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November 7, 2016

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Consumer Reports Ranks Brands for Reliability

IT’S A BUICK: The Verano is one of the four vehicles is one of the four vehicles in the Buick line-up that helped the brand rank third in the Consumer Reports Annual Auto Reliability Survey. Toyota and Lexus finished first and second.

By Ted Craig

Rush - Dated Material

Toyota and Lexus once again inished atop the Consumer Reports’ Annual Auto Reliability Survey, but the news was the No. 3 inisher – Buick. The General Motors division became the irst domestic brand to inish in the top three in more than 25 years. The Chevrolet Cruze also inished as one of the most reliable vehicles overall. “General Motors really deserves a lot of credit,” said Jake Fisher, Consumer Reports’ director of auto testing.

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“They’re making very dependable cars.” Trucks are another story, Fisher said. For example, Consumer Reports ranked the Cadillac Escalade as the least reliable vehicle overall. Buick, in fact, beneits from being a line-up of almost entirely cars and crossovers. The other big surprise of the survey was the decline of Honda, especially the Civic. This year marked the irst time Consumers Reports failed to recommend the Civic because of reliability issues. Honda put the Civic through a major redesign recently and one of

the lessons of the survey is that is a common source of problems. Fiat Chrysler’s brands performed the worst of any manufacturer. Dodge, Chrysler, Fiat and Ram took the bottom four spots, with Jeep just three slots above. Tesla also came in near the bottom as issues with the Model X’s controversial falcon-wing doors drove down the company’s overall score. The survey gathers data from more than a half million respondents. This year, the entire process took place online. “We’re able to have deeper knowledge and we’re able to make better

predictions,” Fisher said. The survey information is combined with Consumer Reports’ own testing data, as well as crash data, to create an overall score for recommendations. Problems are given diferent weights, so major mechanical issues count for more than minor problems, such as diiculty connecting a USB cord to the sound system. Fisher said the biggest lesson from the survey is that overall problem rates are not going down. New problems, such as transmissions, are replacing older problems, such as challenges with infotainment systems.

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USED CAR NEWS

November 7, 2016 • 3

Takata Recalls Continue to Plague Auto Sales DETROIT (AP) – Owners of more than 300,000 Hondas have yet to get their air bags repaired, despite warnings from the automaker and regulators that the inlators have an extremely high chance of rupturing and causing injury or even death. Last week authorities said one of those air bags, equipped with an inlator made by Takata Corp., ruptured and killed a California woman, adding urgency to the search for the noncompliant vehicles. About 69 million Takata inlators have been recalled due to possible rupture. In June, government regulators said testing showed that inlators in 313,000 older Hondas and Acuras had as high as a 50 percent chance of rupturing in a crash. The regulators told owners of the cars to stop driving them and get them repaired. But four months later, only 13,000 of the cars have been repaired. Takata uses ammonium nitrate to create an explosion to inlate air bags. But the chemical can deteriorate when exposed to heat and humidity and blow apart a metal canister, spewing shrapnel. The inlators have killed as many as 16 people worldwide and injured more than 100. The death of the California woman, Delia Robles, was the 11th tied to Takata inlators in the U.S. Honda says it has mailed letters, placed Facebook ads, made telephone calls, and in some instances has visited owners. But the results point out that major holes remain

in the U.S. safety recall system because owners can be hard to ind, particularly when it comes to used cars that have changed hands multiple times. And some owners refuse to get repairs done no matter how many times they are notiied. Safety advocates have called for laws banning the sale of any vehicle until recall repairs are made, or a national requirement that recalls be done before license plates can be renewed. But so far, there are few such requirements. Sen. Bill Nelson, D-Florida, says Honda should do more. “No responsible automaker should be so slow in repairing defective vehicles where there’s up to a 50 percent chance a driver could be killed or seriously injured if an air bag deploys,” he said. But Honda says it’s doing all it can. “It’s not for lack of unprecedented efort to try to reach these owners,” company spokesman Chris Martin said. Honda will pick up cars and drop of a loaner, says Martin, who adds that Honda has parts ready to repair all the dangerous cars. Karl Brauer, executive publisher of Autotrader. com, says it’s hard for automakers to ind owners of low-cost cars that are 10 or 15 years old, because many owners are young and move frequently or are immigrants who may have language barriers. Many cars have had four or more owners, mak-

ing them harder to ind. But because these cars are so dangerous, Brauer says it’s time to either go to everyone’s home or take all 300,000 of the road. NHTSA doesn’t have legal authority to order those steps, spokesman Bryan Thomas said. The agency knows that traditional ways of contacting owners haven’t been successful, and it’s working with Honda on new methods, he said without offering speciics. NHTSA is seeking a rule requiring automakers to notify owners by e-mail and text message, measures that some automakers already take voluntarily. Thomas said Honda has told the agency that many of the 300,000 cars have been scrapped, but the agency wants proof. Robles, 50, of Corona, Calif., was killed Sept. 30 when her 2001 Honda Civic was hit head-on by a left-turning

pickup truck as she was on her way to get a lu shot. Honda’s Martin says she bought the car in mid-2015, likely from a small usedcar dealer who purchased it two weeks earlier at an auction, which only dealers normally attend. While most automakers require new-car dealers to ix used cars subject to a recall, independent dealers don’t have to. Honda mailed Robles multiple notices using an address from California registration data, Martin says. The car was irst recalled in 2008, and since then, Honda has sent the four registered owners 20 letters, he says. There’s no way for Honda to verify if Robles received the letters. Her son, Jose Contreras, said Friday that she never mentioned them to him. Martin says it’s not practical for Honda to visit all the owners with superdangerous inlators. But he

and other Honda employees have gone to some homes. Last summer in Torrance, Martin spotted a 2002 Acura TL with a dangerous air bag parked on a city street. He left business cards and even a personal letter on the windshield, but heard nothing. So he went to the owner’s nearby home. She didn’t speak English well and had her son speak to Martin. They set up an appointment for later in the week to get the inlator replaced. The Takata problem has created some major problems for auto retailers. AutoNation Inc. estimates that the Takata airbag recall negatively impacted third quarter 2016 net income from continuing operations by approximately $6 million after-tax. At the end of the quarter, approximately 14 percent of AutoNation’s used vehicle inventory was on hold due to the Takata airbag recall.

