logo_sm.gif (4042 bytes)
Your Source for Up-To-Date News and Research on the Collision Repair Industry 

 
Subscribe to INSIGHT Editor's Desk News Alerts
click here to subscribe to the FREE INSIGHT Editor's Desk News Alert Email


lftspace.GIF (57 bytes)
SUBSCRIBERS-ONLY
Today's News
Industry Stocks
INSIGHT This Month
INSIGHT Archives
Survey Center
Letter to the Editor
Business Tools
Subscription Information
CSI Reporting
Financial Analysis
IRS Audit Guide
Management/
Technical Info

Market Watch Rates
INSIGHT Inside this month's issue...
Feedback
Letter to the Editor
cntspace.GIF (53 bytes)
This article originally appeared in the December 2003 Issue of INSIGHT
©2003 Collision Repair Industry INSIGHT All Rights Reserved

Articles

Keystone Automotive Industries Reports Record Q2 Sales

BASF Net Profit Down, Sales Up in 2003

DuPont and ACE Form BodyShopNet

Apogee Sells Harmon AutoGlass to Glass Doctor

Sherwin-Williams Q3 Net Income Up 8%

CAPA Says to Leave CAPA Quality Seals on Installed Parts

US Chemical & Plastics Acquires Cambridgeshire Chemical in UK

FinishMaster Q3 Earnings Up 15%

Automotive Aftermarket Industry Week Shatters Attendance Records

PPG's CertifiedFirst Network and First Notice Systems Form Strategic Alliance

FIX AUTO to Create National Performance-Based Network

Fleet 1st Introduces National Heavy-Duty Network

CCAR-GreenLink Features Updated EPA Guidebook for Auto Repair

SCRS Publishes Updated Paint and Materials Capping Information

CCRN Rolls Out

Ervin Clark Joins DuPont Performance Coatings as National Accounts Manager

Arizona Collision Craftsmen's Association Honors Arizona's Best Insurance Companies of 2003

CCAR's S/P2 Online Training Exceeds 250,000 Tests Taken

INDUSTRY UPDATE

Keystone Automotive Industries Reports Record Q2 Sales

 

Keystone Automotive Industries, Inc. has reported record sales for its fiscal second quarter and six months ended September 26, 2003.

The results during the first half of fiscal 2004 include four acquisitions and the establishment of two greenfield operations.

Net sales for the quarter increased 15.4 percent to $116.7 million from $101.1 million a year ago. Net income for the same period was $2.7 million, or $0.18 per diluted share, compared with $2.7 million, or $0.18 per diluted share, last year.

Net income for the quarter included consolidation and other charges of $425,000 related to the company's acquisitions and a $200,000 insurance recovery settlement for a fire loss claim. Excluding the charge and the recovery, net income for the quarter was $2.8 million, or $0.19 per diluted share.

Net sales for the six-month period increased 13 percent to $235 million compared with $208 million a year ago. Net income for the same period was $6.9 million, or $0.45 per diluted share, compared with $6.2 million, or $0.41 per diluted share, a year earlier. Excluding the charge and the recovery, net income for the six-month period was $7.0 million, or $0.46 per diluted share.

Charles J. Hogarty, president and chief executive officer, said, "Results for the second quarter and first half of fiscal 2004 show strength across all of the company's main product groups, reflecting ongoing growth within the aftermarket collision repair business, increased insurance company participation and market acceptance of Keystone's Platinum Plus private label aftermarket parts product offerings."

Hogarty noted that same store sales for the second quarter and the six-month period increased 11 percent and 10 percent, respectively, compared with a year ago, after deducting same store sales increases from acquisitions and greenfields of four percent for the quarter and three percent for the six months.

Gross margins for the second quarter and the six months were 43.1 percent and 43.4, respectively. Hogarty noted that the gross margin for the second quarter was impacted by increased nickel prices, which currently stand at a ten-year high, as well as higher freight expenses for overseas shipments The company utilizes nickel for its chrome bumper plating business.

Hogarty added that gross margins were also impacted by lower production for its chrome and recycled plastic bumpers business, which affected the company's ability to absorb overhead expenses.

"We experienced some significant rework and higher related costs on certain types of bumpers during the quarter, due to the fact that certain new model vehicles require more labor and material due to a combination of textured and painted design features of the bumpers. These issues have been addressed by adapting new recycling processes and raising prices," Hogarty said.

