A DEALER'S JOURNAL
Volume 10, Issue 103,
The Complete Automotive And Powersports Magazine
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The Happenings Canadaâ€™s Section Corner Page 4 Page 14
PowerSports Section Page 15 - 18 NASCAR News Page 20
Guide Listings Page 22 - 25 Dealer Notes Page 26
Psalms 145:3 Great is the Lord, and greatly to be praised; and his greatness is unsearchable.
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A Dealer’s Journal The Complete Automotive And Powersports Magazine
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Clauss Takes Over NAAA Presidency Page 5 Ally Adds ClearGuard Protection To All Dealer Vehicles Sold On SmartAuction Page 6
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Rawls Auto Auction says “Thanks to everyone who helped them celebrate 75 years!” Come and experience the difference. Check out this month’s ad on page nine in the magazine for this month’s sale dates and times, or log onto www. rawlsautoauction.com. A Dealer’s Journal is the only automotive and powersports publication that offers you four for one advertising. Print, Online, and Direct E- mail Marketing, along with placement on all of our social media pages for one low monthly price. Contact the sales team at 877-331-4350 or at firstname.lastname@example.org to secure your place today! We are the Complete Dealers, Auction and Powersports Magazine. Attention Dealers, Auctions, Transporters, and Suppliers; Do you have something going on that you would like to share? An upcoming event or special sale? How about a new product release? Email us at subscriptions@ adealersjournal.biz and tell us about your upcoming event, sale, or special. We will run it in the next issue of A Dealer’s Journal, Your publication for the industry!
Clauss Takes Over NAAA Presidency And Charleston Named Auction Of Year
LA QUINTA, Calif. - ADESA Buffalo general manager Warren Clauss officially took over as National Auto Auction Association president at the organization’s 69th annual convention in La Quinta, Calif. last week, held in conjunction with the National Remarketing Conference during Used Car Week. Serving with Clauss on the executive board for the 20172018 term is president-elect Chad Bailey and vice president Laura Taylor.
Clauss has served in executive leadership positions at NAAA for more than a decade. Prior to his election as vice president in 2015, he served as president of the Eastern Chapter from 2004 to 2005, sat on the association’s board of directors between 2006 to 2008 and again from 2013 to 2014. “It’s been extremely rewarding to serve the NAAA in those positions, building relationships and working together for the mutual benefit of our members and the
industry,” Clauss said in a news release. “I thank the members for their trust and support and look forward to serving them as their president.” Clauss joined the ADESA Buffalo team as controller in 1992. In 1994, he took on the role of assistant general manager and became the general manager just two years later. He is the longest-running general manager at any of ADESA’s 77 auctions, according to NAAA.
Angelicchio Inducted Into NAAA Hall Of Fame By: A Dealer’s Journal Staff
Retired Pittsburgh Independent Auto Auction chairman and chief executive officer Dave Angelicchio was also inducted into the NAAA Hall of Fame at this year’s convention. Angelicchio is recognized for his service in various executive positions at NAAA, including president, chairman of the board and treasurer, earned him the honor. In addition to encouraging the
establishment of standards for arbitration, wholesale certification and electronic condition reports, Angelicchio’s initiatives centered on streamlining operations, forging strategic partnerships and creating standards. Accomplishments of Angelicchio include overseeing the first joint NAAA/CAR Conference, spearheading the agreement to combine NAAA’s annual convention with the National Remarket-
ing Conference, and the major restructuring of the association’s four autonomous zones into chapters, according to NAAA. Angelicchio became chairman and chief executive of Pittsburgh Independent Auto Auction in 1996. He continued to work in that position until the family business was bought by ADESA in March 2015.
Brasher Receives ‘Industry Pioneer’ Distinction By: A Dealer’s Journal Staff
In addition to Angelicchio, the NAAA honored former owner and chief executive officer of West Coast Auto Auctions Larry F. Brasher with its Industry Pioneer Award for his achievements and contributions to the remarketing profession at NAAA’s 69th annual convention. Brasher is notably the first son of a former NAAA president and Hall of Fame member to hold the same office. Brasher was elected president in 1989 and inducted into the Hall of Fame in 2005. His father served as president from 1973 to 1974 and entered the NAAA Hall of Fame in 1987. NAAA’s Industry Pioneer Award recognizes individuals who have inno-
vated or enhanced methods of improving services to remarketers through NAAA member auctions. “During his more than a quartercentury in the wholesale vehicle remarketing industry, Brasher oversaw such advancements as expanded video sales, developing the Auction Viewmaster System in 1995 that allowed all vehicles — regardless of size or location — to go on the block, including boats and RVs, NAAA said in a news release. In 1987, Brasher was one of the founders of the ServNet Auction Group which created a network of independent auto auctions strategically located throughout the country that work together to provide the latest in
services and technologies. Before earning a business management degree from the University of Utah in 1972, Brasher grew up working at, Salt Lake City Auto Auction, which his father founded in their in 1949. Brasher made the decision to join his father full-time after graduating from law school in 1975. Following the acquisition of Sacramento Auto Auction in 1978, Brasher and his wife Anne relocated to California and he became sole owner of that auction in 1987. West Coast Auto Auctions was formed following acquisitions in Oregon, Nevada, Idaho and New Mexico. Continued On Page 8
December 2017 - A Dealer’s Journal - 5
Ally Adds ClearGuard Protection To All Dealer Vehicles Sold On SmartAuction DETROIT, MI -- Ally Financial today announced that ClearGuard, which provides protection coverage of up to $2,500, is now standard on all eligible vehicles dealers sell through SmartAuction, Ally’s online wholesale vehicle auction platform. The additional protection means dealers using SmartAuction can avoid the unexpected cost, time and trouble of arbitration for minor damage or misrepresentations. “Dealers want to sell their vehicles without worrying about the cost and hassle of a potential arbitration case over minor damage that might have been missed at inspection and our buyers want to be sure they are getting the vehicles in the condition they thought they were getting,” said Steve Kapusta, vice president, Specialized Asset Management for Ally. “With ClearGuard, we’re able to inimize the risk by protecting dealers on most items that lead to disputes and arbitration.” There is no fee for auto dealers to post a vehicle on SmartAuction, but once it sells, a standard $200 fee is charged and ClearGuard is automatically included. Nearly all dealer-owned passenger cars and trucks with a sales price of less
than $75,000 are eligible for the ClearGuard coverage. With ClearGuard, all arbitration claims up to $2,500 would be covered. Standard arbitration guidelines apply to all ineligible vehicles and claims over $2,500. SmartAuction worked with the Ally
Insurance team to develop the ClearGuard protection product. “This is another benefit of having the breadth of products and expertise that Ally offers,” said Doug Timmerman, president of Ally Insurance, which delivers the ClearGuard coverage. “We listened to dealers, and with an unrelenting focus, found a way for our SmartAuction and Insurance teams to develop a product that helps dealers and enables vehicles to move through the sales process
faster.” About Ally Financial Inc. Ally Financial Inc. (NYSE: ALLY) is a leading digital financial services company and a top 25 U.S. financial holding company offering financial products for consumers, businesses, automotive dealers and corporate clients. Ally’s legacy dates back to 1919, and the company was redesigned in 2009 with a distinctive brand, innovative approach and relentless focus on its customers. Ally has an award-winning online bank (Ally Bank Member FDIC and Equal Housing Lender), one of the largest full service auto finance operations in the country, a complementary auto-focused insurance business, a growing digital wealth management and online brokerage platform, and a trusted corporate finance business offering capital for equity sponsors and middlemarket companies. The company had approximately $164.0 billion in assets as of September 30, 2017. For more information, visit the Ally press room at https://media.ally.com or follow Ally on Twitter: @AllyFinancial.
