Keystone News

Chicago, IL (August 19, 2015) - LKQ Corporation (Nasdaq: LKQ) announced the completion of its tender offer to purchase all outstanding shares of common stock of The Coast Distribution System, Inc. (NYSE MKT: CRV) for $5.50 per share in cash. The tender offer expired at 12:00 midnight Eastern Time at the end of the day on Tuesday, August 18, 2015.

The depositary for the tender offer has advised LKQ that as of the expiration of the tender offer, approximately 4,367,676 shares have been validly tendered and not properly withdrawn in the tender offer (including 59,105 shares tendered through notices of guaranteed delivery), representing approximately 84.04 percent of Coast’s outstanding shares (including 59,105 shares tendered through notices of guaranteed delivery representing approximately 1.14 percent of Coast’s outstanding shares). Accordingly, the minimum tender condition for LKQ’s pending acquisition of Coast has been satisfied. As a result, LKQ accepted for payment in accordance with the terms of the tender offer all shares of Coast common stock that were validly tendered and not withdrawn prior to expiration of the tender offer (including all shares tendered through notices of guaranteed delivery), and payment for such shares will be made promptly. LKQ expects to complete the acquisition of Coast later today through a merger effected pursuant to Section 251(h) of the General Corporation Law of the State of Delaware.


About LKQ Corporation

LKQ Corporation (www.lkqcorp.com) is a leading provider of alternative and specialty parts to repair and accessorize automobiles and other vehicles. LKQ has operations in North America, the United Kingdom, the Netherlands, Belgium, France, Scandinavia, Australia and Taiwan. LKQ offers its customers a broad range of replacement systems, components, equipment and parts to repair and accessorize automobiles, trucks, and recreational and performance vehicles.

Forward Looking Statements

Certain statements in this press release that are not historical facts are forward looking statements that are based on LKQ’s current expectations and beliefs and are subject to a number of risks, uncertainties and assumptions that could cause actual results to differ materially from those described. These forward looking statements generally include expectations, beliefs, hopes, intentions or strategies regarding our future, including statements about the planned completion of the merger. Forward looking statements are subject to risks, uncertainties and other factors some of which are not currently known to us. Actual events or results may differ materially from those expressed or implied in the forward looking statements as a result of various factors. Some of such risks, uncertainties and other factors are described in LKQ’s annual report on Form 10-K for the year ended December 31, 2014 and in subsequently filed quarterly reports on Form 10-Q. We assume no obligation to publicly update any forward looking statement to reflect events or circumstances arising after the date on which it was made, except as required by law.

Keystone's George Lathouris Shares Insight On How Retailers Can Profit From The Jeep® Market

It's clear that truck accessory manufacturers have embraced the Jeep® market for a reason. It's one of the fastest growing segments of the truck and SUV industry and is not showing any signs of slowing down. So manufacturers have jumped in, creating a variety of products that allow truck accessory retailers and restylers an opportunity to grow their businesses. From the viewpoint of a warehouse distributor, the Jeep trend can also give truck accessory retailers another avenue to grow their customer base too.

With 38 years of experience, former Chairperson of the SEMA LTAA and SEMA Person Of The Year, Keystone's George Lathouris, believes Jeep®s are one of the most exciting trends he's seen in recent years. "Overall, Jeep®s are more accepted for families, and because of that, the popularity of the vehicle has increased and is quickly becoming the second vehicle." For the truck accessory retailer, Lathouris says it's important to realize that a large portion of this growing Jeep® accessory market isn't necessarily made up of hardcore four-wheelers. In fact many truck accessory manufacturers who are now producing Jeep® products that are sold through WD's like Keystone, agree that the target market are those Jeep® owners who want to customize their vehicles to look good and perform off-road. Yet, most are primarily used for daily driving.