Since its fiscal year end in March, the company has converted an additional 34 distribution facilities to its new management information system, bringing to 45 the total number of conversions to date.

   o

 back to top

BASF Net Profit Down, Sales Up in 2003

 

Germany's BASF AG has reported that the company's net profit in the third quarter halved from the year-ago period, but signaled that long-depressed market conditions may be nearing an end. Sales increased slightly despite negative currency effects, and EBIT before special items was below the previous year's good level.

In a business environment characterized by high raw material prices, margin pressure and a weak U.S. dollar, BASF AG increased its sales in the third quarter of 2003 by 2.1 percent to EUR7.7 billion compared with the same period in 2002.

Excluding negative currency translation effects, sales increased by 7.6 percent. Price increases contributed 2.1 percent to sales. Sales volumes were up 4.5 percent.

"The latest figures for our ongoing business give grounds for hope that we have now reached the bottom of the downturn. However, there has still not yet been a real breakthrough. 2003 remains a difficult year, as demonstrated by the weak third quarter," said Dr. Jurgen Hambrecht, Chairman of the Board of Executive Directors of BASF Aktiengesellschaft.

EBIT after special items declined 20 percent to EUR374 million. Special charges related mainly to restructuring measures in the NAFTA region and integration costs for the crop protection business acquired by BASF.

Net income in the third quarter fell 51 percent to EUR120 million. In the third quarter of 2002, the financial result contained tax-free gains from the sale of marketable securities. The absence of these tax-free gains in 2003 led to a significant increase in the tax rate compared with the previous year.

In the first nine months of 2003, BASF posted cumulative sales of EUR24.8 billion - slightly more than in the same period in 2002. At EUR2.2 billion, EBIT before special items in the first nine months was 2.3 percent lower than in 2002.

An indicator of financial strength for BASF is that, at just over EUR3.5 billion, the cash provided by operating activities for the first three quarters was already significantly higher than the full-year value for 2002 of EUR2.3 billion. The outlook for full-year EBIT before special items is, however,lower than in 2002.

"Although there are currently initial signs of an economic recovery, high raw material costs, unsatisfactory margins in some areas of our chemicals businesses and the weak U.S. dollar will continue to put pressure on our business in the fourth quarter," said Ham-brecht.

BASF will continue to focus on its extensive Group-wide programs and initiatives to optimize its portfolio, reduce costs and restructure its organization.

    o

 back to top

DuPont and ACE Form BodyShopNet

 

ACE, the originator of autobody desk reviews, has teamed with DuPont Performance Coatings to form BodyShopNet. The nationwide group of DuPont Performance Alliance shops will form the network, and ACE will audit and settle every estimate referred by its customers through www.ace-it.com.

The web-based system contains a shop locator that member adjusters use to refer claimants to the closest shops. Unlike many shop consolidation networks, there are no charges to the shops for referrals, minimizing insurer payout and shop overhead. Every repair receives a limited written lifetime warranty good at any Performance Alliance shop nationwide, and customer satisfaction indexing is performed on all repairs by Committed to Quality, a third-party provider.

“This arrangement allows smaller regional insurers without the volume leverage of larger companies to rally behind the ACE/DuPont banner,” said John A. Gizzio, Jr., president and CEO of ACE in West Chester, Pa. “It also adds prestige to smaller insurers to have access to a DRP that issues lifetime written warranties. Confidence in the DuPont name will establish a comfort zone for claims handlers entrusting their claimants to the network.”

Said Tim Dawe, industry relations manager for DuPont Performance Coatings, “We’re pleased to work with ACE to form BodyShopNet, which will provide ACE customers with a link to our top collision repair facilities in the country."

   o

back to top 

Apogee Enterprises, Inc., a provider of glass products and services for the architectural, large-scale optical and automotive industries, has entered into a definitive agreement to sell the stock of Harmon AutoGlass, its retail auto replacement glass business, to Synergistic International, Inc., doing business as Glass Doctor, a subsidiary of The Dwyer Group.

The transaction is expected to close by December 31, 2003, subject to customary conditions. Terms were not disclosed.

