Used Car News 1/17/22

UCN

Used Car News

1/17/2022

New Year Brings Whole New Challenges

IN THIS ISSUE:

By Jeffrey Bellant

Rush - Dated Material

• Forecast • Milestones • Tony Moorby

Compliance issues could become more demanding as federal officials take a more aggressive approach on regulation in 2022.

“They are going to go back to regulation by enforcement,” said Steve Levine, chief legal and compliance officer for Ignite Consulting Partners.

Appointees in the federal agencies are “heavy hitters” in the areas of Fair Lending and disparate impact, he said.

Eric Johnson, a partner with the Hudson Cook law firm, agreed that it’s a new landscape in compliance this year.

Johnson said there are several hotspots for dealers in the compli-

ance area.

“I think the biggest things we’ll see this year is more and more enforcement actions by both the CFPB (Consumer Financial Protection Bureau) and the FTC (Federal Trade Commission),” he said.

Levine and Johnson believe new CFPB Director Rohit Chopra is going to be a lot more active in enforcement.

Since Chopra didn’t get confirmed until September, Levine said dealers received a reprieve last year.

In addition to being “a lot more active,” Johnson believes agencies won’t simply target businesses.

“I think they are going to hold individuals accountable for their actions,” he said. “Not only will they go after a company, but they’ll also

hold the ownership of a business accountable or the senior manager.”

Johnson said they’d made moves like this in the past, where an individual would be prohibited from engaging in the mortgage business for 20 years, for example.

“Or it might be like a lifetime ban in baseball, where they say, ‘You’re done. You’re out,’” he said.

It’s a big focus of the Chopra-led CFPB to target individuals making decisions on behalf of a company.

He admits that a mistake could probably be found in any deal jacket. But if a dealership makes every effort to comply with the laws and regulations, the chance of a major penalty is likely lessened.

It could be the difference between Continued on page 3

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Industry Forecast 1/17/2022

Economists: Strong First Quarter, Auto Shortages, Inflation Woes

By Jeffrey Bellant

Before giving an economic forecast for 2022, it might be helpful to see how we got here.

Tom Kontos, chief economist for KAR Global, said to get a sense of how strong 2021 was we just need to look at wholesale prices at the end of last year.

“As recently as late October and early November, average prices at U.S auctions reached over $16,500,” he said.

The year before, the peak price was $13,800.

In 2019, which was pre-pandemic, the peak prices were in the spring, which is the more typical high point of the year.

“They were more like $11,500,” he said.

To see values skyrocket in the middle of a global pandemic would have been near impossible to foresee.

So, what comes next?

“I think we’ll continue to see the high prices that we saw this past year,” Kontos said. “But I also think this year will be a year with a bit more stability.’

He doesn’t see prices skyrocketing again or falling off a cliff.

“We’re not really going to see a

surge of used cars in 2022 either,” he said.

Typically, Kontos looks at offrentals first since they typically turn around the quickest.

“We don’t have much off-rental and probably won’t all this year,” he said. “The rental companies need more new cars themselves.”

Kontos said certified pre-owned cars, which are particularly rare, will be coveted by dealers and by their customers, to the extent they can be certified with the dwindling supply.

Also, manufacturers are focusing more on retail selling than looking to fleets. So rental companies are going to have to make do with their current fleets.

“They’re even buying used cars at auction to make up for the shortage in their fleets,” Kontos said.

Another used-car source is repossessions.

“Repos are what I’m calling the first responders in a supply shortage,” Kontos said. “I think we will see an uptick in repo volume in 2022.”

Jonathan Smoke, Cox Automotive chief economist, agreed with Kontos on used-car supply.

“We expect to see only modest

gains in total wholesale volumes in 2021 and 2022,” he said. “We won’t get back to 2019 levels as off-rental, off-lease and repo remain below 2019 levels.”

Furthermore, Smoke predicts 2023 will see a total wholesale market decline driven primarily by a 15% decline in lease maturities.

One of the big-picture trends Smoke sees is a robust vehicle demand through the first half of 2022.

