Industry Watch February 2014
Transcription
Industry Watch February 2014
1.877.GETS.UTA • www.uta.org Used Truck Association Chartered May 16, 1988 Published by the Used Truck Association 325 Country Club Drive, Suite A Stockbridge, GA 30281 Table of Contents Board News and Views........................2 Quips & Quotes.....................................2 New Members.......................................3 Moving on Down the Road: Catching Up With Terry Williams........ 3 Medium Duty Corner.............................. 3 Face to Face with Mike Rumsey...........4 Looking Down the Road at Driverless Trucks.............................5 Polk Data Used Truck Sales...................5 Peterbilt Motors Marks Milestone in Denton......................6-7 NADA Update: ............................... 8-11 Tampa Next Venue for “Selling for Success” ...................... 11 The Brooks Group Sales Tip of the Month..................... 11 Industry News Briefs..................... 12-15 The UTA Looks Back ......................... 16 Industry Events Calendar.................. 17 2013 UTA Convention Photos....... 18-19 From Where We Sit............................20 The UTA… Members Supporting Members! SHARE YOUR NEWS with the UTA Industry Watch. Send submissions, ideas and comments to: UTA Industry Watch Editors Brad and Deb Schepp c/o Grace Management 325 Country Club Drive, Suite A Stockbridge, GA 30281 Phone: 877-GETS-UTA (877-438-7882) Fax: 770-454-0029 editor@uta.org Volume 16 • Issue 2 • February 2014 Joe Theismann to Keynote this Year’s Convention G reetings! I’ve got great news for all of you planning to or considering attending the 2014 UTA convention in Scottsdale, Arizona. Not only is our convention being held at the popular Talking Stick Resort & Casino but we are pleased to let you know that our keynote speaker this year is Joe Theismann, the legendary and former star quarterback of the Washington Redskins. You may be thinking how did the UTA Board end up choosing Joe Theismann to be this year’s keynote speaker? Well first of all, the UTA Board strives each year to select a speaker who has a message that’s interesting, valuable, and important to all attendees as we’re appreciative of your investment in our convention. But there are many speakers to choose from each year, and selecting the right speaker is always a challenge. I recently attended my company’s “kick off” meeting in January, and to my pleasant surprise, Joe Theismann was the keynote speaker for our conference. I believe everyone who attended was as impressed as I was with Joe’s message, attitude, and presence. I thought he would be a tremendous speaker for the Used Truck Association’s annual convention. Joe just seems to fit in to what the UTA is all about. After Joe’s speech I was in the lobby and my colleague Mike McColgan came up to me and said “you have to get Joe Theismann for the UTA Convention,” and I had to agree. At the UTA board meeting on January 25th, I presented a number of prospective keynote speakers to the board, and the UTA Board of Directors chose Joe Theismann unanimously. We’ll have more information on Joe Theismann in the coming months, but for now make sure you mark your calendar for November 5, 6 & 7, 2014 to be in Scottsdale, AZ. You won’t want to miss out on this convention! Oh, and by the way, I forgot to mention one important point, at least as far as Mike Thurston is concerned: Joe Theismann was also a winning quarterback for the University of Notre Dame! We’re looking forward to having another fabulous UTA convention, and the UTA board trusts you will join us for the best networking opportunity in the industry, and for a memorable and enjoyable convention. Hal Dickson Convention Co-Chair hal@uta.org UTA Industry Watch 2014 BOARD OF DIRECTORS Board News and Views http://www.uta.org/directory N GOVERNING BOARD: President...................... Rick Clark Vice President..............Ken Kosic Treasurer................... Tom Pfeiler Secretary................Sheri Aaberg President Emeritus ........................... Marty Crawford COMMITTEE CHAIRPERSONS: Affiliates & Benefits.... Bryan Boyd Convention..................Hal Dickson, Sheri Aaberg Dealer Group.......... Mike Thurston, Bobby Williams Elections................ George Barnett Finance.......................... Tom Pfeiler Marketing........................ Rick Clark Medium Duty..............Amy Shahan Membership........... John Cosgrove, Kenny Doonan Training............................Ken Kosic, Brock Frederick UTA Jerome Nerman Family Foundation Scholarship ..................................... Jay Burgess, Brock Frederick UTA.org Website......Bobby Williams Wreaths Across America ....................................Bobby Williams Good business leaders create a vision, articulate the vision, passionately own the vision, and relentlessly drive it to completion. Graphene– It Will Change Our Lives and Industry ot very many people these days have heard of graphene. However, graphene will change our lives as well as our industry. Graphene is sometimes described as a one-atom thick layer of graphite. But that’s hardly a complete technical description. Graphene that is of “high-quality” is very light, extremely strong, and is almost transparent. It’s also an exceptional conductor of electricity and heat. The use of graphene as a superconductor will mean computers will become even faster and lighter, with more memory storage. Graphene will eventually replace plastic, electric wires, and the silicon chip. Some common items that graphene will enhance or replace are batteries, cell phones, touch screens, and televisions. And this list will only grow. Graphene is 200 times stronger than steel, and about one million times thinner than a human hair, according to researchers at the UK’s University of Manchester. And, of course, it’s also extremely light in weight. In the future, all of our vehicles will be made of this material, including trucks, trailers, automobiles, commercial jets—and you can extrapolate from there. Can you envision our industry when trucks, tractors, and trailers weigh a quarter of what they do now? Imagine the impact this would have on fuel consumption. Trucks would not only be remarkably lighter, with graphene they would be much more durable, therefore extending the truck’s useful life. Graphene would also impact many of the technical systems found in today’s trucks. Whether it is the electrical system, cooling system, power-train, or just about any other system, they would all be enhanced. I am sure that you’ll first see graphene in the smaller consumables that we use every day, such as smart phones, tablets, and televisions. All of these items are mass produced in huge Graphene is an atomic-scale honeycomb lattice made of volumes. It may be some time carbon atoms (courtesy of Wikipedia). before the material is introduced to the automotive industry, and then the new truck industry. I would guess that graphene will be introduced into the automotive market through the electrical system first, with its use then expanding into other parts of the vehicle. Everything has a price on it including technology and production. As you know, I’m on the Used Truck Association’s Board of Directors, and I chair the medium duty committee. Thanks to those positions, as well as my other full-time position, I’m always looking ahead for answers to questions that will ultimately come our way. I’ve recently become quite interested in graphene (as you can tell), and I recommend you investigate this product for yourselves. It’s something that is in all our futures. Thank you, Amy Shahan, amy@uta.org ~Jack Welch 2 February 2014 www.UTA.org UTA Industry Watch New Members Moving on Down the Road: Catching Up with Terry Williams For Bruckner’s Terry Williams, his “new” job’s biggest change was the move to Amarillo, TX. “ I have lived in a few cities in a few states and will admit the people of Amarillo are the friendliest,” he recently told us. “However, the locals say I must commit to the Texas Panhandle and get moving on the purchase of a pickup, cowboy boots, and a gun.” It’s always a treat to welcome new members to the Used Truck Association. Each month we profile our new members in this newsletter. New members have the opportunity to complete a bio and send a photo so our current members can learn more about you. We hope to learn not just how to reach you, but what you enjoy about the work you do, why you joined the UTA, and what gets your gears going as a person. So please return your questionnaire so your fellow UTA members can get to know you! If you’d like a copy of the new member brochure handed out at the convention, please contact David Grace at davidgrace@charter.net, or 770-389-6528 ext. 404. Shannon Johnson, Service Technician Curt’s Truck and Diesel Service, Inc. 370 24th Ave., NW Owatonna, MN 55060 www.curtstruck.com (507) 451-1326 (w) (507) 213-2227 (c) shannon@curtstruck.com Dan Moyer, Asset and Research Manager PACCAR Leasing P.O. Box 1518 Bellevue, WA 98009 www.paclease.com (425) 468-7074 (w) dan.moyer@paccar.com Dan’s been in the truck business since 2006, when he started working for PACCAR Leasing as a Marketing Analyst. He’s joined the UTA for the networking opportunities, as well as to broaden his knowledge of the used truck business. Dan says networking is one of the aspects of his job that he enjoys the most. When you pry a little deeper, you learn some interesting things about Dan. “I was offered a job by the CIA at age 22, but foolishly turned it down,” he said. The CIA offer may have had something to do with Dan’s other surprising news—he can speak Vietnamese. Prior to joining Bruckner Truck Sales, Terry was The Truck Blue Book’s managing editor for 12 years. He came to Blue Book from Volvo Trucks N.A., in 2000, then was assigned to Arrow Truck Sales after the Volvo acquisition. Terry then started with Bruckner’s in October 2012, coming on board as Corporate Sales Lead Manager. His responsibilities are varied. “Today I have the pleasure of selling trucks and trailers, managing our truck trader advertising partners, and managing our call center that qualifies and expedites the sales process for our sales professionals,” he said. Terry had more or less been in our profession—an editor—before his move, and we wondered how his new job in sales was different. “At Bruckner’s I have arrived on the front lines of the truck industry with a supportive company, a family feeling and in touch leadership,” he said. While at Truck Blue Book he was a vendor to the truck and insurance industries, and government agencies, so he felt his focus was split. His new job is different, but he’s still in the truck business— and that’s a comfortable place for Terry. Yes, he’s still working with new and used trucks and trailers and his friends in the industry. “Every day continues to be a truck day,” he said. Finally, as an industry vet, Terry’s been amazed at UTA’s growth since he was on the Board about 2001. “It’s grown in every aspect,” he said. n “Tips You Can Count On” When you are looking at a DPF equipped truck, one quick thing to check is the tailpipe for soot. This quick check could save you thousands in repair bills. Signed, ~ The Medium Duty Counselor www.UTA.org February 2014 3 UTA Industry Watch Mike Rumsey T oday, Mike Rumsey is the Vice help forward. His advice to younger people President of Sales Operations for just starting out in the industry is simple and Mitsubishi Fuso Truck of America, Inc. He’s direct. “Shut up and listen,” he said. “Learn been with the company since 1998, working from the leaders in your industry and his way up from his original position as a develop your own selling style.” Mike noted district sales manager. Before joining that truck sales can provide a very good Mitsubishi, Mike worked at Fleet and career to people who are willing to work Bayshore Ford in retail sales. (His first job hard and persevere. “It’s an industry that was selling new and used trucks for Fleet needs young talent,” he noted. Truck Center in Philadelphia.) Along the Looking forward, Mike foresees the way, Mike has worked in New York, St. Louis, and Atlanta before settling back in the Philadelphia suburban area of Logan, NJ. industry’s biggest challenges will be determining how to deal with the valuation and reconditioning costs of both the EPA “I run the Sales Department for Mitsubishi ‘07, and the EPA ’10 trucks. “As the new Fuso for both the US and Canada,” Mike trucks become more and more complicated explained. “We have over 220 dealers selling and equipped with proprietary specs,” he the Fuso product in North America.” He is explained, “there will be a learning curve for responsible for ordering vehicle production, the used truck industry.” Mike is also forecasting truck sales, and managing the interested in seeing how these trucks will be sales process. Mike credits the people who received in the export market. He is curious work together on his team for his success in to see if the rest of the world will accept the industry, and he appreciates the support them, and how the market will be affected by and mentoring he’s enjoyed throughout his the changes. career. We asked Mike to tell us a little about his life Mike’s first boss at Mitsubishi was the late outside of work. He said that he’s remained Micky Walka, who he considered both a single as he’s moved around the country mentor and a close friend. Micky gave Mike building his career, settling back in the both the support and the freedom he needed Philadelphia area. “I enjoy playing golf and to prove himself and grow with the company. spending as much time as possible in the “My success in this industry can be summer in Avalon, NJ,” he said. Your editors attributed to learning from those around me at all levels of my career, and never being satisfied with what has already been done,” Mike said. He recognizes the talented people both grew up just slightly north of that beautiful beach community in another wonderful resort destination, so we both understand exactly what he means! n who have helped him at Mitsubishi, in particular. Now, Mike is working to pay that 4 February 2014 www.UTA.org UTA Industry Watch Looking Down the Road at Driverless Trucks A mong the usual year-end wrap-up articles The Washington Post ran an interesting piece entitled “8 Ways Robots Stole our Jobs in 2013.” It turns out research into so-called “autonomous vehicle technology” is moving ahead quickly, and that has some serious implications for the nation’s 5.7 million long-haul truck drivers. While cars are today’s major research focus in autonomous vehicles, the Post reported that long-haul trucking is on the table as well. “Driving a truck, is a job that “might be more safely filled by a remote controlled robot that never gets tired or lost,” the Post noted. Polk Data Used Truck Sales Quarter 4, 2013 To learn more about driverless vehicles, we spoke with Rich Sherman, author of Supply Chain Transformation: Practical Roadmap to Best Practice Results. Sherman is an internationally recognized author, researcher, and speaker on supply chain management including trends and marketing. GVW Used Trucks UTA: How long has driverless vehicle research been going on? 5 Sherman: Driverless vehicle research, passenger and commercial, has been conducted for more than 70 years dating back to the 1930’s. Of course, the defense department has also been conducting research and has produced unmanned ground vehicles (UGV) for military purposes. California, Nevada, and Florida have pilot programs underway with the most notable being the Google car. 6 12,555 3 46,526 4 13,204 7,865 7 11,386 8 57,634 UTA: What’s the state of the