Court Deems CFPB’s Structure Unconstitutional The U.S. Court of Appeals for the District of Columbia declared the structure of the Consumer Financial Protection Bureau unconstitutional. The court ruled the structure put too much power in the hands of one director. The ruling came from a lawsuit in which mortgage lender PHH Corp. claimed the CFPB overstepped its limits by extending the statute of limitations for a case involving violations in connection with a captive mortgage reinsurance arrangement. According to the National Association of Realtors,

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Elizabeth Warren CFPB Director Richard Cordray disagreed with interpretations by an administrative law judge relying

on a 1997 HUD interpretive letter and expanded the monetary value of the disgorgement to $109.2 million from $6.4 million. PHH argued that Cordray’s action violated Article II of the U.S. Constitution, the article deining the power of the executive branch. Judge Brett Kavanaugh, writing in his opinion, stated “no independent agency exercising substantial executive authority has ever been headed by a single person.” The ruling means the CFPB director now serves at the will of the president.

Before this, the director could only be removed for cause. The decision also removed the larger penalty from the PHH ine. The Consumer Bankers Association supported the decision, but again called on Congress to change the agency’s organization so that a ive-person, nonpartisan board will run it. This is the same structure as other regulators, such as the Federal Trade Commission and the Securities and Exchange Commission. Sen. Elizabeth Warren, the CFPB’s chief architect, said the decision “will likely be

appealed and overturned.” “But even if it stands, the ruling makes a small, technical tweak to Dodd-Frank and does not question the legality of any other past, present, or future actions of the CFPB,” she said. Sen. Sherrod Brown of Ohio, another vocal supporter of the CFPB, said “The CFPB’s structure works – just look at the critical role CFPB played in holding Wells Fargo accountable for customer abuses. Despite the industry’s claims, the CFPB is subject to extensive oversight and it is one of the most accountable inancial agencies.”

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4 • November 7, 2016

USED CAR NEWS

NEWS BRIEFS GM Financial Reports More Loans, Leases General Motors Financial Company Inc. announced net income of $147 million for the quarter ended Sept. 30, compared to $179 million for the quarter ended Sept. 30, 2015. Retail loan originations were $5.1 billion for the quarter, compared to $4.2 billion for the quarter ended June 30, and $4.7 billion for the quarter ended Sept. 30, 2015. Operating lease originations were $6.2 billion for the quarter, compared to $6.5 billion for the quarter ended June 30, and $6.2 billion for the quarter ended Sept. 30, 2015. The outstanding balance of commercial finance receivables was $9.8 billion at Sept. 30, compared to $9.4 billion at June 30 and $7.8 billion at Sept. 30, 2015.

highest loyalty rates were vans at 52 percent and compact SUVs at 47.3 percent. About 70 percent of Toyota owners who have traded in their pickups for another truck this year opted for yet another Toyota. The rate squeaks past loyalty rates for Chevy truck owners (69.5 percent) and Ram owners (68.1 percent). Toyota’s strong loyalty is primarily attributed to its popular Tacoma. Trucks have accounted for 15.1 percent of all new sales this year through September, the highest share since 2007 (17 percent). The current loyalty to trucks is especially surprising given that their average transaction price ($43,277 in 2016) has climbed a remarkable 46 percent since 2006. By comparison, industry-wide average transaction prices ($33,728 in 2016) are up just 23 percent over the same period.

Toyota, Chevy Top Truck Loyalty Survey

Firm IDs Words That Work Best

Toyota and Chevy are leading in truck loyalty purchases, according to a new analysis released by Edmunds.com. Truck loyalty – which is defined as the rate of truck tradeins that went toward the purchase of another truck – was at 74 percent through the first nine months of 2016. By comparison, the next

New research from CDK Global, as a part of “The Language of Closers” study, has identified the top words and phrases playing a role converting potential shoppers through dealership reviews. The research found that words such as “passing” (as in passing someone on the road) were high

predictors for conversion in sedan reviews. This word ranked at the top because it helps shoppers visualize and understand the power of a car by its passing ability, while attributes like “torque” and “horsepower” are only meaningful to car enthusiasts. “Quiet” and “comfortable” were other highly ranked words for all vehicle reviews. The report said the “high-converting terms” in order of success were: Passing, Climate, Blind Spot, Comfort and Quiet. “Low-Converting” terms were: Test-drive, Tire, Torque, Features and Amazing.

NADA Elects Chairman The National Automobile Dealers Association’s 63-member board of directors has elected Mark Scarpelli as chairman for 2017. Scarpelli is president of Raymond Chevrolet and Raymond Kia in Antioch, Ill., and co-owner of Ray Chevrolet and Ray Chrysler-JeepDodge-Ram in Fox Lake, Ill. His dealerships employ more than 350 people, and have been in business for 56 years. Wes Lutz, who represents Michigan’s new-car dealers on NADA’s board, was elected as vice chairman.

He is president of Extreme DodgeChrysler-Jeep-Ram in Jackson, Mich. Bill Willis, president of Willis Automotive Group (Chevrolet-Buick-Ford) in Smyrna, Del., was re-elected as secretary. Brian Hamilton, president of Midway Chevrolet-Cadillac-Buick and Midway Chrysler-Dodge-Jeep in Kearney, Neb., and Beardmore Subaru in Bellevue, Neb., was elected treasurer.

Auction Prices Fall Rising manufacturer suggested retail prices (MSRPs) are not translating into higher retention values for 1- to 3-year-old vehicles at auction, according to analysts at Kelley Blue Book. Overall, auction values for used 1to 3-year-old vehicles declined 4.6 percent, or roughly $807. Average auction volume remains at higher levels than in previous years.

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Published By General Media LLC USED CAR NEWS (ISSN 1555-7413) is published at 24114 Harper, 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 Colleen Fitzgerald, General Manager Columnist: Tony Moorby

Editorial: Ted Craig, Managing Editor Jeffrey Bellant, Staff Writer Contributing Writers: Ed Fitzgerald, Jenny King, Sheila McGrath Advertising: Shannon Colby, Account Manager Marie Hingst, Account Manager

Circulation: Helen Thomas Production: Tom Savage, Production Manager Cee Lippens, Web Master & Graphic Designer

Vol. 22 • No. 15 Used Car News is published the first and third Monday of each month. Subscribers: We print advertisements as sent to us by auctions and other advertisers. It is not possible to verify the correctness of listed vehicles in auction ads. Most lists are partial and all lists are subject to last minute changes by auto auctions, so before travelling a long distance for a particular auto auction event, contact the auction by telephone for a fax of vehicles in the sale. Used Car News assumes no guarantees or liabilities concerning the accuracy of any advertisements. All Rights Reserved.