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6 - A Dealer’s Journal - December 2017
Cont: Brasher Receives ‘Industry Pioneer’ Continued From Page 5
Brasher served as CEO of the parent organization until 2003, before serving on its board of directors. This April, ADESA completed the acquisition of the eight West Coast Auto Auctions owned by the Brasher family.
Auto Auction Of The Year And More By: A Dealer’s Journal Staff
In other auction news, Charleston Auto Auction was named the NAAA’s 2017 Auto Auction of the Year for Excellence in Community Service for supporting a local high school principal’s dream creating of a residence for homeless students. The Charleston County School District nominated the auction for its efforts to help support 21 homeless students at R.B. Stall High School. After seeing a news story on TV about Project H.O.M.E., a proposed project to house several homeless high schoolers with surrogate parents who would provide stability and consistency, Charleston Auto Auction assistant general manager Jason Moritz wanted to help, ac-
cording to NAAA. Along with a large crystal loving cup, the award includes a $20,000 check payable to a charity of the auction’s choice and a feature in both NAAA’s On The Block magazine and 2018 membership directory. Earlier this year, as one of four regional finalists to receive the NAAA Chapter Auction of the Year Award, Charleston Auto Auction had previously won a $5,000 check for charity. Additionally, the Midwest Chapter earned the NAAA PAC Cup Award, Melinda Dykstra earned the Distinguished Service Award and Dean Fusami was recognized as the Bernie Hart Auctioneer of the Year.
Automotive Events, Inc. Appoints New President CLEVELAND, OH -- The U.S.’ leading events and media agency for the automotive industry has named Iain Dobson company president, effective Nov. 27, 2017. Previously, Dobson served as Automotive Events’ senior vice president for 14 years. He led the company’s production services division, overseeing logistical design, product training, testing and substantiation services, and all performance and related programming. “We are at the forefront of rapid change within our industry,” said Dobson. “With our hustle, forwardthinking ideation, creativity and above-expectation deliverables, Automotive Events offers clients a service unlike any other in the business.” Dobson took over the high-ranking post from John Thorne, who still serves as the company’s chief executive officer.
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CarMax Partners With Auto Repair Leader RepairPal RICHMOND, VA.-- CarMax, Inc., the nation’s largest retailer of used cars, announced it is expanding its commercial relationship with RepairPal, a leading provider of auto service and repair via a network of RepairPal Certified shops. Additionally, CarMax has made a minority investment of $5 million as the lead in a new round of financing for RepairPal. Through this partnership, CarMax will provide its customers with access to the RepairPal Certified shop network resulting in additional trusted, quality and fairpriced service and repair locations. This investment follows several months of successfully partnering with RepairPal to offer Los Angeles customers the convenience of more service options. Bill Nash, CarMax president and CEO said, “CarMax led the way in providing trust and transparency in car buying, selling and ownership, and our relationship with RepairPal gives us the oppor-
tunity to further enhance the customer experience. The RepairPal Certified network, combined with CarMax’s own nationwide staff of highly qualified technicians, ensures that our customers have timely options for all their service and repair needs.” RepairPal has built a network of auto repair shops that offer a minimum 12 month/12,000 mile warranty on repairs. Customers can feel confident they’ll receive reasonable prices on repairs as shown in RepairPal’s Fair Price Estimator™. Art Shaw, RepairPal CEO, commented, “CarMax’s commitment to creating a great customer experience makes them an ideal partner as we continue to build out our network of trustworthy mechanics who deliver fair pricing and service excellence.” About CarMax CarMax is the nation’s largest retailer of used cars and operates more than 180 stores in 39 states
nationwide. CarMax revolutionized the auto industry by delivering the honest, transparent and highintegrity car buying experience customers want and deserve. For more than 20 years, CarMax has made car buying more ethical, fair and stress-free by offering a nohaggle, no-hassle experience and an incredible selection of vehicles. CarMax makes selling your car easy too, by offering no-obligation appraisals good for seven days. At CarMax, we’ll buy your car even if you don’t buy ours®. CarMax has more than 24,000 associates nationwide and for 13 consecutive years has been named as one of the FORTUNE 100 Best Companies to Work For®. During the 12 months ending February 28, 2017, the company retailed 671,294 used cars and sold 391,686 wholesale vehicles at its in-store auctions. For more information, access the CarMax website at www.carmax.com.
