Salvage Wire

Salvage Wire
Helping Automotive recyclers become leaders in their industry

Friday 23 December 2011

International Round Table on Auto Recycling 2012

Building on past success in Japan, Australia and Canada, the 6th international Round Table Meeting will take place in Liverpool, England, June 14-16th 2012.
Leading international automotive recyclers and industry officials will come together in one of the most historic cities in the United Kingdom.
The three day event includes a day at Europe's premier auto recycling show CARS

Full details of the whole event can be found on the IRT web site (http://irt-autorecycling.org/)

Final Comment on 2011

The year started with the Irish Government issuing a consultation document that detailed possible future total loss legislation. Ireland has since had an election and a change of government so this consultation has been shelved for the moment. It won’t be long though before it comes back, and if it works in Ireland, it will work anywhere in the world.

Take a step back and look at your business; are you following the various Codes of Practice and guidance papers that show how things should be done? These can easily become legislation that could be far more costly and invasive than the current processes, so think very carefully before you sell that piece of salvage or cut the front end off a bodyshell.

The price of decent salvage is higher than it has been for a long time and it is more difficult than ever to make a profit, but it is possible! How quickly do you turn your stock around? What is in demand? What do you have too much of in stock? How much money is tied up in ‘hulks’ that are taking up space in your yard? How efficient are your sales staff? How do you sell parts, market your business, and gain more quality stock? The ideas are out there, all you have to do is look, share ideas with successful businesses, learn, develop and implement processes.

Join a salvage organisation who can show benefit to the industry and their members, use them to gain discounts on valuable services such as insurance and training. Your membership helps them to influence national and local government, change legislation that is inappropriate, develop new processes and standards that benefit the industry and bring new ideas and talent to help salvage businesses grow.

Exporting will not stop; we work in a global industry so it is time to get used to dealing with customers from other countries on a regular basis.

It is time to catch up with the real world, use of Twitter, Facebook and other social media is not something that you can ignore any longer. Technology like this can give you immediate feedback, marketing and customer access, and it is free! Ignorance is not an excuse, take the time to learn how these systems operate and the benefit they can bring you, the world is using them, why aren’t you?

Environment Agencies are there to enforce regulations and legislation and make sure the risk of pollution is limited. They are very good at prioritising who they need to visit, and if they are visiting you more than once every 6 months then you need to look at how you run your yard and improve so the focus can move onto those that do not comply.

Technical Competence is here to stay, it won’t go away and this sort of training and qualification will increase – and it will benefit the industry - if you haven’t got it by the end of Feb 2012 then don’t expect your licence to continue.

Grumpy salvage operators love other grumpy salvage operators, try and get out a bit more and away from the industry, make friends with people outside of the motor industry who have equally difficult and frustrating working lives and get some perspective, if your business isn’t working then stop blaming everyone else.

Now is the opportunity to change; the vehicles we deal with are changing dramatically all the time and the next few years will be no different, hybrids, fuel cells, electric vehicles, aluminium, composites and even more advanced steels are in use now. The opportunity to be ahead of the competition will not last forever so 2012 may be the time to invest in the future. Are you going to take up the challenge?

This industry is full of intelligent, dedicated, professional, experienced and adaptable people who want to move forward; for those who cannot see the future with this sort of enthusiasm then please step to one side and allow the rest of us through.

Friday 16 December 2011

Vehicle Damage Assessor Day 4

Completed!
3 vehicles in 7 hours, doesn't seem like much but it is amazing where the time goes. Won't say much about the vehicles or the exam as I don't want to give any clues away to others who will take the exam in the near future.
4 hour drive home allowed time for reflection, don't know if I passed but feel OK about it.
One thing is for sure, I will complete vehicle inspections differently in the future as a result of the training and development, there is a need to make sure that vehicle repairs being suggested are possible and safe, and qualified technicians and experts are required to assess and repair these very complex items so that they are safe and will perform as intended in all circumstances.

Wednesday 14 December 2011

Vehicle Damage Assessor - day 3

2 vehicle assessments completed, marked and feedback received. Why can’t vehicle manufacturers work together to give consistent data and information?
Most vehicles that have Curtain Air Bags fitted have a symbol on either the ‘A’ or ‘B’ pillar, Renault put them on the headlining above the rear passenger head restraints!

Accurate vehicle data capture and damage assessment is of paramount importance, is the vehicle equipped with airbags and supplementary restraint systems? How many and have been deployed?
Again, inconsistencies between the manufacturers mean that SRS Control Systems are treated differently; some ECU’s will work through numerous airbag deployments whereas others have to be replaced after every accident and airbag deployment.

The Motor Insurance Repair and Research Centre, otherwise known as Thatcham, is able to provide most of this information. Over the years Thatcham have crash tested, repaired, stripped out, and rebuilt hundreds of cars, and their world leading research is available to subscribers the world over. Included in this research is all the data on types of metals used in the vehicles, repair techniques and methods, parts availability, SRS information and much more. Details available at www.thatcham.org.

Any business that is repairing body damage on cars has a need to access this information and the qualifications that go along with them, this is the only way that they can guarantee a safe, quality repair for their customers, by ensuring that the vehicle is repaired to a standard that means it will perform as intended in the event of another accident occurring.

Tomorrow is the test day, 3 assessments in 7 hours!

Tuesday 13 December 2011

Vehicle Damage Assessor Day 2

40 MPH into a deformable concrete block doesn’t sound much, but when you look at crash tests of vehicles from the 1990’s it is amazing to think that anyone ever survived an accident.
Comparison with crash tests on European cars designed in the last 5 years shows the incredible advancement in vehicle design and technology, the same 40MPH test results in almost minimal injury to the vehicle occupants.
This has been achieved with the major advancement of High Strength and Ultra High Strength Steels that are much stronger than mild steel with less weight.
This advancement compromises the reparability of vehicles and highlights the role of the vehicle damage assessor in making sure that any vehicle repair is completed in such a way that the vehicle will perform as intended in the event of another accident.
The Vehicle Damage Assessor is only one part of the process, all the Technicians in the repair centre need to be suitably qualified before the body repair centre achieves the required standard.
Day 2 of the course looked at some of the resources available that show how a vehicle has been designed and built and, more importantly, repair methods. The whole afternoon was dedicated to producing a repair assessment on one vehicle, capturing important safety critical repairs along with the method of repair.
Tomorrow we assess 2 vehicles in preparation for the full day assessment later in the week.

Monday 12 December 2011

Vehicle Damage Assessor

Having been involved in vehicle repairs for over 30 years what more could I learn?
Vehicle Damage Assessors must ensure that they select the correct method of repair to ensure the vehicle is repaired in such a way that it will work as intended in the event of another accident.
Failure to do this could result in serious criminal charges against the Vehicle Damage Assessors if another accident results in injury or fatality because the built in safety features failed to work correctly.
With the ever increasing complexity of vehicles currently on sale and coming to market over the coming months the course is very relevant and necessary, especially when looking at the use of High Strength and Ultra High Strength Steels in the vehicle structure as well as all the passive safety systems such as airbags and seat belts.
As the owner of a number of cars I am pleased to know that in the event of an accident my cars can be repaired to the highest standards and my wife and children will be driving safe vehicles in the future, but what about vehicles repaired in the motor salvage market where these standards do not apply?
Poor quality repairs can endanger the lives of our customers, customers who are looking to us in the salvage industry to provide them cheaper motoring, we must make certain that the salvage vehicles we repair are repaired to the highest standard using manufacturers guidelines and appropriate parts.
Does this mean increased cost? Yes! Does this mean that we cannot make as much money? No!
There is now so little difference between most businesses that the only differentiation is very minor, a salvage operation showing that they can repair vehicles to the highest standards and ensure the safety of the vehicle occupants immediately has a major difference to other operations, a difference that they can use to bring more customers to them with the potential for more profit. It will be short term, as competitors can catch up quickly, but a head start that could prove critical.
2 more days to go, with a full day assessment to finish, more postings to follow.

Thursday 8 December 2011

ELVs take centre stage at first ever Canadian forum on vehicle recycling

Movers and shakers in the automotive recycling industry and beyond came together from across Canada over two days in November to discuss the challenges and issues surrounding end-of-life vehicles.

This meeting was the very first National Forum on the Future of Vehicle Recycling in Canada, it was two days of solid information and trend forecasting, presented by some of the best and brightest minds in the automotive recycling world.

The first day’s session focused on the importance of a strong end-of-life vehicle management systems. One of the goals was to enhance stakeholder knowledge of the approaches used in various jurisdictions. Topics included successes and challenges of various provincial ELV management models within Canada, international best practices and approaches to ELV management and the current status and future of ELV management across the country.

Speakers for the first day highlighted how, although this was a Canadian forum, it draws on expertise from around the world. Speakers included Kasper Zom of Auto Recycling Nederland Advisory (ARN); Minoru Gouko, Acting Director of Japan Automotive Recyclers Association (JARA); and Michael E. Wilson, CEO of the U.S. based Automotive Recyclers Association (ARA). Canada was well represented too, with speakers including Krista Friesen, Stewardship Director for Summerhill Impact; Jamessee Moulton, Environmental Specialist with the Nunavut Department of Environment; Colin McKean, Executive Director of the B.C. Automotive Recyclers Environmental Association; and Claude Bourque, a socio-economic research and planning agent for Recyc-Quebec.

After the close of the day’s session, attendees were bused to AADCO Auto Parts in Brampton for a reception and tour of the facility. It was an eye-opening experience for anyone unfamiliar with how a fully modernized auto recycling works. As one OEM representative was heard to remark “If a picture is worth a thousand words, visiting here tonight is worth an entire days worth of discussion and presentations. This is unbelievable.”

