Mid-South Auction is back in family ownership.
XLerate Group announced on Friday that the Rea family has repurchased XLerate’s Mid-South Auction in Pearl, Miss.
Mid-South, originally founded in 1972, was formerly owned by the Rea family and operated under the name of Rea Brothers Mid-South Auction (RBMSA) until being acquired by American Auto Auction Group (AAAG) in 2010. Rea Brothers’ became a member of the XLerate Group when XLerate acquired AAAG in 2014.
“Because of its strong industry reputation and market leadership, Rea Brothers’ was one of American Auto Auction Group’s initial acquisitions in 2010 and served as a cornerstone of AAAG’s buy-and-build strategy,” XLerate chief executive officer Cam Hitchcock said.
“Under XLerate’s brief ownership, Mid-South’s auction facility was rebuilt after an April 2014 tornado and received significant facility and technology upgrades,” Hitchcock continued.
“After weighing numerous strategic alternatives, we came to believe that this newly renovated sale can better serve Mississippi dealers in the hands of the Rea family,” he went on to say.
John Rea, the managing partner of Rea Brothers’ Mid-South Auction when it was sold to AAAG, added, “Our family owned and operated Rea Brothers’ Mid-South Auction for almost 40 years, and is proud of the brand and organization that we built through hard work, excellent customer service, and a clear sense of integrity and fairness.
“We are glad to have Mid-South Auction back in our family, and we look forward to continuing the personal level of dedication and involvement we have always had for our employees and our customers for four decades,” Rea said.
Ford Motor Co. announced Tuesday that all Ford Rangers from model years 2004 to 2006 are now recalled for potentially faulty driver-side airbag inflators. This follows news of an estimated 5-million-vehicle expansion of the series of Takata airbag inflator recalls revealed Friday
Ford's action affects a total of 391,394 Rangers, 361,692 of which are in the United States and its territories while 29,334 are in Canada.
A release from Ford says that the company is aware of one report of a death related to a Takata airbag deployment.
The National Highway Traffic Safety Administration discussed the expanded Takata recall in a conference call with the media on Friday, pointing to the fatality of a South Carolina man whose death was linked to an airbag rupture during a wreck involving his 2006 Ranger in S.C. in late December.
According to Gordon Trowbridge, NHTSA's communications director, the recall expansion is due to both this fatality, which he classified as a "field rupture" involving a Takata SDI model inflator, as well as test data showing ruptures in Takata PSDI-5 model inflators.
“That makes that crash the ninth Takata-related fatality in the United States and the 10th globally,” Trowbridge said. “All of these deaths are tragic. There is nothing that we at NHTSA can say or do that will lessen the pain for the affected families. And this latest news is a sad reminder of the immense scope of this problem and why we need to take unprecedented steps to resolve it.”
The model year 2004-2006 Rangers were already under recall for defects in their Takata-sourced passenger-side airbag inflators.
In email correspondence with Auto Remarketing, Trowbridge said that NHTSA believes that Takata's recent filing involving its PSDI-5 model inflators will affect Honda, Audi, BMW, Mercedes Benz, Saab and Volkswagen. The filing involving its SDI model infaltors are expected to affect Audi, Daimler Trucks, Ford, Mazda and Volkswagen.
Barrett-Jackson announced a five-year renewal of its on-site collector car insurance program.
Officials recapped Barrett-Jackson Endorsed Collector Car Insurance was introduced in 2009 in collaboration with the private client group division of American International Group Inc., (AIG), and is serviced by TDC Risk Management, an independent insurance agency.
Barrett-Jackson highlighted that auto enthusiasts across the country have taken advantage of the program since its inception.
The auction company explained the coverage, underwritten by the AIG member companies, was specially designed and priced for classic, antique, exotic, special interest, or limited-edition cars. It can provide customers with market appreciation coverage that can pay up to an additional 50 percent above the agreed value pricing, as well as diminution in value coverage for partial loss claims.
Claims are handled by individuals with expertise in the special requirements of restoring collector vehicles.
“AIG Private Client Group has enjoyed the privilege of partnering with the Barrett-Jackson team for several years now,” said Jerry Hourihan, president of AIG Private Client Group – U.S. and Canada.
“Thousands of Barrett-Jackson customers enjoy the broadest coverage, world class claims service and access to lifestyle-protecting AIG Private Client Group products,” Hourihan continued.
While auction attendees have on-site access to these insurance solutions, the program extends to vehicles that were purchased elsewhere. TDC Risk Management advisors also can assist Barrett-Jackson enthusiasts with their full range of personal insurance needs, such as homeowners or excess liability protection.