Reproduction in any form is prohibited without the written consent of the publisher. OUR ADVERTISING APPROVAL POLICY Payments from irst time advertisers must accompany the insertion order. Distribution is guaranteed by the USPS. he advertising reservation deadline is 12:00 noon hursday, 11 days prior to the issue cover date. Ad materials are due by 5 pm Friday, 10 days prior to issue cover date. For advertising speciications please email colleen@usedcarnews.com.

Join the Conversation! Visit Used Car News online at www.usedcarnews.com or scan this QR code with your smartphone to be taken directly to the website.

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10/28/16 2:27 PM


USED CAR NEWS

November 7, 2016 • 5

Fitch Expects Stability for Floor Plan Financing U.S. auto dealer loor plan (DFP) ABS trust performance metrics and ratings will remain stable heading into 2017, according to Fitch Ratings. Auto sales dipped in 2016, and manufacturers used a combination of higher cash incentives and 0-percent inancing to entice consumers into showrooms. Incentives rose each month going back to early 2015 and were close to $3,900 per vehicle in September. These sales tactics will continue to eat into dealer proits and push down used vehicle values into 2017. However, dealer proits remain healthy at a lower level, while overall dealer costs, including capital inancing costs, stay low. Fitch’s Auto DFP ABS MPR index averaged 38.2 percent through the September distribution period, versus 41.3 percent recorded for full-year 2015. Slowing sales and creeping inventory levels drove the decline. The 3-month average MPR in the Ford Credit Master Owner Trust was down marginally through September on a yearly basis, but comfortably within historical levels. General Motors Financial Master Owner Trust DFP platform’s MPR was fairly stable last month and also within historical levels.

Dealer proits appear to have plateaued and come of their peak. The National Automobile Dealers Association reported dealer proit levels declined 4.1 percent (pretax) through second-quarter 2016 compared with second-quarter 2015. Dealers’ return-on-equity for irst half of 2016 was 31.3 percent, compared to 33.5 percent when sales peaked a year earlier. Importantly, none of the outstanding DFP ABS trusts have any losses or dealer defaults over the past year, as dealer health is still fairly robust, despite some metrics slowing as mentioned, the majority of dealer networks are all in good shape inancially. The number of dealers also remains at a far lower level than the period leading up to, and during, the most recent recessionary period when there was a clear oversupply of dealers - particularly for U.S. networks that issue DFP ABS. Manufacturers are clearly not looking to add dealer locations and this will bode well for the existing dealer networks. Fitch’s outlook for the sector is stable for asset and ratings performance. Fitch currently rates seven DFP ABS trusts issued from 23 outstanding series totaling $17 billion.

CPS Reports Lower Income Consumer Portfolio Services Inc. announced earnings of $7.3 million for the third quarter. This compares to net income of $8.8 million in the third quarter of 2015. Revenues for the third quarter of 2016 were $108.5 million, an increase of $14.5 million, or 15.5 percent, compared to $94 million for the third quarter of 2015. Total operating expenses for the third quarter of 2016 were $96.1 million, an increase of $17.7 million, or 22.6 percent, compared to $78.3 million for the 2015 period. Pretax income for the third quarter of 2016 was $12.5 million compared to pretax income of $15.6 million in the third quarter of 2015, a decrease of 20.4 percent. During the third quarter, CPS purchased $242.1 million of new contracts compared to $319.1 million during the second quarter and $287.5 million during the third quarter of 2015. The company’s managed receivables totaled $2.292 billion as of Sept. 30, an increase from $2.254 billion as of June 30 and $1.941 bil-

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lion as of Sept. 30, 2015. Annualized net charge-ofs for the third quarter of 2016 were 6.69 percent of the average owned portfolio as compared to 6.27 percent for the third quarter of 2015. Delinquencies greater than 30 days (including repossession inventory) were 10.46 percent of the total owned portfolio as of Sept. 30, as compared to 8.81 percent as of Sept. 30, 2015. CPS also announced the closing of its fourth term securitization in 2016. The transaction is CPS’s 22nd senior subordinate securitization since the beginning of 2011 and the ifth consecutive securitization to receive a triple “A” rating on the senior class of notes from two rating agencies. In the transaction, qualiied institutional buyers purchased $206.3 million of asset-backed notes secured by $210 million in automobile receivables purchased by CPS. The sold notes consist of ive classes. The weighted average coupon on the notes is approximately 3.62 percent.

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6 • November 7, 2016

USED CAR NEWS

AutoNation Gets Back into Used Vehicle Superstores

AutoNation Inc. is getting back into the used-car store business. The franchise dealer group announced plans to launch AutoNation USA, a chain of standalone pre-owned vehicle sales and service centers. AutoNation has identiied 25 AutoNation USA potential sites in its existing markets, of which ive are expected to open in 2017. AutoNation started out as a usedcar superstore chain in 1995. It changed over into a new-car store operator over the next few years. AutoNation closed all its used-car stores in a somewhat surprise move in December 1999. A key driver of the new version of AutoNation USA is AutoNation Express, the company’s digital platform. Through AutoNation Express, a customer can search inventory online, select and reserve a vehicle, value their trade, see payment options, and apply for inancing. Beyond the car buying experience, AutoNation USA sales and service centers will ofer express service and scheduled maintenance and repair work. AutoNation USA stores will ofer a customer-friendly end-to-end digital experience for service, including communications and payment options. The company believes For Cars, Trucks and Vans

AutoNation USA sales and service centers will improve retention with customers who have vehicles that are out of warranty and traditionally service with independent repair shops. “We expect that our investments in this next phase of the company’s brand extension rollout, which may exceed $500 million in the aggregate, will continue for the next several years,” said AutoNation CEO Mike Jackson. “We have built an industry-leading brand, and we remain committed to achieving and sustaining operational excellence, while creating a peerless customer experience and enhanced services throughout the automotive retail sector.” AutoNation is already one of the nation’s largest used-car retailers through its franchise store. The company is also expanding its wholesale operations. AutoNation owns and operates a wholesale auto auction in Southern California, which processes over 25,000 vehicles annually. The company plans to open four additional AutoNation branded auto auctions over the next two years, starting in Orlando, Fla., and Houston in the irst half of 2017. New auto auctions will be centrally located in select, high volume markets and will primarily feature AutoNation vehicle inventory.