Speakers for the second day included Steve Fletcher, Executive Director of OARA and Managing Director of ARC; Mark A. Nantais, President of the Canadian Vehicle Manufacturers’ Association; Ron Watkins, President of the Canadian Steel Producers Association; David Creighton Adams, President of the Association of International Automobile Manufacturers of Canada; and Dr. Leonard Shaw, Executive Director of the Canadian Association of Recycling Industries.

The second day’s session focused on successfully implementing responsible ELV management in Canada. Extended Producer Responsibility (EPR) programs are some of the most commonly discussed methods for this, but those systems also have their disadvantages. Europe is often held up as an example of how well those programs work. However, during the Open Dialogue portion of the day’s event, it was noted that EPR is not working in Europe as well as some people would like to believe.

“EPR is not necessarily working in Europe,” said Kaspar Zom of Auto Recycling Nederland Advisory. “More than half of the member states are not meeting their targets.”

The very concept of having targets came under fire as well, for a variety of reasons. Although one delegate did point out that having a target gives you something to aim for, others noted that there are difficulties in establishing exactly where the baseline should be in the first place. There’s also the possibility that, if peculiar targets need to be met, then remote communities may be left out of the loop.

“I’ll say this: If I’ve got to hit a target, I’m not going to go to Nunavut,” said Colin McKean of B-CAR.

This National Forum did not layout the exact plan that recyclers, repairers, government and other concerned stakeholders will follow regarding end-of-life vehicles, nor was it supposed to. However, what was achieved is an excellent first step along that road.

Friday 25 November 2011

Hybrid Dismantling Guide

The Automotive Recyclers Association showcased the first edition of the Hybrid Vehicle Dismantling Guide at ARA's 68th Annual Convention in Charlotte, NC in October.

With the popularity of Hybrids on the rise, demand for these green recycled parts will increase, and the Guide educates automotive recyclers on the safe and efficient dismantling of Hybrids, as well as their differences from other vehicles.
Including over-view chapter and specific section modules for the Prius and Honda hybrids, the guide is organized into topics on vehicle identification components and locations, description and operation of specific hybrid parts, safety measures, and removal procedures.

The Guide is now ready for wide distribution to automotive recyclers in either book form or on CD for the price of $99 each, plus shipping and handling.

Use this link to the ARA website so you can order your own copy.
http://arav3.timberlakepublishing.com/blog_home.asp?Display=1472

Thursday 17 November 2011

GM developing processes for Volt batteries after vehicle impacts.

General Motors is developing ways to discharge the battery in the Chevrolet Volt after accidents to prevent fires like the one that followed a government crash- test of the plug-in hybrid car in May.
GM is working on safety practices with the U.S. National Highway Traffic Safety Administration and will make them public when completed, Rob Peterson, a GM spokesman, said yesterday. The Detroit-based automaker has taken longer to develop a plan than Nissan Motor Co. did for its Leaf electric car. Both the Volt and Leaf went on sale in December 2010.
“I can’t conceive that they didn’t have a standard operating procedure in place for handling a wrecked vehicle before the car went on sale,” said Clarence Ditlow, executive director of the Center for Auto Safety in Washington. “NHTSA and GM should have established protocols in place before it went on sale.”
The procedures are intended to keep rescue workers, dealers and auto-salvagers safe and head off potential fires that may jeopardize the safety reputation of the Volt, which is the focus of GM’s marketing.
NHTSA is scrutinizing the safety of lithium-ion batteries that power all plug-in electric vehicles after a Volt caught on fire three weeks after a May 12 crash-test. GM believes that a coolant leak helped carry an electrical charge to something flammable inside the battery, Peterson said yesterday. If a lithium battery is pierced by steel, a chemical reaction will start raising the temperature and can result in a fire.
The company now has a process in place to draw down power in the battery so it won’t catch on fire after a collision, Jim Federico, GM’s chief engineer for electric cars, wrote on a company website.
Blog Post
“The Volt is safe,” Federico wrote in a Nov. 15 post on ChevroletVoltAge.com. “The fire occurred because the battery wasn’t completely discharged after the test.” Federico also wrote that, “GM developed its battery depowering process for the Volt after NHTSA’s test.” The agency also has given the car its top crash rating.
GM had a process to discharge Volt batteries. The automaker didn’t distribute it to tow truck drivers, body shops, salvage yards and others who may handle the car after emergency crews stabilize the scene of an accident. The company was sending engineers out to check any Volt that got in an accident and, if needed, discharge the battery, Peterson said.
“We had a process internally but I don’t believe it was shared with anyone,” Peterson said in a phone interview. “The incident with NHTSA raised awareness that we had to develop a procedure and alert all stakeholders.”
Emergency Training
Before the Volt and Leaf went on sale, GM and Nissan had been working to train emergency-response workers through the National Fire Protection Association, a national fire-prevention and firefighters group based in Quincy, Massachusetts.
Workers are trained to disconnect the 12-volt battery from either car, which will shut down the separate high-voltage battery, said Jason Emory, a trainer with the association and also a lieutenant with the Waterbury, Connecticut, Fire Department.
Emory said the Volt also has a mechanism to disconnect the 16-kilowatt-hour battery from the car.
Nissan has taught firefighters and rescue teams how to approach the Leaf and make sure the battery is disconnected, said Bob Yakushi, director of product safety for Nissan North America. After emergency workers stabilize the scene, Nissan recommends a Leaf be towed to one of its dealers where the battery will be handled by technicians, Yakushi said.
Leaf’s Results
GM slid 0.6 percent to $22.52 at 9:45 a.m. New York time. Nissan’s American depositary receipts, each equal to two ordinary shares, fell 1 percent to $17.76.
Nissan has not encountered any fires with the Leaf since it went on sale in the U.S., Yakushi said. While there have been several accidents reported and “quite a few Leafs were destroyed” during Japan’s earthquake and tsunami in March, none caught fire, he said.
Nissan has a steel case around its battery to protect the battery from puncture, Yakushi said. Peterson said the Volt does not have such a second protective casing around the battery. GM placed the battery at the center of the car, which is the safest location, he said.
NHTSA asked automakers, including GM, Nissan and Ford Motor Co that sell or have plans to sell vehicles with lithium-ion batteries about the batteries’ fire risk, four people familiar with the inquiry said. LG Chem Ltd. (051910), South Korea’s biggest chemical maker, supplies Volt batteries.
The information will be used for a three-year $8.8 million electric-vehicle safety study it announced in June, an agency official said.
Thanks to Bloomberg.

Thursday 10 November 2011

Flood Damaged Vehicle Concerns

As East Coast residents begin to rebuild and recover from Hurricane Irene and its aftermath, the National Insurance Crime Bureau (NICB) wants consumers all across the country to be alert for flood vehicles that could begin to appear on the used car market.

From Maine to North Carolina, an analysis of insurance claims processed by NICB member companies shows that during last August alone, 11,789 flood vehicle-related claims were processed. This compares with 994 processed in August of 2010.

New Jersey generated the most claims—4,121—followed by New York (2,809) and North Carolina (2,585).

Although a flood-damaged vehicle can be an attractive purchase for a savvy consumer, it can lead to costly repairs and, potentially, life-threatening injuries. Most consumers do not have the training or the experience to spot flood vehicles. Moreover, their judgment may be swayed by a price that is just too good to pass up. But, like the old saying goes, if it sounds too good to be true, it probably is.

The one word that separates a good buy from a scam is disclosure. As long as a seller discloses the fact that a vehicle is a flood vehicle, then there is no fraud. The trouble comes when a seller hides the fact that a vehicle has been declared as such and that fact is hidden from prospective buyers.

People who fraudulently traffic in flood vehicles are good at cleaning them up and presenting them for sale as perfectly fine used vehicles. To entice buyers even more, they are priced well below retail. That's a clue for you to slow down and get some expert advice. It's always good to hire a trusted technician to examine any used vehicle you intend to purchase—particularly if the sale is from a private party advertising online.

After Hurricane Katrina devastated New Orleans and sections of the Gulf Coast, NICB created VINCheck(SM), a free consumer protection service aimed at preventing this kind of fraud. VINCheck allows anyone to check a vehicle identification number against the millions of claim records processed by participating NICB member insurance companies. If the vehicle was ever declared as salvage, a flood vehicle, or is an unrecovered stolen vehicle and reported by a participating insurer, you will be advised of that information in seconds.

In addition, consumers are encouraged to use additional sources of vehicle history information, including the National Motor Vehicle Title Information System (NMVTIS) which was designed to protect consumers from fraud and unsafe vehicles. NMVTIS can be accessed at www.vehiclehistory.gov.

It's worth repeating that flood vehicle sales are perfectly legal when all parties are aware of the flood history. Many people buy them knowing that they will need to rebuild or replace affected parts. Yet even after that kind of post-sale investment, consumers can have a very good vehicle for a lot less than retail. But you have to know the vehicle's history.