like seeking venture capital. To discover more A Dealer’s Journal spoke with one of the co-founders of CarFix, Vladimir Lupenko. A Dealer’s Journal: Thanks for the interview. What are the advantages of blockchain technology? Vladimir Lupenko: Putting the entire history of a vehicle from the moment it comes off the factory floor to the moment it is recycled in the junkyard on a blockchain creates a wide gamut of advantages for car owners and automotive industry players. For example, to name a few it increases resale value of vehicles; it allows auto manufacturers to increase efficiency of warranty
services and reduce warranty costs; it allows insurers to save on claim management costs; it creates transparency in collision repair between insurers and repair shops. It also creates transparency in car ownership costs and leverages transparency to reduce maintenance costs for fleet owners. ADJ: What services does CarFix provide? Lupenko: CarFix is a comprehensive ecosystem that includes repair shops, spare parts distributors, fleet managers, car manufacturers, dealers. A consumer or a fleet owner can use their respective applications to obtain trans-
How Blockchain Can Help The Car Sales Market By: A Dealer’s Journal Staff
Blockchain provides opportunities for streamlining the approach to relationships in the auto sales, auto repair, auto insurance and auto finance industries. To discover more we spoke with the company CarFix. CarFix has issued the Vehicle Lifecycle Blockchain (VLB) token,. Through this the company aims to reshape the $1.8 trillion vehicle lifecycle industry by integrating blockchain technology. CarFix announced its initial coin offering for the VLB token on November 27, 2017. This move follows other industries who have introduced alternative ways to raise funding, eschewing other models 10 - A Dealer’s Journal - December 2017
Continued On Page 13
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Lithia Motors Acquires Armory Car Dealership
ALBANY, NY — One of the Capital Region’s oldest car dealerships has been acquired by Lithia Motors, an Oregon-based automotive retailer. Armory Garage on Central Avenue in Albany will keep its name and current leadership, the dealership said in a statement. Armory carries Chrysler, Dodge, Ram, Jeep and Fiat vehicles. Founded by Anthony Metzner in 1918, the automotive business was originally located on Sherman Street in Albany at a time when cars were stored in the winter and people opted to use a horse and buggy instead. In the 1920s, the business
relocated to a five-story building on Central Avenue. The cars were displayed behind floor-toceiling windows on every floor, a then-novel approach to exhibiting vehicles. The dealership expanded after World War II and moved to a showroom at the corner of Colvin and Central avenues in 1949. The showroom, which allowed Armory to display 200 cars in a 35,000-square-foot facility, helped earn the dealership recognition from Automotive News a decade ago as one of the most innovative car dealerships in the nation. Anthony’s son, Stanley Metzner, ran the dealership for more than 60 years. In 2015, his son Donald Metzner became CEO
and the elder Metzner became CEO emeritus. He passed away in December. “Much like Armory Garage, Lithia began as a family enterprise, deeply rooted in local communities,” Armory said in a statement. “Lithia and Armory Garage express confidence that this transaction is an ideal blend of shared values and a strong culture of providing exceptional customer service.” With the acquisition of Armory, Lithia Motors now operates 168 stores in 18 states.
IHS Markit Observations And Commentary Ahead Of Lamborghini Urus Launch Ian Fletcher, Principal Automotive Analyst, IHS Markit By: A Dealer’s Journal Staff
The Lamborghini Urus expected to launch on Monday the 4th of December and will be the Italian supercar brand’s long-awaited entry in to the luxury crossover segment. Although this is not a category the brand is known for its involvement in, other brands have gained significant benefits from expanding in to this previously non-traditional category. Indeed, global crossover and SUV sales have grown from 7.93 million units during 2006 to 26.47 million units during 2016, and IHS Markit anticipates that by 2020, sales will reach 34.34 million units. The upper echelons of this category have also been beneficiaries in recent years, with IHS Markit seeing global sales at the upper end growing from just 4,700 units in 2010 to almost 21,000 units during 2016 underpinned by the Mercedes G-Class and Bentley
Bentayga. However, we also expect to see this expand to a near-term peak of around 29,300 units during 2020 thanks to the entry of further new models including the Aston Martin DBX, Rolls-Royce’s ‘High Sided Vehicle’ and of course the Lamborghini Urus. Early indications from the brand’s pre-launch marketing activity indicates that in terms of appearance, the Urus will not be that far removed from the concept, with a similar angular appearance as the Huracan and Aventador supercars. The company has also sought to highlight that it will meet the customer expectations in terms of performance and handling dynamism, although a ‘Corsa’ driving mode. However, it has also shown that it will feature driving modes that give it capabilities in off-tarmac situations such as snow or sand. This could make it particularly appealing in mar-
kets where its sports cars are less suitable. IHS Markit expects that global sales of this model will peak at around 2,900 units per annum (upa) during 2019 and 2020 once this model is fully up to speed. At this point, it will make up around 50% of the brand’s total sales. As well as attracting existing owners, it is also highly likely to attract new customers to the brand which may not have been able to justify buying one of the brand’s less practical models. Production of the Urus will take place at Lamborghini’s historic Sant’Agata factory, although significant investment has been undertaken to boost capacity and bring its manufacture to this location. We also see this model featuring a turbocharged 4.0-litre V-8 engine from launch, but will be joined by a plug-in hybrid in the years to come.
