Jan-Feb 2012

Leaders in the Sale of Quality Mopar Parts

January - February 2012 Newsletter

Mopar Masters Guild to Celebrate 20th Anniversary in Las Vegas!

“THE EXCHANGE OF INFORMATION BY LIKE SIZE DEALERS IN A NON COMPETITIVE ENVIRONMENT”

Also In This Issue NADA 2012 Itinerary Super Performance Group Agenda MMG Meeting Attendees FenderBender Press Release Low CSI Has Marchionne on the Muscle Mopar Reynolds & Reynolds ADP FenderBender/Ratchet+Wrench Fastenal Be Direct if You Want a Call Back!

Magneti Marelli Terminology Should Improve Understanding

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President’s Message Guild Motto Reception & Super Bowl Info MMG Welcomes Fastenal MMG Supporting Vendors OEConnection Rousseau Storage Elite Extra UPS Corporate Billing LLC Customer Satisfaction Salvage Parts Lawsuit I-Car to Announce Standards

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NADA 2012 - Las Vegas www.nada.org Mopar Masters Guild NADA 2012 Tentative Agenda Thursday, February 2nd Travel and arrive in Las Vegas 6:00pm

Officer & Executive Committee meeting Emeril’s New Orleans Fish House at MGM Grand

Friday, February 3rd Guild Functions: 7:00am - 7:15am 7:15am - 7:45am

8:45am - 9:00am 9:00am - 10:00am 10:00am - 11:00am 11:00am - 12:00pm 12:00pm - 12:45pm 12:45pm - 1:45pm 1:45pm - 2:00pm 2:00pm - 3:00pm 3:00pm - 4:00pm 4:00pm - 5:00pm 5:00pm 7:00pm - 10:30pm

Casual Welcome Guild Business/Committee Reports Opening address by Guild President Dan Hutton Treasurers Report from Steve Hofer Secretary’s reading of the minutes from Rick Cutaia Election Year - Nominations Discussions for Saturday Election Break Guild Business - Group Discussion Vendor Presentation - ADP Vendor Presentation - Reynolds & Reynolds Lunch TBA Vendor Presentation - Dealer Tire Break Vendor Presentation - Snap-On Business Solutions Vendor Presentation - OEConnection Vendor Presentation - UPS Adjourn Mopar Masters 20th Anniversary Reception Tabu Nightclub at MGM Dress-Business Casual

Saturday, February 4th 7:00am - 8:45am 8:45 - 9:00am 9:00am - 10:00am 10:00am - 12:00pm

12:00pm - 1:00pm

Guild Business - Group Discussion Guild Business - Elections Break Vendor Presentation - Elite Extra Vendor Fair: Corporate Billing LLC Magneti-Marelli Rousseau Storage FenderBender - Ratchet&Wrench Fastenal Lunch TBA (Continued on page 3)

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(Continued from page 2)

1:00pm - 5:00pm

Mopar

5:00pm

Adjourn

Evening

Open Night: Explore Las Vegas

Sunday, February 5th 2:30pm 3:00pm til ???

Super Bowl Party at Red Rock Lanes & Casino Bus departs MGM for Red Rock Casino Super Bowl Party Monday, February 6th Tuesday, February 7th Super Performance Group Session

Please see Pages 4-6 for Performance Group Agenda & Information

A Message from the desk of Dan Hutton - Tom O’Brien CDJ Mopar Masters Guild President Another year has passed and a New Year is upon us. It is hard to believe that we are only a few days away from our 2012 Mopar Masters Meetings in Las Vegas. This year is our 20th Anniversary Celebration. Twenty years later the guild is stronger than ever. What a rewarding experience to be the president at this major event! I just want to say thank you to our founding fathers for having a vision 20 years ago to start an organization like this.

As we go forward I challenge all of you to get involved with our guild and support our new upcoming officers.

Mark Skinner has done another wonderful job; he has made my life a lot easier coordinating all the events and activities for this year’s 2012 NADA. I started the New Year hoping that this was the year for the parts business to turn around, but with the way the weather has been in Midwest business is still a little slow. We continue to work even harder and have great plans for 2012. We are making plans for new business so when the economy turns around we will be ready. During these slow times we know that we must focus and work even harder to be successful.

