Used Car News 5/16/16

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May 16, 2016

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Even Trucks Feel Pressure from Supply Surge

KEEP ON TRUCKING: Full-size pickups, like this Toyota Tundra, are the lone strong performers in the wholesale market these days. The overall truck segment remains strong compared to cars, but is starting to come down to more normal levels.

By Ted Craig

Rush - Dated Material

In today’s wholesale markets, the good news isn’t great and the strongest segments are growing weaker.

Manheim announced that auction prices as it measures them rose in April, causing the Manheim Used Vehicle Value Index to move up for the first time this year.

The index now stands at 122.8.

Manheim chief economist Tom Webb said the upward movement was “temporary.� The influx of off-lease vehicles and new-car trades continues to place pressure on wholesale prices.

Webb does not expect “a near-

01_UCN.indd 1

term collapse in pricing.�

Part of the reason for April’s higher prices was a large quantity of nearly new units.

The average mileage on all auction sales in April was the lowest since January 2011. In the rental car segment, the average mileage at 41,137 miles was the lowest since September 2014.

Strong truck demand has helped keep wholesale prices from declining at an even faster rate. But even this segment is starting to show some strain.

Anil Goyal, senior vice president of operations at Black Book, reports that trucks depreciated

by 13 percent year-over-year in the first quarter, compared with 20 percent for cars.

In 2015, trucks depreciated by 9 percent for the entire year, while cars depreciated by 18 percent. “There’s still a pretty healthy spread,� Goyal said. “But there’s more truck depreciation.�

There are a number of factors in play here, he said.

One is a return to the mean.

Truck prices were so high they drove away bidders, lowering the price.

Gas prices are still very low, but are higher than at the start of

the year.

Finally, there is a substation effect.

Goyal said consumers shop a much wider range of vehicles than many assume.

They will often opt for a compact car if a compact crossover proves too expensive.

While consignors might worry about getting less at auction, dealers welcome the decline. This is especially true of in-demand inventory like trucks. “A modest easing in wholesale pricing would be welcomed by dealers, and it would not be overly painful for commercial consignors,�

Webb said.

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5/6/16 2:19 PM

USED CAR NEWS

May 2, 2016 • 3

Wholesale Prices’ Spring Boost Less Than Usual

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NADA Used Vehicle Price Index

Mar 2016:

Vehicles up to eight years in age. Seasonally adjusted.

Index falls 0.7% to 118.6

130 January 2010 = 100

basic economics: supply is exceeding demand.

There will be an additional 800,000 off-lease units coming into the market this year.

Retail demand remains strong, but Anil Goyal, Black Book’s vice president of operations, called the market “maturing.”

“Demand is growing, but supply is growing faster than demand,” Goyal said. “We’ve had such a good run that we expect some softening.”

The pent-up demand is spent. And while credit remains available, consumers will wait to make a purchase.

Tom Kontos, ADESA’s executive vice president of analytical services, said the industry has put off much of this price decline by utilizing alternative channels, including upstream sales into certified pre-owned programs.

There is only so much inventory these channels can take in, however.

“At some point, all the buckets fill up,” Kontos said.

Now the question becomes how far do prices fall.

120 110 100 90 80 70 Month

Source: NADA Used Car Guide

Monthly Change in Wholesale Used Vehicle Prices - Feb vs. Mar 2016 Vehicles up to eight years in age.

Prior Month Change

The spring market has lifted wholesale prices, but less than it usually does.

Manheim chief economist Tom Webb said wholesale prices rose through the first half of April and he said there was a good chance they would finish up for the month.

But the increase was less than it should be this time of year. March and April are usually the strongest months.

“We didn’t have a spring bounce,” Webb said.

The NADA Used Car Guide reports that average wholesale used vehicle prices rose by one percent in March.

That’s down from the average increase of 2.7 percent between 2009 and 2015.

The weaker-than-usual March prices caused a decline in NADA’s seasonally adjusted used vehicle index.

This follows the first February decrease for the NADA index in 20 years. The Index for the quarter was down, the first year-over-year quarterly decline since 2009.

The cause of the decline is

3.0% 2.4%

2.5% 2.0% 1.5%

1.0%

1.0%

1.1%

1.1%

1.3%

1.3%

1.6%

1.7%

0.6%

0.5%

0.1%

0.0%

0.2%

0.3%

- 0.1%

-0.5% -1.0%

1.1%

1.2%

- 0.4% - 0.7%

Source: NADA Used Car Guide

4/25/16 4:02 PM

4 • May 16, 2016

USED CAR NEWS

NEWS BRIEFS CPS Closes Securitization

Consumer Portfolio Services Inc. announced the closing of its second term securitization in 2016.

The transaction is CPS’s 20th senior subordinate securitization since the beginning of 2011 and the third consecutive securitization to receive a triple “A” rating on the senior class of notes from two rating agencies.

In the transaction, qualified institutional buyers purchased $332.7 million of asset-backed notes secured by $340 million in automobile receivables purchased by CPS. The sold notes, issued by CPS Auto Receivables Trust 2016-B, consist of five classes.

Ratings of the notes were provided by Standard & Poor’s and DBRS and were based on the structure of

Dealers and their marketing partners often work with several different vendors, who all add to the overall cost of production after markups are taken into account.

Black Book also announced an agreement to be a valuation data proBlack Book Teams With Marketers vider for Digital PowerSports and its Black Book recently announced a Trade Cycle lead-gen resource for pair of partnerships. recreational vehicle and powersports One is a distribution agreement manufacturers, brokers and dealers. with HP360 that enables the marketing company to offer Bullseye Prospecting, a turnkey solution for Ally Sets Used Originations Record its dealer clients looking to launch Ally Financial Inc. reports that more efficient marketing campaigns. used vehicle originations grew to 45 Powered by data from Black Book, percent of total originations in the Bullseye Prospecting is designed to first quarter, the highest in the comreduce and consolidate the many pany’s history. different touch points involved in Overall, consumer auto originathe development and execution of a tions were $9 billion for the quarcustomer campaign. ter, down from $9.8 billion in the prior year period. Ally received a record number of applications in the quarter. the transaction, the historical performance of similar receivables and CPS’s experience as a servicer. The weighted average coupon on the notes is approximately 4.65 percent.

MILESTONES Sam Gelt

Sam Gelt, founder of two auctions, died.

He was 94.

Sam Gelt, along with Harry Gelt, started the Central States Auto Auction in Mason City, Iowa, in 1948. They opened Northstar Auto Auction in Shakopee, Minn., on

March 14, 1971. Manheim now owns the Minnesota auction.

Sam Gelt served as president of the National Auto Auction Association in 1979.

Contributions in his memory may be made to the National Multiple Sclerosis Society, Hadassah or the Minneapolis Jewish Federation.

Firm Buys J.D. Power For $1.1 Billion

XIO Group, a Chinese global alternative investments firm headquartered in London, announced that it would acquire J.D. Power from McGraw Hill Financial Inc. for a purchase price of $1.1 billion.

The parties have entered into a definitive agreement and anticipate that the transaction will close during the third quarter of 2016, subject to customary closing conditions.

Upon closing, XIO Group will support J.D. Power’s existing management team and employees in expanding the company’s market share, particularly in fast-growing Asian markets.

The transaction is XIO Group’s first acquisition of a company headquartered in the United States, following previous acquisitions of industry-leading companies located in Germany and Israel in 2015.

Finance Firm Marks Anniversary

Exeter Finance Corp. is celebrating its 10th year in business.

Exeter was founded in 2006 by a group of veteran auto finance executives. In 2008, the company received a $20 million equity investment from Navigation Capital Partners.

In 2011, The Blackstone Group, one of the world’s largest private equity and investment banking firms, acquired Exeter.

Exeter ended 2015 with more than $1.5 billion in originations and $3.1 billion in receivables.

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

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Vol. 22 • No. 4 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 first time advertisers must accompany the insertion order. Distribution is guaranteed by the USPS. The advertising reservation deadline is 12:00 noon Thursday, 11 days prior to the issue cover date.

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5/9/16 12:37 PM

USED CAR NEWS

May 16, 2016 • 5

NHTSA Steps up Pace of Takata Airbag Recall

The National Highway Traffic Safety Administration is expanding and accelerating the recall of Takata air bag inflators.

The decision follows the agency’s confirmation of the root cause behind the inflators’ propensity to rupture. Ruptures of the Takata inflators have been tied to 10 deaths and more than 100 injuries in the United States.

Under the Amended Consent Order issued to Takata, the company is required to make a series of safety defect decisions that will support vehicle manufacturer recall campaigns of an additional estimated 35-40 million inflators, adding to the already 28.8 million inflators previously recalled.

These expansions are planned to take place in phases between May 2016 and December 2019.

The expansions mean that all Takata ammonium nitrate-based propellant driver and passenger frontal air bag inflators without a chemical drying agent, also known as a desiccant, will be recalled.

The five recall phases are based on prioritization of risk, determined by the age of the inflators and exposure to high humidity and fluctuating high temperatures that accelerate the degradation of the chemical propellant.

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NHTSA and its independent expert reviewed the findings of three independent investigations into the Takata air bag ruptures and confirmed the findings on the root cause of inflator ruptures.

A combination of time, environmental moisture and fluctuating high temperatures contribute to the degradation of the ammonium nitrate propellant in the inflators.

Such degradation can cause the propellant to burn too quickly, rupturing the inflator module and sending shrapnel through the air bag and into the vehicle occupants.

“The science clearly shows that these inflators become unsafe over time, faster when exposed to humidity and variations of temperature,” said NHTSA Administrator Mark Rosekind.

“This recall schedule ensures the inflators will be recalled and replaced before they become dangerous, giving vehicle owners sufficient time to have them replaced before they pose a danger to vehicle occupants. NHTSA will continue to evaluate all available research and will act quickly to protect safety.”