“We’ve seen incredible success across the board with the Barrett-Jackson Endorsed Collector Car Insurance,” said Craig Jackson, chairman and chief executive officer of Barrett-Jackson.
“It’s important for collectors to work with an agent and provider that can address more than just the cars in our garages, but also our whole lifestyle. I value it, our customers value it and that’s why we have this service in place,” Jackson went on to say.
Barrett-Jackson Endorsed Collector Car Insurance representatives will be on hand at all auction events and can also be reached at any time through www.barrett-jackson.com.
MyDealerOnline announced Wednesday that it bolstered its funding by receiving $1 million right before the start of the new year.
Having now received a total of $3.25 million in funding, the digital solution that allows dealers to broker wholesale inventory straight from their own websites says the additional funds will help it focus on increasing its subscriber base, encourage growth among its partnerships, and expand international efforts.
“MyDealerOnline helps dealers engage with more retail customers by offering greater inventory selection to a wider audience,” said Scott Stephens, the company’s vice president of business development.
According to MyDealerOnline, the B2B service provides dealers with access to greater inventory selection without increasing their working capital requirements or overhead availability. The service secures inventory from local auctions around Philadelphia, nationally and from auctions abroad.
To learn more, check out its site here.
Tom Adams, who has been president of Auction Insurance Agency and the chief executive of the AutoTec companies for over three decades, has moved into the role of AutoTec chairman.
Taking on the CEO role at AutoTec is Chuck Redden, who has been with the company since 2002.
Redden previously was the president of AutoTec’s AuctionACCESS product.
“For over 60 years, the AutoTec family of companies has been committed to providing high level service for our automotive industry partners,” said Tom Adams. “It is time for the next generation of leadership to continue that commitment and I am excited to work with Chuck and his team as we build towards the future.”
Some additional moves AutoTec made are:
— Ben Puckett is now president of the Auction Insurance Agency.
— Brandon Walton is senior vice president and chief operating officer for the Auction Insurance Agency.
— Donna Dukes, named senior vice president of operations for AuctionACCESS.
— Charlie Adams is now vice president of business development at AutoTec.
— Brent Gillis, named vice president of the Auction Insurance Agency.
ServNet Auction Group’s president Kevin Brown recently introduced the association’s board of directors.
Planning for a busy year ahead, the recently appointed Brown acknowledged the contributions of ServNet members past and present who are transitioning into new roles within the organization.
"It is an honor for me to serve as ServNet's president, and to work with some of the very best people in the auction industry who give tirelessly of their time and resources on behalf of our organization,” Brown said. “Their efforts ensure the continued success of ServNet as a whole as well as our individual auction members.”
Formerly the group’s president, Patty Stanley of both Carolina and Indiana Auto Auctions now serves as the chairman of the board. Ben Brasher, of Brasher’s Auctions, will serve as vice president, while Eric Autenrieth, of Indiana Auto Auction, is now the group’s treasurer.
Steve DeLuca, the general manager of Auto Auction of New England, and Rob Brasher, of Brasher’s Salt Lake Auto Auction, replace Bill Williams (Flint Auto Auction) as ServNet’s directors. Rob Thompson, of Mid-State Auto Auction, maintains his position on the board as a director.
DeLuca, named by Auto Remarketing as a member of 2015’s inaugural class of “Remarketing & Used-Car Industry’s 40 Under 40,” said, "It is an exciting opportunity to work in league with such a strong peer group on behalf of all the auctions in the ServNet group."
Growing up in the business, Rob Brasher looks forward to serving on ServNet’s board.
"As one of ServNet's founding members, Brasher's Salt Lake Auto Auction has enjoyed a long affiliation with the best independent auctions in the country," Brasher said. "As a member of the board of directors, I am looking forward to continuing the work started by my predecessors, ensuring that ServNet auctions offer an unmatched level of service to auto dealers, fleet and institutional accounts, and manufacturers across the country."
In addition to acknowledging the new board members, Brown also tipped his hat to others who have contributed to the board, including R. Charles Nichols, of BSC America, Bel Air Auto Auction and Tallahassee Auto Auction, who has served as a director, vice president, president and chairman of the board. Nichols now serves as a ServNet representative on the AutoIMS/AASC Board of Directors, along with Greg Mahugh, of the McConkey Auction Group, who assists on the AASC Finance Committee.
Doug Doll, of KCI Kansas City, will now serve as ServNet’s liaison to the IARA Board of Directors.
Brown also pointed to ServNet’s CEO Pierre Pons, and his team at TPC Management, to thank them for their support of the organization.
