Counterman

Nineteen sixty-five was a unique year for the Chevrolet Corvette. It was the first year for disc brakes, and they came on all four wheels. The odd part about it was you still could order four-wheel drum brakes as an option, and receive a substitution credit since they were less expensive than disc brakes. Most people were ecstatic about the change, but there were some who stuck with old faithful: the drum brake. Drum brakes work very well – for many reasons – but there’s one overriding factor that led to the popularity of disc brakes: heat dissipation. All brakes are nothing more than a way to convert mechanical energy into heat energy. When the brakes are applied, the friction of the pads or shoes slows the vehicle down and generates heat in the rotor or drum as that mechanical energy is transferred to heat energy through friction. The challenge with all braking is what to do with that heat. When too much heat builds up in either the fluid, the friction material (pads or shoes) or the rotors or drums, there’s a loss of braking force, which is known as brake fade. The goal with all braking systems is to remove the heat. The more heat that’s removed, the more you can put back in. Disc brakes do this very well – especially those with vented rotors. They have a constant airflow passing over them and through them, allowing them to dissipate heat rapidly. Heat retention is the only real drawback to drum brakes. Even though most of the larger drums have cooling fins cast into them, it’s still inherent to their design that the heat is trapped inside the drum and simply takes longer to dissipate. Early on, no one had problems with drum brakes. Over time, as cars got faster and auto racing became popular, the weak point of drum brakes became more evident. But I still like drum brakes, and one of my favorite historical points of interest is that prior to 1965, the top (drum) brake option for the Corvette included heavy-duty metallic linings, special drums and forced-draft ventilation. The design and ultimate use of the disc-brake equipment required considerable research and engineering because the performance drum brakes worked so well that it was questioned whether they could match that performance with a disc brake. It’s for this reason that the very first disc-brake design on the Corvette featured four-piston calipers at all four wheels – a design that would outperform the current drum brakes. Drum brakes still are commonly used as rear brakes, especially on trucks. It’s true that drum brakes are less expensive – and some will cite that as one of the main reasons – but that’s really only a small factor related to their use. Advantages of Drum Brakes Operationally, drum brakes have many advantages over their disc-brake counterparts. One is that they are self-energizing. What this means is that as the brakes are applied, rotation of the drum will draw the shoes into it, effectively applying additional pressure to the brakes without additional effort from the driver. If you’ve ever driven an old vehicle with four-wheel drum brakes – even one without power assist – they stop very well without a great amount of effort. The self-energizing feature of drum brakes contributes to this, but it’s important to note that the self-energizing feature of drum brakes makes brake modulation difficult, which is another reason that disc brakes are preferred for performance driving. Brake modulation is the ability to precisely control the desired amount of braking force. Have you ever wondered why drum brakes seem to last so long? Quite often when you perform an inspection of drum brakes, they’re still in good condition, even when you’ve already replaced the front brakes on the same vehicle two or even three times. This is because the surface area of the shoes is much greater than that of disc pads, so the brakes can perform the same amount of work with less effort. Even though front brakes are responsible for the majority of braking, if you have two comparable vehicles – one with four-wheel disc and one with front disc and rear drum – you still will replace rear disc brakes at least twice, if not more, compared to how often the drum brakes would need service. Another advantage of drum brakes on the rear is the parking brake. The levers and mechanisms that make the parking brake work are of basic mechanical design, and are easily and inexpensively incorporated into the drum brake. In addition, the self-energizing property of drum brakes not only works in either direction, but also adds to their gripping power, so the parking brake is very effective for heavier or loaded vehicles, as well as forward or backward (meaning parking on a hill is no problem). The effective nature of a drum brake as a parking brake is why most trucks that have four-wheel disc brakes have a small brake drum machined in the center of the rear rotors, and a complete set of drum brakes (cable-operated only) that are there for the sole purpose of a parking brake. Oh yeah, and the 1965 Corvette had the same setup for parking brakes. How They Work Now that we’ve gone over the basic theory and some of the pros and cons, let’s look at how a typical drum brake works. I use the term “typical” here, because there are many different functional drum-brake designs. But overall, the theory behind them is the same. The brake shoes are mounted onto a backing plate, held in place by springs that allow them to move and pivot as required during use. The shoes rest against the backing plate on multiple contact points. In between the shoes, usually located at the top, is the hydraulic actuator, referred to as a wheel cylinder. There also is a brake adjuster between the shoes, and a number of springs that aid the return of the shoes to their normal rest position after braking. Most drum brakes also contain a self-adjusting mechanism. As the shoes wear, it keeps them adjusted close to the drum, so they contact it right away under braking. Drum-brake shoes need spring assist to return during non-braking, so they don’t continue to self-energize. For these reasons (unlike disc brakes, which are self-adjusting by design), drum brakes must be adjusted on a regular basis. They’ve always had adjusters, but it was a manual process and a normal maintenance requirement. The self-adjusting mechanism eliminated regular maintenance. When the brake pedal is depressed, brake fluid is forced into the wheel cylinder, and the pistons in the wheel cylinder are then forced out, applying pressure to the brake shoes. The shoes are pushed into the drums and the self-energizing effect takes place, increasing the braking force. When the pedal is released, the springs between the shoes draw them back in and the fluid returns to the master cylinder. Service Life What makes drum brakes wear out? Naturally, the brake shoes can wear out, and the drums as well. All brake drums have a wear limit for the inner diameter. In many cases, the drums can be resurfaced on a brake lathe. However, if they’re outside of their wear limit, they must be replaced. Since the shoes typically last a long time due to their surface area, the lining itself is often OK. Some of the most common problems include leaking or seized wheel cylinders; rusted or broken springs and hardware; leaking axle seals, which allows differential oil to contaminate the brake linings; and seized parking-brake mechanisms and cables. Rust also can take its toll on the backing plates as well. Some brake shoes are made with the lining riveted to the shoe; on others, the lining is bonded to the shoe. In some cases – primarily related to age – the bonding will begin to fail, and the lining will separate from the shoe. When it comes to service, it’s not uncommon to find drum brakes that are in good condition, but the wheel cylinders have begun to seep fluid. It’s acceptable in these cases to replace only the wheel cylinder (as long as fluid has not gotten on the linings), clean the hardware and lubricate the brake-shoe contact points. On the flip side, if the shoes are worn out or contaminated or if hardware is rusty and old, it only makes sense to replace shoes, hardware and wheel cylinders at the same time. Even if the wheel cylinder isn’t leaking, if you don’t know its age, you’re better off replacing it. It’s not worth risking a leak a short time down the road. When replacing brake shoes, a common practice is to do one side at a time, so you always have one side assembled for comparison. This is always a good idea. Even if you think you’ll remember where everything goes, when you start to put drum brakes back together, the pile of springs and hardware can begin to look more like a Rubik’s cube than anything else. One of the most important details is the cleaning and preparation of the backing plates. Commonly overlooked are the contact points between the shoe and the backing plate. These often get grooved where the shoe rests, and/or rust builds up around the spot, creating the same affect. These contact points should be cleaned or sanded until they’re smooth, so the action of the brake shoe isn’t restricted. If the contact points cannot be smoothed out or if the backing plate is rusty and disintegrating, it should be replaced. A DIFM Shopping List While the standard brake-drum repair includes shoes, drums, wheel cylinders and hardware kits, there’s a lot more that you can recommend. Brake fluid, of course, is on the list, but here’s a complete list of items to turn it into a professional job: 1. Standard hardware kits. Standard hardware kits include return springs; hold-down springs, pins and cups; and adjustment window plugs. There usually are a few extra parts since the kits are designed to fit multiple different applications. It’s important to note that the standard kits don’t include specific parking-brake adjusters or hardware. 2. Parking-brake adjusters and hardware. Parking-brake adjusters and hardware are not part of most hardware kits, but they are an essential part of brake operation. Even if the original adjusters look OK, close examination usually will show that there’s enough wear on the self-adjusting mechanisms to prevent them from working properly. 3. Brake lubricant. It can handle the heat of brakes, it’s designed to stay in place and not wash away and it’s designed not to damage any of the rubber seals and components it comes in contact with. Use it sparingly on the contact points of the shoe to backing plate and brake-shoe pivot points. 4. Parking-brake cables. If there’s any question about cable condition, this is the time to replace them. They should operate smoothly and freely. 5. Backing plates. Often ignored but readily available, if backing plates are severely rusted or grooved deeply where the shoes rest, they should be replaced. Once the brakes are disassembled, it’s usually not much extra work. 6. Since the majority of drum brakes are on the back of trucks or vans, it’s not uncommon to have an axle-seal leak. If this gear oil contacts the brake linings, it will ruin them. At minimum, axle seals will need to be replaced, and sometimes there are worn bearings or axles that are the culprit as well. This opens a lot of doors for additional sales for rear-axle service. 7. Special tools. You may be able to get by without, but there are several special tools for drum brakes that make the job go much easier. Hold-down and return-spring tools save a lot of time, and brake-adjusting tools also are very useful. Final brake adjustment always is performed with the drum on, and brake-adjusting “spoons” work a lot better than screwdrivers. 8. Brake/parts cleaner. A must for drum-brake jobs. Tips for DIYers A do-it-yourselfer might have a lot of questions about drum brakes. Replacing drum brakes generally isn’t hard, but it’s important to take your time. Here are a few pointers that could help your DIY customers get the job done right: 1. Primary vs secondary shoes. When you look at a set of brake shoes, you’ll see that the linings are different lengths. These are referred to as the primary and secondary shoes. During braking, the rotation of the drum moving in a forward direction will draw the front (primary) shoe into the drum. That motion then is transferred into the rear (secondary) shoe. This, again, is the self-energizing effect. Because it initiates with the front shoe, the front shoe provides a greater braking force. So, in order to balance the force of the two shoes, the rear shoe has a greater surface area of lining. I will cautiously say this is always true. But, this highlights the importance of doing one side at a time. As mentioned before, there are many different functional drum-brake designs, and it’s possible that there’s an application where this could differ. So, always advise on the side of what you know is true the majority of the time. But, if someone is working on an oddball application, make sure they research it. 2. The balance of the brake drum is very important. Just like a wheel that’s out of balance, a brake drum can cause severe vibration for the same reason. Most of them have weights welded on the outside when they’re balanced during production. These weights can interfere with some aftermarket wheels. If that’s the case, the drums will have to be balanced in a different manner. Don’t just grind away or break off the weight. 3. You’ll see a lot of vehicles with rear drum brakes, but very few with front. They’re out there, however, and they will appear from time to time. On vehicles with four-wheel drum brakes, the front brakes are larger in size from the drums to the shoes, so the parts will be different. 4. If drums brakes aren’t properly adjusted, it will result in a low brake pedal and uneven wear, and the vehicle can pull to one side during braking. When it comes to adjusting them, the best procedure is to adjust them by hand until they’re close to the drum, but so you can still slide the drum on and off easily. Once you reach that point, with the drum installed, seat the brakes by depressing the brake pedal multiple times. If wheel cylinders have been replaced, they’ll need bled at this point. The brake pedal should feel good if the initial adjustment is close. Finish up the adjustment with the drum installed, using a brake-adjusting spoon through one of the access holes in the backing plate or on the drum itself. Adjust the shoes outward until the drum begins to drag moderately, then back off the adjuster until the wheel spins freely. This usually takes three to four clicks of the adjuster. Very slight drag on the drum is acceptable. Experience is the best teacher. 5. Last but not least, clean, clean, clean, and prepare the backing plates so the shoe contact points are smooth. Replace the backing plates if necessary, and all hardware. Armed with these tips, you should be able to get your customers everything they need for successful drum-brake replacement and answer their questions. So, all that remains is what do you want on your classic Corvette? The post Drum Brakes: The Beat Goes On appeared first on Counterman Magazine. View the full article