NHTSA will also consult with affected vehicle manufacturers before revising the Coordinated Remedy Order that governs the accelerated program to obtain and install re-

Photo by The Associated Press RUPTURE: Takata has a long history of safety recalls. The company’s seatbelts were recalled in the 1990s, one of the largest recalls up to that time.

placement inflators.

The recall expansion does not include inflators that include a chemical desiccant that absorbs moisture. There have been no reported ruptures of the desiccated inflators due to propellant degradation.

Under the Amended Consent Order, Takata is required to redirect its research toward the safety of the

desiccated inflators.

Absent proof that the desiccated inflators are safe, Takata will be required to recall them under the November 2015 Consent Order.

In 2015, NHTSA imposed the largest civil penalty in its history for Takata’s violations and for the first time used its authority to accelerate recall repairs.

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6 • May 16, 2016

USED CAR NEWS

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The pressure on auto finance asset-backed securities continues to build.

California Republic Bancorp recently reported a $3.2 million loss on the sale of $440 million in auto loans during the first quarter.

California Republic Bancorp CEO Jon Wilcox said the bank continues to experience significantly wider credit spreads on auto-backed securities issued, as well as lower residual interest valuations.

Wilcox expects the situation to improve, as demand for auto ABS is growing.

However, California Bancorp took steps to reduce its dependence on the securitization market by merging with Mechanics Bank of Northern California.

Mechanics provides a retail franchise with over $2.9 billion in low-cost, core deposits.

The situation for California Republic seems set to become the norm.

Fitch Ratings forecasts that increased non-prime lending, weakening underwriting standards and a moderate reduction in used-car values will cause a gradual decline in auto asset performance for auto finance companies through 2016 and beyond. “Subprime lenders and non-tradi-

tional auto lenders will experience the greatest performance variability due to their higher risk nature,� said Michael Taiano, director of Fitch Ratings.

Credit quality remains strong despite the headwinds, Fitch reports. That is due mostly to the stable economy.

There are signs of improvement in the auto ABS market, as Wilcox noted.

Since the start of the year, both prime and subprime ABS have seen some marginal improvement in performance with delinquencies and net losses falling slightly, Fitch reports.

The difference in loss rates between the prime and subprime sectors continues to widen into 2016.

Fitch expects credit losses and delinquencies will continue to increase over time.

This is largely due to the uptick in subprime lending and easing underwriting standards due to increased competition that are producing weaker new vintages.

Falling used-car values will also impact loss severity.

Still, Fitch expects the auto creditors it rates will have sufficient capital and liquidity relative to their asset quality to support the uptick in losses.

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8 • May 16, 2016

USED CAR NEWS

NABD CONVENTION NABD PREPARES TO SHOW INDUSTRY ROAD TO SUCCESS This year’s National Alliance of Buy-Here, Pay-Here Dealers conference promises to show attendees the best methods for “Navigating the Road to Buy-Here, Pay-Here Success.”

That’s the theme for this year’s event, taking place May 24 to May 26 at the Wynn hotel in Las Vegas.

A new feature for 2016 is a capital hour in which deal-

tions is a speech from Malini Mithal, an assistant director with the Federal Trade Commission.

“I’ve heard her speak before,” Shilson said. “She’s a tremendous speaker.”

Shilson said the FTC is much more forthcoming than other regulators about what it wants from dealers.

Another addition to the compliance roster this year

here dealers traditionally have been weak.

“The portfolio is sold at a discount, you lease the lot out and go fishing,” Shilson said.

Buy-here, pay-here dealers need to start creating the kind of “blue sky” value that franchise dealers have.

Shilson usually invites other trade groups from related industries to present at NABD. This year it will be DBA International.

This group will show dealers how to get cash for their charge-offs.

DBA will also describe what makes its Certified

ers can hear from 12 providers about what they are looking for in business partners.

NABD founder Ken Shilson said this panel is essential for buy-here, pay-here dealers today as they face increased competition from subprime finance companies.

Shilson expects a pullback in subprime finance in coming years, so dealers need to get positioned for capturing the customers returning to buy-here, pay-here.

Compliance is another major challenge for dealers and the NABD offers a number of the industry’s top attorneys speaking on various panels. But the highlight of this year’s compliance presenta-

Professional Receivables Companies different from other debt buyers.

One of the highlights of the conference every year is Shilson’s presentation of his buy-here, pay-here benchmarks.

“We carefully scrutinized the policies and practices used to generate the data to assure that all the information is credible,” Shilson said.

“Although different accounting and operating practices are used in the industry, this report considers and adjusts for the major differences.”

This year he looked at the

business models for six of the most successful operations and found many similarities between them.

He’ll provide an in-depth look at these traits during the benchmarks presentation.

Much of the best education comes outside the presentations, with dealer networking and an exhibit hall featuring a wide range of service providers.

The NABD will also induct another industry pioneer into its Hall of Fame.

Last year’s inductee was Don Foss, founder of Credit Acceptance Corp. and CARite.

is attorney Harry Tipping of Ohio-based law firm Stark & Knoll. Tipping is an expert in cases concerning claims of hidden charges.

Another focus of this year’s conference is improving efficiency to lower overhead pressures.

Shilson said overhead expenses are rising due to a combination of increased compliance costs and overall inflation.

“If your sales keep shrinking and expenses keep rising, that’s a squeeze play,” Shilson said.

Another feature being introduced this year is a session on succession planning.

Shilson said retirement is an area where buy-here, pay-

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5/9/16 4:13 PM

10 • May 16, 2016

USED CAR NEWS

Chains Add More Stores Used-car chains continue to grow.

Sonic Automotive Inc. reported that its EchoPark used-car stores retailed 941 units in the first quarter.

Sonic anticipates opening two additional stores in the second quarter and another by the end of the year.

The company also announced it will be introducing the EchoPark brand to the Texas and Carolinas markets in 2017.

Sonic has been actively accumulating property in preparation for that expansion.

CarMax Inc., the biggest player in the used-car superstore segment, is keeping up with the competition by adding more stores.

CarMax officially opened its first store in Springfield, Ill., located at 2531 Chuckwagon Drive.

The store is approximately 8,000 square feet, occupies more than three acres and stocks more than 140 used vehicles.

In celebration of the Springfield store opening, CarMax donated $2,500 to the Central Illinois Food Bank.

Springfield CarMax associates selected this nonprofit for its mission to distribute approximately 8.5 million pounds of food to more than 150 food pantries, soup kitchens, residential programs and afterschool programs in the region.

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The CarMax Foundation also is providing a $5,000 grant to the Boys and Girls Clubs of Central Illinois.

This grant will support the “Reading Partners” program to help improve reading proficiency for camp participants.

This grant also came at the recommendation of Springfield CarMax associates.

In other chain news, a J.D. Byrider dealership recently opened at 3301 South Zero St., Fort Smith, Ark. The new location is the third J.D. Byrider dealership in Arkansas, and it is the second dealership for franchisee Matt Enderlin.

“Matt is an exceptional operator and will serve our customers well with his expansion in Fort Smith,” said Tom Welter, vice president of franchising for J.D. Byrider. “He understands the value of our business model and operational support, both of which are driving the unprecedented unit growth we are experiencing.”

The 9,000-square-foot location will offer used-car sales, six service bays and a 36–month/36,000mile service agreement on all cars purchased.

The dealership will also create approximately 15 new jobs.

This is the third J.D. Byrider dealership to open in 2016.

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USED CAR NEWS

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Fiat Partners with Google DETROIT (AP) – Fiat Chrysler and Google will work together to more than double the size of Google’s self-driving vehicle fleet by adding 100 Chrysler Pacifica minivans.

The companies announced the agreement on May 3, saying that Chrysler engineers would work with Google to install sensors and software so the vans can drive themselves.

Google says it will own the gaselectric hybrid vans, and it’s not currently licensing autonomous car technology to Fiat Chrysler or anyone else. Both companies are free to work with others as well.

The added vehicles are needed as Google increases real-world testing in four cities including Mountain View, Calif.; Austin, Texas; Kirkland, Wash.; and the Phoenix area.

Financial terms of the deal were not disclosed.

Google will test the vans on its private test track in California, but eventually they’ll make their way to public roads.

It’s the first time Google has worked directly with an auto company on installing self-driving sensors and computers. The 100 newly redesigned minivans would be “uniquely built” for Google’s self-driving technology, FCA said

in a statement. Both companies will have engineers at a site near Detroit to work on the vans.

“The opportunity to work closely with FCA engineers will accelerate our efforts to develop a fully selfdriving car that will make our roads safer,” said John Krafcik, CEO of Google’s project.

The agreement could give FCA an inside track to manufacturing vehicles for Google because its engineers would become experienced with what Google needs. But neither company would comment on possible future deals.

Currently, Google’s 7-year-old autonomous car project, which is now part of the so-called X lab at Alphabet Inc., Google’s Mountain View-based parent company, has 21 Lexus SUVs modified to drive autonomously, plus another 33 podlike small cars.

Fiat Chrysler – which has lagged bigger, richer rivals like Volkswagen AG and General Motors Co. in the development of self-driving cars – will welcome the chance to test Google’s technology. The ItalianAmerican automaker also has manufacturing expertise and factories that Google lacks.

Google has set a goal of having self-driving cars in the public’s hands by 2020.

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14 • May 16, 2016

USED CAR NEWS

AG Cracks Down on After-Sale Products The New York attorney general announced four separate settlements with auto dealers that return nearly $2 million in restitution to some 5,000 consumers and $174,000 in penalties and costs to the state for selling “after-sale” products. The dealerships, Koeppel Auto Group, Plaza Dealerships, Manfredi Auto Group and Huntington Honda have locations in Staten Island, Brooklyn, Queens, Long Is-

land and Westchester.

The dealerships were charged with unlawfully selling “after-sale” products and services, including credit repair and identity theft protection services, which often added thousands of dollars to the purchase price of the vehicle.