Recent surveys indicate consumers are expecting higher vehicle prices in 2022, but enough buyers will be in market to support 16 million new-vehicle sales, according to the Cox Automotive 2022 forecast.

Used-vehicle sales are forecast to be 39.3 million, down slightly from 2021 but still a healthy volume.

Smoke’s team predicts a strong tax season, something other industry watchers concur with.

Used-vehicle prices normally increase in the spring, so Cox projects further gains. Smoke predicts wholesale prices will rise 3% to 5% going into the spring tax season.

In the second half of 2022, however, the Cox team is forecasting price increases to taper, and a morenormal pattern of depreciation to resume.

Smoke doesn’t see any large negative equity problems on the horizon. He also doesn’t see any dramatic price shift in 2022. Smoke also pushed back against any comparison of the current auto market with the housing crash two decades ago.

Kontos said he is monitoring one particular part of the economy.

“When I say the economy, the part of it I’m most concerned about is inflation,” he said. “I think it’s going to be with us throughout 2022.”

Used-car prices and even new-car prices are a factor in inflation, especially since new-car incentives are few and far between.

“So, the actual prices that people pay are higher as a result,” Kontos said. “Inflation in the overall economy is also high, affected by things like the supply chain issues.”

A tight labor market adds to the economic pressure.

“All of this is not just temporary,” Kontos said.

The Federal Reserve Bank is ready to address that with expectations for three, quarter-point rate increases in 2022. The Cox Automotive team expects auto loan rates to be higher by the end of 2022.

COVID-19 also remains a wild card for any forecast.

Compliance – Continued from page 1 a harsh letter and a hefty fine.

Johnson said dealers should have their deal jackets reviewed by a knowledgeable compliance attorney once a year.

But that’s probably not enough.

“I recommend that every document a consumer sees from you should be reviewed at least once a year by a compliance attorney, as well,” Johnson said.

Problems with those documents are the most obvious exposure a dealer faces.

“I also think one of the hot issues for this year will be data privacy,” Johnson said. States like California and Virginia have already passed laws on privacy.

Auto dealers will also face a host of changes under the Federal Trade Commission’s updated Safeguards Rule going into effect in the 4th quarter.

“I can see the FTC holding a dealer, or two or three, accountable for not complying with that new rule,”

Johnson said. “I just see the FTC lated to what dealers do. being a lot more active than ever beLevine sees the CFPB addressing fore under the new FTC Chair Lina another issue.

Khan.”

Beginning last year, the CFPB “got Levine and Ignite devoted an en- really interested in ancillary product

RICHARD HUDSON

STEVE LEVINE

tire webinar in December to the Safeguards Rule.

Johnson said he believes the FTC may look to better define the Unfair and Deceptive Trade Practices re-

refunds,” he said.

Ignite is telling its clients that they must drill down and make sure employees understand their obligations. Firms like Hudson Cook and

Ignite can help dealers address issues they face on compliance.

Levine said Ignite Consulting Partners will have a panel discussion with actual compliance officers in its upcoming “Compliance Unleashed” conference this May in Grapevine, Texas. The theme of the conference will be “The Four Horsemen of the Risk Apocalypse.” Topics include advertising/social media/Web approval; sales/closings; collections/ servicing; and repossessions/post repossession activity.

“If you’re on top of those four areas, you’re cutting a lot of your risk,” said Richard Hudson, Ignite’s managing partner.

To address any of these challenges, dealers need to focus on training, Johnson said.

At press time the U.S. Supreme Court was hearing arguments on federal vaccine/testing mandates.

Its decision will add another compliance obstacle as dealers face a tight labor market.

3

Milestones 1/17/2022 The auction and remarketing In 1992, ADESA acquired the aucworld lost two icons recently, with tion and Caruso never left the inthe deaths of Tom Caruso and Pete dustry or the ADESA/KAR Auction Lukasiak.

Services family. He was involved in the Massachusetts Independent AuTom Caruso died Dec. 21 at the tomobile Dealers Association and age of 61. the National Vehicle Leasing AssoHe retired last year after 40 years ciation. in the auto business. Caruso started Caruso also served as National Auto Auction Association president in 2006.