driverless vehicle industry? Sherman: Nearly all major manufacturers of vehicles, however, are developing autonomous vehicles both commercial and passenger. Vehicle telematics and control technologies are becoming standard features as costs come down from increased volumes. With the legislatures highly desiring to reduce traffic fatalities and improve safety on the roadways, there is likely to be little legislative resistance as the technology matures and becomes more readily available. Most research sources predict widespread use of autonomous vehicles within the next 25-30 years. UTA: What are the issues as far as driverless commercial vehicles are concerned? Sherman: In the transportation industry, driver shortages and driver quality have long been top challenges. The promise of autonomous or remote controlled vehicles holds significant commercial value. We already see significant use of commercial vehicle telematics to improve driver performance, fuel efficiency, and reduce security threats. Technology is also being used to reduce security threats, improve routing, improve Hours Of Service compliance, and reduce congestion. As departments of transportation implement “smart” roadway infrastructures to increase communication directly with vehicles, there will be even less reliance on drivers. We have also seen stories emerging about drone technology in the air; however, remotely controlled ground vehicles can also become a reality with computer vision and telematics. Driving a commercial vehicle from the home or a “control center” without the geographic or physical requirements of having the driver present in the vehicle opens an entire new segment of the population for driver recruitment. Roadway safety, security, efficiency and capacity management will be the driving forces for adoption of autonomous vehicles sooner than later — especially in the commercial space. The safety and economic factors resulting from driverless vehicles, however, are so compelling that the technology renders commercial drivers an endangered occupation much like word processing and information technology eliminated many office positions. n Quarter 3, 2013 GVW Used Trucks 3 50,357 4 16,569 5 8,823 6 14,611 7 14,377 8 57,659 Quarter 2, 2013 GVW Used Trucks 3 50,853 4 17,593 5 8,887 6 15,076 7 12,589 8 58,771 Quarter 1, 2013 GVW Used Trucks 3 46,967 4 13,878 5 8,052 6 13,486 7 12,647 8 61,722 www.UTA.org February 2014 5 UTA Industry Watch Peterbilt Motors Marks Milestone in Denton By Jenna Duncan / Staff Writer S alty Rose was hired at Peterbilt Motors Co. in Denton as a welder on the production floor in 1987. After work, he would leave his Peterbilt name badge on his shirt when he went out to dinner near his home in Gainesville so everyone could see where he worked. “I would wear it with pride,” he said. Rose, now a production manager at the local Peterbilt manufacturing plant, said workers take just as much pride today in building Peterbilt trucks, and that’s why he and so many others have stayed with the company so long. This week, Peterbilt will celebrate its 75th anniversary on Thursday and kick off a yearlong series of events. Thursday has been proclaimed “Peterbilt Motors Company’s 75th Anniversary Day,” and Denton Mayor Mark Burroughs read a proclamation at a recent City Council meeting lauding the company’s numerous charitable efforts and its strong employment record. It’s the largest private employer in Denton, with more than 2,200 employees between the manufacturing plant and world headquarters, said Darrin Siver, Peterbilt’s general manager. “Seventy-five years is a milestone achievement,” Siver said in an e-mailed response to questions from the Denton Record-Chronicle. “There is a great deal of pride throughout our company. We celebrate not just 75 years in business, but 75 years as an industry leader.” The company has transferred all manufacturing and the company headquarters to Denton over the years, and has continued a tradition of giving back to the community, officials said. Most recently, the company made a donation of nearly $400,000 to 6 February 2014 the United Way of Denton County, the company’s largest in five years. The company has helped coordinate drives to create holiday stockings for soldiers and has worked extensively with Carter BloodCare and the University of North Texas. “We are fortunate to have a workforce that has a lot of civic pride and gives back to the community through various charitable acts,” Siver said in the e-mail. “As a company the truck are way different than they were 12 years ago, but the people are the same.” The facility now completes an average of 121 trucks per day. While the plant has been up and running, the company has re-engineered the product three times in addition to making numerous production changes, said Landon Sproull, chief engineer. A new truck cab hangs in the air while it is being assembled at the Peterbilt plant in Denton. and as individuals, there is a strong focus on community service and charity. Advancing over the years When the Denton plant opened in 1980, it had just 92 employees in the 450,000-square-foot plant that still houses the manufacturing operation. Today, much has changed inside with the processes and production. Although the iconic trucks are still largely built by hand, robots were added to the assembly process in 1997. “The product has changed a lot,” said Doug VanZuiden, human resources manager. “The technology is light years ahead from where it was even 12 years ago simply because of the electrical systems, the computer systems. The things that are in “The truck itself, if you look back to 25 years ago when I first started my career, the investment was small, our production rates were small and our company profits were small,” he said. “Over these 25 years, we’ve essentially been able to grow our business to three times the size of where it was.” The company, owned by PACCAR Inc. of Bellevue, Wash., made modest gains in Denton during the 1980s, when manufacturing was split between Denton and Madison, Tenn. In 1990, the company invested an additional $1 million to expand a training facility in Denton, adding 9,800 square feet, according to Record-Chronicle archives. Problems arose in 1992 with the Madison plant when the workers union went on strike, which resulted in the transfer of www.UTA.org UTA Industry Watch Peterbilt Motors Co. donated $392,239 to the United Way of Denton County last week. Pictured are, from left: Doug Gunter, Peterbilt warranty and reliability manager; Beth Cocchiarella, Peterbilt area human resources manager; Doug VanZuiden, Peterbilt human resources manager; Darrin Siver, Peterbilt general manager; Gary Henderson, president and CEO of United Way; Dawn Cobb, Denton RecordChronicle managing editor and United Way board chairwoman; Gregory J. Sawko, partner, Sawko & Burroughs; Teresa Sato, Peterbilt human resources director; Alex Payne, owner/broker, Axis Realty Group; and Lee Ramsey, CEO, Links Construction. about 275 jobs to the Denton plant. Looking ahead In 1993, the company moved the division headquarters and all engineering activities to Denton from Newark, Calif. The move brought 225 jobs to the area and added $6 million in payroll annually. By 1995, the company had 1,500 local employees, according to the archives. The first robots were used in the assembly process in 1997 to apply glue to portions of the cab, Sproull said. Employment levels have fluctuated over the years with the market and demand, but even during lean years, Peterbilt maintained its integrity with its employees, VanZuiden said. When he was hired 12 years ago, he was warned that the market could change in the next six months, but the company’s reputation drew him in and he remains today. “One thing I really appreciated from Peterbilt was they were very upfront about it,” he