“Consumers deserve to be treated honestly by car dealerships, and shouldn’t be hit withT:5.3375” hidden fees that inflate the price of the vehi-

cle,” said Attorney General Eric T. Schneiderman. “My office will continue to make it a priority to crackdown on these deceptive business practices that target unsuspecting consumers.”

These settlements are part of the wider initiative to end the practice engaged in by many dealers of “jamming,” or unlawfully charging consumers without their consent or knowledge for purchases.

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Last year, as part of the wider investigation, a consent order was obtained that shut down Credit Forget Inc., a New York company that sold the unlawful credit repair and identity theft protection services to these and other car dealerships.

It is a violation of state and federal law to charge upfront fees for services that promise to help consumers restore or improve their credit, and contracts that violate the law are void.

The attorney general’s investigation found that, between 2010 and 2015, these dealers used fraudulent, deceptive, and illegal methods to sell CFI contracts to approximately 5,000 consumers.

Typically, after working with a salesperson to choose a car, the consumer met with a finance and insurance manager who would try to sell the consumer additional after-sale products such as extended service contracts, key replacement services, a security system, credit repair services and identity theft protection services.

Often, these after-sale items added hundreds or thousands of dollars in hidden charges to the sale or lease price of a vehicle.

The costs of these items were often bundled into the vehicle sale price and not separately itemized. The investigation showed that, for some dealers, consumers were totally unaware that they had received these services. In many other cases, consumers thought that the services were free.

As a result, the price of the car stated on purchase and lease documents was inflated by the amount of these after-sale items.

The dealerships failed to provide required disclosures such as consumers’ rights to cancel the credit repair services contract.

In addition, when the negotiations were conducted in a language other than English, the Koeppel dealerships provided sales documents only in English and not in the language in which the negotiations were conducted.

As part of the settlement, Koeppel must provide a translation of certain material documents in the lan-

I’M SAVING TRUCKLOADS OF TIME BY SIMPLIFYING HOW I MOVE MY CARS.

Moving cars is complicated. It takes legwork. That’s why Tim uses Manheim transportation services — to ensure every car is delivered as planned.

Check out all the ways Tim partners with Manheim to grow his business at MyManheim.com/Story

© 2016 Manheim, Inc. All rights reserved.

Manheim M logo is a trademark of Manheim, Inc.

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guage in which the terms were negotiated before the consumer signs these documents.

In June 2015, the attorney general reached a similar agreement with the Paragon dealerships, located in New York City and Westchester, that required Paragon to pay $6 million into a restitution fund administered by a thirdparty administrator that was distributed to 13,582 Paragon consumers who received the CFI contracts.

Paragon also paid $325,000 in penalties, costs and fees.

In addition, previous settlements were reached with four other dealer groups providing for $233,000 in restitution to 1,238 consumers and $36,000 in penalties and costs.

The dealer groups included among the settlements are: Plaza Oldsmobile, Ltd. d/b/a Plaza Toyota-Plaza Scion Plaza Hyundai, Ltd. Plaza Motors of Brooklyn, Inc. d/b/a Plaza Honda Crystal Bay Imports, Ltd. d/b/a Acura of Brooklyn, Inc. Manfredi Auto Group LLC d/b/a Manfredi Fiat and Fiat of SI Manfredi Auto LLC d/b/a Manfredi Mitsubishi Manfredi Auto Mall, Inc. d/b/a Manfredi Kia Manfredi Cadillac, Inc. d/b/a Manfredi Hyundai Manfredi Chevrolet, L.L.C., d/b/a Manfredi Cadillac Manfredi Chrysler Jeep & Dodge of Staten Island LLC Manfredi Chrysler, Jeep & Dodge, L.L.C. Manfredi Fiat Inc. Manfredi Motors Inc. d/b/a S.I. Toyota, Manfredi Toyota and Manfredi Scion Manfredi Subaru, LLC. SI Safe Auto, LLC d/b/a Manfredi Mazda Staten Island Motors, Inc., d/b/a Staten Island Subaru Koeppel Nissan, Inc. LK Automotive Enterprises, LLC. d/b/a Koeppel Subaru KL Auto Enterprises LLC. d/b/a Koeppel Mazda, Koeppel Volkswagen, Inc. Huntington Honda Inc. Westchester Autoplex, Inc. d/b/a Honda of New Rochelle Automotive, Inc. d/b/a New Rochelle Toyota

5/6/16 3:24 PM

5/9/16 4:31 PM

14 • May 16, 2016

USED CAR NEWS

AG Cracks Down on After-Sale Products The New York attorney general announced four separate settlements with auto dealers that return nearly $2 million in restitution to some 5,000 consumers and $174,000 in penalties and costs to the state for selling “after-sale” products. The dealerships, Koeppel Auto Group, Plaza Dealerships, Manfredi Auto Group and Huntington Honda have locations in Staten Island, Brooklyn, Queens, Long Is-

land and Westchester.

The dealerships were charged with unlawfully selling “after-sale” products and services, including credit repair and identity theft protection services, which often added thousands of dollars to the purchase price of the vehicle.

“Consumers deserve to be treated honestly by car dealerships, and shouldn’t be hit withT:5.3375” hidden fees that inflate the price of the vehi-

cle,” said Attorney General Eric T. Schneiderman. “My office will continue to make it a priority to crackdown on these deceptive business practices that target unsuspecting consumers.”

These settlements are part of the wider initiative to end the practice engaged in by many dealers of “jamming,” or unlawfully charging consumers without their consent or knowledge for purchases.

Timothy Lattimore » Wholesale Manager / Medlin Buick, GMC, Mazda » Wilson, NC

T:9.32”

Last year, as part of the wider investigation, a consent order was obtained that shut down Credit Forget Inc., a New York company that sold the unlawful credit repair and identity theft protection services to these and other car dealerships.

It is a violation of state and federal law to charge upfront fees for services that promise to help consumers restore or improve their credit, and contracts that violate the law are void.

The attorney general’s investigation found that, between 2010 and 2015, these dealers used fraudulent, deceptive, and illegal methods to sell CFI contracts to approximately 5,000 consumers.

Typically, after working with a salesperson to choose a car, the consumer met with a finance and insurance manager who would try to sell the consumer additional after-sale products such as extended service contracts, key replacement services, a security system, credit repair services and identity theft protection services.

Often, these after-sale items added hundreds or thousands of dollars in hidden charges to the sale or lease price of a vehicle.

The costs of these items were often bundled into the vehicle sale price and not separately itemized. The investigation showed that, for some dealers, consumers were totally unaware that they had received these services. In many other cases, consumers thought that the services were free.

As a result, the price of the car stated on purchase and lease documents was inflated by the amount of these after-sale items.

The dealerships failed to provide required disclosures such as consumers’ rights to cancel the credit repair services contract.

In addition, when the negotiations were conducted in a language other than English, the Koeppel dealerships provided sales documents only in English and not in the language in which the negotiations were conducted.

As part of the settlement, Koeppel must provide a translation of certain material documents in the lan-

I’M SAVING TRUCKLOADS OF TIME BY SIMPLIFYING HOW I MOVE MY CARS.

Moving cars is complicated. It takes legwork. That’s why Tim uses Manheim transportation services — to ensure every car is delivered as planned.

Check out all the ways Tim partners with Manheim to grow his business at MyManheim.com/Story

© 2016 Manheim, Inc. All rights reserved.

Manheim M logo is a trademark of Manheim, Inc.

CMA160026_Manheim_Tim_UCN_OPjr.indd 1

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guage in which the terms were negotiated before the consumer signs these documents.

In June 2015, the attorney general reached a similar agreement with the Paragon dealerships, located in New York City and Westchester, that required Paragon to pay $6 million into a restitution fund administered by a thirdparty administrator that was distributed to 13,582 Paragon consumers who received the CFI contracts.

Paragon also paid $325,000 in penalties, costs and fees.

In addition, previous settlements were reached with four other dealer groups providing for $233,000 in restitution to 1,238 consumers and $36,000 in penalties and costs.

The dealer groups included among the settlements are: Plaza Oldsmobile, Ltd. d/b/a Plaza Toyota-Plaza Scion Plaza Hyundai, Ltd. Plaza Motors of Brooklyn, Inc. d/b/a Plaza Honda Crystal Bay Imports, Ltd. d/b/a Acura of Brooklyn, Inc. Manfredi Auto Group LLC d/b/a Manfredi Fiat and Fiat of SI Manfredi Auto LLC d/b/a Manfredi Mitsubishi Manfredi Auto Mall, Inc. d/b/a Manfredi Kia Manfredi Cadillac, Inc. d/b/a Manfredi Hyundai Manfredi Chevrolet, L.L.C., d/b/a Manfredi Cadillac Manfredi Chrysler Jeep & Dodge of Staten Island LLC Manfredi Chrysler, Jeep & Dodge, L.L.C. Manfredi Fiat Inc. Manfredi Motors Inc. d/b/a S.I. Toyota, Manfredi Toyota and Manfredi Scion Manfredi Subaru, LLC. SI Safe Auto, LLC d/b/a Manfredi Mazda Staten Island Motors, Inc., d/b/a Staten Island Subaru Koeppel Nissan, Inc. LK Automotive Enterprises, LLC. d/b/a Koeppel Subaru KL Auto Enterprises LLC. d/b/a Koeppel Mazda, Koeppel Volkswagen, Inc. Huntington Honda Inc. Westchester Autoplex, Inc. d/b/a Honda of New Rochelle Automotive, Inc. d/b/a New Rochelle Toyota

5/6/16 3:24 PM

5/9/16 4:27 PM

USED CAR NEWS

May 16, 2016 • 15

CFPB Moves to Ban Mandatory Arbitration The Consumer Financial Protection Bureau is seeking comments on proposed r u l e s t h a t would prohibit mandatory arbitration clauses.

