April 2004 INSIGHT Industry Update

Reg Norton, director of global manufacturing and supply chain for PPG's automotive refinish business unit, has been appointed global director, environment, health and safety, effective April 1. He will replace David C. Cannon Jr., vice president, environment, health and safety, who is leaving the company March 31.

Lynne D. Schmidt, director of government affairs, will be promoted to vice president, government and community affairs, and executive director of the PPG Industries Foundation, effective July 1. She will replace Jeffrey R. Gilbert, who is retiring as of the same date after more than 38 years with PPG.

Norton joined PPG in 1999 in the company's acquisition of the ICI automotive refinish business, moving to the United States from England and assuming his current role in 2000. Norton was responsible for ICI's Stowmarket, England, plant, which manufactured automotive, industrial, refinish and architectural coatings as well as resins. He later served as general manager, supply chain, for ICI's global automotive refinish business. Before joining ICI in 1989, he worked in manufacturing and technology roles for Tioxide and BP Chemicals.

Cannon joined PPG's law department in 1981 as an environmental attorney after serving with the U.S. Department of Justice and the U.S. Department of the Interior. In 1987 he assumed leadership of the environmental law section, and in 1989 was promoted to group counsel for the chemicals group. After serving the chemicals businesses for five years, he was promoted to associate general counsel in 1994 and appointed vice president, environment, health and safety, in 1996.

Schmidt joined PPG's law department in 1984 following four years with the National Labor Relations Board in Cincinnati, where she was involved in labor and employment law, litigation and commercial law. From 1995 to December 2000, she managed the labor, employment and benefits section of the law department. She was appointed to her present position in December 2000.

Gilbert joined PPG in August 1965 as a personnel assistant at the Crystal City, Mo., glass plant. After human resources assignments in several cities, he returned to Pittsburgh in October 1976 and worked in labor, staffing and equal employment opportunity. As director of policy and practice, he relocated to Paris in 1995, returning to Pittsburgh in 1997 as director, international human resources and acquisitions. He was elected to his current position in 2000.

FinishMaster 2003 Net Income Down

FinishMaster, Inc. has reported that net income for the year ended December 31, 2003 was $11,852,000, or $1.52 per share, compared with net income of $12,897,000, or $1.64 per share, in the prior year period. For the three months ended December 31, 2003, net income was $2,494,000, or $0.32 per share, compared with net income of $2,965,000, or $0.38 per share, in the prior year period.

According to a company press release, the decline in net income for the quarter and year compared to the prior year periods was a result of a decrease in the gross margin rates on sales and an increase in the effective income tax rates.

Partially offsetting these items were higher net sales, lower operating and selling, general and administrative expenses, and decreased interest expense.

The increase in net sales for the quarter and year was due to acquisitions. Three acquisitions were completed during 2003. Same stores sales were down for the full year as compared to 2002 due to continued weakness in demand for automotive paint and accessories throughout our distribution network.

Lower gross margin dollars for the quarter and year resulted from a decline in the margin rates. The deterioration in margin rates was due to inventory reserve adjustments for excess and obsolete inventory, higher shipping and handling costs as a percentage of net sales, and a reduction in incentive programs offered by vendors.

Operating and selling, general and administrative expenses as a percentage of net sales decreased 230 basis points to 23.4 percent and 60 basis points to 23.2 percent for the quarter and year, respectively. Lower wages and benefits, bad debt expense, and information technology expenditures related to communications, consulting and hardware were the primary factors responsible for the decrease in expenses.

"We take solace that our operating expense ratios have improved," stated J. A. Lacy, President and Chief Operating Officer, "and intend to work hard for more improvement in cost control. However, our main focus is sales growth, and we are executing plans to achieve this objective."

FIX Auto Adopts CCAR S/P2 Training

The Coordinating Committee For Automotive Repair (CCAR) has announced that FIX Auto, a performance-based network in the collision repair industry, has adopted CCAR’s “S/P2” online training in Safety and Pollution Prevention.

Established in 1997 and headquartered in Anaheim Hills, Calif., FIX Auto has more than 150 locations in the U.S. With an additional 130 locations in Canada, FIX Auto is North America’s largest network of independent collision repair centers.