Cont: How Blockchain Can Help The Car Sales Market
Continued From Page 10
parent and most cost efficient repair and maintenance services. Manufacturers can monitor the dealers’ maintenance pricing policies and ensure their adherence to manufacturer’s suggested retail prices. Repair shops and dealers receive pre-paid customer flow that generate spare part order flow for spare part distributors. ADJ: What is the technology behind the service? Lupenko:The CarFix ecosystem is build on a proprietary software that provides interfaces for the ecosystem participants to transact with one another seamlessly. This application layer software will be overlaid on top of the Vehicle Lifecycle Blockchain that we are creating and that will be financed by the proceeds from the ICO. ADJ: How long did the platform take to develop? Lupenko:In this time period we
have served over 300,000 customers. ADJ: Please explain about the Vehicle Lifecycle Blockchain (VLB) token. How does it differ to other tokens? Lupenko:VLB Tokens are utility tokens that will be used by the ecosystem participants to record transactions on the blockchain and gain access to the encrypted information stored on the blockchain. VLB Tokens’ value is underpinned by the quantifiable value of benefits outlined in question a). For example, car manufacturers can save up to 30% of their warranty costs through increased warranty service efficiency. That is over $120 per car! Insurers can save over $100 per client on claim management, which is the single biggest operating cost line item. Repair shops and dealers can save around $50 on customer acquisition costs. These savings
represent VLB Token appreciation potential from the ICO price of $0.50 per VLB Token. ADJ: How have you partnered with different service providers? Lupenko:We have a business development team led by the former business development director of Uber that focuses on expanding the CarFix ecosystem. ADJ: What has been the response from consumers? Lupenko:300,000 customers served, plus 500 repair shops, 10 major spare parts distributors, fleet managers with over 2 million cars. ADJ: What other types of technology interest you? Lupenko:We are wholeheartedly focused on launching Vehicle Lifecycle Blockchain and making CarFix the first successful use case, which will generate demand for VLB Tokens on day 1 of blockchain deployment.
TRADER Launches ‘TRFFK,’ A Specialized Full-Service Digital Advertising Solution Designed in Canada exclusively for automotive dealers, TRFFK provides intelligent, data-led solutions to convert in-market car shoppers into real-time customers
TORONTO, CANADA - TRADER Corporation today announced the launch of TRFFK powered by autoTRADER.ca, a first-to-market, all-in-one digital advertising solution designed exclusively for the automotive sector in Canada. Led by a dedicated team of category experts, TRFFK provides digital marketing strategy and execution across paid search, display, social media and audience retargeting – all powered by exclusive consumer shopping data and unmatched consumer behavior insights, from Canada’s #1 automotive marketplace, autoTRADER.ca. Currently available in Quebec, the full-service offering uses proprietary autoTRADER.ca data of in-market car shoppers to power local, digital advertising campaigns and convert online traffic into real-time customers. The specialized team of automotive and digital marketing experts will work collaboratively with dealers, leveraging data intelligence analytics to offer strategic, effective and fully customizable campaigns that target consumers that are in-market. TRFFK offers dealers a one-stop, data-led, full-service solution for all areas of the digital advertising process. “It’s always been our goal at TRADER to work in partnership with our dealers, listen to their feedback and act on it,” says Luc Morin, Vice President of Sales, Eastern Canada, at TRADER. “We have the largest car shopping audience in Canada on autoTRADER.ca, which gives us exclusive access to that qualified in-market consumer data to target the right shopper with the right car, at the right place and time, to drive high performance for our dealer partners. TRFFK provides a unique
opportunity to serve our dealers by offering the most intelligent and targeted advertising to the highest quality traffic across any dealer ad platform.” TRFFK’s innovative approach offers: • Optimized and efficient ad placement using proprietary Canadian autoTRADER.ca in-market car shopping data to ensure buys are focused on actual in-market Quebec car shoppers as opposed to other solutions which rely on data aggregated from North American online behavior • Ads that display actual inventory, taking the consumer directly to the vehicle details page (VDP) to engage with a particular listing • Personalized dashboards showcasing performance to maximize efficiency and ROI • Automotive focused team providing responsive support including advanced analytics, optimization strategies and reporting • Access to a breadth of quality publishing networks, websites and channels which include CPAX, the Google network and others “TRFFK is an absolute gamechanger for our dealer partners,” says Jill Hadfield, Vice President of Product Commercialization at TRADER. “We’ve invested in a Canada-first, integrated digital marketing solution for dealers to make highly targeted advertising decisions based on the vast in-market car shopping audience data that’s proprietary to autoTRADER.ca. Each campaign is continuously optimized through professional management and unrivalled distribution across every major content network.” Applying ‘Big Data’ to the Car
14 - A Dealer’s Journal - December 2017
Buying Process Millions of interactions on Canada’s number one marketplace allows for precise modelling of consumer purchase intent to drive data-driven, effective advertising solutions for dealers. Utilizing a sophisticated suite of monitoring tools and intelligent data-based technologies, TRFFK is able to measure both quantitative and qualitative consumer engagement. More than simply placing ads on Google and Facebook, TRFFK optimizes ads across many locations, catered specifically to an intended audience of in-market shoppers. Targeting and Retargeting The path to purchasing a vehicle is no longer linear; it involves a complex web where consumers are open to multiple brands and influences along with way. Retargeting effectively extends dealers’ website experience directly to shoppers on other sites, increasing the likelihood of engagement and conversion. Predictive analytics allow for strategic consumer targeting based on where they are in their shopping journey. TRFFK allows dealers to strategically place ads, target or recapture consumers at every stage of their shopping journey, and bring them back to their inventory. Dealers and retailers can access more information about TRFFK at www.trffk.ca.
