s one thing to keep in mind…. it’s a necessary part of the world we live in. This country is built on moving goods, products, and people from one place to another, and without mechanics everything would come to a complete stop. As a tribute to all of the mechan-

ics, technicians out there… a tip of the hat to one and all… your dedication and hard work should be commended. If no one else will say it… I will… Thank you for your continued efforts. You keep fixing them and I’ll keep telling your stories. Here’s a hand salute from an old Marine to everyone in the automotive trenches. I appreciate every one of you… 100 percent. OohRah!

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Matrix System Launches World’s First Premium Low VOC Solvent Basecoat by Melanie Anderson

Matrix System Automotive Finishes, a Michigan-based company that distributes nationwide and in Canada, recently launched an entire line of toners that deliver 3.5 pounds per gallon or less VOC emissions. This revolutionary technology offers customers exceptional hiding with ease of application and no need to upgrade shop equipment. Matrix, a division of Quest Specialty Coatings, unveiled its new line at the NACE Show in Orlando, Florida, last October where professional vehicle refinishers Ken Papich, Matrix’ were the first to Director of Sales discover the Matrix System’s MPB-LV Premium Low VOC Basecoat system. MPB-LV (Matrix Premium Basecoat-Low VOC) sprays like other premium high VOC solvent systems, which makes it “hard to believe that it is low VOC,” Ken Papich, Director of Sales, told Autobody News. Additionally, the MPB-LV utilizes the Matrix System Color Variant Selector System to ensure a great match every time. The new premium low VOC basecoat gives the California and Canadian markets, and other regions contemplating low VOC regulations, the opportunity to choose between waterborne or low VOC solvent basecoat. Matrix partners with several regional warehouse groups to distribute their products to jobbers that sell to body shops and the retail public across the United States and Canada. “Because of this network, Matrix now has inventories that are only hours, or minutes, away,” said Papich. “This really helps lower the operating costs of jobbers and they no longer need to stock so much product. We also have relations with an international distributor which takes Matrix all over the globe. It’s a great American story, as we make all our paints in Michigan and export all over the world.” Matrix System Automotive Finishes is one of the industry’s most successful manufacturers of high quality color, clear coats, primers, hardeners and reducers. Matrix was established as a company dedicated to developing

high performance and affordable refinishing products that perform as well as or better than the leading national brands. The company’s mission is to produce high-quality automotive finishes and provide great value to their customers. “Matrix products sell for less without sacrifice,” said Papich. Matrix has been in business for 30 years, starting with the production of premium clear coats, primers, hardeners and solvents. “We started when there was little competition, as the major paint brands owned the entire market,” said Papich. “We built great relationships with raw material suppliers, and because of lower operating

Company Facts

cuShade® Intermix System now leads the product line, giving body shops the ability to produce over 98,000 colors with exact formulas. It has been estimated that Matrix basecoat colors have been sprayed on over one million vehicles with accurate color match and excellent performance. Like its entry into the clear coat market, Matrix was a pioneer as an alternative automotive refinish brand. “We were able to save body shops nearly 40% of the paint cost and provide a consistent income for our jobbers,” said Papich. Today, AccuShade has evolved to a multi-quality intermix systems—premium to economy-

● Founded in 1983, Matrix employs over 100 full-time associates. ● Matrix products are manufactured in a 52,000-square-foot modern production facility in Commerce Township, Michigan. ● Matrix System’s corporate headquarters, warehouse, and training facility are located in Walled Lake, Michigan. ● 1.4 million gallons are produced annually. ● 4.0 million dollars of modern production paint equipment. ● Bulk resin and solvent tanks are hard piped to mixing tanks. ● 16 bulk resin and mixing tanks on electronic load cells hard piped to filling lines. ● 7 automated filling lines with batch coding systems and automated labeling systems.

Online Contest

Matrix is offering a “Peel to Win” online promotion to all their body shop customers who purchase a gallon of Matrix System’s MP-1000 “Coast to Coast” DTM Primer Surfacer Sealer. To qualify, customers need to purchase a specially marked gallon can of the MP-1000 DTM Primer Surfacer Sealer, peel the sticker, follow all instructions on the back and visit the Matrix website to register. Winning prizes include iPads, Iwata Air Guns and spray guns, VISA gift cards, mixing equipment and more. The program runs until September, 2012.

costs, produced premium products at nearly half the price of the major competitors. We never had to cheapen our products to keep the selling price low. This quest for staying true to our formulas paved the way for loyal end users.” Today, Matrix is one of North America’s largest clear coat manufacturers. Back in 1997, Matrix introduced the first Intermix Paint System, called AccuShade. Since bursting onto the national scene, Matrix System has been selling its AccuShade® Intermix Paint Systems, FX Series custom colors, clears, primers, and reducers to over 350 paint stores and thousands of body shop customers. The Ac-

38 MAY 2012 AUTOBODY NEWS | www.autobodynews.com

priced basecoats, single stage paints, and now the world’s first premium low VOC solvent basecoat—MPV-LV. Not all the paints and products that Matrix offers are low VOC. Matrix sells multiple products for all markets, including international. “Many people think California must only use low VOC, but a large part of the state doesn’t require this. We comply by providing accurate information for our distributors regarding what’s legal and what’s not.” Moving forward, Matrix is creating “Coast 2 Coast” products that are legal in all of North America. “Our new paint products perform so well, we didn’t tell customers that they were

using low VOC coatings because we felt body shops wouldn’t want to buy products they didn’t ‘have to’ or would have preconceived notions that they wouldn’t perform,” said Papich. “So, some of our labels do not feature the scary words ‘low VOC’ but we do provide all the necessary regulatory information.” While some may think the current regulatory environment is complex, Papich doesn’t think so. “If you take the time to read and understand the rules, they are very simple. I only wish the rules didn’t vary between counties or states.” In addition to the Matrix label, the company manufactures coatings for several other brands and distributors. “Paint manufacturing is a complicated and costly endeavor,” Papich said. “Smaller distributors and manufacturers now contract with us for less than it costs to make paint themselves, and with consistent results.” Papich grew up in the paint business, working in his family’s paint store in San Diego, CA in the early 1980s as a teenager. He helped grow the family store into two large profitable locations. “I always wanted to be in law enforcement, but couldn’t give up my passion for the paint business. In the early 1990s, we sold our stores to Sherwin-Williams and my dad retired. I continued to work for SherwinWilliams in various roles, my last as the Regional Sales Manager overseeing 21 locations and 140 employees. In 2008, I moved to Matrix and have been truly blessed to work for such a great group of people.” Since 2007, the company has doubled in sales and Papich thinks it’s only the beginning. “Matrix is a lean company where we all wear a lot of different hats. I’ve learned so much in the past few years, and it’s all been fun. I look forward to our future as Matrix continues to experience record growth globally. “Matrix has definitely earned our place in the market as a premium line at great value,” Papich added. “Today, we’ve become a viable alternative to the major brands, without sacrifice. We’re committed to adding additional field resources, along with developing state-of-the-art technology. I see continued global growth for Matrix as we strategically increase market share and brand awareness. Matrix is a great line worth looking into. We have a great story to tell and can prove it.”

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Insurer Report Card in Oregon Ranks State Farm #1, Farmers and GEICO Replace Allstate at Lowest Rank State Farm and two smaller Northwest-based auto insurers continue to be among the best at taking care of their customers after an accident. And some of the other larger, best-known insurers – including GEICO, Allstate, Farmers Insurance and Safeco – are among the worst. That was the finding of the latest survey of businesses that interact with auto insurers on behalf of vehicleowners every day: Oregon collision repair shops. “Collision repair shops on a daily basis see how various insurance companies take care of Oregon drivers after an accident, so we feel it’s worthwhile to ask how they rate the various insurers,” said Barbara Crest, executive director for the Northwest Automotive Trades Association (NATA), which conducted the survey of Oregon shops. “We believe their views will be helpful to insurance companies and consumers.” About 600 collision repair shops throughout the state received the sur-

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(followed by grade in 2011) B+ (B+) B (B+) B (B) B- (B-) C+ (C+) C+ (B-) C+ (B-) C+ (C+) C+ (C+) C+ (C+) C+ (C) C (C) C (C+) C (C) C (C) C (C) C (C) C- (C) C- (C-) C- (D+) D+ (C-) D+ (C)

Non-DRP Shops** B B B BC+ C+ C+ C C C C C C C C C CCD+ CCD+

DRP Shops** AAAn/a n/a n/a B B+ n/a n/a B n/a n/a n/a n/a C+ n/a C B n/a n/a B-

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vey, which asked them to grade the Top 22 auto insurers in the state in terms of how well each company’s “policies, attitude and payment practices ensure quality repairs and customer service for Oregon motorists.” This is the sixth time the association has conducted such a survey since 2004. Crest pointed to a number of items of interest in the findings of the latest survey: • Repairers have consistently given the same three companies a grade of B or better all six times the survey has been conducted. State Farm has continued to hold on to the top spot, receiving an overall grade of B+ again this year. Two Northwest insurance companies, Oregon Mutual and Mutual of Enumclaw, maintained a grade of B to again finish just below State Farm. State Farm is the largest auto insurer in Oregon: Mutual of Enumclaw and Oregon Mutual are ranked 12th and 13th, respectively. • Only two insurers, Allstate and Liberty Mutual, saw their grades im-

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prove from the previous survey. Allstate improved from its last place finish last year with a D+ (its grade since 2008) to a C- this year. That helped Allstate nudge up past GEICO and Farmers, whose grades dropped, making them the only two to receive D+ grades this year. But Farmers, GEICO, Safeco and Allstate remained as the four lowest-ranked insurers as they were last year. • Other insurers seeing half-grade drops this year were Oregon Mutual, Travelers, Unitrin, Country Companies and 21st Century (formerly AIG). • California Casualty is the most improved insurer over the years the survey has been taken. In 2004, the company earned a C- and was ranked 16th among the insurers. It has improved over the years to this year’s C+ and fifth-place finish. • One-third of shops gave Farmers a “F,” the most failing grades received by any insurer. (By comparison, GEICO, the second-tolowest graded insurer received half as many Fs as Farmers.) State Farm received an “A” from nearly-two thirds of shops, twice the number of secondplace finisher Oregon Mutual.

• In most cases, the grades given a particular insurer from shops involved in that insurer’s direct repair program (DRP) were higher than those given by shops that are not part of that insurer’s program. This was particularly true with Safeco and Farmers; their DRP shops gave them grades of B- or better while non-DRP shops gave these same insurers grades of D+. But even Progressive and 21st Century direct repair shops gave those insurers only average grades of C+ or lower. “Collision repairers say the insurers receiving the highest grades – which includes both larger and smaller insurance companies – do the best job of taking care of Oregon drivers after an accident,” Crest said. “We hope consumers will take these ratings into account when choosing an auto insurer, and that insurers that received lower grades will work to improve their performance.” More than 70 shops throughout Oregon responded to the survey.