NICB recommends that consumers follow these tips to avoid getting ripped off by flood vehicle fraud:

Select a reputable car dealer.
Inspect the vehicle for water stains, mildew, sand or silt under the carpets, floor mats, headliner cloth and behind the dashboard.
Check for recently shampooed carpet.
Inspect the interior upholstery and door panels for fading.
Check for rust on screws in the console or areas where water normally doesn't reach.
Check for mud or grit in the spare tire compartment, alternator crevices, behind wiring harnesses, around the small recesses of starter motors, power steering pumps and relays.
Check inside the seatbelt retractors by pulling the seatbelt all the way out and inspect for moisture, mildew or grime.
Check door speakers as they will often be damaged due to flooding.
Have a certified mechanic inspect the vehicle prior to purchasing it.
Ask about the vehicle's history. Ask whether it was in any accidents or floods.
Inspect the title and ownership papers for any potential salvage fraud.
Conduct a title search of the vehicle.
Look under the hood for signs of oxidation. Pull back rubber boots around electrical and mechanical connections and look for these indicators:
Ferrous materials will show signs of rust
Copper will show a green patina
Aluminum and alloys will have a white powder and pitting.
Trust your instincts. If you don't like the answers or the deal sounds too good to be true, walk away!
If you suspect flood vehicle fraud, call the NICB Hotline at 1-800-TEL-NICB (1-800-835-6422). You may also text your information to TIP411, keyword "FRAUD" and remain anonymous if you so desire.

About the National Insurance Crime Bureau: headquartered in Des Plaines, Ill., the NICB is the nation's leading not-for-profit organization exclusively dedicated to preventing, detecting and defeating insurance fraud and vehicle theft through data analytics, investigations, training, legislative advocacy and public awareness. The NICB is supported by more than 1,100 property and casualty insurance companies and self-insured organizations. NICB member companies wrote over $319 billion in insurance premiums in 2010, or approximately 80 percent of the nation's property/casualty insurance. That includes more than 94 percent ($152 billion) of the nation's personal auto insurance. To learn more visit www.nicb.org.

SOURCE National Insurance Crime Bureau

Friday 4 November 2011

Complete Auto Recycling Show - June 2012

Hills Salvage and Recycling Ltd will host CARS, the Complete Auto Recycling Show from June 14-16, 2012. CARS has been organised to give the auto recycling sector, which includes everything from recovery operators to materials processors, salvage auctions to remanufacturers, a focus for moving the industry forward.

CARS is much more than a trade show. This is a 3 day event which will include an extensive array of seminars, open forums and training sessions with the added plus of a social side. There will also be 60-100 stands from suppliers to our industry. Running alongside CARS will be the International Roundtable on Auto Recycling (IRT) which comes to Europe next year. IRT takes place approximately every two years and has in past years taken place in USA, Japan, Australia and in 2010, Canada. In 2012 IRT will be based in Liverpool, with Hills base in Skelmersdale, (which is a stone’s throw away) being used for many of the roundtable meetings and forums, as part of the CARS event.

For those who have not come across IRT before, it is a gathering of auto recycling associations from around the world who meet to discuss association and industry issues so that they can all share what is happening in own their countries. Hills Salvage and Recycling’s MD, Ian Hill is part of the steering team moving IRT and CARS forward. He, as many of us believe the UK auto recycling industry has long been neglected and CARS gives us an exciting opportunity to pull all sectors of our industry together. “Those of us who visit ARA and similar events in the States and around the world are more than aware of the benefits of getting together with interested parties who want to improve their businesses “ said Ian. He continued, “This is why we are so keen to launch CARS, so that UK auto recyclers can gain these benefits. And with the IRT, we have the added bonus of a large addition of international auto recyclers which gives us in the UK, a golden opportunity to benefit from others experience”. We anticipate that over 500 people will attend from Europe and around the world. This is the one event that all those involved in auto recycling need to be at.

To prepare for next year’s IRT and CARS, Ian and the team have put together a format to create an exciting event, loosely basing CARS on the ‘IT’ show in the USA. This show has been extremely successful over the past 10 years and you can find out more about this particular show from its website - www.meetusatit.com. Ian explained, “This format is relaxed, very informative and a great deal of fun for both exhibitors and visitors. We believe it will create the ideal environment for developing the skills and professionalism required by our industry in the modern world”. CARS is a yard based event and will take place at Hills Salvage and Recycling’s Skelmersdale site near Liverpool. There will be plenty of exhibitors showing equipment and services used by our industry. From computers to cable granulators, depollution equipment to car balers, but don’t forget, CARS is much more than trade stands. There will also be live demonstrations so you can actually see and compare equipment. There will be site visits, seminars and training programmes with top speakers from the USA and Europe. There will also be a fund raising auction plus other events to raise donations for charity.

CARS is very social. On the Thursday night there is a welcome with drinks and canapés; on Friday night there’s a band and dance with free food and drink. There will even be a charity nails and champagne bar for ladies who have had enough of talking shop and a formula 1 simulator for those who like a little competition - look out for the trophies! When we say free, well it’s almost free! Ian added, “Although everything is free for the 3 day event, visitors will pay £50+vat with a reduced price for additional employees, friends and family, but the entrance fee does cover everything - food, drink, seminars, training - the only thing you have to pay for is your hotel and any raffle tickets/auction bids etc. CARS will even run shuttle buses to and from local hotels so parking won’t be an issue and you don’t have to worry about drinking and driving”!

Another member of the CARS steering team, Terry Charlton of Charlton Recycled Autoparts explained CARS this way, “CARS is fun, CARS is casual, CARS is educational, CARS is where you need to be next year. Car is for employees and families, it’s jeans and trainers, definitely no ties unless you want a fine for charity! CARS is for auto recyclers, their employees and families.”

The website, www.cars-expo.com is now up and running and visitor preregistration will be available shortly, as will the full 3 say schedule of events. In the meantime tell other auto recyclers about the show and let companies that you deal with know that they need to be there. Any companies wanting to take advantage of this unique opportunity to market their products and services to the auto recycling industry can request a vendor pack which includes all the details and site plan for the show by emailing vendor@cars-expo.com

Contact details for CARS:

Web: www.car-expo.com

email: info@cars-expo.com

Tel: 01544 267140

Wednesday 2 November 2011

2007 Ferrari 599 For Sale


Low Mileage 2007 Ferrari 599 for sale on www.bluecycle.com, see the web site over the next few days for more information and follow the bidding.

Wednesday 26 October 2011

ARA Expo 2011

Charlotte, North Carolina -- October 19, 2011 -- The Automotive Recyclers Association’s 68th Annual Convention & Exposition took place October 11-15, 2011 in Charlotte, North Carolina. This convention was a great place for those in the auto recycling industry to gain new knowledge and connect with peers. Top-notch speakers focused on saving money, encouraging enthusiasm and providing the tools needed to achieve long-term success.

NASCAR week coincided with the convention and many NASCAR events were incorporated into and around the schedule of ARA convention. Events included NASCAR garage tours and races for the Sprint Cup series and Nationwide series.

Seminars included business owners focusing on healthcare changes for small business, maximizing sales, self-service yards, and keeping recycled parts in the repair industry. Speakers included: CEO of Schnitzer Steel, Tamara Lundgren who did a speech on the future of the steel industry. Also, John Gilstrap of institute of Scrap Recylcing Industries and Dimitri Gerontis of S3 Software solutions.

The ARA expo show floor was a dynamic, comprehensive display of products, services, and development in the automotive recycling industry. Exhibits included cutting-edge technologies and business practices.
For more information, please visit araexpo.org

Friday 30 September 2011

Return of Recycle Your Ride

Scrap your clunker and get up to $3,000 back from Ford and up to $982 in fuel savings

OAKVILLE, ON, Sept. 30, 2011 /CNW/ - Starting October 1, consumers who turn in their vehicles for recycling (2005 models or older) will get up to $3,000 toward the purchase of a new vehicle from the Ford Motor Company of Canada, Limited.

Ford's 'Recycle Your Ride' program is a great way for consumers looking to save on their next vehicle while doing their part for the environment. Since the program was first offered in 2009, Ford's Recycle Your Ride program has retired more than 50,000 old, polluting vehicles - enough to circle the globe twice. This has eliminated approximately 474,308 metric tonnes of smog forming emissions - that's enough to fill more than 260,000 garbage bags.

"In today's uncertain economic times, the Ford Recycle Your Ride program means more people can now afford a new car with the latest in vehicle safety, fuel economy and smart technology," said David Mondragon, president and CEO, Ford of Canada. "It's a win-win-win for the consumer, the economy and the environment. I am proud to say that Ford of Canada has helped to recycle more vehicles than any other auto manufacturer."

To qualify for the Ford Recycle Your Ride program:

Visit your closest Ford dealer with your 2005 or older running vehicle that has been properly registered or insured for the last three months to confirm your eligibility.
Purchase or lease your new Ford vehicle and receive the Recycle Your Ride incentive, over and above current incentives.
*Program details available on www.ford.ca starting October 1, 2011.

Newer vehicles emit up to 19 times less smog-forming emissions and achieve much higher fuel efficiency than older models. For example:

An average driver who moves from a typical 1995 model year compact car to a 2012 Ford Focus, could save approximately $343 a year on gas
An average driver who moves from a typical 1995 model year mid-size car to a 2012 Ford Fusion four-cylinder could save approximately $483 a year on gas
An average driver who moves from a typical 1995 model year mid-size SUV 4X4 to a 2012 Ford Edge with an EcoBoost engine save approximately $982 a year on gas
**Based on fuel consumption values from NRCan's Fuel Consumption Guide for Canada

Many Canadians are unaware just how much of their old ride can be recycled. "A lot has changed in the auto recycling business," said Steve Fletcher, Managing Director, Automotive Recyclers of Canada (ARC). "Gone are the days of the haphazard junkyards, today's auto recyclers are highly organized businesses, which can recycle over 80 per cent of a single vehicle brought to them."