“S/P2 assures us that FIX facilities are aware of the OSHA and EPA laws,” said Ron Guilliams, Director of Quality Assurance for FIX Auto. “We want to know that our employees and policyholders enter facilities that strive to be compliant.

“Working together, we can reduce injuries, illnesses, liabilities, as well as damage to the environment,” Guilliams added. “FIX Auto wants to be ahead of the industry in adopting the S/P2 training.”

“S/P2” is CCAR’s Internet-based training to address key safety and pollution prevention issues for automotive service and collision repair professionals. S/P2 was developed by CCAR in concurrence with U.S. EPA and OSHA standards, which require that shop personnel be trained at least annually on safety and environmental regulations.

“We are proud to be associated with a conscientious leader in industry endeavors like FIX Auto,” said Robert G. Stewart, CCAR President. “We look forward to working with FIX Auto members to address safety and environmental issues through the use of S/P2, which can be changed and delivered instantly to address differing state requirements and changing laws.”

S/P2 is available for a $299 annual subscription per facility. CCAR also provides S/P2 free of charge to automotive training schools. For both businesses and schools, the S/P2 program tracks technician/student progress through the training, evaluates tests, and provides printable certificates of completion.

CCAR, a 501(c)(3) 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.

BASF Receives Excellence in Responsible Care Awards

BASF's Greenville and Whitehouse facilities received the Ohio Chemistry Technology Council's 2003 "Excellence in Responsible Care Award" for environmental, health and safety performance on March 9 in Columbus, at the opening event of the state trade association's 26th Annual Confer-ence.

Responsible Care is an American Chemistry Council initiative designed to promote the implementation of positive environmental, health, and safety measures with an emphasis on community cooperation. In selecting BASF as one of the facilities for the honor, the Ohio Chemistry Technology Council's (OCTC) panel of judges considered a number of factors, including each company's efforts to reach out to the local community through an active community advisory panel, a strong pollution prevention effort at the facility that gives first preference to source reduction, and operational controls and procedures that prevented any serious accidents or incidents during 2003.

"Each of the award recipients has demonstrated that protection of people and the environment comes first," said OCTC's Vice President Christina Elsner. "We're proud of the women and men in our industry in Ohio who have time and again shown by example their commitment to this principle."

"We're very proud to receive the OCTC's award because it honors the total team effort of our employees here in Greenville," said Wally Adams, Manager of BASF's Greenville site. "As the award recognizes, we have implemented innovative programs that help make the environment better and protect the health and well-being of our employees and our neighbors."

Karl Schnapp, Manager, Site/Administrative Services for BASF's Whitehouse facility echoed Adams' enthusiasm. "This is the eleventh consecutive year our site has received this recognition," he said. "But it never gets old. We're very proud of this, and we're working hard to make sure our tradition of performance continues."

About 150 people work at BASF's Greenville location, which produces resins and coatings used in automotive and industrial applications.

BASF's Whitehouse facility includes the company's North American Customer Service Center, Coatings Laboratories, and Application and Training Center. With approximately 140 employees, the site provides a wide range of research and development, technical, and customer support services for BASF business groups.

The OCTC is comprised of approximately 80 member companies that are involved in the research, development, manufacture, and marketing of products of chemistry.

ADP Claims Services Group and eAutoclaims Announce Joint Marketing Agreement

eAutoclaims, a provider of claims management services, and ADP Claims Services Group, a provider of integrated business solutions for the property and casualty, collision repair, and automotive recycling industries, have announced an agreement offering insurance carriers a new service intended to more efficiently and effectively administer their managed repair programs.

Under the terms of the agreement ADP will offer a new solution, ADP Managed Repair Service, powered by eAutoclaims. This service aims to allow insurance companies to benefit from web-enabled, streamlined, electronic assignments and dispatch within a fully managed repair network of more than 2,600 qualified collision repair shops and independent appraisers. Such electronic assignment and claims handling can eliminate the time-consuming traditional claim process of phone calls, faxes and emails.

The package includes estimate review services to ensure adherence to industry guidelines and services that track and coordinate other aspects of the claims process at a lower cost, and helping to manage the overall repair quality.