Continued from Page 10

Gunder’s Gets Paid “The more we do, the faster they seem to settle,” says Gunder. “The best thing is that more and more insurers and claims people are paying what is fair and reasonable to avoid being sued. The need for legal action is decreasing as more insurers pay what is fair and reasonable. “We have a reputation for quality work, and I hear on a regular basis now, ‘I’m told to pay Gunder’s what you ask for because we know you’re going to do it… and actually Ray, we would pay other shops in your area but they simply don’t ask.’ “I’m overwhelmed by all the attention I’ve been getting on these issues, but as I’ve said many times and continue to say, I’m just a simple country boy who works hard to please

my customers and who wants to see my hardworking employees get paid for every drop of sweat they drop. I couldn’t have waged these efforts or been as successful if it weren’t for my brilliant attorney, Brent Geohagan (see CCRE story this issue), and the experience and business coaching of Barrett Smith of Auto Damage Experts, both of whom have become very close and trusted friends of mine. Without their wealth of knowledge and their moral support and encouragement, I don’t know if I would have or could have embarked on this journey.” “We stay very busy, and last week was no different other than we received three settlements from insurers to bring closure to three lawsuits; and we filed a new lawsuit against Travelers!” states Ray Gunder, founder of the 43 year old Gunder’s Auto Center in Lakeland, Florida.

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DOE to Accelerate New HighTech Materials for Autos

The Department of Energy recently announced a new $14.2 million effort to accelerate the development of new high-tech materials for vehicles that will help reduce U.S. dependence on foreign oil and pollution. The announcement specifically named carbon fiber composites and advanced steels and alloys as targets for the funding. “By investing in next-generation vehicle materials and components, we are helping U.S. manufacturers improve the fuel efficiency of our cars and trucks and ensuring American companies remain at the cuttingedge of the global auto industry,” said U.S. Energy Secretary Steven Chu. “Lighter, stronger materials will help improve the performance of our vehicles while saving families and businesses money at the pump.” The department acknowledged that replacing traditional components with lightweight materials, including advanced high-strength steel, magnesium, aluminum, and polymer composites, allows manufacturers to include additional safety devices, integrated electronic systems, and emissions control equipment on vehicles without increasing their weight.

LKQ’s ‘Promise of Protection Program’ has Launched

LKQ Corp., the largest provider of aftermarket and recycled collision replacement parts and refurbished collision replacement products in the nation, has announced what it describes as “the strongest warranty protection in the aftermarket category.” Effective immediately, LKQ says it will indemnify licensed auto repair shops against injury or damage caused by a defective aftermarket vehicle replacement product distributed by LKQ. LKQ says its “Promise of Protection” is unique in the auto parts industry offering unparalleled product liability indemnification. “We have always stood behind our product quality and offer lifetime warranties for all of our aftermarket crash parts, that’s not new,” said Rob Wagman, president and CEO of LKQ. “Our Promise of Protection goes one giant step further by offering product liability indemnification. “This new program clearly demonstrates our higher level of quality assurance beyond the lifetime warranty, so our customers can be totally confident when buying and using our products in their repair businesses.”

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OSHA Publishes Final “Right to Understand” Rule

OSHA published its final rule aligning its Hazard Communication (HazCom) Standard with the Global Harmonization System for Classifying and Labeling Chemicals (GHS). The rule, known as HazCom 2012 or the workers’ “Right-to-Understand” rule, substantially changes OSHA’s current standard and affects over 40 million employees at more than 5 million facilities nationwide. Employers must train all employees on the new HazCom standard before December 1, 2013. Now that the final rule has been published, hazard communication procedures must change. Facilities must apply new chemical classification criteria, replace ALL MSDSs with new Safety Data Sheets, update or replace chemical labels, and train employees on the new standard. To help industry professionals understand the changes they must make, Lion Technology will offer the Preparing for OSHA’s New GHS Rule Web Seminar monthly through the end of the year, on May 15, Jun 21, Jul 17, Aug 16, Sept 25, Oct 23, Nov 15, and Dec18. More information: www.lion.com/Preparing-forOSHAs-New-GHS-Rule.

VW Names OEConnection as Collision Program Provider

OEConnection LLC, the parts e-commerce technology leader for OEM distribution networks, announced today that it has been chosen by Volkswagen of America, Inc. (VWoA) to support their ongoing Collision Programs. Under the agreement, dedicated resources from OEConnection will conduct field visits to thousands of collision repair facilities and hundreds of Volkswagen dealers throughout the U.S. to promote the VW Genuine Advantage Parts Program. OEConnection field consultants will educate and train Volkswagen dealers and their wholesale body shop accounts on CollisionLink®, the online parts ordering and fulfillment solution from OEConnection, which was selected by VWoA in 2010 to automate its discount parts program and help VW dealers compete with aftermarket parts suppliers. The multi-year consulting agreement follows successful collision initiatives in 2011 that led to a marked increase in incremental sales of Genuine VW collision parts. Improved Genuine VW parts usage helps Volkswagen customers have the best possible repair experience and ensures optimum occupant safety.

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Industry Insight with John Yoswick

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

Standards Program in the U.K. Offers Lessons for the U.S. As the discussion of how and whether through observing the U.K. market the industry should develop some sort and speaking with shops there. of formalized collision repair stanHe predicated his remarks by dards continues,with Paul Gange brings a saying that Fix Auto USA is commitEd Attanasio somewhat unique perspective on the ted to repair stantopic. dards, ensuring Gange is the president and chief that all of its franoperating officer of Fix Auto USA, chises here, for exwhich has 48 franchise locations in ample, maintain four U.S. states, as well as 151 shops the I-CAR Gold around the country using the comClass designation with Ed Attanasio pany’s services as part of a more of ongoing trainPaul Gange loosely-knit “network.” ing, and use a But Fix Auto also has a similar third-party, VeriFacts Automotive, to organization in the United Kingdom, help ensure repairs are being done with 68 franchises in a market that has correctly. implemented a repair standards pro“Fix Auto is committed to repair gram that is most often mentioned as standards that are universally adhered a potential model for one in the United to and which ensure vehicles are reStates. turned to the road safely,” Gange said. Speaking recently on the ColliThat said, he offered the following prescriptions and warnings for sion Repair Executive Webcast those involved in the standards effort (CREW), Gange shared some of the here. perspectives on standards he’s learned

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● Discussion of standards can easily lead to multiple “standards.” Gange said the standards effort in the U.K. began in the 1970s along with the shift to unibody vehicles. One industry organization developed a standards program, which about 2,700 U.K. shops implemented over a fouryear period. But 300 other shops balked at that standard, and created and implemented a different set of standards. Eventually there were at least three such programs, and shops

found themselves being required by different insurers to implement multiple standards, just as U.S. shops often have multiple estimating systems to meet different insurer requirements. “This was, at the very basis, a bit of a mess,” Gange said. Some say the U.S. market is going down a similar road, with an increasing number of shop certification programs by the automakers and See Standards Program, Page 55

Other Voices on Standards

Several other industry participants offered their view of the industry standards development process during a recent Collision Repair Executive Webcast (CREW). Mike Quinn, who co-chairs a Repair Standards Advisory Committee working on the issue, said crash testing of a vehicle repaired using methods considered safe just a decade ago showed that if used today, such Mike Quinn methods would compromise the safety of passengers in a subsequent crash. “The results were disastrous, and if we don’t think we’re under a microscope by litigious attorneys or governmental agencies, we’re kidding ourselves,” Quinn said. “The ostrich approach has not worked for our industry. The consumer expects and should have comfort that cars are being safely repaired to a standard so their family is safe in that repaired automobile. We have to move forward.” Denise Caspersen of the manager of the Automotive Service Association (ASA) Collision Division, agreed that standards could improve shop consistency and efficiency, as well as repair quality, customer satisfaction and the industry’s professionalism. But, she said, ASA members have expressed concerns about whether a standards program would be open to shops of all sizes, whether it would be recognized by consumers, and whether it Denise Caspersen would offer a return on investment for shops or rather just add another cost for shops. Steve Nantau of Ford Motor Company agreed that in order to be successful, a standards program would have be recognized as valuable by consumers and insurers. He believes if the industry doesn’t develop a single, recognized program, even more automakers and other groups will implement their own such program, none of which will end up with enough “traction” for Steve Nantau widespread recognition. www.autobodynews.com | MAY 2012 AUTOBODY NEWS 43

John Wallauch INTERVIEW by Ed Attanasio

John Wallauch, 75, of Granite Bay, has been appointed chief of the Bureau of Automotive Repair by Governor Brown, replacing Sherry Mehl. Wallauch brings over 50 years of experience working in the public and private sectors on issues involving air quality and consumer protection. He has served as program manager for the California Air Resources Board, Smog Check Program since 2007. He was also the executive officer of the Inspection and Maintenance Review Committee for the Bureau of Automotive Repair from 1999 to 2002. The BAR Chief position requires California Senate confirmation and his annual salary is $118,620. Wallauch is a Republican. Many auto repair facilities look at the state’s Bureau of Automotive Repair the way a hunter looks at the Fish and Game Department. Necessary, needed to be treated with respect, but also a potent force that can snare an unwary, and perhaps unwitting operator. In the spirit of keeping the lines of communication clear and open, we sat down with John Wallauch, to learn what shops can expect from the BAR under his leadership. Although he’s only in his first month in the job, we asked him to assess his goals for the organization and specifically how will he be approaching the collision repair industry.

ABN—In this position, you will be overseeing an enormous organization with over 600 employees and an annual budget of almost $190 million. How have you prepared for this job during your career span, and what have you learned about the job since being appointed on February 13, 2012?

JW—My enthusiasm for this position could not be higher. I’ve learned that I’m basically young at heart. The appointment was both a surprise and a huge honor. As you may know, I worked at BAR many years ago so coming back as Chief is very special to me—it’s a fulfillment of a lifelong dream. At the California Air Resources Board, I was working on the Smog Check Program issues and have been aware of what the BAR has been doing over this period of time. The Bureau’s staff and I agree that we are on the same page when it comes to serving the state, all of our car owners, and indus-

try as a whole. Our main focus is consumer protection which is embedded in everything we do. By forging a team approach, we can get things done in an effective and timely fashion. I know that my predecessor made a lot of beneficial changes during her tenure, but my way of doing business is a little different. I strongly believe that all open employment positions with BAR should be put to bid with jobs posted on VPOS, making them available to anyone who is qualified and wants to apply. That way, it is an accessible process where everyone has a chance, the results of which will be hiring the best possible people for each vacancy. Overseeing a $188 million annual budget with 640 employees and 12 field offices is a large job. We oversee the activities of 5,177 companies in California that are registered as body shops. During my career, I’ve held several positions overseeing diverse company projects that were dispersed over large geographical regions so I am comfortable with keeping communication open and inclusive. ABN—In the late 1990s, you served as the BAR Interim Executive Officer for the Inspection and Maintenance Review Committee. You also served as the Bureau’s Deputy Chief of Field Operations and Engineering Division, being instrumental in implementing California’s first Smog Check Program. Do you believe that your familiarity with BAR will make it easier for you to achieve your goals?

