Who’s Buying Whom?
Who owns the suppliers of today? New owners include leveraged buyout firms, putting a new spin on the old consolidation trend. In the wake of Dana’s announcement to sell off its aftermarket businesses comes the speculation of who will buy it. Water cooler conversations in the office haven’t exactly been at a fevered pitch. That’s a dramatic change from just a few short years ago when SPX was trying to make a hostile purchase of Echlin (which ultimately ended up in the hands of Dana), or when Federal-Mogul was buying up companies as part of former CEO Dick Snell’s major consolidation plan. Those were the good old days of major aftermarket acquisitions. Now, we’re left to ponder the fate of the Dana Automotive Aftermarket Group. The big question is: Who among the current base of manufacturers is a candidate to make such a large acquisition?
Automakers Help Allies Handle Crises
Seeking to mitigate disaster costs after events such as 9/11 and last year’s blackout, Detroit automakers said Wednesday they’ll ask their suppliers and dealers to take part in a crisis management plan that will prepare them for emergencies. The automakers, working together through a trade organization called the Automotive Industry Action Group (AIAG), released a booklet that could serve as a guide for suppliers and dealers that either don’t have a contingency plan or want to modify an existing one. GM said that it will begin rolling out the process to all its 3,700 suppliers next week. The AIAG said the plan is voluntary for suppliers and will result in minimal costs for the companies.
The Results Are In: Seventy Percent Say AAPEX is Worth the Cost
The results are in from the first edition of “AMN Asks” — the new weekly aftermarketNews.com poll. Last week, we asked whether you thought the annual AAPEX Show in Las Vegas offers “complete value” for the amount of time and resources you spend to attend. The annual Automotive Aftermarket Products Expo, which takes place in Las Vegas every fall, is the largest gathering of aftermarket products and people under one roof. It’s a chance to network, check out new products and attend informative seminars. It’s fast-paced and frenetic and can be a world of fun, however, on the flipside, it’s also an exhausting week of glad-handing and schmoozing in a very pricey town. Is it offering the best bang for your buck?
ELR for Application Parts Manual Now Available
AAIA has just published the Enhanced Line Review (ELR) for Application Parts, a 298-page manual to help companies make better assortment decisions, increase inventory efficiency and develop long-term strategies to grow their parts businesses.
More Aftermarket Eye Candy at This Year’s North American International Auto Show
Although there’s no shortage of muscle on the main floor at this year’s North American International Auto Show — the 850-horsepower Chrysler ME412 concept is only the beginning — there’s also a subterranean performance theme that’s been missing from previous shows. Once the take-it-or-leave-it realm of marginal players like Daewoo and stillborns like the revival Cunningham sports car, Cobo Center’s downstairs Michigan Hall exhibit area is studded this year with an intriguing array of production vehicles enhanced by aftermarket bolt-on goodies: designer wheels, low-profile tires, oversize brakes, high-performance shock absorbers and more.
Delphi Appoints Three New Sales Managers in North America
Delphi Corp. has named three new sales managers for North America. Jim Eady, Darrel Reuss and Steve Tucker will serve as regional sales managers for vehicle electronics in North America for Delphi Product & Service Solutions. Eady will cover the Southeast, Reuss the Midwest and Tucker the Northeast and all will report to Scott Donnelly, North American vehicle electronics sales manager.
Bridgestone Americas’ Lampe To Retire
John Lampe, chairman, CEO and president of Bridgestone Americas Holding, who led the company’s remarkable recovery after devastating tire recalls in late 2000 and early 2001, announced today that he is retiring effective Mar. 31. He will be succeeded as chairman and CEO of BAH by Mark Emkes, currently chairman, CEO and president of Bridgestone/Firestone North American Tire (BFNAT). Lampe announced his retirement this afternoon during a company-wide live Web cast and conference call. In addition, Lampe and Emkes granted Tire Review an exclusive in-depth interview about the retirement and the company’s future plans earlier this morning.
Hawk Corp. Announces Restructuring Plan
Hawk Corp. has initiated a new plan to focus on its two primary business segments — friction products and precision components, in an effort to improve the company’s global competitive cost position and support long-term growth initiatives in these segments. As part of the repositioning plan the company intends to achieve cost savings at its friction products segment by moving operations at its Brook Park, Ohio, location to a new U.S. production facility. Hawk also said it plans to sell its motor segment and engage the services of an investment banker to advise the company as it reviews strategic alternatives relating to Hawk’s Tex Racing business unit.
Kathleen Schmatz Takes Over as President and CEO of AAIA
Jan. 1 marked the first day of Kathleen Schmatz’ new role as president and CEO of the Automotive Aftermarket Industry Association (AAIA), a trade association representing more than 2,700 companies that manufacture, distribute and sell motor vehicle parts, accessories, tools, equipment, materials, supplies and services. Schmatz, who has served as AAIA’s executive vice president since January 2002, takes over the role from Al Gaspar, who retired at the end of 2003 after 30 years in the aftermarket industry. Gaspar is president emeritus and will serve as a consultant to the association.