"This sale will allow Apogee management to increase our focus on opportunities in our architectural glass products and services, and picture framing glass businesses where we have solid market positions and greater opportunities for profitable growth," said Russell Huffer, Apogee chairman, president and chief executive officer. "Although Apogee's roots are in the retail auto glass business, Harmon AutoGlass is no longer a strategic fit for Apogee due to changes in its market conditions. We feel this is a positive decision for Apogee and its shareholders, and for Harmon AutoGlass."

"Harmon AutoGlass ... will complement our current Glass Doctor family and allow us to be a stronger national competitor," said Dina Dwyer-Owens, president and chief executive officer of The Dwyer Group. "In addition, we will also be able to effectively compete for national insurance business with the addition of the Harmon AutoGlass shops and expertise in servicing these accounts."

Glass Doctor plans to convert the majority of the purchased facilities to franchises.

   o

back to top 

The Sherwin-Williams Company announced its financial results for the third quarter and first nine months of 2003. Consolidated net sales increased 5.4 percent in the quarter to $1.50 billion from $1.43 billion during the same quarter last year and 2.3 percent in the first nine months to $4.12 billion from $4.03 billion in the first three quarters of 2002.

Net income increased 8.1 percent in the quarter to $120.3 million from $111.3 million last year.

The Automotive Finishes Segment's net sales increased 1.2 percent to $115.1 million in the third quarter but declined 1.8 percent to $342.9 million in the first nine months versus the comparable periods last year.

This Segment's sales increase in the third quarter resulted primarily from sales increases in the international operating units of the Segment. Operating profit in this Segment decreased to $12.4 million from $13.2 million in the third quarter and to $37.8 million from $42.4 million in the first nine months versus last year. This Segment's operating profit was negatively impacted in the third quarter and first nine months primarily by low sales volume, related unfavorable manufacturing absorption and a reduction in the net pension credit compared to last year.

Commenting on the company's operating results for the third quarter and first nine months of 2003, Christopher M. Connor, Chairman and Chief Executive Officer, said, "Our Automotive Finishes Segment is beginning to see some signs of strengthening in the international markets in which it does business although domestic sales continue to be hampered by soft automotive after-market industry conditions.

"We anticipate that the fourth quarter consolidated sales increase will be in the mid single-digits versus last year's fourth quarter. With relatively strong third quarter sales, we now expect our annual sales will finish in the upper part of that range or between 2.5 and 3.5 percent over 2002.”

o

back to top 

The Certified Automotive Parts Association (CAPA) is calling on repairers to leave the CAPA seal on all certified parts in order to demonstrate the use of a quality part and to aid in tracking the part, should it be necessary.

In order for a part to become CAPA certified, samples of each part are tested for material properties, finish, paint adhesion, coating performance, weld integrity, adhesive performance and corrosion resistance, and are examined to confirm that they include markings identifying the participant and date of manufacture.

Then, the part must pass CAPA’s rigorous Vehicle Test Fit. If the sampled parts comply with all of the CAPA quality standards, then, and only then, is the participant allowed to apply a CAPA Quality Seal to that part—the final step in the certification process.

The CAPA Quality Seal is a two part seal: one portion remains affixed to the part and the other is a tab that can be removed along a perforation. Both the tab and the seal have the same unique number that can be used to easily identify the manufacturer, lot, and part details. Once the seal is affixed to a surface, it will self-destruct when removed. This ensures that a seal cannot be transferred from a certified part to a non-certified part.

Through the CAPA Parts Database, the unique seal number can be used to determine which manufacturer produced the part, the date of the production lot, and all part details. This links directly to material used to produce the part, inspection information and other key part information.

Therefore, any issues with a particular lot or part can be analyzed and addressed by both the manufacturer and CAPA.

Because each seal has a unique number and the current tracking mechanism is so precise, placing the detachable quality tab on the repair file will enable the repairer to easily research that part should it be necessary in the future. Placing the tab on a repair order creates a permanent record of the use of a CAPA part.

As more insurance companies look to ensure that their policyholders get a quality aftermarket part, CAPA strongly recommends that shops take advantage of the seal design and use the removable tab to record the use of a CAPA part. Some insurance companies are planning to check to see if a CAPA part was actually used when they examine repair orders. The CAPA tab is a quick and easy tool for proof of use. CAPA is currently experimenting with automated processes to verify seal use at the shop level.