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PowerSports Section PAGES 15 - 18
Powersports Support Integrates With MTA Distributing TUSTIN, CALIFORNIA - Powersports support (pss), the leading motorsport e-commerce data and catalog solution, announces its integration with mta distributing, an industry leader in aftermarket parts, accessories and garments for motorcycles, atv’s, and utv’s. With nearly 65,000 SKU’s, including 30,000 that are unique to the PSS Database, MTA Distributing distributes parts and accessories to thousands of dealers across the nation. PSS has cleaned and made MTA’s products web-ready for eBay, Amazon, Walmart, and dealer websites. “In addition to making MTA’s data ready for e-commerce, we’ll be providing them with automated pricing and inventory updates,” said Jason Nichols, Business Development Leader at PSS. “We’re big fans of MTA around here, and we’re proud to be a continued part of their success.” “MTA is built to serve our deal-
ers and their customers,” said Jeff Laird, National Marketing Manager for MTA Distributing. “Working with PSS is another way we make it more convenient and affordable for people to fix and trick out their motorcycles, ATV’s, snowmobiles, and about anything else they can ride.” The MTA data will roll out in phases, starting now and continuing up until a scheduled completion date of February 2018. As always, MTA products are and will be only available to authorized dealers. About Powersports Support: Founded in 2009 in Orange County, CA, Powersports Support is the complete e-commerce solution for today’s power sports dealers. After spending over 15 years as dealers, the PSS team knew firsthand how cumbersome and outdated the system was for product data, catalogs, and everything else involved in successful e-
commerce. Their solution: Create proprietary, cloud-based software that cleans data, builds ready-touse catalogs, and offers the most brand-, dealer-, and consumerfriendly solutions for marketing and selling products online. About MTA: Motorcycle Tires and Accessories LLC (MTA) distributes parts, garments and accessories for ATV/UTVs, motorcycles and snowmobiles, to thousands of dealers nationwide. MTA supplies dealers through its distribution centers located in Choudrant, LA; Corona, CA; Perrysburg, OH; Clifton Park, NY and Greenville, SC. MTA is committed to building a strong distribution network, maintain close partnerships with its vendors and continuously strives for exceptional customer service. MTA is a subsidiary of Motovan Corporation; a privately held company.
Biker’s Choice, DragonFire Racing, Kuryakyn, Progressive Suspension, QuadBoss, Vance & Hines and J&P Cycles. MAG company officials said the day-to-day operations of these businesses would be unaffected and they would operate as normal during the reorganization process. The company released the
following statement: Motorsport Aftermarket Group (MAG), a leading independent manufacturer and distributor of branded aftermarket products and online retailer for the powersports industry, today announced it is implementing a comprehensive, consensual recapitalization to eliminate ap-
Motorsport Aftermarket Group Files For Chapter 11 Bankruptcy
By: A Dealer’s Journal Staff
Motorsport Aftermarket Group (MAG) has announced it has filed for Chapter 11 bankruptcy, as a means of eliminating $300 million in debt through a “debt for equity exchange.” MAG owns and operates several prominent powersports companies, including Tucker Rocky, www.adealersjournal.biz
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December 2017 - A Dealer’s Journal - 15
Cont: Motorsport Aftermarket Group Files For Chapter 11 Bankruptcy proximately $300 million in debt through a debt for equity exchange supported by in excess of 90 percent of the principal amount of the company’s prepetition first lien secured lenders, and its assetbacked lenders. “Through this process, which we have been working very hard on with our key lenders to accomplish over the past month, we will de-lever our balance sheet allowing us to more effectively compete in today’s evolving powersports market. MAG’s businesses will continue to operate unaffected and the company has sufficient liquidity to fund operations. Customer service and sales will continue, employees will receive wages and benefits as before, and vendors and suppliers will be paid in the ordinary course of business going forward,” said CEO Andrew Graves. To implement the recapitalization, the company and certain of its affiliates have filed voluntary petitions for relief under Chapter 11 of the United States Bankruptcy Code in the District of Delaware. The company expects to move through the process quickly, and emerge in the first quarter 2018 as a stronger, better capitalized and competitive company. To support operations through
this process, MAG has secured up to $135 million in debtor-in-possession (DIP) financing from certain of its current secured lenders. “The U.S. Powersports market has been in persistent decline for the past few years. In response, MAG has been working diligently to adjust to the changing landscape and has implemented many initiatives to parallel today’s market. Unfortunately, the company’s long-term debt continues to be an impediment to success,” added Graves. “As such, we believe that by availing the company to the Chapter 11 process, MAG has chosen the most efficient and expeditious way to right-size our balance sheet for the long term so that we remain an industry leader for many years to come. We and our key creditors are committed to what will hopefully be a short bankruptcy case.” Key elements of the recapitalization: • Employee wages and benefits will be paid in full in the ordinary course without interruption. • Customer orders will be fulfilled consistent with past practice without delay or disruption. • Vendors and suppliers will be paid timely and in full going forward. • Company will emerge with new owners and a new board of
directors. Monomoy Capital Partners, BlueMountain Capital and Contrarian Partners will lead the new owners group, and have deep experience in consumer products and lifestyle companies including distribution, retail and manufacturing. “We are encouraged to have access to the resources the new owners bring, by their passion for the powersports industry, and for their shared vision for MAG’s future. Looking forward, MAG will be able to more aggressively capitalize on market and growth opportunities given our strong balance sheet post recapitalization,” said Graves. “Importantly, MAG is very appreciative of its employees who have remained committed and professional during what has been a challenging few years. Moreover, we are grateful to our valued vendors and suppliers who have remained our partner, and we thank our customers who continue to trust and rely on us. We look forward to continuing to work together for many years to come,” added Graves. Proskauer Rose LLP and Cole Schotz P.C. are serving as legal counsel and AlixPartners LLP is serving as financial advisor to MAG.
