JULY 2004 - Full Service Lease | Truck Rental | Truck Leasing
JULY 2004
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IDEALEASE NATIONAL ACCOUNT NEWS
|Xpedx Division Logistics Operations Contacts | | | | | |
| | | | | | | |
|Region |Street |City |State |Telephone |Fax |Whose Ops Contact |
|New England Group | | | | | | |
|NE |51 Railroad Ave |West Haven |CT |203-931-6743 |203-931-6734 |Mike McCormick |
|NE |613 Main Street |Wilmington |MA |978-988-8608 |978-988-8634 |Jim Iantosca |
|NE |160 Fox Street |Portland |ME |207-773-0142 |207-773-0142 |Tom King |
|Metro NY Group | | | | | | |
|NE |536 Dowd Ave |Elizabeth |NJ |908-368-2050 | |Bob Stibitz |
|Mid Atlantic Group | | | | | | |
|NE |5000 Lincoln Drive East |Marlton |NJ |856-596-8507 |856-985-1366 |Mike Snyder |
|NE |221 South 10th Street |Lemoyne(Harrisburg) |PA |717-612-3174 |717-787-8503 |Doug Ahearn |
|Coastal Group | | | | | | |
|NE |7445 New Ridge Road |Hanover |MD |410-694-8550 |410-694-8666 |Rich Hess |
|NE |119 West Naylor Mill Road, Ste. 10 |Salisbury |MD |410-546-1277 |410-546-0179 |Mark Broyhill |
|NE |3666 Progress Road |Norfolk |VA |757-857-0161 |757-857-5994 |Jim Gatson |
|NE |2100 Jefferson Davis Highway |Richmond |VA |804-231-9065 |804-291-3332 |Mike Griffin |
|NE |1021 Morrisville Parkway |Morrisville(Raleigh) |NC |919-467-8141 |919-467-0311 |Ray Bean |
|Upstate NY Group | | | |585-581-4115 | |Ed Hopkins, Upstate Group Ops Mgr |
|NE |46 Railroad Ave |Albany |NY |518-489-4416 |518-489-6830 |Ron Nelson |
|NE |75 Allied Drive |Buffalo |NY |716-332-1570 |716-852-4360 |Andy Cannizzaro |
|NE |1059 West Ridge Road |Rochester |NY |585-581-4302 |585-581-4335 |Robert O'Connell |
|NE |6485 Ridings Road |Syracuse |NY |315-433-1452 |315-432-9949 |Jim Groff |
|NE |4748 Pacific Ave |Erie |PA |814-838-3535 |814-838-3324 |Doc Tatara |
|Penn Ohio Group | | | | | | |
|NE |9797 Sweet Valley Drive |Cleveland |OH |216-901-2508 |216-901-2600 |Jim Purcell |
|NE |2920 New Beaver Ave |Piitsburgh |PA |412-732-7617 |412-732-7602 |Dan Elko |
|Michigan Group | | | | | | |
|NE |28401 Schoolcraft Road Bldg 4 |Livonia(Detroit) |MI |734-855-2266 |734-855-2250 |Kevin Steams |
|NE |4140 E. Paris Ave SE |Kentwood (W. Mich) |MI |616-827-5100 |800-632-3402 |Tony Rolf |
|NE |2210 Beard St. |Pt. Huron |MI |810-982-7975 |810-982-8318 |Tom Krausman |
| | | | | | |
|Region |Street |City |State |Telephone |Fax |Whose Ops Contact |
|Central Group | | | |336-834-3434 | |Gary Haley, Regional Ops Mgr |
|SCentral |4265 N I-85 Service Road |Charlotte |NC |704-596-5755 |704-596-5755 |Andy Bass |
|SCentral |5901 Long Creek Park Dr. (Lowes) |Charlotte |NC |704-596-5771 |704-596-5755 |Andy Bass |
|SCentral |3900 Spring Garden Street |Greensboro |NC |336-834-2847 |336-852-8925 |Gray Gilley |
|SCentral |3840 Kimwell Drive |Winston-Salem |NC |336-768-4900 |336-768-4909 |Russell Triplett |
|SCentral |7370-A Spartan Blvd. East |North Charleston |SC |843-760-4134 X17 |843-760-2260 |Joe Burke |
|SCentral |721 Vine Street |Columbia |SC |803-254-9383 |803-799-2263 |Wayne Braswell |
|SCentral |2930 Whitehorse Road |Greenville |SC |864-269-2310 |864-269-9173 |Rick Moore |
|SCentral |1885 Apperson Drive |Salem (Roanoke) |VA |540-389-7210 |540-389-4715 |Hugh Clark |
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October 2005
A Call to Canada
Ted Bertram
Last month, Bill Foye – Area Vice President Canada – wrote his first National Account news article.
As many of you may not know, Bill has had great experience in the leasing business with some of our competition. I am glad that he has joined the Idealease team.
The point that Bill was making last month was – WE NEED TO SHARE THE TOYS AND PLAY TOGETHER.
Every successful operation is the product of team play. Without team support we are not going to be successful.
Bill is one person, based in one Province, calling on one customer at a time.