In closing, I look forward to seeing all the members, vendors and Mopar executives at this year’s Mopar Masters Guild meetings in just a few days.

Blessings,

Dan Hutton

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THE GUILD MOTTO “THE EXCHANGE OF INFORMATION BY LIKE SIZE DEALERS IN A NON COMPETITIVE ENVIRONMENT” This is the reason the Guild exists. The strength of our existence relies not on the voices of a select few, but on the combined knowledge of all. With this in mind, everyone should remember to become as proactive as possible. The Guild is YOURS, be proud of it and be part of it!

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Mopar Masters Guild Meetings 2012 - February 2-7 Scheduled Attendees Andy Reed

ALLEN SAMUELS DCJ

areed@asag.net

Casey Brown

ALLEN SAMUELS DCJ

cbrown@asag.net

Ernie Wennerstrom

BALD HILL DCJ

ernie02825@yahoo.com

Gerry Oakes

BAXTER CJD

goakes@baxterauto.com

Marvin Windham

BENCHMARK CJD

mwindham@withyoudowntheroad.com

Susan McDaniel

BILL LUKE CJD

smcdaniel@billluke.com

Guillermo Nava

BUERGE CHRYSLER JEEP

gnava@buerge.com

Phil Kreuger

BUERGE CHRYSLER JEEP

pkreuger@buerge.com

Dan Murphy

CHAPMAN CJD

danmurphy@chapmanchoice.com

Steven Correll

CHRISTOPHER'S DODGE WORLD INC. stevecorr@aol.com

Rick Stewart

COMMONWEALTH DODGE

rstewart@commonwealthdodge.com

Joe McBeth

DALLAS DCJ

jmcbeth@group1auto.com

Larry Morris

FRED BEANS DCJ

lmorris@fredbeans.com

Chris Brodeur

GLENN E THOMAS DCJ

getparts@getdodge.com

Mike Mulkins

GO CHRYSLER JEEP WEST

MulkinsM@autonation.com

Gary Block

JACK POWELL CJD

gblock@jackpowell.com

Rick Monteiro

JACK POWELL CJD

rmonteiro@jackpowell.com

Brent Hoge

LARRY H. MILLER CJD

bhoge@lhm.com

Rich Schott

MOORE CHRYSLER JEEP INC.

rich@mooreauto.com

Don Cushing

MOPAR MASTERS GUILD MAGAZINE

dcpub@cox.net

Steve Hofer

PARK CHRYSLER JEEP

shofer@parkchryslerjeep.com

Eric Bratrsovsky

PERFORMANCE CJD

ebratrsovsky@performanceauto.com

Mark Skinner

POWER CJD

skinnerM@autonation.com

Mike Gerber

RAIRDON CHRYSLER

mgerber@rairdon.com

Rick Cutaia

RICK HENDRICK DCJ

rick.cutaia@hendrickauto.com

Ole Olson

RYAN CHRYSLER

oolson@bwig.net

Doug Price

SECURITY DCJ

dougprice@securitydodge.com

Paul Allred

STATELINE CJD

pallred@millsautogroup.com

Tom Adams

STATELINE CJD

tadams@millsautogroup.com

Dan Hutton

TOM OBRIEN CJD

dhutton@obrienauto.com

Ken Kremer

ZIMMER MOTORS

kkremer@zimmermotors.com

Roy Benner

GUEST

Cy Yates

GUEST

John Gilbert

GUEST

Chuck Hartle'

GUEST

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Mopar Masters Guild Reception As the end of January approaches, we are once again making final preparations for NADA 2012, and our Mopar Master's Guild meetings in Las Vegas.

As is mentioned in other articles within this issue we have two MMG events to look forward to again this year.

Once again, your Mopar Master's Guild Executive Committee has come up with two events that will make our time in Las Vegas memorable.

On Friday evening February 3rd we will be hosting our MMG Reception at the TABU Nightclub at the MGM in Las Vegas. It will be a Casino Night. You must have your reservation card (we’ll supply them at the meeting) and you must be 21 or older. The reception will be 7:00pm 10:30pm. ******************************************************************************************

Super Bowl Sunday Party!

New England Patriots

vs.

New York Giants

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Mopar Masters Guild Welcomes Partnership with Fastenal!