CHARLOTTE, N.C., RumbleOn, Inc. is a disruptive e-commerce platform that facilitates the ability of consumers and dealers to buy, sell, trade, and finance pre-owned motorcycles and other powersport and recreation vehicles in one online location. Today, the Company announced the appoint-
ment of Peter Levy as its Senior Vice President of Dealer and Auction Services. Levy is a seasoned operating executive who for many years has been highly regarded within the automotive industry. In his role, Levy will oversee the development of the Company’s dealer network and the rollout of
its industry-leading dealer-to-dealer internet marketplace that will offer qualified dealers access to a virtual inventory of thousands of wholesale vehicles. His professional experience includes a senior management position at Integrated Auction
Continued From Page 15
RumbleOn Appoints Peter Levy As Senior Vice President Of Dealer And Auction Services
Continued On Page 17
Cont: RumbleOn Appoints Peter Levy As Senior Vice President Of Dealer And Auction Services Continued From Page 16
Solutions, a premiere Independent Auto Auction simulcast provider. His 25-year distinguished career comprises several successful startup businesses that capitalized on technology to gain market share and while creating trendsetting policy. Mr. Levy has taken leading roles in sales, marketing, and consulting in a number of technology-driven businesses, which has fostered relationships with many senior executives across a broad scope of industries. “We are excited to have Peter join our expanding team,” said RumbleOn Founder and CEO, Marshall Chesrown. “Given his
impressive industry background, including his work at Integrated
Auction Solutions, we believe he will make a significant and immediate contribution in our effort
to, as a Company, create the most trusted brand and efficient online marketplace and distribution system in the recreational vehicle market.” “I am very excited to be a member of the RumbleOn management team in supporting the rapid expansion of the Company,” commented Levy. “I have spent many years in the information services industry, and I view RumbleOn as an opportunity second to none.” About RumbleOn RumbleOn operates a capital light disruptive e-commerce platform facilitating the ability of both consumers and dealers to Buy-Sell-Trade-Finance pre-owned Continued On Page 18
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Cont: RumbleOn Appoints Peter Levy As Senior Vice President Of Dealer And Auction Services
Continued From Page 17
601cc and larger on-road motorcycles. Serving both consumers and dealers, through its online platform, RumbleOn
makes cash offers for the purchase of their vehicles and intends to provide them the flexibility to trade, list, or auction their vehicle through RumbleOn’s website and
mobile applications. In addition, RumbleOn offers a large inventory of used vehicles for sale along with thirdparty financing and associated products. For additional informa tion, please visit RumbleOn’s website at www.RumbleOn.com. Also visit the Company on Facebook, LinkedIn, Twitter, Instagram, YouTube and Pinterest.
motorcycle and other powersport and recreation vehicles in one online location. RumbleOn’s goal is to transform the way motorcycles and other powersport and recreation vehicles are bought and sold by providing users with the most efficient, timely and transparent transaction experience. RumbleOn’s initial focus is the market for
18 - A Dealer’s Journal - December 2017
Goodyear And NASCAR Extend Historic Partnership Goodyear Remains Exclusive Tire Supplier Across All Three National Series;Renewed Multi-Year Agreement Extends Six Decades of Partnership DAYTONA BEACH, Fla. – NASCAR and The Goodyear Tire & Rubber Company today announced a renewed sponsorship agreement that ensures Goodyear is the exclusive tire of NASCAR’s top three national series. The newly signed agreement continues Goodyear’s designation as the “Official Tire of NASCAR” and extends an uninterrupted relationship that started in 1954. Goodyear and NASCAR’s six decades of partnership is one of the longest-running sponsor programs in any sport. In addition, Goodyear has been the exclusive tire supplier for the sanctioning body’s top three series since 1997. “We proudly join Goodyear in celebrating our renewed and longstanding partnership,” said Brent Dewar, NASCAR president. “For more than half a century, NASCAR and our teams have trusted Goodyear tires. Our partners’ commitment to innovation and excellence plays a key role in our unyielding pursuit to deliver the best racing product in the world.” From the introduction of the radial tire to NASCAR in 1989 to multi-zone tread design in 2013, Goodyear and NASCAR have consistently innovated to deliver compelling racing. NASCAR has served as a proving ground for Goodyear, preparing and supplying tires that meet the most grueling and demanding conditions. The technology that goes into a tire to withstand and perform in 20 - A Dealer’s Journal - December 2017
those conditions helps inform and differentiate Goodyear’s consumer tires. “We are tremendously proud of the pivotal role Goodyear plays in the best racing competition in the world and excited that NASCAR drivers will be crossing the finish
line on Goodyear tires in the years ahead,” said Rich Kramer, chairman, CEO and president of Goodyear. “With this new agreement in place, we celebrate our enduring relationship with NASCAR and the continuing value of NASCAR to the Continued On Page 21
Cont: Goodyear And NASCAR Extend Historic Partnership Continued From Page 20
Goodyear brand” Each tire Goodyear produces for NASCAR’s top three national series are custom-built by the
hands of passionate Goodyear associates in Akron, Ohio – Goodyear’s global headquarters – and donned with the name of the employee who helped produce it. The depth of the relationship has been built on competition, shared passion and brand growth for the two organizations. Goodyear’s industry-leading brand has been amplified through the duration of the relationship generating awareness for the tiremaker with NASCAR’s passionate fan base. According to a Turnkey Sports & Entertainment sponsor loyalty survey conducted for SportsBusiness Journal/Daily in 2016, Goodyear has been the most recognized sponsor in NASCAR for the past five consecutive years. The Monster Energy NASCAR Cup Series champion will be
crowned following the Ford EcoBoost 400 at Homestead-Miami Speedway on Sunday, November 19 at 3 p.m. ET on NBC, MRN and
across North America, NASCAR sanctions more than 1,200 races in more than 30 U.S. states, Canada, Mexico and Europe. For more
SiriusXM NASCAR Radio. About NASCAR The National Association for Stock Car Auto Racing, Inc. (NASCAR) is the sanctioning body for the No. 1 form of motorsports in the United States. NASCAR consists of three national series (Monster Energy NASCAR Cup Series™, NASCAR XFINITY Series™, and NASCAR Camping World Truck
information visit http://www. NASCAR.com and http://www. IMSA.com, and follow NASCAR on Facebook, Twitter, Instagram, and Snapchat (‘NASCAR’). About Goodyear Goodyear is one of the world’s largest tire companies. It employs about 65,000 people and manufactures its products in 48 facilities in 22 countries around the world. Its two Innovation Centers in Akron, Ohio and ColmarBerg, Luxembourg strive to develop state-of-the-art products and services that set the technology and performance standard for the industry. For more information about Goodyear and its products, go to www.goodyear.com/corporate.