"ADP Managed Repair Service is another example of our commitment to providing clients with value added, end-to-end claims management solutions," said Jose Rivero, ADP Claims Services Group senior vice president. "Our arrangement with eAutoclaims, and their leading service, allows us to expand the depth and breadth of ADP's services for insurance managed repair programs. ADP Managed Repair Service will streamline an insurance company's claims processes, lower administrative expenses and help increase overall client satisfaction."

"With ADP's strength and industry leadership, eAutoclaims can expand its presence and provide more insurance companies with the management service efficiencies and repair network savings they need," said Eric Seidel, eAutoclaims chief executive officer. "The eAutoclaims national contracted repair network is made up of some of the finest repair facilities in the nation. This partnership means more contracted repairs through the ADP Managed Repair Service for those partner shops."

The agreement contemplates that certain ADP-directed enhancements will be made to the current service offerings of eAutoclaims, and is terminable by ADP if certain conditions are not satisfied within 45 days after its effective date and thereafter.

Right to Repair Legislation Introduced in Senate

Sen. Lindsey Graham, R-S.C., has introduced Motor Vehicle Owners Right to Repair legislation (S. 2138) to the Senate on Feb. 26, according to the Automotive Aftermarket Industry Association (AAIA). Similar to legislation introduced in the House (H.R. 2735), the bill aims to ensure that motorists retain the right to choose how and by whom their vehicles are maintained and repaired.

"The introduction of S. 2138 by Senator Graham represents another milestone in the battle to obtain passage of this critical legislation needed to ensure the future competitiveness of the independent aftermarket," stated Kathleen Schmatz, AAIA president and CEO.

"Independents do not have the luxury of depending on the promises of the vehicle manufacturers," said Schmatz. "Our service industry needs affordable and effective access to tools and information, not just this year, but for many years to come. The only way to make sure this happens is through passage of effective right to repair legislation," Schmatz continued.

"Car owners and the independent aftermarket owe Senator Graham a big debt of gratitude for his actions to ensure competition in the vehicle repair market. This issue continues to be a major priority for AAIA and AWDA; and we urge legislators to take immediate action to follow the leadership of Rep. Joe Barton in the House and Senator Graham in the Senate and pass the legislation as soon as possible," Schmatz concluded.

The AAIA is a Bethesda, Md.-based association comprised of manufacturers, distributors, jobbers, wholesalers, retailers, manufacturers' representatives and other companies doing business in the automotive aftermarket.

Proposed $300 Towing/Storage Cap in Ontario Dropped

Ontario’s proposed insurance policy limit of a maximum $300 for the insurer’s exposure to vehicle towing and storage costs will be dropped.

Sources close to Michael Colle, parliamentary assistant to Finance Minister Greg Sorbara, say that the change in insurance policies, due with new policies issued after April 14, 2004 will not happen. The Financial Services Commission of Ontario had posted the initial policy information earlier in the year.

Starting in mid-April, Ontario motorists’ insurance policies were scheduled to include a clause that would limit insurers’ cost in towing and storage (except in northern Ontario) to a maximum of $300. If the tow and storage costs were over $300, and many times there were, motorists would be required to pay the excess in order to retrieve their vehicle.

Insurers had complained that “tow truck chasers” and some gouging storage yards have been overcharging for towing services for some time and costing insurers and car owners significant extra monies.

One customer was hit with a bill of $1,754 for towing and six days of storage, while another customer's bill ran to $2,332. Some storage and tow firms charged $150 per day to keep a vehicle in their pound. These additional costs were being passed on to motorists through higher insurance premiums, and insurers were looking to try and cut their costs.

However a number of tow firms and collision repair associations pointed out that it is not uncommon for a legitimate tow from a licensed firm with minimum storage, particularly if the vehicle had to be take to a Collision Reporting Centre (CRC), to exceed the $300 cap limit.

Tony Nigro, President of the Hamilton District Autobody Repair Association (HARA), commented, “Although we do not have large towing abuse in our local area, our members were worried that this capping would create problems for consumers as regulated tow prices were close to the proposed cap price already.”

Collision repair associations pointed out that insurers should not abandon motorists and that the way to attack exorbitant tow fees, would be through the passage of regulations in the Collision Repair Standards Act, which was passed by Queen’s Park in December 2002, and if implemented, would help to control abusive tow companies and their high priced invoices.

