- Chrysler Jeep and Dodge dealerships among the nation's top-grossing
                         Hispanic-owned businesses
     - Chrysler's Hispanic dealers gross more than $4 billion in sales

    AUBURN HILLS, Mich., July 28 /PRNewswire/– Hispanic Business Magazine
named nine Hispanic-owned Chrysler LLC dealers to its 2008 annual “Top 500″
U.S. Hispanic-owned companies list. Dealers made the list based on the
following criteria: Revenue dollars; Hispanic ownership of at least 51
percent; and fully operational for the 2007 calendar year.

    Hispanic Business Magazine’s list included three Chrysler dealers in
the top 10. The top dealer, ranked No. 3, was Lloyd Chavez Jr. of the Burt
Automotive Network in Centennial, Colo., which includes Burt Chrysler Jeep
Dodge of Parker, Colo., and other franchises. The dealership group boasted
$2.12 billion in revenue last year. The second dealer was Ernesto Ancira
Jr. of Ancira Enterprises Inc., which was ranked No. 7 and grossed $691.26
million. Ancira Enterprises includes Ancira 281 North Chrysler Jeep; Ancira
Dodge; and Ancira Motor Co., among its many franchises. Also on the list
was Frank Rodriguez of Greenway Ford Inc., at No. 9, which grossed $520.13
million. Rodriguez’s franchises include Greenway Chrysler Jeep Dodge in
Orlando, Fla.; and Atlanta Chrysler Jeep Dodge in Atlanta.

    In total, the nine dealers grossed more than $4 billion* last year.

    “Chrysler’s Hispanic dealers are an economic force in this country,”
said Cecil Ward, Senior Manager - Network Diversity and Dealer Development.
“This ranking is significant to Chrysler because it demonstrates the
strength of our minority dealer network and also is a testament to the hard
work that many people have put into these dealerships.”

    The Hispanic Business Magazine “Top 500″ list is widely recognized as
the most respected measure of Hispanic-owned business performance. The
entire list totaled $36.1 billion in revenues last year.

    This is the 26th year of the Hispanic Business Magazine “Top 500.” The
dealers that made the “Top 500″ list are:

    * Dealer’s revenues also included sales from other automotive dealerships.

    3   The Burt Automotive  Parker, Colo.  Lloyd Chavez Jr.   $2.12 billion
         Network

    7   Ancira Enterprises   San Antonio,   Ernesto Ancira Jr. $691.26 million
                              Texas

    9   Greenway/Atlanta     Orlando, Fla.  Frank Rodriguez    $520.13 million
         Chrysler Jeep Dodge

    24  Gonzales Automotive  South Gate,    Silvestre Gonzales $274.60 million
         Group                Calif.

    41  Elder Automotive     Troy, Mich.    Irma Elder         $159.56 million
         Group

    76  A&D Automotive       Dothan, Ala.   Dino Velaquez      $93 million

    101 Varela Auto          Palestine,     Fernando Varela    $61.54 million
         Group                Texas

    103 Tamiami Automotive   Miami, Fla.    Carlos Planas      $60.99 million
         Group

    105 Love Chrysler, Inc.  Corpus         Marion Luna Brem   $57.50 million
                              Christi,
                              Texas

Fort Lauderdale, FL  — AutoUSA, the industry’s leading provider of the highest quality Internet-generated consumer leads to auto dealers nationwide, today announced that its Edmunds.com Premier Dealer Program is now available to General Motors (GM) auto retailers. The program provides dealers with exclusive lead territories, top placement in Edmunds’ Dealer Locator, and over 100 dealer-branded advertisements throughout Edmunds.com driving the highest quality trackable phone calls, leads, branding and traffic to the dealer website.

“Edmunds.com’s Premier Dealer Program is an outstanding Internet branding program and a great way for GM dealers to generate high quality Web traffic and leads,” said Phil DuPree, president of AutoUSA. “I can’t think of a better opportunity for dealers who want to increase their online sales.”

I can’t think of a better opportunity for dealers who want to increase their online sales.
Edmunds.com is one of the leading online resources for automotive information. Millions of consumers visit the site each month to shop for a vehicle. The Premier Dealer Program helps dealers more effectively reach auto buyers by prominently displaying the dealer’s brand throughout the portal, insuring the dealership receives top listing in searches and providing exclusive lead territories.

AutoUSA first launched the Edmunds.com Premier Dealer Program for non-GM dealer clients in 2006. Several months later, AutoUSA confirmed that there was a significant increase in lead quality and closing ratios amongst program participants. Dealers attributed the program’s overwhelming success to territory exclusivity and the portal’s popularity as a trusted source for vehicle reports, research, articles and comparisons.