He won a slew of industry awards, the biggest of which included the NAAA Hall of Fame and the National Independent Automobile Dealers Association’s Ring of Honor.

When he retired, he told Used Car News how grateful he was to spend his long career at ADESA/KAR Global.

“The people were always loyal and we all had a servant’s attitude,” Caruso said.

Jim Hallett, executive chairman and chairman of the board of KAR CARUSO Auction Services, provided the folat a car dealership before joining lowing statement on Caruso’s passConcord Auto Auction. He became ing: a fleet/lease manager and assistant “It is with tremendous grief and GM at the age of 20. sadness that I announce the pass-

ing of my dear friend and colleague, Tom Caruso. Tom passed away after a battle with cancer and leaves a 40year legacy of leadership and friendship across ADESA, KAR Global and the entire automotive industry. On behalf of the KAR Global executive

Published By General Media LLC USED CAR NEWS (ISSN 1555-7413) is published at : Used Car News P.O. Box 80800 St. Clair Shores, MI 48080 Phone: 586-772-5200 or 800-794-0760 Fax: 586-772-9400 www.usedcarnews.com Charles M. Thomas Founder (1947-2002) Lynda R. Thomas, Publisher Emeritus Colleen Fitzgerald, Publisher Editorial: Jeffrey Bellant, Managing Editor Ed Fitzgerald, Staff Writer

LUKASIAK committee, our Board of Directors and the entire KAR Global organization—we send our thoughts, prayers and support to Tom’s wife, children, grandchildren and loved ones.

“His contributions to automotive remarketing are nothing short of inspirational. And it is that inspiration that will live forever at our company, across our industry and in my heart.”

Pete Lukasiak died Dec. 18 at the age of 78.

Lukasiak was born in 1943 in Oil City, Pa. He joined the Air Force out of high school and spent 3 1/2 years serving in Germany during the early Vietnam era. Following his time in the service he began his college career at The University of Pittsburgh.

He started a career for IBM where he worked for many years as a technical editor, then a writer, ultimately ending up in Frederick County, Md. Lukasiak later started working for different trade associations and ended up managing publications for the National Auto Dealers Association.

Following his stint at NADA, Lukasiak led the National Auto Auction Association as its executive director for more than 14 years.

He transitioned to lead the Pennsylvania Independent Automobile Dealers Association for several years until his retirement.

He is survived by his wife of 57 years, Vivian Lukasiak. He is also survived by his daughter, Sandy Chaney (Brett); and his son, Chris Lukasiak (Canyon); his grandchildren, Jessica Chaney, Gabriel Lukasiak (Marta), Joshua, Zachary, Benjamin and Hope Lukasiak.

4

Volume 27 | No.15

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C R O S S WO R D PAGE 14

NIADA Forecast 1/17/2022

NIADA Offers Tools, Tips for Independents in New Year

By Jeffrey Bellant

The National Independent Automobile Dealers Association expects 2022 to look a lot like 2021, which could make dealers cringe.

“Inventory availability is still going to be top of mind,” said Larry Dixon, NIADA’s vice president of industry analysis and insights. “It’s going to be problematic for a year, maybe a year-and-a-half or longer.”

Expanding on that dire prediction, the industry lost anywhere between 3.5 to 4 million new vehicles because of COVID-19. These are vehicles that would have been in the marketplace if the pandemic hadn’t happened, he said.

“That means that the used-vehicle supply also lost 3.5 to 4 million vehicles,” Dixon said. “That’s a big number.”

He expects it to reverberate for a

decade, like what happened during the Great Recession.

Higher prices are connected to that lower supply. Although dealer profitability has been better than ever, the return of new vehicle in-

ventory will push down those prices.

Staying on top of trends is critical Consumers will also not have the for dealers to calibrate how to stay government stimulus payments that profitable, Dixon said. helped prop up some of that spend“So, it’s not going to be as predicting, which should tamp down de- able as in the past,” he said. mand.