said. Now, robots completely assemble the cab of the latest truck model and paint it, Rose said. “The main assembly chain and everything hasn’t changed, but just about everything else around it has, from the product to the way we deliver the materials to the line, to doing things that make the plant safer and quieter,” VanZuiden said. Even with growth and production changes, the culture and mindset of the company and employees have stayed the same, Rose said. “I think we’ve been able to grow but been able to maintain the tight family that we have,” he said, noting he has A frame is flipped over on a hoist so the rest of a new truck can be built on top of it, at the Peterbilt factory on Airport Road in Denton. www.UTA.org seen his co-workers’ families grow up and start families of their own. “The general culture has stayed very much the same,” Sproull said. “We are focused on productivity improvement and providing the best quality product for our customers.” Quality remains at the forefront, VanZuiden said. “One thing PACCAR is big on, we’re always investing back into our business to make it better and better,” he said. “Better safety, better quality and a better investment in the products.” Editor’s note: This article originally appeared in the January 11, 2014 edition of the Denton RecordChronicle, and is reprinted here with permission. The cab for a new truck is lowered onto the frame and chassis on the main assembly line at the Peterbilt factory on Airport Road. February 2014 7 UTA Industry Watch NADA Update Chris Visser, Senior Analyst and Product Manager, Commercial Trucks Summary A favorable supply/demand relationship keeps pricing for sleeper tractors with under 600,000 miles historically high. Construction trucks firmed up in the last two months of 2013, and are poised for a recovery. Medium duty trucks continue to be limited by excess supply of average-to-highmileage units. Sales volume is unusually volatile due to economic, political, and weather-related factors. This volatility is expected to relax starting in the second quarter as many of these factors are alleviated. Sleeper Tractors – Retail The market maintains its strong appetite for trucks with under 600,000 miles, with the average used truck selling in December for $54,196 – an $867 (or 1.6 percent) decrease vs. November, but a $5007 (or 8.1 percent) increase vs. December, 2012. Average mileage was 528,048 – 442 (or 0.1 percent) higher than November, and 10,469 (or 1.9 percent) lower than December, 2012. This average truck was 77 months old, which is 1 month older than November and identical to last December. See “Average Retail Price and Mileage” graph for detail. Average Retail Price and Mileage -‐ All Sleeper Tractors Under 1M Miles $60,000 580000 560000 $55,000 540000 $50,000 520000 500000 $45,000 480000 $40,000 460000 Price Mileage $35,000 Source: ATD/NADA 420000 No v Ju l Se p M ay ar 13 M No v n-‐ Ja Ju l Se p M ar 12 M Ja n-‐ ay 400000 $30,000 440000 Monthly Retail Sales Volume by Model Year: Sleeper Tractors Under 1M Miles 400 2 per. Mov. Avg.(2006) 350 2 per. Mov. Avg.(2007) 2 per. Mov. Avg.(2008) 300 2 per. Mov. Avg.(2009) 250 2 per. Mov. Avg.(2010) 2 per. Mov. Avg.(2011) 200 150 100 50 Source: ATD/NADA Jan-‐12 Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Jan-‐13 Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec 0 8 February 2014 As for older model years, anything with under 600,000 miles should remain essentially unchanged. Trucks with mileage at that level or higher are more frequently wholesaled. Sleeper Tractors – Wholesale December’s results were in line with recent months, with the average sleeper tractor selling for $30,778 – a $784 (or 2.5 percent) increase over November, and an $8479 (or 27.5 percent) increase over December, 2012. Mileage was 643,625 – 3845 (or 0.6 percent) more than November, and 27,781 (or 4.1 percent) less than last December. This average truck was 83 months old, which is three months younger than November, and a notable 10 months younger than last December. See “Average Wholesale Price and Mileage” graph for detail. Average Wholesale Price and Mileage: All Sleeper Tractors Under 1M Miles 750000 $45,000 $40,000 700000 $35,000 650000 $30,000 $25,000 600000 $20,000 550000 $15,000 500000 $10,000 $5,000 2 per. Mov. Avg.(Price) Source: NADA and Auc/onNet 2 per. Mov. Avg.(Mileage) $0 450000 400000 Dec Nov Oct Sep Aug Jul Jun May Apr Mar Feb Jan-‐13 Dec Nov Oct Sep Aug Jul Jun May Apr Mar Feb Jan-‐12 2011’s overtook 2010’s in December to become the highest-volume model year represented in our retail database (see “Monthly Retail Sales Volume” graph for detail). As we’ve stated, trucks of this model year are now in their fourth year of service, putting them near the meaty part of their trade-in curve. Interestingly, 2011’s actually ticked up in average price this month, which is not surprising given the demand for low-mileage iron. Despite ongoing trade-ins of 2011’s, we do not foresee much depreciation for this model year, since the vast majority of these trucks will remain under 600,000 miles through the end of 2014. 2012’s are also an interesting case. This model year was built in the highest numbers since 2007, and users on three-year trade-in cycles are beginning to rotate these trucks out of their pool. As such, we expect mild downward pressure on pricing for this model year, although with the vast majority of trucks featuring under 400,000 miles, any depreciation should be limited to the uppermost layer of ultra-high-priced iron. There should be limited “spillover” impact to 2011’s, since the roughly $12,500 spread in selling price between 2011’s and 2012’s represents adequate headroom. The 2006-2010 model years continue to represent the bulk of the under-1,000,000-mile wholesale sleeper market, with the 2007 model year still the highest volume. 2011’s should filter into wholesale channels in mildly greater numbers as 2014 progresses, as the highest-mileage examples of that cohort hit 600,000 miles. However, as a low-build model-year, impact to pricing should be minimal. If the general rule in the retail channel is that a truck will enjoy solid demand up to 600,000 miles, the wholesale equivalent is probably 700,000. See “Average Wholesale Price and Number of Trucks Sold” graph for detail. Class 8 Construction Trucks The construction market finished 2013 on the uptick after a relatively weak September and October. The final two months of the year came back strong, resulting in essentially no depreciation for the full year for 5-7 year-old trucks on average. Specifically, the average of this cohort in December was $76,917 – $3548 (or 4.6 percent) higher than November, and $11,033 (or 14.3 percent) higher than an unusually-low December, 2012. Mileage came in at 279,830 – 37,872 (or 13.5 percent) higher than November, and a www.UTA.org UTA Industry Watch Average Wholesale Price and Number of Trucks Sold by Mileage Range Sleeper Tractors, CY2013 $90,000 Price $80,000 Count $70,000 500 450 400 350 $60,000 300 $50,000 250 $40,000 Sources: ATD/NADA and Auc2onNet $30,000 200 150 $20,000 100 $10,000 50 $0 9K 99 0-‐ 9K 90 89 9K 79 0-‐ 80 0-‐ 9K 70 69 0-‐ 9K 60 59 9K 0-‐ 50 49 0-‐ 39 9K 40 0-‐ 9K 30 29 0-‐ 20 10 0-‐ 19 9K 0 notable 74,494 (or 26.6 percent) higher than last December. See “Average Retail + Wholesale Price of Construction Trucks” for detail. As you can see from the extremely simplistic linear trendline in the graph, depreciation throughout this two-year period has been very mild. Using this measure as a guide, we arrive at a monthly depreciation of roughly $313 per month. Looking at 2013 vs. 2012 separately, 2013 performed better, with trucks losing roughly $425 per month as compared to $1000 per month over 2012. There were also more trucks in this age range reported sold in 2013 than 2012 –304 vs. 242, respectively. Stable