JW—Most definitely. One of my primary goals is to get the Smog Check Program in this state working as it should. With the California Air Resources Board, I was assigned as the liaison to BAR so I have been in the loop for quite some time. We met almost weekly with the people from BAR so I was in a position to foster those relationships during that period of time. This way, I was aware of what programs and projects BAR had on their front burner. ABN—How does BAR plan to deal with the number of auto body shops that are unlicensed? JW—We are pursuing unlicensed shops by using a tool called Cite and Fine,

44 MAY 2012 AUTOBODY NEWS | www.autobodynews.com

which authorizes us to either cite or fine them, depending upon on the gravity of the violation(s). The issues run the gamut from the guy who offers to repair brakes in a consumer’s driveway to repairing vehicles that have undergone a collision with misrepresentation and substandard work. When we locate unlicensed facilities, we usually give them a notice that they must be licensed to perform the work they are doing. We give them a specific period of time to become licensed. After that period of time, we penalize them. During this recession, you may be seeing an increase of unlicensed operators because so many people are doing what they can to make ends meet. Much of unlicensed activity is driven by the hard-hitting economy. However, unlicensed activity negatively impacts the law-abiding shops as well as the unsuspecting consumers who are doing business with shops that are illegal. Any time you come across such a business, please contact us so we can look into it immediately. ABN—In a recession, do you see more body shops cutting corners to save time and capture more revenue?

JW—With the past few years, the BAR has been tracking more salvage activity which falls outside the law. Cars that are considered “totaled” by insurance companies are often purchased by salvage companies, fixed up, and re-sold. This type of activity is becoming more prevalent. We have ways to identify these “midnight shops,” some of which are in the unlicensed used car business. They are creative in washing paperwork and “shopping the cars’ titles” back east and then registering them in California. That way, they lose the salvage title to make it look legitimate. We need our body shops to help us identify these kinds of violators. We warn consumers that if someone offers them a car, which is well below market price, be suspicious because there are no assurances for these vehicles. If the asking price is too good to be true, it probably is.

ABN—When your predecessor, Sherry Mehl, took the job, one of her promises was that the BAR would be a kinder and gentler organization. Will you continue to do so, and how will you accomplish it?

Cover Story

JW—One of my first priorities was establishing an open door policy. It is important to stay connected to our staff members so that communication is a two-way practice. I find this helps morale and makes everyone part of the team to contribute to and achieve our goals. My message is “let’s have full disclosure with industry and deal fairly with people at every level.” I believe that full transparency, including written estimates, ending “Five O’ clock surprises,” and getting prior authorization before raising the price have gone a long way to reducing consumer complaints. Full disclosure protects the shop and vehicle owner because if the shop uses aftermarket parts, they must reveal this to the consumer. It is a hot issue because it involves four parties: the shops, the consumers, the parts suppliers, and the insurance companies. All of our complaints are proactively pursued and closed within 45 days of filing. We are proud of this turnaround time. ABN—Many people have suggested that the BAR should conduct industry rate surveys in order to guarantee objective surveys that can be trusted by all parties involved. Is this plausible in your opinion?

JW—BAR is not an accounting organization per se, but we certainly have the authority to create new regulations. This is a subject that we can discuss further. We might consider subletting the survey to a private firm that does actuarial work. ABN—What are your top priorities relating to the collision industry?

JW—When I last worked at BAR, the auto body industry was not part of their jurisdiction so I am brushing up on the issues impacting the auto body industry and how BAR can make a difference. As I become more familiar, we can set goals and objectives that can be flexible over time. Right now, my primarily objective is to implement the changes in the Smog Check Program as a result of the enactment of AB 2289 and its regulatory package. BAR exists to assure the people of California that we are doing everything possible to ensure consumer protection with all of their contacts in the automotive repair industry.

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CAA San Diego Chapter Meeting Goes Nuts Over Efficiency by Erica Schroeder

Paul Amato, who owns Amato’s Auto Body in San Diego, will be the first one to tell you that he’s totally nuts. When he spoke recently on shop efficiency at the San Diego chapter of the California Autobody Association monthly members meeting, Amato prefaced his presentation by saying, “I might offend some people, so be prepared.” Equipped with each of his shop efficiency tips and a few gag props, Amato opened his presentation by handing out some nuts. “I really am nuts—so here’s some nuts,” said Amato. He broke out a pink elephant nutcracker that he introduced at the beginning of the night as the anti-trust rules were read, calling it “the elephant in the room.” He used the elephant to crack the nuts that represented topics like aftermarket parts, DRPs, etc., but continued to reiterate, “we can’t talk about it,” CRACK, “but we can’t talk about it.” While literally cracking wise, he had a serious message and a sincere interest in transmitting shop efficiency tips he had come up with to solve issues around his shop, which has been in business for over 32 years. About 75 collision repairers were in atten-

dance, including a number of nonmembers that came in support of Amato. Incoming chapter President Shon Craft pointed out the blank 3 x 5 cards at each person’s seat were designed for written suggestions for future meetings—part of a more open, roundtable discussion atmosphere the organization is looking to create. Amato’s first suggestion was to increase communication between the front of the shop and the back of the shop using his famous “star stickers” as a model. If an estimator gets a customer that’s a total pain, he puts a star sticker on the car. That way as the car

Amato’s Auto Body, Inc.’s Many Distinctions in San Diego Amato’s Auto Body, Inc., is a leading provider of luxury auto repair in San Diego, is pleased to be one of the few auto body shops in San Diego that employs luxury-certified technicians. Amato’s is one of only three repair centers in San Diego with factory trained technicians from the top luxury automotive companies. Their technicians are certified by the top brands and industry leading organizations, such as the Lew Kinney & Associates, Porsche, Mercedes Benz, Lexus Advanced Painting Techniques, Glasurit, Chief Automotive Systems and others. Amato’s is also the only BMW factory trained repair center in San Diego. Furthermore, they hold six certifications from the top luxury automotive brands: Audi, Aston Martin, Mercedes Benz, Porsche, and Volkswagen. In addition, Amato’s techni-

makes its way around the shop, each person working on it knows that this car belongs to said total pain and it better be perfect. The customer is also none the wiser since this star sticker is seemingly innocuous. Amato orders his star stickers through www.printglobe.com. Amato’s office staff also has smaller star stickers that they put on these pain-in-the-butt customers’ files. According to Amato, now everyone knows that this customer is very particular. Amato has also come up with a way to stay better organized and make his office staff more accountable. Each person in the front office that handles files has different colored file folders. This way everyone knows who did what paper work going forward because of the color coded system. Amato designed these files over 5 to 6 years and not only are they color coded, they also have a myriad of information on the outside of the file so you don’t have to go digging through the folder to find simple information. Amato also has the first technician who reads the estimate put a blank luggage tag on the mirror of cars needing alignment—this way everyone in the shop knows just by looking at the car which cars need to

46 MAY 2012 AUTOBODY NEWS | www.autobodynews.com

cians are continuously trained and recertified by the top luxury brands and industry organizations.

“These certifications not only decorate our walls, they make us feel proud that our technicians are passionate and trained to deliver the best quality in auto body and repair services,” said an Amato’s representative. “We are proud to be the only repair facility in San Diego County with all of these certifications.”

go out for alignment. Amato has also cut down on how much it costs him to get cars over to his alignment shop. He bought an old ‘beater’ car and parked it at the alignment shop, that

Each person at Amato’s Auto Body – from the receptionist to the repair technicians – is committed to providing ultimate customer satisfaction. They strive to provide unsurpassed quality service and superior automobile repair to every client that walks through their doors in Sorrento Valley. “Our facility employs a full range of manufacturer approved state-of-theart equipment to ensure your vehicle is repaired to the original OEM specifications and ‘good as new’ condition,” said the representative. Whether you need Porsche repair in San Diego or Mercedes Benz repair in Rancho Santa Fe, our convenient location serves customers from all over San Diego and Orange County.” “There’s not a body shop in the country that’s built like mine,” he says. “No way.”

way when he drives cars over there, he can drive himself back to his shop. He doesn’t need two people and two cars to go back and forth each time. Amato is big on using stickers

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and signs on the cars to be repaired in his shop. A blue sticker is put on the car that says the customer name and the target date for the repair to be completed. If the target date is missed, the technician responsible for that job is notified and the blue sticker is replaced with a red one that has the new target date on it. Amato also fixes a red flag to the top of the car so everyone in the shop can see that job missed its target date and is now priority. He also prints his estimates on an 11x17 sheet of paper because they’re

bigger and easier to read than the 8.5x11. “The big sheet is primary—all other papers don’t matter,” said Amato. If the original ‘big sheet’ estimate comes back from the insurer and needs to be modified, the second big sheet estimate is printed on a different color paper so that the technicians will notice the difference between the two. Amato also has stickers that say “Repair Pinchwelds”, “Bench needed”, and “Send out to Keystone”—among

others—this way communication throughout the shop stays on the actual car. Amato orders all his stickers special order through www.ideaautorepair.com and www.onlinelabels.com. When a car is ready to go home, Amato has a mandatory check out list he created. Everything on the list has to be checked off before the office staff calls the person and lets them know the car is ready for pick up. Amato calls it the “Perry Pad” after the employee that thought of the idea. They will also be adding a “Bluetooth” check mark to

the list as well, so techs remember to make sure the Bluetooth in certain cars is functioning and connected before the customer picks up the car. Amato orders his Perry Pads through www.ips-online.com. “You don’t want to get caught with your pants down,” said Amato. That’s why the office staff doesn’t call a customer until this list is done. Amato has also invested in 10 vehicles, half of which according to him are totals he bought off customers, that he can loan out to customers. On

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to understand and read the P-Pages,” said Amato. Amato encouraged shop owners at the meeting to buy a scanner that has a printer attached to it. This way the shop can print out the codes and give it to the insurer to get paid for this job. “I do a lot of research before I buy equipment,” said Amato. “In order to make money, you have to spend money on your business.” Amato’s hours of operation structure also helps him to increase productivity. If a tech is sick, Amato’s

rule is they have to make up the sick day on a Saturday or Sunday. Amato’s is open on Saturdays and Sundays, but just the back of the shop, not the front office. He also skews the hours when his techs work; some come in very early in the morning and work on

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Santa Cruz (800) 549-8490 (831) 420-1402 (831) 420-1923 Fax Mon.-Fri. 7:30-6; Sat. 8-5 parts@santacruzsubaru.com www.santacruzsubaru.com

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Shingle Springs Subaru Shingle Springs (530) 676-0444 (530) 677-6528 Fax www.shinglespringssubaru.com

www.autobodynews.com | MAY 2012 AUTOBODY NEWS 49

BASF Recounts How Innovations Meet Needs and Adding Value for Customers by BASF Staff

Market-Driven Innovations That boost efficiency and customer satisfaction With competitive pressures in the collision repair industry at an all-time high, it’s more important than ever to implement innovative new technologies and business practices. And while profitable growth demands increased productivity and new cost efficiencies, an old-fashioned commitment to first-rate quality and responsive customer service continues to distinguish the most successful collision repair centers. When it comes to delivering in all of these areas beyond your customers’ expectations, it’s vital to have a leader in the coatings industry in your corner. BASF is that leader, with a proven track record of delivering the finest coatings along with the training, color information and productivity tools that high-volume production shops, customizers, restoration specialists, auto auctions and others need to succeed in their respective markets.