“The CAPA Quality Seal is a critical part of our quality control system and enables us to track parts from manufacture date to installation,” said Jack Gillis, Executive Director of the non-profit association. “Use of the unique seal number enables us to quickly address any quality issues with our parts.”

If an aftermarket part does not carry the CAPA Quality Seal, it is not a CAPA certified part. Be sure to look for the CAPA Quality Seal.

o

 back to top

 

The US Chemical & Plastics, an Alco Industries Company, has announced the acquisition of Cambridgeshire Chemical –CCL, in Cambridgeshire, England.

Cambridgeshire Chemical manufactures, markets, and distributes automotive aftermarket refinishing products throughout Europe and the United States under the PROSPRAY name.

PROSPRAY offers a versatile European Intermix Color system supported by a complete line of primers, activators, thinners, clearcoats, and support products to meet the refinishing needs of the body shop.

The company believes that this acquisition gives US Chemical & Plastics a firm presence in the refinish industry and the ability to grow market share not only in the United States and Europe but Worldwide.

  o

 back to top

 

FinishMaster, Inc. has reported that net income for the third quarter of 2003 increased 15 percent, to $3,615,000, or $0.47 per share, compared with net income of $3,144,000, or $0.40 per share, in the prior year period. The improvement in net income for the quarter compared to the prior year period was a result of higher net sales, lower operating and selling, general and administrative expenses, and decreased interest expense.

The increase in net sales was due to acquisitions. During the quarter, the company announced two acquisitions: Advance Paint in Denver, Colorado on July 3, 2003; and Automotive Refinish Technologies branch locations in ten new markets on September 18, 2003.

Same stores sales were negative for the quarter as a result of continued weakness in demand for automotive paint and accessories throughout our distribution network.

Lower gross margin dollars resulted from a decline in the margin rate. The deterioration in margin rate was a result of an inventory reserve adjustment for excess and obsolete inventory and higher shipping and handling costs as a percentage of net sales.

Operating and selling, general and administrative expenses as a percentage of net sales decreased 160 basis points to 21.8 percent due primarily to reduced wage expense and lower insurance costs.

For the nine months ended September 30, 2003, net income was $9,359,000, or $1.19 per share, compared to net income of $9,932,000, or $1.27 per share, in the prior year period. The decrease in net income for the year-to-date period compared to the prior year period was due primarily to lower net sales and gross margin dollars.

FinishMaster attributed the decline in net sales to reduced demand throughout its distribution network.

Lower gross margin dollars resulted from decreased sales volume and a decline in the margin rate. The deterioration in margin rate was a result of an inventory reserve adjustment for excess and obsolete inventory, higher shipping and handling costs as a percentage of net sales, and increased customer discounts.

FinishMaster is headquartered in Indianapolis, Indiana, and operates three major distribution centers and 167 branches in 27 of the 35 largest metropolitan areas in the country.

o

back to top 

More than 105,000 people attended the Automotive Aftermarket Products Expo (AAPEX) and the Motor & Equipment Manufacturers Association (MEMA) Show during Automotive Aftermarket Industry Week in Las Vegas, Nov. 4-7, the largest attendance in the history of the combined trade shows, according to AAPEX organizers.

Total attendance was up 21 percent over 2002, the previous best year. The most significant increase was in the number of buyers: more than 51,000, up 29 percent or 11,512 over last year. Also of particular note was the increase in international buyers, which exceeded 8,000.

"You could just feel the energy and excitement at AAPEX this year and the final all-time high attendance numbers clearly demonstrate why," said Alfred L. Gaspar, AAIA president and CEO. "We responded to the industry's call for trade show consolidation and the industry countered with a strong showing. Industry Week will soon become the largest trade show in Las Vegas with the addition of NACE in 2004."

Christopher M. Bates, president and CEO of MEMA added, "We have worked hard at focusing our efforts on increasing the quality and quantity of buyers in attendance. That is what the exhibitors truly want - to increase sales opportunities to customers here and abroad in an effective, focused venue. The emphasis to make AAPEX a vehicle for conducting a 'world of business' is truly paying off for all event participants."

AAPEX is the annual trade show representing the $250 billion North American retail and service aftermarket and features more than 1,900 exhibitors. AAPEX is jointly sponsored by the Automotive Aftermarket Industry Associ-ation (AAIA) and MEMA.

o

back to top 

First Notice Systems, Inc., a leader in claim reporting solutions for the insurance industry, and the CertifiedFirst Network, PPG Industries' North American network of over 1,300 quality-verified collision repair centers, have announced a strategic alliance designed to ensure high policyholder satisfaction in the auto body repair process.