pricing combined with higher volume typically points to a strengthening market. Construction sectors of the economy have been mixed to mildly upward, and there should be more upside pressure than downside in 2014. With 2010’s now five model years old, we expect to see mildly decreased retail volume through 2014, as increased numbers of these trucks hit 600,000+ miles and are channeled into the wholesale sector. Next month, when we have our full January data available, we will start to look at the 2011 model year. Medium Duty – Class 3-4 Cabovers 4-7 year-old Class 3-4 cabovers ticked up in December, coming in at $11,542 – an $1464 (or 12.7 percent) increase over November. Year-overyear, this cohort was up $1256 (or 10.9 percent). Mileage was down vs. last month, at 113,957, for an 18,675 (or 14.1 percent) decrease. Year-overyear, this measure was up 5665 (or 5.0 percent). See Class 3-4 Cabovers graph for detail. Model vs. Model Competitive Comparison Most MY2010 sleepers dipped a bit in December, with the exception of the Mack CX and Volvo VN 730/780. As these two models are lower-volume, they typically see higher month-over-month volatility, so it is safe to say that 2010’s on average brought less money in December than November. There was little change in competitive positioning, although the Peterbilt 386 and Volvo 730/780 plateaued in mid-2013, and are now resting slightly below the Freightliner Cascadia, which held steady during the same period. There is no clear reason for the differing performance of these models – specs and volume have remained relatively consistent – so we will continue to monitor performance and look for relevant factors. See “Average Retail Selling Price of 4-Year-Old Sleeper Tractors” graph for detail. NADA continued on page 10 www.UTA.org February 2014 9 UTA Industry Watch NADA continued from page 9 The light cabover market remains flat. There are simply more than enough trucks with over 100,000 miles available in the marketplace to meet demand. December’s uptick was due mainly to the notable decrease in mileage. We do adjust our figures for mileage, but our adjustment may not be adequate to account for a spread of this size. We do not expect much change over the next few quarters, given the predicted ongoing supply of off-lease 100,000+ mile trucks into the marketplace. Medium Duty – Class 4 Conventionals 4-7 year-old Class 4 conventionals ticked back down in December, coming in at $12,734 - $2050 (or 13.9 percent) lower than November, and $1393 (or 10.9 percent) higher than last December. Mileage came in at 101,620 – 5864 (or 5.5 percent) lower than November, and 7723 (or 7.1 percent) lower than December, 2012. See Class 4 Conventionals graph for detail. is kept in check through an adequate number of trade-ins. At the same time, two months of increased pricing for trucks with relatively high mileage is mildly encouraging. We will continue to closely monitor this segment to see if steadily improving economic conditions are enough to overcome supply going forward. Sales Volume As predicted, retail sales per rooftop bounced back up in December after dropping November. Month-over-month, December was up 1.2 trucks (or 19 percent). Year-over-year, December, 2013 was up 0.5 trucks (or 7.9 percent). On an annual basis, 2013’s average was 5.9 trucks per month, 0.1 lower than 2012. See “Average Number of Used Trucks Retailed per Rooftop” for detail. Like the light cabover segment, there is no shortage of trucks with around 100,000 miles available to the marketplace. Even trucks in the 90,000 range have not moved upwards appreciably. This segment touches a number of different economic sectors – delivery, residential services, landscaping, and light construction, to name a few – so the steady general improvement in economic conditions should be placing upward pressure on demand. However, supply is an ongoing issue. Perhaps more importantly, the medium duty market is missing one critical ingredient that has kept the used truck market hot on the Class 8 side: High new truck prices. New medium duty trucks have simply not increased in price as much as their Class 8 counterparts, and the difference between new and used is much smaller. As such, end users more confident in their job or business outlook are shopping in the new market. Medium Duty – Class 6 Conventionals 4-7 year-old Class 6 conventionals have fared a bit better than their lighter counterparts in the past two months. December’s average was $17,871 - $953 (or 5.3 percent) higher than a relatively strong November, and $5298 (or 29.6 percent) higher than December, 2012. Mileage was 162,037, which was a mere 200 (or 0.1 percent) higher than November, and 9477 (or 5.5 percent) lower than December, 2012. See Class 6 Conventionals graph for detail. Pricing has firmed in the past two months, but volume was lower. This cohort has seen a steady increase in average mileage of trucks sold since early 2012, suggesting that users are cycling out iron that had been kept in service longer than typical during the recession. Like Class 4’s, pricing 10 February 2014 Volume in the second half of 2013 saw unusual volatility. Likely factors behind these monthly movements were Federal budgetary dysfunction, severe weather, sticker shock, and uncertainty regarding Section 179 tax benefits. Political uncertainty and tax questions are no longer the wild cards they were in mid-to-late 2013, so we expect increased stability in volume once we exit the winter months. Wholesale sales volume (auction plus dealer-to-dealer) dropped in December after maintaining relatively healthy numbers in the first three quarters of 2013 (see “Total Wholesale Sales Reported to NADA” for detail). The same factors impacting sales per dealership were likely in play at auctions. Nonetheless, 2013 still ended up higher than the previous two years, although not as high as the first full recovery year (2010). We expect auction activity to firm back up starting in the second quarter. www.UTA.org UTA Industry Watch Tampa Next Venue for “Selling for Success” A fter reading a sales article today about what it takes to be a top performer, I was reminded that there are some factors that limit our performance. The biggest one we must deal with is that there are only so many hours in the day. And that means “Selling time” and “Family time” require a balanced approach. If you are like me, you try to work them all in, but then come those interruptions that rob us of our time and throw us off plan. Trying to stay on task goes out the window and soon the “time factor” from that sales article about top selling performance is lost. Conclusion Look for continued volatility in volume for the remainder of the winter, due mainly to extreme weather conditions keeping buyers home. Historically high pricing for sleeper tractors with under 600,000 miles should remain in place in upcoming months, despite a moderately increased number of MY2012 tractors entering the secondary market. Construction trucks should firm up mildly, in step with steadily improving economic conditions. Medium duty trucks with average mileage should remain flat, due to more than adequate returning supply. What to do? Get answers on how to invest your time in the upcoming UTA sales training initiative “Selling for Success.” This seminar will be held in Tampa, FL and is scheduled for March 24th/25th. Keep up with our Commercial Vehicle Blog at www.nada.com/b2b for real-time updates on our market data. n Reprinted with permission from the ATD/ NADA Official Commercial Truck Guide® www.nada.com/b2b “Selling for Success” will reinforce just how important time management is. It will also help you focus on the daily disciplines of making money and customer satisfaction and retention, while still promoting a healthy balance of family time. It’s a Win/Win! Register today for “Selling