Official Mouthpiece of

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Counterfeiting Show and Tell Flower Power Tyre Deniers bottled Horsepower New Challenges

The

Phoenix

Conference Call
During March 2010 the automotive industry had the opportunity to visit two or three shows in the Gauteng area. First up was the Tyrexpo Africa 2010 show held at the Sandton Convention Centre from March 4 to 6, and two weeks later there was the WATS show, held in conjunction with the Heavyweight Expo 2010, at the Tshwane Events Centre, running from March 23 to March 26.

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ll very useful and necessary for those who want to keep abreast of trends in the industry. Adding to the lustre was a high profile tyre industry conference, which was a significant feature of the Tyre Expo, and held on the Friday alongside the exhibition. For anyone involved in the manufacture, distribution, retailing of tyres, or associate industries, this was a show/conference not to be missed. And yet, the attendance at the show was lower than what I would have expected. The feedback from the exhibitors was mixed; some were happy, some not so happy. Not being an expert on show attendance, and being aware that in many cases it is the quality of visitor that is important rather than the quality, I shall not comment further. letters behind his name meant, and he spelled them out; CVO (Commander of the Victorian Order), CBE (Commander of the British Empire), KCSG (Knight Commander with Star of the Order of St. Gregory the Great), DL (Deputy Lieutenant). And of course the Sir denotes a knighthood. All very impressive, but not as impressive as his keynote address. He kept the small audience spellbound with his presentation, regaling them with his experiences in business and life and the philosophies behind his success. The tragedy was that all this experience and advice fell on so few ears. An indictment on the South African tyre and fast fit industry! It was worth it to attend the conference just to hear Sir Tom Farmer, but there was far more, and much to learn about from industry leaders and commentators, both domestic and global. An overview of this conference is on page 55 of this issue of ABR, and we also have an intriguing view of the proposed tyre waste disposal plans from Fingal Wilde on page 43. I am not sure of the reason behind this apathy, but I intend to investigate this

appalling lack of manners. It may be a case of closing the stable door after the horse has bolted, but once I have ascertained the facts, I will do what I can to ensure that this appalling state of events does not happen again. The next Tyrexpo will come around in 2012, and the organisers have told me that they will once again convene a conference. Bully for them, and I appeal to the industry to support this event the next time round. The stakes are high, and we cannot afford to pay the price of hubris. Our cover feature is the diametric opposite of hubris. It is a case study of a corporation that faced a devastating situation, mostly not of their making. Circumstance had combined with history, and had dealt a low blow. This inspiring story, which is on page 16, could be called Restructuring 101, and is instructive for anyone facing something similar. Read it and learn.

However, I do consider myself as something of a conference buff, and to my mind the attendance at what transpired to be a highly stimulating conference was shocking. Shocking in many respects. The keynote speaker was Sir Tom Farmer CVO CBE KCSG DL, an absolute global icon in the tyre industry. Sir Tom is credited as being the man who revolutionised tyre retailing in the UK. He was the founder of the Kwik-Fit retail empire in Scotland in 1971, and built it into one of the world’s largest automotive parts repair and replacement specialists before selling it to Ford in 1999 for the not inconsiderable sum of US$2 billion. Subsequently, he has become a philanthropist of note, supporting a wide range of charities whilst still keeping an interest in the industry in his beloved Scotland. During the conference I had a chat with “Tom”, and asked what all those

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Contents

10 43
2 6 12 14 16 20 22 24 26 28 30 31 32 33 34 36 38 42 The Phoenix What’s the Buzz AAMA Alert Personal Profile Cover Feature Auto Topical The Chery Story Frankley Speaking Industry Update Tony’s Take Life Goes on Commercial Vehicle News Weighty Issues Spirit of Safety Intelli-Driving Tyre Safety Burford on Brands Customer C.A.R.E. 43 48 50 51 52 54 60 62 66 68 70 72 74 76 77 78 79 80

18 62 71
Wilde Things Diamond Dialogues AIDC Quiz e-CAR Top Class Topics Show Time Capricorn Insights Partinform Life Goes On The Golden Triangle Model Revamp Vehicle Evaluation Hyundai Update Toyota Racing Team Timken Thrust Fast Wheels Midas Sport The Last Writes

The publisher and contributors have done their best to ensure the accuracy of the articles and cannot accept responsibility for any loss or inconvenience sustained by any reader as a result of information or advice in Automotive Business Review. The information provided and opinions expressed in this publication are provided in good faith and do not necessaraly represent the opinion of the publisher. No article may be reproduced in any form without the prior written permission from the publisher, except for the quotation of brief passages in reviews.

Publishing Editor Graham Erasmus 083 709 8184 Editors at Large Alwyn Viljoen Paul Collings Intelli-Driving Editor Eugene Herbert Correspondents Beeton, Frank Borlz, Baron Claude Burford, Adrian Gamble, Austin Hogg, Gilbert

Horn, Gerhard Keeg, Howard McCleery, Roger Twine, Tony Wilde, Fingal Published by: Trilogy Publishing Advertising Sales: Stanton Porter Marketing Tel: 012 654 2745 e-mail: abr@stanport.co.za Marlene Erasmus 082 837 2668 e-mail bigheart2@iafrica.com

Editorial Office: 81 Alma Road, Wendywood Tel 27 11 656 2198 Fax 27 11 802 3979 e-mail: bigheart@iafrica.com Website: www.abrbuzz.co.za Subscriptions and Data Management: Trilogy Trading & Promotion P O Box 69 Wendywood 2144 Tel 27 11 802 6020 Fax 27 11 802 3979 e-mail: bigheart2@iafrica.com

Design and Reproduction: j. Kraft Information Design cc Tel: 012 997 6946 Fax: 012 997 6987 e-mail: jackie@kraftinfo.co.za Printing: Business Print Centre, Pretoria Official Mouthpiece of

4

What’s

the

Buzz?

Road safety enhanced through revolutionary tyre pressuremonitoring device
A revolutionary heavy vehicle accessory which monitors tyre pressures on trucks, trailers and buses is playing a significant role in improving safety on roads in South Africa. Marketed under the brand name P-Eye, the state-of-the-art device replaces the tyre valve cap monitoring preset minimum tyre pressure – if the pressure drops more than 5% below the required setting an LED lamp starts blinking. This makes it a relatively simple task for commercial operators to establish tyre pressures on their fleet, as a visual check on any vehicle fitted with the device quickly reveals whether tyres are all correctly inflated. The system is thus both safer and more cost efficient than manual checks as it is not necessary to check every single tyre, with action necessary only when the LED’s are blinking.

Preggie Govender & Phumlani Bayeni of Serco with a newly fitted p-eye tyre pressure monitor.

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Giniel de Villiers honoured as Bridgestone/Guild of Motoring Journalists Motor Sportsman of the Year
Giniel de Villiers, winner of the 2009 Dakar Rally in Argentina and Chile in a factory Volkswagen Race Touareg, is the2009 Bridgestone/Guild of Motoring Journalists Motor Sportsman of the Year. There were six other nominations for the prestigious award, which was first won in 1964 and has been sponsored by Bridgestone for the past 17 years. They were Gavin Cronje; Hergen Fekken and Pierre Arries; Evan Hutchison; Sheridan Morais; Ralph Pitchford; and Duncan Vos. Winner of the Colin Watling Award for special achievement in motor sport by someone other than a competitor was Peter du Toit, owner of the popular Zwartkops Raceway near Pretoria. Also nominated for the Colin Watling Award were Glyn Hall and Jan Hartzer.

Giniel de Villiers and Peter du Toit with Danie van Jaarsveld, Chairman of the SAGMJ.