Insurance Auto Auctions Announces Q4 Results

Insurance Auto Auctions, Inc., a provider of automotive salvage and claims processing services in the United States, has reported a net loss for the quarter ended December 28, 2003. The company recorded a net loss of $0.3 million, or a loss of $0.03 per diluted share, versus net earnings of $0.5 million, or $0.04 per diluted share, for the same quarter a year ago.

Revenues for the quarter were $51.1 million compared with $52.4 million in the fourth quarter of 2002. The decline in revenues was primarily due to the company's shift away from vehicles sold under the purchase agreement method and lower volumes on a same-store basis. The purchase agreement method accounted for 4 percent of the total vehicles sold this quarter versus 8 percent for the same quarter one year earlier. Under the purchase agreement method, the entire purchase price of the vehicle is recorded as revenue, compared to the lower-risk, consignment fee-based arrangements, where only the fees collected on the sale of the vehicle are recorded as revenue. Fee income in the fourth quarter increased to $43.5 million versus $39.4 million in the fourth quarter of last year.

The company reported full-year 2003 net earnings of $2.3 million, or $0.20 per diluted share, versus net earnings of $4.0 million, or $0.32 cents per diluted share, for 2002.

Revenues for the year were $209.7 million, a 10 percent decline from revenues of $234.2 million in 2002. Similar to the fourth quarter, the decline in annual revenues was primarily attributable to the change in revenue mix, stemming from the move away from the purchase agreement method of sale.

"The past year... was extremely difficult due to challenges related to rolling out the new system and lower industry volumes," said CEO Tom O'Brien. "While our financial results were clearly below our original expectations, we met our revised full-year guidance estimates and remained profitable throughout a difficult market. We also demonstrated positive market share trends that bode well for the future. We added eight new branches during the year and continued to invest in our existing infrastructure in order to grow the profitability of our core business. Furthermore, we completed the Company's largest infrastructure enhancement ever with the implementation of our new industry-wide IT system, significantly changing the face of IAA for the better. This specific initiative took more than two years to complete and will help drive better products and services for our customers in the quarters ahead."

Remaining committed to its strategic expansion strategy, IAA announced eight new facilities in 2003, bringing the company's branch total to 74 facilities at year-end.

"In the coming months we will be placing a major focus on fully leveraging the new IT system that we have spent such a considerable amount of time and money developing and rolling out throughout the organization," said O'Brien.

Vivonet Gains Sole Ownership of Autoprise

Vivonet Inc., a Seattle-based software company, has acquired Kirmac Information Systems Inc. from Kirmac Collision Services LP for an undisclosed amount of cash and shares. This strategic acquisition gives Vivonet Inc. full ownership and control of Autoprise, Inc., a software development company that provides management solutions to the collision repair industry.

“The acquisition of 100 percent of Autoprise Inc. is advantageous on many fronts, and will provide both our customers and shareholders with increased value,” said Ryan Volberg, President and CEO Vivonet, Inc.

Positioning the company as the “Technology Partner to the Collision Repair Industry,” Autoprise, Inc. provides traditional and Internet-based shop management systems for single- and multiple-site operations, data warehousing solutions and business intelligence products. To complement these products, Autoprise offers a full range of system life-cycle services including initial system planning and design, help desk, professional services, application hosting, and implementation services.

Vivonet Inc. was founded in 1999, and has developed internet-based products specifically for the hospitality industry.

ASA Launches New Government Affairs Website

Focused on a commitment to advance grassroots advocacy campaigns, the Automotive Service Association (ASA) recently launched a new Web site to help mobilize support or dissent for issues directly impacting the automotive repair industry on both federal and state levels. The new site, www.TakingTheHill.com, serves as a sophisticated grassroots program and reference guide for ASA members and other industry professionals.

The core of the new Web site is ASA's new Legislative Alert Center. This feature helps bridge the communication gap between advocates and their elected officials by offering a convenient venue to contact state legislatures, statehouses and the federal government. ASA has adopted a program that allows industry members to contact their representatives regarding specific legislation and, with the click of a button, send an e-mail to their elected officials.