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8 • November 7, 2016

USED CAR NEWS

NAAA INCOMING NAAA PRESIDENT PRAISES FLEXIBLITY Jerry Hinton, general manager of ADESA Portland, is the incoming president of the National Auto Auction Association. He has been married to Dawn for 33 years. They have two children, Joel and Emily. UCN: Could you tell us about your background and how you got into the automotive business? Hinton: As I was inishing my bachelor’s degree in inance from Brigham Young University, Frank Brasher – the founder of Brasher’s auctions – was recruiting at BYU so I interviewed with him. I had no idea what a wholesale auto auction was. In my mind, it was just a practice interview. He invited me to his sale in Salt Lake City the next day. I decided to work for him for a year before I went to law school full-time. Before I got to Fontana, which is where I was supposed to go, Larry Brasher gave me a call and I

ended up starting in Sacramento in 1986. From there, I ended up going to law school in the evenings at McGeorge (School of Law) in Sacramento and then just got a joint MBA from National University. I moved up to Oregon when Larry bought the Northwest Auto Auction from the Peterson family. I inished my law degree up in Oregon. I’ve been able to use my law

Photos by Jeff Kowalsky degree in my business dealings over the past 30 years. It’s been very instrumental in helping to navigate this litigious world that we live in and not be intimidated by the legal system. So I managed the thenBrasher’s Northwest Auto Auction from 1991 through 2001. In 1997, I moved up to Portland and managed what

was then Brasher’s Cascade Auto Auction. So from 1997 to 2001, I traveled back and forth and managed both auctions. Then in 2001, I focused on Cascades, which would later become Brasher’s Portland (and is now ADESA Portland.). UCN: Can you discuss how the NAAA has responded to the increase in federal and state regu-

lations that have afected businesses and their efforts to comply and grow? Hinton: We’re very lexible in adapting to the marketplace for our customers. We’ve provided the level of compliance that our customers have requested and that the federal government has required of them. So the NAAA and International Automotive Remarketers Alliance have joined together to provide compliance information and access to resources. The National Automotive Finance Association has also provided a lot of resources that have been utilized by the industry. The NAAA’s been very proactive in helping members and associate members by providing resources (to help them in these areas). The NAAA has been fantastic in providing these resources through yearly lobbying efforts on the Hill. We have a legislative committee and a PAC committee that help bring our customers, members and associate members together. They work to navigate through those federal and state regulations. We’re creating relationships with our legislators so that when there is an issue, they know who we are and we can talk with them. We’ve also joined with the National Automobile Dealers Association and the Na-

tional Independent Automobile Dealers Association in various eforts to squash some potentially damaging (legislation/regulations) and it’s been great to work together with them. UCN: What are your goals for the coming year as NAAA president? Hinton: I want to continue on with what outgoing President Mike Browning has done with the new Auction of the Year awards to recognize auctions that have given back to our communities. It’s all about serving others and giving back. I also want to continue with the (Safe T. Sam) program that KAR Auction Services provided to NAAA and launched to all member auctions. It provides online

certiication with videos on everything from blood-born pathogens and slips-tripsand-falls to active shooters. It also provides certiication for temp services, which is where most drivers come from. We already have 3,500 people who have become certiied. This next year, we also want to provide some safety awards, which ADESA will sponsor. Finally, we want to continue to drill down into more educational components for auctions at our conventions along with webinars. One of those areas is the exposure our auctions have relative to collections – drilling into things like Uniform Commercial Code ilings and what they should do or shouldn’t do.

NEXT ISSUE: Day on the Hill 08_UCN.indd 1

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anniversary sale 09_UCN revised.indd 1

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10 • November 7, 2016

USED CAR NEWS

Auto Auctions Give Back nada

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Mike Browning, the outgoing president of the National Auto Auction Association, will get to spend more time at his auction again. The general manager of Manheim San Antonio said there were a lot of great moments over the past year. “I guess I would say the best part was the people,” he said. “In the remarketing industry and especially the auction industry, where it’s so competitive, it’s amazing to see the people with their servant attitudes with their customers – both commercial and dealer. “I got to see it all across the country from coast to coast.” Browning said even though auctions are competitive with each other, they do work together when they have a common goal, whether it’s dealers, commercial consignors or the industry’s health itself. “Maybe the most gratifying thing to see is our Auctions of the Year award for community service,” he said. “John Poteet and his crew down at Louisiana’s 1st Choice, along with ADESA Winnipeg, KCI Kansas City and Western Michigan. All four have amazing stories and we’ll hear those stories at the convention.” A national winner will be chosen from the four at NAAA’s annual event this month, Browning said. The auctions will receive $40,000 to donate to the charities they choose. One of the biggest challenges during his presidency was the 1,000-year lood that hit Louisiana in August.

“Being from Baton Rouge, I saw in Livingston Parish and my home town of Denham Springs where 75 percent of the homes were damaged,” Browning said. He said Oak View Auto Auction in Baton Rouge took water and saw employees afected. “The challenge was, ‘what can I do? How can I do more?’ So I felt a little helpless,” Browning said. “We did some things as an association to help out. “But that was a challenge.” Browning said serving as president was made easier by getting to travel as president-elect the year before. During that time, he traveled with then-President Ellie Johnson. “One of the great things about having Ellie as a mentor and friend – we both work together at Manheim – is that she was able to show me the ropes and make sure that I knew where all the speed bumps would be,” Browning said. “So I was really prepared.” Browning said the advice he’d give to his successor, Jerry Hinton, is the same that he received. “Listen and learn. There are some really smart people in what we do,” Browning said. “If you could spend a year traveling and meeting some of the folks that I met, they are really incredible.” He said he hopes the industry stays lean and works hard in the coming year. “We’ll be able to ride out the ups and downs,” he said.

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12 • November 7, 2016

USED CAR NEWS

Group Honors its Top Dealers at GM Museum By Jeffrey Bellant

STERLING HEIGHTS, Mich. – The Michigan Independent Automobile Dealers Association honored Jerry Drouillard and Maurice VanCoillie during its annual awards celebration at the General Motors Heritage Center here. The event featured a display of more than 100 cars covering a century of the automaker’s history. The association named Drouillard, of Autohaus of Royal Oak, as its Michigan Quality Dealer of the Year. Joe Kuhta, of GWC Warranty, presented the state Quality Award to Drouillard, discussing his dedication and his support of the group over the years. “He’s served on almost every committee and every position, from director to president through chairman of the board,” Kuhta said. “He’s a devoted Christian who always goes out of his way to help family, friends, customers, neighbors and vendors. He’s gone to Europe a couple of times to help build villages and homes. He really gives back in a big way.” Drouillard, a graduate of Western Michigan University, was issued a dealer license in 1980. He’s a Bosch certiied master technician.