"Led by Pierre Pons, TPC Management has provided administrative support since 2008, and we look for that relationship to continue for a very long time," Brown said. "In facilitating leadership transitions as we move through two-year terms of office, TPC has enabled ServNet Auctions to flourish, commanding respect and prestige as a key voice and influence in the auction industry."
Pay heed, auctions, consignors and dealers: The National Auto Auction Association has an amended arbitration policy that will become effective Feb. 1 and covers a few handfuls of areas that could impact your business.
The association has also made changes to its structural damage policy and has a new flood, puddle or stream policy. Both of those are also effective Feb. 1.
In this summary of changes, NAAA also includes two notes on “Open Recall Awareness” and “Generic Condition Report ‘Is vs. Is Not.’”
NAAA will conduct training on damage analysis and arbitration this year on the following dates:
- March 22-23 at Manheim Riverside
- May 10-11 at Manheim Toronto
- June 21-22 at Manheim Dallas
- Aug. 23-24 at Manheim Pennsylvania
- Oct. 18-19 at Manheim Central Florida
More information on the policy’s changes can be found here. The full policy can be found on NAAA’s website.
The video above provides a summary of the changes, as well.
Insurance Auto Auctions announced Thursday the opening of its IAA Dundalk facility in Maryland.
One of five IAA locations in Maryland, the Baltimore-area facility adds to the company’s 170-plus locations in North America.
"The IAA Dundalk facility will enhance the company's presence in the greater Baltimore area by providing buyers and sellers with greater convenience and access to increased inventory," said John Kett, CEO and president, Insurance Auto Auctions, Inc. "We are committed to strategically expand our locations and this Maryland branch will support continued growth in the marketplace."
The IAA Dundalk facility, aimed at expanding the company’s capacity in the Maryland marketplace, sits on nearly 10 acres. Located at 8143 Beachwood Road, you can find out more about the IAA Dundalk branch at (410) 919-9763 or on its branch information page on www.iaai.com.
Auction sales of cars aged eight years or less hit a five-year high, and late-model auction sales climbed 12 percent.
That’s according to the latest issue of Guidelines from NADA Used Car Guide released Friday.
The report said there were 4.17 million auction sales of cars 8 years old or newer in 2015, which beat the prior-year figure by 5 percent.
The last time auction volume was that high was 2010, when 4.77 million units were sold.
NADA Used Car Guide said that a tad bit more than 3 million of those 2015 auction sales were late-model vehicles, which the company deems as vehicles 5 years old or less. In 2014, late-model auction sales were at 2.67 million, the report indicated.
Within late-model auction volumes, the large pickup seemed to be the star of the show.
At 258,093 auction sales, it was up 40 percent year-over-year — the biggest hike of any segment, NADA Used Car Guide said. It also increased its share of the late-model auction market by more than any other vehicle category.
Late-model subcompact cars (up 35 percent), compact cars (up 21 percent) and luxury subcompact/compact utilities (up 20 percent) also showed big surges in auction volume.
The segment with the most share of late-model auction volume was, once again, midsize cars at 19.7 percent (down from 21.3 percent a year earlier), according to the report. The second-place compact cars have gained some ground, climbing from 14.8 percent to 16 percent.
Of course, the late-model segment gaining the most ground was the aforementioned large pickup (its share was up 1.7 percentage points), but NADA Used Car Guide points out that that segment’s share of the market (8.6 percent) trails where it was six years earlier (9.6 percent).
The Columbus Fair Auto Auction has named a new director of dealer sales to start the new year.
As of Jan. 4, CFAA’s new director of dealer sales is Brent Branson, who will report to Tim French, the company’s vice president of sales.
“Brent brings a disciplined dimension to our team,” said Greg Levi, CFAA’s chief operating officer. “I have known Brent for years and his relationship skills are as good as his attention to detail. He focuses on the right things, be it customer development, employee mentoring, or operational efficiencies.”
Branson brings over 10 years of automotive industry experience to the position, including time spent as a buyer and as a team leader. Most recently, Branson was the senior buyer at CarMax, where he led teams at various auctions, including Columbus Fair and the CarMax dealership group.
“I am a car guy by trade, but my passion is making people successful,” Branson said.
Final days of this year’s Warren Young Sr. scholarships
In other auction news, the NAAA Warren Young Sr. Scholastic Foundation makes 12 scholarships available each year to eligible NAAA member auctions and corporate office full-time employees, their children, stepchildren and grandchildren.
The window for this year’s scholarships ends Feb. 1.
Four of the scholarships, each worth $3,000, are for two-year schools or auto-related degrees at vocational/technical schools. The other eight are each worth $5,000 for use at four-year schools.
For more information on the program or to start the application process, click here.
