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Customers The customers of our self service yards are frequently do-it-yourself mechanics, small independent repair shops servicing older vehicles, and auto rebuilders. These companies have a national presence in their respective countries, and we are working to integrate the operations to take advantage of shared procurement, warehousing and product offerings. North America, Europe, and Specialty. Our engine remanufacturing operations are conducted primarily at our facility in Mexico, with sales, warehousing and distribution operations in the U. Our most significant acquisitions include: These products are accumulated from our wholesale operations at our core sorting facilities, and are then either sent to our refurbishing or remanufacturing facilities or sold in bulk to other mechanical remanufacturers.


We have based these forward-looking statements on our current expectations and projections about future events. In markets where we offer more than one alternative product type, we are integrating the delivery of multiple product types on the same delivery routes to help minimize distribution costs and improve customer service. Further, it designs, manufactures, and markets vehicle equipment and accessories. Additionally, the difficulty and time required to obtain proper zoning, as well as dismantling and other environmental permits necessary to operate newly-sited recycled parts facilities, would make establishing a new network of recycled parts locations a challenge for a competitor. Our most significant acquisitions include: The extracted fluids are stored in bulk and subsequently sold to recyclers. We believe a supply network with a broad inventory of quality alternative collision and mechanical repair products and specialty vehicle aftermarket products, high fulfillment rates, and superior customer service provides us with a competitive advantage. Our inventory is composed of used heavy- and medium-duty trucks, usually at least five years old, which are purchased at salvage and truck auctions or directly from insurance companies or large fleet operators. Vehicles are then placed in the yard for customers to remove parts. We also extract and sell the precious metals contained in certain of our salvage parts such as catalytic converters. We also sell our products to car rental companies and fleet management groups. The company distributes bumper covers, automotive body panels, and lights, as well as automotive glass products, such as windshields; salvage products, including mechanical and collision parts comprising engines; transmissions; door assemblies; sheet metal products, such as trunk lids, fenders, and hoods; lights and bumper assemblies; scrap metal and other materials to metals recyclers; and brake pads, discs and sensors, clutches, steering and suspension products, filters, and oil and automotive fluids, as well as electrical products, including spark plugs and batteries. We also analyze new vehicle designs that are expected to come to market to assure that we are working with suppliers to project future supply and demand trends. The scrap from the vehicle hulks, when not processed by us, is sold to metals recyclers, with whom we may also compete when procuring salvage vehicles for our operations. The majority of our refurbished and remanufactured products are processed from cores obtained from salvage vehicles purchased by our recycled operations at auctions, parts received in trade from customers purchasing replacement products from us, and cores collected by our route delivery drivers from vehicles under repair by our customers. Collectively, we refer to these products as alternative parts because they are not new OEM products. Insurance companies generally operate at a national or regional level. North America, Europe, and Specialty. Insurance Companies Automobile insurance companies affect the demand for our collision products. We are attempting to utilize a similar strategy in Europe with our acquisition of ECP and our acquisitions of Sator and certain of its distributors. We offer our repair shop customers access to our proprietary system, Keyless, which provides a link between their estimating systems and our inventory to identify the availability of alternative products for use in their repair. Our warehousing and logistics systems help us deliver 6 products to customers across the United States and Canada. Customers We sell our products to wholesale customers that include collision and mechanical repair shops and new and used car dealerships, as well as to retail customers. Similarly, we compete with domestic vehicle product recyclers, most of which are single-unit operators. Our salvage operations typically have processing, sales, distribution and administrative operations on site, indoor and outdoor storage areas, and include a large warehouse with multiple bays to dismantle vehicles.


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  1. Our pricing specialists consider factors such as recent demand levels, inventory quantity on hand and turnover rates, new OEM product prices and local competitive pricing, with the goal of optimizing revenue.

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