Drouillard thanked the association for the award. “It’s a big honor,” he said. Drouillard said he appreciated his chance to teach employees things that they had never known before. He also acknowledged that dealers don’t always have the best reputation, but he has a response for those criticisms. “When someone asks you, ‘how does a used-car dealer sleep at night?’ You just go and tell them, ‘On the inest sheets money can buy.’” The second big honor of the evening – the Michigan IADA Dignity Award – went to VanCoillie, who has won about every honor a Michigan dealer could receive. Michigan IADA President Otto Hahne presented the award. “(VanCoillie) is a veteran,” Hahne said. “He’s received the (association’s) President’s Award. He’s been a past president of our Michigan IADA and he’s been a Michigan Quality Dealer of the Year.” Hahn said VanCoillie is believed to be the oldest active car dealer in the country. VanCoillie, 91, acquired a dealer’s license in 1947. “I’m kind of at a loss for words,” VanCoillie said. He opened his comments by crediting Sam Lafata for helping to irst organize and start the Michigan

Michigans Largest Dealer Consignment Auction!

Photo by Jeffrey Bellant MICHIGAN’S FINEST: Jerry Drouillard thanks the Michigan Independent Automobile Dealers Association after receiving the state Quality Dealer award at the group’s annual dinner/dance.

IADA. “But I don’t have much to say,” he said. “The business has been good to me. I thank God every day I’ve got a good family, good kids and good grandkids. I also thank God everyday for my good health.” Coillie’s son, Tom, ofered a few words about his father and talked about numerous family members

who came from across the country to attend the event. He said his dad grew up on a farm and he encouraged that work ethic among his children at a young age. “My mom would drop us after school (to the dealership) and we’d be down there pulling weeds and cleaning cars. So he instilled in us what he learned on a farm.”

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10/27/16 11:19 AM


14 • November 7, 2016

USED CAR NEWS

Cox Honors Green Dealer Cox Automotive presented its Leader in Sustainability Award to Patriot Subaru of Saco, Maine. Presented by Grace Huang, senior vice president of inventory services for Manheim North America, this annual award recognizes a dealership for outstanding community contributions and in-dealership sustainability programs related to waste reduction, energy consumption or water conservation, with a focus on innovation, creativity and engagement with community and/ or employees. “We congratulate Patriot Subaru of Saco for paving the way as a good corporate citizens and demonstrating a commitment to shaping a better world through sustainable business practices,” said Huang. “The dealership’s comprehensive, deeprooted environmental and community programs embody the spirit of this award.” Patriot Subaru of Saco developed a comprehensive green strategy to go from retailing to “greentailing,” built on four cornerstones: Think Green, Act Green, Sell Green and Convey Green. A zero-waste-to-landill site, the dealership has implemented more than 70 tactics to promote green thinking, reduce energy consumption and foster healthy living, including complimentary bike use, daily composting, zero irrigation landscaping and the creation of a green committee. The team also

planted a vegetable garden on-site where they host weekend picnics. On the community service front, Patriot Subaru of Saco participates in Subaru of America’s “Love Promise,” a commitment to partner with local non-proit education, health, environment and animal organizations. Annually between mid-November and the New Year, Subaru donates $250 to charity for every new Subaru sold nationwide. Patriot Subaru also supports charities such as Preble Street through food drives and monetary donations, and hosts quarterly blood drives for its employees and the community. For their leadership in promoting green business practices and making a diference through community service, Patriot Subaru of Saco will receive $20,000 to fund two sustainability projects – one at the dealership and another in partnership with a local community organization of its choice. The dealership will also receive an energy audit, performed by Cox Conserves engineers. “We are honored to receive the Cox Automotive Leader in Sustainability Award in recognition of our green strategy,” said Brian Beattie, general manager of Patriot Subaru of Saco. “We look forward to continuing our greentailing initiatives at the dealership and in our community through the support of Cox Automotive.”

Manheim Upgrades in Midwest Manheim is putting the inishing touches on a comprehensive, threeyear, $4.6 million investment plan to beneit its three Chicago-area locations: Manheim Chicago, Manheim Arena Illinois and Manheim Milwaukee. Last year, Manheim Chicago opened a new facility and hired 50 team members to pilot Manheim Retail Advantage, providing dealers with greater access to high-quality services that produce retail-ready vehicles. Today the operation services 180240 vehicles per week, ofering acquisition, retail reconditioning, detail, merchandising and transportation support. Manheim Chicago recently used double blocking to grow lane capacity from 14 to 23, and added a Thursday sale and Total Resource Auction sale to its oferings. In addition, Manheim Chicago is expanding its paved footprint to 215 acres by black topping 30 additional acres to accommodate 8,000 additional vehicles and room for further growth.

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“We are looking at everything from our physical space, to our marketing programs, to innovative endto-end inventory solutions services and tools to help our clients sell and source inventory faster, gain eiciency and drive success,” said Mike Cesta, general manager of Manheim Chicago. Manheim Arena Illinois recently upgraded to LED lights under its canopy to save about 289,000 kilowatts of electrical power annually and enhance visibility of the vehicles staged to go on the block. Manheim Arena Illinois and Manheim Milwaukee recently invested in new arena loors, providing a more comfortable experience for clients and better backdrop for vehicles passing through the lanes. Manheim Milwaukee is developing a four-acre property to provide additional sale-day parking to meet dealer demand. Additionally, Manheim Milwaukee was recently selected to pilot Manheim’s auction design of the future and will be remodeled next year.

10/28/16 3:11 PM


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10/26/16 10:52 AM


16 • November 7, 2016

USED CAR NEWS

Manufacturers Improve Sites

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More automakers are providing responsive and responsive/adaptive websites – sites that automatically reformat to it the device on which they’re being viewed – yet their satisfaction still trails traditional sites overall, according to the J.D. Power 2016 Automotive Mobile Site Study. Nearly three-fourths of manufacturers now ofer some form of responsive website – up from 39 percent 12 months ago – in part because overall mobile usage for automotive shopping continues to trend upward. Satisfaction is important to manufacturers because it increases the likelihood of a shopper taking a test drive. The study shows that among vehicle shoppers who are delighted with their experience on a manufacturer brand website (overall satisfaction scores above 900), 65 percent say they are more likely to test drive a vehicle, compared with only 15 percent of those who are disappointed (scores of 500 and below). But designing and executing an efective site that will be viewed through multiple devices is not that easy. The study inds that when manufacturers launch a responsive or responsive/adaptive site, navigation and speed satisfaction usually

experience the biggest drops after implementation. Over time, though, satisfaction with such websites has shown improvement. For example, when examining the irst manufacturer sites that transitioned to responsive design, overall satisfaction has increased to 778 in 2016 from 770 in 2014, driven by signiicant increases in speed satisfaction (771 in 2016 vs. 751 in 2014). “Automotive manufacturer and third-party websites are increasingly being accessed via smartphones by new-vehicle shoppers,” said Deirdre Borrego, senior vice president and general manager of data & analytics at J.D. Power. “With so much at stake, manufacturers and third-party sites have to igure out how to execute an excellent online shopping experience, regardless of device.” The study also inds that satisfaction with manufacturers’ mobile websites is quite diferent between Boomers and Gen Y. Satisfaction is signiicantly lower among vehicle shoppers in the Boomer generation than among those in Gen Y across all measures: overall (759 vs. 799, respectively); navigation (733 vs. 794); appearance (784 vs. 821); information/content (759 vs. 792); and speed (757 vs. 790).