T h e proposal would Richard open up Cordray the legal system to consumers so they could file a class action or join a class action when someone else files it.

“Many banks and financial companies avoid accountability by putting arbitration clauses in their contracts that block groups of their customers from suing

them,” said CFPB Director Richard Cordray.

“Our proposal seeks comment on whether to ban this contract gotcha that effectively denies groups of consumers the right to seek justice and relief for wrongdoing.”

Many buy-here, pay-here dealers use arbitration clauses in their retail installment sales contracts.

Under the proposal, companies would still be able to include arbitration clauses in their contracts.

However, for contracts subject to the proposal, the clauses would have to say explicitly that they couldn’t be used to stop consumers from being part of a class action in court.

The proposal would provide the specific language

that companies must use.

The proposal would also require companies with arbitration clauses to submit to the CFPB claims, awards and certain related materials that are filed in arbitration cases.

This would allow the bureau to monitor consumer finance arbitrations.

The bureau is also considering publishing information it would collect in some form so the public can mon-

itor the arbitration process as well.

The proposed rules that the CFPB is seeking comment on would apply to most consumer financial products and services that the CFPB oversees.

Congress already prohibited arbitration agreements in the residential mortgage market.

In October 2015, the Bureau published an outline T:5.3375” of the proposals under con-

sideration and convened a Small Business Review Panel to gather feedback from small companies.

In addition to consulting with small business representatives, the bureau sought input from the public, consumer groups, industry, and other stakeholders before continuing with the rulemaking. The public is invited to comment on these proposed regulations when they are published.

Police Say Ex-Employee Killed Store Owner Joseph Carl Wallace dead in his used-car dealership, Quality Automotive, April 26.

Court documents said Wallace had last been seen April 22.

The documents say Wallace appeared to have been struck in the head and cut on his neck.

Police say the investigation revealed that two cars had been taken from Wallace’s business.

Dori Martinez » Concierge » Manheim Pennsylvania

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FAYETTEVILLE, N.C. (AP) – Police in Fayetteville say a man has been arrested and charged with killing his former employer, the owner of a used-car dealership.

Police told local media outlets that 48-year-old Ambrose Dumone Murray of Fayetteville was arrested April 30 and charged with first-degree murder, armed robbery and motor vehicle theft.

Officers found 72-year-old

Feds Make Raid on Ford Store, Investigate Staff RENO, Nev. (AP) – Reports say the son of a Reno auto dealer was arrested and federal agents searched a dealership and home in what the U.S. attorney’s office is calling an ongoing investigation.

Records show that 38-year-old Richard Winston West II was being held at the Washoe County Jail on an unspecified federal charge following raids April 28 at his home and at the Jones-West Ford dealership.

A spokeswoman for U.S. Attorney Daniel Bogden

says the case is currently sealed.

Jones West Ford usedcar manager Jay Costet tells KOLO-TV on behalf of company owner Richard West that the investigation focuses on employees, not the dealership itself.

KOLO says several arrests were made.

The investigation was a joint operation involving agents from the Federal Bureau of Investigation, Drug Enforcement Administration and the Bureau of Alcohol, Tobacco, Firearms and Explosives.

I WAS BORN TO BOOST YOUR BOTTOM LINE.

© 2016 Manheim, Inc. All rights reserved.

Manheim M logo is a trademark of Manheim, Inc.

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Manheim doesn’t succeed unless dealers of every size do. That’s what motivates team members like Dori — colleague, partner, friend.

Check out what Manheim team members are doing to help dealers succeed at the auction and beyond at MyManheim.com/Story

5/6/16 3:24 PM

5/9/16 4:27 PM

16 • May 16, 2016 2015_SDA_Used_Car_News.pdf

USED CAR NEWS 10/9/15

2:39:47 PM

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Ex-Mogul Gets Early Release MINNEAPOLIS (AP) – Former Minnesota auto dealer Denny Hecker is now scheduled to get out of prison one year earlier than he was previously.

Reports say the Federal Bureau of Prisons confirmed in Denny April that Hecker is expected to Hecker be released July 4, 2018, instead of the previously scheduled July 4, 2019.

Hacker owned several auto dealerships in Minnesota and California. He also founded the Greater

Group, an auction chain that he sold to Manheim.

Hecker was sentenced to 10 years in prison in 2011 in a high-profile fraud case.

By that time, Hecker had sold off all his dealerships and had declared bankruptcy. He had also been involved in an auto accident and his wife had filed for divorce.

Hecker was sued by the captive finance arms of Ford and Chrysler in 2009. He was also sued by a pair of banks in Fargo, N.D. Bureau spokesman Justin Long said in an email that the reason for an inmate’s sentence reduction “is not always public information, such as in this case.”

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Dealer Shoots Man over Check SAN ANTONIO (AP) – A San Antonio used-car dealer has been arrested in the fatal shooting of a customer who allegedly paid for a vehicle using a bogus check.

Officer Doug Greene says Munir Ayyoub Ammari was calling San Antonio police on April 25 to report that a driver bought a car using a fraudulent check – when the pur-

chaser drove by.

Police say Ammari got into a vehicle and chased the buyer, forcing a confrontation in a store parking lot. The men argued and the victim was shot.

Witnesses flagged down nearby officers.

The victim’s name wasn’t immediately released.

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5/9/16 4:08 PM

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5/9/16 12:09 PM

18 • May 16, 2016

USED CAR NEWS

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“The level of trust is directly linked to the level of interest in a new technology among automobile buyers,” Kolodge said. “Acceptance can be increased with exposure over time and experience with automated technologies. But trust is fragile and can be broken if there is an excessive number of incidents with automated vehicles.”

For example, she cited a February accident in California where Google’s self-driving Lexus SUV drove into the side of a bus at low speed.

The Tech Choice Study, now in

its second year, was conducted in February through March of this year and was based on an online survey of more than 7,900 consumers who purchased or leased a new vehicle in the past five years.

The study examined consumer awareness, interest and price elasticity of various future and emerging technologies by vehicle make and consumer demographic. The major technology categories analyzed in the study included entertainment and connectivity, comfort and convenience and driving assistance.

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5/9/16 11:28 AM

Your source for quality, value, selection: Chase.

A broad selection of pre-owned vehicles from an industry leader.

June 2016 Chase High Lines, featuring Jaguar Land Rover Financial Group

Chase

Manheim Milwaukee June 1, 29 262-835-4436

ADESA Atlanta June 1, 29 770-357-2277

Columbus Fair AA June 8, 15 614-497-2000

Manheim Pennsylvania June 9, 10, 23, 24 800-777-2053

ADESA Boston June 10 508-626-7000

ADESA Boston June 3, 10, 17 508-626-7000

Manheim Atlanta June 9, 22, 23 404-762-9211

Manheim Phoenix June 2, 9, 16, 23, 30 623-907-7000

ADESA Golden Gate Manheim Nashville June 21 June 8 209-839-8000 877-386-5004

ADESA Charlotte June 9, 23 704-587-7653

Manheim Dallas June 1, 15, 29 877-860-1651

Manheim Pittsburgh June 1, 29 724-452-5555

Manheim Atlanta June 22 404-762-9211

Manheim Orlando June 1, 29 800-337-8491

ADESA Cincinnati/Dayton June 7 937-746-4000

Manheim Denver June 1, 29 800-822-1177

Manheim Riverside June 2, 28, 30 909-689-6000

Manheim Dallas June 1 877-860-1651

Manheim Pennsylvania *June 9, 23 800-777-2053

ADESA Golden Gate June 7, 21 209-839-8000

Manheim Detroit June 16, 23 734-654-7100

Manheim Seattle June 22 206-762-1600

ADESA Houston June 8, 22 281-580-1800

Manheim Fredericksburg June 2, 16, 30 540-368-3400

Manheim Southern CA June 9, 23 909-822-2261

ADESA Indianapolis June 7, 21 800-925-1210

Manheim Milwaukee June 1, 15, 29 262-835-4436

Manheim Tampa June 23 800-622-7292

ADESA Kansas City June 7, 21 816-525-1100

Manheim Minneapolis June 22 763-425-7653

Southern AA June 1, 29 860-292-7500

ADESA Lexington June 16 859-263-5163

Manheim Nashville June 8, 14, 15 877-386-5004

ADESA New Jersey June 23 908-725-2200

Manheim Nevada June 10 702-361-1000

ADESA Tulsa June 10 918-437-9044

Manheim New Jersey June 1, 15, 29 609-298-3400

ADESA Washington DC June 1, 29 703-996-1100

Manheim New Orleans June 15 985-643-2061

Brasher’s Salt Lake June 14 801-322-1234

Manheim Orlando June 1, 7, 14, 21, 28, 29 800-337-8491

Choose Chase on ADESA.com and OVE.com for quality bank-sourced vehicles.

Contact auctions directly for current sale information.

Manheim Riverside June 2, 30 909-689-6000

*Only Jaguar and Land Rover vehicles will be sold on June 9. All other high lines, excluding Jaguar Land Rover, will be offered on June 23.