Series™), four regional series, one local grassroots series and three international series. The International Motor Sports Association™ (IMSA®) governs the IMSA WeatherTech SportsCar Championship™, the premier U.S. sports car series. Based in Daytona Beach, Fla., with offices in eight cities
The Auction Guide
BSC America Tallahassee Auto Auction 5249 Capital Circle, SW Tallahassee, FL 32305 www.bscamerica. com Phone: 850-878- 6200 * Fax: 850-942-9830 E-mail: drodriguez@ bscamerica.com General Manager: Doug Rodriguez Fleet Lease Manager : John Coukoulis Operations Manager: Mike Atkinson Sales: Angelia Messick & Eric Snow Lane Marketing/ Office Manager : Lisa Hull Regular Sale FRIDAY @ 10:00am ET Every Friday- Inops - Mechanically challenged running after the regular consignment around 12:30pm 2nd Friday of the Month - Power Sport , RV and Marine Sale after Regular Sale. 3rd Friday 5 Day Powertrain Guaranteed Sale 10:00am Featuring Approximately. 400 cars each week in three lanes. All lanes broadcast live via Simulcast. National Fleet/ Lease accounts include: PHH, ARI, Automotive Fleet Management. Loan Max(SRG) and U-HAUL Fleet sales, many local banks and credit unions. All new facilities, including 2 Bay Mechanical Shop and Reconditioning Facility, & Post-sale inspections. We accept floor planning through MAFS, AFC, DSC, Car Bucks, FMC, World Omni, and others. Virtual solutions include OVE and Smart Auction - the wholesale marketplaces open 24/7.
Arizona Arkansas California Canada Colorado Loveland Auto Auction Inc. 4660 Chapman rd. Johnstown, CO 80534 Phone: 970-669-4994 or 800-748-3839 Fax: 970-6699874. Email: Matt@lovelandautoauction.com. Web Site: www.lovelandautoauction.com. Full service auto auction, Family owned and operated for over 25 years. Connecticut Central Auto Auction 185 Welton Street Hamden, CT. 06517(New Haven) Phone: 203-787-2277 Fax: 203-787-6564 E-mail: email@example.com www.centralaa.com Pres./Gen. Mngr: Peter Saldamarco, V.P./Acting Office Mngr:Sally Saldamarco, Sales Mngr: Anthony Saldamarco, Operations Mngr: Michael Saldamarco, Dealer Liaison: Tori Richnavsky, Ove.Com Coordinator: Elise Gallup, Fleet Liquidation Specialist for Banks, Credit Unions, Leasing Companies, Rental Companies, Ect. #1 Choice of Commercial Consignors serving New England and New York, Best Pricing, Best Service, and Superior Results. Sales every Tuesday at 10:30 a.m. Dealer Consign, Absolutes, Repo's, F/L, New Car Dealer Trades, Utility Vehicles, Municipalities, Donation Vehicles, INOP Sale Via Slide Show Live & Online Thursdays 9 a.m - 4:30 p.m. Sealed Bid Sale, at www.ove.com 24/7. Transport, Detailing, Mechanical, Body Shop, PDR, Chip & Scuff Touch ups, MAFS, DSC, AFC, Auto Use, Major Credit Cards/Sale Streaming Live at www.centralaa.
FL 32772 Phone: 407-328-7300 Fax: 407-321-4466 www.sanfordautodealers.com GM Joe Killory, ext.112 Office Manager Tara Napier, ext.135 SmartAuction: Ed Murphy, ext.113 Sale Day Information: Every Tuesday at 2pm 2000+ consignments every week from over 50 new car dealers, fleet, lease and bank inventory featuring Avis Budget, Markone Financial and PFS. ALLY Auto Remarketing & SmartLane at 3pm in lane 6 and online. GSA Sale, second Tuesday of every month. Sell inventory all week long with SmartAuction. Online sales at www.auctionpipeline.com. Ocala Auto Dealers Exchange 1205 Northwest 27th Avenue, Ocala, FL 34475 Phone: 352-3685900 Fax: 352-368-2051 www. ocalaautodealers.com GM: Richard Galway Office Manager Dawn Hensley Sale Day Information: Every Wednesday at 5pm 500+ weekly consignments specializing in new car dealer trades. Cocoa Auto Dealers Exchange 500 Cox Road, Cocoa, FL 32926 Phone: 321-636-2233 Fax: 321636-9212 www.cocoaautodealers.com GM:John Puhl, ext.230 Office Manager Kathy Cramer, ext.226 Sale Day Information: Every Thursday at 4:30pm 500+ weekly consignments in 4 lanes. Specializing in new car dealer trades. Restaurant and transportation lot. Georgia Hawaii
ADE Auctions, Inc. Dealer only auto auction with 3 locations in the Central Florida Area. Major floor plan companies accepted. Sanford Auto Dealers Exchange 2851 St. Johns Parkway, Sanford,
22- A Dealerâ€™s Journal - December 2017
Idaho Illinois Indiana Indiana Auto Auction 4425 West Washington Center Rd. Ft. Wayne, IN 46818 Phone: 260-4892776 Fax: 260-489-5476 www. www.adealersjournal.biz
indianaautoauction.net Gen. Mgr: Eric Autenrieth Nat. Accounts Mgr: Don Elliot, Fleet/Lease Mgr: Chad Horn Thurs Weekly: 10:00 a.m. Fleet, Repos and Dealer Consignment, 9:00 a.m. Wrecked & Damaged; Tues: 2:00 p.m. MonthlyHD Truck Repo Units featuring: ACC, American General, CNAC, First Investors, Hyundai Capital Finance, Pro Fed, RSA, SAC Finance, SCS Credit Corp., Vehicle Remarketing Services, Fleet lease units featuring: ARI, Avis/Budget Group, Dollar Thrifty, Emkay, Enterprise RAC, Fleet Street Remarketing llc, Flexco, Nationwide Fleet, Norfolk Southern, PAR North America, Union Bank. Major New Car Dealer Trades Featuring: Bob Rorhman Auto Group, Kelly Automotive Group, Preferred Automotive Group.
North Dakota Ohio
zer +/- 500 units weekly including selections from Frederick Cheverolet, Piazza Management Group, Criswell Chevrolet, Hagerstown Ford,Kent Parson Ford, and Hoffman Chevrolet.
