Automotive Finance Corp. (AFC), a division of KAR Auction Services Inc., announced Monday (April 23) it has expanded its inventory finance product offerings to include more options for its recreational vehicle dealers.
A key feature of AFC’s RV inventory financing includes no restrictions on the type of RV unit a dealer can purchase — no make, model or year constraints.
“Many providers only finance a dealer’s new RV inventory,” said Neill Waters, director of business development for Carmel, Ind.-based AFC, “and we consequently saw many RV dealers seeking financing that better met their used RV purchasing needs.”
As part of the program, AFC will advance 100% of an RV dealer’s auction purchases at more than 1000 AFC-approved auctions. AFC’s financing also gives RV customers the flexibility to finance trades. With AFC’s RV financing, dealers have an extended period of time to pay-off their units on floorplan for used inventory purchased from auction or taken in on trade. AFC’s RV financing applies to used motorhomes, travel trailers, fifth-wheels and other towable units.
“Our RV inventory financing program was developed based on the feedback we received from our current RV customers. It’s now available throughout North America, both the US and Canada,” Waters added.
According to a news release, the RV program — one of several initiatives being rolled out in celebration of AFC’s 25th anniversary — is consistent with AFC’s strategy to find new and better ways to service its dealer customers, and enable them to operate more profitably. Earlier this year, AFC unveiled its new website, www.AFCDealer.com, that features online floorplanning capability, and the company’s “Free Flooring for A Year!” sweepstakes where one lucky AFC dealer won a year of interest- and fee-free floorplanning.
KAR Auction Services Inc. today (Feb. 24) reported improved fourth quarter and annual financial results for the period ended Dec. 31.
For the fourth quarter of 2010, the auto and RV auction firm reported revenue of $441.3 million as compared with fourth quarter 2009 revenue of $417.9 million, an increase of 6%, according to a news release.
Net income for the fourth quarter of 2010 was $7.3 million, or 5 cents per share, as compared with net income of $5.3 million, or 5 cents per share, in the fourth quarter of 2009. Adjusted net income per share for the fourth quarter of 2010 was 20 cents versus adjusted net income per share of 15 cents for the fourth quarter of 2009.
For the year ended Dec. 31, 2010, the company reported revenue of $1,815.0 million as compared with revenue of $1,729.6 million for the year ended Dec. 31, 2009, an increase of 5%.
Net income for the year ended Dec. 31, 2010, was $69.6 million, or 51 cents per share, as compared with net income of $23.2 million, or 21 cents per share for the year ended Dec. 31, 2009. Adjusted net income per share for the year ended Dec. 31, 2010, was $1.05 versus adjusted net income per share of 76 cents for the year ended Dec. 31, 2009.
KAR Auction Services Inc. is the holding company for ADESA Inc., a leading provider of wholesale used vehicle auctions whose operations span North America with 70 used vehicle sites, Insurance Auto Auctions, Inc., a leading salvage auto auction company whose operations span North America with 159 sites and Automotive Finance Corp., a leading provider of floorplan financing to independent and franchised used vehicle dealers with 88 sites across North America. For further information on KAR Auction Services Inc., ADESA, Inc., Insurance Auto Auctions Inc. or Automotive Finance Corporation, visit www.karauctionservices.com.
KAR Auction Services Inc., parent company to ADESA Inc., a provider of whole car and RV auction services, and Automotive Finance Corp. (AFC), a provider of floorplan financing, announced Monday (Nov.15) that it will expand its Carmel, Ind., headquarters, creating up to 249 new jobs by 2015.
The company will invest several million dollars to lease and equip more space at its existing facility in Carmel, according to a press release.
“A growing company like KAR has many location options when it comes to creating jobs and expanding its business,” said Mitch Roob, Indiana secretary of commerce and CEO of the Indiana Economic Development Corp. (IEDC), which is assisting KAR in the investment. “Our top priority is to create an economic climate that encourages companies to choose Indiana and today we’re seeing the pay-off in hundreds of new jobs for Central Indiana.”
KAR, which currently employs more than 500 associates at its Carmel headquarters, plans to begin hiring additional customer service and management personnel in the first quarter of 2011, with additional hiring planned throughout the next five years. The company’s growth is the result of recent acquisitions and consolidation of certain corporate functions into the Hamilton County facility.