Court Requires CarMax to Release Certification Details SAN FRANCISCO (AP) – A federal appeals court in San Francisco says used-car retailer CarMax must tell buyers in California the condition of individual vehicle components it inspects. The 9th U.S. Circuit Court of Appeals said CarMax’s practice of providing buyers with the list of components inspected as part of its used car certiication program, but not their condition, violates California law. Virginia-based CarMax said in a

statement it was reviewing the indings of the case. The ruling came in a lawsuit by a man who bought an Ininiti from a CarMax lot in Costa Mesa, Calif., and said he experienced problems with the car. A lower court ruled in favor of CarMax. The 9th Circuit overturned that decision and ordered the lower court to enter judgment in favor of the plaintif.

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10/28/16 3:43 PM


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10/26/16 10:53 AM


18 • November 7, 2016

USED CAR NEWS

PEOPLE IN THE NEWS ADESA Moves Auction Managers ADESA announced changes to its auction management teams at ADESA Houston, ADESA Memphis, ADESA Seattle, ADESA Tulsa and ADESA Kansas City.

Michael Schenks Michael Schenks, previously the general manager at ADESA Memphis, has been named general manager at ADESA Houston. Ron Schritenthal, previously assistant general manager at

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ADESA Memphis, has been promoted to general manager of that location. Dan Watt, assistant general manager at ADESA Seattle, has been promoted to general manager of that location. Rod Thompson, dealer sales and service manager at ADESA Tulsa, has been promoted to general manager of that location. Schenks had been general manager at ADESA Memphis since 2013. He joined ADESA as dealer sales manager at ADESA Sarasota in 2009. Prior to that, he held various positions for AutoNation, including used-vehicle director of North Florida. Schritenthal had been assistant general manager at ADESA Memphis since 2009. Previously, he served for several

years as assistant general manager and as leet lease manager at ADESA Kansas City. Schritenthal has more than 30 years of experience in the auto auction industry. Watt has been with ADESA Seattle for

Dan Watt more than 25 years and has held a variety of roles at the auction. His range of experience includes working as the oice manager, in operations, as the factory supervisor, factory manager, leet

lease manager and 10 years as commercial account manager. He had been assistant general manager at ADESA Seattle since 2010. Thompson joined ADESA Tulsa in 2015 as dealer sales and service manager. He has nearly 30 years of industry experience, including 10 years as sales manager for his family’s Chrysler store. He spent ive years as a power sports dealer and eight years as regional sales director for a major power sports manufacturer. Thompson entered the auction business eight years ago as a specialty manager and later served as assistant general manager at another auction location. Harold Chapman, previously general manager of ADESA Kansas City, will lead ADESA Nashville as

general manager, efec- Cincinnati Auto Auctive immediately. tion. He joined ADESA Chapman has more Indianapolis in 2000. than 20 years of auto auction experience, in-

GWC Taps Brand Chief

GWC Warranty announced the addition of Therese Pramick as its new strategic brand manager.

Rod Thompson

Pramick will be responsible for developing strategies that increase GWC’s brand awareness and value among new and existing GWC partners.

cluding 17 years with ADESA. He has served as general manager at ADESA Kansas City since 2003, overseeing the auction’s move to a newly built facility in 2009. Chapman got his start in the auto auction industry as general sales manager with the Frankenthal Group/ Louisville Auto and

Pramick brings to this role more than a decade of experience in marketing and marketing communications. Most recently, she spent nine years as a marketing and public relations specialist with Pennsylvania’s Geisinger Health System, overseeing the marketing activities for numerous health services.

10/31/16 10:32 AM


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10/26/16 10:54 AM


20 • November 7, 2016

USED CAR NEWS

RETAIL MARKETS COLORADO Chris Hogan, owner, Motoplex, Palisade, Colo.: “We’ve been around for two years. I was a controller for a big dealership before this. We’re on the western border, so we’re 32 miles from the Utah border. “We keep between 10 and 20 on the lot. “We’re selling about ive a month. “It’s just straight retail here. “The average retail price on the lot is probably $15,000. We have everything from a $2,500 to a $30,000 car. It just depends on what I can ind that’s not a piece of (trash). “Most of my vehicles come from a local wholesaler who (gets) trades from dealerships. I also get trades here and get cars from individuals. If I had no choice, I would go to auctions. “Model years are all over. Average year might be 2007. Average mileage would be right around 100,000. It’s a battle to get (good mileage).

It’s beyond a struggle. “For our vehicles, we carry all-wheel drives and fourwheel drives. That’s what we carry most. “Inventory is both cars and trucks, equally. “It’s about an equal mix of imports and domestics. “Reconditioning costs average between $750 and $1,000. “We farm out the repairs. I’m happy with that shop. He’s great. I couldn’t stay in business without him. “We have a web site. We do Autotrader and, if I use that, I’m (required) to use Kelley Blue Book. I also use Carfax for advertising. I use a local publication, Wheels & Deals, and we have a digital feed through them. “I do local community stuf, but it doesn’t bring me any business. I just do it to support the community. We’ll do posters for the basketball team and football team. We contribute to the cheerleaders. We also let them us our convertibles for the homecoming, things

like that. “I recently sold a 2002 Jeep Wrangler. That one had 126,000 miles. It sold for $11,000. “I feel pretty good going into the rest of the year.”