The steel industry recycles more than 12.7 million metric tonnes of steel from end-of-life vehicle each year
Many parts are reconditioned and sold: starter, alternator, engine, transmission, wheel rims, mirrors, seats, stereo, doors, batteries
Fluids are drained for reuse or recycling: fuel, oils, coolant, windshield fluid
Heavy metals like lead and mercury are recycled
Refrigerants are recovered for reuse or recycling
Tires are reused when possible or shredded, cleaned and processed into useful items like playground surfaces and garden mulch.
Once all of the salvageable material is removed from the vehicle the remaining structure is flattened and pulverized into fist-sized pieces, and shredded to recover and recycle the metals.

About ARC:
Formed in 1997 as an "association of associations", the Automotive Recyclers of Canada (ARC) is the national voice of the automotive recycling industry, providing a forum for the channelling of information and addressing Canada wide concerns. Member associations: Alberta Automotive Recyclers & Dismantlers Association (AARDA); Association des recycleurs de pièces d'autos et de camions inc. (ARPAC); Automotive Recyclers Association of Atlantic Canada (ARAAC); Automotive Recyclers Association of Manitoba (ARM); British Columbia Automotive Recyclers (B-CAR); Saskatchewan Government Insurance (SGI) Salvage; Ontario Automotive Recyclers Association (OARA). ARC's 400 auto recycling members are committed to the cost-efficient and environmentally-responsible recycling of end-of-life vehicles (ELVs) using the Canadian Auto Recyclers' Environmental Code of Practice.

Yard Show a must for all recyclers

Next June will be a great opportunity for vehicle recyclers from not only the UK, but Europe and further afield when the Complete Auto Recycling Show - CARS, opens its doors near Liverpool. Running concurrently will be the International Roundtable on Auto Recycling 2012, which attracts visitors from every corner of the globe. For the first time, those involved with vehicle recycling, and that includes, transport, depollution, parts, salvage, ferrous and non-ferrous processing, other recyclates and waste stream materials, will have a show designed to build this industry.
See the ATF Professional website for more information.

Friday 9 September 2011

Recycled bumpers made into new ones

Mazda Motor Corp., Hiroshima, Japan, has introduced a new technology to recycle scrapped bumpers from end-of-life vehicles (ELVs) into raw material to make new vehicle bumpers. Mazda says the new technology is initially being used to make rear bumpers for the company’s Biante minivan.

Mazda says traditionally bumpers are processed into automobile shredder residue (ASR) and incinerated to recover heat energy (thermal recycling). With the new technology, the company can recycle the ELV bumpers into material for new vehicle bumpers, improving the material recycling ratio (MRR) of Mazda vehicles. Bumpers comprise a large proportion of the plastic used in vehicles, and Mazda is developing bumper recycling technologies as an effective way to increase vehicle MRR.

Mazda says it already has established a program to process damaged bumpers collected from in-use vehicles through the company’s dealer network in Japan. Mazda then aimed to further develop this damaged bumper recycling technology and adapt it for recycling ELV bumpers.

According to the automaker, one of the biggest challenges to bumper recycling is that many ELVs are more than 10 years old, so the composition of the bumpers' polypropylene plastic and the adhesive properties of the paint vary considerably. As a result, Mazda notes, processing ELV bumpers into new material has previously been technically and economically difficult.

To attempt to overcome this, in the 1990s Mazda began designing bumpers to be easily recyclable, and now the number of ELV bumpers that can be efficiently dismantled is increasing. Mazda has also developed and implemented efficient ELV bumper collection and processing methods in collaboration with two Hiroshima-based companies, Yamako Corp. and Takase Gosei Kagaku Corp. As a result of the initiatives, Mazda says the cost of recycling is less than the cost of purchasing new plastic.

Initially, Mazda is collecting bumpers from end-of-life Mazda vehicles in the Hiroshima area, and the recycled plastic will comprise about 10 percent of each new bumper produced.

Currently, about 20 percent by weight of ELVs is incinerated as ASR. Bumpers comprise a large proportion of the plastic so collecting and recycling ELV bumpers is expected to make a significant contribution to reducing ASR and optimizing efficient use of resources.

Thursday 25 August 2011

Car-Part.com conference

Auto recyclers from across the U.S., Canada, Mexico and Australia came to the Car-Part.com Industry Conference to experience new product solutions from the online used parts retailer. Thirty-two classes were offered, nine of those being new.

Rob Rainwater gave insights into auto recycling sales management and techniques. Industry-related classes were presented by recyclers, core buyers and HR professionals, and an aftermarket quality program was discussed by Dan Morrissey, ABPA’s chairman. DJ Harrington emceed the event.

Recyclers were among the first to be configured for Car-Part Pro, the new search engine designed for professional repairers. Coaches helped recyclers configure their best options for extended warranties, accurate delivery times and brokering.

Recyclers also tried out the currently available CrashLink, which provides OE interchange, diagrams and a pricing calculator that helps value assemblies, interchange and non-interchange parts for collision repair pricing.

Other new product presentations included Real Time Barcoding — vehicle and part imaging for Checkmate, Car-Part Pro and eBay; Checkmate Workstation; Order Trakker; new features of Car-Part Messaging; Coremate and more.

Monday 22 August 2011

Write-offs still being sold in Australia

Despite RTA reforms instituted in January this year in NSW and despite more recent changes to the legislation brought into effect on August 1, unlicenced traders and backyard repairers are still selling potentially dangerous repaired write-offs.

While the reforms were designed to protect consumers and reduce vehicle theft and re-birthing, James McCall, CEO of Motor Trade Association - New South Wales (MTA-NSW), said the reforms do not protect consumers against write-offs which have been repaired poorly by unscrupulous repairers before the laws came into effect.
The reforms in NSW introduced tougher restriction on the re-registration of written-off vehicles, classing all write-offs as "statutory" or non-repairable (other jurisdictions, like Victoria, still have two classes of write-off: "repairable" and "statutory").
The latest changes require a "certificate of compliance" stating a vehicle has been repaired to required safety standards before it can be re-registered.
The MTA estimates an average of 15,000 repaired write-offs are re-registered each year in NSW, increasing to 20,000 last year.
"We've had cars where the pillars have been cut by emergency services and the insurance companies are selling these on. They are put back together with Sikaflex. People will be killed or maimed in a crash in one of these cars," Mr McCall said.
Senior Policy Advisor for NRMA Motoring and Services, Jack Haley, downplayed the danger of repaired write-offs.
"If the repair has been done properly it is perfectly satisfactory. The main value of this reform, in our view, is that it will prevent vehicle re-birthing," he said.
The Victorian Automobile Chamber of Commerce (VACC) supports the NSW reforms. VACC's view is that they will encourage insurance companies to repair more vehicles and simplify the market for consumers and dealers.
"One category of written-off vehicle would remove the current position of having two classes of vehicles in the second-hand market (in Victoria); those that have been written-off and those which have not. This would provide both consumers and dealers with a simpler marketplace," David Purchase, VACC Executive Director said.
"VACC would like to see the NSW position adopted in Victoria."
Rachel Uglow, 40, of Croki bought a second hand Toyota Prado from a car dealer in February 2011 and discovered it was a repaired write-off, with major damage to the chassis, when she took it for a mechanical check.
"The only reason we wanted to buy another car was for safety. When I first found out the car was a repaired write-off I was really angry," she said.
The car dealer was forced to refund Mrs Uglow's money after she contacted the RTA and the Department of Fair Trading and gathered evidence that the car was a repaired write-off.
No such protection exists for buyers who have bought privately or from an unlicenced 'backyard' seller.
"I think you've just got to be super-careful and do the homework yourself and not trust anyone. You feel a bit unprotected as a consumer," she said.
While it is legal to sell a car that was deemed a "repairable write-off" and re-registered before January 31, under the 2004 Motor Dealers Regulation, car dealers must tell consumers if a vehicle has previously been declared a write-off.
According to the REVs website "motor dealers must declare whether, according to REVS data, a vehicle has previously been written off".
There are no such rules for private sales. Buyers have to be especially vigilant and ensure they do the relevant checks prior to purchasing a vehicle.
But Bennett Thelmo, Business Project Officer at REVs, admitted that even if a REVs check is done there is no guarantee the written-off status of a vehicle will be reported. Both buyers and car dealers in NSW need to request this information from the RTA.
"We provide the history if the data comes from the relevant agency but our main business is encumbrances. Information about whether a car is written off is auxiliary information," he said.
A spokesman for the RTA confirmed the RTA administers the Written-off Vehicle Register (WOVR) but did not acknowledge the breakdown in the process for sharing that data with REVs.
The WOVR is a national initiative "designed to deter vehicle theft and to ensure written-off vehicles are repaired to an appropriate standard before re-registration" (VicRoads).
Car buyers in Victoria are arguably at greater risk than those in NSW.
Victoria, unlike NSW, still allows two classes of "write-off" in the Written-off Vehicles register: "statutory write-offs", which can never be re-registered, and "repairable write-offs" which can be re-registered after repair and having undergone a Vehicle Identity Validation (VIV) inspection.
Although a national initiative, each state manages its own inspection and registration regime.
"Motorists can check the history of a vehicle registered in NSW on the RTA website to see if it has been written off," Mr Thelmo said.
The MTA however accuses the RTA and the Department of Fair Trading, which operates REVs, of avoiding responsibility.
"None of the agencies are willing to say 'we got it wrong'. Everyone just points the finger at everyone else," said Mr McCall.
In October this year REVs will be scrapped and replaced by a new national body, the Personal Property Securities Register (PPSR) but the anomalies will remain.
The message to car buyers is "do your homework": have any private purchase checked carefully if you want to avoid investing good money and driving around in a poorly repaired 'write-off'.
Source: The Motor Report

Friday 5 August 2011

Flood Damaged Vehicles

When it rains enough to flood everyone panics, especially people who don’t have flood insurance. Last month the Chicagoland area received over seven inches of rain in one night, not enough to trigger a widespread flood but enough to cause a lot of damage and some localized flooding. Fortunately automobile owners who had full coverage on their cars had flood coverage under their Comprehensive coverage.