GM dealers who sign up for the Edmunds.com Premier Dealer Program can take advantage of several marketing and branding opportunities that guarantee maximum exposure to targeted auto consumers, including:

Territory Exclusivity — One dealer per make per area. The territory assignments remain in place unless given up by the dealer.

Top Dealer Locator Placement — Guaranteed top placement in Edmunds.com’s Dealer Locator — even if there’s a competing dealer that’s closer. Once a dealer owns the top spot, it’s theirs exclusively. Includes a dealer endorsement by Edmunds.com.

Branded Advertisements — Over 100 branded advertisements throughout Edmunds.com on new and used car pages. Advertisements include an Edmunds Premier Dealer logo, trackable dealer phone number, two links to to the dealer’s Web site and a link to the dealer’s own Premier Dealer Web page

Premier Dealer Web page — An Edmunds.com-hosted dealer Web page that includes dealer logo, contact information, trackable dealer phone number, two links to dealer’s Web site, Edmunds message endorsing the dealer, lead form, map and driving directions.

“Edmunds has done a great job with this program. It’s one of the most cost-effective ways for a dealer to extend their online presence to purchase-ready auto consumers,” said DuPree.

About AutoUSA (www.AutoUSA.com)
AutoUSA, Inc., is headquartered in Fort Lauderdale, Florida, and a subsidiary of AutoNation, Inc. (NYSE: AN), the largest retail automotive company in the United States. AutoUSA is an independent third-party provider of leads to more than 4,000 dealerships. The company has built its success on a combination of advanced web-based technology and a network that includes the country’s most well respected online automotive resources, including Edmunds.com, Kelley Blue Book, MSN Autos, Yahoo! Autos, America Online, NADA Analytical Services Group, AutoVantage.com, AutoNation.com and AutoUSA.com. The vast majority of Ward’s Top 100 eDealers use AutoUSA. More information is available online at http://www.AutoUSA.com

As automakers try to entice con­sumers with low- and no-interest financing on new vehicles amid a slow economy and rising fuel prices, some small banks appear to be backing away from the auto-loan market, while credit unions and some larger banks still participate in the fray, industry insiders say.

The general slowdown in the auto industry, rather than automaker incentives, has had the greatest impact on auto-loan volumes, at least at Spokane Teachers Credit Union, says Patrick Garrity, the credit union’s director of consumer lending.

“We’re not losing a lot of business because of those 3.9 percent or lower rates,” Garrity says. “The bigger impact is the overall auto-industry market has slowed.”

About 15 percent of STCU’s loan portfolio is in auto loans, he says, adding, “We want to do auto loans.”

Meanwhile, auto lending no longer is an emphasis at Inland Northwest Bank, says Randy Fewel, the Spokane-based bank’s president and CEO.

“Over the years, auto financing has become less and less of our business,” Fewel says. “My guess is that 15 to 20 years ago, car loans might have been 20 percent of our business. Today, it’s about 2 percent.”

Fewel says it’s difficult these days for many banks to compete with the rates offered by credit unions, automakers, and the national financing networks offered through dealerships.

“Their rates are incredible,” he says. “We can’t match them.”

Don Webster, business manager at Wendle Motors Inc., of Spokane, says that despite auto manufacturers’ incentives on some models, the majority of financing used to buy cars through Wendle is handled through the dealership’s online national lender networks, such as DealerTrack and Credit Union Direct Lending (CUDL). Such networks have become the dominant lending conduits in the last two years, he says.

“We’re handling 70 to 80 percent of the financing” through them, Webster says, referring to the dealership, which sells Ford, Nissan, Infinity, and Suzuki vehicles.

He says the lender networks offer financing that typically matches or beats loan rates that car buyers can find on their own through banks and credit unions. Through the online systems, borrowers with good credit can have loans approved electronically in seconds, Webster says.

Because the Rancho Cucamonga, Calif.-based CUDL network includes about 50 credit unions in its Northwest region, the dealership often can arrange loans at the same rate customers can get from their own credit unions, he says.

“If, for instance, you just moved here from Seattle, and you’re still with Boeing Credit Union, we can do it all right here for you,” Webster says.

If a customer isn’t already a member of a credit union in the network, but wants to finance a vehicle through the network, Wendle can help them sign up as a credit union member.

In such an arrangement, the dealership charges the lender a processing fee.

“Basically the lender pays us for doing the paperwork,” he says. “It doesn’t cost the customer anything extra.”

Meanwhile, though it’s nothing new for automakers to offer their own incentive financing as a way to attract more buyers to their dealer’s lots, in a soft auto-sales market those offers often intensify.

In recent newspaper ads, Saturn and GMC both were offering zero percent interest for 72 months, while Mazda was offering no-interest loans for up to 60 months. Downtown Toyota and Downtown Honda were advertising incentive rates on certified used vehicles.