I would like to welcome and introduce Fastenal as the newest vendor of the Mopar Masters guild. Fastenal, Chrysler’s largest fleet customer (over 5,600 Dodge Rams), is now an official supporting vendor of the Guild! Starting with Market Center in 2010, Fastenal gained visibility throughout the dealer network by helping parts and service managers around the country lower operating costs. As a guild partner, we look forward to helping them impact your bottom line.

Fastenal (FAST) started in 1967. Their commitment to “growth through customer service” has led them to build America’s largest industrial supply store network (2,600+ stores), providing customers with local service and immediate product availability. Fastenal’s ability to consistently grow each year, without debt, has garnered numerous accolades in the business world, including a place in Morningstar’s “20 Best Companies in the World” listing. With over 2,000 hires last year, they now have over 16,000 employees focused on providing the best solutions for their local customers.

Fastenal supplies a broad range of industrial shop supplies (fasteners, wheel weights, abrasives, electrical, tools, safety, and packaging, just to name a few). What separates this company from the rest is their focus on local service and innovation. They currently service over 2,000 US auto dealerships, helping consolidate their shop and facility maintenance suppliers. The BIG WIN for us has been their vending machines. They’re on track to have more than 20,000 industrial vending machines in the manufacturing world this year and are finally stepping up for auto dealerships. Yes, I said VENDING MACHINES. In a nutshell, it’s like having a 24/7, self-service Fastenal store in your dealership stocked with the items you need to run the shop – with NO CAPITAL EXPENSE required. It allows you to put shop supplies closer to the technicians, track the usage by technician and RO#, and automatically control some of your expensive DRB’s and scan tools. The machines hold consumables like gloves, roloc discs, cable ties, batteries, etc. The locker units vend larger items and manage assets that need to be checked out and returned. Before you dismiss the idea of vending supplies, read what dealers are saying about the business improvements they’ve seen since they put this technology in place.

“Fastenal’s vending is a controlled process that makes sense for dealerships. It lowered our annual shop supply spend, saved us technician labor at the parts counter, and we haven’t lost a DRB since. It also won BEST IDEA at my NADA Dealer 20 Group last year.” - Jonathan Dworsky, Owner, Park Chrysler Jeep, Burnsville, MN If you’re interested in learning more, click here to schedule FREE onsite demo at your dealership.

Steve Hofer Mopar Masters Guild

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Low Chrysler CSI has Marchionne on the muscle Dealer Standards program is in the shop for repairs DETROIT -- Sergio Marchionne says Chrysler Group dealers need to raise customer satisfaction scores. At stake are big quarterly payments the factory makes to its retailers. The CEO of Chrysler-Fiat said some salespeople weren't making necessary callbacks, following up on leads or treating customers "with the dignity they deserve." On Jan. 1 Chrysler suspended the awards in its Dealer Standards program, which is designed to improve many aspects of dealer operations. But some dealers say altering behavior of salespeople, now the main responsibility of Chrysler Group dealers, is a challenging task, particularly when sales are rising.

Chrysler is publicly mum about what the ultimate program will look like. The company is "actively engaging its dealers" to negotiate changes to the program, which will remain suspended through at least March, a spokesman said. Chrysler's Dealer Standards program, introduced in late 2009, awarded as much as $200,000 per quarter to large dealerships that met factory standards for customer service, facilities and management, dealers say. The group's smallest dealerships could earn $4,500 per quarter.

The program also used mystery shoppers to gauge customer interaction with sales, service and parts employees. After a stellar year in which Chrysler Group's U.S. sales rose 26 percent, Marchionne says the automaker's front line -- its dealers and their sales staffs -- cannot rest on accomplishments if Chrysler Group is to reach its long-term goals. "We're not top league. We moved up," Marchionne told Automotive News during the Detroit auto show this month. "But that's not true of the customer interface. We're doing well, [dealers] are doing well, but they're not doing well with the customers." Marchionne sees no room for complacency if the automaker is to achieve its goal this year of upping its 2011 global sales of 2.0 million by 400,000 vehicles. "We can do all the Eminems you like, all the commercials, but at the end of the day, this only gets you so far," he said. "The interface is with the guy who sells you the car."