Full coverage generally means comprehensive and collision coverages. Most people understand the collision part, when your car hits another car, or an object like a tree or a fence, or your car is hit by another car. The comprehensive coverage is the definition that is not as well understood. Comprehensive coverage pays for losses from events other than collision, for example, if your car is stolen, damaged by fire, or involved in a flood. If you have rental coverage your insurance company will pay to provide you with a loaner car right away so the insurance company can help you to decide if the car can be repaired or if it should be declared a total loss.

“Our customers were so happy when they found out they had flood coverage on their car as long as they purchased full coverage. Some streets flooded with several feet of water and the cars were almost submerged, especially the smaller cars that sit lower to the ground.” said Cynthia Garcia, Marketing Director for Active Insurance Agency.

If you are looking for a used car and are concerned about purchasing a car that was salvaged after being declared a loss due to flood be vigilant. Check for musty smells and for upholstery that does not match the rest of the car. Check for silt or dirt in the trunk, below the seats, in the glove compartment and under the dashboard. Have the car inspected by a mechanic. You can also run a search on Carfax.com to obtain a history of the car. All you need is the vehicle's 17-digit Vehicle Identification Number (VIN), which you can find on the dashboard. The cost is $34.99 for one car or $44.99 for five reports.

Many states including Illinois will title cars with a “salvage” and sometimes a “flood” designation for cars that have been transferred from other states for resale. The State Department of Motor Vehicles try hard to prevent clean title transfer for cars that have been flood damaged but sometimes even their best efforts fail to spot fraud, so be careful when purchasing a used car especially one with a relatively recently transferred title.

Indian Auto Recycling

In India, cars driven for 15-20 years until they can no longer be cajoled into life often land at scrap dealers, to be dismantled and their innards reused with little regard for the environment. An experiment is in the works just outside Chennai to tweak this picture.

As India’s annual car sales climb at a 30% clip to touch 2.5 million in 2010-11, according to the Society of Indian Automobile Manufacturers (Siam), as people upgrade from hatchbacks to sedans, and as accidents rise and loan defaults soar, more cars are entering scrapyards where engine oil leaches into the ground and lead poisoning lurks as batteries are taken apart.

A recycling unit launched on Tuesday 55km outside Chennai, close to the local factories of foreign auto makers including Ford Motor Co. and the Renault-Nissan alliance, may offer a cleaner and greener solution for the reuse or disposal of automotive parts. The 340-acre facility to the south-west of Chennai, in Oragadam, is a creation of Siam and the ministry of heavy industries that will dismantle cars that are no longer road-worthy.

The compact unit currently working on 100 two-wheelers and 25 four-wheelers will be run primarily on manual labour, unlike heavily automated recycling centres abroad, Siam Recycling Group chairman N.S. Mohan Ram said.

Over three months, workers will dismantle each car and two-wheeler, and after removing parts that can be reused or recycled, and other parts such as glass and fabric that must go into landfills, large parts will be compressed by a hydraulic press to occupy smaller spaces.

“There are strict regulations worldwide on the end of life of vehicles,” said K.K. Gandhi, executive director (technical), Siam. “In India, vehicles are bought by kabadiwallahs (scrap dealers) in areas like Mayapuri in Delhi. They dismantle the vehicle, take away the bearings, electrical parts, body parts, to recycle. The whole system is very unhygienic and can handle only low volumes.”

S.S. Chawla, 30, entered his father’s 25-year-old scrap business in Mayapuri about a decade ago. The west Delhi recycling hub grabbed headlines last year following the death of a scrapyard worker from exposure to radiation from junked equipment containing nuclear material.

While there may be little adherence to environmental norms, it is undeniable that he and other scrap dealers are a valuable and cheap source of replacement for rural car owners and taxi operators who cannot afford a Rs.4,000 tyre to replace a worn-out wheel. Many car owners head to this junkyard heaven to pick a cheaper tyre ripped off from a partially damaged vehicle for Rs.800-1,000.

“There are no norms for taxing old and polluting cars,” said Kumar Kandaswami, an automotive industry specialist at consultancy Deloitte Touche Tohmatsu India Pvt. Ltd. “So there’s no motivation for people to retire their cars. A new car run in Chennai may wind up in Tuticorin (500km away) after a few years.”

Indeed, business and competition has picked up, said Chawla, as have piles of garbage generated from unusable auto parts such as glass components and plastic innards.

Chennai’s Mayapuri lies to the north-west of the city, in Pudupet. The air here reeks of automotive fluids. The soil is a shimmering dark gray mix of grease and shattered glass. Many of Pudupet’s scrap shops that line every inch of its streets are stuffed with car tyres, doors, mirrors, bumpers and other tubular and metal components. The fast-growing loot comes from financiers auctioning vehicles confiscated from defaulting borrowers, insurance companies and even the forest department that finds orphaned vehicles.

But even as the resale of automotive parts may seem a logical extension of the pervasive Indian habit of reusing things, it inadvertently involves violation of environmental norms, say ecological experts.

“There is always the danger of overstepping that line by using products that may not be fit enough to be used,” said Priti Mahesh, project manager with Delhi-based environmental not-for-profit Toxics Link.

Amid increasing labour costs to repair dented bumpers and doors defaced by accidents, the rising stock of unblemished doors recovered from vehicles brought to Chennai and Delhi’s scrap dealers finds several takers.

Still, a soaring mountain of metal spares—70% versus 30% of total scrap volumes 20 years ago, according to several Pudupet traders—don’t find buyers and are sold by weight at a profit given rising aluminium, steel and copper prices.

The rise in melting and reuse of such parts by the unorganized sector, which could be lethal to air and water in the surrounding areas, offers a compelling reason for ecologically cleaner measures to recycle automotive parts.

“Usually, the informal sector cuts corners as much as possible, but recovery efficiency is much lower and you may be losing a lot of resources that can be recycled,” said Toxics Link’s Mahesh. “There is a need for an organized sector effort to reuse parts of cars or two-wheelers with adherence to environmental norms.”

anupama.c@livemint.com

Amritha Venketakrishnan contributed to this story.

Tuesday 2 August 2011

International Forum on Asian Auto Recycling Standards announced

As reported in Canadian Auto Recyclers Magazine, the Malaysian Automotive Recyclers Association have announced an international forum that focuses on Standards, Safety environment and quality in the Auto Recycling Industry.

Full details are available from the MARA web site or click here for the full article from CAR

Wednesday 27 July 2011

Crash Tests Show Consequences of Improper Repairs




A research project carried out by KTI GmbH & Co in Germany shows that improperly repairing collision damage, especially in newer vehicles constructed with high tech materials, will lead to an unsafe vehicle in subsequent collisions.
In a research paper presented in June at the 22nd International Technical Conference on the Enhanced Safety of Vehicles in Washington D.C., KTI detailed the results of its effort to objectively quantify the influence of non-professional repairs on the behavior of a car's body structure in a subsequent crash.
KTI, with the support of Volkswagen, subjected a 2005 VW Passat to two separate side impact crash tests; one on the undamaged car having never been repaired, and a second crash test after repairing the car using only "traditional" repair methods. According to KTI, the repair methods conformed to a typical repair standard carried out about 10 years ago, as if done today in a body shop with no information about the correct way to repair this particular car and without the correct tools or welding machines for the high-strength steels.
The body structure of late-model vehicles is typically made up of a number of modern steels. With a side impact at 30 mph (the 50 km/h Euro NCAP standard) it was shown that a non-professional repair compromises the protection afforded by the original body structure. The specific results of the KTI test showed more than two inches of additional intrusion into the passenger compartment, increased damage to adjacent sections of the vehicle, and the failure of the side curtain airbag.

The Set Up
Following a first side impact crash of the original car using the Euro NCAP procedure, the repair of the damage caused by the first crash was carried out using traditional repair methods and older equipment that, today, would be considered a non-professional repair, no matter how competently those traditional repair methods may have been performed. Finally, differences in deformation behavior between the two crashes were analyzed to determine the implications for passenger safety.
The Passat was chosen for the tests because its structure represented a state of the art car body with several high-strength and ultra high-strength steels with one of the highest torsional stiffness values (about 30,000 Nm/°) in its segment. Also, KTI said it chose to test the side of the car because only small changes in intrusion distance can present a higher risk for the occupants than in frontal or rear-end impacts at similar speed.
The damaged car was repaired with an older spot welding machine with fixed pressure and 6.4 kA maximum current. For this repair, the OEM recommends an Inverter type welding machine with 10 kA maximum current and a variable pressure to join the high strength steel safely. The deformed inner sill, made from ultra high strength steel, was re-shaped and partially replaced on a bench then reinstalled using a MAG welding process.
The OEM procedure calls for complete replacement of the B-Pillar and other deformed components constructed with high strength steel. Repairing these components is not acceptable because the structure and strength of the material is severely degraded by welding and reforming.