AutoZone reported net sales of $3.4 billion for its second quarter, an increase of 15.8% from the second quarter of fiscal 2021. Domestic same-store sales for the quarter, which ended Feb. 12, increased 13.8%. “Our second quarter’s results are a reflection of our AutoZoners’ continued commitment to delivering exceptional service to our customers during these unique times,” CEO Bill Rhodes said. “Our retail and commercial sales performance remained strong this quarter. While our commercial sales growth continued to be elevated at 32.1%, our retail sales growth also remained healthy with over 10% growth against a tough comparison from a year ago. We believe the initiatives we have in place position us well for the remainder of our fiscal year.” Gross profit as a percentage of sales was 53.0%, a decrease of 59 basis points versus fiscal second-quarter 2021. AutoZone attributed the decrease in gross margin to initiatives aiming to accelerate commercial growth. Operating profit increased 30.1% to $626.7 million. Diluted earnings per share increased 49.4% to $22.30. The company’s inventory increased 6.2% compared to its fiscal second quarter of 2021, driven by new stores, hubs and megahubs, with the remaining growth primarily due to inflation, according to the company. “As we continue to focus on the health and well-being of our customers and AutoZoners, we remain committed to providing the best and safest place to shop for everyone’s automotive needs,” Rhodes said. “During these unique and challenging times, we strive to deliver the best customer service possible. As we continue to prudently invest capital in our business, we remain focused on returns on capital. We are committed to our long-term approach of increasing operating earnings and free cash flows while utilizing our balance sheet effectively.” During the quarter, AutoZone opened 26 new stores and closed one in the United States, opened three stores in Mexico and two stores in Brazil. As of Feb. 12, the company had 6,091 stores in the United States, 669 in Mexico and 55 in Brazil for a total store count of 6,815. The post AutoZone Fiscal Q2 Sales Up 15.8% appeared first on Counterman Magazine. View the full article

PRT has added 64 complete strut assemblies for cars, trucks and SUVs, the company announced. The portfolio additions represent more than 10 million vehicles in new coverage. Coverage includes the Ford Edge, Subaru Outback, Ram ProMaster 1500, in addition to brand-new applications such as the Honda HR-V 2020, Chevrolet Equinox 2020 and Toyota RAV4 2020, among others. “We also supply the OE market, and we offer the same quality and technology for our aftermarket products in North America,” said Bruno Bello, director of global category and marketing at PRT. “These new items are in stock and ready to ship.” PRT is a brand of the ADD USA group, one of the world’s largest manufacturers of complete strut assemblies. PRT products are manufactured under the strictest OE-quality processes required by the major automakers. For more information, call 770-238-1611 or visit www.prtautoparts.com. The post PRT Adds 64 Complete Strut Assemblies To Portfolio appeared first on Counterman Magazine. View the full article

Mighty Auto Parts recently announced three new hires to support its continued growth servicing the automotive aftermarket. Mighty’s newest team members, Sunny Muehlberger, Elvia Vega and Kyle Brown, further strengthen the company’s service offerings. The recent hires, employed for their diverse talents and skills, will work at Mighty’s home office in Peachtree Corners, Georgia. “We’re very excited to welcome Sunny, Elvia and Kyle to the Mighty team,” said Josh D’Agostino, president and CEO. “Each of our new hires brings innovative ideas, great experience and a fresh original approach to their respective roles. I’m looking forward to their contributions as we continue to grow the Mighty System.” Sunny Muelberger joins Mighty as a senior product manager. She brings more than 22 years of experience in automotive aftermarket with Genuine Parts Co. While at GPC, Muelberger held responsibilities in IT with barcode quality assurance, sales as a district manager, managing commercial markets in operations, and product management. Her extensive product management experience includes managing NAPA’s filter program, batteries, electrical, heavy-duty lines and the Dorman program.  At Mighty, Muelberger will have product responsibility for filtration, batteries and wiper blades. Elvia Vega joins the marketing department as a marketing coordinator. She has more than five years of marketing experience in industries ranging from med spas to finance. In her role, Vega will be responsible for overseeing the strategic digital initiatives and representing the Mighty brand across various social media channels. Vega currently is pursuing a Bachelor of Business Administration degree from the University of Georgia. Kyle Brown joins the marketing team as a marketing specialist. In his role, he also supports all strategic digital initiatives as well as in-house video production. Brown currently is a senior at Georgia State University, pursuing a Bachelor of Arts degree in Film & Media. The post Mighty Auto Parts Announces New Hires To Support Growth appeared first on Counterman Magazine. View the full article

Genuine Parts Co. (GPC) reported 2021 sales of $18.9 billion, a 14.1% increase over 2020. Full-year sales for GPC’s Automotive Parts Group were $12.5 billion, up from $10.9 billion in 2021. GPC closed the year on a high note. Fourth-quarter sales were up 13% year-over-year to $4.8 billion. GPC attributed the fourth-quarter performance to an 11.3% increase in comparable sales and a 1.9% benefit from acquisitions, partially offset by a slightly unfavorable impact of foreign currency and other. Fourth-quarter sales for the Automotive Parts Group were $3.2 billion, up 13.1% from 2020 and representing 66% of total company revenues. “The GPC team finished the year with a strong fourth quarter, further building on the positive momentum of the first nine months of 2021,” said Paul Donahue, chairman and CEO of GPC. “We are proud of our progress through the year and thankful to our 52,000 teammates for their hard work and ongoing commitment to excellence. “Strong sales growth combined with ongoing initiatives to improve gross margin and control expenses in an inflationary environment drove an 18% increase in adjusted earnings per share, which, along with our continued focus on working capital improvement, helped us to deliver strong cash flow. Our capital-allocation priorities remain investing for enhanced productivity and growth, while also returning capital to shareholders via the dividend and share repurchases.” For 2022, GPC offered guidance that included year-over-year sales growth between 9% and 11%. The company expects sales in the Automotive Parts Group to increase between 4% and 6%, and sales in the Industrial Parts Group to increase between 20% and 22%. “Looking ahead, we remain confident in our plans for accelerated growth and profitability as we build on the underlying momentum in our automotive and industrial operations and begin to realize the benefits from our recent industrial acquisition of Kaman Distribution Group,” Donahue said in a news release. The post NAPA Parent GPC Reports 14.1% Increase In 2021 Sales appeared first on Counterman Magazine. View the full article