Mazda Capital Services ADESA Boston June 3, 17 508-626-7000

Manheim Detroit June 16, 23 734-654-7100

ADESA Golden Gate June 7 209-839-8000

Manheim Fredericksburg Manheim Pennsylvania June 16 June 10, 24 540-368-3400 800-777-2053

ADESA Houston June 22 281-580-1800

Manheim Milwaukee June 15 262-835-4436

Manheim Pittsburgh June 1, 29 724-452-5555

Columbus Fair AA June 15 614-497-2000

Manheim Nashville June 15 877-386-5004

Manheim Riverside June 28 909-689-6000

Manheim Atlanta June 23 404-762-9211

Manheim New Jersey June 1, 15, 29 609-298-3400

Manheim Seattle June 22 206-762-1600

Manheim Orlando June 7 800-337-8491

Subaru Motors Finance ADESA Boston June 17 508-626-7000

Manheim Fredericksburg Manheim Pittsburgh June 2, 30 June 1, 29 540-368-3400 724-452-5555

Brasher’s Salt Lake June 14 801-322-1234

Manheim Milwaukee June 1, 29 262-835-4436

Manheim Seattle June 22 206-762-1600

Columbus Fair AA June 8 614-497-2000

Manheim New Jersey June 15 609-298-3400

Manheim Southern CA June 9 909-822-2261

Manheim Dallas June 15 877-860-1651

Manheim Orlando June 28 800-337-8491

Southern AA June 1, 29 860-292-7500

Manheim Detroit June 16, 23 734-654-7100

Manheim Pennsylvania June 10 800-777-2053

*The tradename “Subaru Motors Finance” and the Subaru logo are owned / licensed by Subaru of America, Inc. and are licensed to JPMorgan Chase Bank, N.A. (“Chase”). Retail/ Reta Loan and lease accounts are owned by Chase. *The Jaguar word mark, the Jaguar logo, and Jaguar Financial Group are trademarks of Jaguar Land Rover Limited and any use by Chase is under license. The Land Rover word mark, the Land Rover and Oval logo, and Land Rover Financial Group are trademarks of Jaguar Land Rover Limited and any use by Chase is under license. Retail / Loan and lease accounts are owned by Chase. *The tradename "Mazda Capital Services" as well as the Mazda and Mazda Capital Services logos are owned by Mazda Motor Corporation or its affiliates and are licensed to Chase. Retail / Loan and lease accounts are owned by Chase. ©2016 JPMorgan Chase Bank, N.A. Member FDIC (16-032) 06/16

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5/9/16 9:33 AM

20 • May 16, 2016

PEOPLE IN THE NEWS KAR Announces New Unit, Promotions

for directing the organization’s investor budgeting, KAR Auction Ser- relations, forecasting, investvices Inc. announced ment of funds, and cash that Mike Eliason has been named vice presi- management activities. dent of investor rela- He will also continue to lead the company’s financial planning and analysis initiatives.

Eliason joined the KAR group of companies in 2003 as a controller for ADESA Impact, and later was promoted to vice president of financial planning and analysis for KAR Auction Services.

Prior to his time with KAR, Eliason served in Mike Eliason a variety of business detions and treasurer. velopment and finance Eliason, who most roles with ALLETE, recently served as vice ADESA’s former parent president of financial company, Enbridge and planning and analy- KPMG. Eliason earned sis, will report directly his bachelor’s degree in to Eric Loughmiller, accounting from Saint executive vice presi- John’s University, and dent and chief financial his Master of Busiofficer of KAR. ness Administration Carolina_Summer-UCNmay16.pdf 5/6/16 11:20 of In this new role, Elia- from the 1University son will be responsible Alberta.

KAR also announced the formation of a new Data Science Solutions Group (KAR DataSci).

Dr. Huey Antley will serve as vice president and chief data scientist of the new group. Antley, who most recently held the role of vice president of marketing analytics for KAR subsidiary Automotive Finance Corp., will report directly to KAR chief operating officer Don Gottwald.

Antley joined the KAR group in 2014 from Mitchell International, a provider of software solutions for the property and casualty insurance industry, where he served as director of analytics for Mitchell’s ClaimsLab. Prior to Mitchell, he was chief data scientist for The Walt Disney Co.’s Customer Data Environment.

AM Antley has more than 30 years of experience

Hang Ten for Carolina’s Favorite Summer Sales!

in applying data science, including roles at GMAC Financial Services (now Ally), HSBC Auto Finance and Alltel Information Services.

KAR’s wholesale auction subsidiary,

Jason Ferreri ADESA, has named Jason Ferreri as executive vice president of online services for ADESA U.S. Ferreri will report to Stéphane St-Hilaire, president and CEO of ADESA, and Peter Kelly, president of the KAR Digital Services Group.

In this role, Ferreri will oversee the strategy, adoption and execution of the company’s online initiatives.

This includes online auction platforms such as ADESA.com, ADESA DealerBlock and ADESA LiveBlock as well the OPENLANE private-label online sales platform the company builds and manages for many major vehicle manufacturers.

Ferreri has been with ADESA since 2004, and has held a number of management roles, including vice president of e-business sales and operations, executive director of sales for national accounts and senior vice president of commercial accounts. Most recently, he served as ADESA’s senior vice president of commercial sales.

Previously he held vehicle-remarketing positions at companies

USED CAR NEWS

such as MBF, Chrysler Financial and Chase Auto Finance.

Transporter Fills Positions

MetroGistics has announced staff promotions for Brittany Twist, Alisha Bray and Alycia Lamartina.

Twist is now claims manager, and Bray and Lamartina are both operations managers.

Along with this promotion, Twist is on track to receive her Certified Insurance Counselor designation from the National Alliance for Insurance Education & Research.

Bray’s career with MetroGistics began after her 2011 graduation from Missouri State University.

Lamartina is a thirdgeneration logistics dispatcher, following her father and grandfather.

JUNE 1 –JULY –JULY 20 st

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5/9/16 3:39 PM

USED CAR NEWS

May 16, 2016 • 21

RETAIL MARKETS CALIFORNIA

Rey Guluarte, owner, Autos Guluarte Inc., El Centro, Calif.: “I’ve been in the same location for 30 years. Before that, I was in Santa Cruz, Calif., for five years.

“We have one location.

(Our family) used to have four, but all my brothers retired. I’m waiting to do that, too.

“Normally, I keep 48 to 50 units. Now I’ve dropped it to 30.

“El Centro is a fairly small farming community close to the border of Mexico.

“If I can sell 10 a month, I’m happy. The economy changed in 2009 and 2010.

That dropped everything.

“We’re about 70 percent buy-here, pay-here.

“We only finance for a year. (We’re phasing out buy-here, pay-here) as I look to retire.

“To (finance a car through us) we ask for 50 percent down and 50 percent in the next year. But the last couple of years, the economy

has been bad. The people are using tax returns to pay (other) bills.

“The average car is $6,000 (retail).

“We don’t really have bad customers. The bigger down payment means the customer doesn’t want to lose (that down payment).

“I get my vehicles from ADESA Sacramento, Brasher’s Sacramento, Manheim (San Francisco) and other auctions.

“We carry 70 percent automobiles and 30 percent trucks.

“We are not going to be cheap with (reconditioning). We average about $350. We sell the car with a 30-day, 1,000-mile warranty. But even if the car is out of warranty – and something serious happens – we’ll see how we can help the customer.

“We carry model years 2000 to 2010. Mileage is all over, depending on what the customer wants. We’ve got some cars from 50,000 to 70,000 miles, but not too

many of those. I don’t care about the mileage, as long as the car is clean.

“We recently sold a 2003 Toyota Matrix. It had 190,000 miles. We sold it for $4,895.”

IOWA

Tab Miller, owner, Preowned Solutions, Urbandale, Iowa: “We’ve been in business 10 years. We have one location.

“Currently, we probably have 50 to 60 (in stock). I’d say we have about 10 more than we did last year at this time.

“On average, I would say we sell about 30 per month.

We’re ahead of where we were last year at this time.

Last year we were probably more in the 20 to 25 range.

“The economy is helping.

We’ve finally settled in here, since we’ve been at this location for five years. We’ve just found a good mix. Just like anything else, it’s not what you thought it (would be) to begin with, but we’ve

Compiled by Jeffrey Bellant kind of adapted our inventory to what seems to be selling here. Hard work has a way of paying off.

“Our inventory comes from pretty varied (sources). We’re probably buying less than we ever have from physical auctions. But we are doing a lot of online auctions.

“We’re reaching quite a (distance). It’s surprising the number of cars we ship in from out of state to make the right fit for us. We also do some direct buying from corporations and some lease companies. We do buy from some individuals as well.

“We sell straight retail. No subprime or buy-here, payhere.

“I think our average retail price is up from what it was before. I’m guessing it’s in the mid- to upper teens.

“The average mileage of (our cars and trucks) is probably 50,000 to 60,000.

The average model year is probably ’10 or ’11.

“Cars are probably 35 percent of what we see. Trucks

are probably 40 to 45 percent. The balance is SUVs. “Part of our success has been catering to truck (buyers). We’ve got the clean, late-model trucks and vans that seem to be (used) in the service industry. They are very popular right now for the up-and-coming smallbusiness people that aren’t buying new. We’ve kind of tapped into that market.

“Our truck and van market is driven very strongly by domestics. I want to say 70 percent of our inventory is domestic and 30 percent is import.

“Our average reconditioning costs are probably higher than most. I’m a firm believer in full reconditioning. That first impression cannot be recreated.

“The last one we sold was a 2014 Toyota Camry. It had 16,000 miles and sold for $17,900.

“Our biggest struggle right now is finding employees.

Iowa is boasting a very low unemployment rate, so it makes it hard.”

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22 • May 16, 2016

WHOLESALE MARKETS GEORGIA

Donnie Bazemore, general manager, Southeastern Auto Auction of Savannah, Savannah, Ga.: “We’ve been in business for 20 years. This is our 20th anniversary. We’ll celebrate that in August.

“We have four lanes and run all four during our dealer sale on Wednesday. We also have a public sale on Thursdays where we’ll run two lanes.

“Right now, we’re running about 650 cars on Wednesday. We’ll run 250 on Thursdays.

“The (dealer sale) volume is about a 7-percent increase compared to last year.

“It was a fast tax season.

But during November and December, we had a 15-percent increase.

“Conversion rates have been in the high 50s (percent). That’s about the same as this time last year.

“We’re (drawing) about 300 dealers in the lanes for sales. That’s about the same as last year.

“Our dealers say they are doing well. It seems like we have a lot of people that are all looking for the same cars, you know?

“It’s that $4,000 to $8,000 stuff. That’s what everyone seems to be looking for.

“Everybody’s doing pretty well. Franchise guys are doing great. We have more franchise dealers than ever buying from here.