Scott Brewer, general manager of George Gee Automotive Group, of Liberty Lake, which sells Buick, Pontiac, GMC, Hummer, and Porsche products, says banks and credit unions can’t compete with the zero percent, 72-month financing that manufacturers offer.

In the current down market, however, most manufacturers who offer such incentives have put them on large SUVs and full-sized pickups, which aren’t selling well because gas prices are so high, Brewer says.

Even with the incentives, market values for trade-ins have dropped so much that the incentives haven’t sparked sales as they did when such financing was offered in 2006, he says.

Buyers are more interested in higher-gas-mileage vehicles, which are selling comparatively well without interest-rate incentives, Brewer says.

He also says most people are financing through institutions in the CUDL and DealerTrack networks.

“Just about anybody who finances uses one of these two sources,” he says.

Brewer says credit unions generally offer lower interest rates than banks, although larger banks, including Bank of America and U.S. Bank, “can get aggressive and be reasonably competitive,” offering some loan rates below 6 percent.

Spokane-based Wash­ington Trust Bank isn’t a member of the Dealer­Track network, and the bank doesn’t specialize in auto loans, says James Mellott, spokes­man for the bank.

“We advertise them on our Web site, but, other than that we don’t market them,” Mellott says. “Commercial lending is our primary focus.”

The bank, though, is marketing aggressively its line of home-equity loans, which he says often are tapped by customers to pay for automobiles, boats, and recreational vehicles.

Such loans typically have annual rates from 4 percent to 8 percent, he says.

“Payments are more flexible for home-equity loans, and the terms for them can be extended,” he adds.

Bank of Fairfield, a Rockford, Wash.-based community bank, doesn’t participate in dealer networks and doesn’t market auto loans, says Geoff Forshag, the bank’s president.

“We don’t as a practice have a large amount of auto loans,” Forshag says. “Customers who do have auto loans with us chose convenience as more important than the rates. They need to know they can get what they need in a short time.”

STCU’s Garrity says the credit union, which isn’t a member of the CUDL network, was experiencing steady growth in auto loans until last spring. “Then auto finance overall slowed down,” he says, adding that the slowdown continued through the first four months of this year.

“The last couple of months it has picked up,” Garrity says. “Consumer spending has been better than what most had expected.”

He’s noticed that some people are taking out loans so they can switch to more fuel-efficient vehicles.

“We’re definitely hearing our members asking us if we know of dealerships with more economy-type vehicles,” Garrity says.

STCU offers auto loans with financing as low as 5.74 percent for up to 84 months, he says.

The credit union also offers discounts to auto buyers who make their loan payments automatically through electronic means, and for those who have credit cards through STCU.

Lower-interest manufacturer financing might not be the best deal, depending on restrictions that can come with it, Garrity contends.

“In general, you give up rebates to get the best financing rates offered by the manufacturer,” he says.

Given a choice, rebates are sometimes worth more than the savings in interest on low-interest loans, he contends.

“That’s something we encourage them to compare,” he says. “The rebate could be enough that they come out ahead taking the rebate and a higher-interest loan.”

Auto financing isn’t just for new cars, Garrity says, adding, “We do more financing for used than new.”

STCU encourages its members to arrange preapproved financing before they visit car dealerships.

“If they choose financing at the dealerships, we’re OK with that,” Garrity says. “Maybe they will come to us before their next purchase.”

Not everybody is going to qualify for the manufacturers’ low-interest financing, he says. “Those who do qualify could get financing anywhere. That’s why we say compare.”

Ann Flannigan, vice president of public relations at Washington State Employees Credit Union, a member of CUDL for four or five years, says the credit union offers 72-month loans with rates as low as 4.99 percent.

Through CUDL, the credit union had a near-record month for car-loan volume in May, Flannigan says.

She says customers are choosing rebates and discounts over manufacturers’ low-interest financing incentives.

“Our customers are choosing cash savings up front instead of small savings over time,” Flannigan says. “They need a deeper discount—now.”

She says many members have joined the credit union through CUDL. “It’s a significant factor in our membership growth,” Flannigan says.

Contact Mike McLean at (509) 344-1266 or via e-mail at mikem@spokanejournal.com.

MIKOH Corporation (ASX: MIK) and Ship2Save entered a partnership to deliver joint solutions to AVS Key and Inventory Solutions as part of the company’s RFID-enabled security system aimed to prevent car theft from automotive dealerships. The solution combines MIKOH’s Smart&Secure tamper evident RFID platform with custom cabinets from Ship2Save and the company’s Operational Management Systems (OMS).

“Car theft is a rising concern for dealerships, mostly due to stolen keys,” said Anoop Sharma, president of AVS Key and Inventory Solutions and a former Toronto police officer. “During test drives, thieves switch the original keys with counterfeits, returning a few hours later to drive the car off the lot and onto a waiting truck. RFID is an ideal security solution to prevent key counterfeiting and theft.”