In our 2022 Distribution Preview in the January issue of AMN/Counterman, aftermarket leaders talk about some of the key issues affecting the industry, and discuss their plans, goals and expectations for the year ahead. This year, we added several fun “Lightning Round” questions that you won’t want to miss. Here’s our Q&A with Tina Hubbard, president of HDA Truck Pride. AMN/CM: What did your organization accomplish in 2021 that you are most proud of? TH: We are most proud of assisting our membership in navigating and becoming stronger during the perfect storm of the past 18 months. Negotiating additional supplier opportunities, educational advancements, increasing legislative awareness and a double-down on technological enhancements have been our focus areas. Through the challenges of 2021, we have seen our membership embrace new technologies and product-growth opportunities. Change often appears more difficult than it is really. We don’t always realize that change has become a constant in our lives. We are stronger and more adaptable than ever before. AMN/CM: Does your organization currently participate in any programs to help combat the tech-shortage issue? If so, tell us about it. TH: One of our key initiatives is education. HDA Truck Pride has recently expanded that scope to include industry awareness, retention and recruitment. The commercial-vehicle industry has the opportunity to create a positive, professional image of our industry and all that it has to offer, including technicians. We work in collaboration with the ASE Education Foundation, WyoTech, TMC and other associations, but our approach to addressing the technician shortage is all-encompassing, [focusing on] awareness, education and retention. You’ll hear more about our very intense focus on this as the new year unfolds. AMN/CM: What do you feel is the greatest opportunity in the automotive aftermarket right now? TH: Focused on the commercial-vehicle side of the aftermarket, the greatest opportunity facing our industry is enabling technologies. This includes, or perhaps assumes, that 2022 is the year that all suppliers will embrace the industry data standards. Members are eager to seek new avenues for business growth while driving efficiency, and adopting data standards is a great place to start! Working as a cohesive network, 2022 is the just the beginning of endless opportunities for HDA Truck Pride to adopt these technologies and the growth opportunities they present for our members. AMN/CM: What was your first job? TH: Babysitting was my first “under-the-table” job. My first legitimate job was at McDonald’s, working the drive-thru, where I would frequently serenade the customers, along with working children’s birthday parties. AMN/CM: What’s the best piece of advice you ever received? TH: Do what’s right, not what’s easy. AMN/CM: What is your favorite food? TH: This is no secret – chocolate. AMN/CM: What’s the first thing you do when you get to work each day? TH: Say “good morning” to everyone. The post HDA’s Hubbard: ‘Greatest Opportunity Is Enabling Technologies’ appeared first on Counterman Magazine. View the full article

Modulus, a new brand of CARDONE Industries Inc., has announced its debut as “the absolute solution for premium power-steering replacement products.” Offering precisely engineered, brand-new components in custom packaging, Modulus represents a new approach to meet the changing demands of the steering aftermarket, the company said. “As automotive technology evolves, the complexities within each system become more pronounced,” said Mark Mooberry, vice president, product management & business development. “In the case of power steering, we set out to blend job-in-a-box efficiency with a premium, brand-new product that simplifies the replacement process and offers peace of mind over the long haul.” During research and development, Modulus engineers focused on streamlining the installation process by developing high-performance products that include the critical components needed to complete the job. From pre-installed pulleys, pipes and reservoirs to application-specific inline filters, Modulus premium steering products save time and money versus sourcing components individually or reusing worn components. As for the components themselves, specific attention is taken to determine whether it’s best to pre-install them on the unit or simply include them in the box, according to CARDONE. This is all decided at the application level, so product configurations are based on the specific make, model and year of the vehicle the part is designed to fit. “As a former shop owner, I am really excited about Modulus,” said Joseph End, manager, customer experience & tech services. “In addition to providing critical installation components, the inline filters we supply are guaranteed to fit each application without any modifications needed. Whether it’s a professional technician or DIYer installing our product, their time is just as important to us as it is to them.” Modulus offers new power-steering pumps, rack-and-pinion units and power-steering gears with a 10-year, 100,000-mile warranty. It also offers a technical service hotline manned by experienced ASE-certified technicians. For more information on Modulus products, visit modulusparts.com. The post CARDONE Launches Modulus Premium Steering Solutions appeared first on Counterman Magazine. View the full article

NBC 5 in Chicago recently aired a segment on the struggles that repair shops are experiencing in their day-to-day searches for replacement parts. “Experts blame supply shortages and a loss of workers,” NBC 5’s Allison Rosati says in the news segment. An NBC 5 correspondent interviewed Janessa Wagner, owner of Itasca Automotive Repair, who said she sometimes spends hours trying to find parts. “I have to use multiple stores to get one car finished, instead of getting everything from one place,” Wagner told NBC 5. “Sometimes it takes a couple of days, even when I’m using the dealer to get parts.” Automotive Aftermarket Suppliers Association CEO Paul McCarthy appears in the segment, offering his perspective on the challenging environment. “You may be lucky and your particular part and component, it’s in stock and the local distributor has that part and the repair person can get it on your vehicle, or you may have the fact that they just can’t get your part and it may be a long delay,” McCarthy told NBC 5. To view the video, go to the NBC 5 website or watch below. The post Chicago Newscast Airs Segment On Auto Parts Supply Crunch appeared first on Counterman Magazine. View the full article

As part of its 50th-anniversary celebration, the National Institute for Automotive Service Excellence (ASE) is featuring ASE-certified professionals through a series of profiles showcased in ASE communications, including its website and social media platforms. To submit a profile, ASE-certified professionals interested in sharing their story should visit ASE.com/ASE-Spotlight, complete the online form, upload their photo and click “submit.” ASE plans to recognize and honor ASE-certified professionals throughout the year, including during Automotive Service Professionals Month in June. Established in 1972 as a non-profit organization, ASE is a driving force in the transportation industry. As an independent third party, ASE upholds and promotes high standards of service and repair through the assessment, certification and credentialing of current and future industry professionals, and the prestigious ASE Blue Seal logo identifies professionals who possess the essential knowledge and skills to perform with excellence. Today, there are approximately 220,000 ASE-certified professionals at work in dealerships, independent shops, collision repair shops, auto parts stores, fleets, schools and colleges throughout the country. For more information about ASE, visit www.ase.com. The post Call For ASE-Certified Professionals: Share Your Story appeared first on Counterman Magazine. View the full article

MidOcean Partners has acquired Cloyes Gears and Products from Hidden Harbor Capital Partners. MidOcean is a New York City-based “middle-market private-equity firm focused on the business services and consumer sectors,” according to the firm’s website. Financial terms of the transaction were not disclosed. Hidden Harbor, which describes itself as “an operationally oriented investment firm focused on the industrials and business services sectors,” acquired Cloyes in 2018 as a carve-out from American Axle & Manufacturing. In partnership with the Cloyes team, Hidden Harbor said it “made substantial investments to build a highly scalable, standalone organization and develop a best-in-class platform within the automotive aftermarket industry.” “Over Hidden Harbor’s ownership period, Cloyes grew VIO coverage, captured considerable sourcing savings and drove significant organic growth through new-product introductions and new-customer wins,” Hidden Harbor said in a news release. Cloyes is a Fort Smith, Arkansas-based designer, developer, manufacturer and distributor of timing-drive systems and engine components for original-equipment manufacturers and the automotive aftermarket, selling its products under the Cloyes brand throughout North America and Dynagearin Mexico. MidOcean Partners said it plans to continue the company’s aggressive growth plan through comprehensive organic initiatives and strategic M&A. This transaction represents MidOcean’s third recent investment in the automotive aftermarket, after completing investments in FullSpeed Automotive in November 2020 and Holley Inc. through its merger in July 2021 with Empower Ltd., a publicly traded special-purpose acquisition company formed by MidOcean Partners. Cloyes was founded in 1921 and has built a reputation among engine builders and technicians of quality and best-in-class VIO coverage, providing its more than 300 customers with access to more than 2,700 SKUs. The company’s products are mission-critical components for engine performance and function used in high-performance and replacement applications. Cloyes serves a broad customer base, including wholesale distributors, national and local retailers, re-packagers and production-engine builders. “We couldn’t be more excited to partner with CEO John Hanighen and the Cloyes team, who are proven leaders in the automotive aftermarket space,” said Steven Loeffler, principal at MidOcean. “The team at Cloyes has done an amazing job building its VIO coverage, continuing to develop new products and winning new customers. We believe there are numerous opportunities through both organic initiatives and accretive strategic acquisitions to continue this growth.” Marc Graham, MidOcean’s operating partner, added: “The Cloyes brand has been synonymous with excellence in timing systems for over 100 years, and we are thrilled to continue that leadership going forward. Cloyes has a best-in-class product suite, complemented by world-class product development capabilities. On a personal note, I have known John for over 35 years and am excited to work with John and his tremendous team.” Gibson Dunn & Crutcher LLP acted as legal advisor to MidOcean. Stifel, Nicolaus & Company Inc. served as lead financial advisor with Donnelly Penman & Partners as co-advisor and McDermott Will & Emery LLP as legal advisor to Cloyes. “We are excited to partner with MidOcean to accelerate growth and innovation for the Cloyes platform,” said John Hanighen, CEO of Cloyes. “MidOcean has an impressive track record in executing transformational growth, and they bring deep expertise in the auto aftermarket that will enhance our ability to better serve our customers, our employees, our vendors, and our partners, while also providing support for the company to expand into additional markets and product lines.” The post Cloyes Gears And Products Sold To MidOcean Partners appeared first on Counterman Magazine. View the full article