Under the new agreement, insurance carriers that are clients of First Notice can now offer referrals for certified, guaranteed collision repair to their policyholders who call to report an accident.

Each CertifiedFirst Network repair facility is pre-qualified and then continually monitored for strict conformance to established network standards for quality and customer service.

"Offering quality collision repair to policyholders while they're on the phone reporting their claims is a great service—for them and their carrier," said Jeff Blum, Director, PPG Industries Automotive Aftermarket Alliance. "Connecting with leading industry players like First Notice, as well as customer-focused, quality body shops, is part of our strategic plan to bring real value to insurance carriers, their customers and CertifiedFirst Network participants."

After an accident occurs, a policyholder calls the 800-number of the First Notice service center where a First Notice customer service representative takes a claim report and determines if eligibility criteria are met. Policyholders are free to choose any facility for repair, but if they are interested in a referral, the First Notice representative uses a "warm transfer" process to connect the caller, while still on the line, directly with a CertifiedFirst Network shop to schedule an appointment.

"We built the vendor referral engine into our ClaimCapture software with both our clients' needs and best-of-breed services like the CertifiedFirst Network in mind," said Jim Leightheiser, Vice President of Product Marketing for First Notice.

"This new alliance is consistent with our strategy to offer custom solutions for both our insurance clients and our industry partners," said Steve Topczewski, Manager, Insurance Industry Relations for the CertifiedFirst Network.

o

back to top 

FIX AUTO will unveil its plans to create a performance-based network in the Claims Process Pavilion at this year’s NACE show in Orlando, Fla.

FIX AUTO, along with other network and information providers, will showcase their solutions for insurance industry representatives.

Key elements of the Performance Based Network (PBN) include FIX’s newly released Estimate Review Program (ERP), Quality Man-agement System (Web-QMS) and Customer Satisfaction Measurement system (Web-CSM).

“This NACE show marks an important turning point in our company’s direction,” said Doug Kelly, FIX president & COO. “In previous years we took a low key approach to marketing the FIX AUTO network. This year we will openly share our plans to significantly expand the network.”

The QMS program has been in operation for over a year with more than 50 percent of FIX member shops. The program assigns a numerical score to the quality of the work performed.

Kelly added, “By reviewing what our members do before the repair with our new ERP initiative, performing regular audits during the repair process and surveying owners after the vehicle is delivered, we ensure that our members consistently deliver outstanding service to their customers. We are so confident in our branded members’ capabilities that we will guarantee the result in the areas of cycle time, quality and customer satisfaction for all FIX AUTO branded shops.”

FIX has 148 locations in the U.S. and 135 locations in Canada.

o

back to top 

Fleet 1st, a network of heavy duty truck collision repair facilities, has been formed to offer reliable, professional service to fleets throughout the United States.

If a vehicle is involved in an accident anywhere in the country, fleet managers and truck owners can call the Fleet 1st Network, which will refer them to a nearby repair facility.

“Our network is made up of selected experts in heavy duty collision repair who take great pride in a job well done,” says Bill Hinchcliffe, president of Fleet 1st. “We offer ease of repair anywhere in the country, and we manage the repair.”

He adds that many Fleet 1st shops specialize in different types of repairs. “We will guide the customer to the right shop with the right tools,” he says.

Hinchcliffe has worked in the collision repair industry for more than 20 years.

DuPont Performance Coatings is among the affiliate members of Fleet 1st.

o

back to top 

CCAR-GreenLink, the National Environmental Com-pliance Assistance Center for Auto Repair, has updated its information to feature the newly-revised “Consolidated Screening Checklist for Automotive Repair Facilities Guidebook” that has been published by the U.S. Environ-mental Protection Agency (EPA).

The guidebook is now available in electronic format on the “CCAR-GreenLink” web site at www.ccar-greenlink.org.

Operated by the Coordinating Committee For Automotive Repair [CCAR] in cooperation with the EPA, CCAR-GreenLink is recognized as a leading source of environmental compliance and pollution prevention information for the automotive industry.