Gauteng dealerships make a clean sweep at Renault’s 2009 dealer awards
Renault South Africa’s 2009 Club of Diamonds Dealership of the Year award has gone to McCarthy Renault The Glen. East Rand Renault, Boksburg took second place overall with Fountains Renault, Tswhane completing the Gauteng-based top trio. Bill Louw, Dealer Principal at Renault The Glen said it was an honour to once again take home Renault’s top award “which we last won in 2007.” Louw predicts good times ahead: “The motor industry has turned the corner and I believe that with the product line-up that Renault now has, their growth in 2010 will be way above that of the market.” He also praised Xavier Gobille, Managing Director of Renault SA for his vision, dedication and delivery on all the promises made to the dealer network.

(quickpic)

KenKen 4 x 4
How to Play: Like Sudoku, even though difficulty may vary from puzzle to puzzle, the rules for playing KenKen are fairly simple: For a 3 x 3 puzzle, fill in with the numbers 1-4.
• Do not repeat a number in any row or column. • The numbers in each heavily outlined set of squares, called cages, must combine (in any order) to produce the target number in the top corner of the cage using the mathematical operation indicated. • Cages with just one box should be filled in with the target number in the top corner. • A number can be repeated within a cage as long as it is not in the same row or column. Answer on page 80

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What’s AIDC TO ASSIST RETRENCHED WORKERS
The AIDC is launching a project to assist retrenched workers in the automotive industry by creating a platform on which to showcase their skills and by creating a central job bank. Barlow Manilal, AIDC CEO, says that the Gauteng Provincial Government is addressing the fact that many retrenched workers would not necessarily all have the required resources to enter a formal recruitment process such as a comprehensive CV, access to the internet or even perhaps money to call for an interview from a mobile phone. "For this reason, we are developing a process to capture the details of retrenched workers in

the

Buzz?

the motor industry. Employers will then be able to upload the contact details and skills profile of retrenched employees, into a national automotive skills database," he says. The initiative is being funded by the Gauteng Provincial Government's Department of Economic Development. AIDC will set up a help desk to update records and keep job seekers informed on the latest employment opportunities in the automotive and related industries. "The idea is to also link the relevant skills of job seekers to other sectors that could offer immediate employment while still tracking the movement of automotive skills throughout the country," says Barlow. The project will kick-off in April 2010 with the development of the web portal and database running concurrently with an initiative to upload retrenched workers contact details and skills profiles.

Barlow Manilal – AIDC CEO

Hyundai present eight world debuts at Geneva
Hyundai revealed the all-new concept car i-flow (HED-7) at the Geneva Motor Show in March 2010. The i-flow, which advances the ‘fluidic sculpture’ form language of Hyundai, was joined on stage by other newcomers, including the facelifted i30 – to be launched as i30U – and a number of new, production-ready derivatives with CO2 emissions below 100g/km. A future D-segment contender from Hyundai, i-flow boasts sleek, elegant lines which not only create a bionic, futuristic shape, but also contribute to exceptional aerodynamics. The drag coefficient of 0.25Cd helps to reduce the car’s CO2 output to just 85g/km and fuel consumption to only 3l/100km. Hyundai’s first diesel-electric hybrid powertrain is a key factor in delivering such an environmentally-conscious return. The exciting new U2 1,7-liter engine is augmented by two-stage turbocharging and Hyundai’s Lithium Ion-Polymer battery, to give a very efficient and advanced combination, partnered with a six-speed, dual-clutch transmission. The glossy ‘Liquid Metal’ finish – developed by BASF Coatings – adds to the visual impact of i-flow’s exterior. Special-effect pigments in this ecofriendly waterborne coating give the surface a polished metal appearance, and highlight the sculptural character of the car.

TENNECO FORMS NEW JOINT VENTURE IN CHINA WITH FAW SIHUAN TO SUPPLY EMISSION CONTROL SYSTEMS FOR CARS AND TRUCKS
Tenneco Inc. has announced it has entered into a joint venture (JV) with Changchun FAW Sihuan Group Ltd., a subsidiary of FAW Group Corporation, to supply emission control components and systems for passenger and commercial vehicles. The new JV will be based in Changchun. “We are very excited to be partnering with FAW, one of China’s leading manufacturers of light and commercial vehicles,” said Gregg Sherrill, chairman and CEO, Tenneco. “This new JV not only further expands our market-leading emissions control position in the growing China passenger vehicle market, but also gives us better access to China’s commercial vehicle segment, which is the largest in the world.” The JV has three partners – Tenneco with a 41% equity share, FAW Sihuan with a 49% share and Tenneco Tongtai (Dalian) Exhaust System Company Ltd. with a 10% share. Tenneco will have management control due to its 80% equity share in Tenneco Tongtai. Initial customers will include FAW-Volkswagen and FAW Jiefeng.

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2010

What’s

the

Buzz?

ELECTRIC CARS ON THE MOVE ALONG THE A40
An innovative group of research institutes and businesses were assigned in March 2010 to run the “E-mobility in commuter traffic” development project for the Rhine-Ruhr Model Region. Together they will be examining the practical implications of “electric commuter traffic between Rhine and Ruhr”. The project partners are RWE Effizienz GmbH, Renault Deutschland AG, the automotive engineering research company, Forschungsgesellschaft Kraftfahrwesen mbH Aachen (fka), and the Institut für Hochspannungstechnik (High-Voltage Engineering Institute) of RWTH Aachen University. Coordination is carried out centrally by the project control centre, EnergieAgentur.NRW. The vehicle fleet consists of 40 Renault pre-production electric vehicles along with 110 converted electric cars that RWE is providing as lease vehicles. Renault is providing models of the Kangoo Express Z.E. utility vehicle and the Fluence Z.E. mid-range family sedan. The RWE lease vehicles, based on the Fiat 500 and baptised Karabag 500 E, are equipped with the most up-to-date lithium-ion batteries. Models based on the Fiat Fiorino are also being used. With a range of between 100 km and 140 km they are perfectly suited to urban driving.

McCARTHY NISSAN SCOOPS THE LAURELS AT DEALER AWARDS
McCarthy Nissan was the dominant company at the recent Nissan SA Dealer of the Year awards function, taking no fewer than five trophies, including the overall Dealer of the Year, which went to McCarthy Nissan in Woodmead. McCarthy Nissan was adjudged Dealer Group of the Year, while McCarthy Woodmead was named Sales Dealer of the year - for selling the most Nissans in the country – as well as Dealer of the Year in the Mega category, overall Dealer of the Year and having the Sales manager of the Year. The End Street outlet, in the Johannesburg CBD had been a finalist in the Large category of the annual contest. “There was no special action plan in our McCarthy Nissan dealerships aimed at collecting these laurels,” said the proud managing director of McCarthy NSN, Geoff Jooste, who is responsible for the Nissan, UD Trucks, Renault, Fiat and Alfa Romeo franchises in the McCarthy Group. Jooste, who joined McCarthy 38 years ago, says the awards were the fruit of his Nissan dealers sticking to basic business principles by ‘doing all the right things and doing things right.’ He also stressed the importance of remaining humble in these times of success, as an arrogant attitude can be a big negative going forward.

Beware of potholes!
The weather over recent months has caused potholes of all sizes on many roads including motorways, so motorists need to take extra care when driving to avoid damage to their own car. Tyres are especially at risk, because sharp edges and deep potholes can damage the tread or the sidewalls. "The holes in the road surface mean that tyres and rims in particular suffer" warns Björn Bolze, head of Customer Service for Tyres at Continental. "Moreover if the tyres have insufficient pressure, there is a risk that the tyre sidewall will be squashed and damaged. In extreme cases this can lead to tyre failure. Low speed reduces the risk." The rims may also be damaged in the process - and with expensive alloys, consequential costs may be high. This is a good reason for checking tyre pressure more often than usual in order to protect the tyre and spot creeping pressure loss. Local councils will probably not be able to carry out all the road repairs straightaway - so motorists might need to get used to the idea of living with potholes for quite a while.