“Our fleet-lease department has seen our biggest increase. It’s probably 25 percent of our business.

Katie Rushing (national remarketing manager) said the department is up 60 percent from last year. Some of our big consignors are Navy Federal, Consolidated Asset, Enterprise and U.S. Auto Cash.

“One reason for the increase is that we put a big effort into it. We also got more involved in the National Auto Auction Association. You get more connections.

“Plus we’re advertising with your publication. It’s

helped out a bunch.

MONTANA “We do a power sports sale Terry Scheetz, general every week (Wednesday) at sales manager, Auto Auc9:30 a.m. It’s smaller since tion of Montana, Billings, it’s every week. So we’ll av- Mont.: erage 10 a week. Mainly, “We’re going on our 13th we’re selling motorcycles year. We had a tremendous and campers. Those are do- year in 2015. One of the best ing really well. We also sell years we’ve had since we’ve golf cars. been here.

“We run an in-op sale, too.

“We’re running four lanes.

We run 35 a week.

Recently, we’ve been run“Our average price in ning 700 to 800 cars on two the dealer sale is $7,500 to of the four weeks. On the $8,000. That’s gone up. other two weeks, it’s 600 – “We’re having a lot of luck give or take. with imports, specially Mer“Volumes, I think, are up cedes and BMW. They’re 1,300 (compared to this kind of crazy. time last year). Our sales “We’ve got a lot of those percentages will be 50 per(import) dealers sending cent, give or take. their trades out here and “It’s because of Canadian they’re selling almost every- trades. We have one guy thing they bring in. who runs 200 a week with “Naturally trucks are do- us. We’ve got several (othing well. ers) who each run 60 to 80.

“I feel good. We’ve got a We’ve got one lane just for new salesperson and she’s the Canadian trades. The working the southern part dollar has changed a little of Georgia and she’s getting bit, so you’re going to see good results. that slow down.

“The Bakken (oil busi“We’re in a big growth peness) slowed down. riod. She’s got a lot of new BelAir_UCNmay16.pdf 1 5/5/16 We’re 6:28 PM still doing a lot of business dealers signed up.”

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Compiled by Jeffrey Bellant out of there, but not like it was. Now the Canadian business has kicked in.

“We’re just kind of fortunate to be where we are.

“We get 150 to 200 dealers in the lanes. But we’re doing a lot more on the Internet.

We use Ringman and Pipeline. We’re probably doing a third of our business on the Internet.

“Dealer consignment is 60 to 70-percent (of volume).

Dealers said they’re slow, but we’re selling. The newcar stores are doing fine.

“Our fleet-lease is steady, “We have a GSA sale. We’ll have 80-plus running at the end of this month. That sale is back up to once a month.

Generally it’s 60 to 80 (units).

“Those units can be anything from big trucks that come off the Air Force base, to buses. It’s a little bit of everything, from passenger cars to heavy-duty trucks.

Everything is 2009 and up, with 50,00 to 60,000 miles.

“Average sale price on the block is about $12,600.”

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May 16, 2016 • 23

ACTUAL WHOLESALE AND PROJECTED RESIDUAL VALUES MAY 2016

2014 MODELS

SOURCE: BLACK BOOK

Recorded Figures

Projected Figures

DOMESTIC CARS Cadillac CTS 3.6 Premium 4D Sedan Chevrolet Cruze LS 4D Sedan Chevrolet Impala LS 4D Sedan Chrysler 300 base 4D Sedan Chrysler 200 Touring 4D Sedan Ford Focus SE 4D Sedan Ford Mustang base 2D Coupe Ford Taurus SEL 4D Sedan Lincoln MKS 4D Sedan IMPORT CARS BMW 3-Series 328i 4D Sedan BMW 7-Series 750Li 4D Sedan Honda Accord LX 4D Sedan Hyundai Sonata GLS 4D Sedan 2.4 Lexus ES 350 4D Luxury Sedan Mercedes-Benz E Class E350 4D Luxury Sedan Mitsubishi Lancer ES 4D Sedan Nissan Altima base 4D Sedan Nissan Altima S 4D Sedan 3.5 Nissan Sentra S 4D Sedan Toyota Camry LE 4D Sedan Toyota Corolla LE 4D Sedan Volkswagen Jetta SEL 4D Sedan

May ‘15 36,700 12,200 16,900 19,950 12,850 12,450 18,400 18,200 25,200 May ‘15 29,000 63,400 17,350 14,500 30,200 38,400 11,050 13,850 17,650 12,800 15,550 13,950 16,450

Nov ‘15 34,500 10,400 15,750 17,700 10,700 9,950 13,900 15,250 21,800 Nov ‘15 24,500 57,200 15,200 12,050 28,150 34,200 9,550 11,600 14,200 10,200 13,300 11,950 14,200

May ‘16 33,700 9,700 15,000 15,700 10,200 9,800 14,500 14,900 20,500 May ‘16 20,400 48,900 15,000 11,100 24,300 29,700 8,950 11,900 13,800 10,050 12,950 11,500 13,300

May ‘17 27,950 7,975 12,800 13,325 8,550 8,050 12,200 12,800 17,300 May ‘17 17,875 41,600 12,650 9,675 20,400 24,850 7,400 9,900 11,850 8,250 11,500 9,675 11,000

May ‘18 23,200 6,700 10,925 11,375 7,275 6,725 10,400 10,950 14,825 May ‘18 14,975 34,775 10,625 8,300 17,025 21,250 6,325 8,325 10,100 6,900 10,000 8,250 9,175

TRUCKS Cadillac Escalade base 4D SUV AWD Cadillac SRX Luxury 4D SUV AWD Chevrolet Equinox LS 4D SUV FWD Chevrolet Silverado 1500 LT Crew Cab 4WD Chevrolet Tahoe LS 4D SUV 4WD Dodge Grand Caravan SE Wagon Ford Edge SEL 4D SUV FWD Ford Escape SE 4D SUV 4WD Ford Explorer XLT 4D SUV 4WD Ford F150 XLT Supercab Ford Flex SEL 4D SUV FWD Honda CR-V LX 4D SUV AWD Honda Odyssey LX Wagon Honda Pilot EX-L 4D SUV 4WD w/RES Jeep Grand Cherokee Laredo 4D SUV 4WD Jeep Wrangler Unlimited Sahara 4D SUV 4WD Kia Sportage LX 4D SUV FWD Nissan Murano SL 4D SUV AWD Ram 1500 SLT Crew Cab Toyota 4Runner SR5 4D SUV 4X4 V6 Toyota Tacoma Prerunner SR5 Double Cab V6

May ‘15 47,050 33,050 16,750 29,000 30,500 15,500 21,600 19,950 30,100 24,500 24,500 19,550 21,700 29,200 25,000 32,350 15,150 24,800 25,700 30,150 24,150

Nov ‘15 47,000 32,250 14,200 29,000 31,000 14,050 18,650 17,050 27,300 23,500 23,400 18,350 19,900 30,550 23,900 30,350 14,500 22,800 25,300 29,000 24,350

May ‘16 41,950 27,100 13,200 27,000 29,300 13,100 18,500 15,450 25,600 22,000 20,800 17,200 19,100 29,400 22,300 28,500 13,500 22,525 23,100 27,750 24,150

May ‘17 35,975 23,675 10,400 23,050 24,625 10,825 15,350 13,125 21,325 18,725 18,025 14,725 16,050 25,075 18,850 24,100 11,725 18,550 20,525 23,700 20,575

May ‘18 30,900 20,625 8,450 19,725 20,525 8,900 12,825 11,000 17,775 15,875 15,600 12,575 13,475 21,000 15,575 20,225 10,025 15,475 18,100 19,975 17,450

2012 MODELS DOMESTIC CARS Buick LaCrosse 4D Sedan Cadillac CTS 3.6 4D Sedan Chevrolet Cruze LS 4D Sedan Chevrolet Impala LS 4D Sedan Chrysler 300 base 4D Sedan Chrysler 200 Touring 4D Sedan Ford Focus SE 4D Sedan Ford Mustang base 2D Coupe Ford Taurus SEL 4D Sedan Lincoln MKS 4D Sedan IMPORT CARS Acura TL base 4D Sedan BMW 3-Series 328i 4D Sedan BMW 7-Series 750Li 4D Sedan Honda Accord LX 4D Sedan Hyundai Sonata GLS 4D Sedan 2.4 Lexus ES 350 4D Luxury Sedan Mercedes-Benz E Class E350 4D Luxury Sedan Mitsubishi Lancer ES 4D Sedan Nissan Altima base 4D Sedan Nissan Altima S 4D Sedan Nissan Sentra base 4D Sedan Toyota Camry LE 4D Sedan Toyota Corolla LE 4D Sedan Volkswagen Jetta SEL 4D Sedan TRUCKS BMW X3 XDrive28i 4D SAV Cadillac Escalade base 4D SUV AWD Cadillac SRX Luxury 4D SUV AWD Chevrolet Colorado LT Crew Cab 4WD Z85 Chevrolet Equinox LS 4D SUV FWD Chevrolet Silverado 1500 LT Ext Cab 4D Chevrolet Tahoe LS 4D SUV 4WD Dodge Grand Caravan SE Wagon Ford Edge SEL 4D SUV FWD Ford Escape XLT 4D SUV 4WD Ford Explorer XLT 4D SUV 4WD Ford F150 XLT Supercab Ford Flex SEL 4D SUV FWD Honda CR-V LX 4D SUV AWD Honda Odyssey LX Wagon Honda Pilot EX-L 4D SUV 4WD w/RES Jeep Grand Cherokee Laredo 4D SUV 4WD Jeep Wrangler Unlimited Sahara 4D SUV 4WD Kia Sportage LX 4D SUV FWD Nissan Murano SL 4D SUV AWD Ram 1500 SLT Crew Cab Toyota 4Runner SR5 4D SUV 4X4 V6 Toyota Tacoma Prerunner SR5 Double Cab V6 23_UCN.indd 1