Because WD's like Keystone are quick to move on trends and carry a full line of Jeep® parts and accessories, truck accessory retailers can have a full supply of hard and soft goods available to them when they're ready to jump into this market. "I think is our job to have the right product to suit the marketplace and to deliver at the right time," says Lathouris. "It's important for retailers and restylers who work with WD's like Keystone, to take advantage of the trends to grow their business." Of the many brands and products Keystone carries, Lathouris says that retailers can't go wrong selling Jeep® soft goods and cargo solution products. In addition, should retailers get some hardcore off-roaders into their stores, Keystone has a supply of its branded products that can cater to those customers as well. "The Trail FX/ brand is a perfect example of this," says Lathouris. "It was developed in response to a changing marketplace. We began with bumpers, grille guards, and side steps, and then added items such as wheels and a high-quality recovery winch line for those retailers who have grown their Jeep® customer base. This variety gives jobbers high-quality products, that also satisfies consumer demands. It also allows Keystone to provide for reasonable support. In addition, these items are not just for Jeep®s, but can also be sold for fleets and work-trucks. So there's always ways to move product off the shelves."

As with any new market, retailers are often fearful of stocking new products and not being able to properly communicate with their customers. For those retailers, Lathouris has some suggestions on how to easily transition into selling Jeep® products. "The first thing any retailer should do is attend a Jeep® show to see what parts are popular and who the customers are. Right now there's a Jeep® show or gathering every weekend so it's easy to find something local," says Lathouris. "Retailers can also get online and see what Jeep® people are talking about, and what products they are interested in."

In addition, one of the easiest ways that Keystone can help retailers over their fears is to provide marketing materials and the company's 150 page Jeep® catalog. "At Keystone, we can supply retailers with popular products such as soft-tops, roof racks and any other item that are hot sellers right now," says Lathouris. "We also provide website support, marketing materials, and our Jeep® catalog can sit on the counter with the retailer's name on it. Customers can pick out what they want from the catalog and get it quickly without the retailer having to make any major inventory investment. The catalog is well thought out and is lifestyle specific, so new Jeep® customers to experienced off-roaders will find something they like."

While some retailers think that the Jeep® market has reached its peak, most believe it's not even near that point. "What the truck a retailer should pay attention to, is the amount of vehicles being sold," says Lathouris. "The data tells us that more Jeep®s are being sold year after year. It's a very vibrant and growing market in which the brand has been established and goes through a constant evolution." While the data shows that the Jeep® craze is still in full swing, it's important to jump in on the trends. With support from WDs and manufacturers, selling Jeep® products will continue to be profitable for retailers who added them to their inventory.

Recent Articles

Keystone Automotive Announces 2019 RAM Project: The TerraRAM

Exeter, PA – Keystone Automotive Operations announced during its BIG Show at the Gaylord Texan in Grapevine, TX, plans to build a customized 2019 RAM 1500 show vehicle – the TerraRAM.  Modeled to be the Ultimate Overland Adventure Vehicle, the TerraRam will be a fully self-contained, on- and off-road explorer that combines rugged good looks with the latest technology and performance improvement products available in the aftermarket.

 

“We wanted this project to be a collaborative one where we have a chance to showcase the products and brands going into the build along with our customers that will be instrumental in putting the whole thing together,” says Larry Montante, VP of Category Management. Playing off the BIG Show theme, “The Ultimate Road Trip”, TerraRAM will be taken on a year-long odyssey that will feature Keystone customers contributing to the build along the way. Larry adds, “We think it will be a terrific way to build a community around the project and shine a bright light on the suppliers and installers that help make it happen.”

 

Shrouded under a cover on the exhibit hall floor during BIG Show, the TerraRAM drew a lot of attention and questions from attendees and exhibitors. “The show is a great platform to create some excitement for the project. We have a clear vision about the features we want to build into the truck and look forward to flushing out the finer details over the next 30 days as we sift through the proposals we received from suppliers that want to be part of the project,” says Larry. “Suffice it to say, the TerraRAM will embody the spirit of travel wherever the road leads.”

 

Plans for the TerraRAM include featuring the latest in solar and satellite technology to improve off-grid connectivity. Additionally, extensive suspension improvements, exterior and interior upgrades, performance enhancements and a few surprises from Keystone’s RV supplier partners will help make the vehicle a home on the road. The company’s goal is to deliver a comfortable, self-sustained earth traveler that can thrive in the most remote locations and harshest conditions. 

 

The truck will be equipped for boondocking, rock-hopping and interstate travel (but only as a last resort) and have an extensive array of technology and performance products provided by the distributor’s supplier partners. “Through terraRAM we hope to illustrate the value aftermarket products have in helping enthusiasts realize their vision for how they want their vehicles to look and be used,” commented Harneet Kaur, Directory of Marketing at Keystone.