Starts with culture Employee motivation to treat customers properly is the dealer's responsibility. Dealers typically provide bonuses, trips, extra vacation time and other perks when their employees meet certain customer-satisfaction targets. Chrysler helps dealers motivate their salespeople with contests, bonuses and extra recognitions to reward sales performance outside the Dealer Standards program. In the most recent Sales Satisfaction Index Study from J.D. Power and Associates, released in December, Chrysler Group's Jeep, Ram and Dodge brands finished in three of the bottom four places among mass-market brands. The Chrysler brand placed ninth of 19 mass-market brands, excluding luxury brands.

The survey measures customers' experiences at dealerships. The J.D. Power study showed the Chrysler Group brands lagged behind most in its salesperson, delivery process and negotiating categories. David Kelleher, chairman of the Chrysler National Dealer Council and owner of David Dodge-Chrysler-Jeep-Ram in Glen Mills, Pa., says he, too, wants customer interaction to improve in Chrysler dealerships. He says the Dealer Standards program should be rebuilt with input from dealers.

Sales "growth has been rapid, and thank God it has," Kelleher said, "But with that growth, there's a gestation period to build the type of staff to catch up with an expanding business. "New people and new processes take time. It takes six weeks, at a minimum, for even an experienced new sales representative to train before I'll let them even say 'hello' to a customer." John Yark, of Yark Automotive Group in Toledo, Ohio, said his dealerships have a stringent sales process "to make sure that even if a customer contacts us and didn't buy a car, they at least leave the encounter with a good taste in their mouth." His Chrysler-Dodge-Jeep-Ram operation sold 2,656 new vehicles in 2011, up 43 percent from 2010.

(Continued on page 29)

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Our Supporting Vendors Support those who support you

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Our Supporting Vendors Support those who support you

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WV Salvage Parts Lawsuit Against Liberty Mutual, Shop Moves to Federal Court Insurer's lawyers argue use of salvage parts raises questions of federal law.

Lawyers for Liberty Mutual have successfully moved a lawsuit involving the use of salvage parts to federal court claiming that the case raises questions involving federal law, specifically the Magnuson-Moss Warranty Act. The lawsuit filed last month by the West Virginia Attorney General claims that Liberty Mutual's policy of using salvage parts to repair late model vehicles is in direct violation of WV law. The suit sought an injunction against the insurer to stop the use of these parts and had a preliminary hearing scheduled for January 12.

The move to federal court forced the cancellation of the hearing in which a judge could have potentially ordered Liberty Mutual to discontinue the policy.

In a statement given to the Charleston Gazette, the West Virginia Attorney General's Office said the move to federal court was just a maneuver on Liberty Mutual's part to buy time. "That's why they did it," Assistant Attorney General Jill Miles told the Gazette. "It's a way of delaying the injunction hearing."

State Attorney General Darrell McGraw filed the lawsuit against Liberty Mutual and one of its direct repair shops, Greg Chandler's Frame and Body, alleging that the shop followed an illegal insurance policy to install used or aftermarket crash parts on vehicles manufactured within three years of the date of the crash.

It is unlawful in West Virginia for an insurance company to require the use of aftermarket parts when negotiating repairs of motor vehicles within three years of manufacture, without acquiring the motor vehicle owner's consent. A later court case held that the "aftermarket parts" law also applies to salvage and reconditioned parts.

This case is unique in that the shop, a DRP facility repairing cars under its contractual agreement with Liberty Mutual, was also named as a defendant because it carried out the illegal policies of the insurer when repairing cars.

The Attorney General's Office said it originally became aware of the issue when the manager of a competing shop had filed a complaint after being removed from Liberty Mutual's DRP roster when his shop refused to comply with Liberty Mutual's illegal use of salvage parts.

The original complaint filed by the Attorney General's Office asked the court to order that the defendants provide restitution to all consumers whose vehicles had been illegally repaired with salvage parts. The complaint also sought civil penalties as allowed by West Virginia law, in addition to reimbursing the state for all investigative costs, court costs and attorney's fees.

Source: www.collisionweek.com

(Continued from page 11)

Yark predicts that Chrysler Group dealers won't have trouble improving customer satisfaction or motivating their sales forces this year because Chrysler's increased sales and market share "is a hell of an opportunity, when you think of where we were three years ago. It's a second chance." He said the automaker's revamped product lineup and efforts to improve quality and customer satisfaction "is exactly what needs to happen."