Volkswagen Golf VI 1.4 TSI 90 kW Comfortline is named the 2010 South African Car of the Year by the SA Guild of Motoring Journalists
The South African Guild of Motoring Journalists (SAGMJ) announced the Volkswagen Golf VI 1.4 TSI 90 kW Comfortline as South Africa’s 2010 Car of the Year (COTY) at a gala banquet at Gallagher Convention Centre, Midrand, on Thursday, 18 March. The awards function, hosted by competition sponsor WesBank, was attended by the who’s who of the South African motoring industry. The announcement of the prestigious accolade comes after a stringent process of voting and physical testing of eligible cars launched onto the SA market from 1 November 2008 to 31 October 2009. An indepth poll of the SAGMJ full members, followed by a second vote by the COTY jury, arrived at eight finalists towards the end of last year. The COTY jury, made up of the top motoring journalists in the country, then put the finalists through two days of testing in February and subjected them to a rigid scoring process. The final audited scores showed the Volkswagen Golf VI 1.4 TSI 90 kW Comfortline as the eventual winner of what is widely considered to be the most prestigious accolade in the motor industry. The SAGMJ, a professional body of qualified motoring writers, has annually awarded the title of SA’s Car of the Year for 25 years. The Volkswagen Golf VI 1.4 TSI 90 kW Comfortline beat off strong competition from the Alfa Romeo MiTo 1.4 TBi, Audi Q5 2.0T FSI® quattro® S tronic, Chevrolet Cruze 1.8 LS, Hyundai i20 1.6 GLS, Suzuki Alto 1.0 GLS, Toyota Prius 1.8 ECVT Advanced and Volvo XC60 3.0T Geartronic, which were the other finalists vying for honours in the country’s premier motoring event.

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2010

ALERT

Counterfeiting –
An Industry Call for a Conscience
Over the past two decades, there has been a proliferation of counterfeit product entering South Africa. From DVDs to watches to running shoes to Bafana Bafana jerseys through to automotive parts, there is literally nothing that the ethically challenged counterfeiter will not turn his hand to. Morally, from the buyer’s perspective, there is no difference whether you buy a pirated copy of Avatar or a rip off of a branded engine gasket. It is simply wrong. From a safety, or life and limb perspective, there is a massive difference. Not only is it wrong, it is dangerous, and more damning, unconscionable.
counterfeit Rolex watch may stop ticking a few days after purchase. A Springbok rugby jersey may reduce from XXL to M after the first wash. A snazzy pair of Nike running shoes may lose its sole during the first kilometre. All inconvenient and irritating, and an instructive lesson in the concept of “goedkoop is duurkoop”, but the only lasting damage will be your pride. And, unless that incredibly shrinking jersey restricts your breathing, or you swallow the watch, there is no physical danger. With automotive parts, however, it is another story altogether. After you have fitted that cheap counterfeit brake pad, and you fail to bring your vehicle to an emergency stop when that taxi runs the red robot, it is more than your pride and your pocket that is in danger. Your life, and more importantly, your family’s lives, are worth far more than the saving of a hundred or so Rands. It goes further than that. In today’s lawless environment, practically any automotive part may be defined as a life and limb part. When your car comes to stop on a lonely and unlit stretch of road at ten o’clock at night, because that incredible bargain of a clutch plate decided it did not like the torque it was being subjected to, it is no longer the threat of an accident that you have to worry about. What should keep you interested, and what will keep your life insurance assessor and the executor of your will busy for more than a few months, is that roaming bandit who thinks that your life is worth less than the shiny new Blackberry that he craves. The Consumer Protection Act will be coming into effect later this year, and this Act should put a brake on the nefarious activities of the counterfeiters, but the practice will continue.

A

Such is human nature. And many people think that laws are there to be broken. However, there is a stronger impediment to counterfeiting, which if practiced will have a far stronger impact than any piece of legislation or threat of sanction. This is your conscience. Sigmund Freud identified the Super Ego early in the twentieth century as an inherent condition of that contradictory species euphemistically known as Homo sapiens. He was of the opinion that this is what stood us apart from the rest of the animal kingdom. And taking this line of thinking further, this is what has kept the greater mass of humanity on the straight and narrow since Adam and Eve partook of the fruit of knowledge. Your Super Ego, or your conscience, is what AAMA is appealing to when it tackles the scourge of counterfeiting in the automotive aftermarket, and most particularly, AAMA is appealing to those who deal in counterfeit product. The cash strapped motorist will always be looking for bargains, and the emerging market has many people who are struggling to make ends meet. Thus, the emerging market which tends to be less informed, are more inclined to look for cheap product. It is this fact that puts the onus and critically, the duty of conscience, strongly on the shoulders of the importers, wholesalers, retailers, and workshops and end user fitters. They are the first and last line of defence for the informal automotive aftermarket, and thus they bear a strong responsibility of duty and morality. AAMA trusts that conscience trumps profit, as businesses run on ethical lines ironically last longer than those run on purely self-seeking lines. In this case, conscience equals long term sustainability.

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Personal

profile

by Roger McCleery

Q&A

SUN MOODLEY

He is a sponsor of motor sport and motoring events. He is a racer of note on our national circuits, having raced single seater Can-Ams and now a Porsche. In fact he has been a Porsche man all his life and once owned the fastest road going Porsche in South Africa. We are talking about Sun Moodley (55) CEO and Owner of one of the fastest moving national road freight companies in the country - Bigfoot Express Freight.

HOW BIG IS BIGFOOT EXPRESS FREIGHT? “We have six branches around South Africa and a fleet of 135 trucks ranging from 1.5 – 28 tons. Our staff complement is 350 at present. They are like a happy family to me. They are all target driven with the right attitude. We look after 2500 clients a day between our branches; Durban, Johannesburg, Bloemfontein, Cape Town, East London and Port Elizabeth. We provide a just in time service and our motto is ‘big to small we haul ‘em all’ .” STAFF BEEN WITH YOU A LONG TIME? There are two male staff members who have been with me 26 years, starting out as labourers and moving up the ranks. Both have been drivers now for many years. There are many other staff members who have been with me for a great length of time. HOW DID YOU GET STARTED? As a youngster I always wanted to do something in transport. My parents had a little supermarket in Durban so that is where I learnt my business acumen. In 1984 I purchased an American Fried Chicken outlet in Durban. Later that year my son was born and I decided to take a break from retail and purchased a small transport business of 3 trucks transporting sorghum beer. There was never a dull moment. I SUPPOSE YOU WERE UP AGAINST LOTS OF COMPETITION? Yes, most definitely. There were many other transport companies so I had to take every opportunity to grow. In 1989 I purchased an Izuzu 8 Tonner and from there Bigfoot Express began. One of the opportunities I seized was the fact that many transporters would not take the risk of travelling through the Trankei at that time in the late eighties, so we provided an overnight service to East London and Port Elizabeth, then onwards to Cape Town. This allowed us to expand exponentially.