Continued on page 8

5

States 1/17/2021

CIADA Game Plans for 2022

By Jeffrey Bellant

Groups like the Carolinas Independent Automobile Dealers Association face some of the same challenges everyone else is facing in the industry.

“I wish my crystal ball was a little clearer,” said John Brown, CIADA executive director. “I guess I’d say I have reserved optimism, if that’s a

$10,000. The law is meant to target money laundering schemes.

The pandemic itself has added another layer of challenges.

One dealer, for example, had an issue when a potential customer took a car on a test drive and got in an accident. Brown said the dealer told him the insurance company wasn’t going to pay the claim because the dealer didn’t accompany the cus-

Photo Courtesy of CIADA

LEADERSHIP: Carolinas IADA Executive Director John Brown is pictured with former Vice President Mike Pence, a longtime friend. phrase.”

He said a recent conversation he had with one of his CIADA members reflected the volatility in the industry.

“I talked to a North Carolina dealer on Jan. 5 who was getting ready to renew his license. He sold 143 vehicles two years ago and sold less than 25 last year. He’s obviously hoping that things will pick back up.”

The labor shortage has been a prime concern among other dealers, Brown said.

“They can’t find people to sell cars, they can’t find people to do the paperwork, they can’t find mechanics,” he said. “It’s all those kinds of things.”

Brown added that members are concerned about the Biden administration in terms of the regulatory environment.

“Things like worrying if the IRS is going to lower the FinCEN Form 8300 (threshold) from $10,000 in cash to $600 and what a reporting nightmare that would be,” he said.

FinCEN is the Financial Crimes Enforcement Network of the IRS and Form 8300 is a form dealers must fill out when they receive cash payments in a retail deal that hit

tomer on the test drive.

Because of COVID, the customer was concerned about sharing the small space with the customer, so the dealer was stuck, Brown said.

Dealer associations are important, he added, because often a dealer doesn’t know what a problem might be until it happens, which by then is too late.

“I think, generally, dealers are optimistic that people have cash.

They’re looking forward to a strong tax season,” Brown said.

In terms of legislative issues, a redistricting court battle in North Carolina has already delayed the upcoming legislative session from March until May, Brown said.

On top of this, the mid-term elections are also on the horizon. The chance of getting anything else done is unlikely in 2022. Brown is already looking ahead to next year where the focus will be trying to move more dealer transactions online.

In South Carolina, CIADA hopes to have legislation enacted to move the dealer license renewal process online, and allow dealers to renew their license for one year or even three years.

“Just trying to make things simpler for dealers,” Brown said.

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Contact auctions directly for current sale information.

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Forecast 1/17/2022

NIADA Continued from page 5 NIADA is telling its members to avoid complacency that will come as inflation continues.

There are concerns over regulation, especially as it relates to how the Consumer Financial Protection Bureau handles its recent analysis over fairness in consumer interest charges, Dixon said.

Speaking of interest rates, that’s another challenge facing dealers this year.

“With inflation being the highest it’s been in 40 years, the risk that the Fed moves faster than it would have moved otherwise is higher,” Dixon said.

He expects three rate hikes in 2022, which means increased expenses for dealers.

“Think floorplan,” Dixon said.

“But also, this affects consumers themselves.”

Although defaults and delinquency rates are historically low, they are “inching up,” he added.

Volatility in pricing for vehicles is always a concern.

Dixon is bullish on this year’s tax season through March and into April.

“By all accounts, it should be another very strong tax refund year,” he said. “But the real risk is what happens after that?

“I don’t expect prices to fall off a cliff, barring some unforeseen economic event, given the semi conductor shortage and inventory issues “However, even a drop of $500 or $1,000 per unit when you’re buying so many units can hurt.”

Predicting how much they will decline and how quickly even if it’s not a drastic amount – can be a problem for dealers.

Dixon anticipates a drop in prices in the post-tax time in April and May, followed by a leveling off.

After that, any drastic changes in the 3rd or 4th quarter will largely depend on what happens in the

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new-vehicle market.

He said prices will vary considering Toyota stockpiled microchips and was in a better position than most automakers during the chip shortage.