To make the process even easier, ASA has populated the new Legislative Alert Center with messages or talking points for important issues that can be immediately incorporated into the correspondence. Currently, messages can be sent regarding insurer-owned repair facilities, the Motor Vehicle Owners' Right to Repair Act and Association Health Plans (AHPs) legislation.

"The Internet has become a dynamic and integral part of the political process on both federal and state levels," said Bob Redding, ASA's Washington, D.C., representative. "Today's grassroots efforts and advocacy campaigns incorporate online strategies to effectively deliver important messages to representatives around the nation. ASA understands this advancement and has created this new Web site to mobilize constituents on important initiatives impacting our industry."

Lehman's Garage Mourns the Loss of Fred Lehman

Fred Lehman, owner of Lehman's Garage until 1969 and son of founder, L.P. Lehman, passed away on March 22 after a long battle with lung disease. The Lakeville, Minnesota resident was 87 years old and is survived by his wife, Doris.

Lehman was involved in the auto industry throughout his life. He began working in his father's South Minneapolis shop part time by age 12 and by age 15 he quit school to work in the shop fulltime. Later, he attended Dunwoody Institute at night to study welding, bodywork and mechanics while working at the shop during the day. A World War II veteran who served in the Navy, Lehman and his siblings, Ed and Ellen, took over running Lehman's Garage after Fred and Ed returned from the war.

After Lehman sold the business in 1969, he continued to be actively involved in the auto industry and in the Lehman's business. Even after retiring, he continued to stop by the shop regularly to visit.

"Fred was truly passionate about automotive repair," said Darrell Amberson, Lehman's Garage CEO. "His commitment to excellent customer service, honesty and integrity have made a lasting impression on the Lehman's business and we continue to operate by those virtues today. Fred will be greatly missed by our staff."

Lehman's Garage is the Twin Cities' oldest auto body, mechanical and glass repair shop. Founded in 1917, Lehman's garage has 115 employees and shops in five Minnesota metro locations.

Corrosion Protection of Weld-Through Primers Called into Question at Ford

Ford has addressed corrosion protection issues in aftermarket repairs with a line of Motorcraft coatings that can be obtained from local Ford or Lincoln Mercury dealerships, the authorized distributor, or from Motorcraft.com (Motorcraft Low Temperature Anti-Corrosion Coating PM-12-A and Motorcraft High Temperature Anti-Corrosion Coating PM-13-A).

“These primers can be used anywhere weld-through primer would be used,” said John Hughes, Refinish Technical Expert for the Ford Motor Company. “When it comes to preventing corrosion, the product is better than any epoxy or two-component primer tested. Two-part epoxy provides more protection than a weld-through primer, but the Motorcraft products beat both.”

Hughes has been concerned that issues could arise during the structural repair of a collision damaged vehicle when a weld-through primer does not effectively prevent corrosion.

“Though they are in wide use, weld-through primers are not robust enough to prevent corrosion,” Hughes stated. “They evaporate at high temperatures, leaving sheet metal vulnerable to chemical changes and undermining structural integrity. Weld-through primers should not be used on any Ford, Lincoln, or Mercury vehicle.”

MQVP Funds Grant to Study Supply Chain

MQVP Inc. will fund a grant to study its independently produced automotive replacement part supply chain. The study will be conducted by an expert team of consultants from the automotive industry and credentialed academics. These individuals will be specialists in the body of knowledge of APICS (American Production and Inventory Control Society) and ASQ (American Society for Quality). Neil Stolman, MQVP’s Director of Conformance, will administrate the study grant.

“We are conducting this study in order to increase the success of the participants in the MQVP program. This effort will help to establish a leaner and more effective supply chain by maximizing quality and productivity of the inter-related activities involved in bringing automotive replacement parts to the collision repair market,” said MQVP Inc. President and CEO William J. Hindelang.

“This research will help to determine how to align current and future MQVP supply chain partners in providing collision replacement parts that bring a value enhancement to the insured vehicle owner, our critical customer,” said Stolman. “It has been argued that the most effective and efficient supply chains are those where there is strong alignment and agreement over who the critical customer is and what the supply chain and its partners must be, in order to help the critical customer succeed. We are seeking breakthrough improvements to change the current paradigm and overcome obsolescent thinking regarding the use of independently produced collision parts.”