AVS Key and Inventory Solutions approached MIKOH and Ship2Save to create a security solution to prevent car theft due to stolen dealership keys. The keys are stored in a custom Ship2Save cabinet equipped with an automatic locking mechanism. Employees must check out keys using coded ID cards, but are only authorized to check out a certain quantity of keys for a limited period of time. If keys are not returned within that time period, or if more keys are removed than allowed, the Ship2Save OMS alerts designated parties within the company that the keys are at risk. The dealership can then move at-risk vehicles to secure locations to prevent theft.

MIKOH delivers tamper evidence security with Smart&Secure. Each key is equipped with an RFID tag using the Smart&Secure platform. The RFID functionality is disabled if the tag is tampered with or removed. This prevents thieves from circumventing the security system.

“Car theft costs dealerships approximately $420,000 each year, not including increased insurance premiums and lost opportunity costs,” said Aminder Singh, vice president products and services for Ship2Save. “The Ship2Save and MIKOH partnership creates an obvious solution to enhance dealership security. The addressable market in North America alone is more than 10 million tags annually.”

In addition, dealership employees often misplace keys or forget to return them, forcing the dealership to order expensive replacements. Dealerships spend an average of $2,000 each year in key replacement fees. The AVS Key and Inventory Solutions system enables dealerships to better manage key inventories.

“AVS Key and Inventory Solutions perfectly illustrates how RFID can be leveraged to create an innovative solution to a specific market need,” said Andrew Strauch, vice president of product marketing and management for MIKOH. “The result prevents car theft, saving money for both dealerships and insurance companies while also saving time and resources for local law enforcement organizations.”

The AVS Key and Inventory Solutions system is currently deployed in a Toronto-based car dealership with plans to expand to eight additional dealerships across the greater Toronto metropolitan area. Future plans call for product deployments across the whole of North America.

About AVS Key and Inventory Solutions Inc.

AVS Key and Inventory Solutions Inc. headed by a former Toronto police officer with more than 15 years policing experience. The company is currently assisting the automotive industry in theft prevention by mobilizing a unique key monitoring system.

About Ship2Save

Ship2Save is one of the industry leaders in cost effective RFID Solutions and is a founding member of the Canadian Microsoft RFID Council, a member of the Microsoft Global RFID Council, an EPC Global Canada Strategic Council Member, a CompTIA RFID+™ Cornerstone Committee Member, and a member of Texas Instruments Tag-It Team. Ship2Save’s unique product lines, flexible and proficient software, business development models, and distinctive deployment services, offer customers cost effective and high quality solutions for their RFID needs. For more information, visit www.ship2save.com.

Cool Springs luxury car wash, car accessories and garage retailer Miles The Auto Spa said Friday it is selling used high-end automobiles on its lot, a move that industry experts think will help boost the company’s overall business.

Miles Johnson, the company’s founder and president, said he plans to sell 15 to 20 used luxury automobiles and sport utility vehicles on his 1.5-acre lot at Bakers Bridge Road.
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Johnson said he believes consumers will sell their cars at his business because of the large amount of customers who wash their cars and buy products there as well as a potential for a higher profit for their vehicle.

“Unlike any other car dealer in the country, we have this inbound, constant flow of people who like cars,” Johnson said.

Johnson partnered with wholesale mortgage executive Jeff Yates to form Miles AutoMotive, the sales division that started selling cars in March.

Johnson said the company invested about $50,000 in the division in Web site development, merchandising, advertising and other items. He also has obtained a line of credit to buy used cars, Johnson said, but declined to discuss the details.

Johnson said 30 percent of the cars on the lot would be consigned. Customers pay an upfront $300 or $500 fee to detail their cars and market them at the lot and online.
Profits are split

Before the customer pays the fee, Miles AutoMotive does a market analysis on the car’s minimum sales price. If the car is sold above the minimum price, that profit margin is split in half between the company and the customer.

Miles The Auto Spa opened in February 2007 and Johnson said he invested less than $4 million in that business from his personal funds, Pinnacle Financial Partners and a Small Business Administration loan. Johnson bought the lot about two years ago for $1 million, and his business is near other car dealerships in the area.

Bob Schrum, vice president of the Southeastern Carwash Association, which represents operators in the Southeast, said he thought Johnson’s idea was “ideal” because Johnson will be able to get an upfront fee for detailing from new customers who want to sell their cars.

“It sounds like a perfect fit,” Schrum said, adding that it could boost business at a time when consumers are bringing 10 percent to 25 percent fewer vehicles to car washes. But Johnson said sales at The Auto Spa remain strong, with gross sales revenue in the first 10 months of business exceeding $1 million.

Gross sales for its second year will be between $1.5 million and $2 million, he projects.

Wendy Lee can be reached at 259-8092 or wlee@tennessean.com