“Of course, COVID is also the wild card,” Dixon said.

To help its members face these obstacles, NIADA will ramp up education offerings, with training ranging from collections to underwriting, Dixon said.

NIADA wants dealers to stay sharp or even recover best practices they may have let slip during the recent boom times.

“More training classes, more education and more virtual offerings will be available,” he said.

“The landscape has changed so much and so fast, that what was applicable even two years ago probably isn’t nearly as applicable as it was.”

A sharp eye on training and education for independent dealers can help them compete in what Dixon

describes as a “hyper-competitive used vehicle market.”

NIADA also wants to facilitate more 20 groups this year.

The association has 20 groups for different markets, from different parts of the country and for various business models.

The groups, made up of dealers in non-competing markets, meet a few times a year to discuss ideas and compare real data and financials from their stores.

Education, training conferences and 20 groups can all help as dealers compete not only with other independents and franchises, but with mega-online sellers.

“Franchise and independent dealers are going to be duking it out for used vehicle sales and used vehicle consumers this year,” Dixon said.

The dealers will have to handle this battle while also balancing a level of risk that they didn’t have in 2021.

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Retail Markets 1/17/2022 Compiled by Ed Fitzgerald

COLORADO

Mike Widhalm, owner, Red’s Auto and Truck, Longmont, Colo.

“I’ve been in business 15 years. We built a new facility about six years ago.

“We never shut down ‘totally’ because of COVID. We had to send our sales staff home and they were working remotely. Myself, and a manager, were here and we would do deliveries. We would load cars on trailers and take them to people’s houses, or parking lots.

“COVID may have sped up customers using the Internet. People who like to kick the tires or drive six or seven cars may have had to make a decision to buy, or it may force dealers to adapt.

“The recent fires in Colorado were close enough where we had customers who were affected, but it wasn’t close to the store. We have wild-

fires in Colorado, but this was unique in that it hit subdivisions. The last count was 911 structures burned.

“We usually stock about 100 cars. We sell about 50 a month. We sell about 75 percent cars, 25 percent trucks.

“As far as domestics vs. imports, it’s about 50-50.

We sell Mercedes, Honda, Toyota.

“We get cars from auction.

I go to Dealers Auto Auction of the Rockies every week.

Because of COVID they shut down for maybe a month, and went all remote/simulcast, and then they went back to in-person.

“Our average down payment is $1,000-$1,500, that’s shooting from the hip. Consumers want the longest terms they can get, as a rule.

I would say 60-66 months is our average.

“Our reconditioning costs are way up. We average

$1,500 per vehicle. We have our own six-bay service center. We have one mechanic who has been here 15 years.

“We’re not looking for an average age of a car, we do a lot of specialty stuff. So, we’re not necessarily chasing the 3- to 5-year-old cars.

“This is a different business from when I started out, that’s for sure. I think it’s more difficult. The No. 1 thing we focus on is recon, so the vehicles don’t come back. You’re better off spending the money now and building the goodwill.

“The last car we sold, believe it or not, was a Corvette convertible, right after we had our first snowstorm.

It was a 2008 with 39,000 miles, and it sold for $29,900.

The guy drove up from Colorado Springs and he got stuck in the snow at a nearby gas station. I just happened to be going that way, and I

helped push him out.”

NEW JERSEY

Sal Enea, owner, Route 46 Auto, Lodi, N.J. “I’ve been in business 22 years and have a couple locations.

“We had to shut down for a couple months because of COVID, but we’ve always done a lot online. The delivery process was a little different during COVID. We were shipping cars to the customers. I’m a little oldschool so we will go back to how we were doing things.

“We usually have about 180 vehicles in our inventory. We sell an average of just over 100 a month.

“I rely on new-car dealer trades. We sell a mixture of SUVs, pickups, cars. We don’t really do more of one than the other. We carry Audi, BMW, Cadillac, Chevrolet, Ford, GMC, Honda,

Hyundai, Infiniti, Jeep, Mercedes-Benz, Mitsubishi, Nissan and Toyota. The vehicles are inspected and are then eligible for a 6-month, 7,500mile warranty.