In our 2022 Distribution Preview in the January issue of AMN/Counterman, aftermarket leaders talk about some of the key issues affecting the industry, and discuss their plans, goals and expectations for the year ahead. This year, we added several fun “Lightning Round” questions that you won’t want to miss. Here’s our Q&A with Paul McCarthy, president and CEO of the Automotive Aftermarket Suppliers Association (AASA). AMN/CM: What are your thoughts about the business environment for the automotive aftermarket in 2022? PM: Positive. From the demand side, our most recent supplier barometer showed suppliers and our industry to be very positive about the next six months. Demand is of course at record levels, and orders were also strong, showing positivity on this market performance continuing. The current market is a battle for availability, something to be classified in the category of “good problems.” For the second half of the year, there is cautious optimism, but a few questions. Will inflation take a toll on the ability of consumers to spend? Can the economy and demand continue at this level? There is clearly positivity, but there remains a bit of continuation of what has been the watchword for the last two years: uncertainty. That said, even when things slow from the current incredibly strong growth, we can’t lose sight of the silver lining: We seem to be leaving the pandemic with a more auto-centric lifestyle than we went into it – and that bodes well for the future of the aftermarket. We’ve seen this shift in consumers’ desire for more space; in booming used-car prices; in Americans rediscovering their love of the automobile in the pandemic DIY boom; and in house prices and settlement patterns in exurbs, smaller cities and the Western states. Coming out of COVID, where most Americans want to live now requires that car, or even a third or fourth car. It requires the aftermarket. Longer-term, we’re optimistic about our industry. The other “business environment” issue that needs to be mentioned is the supply chain challenge. This is the biggest supply chain disruption we have faced since World War II. Unlike previous supply chain crises, it is not like if we solve for problem “X,” we have fixed the problem. Every part of the supply chain has faced difficulties. This is systemic disruption. There are the port and trucking issues that have captured headlines, as well as shortages, price spikes or allocations in almost everything that goes into our products, from semiconductors to steel to resins to subcomponents to packaging. If that weren’t enough, we are also facing inflation and historic order levels and what may be the biggest challenge, worker shortages. We have almost a million open manufacturing positions in just the U.S., with the same difficulties staffing our distribution facilities, transportation and offices. Frankly, it has been amazing how well all of us have fulfilled customer demand given these challenges. Despite little to no improvement in inbound goods and manufacturing inputs, our most recent AASA Supplier Barometer showed that fill rates have significantly improved since early in the year. This is thanks, in part, to supplier ingenuity and problem-solving. It is also due to improvements in communication up and down the value chain. Collaboration is showing real results. Though the end is not in sight, improvement is happening. AMN/CM: As advanced driver-assistance systems (ADAS) and other emerging technologies become more prevalent on new vehicles, it will require the brightest minds to service and repair them. How can we better position this challenge as an opportunity for the parts and service segments of the aftermarket? PM: Glad you mention ADAS. There has been so much focus on electrification that we’ve not paid enough attention to ADAS, the revolution that is just around the corner. As soon as 2024, two-thirds of new vehicles will have some level 1-3 driving automation technology. By 2030, ADAS will be on almost half of the vehicle fleet, a vastly greater penetration than electrification. ADAS brings a lot of expensive parts. Each of these technologies can break or need calibration or maintenance. This huge increase in vehicle technology bodes well for future aftermarket “tickets.” At this point, this work largely goes to the dealer. And, as volume grows, the aftermarket needs to do what we’ve done with vehicle reprogramming – provide easy solutions, including calibration, trusted parts and training – to simply make this part of the repair offering, easily. We will have a session at the AASA Vision Conference the first week of April where we will share our latest research and thought leadership on the growth rates and aftermarket opportunities for ADAS in the second half of this decade. ADAS’s growth also highlights the need for Right to Repair, including access to vehicle data, diagnostics and product-integration information and software APIs to ensure a continued competitive market and consumer choice on where – and with what parts – vehicles can be repaired. AMN/CM: What phrase describes your “words to live by?” PM: Cheating – two from Stephen Covey: “Begin with the end in mind” and “Think win-win.” AMN/CM: What is your best icebreaker at a networking reception? PM: How’s the family? (Always nice to hear the answers about people who people love.) AMN/CM: What is your dream car, or favorite vehicle you’ve owned? PM: Right now, the additional cars I wish I had parked in my driveway migrate between an Icon Derelict based on a ‘53 Studebaker Starliner Coupe, another Miata (convertible, cheap, easy to work on and fun to drive, so always a good bonus car), or maybe a Bronco … all fun to think about … The post AASA’s McCarthy: ‘Current Market Is A Battle For Availability’ appeared first on Counterman Magazine. View the full article

WD-40 Brand is auctioning its classic 1951 Chevrolet 3100 to benefit SEMA Cares charities, including Childhelp. The auction is taking place on BringaTrailer.com from Feb. 28 to March 7. WD-40 Brand and SEMA Cares partnered with Trad Ronfeldt to rebuild the WD-40 Brand/SEMA Cares Custom 1951 Chevrolet 3100, which debuted at the 2021 SEMA Show at the WD-40 Brand booth. All of the proceeds from the auction will go to SEMA Cares Charities, including Childhelp, a nonprofit organization dedicated to the prevention and treatment of child abuse. Ronfeldt – a seasoned automotive mechanic, fabricator, welder, and professional off-road crew chief – had an ambitious plan to rebuild the vehicle from the ground up. He wanted to create something that looked like it just rolled off the production line, and he accomplished this and more. The 1951 Chevrolet 3100 is now a road-ready vehicle that maintains its classic look with a custom-built dually rear-end, backed by added horsepower and superior performance. Ronfeldt fabricated the truck bed from new materials to imitate the truck’s body lines to make it look like a Chevrolet production piece straight off the assembly line. In addition, the vehicle has numerous updates, including: A V-8 fuel-injected 383 Stoker producing 500+ horsepower  Custom dually rear with widened Currie axle  New suspension design  A restored cab interior with new upholstery and distressed leather seats  A custom patina paint job  Completely new drivetrain and transmission  View images of the truck and learn more at wd40.com/custombuild. To date, WD-40 Brand has built and auctioned more than 10 vehicles and raised more than $1 million for charity. The post WD-40 Auctioning 1951 Chevy 3100 For SEMA Cares Charities appeared first on Counterman Magazine. View the full article

Advance Auto Parts announced that its DieHard brand is the world’s first automotive battery to receive circular economy validation as validated by UL. The validation applies to DieHard’s line of AGM batteries manufactured by Clarios, a global leader in advanced battery technologies and energy-storage solutions. UL’s team of experts used a science-based, mass balance approach within its recycled-content standard (UL 2809, the Environmental Claim Validation for Recycled Content) to validate the sustainable reclamation and manufacturing process of DieHard AGM batteries. Used batteries collected at Advance retail stores undergo a recovery process, with plastics and lead recycled and used by Clarios in the production of new DieHard AGM batteries. “We’re thrilled to officially announce that every new DieHard AGM battery is made from recycled material from old batteries that are returned to an Advance or Carquest store,” said Tom Greco, Advance’s president and chief executive officer. “The only way such a claim can be made is through close collaboration across the entire supply chain, including our supplier Clarios, our customers as well as all of our Advance team members and Carquest independent partners. “Today’s consumer takes into consideration how their purchasing decisions impact the environment. With this validation, motorists who choose DieHard AGM know they’re making an environmentally conscious choice. Clarios shares our commitment to environmental sustainability and they have been a tremendous partner throughout this process. We applaud their work in helping to establish a circular economy through responsible manufacturing and recycling.” During the validation process, UL determined that 94% of the materials in new batteries are from batteries collected at Advance retail stores, significantly reducing the environmental impact and resources needed to manufacture new plastics or mine for virgin lead. “UL’s validation of our closed-loop manufacturing process for DieHard’s AGM battery reaffirms our vision of being a leader in sustainability,” said Mark Wallace, president and chief executive officer of Clarios. “Clarios is proud to have been invited to secure this validation in a new category and in close collaboration with the team at Advance. We look forward to powering into the future sustainably alongside great partners like Advance.” DieHard is sold at Advance and participating Carquest Auto Parts locations nationwide. “UL’s Environmental Claim Validation program is designed to help brands like Clarios and Advance demonstrate their commitment to sustainability with confidence,” said Doug Lockard, vice president and general manager, retail and consumer products group at UL. “The closed-loop circularity claim on DieHard AGM batteries can help customers select a more sustainable auto battery while protecting our planet by keeping valuable materials out of landfills.” The post DieHard Battery Earns UL Validation For Recycled Content appeared first on Counterman Magazine. View the full article