“Indiana has proven to have a competitive business climate and a skilled workforce,” said Jim Hallett, president and CEO of KAR Auction Services. “So when it came time to expand our operations, it made sense to do so in Carmel. We are excited by this opportunity and we appreciate the city’s support for our continued growth.”
KAR employs nearly 11,000 associates throughout the United States, Canada and Mexico. KAR’s network of companies includes 70 ADESA whole car auctions, 159 Insurance Auto Auctions Inc. salvage vehicle auctions and 88 AFC loan production offices.
The IEDC offered KAR Auction Services up to $4.5 million in performance-based tax credits and up to $200,000 in training grants based on the company’s job creation plans. The city of Carmel will consider additional property tax abatement.
“I am pleased that ADESA has decided to expand its corporate headquarters,” said Carmel Mayor Jim Brainard. “Our focus and commitment to a high quality of life is always key in attracting and retaining companies in Carmel.”
KAR Auction Services Inc., a leading provider of auto and RV salvage auction services in North America, today (April 19) announced a 30% increase in online sales volumes for 2009 for ADESA, the company’s wholesale car auction services business, compared to 2008, according to a news release.
Additionally, the holding company’s salvage auction services business, Insurance Auto Auctions (IAA), experienced 9% growth in online sales volumes for 2009 compared to 2008.
Online sales volumes for ADESA in 2009 reached nearly 390,000 vehicles, which represented slightly more than 19% of total vehicles sales for ADESA. Online sales volumes for IAA reached more than 550,000, which represented more than 45%of total vehicle sales for IAA. Total online sales volumes for both companies neared the 1 million mark with more than 950,000 vehicles, making KAR one of the largest online sellers of wholesale used and salvage vehicles worldwide.
“Customers have different buying and selling preferences and KAR is committed to providing them with auction services during every stage of the remarketing process — regardless of where the inventory is located — as well as through every possible channel, online or at our 215 physical whole car and salvage auction locations,” said Benjamin Skuy, executive vice president of international markets and strategic initiatives for KAR.
Dealers are utilizing both the electronic systems and physical sites in record numbers. Recently, the company’s whole car unit received two of Auto Dealer Monthly’s prestigious Dealers’ Choice Awards — top place for purchasing inventory online and second place for brick-and-mortar auctions.
“We have dedicated substantial resources to our platforms — LiveBlock, DealerBlock and i-Bid Live—in order to enhance our online remarketing options,” Skuy said. “In addition, we continue to develop products and services for the entire remarketing industry through our wholly owned subsidiary, LiveBlock Auctions International.”
About KAR Auction Services
KAR Auction Services Inc. is the holding company for ADESA Inc., a leading provider of wholesale used vehicle auctions whose operations span North America with 62 used-vehicle sites, Insurance Auto Auctions, Inc., a leading salvage auto auction company whose operations span North America with 153 sites and Automotive Finance Corporation, a leading provider of floorplan financing to independent and franchised used vehicle dealers with 88 sites across North America.
KAR Auction Services Inc., parent company of RV auction firm ADESA Inc., announced Thursday (Dec. 10) that the company has priced its initial public offering of 25 million shares of common stock at $12 per share, according to a news release.
The common stock of the Carmel, Ind.-based auction firm is expected to begin trading today (Dec. 11) on the New York Stock Exchange under the symbol “KAR.” The company has granted the underwriters a 30-day option to purchase up to an additional 3,750,000 shares of common stock on the same terms and conditions.
Goldman, Sachs & Co., Credit Suisse Securities (USA) LLC, BofA Merrill Lynch and J.P. Morgan are acting as the joint bookrunners for the offering. Barclays Capital and BMO Capital Markets are acting as lead managers for the offering. Baird, Barrington Research, BB&T Capital Markets, RBC Capital Markets and Stephens Inc. are acting as co-managers for the offering.
KAR Auction Services Inc. is the holding company for ADESA, Inc., a leading provider of wholesale used vehicle auctions whose operations span North America with 62 used vehicle sites; Insurance Auto Auctions, Inc., a leading salvage auto auction company whose operations span North America with 152 sites; and Automotive Finance Corporation, a leading provider of floorplan financing to independent and franchised used vehicle dealers with 87 sites across North America.