“Our customers usually do a 20 percent down payment.

The term length depends on the customer, but (an average would) be about 48 months.

“Our experience in financing is unparalleled. Bad things can happen to good people, we understand that.

With an excellent credit history our customers can be assured of the best rates.

“Most of our advertising is online.

“My tip for dealers just starting out is this: Customer service is No. 1. We work on a lot of repeat business.

“The last car I sold was a ’17 Ford Expedition. It had 78,000 miles and it sold for $37,000.”

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Wholesale Markets 1/17/2022 Compiled by Jeffrey Bellant

FLORIDA

Nate Simonson, general manager, America’s Auto Auction – Pensacola, Pensacola, Fla. “We’ve been in business under America’s for over a decade.

“We are a four-lane facility.

We were actually a five-lane auction when I first got here, but we expanded (the facility) and took the lane to build our new recon facility.

“So as a four-lane auction, we’d normally run 300 to 400 per week. Obviously, with everyone being short on cars, we’re pushing around that 300 mark now.

“We’re drawing between 150 to 200 dealers in the physical lanes. We’re getting about the same online. We probably have five or 10 new dealers who register every week.

“Talking to our national accounts, we’re ranking in

the top five in the country for them, so the retentions are still strong in Pensacola.

I believe some of the inventory is starting to trickle in.

But it’s hard to base (current conditions) after coming off Thanksgiving, and Christmas and New Year’s.

“Our volume mix is typically about 60% dealers and 40% on the fleet/lease/repo.

The national accounts did dry up a little because everybody stopped repossessing cars. So, the dealer inventory has really helped us out a lot.

“Our average price across the block is between $8,000 and $10,000.

“We’re running about 20 or 30 in our salvage sale. It’s kind of unique because even though you’re looking at a video sale, we stage those units close to the lanes, bumper-straighten them and make them look as good as possible so dealers can really

take a look at those vehicles.

“In December, we had gained a couple of newer clients. We just got LeasePlan over here, so they’ve given us a big area. So, we expect lease volumes to grow.

“We’re also going to be pushing a lot harder on our specialty sale. We usually run boats, RVs and motorcycles. One unique thing we do is every one of our (units) – even if it’s a camper or motorcycle or boat – goes through the lane. It also streams live. That’s the last sale of every month. We average 20 to 30 units for that specialty sale.”

TEXAS

Wayne Cook, president, Greater Tyler Auto Auction, Tyler, Texas “We’ve been in business going on 21 years.

“We have four lanes but we’re currently running

three because of the shortage of cars.

“One recent week, we ran around 230. We were probably in the 300s pre-COVID, but it’s been so long since (COVID hit) I don’t remember.

“There are no cheap trucks. I guess I don’t even know what a truck’s worth anymore. Trucks are expensive. Good solid cars are holding their values as well.

“One recent week, we had quite a few low-mileage cars. They were nice ones.

That particular dealer had about 24 and sold every one of them. For this dealer, some of them weren’t his brand. I think we sold an Audi for $80,000, that’s not his brand.

“It doesn’t mean we have a bunch of low-mileage cars every week. We’re seeing a trend in the types of cars being offered, which are

the high-end used cars or the cars with high mileage.

There are not many cars in the middle.

“Lenders are awfully aggressive, so I’m surprised they don’t have more repos.

“We typically draw 200 people in the lanes. Online has definitely picked up.

We’re with EDGE Pipeline.

“We’ve added a GSA sale.

We’re going to have a GSA sale on Jan. 20. I expect we’ll have volume somewhere in the 50s. Those are typically low mileage cars.

“This coming up GSA sale will have a lot of minivans, a good selection of minivans.

“These GSA cars are wellmaintained.

“Typically, we’ll have that GSA sale once a month.

“I think the overall market is going to get better, but it’s going to be more gradual, not growing by leaps and bounds.”

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Disconnected Jottings From

Tony Moorby 1/17/2022

Tony Moorby This year’s gazing device is a curve ball; things are anything but crystal clear.