WHAT DOES IT TAKE TO MANAGE SUCH A BIG FLEET ? A hands-on attention-to-detail attitude, informed truck purchases, a fantastic Fleet Manager and a great staff compliment are what it takes to manage a fleet the size of Bigfoot Express Freight. From the labourers to the management staff, we all have a great deal of respect for one another and work together as a unified team. We dispose of our trucks every 2 to 3 years. To facilitate reliability and speed of delivery. At any time there are 2 drivers in each truck so as to allow one to rest while the other is at the wheel. We use Volvos for Long distance City to City deliveries and; Toyotas, Mercedes Benz and Isuzu trucks for Inter City deliveries. All our horses use Michelin Tyres. YOU HAVE BEEN MOTOR RACING FOR 9 YEARS NOW? My son Preyen (25) started karting and received a great deal of guidance from Guy Botteril and father Dave Botteril. I decided to give it a try and started in the GP Gearbox class. As members of the KZN Kart Club we also participated in races such as the Pinetown Street Race in 2004 to 2006. AND THEN YOU MOVED UP TO THE BIG CIRCUITS? Naturally. As a lover of Porsche I took part in Porsche Club events and time trials around the country, and also belonged to the BMW Club. From there I went on to Shelby Can-Am Single Seater Sports Car Racing for 2008 and 2009. This I enjoyed thoroughly with a great bunch of guys and went on to win the Border 100 in East London in 2009. BUT YOU HAD TO RACE PORSCHE AGAIN? I was invited by a German Racing Team to race two 2009 Porsche GT3 Super Cup cars with sequential gearboxes, at Hockenheim in Germany in 2009. They were magic to drive and I fell in love with these machines. I decided to buy the pair and bring them back to SA. I also brought out one of the German professional racers in March for the GT Challenge in East London.

He finished 1st in the Class he raced. WHAT DO YOU DRIVE ON THE ROAD? I own a Porsche Carrera for every day use, and a Porsche GT3 RS. DID YOUR CHILDREN JOIN BIGFOOT EXPRESS? No, they have decided to make their own success in the world. My youngest daughter Reshni (21) is studying fashion design, her older sister Renisha (24) has an IMM degree and is now studying to be a Professional Chef. My son Preyen (25) is a Graphic Designer and owns his own photographic studio. HOW DOES YOUR WIFE FEEL ABOUT YOUR MOTOR RACING? My wife of 28 years, Rina, is very supportive of my racing and attends events with me. YOU SPONSOR MOTOR SPORT ASWELL? Bigfoot Express Freight is a joint sponsor of Super Motard racing with Mr Price. We also partner sponsor a Go-Kart circuit in KZN as well as the Annual Sports Car Run down to the Wild Coast, organised by Tony Day, has become a big event where we see 250 cars taking part. Bigfoot Express Freight has also sponsored Shelby Can Am and Porsche Race meetings around the country, The Annual Porsche Parade and GT Challenge in 2010. WHAT DRIVES YOU ? Sheer determination and the will to succeed. To do the things that people say can’t be done. WHEN WILL YOU RETIRE? Never. I love the transport business. I love motor racing. One needs to work hard, think smart, eat healthily and stay fit of body and mind. Work determinedly towards one’s goals in order to live ones dream.

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Cover

Feature

Monday, October 1 2001 was a red letter day for the Federal-Mogul Corporation when it filed for voluntary protection under the Chapter 11 Bankruptcy Code of the United States. Chapter 11 permits a company, and even individuals, when under financial threat, to reorganise under the bankruptcy laws of the United States. On the same day Federal-Mogul also submitted a similar application in the United Kingdom. Whilst Federal-Mogul Aftermarket Southern Africa (Pty) Limited was amongst the over 100 Federal-Mogul operations in 23 countries that were not involved in these applications, it did take the subsequent public relations hit, which was not unexpected.
ased on the aforesaid, why would Automotive Business Review describe this seemingly dark event as a red letter day? Simply because, even though it did not appear so at the time, it was a turning point in the history of this venerable organisation, which had played such a significant role for over a century in the automotive industry, and in addition, it was a timely wake-up call for this automotive icon. Chapter 11 was the cue to restructure, to stick to the knitting, and to face impending threats with innovation, fortitude and resolve. Ironically, Federal-Moguls’ troubles were not of their own making. The problem that faced them arose out of the injudicious acquisition in early 1998 of British automotive parts manufacturer T&N plc (formerly Turner & Newell, a building materials manufacturer), and an underestimation at the time of T&N’s asbestos related exposure to litigation, arising from T&N’s brake component operations and its previous building materials activities. The problem was growing, with FederalMogul paying out US$89 million in asbestos claims in 1998, US$178 million in 1999, and US$351 million in 2000, and escalating in 2001. In addition, it was facing more than 365 000 unprocessed claims in the United States alone, and maybe double more still to be filed. Facing the financial crippling of its operations, Chapter 11 was effectively the only option for Federal-Mogul, to separate the asbestos liabilities from the operating reports, and to allow Federal-Mogul to concentrate on its core activities.

Federal-Mogul on the Move

B

Those dark days are now behind them, with Federal-Mogul Corporation coming out of Chapter 11 at the end of 2007 with their reputation not only intact, but enhanced. Two noteworthy things happened during this six year period. Firstly, the words of then CEO Frank Macher turned out to be 100% true. Macher said on that momentous day in October 2001, "Moving forward, Federal-Mogul will continue to serve its existing customers, fulfil current contracts and secure new business. I have been in close contact with many of our major customers and suppliers, who have indicated that they will support Federal-Mogul during the restructuring process.”

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The veracity of this statement was confirmed to ABR by Martin Hendricks, Vice President EMEA, Global Aftermarket, Federal-Mogul Aftermarket Products & Services EMEA, during his recent operational visit to South Africa. Hendricks said that not only did FederalMogul not lose any customers, it gained business from 2001 to 2007, and that it emerged in such a lean and mean condition, that the first half of 2008 produced the best two quarters in the history of the corporation. The second noteworthy aspect was the trimmed down, well oiled and healthy functioning condition of Federal-Mogul, and its ability to look forward and plan accordingly. Most companies were caught napping by the global recession, but not Federal-Mogul. Despite a stellar performance in the first half of 2008, they kept their feet on the ground, and they saw the storm coming. They restructured during the third quarter of 2008, reducing their headcount from 50 000 to the current 39 000, and they managed the crisis exceptionally well. 2009 was indeed a rocky year, but Federal-Mogul saw its financial performance improve in quarters two, three and four, to such an extent that Federal-Mogul emerged from one of the automotive industry’s toughest years financially robust and cash positive and ready to use that cash for internal growth or acquisitions in 2010.

Federal-Mogul is also no slouch in the safety and quality stakes. It has worked assiduously in reducing injuries and improving quality, with annual injuries per 200 000 hours worked coming down from 2,0 in 2005 to 0,9 in 2009, and parts defects reducing from 29 parts per million in 2005 to 8 in 2009. Thus it is no surprise to learn that Federal-Mogul now provides parts globally for over 700 engine platforms, and is in a leading position as an OE supplier in engine products, sealing products, friction products and wiper blades, and is a reliable and valued technology partner to the OEMs. From a South African perspective, Martin Hendricks sees South Africa as a core country for the Group, and he confirmed to ABR that Federal-Mogul has a clear commitment to be in this country. He says that he is impressed with the size and professionalism of South Africa’s distributors and their attitude and approach to the premium brands that are in the Federal-Mogul stable. He added that FederalMogul Southern Africa is keen to grow business in this key market, and their marketing and product strategies are inexorably linked to their customers’ strengths in automotive parts distribution.
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Cover

Feature

Martin Hendricks, Vice President EMEA, Global Aftermarket, Federal-Mogul Aftermarket Products & Services EMEA, outside FederalMogul’s offices in City West, Johannesburg, during his visit to South Africa, flanked by two of Federal-Moguls Aftermarket Southern Africa’s executives; Chris Hillier, Sales & Marketing Director for Africa; and Malcolm Perrie, Managing Director.