for Success” at www.uta.org. I promise no disappointments. The Very Best of Success To You Ken Kosic Sr. UTA Vice President and Training Committee Chair ken@uta.org Hire salespeople with caution, launch them with clarity, and eliminate poor ones with great dispatch. www.UTA.org February 2014 11 UTA Industry Watch Industry News Briefs Class 8 Orders Jump 50 Percent in December: ACT Carriers See Growth Ahead; Need to Replace Older Vehicles: TCP The fourth-quarter Transport Capital Partners survey found that a “large majority of carriers” expect to grow capacity, with many moving to replace older vehicles. New Hours-of-Service rules have meant that equipment is now used for fewer hours a day. As a result, “carriers are being pushed to increase capacity and raise driver pay,” TCP said. The number of carriers saying they are not going to add capacity has been declining. It’s now at the lowest level yet recorded by the company’s survey (27 percent). Thirty percent of carriers say they expect to add between 6 to 10 percent capacity. These results are in keeping with the effects of the new HOS rules, effectively shortening the working day. TCP said 78 percent of the carriers surveyed in the last quarter of 2013 said they had lost productivity due to Hours-of-Service changes. Larger carriers expect to add more equipment than do smaller carriers. Specifically, TCP found 39 percent of larger carriers expect to add between 5 to 15 percent more, compared with 27 percent of smaller carriers. Independent contractors are the favored method of adding capacity, as TCP found the percentage of carriers planning growth through their use jumped 63 percent (from 16 percent to 26 percent). The most-cited way of adding capacity is through company equipment that’s either financed or bought on a TRAC Lease—35 percent, up from last quarter’s 26 percent. Interestingly, carriers who said they plan to add capacity by buying other carriers increased from 0 percent three quarters ago, to six percent. Aging Tractors Being Traded Out Carriers boosting capacity are more likely to replace older vehicles. “Almost 40 percent expect to replace 11 to 25 percent of their fleet this year,” TCP noted. Also, there’s a big difference between smaller and larger carriers. A full 77 percent of smaller carriers plan to replace less than 10 percent of their fleet. “Conversely, about three times as many larger carriers expect to add 11 to 25 percent (50 percent vs. 15 percent),” the market research firm noted. December brought more than Santa Claus this year for those selling Class 8 trucks. It also brought big sale increases. Preliminary numbers from ACT Research showed Class 8 net orders at 31,800 units. Class 5 to 7 net orders were at 14,200 units. “This is the time of the year when the large fleets and leasing companies are in the market and large Class 8 order volumes are most likely. As such, an above trend number was expected,” said ACT President Kenny Vieth. “December Class 8 orders were up 50 percent month-over-month and year-over-year. December’s Class 5 to 7 orders pulled back, following several strong order months. However, Q4 Classes 5 to 7 orders of 51,800 represent the best quarterly intake since Q1’08,” he added. For more information, visit http://www.actresearch.net. n Women In Trucking Redesigns its Website The Women In Trucking Association (WIT) recently launched a re-designed website, with an eye toward adding member features. Visitors can now readily learn more about the benefits of joining the association, and learn about the nonprofit’s mission and goals. WIT noted in a release about the new site that a “Member of the Month” is featured, as is Redefining the Road magazine. A “Secrets to Success” section provides member insights on things like health and wellness, safety and harassment, relationships, and “life on the road.” WIT added that the site also has new features that members specifically requested. These include a mentoring center where members can go for advice and counseling. WIT has made employment a focus recently, and the site reflects that as well with the WIT Careers job board. WIT plans to add a “mall” where members can buy products that “display their membership with logo enhanced apparel and items.” You can see the website at womenintrucking.org. n “We suspect that all the 2007 pre-buy tractors are being traded out. If smaller carriers are not able to replace older, less fuel-efficient equipment (and their higher maintenance costs), those carriers will not be well positioned to benefit from looming good times,” added TCP Partner Richard Mikes. n 12 February 2014 www.UTA.org UTA Industry Watch FTR Agrees: December’s Class 8 Orders Way Up FTR’s preliminary data for December showed Class 8 truck net orders surging to 31,506 units, a 50 percent increase from November’s tally. Not only that, FTR noted it was the first month orders were above 30,000 since April 2011. December 2013’s total was the highest in eight years. The month’s great numbers boosted the “annualized rate” for the past six-month period to 269,000 units. These preliminary order numbers represent all major North American OEMs. FTR had this to say overall: “Orders were exceptionally strong in December. Order activity was well balanced across sectors and manufacturers. The strong showing puts OEMs on track to meet first quarter targets and provides momentum headed into the second quarter. Fleets and dealers are showing more optimism. This is a very welcome sign and good news for the industry.” For further information, contact FTR at sales@ftrintel.com, or call (888) 988-1699 ext. 1. n Peterbilt Showcasing its 567 Vocational Trucks Peterbilt recently exhibited its Model 567 vocational truck at the World of Concrete show in Las Vegas, and said customers are reacting “positively” to the new truck. “Customer reception of the all-new Model 567, which went into full production a few weeks ago, has been overwhelmingly positive. This lightweight, highly versatile vocational vehicle is an ideal fit for the concrete markets and we’re excited to showcase it at World of Concrete,” said Robert Woodall, Peterbilt Director of Sales and Marketing. “This rugged truck and tractor meets a concrete contractor’s every vehicle requirement, from mixing plant to jobsite,” he added. The Model 567 comes standard with Paccar’s MX-13 engine, the company said. It can be ordered as a day cab or with Peterbilt’s complete line-up of detachable sleepers. At the show, Peterbilt also exhibited its low-cab forward Model 320, equipped with a concrete pumper, and its Model 357 with a mixer body and a PACCAR PX-9 Engine. n Buyers Can Custom Design Navistar Trucks with New Configurator Tool lets buyers customize features and specs Navistar announced redesigned online truck “configurators” for International® ProStar®, DuraStar®, and TerraStar® models. Customers can virtually design, build, and customize features such as their International Truck’s cab, exterior, interior, and powertrain with the configurators, according to the company. “We know that an increasing number of customers in the commercial truck industry are researching their product wants, needs and desires online before visiting a dealership,” said Michael Cerilli, Navistar vice president. “It’s all about empowering the user to spec’ their desired truck with the click of a mouse. The more we can provide useful tools to aid in their purchase process, the more likely we are to earn their business.” The configurators are enhanced versions of previous versions of the tool, and now have high-resolution, 3-D images, more spec’ing options, and “an improved user experience and interface.” Buyers start by selecting their cab type and bumper-to-back-of-cab (BBC) length, then options for bumpers, mirrors, aerodynamic package and other exterior features. Next, they select a preferred