Optronics International, a Tulsa, Oklahoma-based manufacturer of vehicle harnesses, electronic control systems and LED lighting for the global transportation industry, kicked off its 50th-anniversary celebration with the announcement that it will be moving its North American headquarters into a new 200,000-square-foot facility on a 17-acre campus. Accompanying the announcement was the introduction of a new 50th-anniversary logo and a newly revised corporate website. Details of the new facility, logo, website and other related developments will be presented to the industry at Optronics booth 5191 during NTEA Work Truck Week 2022, scheduled for March 8–11 in Indianapolis. “Fifty years is a milestone that few companies ever achieve,” said Brett Johnson, president and CEO of Optronics International. “I’m happy and proud to say that Optronics has enjoyed five decades of continuous growth throughout a myriad of economic cycles as well as the current pandemic with its related supply chain challenges.” Established in 1972, the company has thrived, but Johnson points to the most recent decade as Optronics’ most pivotal, asserting that the company dramatically altered the competitive landscape in the commercial-vehicle lighting and harness business, inexorably disrupting the status quo in the process. “Our 2020 acquisition of USA Harness alone made Optronics one of only a few manufacturers capable of fully serving the light-, medium- and heavy-duty commercial-vehicle industry with both lighting and harness technologies,” Johnson said. “This is just the beginning of the sea change that is to come.” With 700 staff members worldwide, Optronics will ultimately consolidate its three current Oklahoma-based operations into the new Tulsa facility and will maintain its Goshen, Indiana, location and its USA Harness manufacturing plant in Winnsboro, Texas. The Tulsa campus will serve as the company’s corporate headquarters, as well as a research and development lab, assembly plant and distribution hub, and will allow Optronics to immediately expand to accommodate rapid growth. Optronics also has taken the occasion of its anniversary to highlight its updated web presence and the introduction of a revised Optronics USA Harness logo, which includes a representation of the company’s signature Glo-Light lamp as a central feature. Through the remainder of 2022, the logo also will include a “50 years” designation. “We’re looking forward to first publicly celebrating our anniversary with staff, customers and industry contacts during Work Truck Week 2022,” said Marcus Hester, chief marketing officer for Optronics International. “Our interactive booth will feature our anniversary graphics, highlight lighting and harness displays and enable us to access interactive content.” Optronics’ website makes it easy for users to select and filter information on more than 3,000 of the industry’s most advanced lighting and harness product offerings, according to the company. The site also includes a 360-degree product-viewing feature that allows users to closely examine products from all angles while accessing technical and product data. The website includes more than 500 recently added items, including Optronics’ “Smoke Series” lamps, new trilingual packaging and a variety of multi-function lamps, DOT utility lamps and white LED lamp products. Optronics also has a number of unique new lighting solutions now under development. All Optronics LED lamps come with Optronics’ no-hassle, one-diode lifetime warranty that will replace any lamp if even one diode fails. When Optronics’ LED lighting is purchased in conjunction with its patented USA Plus Harnessing, the entire system is protected by the no-hassle lifetime warranty. “Although we try to do it in every interaction, all of us at Optronics would like to offer our deepest and most sincere thanks to our customers,” Johnson said. “Not only have they made our first 50 years possible; they have made each of them a resounding success.” Optronics products are available in the United States and Canada through the company’s extensive distribution network of more than 30,000 distribution locations. Users can access individual Optronics distributor websites by simply clicking on their logo icons. For information on international sales and distribution of Optronics products, contact Dorian Drake at 914-697-9800, or visit http://doriandrake.com. The post Optronics Marks 50-Year Anniversary With New HQ, Website, Logo appeared first on Counterman Magazine. View the full article

In our 2022 Distribution Preview in the January issue of AMN/Counterman, aftermarket leaders talk about some of the key issues affecting the industry, and discuss their plans, goals and expectations for the year ahead. This year, we added several fun “Lightning Round” questions that you won’t want to miss. Here’s our Q&A with Bill Hanvey, president and CEO of the Auto Care Association. AMN/CM: What did your organization accomplish in 2021 that you are most proud of? BH: Without question, I am most proud of the fact we were able to meet once again at AAPEX in 2021. The Auto Care team along with our show partners at MEMA put extensive thought into the health and safety protocols that were implemented. Despite the severely diminished presence of our international attendees, by all accounts the show was successful and I have heard consistent feedback from our guests that they were able to hold productive meetings. We are an industry that values face-to-face interaction and while our 18 months of Teams and Zoom meetings got the job done, there is no substitution for sitting across the table from your customer or supplier. In addition to the show itself, our communities such as Women In Auto Care, YANG and Import Vehicle all had the opportunity to once again reunite, share stories and find the connection that turns a meeting of diverse people into a true community. AMN/CM: As advanced driver-assistance systems (ADAS) and other emerging technologies become more prevalent on new vehicles, it will require the brightest minds to service and repair them. How can we better position this challenge as an opportunity for the parts and service segments of the aftermarket? BH: There is no question that today’s vehicles are becoming more and more complicated technologically and require different skill sets for maintenance and diagnostics. In order for us to meet the technician shortage and skills gap, we need to continually push our state and federal governments to invest in apprenticeship programs in order to draw and retain talented young women and men into the industry. The opportunity for our industry is that the shops that make the investments in training and tools will be successful for many generations to come. Not every shop will be able to invest in their businesses to support full ADAS repair/calibration and we will begin to see more and more aftermarket ADAS “specialists,” just as we saw exhaust specialists 50 years ago, as this technology becomes more and more prevalent. Pricing models will change at the shop level as well, with diagnostics accounting for a much larger percentage of the repair bill, which, in turn, will help pay for the technological expertise required of today’s technicians. AMN/CM: What do you feel is the greatest threat facing the automotive aftermarket right now? This is not going to be a popular answer, but in my opinion APATHY is our greatest threat. Business is good, we are growing despite a pandemic, and parts supply can’t meet demand. What’s not to like? Well, if you take a look at the threats our industry is facing both from a regulatory and technological standpoint, we need to all become more activated in preserving our future. Our industry has fewer than 10 lobbyists collectively advocating for our behalf; the automakers employ more than 270. Despite the fact that we employ more than 4 million people, we have a hard time activating people in our industry to become engaged in the preservation of our future. This would entail hosting a member of Congress at their place of business, donating to ACPAC or something as simple as signing a petition that supports Right to Repair. We also have to acknowledge the advances in technology and prepare our industry for the transition to selling/installing parts with associated code and the growth of the EV. We have always adapted and need to get young women and men trained for the next generation of vehicle repair. AMN/CM: What phrase describes your “words to live by?” RH: Do the right thing. AMN/CM: What is your best icebreaker at a networking reception? RH: How’s business? AMN/CM: What is your dream car, or favorite vehicle you’ve owned? RH: Dream car: Ford Mustang Shelby GT500 Favorite car: My first one, 1970 Buick Skylark The post Auto Care’s Bill Hanvey: ‘Apathy Is Our Greatest Threat’ appeared first on Counterman Magazine. View the full article