INDIANA Ted Henkle, general manager, True Blue Autos, Greensburg, Ind.: “We have been selling cars since October 2015. Joe Enneking owns our dealership and owns our parent company, which is a body shop. He’s been in the collision repair business for a while. His dad started it in 1954. Joe has been sole owner for almost 20 years or so maybe. He’s my father-in-law, so my wife and I run the dealership. We’re in the same facility as the body shop. We take up about 3,600-squarefeet of it. “We opened last October, but I started working in May that year. One of the irst things that Joe, our wives and myself did was go to the National Independent Automobile Dealers Asso-

Compiled by Jeffrey Bellant ciation national convention in June 2015. From May to September, all we did was do research. We went to a NIADA class with Joe Lescota and became Certiied Master Dealers. “We’re learning lessons everyday. “We started of with, I think, eight or nine cars and just started building it up. In January and February, we upped it to about 20. Now, on average, we have anywhere from 30 to 35. “We sell about 16 or 17 a month. “We get about 75 to 80 percent of our inventory from auctions. We usually go to Manheim Ohio. We also go to other Manheim and ADESA sales. “We get trade-ins and we’ve bought cars from people locally. “We’re part of the NIADA’s Certiied Pre-Owned Vehicle program. It helps us distinguish ourselves from other independent dealers. “We’re just straight retail. I have yet to do a subprime

deal. It’s a completely different ballgame and clientele. “Our average retail price is probably $17,000 to $18,000, maybe more. Our niche we found recently is that we do well with higher-end diesel trucks. “The majority of what we have are SUVs and trucks. “Average mileage is between 40,000 and 50,000. “It’s mostly domestic, though we’ll get some imports every once in a while. “Average reconditioning cost is about $900. The body shop reconditions all of our cars and they do the CPO checklist. “We have quite a bit going online, from our website to social media – like Facebook and Twitter – and we’re on Autotrader, Cars. com, CarGurus and Kelley Blue Book. “One of the last vehicles we sold was a 2012 Dodge RAM 2500. That one had somewhere around 66,000 miles. It was a diesel. We got $40,000.”

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10/26/16 10:56 AM


22 • November 7,2016

USED CAR NEWS

WHOLESALE MARKETS INDIANA Paul Fetter, general manager, Clark County Auto Auction, Jefersonville, Ind.: “We are in southern Indiana, but we are a suburb of Louisville, Ky., so we service the Louisville metro area. “Our 34th anniversary sale is the Wednesday evening before Thanksgiving. We’ll have a dealer appreciation sale. We’ll be giving away cash and prizes. We always give away frozen turkeys that sale. “We’re building a new facility. We run four lanes in our current facility. Our average year-to-date per sale is 578 cars registered and 373 sold. Year-to-date is 66 percent sold. We sell about 20,000 cars a year and we run around 30,000. “We have about 250 buyers. “We’re a little landlocked on 12 acres. We have about as many cars as we have parking spaces. So we’re building our new facility on 44 acres just up the street.

“We’re expecting to open in February or March. “We are primarily a dealertrade auction. We’ve grown to where we can’t expand into other markets, which is why we are expanding the facility. We want to be able to service more customers, which is why we joined the National Auto Auction Association. “We maintain over 1,000 online listings. We’re consistently one of OVE’s top independent facilitators nationwide. We also facilitate Dealer Block and SmartAuction. We use Edge Pipeline and all Edge products. “About 90 percent are dealer trades, with 62 percent of our vehicles being new-car trades. “We do two collector sales a year, one in the spring and one in late summer. The next will be April 29 next year. We normally get 100. “Our average price is in the $4,000 range. “This time of the year, it looks like pickup trucks and SUVs are increasing in value.

“We see an expanding market. Andersonville has been booming in job growth. I see an increase in population, an increase in jobs and an increase in the car market locally.”

IOWA Mark Greb, owner, Plaza Auto Auction, Mt. Vernon, Iowa: “The auction has been here since 1963. I have owned Plaza since 2003. “We have four total lanes and we run three. “Volumes are picking up. It’s not a drastic upswing, but cars are getting a little bit easier to ind. “We’re ofering right at 300 (units). “The percentage sold is a little of. Year-to-date (as of the end of October) it was 55 percent. But it has ticked up in this quarter. “I think dealers are starting to be a little more selective in this area. It’s a little bit slower than in other areas. “We average 170 dealers in the lanes for our sale.

“Our volume is about 15 percent lease/leet/repos and 85 percent dealers consignment. The lease amount is ticking up. We’re getting more and more leasing companies that are giving us a try. “Our commercial consignors are Element, Emkay, Union Leasing and Flexco Fleet Services. “The local economy itself is good. Unemployment is way down. The housing market is moving along. So there are a lot of good things going on. “A recent uptick has been the vehicles being bought online as opposed to inlane. We use Auction Edge. It’s taken a good year to see an uptick, but it’s slowly coming. “We’ve started posting all of our no-sales on OVE at the end of the sale. It’s not a large number of cars we’re selling, but we’re selling a couple every week. But making the extra income. That, like Pipeline selling, will continue

Compiled by Jeffrey Bellant to edge upward. “This year we had five powersports sales. All of them were huge successes. The last one we had just over 100 units. We generally sell 55 percent to 60 percent. We’ll have our first 2017 sale in February or March, then probably have them every other month. “Trucks are always desirable here, especially, the heavier trucks like the 250s and 350s. The 1500s and 150s are still doing well, but the one-ton and ¾ ton do really well. We do a truck sale every third Wednesday. We emphasize smaller trucks, like F-150s and half-ton trucks. “The 12- and 15-passenger vans are doing well, along with the cargo vans. Of course, the mid-size cars, like the Impalas and Fusions are doing well. “The average price for everything, including the fleet-lease, is about $7,300. The fleet-lease (bumps that up).”

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10/31/16 10:34 AM


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PO Box 19190 | Spokane, WA 99219 | McConkeyAuctions.com As part of a like-kind exchange program, notice is hereby given that all of American Honda Finance Corporation’s (AHFC) rights (but not its obligations), on behalf of Honda Lease Trust (HVT, Inc. for New York and Virginia residents), to sell this vehicle have been assigned to Honda Finance Exchange, Inc., acting as a qualified intermediary.

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10/31/16 10:28 AM


24 • November 7, 2016

USED CAR NEWS

DISCONNECTED JOTTINGS FROM Yet again, attending this year’s National Auto Auction Association meeting in Red Rock, Nev., as part of Used Car Week, is going to demand some of the broadest

TONY MOORBY

A great deal has already been said about online activities to the point that internet access to inventory or its distribution now seem to be old hat.

Tony Moorby • 40-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 • Awarded the Ring of Honor by NIADA • NAAA Hall of Famer

minds from all attendees. This year has seen a phalanx of changes for almost everyone involved in the industry, all the way from manufacturers to drive services. But behind the scenes, the auto auction industry continues to morph like an octopus, getting its arms around the next suite of services to be provided to old customers with new ideas or new customers wanting to revive old ideas in a more modern setting.