powertrain configuration, including engine, transmission, and axle options. Finally, they select an interior trim and “creature comforts” of choice. After that, buyers can request a price quote, schedule a test drive with a dealer, share their spec’d truck with their dealer, or check out new and used trucks meeting their specifications. “We’ve seen great engagement for the configurators in beta testing,” said Bryan Sorensen, director, digital marketing, Navistar. “Traffic to InternationalTrucks.com has increased nearly 20 percent, and users who engage with the tools are spending twice as long on the site compared to those who don’t use the configurator.” Navistar plans to offer configurators for more models in International’s lineup of Class 4-8 commercial trucks, including the International WorkStar® and International LoneStar®. Customers can spec their International ProStar, DuraStar and TerraStar models by visiting www.internationaltrucks.com/buildmyprostar, www.internationaltrucks.com/buildmydurastar, and www. internationaltrucks.com/buildmyterrastar, respectively. n Industry News Briefs continued on page 14 www.UTA.org February 2014 13 UTA Industry Watch Industry News Briefs continued from page 13 Jennifer Jo Cobb Racing Ready for 2014 DAYTONA KANSAS CITY, KS (February 11, 2014) - Jennifer Jo Cobb Racing (JJCR) is pleased to announce its sponsorship line-up for the NASCAR Camping World Truck Series NextERA Energy Resources 250 on Friday, February 21, 2014 at Daytona International Speedway. Cobb is proud to be participating with the Used Truck Association (UTA), Wreaths Across America and Fans4Truckers to honor Arlington Cemetery’s 150th Anniversary with a “Remember Them All” kickoff. “I’ve never been more grateful or more motivated for a new season,” said Cobb. “To be able to race in the big leagues of NASCAR and represent such wonderful organizations is a dream come true.” Fans can visit www.uta.org/driven2honor and join Cobb in a fundraiser group open to the public and sponsor a remembrance wreath for a fallen soldier at Arlington on “Wreaths Across America Day” this December 13th 2014. Further exciting news regarding UTA and Wreaths Across America will be announced in the coming weeks. Cobb will hold a personal appearance in Portsmouth, Ohio at The Glockner GM Superstore and The American Legion James Dickey Post 23 for a community fundraiser on Wednesday, February 26. Glockner’s, a member of The UTA, is the first Chevrolet dealership in the state of Ohio. The campaign goal is to fund enough remembrance wreaths to be placed on all of the over 240,000 fallen veterans buried at Arlington. JJCR will also have co-primary sponsorship from Tyler, Texas-based Grimes Irrigation & Construction, Inc. With a surge of new sponsorship and returning support from Koma Unwind, Arrow Truck Sales, Horejsi Graphics and Waldo’s Paint Supply Co., the team is slated to compete in all 22 race events on the schedule. Crew Chief, Steve Kuykendall will lead the team. “We are pleased to be transitioning to Chevrolet as the truck series introduces an updated body,” said Kuykendall. “And with increased horsepower from a new engine, I am confident you will see performance improvements from our organization. Momentum is just with us right now.” Cobb added, “My Crew Chief has worked so hard this winter that I am certain his hard work and dedication will show up on the track.” Cobb currently holds the record for the highest finish by a female in NASCAR at Daytona, with her 6th place finish in 2011, which was also led by Kuykendall. Race Updates can be found on Twitter: @jenjocobb and Facebook.com/JJC Racing” JJCR PR Contact: Tracey Passantino tracey@Race4Girls.com 14 February 2014 Fans4Truckers Contact: Dave Pack packmcdermott@aol.com The Used Truck Association and Michelin® have partnered to provide UTA members in the U.S. with a national tire program through the MICHELIN® Advantage Program. This tailored for UTA program includes: • Consistent national pricing on premium MICHELIN® truck tires, including MICHELIN® X One® tires and BFGoodrich® truck tires at participating Michelin® dealers • Point-of-sale materials including MICHELIN® brand data books and tire reference guides, MICHELIN® X One® product information, MICHELIN® X One® Secondary Market Satisfaction Guarantee, and BFGoodrich MICHELIN® X One® brand data books and tire reference guides • Access to Michelin® Customer Service, a program website, a Michelin® dealer locator and a Michelin® Field Sales Representative To enroll in this UTA / Michelin® program, please visit the UTA website. After completing the enrollment, each member will receive a Michelin® account number for use at participating Michelin® dealers (purchases to be paid via credit card). Michelin® has a full line-up of X One tires & retreads, which feature our exclusive wide base single technology aimed directly at saving fuel. In fact, in the 14 years since their introduction, they’ve saved 150 million gallons of fuel & provided millions of tons of added freight. Michelin® is so confident in these savings that Michelin® offers Total Satisfaction. If after the first 60 days and before 150 days, the fleet owner is not satisfied, Michelin® will provide a credit up to $1000 for Michelin® dual tire and wheel exchanges.* *Certain conditions apply. See the Michelin® X One® Secondary Market Total Satisfaction Guarantee www.UTA.org UTA Industry Watch East Texas Mack Receives 2013 North American Distributor of the Year Honors GREENSBORO, NC (February 12, 2014) – Mack Trucks today announced that East Texas Mack Sales, LLC, Longview, Texas is its 2013 North American Distributor of the Year. The annual award recognizes the top-performing distributors within Mack’s North American dealer network based on sales, facilities, service, general management, customer satisfaction, parts, personnel and community service. A Mack distributor since 1976, East Texas Mack demonstrated a tremendous commitment to satisfying its customers, as reflected by its 100 percent customer satisfaction score. To better address their customers’ expanding needs, East Texas Mack added four new heavy-duty parts delivery vehicles in 2013 and began construction on new shop bays dedicated to servicing natural gas-powered vehicles. East Texas Mack has received numerous accolades, most recently as the Southwest Regional Distributor of the Year in 2011 and the North American Distributor of the Year in 2008. The company was also the U.S. Distributor of the Year in 2000. Mack also named 2013 winners for each of its U.S. regional sales divisions: ■■ Northeast Region: Beam Mack Sales & Service, Inc., Rochester, NY ■■ Southeast Region: Mack Truck Sales of Charlotte, Charlotte, NC ■■ Central Region: Quincy Mack Sales & Service, Inc., Quincy, IL ■■ Southwest Region: East Texas Mack Sales, LLC, Longview, TX ■■ Western Region: Vanguard Truck Center of Phoenix, Phoenix, AZ ■■ Canada Region: MacKay’s Truck Center, Truro, Nova Scotia, Canada The North American Used Truck Distributor of the Year award was given to Vanguard Truck Center of Houston, Texas. M&K Truck Leasing, LLC, based in Byron Center, Michigan, received the Mack Leasing System North American Distributor of the Year award. “I’m very proud of all our award winners for their excellent work representing Mack Trucks,” said Stephen Roy, president, Mack Trucks North American Sales & Marketing. “They bring a great understanding of this dynamic and diverse industry and are dedicated to helping customers achieve success.” Dedicated to quality, reliability, and total customer satisfaction, Mack Trucks, Inc. has provided its Pictured from left to right are Drew Bankston, East Texas Mack finance manager, David Carroum, customers with innovative transportation solutions East Texas Mack sales manager, Mike Maddox, Mack Trucks southwest region vice president, for