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Auto

Topical

by Tony Twine

Déjà Moo and the Fiscal Cash Cow
License fees, a rather small contributor to the fiscal pot, are calculated, and the types of indirect taxes aggregated into subtotals for VAT, petrol levies and the sum of excise duty and licensing costs. These are divided by the pre-tax list price of the vehicle, which produces the data in the left hand half of the accompanying diagram. Attention then falls on the direct, or personal income tax exposure of the vehicles if it is assumed that they are each used for a given mix of business and private kilometres in any given year (split identically for each of the vehicle types). This income tax exposure is also divided by the pre-tax list price to produce the right hand side of the accompanying graphic. In total the Yaris can be seen to contribute a total fiscal revenue equivalent to 132% of its original pre-tax list price, while the BMW 120i contributes 118% of its price, and the BMW 530i contributes 108% of its price. At first glance the larger proportional contribution of fuel tax revenue by the Yaris compared to the bigger engine BMW’s appears counter-intuitive. But, with the same annual kilometres assumed for all three, it must be remembered that the vehicle price doubles between the Yaris and the BMW 120i and doubles again to reach the BMW 530i, while the fuel consumption per kilometre rises by less than 50% between the smallest and the middle vehicle, and by only a further 10% for the biggest vehicle. The ratio of fuel tax to list price mathematically has to fall in these circumstances.

Déjà Moo is defined as the strange feeling that you get when you feel that you have heard all this bull before. Mention of the fiscal cash cow in last month’s article about the impending emissions tax to be levied on passenger cars, together with revisions to travel allowance taxation, the 25.5 cents/litre increase in the levies on petrol and diesel from 7th April onwards, and the likelihood of a 6% tax on tyres at an as yet unknown date in the future, led us to wonder what the yield from the good old fiscal cash cow, the motor car, looks like after five years since we last visited the milking shed.

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he analytical exercise involve taking three different motorcars, a Toyota Yaris 1.0 5 door Sedan, (with a preVAT list price of R121 140), a BMW 120i (R250 000) and a BMW 530i (R504 824). Reference to the carbon dioxide emission tables on the www.naamsa.co.za website allows for calculations of the emissions tax of R525 for the Yaris, R4650 for the BMW 120i and R7800 for the BMW 530i. To the sum of the list price and the emissions tax must be added the initial VAT at the time of the purchase of the vehicle. A vehicle life of 12 years is assumed, with a sale back to the motor trade to a new owner at the beginning of year 5, and with that owner selling it privately to a third owner at the beginning of year 9. Further VAT is encountered at each of these two transactions. An annual distance of 25 000km is assumed for each of the first four years, reducing to 20 000 for each of the next four years, and reducing further to 16 000km for each of the final four years considered. Car magazine consumption rates were applied yielding annual fuel consumption levels for each of the 12 years. Fuel levies, excluding the 4cpl excise duty which is estimated separately, are set at R2.4265/litre, derived from central energy fund data. This includes premium payments to the road accident fund system. Maintenance rates per kilometre were obtained from the AA website tables, as were replacement tyre rates. Multiplying through by the annual kilometres assumed provides a Rand spend on maintenance and tyres, from which the VAT exposure and the new tyre tax can be imputed.

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A series of articles on the rise of the Chery automobile

Big 5 is the Chery on top
South Africa’s newest and most professional taxi service has taken to the road and they are ready to pick up anybody who wants to move to a different location. Just in time for the eagerly awaited event of the decade, the 2010 FIFA World Cup. No tourist, or local for that matter, will be left stranded at the side of the road as long as they are in the vicinity.
his transport company is called The Big 5 Cab SA and there is a very good reason for this. New York is probably best known for its yellow cabbies and people in London get around in their famous black taxis. Africa is most famous for its wildlife and more specifically the Big Five. “That is why we chose to name the company after them,” says Fred Zulu, Marketing Director of the Johannesburg operations. “When people arrive in South Africa asking for the Big Five, you can ask whether they mean the animals or the taxis? That is the kind of recognition we want to achieve with the name,” said Zulu. Big 5 Cab SA has a unique price structure with their 70% and 30% pricing, a most affordable pricing concept. To understand the structure take a look at their website www.thebig5cabsa.co.za. Big 5 are also special for another reason. They only make use of Chery products and the model they have chosen is the extremely comfortable J5. According to their website, they chose this vehicle for its quiet luxury and standard specification list. The J5 comes standard with a large, elegant interior, ample space and a large range of features dedicated to security and comfort. Zulu mentions that when they initially started the company, they went on a search for a vehicle to suit the needs of the company and the customers. They looked at the price of all the competitors and nobody even came close to the value they got from Chery.

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Big 5 pay particular attention to customer feedback so they can constantly improve on their vehicles. They are a bit like Chery in that way. They also listened to feedback while designing their fantastic new J1. South Africans can applaud the arrival of this company. We finally have a taxi service that can get you where you need to go without the stress usually associated with public transport. The fact that you can get there in the quiet understated elegance of the J5 is a bonus. What a wonderful combination; South African ingenuity combined with Chinese motoring excellence.

“We could not find this kind of space from any of the other vehicles we were considering.”
Safety was always going to be a big selling point to Big 5 and in this respect the J5 did not disappoint. It comes standard with a Delphi ABS system, airbags and a reverse warning system. Chery also tested their J5 to the brink of destruction and it passed all of the regular crash tests with flying colours. Even though the standard vehicle is already one of the safest around, Big 5 took it even further. They fitted a full satellite vehicle tracker and a two way radio to communicate with the driver. Each J5 also has a panic button if the worst should happen to customers. The safety and comfort of the fare paying customer is paramount for Big 5, so each and every driver is trained exceptionally well to suit the needs of customers.
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Frankly

Speaking

Show and Tell
A few issues back, I described 2009 as a watershed year for the global motor industry. Looking back, I have no reason to change my assessment. In fact, the “interesting” period has been extended into the opening months of 2010 by Toyota’s recall crisis, the on-again, off-again General Motors sale of Saab (finally sold to Dutch sports car manufacturer Spyker), and what appears to be the end of the road for Hummer. In the midst of all this, however, life has gone on, and it has been quite enervating to see how much new model activity has emerged at recent motor shows. In saying this, we should remember that new product introductions are not five-minute affairs, and if someone pressed the corporate button to start a new model launch back in 2008, it would take more than a global recession to stop it coming to market in 2010. Assuming that its manufacturer is still in business, of course!
by Frank Beeton o far this year, we have had motor shows in New Delhi, Detroit and Geneva. Some of the new products on show will play pivotal roles in securing the futures of their manufacturers. In some cases, sheer survival is the issue, while in others, a return to corporate profitability will hinge on the ability to wring every available sale out of recovering global markets. Questions are also sure to be asked about the level of electronic and technical wizardry being offered on the new models, and it will be interesting to see if the present spate of recalls (and these have not been limited to Toyota) have bred a new generation of more conservative buyers seeking out no-frills product. The following list of launch events is not exhaustive, but illustrates the recent level of activity. In spite of its recent setbacks, the Toyota family has proceeded with new model introductions. Much media interest has been directed towards the entry-level Lexus CT 200h compact hybrid hatchback launched in Geneva, which is aimed at lowering the average age profile of buyers choosing Toyota’s luxury brand. Geneva also saw a mildly refreshed version of the long-running Toyota RAV4 sports utility, while the Etios “concept” on show in New Delhi looked remarkably like a ready-for-production new Toyota small car for markets in India, Russia and Latin America.