Must start with dealer Reid Bigland, Chrysler's head of sales in the United States and Canada, said Chrysler's efforts to improve its customer relations at the dealer level must start with the dealership. "A lot of it becomes cultural at the dealership level; they either have a culture of customer service or they don't," Bigland said. "And it's the dealer principal that mandates that throughout their dealership."

Source: www.automotivenews.com

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SCRS Says Estimate Terminology Should Improve Customer Understanding Association concerned with proposed changes to definition of LKQ, aftermarket and recycled parts.

In November, the Collision Industry Conference (CIC) Definitions Committee presented proposed new definitions for terms used to describe the various categories of parts used in the repair such as LKQ or recycled. But the draft definitions, according to the Society of Collision Repair Specialists (SCRS), may be more misleading and less helpful to consumers trying to understand what types of parts are being used to repair their vehicles.

In a letter to the committee obtained by CollisionWeek, the association suggests that the industry not use terminology such as LKQ, recycled or "Quality Replacement Parts," and instead describe all parts under simpler more concise terms such as New, Used, and Aftermarket.

The committee is suggesting definitions that differentiate between "recycled" and "recyclable" parts while creating two categories of these parts that would differentiate between recycled OEM parts and recycled aftermarket parts. Here, the association suggests that this differentiation should not be necessary because the expectation when ordering a used part is that "the part will come from a vehicle of the same year, make and model [and would be OEM]. The market does not request 'Recycled Aftermarket Parts' and therefore acknowledging it through a definition does not aid the industry," the association writes in its letter.

SCRS says, "If the role and mission of the committee is to clarify and bring universal understanding to nomenclature used in the repair process, we think singular, accurate definitions of existing terms are more important to consumer education, rather than re-marketing terms to make them more appealing to the consumer." The letter continues, "descriptions such as 'Like Kind and Quality', 'Quality Replacement Part,' and now 'Recycled' [are] terms that seem to be deigned to 'sell' the part, rather than clearly explain it to the motoring public. Use of the adjective 'quality' in any description is subjective, potentially misleading, and adds no true value to the effort to objectively describe a part type, and should therefore be avoided in all descriptions.

The association instead suggests just three concise definitions to cover all parts:

 OEM: A new un-used part sold by the vehicle manufacturer  USED: An OEM part removed from a donor vehicle  AFTERMARKET: A new un-used part sold by a manufacturer other than the OEM When contacted about the letter, Executive Director Aaron Schulenburg explained that the association feels that the driving force for standardized terminology should be language that is readily understood by consumers and not misleading. "Clarity for the consumer is such an important issue and while we're glad the committee is tackling it, we hope they take our viewpoint into consideration. We believe that clear, concise definitions should be used to clarify the repair process rather than definitions designed to promote certain repair elements," Schulenburg said.

Definitions being proposed by the committee include:  RECYCLABLE OEM PARTS: Used Parts that have been removed from a donor vehicle that were supplied by the Original Equipment Manufacturer (Continued on page 31)

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(Continued from page 30)

 RECYCLABLE AFTERMARKET PARTS: Used Parts that have been removed from     

a donor vehicle that were supplied by someone other than the Original Equipment Manufacturer RECYCLED OEM PART: Used Parts that have been removed from a donor vehicle that were supplied by the Original Equipment Manufacturer and reused on a recipient vehicle RECYCLED AFTERMARKET PARTS: Used Parts that have been removed from a donor vehicle that were NOT supplied by the Original Equipment Manufacturer and reused on a recipient vehicle USED PART: Any Part (OEM or Aftermarket) removed from a donor vehicle SALVAGE PART: Any Part (OEM or Aftermarket) removed from a donor vehicle LIKE KIND AND QUALITY PART (LKQ Part): A generic term that may be used to describe any part that may be used to replace another part (typically assumed to be a used part)

The next meeting of the Collision Industry Conference is scheduled to take place January 11-13 in Palm Springs California.

Source: www.collisionweek.com

I-CAR to announce OEM Repair Standards Position in April PALM SPRINGS, CALIF., Jan. 12, 2012—I-CAR will announce whether it will create an industry council to assist with developing OEM-based repair standards in April, according to John Van Alstyne, president and CEO of the organization.