Each of you knows your market better than anyone else. Bill included!
You are the first responders for potential lease activity. Many times you get wind of an opportunity before Bill or the corporate office for the account. It is imperative that we get Bill on board as soon as possible in order to be the most effective.
I have confidence that Bill can produce the desired results – BUT we have to have to work as a team. We are depending on you to help Bill produce the desired results.
I know that we can count on your support.
Good Luck and Good Selling!
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Opening Words: Ted Bertram
Account Update: Rich Corcoran
Account Update: Jim Maciejewski
Account Update: Tom Luby
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Account Update:
Rich Corcoran
Safety-Kleen Systems - In the July newsletter I wrote about the signing of a FSL Master Agreement and the negotiation of a CM Master Agreement. The contract maintenance program was delayed a couple months and it now appears that the agreement will be in place in October or November. I listed the initial CM target sites in my last newsletter. I will advise each location upon execution of the agreement and I am hopeful that this could mean the addition of 200-300 units by year end.
Packaged Ice (Reddy Ice) - I have submitted our FSL proposal that will be weighed against a finance lease package. In addition, we have worked with the International sales office to provide more competitive pricing in the event that they choose to finance lease. If International is awarded the purchase for finance lease, we will proceed with the CM agreement we also have in place. I will keep everyone updated as the decisions are made.
Hill’s Pet Nutrition - We are in the process of delivering the 45 FSL units we ordered this summer. We are also beginning to review the early replacement of units that expire in 2006 and 2007. This would complete the replacement cycle with the new spec that includes the Allison automatic. We will need to complete this process this year to take advantage of current pricing levels versus unknown pricing increases after the first of the year. Each of your locations should have been advised of the website that was recently created for Hills. This website will provide real time access to lease billing; damage reports; mileage submission; rental activity and starting in November the conversion from T-Check to Wright Express which will include fuel reports and billing. I appreciate everyone’s cooperation in being part of the new processes.
Rexel - We continue to bid new locations and Rexel continues to show more confidence in our capabilities. Please continue to work the local management in your area to develop local relationships.
Builders FirstSource - We successfully renewed the captive shop agreement for Cincinnati that accounts for 85 vehicles. Builders is now publicly traded and indications are that we will continue to grow the business as they purchase other companies.
O’Reilly Auto Parts - We continue to grow with this account and will be looking at the signing of the fleet in Knoxville.
Hope Lumber - I am in the initial stages in proposing FSL for Hope Lumber. They have traditionally owned their equipment and have about 40 locations in the U.S. Initial proposal will more than likely be for Tulsa, Atlanta and Houston. I will contact the locations, once known, in the near future.
Thanks again for your continued support in making Idealease and your National Account Program a recognized leader in our industry. If you have any questions or comments at any time, please contact me at (972) 549-0312, or on my cell phone at (972) 816-1960.
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NATIONAL ACCOUNT NEWS
Account Update:
Jim Maciejewski
Three States Supply LLC - This is a new account that we called on last month. It is based in Memphis and runs vehicles in 9 states. They run in AL, AR, IL, KY, LA, MO, MS, OK, and TN. They currently own all of their vehicles and purchase them from our dealer in Memphis. The Idealease affiliate in Memphis (Diamond Idealease) called me in on this deal after they saw how many states this company runs and knew it would be very hard for them to try and manage it. We made the initial call in September and are currently in the process of putting together specs and hope to have a proposal in there hands later this month. An investment company based in Florida owns them. You can go to the website at and click on subsidiaries, then go to Three States Supply and it will give you all of the locations that they have.
DS Waters of America LP. - We have had a lot of success signing new business with the Suntory Group and now we have the chance to add the DANONE units. The new name of the company is DS Waters of America LP. They still have the following companies Sierra Springs, Crystal Springs, Belmont Springs, Hinckley Springs Water and now Sparkling Water. We just added 17 units in Salinas, CA for Sparkling Water and just signed another 40 units for Fresno, CA. If you have any of these accounts in your markets please make a contact with them and introduce yourself. We have a Contract Maintenance Program in place for their vehicles throughout the United States. We feel that there is a lot of opportunity with the new company. They run about 4100 units combined now throughout the US. There are 5 regional managers within the company that can make decisions, so if you think there is any opportunity in your market please contact me.
US Lumber Group - We have had great success with US Lumber Group. They are currently expanding to the Baltimore and Nashville markets with more growth to come. We have all locations with Idealease with the one exception being Raleigh. We just in serviced 4 units for Nashville and just replaced 3 more in Greenville. We are also looking at units in Baltimore, Memphis and Louisville very soon. The affiliates have done an excellent job with responding to the needs of US Lumber in the cities where we have them. Please keep up the good work and hope the affiliates, where US Lumber is expanding to, can give them the same kind of attention.