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Volkswagen’s quest for global market leadership has translated into the introduction of several important models in 2010. The recently-launched new generation Polo picked up a GTI performance derivative at Geneva, while the second generation Touareg large SUV also made its debut in Switzerland. Plans for expanding VW’s North American influence manifested at the Detroit Show as a sleek hybrid coupe concept, which observers believe may develop into a Jetta-badged production model. Other “family” products to emerge include Audi’s RS 5 mid-size coupe, and the much-anticipated Audi A1 “premium compact”, both of which appeared in Geneva. Observers paid considerable attention to the Suzuki R3 multi-purpose concept on show in India, where Maruti Suzuki’s market dominance is expected to benefit the aspi-

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rations of its new corporate ally, Volkswagen. Fiat finds itself increasingly in the spotlight these days, as it holds the ultimate responsibility for Chrysler’s revival. Part of this challenge will be to educate US buyers to the virtues of smaller cars, and the reveal of its Twin-Air two-cylinder petrol engine technology in Geneva reinforces the group’s commitment to sub-1 litre engine displacements for models such as the 500, Panda and Punto. Evidence of Chrysler’s growing level of integration with the Fiat family emerged in Detroit, in the form of a Chrysler-badged Lancia Delta. Meanwhile, Chrysler’s erstwhile corporate partner Daimler set tongues wagging in Europe with its Mercedes-Benz F 800 Style concept, combining a new styling direction and multiple driver aids with a multi-drive platform suitable for electric traction enabled by fuel cells, or plug-in hybrid technology. The Hyundai/Kia empire weighed in with an all-new Kia Sportage SUV, using a common platform with Hyundai’s latest Tucson. Another Geneva debutant was Mitsubishi’s 5-seater ASX compact crossover, the European equivalent to the Japanese market’s RVR. At the same show, Nissan’s new entry-level SUV, the Juke, came out of its Box (!), and the company also launched its fourth-generation Micra city car, which is to be manufactured in Thailand, India, Mexico and China. Early 2010 market results indicate that Ford is re-emerging as an American favourite, but the company is still proceeding with plans to sell off Volvo, most probably to Geely, and scale down its long-standing technical co-operation with Mazda. Volvo’s allnew S60 “sedan with a coupe feel” launched at Geneva, therefore, will be important for the manufacturer’s future. Mazda has also been busy with the roll-out of an all-new Mazda5 MPV, and an updated Mazda6. Arch-rival General Motors promoted the Opel Insignia-based Buick Regal stateside, while, in Europe, Opel launched its second-generation Meriva MPV with rear-hinged back doors.

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2010

Industry

Update

KPMG’s Global Automotive Survey shows bright future By Gerhard Horn
In recent times the headlines of global and local newspapers have shown us that the automotive industry has shown some recovery. This is good news for everybody concerned; the manufacturers, aftermarket manufacturers and naturally the consumer.

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he KPMG survey is done annually. They are a global network of professional firms providing audit, tax and advisory services. Global automotive executives were asked questions on four basic fronts and the KPMG looked at the answers they gave. The different segments of the survey were; growth prospect, performance angle, product innovations and consumer change and investments in new markets. This exercise delivered some shocking statistics and opinions on the automotive segment. Firstly global automotive executives see a stabilised industry for 2010. While growth figures may not see an immense improvement on last year, it does show signs of recovery. According to Gavin Maile, KPMG’s industry leader in Africa, we can only expect to see the same figures we had in 2006, at the 2016 mark. Furthermore, the executives look forward to new investments in technology and growth over the next five years. Mergers and acquisitions are also claimed to be something to look forward too, but there are still some concerns over profitability. The main concern of the executives seems to be the overcapacity in certain countries. Countries like the USA, Western Europe and Japan should take a look at their demand and supply figures, because they are claimed to be a serious issue. South African automotive manufacturers initially thought that we would be immune to the recession. Unfortunately this proved not to be the case and we suffered even more than expected. The survey showed that the only country that had a worse dip in sales figures was Russia. On the consumer front the news was less shocking. In line with consumer

expectations the importance of hybrid fuel systems was rated at almost 85%. The main concern of the consumer is still fuel efficiency and this will play a big part in purchases in the next five years.

In conclusion there are many challenges facing the consumer and the automotive industry. The consumer still has problems with confidence that could only be improved by improvements in sustainable employment and disposable income. Unfortunately this is not a black and white situation. The affordability of vehicles is determined by various factors including inflationary pressures, rand depreciation and interest rates. Furthermore, the availability of credit needs to be improved before the consumer has the guts to spend money again. The automotive industry has enough tougher challenges to overcome. Firstly the global and local economy needs to grow and heal before anything can be done. Naturally this goes hand in hand with favourable exchange rates that have a massive influence on business. They also need the support of Government to build the necessary infrastructures like rail, road, ports and electricity supplies. As we know this is a huge problem in South Africa. Unfortunately legislation like the emission tax will also play a big part in the recovery period of the economy. We can only hope that things will eventually lead back to the wonderful year that was 2006. The KPMG seems to think that this will be the case. It will take a long time, but eventually the market will heal and the situation will look a lot less dire.

Transunion gives good news
By Gerhard Horn
As we know, the worst of the recession is finally over. The recent Transunion Trend Forum finally revealed this fact to the media at their annual event. Transunion Auto Information Solutions are a risk intelligence company that focuses their combined forces on the automotive industry.
ver the past 18 months, various dealerships had to endure excruciating hardships. Many dealerships had to close their doors, but the time for recovery is now. Leading the way to recovery will be the used car market, said to take off in 2010. Delivering the good news was Mike von Höne, CEO of Transunion. According to Von Höne, the “improved sales volumes in coming months would enable the battered dealership market to restore profitable growth and rebuild their balance sheets, providing dealers managed the anticipated uptick without incurring additional overheads.” This information can be taken in good faith since Von Höne used data on car markets drawn from Transunion’s database of information on almost 12 million vehicles. The database also consists of data from 53 financial providers and 35 000 dealerships networks. The database is also updated on a monthly basis to ensure that information is as up to date as possible. Thus, all information by Transunion can be taken in very good faith. The information released by Transunion was supported by data released by NAAMSA in the last few months. The first two months of 2010 saw vehicles sales rise by 18% when measured

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against the 2009 figures. This figure is representative of both the new and used market. “Transunion’s expectation is that this trend will continue based on the fact that although consumers are remaining cautious, the benefits of stabilised affordability are starting to be felt.” Consumers who endured the worst of the crisis will soon start to take advantage of lower interest rates. Customers have also paid off their existing debt during the crisis and this means that they will not start to grow at ease with spending again. Since people will initially be careful about spending money, they will rather buy a second-hand vehicle instead of a brand new one. This market is where the consumer will most likely find the best deals. During the recession the prices of new vehicles went up while the price of second-hand vehicles went down. This means that there is a “value gap” between the two. Understandably this made the second-hand vehicle the one to have. Unfortunately there is a shortage of good quality; low mileage used vehicles at the moment. According to Van Höne, the price difference between new and used vehicles would once again improve if there were to be an influx of high quality used cars.

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Tony’s

Take

Government Debt Prospects and Interest Rates
The fact that the South African Government was about to enter a period of deficit financing was known as far back as October 2008, when the fiscal year forecasts for the next three years were presented. In their early days, by Tony Twine, these projections looked very mild compared to the deficits being anticipatSenior Economist, ed in many developed economies around the world, but by the time of the Director – Econometrix (Pty) Budget of February 2009, followed by the Medium Term Budget Policy Ltd Statement of October that year, and then confirmed by the Budget of February 2010, the depth of the Government Debt problem has crystallised. We can look at times gone by to try to anticipate what this may do to money market interest rates, particularly to key lending rates for motor vehicle finance, such as the prime overdraft rate.

