Collins & Aikman Ends Inquiry, Shares Rise
Collins & Aikman Corp. on Thursday said it completed an internal accounting inquiry and will not restate previously issued financial statements, sending its shares up 18 percent. The company also said its fourth-quarter loss more than tripled to nearly $10 million. Last August, the Troy, Mich., company said it was investigating business transactions between the company and two of its directors, just days after its CEO resigned.
Linamar to Buy Out Wescast in Joint Venture; Reports Fourth Quarter Loss of $1.3 Million
Wescast Industries Inc. plans to sell its 50 percent stake in its European joint venture with Linamar Corp. to Linamar, the auto-parts makers announced Wednesday. The two companies were still negotiating the sale of Weslin Industries Inc., and did not provide any financial details of the transaction. In a conference call to discuss quarterly results, Linamar chief executive Linda Hasenfratz did not expect Weslin — a joint venture established in 1999 to manufacture iron automotive castings for the European market — would become profitable soon.
Small is Satisfactory: Dura Builds a Niche
So it’s not as big as Delphi. It doesn’t employ as many as Lear. But Lawrence Denton, chief executive for Dura Automotive Systems Inc., says he’s satisfied with his company’s size. Dura, he says, is just better off being small.
Tenneco Automotive Names Timothy Donovan as New Director
Timothy Donovan has been elected to Tenneco Automotive’s board of directors. Donovan is executive vice president, managing director of Tenneco Automotive’s International Group and general counsel. Donovan joined Tenneco Automotive as senior vice president and general counsel in August 1999.
GOJO Industries Launches New Automotive Web Site
GOJO Industries, a longtime leader in skin care solutions for the automotive industry, has launched a new automotive Web site, featuring tools and resources to help shop supervisors recognize and help prevent costly skin problems. The site offers material safety data sheets as well as information about products, dispensers and contact information to receive assistance from a GOJO skin care expert.
DST Asks: Can Your Business Measure Return on Customer Investment?
Although most businesses have the means for measuring their Return On Investment, DST has coined the term Return on Customer Investment as a more accurate method of determining profitability of the customer base. Many firms believe that their largest customers, or the ones they have been supplying for the longest time, are the most profitable ones, but access to pertinent data can contradict those assumptions.
Technology Outpaces Would-be Technicians
Help Wanted: Automotive technician. Starting salary: $30,000. Benefits include medical insurance, plus two weeks paid vacation and two long weekends off — that’s Thursday through Sunday — a year. How difficult is it to fill a job like that in Michigan’s lackluster economy? Plenty, according to Stan Shephard, owner of Shephard’s Hi Tech Automotive in Detroit. Shephard posted his help-wanted sign 18 months ago, and today the position remains unfilled. He’s had only 15 applicants for the job.
AutoZone EPS up 32 Percent
AutoZone has reported sales of $1.159 billion for its second fiscal quarter, which ended February 14, an increase of 3.4 percent from fiscal 2003. Same store sales, or sales for domestic stores open at least one year, were flat overall, the company said. Retail same store sales were down 1 percent while AZ Commercial same store sales were up 10 percent.
BWD Automotive Announces Vehicle Service Professional Rewards Program
BWD Automotive has launched a new Vehicle Service Professional (VSP) Rewards program, designed to foster, preserve and enhance the relationship among automotive repair technicians, distribution customers and BWD Automotive. The goal of VSP Rewards is to provide today’s professional automotive technician with up-to-date educational and reference tools required by an increasingly complex automotive repair industry.
Campaign to Bring Back the “Midas Touch”
Midas wants to return to its core value of trust with the resurrection of a marketing campaign first used in Midas advertising in the 1980s. The company’s new national advertising agency DDB Chicago is collaborating with Ogilvy & Mather Toronto on the “Trust the Midas Touch” campaign. The campaign will include commercials that take place in a Midas shop and show a humorous dialog between a customer of Midas and a Midas service employee, who is hooked up to a polygraph machine. The commercials are the first in a long-term campaign to grow Midas’ category-leading shares in brakes and exhaust and to support the expansion of its services, including oil changes and other routine maintenance services.