The Results
After completing the repair, the car was again subjected to an identical side impact crash test.
"It was immediately evident that there was a substantial difference, with far more comprehensive deformation of the car body after the second impact. The B-pillar had noticeably higher intrusion into the passenger compartment in comparison with the first crash, especially at the lower part at the connection with the sill," the report showed.
Measurement of the car body confirmed there was 60 mm (2.3 inches) more intrusion after the second test, compared to the first crash.
Other differences noted by KTI included damage to areas that were unaffected by the initial crash due to the change in load paths caused by the substandard repair. The roof and the transmission tunnel both displayed severe deformation not seen in the first crash, and the top right corner of the windshield was damaged in the second crash.
Perhaps most notable is that in the second crash, the front and rear passenger side airbags and front passenger belt pre-tensioner were correctly deployed, but the passenger side curtain airbag failed to operate.
Source: Collision Week

Tuesday 5 July 2011

Motor Salvage – The next 10 years

Where will the salvage market be in 10 years time? Don’t know is the honest answer, but allow me to predict that more cars will be removed from use, dismantled and broken; and make at least one recommendation that will benefit all motor salvage and auto recycling businesses.

Why will more vehicles be broken?
Well the continued efforts of manufacturers to reduce vehicle weight will continue, resulting in increased use of different and high strength metals that are more effective in protecting vehicle occupants, but more difficult to repair following an accident.

Manufacturers will continue to ignore the repairability of their vehicles and focus on how to make the vehicle easier to build.
As an example, laser welding is impossible to replicate in a repair situation, but is increasing in use on production lines. This increases the cost of repair and raises the potential that the vehicle will be written-off because repair is not possible.

The increase in the amount of electrical systems on vehicles seems to be gathering pace, so cars that are 5-7 years old in the future will be almost obsolete as new vehicles come on the market with ever better control systems, user interfaces and connectivity. Residual values will drop rapidly, when combined with increased repair cost and lack of demand for older vehicles will mean that more will end up as end of life vehicles.

This could lead to considerable change in the salvage market, less focus on vehicles being repaired will mean that more vehicles will need to be dismantled and recycled.
Meeting various recycling targets will become more difficult, especially as the amount of electrical components in vehicles increases, and more legislation will have to be considered as Authorised Treatment Facilities dispose of waste electrical equipment, .

This is where membership of a strong trade body or salvage association is so important, these organisations can advise and assist their members to prepare and change to meet the new challenges, they can also lobby at government level to ensure legislation is sensible and reasonable, that it does not disadvantage legitimate businesses operating within the law, and they can also work with local and national agencies to force non-compliant and illegal sites to clean up or close.
Support your salvage association, use events to network with other members, discuss the future and what this could mean to you, your business, your family and employees, and then work together to make your business viable for the future.

Monday 20 June 2011

ELV Directive 85% target achievement

Target achievement is a legal compliance that currently exists outside of the Waste Management Licence or permit. So having a WML will not mean that an Authorised Treatment Facility (ATF) has achieved target

It is understood that the EC is currently considering prosecuting the UK for its failure to achieve targets in the period 2006-2010. This is likely to mean that the UK Government is embarrassed into doing something about it!

There are currently 20 prosecutions pending for companies that have failed to report on their targets. This is just the first batch. It is entirely possible that once the prosecutions have started, attention will switch to ATFs that have reported, but failed to achieve target.

Target compliance is tied to the number of CODs issued by an ATF, and the number of Category C vehicles being scrapped is also an issue of current debate, particularly in view of the fact that 75% of Category C vehicles do not undergo a Vehicle Identity Check (VIC).

Premature End of Life Vehicles

By their definition Premature ELV’s are vehicles that have not survived the expected life span of 12-15 years that most vehicle manufacturers build into their vehicles.
The reasons for this can be many, however I suspect that most will be due to accident, fire, flood or other events that result in an insurance claim.

Insurance engineers completing vehicle inspections need to determine if the vehicle could be repaired economically; if repair is not viable, then vehicles need to be dealt with as salvage and the inspecting engineer must determine if the vehicle is safe to repair, or must it be removed from use?

One of the most important decisions that an engineer makes is deciding if the vehicle ‘could’ or ‘should’ be repaired; the Engineer needs to know the extent of damage, potential method of repair and availability of parts.
Knowledge of vehicle construction is very important here, especially as manufacturers try to save weight whilst developing stronger vehicle bodies, the greater use of high strength steel makes repair increasingly difficult and any motor salvage inspection needs to balance repair potential against passenger safety – in other words, can any professional engineer signing a vehicle write-off report confirm that the vehicle could be repaired to a standard that would maintain occupant safety in the event of another accident.

Developed over many years the Association of British Insurers (ABI) Code of Practice for Motor Salvage assists the decision making process when inspecting vehicles in the UK that are written-off.
The ABI code has four categories of salvage that are:
• Category A. Scrap vehicles, good only for the shredder and metal recycling
• Category B. Break only – bolt on parts can be re-used, but the vehicle structure is so badly damaged that this must be removed from use and destroyed.
• Category C. Repairable Salvage – repairs using normal methods of insurance repair (brand new parts, manufacturer labour) exceed the value of the vehicle, however cheaper labour, second hand parts, or ignoring ‘cosmetic’ damage means that the vehicle could be repaired in the salvage industry.
• Category D. Constructive Total Loss – where the repair cost of the vehicle when added to other costs, such as loss of use, or the value of the salvage, exceeds the value of the vehicle, then insurers can decide to treat the vehicle as a write-off and minimise their costs. As an example, a £10,000 vehicle with £8,000 worth of damage may return £3,000 salvage, so a settlement of £10,000 less £3,000 salvage return gives a final outlay of £7,000 against the claim. Less than the assessed repair cost of £8,000.

There are a number of factors that need to be reviewed when inspecting potential write-offs, including type of damage, repair required to maintain occupant protection, and availability of parts; a few examples are detailed below.

Flood Damage.
Factors to consider include type of water – fresh, salt or contaminated (sewage), height of water, and length of time in water.
Current trends towards increasingly complex electronics will mean that any salt water damage will render the vehicle unrepairable, and if a vehicle has been submerged to a significant depth – for example water high enough to contaminate air bags) then the vehicle should be removed from use.

Fire Damage.
Excessive heat removes the strength from High Strength Steel, so fire damage to structural areas of newer vehicles is serious, I would contend that, unless the damage is very localised, all fire damaged vehicles should not be repaired.

Parts Availability.
A vehicle severely structurally damaged where parts are not available should not be repaired, releasing one of these vehicles into the motor salvage market for repair could lead to a substandard repair being completed and the general public being put in danger as an unsafe vehicle is in use. Engineers need to know what parts are available from the vehicle manufacturers and any safeguards they put in place. For example, many manufacturers place controls on the supply of replacement bodyshells that could result in these not being available to the salvage industry, thus compromising a safe repair on motor salvage.

In summary, all motor engineers inspecting vehicles for insurance repair need to be fully aware of current vehicle design and construction, they need to know repair techniques for all types of vehicles, and also decide if a salvage vehicle can be safely repaired and placed back into use.
And we haven’t started on electric vehicles yet!

A copy of the ABI Code of Practice for Motor Salvage can be downloaded from http://www.abi.org.uk/Information/Codes_and_Guidance_Notes/General_Insurance_Codes_and_Guidance_Notes.aspx

Saturday 11 June 2011

Car Merchandising Recycling

As manufacturers constantly change their sales publicity many car dealers face increasing costs to dispose of obsolete posters, brochures and car display materials.

Salvage Wire are proud to offer a free of charge recycling service for all car posters, brochures and car display materials to car dealers and manufacturer agents.

All you have to do is phone or e-mail Salvage Wire and we will arrange free of charge collection of your unwanted posters, brochures and car display materials, saving you the time and cost of disposal.

Salvage Wire are committed to ethical recycling and will process each item to full environmental standards.

We look forward to your request, and please do not hesitate to contact us if you have any questions.

Monday 6 June 2011

Certificate of Technical Competency

You have been in the auto recycling business since you finished school, your children have been brought up in the business and their children are of an age where they want to finish school and come and join you, and the Environment Agency are now asking you to take a test to prove your competent to operate a recycling yard.

You are probably thinking what do they know about running a salvage yard that I don’t?

Well, the bad news is that Technical Competency is here to stay; the good news is that it is not too difficult once you know how the testing procedure works and have received a little bit of training.

There are three elements to the test, the generic module and then two activity specific modules that most End of Life Vehicle sites should be taking.
The Generic module looks at three areas:
• The Law – this includes Waste Carriers, Environmental Permitting, Hazardous Waste Controls and so on.
• Health and Safety – Equipment, Manual Handling, People on Site etc.
• Environmental Protection – for example - Drainage, Bunding, Liquid Containment, spillages, etc.
This part of the test is 20 questions with multi-choice answers.

The activity specific modules focus directly into such areas as End of Life Vehicles, Metal Recycling, Waste transfer Station and so-on, and these are 6 questions for each, again with multiple choice answers.

It is best to work with professionals in this area to determine the exact modules required and the training needed to pass the Technical Competency tests, both UK motor salvage federations are offering training to their members, so their web sites would be a good place to start, www.mvda.org.uk and www.bvsf.org.uk , you could also work with your local Environment Agency office to determine what is required, as the modules detailed above are only suitable for members of staff with considerable experience of running auto recycling operations, and newer staff may be required to complete more intensive training and development before being technically competent.

If you are based outside of England and Wales then there is currently no requirement for you to hold this qualification, so you can watch with interest as your colleagues work through these tests, however if you are based in England and Wales you cannot ignore the requirements, without a Certificate of Technical Competence the Environment Agency could revoke your Waste Management Licence or Environmental Permit with major consequences on your business.