New Products Can Reduce Cycle Times One area where BASF has set the pace of change is in new formulations that significantly reduce cycle times. Examples include a high-build, corrosion-resistant UV primer used to repair minor defects, which is applied in one or two coats and then cures in just a few minutes with an ultraviolet light. And, a new high-performance line of no-bake clears is further evidence of BASF’s technological leadership and commitment to making work processes more efficient. According to Market Segment Manager Tony Dyach, sales of the nobake clears have been “amazing” since their introduction last fall. “Our customers have realized an immediate benefit from the no-bake clears’ minimal flash time” he said. “This allows vehicles to be moved out of the booth sooner, freeing up an area that tends to be a bottleneck in busy shops.” As the name clearly indicates, no-bake clears can be applied without

firing up the bake cycle. They feature fast flash off times without the need to bake, or can be baked at low temperatures if desired. “So, no-bake clears mean lower fuel use, further reducing the shop’s carbon footprint,” noted Brian Koevenig, lab manager at Technical Customer Service, North America. As an integral part of BASF refinish systems, these no-bake clears help to significantly reduce cycle time while providing a high-gloss finish. When used as directed, these highperformance clears are not susceptible to die-back issues, minimizing polishing time and further reducing overall cycle times. The new Glasurit® no-bake clears’ fast drying times are wellsuited for limited-area repairs, which account for a majority of the work in a typical collision repair shop. Adding Value with Customer Support BASF’s commitment to customer service doesn’t end with the delivery of its innovative coatings. The com-

pany has also built an industry-leading position in customer support through an array of value-added programs, including VisionPLUS®, a fullservice toolkit designed to help collision center managers grow sales, streamline operations and gain a competitive edge. Another key competitive advantage is BASF’s color information resources, including the highly popular SmartTrak® color management system that provides fast and accurate color formulas. And an extensive Global Color Information database is a favorite of distributors and collision shops, allowing ongoing access to formulas that are continually updated by our global color laboratories. Intensive, hands-on training courses are offered at BASF’s technical training centers located across the U.S. and Canada. The program’s core consists of an extensive curriculum of classes in product knowledge and use, refinish techniques, specialty finish repair, color matching and troubleshooting.

S. CALIFORNIA

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800-553-7438 (951) 549-6564 Fax Servicing L.A., Orange, Riverside & San Bernardino counties

DOWNEY NISSAN DOWNEY

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LITHIA NISSAN FRESNO

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Etaylor@lithia.com www.lithia.com

O e s g m g q E p o tr v

See Innovations and Needs, Page 53

Genuine Nissan and Infiniti OEM Wholesale Parts are superbly crafted to strict quality standards. Use of genuine OEM Wholesale Parts is a shift in the right direction toward trouble-free repairs and quicker turnaround. The following dealers proudly stock genuine parts for your Nissan or Infiniti repairs. Call your local distributor today! 2012 GT-R

SHINGLE SPRINGS NISSAN

SHINGLE SPRINGS

530-676-0444

(530) 677-6528 Fax www.shinglespringsnissan.com

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N iz 50 MAY 2012 AUTOBODY NEWS | www.autobodynews.com

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How Blended Nitrogen Improves on Dr. DeVilbiss’ Invention by Tom Beck, Futurecure

One of the most radical tools and equipment improvements to the paint shop in recent times has been the gravity fed HVLP spray gun. So much more efficient than the old siphon guns, that they are now an EPA requirement. Everyone, including the EPA, along with shop owners, their painters, and their paint suppliers, recognized the HVLP improvement in transfer of paint, from the gun, to the vehicle.

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The sole purpose of a spray gun (atomizer), since it was invented by Dr. DeVilbiss in the 1880s, was to transfer a liquid to a near gaseous state for better area coverage. Dr. DeVilbiss, a nose and throat specialist, developed a medication for his patients and subsequently invented the atomizer to better apply his medicine to the patients. Dr. DeVilbiss realized that the smaller the liquid droplets could be atomized the better the area coverage and the LESS material (medicine) would be required. In those days, over medicating was a serious, sometimes life threatening, concern. Fast forward to today...and the auto painting industry...we pay for a full can of paint, we want to get as much of that paint on the vehicle as possible. Any paint discharged from the gun and not transferred to the vehicle is wasted and collected, as overspray, in the booth exhaust filters. Therefore...it stands to reason, a better transfer ratio equates to longer filter life, and therefore, less filter costs. Now, here’s where the “Blended Nitrogen” comes in. Nitrogen “Atomizes” far better than compressed air.

The paint droplets from an HVLP gun using blended nitrogen are much, much smaller than droplets from a gun using compressed air. Coverage from a gun using blended nitrogen sprays like “BBs” compared to the “Golf Balls” coming from a compressed air gun. One of the reasons for this is that nitrogen is an “inert” gas, meaning it will not expand or contract with temperature changes (especially dew point / HUMIDITY, changes). Therefore, “Blended Nitrogen” is particularly helpful for drying waterborne paint in adverse, high humidity, conditions. Solvent or waterborne.. .blended nitrogen will get more paint on the vehicle and less in the floor filters. We’ve heard about the virtues of nitrogen in other mediums. Over the past few years auto tires, especially race car tires are filled with nitrogen instead of compressed air because the nitrogen will not expand as the tires get hot, thereby changing the tire pressure...a half pound change of pressure at 200 MPH can greatly change a race cars performance. More recently Shell gasoline is now “enriched” with nitrogen. Shell has proven that by adding the nitrogen their gasoline will “atomize” better and burn more efficiently for better mileage and a cleaner engine. Other petroleum companies are sure to “jump on the nitrogen band wagon”. So where do you get the nitrogen from? Not from the guy who supplies the acetylene and oxygen for your touches. Actually, nitrogen is free. It’s, in the air, it’s all around us. You see, an air is made up of 78% nitrogen, 21% oxygen, and some other trace gases. All you need to get it is what’s known as a “Nitrogen Generator” machine. A machine specifically designed for wet painting application. A nitrogen generator (about the size of a small file cabinet) actually extracts the nitrogen from your compressed air supply and delivers it to the painter thru a special air hose. The unwanted gases are discharged back out to the atmosphere. The machine is mounted close to the paint booth for best results. So what kind of results can be expected...We tested the most popular “Blended Nitrogen” system throughout the Metro New York tri-state area with astounding results. However, before we look at the results, let me

touch on why you constantly hear the words “Blended Nitrogen” ... As with most things there can be a down side. Extracting “pure nitrogen” can consume a tremendous amount of compressed air and most shops are not only ill equipped, compressor wise, but don’t want to pay the tab to gener-

ate all the compressed air necessary for pure nitrogen. Pure nitrogen can require as much as 3 times the compressed air to get 1 part of sprayable nitrogen. “Blending” nitrogen machines are almost at a 1 to 1 compressed air to nitrogen ratio, with comparable results. Therefore... “Blended Nitrogen” is the most cost effective way to go. Back to the results...All testing was done within “Actual Shop” conditions and not under “Laboratory” conditions for the most accurate “as in real life” results. We spent weeks, upon weeks, in 10 different shops. Most spraying water, some solvent, spraying a wide variety of the major paint brands. All had full down draft heated booths, some had multiple booths. The tests were as scientifically standardized as possible. The tests were performed by the individual shops painter using the painters personal HVLP gun on actual “work in process” repair jobs as they came thru the shops door. Time studies were compiled on an average “per panel” basis for application of material time...as well as the flash time between coats. It covered a wide variety of materials including water and solvent base coats as well as clear coats. Material transfer was measured in grams applied. In each shop an average of 5 vehicles were painted with compressed air, than the painter unplugged the compressed air line and plugged in the blended nitrogen hose and another 5 cars were painted, there were no other changes...same painter, same gun, same work load. All paint studies were on average collision repair vehicles, no overall completes.

The highest improvement in shortening application time was 44.77% while the lowest was .97%. The highest improvement in shortening flash time was 60.71% while the lowest was 19.48%. The average improvement for shortening “Booth Time” Door Open, Vehicle In to Door Open, Vehicle Out was 27.04%. That’s an average 27.04% increase in booth productivity. At 27% the average booth producing 4 cars a day will easily increase to 5 cars in the same time period with the same painter operating under the same conditions. Material transfer was increased an average of 27.78%. The highest transfer improvement was 45.00% and the lowest was 20.91%. Not only was 27% more material transferred to the vehicle with blended nitrogen, but 27% less material was going into the filters. A few side notes...Hard to cover colors (yellows and colors high in metallic) showed the best results for “Less Costs to Cover” and all painters reported “Less Overspray” in the booth promoting “Cleaner Paint Work”. The blended nitrogen machine not only generates nitrogen but also uses an “Ion Flip” to reverse polarity of the paint material which causes a “Positive to Negative” attraction of the paint to the vehicle as well as a “Air hose heating element” to promote better “Post Flow” of the paint after it hits the vehicle surface. One shop owner commented “He wouldn’t have believed it ‘till it was proven in his own shop” while another referred to the Blended Nitrogen as a “Game changer” for his bottom line...and all the painters are smiling. Most shops are willing to invest aprox. $900 per month (average lease payment) to put 27% more material on the car and 27% less in the exhaust filters and get an additional car thru the booth per day...that’s big! For further information contact Tom Beck via tom@futurecure.com

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www.autobodynews.com | MAY 2012 AUTOBODY NEWS 51

Collision Repair Estimates—Excellence Now Required by Steven Feltovich, Manager of Business Consulting Services, Sherwin-Williams Automotive Finishes