 

According to Kaur, this TerraRAM is more than a typical truck build project. “While our intention is to create a vehicle capable of far reaching journeys, we also intend to follow the journey that makes it capable,” she says.  By documenting the build and following the vehicle across the country as it goes from stock to the TerraRAM, the company hopes the product and installer profiles they produce and promote on social media and other select media outlets, creates awareness and interest for the sponsors’ products and the vehicle itself.

 

Keystone invites the industry and enthusiasts everywhere to take part in the TerraRAM’s journey in 2019 by following the project on Keystone Social Media Channels, TheEngineBlock.com and selected media outlets.  

 

Keystone is the leading distributor and marketer of automotive aftermarket products and services, uniquely positioned to offer customers and suppliers substantial scale, the most comprehensive inventory selection in the industry, high levels of customer service, and innovative marketing support. Keystone is committed to expanding its offerings to meet the ever-growing needs of its customer base, providing them what they need, when they need it.


70 New Suppliers to Exhibit at BIG Show

EXETER, PA – Keystone Automotive Operations’ BIG Show is adding a lot of new features… and exhibitors to its event March 8-9 at the Gaylord Texan in Grapevine, Texas.  In addition to a Warn sponsored keynote by Ken Schmidt, a double-header concert featuring Tim Montana and Karen Waldrup and casino night presented by WeatherGard, the BIG show is attracting new suppliers as exhibitors like never before.

“We have more than 70 suppliers exhibiting this year that weren’t at our 2018 event,” says John Spaulding, Director of Events for Keystone Automotive Operations. “The interest in BIG Show as a way for suppliers to connect with jobbers, dealers, installers and retailers continues to grow. Our show platform is becoming the premier destination for introducing new products, selling to new customers and engaging with the market in ways that most of us can’t in our day-to-day roles. It’s a vital part of our business and we know our customers and suppliers look forward to it every year.”

New items are essential to the aftermarket and its more than just model year changeover that’s driving new product development. Innovative solutions for improving vehicle performance, whether it’s suspension, exhaust, engine, tires and wheels or accessories that enhance the overall functionality, are creating sales opportunities for aftermarket product resellers and installers. Events like BIG Show play a pivotal role in showcasing these opportunities and connecting all the supply chain players in an effort to grow sales for everyone.

“The show experience has been designed to focus on new products,” says Spaulding. “We have a New Products Showcase with more than 180 new items on display. In addition, 36 companies are exhibiting new Point-of-Purchase tools that give our attendees ideas about how to merchandise and sell new products in their stores.” New suppliers will be highlighted on the BIG Show floor map and will be prominently featured throughout the event.

Brand new suppliers to Keystone will be showcased in a special sales promotion at BIG Show. Golden tickets representing extra bonus discounts will be given to every attendee. The tickets can be used for purchases from the 40 exhibitors at the event that are new to Keystone.

“Our sales initiatives and on-the-floor activity are all about helping our customers grow their business,” states Vice President of Sales for Keystone Automotive Operations, Fred Petrivelli. “We know that these new product and new lines can have an incredible impact on their sales and profits and want to make sure they are aware of the opportunities so they can make informed decisions about the best way to serve their customers and their businesses in the future,” he adds.

The Keystone BIG Show is the industry’s largest distributor event in North America drawing thousands of attendees from Canada and the United States. Host to more than 200 exhibiting companies, nearly 100 show vehicles and an agenda packed with special events and networking opportunities, the BIG Show is the place to be March 8-9 in Grapevine, TX.

Keystone is the leading distributor and marketer of automotive aftermarket products and services, uniquely positioned to offer customers and suppliers substantial scale, the most comprehensive inventory selection in the industry, high levels of customer service, and innovative marketing support. Keystone is committed to expanding its offerings to meet the ever-growing needs of its customer base, providing them what they need, when they need it most.

Keystone’s Parts Via Program to add Broader e-Commerce Reach and Loyalty Benefits for Its Members

Exeter, PA - In 2017, Keystone Automotive Operations launched Parts Via, an innovative sales network that linked organic site traffic at its brand  partner’s websites to local brick and mortar business via a “Buy Now” button. The profits from the online transactions are shared among the participating supplier partners and dealers while the free, ship-to-store delivery option served as a catalyst for driving consumer traffic to the local business. This new, incremental business stimulated add-on sales, installation revenue and service opportunities, furthering the value of the Parts Via Program to its membership.