Autonomous Emergency Braking

Or, how to avoid 271,000 crashes each year!
Spent an afternoon at the Motor Industry Research Association (MIRA) establishment recently investigating Autonomous Emergency Braking (AEB) with Thatcham and innovITS Advance.
I was able to try a number of vehicles, both production and prototype models with advanced electronics that are able to take control from the driver and provide braking in emergency situations.
The result of this intervention is either complete avoidance of an impact or much reduced impact speeds with significantly reduced levels of vehicle damage, personal injuries and pedestrian casualties.
Predictions for the UK include: 2,700 fewer pedestrians killed or injured annually, 160,000 fewer whiplash injuries annually, 271,000 crashes will be avoided or reduced in severity annually.
Systems use radar, camera or combinations of both to monitor the road ahead. Potential collisions are identified and warnings may be given by audible, visual or tactile means, if the driver ignores these warnings then the system will apply maximum braking force to either bring the car to a complete standstill and avoid an accident, or reduce the speed of impact as much as possible.
Many systems will only work to best effect below 20mph, above 20mph there could still be retardation - the impact will not be avoided but impact speed will be significantly lower with subsequent reduction in damage and costs.
High speed accidents will still occur and there will be little change from current statistics – for the moment – research and development in this area is ongoing.
AEB technology is currently available in Volvo Cars, some Mercedes Benz models and the new Ford Focus. Fitment in vehicles will be driven by customer demand rather than legislation and it is expected that within the next 10 years the majority of new vehicles will have these systems available as standard fitment in some or all of the range.

What does this mean to the motor salvage and auto recycling marketplace?
The reduction in accident volume will impact total loss volumes and also the opportunities for the use of green parts in vehicle repair – volume of total loss reductions will be difficult to predict but will be greatest on newer vehicles.
With all the technology fitted, and the rapid advance of new technology vehicles will become obsolete much faster than currently so there will be more reaching end of life status at a much younger age – we are heading towards ‘disposable’ vehicles that some consumers will view in much the same way as we currently see computers and other household items.

Wednesday 18 May 2011

LKQ Corporation to Acquire Automotive Paint Distribution Business From AkzoNobel

LKQ Corporation (Nasdaq:LKQX) today announced that it has entered into an agreement to acquire AkzoNobel Coatings Inc.'s U.S. paint distribution business consisting of 40 locations.
The acquisition will further LKQ's ability to supply the automotive collision industry with a full line of parts and paint solutions. The acquired locations will supplement LKQ's existing paint distribution business and provide the company with additional expertise to assist its customers with their paint needs.
"We have long admired the body shop solutions offered by AkzoNobel, recognized as a color technology leader and the world's largest coatings company," said LKQ's co-CEO Robert L. Wagman. "This transaction reflects LKQ's commitment to being a one-stop-shop solution to the collision repair industry."
"LKQ Corporation is one of the most recognized and respected names in the automotive industry," said AkzoNobel Americas General Manager AB Ghosh. "We are proud to have them as a part of our growing North American network of distribution partners."
Mr. Wagman continued, "LKQ currently has relationships with thousands of collision repair shops throughout the United States. By adding AkzoNobel's portfolio of brands to our product offerings we believe this transaction, coupled with our experience and extensive distribution network, offers LKQ an opportunity for continued growth and market penetration in the paint distribution business." LKQ will distribute all of AkzoNobel's paint lines including the Sikkens, Lesonal and U-Tech brands.
The transaction is expected to become effective May 27, 2011 subject to customary closing conditions. Financial details were not disclosed.
About LKQ Corporation
LKQ Corporation is the largest nationwide provider of aftermarket and recycled collision replacement parts, refurbished collision replacement products such as wheels, bumper covers and lights, and a leading provider of mechanical replacement parts including remanufactured engines, all in connection with the repair of automobiles and other vehicles. LKQ operates more than 325 facilities, offering its customers a broad range of replacement systems, components and parts to repair automobiles and light, medium and heavy-duty trucks. LKQ's operations include locations in Canada, Mexico and Central America.

Thursday 12 May 2011

End of Life Vehicles


Utter the words End of Life Vehicle (ELV), and many will immediately picture a scrap yard full of old cars leaking oil and water, been involved in a heavy impact, or are simply a gutted shell. But this is only part of the story.


The End of Life Vehicle Directive – 2000/53/EC (to give it’s full title) is a Europe-wide directive that was to be enforced in all member states by 21 April 2002. However, some countries failed to implement the legislation by the deadline and many took advantage of flexibility within the directive so that the ‘last owner’ of the vehicle would be responsible for disposal of an ELV until the end of 2006. From 1st January 2007 this responsibility passed to the vehicle manufacturers bringing all member states in line.

The directive includes various targets involving: environmental practices in the motor salvage industry, the prohibition of the use of various heavy metals in vehicles and the removal of various hazardous fluids and components in a safe manner. Additionally the directive seeks to promote and encourage the development of markets for recycled parts.

The target causing most discussion is that 95% of a car (by weight) must be reused, recycled or recovered by 2015.
These, and other regulations in the directive, close the loop, from design and build, through sale, service and use, to disposal and recycling. The vehicle manufacturer is now responsible for the whole life of the vehicle, not just design and sales.

So what has changed in vehicle design and build? Plenty. The directive dictates that the use of Lead, Mercury, Cadmium and Hexavalent Chromium is now prohibited except in certain applications (i.e. batteries) according to a list that will be regularly reviewed. This ensures that these materials do not become shredder residues and are not incinerated or disposed of in landfills.
The European Union recently reported that this section alone has reduced the use of hazardous substances in vehicle production by 90%.

Manufacturers have also had to provide the industry with all requisite dismantling information with particular emphasis on hazardous materials and have to use component and material coding standards established by the European Commission to identify each individual part for recycling purposes.

In the next 5-10 years designers will have to adapt to many issues including:
 Greater environmental awareness resulting in lower vehicle weights and the use of alternative construction materials
New Legislation and industry standards, such as:
 Pedestrian impact
 Reduction of emissions in production and use of the vehicle
 Further increased environmental awareness
 Lower production costs
 Shorter lead times from design to manufacture

Looking closer at the first issue, vehicle weight is a major contributor to emissions, but it’s not all environmental, lighter cars have enhanced dynamics – handling, braking etc. The quest is on for designers to find components that meet all their requirements: are lighter and stronger, relatively inexpensive, environmentally attractive to produce and also recyclable in 2015.

It’s a tough challenge. For example, polymeric glazing (plastic glass) will be in use by a volume manufacturer within the next five years. Yes, it will be lighter than glass, however the plastics recycling market is currently not as advanced as the market for glass, so this has the potential to negatively impact the drive towards the 95% target.

Many manufacturers are already designing plastic components to be built using recycled materials and in many areas this is being achieved. Moreover, developments in shredder technology are starting to separate more of the various vehicle parts, resulting in less shredder residue going to landfill or incineration. Ultimately though the success of these developments rests upon the creation of a suitable marketplace willing to purchase the materials produced.

Outsourced parts are also a concern, as the manufacturer is ultimately responsible for the recyclability of all the components in their vehicles. Therefore they must ensure that all parts are recyclable within the terms of the ELV directive, i.e. do not contain any banned materials, are coded correctly and are also fit for the purpose for which they were designed.

The use of recycled material brings additional issues, including the availability and consistency of the material. It also requires the education of designers who may have little or no experience of working with recycled materials.

Concern remains over a number of areas both within and outside the ELV directive. For example, work must be done to develop effective recycled marketplaces. This has already started in the form of ongoing research, supported by the European Commission and many member states to investigate and develop recycled marketplaces and recycling processes in order to reach the 95% target.

The Commission also reported on the ELV process, specifically completing an impact assessment on the targets contained within the directive. It has concluded that there is no need to change these targets, despite fears that the current target of 95% by 2015 is unattainable.

The report highlights that any reduction in the targets will end the development of technology to treat the waste and that confirmation of the 2015 target will assist in removing current blockages to innovation. The assessment goes on to support the ELV Directive because it has triggered technological development in ELV treatment and stresses that continued development of treatment technologies will bring substantial environmental benefits.
You can find more details at http://ec.europa.eu/environment/waste/elv_index.htm

As the worldwide vehicle market expands over the coming years environmental concerns are only going to increase, leading many areas of the world to follow the example set by the European Commission.
The work already completed in Europe has made this region a world leader in motor vehicle environmental and recycling activities, creating business opportunities by setting high, but in my opinion, achievable standards.

Saturday 30 April 2011

ARN unveils shredder residue facility

In the presence of hundreds of dignitaries from the Netherlands and beyond, car recycling collective Auto Recycling Nederland (ARN) has opened its long-awaited shredder residue recycling plant in the town of Tiel. The fully-automatic plant combines the latest technologies to separate shredder residue from vehicles and other waste streams into a wide array of metal, plastic, fibre and mineral fractions.
ARN’s mechanical post-shredding technology (PST) plant is a key development in the push to meet the 95% recycling target for end-of-life vehicles which has been set by the European authorities for 2015. The PST facility will process material supplied by Dutch and foreign shredder operators.

The plant harnesses advanced Volkswagen/SiCon technology and is completed by a plastic separation module from Belgium’s Galloo Plastics. At full capacity, the plant is expected to process 100 000 tonnes of residues per annum; however, in the early stages, the figure will be nearer 30 000 tonnes. The facility is composed of 50 different types of machinery. ‘Some elements need to be fine-tuned,’ says ARN’s CEO Arie de Jong, ‘so I think it will take some months before it will run at full capacity.’ Some 5000 tonnes had already been put through the system prior to the opening ceremony.