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he disconnection between government borrowing money to finance its expenditures and car buyers doing the same thing appears to come from the nomenclature used in money and capital markets. Accountants, marketers, economists, investors and savers tend to use the same words to describe different things. High street banks run “investment account” products which, according to economic theory, would better be called “savings accounts”. A government which borrows money to build a road is said to be making a capital investment, as is the company buying a truck to move goods along the road. But if government needs to borrow money to pay the salary of the traffic cop alongside the road, or the transporter has to use bank credit to pay for the fuel in the truck, the expenditure is not considered to be capital in nature, but both the expenditures on the capital equipment (roads and trucks) and consumables (salaries and

petrol) are being borrowed from sources which ultimately narrow down to other peoples savings, or financial institution’s capacity to create money out of thin air through the money or credit multiplier. At the end of the day, government is just another sector of the economy, alongside the business and household sectors. If either of the latter two sectors get into a position where they require to borrow to finance their expenditures, nobody raises an eyebrow when the resulting financial environment sees interest rates rising. The demand for credit has gone up, so the price of credit reacts by increasing. The application of the credit is immaterial, whether it be for the purchase of productive assets, or for further rounds of big parties. “Our public debt is expected to rise from 23 per cent of GDP in 2008/9 to about 40 per cent in 2013, and will only stabilise in 2015,” said Finance Minister Pravin

Gordhan at the presentation of the National Budget on 17 February 2010. The accompanying graph shows that the last time that the government debt to GDP ratio was at levels higher than 40% was back in the first three quarters of 2002, after which it declined to a level of just more than half of that ratio, touching 22.1% in the second quarter of 2008, and still hold 22.8% by the first quarter of 2009. The graph also shows the broadly positive and strong correlation between the ratio of government debt to GDP and the prime overdraft rate, a key lending rate in credit markets. While the two are certainly not perfectly correlated, there can be little doubt that, under post apartheid financial market circumstances, the government debt ratio and money market lending rates tend to move in positive harmony with each other. The only sensible conclusion appears to be that a greater appetite for debt by the government implies a renewal of the crowding out of private sector borrowing through higher prices of credit, which is, by definition, the interest rate. Less private credit creation, must mean less, not more, private car sales that would otherwise be possible. Perhaps not less sales than today, because the entire economy is growing, but less than might otherwise have been possible.

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Life

Goes

On

MBSA releases 2009 financial figures
ercedes-Benz made their figures for 2009 public at a recent event. While these figures are indeed shocking, they do show some good things to expect in 2010. At the moment, MBSA claim to lead the market rebound. In 2009 only 224 705 passenger vehicles were sold in South Africa. MBSA expects that 240 000 vehicles will find new homes in 2010. It is very much the same news on the commercial vehicle front. Only 18 000 vehicles were sold in 2009 and they are expecting sales of 20 000 in 2010. These figures are not a massive improvement, but they do show signs that the recession is finally lifting. During these tough times MBSA has actually improved their market share by 0.8%. They stood at 7.8% in 2008 and ended 2009 with an 8.6% market share. The entire revenue made by the South African affiliate in 2009 stands at R28 billion. “While we anticipated a decrease in the group’s annual consolidated turnover, we are extremely pleased at having gained market share in our business, said Dr. Hansgeorg Niefer, CEO of MBSA.” Mercedes-Benz South Africa gained nearly a percentage point in the premium car sector, while it increased its commercial vehicle market dominance by a further 1.8% to lead by an overall market share of 25.7% in the over 3.5

– by Gerhard Horn

As we already know, 2009 was a tough year for the automotive industry. Not a single manufacturer was spared during the recession and sales plummeted by almost 50% from 2006. This figure is astonishing, but at least the industry is showing signs of recovery.

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increased to 4.35%, but they hope to decrease this figure in the new financial year. MBSA have also started to play the insurance game and 2009 saw the successful implementation of the new ExecuProtect and Valueprotect programs. Dr. Niefer does not expect great things, but was instead realistically optimistic about 2010. “While it’s clear we can’t expect to improve to our previous peak within a year, as it took us many years to reach the highs of 2006 and 2007, we could possibly be right up there again in two to three years’ time,” said Niefer. He has instead chosen to focus on customer service and sales. With the competition being so tough between the various manufacturers, they each have to do something to grab the attention of potential customers. They also have exciting products in the pipeline which should further place the company in a favourable position. “So we are quite optimistic for 2010. But again, it’s hard work to convince current customers to buy another vehicle from our stable, as well as lure new customers currently driving competitors’ products. Painful as it may be at times, MBSA thoroughly enjoys the fierce competition in SA’s vehicle market; it keeps us on our toes.”

(quivckpic) Dr. Hans Georg Niefer tonne segments. This amount of revenue was well spent on the South African economy, with R650 million going to the taxman. Money was also spent on the harbour facilities, training of employees and of course employee wages. To show their commitment to corporate social investment, another R23 000 000 was spent. The company’s financial services also had a good year, even through the tough times. Mercedes’ Financial Services program financed one of every three passenger vehicles sold by them. They furthermore financed 40% of the commercial vehicles sales in 2009. Like the rest of the world their non-performance loans

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Commercial

Vehicle

News

Mercedes-Benz recently handed over its biggest present of its three year sponsorship of Bafana Bafana. Not only did SAFA (South African Football Association) announce the team, but afterwards they were treated to a brand new Multego luxury coach from Mercedes. MBSA really are driving the team.

Mercedes driving Bafana Bafana

(quickpic) his event was attended by Mr. Kirsten Nematandani, the president of SAFA and Mr. Leslie Sedibe, CEO of SAFA. They were joined by the charismatic CEO of MBSA, Dr. Hansgeorg Niefer. These three men were honoured to be the first to take their pictures with the bus, to show support for the national road show that started shortly afterwards. The bus was branded in such a way that South Africans could recognise their favourite team as they pass by. This, however, will change in the near future. The bus will depart soon on a tour across South Africa so that it may inspire the public to support the national team. Supporters will have the opportunity to have their photos taken. These accumulated photos will be made into a branding image that will be printed on the bus. This means that every soccer fan has a chance to be part of the Bafana team once the bus has been handed over on the 1st of May. “We at SAFA are proud to continue our mutually beneficial relationship with MBSA. With the support of committed partners like Mercedes-Benz, we know the national team is being given a
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fantastic platform to perform at their best during the FIFA World Cup™”, said Mr. Nematandani. The Multego is one of the safest buses on the road, so the team should arrive in one piece every time. The fans can also look forward to a personalized horn to announce the arrival of the team. The interior has been specially made to suit the needs of the team. It has 40 individual seats covered in high quality cream leather. It also has a U-shaped couch in the rear, along with a conference table to comfortably hold important strategy meetings. Further comfort features include individual lap-belts, DVD entertainment sections, air-conditioning and a host of fridges to keep the victory champagne cold. Dr. Niefer ended of by saying that they are 100% confident in South Africa hosting the world cup. “I am confident we will produce the best FIFA soccer event ever. Mercedes-Benz will support South Africa all the way to the kick-off and beyond.” With support like that, how can we possibly fail?