“We are interested in studying the supply chain profile, which includes the vehicle owner, the important role of the collision repair shop and experts, the parts distributors and the replacement parts manufacturer, to identify how information flows- including product quality warranty issues, contractual inter-relationships, points of risk and failure modes,” explained Stolman.

An announcement will be made shortly to name the members of the academic and consultant task force. Information and data collection will come from volunteering MQVP Participants and the data collection will begin April 1 with results due to coincide with the annual MQVP Executive Advisory Council, to be held in Troy, Mich. in late August. An executive summary will be provided to all MQVP participants and to the public.

Collision Revision Opens Location Number 21

What began in 1976 as a four-bay repair shop in Rockdale, Illinois, has grown to twenty-one locations across the nation.

On September 15, 2003, Collision Revision assumed body shop operations from O'Hare Auto Group and began renovation of the existing building. With the renovation complete, Collision Revision opened its newest location on March 1, a 25,000 square foot state of the art collision repair facility completely equipped with the latest collision repair technology.

Collision Revision was founded by Roger D'Orazio after graduating from Wyoming Tech with an Associates Degree in Collision Repair 1976. He opened his first facility in a rented garage, with no running water, 200 square feet of space and just two employees. D’Orazio dreamed of a complete, high quality automotive repair shop. In 1978 he purchased the 4- bay building he had been renting and remodeled it to house an additional four stalls.

In the early 1980s D'Orazio had a new office building constructed in Rockdale, and expanded the shop into a 12-bay facility.

As business grew, so did Collision Revision. In 1985, D'Orazio purchased the shop where he had begun his career as a body technician, in Joliet. The facility was completely remodeled into a 25 bay space, and volume at this location increase by over 200 percent.

After thoroughly researching the automotive industry, analyzing the current requirements of today's vehicles, and anticipating future needs, D'Orazio began construction, in 1987, of one of the most technically equipped auto body shops in the entire Midwest, which still serves as Collision Revision Corporate Headquar-ters today.

In January 1990 Collision Revision developed and implemented a formal technician-training program for its employees. Because of the success of the training program Collision Revision continued to grow. In 1992 Collision Revision expanded its operation with the opening of a St. Charles location. This trend continued with facilities in Bloomington, Lincolnwood, Oak Forest, Peoria, and the first out of state location in Fort Myers, Florida.

As Collision Revision continued to grow D'Orazio never lost sight of the customer’s needs. In 2002 Collision Revision Car Rental Company was formed. A fleet of vehicles was purchased for each of the locations.

2003 brought even more exciting new opportunities with the opening of the Champaign location as well as valet service. Collision Revision added three flat beds; four trucks with trailers, one two place trailer and a tow truck to its towing fleet.

With the addition of the rental cars and towing vehicles, Collision Revision began a full range of services for customers. Collision Revision offers free pickup of the customers vehicle, free delivery to the customers home or place of business. The demand for these services grew rapidly not only by the customers but by the insurance carries that use Collision Revision as their Direct Repair Facility. To better serve customers and insurance companies, Collision Revision put in place a 24-hour call center.

The growth in 2004 continues for Collision Revision. Soon to open in late spring and summer will be two other locations, in Munster, Indiana and Normal, Illinois. Collision Revision's goal is to open five more repair facilities in 2004.

The company's philosophy is to "wow" its customers with free pick-up and delivery of vehicles from customers' homes or places of business, rental car on site, on-time completion, vehicles washed and vacuumed before return, toll free number to the 24 hour call center, and a lifetime warranty for as long as the customer owns the vehicle.

"When I started this business in 1976, I made a commitment to create the kind of vehicle repair shop that customers wanted- a business that delivers what it promises," said CEO Roger D'Orazio. "I wanted my customers to tell their friends that they had a good experience at my shop. And, I wanted them to come back the next time repairs were needed," D'Orazio explained.

Sherwin-Williams Introduces Squeegee Prime

Sherwin-Williams Automotive Finishes Corp. has introduced an industry first - a Direct-To-Metal (DTM) "Spreadable" primer surfacer - NP75 and Squeegee Prime. This new primer process eliminates the need for masking and quickens the repair process on small areas, dramatically increasing vehicle through-put and shop productivity.