The company announced that it is launching Phase II of Parts Via to the automotive aftermarket during its annual BIG Show March 8-9, 2019 at the Gaylord Texan in Grapevine, TX. This phase includes program enhancements that expand e-commerce reach through a consumer facing website and marketplace store. In addition, Parts Via members will be part of a new customer Parts Via loyalty program.

“Our development roadmap for Parts Via has always included growing the network though enhanced tools and participation,” stated Bill Rogers, President of Keystone. “We recognized early on that a consumer’s path to purchase is one with many forks and the decisions made by them along their journey impact where the final purchase is made. We wanted to build a program that put our partners in the best competitive position to capture the sale regardless of where and when a consumer chooses to buy something, whether it is in a store or online.” He concludes.

Keystone will be previewing its new consumer website www.partsvia.com during the BIG Show as part of the Phase II rollout. The site will complement the “Buy Now” functionality on partner sites and have the added benefit of hosting all the Parts Via partner products in one location. The new site will include a robust parts look-up tool, fresh content and ship-to-store / ship-to-home options. “This will further expand the opportunity for our brick and mortar Network Dealers to participate in an on-line sale that may have otherwise gone around them.”  Also, a new appointment scheduling feature that will allow Parts Via Network Dealers to promote available installation times will be added soon.

Understanding the sheer volume of business generated through online marketplaces that brick and mortar businesses are not participating in, prompted the company to look for a solution that allows their customers to claw back some of that lost revenue. Keystone has launched its Parts Via Amazon Marketplace store. This storefront will sell products under the Parts Via banner and generate similar benefits for the member Network Dealers. The storefront’s current 2,661 SKUS are made up of high-volume MAP brands that help maintain margins throughout the supply chain.

“As we thought about the introduction of Parts Via Phase II, we wanted to leverage some of the unique capabilities we are providing our customers and wrap them into a loyalty program,” said Larry Montante, VP Category Management. “We are introducing the Parts Via Loyalty program in conjunction with the Phase II launch.” The new loyalty program employs a tiered approach to participation that makes getting involved easy and scalable for future growth regardless of a business’s size, focus or markets served. As a Parts Via Network Dealer’s participation and engagement with Keystone grows so to do the benefits of being in the Parts Via Loyalty Program.

The dealer’s benefits will be determined by their status within the Silver, Gold and Platinum levels of the program. Some examples of the benefits include dealer web locator placement and positioning, Parts Via profit share, installation network inclusion, marketing support, BIG Show benefits, preferred product access, exclusive promotional opportunities, unique travel and event incentives, and Keystone services incentives.

“Just like airline mileage programs, we intend to award points and member benefits based on sales and other goals,” says Montante. He adds, “We will be using an online rewards tracking program that will allow our customers to monitor their status in real time and redeem their points on a variety of member rewards.” The availability of these new tools and services will allow Keystone to expand the Parts Via value proposition to its Brand Partners and Network Dealers driving more business back into local businesses.   

Keystone is the leading distributor and marketer of automotive aftermarket products and services, uniquely positioned to offer customers and suppliers substantial scale, the most comprehensive inventory selection in the industry, high levels of customer service, and innovative marketing support. Keystone is committed to expanding its offerings to meet the ever-growing needs of its customer base, providing them what they need, when they need it.

Keystone Now Offers Black Horse Off Road

Keystone Automotive Operations Inc. has added Black Horse Off Road to its stable of truck and off-road product offerings.

Long Island-based Black Horse Off Road has grown from a small wholesaler of accessories to a nationally-recognized brand during the past 15 years, according to Keystone. The company offers grille guards, bull bars, brush guards, safari bars, hard tonneau covers, no-drill side step systems and running boards, bumper guards, lighting solutions, and electric winches.

The company’s latest offering, the Black Horse Armour Bull Bar, is constructed of heavy-duty stainless steel in an aggressive and modern angular design, available for a variety of makes and models.

Black Horse Off Road recently announced a partnership with American Luxury Coach (ALC), which debuted a limited-edition Black Horse Series 2019 Chevy Silverado 1500 at SEMA 2018.

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