HDAW 2006 UPDATE        ECONOMIC TRENDS     

ASSOCIATION NEWS            

FACTOID

HDAW 2006 UPDATE

Momentum is Building for Distributor Registration at Heavy Duty Aftermarket Week
 
To date, more than 211 distributor attendees representing 112 leading distributor firms have registered for the first-ever Heavy Duty Aftermarket Week (HDAW), Jan. 23-27, 2006 at the Mirage Hotel in Las Vegas. 

Given strong distributor interest in the conference program�s superb educational sessions, one-on-one business meetings, trade show and networking opportunities, HDDA and its partner sponsors have extended the special member registration discount from Dec. 15 to Dec. 23. All HDDA members registering by that date will pay $300, a 25 percent savings from the regular $400 conference fee. Some 210 exhibitors also have registered and will display their latest products and technology in more than 400 booths.
 
This week, 10 industry leaders representing the Council of Fleet Specialists, Heavy Duty America, HDDA, Heavy Duty Manufacturers Association, Heavy Duty Remanufacturing Group (APRA), National Wheel & Rim Association, Overseas Automotive Council, Power Heavy Duty, Service Specialists Association and TruckPride, mailed a letter inviting all member distributors to obtain the special rate for this conference that was developed by distributors for distributors. The mailing included the conference schedule with its array of leading industry speakers and panelists, testimonials from distributor attendees and a roster of participating distributor firms as of Dec. 9.  
 
All distributor members of the HDAW sponsor groups who register for HDAW are eligible to participate in the one-on-one business meetings at no additional charge. Senior executives from 91 manufacturers and 61 distributor firms have already registered for these important meetings. Distributor registration forms may be downloaded by visiting www.hdaw.org; or contact Rosemary Hall at 816-361-6588 or e-mail rhall@mema.org. Distributors interested in this valuable program should sign up as soon as possible and suppliers will be alerted about additional companies seeking meetings.
 
Members may register online at www.hdaw.org. For event updates, contact William T. Glasgow Inc. at 708-226-1300 or e-mail info@hdaw.org. For more information, contact HDDA executive director Lee Kadrich at 301-654-6664 or e-mail lee.kadrich@aftermarket.org. 

Distributor and Supplier Relationship is Focus of Heavy Duty Aftermarket Week General Session
 
Four heavy duty industry leaders will give their views on the important, inter-dependent relationship between distributors and suppliers during the General Session at Heavy Duty Aftermarket Week (HDAW).
 
�The HD Aftermarket � Past, Present and Future� is the theme of the general session to be held from 8 a.m. to 9:30 a.m., on Jan. 24. Dave Scheer, president, Inland Truck Parts Company and chairman of the HDAW Joint Operating Committee, and R. Pete Joy, president, Haldex NA Sales Division and chairman of the HD Aftermarket Manufacturers Council, will talk about the collaborative effort that led to the development of HDAW. Scheer and Joy will also explain how the HDAW comprehensive education program, aftermarket-focused trade show, one-on-one business meetings and networking opportunities will keep the distributor-supplier relationship central. 

Co-keynote speakers Tom Gosnell, president, ArvinMeritor CVS, and Bill Ryan, chairman and CEO, Point Spring and Driveshaft Company, will then share their experiences and views on the distributor-supplier relationship and discuss how solid relationships can benefit both industry segments. 

The general session is included in the HDAW conference registration fee, which also includes eight educational sessions, access to the trade show, one breakfast, two lunches and two happy hours. 

ECONOMIC TRENDS

DOT's Transportation Index Rises, Freight Index Drops

The Department of Transportation (DOT) reported recently that its transportation services index (TSI) for September rose 0.1 percent from August, but the freight index declined.

The September TSI rose to 111.6, DOT�s Bureau of Transportation Statistics said in its monthly report. The TSI for freight fell 0.6 percent to 111.8 in September from August. Compared with the same month a year earlier, the overall TSI rose 2.1 percent, while the freight index gained 0.9 percent, DOT said.

Source: Transport Topics, Dec. 6, 2005 

ASSOCIATION NEWS

AAIA Studies Independent Repair Shops Parts Purchasing Trends

Contrary to a perception that repair shops are buying more auto parts from new car dealerships, a new study by the Automotive Aftermarket Industry Association (AAIA) finds that independent mechanical repair shops purchased more than 72 percent of vehicle parts from traditional aftermarket sources.

The market research study, Repair Shop Parts Purchasing: Dealerships vs. Traditional Aftermarket, provides a two-part overview of the factors that influence mechanical and collision repair shops� parts purchasing decisions and includes a statistical analysis of their past and anticipated parts purchasing behavior. These statistics represent the results from a nationwide survey conducted of U.S. repair shops.