Available for use in two different application techniques (sprayable and spreadable), Squeegee Prime is a DTM, ISO-free, primer surfacer that is free of lead and chromates. Squeegee Prime provides bare metal adhesion and corrosion protection without the need for an etch primer.

"Reducing shop cycle time is our number one priority and Squeegee Prime is a direct result of this ongoing productivity commitment to our body shop and fleet customers," said John Corry, SWAFC's Marketing Manager for Vehicle Refinish/Regulatory."Squeegee Prime's spreadable application eliminates overspray, masking, gun cleaning, application of an etch primer / filler, and can be applied throughout the entire shop area using the correct personal protective equipment. Squeegee Prime coupled with our spray booth process enhancements (Wet-On-Wet / no purge before bake) greatly reduce cycle time in any shop at significant cost savings while providing a top quality repair. Additionally, NP75 is backed by Sherwin-Williams' Ultra Edge and Ultra Lifetime Guarantees. This product is true innovation at its best!"

According to Sherwin-Williams, while roll-on primers have been an alternative to spraying, Squeegee Prime's advantage is that it eliminates the "plowing" or "piling up" effect of primer at the end of a stroke, common with roll-on primers. Squeegee Prime is a "non-spraying" application, requiring no masking.

O’Reilly Auto Parts Honors DuPont Nason Team for Training and Tech Support

The DuPont Nason team has been named Supplier of the Year for Training and Technical Support for vendors under $4 million in sales by O’Reilly Auto Parts. The award was presented at O’Reilly’s National Managers Conference in Tulsa, Okla. in February.

The DuPont Nason team was instrumental in the highly successful rollout of Nason products in O’Reilly stores in 2003.

Darren Shaw, O’Reilly merchandise product manager, said that Nason product point-of-purchase sales showed a dramatic increase in 2003, due in large part to the training and sales aids provided by the Nason team.

“They really stepped up to the plate,” Shaw said. “They did a tremendous amount of field work, making joint shops calls and conducting training. And they put together product kits and a reference guide that were invaluable in helping our people to understand the Nason product line and how to fit it to our customers’ needs.”

Members of the DuPont Nason team are: Jerry Pater, Central Regional manager; Bill Matthews and Robert Clements, account managers; JoAnn Zehrung, coordinator/support for training and marketing; and Pat Horan and Tammy Adjunta, store support/training.

O’Reilly has more than 1,100 stores in 17 states, with total sales of about $1.3 billion in 2003. Some 550 of the stores sell paint.

Steve Louden Named CARS 2004 Chairman

The Automotive Service Association (ASA) has announced that Steve Louden, AAM, will serve as chairman of the 2004 Congress of Automotive Repair and Service (CARS). Louden is the owner of Louden Motorcar Services in Dallas, Texas, and a longtime member of ASA.

Held annually in Las Vegas during Automotive Aftermarket Industry Week, CARS is a premier educational event and exhibitor showcase designed specifically for automotive repair and service professionals. CARS is sponsored by ASA's Mechanical Division and will be held Nov. 4-6 at the Flamingo Las Vegas. The event will provide networking opportunities, including the third annual Service Professionals Industry Reception co-sponsored by ASA and the International Automotive Technicians' Network (iATN), and an exhibitor showcase featuring the latest in automotive products and services. In addition, automobile manufacturers will be on hand to present new product technology seminars during the show.

In making the announcement, Ron Pyle, ASA president and chief staff executive, said, "With his more than 40 years of industry experience, Steve is ideally suited to serve as chairman. Like ASA, he is committed to advancing professionalism and excellence in the automotive repair business. Steve is a past president of both his local and state affiliates of ASA and is a past chairman of the national ASA board of directors. Indicative of his recognition that one needs to advance professionally, he long ago recognized the importance of - and devoted time to earn - the Automotive Management Institute (AMI) Accredited Automotive Manager (AAM) designation."

Louden said he was honored to be named chairman for CARS 2004. "All through my 27 years in business, ASA has been there for me and has been very instrumental in our continuing success," said Louden. "And I'm always pleased to have an opportunity to give something back. I am looking forward to CARS 2004."

Louden recognizes the need for management education and was one of the founding members of the Automotive Management Institute, and has served as its chairman.