“What can we do to improve the customer experience and our own profitability in a fiercely competitive market?” Faced with demanding customers and aggressive insurance companies, body shop owners around the world are forced to confront this question every day. Leaders in the collision repair industry say that an accurate estimate is critical to the success of their organizations. In fact, nearly every shop I have worked with over the past year has emphasized the importance of the estimate or, as they commonly referred to it, the “blueprint” for damage repairs. Many shops have moved toward a more comprehensive damage assessment process, which consists of initially identifying all of the damage, both visible and hidden. This approach provides tremendous value in terms of cycle time reduction Steven Feltovich alone. There is so much lost time and money in the redundant steps associated with traditional visible damage estimating. Consider the amount of time consumed by ordering parts multiple times per repair order, writing supplements, rescheduling delivery dates, extending rental car provisions and reallocating technicians to vehicles they can work on. Ultimately, this creates an environment of internal friction without any positive energy being directed toward process improvement. Some might refer to the improved process as “blueprinting,” “damage analysis,” or “repair planning.” Regardless of what you decide to call your comprehensive damage assessment process, the fundamentals remain the same. So, let us set out on our journey in search of how to achieve estimating excellence. We will begin by answering one significant question. “Why does traditional estimating still exist if it is so ineffective?” You can probably come up with several answers to this question on your own. Many of us were taught to do it this way. Man-

agement within some shops would claim that their customers expect a traditional estimate. Some would say that insurance companies demand a traditional estimate as the preliminary estimate. Often, we simply fear the attempt to try something new. Many people in our industry have proven that these obstacles are not insurmountable and there is a better way to assess collision damage. The real winners in collision repair are implementing and refining the “blueprinting” process. This process is designed to lower the shop’s overall costs while increasing productivity. Does it work? Absolutely. The objective here is a 100 percent complete damage assessment before loading the vehicle into the production area. The result is phenomenal: • More customer confidence in the shop’s capabilities • Reduced cycle time, predictable delivery dates • Increased technician touch time per day • Less administrative work All of these benefits are achievable with a process-driven damage assessment program in place. The correct process will reduce the common errors, variations and redundancies which are inherent in traditional estimating activities. When I am involved in a facility analysis to determine the root cause of scheduling problems, I frequently find the cause to be directly related to an inaccurate initial estimate. Since jobs are scheduled into the production area based on labor hours and the parts that are needed, inadequate estimates prove disastrous for shops using estimates as a guide for workshop scheduling. If the estimates are half right with what you consider to be a week’s worth of work you will have actually scheduled two weeks of real work into a one-week time slot. This creates bottlenecks and fires within your business that consume you and your staff, slow production and stop your business from ever moving forward. Due to the weaknesses of traditional estimating, we have become an industry of excess capacity in order to compensate for the flawed estimating practices ¾ more facility space and equipment than we really need. And

52 MAY 2012 AUTOBODY NEWS | www.autobodynews.com

why do we need that extra space? That’s right, so we can park all of those dead cars in it! You know those dead ones which are waiting for parts, supplement approvals and/or available

technicians. How much does it cost your business to park and store those dead vehicles on the expensive real estate of your available production floor space? In some cases, the vehicles are even parked on the frame machine for a day or two due to a deficient estimate. Ultimately, our customers and insurance partners are the victims of our broken and failing practices. We must implement a comprehensive damage assessment process designed with one goal in mind—get it right the first time.

This requires getting the parts, number of labor hours and costs for materials right the first time and every time. One recent trend that I’ve observed is some shops have begun to make their frame repair pulls before completing the final damage assessment. This arrangement provides outstanding accuracy in the areas of parts orders, labor times and other associated products and services needed to complete all of the repairs. There must be a higher level of awareness of the estimate’s importance and its impact on our business. The estimate directly affects the following listed items: 1. Revenue 2. Profits 3. Negotiation Practices 4. Workshop Scheduling and Loading 5. Repair Processes 6. Cycle Time 7. Workshop Flow 8. Production Efficiencies 9. Finished Product Quality 10. Customer Satisfaction and Referrals

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11. Insurance Company Relationships 12. Organization’s Reputation 13. Employee Compensation/Morale At this point, you will begin to understand the motivation that some shops have for pursuing accurate, estimating excellence. Perhaps the time has come to change our old habits and begin to design and implement some new “lean” processes, starting with the estimating tasks and activities. You will soon come to find that your entire operation can be transformed by simply taking control of the estimating process—this is truly the “blueprint” for profit improvement. Removing the obstacles to implement a comprehensive damage assessment process is not easy. If it were, every collision repair shop in the country would have already embarked on this new frontier. But in today’s marketplace, an effective estimating process is no longer a “wish list” item. It is a crucial component in order to gain a substantial competitive advantage and remain a profitable organization. Several shops are now posting a 40 percent decrease in their key-to-keys cycle time, which is primarily attributed to their new damage

analysis procedures. Without adequate and appropriate training for the body shop management staff, estimating vehicle damage will continue to be a disorganized and underutilized tool. Our research and experience confirms that the collision repair industry lacks the skill and knowledge base in regard to estimating: only three percent of the front-line estimators have had any formal training within the last five years. However, with training and some exposure to a more complete process, it is far more likely to yield positive results—for the collision repair center, the insurers and most importantly the customers. The collision repair industry has many training resources on this subject. You’ll find them advertised in the trade press, and promoted by suppliers and automotive associations who are willing and ready to help your organization improve.

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Innovations and Needs “Our trainers are experienced industry professionals with unmatched expertise with our product, application techniques and process efficiencies,” said Marketing Manager John Daniel. ”Many of our trainees come in with a specific challenge in mind, and they go home thrilled with the experience and with their problem solved.” A systems-based approach BASF Automotive Refinish is committed to delivering the world’s finest coatings while also providing comprehensive support to help its customers achieve success in a highly competitive marketplace. When it comes to both product and process, a systems-based approach is key to delivering intelligent solutions within a dynamic, ever-changing business environment. “We’re always looking at the entire process and how to improve job process and shop efficiencies, while maintaining industry-leading quality,” observed Joe Skurka, Manager, OEM & Industry Relations.

“Our corporate culture at BASF is one of continuous improvement.” This is no idle claim, backed by the resources of the world’s largest chemical company. BASF’s product innovation reflects an attentive, “earto-the-ground” awareness of customer needs and strong R&D to develop the next generation of coatings to satisfy those needs. A well-trained, immensely capable sales and technical organization ensures responsive customer service, along with an extensive network of BASF distributors located throughout North America. Together, they ideally position BASF to provide the comprehensive support its customers expect and deserve. For more information about BASF Automotive Refinish products and services, contact your BASF representative by calling 800-825-3000, or visit www.basfrefinish.com.

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See these Hyundai dealers below for all your collision parts needs! ARIZONA

SO. CALIFORNIA

NO. CALIFORNIA

Chapman Hyundai

Kearny Mesa Hyundai

Lithia Hyundai

P H O EN IX

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877-684-5803

800-469-9731

800-462-2231 559-436-6041

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Mon-Fri 7am - 6pm Sat 8am - 3pm rockygray@chapmanchoice.com

SO. CALIFORNIA

Drew Hyundai

QUALITY IS ALL WE THINK ABOUT. THAT AND QUALITY.

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888-839-0777 619-668-7782 Direct 619-460-4082 Fax importorder@drewauto.com www.drewhyundai.com

858-300-3331 Fax Mon-Fri 7am - 6pm Sat 8am - 5pm cguth@hyundaisubaru.com www.kearnymesahyundai.com

559-436-0743 Fax Mon-Fri 7am - 6pm Sat 8am - 1pm etaylor@lithia.com

Tuttle Click Hyundai IRV INE

800-428-7485 949-472-7430 949-586-5104 Fax 949-586-7093 Fax Mon-Fri 7am - 7pm Sat 8am - 5pm snielsen@tuttleclick.net www.tuttleclick.com

www.autobodynews.com | MAY 2012 AUTOBODY NEWS 53

with Attorney Martin Zurada

The Community-Focused Body Shop with Domenico Nigro

Domenico Nigro is the president of Nigro’s Auto Body, a very progressive shop for their community in Philadelphia. In addition to many productivity innovations, Nigro’s installs equipment for disabled drivers, has developed several phone Applications, and represents products which directly support charities such as United Way and the National Breast Cancer Foundation. Contact him at: nigroautobody@comcast.net.

Reaching Beyond Traditional Advertising to Engage Your Customers We know that customers only use a as hosting an Alex’s lemonade stand body shop once every seven years on event (see www.alexslemonade.org) average. For this reason, marketing to outside your shop, or holding a toy withthan Janet Cheney the end user is tougher most other drive, or something as complex as a industries. To make matters worse, the benefit event. When you figure out insurance company is engaged in al- what sort of involvement level suits most constant dialog with your cus- your needs and resources, you can tomers. This relationship allows them often receive press coverage by sendto direct (steer) customers towards ing out a press release and most charities will assist with getting the word with Frank Sherosky out. One example we found very successful was the our “Choose your Charity” program, where customers body shops that succumb to their dewere given a choice of five different mands and play by their rules. What charities that they could donate half of commercials do your customers see their deductible to. Each of the charion TV? Insurance companies domi- ties promoted the program (and our nate the airwaves but they aren’t the shop) themselves because they diones fixing your car and they don’t rectly benefit from its success. necessarily have the shop owners’ best Community involvement: Hold interest in mind. If they did, they a class, sponsor a local event, volunwould always use the specifications teer for local non-profits. Community and recommendations of the car manufacturer to use original parts when necessary, and not using aftermarket or used parts that are not recommended and take much more to install. So how do we create our own relationships with the customers? Traditional advertising can miss the mark, and the message may be lost by the time they need your services. There are other sources of information for traditional marketing and advertising techniques, such as Involvement is a great way to reach radio, tv and print media. I want to your potential customers in a more into discuss other ways you can make timate and effective setting. We’ve a lasting impression when reaching partnered with the local hospital and potential customers that may only Safe Kids to serve as a Car Seat Inneed your services once or twice a spection center and for a few hours decade. each month we inspect and install car We’re fighting an uphill battle. seats for free. This allows us time to How do we connect with new cus- engage the customer and show that we tomers when most of them let the in- are dedicated to the community. surance company tell them where to Partner with local schools, spontake their car? There are several meth- sor a little league team, or get inods for making an impression and get- volved with your Local Boy Scouts ting your message out, here a few that chapter to offer a badge. Take part in a I’ve used successfully. spring cleaning or beautification projGet involved with local and naect and ask your employees to voluntional charities. We’ve done several teer too. campaigns that benefit local and naWord of mouth: This can be tional charities. This is a great way to one of your best sources and it’s separate your shop from the competi“free.” Of course, nothing is really tors and creates loyalty and awareness free, and if you want to boost word for your shop. This can be as simple of mouth referrals there is effort in-

Shop Showcase

Industry Business Beat

54 MAY 2012 AUTOBODY NEWS | www.autobodynews.com

volved. Car accidents are one of the worst things that can happen to a customer. How can shop owners help to turn that negative experience into a positive one? Make sure every interaction with your customers is a positive one. From the moment they pick up the phone or walk in the door, you’re creating brand impressions that could determine whether or not they would refer you others. Say “thank you,” educate them about the process, and never speak down to your customers. This may sound like common sense but you’d be surprised how many shops fail to follow these simple rules and loose referrals as a consequence. Take pride in your work and give them the best possible service you can offer. The effort will be appreciated and the customer is more likely to tell others about their positive experience.