While O’Reilly Auto Parts launched its dual-market business strategy in 1978, the company’s roots are in serving DIFM customers. Over the years, the company has built up enough brand equity with repair shops that O’Reilly has been able to employ a premium-pricing approach with much of its professional-customer base. “Throughout our history, we’ve been steadfast in earning our professional customer’s business by providing excellent customer service from highly trained professional parts people with rapid access to industry-leading inventory at competitive prices,” O’Reilly CEO Greg Johnson said during the company’s Feb. 10 conference call. “This unwavering commitment to customer service has allowed us to drive exceptional value for our customers and capitalize on competitive advantages to earn pricing premium in many of our markets.” The unprecedented events of the past two years have changed O’Reilly’s calculus on growing its DIFM business. With some smaller independent parts sellers struggling to cope with the supply chain disruptions, demand volatility and inflationary pressures of the current market environment, O’Reilly sees an opportunity to grab a larger slice of the DIFM pie. On the heels of record financial results for the full year and fourth quarter of 2021, O’Reilly recently rolled out targeted, companywide price cuts for DIFM customers, with the goal of winning new business and capturing more sales from existing professional customers. DIFM Market ‘Very, Very Fragmented’ Johnson outlined the new DIFM pricing initiative during the company’s Feb. 10 conference call. He asserted that the turbulent market conditions of the past two years – characterized by supply chain shocks and wild swings in customer demand – “have been more disruptive on the do-it-for-me side of the business, which remains very, very fragmented.” The challenging environment in the DIFM market has magnified the gap between the large national retailers like O’Reilly and some of the smaller independent players, Johnson noted. “Against this backdrop, we have been very successful in gaining professional market share and growing substantially faster than the overall market through the strength of our industry-leading inventory availability, tiered distribution and hub network and world-class professional parts people,” Johnson added. “However, we believe that the current disruptive environment presents an opportunity for us to enhance our competitive positioning and leverage our competitive advantages to drive accelerated long-term market share gains.” Over the past few quarters, O’Reilly has tested several DIFM pricing strategies in multiple markets, and the company was “very encouraged” by the results,” according to Johnson. “After dialing in our strategy,” O’Reilly rolled out the professional pricing initiative companywide at the beginning of February. Johnson emphasized that O’Reilly’s “service-over-price philosophy” isn’t changing. COO Brad Beckham echoed Johnson’s comments, noting that the goal of the initiative is to turbocharge O’Reilly’s gains in DIFM market share “based on all the services we offer along with a very competitive price.” “We strongly believe that the lion’s share of the professional business in the marketplace is won day-in and day-out through exceptional customer service and rapid inventory availability,” Beckham asserted during the conference call. “However, we believe we can generate solid long-term returns by further investing in professional pricing. “As an important part of our professional pricing initiative, we are intentionally not positioned as the lowest-price competitor in each market, and our store and sales teams remain as committed as ever to earning our customers’ business by out-hustling and out-servicing our competitors.” ‘Not a Race to the Bottom’ The pricing initiative was a hot topic during the question-and-answer session with investment analysts. One analyst asked if the pricing initiative could be a slippery slope leading to additional price cuts in the future. In his response, Johnson insisted that it’s not “a race to the bottom.” “I want to reiterate that this is a targeted approach. This is a very scientific approach that we’re taking,” Johnson said. “This is not across the board. This price enhancement was done by category, by SKU. And based on our performance, our supply chain strength, we still feel that we can charge a premium to our professional customers.” Responding to a similar question from another analyst, Johnson emphasized: “We are not doing this to be the lowest price in the marketplace.” “We’re not saying price is not important,” he added. “What’s more important to that professional customer is the relationship we have with them, the inventory availability that we have and our consistent performance and ability to get that part to them [on time] so they can complete the jobs they’re working on. Our professional customers will always prioritize that over price, assuming that we’re competitive on price. So we feel like this move will enable us to take additional market share, both from existing customers and from customers we may not be getting business from today.” Beckham asserted that the pricing initiative is aimed at repair shops of all shapes and sizes, from the shade-tree mechanics and independent garages to the regional players and national chains. In particular, company leaders believe the pricing initiative could help O’Reilly make inroads with its existing customers that are sourcing parts from O’Reilly and other suppliers – “maybe a piece from our public competitors, a really big piece from the independents and then another piece of their monthly purchases from a specialty company.” “We’re already delivering to these shops,” Beckham added. “In some cases, we’re delivering part of the job that maybe they had to get another item from somewhere else. We just see tremendous opportunity [here], and our customers are telling us that with our inventory availability, our service, our people, if we can make some adjustments [on price], we really have a huge opportunity to turn into the first and only call for those garages.” During the Q&A session, CFO Tom McFall provided more color on O’Reilly’s approach to setting price levels vis-à-vis its competitors. “We have a wide range of competitors and … some compete solely on price. A lot of specialty, one-line suppliers get business by being absolutely the lowest price, and that’s not our business model,” McFall explained. “ So when we say we’re going to be within a competitive range, obviously it depends on how expensive the part is. “… And what we have to remember is the biggest cost for our professional installers is their labor. And that ability to turn those bays is what turns their profit. So we want to make sure that we’re pricing holistically, for the quality of the product, the availability of the product, the team that we offer, the services that we offer – so we look at it in aggregate. “There’s always going to be someone … who will be the lowest price. And if that’s how you sustain your business, if somebody comes along and decides to drop the price, you’re going to be in trouble. We want to have a relationship and a partnership with our professional shops that helps them make money over the long term.” The post O’Reilly Cutting Parts Prices For DIFM Customers appeared first on Counterman Magazine. View the full article

AutoZone will invest $185.2 million to build a new warehouse and distribution center in New Kent, Virginia, according to Gov. Glenn Youngkin’s office. The 800,000-square-foot DC and direct import facility will serve as AutoZone’s East Coast distribution operation, enabling the company to access nearly half of U.S. consumers within a one-day drive. AutoZone has more than 145 stores in Virginia and more than 735 stores in neighboring states along the East Coast, according to the company. The DC will create 352 new jobs, according to the governor’s office. The facility will be the first major tenant in the New Kent City Center industrial park, according to an article by the Richmond Times-Dispatch. The 1,600-acre New Kent City Center, billed as “Virginia’s largest ready-to-develop multiple-use site,” is located near I-64 and state Route 106 Former Virginia Gov. Ralph Northam approved a $2.51 million grant to assist New Kent County with the project. AutoZone is eligible to receive benefits from the Port of Virginia Economic and Infrastructure Development Zone Grant Program, and will be able to take advantage of funding and services from the Virginia Jobs Investment Program to supports its onboarding and training efforts, according to the state. Dominion Energy Virginia also will assist with the project. “During our rigorous and competitive search process to identify our next distribution center location, Virginia and New Kent County leadership were tremendous and instrumental in us deciding to join this wonderful community,” AutoZone CEO Bill Rhodes said in a news release. “Our large-scale investment in New Kent County is an important part of our strategy for accelerated growth and represents our commitment to always put customers first.” In a news release, state officials touted Virginia as “a premier logistics destination serving as a single gateway into critical customer markets.” “AutoZone’s decision to establish such a large footprint in the commonwealth is a testament to the infrastructure assets we have in place to ensure their products get to more store shelves predictably,” Secretary of Transportation Shep Miller said. “The Youngkin administration will actively seek ways to ensure The Port of Virginia and the road and rail freight corridors are positioned to handle increased capacity for years to come.” Stephen Edwards, CEO and executive director of the Virginia Port Authority, applauded AutoZone for its decision “to build its East Coast distribution center in Virginia and capitalize on the access to global markets offered by The Port of Virginia. “This company is going to be a significant importer, so consistency in its logistics supply chain is critical to a successful operation,” Edwards added. “The investments we’re making in our terminals will help to ensure that AutoZone can grow its volumes without concern. We welcome AutoZone and are looking forward to a long, collaborative relationship.” AutoZone’s existing distribution centers are located in Ontario, California; Pasco, Washington; Terrell, Texas; Hazleton, Pennsylvania; Lexington, Tennessee; Lavonia, Georgia; Tolleson, Arizona; Ocala, Florida; Zanesville, Ohio; and Danville, Illinois. In December, AutoZone announced plans to build a new distribution center in Chowchilla, California. The post AutoZone To Build New DC In Virginia appeared first on Counterman Magazine. View the full article

PPG’s 2021 Automotive Color Popularity Report highlights increased demand for two-tone finishes, personalized colors and other emerging trends among car buyers. The rise of two-tone finishes reflects consumers’ desire for personalization, PPG explains. Considerable progress in color science and application technologies provide an opportunity to bring these styling choices to the masses in a more practical and sustainable manner. “It’s fitting that two-tone finishes would come back into favor during this time when we as a society are looking to the past,” said Misty Yeomans, PPG color styling manager, automotive OEM, Americas. “Along with special-order colors, tinted clearcoats, tri-coats and matte finishes, two-tone finishes better reflect vehicle owners’ individual preferences and personalities.” Although two-tone finishes were common in the 1950s and 1960s, conventional color development and application processes made them increasingly impractical in mass-production environments. The traditional process for achieving a two-tone finish requires labor-intensive masking of the vehicle body and multiple runs through the paint shop. PPG has helped global OEMs overcome this challenge through a breakthrough application technology that produces crisp paint edges without the use of masking and other time-intensive steps. PPG’s precision application process can reduce paint-shop application time by approximately 50 minutes per two-tone vehicle, according to the company. It supports sustainability goals by reducing carbon dioxide (CO2) emissions and eliminating the need for energy-intensive air-filtering systems to handle overspray. Color personalization also is enabled through PPG advancements in digital color styling, which dramatically reduces the time to market for new colors, according to PPG. Other trends highlighted in the PPG report are rising popularity of grays, blues, greens and violets, with vibrant new colors more likely to debut on sporty models rather than SUVs and pickups. Green, with its connection to nature, sustainability and inclusiveness, remains strong worldwide. This will continue to be an important color space for the automotive industry. “Green is also seen as a ’traffic light’ color, acting as a signal for everyone to go forward – it’s safe and we can trust this color,” Yeomans said. “Green has two directions. One is sporty, fresh and vivid. The other is organic and darker, with deeper tones developed or designed as dark luxury greens yet still with a sporty and fresh attitude.” From a global perspective, white (35% of vehicle builds) and black (18%) continue to be the predominant choices of car buyers, while demand for grays has increased 2% in each of the past two years. Blues remain strong at 8%, while reds dropped to 7% of builds. This was led by a 1.5% drop among North American consumers. PPG also sees increased emphasis on taking a holistic approach to vehicle styling. “We consider all surfaces and features of the vehicle as part of our color styling process,” said Yeomans. “As one example, we’re seeing increased use of specialized wheel coatings and colors to complement the styling cues of the vehicle body.” PPG’s unique position as a global color leader enables the company to observe and translate emerging color trends for customers’ applications – from consumer goods to automotive color and residential to commercial and industrial design.Using this fact-based approach, PPG color experts help customers generate color ideas based on cultural and demographic trends. The resulting color technologies coat a wide range of materials and surfaces, shorten development cycles and bring more desirable and better-looking products to market faster. The post PPG Report Shows 2-Tone Finishes Gaining Favor Among Car Buyers appeared first on Counterman Magazine. View the full article

