July 18, 2017

Thank You to Our Sponsor of This Edition of CAWA Connections    Motorcar Parts of America Steps up Again as the Association's Exclusive Sponsor of Its Annual Gala Event Motorcar Parts of America, Inc. will, once again, be the exclusive sponsor of the 2017 Gala Dinner in conjunction with the annual AAPEX and SEMA trade shows being held in Las Vegas during Industry Week. The annual gala event is the highlight of the year for the Association, and is dedicated to raising funds for CAWA's scholarship program. The event also recognizes the outgoing leadership's service and commitment to CAWA and industry with its "Red Vest" award ceremony. Mr. Ted Wise, former Co-President and COO of O'Reilly Auto Parts, will give this year's keynote address at the event. The gala will be held at Caesar's Palace on Sunday evening October 29, 2017.  Should you or your company be interested in donating cash, raffle or auction prizes, please see the contribution form and solicitation letter from this year's Fundraising Committee Chair, David Wendt of Delphi Products & Service Solutions ( here). Have You Ever Wondered How CAWA is of Value to You and Your Company? See the enclosure ( here) for clues! Plus view the "CAWA story" in the brief video below. If CAWA can assist, we are a telephone call or email away (800.332.2292 orprograms@cawa.org). Another member benefit. Click here if you are unable to see the above video. New Rules Went into Effect on July 1 - May Leave California Employers Scrambling to Amend Hiring Policies for Employees with Criminal Histories Essentially, the new rules from the California Fair Employment and Housing Council significantly limit the ability for the state's employers to consider criminal records when making employment decisions. With the additional guidelines, employers will be legally prohibited from considering arrests that did not result in conviction, juvenile court convictions, sealed or expunged convictions, and non-felony cannabis possession convictions that are more than two years old. Employers found to be in violation of the new policy would be at risk of single plaintiff or class action litigation. Should you have questions regarding this new rule, contact CAWA's California based attorney, Steve Marmaduke at 916.441.2430 orsmarmaduke@wilkefleury.com, to receive ½ hour a month of FREE legal consultation on issues such as this one.  Another member benefit.   Recent Graduates and Job Seekers Can Connect with Potential Employers at the CAWA Career Center The online career resource center is designed specifically for the $381 billion auto care industry. After setting up a free profile here candidates can upload a resume, choose to make it confidential, designate military status and receive email alerts of new job postings. Career fields in the auto care industry include accounting, customer service, engineering, finance, human resources, inventory management, manufacturing, marketing, research and development, retail, sales, sourcing, supply chain, technical support, training, vehicle repair and more. Another member benefit.   Thanks Again to the Following Companies That Sponsored CAWA's Leadership Days in San Diego Want Complimentary VIP Employee Benefits Services That Would Normally Cost You Significant Dollars? Look no further than our insurance partner Coremark & Armstrong. Here are some examples and more information can be found here. HRIS onboarding and enrollment platform (Retail: $40-$60/year per employee)  COBRA Administration (Retail: $20/year per employee)  ERISA Plan Document and Summary Plan Description (Retail: $800-1500/year)  Section 125 Plan (Retail: $150-$250/year, plus per employee fees for FSA plans)  IRS Form 1095 Reporting (Retail: $70-$100/year per employee)  Online HR Support Dashboard, Hotline and Document Generator (Retail: $1,700/year) Another member benefit to save you money! Contact Mat Nabity at mnabity@coremarkins.com or 866.340.2247. Traditional DIFM & DIY Sales The Traditional channel increased its car and light truck product volume by $5.5 billion at user-price between 2006 and 2016. While Do-It-For-Me (DIFM) product sales rose nearly $6 billion in the Traditional channel over this ten-year span, Traditional channel Do-It-Yourself (DIY) product volume declined. The Traditional distribution channel increased its share of light vehicle DIFM product volume from 21.8% in 2006 to 24.4% by 2016. Traditional channel share of the DIY market, in contrast, declined over this ten-year span. See the enclosed report for details ( here). Source: Lang report These Manufacturers Are Contributors in Support of CAWA's Government Affairs Program These companies are financial supporters of the more than 70 automotive manufacturing companies that support CAWA's government affairs program. We want to recognize their support and thank them. For a complete list of companies see here.  Important Security Updates From Superior Financial Systems Regarding Your Merchant Account Visa and MasterCard have announced some new changes to the operating rules for merchant accounts. Please read details ( here), and contact Superior Financial Systems Customer Service department if you have any questions at toll free (866) 601-2733, direct (661) 294-3696 or CustomerService@SFSProcessing.com. "CAWA - Representing the Automotive Parts Industry" Copyright 2017, All Rights Reserved