For me, too many extraneous influences cloud even the most informed prognostications. Small events on the other side of the world can now bring us to our knees, medically, economically and politically.

I mentioned in my last essay that Americans have a huge capacity to bounce back from hardship – look at any graph that shows economic activity after a recession.

As we were getting to grips with how to cope with COVID-19, folks were rushing back to do what they did pre-pandemic, eat out, travel, get together and so on, only big-time, as if to make up for that which was lost.

Now Omicron is putting us to the test again, protracting our ability to get back

to whatever may be normal tomorrow.

One of the things to have altered significantly, and likely to stay that way, is how we shop; from home, from our laps or from outer space, for goodness sake.

Everything from carrots to cars and tacos to trucks are literally being delivered to our doorsteps and Wal-Mart is even proposing to come and actually load your fridge! Not me, as food shopping is a thing I still hold dear; I often get inspiration to cook things off the cuff as I stroll around. It’s the closest I’ll come to being a hunter-gatherer!

Predicting everyday stuff is crazily difficult as trends often now run counter to common sense – who knew house prices would go through the roof (pardon the pun) or the stock market, in spite of a couple

of aberrations, continues its upward march. I predict that I will have to research what Bitcoins or other crypto-currencies are all about just to understand them.

I have no intention of frittering away a life’s attachments on anything that can wipe out a small nation in a day, against the possibility of making a quick million.

It’s a fair assumption to say that our world will become less safe or stable as intolerance spreads from neighbors to nations and commercial competition takes on more of a geo-political significance.

Chinese leadership won’t tolerate the implosion of their social attainments or expectations while Russians love a bully for a leader, Putin being the epitome of ‘thugdom’ as he pushes and shoves his way around

Across

30. Detroit’s founder

5. All-____ vehicle

1. Dodge sports car

33. Vanished

4. Formula One car

35. Motor

6. ____ Alpine

7. Piece of advice

36.

7.

11. America’s letters 13. Jeep alternative 14. Nickle-cadmiun bat15. French for summer 16. Pal 17. Big rig

22. Bible boat 23. Tire’s need 24. sold in Japan 26.

29. Former lover

39.

41. Historic time period

12. General’s address 20. Leak

43.

-

45. Id’s companion

Down 1. Makers of the Arteon 2. Porsche sports car 3.

4. Subaru’s vision for re2 words

21.

24. Honda fuel cell model 25.

27. Dodge sedan 28.

31. Part of a machine 32. No longer in neutral (2 words) 34. ___

36. Slang for a Lamborghini 37. model 39. Middle grade 40.

42. Metal bar

Solution to this puzzle in the 2/14/2022 issue. Call 1.800.794.0760 for a FREE subscription.

14

is now a race against the clock; manufacturers’ stock values are being evaluated on the size of their investments to protect their markets from others making a dent (oops!).

I predict that puns will still be part of my writing style in 2022!

10. Part of an E-mail address

38. Malibu or ‘Vette

18. Auto ID 19. Acura model

To see past columns from Tony Moorby, visit www.usedcarnews.com/ columnists/tony-moorby

8. Brake ___

Aston Martin

44. boat

• 50-year veteran of the industry • President from 1997– 2000 of ADT Automotive • Served as ADESA’s executive vice president of sales and marketing • Moorby & Associates 2006–present • NAAA Hall of Famer • IARA Circle of Excellence

Play Online at Us e d Ca r N e ws. co m

By Myles Mellor

9.

the Ukraine to satisfy his oligarchs.

These United States are becoming less so; I daren’t predict whither we end up in the next four years.

On a lighter note, insurance company advertising will become even more stupid, emus and cockney geckos notwithstanding.

Drug companies will dream up more ways to color their adverts to reflect their products or logos.

Have you noticed that?

Bathing suits only come in yellow, green and puce to match the beach umbrella and the host’s blazer and pants, oh! And the hot air balloon that just happens to be taking off next to the swimming pool! Really? All this will cure eczema.

Predictions about global warming are becoming prophetic and the drive (!) to change to electric vehicles

Solution to the 12/20/2021 puzzle

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