Louden was a member of the Automotive Management Institute's first graduating class of AAMs. And, testimony to his continuing commitment to AMI, he helps support the institute's education program through monetary donations to its EXCEL program.

He has produced and presented management seminars at three separate International Autobody Congress & Exposition (NACE) and CARS conventions, as well as numerous other management conferences nationwide.

Louden is a past member of the Automotive Hall of Fame board of directors and is a past chairman of the Bosch Authorized Service Center Council. He has been certified as an ASE Master Automobile Technician and Master Engine Machinist. He also has been a panel member for ASE test writing.

A graduate of Florida State University with a bachelor of science degree in business, Louden worked for 12 years with Ford Motor Co. in various technical and management positions.

During his years with Ford, he raced sports cars to numerous championships. In 1977, he founded Louden Motorcar Services Inc., and in 1982, he designed and built a new facility for Louden Motorcar Services that is still a showplace today. Louden Motorcars - an ASE Blue Seal of Excellence facility - has been recognized three times as "The Best in Dallas." It also has been recognized as the "Best in Texas" and among the "Top 10 in the United States."

Although Louden has earned many accolades, he is perhaps best known for helping improve the image of the automotive repair business and its technicians, and has been presenting his AMI seminar, "Up Your Image," for 15 years.

Purchase of the full CARS registration package will include credentials for the Automotive Aftermarket Products Expo (AAPEX), the Specialty Equipment Market Association (SEMA) show and the International Autobody Congress & Exposition (NACE).

Indianapolis Collision Services Merge

Glenn Earle's Collision Solutions and Excel Collision Repair Centers merged Jan. 1 to become Collision Solutions, Inc. The merger makes the combined entity the second largest collision repair provider in Indianapolis and the third largest in the state.

Aaron Clark, formerly president of Glenn Earle's Collision Solutions, has been named president of Collision Solutions, Inc. Dick Cobb, formerly president of Excel, becomes chief operating officer, and Brian Clark, formerly vice president of Glenn Earle's Collision Solutions, was named chief financial officer.

“This is a true merger,” said Cobb. “We're taking the best from all of our companies and applying them to the new corporation. We fully expect the end result to be greater than the sum of its parts.”

Cobb also indicated that by standardizing processes and load-balancing repairs between locations, Collision Solutions intends to increase overall customer satisfaction.

With combined annual revenues reaching $10 million, Collision Solutions repairs over 600 vehicles per month and enjoys direct repair relationships with most insurance companies. Combined, the four Collision Solutions locations will have over 70,000 square feet of production space and employ 60 team members. The I-CAR Gold Class certified company works on all makes and models of vehicles.

“This merger gives Collision Solutions the ability to build a strong market-wide brand identity, as well as use our geographical diversity and standardized process to attract larger customers and insurance company relationships,” added Aaron Clark. “We have placed ourselves as one of Indiana's largest collision repair providers - we now have four convenient locations strategically placed throughout the Indy metro area to best serve our customers.”

Glenn Earle's Collision Solutions has been in operation since its founding in 1975 by Glenn Earle. With the retirement of Earle in 1999, the family-owned business came under the leadership of Aaron Clark and Brian Clark and changed its name to Collision Solutions.

Nine-year-old Excel Collision Repair, owned by Dick Cobb, was the first AAA approved collision repair service in Indianapolis.

Seidner's Collision Centers Opens New Location in Corona, California

Seidner's Collision Centers announced the opening of its ninth location, a state-of-the-art facility in Corona, California. Regional manager Al Watlet commented, "We are creating a flagship repair facility in one of the fastest growing areas of Southern California."

Steve Seidner, one of the family owners, said, "This center is being designed with cycle time and TOC processes in mind, it will support and complement Seidner's high standard of operating practices, ensuring greater efficiency and high-quality collision repair."

Seidner's Collision Centers operates six San Gabriel Valley and now three Riverside county locations. The business has been a family owned and operated organization since 1964, with Todd, Steve, and Rick Seidner at the helm.

Seidner's core values, of Honesty & Integrity, Excellence in all Aspect of the Company, Respect for the Individual Employee, Continuous Growth and Profitability, and Employee Development & Training, define the company culture at Seidner's Collision Centers.

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