Account Update:
Tom Luby
Leggett & Platt Inc.- Carthage, MO. This is a $4.3 billion manufacturer of bed springs, bed frames and bed rails. They have over 300 manufacturing plants and 700 power units, nearly all leased or on Contract Maintenance. We have been successful in securing our first lease with them with one of their subsidiary companies, Super Sagless in Tupelo, MS for 6 tractors and one straight truck. Their primary provider at this time is Penske. I have recently been to their corporate office to negotiate new items to the master lease agreement and from all indications, we will be more strongly considered in the future as we complete the lease agreement. They have many units that term in 2007. As you call on the L & P companies, advise me of your progress and we will develop a strategy to conquest.
Huttig Building Products - St. Louis, MO. Huttig has a fleet of 200 tractors and 120 straight trucks. We have Full Service Lease units with them in Jackson, TN, Atlanta, GA, Haines City, FL, and Knoxville, TN. We are currently quoting six 9200’s through Danny Alfonso in Haines City. Sun State Idealease has done a great job serving this account and this will be a strong factor in securing this new lease. Huttig has a new manager of Procurement in St. Louis, please call on your local Huttig or Builders Resources branch. Let me know as you have success with them and again, we can develop a strategy for that location.
Genesis Logistics/EXEL - Columbus, OH. Genesis Logistics is a division of EXEL Logistics in Columbus, OH. Genesis is a 3PL provider to 7-Eleven Corporation. We currently have 4300’s with reefer bodies on lease with Genesis in Fullerton, CA, Burlington, PA, Hayward, CA, Seattle WA, CA. and Portland, OR. Efforts are underway to secure more of the parent EXEL business in the near future. I will advise with further direction as we progress.
Kraft/ Nabisco - Chicago, IL. We continue to make progress and sign additional locations within the Nabisco side of Kraft’s business. New leases in Spokane, WA, Springfield, MO, and additions to our penetration in Addison, IL, Tolleson, AR and Farmington, MI have added to our presence in these areas. Potential new business is on the horizon for Columbus, OH, Louisville KY, High Point NC, Sioux Falls, SD, and Fargo, ND for Full Service Lease of tractors and reefer trailers. With your help, we will continue to increase or penetration with this great account.
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NATIONAL ACCOUNT NEWS
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NATIONAL ACCOUNT NEWS
NATIONAL ACCOUNT NEWS
Account Update:
Keric Kennedy
Stericycle:
When the current order of trucks is delivered Idealease will have approximately 550 units under FSL with Stericycle. There are approximately 600 more units in this fleet so the opportunity is still significant.
Thank you to everyone that services this account. Your service is the reason we are able to keep growing with Stericycle.
Kellogg’s Snack Division:
Kellogg’s purchased Keebler Snacks a couple of years ago. For the most part this fleet of approximately 1,200 units is under a TRAC lease and serviced via sales and service. Here is a typical situation where Kellogg’s has leased the vehicles for 6 years under a TRAC and then buy the units out and run them another two to four years. This makes their depreciation look great but that is offset by higher maintenance costs, more down time, more need for extra trucks or more rental days.
Kellogg’s uses GE Fleet Services to bill all of their maintenance. This usually is excellent news when trying to determine the customer’s cost of maintenance and proving the low-cost of full service lease. However in this case GE is telling Kellogg’s that they can only recapture the last couple of years of maintenance data. Once Kellogg’s gets good maintenance data this account becomes a convert to full service lease.
Account Update: Keric Kennedy
Account Update:
Keric Kennedy
Selling full service lease as the lowest-cost alternative to owning trucks!
Are you currently selling full service lease as the lowest-cost alternative to owning trucks? If you’re not you are missing your opportunity to turn more prospects out of buying trucks to full service lease and increasing your sales numbers this year!
This approach is not selling Idealease as the lowest-cost but full service lease as a lesser cost than owning trucks. Note the difference.
If the customer is already leasing then this is not your strategy. It is only for turning ownership accounts.
I find the lifecycle program on the Idealease website as the best tool to accomplish the goal of demonstrating to the customer that full service lease is the lowest-cost alternative to owning trucks.
This approach is being implemented into the Advanced Training Classes in Barrington so if you are interested in learning more sign up today!
Xpedx, division of International Paper:
This account is gaining momentum. The fleet is comprised of over 1,200 units in the U.S. They have a combination of full service lease and TRAC lease/PM plus programs throughout the country.
The FSL business has been primarily Penske and Ryder. It appears that Ryder has fallen out of favor with this account and many doors are opening for Idealease. We are an approved vendor!
The TRAC lease/PM Plus programs are primarily located in the Southeast and Northeast Regions of Xpedx where UPS Truck Leasing instilled the program years ago under the pretense that it was a low-cost alternative to a full guaranteed maintenance. Actually the PM Plus program looks cheaper but in the long run Xpedx is finding out that it is quite expensive. In these locations I am working with the regional managers and the local managers. Sometimes I have had to come in and present the FSL vs. TRAC analysis. We have not converted them all but we have a high percentage. Typically the real low mileage operations are more difficult to convert.
Once a location is ready to take a bid I have been contacted by Xpedx corporate or consultant and then communicate with the local Idealease location to get involved. Selling the local capabilities becomes very important to closing the deal. Feel free to make contact with the local Xpedx to establish a relationship so we are ahead of the game when we are contacted to bid.
NATIONAL ACCOUNT NEWS
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