Ask for testimonials: If they seem satisfied, don’t be afraid to ask for a testimonial. You can even offer a small incentive, such as a branded air freshener, for their time. Set up a computer at the office dedicated for online review sites so it’s easy for your customers to leave a review or testimonial while they’re still in your shop. Keep in touch: Hopefully you’re already gathering customer emails. Keep a list and send out monthly newsletters with coupons, tips and news. This helps you stay on their radar so that when you are needed, it’s easier for them to remember you as their first phone call when they get in an accident. Offer referral rewards: You’re not going to go out of business by offering a referral reward. Many shop owners feel like this is an unnecessary incentive but there’s no other market-

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South Bay MINI Torrance

310-939-7342 310-939-7343

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ing initiative that will guarantee you a better return on your investment. You can pre-print testimonial cards. Take advantage of your storefront traffic: Use your building’s storefront and curbside space. You can tastefully add ground displays or banners that alert street traffic to specific deals or services you want to feature. You can do it without being overwhelming or unsightly. The insurance companies have billboards, after all, and this is one way to compete in that market without the costs of billboard ad campaigns. Education: An educated consumer is your best customer. Most consumers are shopping for price and don’t know how to look for true value in a shop’s products and services. Do they know the difference between value and price? It’s your job to educate them on the difference and then explain how you shop provides that value. Teach them what to look for in an auto body shop, how the repair process works, and how claims are handled. This can be achieved through a pamphlet, a video on your website, poster, floor displays, or face to face

education. They should understand safety requirements and what they should expect from quality repairs and parts. Educating the adjuster: Educate the adjuster on your processes. Tell them what you’re doing and why you’re performing certain operations on a vehicle. Go over the Ppages logic and give proper documentation to the adjuster. If you can prove that what you’re doing is right, and educate them, you can make more money on existing claims by getting properly paid for the services you provide. This is an easy way to increase your revenue without any increase in the number of jobs your shop sees and it’s the first step in leveling the playing field between your shop and the insurance companies. That should be your overall goal.

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Standards Program

third-party certification programs, such as one being launched by the Assured Performance Network. (See autobodynews.com, or April issue for more on this.)

● Create a system that is free from bias. While the industry in the U.K. has shifted in recent years toward a single standard, Gange said there’s some question as to whether that program treats all repairers equally. As an example, Gange said that most shops are subject twice a year to unannounced assessments of their compliance with the standards. “These are arduous assessments,” he said. “They are very, very detailed. And if you fail that assessment, you lose your certification.” But Gange said one mobile repairer organization in the U.K., which focuses on light hits and bumper repairs, faces such assessments at only a subset of their “locations,” which are essentially vans, rather than at all locations like most other repairers. That reduces their costs of compliance, Gange said, which some traditional repairers view as unfair. In addition to that type of sitation, Gange said he would like to see the U.S. also avoid a standards system that isn’t open to anyone willing and able to comply. Automaker shop certification programs, for example, generally require an independent shop to have a relationship with a dealer, which may make such a program open to one shop but not to another, equally-qualified shop. “Repairers wiling and capable of investing, if that’s required, or adhering to standard specifications and doing the work that’s it’s going to take to ensure that they can repair vehicles properly should have a right to repair that vehicle,” Gange said. “I would not want there to be a standard that excludes a shop that wanted to adhere to the standard but perhaps wasn’t able to participate because it didn’t have the endorsement of another organization.” ● Don’t underestimate the cost of standards. Gange said that while the standards program in the U.K., is “at its essence positive, it’s riddled with bureaucracy, and along with bureaucracy comes costs.” Gange said that

shops in the U.K. feel they bear the burden of these costs, including a $30,000 to $80,000 initial implementation fee, along with the equivalent of just under $8,000 a year in annual training. Much of that training is provided through Thatcham, an insurerfunded research and training organization in the U.K. Gange said the industry here may want to ensure there are multiple organizations helping implement any standards program. “I think what we would want to have in this regard is a healthy marketplace for those that do the training and the assessments and the initial implementation,” Gange said. “That will help keep the prices down.” Gange was asked if the standards program in the U.K. has led to increases in repair costs and total losses there. “At some point you have to expect that when you’re spending $30,000 to $80,000 to implement a standard, and another $7,000 to $9,000 a year to maintain a standard, those costs have to come out somewhere,” Gange said. “And I think its fair to say they have come out in the cost of repairs ultimately with an increase in total losses.” ● There needs to be recognition of the standards by insurers and consumers. Gange said the U.K. standards program uses the “Kitemark” brand for shops meeting the standards; similar to the “Good Housekeeping” seal here, Kitemark is a well-recognized symbol among UK. consumers. Without recognition by insurers and consumers of the value of choosing a certified shop, Gange said, shops not meeting the standard will use their lower costs to market lower prices – generally for a lower-quality or even unsafe repair.

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.CrashNetwork.com). He can be contacted by email at jyoswick@SpiritOne.com.

G www.autobodynews.com CHECK IT OUT!

www.autobodynews.com | MAY 2012 AUTOBODY NEWS 55

Rich Evans CoSponsors Fundraiser for Baby Cancer Foundation by Melanie Anderson

Autobody News columnist Rich Evans, owner of Huntington Beach

Bodyworks and award-winning painter and fabricator, co-sponsored an exclusive fundraising event held April 13 at the Lush Lounge in Long Beach. ‘The Party,’ co-hosted by Motor Media and Swipe 4 The Kids, raised awareness and $2200 for America’s Baby Cancer Foundation and the Orange County chapter of JDRF (formerly known as Juvenile Diabetes Research Foundation). The guest-list

only event featured a silent auction which included several unique items, including autographed footballs from former NFL stars Vince Ferragamo and Mike Lansford, autographed guitars and luxury watches. Spinning eclectic tunes for ‘The Party’ was guest DJ Chris Vrenna, formerly a drummer for Nine Inch Nails and keyboardist for Marilyn Manson. In 1994, Vrenna won a Grammy for his live performance with Nine Inch Nails at Woodstock.

Patricia & Rich Evans with friends

About the Charities

Racing personality Gordon “Lug Nutzz” Stewart, who has covered extreme sports, entertainment and the music industry on several radio and TV networks, hosted the party with his own brand of charitable enthusiasm.

America’s Baby Cancer Foundation was founded in 2000 in Long Beach, CA as Sebastian’s Baby Cancer Foundation by Bernard and Antonia Hicks following the loss of their child, Sebastian, at the age of 19 months. Sebastian was born with cancer of the neck and brain and during his short lifetime, his parents realized the desperate need for research, aid and education for families faced with baby cancer. ABCF is devoted to children and their families suffering from child-related cancers. Cancer is a leading cause of disease-related deaths among children in the United States and increasing every year. In addition, the number of cases of babies being born with cancer is on the rise. For more information, see www.babycancer.org. JDRF has worked to improve lives and cure Type 1 diabetes for the past 40 years through research funding and advocacy. Its mission is to discover, develop and deliver advances that cure, better treat and prevent Type 1 diabetes. Last year, the foundation dropped its formal name of Juvenile Diabetes Research Foundation because 85% of those in the U.S. with Type 1 diabetes are adults. JDRF is an organization for all ages and all stages of the disease. For more information, see www.jdrf.org. 56 MAY 2012 AUTOBODY NEWS | www.autobodynews.com

Special guests included former NFL stars Mike Lansford (barefoot kicker for the Rams), former Raiders player Jim Weatherley and Lance Zeno of the Green Bay Packers, NASCAR and off-road racer Felix ‘Nighthawk’ Giles, Chef Steve Cassarino, Diggity Dave with MTV’s Pimp My Ride, and 11-yearold race car driver Brandon 11-year-old race car driver, Brandon Weaver Weaver of Bakersfield, CA. Custom car designer Rich Evans starred in the first season of Speed Channel’s Car Warriors and has several other TV credits, including Chop Cut Rebuild, Monster Garage and Chopper Nation. Rich is currently shooting a pilot for a new show which DJ Chris Vrenna and emcee Gordon “Lug Nutzz” Stewart he’ll produce—a doceration that working with their hands umentary about car building and learning something new is cool,” around the world. Evans said. “As a car builder, I hope to inEvans, his wife, Patricia, and spire and influence the younger gen-

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their three children, Dylan, 20, Lytra, 12 and Drahcir, 8, have been hosting Christmas parties and other events for America’s Baby Cancer Foundation (www.babycancer.org) for the past

Chef Steve Cassarino with Rich Evans

several years at the shop. The kids visit with Santa, receive gifts and sit in several designer cars. “Our parties get the kids out of the hospital for the day and they get the chance to sit in really cool cars,” Evans said. “We try

to help them get their minds off their illnesses for a few hours and they look forward to coming to the shop and seeing the cars. My wife and I are very involved with America’s Baby Cancers Foundation because the children who die of this disease are very young and don’t get to see a glimmer of a long NFL alumni Jim Weatherley and Chef Steve Cassarino life. We want to bring and the diseases that affect us. Fightsome happiness into their lives. We want to support ing cancer makes me feel grounded and appreciate life more.” them, encourage them and make them feel special. “I do as much charity as I can to help bring awareness about disabilities and diseases,” said Evans. “People don’t recognize or slow down enough to pay attention to certain diseases until they or a loved one get it. For me, I try to get more involved and learn as much as I can about the body Felix “Nighthawk” Giles

Phillis Lane, co-founder and President of America’s Baby Cancers Foundation, attended ‘The Party’ which was held over the Long Beach Grand Prix weekend. “Rich and Patricia Evans are once again providing America’s Baby Cancer Foundation the opportunity to broaden awareness of what is a little discussed disease that affects children. Our organization and the families we help are most appreciative of their support.” Co-host of the ‘The Party,’ Swipe 4 Kids, is a brand new program that gives 50% of merchant electronic service fees towards endowing art, music, sports and educational enhancement programs at local schools. For more information, see: www.swipe4thekids.com.