Recorded Figures May ‘15 15,500 18,650 10,000 9,300 15,700 10,150 9,750 14,400 14,000 19,300 May ‘15 18,600 21,000 41,000 12,300 11,250 21,100 26,200 8,800 10,200 11,500 9,200 12,850 10,650 12,700 May ‘15 26,200 35,400 23,550 19,100 11,250 21,000 25,500 11,000 18,600 14,600 24,700 20,000 20,000 16,000 16,700 25,250 21,600 27,600 12,700 21,100 21,500 25,850 22,250

Nov ‘15 14,350 18,000 8,600 7,800 13,750 8,300 8,000 11,600 11,950 16,600 Nov ‘15 17,100 18,600 35,800 10,650 8,900 19,800 23,200 7,400 9,000 10,300 7,850 11,100 9,200 10,900 Nov ‘15 24,300 32,800 22,800 18,550 10,300 20,700 25,400 10,100 16,900 13,700 23,150 20,200 18,500 15,200 15,300 25,050 21,000 26,100 11,700 20,050 21,900 24,900 22,000

May ‘16 12,800 16,400 7,350 7,850 12,550 7,850 6,900 11,300 11,400 15,000 May ‘16 15,750 16,200 30,600 10,300 8,150 17,700 20,200 6,400 8,600 9,300 6,950 10,500 8,300 9,600 May ‘16 19,500 30,400 20,450 16,450 9,900 19,200 23,300 9,300 14,250 11,950 19,500 16,800 15,500 13,450 13,550 22,900 18,750 24,500 10,500 18,950 18,500 23,900 21,125

Projected Figures May ‘17 10,925 13,575 6,150 6,625 10,775 6,400 5,825 9,375 9,675 12,850 May ‘17 12,550 13,325 26,425 8,700 7,075 14,800 16,750 5,450 7,275 7,925 5,925 9,325 6,950 8,200 May ‘17 16,900 25,375 17,375 14,450 7,700 16,150 19,525 7,575 11,950 10,300 16,450 14,650 13,525 11,525 11,900 19,825 15,875 20,075 9,225 15,475 16,725 20,050 17,600

May ‘18 9,250 11,175 5,150 5,625 9,300 5,225 4,875 7,900 8,175 10,975 May ‘18 10,275 10,825 22,125 7,350 6,050 12,525 13,825 4,575 6,125 6,725 4,975 8,100 5,850 6,875 May ‘18 14,275 21,425 14,625 12,250 6,200 13,275 16,150 6,225 9,950 8,675 13,800 12,325 11,575 9,800 10,275 16,700 13,300 16,400 7,825 12,800 14,575 16,450 14,650

2013 MODELS DOMESTIC CARS Buick LaCrosse 4D Sedan Cadillac CTS 3.6 4D Sedan Chevrolet Cruze LS 4D Sedan Chevrolet Impala LS 4D Sedan Chrysler 300 base 4D Sedan Chrysler 200 Touring 4D Sedan Ford Focus SE 4D Sedan Ford Mustang base 2D Coupe Ford Taurus SEL 4D Sedan Lincoln MKS 4D Sedan IMPORT CARS Acura TL base 4D Sedan BMW 3-Series 328i 4D Sedan BMW 7-Series 750Li 4D Sedan Honda Accord LX 4D Sedan Hyundai Sonata GLS 4D Sedan 2.4 Lexus ES 350 4D Luxury Sedan Mercedes-Benz E Class E350 4D Luxury Sedan Mitsubishi Lancer ES 4D Sedan Nissan Altima base 4D Sedan Nissan Altima S 4D Sedan 3.5 Nissan Sentra S 4D Sedan Toyota Camry LE 4D Sedan Toyota Corolla LE 4D Sedan Volkswagen Jetta SEL 4D Sedan TRUCKS BMW X3 XDrive28i 4D SAV Cadillac Escalade base 4D SUV AWD Cadillac SRX Luxury 4D SUV AWD Chevrolet Equinox LS 4D SUV FWD Chevrolet Silverado 1500 LT Ext Cab 4D Chevrolet Tahoe LS 4D SUV 4WD Dodge Grand Caravan SE Wagon Ford Edge SEL 4D SUV FWD Ford Escape SEL 4D SUV 4WD Ford Explorer XLT 4D SUV 4WD Ford F150 XLT Supercab Ford Flex SEL 4D SUV FWD Honda CR-V LX 4D SUV AWD Honda Odyssey LX Wagon Honda Pilot EX-L 4D SUV 4WD w/RES Jeep Grand Cherokee Laredo 4D SUV 4WD Jeep Wrangler Unlimited Sahara 4D SUV 4WD Kia Sportage LX 4D SUV FWD Nissan Murano SL 4D SUV AWD Ram 1500 SLT Crew Cab Toyota 4Runner SR5 4D SUV 4X4 V6 Toyota Tacoma Prerunner SR5 Double Cab V6

2011 MODELS DOMESTIC CARS Buick LaCrosse CX 4D Sedan Cadillac DTS 4D Sedan Chevrolet Cruze LS 4D Sedan Chevrolet Impala LS 4D Sedan Chrysler 300 base 4D Sedan Chrysler 200 Touring 4D Sedan Ford Focus SE 4D Sedan Ford Mustang base 2D Coupe Ford Taurus SEL 4D Sedan Lincoln Town Car Signature Limited 4D Sedan IMPORT CARS Acura TL base 4D Sedan BMW 3-Series 328i 4D Sedan BMW 7-Series 750Li 4D Sedan Honda Accord LX 4D Sedan Hyundai Sonata GLS 4D Sedan 2.4 Lexus ES 350 4D Luxury Sedan Mercedes-Benz E Class E350 4D Luxury Sedan Mitsubishi Lancer ES 4D Sedan Nissan Altima base 4D Sedan Nissan Altima S 4D Sedan Nissan Sentra base 4D Sedan Toyota Camry LE 4D Sedan Toyota Corolla LE 4D Sedan Volkswagen Jetta SEL 4D Sedan TRUCKS BMW X3 XDrive28i 4D SAV Cadillac Escalade base 4D SUV AWD Cadillac SRX Luxury 4D SUV AWD Chevrolet Colorado LT Crew Cab 4WD Z85 Chevrolet Equinox LS 4D SUV FWD Chevrolet Silverado 1500 LT Ext Cab 4D Chevrolet Tahoe LS 4D SUV 4WD Dodge Grand Caravan Express Wagon Ford Edge SEL 4D SUV FWD Ford Escape XLT 4D SUV 4WD Ford Explorer XLT 4D SUV 4WD Ford F150 XLT Supercab Ford Flex SEL 4D SUV FWD Honda CR-V LX 4D SUV 4WD Honda Odyssey LX Wagon Honda Pilot EX-L 4D SUV 4WD w/RES Jeep Grand Cherokee Laredo 4D SUV 4WD Jeep Wrangler Unlimited Sahara 4D SUV 4WD Kia Sportage LX 4D SUV FWD Nissan Murano SL 4D SUV AWD Ram 1500 SLT Crew Cab Toyota 4Runner SR5 4D SUV 4X4 V6 Toyota Tacoma Prerunner SR5 Double Cab V6

Recorded Figures May ‘15 17,200 22,100 11,150 10,800 18,250 11,700 11,300 16,200 15,700 22,200 May ‘15 20,800 24,900 53,100 15,850 12,850 27,200 30,200 9,900 12,550 15,850 11,100 14,150 12,350 15,600 May ‘15 28,450 40,850 26,350 14,650 23,000 28,000 13,000 20,300 19,050 28,000 22,000 23,000 18,350 19,750 27,900 22,900 29,350 14,200 22,600 23,700 27,100 22,900

Nov ‘15 15,900 20,500 9,150 8,800 16,350 9,400 9,000 12,600 13,450 19,100 Nov ‘15 19,250 21,500 46,800 13,650 10,450 25,200 27,000 8,450 10,400 13,200 9,350 12,150 10,300 13,250 Nov ‘15 27,200 39,700 25,800 12,350 23,200 28,700 12,550 17,700 16,850 25,100 21,500 21,700 17,150 17,950 28,050 22,200 27,300 13,050 20,450 23,800 26,550 22,900

May ‘16 14,800 19,000 8,550 9,050 14,650 8,950 8,500 12,800 13,350 18,500 May ‘16 17,850 18,600 38,600 13,300 9,650 21,650 22,800 7,550 10,750 12,700 8,900 11,700 9,750 11,250 May ‘16 23,150 37,050 23,800 11,900 21,200 27,000 11,300 17,600 15,300 23,500 20,500 19,500 15,200 15,300 25,850 21,200 25,950 12,300 20,300 20,700 25,500 22,550

Recorded Figures May ‘15 11,350 15,700 8,700 8,200 13,950 9,050 7,400 12,800 12,400 18,850 May ‘15 16,600 16,900 32,800 10,950 9,750 17,700 23,000 7,700 8,900 10,200 7,600 10,600 9,450 11,000 May ‘15 23,000 31,100 20,000 16,800 9,800 19,000 23,500 9,500 16,000 11,350 21,700 18,300 17,000 13,400 13,900 21,300 20,300 25,500 11,300 18,650 18,500 24,450 21,150

Nov ‘15 9,750 13,100 7,050 6,750 11,950 7,350 6,000 10,600 10,300 16,125 Nov ‘15 15,200 14,600 28,500 9,400 7,500 16,650 20,600 6,200 7,650 8,950 6,300 9,150 7,900 9,400 Nov ‘15 21,450 28,800 19,500 16,350 8,700 18,700 22,700 8,800 14,100 10,450 20,150 16,000 14,500 13,250 12,700 20,850 18,800 24,050 10,200 17,500 18,300 23,250 20,750