July 6, 2017

Thank You to Our Sponsor of This Edition of CAWA Connections    Tom Seboldt of O'Reilly's Auto Parts Elected the 2018 Secretary to CAWA's Board of Directors Among business being conducted at the June Leadership Days and Educational Forum, the Board of Directors elected Mr. Seboldt as their 2018 Secretary. The members also heard presentations from the following individuals:  "New Aftermarket Realities: Strategic Shifts and Where Do We Go From Here" - Presented by: Bill Long, Automotive Aftermarket Suppliers Association  "Remote Vehicle Data - Access and Opportunity for the Aftermarket" - Presented by: Jim Dykstra, Innova Telematics Solutions  "Embedded Software and the Aftermarket" - Presented by: Chris Blalock, Dorman Products  The presentations were very informative and well received by the attendees and you can receive a copy of the PowerPoint presentations by emailing programs@cawa.org. In another business matter during the educational forum, CAWA's Chair of the Board, Michael Antonelli gave scholarship awards to three of the eleven 2017 awardees who were in attendance. He also presented Greg Livingston his Chair of the Board plaque for his service to the Association and industry in 2016. (l to r) Pierini - CAWA CEO, Bryan Esterly, David Robles, Robert Marcia, Chair Antonelli (l to r) Chair Antonelli and Greg Livingston, 2017 Past Chair The Association's Annual Dinner Meeting Will be Held in Las Vegas on October 29, 2017 The annual gala dinner and scholarship fundraising event will be held the Sunday night before the AAPEX/SEMA shows art Caesar's Palace in Las Vegas. Should you or your company be interested in donating cash, raffle or auction prizes, please see the contribution form and solicitation letter from this year's Fundraising Committee Chair, David Wendt of Delphi Products & Service Solutions ( here). More information and registration materials for the gala dinner will be coming in the weeks ahead. For immediate questions, contact programs@cawa.org. CAWA and Heri Automotive Host a YANG Regional Meet-Up at the Association's Leadership Days in San Diego CAWA leaders and members mingle with members of the Young Auto Care Network Group (YANG) who are the current and future leaders of the industry. The Regional Meet-Up was held on the Berkeley Ferry which is docked in the San Diego harbor. This was the second time that CAWA has hosted such an event for YANG members. Thurston Adams of Heri Automotive who addressed the attendees is YANG's representative to the CAWA Board of Directors. For further information, contact admin@cawa.org. Another member benefit. YANG and CAWA members at Regional Meet-Up   Workshops for Businesses Interested in Applying for Over $200 Million in Tax Credits The California's Governor's Office of Business and Economic Development (GO-Biz) announced a series of 28 workshops across California designed to help businesses apply for over $200 million in available California Competes Tax Credits (CCTC). "Our message to business owners is simple, take advantage of this tax credit and create new job opportunities," said Kristen Kane, GO-Biz Deputy Director. "The California Competes tax credit has encouraged hundreds of companies to expand in California and add thousands of good paying jobs. This application is free, it's easy to apply and we want great companies that are expanding to receive these valuable tax credits." For more information and a listing of workshops click here. If You are Contesting an Audit, What Happens to Your Appeal with the Board of Equalization (BOE)? As California's tax court, the BOE weighs complaints from residents fighting income tax audits and businesses that are on the hook for sales tax, airline fees, cannabis taxes, and a host of other charges. The elected Board of Equalization will continue hearing appeals through the end of this year. Over the next six months, the state plans to hire administrative law judges who would start work on weighing tax complaints on Jan. 1, 2018. They'd be hired through the Office of Administrative hearings, a department that reports to the Governor's Office. The budget provision that would create the new tax department said tax appeals would be considered by panels of three judges. Taxpayers who want to contest decisions from the administrative judges would have to file lawsuits against the state in civil court. That's how most other states handle tax disputes. Any questions associated with these type matters can be answered by CAWA attorneys, whereby members receive ½ hour FREE legal consultation per month. See www.cawa.org for the attorney in your state. Source: Sacramento Bee Via SSF Imported Auto Parts - America Sends Team to First International