The “Consolidated Screening Checklist for Automotive Repair Facilities Guidebook” was developed by the EPA as a public service to the automotive service and repair industry. The checklist and guidebook highlight important or key environmental requirements for automotive repair operations as they apply to the various federal environmental programs.

Since the guidebook was first published in 1997, EPA has revised several environmental regulations applicable to the automotive service and repair industry, according to Sean Ochester, Environmental Specialist for CCAR-GreenLink.

“The information on motor vehicle air conditioning has been expanded to cover retrofits and alternative refrigerants,” said Ochester.

“There is also new information on the Spill Prevention, Control and Countermeasures (SPCC) program, Class V wells and used oil storage, among other updated topics.”

The guidebook is also featured in “Virtual Auto Repair Shop” on the CCAR-GreenLink web site, where users may click on an image in the shop illustration to access an index page of available information.

Established in 1994, CCAR is a national not-for-profit organization dedicated to enhancing the professionalism and image of automotive technicians. CCAR’s more than 200 affiliates represent all segments of the automotive service and collision repair industry, including vehicle manufacturers and dealers, national automotive chains and local repair shops, and colleges and universities that offer training in automotive service and collision repair.

o

back to top 

The Society of Collision Repair Specialists (SCRS) has completed an update to its paint and materials capping information. An extension of the association’s ground breaking 1996 study, the report provides a current overview of paint and materials capping policies on a state by state basis. Forty-seven of the 50 State Insurance Departments are included.

The goal of the original capping study was to provide written documentation from insurance companies and State Insurance Departments in order to clarify whether or not collision repairers were obligated to accept paint and materials thresholds. The update is positioned firmly in this tradition.

“Policies change as the marketplace changes and keeping our members informed is critical because these practices affect their bottom line,” said SCRS Chairman Lou DiLisio. “Having access to current information allows a collision repair business to better negotiate in good faith.”

This year’s Paint and Materials Capping Report is filled with a wealth of content. For starters, it provides a brief history of SCRS’s research to date, including the inquiry letters and workplace scenarios that were sent out to solicit feedback from State Insurance Departments. The significance of this work is recapped in an overview section.

The heart of the report is a matrix that contains key excerpts from each state’s response to SCRS inquiries. This helps clarify every Insurance Department’s position on paint and materials capping in easily digestible bites of information. For example, readers will find that “Auto physical damage policies written in Delaware do not contain a cap for the cost of paint or materials” and that “Wyoming does not have a statute of regulation that addresses this issue.”

The 13-page document finishes with a short analysis of its findings, and suggested strategies for collision repair businesses that perceive they are facing arbitrary capping practices.

“It is our hope that this report and the supporting documentation from each state will enable our members and their insurance partners to successfully negotiate what is fair and reasonable without conflict,” explains SCRS Executive Director Dan Risley.

The 2003 Paint and Material Capping Report will be sent to all current SCRS members. In addition, the response from their individual state Department of Insurance will be made available to them upon request.

“This report gives shop owners a clear idea of where their state governments stand in relation to paint and materials capping practices,” says Chad Sulkala, SCRS National Director. “In the event a shop owner and insurance company representative disagree, this information can help settle matters. It’s right from the desk of the Insurance Commissioner and a great tool for a collision repair business.”

o

back to top 

The Ford Motor Certified Collision Repair Network (CCRN), for Ford and Lincoln Mercury dealership collision repair facilities is currently being piloted in several Midwest markets. The program will be rolled out in phases in major markets over the next two years, beginning in the Texas markets of Houston and San Antonio.

The CCRN program looks to improve the processes and productivity of dealer-owned collision-repair operations, leading to greater revenues, improved customer satisfaction and an enhanced reputation with major vehicle insurers.

Thirty dealers currently participate in CCRN, each having gone through a 10-week implementation process with PPG Business Solutions to improve areas such as shop lighting, repair quality documentation, operational performance measurements, marketing support, training and customer satisfaction measurement.

INSIGHT, a third-party collision research firm, conducts an inspection after the implementation period, studying how the dealership performs on three "in-process" vehicles. It also rates the operation in terms of organization and overall attractiveness. Once a dealership becomes a member of the network, the facility must be re-certified annually.

Participating dealerships are already reporting positive results. Overall CSI for CCRN dealers stands at 92.7%, 4 points ahead of non-participating dealers. And each of the markets involved has seen a slight year-over-year jump in body shop revenues in a declining market.