�Our members asked AAIA to study the notion that independent repair shops, in recent years, have begun to increase their parts purchases from dealerships,� said Kathleen Schmatz, AAIA president and CEO. �We found that more than 56 percent of mechanical repair shops purchase the same amount of parts from dealerships now as they did last year and expect to do the same next year.�

More than 83 percent of repair shops indicated that dealerships� prices are always or usually more expensive than non-dealership affiliated sources; and almost all repair shops purchase parts from traditional aftermarket sources because they have the parts needed and they deliver the parts quickly, according to AAIA.

Repair Shop Parts Purchasing: Dealerships vs. Traditional Aftermarket contains additional information on:

• Primary causes of the parts purchasing shift.
• Analysis of mechanical and electrical and collision repair shop parts purchases.
• Sources of parts purchases for import nameplate specialists.
• Average value of all repair shop parts purchases.
• Reasons for parts purchases from traditional aftermarket sources.
• Importance of factors in parts purchasing decisions.
• Comparison of dealership and traditional aftermarket prices.
• Reasons for increases in parts purchases from dealerships.
• Types of parts purchased from dealerships during the past year.

Repair Shop Parts Purchasing: Dealerships vs. Traditional Aftermarket is available in print format only. The price of the report is $295 for AAIA members and $795 for non-members. To purchase the report, contact AAIA at 301-654-6664 or visit www.aftermarket.org.

Be Car Care Aware PSA to Air During Meineke Car Care Bowl

While college football teams learned where they would be playing bowl games as a reward for a successful season, the �Be Car Care Aware� campaign also learned it will be making its own bowl game appearance. The Car Care Council�s 30-second �Be Car Care Aware� public service announcement (PSA) will air during the national broadcast of the Meineke Car Care Bowl on Dec. 31 on ESPN2 once each half.

�As it is for college football teams who earn bowl bids, this is a great way for the �Be Car Care Aware� campaign to end the year,� said Rich White, executive director, Car Care Council. �We want to thank Ken Walker and everyone at Meineke Car Care Centers for the donation of airtime for the PSA as well as their overall support of the campaign. This is the type of donation that can only help increase awareness of the campaign and give us great momentum as we head into 2006.�

The Meineke Car Care Bowl, which features South Florida of the Big East Conference taking on North Carolina State of the Atlantic Coast Conference, will take place in Charlotte, N.C. on Dec. 31 at 11 a.m. EST. In addition to the ESPN2 broadcast, the PSA will be shown multiple times on the in-stadium screen. Last year, more than 73,000 fans attended the game.

Online Training Now Available

AAIA has teamed up with the Total Training Network (TTN) to provide members with online learning. With more than 350 courses covering more than 25 topics ranging from sales and management, to customer service and negotiating, to personal development and motivation and many others. Courses average 30 minutes in length, and have available printed student materials, and after each course is a short 10 to 15-question quiz. A certificate is available upon training completion. The cost is $100 per user per company for a year of unlimited courses, and is open to AAIA members only.

For more information or to enroll in the courses, contact Barbara Clark at 301-654-6664, or e-mail barbara.clark@aftermarket.org. For more information on TTN, visit www.ttnlearning.com and click on the �Support� link for a list of available courses.

Hiring Plans Pick Up

U.S. employers expect to continue to add to payrolls in the first quarter of 2006, according to a closely-watched survey released this week by Manpower, the temporary staffing firm.

The Manpower quarterly survey of 16,000 employers found 23 percent of them expect to add to staff in the first quarter, while only 10 percent expect to trim their work force. The survey found stronger hiring patterns in store for the South and the West, while it saw little change in the Midwest and a slowing hiring outlook by employers in the Northeast.

Employers in six out of 10 industry sectors told the survey they expect minimal changes in hiring activity in the new year, including durable and non-durable goods manufacturing, wholesale and retail trade, education, public administration and the finance-insurance and real estate sector.

Sectors expected to see softer hiring include transportation, public utilities and services sectors, with the mining sector looking for a moderate decline in employment levels.

WELCOME NEW AAIA MEMBERS

Dec. 9-15, 2005

Wilson Auto Electric Ltd., Winnipeg (MB), Canada (AEA)
Trans World Marketing, East Rutherford, N.J. (Automotive Retail)
Jordan Exhaust Inc., Southern Pines, N.C. (AWDA)

FACTOID

More than 70 percent of consumers said it would take gasoline prices in excess of $3 a gallon before they would be motivated to replace their current vehicle with a more fuel-efficient alternative, according to a recent Cars.com survey that targeted the future effect of gas prices on consumer buying habits.

Source: PRNewswire, Dec. 13, 2005