more than a century. Today, Mack is one of North Bill Bankston, East Texas Mack president, Stephen Roy, Mack Trucks president of North American America’s largest producers of heavy-duty trucks and Sales & Marketing and Joseph Kennedy, East Texas Mack vice president and chief financial officer. MACK® trucks are sold and serviced through an extensive distribution network in more than 45 countries. Mack trucks and diesel engines sold in North America are assembled in the United States. Mack manufacturing locations are certified to the internationally recognized ISO 9001 standard for quality and ISO 14001 standard for environmental management systems. Mack is also a proud sponsor of Share the Road, an American Trucking Associations’ public information campaign aimed at enhancing the safety of our nation’s roadways. Mack Trucks, Inc. is part of the Volvo Group, one of the world’s leading manufacturers of trucks, buses, construction equipment and marine and industrial engines. The Group also provides complete solutions for financing and service. The Volvo Group, which employs about 115,000 people, has production facilities in 19 countries and sells its products in more than 190 markets. In 2012, the Volvo Group’s sales amounted to $45 billion. The Volvo Group is a publicly-held company headquartered in Gothenburg, Sweden. Volvo shares are listed on OMX Nordic Exchange Stockholm and are traded OTC in the U.S. For information, contact: Kimberly Pupillo, Director – Media Relations, Mack Trucks, Inc. 336-393-2640, kimberly.pupillo@macktrucks.com For more information about Mack, visit our Web site at www.macktrucks.com www.UTA.org February 2014 15 UTA Industry Watch The UTA Looks Back The Inaugural Convention — Howey-in-the-Hills, Florida, 2000 16 February 2014 www.UTA.org UTA Industry Watch Industry Events Calendar MARCH JUNE 5-7 • The Work Truck Show 2014 Indiana Convention Center 28 • East Coast Large Cars Truck Show 2014 Indianapolis, IN www.ntea.com/worktruckshow/ 37 Plains Road Augusta , NJ eclcannualtruckshow.com/ 27-29 • Mid-America Trucking Show 2014 Kentucky Fair & Exposition Center Louisville, KY www.truckingshow.com/ JULY 10-12 • Walcott Trucker’s Jamboree Iowa 80 Truckstop APRIL 8-11 • NAFA Institute & Expo Minneapolis Convention Center Minneapolis, MN www.nafainstitute.org 10-12 • Truck World 2014 International Centre Walcott, IA http://iowa80truckstop.com/trucker-jamboree/ AUGUST 8-9 • Waupun Truck-N-Show Waupun Community Center Spring Street, Waupun, WI http://waupuntrucknshow.com Toronto, Canada www.truckworld.ca/ 15-17 • Eau Claire Big Rig Truck Show Chippewa Valley Technical College MAY 8-10 • East Coast Truckers Jamboree Kenly 95 Truckstop I-95 Exit 106 Kenly, NC http://kenly95.com/east-coast-truckers-jamboree/ 29-31 • ATHS National Show & Convention Ozark Empire Fairgrounds 3001 N Grant Avenue, Springfield, MO www.aths.org/convention 617 West Clairemont Ave Eau Claire, WI www.eauclairebigrigtruckshow.com 20-21 • Commercial Vehicle Outlook Conference Dallas Convention Center 555 South Lamar Dallas, TX www.cvoconline.com SEPTEMBER 5-6 • Big Iron Classic 26487 600th Street Mantorville, MN www.bigironclassic.com www.UTA.org February 2014 17 UTA Industry Watch 18 February 2014 www.UTA.org UTA Industry Watch The Vendor Expo gets bigger and better every year! www.UTA.org February 2014 19 UTA Industry Watch From Where We Sit Ahhh, February…the month of groundhogs, love, and presidents! It is cold here, dark, and just far enough into winter that the charm has begun to wear off. We’ve shoveled snow, chipped away at ice, and scraped our windshields quite enough for now, thank you very much. So, in looking at the list above, we’ve decided to focus not on weather-predicting rodents, or the men who have held the highest office in the land, but instead on love. We’re something of a couple of experts on the subject, having watched love go right, love go wrong, and love just simply go throughout the years we’ve been together. We have grandparents who were married for more than 65 years when death did them part. We’ve had siblings who’ve stayed married against all odds, and even a few family members who waited way too long to make the divorce happen. Yep, we’re pretty much experts on the subject of love. So, it was with real happiness that our neighbor, who was born nearly 70 years ago in the house he still lives in across the street, sent us a copy of the wedding announcement for the newlyweds who built our wonderful old house. Now, if you’ve been reading along with us here, you know that we live in a cool old house on the main street of a small farming community nestled in a valley in the foothills of the Blue Ridge Mountains. They are mountains to those of us who have lived all our lives here in the East, but if you’re reading this west of the Mississippi, you’d consider them to be speed bumps. Still the valley has some of the most fertile and beautiful farm land you’ll find anywhere, and the couple who built our house came from two very old and prosperous farming families whose descendents still live in the valley. Walter and Naomi (Doub) Remsberg were married just before Christmas in 1913. They eloped, which seems really quite romantic, but who knows? That could have been because they knew two prominent old families would create way more drama than either one of them wanted to endure just for the sake of getting married. The announcement said the couple would be keeping house and welcoming friends in the “beautiful new home Mr. Remsberg built on the East End of town.” Now, no one considers this the East End anymore, and town extends a good deal beyond our house to the east, but it’s fun to think about the day when this was considered 20 February 2014 the “outskirts.” The house, of course, is still beautiful, but the windows leak cold February air, the mirrors could stand to be re-silvered, and the plaster is cracked in more than a few places. (You either love old houses and don’t care about those details, or you don’t!) We were touched and thrilled to imagine the newlyweds settling into a happy life with a showplace of a new home. Then we talked to the other neighbor who lives across the street. He is one of the few people who still remembers Naomi. He moved into his house in the late 1960s, just before Naomi sold her home. She and Walter had lived here until his death in 1963. It was always just the two of them, with no children to help her manage the big house. (That also explains the good condition of the woodwork!) Anyway, our neighbor told us that Naomi made it clear to Walter that she would only marry him once he built her a beautiful house that they’d live in. What? We had all these sweet and nostalgic fantasies, and now we’ve resorted to crass materialism? Oh, where had all the love gone? Then we remembered who was telling us this story. Our neighbor across the street is the biggest gossip known to humanity! He and his wife both always have a discouraging word for every human they’ve ever had contact with! That’s why in the more than 15 years we’ve been neighbors, we’ve never said more than “Hello” or “How are you?”or “Lovely weather, isn’t it?” Oh, they’re nice enough people, but Mama told us years ago, he who brings tales also carries them away. So, we’re going to stay nestled in the warmth of Naomi and Walter’s beautiful once-new home. We’re still going to imagine them happily sharing the day-to-day details of their life together, and we’re still going to believe the newlyweds enjoyed more wedded bliss than angst. Yes, it’s February. It’s cold. It’s dark. The thrill of winter has worn thin, but the glow of a long and happy marriage can keep even the crankiest couple warm and dry. At least, that’s the way it looks from where we sit. Deb and Brad Schepp editor@uta.org www.UTA.org
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