Complete Auto Auction www.completeautoauction.com. 21799 Northwest Parkway, Marysville, OH 43040 Ph: 937-642-1937, Fax: 937-642-1943 Full Service Auction, 25 miles northwest of Columbus Ohio. Auctions every Tuesday afternoon at 3:00PM EST, come in person or bid on line through our web site. Vehicles failing to sell on Tuesdays are posted to our Buy It Now site with reduced prices by Thursday. We are the only auction site Honda Financial Services sells at in Ohio! See vehicle run-lists, photos and CRs at We can pick up and deliver. Great rates for Dealer Consignments. Special rates on mechanical and body work for cars bought at our auction. Buy it, fix it, ship it by Friday!
Rhode Island South Carolina Carolina Auto Auction, Inc. I-85 (Exit27) & Hwy 8, Webb Road Williamston, SC 29697. Ph: 864-2317000 Fax: 864-231-7900 Every Wednesday @ 10 am, Large weekly consignment. Salvage Sale 1st & 3rd week of every month. Powersports Every 2nd Wednesday. 70+ acres, 8 Action- Packed lanes. Go to www.carolinaautoauction. com for run lists, market reports, and online bidding. South Dakota Tennessee
Montana Nebraska Nevada New Hampshire New Jersey New Mexico New York North Carolina www.adealersjournal.biz
Mason Dixon Auto Auction 12876 Molly Pitcher Highway Greencastle, PA 17225 Phone: 717-597-3121 Fax: 717-597-0220 E-mail: Cindy@ masondixonaa.com www.masondixonaa.com General Manager: Judy Hawbaker Dealer Registration: Cindy Oberhol-
Would you like to see your auction listed here and on our web site? It’s as easy as completing our guide listing form and it’s only $19.99 per month. There is no limit on the number of words and we allow you to place your company logo with your listing at no additional charge. For more information call 877-331-4350 or email firstname.lastname@example.org.
December 2017 - A Dealer’s Journal - 23
The Transportation & Suppliers Guide Alabama Roll Seal, Inc. Hicks Auto Air Bag Covers AutoCheck Winns Warranty Alaska Arizona Bank One Arkansas Auto Services Company California OPENLANE Promotional Products Safelite of America Inc. F & I Systems, Inc. TNT Auto Transport Canada Carmel Colorado Connecticut Delaware Florida Dealers Choice Auto Transport is a Florida based auto shipping company, specializing in shipping vehicles in a timely and respectful manner. Dealers Choice Auto Transport was created with the need for an auto shipping company that truly catered to the needs of the customer. Our goal is to be recognized as setting a new industry standard of efficient and caring auto shipping services. Call Dealers Choice Auto Transport and we won’t let you down. We are an FMCSA licensed U.S. auto shipping company. Browse our site for all our auto transport services or to request a quote. How we are different: Most transport companies only broker out their services and do not own their own trucks. On the other hand, we do own our trucks and broker what we can’t accommodate at any given time. We believe we
are the best and we expect nothing but the best from our associates, thus making us the Dealers Choice. When you work with Dealers Choice Auto Transport you can sleep at night knowing your vehicle is safe. Call us now and find out why more and more people are utilizing our services. Give us a call, we won’t let you down. 877-4185225 or online at www.dcat.com. Georgia Hawaii Idaho American Associated Auctioneers Illinois Montway Auto Transport ® is a nationwide car shipping company. Montway is a carrier and a broker. We can ship a car from and to any point in the U.S. Visit us online at http://www.montway.com or call our agents at 888-666-8929. Indiana About NextGear Capital: NextGear Capital is the world’s most comprehensive and innovative provider of lending products for vehicle dealers and auctions. With pioneering technology and a total commitment to customer service, NextGear Capital empowers dealers to floor plan vehicles from anywhere, at any time. NextGear Capital lines of credit can be used for a variety of purchases – Retail, Wholesale, Salvage or Specialty. The company was created by the merger of Manheim Financial Services and Dealer Services Corporation, resulting in a dynamic new industry leader that is 100% focused on helping customers shift their business to the next level. NextGear Capital 1320 City Center Drive, Suite 100 Carmel, IN 46032 • 888.969.3721 Corporate website: nextgearcapital. com please inquiries to: marketing@
24 - A Dealer’s Journal - December 2017
nextgearcapital.com Iowa W.W. College of Auctioneering Kansas Blue Book Values Kentucky Louisiana Maine Maryland Triad Financial Carcannon East Coast Massachusetts Royal Administration Services AutoUse Michigan Time Auto Transport Northwood University Insight Network A/T Automotive Credit Corp. Minnesota Lomen Auto Transport Inc. 1216 Scheffer Ave St. Paul MN. 55116 Phone 800-697-0757 Fax 651-698-0811 Email email@example.com or online at www.lomen.com Providing Prompt, courteous, reliable, damage free delivery since 1975. From 1 car to 1,000 we do it all. Mississippi Missouri McNutt Automotive Logistics has long been a prominent and renowned member of the auto transportation industry since 1995. With a nationwide footprint, we have earned our reputation for setting benchmarks in auto transportation by focusing on timely deliveries and exceptional customer service. We service all auto auctions, dealerships, finance and insurance companies, remarketers, asset recovery specialists www.adealersjournal.biz
and private individuals. We have long standing partnerships with many icons of our industry including Ally|SmartAuction, Carmax, Thrifty, Manheim, OVE and many others. We are also past recipients of Auto Remarketingâ€™s Top 200 most influential businesses in the auto remarketing industry.We want to EARN your business! McNutt Auto Transport 7485 NE 401 Rd Lowry City, Missouri 64763 Phone: 800-755-2324 Fax: 417644-2920 email:Sales@McNuttTransport.com www.McNuttTransport.com Montana Nebraska Road Warriors Easy-Haul Trailers Nevada Western Funding Inc.
New Jersey New Mexico New York North Carolina Mendenhall School of Auctioneering N.A.P.A.A. North Dakota Ohio Micro21
South Carolina South Dakota Tennessee Texas Utah Vermont Virginia NADA Washington
Washington D.C. AFSA
December 2017 - A Dealerâ€™s Journal - 25
Dealer Notes: Vehicle Information:
26 - A Dealerâ€™s Journal - December 2017
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Published on Dec 4, 2017