Along with the strong numbers and the better working relationship with insurers, Dan Townsend, Collision Repair Certification manager for FCSD, says there are other residual advantages, such as increased sales through the use of more OEM parts and reduced repair cycle times.

Ford Motor is expecting to have 400 dealers participating by 2005.

Reprinted with permission from: Dealerworld. Volume 24 No. 9 November 2003, page 9.

o

back to top 

Ervin Clark has been named OEM and mega-dealer national accounts manager for DuPont Performance Coatings.

Clark has more than 20 years of experience in the automotive finishes industry, largely in national and regional sales management positions.

His new assignment brings him back to DuPont, where he was part of the startup team at the Front Royal, Va. Finishes plant in 1980. He became a sales representative for the DuPont Refinish business in 1985, and won a DuPont Marketing Excellence Award in 1991.

He joined ICI Autocolor in 1992 as southeast regional sales manager, rising to national account manager and winning the Directors Award for sales achievement during a seven-year career.

In 1999 he joined Kent Automotive as national accounts manager. His success in helping to increase sales for the Cleveland firm earned him the Kent North American sales award in 2000.

Clark will work out of his Charlotte, N. C. office with frequent visits to DuPont's Wilmington, Del. headquarters.

o

back to top 

The Arizona Collision Craftsmen’s Association (ACCA) recently conducted the seventh annual “Best Insurer” survey of Arizona insurance companies covering motor vehicles.

The Best Insurer survey is a tool used to asses the overall quality of customer service incorporated by each insurance company. The survey asked: “Do insurance companies’ overall policies, attitudes and payment processes focus on quality and timely repair for the consumer?”

The survey was distributed to state-wide collision repair shops and rated forty insurance companies. Of these forty, the top ten highest rated insurance companies were recognized at the ACCA’s November Dinner Meeting on November 19, 2003.

The first place winner for Best Insurer for customer service in 2003 was State Farm Insurance. The second place award was presented to USAA and the third place winner was 21st Century Insurance.

The most improved company in rankings from 2002 to 2003 in the area of customer service was Metropolitan Life Insurance (MetLife).

The following seven companies, in ranked order, made up the remainder of the top ten: Travelers, SAFECO, American Family, Farm Bureau, Hartford, AAA Insurance and Prudential.

The ACCA is a non-profit organization whose mission is to unite professional collision repair facilities in Arizona.

o

back to top 

The Coordinating Committee for Automotive Repair (CCAR) has reached another milestone in its "S/P2" online training in Safety and Pollution Prevention for the automotive industry. Lirel Holt, the chairman of CCAR's board of directors, announced that technicians and students have completed more than 250,000 S/P2 tests.

"It is very exciting to announce that more than a quarter of a million tests have been taken in the S/P2 program," said Holt. "The goal is to reduce injuries and illness in current and future technicians, as well as less negative impact on the environment. And we know that the by-products of moving toward this goal may well be a more satisfying work life, lowered workers compensation costs and a reduced amount of human suffering."

CCAR offers S/P2 free of charge to automotive training programs at career/vocational schools and community colleges, and participating programs now represent more than 75,000 students across the U.S. Most recently, General Motors adopted S/P2 as part of the curriculum for the GM ASEP and BSEP programs.

S/P2 is currently in use in more than 2,500 schools and shops in all 50 states, as well as parts of Canada and the Caribbean.

The business edition of S/P2 is available for a $299 annual subscription per facility. For both businesses and schools, the S/P2 program tracks technician/student progress through the training, grades tests and is constantly updated with federal and state laws.

CCAR, a not-for-profit organization, also operates CCAR-GreenLink, the National Environmental Compliance Assistance Center for Automotive Repair, in cooperation with the U.S. Environmental Protection Agency [EPA].

For complete information, visit the S/P2 web site at www.sp2.org website or call toll-free at (866) 477-2669.

o

back to top 

Feedback

Have a comment about this article? Send Email to Editor, INSIGHT's Editor

©2003 Collision Repair Industry INSIGHT
All Rights Reserved

FEATURED
LINKS:

PPG Automotive Refinish

Akzo Nobel

Sherwin-Williams Automotive Finishes

DuPont Automotive Refinish

Spies-Hecker Automotive Refinish

National Auto Body Council
INSIGHT Supports the NABC!
Do You?