Our top story this week brings AMN readers up to speed on the continuing legislative debate over E15, a higher level of ethanol in gasoline, which the U.S. Environmental Protection Agency (EPA) recently approved for use in vehicles of model years 2001 and newer. Proponents of the measure say E15 creates a bigger market for American ethanol, which would not only create jobs but reduce emissions. Meanwhile, opponents warn that approval of E15 could lead to consumer confusion and “misfueling.” This week it was reported that the U.S. House of Representatives passed an amendment blocking federal funding of EPA action to implement the use of E15. The amendment to H.R. 1, the Full Year Continuing Appropriations Act 201, was introduced by Oklahoma first district Congressman John Sullivan and was passed by a vote of 286 to 135. Sullivan said the amendment prevents consumer confusion at the pump and protects the engines of vehicles and outdoor power equipment.

In the distribution segment this week, Genuine Parts Co. (GPC) reported its fourth quarter results and record sales and earnings per share for the year ended Dec. 31, 2010. GPC’s sales in 2010 were $11.2 billion, up 11 percent compared to 2009. Net income for the year was $476 million, an increase of 19 percent compared to $400 million in 2009. Earnings per share on a diluted basis were $3, up 20 percent compared to $2.50 in 2009. In reviewing the quarter, Tom Gallagher, chairman, president and CEO, commented, "We are encouraged by the strength in sales across all of our business segments in the fourth quarter. Our Automotive sales were up 9 percent, our Industrial Group sales were up 24 percent, our Electrical Group sales were up 40 percent and our Office Products Group sales were up 3 percent."

GPC also this week announced its 55th consecutive year of increased dividends, reporting a 10 percent increase in the regular quarterly cash dividend for 2011. Shareholders will receive $1.80 per share, compared with the previous dividend of $1.64 per share. In addition, GPC announced it has added John Holder, chairman and CEO of Holder Properties in Atlanta, Ga., as a new director of the company.

In other financial news, WD-40 Co. and SEMA proudly announced that they raised more than $200,000 auctioning off the WD-40/SEMA Cares Mustang at the 40th annual Barrett-Jackson Classic Car Show and Auction Jan. 22 in Scottsdale, Ariz. The 2011 Ford Mustang GT, which features a 5.0-liter V8 engine that produces nearly 600 horsepower, a custom body kit, entertainment system and blue and yellow paint that emulates the WD-40 brand, was “detailed” on-site with signatures from baseball great Reggie Jackson, NASCAR legend Rick Hendrick and actor Tim Allen before bidding began. Allen brought down the hammer after the vehicle received a $100,000 online bid and then joined others in making additional donations beyond the bid amount to raise more money for the two non-profit groups. John and Jeanette Stallupi had the winning bid and will feature the vehicle in the Cars of Dreams Museum in Palm Beach, Fla. This is the second consecutive year WD-40 has partnered with SEMA Cares, the charity arm of the Specialty Equipment Market Association, to build a custom vehicle for charity. Last year, the WD-40/SEMA Cares Camaro sold for $75,000 and benefited the same charities – Childhelp, an organization that provides services to abused and neglected children, and The Victory Junction Gang Camp, which provides life-changing camping experiences to special needs and chronically ill children. A virtual version of this year’s Mustang was concurrently sold in Nitto 1320 Legends, an online racing game and social network with more than 1.5 million members, and raised $10,800 for the same charities.

Back in the distribution segment, Houston-based XL Parts has announced the expansion of its business into the Dallas, Fort Worth and Oklahoma City markets. The expansion comes as a result of acquisitions made at the end of 2008. Since then, the company has added eight more locations to the Dallas-Fort Worth market, with three more opening in the next 60 days, the company says. In Oklahoma City, XL Parts took an AC Delco/Motorcraft dealer expeditor and launched the XL aftermarket program in November of 2009. After exceeding expectations, two satellite locations were added in December 2010. In conjunction with this strategic expansion of its automotive aftermarket business outside of the Houston market, XL Parts has reached an agreement to sell its heavy duty operation, Fleet Supply Warehouse, to Fleet Pride.

The final item in our recap of the week’s top news comes from Federal-Mogul, which this week released its fourth quarter and full year 2010 numbers. The company’s sales in the fourth quarter increased $180 million to $1.6 billion with growth in all business segments and all markets, led by a 20 percent OE and 12 percent U.S. aftermarket sales increase versus fourth quarter 2009. Full-year revenue of $6.2 billion represents an increase of $889 million or 17 percent, driven by a 32 percent constant-dollar increase in sales to original equipment customers and a 2 percent increase in global aftermarket revenue, before the impact of Venezuelan currency restrictions. The company’s global aftermarket sales grew 2 percent in 2010, excluding reduced sales in Venezuela due to currency restrictions. Total aftermarket sales in North America were higher by 1 percent in 2010 and 10 percent during the fourth quarter, while in Europe sales were up 9 percent in 2010 and 12 percent for the fourth quarter of 2010. In the BRIC markets, Federal-Mogul aftermarket sales in full-year 2010 increased 10 percent with China up 18 percent, India up 9 percent and Russia up 31 percent.