To advertise call Advertising Sales at:

800-699-8251 e-mail:

advertising@autobodynews.com

Oregon Body Shop Steps Up to Help Student’s Project Destroyed by Vandals, Assistance Helps him Graduate When Air Force veteran Arthur Anderson, of Jacksonville, put out the call for a community to come together to help a North Medford High School student, Leif’s Auto Centers was one of the first to respond. High school senior Jase Philby was in the process of restoring his 1989 Chevy Silverado Pickup for his senior project when the car was destroyed by vandals, leaving Jase seemingly without hope of completing his project and receiving the necessary credits to graduate. Jase’s 1989 Silverado was among five Chevrolets stolen and vandalized during the last week of March 2012. Much more than a vehicle, this Silverado Pickup was a crucial key to graduation for the North Medford High School senior. Jase was restoring the vehicle, of sentimental family value, as a senior project; the final step towards graduation and his entrance in to the United States Air Force. The damage done to the vehicle extended beyond the cosmetic; into the steering column and transmission. All-told the destruction was sig-

nificant enough for the insurance company to designate the truck as being totaled. The repairs costs would far exceed the actual worth of the vehicle. Leif’s Auto Centers heard about Jase’s situation and donated $5,000 worth of parts and work from their Phoenix, OR, location to help restore the vehicle and get Jase the necessary credits to graduate. The rest of the funding came from local businesses and individual donations to help restore the vehicle. Industrial Finishes of Medford donated all the paint, valued at $800. B&R Auto Wrecking halved the $300 price for a new steering column and glass. Though past the project due date, North Medford High School extended the deadline for Jase while work towards completing the repairs continues. “We strive to be an active member of our local communities and as such are glad to help out when circumstances require it. This young man had quite a unique story and situation and we saw an opportunity to help.”

www.autobodynews.com | MAY 2012 AUTOBODY NEWS 57

A Decade of Innovation Turns Paint Industry Literally Upside Down by 3M Collision Staff

At 3M, scientists and engineers are encouraged to look at things differently to develop new product solutions, new technologies and in some cases, new industries. For one such scientist, the ability to look from a different perspective at a major challenge faced by automotive professionals revolutionized the industry. It literally turned the way that vehicles, airplanes, boats and other equipment are painted, upside down. “We spent a lot of time in the shop environment, working with painters to understand their challenges, pain points and everyday working processes,” said Dr. Stephen Joseph, Division Scientist, 3M Automotive Aftermarket. “As part of observing the repetitive process of mixing paint in separate containers, pouring this paint through a paper strainer into the spray gun reservoir and then cleaning up the spray gun afterwards, it struck me that there had to be a better approach. “For example, why not take the container of mixed paint and place that directly on the spray gun, thereby eliminating the transfer step? If this new cup that doubled as a spray gun reservoir could then be disposed of, we could also eliminate much of the solvent associated with gun cleaning.” Dr. Joseph spent many hours building prototypes and developing concepts around the idea of using just one cup for both mixing and spraying. Inspiration came from a variety of sources. “Things in everyday life take on a totally different perspective when you are trying to solve a particular problem,” said Dr. Joseph. “Closing the container of mixed paint off with a lid and inverting the spray gun to facilitate connection was the Eureka moment. It enabled us to develop a product design that could be attached to just about any spray gun and essentially eliminate the traditional mixing cups and spray gun reservoirs that customers were currently using. After the relevant patent applications were filed, we spent a lot of time field testing a variety of prototypes to understand what was important to our customer.” One challenge they faced was developing the cup for the system. While 3M invented both a liner-and-cup system and a linerless system, they de-

cided to pursue the liner technology because this offered a variety of enhanced benefits to the customer, for example the ability to spray upside down. The linered system is a closed system, during spraying it creates a vacuum, which effectively pulls the paint out of the liner, thus collapsing the liner. Being a closed system there

is no air vent for paint to leak out during spraying. You also have the ability to stay 90 degrees to the panel from any angle, even upside down, which optimizes material transfer, and helps to reduce material waste. In order to move the project forward, 3M developed and invested in much of the equipment to manufacture the parts internally, which ultimately enabled the product to be launched. “After evaluating numerous different iterations of cups, lids, adapter designs and filters, we finally determined the optimum combination,” added Dr. Joseph. “It took a number of years to progress from the original concept to the launch, but the PPS™ System quickly gained customer acceptance throughout Europe and the US.” Industry at Point of Change What set the stage for the development and rapid growth of the PPS™ System technology were several critical issues in the body shop. The industry was transitioning from siphon to gravity fed spray guns, which was being driven primarily by the improved transfer efficiency of these guns with top-mounted cups. Shop owners were looking for more efficiency and less material waste and concerns over solvent use and disposal were growing. Painters were still pouring paint into separate containers, straining it through filters and transferring it into a spray gun. Following spraying, they

58 MAY 2012 AUTOBODY NEWS | www.autobodynews.com

had to clean the spray gun with solvent and either clean or discard the used mixing cups and filters. These conventional systems were time-consuming, contributed to volatile organic compound (VOC) emissions and continually wasted expensive paint. Although 3M’s Automotive Aftermarket Division sold a number of different products to the vehicle repair industry such as abrasives, masking products and polishing glazes and compounds, prior to the PPS™ System, 3M had essentially no sales in the paint mixing area of the shop. Technology = Performance In its basic definition, the 3M PPS™ System is a disposable mixing and filtering system designed for use with primarily gravity fed paint spray guns. The PPS™ System eliminated the need for separate mixing cups and filters, and only the spray gun channel and adapter need cleaning since paint never comes into contact with the pot and collar.

A range of threaded adapters for different spray guns provide painters with the ability to attach the 3M system to just about any spray gun. 3M™ PPS™ System product attributes include: • Uses the same cup for mixing and spraying • Disposable liners save cleaning solvent and time • Integral paint filter means fewer defects • System allows gun to be used at any angle • Unused paint can be temporarily saved in a capped liner • Slashes solvent usage for gun cleaning The Impact of an Innovation Today, some 60,000 shops in more than 90 countries use the 3M PPS™ System. Annually, an estimated 20 million vehicles have some coating applied using the 3M system. After switching to the 3M PPS™ Paint Preparation System, customers report as much as a 70 percent reduction in the use of cleaning solvents,

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which translates to a reduction of an estimated 46.2 million gallons of solvents. This reduction in solvent use directly reduces global VOC emissions and promotes a safer and healthier workplace since operators are exposed to smaller amounts of solvent vapors. These 46.2 million gallons of solvent reduction translate to more than $330 million in solvent cost and solvent disposal cost savings over the past decade. In addition, the PPS™ System minimizes paint transfers, allowing operators to mix smaller quantities of paint or to easily switch colors between repairs without disposing of the paint. This can help reduce the amount of paint required for a job by as much as 2 to 4 ounces per mix, leading to significant cost and waste reductions. As a result of its success in the automotive market, 3M has expanded the product line into other industries that use spray guns, such as aerospace, marine, woodworking and signage, where customers are looking for solutions to help them manage their VOC emissions, improve efficiency and reduce waste.

A Decade of Awards – New Product Additions Are on the Horizon In the last decade, the 3M™ PPS™ Paint Preparation System has collected major awards from industry groups, environmental organizations and design leaders from around the world. • In the U.K., Awarded 2002 Product of the Year by “Bodyshop Magazine” and “Auto Trade” • In South Africa, Won the 2002 “Innovation Award” from “Automotive Refinisher” • In Spain, Named the “Best New Product” for 2001 by Galeria de Innovacion Motortec • In France, Won the Bronze Trophy in the Garage Equipment section of the auto exhibition Equip Auto • Selected by the Design Council in 2002 as one of its Innovation Stories • Won the 2002 Horner’s Award for Plastics • Received the 2006 SAE International Environmental Excellence in Transportation Award The development of the 3M PPS™ product family has continued throughout the decade, with the additions of new cup sizes – in-

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cluding the 3 oz cup for the EPA Rule 40 CFR Part 63 – Subpart 6H – and complementary products like the 3M Accuspray™ System and the 3M™ PPS™ Sun Gun™ Color Matching Light. Additional product and solution announcements are

Mossy Toyota Collision Center Hosts SkillsUSA by Joe Momber

The 45th Annual SkillsUSA California State Leadership and Skills Championships was held in San Diego, April 12th–April 15th, 2012. There were over 47 high school contestants at Mossy Toyota on the weekend. This event is known as the State Competition. The Winners of each competition will be able to attend the National Conference in June. It was the largest showcase of career and technical education in the state of California. The best high school and college/ post secondary students from across the state came together at the event involving a total of 1,700 participants including students, parents, educators, and business and industry representatives. Students showcased their skills and abilities through competition and live demonstrations of their technical trade which in turn will be the future of America’s workforce. The students competed in over 100 contests from Automotive, Construction, Cosmetology, Firefighting, First Aide/CPR, welding, Prepared Speech as well as Delegation meetings covering business matters that affect the state organization in parliamentarian procedures. In addition, over 50 businesses and labor unions are working with SkillsUSA CA to help make it all happen.

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planned for 2012 to continue the industry innovation and expand the 3M platform. For more information about the 3M™ PPS™ Paint Preparation System and the decade of innovation, visit: www.3MCollision.com/PPS.

Hilary Castro of Sherwin Williams Automotive Coatings, and Alejandra Valencia, 2012 State Officer “High School President”

This is the 3rd year that SkillsUSA CA has met in San Diego, and the conference is scheduled to remain in San Diego through 2017. Activities during the conference will be hosted at the Town & Country Resort and Convention Center facilities along with five offsite locations. The collision repair competition took place at Mossy Toyota Collision Center San Diego. Special thanks to

and from David Carter, Manager Mossy Toyota Collision Center. Dave Carter was very generous to let SkillsUSA utilize their body shop for the competition. Contact David at (619) 785-5833 davidc@mossy.com “Thanks to all who all in the local industry who were involved, this years Skills competition was a big success! It was nice to see a increase of competitors this year; it looks like we had about 10 more contestants than last year. I think we also had some tighter competition this year with a high number of above average skill level in both refinish and body categories. The competitors also had a opportunity to see and compete in a large modern facility in a real world working environment.

Body Shop Manager Dave Carter

Gene Streeter, Estimatics Team Manager at State Farm, was interviewing and videotaping students. He can be reached at gene.streeter.czli@statefarm.com Contact him at the San Diego Operations Center, Office 619-2784889, Cell 760-445-2860

From the SkillsUSA – California Board of Directors A heartfelt “thank you” to our industry partners who are supportive of career technical education efforts in general and, specifically, those of you in the collision repair industry that are engaged in attracting and training the next generation of technicians. You understand the challenges of repairing modern automobiles and the value of providing our youth with a rewarding career path. The 45th edition of SkillsUSA—California state conference was the best-attended, most successful in many years. Please visit our website www.skillsusaca.org for additional information. We should have some videos of the conference and competitions available in a few weeks.

www.autobodynews.com | MAY 2012 AUTOBODY NEWS 59

with Chasidy Rae Sisk

Mainstream Media

This column reprints articles referring to the collision and auto repair industry as given in the general press. Autobody News thanks the copyright holder for giving permission to reprint such works.