The formal opening of the plant was performed by the Netherlands’ Environment Secretary Joop Atsma, alongside Mr De Jong and ARN Recycling Director Arie de Greef. During the event, Mr De Jong called for more economic solutions for marketing the mineral and fibre fractions - the most difficult elements to extract in the separation process. ‘We need a collaborative approach from society, economy and technology; only in this way can we head for a more circular consumption society,’ he argued.

Over the coming years, the plant is expected to reduce the costs payable by vehicle dismantlers and shredder operators for disposing of their residues. It will also take over some of the manual separation work from car dismantlers.

Thursday 28 April 2011

End of Life Vehicles

Ok, I know most of you understand ELV’s, but please allow me to expand on the EU regulations and show you that this is more than just a set of rules for vehicles in auto recycling yards.

The whole ELV process starts from vehicle design – ensuring components used in vehicle build can be recycled, adherence to a very specific list of materials that cannot be used in vehicles, ease of dismantling are all necessary. The EU believes that these regulations have resulted in a 90% reduction of hazardous substances in vehicle build since introduction.
Vehicle manufacturers also have a requirement to make dismantling information available to the auto recycling industry – including details of what components are made from, especially important when removing plastic components.
The European Union are also supporting development of recycling techniques and the recycled marketplace – to make sure that any components removed for recycling can be reused.

Once an ELV arrives at the auto recycling yard the vehicle must be stored on an impermeable surface, with sealed drainage until it has been de-polluted. This makes sure that any fluids leaking out are captured and cannot contaminate the surrounding area.
After de-pollution the vehicle can then go into the main yard.
De-pollution includes the following components and processes:
Air Conditioning – evacuation of the system, storage of the removed gas for safe recycling
Oils – removal of all oils from engine, gearbox, power steering and shock absorbers, includes removal of the engine oil filter. Fuel –removal of all fuels; Coolant –Removal; Screen Washer Fluid – removal; All fluids are then safely stored for future recycling.
All fluids need to be stored in sealed containers that are in a bunded area – an enclosed area that will stop fluid leaking out if storage tanks fail.
Tyres: Removed and stored for re-use or recycling, lead balance weights are removed from wheels and stored separately.
Airbags: Deployed.
Batteries: Removed and stored in sealed containers for recycling
Catalytic Converters: Removed and stored for future recycling.

Once the vehicle is considered to be ‘clean’ it can then go into the main yard for further processing as desired, this could be dismantling or straight to a shredder facility. Some recycling yards strip vehicles down further with cores going into separate bins, alloys separated from steel, etc.

Where does the future lie? – Well the EU has set the standard that the rest of the world must follow. There is still plenty to do, ELV legislation applies to cars and light commercials only, so the EU need to bring motorbikes and heavy commercials under the directive as soon as possible, and enforcement is a priority – according to latest reports 12 member states (out of 27) have not met the requirements of the ELV directive.
If this were my old school teacher it would get a B+, but could do better!

How 'Green' is the Auto Recycling World?

Sustainable development in the Auto Recycling Industry

Auto recycling can be a very green operation, but it can also be very dirty and harmful to the environment, the challenge has to be how to effectively improve the image of the industry, divert more product away from landfill and into recycling, and ensure that auto recycling activities do not harm this fragile planet we live on.

An immense challenge, especially when we hear about the predicted increase in new vehicle sales for China and S East Asia over the coming 20 years.

As with all things, this must start at the vehicle design stage – vehicle manufacturers must be forced to design vehicles that can easily be recycled once they reach the end of their lives. This includes materials used in production, restrictions in the use of hazardous substances such as mercury, and ease of dismantling.
During the life of the vehicle, manufacturers have a need to show that servicing schedules are designed to minimise waste, and service agents must be able to recycle as much of the waste products as possible.
When the vehicle reaches the end of its’ life it must go to an approved treatment facility for de-pollution, dismantling and recycling. A site where all waste products can be removed cleanly, efficiently and sent for recycling. A site where the ground will not be contaminated, workers are kept safe and the public are not in any danger.

The European Union is getting there – they already have rules and regulations in place regarding all of the above, including development of markets for the recycled products that come out of ELV’s – their target of 95% of each vehicle being recycled from 2015 is tough, but achievable.
Problem is, the rules only apply to cars and light commercial vehicles, when will similar standards be applied to motorbikes and heavy commercials?
What about the rest of the world and what happens in 10-12 years time when the 12 million new cars sold in China this year reach the end of their lives?
It is time for the worldwide auto recycling industry to set minimum standards for vehicle de-pollution, dismantling and recycling for all motor vehicles. Standards that reflect the need to protect our world from pollution, increase the amount of product that is recycled, and minimise waste.

Talk to your local Politicians, Councillors, Members of Parliament, Senators etc, ask them what they are doing to protect the environment, when can we see updated rules and regulations, and more importantly the funding to enforce these rules and regulations and drive illegal operators out of business.

Thursday 21 April 2011

Cost of the operation

Very interesting morning yesterday working with an excellent recycling yard in South Wales. We were looking at costs, cost of purchasing stock, cost of processing the vehicles and the value of the vehicle as pure scrap.
This organisation have got all the records to hand and we were able to see how much it cost them to purchase stock, how much it cost to process end of life vehicles, the value of the scrap elements - hulk, alloy wheels, cores, catalytic converters etc. We also looked at parts sales and revenue.

What we did find is that the average purchase price was close to half the cost of processing the vehicle, and they cleared in excess of £200,000 profit annually just from processing end of life vehicles.

it got me wondering, how many other operations have access to similar information from their records? Unfortunately I believe that only a very small number of auto recycling businesses will have this knowledge - those that do not have this data are at increased risk of financial problems - knowing your turnover, costs, revenue streams is so important in the current financial climate.

We are now heading into a couple of long weekends - ideal time for owners and managers to take a few days away from the de-pollution bay, and take some time out. So as you fire up the barbeque and open that bottle of wine - think about the business and how much more profit you could be making if you take time to analyse where costs can be saved, where more revenue could be obtained, and how you measure this.

Salvage Wire can help, see our website for more detail on how to contact us.

Happy Easter

Friday 15 April 2011

Certificate of Technical Competency

Auto recycling yard managers in England and Wales have less then 12 months to obtain their Certificate of Technical Competence. Failure to do this could result in businesses being closed down following revocation of waste management licences.

The original deadline of Feb 2011 was extended by 12 months so that all necessary staff could get through the qualification, and to date it is believed that only 10% of all Technically Competent Managers have taken the test, leaving almost 10,000 tests still to be taken in the remaining 10 months.

All End of Life Vehicle or Metal Recycling facilities must have the following ‘Operator Competence’ in place:
Free from environmental convictions
Financially viable
Have technical Competence in place

Operator Competence must remain in place for the life of the facility – this includes ongoing testing with the first deadline of Feb 2012 and ongoing re-testing every 2 years.
Additionally the Technically Competent Manager must be on site 20-25% of EVERY week, so if they go on holiday, they need to be replaced for the time they are away.

There are a number of avenues for obtaining initial competence, and the choice taken can be as follows:
You have already been deemed to be competent by the Environment Agency – you take the on-line general module and up to three specific modules relating to your chosen area of business.
Work through a training agency towards a number of NVQ’s
Take a VRQ – an intensive training course that is equivalent to 6 NVQ’s
Obtain the ESA ‘Corporate Competence’ qualification

One of the best sources of information is the WAMITAB (Waste Management Industry Training and Advisory Board) web site – www.wamitab.org.uk

Monday 11 April 2011

Bluecycle’s new Compliance Team will help customers manage ‘red tape’

Online car salvage auction business, Bluecycle, has created a new Compliance Team to help customers meet their increasing obligations concerning the scrappage of cars.

The European Union’s End of Life Vehicle Directive (ELV) dictates that 85% of a car manufactured in Europe must be recyclable. This figure increases to 95% in 2015, placing additional pressure on the vehicle salvage sector to ensure this is observed.

Having been Bluecycle’s Reputation Manager since the company formed eleven years ago, Andy Latham brings over thirty years of experience as a motor vehicle engineer and insurance assessor into his new role as Compliance Manager.

In support of Latham, Bluecycle has also appointed two new Compliance Officers, who are transferring from other roles within the business. University graduates Magda Drozdz and Kuba Wygledacz have eight years combined experience in the vehicle salvage and insurance sectors.

Based at Bluecycle’s offices in Bristol, the Compliance Team will further develop Bluecycle’s industry leading role on reputational matters affecting ELV, codes of practice, environmental agencies, legislators, as well as liaison with trade associations. The team will also work closely with Bluecycle’s network of Authorised Treatment Facilities (ATFs) across the UK to ensure regulations are properly enforced.

Andy Latham, Bluecycle’s new Compliance Manager, commented:

“With the advances being made in recyclable materials by manufacturers to meet higher targets in 2015 plus the major investment put into Authorised Treatment Facilities, our new Compliance Team will bring reassurance and expertise to the growing regulatory process within the sector.”

In addition, Bluecycle has re-launched its website with push bidding technology so that users can view auctions in real time without having to refresh the page on the internet browser.

An investment of almost 20,000 hours of technical development has gone into the new auction architecture, which the company believes will help attract new customers and generate increased participation in auctions during 2011.

Guy Spence, Managing Director, Bluecycle, said:

“Operating in a highly competitive sector, Bluecycle is proud of its record of innovation and the launch of our new auction technology is a major step forward. It will have major benefit to new and existing customers whilst maintaining quality and integrity, which remains the bedrock of our business. We anticipate increased volume as a result of this move which is highly beneficial to the market and also expect our simplified yet robust registration process to stimulate additional activity.”