May ‘16 8,650 11,350 6,500 6,500 10,400 6,700 5,400 10,100 9,500 10,825 May ‘16 13,900 11,400 23,300 9,150 6,900 14,800 17,600 5,300 7,150 7,650 5,100 8,500 7,100 7,900 May ‘16 16,550 26,950 15,700 14,900 8,500 16,800 20,800 7,800 11,800 9,325 16,500 14,000 12,500 11,550 11,300 18,200 15,950 21,650 8,700 14,450 16,000 22,000 19,300

Projected Figures May ‘17 12,350 15,875 6,950 7,625 12,550 7,375 6,850 10,850 11,300 15,350 May ‘17 14,425 15,575 33,700 11,200 8,375 18,150 19,575 6,300 8,800 10,775 7,275 10,375 8,200 9,425 May ‘17 19,750 31,250 20,425 9,125 17,675 22,525 9,275 14,350 12,975 19,475 16,900 16,825 12,975 13,525 22,450 17,725 21,650 10,575 16,625 18,400 21,625 18,950

May ‘18 10,450 13,400 5,800 6,500 10,775 6,125 5,625 9,300 9,575 13,075 May ‘18 11,950 12,725 28,725 9,450 7,175 15,125 16,875 5,325 7,350 9,125 6,075 9,000 7,000 8,175 May ‘18 16,700 26,500 17,450 7,300 15,000 18,650 7,650 11,825 10,825 16,175 13,775 14,450 11,050 11,825 19,150 14,625 18,050 8,925 13,800 16,275 18,000 16,075

Projected Figures May ‘17 7,300 9,250 5,325 5,450 9,225 5,475 4,475 8,475 8,025 10,425 May ‘17 10,950 9,925 21,150 7,675 5,975 12,500 14,550 4,575 6,000 6,525 4,475 7,550 5,950 6,450 May ‘17 14,650 22,350 13,675 12,850 6,450 14,250 17,400 6,375 10,025 7,925 14,025 11,950 10,800 9,775 9,875 15,925 13,575 18,250 7,675 12,575 14,400 18,550 16,225

May ‘18 6,200 7,625 4,400 4,600 8,075 4,450 3,800 7,150 6,775 9,525 May ‘18 8,850 8,550 18,425 6,475 5,100 10,675 12,025 3,950 5,075 5,550 3,950 6,575 5,000 5,350 May ‘18 12,425 18,750 11,825 10,750 5,125 12,000 14,300 5,250 8,400 6,650 11,850 10,050 9,125 8,225 8,475 13,750 11,400 15,100 6,550 10,450 12,225 15,300 13,125 5/6/16 1:15 PM

24 • May 16, 2016

DISCONNECTED JOTTINGS FROM When I was at school I used to love art. The subject took up a “double period” or the time for two normal lessons. I used to view it as an opportunity to avoid the

TONY MOORBY

caning from the headmaster.

Although it was an all-boys school, the art teacher was a lady named Miss Mather and her jaw dropped at the site of my colleague as she came

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

rigors of the more mundane lessons on math, English and so forth – a form of escapism, if you will.

It was held in one of the largest classrooms, designed for the purpose, housing tables rather than desks and there was a huge shallow sink in one corner for cleaning brushes and other equipment. I remember one occasion when one of my school friends used it to cool down his rear end after a severe

USED CAR NEWS

in to class. She sent him back to the headmaster for indecent exposure. I can’t imagine what would happen today – he would probably be sent away for psychological assessment, they would hold therapy for other students to overcome their discomfort of the scene and the authorities would fire the teachers for running an uncontrolled bawdy house. Not that a caning would take place today in the first place.

Raw materials were very basic in those days. We used to mix powdered poster paints with water and apply that mire to thick paper or draw with charcoal.

A substance called ‘plastercine’ was used for modeling and it stuck to your fingers like poop to a blanket and smelled almost as bad. By the end of the lesson we likely had as much of the materials attached to us as to any paper or else.

As time went by and proficiency improved we were given better materials to work with and we graduated to making lino cuts for reverse printing. Some surprisingly talented people created fabulous works for exhibition at various school events, fêtes and fairs.

At the age of 16, future studies were dictated by exam results which pointed you to one of three disciplines; arts, economics or sciences.

My twin brother and I were good at languages and art so our direction was ob-

vious and future subjects included German, French, English, social studies and of course, art.

By now, art classes were fairly serious and were elevated to art appreciation – a very broad look at the whole world of art and some art history.

The fascination was set and continues to this day.

My brother and I still like to visit art galleries wherever we go and whenever opportunities present themselves.

Now we’re both retired we’ve even considered going on an art holiday, perhaps in France – with food and wine thrown in. Could it get any better?

Robin still lives in England and has a studio at the bottom of his garden – very English! I’ve converted an upstairs room for the same

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

C R O S S WO R D

Digital version available at usedcarnews.com

By Miles Mellor

1

2

3

4 9

Across 1. Car body 5. Comfortable car type 9. Gasp 11. Saturn compact 13. Pointer on the dash 14. Small and economical cars 16. Pit stop can letters 17. Car owner’s pronoun 18. Ferrari and Fiat nationality 19. ___ record! 2 words 21. Camry ___ 23. Newport’s state, for short 25. Green, 2 words changeable, like some buyers 30. Erratically 31. Pontiac _____, 2 words 34. Wheel____

35. A green flag at the start of a race 36. Honda compact SUV 38. Allow 40. Jaguar competitor 43. It tells the state of the tire 47. Put together again 49. It’s paid on every legal car sale 50. Tire pressure measurement, abbr.

51. Time to arrive 52. Scionx xb & Nissan Cube description 53. Event where concept cars are often shown 54. Watch!

Down 1. Lincoln being revived 2. Aka Grandeur

purpose and disappear for hours painting acrylics or watercolors. I now have a storage facility that’s bursting at the seams with all my daubings.

I suppose it’s surprising that I did well in business with no formal economics training (though I did throw myself at every training course offered during my career), but I take more interest today in things that didn’t particularly excite me at school – history, geography, politics and economics – now fill my curiosity.

I even recently inquired about Vanderbilt University’s Advanced Liberal Arts and Science program, a part-time study course for late students like me. Unfortunately I didn’t qualify as I don’t have a bachelor’s degree. Maybe that’s next.

3. Moving cars off the lot 4. For this reason 5. Looks for bargains 6. Oil measuring equipment 7. Sweet!

8. Service activity 10. Halloween month, for short 12. Overtime, abbr.

15. Exclamation of mockery 16. Tin symbol 20. Kane of ‘’All My Children’’ 22. Not running 24. First letter in Z4 26. Hyundai compact 27. Auto sales datum 28. Carbon ___ parts 29. French for island 32. Mercedes Series, 2 words 33. Superbowl player award, abbr.

13

5

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18

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20

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16

25

8

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23

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24

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29

30 31

32

33

34

35

36 38

37

39 43

40 44

41

42

45

46

47

48

49

50 52

37. Beetle relatives 39. French for summer 41. Christmas tree decor 42. Computer programming creation 44. Observe 45. Hymn word 46. Car shaft 47. Bring a shine to 48. Once around Indy

51 53

54

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Solution to this puzzle in the 6/6/16 issue. Call 1.800.794.0760 for a FREE subscription.

24_UCN.indd 1

5/9/16 11:32 AM

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5/6/16 10:39 AM

26 • May 16, 2016

AROUND THE BLOCK

USED CAR NEWS

Compiled by Jeffrey Bellant

Features SALE BENEFITS CHILDREN’S CHARITY Auction High End Exotics

sale to give back to a very KCI Kansas City’s lanes hosted a deserving charity that offers supU.S. Marshals Service (USMS) sale port within our community,” said on April 29 that featured 25 highJeff Dunning, general manend, exotic vehicles. ager of Texas Lone Star Auto Flynn Jensen Co. partners with Auction. “Because of our dealKCI to service this USMS contract. ers’ overwhelming generosity and Both registered dealers and the support, the lives of the children general public attended the sale onin the Make A Wish community site and online via Edge Simulcast. will benefit.”

Bidders selected from an array of The event sale featured vehicles vehicles that included a Ford Musfrom TLSAA’s local dealerships, tang Cobra Jet, a Ferrari 430 Scudewith post-sale giveaways that ria, a Ford GT, a Mosler MT900S, a included a 65-inch Sony 4K McLaren 12C and 12 Ducati motorUltra HD television, two $500 cycles. cash drawings and raffle tick“Our KCI team worked tirelessly ets were sold for a 2016 Toyota to conduct one of the best auction Tacoma truck was drawn at the events I have ever been involved Make A Wish gala. with,” said Doug Doll, KCI Kansas “Our dealers were out in full City’s general manager. “I am so force for this sale, and I am proud proud to be a part of this team.”

MAKE A WISH: Jeff Dunning, (right), general manager of Texas Lone Star Auto Auction, to say that our employees put accepts a check from a dealer on behalf of the Make A Wish Foundation during an event. many hours of their own time KCI’s USMS sale concluded with 22 of 25 vehicles sold; the highest to make this a successful event,” The Texas Lone Star Auto special April sale event yielded said TLSAA sales manager Paula sale price came with a 2006 Ford Auction, an XLerate Group auc- over $15,800 for the organiza- McKinney.

GT that sold for $285,000. tion, asked dealers to open their tion that dedicates these funds to hearts and checkbooks recently for granting the wishes of children 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 a fundraising sale benefitting the with life-threatening illnesses.

Bellant. Mail: Used Car News, 24114 Harper Ave., St. Clair Shores, MI 48080.

Make A Wish Foundation. This “We hosted this special event Fax: (586) 772-9400 e-mail: jeff@usedcarnews.com

䘀䰀伀伀刀倀䰀䄀一 (VBSBOUFF 䘀䰀伀伀刀倀䰀䄀一 26_UCN.indd 1

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5/6/16 10:52 AM