May 24, 2012

Tulsa Dealer Receives AIADA Dealer Advocacy Award
On Wednesday, AIADA honored Tulsa auto dealer Jim Norton with its Legislative Action Network (L.A.N.) Grassroots Award at the association’s 6th Annual International Auto Industry Summit in Washington, D.C. The award recognizes Norton’s advocacy efforts in reaching out to and engaging his members of Congress and other policy makers on issues important to the international nameplate dealer community. “Jim has demonstrated an exceptional commitment to opening a dialogue in Washington on the issues that matter most to AIADA’s dealer members,” said AIADA President Cody Lusk. “I can think of no one more deserving of this year’s Grassroots Award.” Norton is the owner and president of Jim Norton Toyota and Jim Norton Toyota of Lawton. Together, both dealerships have been the recipient of the Toyota President’s Award 12 times. He has served on the Isuzu and Toyota Regional and National Dealer Councils and is the past president of the Oklahoma Auto Dealers Association. Norton also served on the AIADA board of directors and is the immediate past chairman of the Automotive Free International Trade Political Action Committee (AFIT-PAC). Read more about AIADA’s Grassroots Award here. For more on dealer Jim Norton, click here.

Auto Sales will Rise 30% Compared with Weak May 2011, Researchers Predict
U.S. new-car sales look set to rise almost 30 percent in May, the biggest gain in more than a year but helped by a favorable comparison to weak results a year ago, according to research firms Kelley Blue Book and Edmunds.com. Automotive News reports that U.S. light vehicle demand slumped 4 percent in May 2011 to 1,061,841 units as the impact of the March 2011 earthquake in Japan began to disrupt car and truck stockpiles. The expected sales of 1,378,000 vehicles in May would translate to an annual selling rate of 14.2 million vehicles, matching January for the lowest pace of the year, Kelley Blue Book said. However, that would be the fifth consecutive month at a pace above 14 million, and well above the 11.7 million rate in May 2011. Edmunds released a similar forecast. "May overall looks strong," Jessica Caldwell, an industry analyst with Edmunds, said Tuesday. "The big driver for the month will continue to be pent-up demand. If we can get those buyers into the marketplace, sales will sustain at a reasonable level." U.S. auto sales are on pace for the best showing since 2007. Click here for the latest auto sales forecast for May.

Late Payment Rate on Auto Loans Now Lowest in 13 Years
The rate of late payments for auto loans fell nationally in the first three months of the year to the lowest level in more than a decade, USA Today reports. What's more, the improved record comes despite lenders having written more loans to high-risk borrowers. In the first quarter, the rate of U.S. auto loan payments at least 60 days overdue declined to 0.36 percent, a 27 percent reduction from the same period last year, according to credit reporting agency TransUnion. TransUnion says the rate is the lowest since it started tracking auto loan data in 1999. The highest rate recorded by the company was 2.39 percent in the first quarter of 2000. The auto loan delinquency rate has fallen on an annual basis for 10 consecutive quarters. One big reason was that after the recession, many borrowers made paying off car loans a top priority. Read more about auto loan delinquency rates and what they mean for the auto industry by clicking here.

Expect More Memorial Day Drivers, Shoppers
People in the U.S. are feeling better about the coming Memorial Day weekend than they did a year ago, according to an IBM study. As a result they may have bigger travel and shopping plans for the unofficial kickoff of the summer road-trip and vacation season. Through an analysis of social media sentiment, IBM found a significant increase in the number of people talking about travel and spending. According to the IBM Social Sentiment Index, conversations about Memorial Day travel increased by 46 percent compared to 2011. This suggests travel providers could see a boost in business and transportation officials will have to deal with more traffic. The Wall Street Journal reports that the index also shows a 65 percent rise in people mentioning traveling by air while discussion of driving increased 13 percent. IBM said consumer sentiment regarding gasoline prices is surprisingly positive considering the average price of a gallon of regular gas. Social media showed a five-to-one ratio of positive to negative mentions about gas in 2012 compared to a one-to-one ratio in 2011. These trends may indicate people are more confident about their finances this year. Read about how people are reacting to this weekend’s Memorial Day holiday here.

Cars for Facebook Billionaires
Although its stock has come down from its IPO price, some Facebook partners could still be worth, by most estimates, huge stadium-sized buckets of money. While they can't sell their shares for six months, they're probably thinking about how to spend their cash when the time is right. Perhaps they want to buy a new car or two. Or maybe ten. And while some of us might go out and simply fill up a garage with the highest priced offerings from the likes of Ferrari and Bentley, Facebook culture is different. Facebook's corporate ethos reportedly shuns overt displays of wealth. CEO Mark Zuckerberg works in a t-shirt and plastic sandals. He drives an Acura TSX, which starts at just over $30,000. We're guessing a Facebook employee will want to drive something that shows an interest in the latest technology along with proper respect for the environment. If a car happens to be outrageously expensive, that can be excused if it at least appeals strongly to the "green" and/or "geeky" style. With all that in mind, CNN Money is presenting some suggestions for cars Facebook employees may want to consider. Click here to read more and check out the list.

ADESA DealerBlock is now ADESA OpenLane
If you’re in the market for pre-owned vehicles, take a look at ADESA’s newest online offering. ADESA OpenLane combines the inventory previously available on both ADESA DealerBlock and OPENLANE.com into a single platform. Dealer can log-in to ADESA.com 24/7 to access OpenLane. Users will find more inventory, more choices and more Internet-based remarketing solutions with OpenLane. The system’s enhanced functionality and a cutting-edge operating system makes it even easier to locate, purchase and transport vehicles. Find inventory from these international sellers on OpenLane: Acura Remarketing, Audi Financial, BMW Financial Services, Honda Remarketing, Hyundai Finance, Hyundai Motors, KIA Motors, Lexus Financial Services, Mercedes-Benz Financial Services, Mitsubishi Motors, Porsche Financial Services, Subaru, Toyota Financial Services and Volkswagen Credit. To register for OpenLane, log on to ADESA.com.

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Spy Shots: 2013 Kia Rondo [MotorAuthority]
Fast N' Loud is Wheeler Dealers, American Style [Autoblog]