Automotive Tech Challenge A longtime member of CAWA, SSF Imported Auto Parts LLC announced that it is sponsoring the first ever American team to compete in the International Automotive Technicians Challenge. Best described as "the Olympics for automotive technicians," the AP Expert International Technicians Challenge will take place this fall just outside of Warsaw, Poland, hosted by leading Polish WD Auto Partner. SSF and Auto Partner are both of members the international Global One buying group. See details here. Foreign Nameplate DIFM Surge Foreign nameplates are expanding their light vehicle product share, with most gains achieved in the Do-It-For-Me (DIFM) aftermarket. Foreign nameplate cars and light trucks boosted their DIFM product share more than 800 basis points between 2011 and 2016, surging $11 billion in DIFM product volume at user-price. In-depth analysis is presented in the just-released 2018 Lang Aftermarket Annual. See more details here. Source: Jim Lang The Next Round for Minimum Wage Increases in California is Six Months Away! Effective January 1, 2018, for employers with 26 employees or more, the minimum wage will increase by another 50 cents this year ($10.50 to $11.00 per hour), before increasing by $1 per year until 2022:  Jan. 1, 2018: $11 an hour  Jan. 1, 2019: $12 an hour  Jan. 1, 2020: $13 an hour  Jan. 1, 2021: $14 an hour  Jan. 1, 2022: $15 an hour  Smaller businesses with 25 employees or less will follow the same progression as the larger employers, just one year behind. The $15 minimum wage for smaller businesses will come into effect on Jan. 1, 2023. CAWA Provides You with a Financial Resource to Assure Success Our partner at Wyman & Little, Inc. can provide you with accounting and financial consultation to address issues, such as:  Providing quality financial statements  Recommending financial direction  Operating as a outsourced CFO for your business  Focusing your business on the "sweet spot" of sales, profit and cash flow  Helping you initiate financial goals and strategies, and  Training you and your people in financial understanding for automotive business.  For further details contact them at 951.734.5558 or WymanLittleinc@gmail.com. Another member benefit. The Biggest Mistakes Sales People Make For sales insights, see the enclosed article by John Chapin ( here).   Mexican Auto Suppliers Strategize for NAFTA Talks President Donald Trump has made an example out of global automakers that produce in Mexico for the U.S. But auto parts makers south of the border also have a huge financial stake in the upcoming trade talks. Suppliers here are maintaining a united front with the Mexican auto industry, but the parts community also has strategies for a favorable revision of the North American Free Trade Agreement, industry officials said at a conference this month. See http://www.autonews.com/article/20170626/OEM10/170629844/ for details from Automotive News. Your CAWA Job Board Posting Reaches Other Aftermarket Association Attention Each posting made on the CAWA Careers Industry Job Board is automatically shared on multiple jobs boards via a broad industry network, including Auto Care Association, Automotive Service Association (ASA), Custom Automotive Network (CAN, formerly PWA), National Independent Automotive Dealer Association (NIADA), Specialty Equipment Market Association (SEMA) and Society of Collision Repair Specialists (SCRS). To post your job at a much under-priced rate, visit www.cawa.org/jobs.aspx or email programs@cawa.org for further information. Another member benefit. "CAWA - Representing the Automotive Parts Industry" Copyright 2017, All Rights Reserved

June 20, 2017

Thank You to Our Sponsor of This Edition of CAWA Connections CAWA Awards Scholarships for the 2017 Year CAWA is pleased to announce the recipients of its 2017 scholarship awards. CAWA is awarding $11,250 in scholarships this year to eleven individuals. "Each and every year, CAWA continues to support and assist young people in pursuing their education and careers in the auto care industry", said Rodney Pierini, President and CEO, in announcing the awards. For a list of recipients, see the enclosed press release ( here).   Another member benefit. These Manufacturers Are Contributors in Support of CAWA's Government Affairs Program These companies are financial supporters of the more than 70 automotive manufacturing companies that support CAWA's government affairs program. We want to recognize their support and thank them. For a complete list of companies see here. Do You Want to Assist the Arizona Governor in Reducing Regulations? CAWA encourages all Arizona members to submit any concerns with laws, rules or other burdensome government requirements in order for the Association to work with the Governor's office and the respective state agencies to address such matters.  See https://azgovernor.gov/redtape for details and/or contact our Phoenix based legislative advocate Stuart Goodman at 602.617.5708 orsgoodman@goodmanschwartz.com.   