O’Reilly Automotive Inc. announced record revenue and earnings for full-year and fourth-quarter 2021. Full-year 2021 sales increased 15% to $13.33 billion, while same-store sales for the year jumped 13.3%. The results represent 29 consecutive years of comparable-stores sales growth and record revenue and operating income for O’Reilly since becoming a public company in April of 1993. “Team O’Reilly’s dedication to unsurpassed customer service levels and relentless focus on profitable growth translated our strong top-line performance in 2021 into a record 21.9% operating margin, which exceeded our previous record operating margin by over 100 basis points,” O’Reilly CEO Greg Johnson said in a news release. “Our full-year diluted earnings per share increased 32% to $31.10, which represents a compounded annual growth rate of 25% over the last three years. I would like to congratulate Team O’Reilly for exceeding our sales and profitability goals in yet another incredible year and thank each of them for their continued hard work and dedication to our ongoing success.” Sales for fourth-quarter 2021, which ended Dec. 31, were up 16% to $3.29 billion compared to fourth-quarter 2020. Fourth-quarter comparable-store sales grew 14.5% year-over-year. “This incredible performance in the fourth quarter caps a tremendous year for our company, a year in which we delivered the best financial results in our company’s history, after setting the same records in 2020,” Johnson said. “Our full-year 2021 comparable-store sales growth of 13.3%, on top of our strong 2020 performance, represents a two-year stack of 24.2% and is a testament to our team’s unrelenting dedication to our customers. These accomplishments are all the more impressive in light of the extremely difficult challenges our team has faced the past two years, and I am extremely grateful for Team O’Reilly’s commitment to meeting the critical needs of our customers during the pandemic.” O’Reilly’s full-year 2022 guidance is for revenue between $14.2 billion and $14.5 billion, and comparable-store sales growth between 5% and 7%. “As we look forward to 2022, we remain confident in the strength of our team and our industry, and our 2022 financial guidance reflects our expectations for continued strong customer demand, as well as our planned strategy to further invest in pricing on the professional side of our business,” Johnson said. “We continually monitor the competitive landscape in our industry and have been extremely pleased with our ability to grow both our DIY and professional business at record levels over the last two years. However, we believe we have an opportunity to accelerate our professional share gain through targeted competitive adjustments to our pricing strategy.” The post O’Reilly Reports Record 2021 Results appeared first on Counterman Magazine. View the full article

In our 2022 Distribution Preview in the January issue of AMN/Counterman, aftermarket leaders talk about some of the key issues affecting the industry, and discuss their plans, goals and expectations for the year ahead. This year, we added several fun “Lightning Round” questions that you won’t want to miss. Here’s our Q&A with Robert Roos, president of the Pronto Automotive Distribution Network. AMN/CM: What did your organization accomplish in 2021 that you are most proud of? RR: Obviously at the beginning of 2021, we announced our merger of the Pronto and Automotive Distribution Network groups. We anticipated that the merger process would be a lengthy one that would encompass all of 2021. I am so very proud of our internal team, the collective membership and all we have accomplished. We have consolidated systems, processes and procedures to allow us to become a more productive and efficient group. While there is still much to be done, we are together a much stronger group than we could have ever been independently. I applaud the efforts of everyone involved in making our dream a reality. AMN/CM: What are your thoughts about the business environment for the automotive aftermarket in 2022? RR: Currently, we are anticipating the business environment heading into 2022 to be very similar to what we have experienced in the past year. Supply chain issues will continue to challenge us for the foreseeable future. We are hopeful that as we become more accustomed to these challenges as an industry, we will find new and improved ways to navigate these waters and mitigate the impact on our businesses. Even with the headwinds we face, we are optimistic about our industry and our ability to persevere. AMN/CM: What do you feel is the greatest threat facing the automotive aftermarket right now? RR: Another year behind us and it seems like the answer to this question continues to be “Right to Repair” and our access to vehicle data. The independent automotive industry won a huge battle in late 2020 when Massachusetts voters passed the Right to Repair bill, but the fight is far from over. Legal battles continue in the courts and our ability to access the necessary data to repair vehicles is still up in the air. We must continue to press the issue and educate people on this important issue. AMN AMN/CM: What phrase describes your “words to live by?” RR: “We cannot become what we want by remaining what we are.” – Max Depree AMN/CM: What is your best icebreaker at a networking reception? RR: “Hello. I’m Robert …” I definitely need a better line. AMN/CM: What is your dream car, or favorite vehicle you’ve owned? RR: Dream car – not a good question to ask me. I’m driving an older vehicle now, so I would be happy with just about anything newer. The post Pronto Network’s Roos: Right To Repair Fight ‘Far From Over’ appeared first on Counterman Magazine. View the full article

FRAM announced that it has finalized a partnership with driver Daniel Suárez for the 2022 season of the NASCAR Cup Series. Suárez will represent FRAM starting with the Bluegreen Vacations Duel at Daytona on February 17. Suárez, who will be competing in his sixth season this year, will be driving the No. 99 Trackhouse Racing Chevrolet. He says he is proud to carry the FRAM name as he competes at the highest level of stock car racing. “FRAM is a brand I have loved and used in almost all of my cars for many years, and this affiliation is not only very organic, but also a partnership that speaks my language,” said Suárez. “Aside from being an amazing product for any car, FRAM’s ethos and what they stand for is something that really resonates with me: a product that anyone can easily use, from an experienced mechanic to a mom or dad trying to change their filter in their own car. I feel proud to be a FRAM athlete, and I will wear that badge with honor.” Suárez grew up working alongside his father, Alejandro, in a car-restoration shop in his hometown of Monterrey, Mexico. It was there, in his father’s garage, where he was first introduced to FRAM filters and where he adopted a do-it-yourself approach to vehicle maintenance and repair. “FRAM is proud to partner with Daniel Suárez. His history with the brand made this partnership a natural fit, and we look forward to working together this season,” said Patrick Reyes, marketing manager for FRAM. “Daniel’s NASCAR success and his restoration of old cars is the perfect blend of the historical tradition and innovative excellence that the FRAM brand stands for.” With a legacy that goes back decades, FRAM provides a full set of filtration products to keep contaminants under control in critical spaces. Oil flow, engine air filtration and clean cabin air can all be protected with FRAM filters. Stay up-to-date with FRAM on Facebook and Instagram, and follow Daniel Suárez on Facebook, Instagram and Twitter. Learn more about FRAM filtration products at fram.com. The post FRAM Inks Partnership With NASCAR Cup Driver Daniel Suárez appeared first on Counterman Magazine. View the full article