What has changed is the access points availed to all the diferent players; manufacturers prompt CPO sales from their own systems direct to their franchised dealers. The data about any vehicle being fully disclosed in exquisite detail in order to promote more conident and thus higher participation by bidders, thence higher prices. That idea, in itself, is far from new but the technology now available is enabling the players to shule their

positions in the transactions – upstream marketing has come to the wellspring! Auction companies are now more deeply involved in helping dealers source vehicles with microscopic peculiarity. Historical sales data overlaid on vehicle availability is now more science than art and a mouse is replacing the old used-car manager’s nose. We can even see what’s in the pipeline and geographically place product into the most absorbent market. As I’ve said, some of this is not entirely new thinking, just functionally, more doable. Cars’ histories are now as important as any other information in establishing price – I’ve long been a proponent of getting access to vehicles’ build sheets direct from the manufacturer – again not a new idea – we used to rely on “Passport to Service� books to conirm mileages and service records back in the ‘60s Whilst information is more freely available, cars are still large objects that have to be moved, cleaned, sometimes

C R O S S WO R D 32. Maintenance 36. Come together 37. “Cool!� 38. Buick compact luxury SUV 39. Piece in a machine 42. Lotus sports car 44. Luxury SUV 47. Modern preix 48. Garage freebie oten 50. “Circle the ___� 51. Honda sport compact 52. Electrical power measurements Down 1. Civic alternative 2. Lamborghini model 3. Braking system 5. Badge 6. End of the week 7. Tops up, as a tank

to how to do it their way. It needs to be done without disruption to existing marketing strategies. To some extent, valuations of used vehicles depends on their perceived useful life left. At the moment new batteries are excruciatingly expensive and how do we dispose of the old ones? You can’t just hurl one of those bad boys in the nearest dumpster. Some authority is bound to participate in the disposal. So early discussions by all the parties involved would bode better for any position, going forward. Meanwhile the jackboots of the Consumer Finance Protection Bureau are heard stomping loudly around. They certainly have broad minds – as wide as they own perceptions of authority! For a while our conventions started to be a little repetitious – no more. Once more unto the breach, dear friends, once more ‌

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

Digital version available at usedcarnews.com

By Myles Mellor

Across 1. Alternative to a Mercedes or BMW 4. Nissan model 7. Honda subcompact 10. Proit, for short 12. Road taxes 13. Porsche Carrera ______ 16. Chivalrous 17. Metric unit of volume, abbr. 18. It’s part of a security system 20. Cry out for 21. DC politico 24. Newport state 25. Detroit’s founder 27. Maker of the Forester 30. Hello! 31. TV company that produces “Top Gear�

stored – ask General Motors – so infrastructure still has to be maintained. But even here, eiciencies are being measured and improved, mainly to keep prices at levels acceptable to customers. Talking of which, a great deal of pricing for the auction industry is still in the dark ages of the ‘80s. This relates more to services like reconditioning than buyers’ and sellers’ fees but even some institutional customers pay what they did decades ago for such prices. It’ll be interesting to see what happens in states where minimum wage mandates, at $15 an hour, take effect on distribution costs. Do I snif a whif of inlation in the air? Another subject for another day! Perhaps while the industry gathers to share insights, knowledge, new products and services, some thought might be given to the remarketing of electric vehicles in the future. For sure it’s not too soon to form some discourse on the subject before Uncle Sam imposes new (expensive) regulations as



8. Light metal used in car manufacture 9. It may be dragged and dropped 11. Wonderment expression 14. “Honest ___� (President Lincoln) 15. Bright color 19. Chevy model 22. Cross a red light, e.g. 23. Seat belt 25. Luxury SUV from Porsche 26. Isuzu SUV 28. Professional driver 29. Failed Serbian auto import 33. he p in mpg 34. For 35. It’s included in a detail 39. Light yellow color











 





 





 





 





 









 





















 











 



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43. Tracker and Prizm



Solution to the 10/17/2016 puzzle 1

41. Dodge __- SRT-4_



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Solution to this puzzle in the 11/21/16 issue. Call 1.800.794.0760 for a FREE subscription.

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10/28/16 3:09 PM


USED CAR NEWS

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10/28/16 10:52 AM


26 • November 7, 2016

USED CAR NEWS

AROUND THE BLOCK AUCTION BRINGS IN NBA TROPHY

TITLE TOWN: Akron Auto Auction’s Chad Bailey, (right) poses with Ahmad Crump, Cleveland Cavalier’s PA announcer, and the Larry O’Brien Trophy. The auction, based in LeBron James’ hometown, hosted the trophy that the Cavs won earlier this year.

Akron Auto Auction brought in the hardware for its Sept. 22 sale, the NBA’s Larry O’Brien Trophy. Larry O’Brien is the name of the NBA World Championship Trophy, which was captured by the Cleveland Cavaliers this summer.

26_UCN.indd 1

The trophy was accompanied by two professional bodyguards. It arrived at the auction for an exclusive photo shoot that made it possible for the auction’s employees to get up front and personal with the trophy. “Knowing that Cleveland hasn’t

won a title since 1964, it was truly incredible to be able to allow the employees and their families a chance to be able to actually touch and photograph a piece of Cleveland sports history,” said Chad Bailey, Akron Auto Auction president. The auction also had Cleveland Cavaliers mascot Sir CC, the Cavaliers Spirit Squad and Cheerleaders, as well as the Voice of the Cavaliers, Ahmad Crump, in attendance for the shoot as well. Akron Auto Auction is a member of the ServNet Auction Group. The auction runs six lanes with four separate buildings on 30 acres. The facility includes a full transportation department, reconditioning department, inspection department, and floor planning services.

Compiled by Jeffrey Bellant

Sale Raises Funds for Hurricane Relief Southeastern Auto Auction of Savannah and its dealers raised money for those afected by Hurricane Matthew. Money raised through donations and a 50/50 drawing were matched by the auction and given to the American Red Cross. Some victims of the hurricane in Haiti will also beneit from this fundraising efort. The winner of the 50/50 drawing (Les Brooks, Coastal Auto) used his winnings to purchase baby formula that will be delivered to Haiti “We ended up being able to ofer some support to those afected in the U.S. and abroad,” said Bill McCready, Southeastern’s vice president of operations. “While many of our dealers and employees were afected by the hurricane, most are grateful knowing that it could have been much worse. Our prayers go out to all who have sufered from this event.”

We invite news items and top-quality photos from our readers to be considered for “Around the Block.” Please include the name of a contact person and a telephone number. Send items and photos to: Jeffrey Bellant. Mail: Used Car News, 24114 Harper Ave., St. Clair Shores, MI 48080. Fax: (586) 772-9400 e-mail: jeff@usedcarnews.com

10/28/16 3:53 PM


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10/26/16 10:59 AM


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10/28/16 2:31 PM

Used Car News 11/7/16  
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