Complaints Lead to Arrest of Ohio Car Restoration Business Owner by Jami Kinton, News Journal

Authorities capped a five-month investigation April 11 with the arrest of a Shelby, OH, man on multiple felony charges. Local officials say they were prompted by complaints from 17 cases of unhappy car-restoration customers, who combined said they lost more than $300,000. Keith Shellhouse, 46, was charged with aggravated theft, a thirddegree felony, and theft of a motor vehicle, a fourth-degree felony, said Richland County Deputy Sheriff, Rich Eichinger. “I’ve been doing car restorations for 30 years,” said Shellhouse, owner of Independent Autobody and Pro Restorations at 4952 PlymouthSpringmill Road. “Did I steal? No, I did not steal anything.” Richland County Sheriff’s Maj. Dale Fortney said the department was assisted by the Attorney General’s Economics Crimes Division and the state Bureau of Criminal Investigation, the National Insurance Crime Bureau, the Ohio Department of Taxation, the Ohio Collision Repair Board and the Bureau of Motor Vehicle Investigations. He said there were more than 30 victims, but only 17 kept good enough records to take to a grand jury. “People had to refinance their houses, sell land,” Eichinger said. “He only finished one car since 2002 and he’s had 20-plus cars waiting. Yes, it does take time to restore cars, but then why would you continue to bring in new cars when you have so many you haven’t even started? “I think he just wanted more and more money coming in. It was kind of like a Ponzi scheme.” Shellhouse said previously his car restoration business has resulted in award-winning street rods. The shop also offers collision repair service, and its website promises customers a 100 percent money-back guarantee. Some customers report a different experience. Bill Stouval, of New York, found the shop online. “(Shellhouse) came to pick up my car on July 31, 2009,” Stouval said

of his 1986 Chevy Camaro High Rock Z28. “He told me he would do a complete restoration. He told me when he was done it would be better than when it rolled off the showroom floor.” Stouval said Shellhouse estimated it would be a two-year project. Stouval said he paid $5,000 up front and was told it would cost $15,000 to complete the project.

Keith Shellhouse. owner of Independent Autobody and Pro Restorations, 4952 PlymouthSpringmill Road, Shelby, OH, is taken to the Richland County Jail on April 11/JAMI KINTON/NEWS JOURNAL

“I chased him down every month and asked how it was going,” Stouval said. “He was really good at ignoring my calls. I had to call from other phones, and his mailbox was always full. Neighbors said they’d see people beating on his door, knowing he was inside but he wouldn’t open it. “When I would get a hold of him, he did admit he hadn’t made much progress but had every excuse, ‘I’m waiting on parts. I’m about to get a divorce from my wife. I lost my cellphone.’ Normally, you’d say, ‘OK, well then you’re fired.’ But when this guy has thousands of your dollars, you can’t do much but say, ‘OK, when are you going to be back on track?’ “ Stouval said Shellhouse collected $9,400 from him. Judy Boyd had a similar story. “I had a 1972 Corvette and my husband at the time wanted to surprise me and have a restoration done on it,” Boyd said. “He found Keith on the Internet, but I really didn’t want someone to touch my car because I was afraid something like this would happen.” Boyd said she paid Shellhouse $9,000. “I took my car over to him in one piece and got it back in pieces,” she said. On March 16, 2002, Boyd asked

60 MAY 2012 AUTOBODY NEWS | www.autobodynews.com

that the vehicle be stripped of all body paint, repainted and completely refinished within two years. “On Oct. 9, 2003, I went over there and found that he had disassembled it, but done absolutely nothing,” Boyd said. “He’d also left my frame out in the field and it had completely rusted.” Boyd said all calls were “short and argumentative” and emails received no response. She finally sought legal help. “I loved this car dearly. When I think about it, it just makes me want to cry,” Boyd said. Members of the Northern Ohio Violent Fugitive Task Force arrested Shellhouse at 8:30 a.m. Wednesday at his business. “Sure looked a lot different in there this time,” said Deputy Chuck Kochis, who was present in November when authorities searched the

business and seized three vehicles. “It looks like he’s actually trying to work on cars now. I’m sure he’s upset because he’s trying to build his business back up. But he dug his own grave.” Shellhouse’s wife, Tammy, who works in Mansfield, was waiting to collect her husband’s possessions at the jail. “He did nothing illegal,” she said. “They raided my house with bogus search warrants.” Shellhouse is expected to be arraigned the week of April 15. Authorities ask people with complaints to call Eichinger at 419-774-3572.

Autobody News takes no position on the guilt or innocence of the persons featured in this article and all are innocent until proven guilty. This story is reprinted here by kind permission of the author, Jami Kinton, and the Mansfield News Journal.

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Nevada’s Henderson Chevrolet This month’s distinctive dealer is Henderson Chevrolet, in Henderson, Nevada. I’m sure all of you know Las Vegas. Henderson is southwest of the strip, and so close you can’t tell the two cities apart. Henderson led the nation in new home builds for years, and then the real estate bubble burst. The

son, estimates that 40% of his customers were forced to close their doors. The remainder held on by only a narrow margin. Pete knew their survival depended on efficient repair operations, and that his parts were a critical piece of their business. Pete decided to help his customers in the

Larry Williams is an innovative parts manager with national awards and over 30 years of experience in creating and managing profitable departments. He can be reached for consultation at ljoew2@gmail.com.

customers, he helped them to improve the repair processes at their shops, and to be more profitable. I’m sure that the smooth delivery of needed parts helped many businesses survive during the automotive downturn and economic recession of the past four years. The team at Henderson Chevro-

GM technical advice, copies of illustrations -- anything they can do to assist their customer with quick, professional repairs. I have interviewed several dealers about how they handled the recession, and asked them what they believe to be the greatest key to their

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Pete Zachrison

Richard Rogers

Robb Thomas

Brian Walker

Doug Shirley

Beto Eredia

Jesse Salazar

Kevin Wickard

best way he could, with the quickest service possible. Pete set up a standard of shipping an order within one hour of the customer’s call. By dedicating quick service to his

let, professional and dedicated, consurvival. All of them mentioned cussists of four countermen; Doug Mac tomer loyalty, and I noticed this phiPherson, Richard Rogers, Doug losophy in their internal operations, as Shirley, and Brian Walker. These well. Even during the worst of times, experts have over sixty years of comHenderson Chevrolet kept all of their bined experience helping customers. personnel, and I believe that this job Seven delivery trucks keep a constant security gave their employees the posflow of parts going out from 7 AM to itive base that enabled them to keep 5:30 PM every day. In the background going. When times get tough, we all we have Beto Dredia in shipping-retend to become obsessed with the ceiving, and Jesse Salazar helping the dealership’s technicians with daily re- numbers; concentrating on sales and pairs. Two outside the representatives focusing on profits to Give us your opinion on matters affecting industry. expenses, and Want to Contribute to thi keep in touch with their customers, to the exclusion of nearly everything ensure a trouble-free relationship. else. But business is not just cold, Pete has eight telephone lines hard numbers; business involves www.autobodynews.com into the department, and his personal many people and all ofpublisher@autob their various publisher@autobodynews.com CHECK IT OUT! policy is to have all incoming calls an- personalities. The dealers and repair swered before the third ring. shops that put customer satisfaction THESE DEALERS ARE GENUINE Pete services all of the Las first, and numbers second; are the WHOLESALE PARTS SPECIALISTS. business w Vegas-Henderson area, and also the ones that are Promote still with your us today. outlying areas of Bullhead City, Nee- Service, loyalty, and caring personan exclusive article featur dles, California and Kingman, Ari- nel; these are the features that distinyour products or service CALIFORNIA is placed by guish successful businesses from the To advertise To advertise The source for timely zona. Any order which is delivered theat: ones which have had to close their 3:30 in the afternoon call Advertising Sales at: call Joe Momber information that every next day! Elk Grove Toyota body shop needs! 800-699-8251 800-699-8251 doors. Pete says his business has almost I am proud to include Henderson ELK GROVE e-mail: my listJoe of Autobody completely recovered, e-mail: and that it is Chevrolet in CALL: Momber for deta advertising@autobodynews.com jmomber@autobodynews.com 916-405-4700CALL 800-699-8251still improving. He credits his survival News’ Distinctive Dealers, and recin the area to the loyalty of his customers, and his ommend them to anyone www.autobodynews.com www.autobodynews.com 800-699-8251 800-952-5307 Start Your FREE employee’s dedication to providing that needs GM parts for their cus916-405-8045 FaxMail Subscription. unmatched service. His team provides tomers.

construction industry had been driving the economic expansion of the area, and when that went away, the effects were catastrophic. The parts manager, Pete Zachri-

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at www.autobodynews.com www.autobodynews.com | MAY 2012 AUTOBODY NEWS 61

Tiny Community of Heber-Overgaad Gets its Own Body Shop by Kristy Mangum-Navarro

Premier Auto Body & Paint opened for business in September 2011 in HeberOvergaard, AZ, an LDS community, population 2722. It’s a very small town close to my own small hometown in Arizona. Scott, Amanda, and LeGrande McLaws work in the shop full time. The family recently relocated to Arizona from South Dakota to fulfill their lifelong dream of owning their own body shop. Office Manager Amanda McLaws said this is Scott’s first business, after working in the auto body industry for 15 years. She said they moved up to Heber/Overgaard in July, but Scott grew up in Joseph City. Before moving, the two lived in Rapid City, S.D., for 10 years. “He’s always wanted to have his own shop,” she said. “It’s a dream come true for him. We’re happy to be here and serve the area.” They bring with them experience

in all aspects of collision repair from the initial writing of an estimate to the final completion of the repair and delivery. They understand that a high-

Legrande, Amanda, and Scott McLaws

quality repair is no accident and that certification and training is key to ensuring a professional job and a happy customer. They are I-CAR certified with training/classes including Genesis and Chief, air conditioning, estimating, Cycle Time Management and other body and paint classes ranging from structural to cosmetic. Says Amanda, “We are pleased to be able to provide a much needed serv-

ice to the Heber-Overgaard area. The response in the community has been overwhelmingly positive. We have found that our customers are pleased to know that they no longer have the hassle of driving as much as 60 minutes to towns such as Show Low, Snowflake or Payson for their auto body repair needs. They can receive a high-quality repair completed in a timely manner right here in Heber-Overgaard. “We had been living in SD for 10 years and had been talking for the last couple of years about wanting to move closer to our family. We came down last spring to visit family including Scott's brother and sister who were both living in Heber at the time. We really loved the area here and it just “felt right.” This little town was really in need of a good body shop and everything just sort of feel into place from there. We sold our house in SD and moved down here in July. It all happened really fast! “There was a very nice, existing

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62 MAY 2012 AUTOBODY NEWS | www.autobodynews.com

building in town that had been used as a mechanics shop previously. We decided that with a little work, including installing a brand new paint booth, we could make it work for a body shop. “Business has been better than we expected for just starting out. The response here has been very positive and the people in the community are happy to have a body shop conveniently located rather than having to drive else-

where. Of course, as with any business we have had ups and downs but overall things have been great. We average 3 cars per week and anticipate things only growing as word continues to get out.” The McLaws can be reached at (928) 535-9505.

www.autobodynews.com | MAY 2012 AUTOBODY NEWS 63

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