A Day in the Life of a Successful Salesperson Over the years people have asked me if I have daily rituals, habits, or a schedule I follow. While it's varied a bit over the years, and I've tweaked it here and there, here's my current daily schedule, and pretty much what I recommend for salespeople, entrepreneurs, and business owners. By the way, this tends to be my schedule every day as almost every day is a work day for me. See more here. Source: John Chapin   Want to Encourage a Northwood University Student to Intern with Your Company? The Northwood Career Advancement department has information available online about internships. Companies can post jobs and send an email to Donna Wagner atwagnerd@northwood.edu (989.837.5149) about the opportunities so she can let the students know. See http://www.northwood.edu/career-advancement/employer-internships for further details. Some Interesting Facts About Jobbers and Retail Auto Parts Stores There are two types of Auto Parts Stores in the U.S. aftermarket: Jobbers and Retail Auto Parts Stores. The mix of Auto Parts Stores (Jobbers and Retail Auto Parts Stores) has changed dramatically over the past five years.  From 2011 to 2016, the number of Jobber stores fell by nearly 1,000. At the same time, the Retail Auto Parts Store population soared by almost 3,300. · Despite a decline in Jobber outlets, the number of Auto Parts Stores nationwide (Jobbers and Retail Auto Parts Stores) increased by nearly 2,300 between 2011 and 2016.  There were 560 more Jobber outlets than Retail Auto Parts Stores at mid-year 2011. By 2016, there were over 2,600 more Retail Auto Parts Stores than Jobbers nationwide.  Retail Auto Parts Stores climbed from 48% to 54% of Auto Parts Stores across the country during these five years.  Source: The Lang Report Supreme Court Decision Delivers Major Victory for Aftermarket In a major victory for the auto care industry, the Supreme Court upheld the legal precedent of patent exhaustion, which states that a company's right to protect its patent ends when the product is sold to the end user. Information from an amicus brief submitted to the Supreme Court by CAWA's national partner, the Auto Care Association, was used by Chief Justice John G. Roberts Jr. in reversing the Federal Circuit decision that would have been damaging to the manufacture and sales of aftermarket parts. For details, see here. CAWA's Member - SSF Imported Auto Parts has a Contest for Techs Going - Spread the Word! If you've ever said to yourself that you just might be "the best automotive technician in the world," here's your chance to prove it! SSF is searching for the top three automotive technicians in the country to represent America at the AP Expert International Technicians Challenge; an all-expenses-covered event in Poland later this year. And the winner of the challenge will not only have the bragging rights to call him or herself "the best," but will also walk away with the grand prize of 5,000 euros! For further details, see here. Commissioner Approves 7.8% Reduction in Benchmark Workers Compensation Rate The California state insurance commissioner has approved a recommendation to reduce average baseline rates on workers' compensation policies by 7.8% at the mid-year mark. The mid-year reduction to the baseline rate is largely the result of reforms that were introduced in 2013 that have sped up the settlement process for claims (including many long-term claims), in addition to reducing medical costs. Also, because of these reforms the cost of adjusting workers' comp claims in California has dropped over the past few years. Insurers are free to price their policies based on a number of factors and every employer will see a different result from this change. For more information on workers comp policies and to receive a quote, see our partner at Armstrong & Associates, Glen Dailey at gdailey@armstrongprofessional.comor 866.923.7767.   New Lower Pricing on CAWA's Industry Job Board The CAWA Careers Industry Job Board now features new lower pricing, starting as low as $75 per listing, for jobs posted throughout a broad industry network. By visiting here, hiring managers will find new job posting rates, starting at $75 for technician positions and $105 for a single 30-day post. Multiple posting packages are available and internship postings continue to be available at no charge.  Each posting made on the CAWA Industry Job Board is automatically posted on multiple industry job board sites, enabling employers to see all candidates in one network. The CAWA Industry Job Board network includes the following organizations:  Auto Care Association Automotive Service Association (ASA)  CAWA- Representing the Automotive Parts Industry  Custom Automotive Network (CAN, formerly PWA)  National Independent Automotive Dealer Association (NIADA)  Specialty Equipment Market Association (SEMA)  Society of Collision Repair Specialists (SCRS)  For more information, contact programs@cawa.org or call 800.332.2292. Another member benefit.   "CAWA - Representing the Automotive Parts Industry"