During the Collision Industry Conference (CIC) meeting in November 2011, several prominent collision repair organizations released a joint statement recognizing OEM manufacturer published repair procedures as the industry’s standards. Organizations that endorsed the statement included the Automotive Service Association (ASA), Society of Collision Repair Specialists (SCRS), Alliance of Automotive Service Providers (AASP) and the Assured Performance Network (APN).

Those organizations asked I-CAR to establish an industry council to identify gaps in existing OEM procedures and develop processes to close gaps, vet industry proposed alternatives, modifications, and additions to OEM procedures.

“We believe the request has potential merit, and warrants further review and evaluation by I-CAR,” Van Alstyne said. Van Alstyne said I-CAR’s staff will reach out to various industry stakeholders to determine their position on I-CAR’s role in the request. I-CAR is working with its Strategic Planning Committee, Executive Committee and board of directors to develop a strategic response to the proposal.

I-CAR’s decision will be announced during the next CIC meeting, which is scheduled for April 25-26 in Oklahoma City, Okla.

Source: www.collisionweek.com

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2011 Mopar Masters Guild Committees President Vice President Treasurer Secretary

Dan Hutton Mike Mulkins Steve Hofer Rick Cutaia

Tom O’Brien Chrysler Jeep Dodge Go Chrysler Jeep West Park Chrysler Jeep Rick Hendrick Dodge

Executive Committee

All of the above and: Gerry Oakes Paul Allred Rick Monteiro Marvin Windham Alan Yancey Brent Hoge

Baxter Chrysler Jeep Dodge Stateline Chrysler Jeep Dodge Jack Powell Chrysler Jeep Dodge Benchmark Chrysler Jeep Dodge Hayes Chrylser Dodge Jeep Larry Miller Chrysler Jeep Dodge

Membership Committee Mark Skinner (West) Doug Price (East) Larry Morris (South) (North)

Power Chrysler Jeep Dodge Security Dodge Chrysler Fred Bean’s Dodge Chrysler Jeep TBA

Vendor Chairmen

Paul Allred Gerry Oakes Marvin Windham

Stateline Chrysler Jeep Dodge Baxter Chrysler Jeep Benchmark Chrysler Jeep Dodge

Newsletter Chairmen

Don Cushing Mike Mulkins

Bald Hill Dodge Chrysler Jeep Go Chrysler Jeep West

Performance Group

Mike Gerber

Rairdon’s Chrysler Jeep Dodge of Kirkland

Finance Committee

Brent Hoge Steve Hofer

Larry Miller Chrysler Jeep Dodge Park Chrysler Jeep

UPS

Rick Monteiro Paul Allred Marvin Windham

Jack Powell Chrysler Jeep Dodge Stateline Chrysler Jeep Dodge Benchmark Chrysler Jeep Dodge

ADP

Gerry Oakes Mark Skinner Dan Hutton

Baxter Chrysler Jeep Dodge Power Chrysler Jeep Dodge Tom O’Brien Chrysler Jeep Dodge

Snap-On

Dan Hutton

Tom O’Brien Chrysler Jeep Dodge

OEConnection

Brent Hoge

Larry Miller Chrysler Jeep Dodge

Dealer Tire

Steve Hofer Mike Mulkins Alan Yancey

Park Chrysler Jeep Go Chrysler Jeep West Hayes Chrysler Dodge Jeep (Dan, Brent, Steve, Mike & Alan are the Chairs for Snap-On, OEConnection and Dealer Tire)

Tracy Industries

Mike Mulkins Steve Hofer Brent Hoge Guillermo Nava

Go Chrysler Jeep West Park Chrysler Jeep Larry Miller Chrysler Jeep Dodge Buerge Chrysler Jeep

Reynolds & Reynolds

Rick Cutaia

Rick Hendrick Dodge

Elite Extra

Rick Monteiro

Jack Powell Chrysler Jeep Dodge

Fastenal

Steve Hofer

Park Chrysler Jeep

Magneti Marelli

Paul Allred

Stateline Chrysler Jeep Dodge

NADA 2012 Planning

Mark Skinner

Power Chrysler Jeep Dodge

Website Chairman

Steve Hofer

Park Chrysler Jeep

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