D-A Lubricant Co. announced a new look for its PennGrade passenger-car motor oil and PennGrade1 high-performance oil – a first since D-A acquired the PennGrade name and logo in 2015. The PennGrade lineup of motor oil for passenger cars is now color-coded to demonstrate the distinct levels of viscosities between the synthetic, full synthetic and premium full synthetic motor oils. “The refresh on the labeling with the new color system makes it easier for the consumer to identify and differentiate between our good, better and best selection of motor oils for passenger cars,” said D-A Lubricant owner and CEO Mike Protogere. “Depending on the consumer’s price point and what features they are looking for, they can choose the right D-A oil for their car.” Operated in the United States for 100 years, D-A Lubricant is the first company ever to specialize exclusively in the manufacturing and distribution of heavy-duty lubricants designed especially for heavy-duty equipment, according to D-A. “D-A is already well-known and highly regarded in the heavy-duty and construction industries, but we want our customers to understand the full breadth of our lubricants and related products, which also includes those for passenger cars,” Protogere said. “We take great pride in our robust product portfolio – from industrial and agriculture to mining, power generation, on-highway transportation and automotive – and want our customers to be more aware of all we offer to fill their lubrication needs.” Also part of the branding refresh is an updated label for the iconic PennGrade 1 high-performance oil. The redesign helps differentiate PennGrade1 from the rest of the PennGrade family and includes a nod to the Brad Penn logo. “We want our customers loyal to the Brad Penn brand to know PennGrade 1 – The Original Green Oil – as well as the entire PennGrade 1 product line is the same product today as it has been for decades,” Protogere said. “It continues to use the unique Pennsylvania Grade base oil cut and the specially selected high-zinc, high-phosphorus formulation that’s been known and trusted by high-performance engine builders and vehicle owners for decades.” Family-owned and operated, D-A Lubricant is located in a state-of-the-art facility in Lebanon, Indiana. The 250,000-square-foot building includes space for offices, blending, processing, packaging, a technical lab, rail loading and offloading and 14 dock doors. D-A produces engine oils, transmission lubricants, greases, gear lubricants, hydraulic oils, antifreezes, specialty products and industrial grade lubricants. “D-A has a long history of quality, both in our products and our service,” Protogere said. “We believe this label refresh will create opportunities for a bigger on-shelf presence and awareness of the D-A brand to more customers across the country.” For more information about D-A Lubricant, visit dalube.com or call 317-923-5321. The post D-A Lubricant Unveils New Look For PennGrade, PennGrade1 appeared first on Counterman Magazine. View the full article

Northwood University and the Motor & Equipment Manufacturers Association (MEMA) are proud to announce Bill Long, president and CEO of MEMA, is among the 2022 class of Outstanding Business Leaders. The Outstanding Business Leader Award honors men and women from across the world who have made a difference in their business and community. Long, who has more than 40 years of experience in all sectors of the automotive industry, came to MEMA at a critical time. Vehicle suppliers were witnessing some of the greatest technological innovations in history while navigating significant regulatory mandates, workforce shortages, tariffs and border adjustment taxes and a new North American trade agreement. Through Long’s leadership, vehicle suppliers were deemed essential during the pandemic and MEMA gained a vital seat at the table with government policymakers and has emerged as a powerful voice in the national conversation on the issues affecting its 1,000 member companies. Long is a highly respected industry leader with more than 30 years of experience in all sectors of the automotive industry. He joined MEMA in 2012 to lead its AASA division before taking the top spot as MEMA president and CEO in February 2019. Prior to joining AASA, he served as president of Long Strategies LLC and as managing partner of BC Partners LLC, providing strategic planning, brand relevance and leadership services to clients in the automotive industry. Long is most recognized for his 25 years at Echlin/DANA, leading the company’s engine management division, and as executive vice president, North American operations for Proliance International, a leading manufacturer of temperature control and heat-exchange products. He also is well-known in motorsports circles, where he served as a corporate officer for NASCAR in Daytona Beach and as a top executive for the IndyCar Series and Indianapolis Motor Speedway. Northwood University annually recognizes a select group of business professionals for their achievements, support and exemplary leadership of the communities in which they live and work. These individuals serve as role models for Northwood University students as they share their experiences and obstacles they have encountered, in addition to how they overcame them while on the road to success. In the four decades since the program began, more than 300 business leaders from more than 30 states and several countries, have been recognized. These honorees represent a vast, diverse, group of people from dozens of industries and fields of business expertise. Northwood University bestows the tremendous honor of the Outstanding Business Leader Award over a multi-day celebration ending with a formal gala event where the members will receive an engraved crystal recognizing their honor. The 2022 gala will be held Saturday, April 23, at The Henry Ford Museum in Dearborn, Michigan. The post Bill Long Named Northwood Outstanding Business Leader appeared first on Counterman Magazine. View the full article

In our 2022 Distribution Preview in the January issue of AMN/Counterman, aftermarket leaders talk about some of the key issues affecting the industry, and discuss their plans, goals and expectations for the year ahead. This year, we added several fun “Lightning Round” questions that you won’t want to miss. Here’s our Q&A with Sue Godschalk, president of Federated Auto Parts. AMN/CM: What did your organization accomplish in 2021 that you are most proud of? SG: Last year, the Federated team was determined to get back to some sense of normalcy. We put more emphasis on finding ways to help our members improve their businesses. We ran a very successful sales-driven promotion that benefited both our members and supplier partners, and we tied that promotion to the Federated 400 NASCAR race in Richmond, Virginia. We also focused on enhancements in areas such as training and data services. We worked hard to help our members grow their sales while focusing on improving efficiencies at headquarters through more emphasis on cutting expenses and cross-training employees. When supply chain disruption created another challenge, the situation was made less painful for our membership due to the Federated Co-Man Warehouse. The Federated Co-Man operation was able to fill orders for many products that members were having trouble sourcing from suppliers. Having talented buyers and dedicated employees at our Co-Man facility helped to keep the shelves stocked at our member locations. I am so proud of the Federated leadership and membership and as they continue to prove that they are determined, innovative and resilient. I look forward to an even stronger 2022. AMN/CM: What are some of the biggest trends that could have an impact on your business in 2022? SG: Supply chain disruption remains a top concern for 2022. Many companies continue to face shipping delays, making order fulfillment difficult. I believe we can also expect to see an enormous amount of ensuing price changes continue in 2022, and persisting labor shortages will have a major effect on businesses. I think COVID-19 will continue to impact the labor shortage, as will the uncertainty surrounding the implementation of a new federal vaccine mandate. In 2021, we saw a change in consumers’ vehicle preferences. Light trucks (pickups, SUVs, CUVs) became a larger share of the overall vehicle population. I believe this trend will continue in 2022. Replacement parts for these vehicles typically cost more. Plus, these are the types of vehicles that consumers like to accessorize – two positives for aftermarket sales. Another trend that will continue to be strong in the coming year and beyond is online retailing. Before COVID-19, many automotive companies were hesitant to provide online ordering to consumers. Statistics have clearly shown that online selling has become the new normal. Increased production of electric vehicles with digital technology will certainly impact the aftermarket. All indications are that electric vehicles will come sooner rather than later. I expect we will see OEMs create EV-specific maintenance plans with the intent to convince consumers that they are the only source qualified to work on these vehicles. Having trained technicians with access to vehicle-repair specifications, along with the proper diagnostic equipment, will be key for independent repair shops to manage the complexity of the next generation of vehicles. AMN/CM: What do you feel is the greatest opportunity in the automotive aftermarket right now? SG: Increased sales of pre-owned vehicles will certainly benefit aftermarket sales. All indicators show that the demand for used vehicles will continue to be high. Late-model used vehicles feature the latest technology, requiring automotive repair shops to have well-trained technicians to correctly install parts and service vehicles. Because consumers are keeping their vehicles longer, the chance of component failures will increase the need for vehicle service and aftermarket parts. AMN/CM: What phrase describes your “words to live by?” SG: That which does not kill us makes us stronger. AMN/CM: What is your best icebreaker at a networking reception? SG: How is everything going for you so far? AMN/CM: What is your dream car, or favorite vehicle you’ve owned? SG: I love my current vehicle … a 2014 Audi Q5. The post Federated CEO: ‘Supply Chain Disruption Remains A Top Concern’ appeared first on Counterman Magazine. View the full article

Advance Auto Parts reported a company-record $11 billion in net sales for full-year 2021, an 8.8% increase over 2020. Comparable-store sales for 2021 were up 10.7%, according to the company. Fourth-quarter 2021 net sales were up 1.3% to $2.4 billion. Excluding sales from the extra week in the fourth quarter of 2020, net sales in fourth-quarter 2021 increased 8.6%. Comparable-store sales grew 8.2% in the fourth quarter. “Advance had a strong fourth quarter and delivered a record year in 2021 across all key metrics,” CEO Tom Greco said in a news release. “We remained focused throughout the year on the execution of the strategy we outlined last April to deliver top-quartile total shareholder return. Thanks to the dedication of our team members and independent partners, our business is substantially stronger and better positioned today than it was prior to the pandemic.” Greco noted that the company returned a record $1 billion in cash to shareholders through share repurchases and quarterly cash dividends. In addition, Advance has granted more than 24,000 stock awards to frontline team members, as part of its “Fuel the Frontline” program. “This investment creates an ownership culture that helps enable Advance to remain an employer of choice for the long term,” Greco added. For full-year 2022, Advance said it expects net sales in the range of $11.2 billion and $11.5 billion. The company expects to open as many as 150 new stores this year. “We believe that we are well-positioned to deliver growth building off our record 2021 results and the ongoing execution of our strategic initiatives,” CFO Jeff Shepherd said in a news release. “We’re encouraged by the first four weeks of 2022, with comp sales trending above the top-end of our full-year guidance range as the growth drivers of our industry remain positive. However, our guide also takes into consideration macroeconomic uncertainty related to the acceleration of inflation across the economy and the impact it could have on our core customer.” The post Advance Auto Parts Reports Record 2021 Results appeared first on Counterman Magazine. View the full article