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weighty

issues

A Good Idea
The announcement, towards the end of February, that the Department of Trade and Industry would reveal a development action plan for the medium and heavy commercial vehicle sector early in 2011, as a component of its cleverly-named IPAP2 umbrella national programme, elicited some positive reaction. These vehicle classes were last regulated by the Local Content Programme that was axed in 1994, and have had little influence from the current Motor Industry Development Programme that runs until 2013. They have also been excluded from the Automotive Production and Development Programme, scheduled to take over from the MIDP, but it is completely appropriate that they should be subject to their own unique programme, given the fundamental differences in the way that light passenger and heavier commercial vehicles are put to use.
by Frank Beeton

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t the initial unveiling, no details of the MHCV plan were announced, with a period of studies and, presumably, consultation lying ahead before the action and business plan components are submitted for approval in the first quarter of 2011. The success of this plan will depend heavily on the formulation of logical, practical and workable proposals that must properly take into account South Africa’s extremely limited presence and leverage in the global commercial vehicle industry, and avoid any temptation to “re-invent the wheel”. The main purpose of this article is to suggest some broad directions that the plan might follow in order to maximize the benefit to the local economy. The best plan would be one that results in the employment a substantial number of people, and does not require excessive upfront investment. Our history is littered with flawed initiatives that set objectives too ambitious for a domestic market that accounts for only around half-a-percent of global sales, and, hopefully, the lessons learned from the era when the compulsory fitment of locally-manufactured Atlantis Diesel Engines and ASTAS transmissions gave South Africa the world’s most expensive trucks will be recognized by the industry and government representatives tasked to thrash out the details of this programme. The most appropriate modus operandi would retain the cost advantages of importing the more complicated bits from the most appropriate global sources, while encouraging the added-value activities that adapt these vehicles for local operation, to the productivity and profitability

benefits of their South African buyers. This is really where the MHCV and APDP programmes should diverge. Whereas the average passenger car leaves the showroom floor with most of the features desired by the private motorist, commercial vehicle applications can vary enormously from operator to operator, and this level of diversity is reflected in the equipment fitted to individual vehicles. While the APDP will encourage large-scale manufacture of essentially identical products, the MHCV plan should seek to create a highly flexible regime that can work efficiently with relatively small volumes of dissimilar vehicles. Assembly of heavier trucks and buses having their own self-supporting ladderframe chassis is very much a “Meccano kit” type of operation requiring basic tools and very little in the way of complicated equipment or fixtures. Preparing these units for the marketplace can also be a fairly straightforward exercise, with bodies being assembled on the chassis, and loading equipment being fitted directly to the chassis. The flexibility to meet diverse job descriptions can be provided by a wide variety of chassis specifications, including wheelbases. The elements of a successful MHCV programme could include some, or all, of the following elements: • Assembly of chassis/cab and bus chassis units from imported SKD or CKD kits. • Local erection of imported KD integral vans and buses. • Modification of standard imported units to meet local dimensional and specification preferences. • Fabrication and fitment of bodywork

(trucks, vans, buses, coaches, truck mixers, refuse compactors, tankers, bulk carriers). Manufacture/assembly and fitment of load handling equipment (e.g. hydraulic platforms, tailgate lifts, cranes, skips, roll-on units). Fitment and installation on locallyassembled chassis of more complex equipment imported from overseas (e.g. fire fighting, specialized refuse handling, drilling etc.) Finishing and decoration of complete units with special colours, decals, logos, etc. Vehicle movements from assembly plants to equipment suppliers and finally to the end user.

There is scope to provide these services either as a “value-add” activity in assembly plants, or by aftermarket service providers. Basic body fabrication requires little more than a large lean-to and some steel bending, cutting and welding equipment, and can be readily executed by relatively small SMME-type operations. However, readers with longer memories will recall the substantial businesses that were built up by the likes of Welfit Oddy and the Poole family in the days when the public sector purchased thousands of dropside, tipper and tanker vehicles every year. Bus body manufacture, pioneered by the likes of Busaf in the post WWII years, was also extremely prolific in South Africa prior to the eruption of minibus taxis in the nineteen-eighties. An effective MHCV programme should aim to re-establish some of these activities through an appropriate incentivisation environment.
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Spirit

of

Safety

Safe Driving Tips for the Easter Holidays
Work hard to anticipate trouble
• Keep at least a three-second safety cushion between you and the car in front of you. Plan your trip before you start out so you can concentrate on driving, not navigating. Avoid driving in heavily-travelled or high-speed areas during rush hour and bad weather. If possible, change your route to avoid making difficult left turns. If you are planning to take an unfamiliar route at night, try making a trial run during daylight Always be alert for the unexpected. • • • Don't drive when you are under stress. Ask passengers to help you navigate. Don't talk with them too much. Don't daydream – driving on autopilot.

Take extra steps to be a cautious driver
• Always communicate with other drivers what you intend to do. Use your indicators /turn signals. Position your car in the proper lane. When necessary, use your hooter to show your intentions. Check your mirrors frequently – every 5 – 8 seconds Use a wide, rear view mirror, and the mirrors on each side of your car, to help you see what's around your car. If you don't have a wide, rear view mirror, have one installed. Make it a habit to glance over your shoulder, and in your mirrors, before changing lanes. Don't assume that using your turn signal makes the move safe. Always look behind you before you put your car in reverse. Remember that up to 80% of rear end smashes in parking lots are as a result of reversing into an object

Make sure you can see clearly
• • Get annual eye checkups. Clean the inside and outside of your windscreen and windows. Clean the mirrors and headlights, too. Dirt can reduce headlight output by as much as 70 percent. Turn on your lights when driving, particularly in the rain or other poor weather conditions. Have the alignment of your car's headlights checked regularly, at least twice a year. Avoid, putting on heavily tinted laminates or buying cars with heavily-tinted windshields and windows. Don't wear tinted glasses or sunglasses when driving in low light. • • •

Focus on your driving so you have plenty of time to make decisions
• Drive with a large "anticipation zone." Look down the road far enough to get a big picture of what's ahead. Turn off your radio or keep it at a very low volume

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2010

33

Intelli-Driving

A woman’s perso
by Eugene Herbert

This story that I have had on file for a few months is really thought provoking...
told him his mother was not only ugly but also fat. At that point, I had a choice to make.....Because she was coming. I could feel her igniting in my chest, boiling up my throat, fuelled by the man in the beige car and his crazy eyes that, I could see in my rear-view mirror, were shooting voodoo rays at the back of my head. I could have wrestled her down. I could have taken a deep breath…or two…or 20…and tempered her fury, calmed her impulse to kill, eased her back down to wherever it is that she waits, like a Doberman, frothing. I could have pressed the pedal and driven off, telling myself that this was the sensible thing to do. Unfortunately for Mr. Crazy Eyes, I didn't think that was the sensible thing to do. Instead, I released her and all her venom, and she did exactly what she always does in situations like this: She slowed the minivan down to two miles an hour, forcing him to a crawl, and roared, out loud, something along the lines of "How do you like that?! Mwa-ha-ha-ha! Mwa-ha-ha-ha!!!"

here's a woman living inside me. And she's upset. Some people might call her a dog, this woman who threatens to erupt through my pores, fierce and flailing like Russell Crowe on a rampage in a New York hotel room, when the guy in front of me in line at the grocery store is paying with pennies that he's pulling out of his pocket one by one. Or when I happen to spot the 3-year-old at day care ripping Guess How Much I Love You out of my daughter's tiny, innocent hands. Or when my husband runs out to Home Depot for a light bulb and returns three hours later because he "took a quick spin through Best Buy." Or when, just last week, after waiting roughly 22 years at a stop sign, I finally caught a hole in the traffic, zipped out to make a left turn, and realised that a beige car--that had to be going at least 20 miles per hour over the speed limit--was bearing down fast on my rear bumper. The driver crushed on his brakes mere inches from my minivan, and then rammed his horn as if I'd just

T

34

APRIL

2010

Intelli-Driving

nal reflection
"Yes, honey, I know," I conceded to my husband later that night, after I regaled him with my road rage story of the day. "I know this behaviour is unhealthy. And nasty. And entirely dangerous for everyone involved. Yes, dear…sweetums…love of my loins…I'm well aware that people have been shot over forgetting turn signals and such things. I understand." But what he doesn't understand is this: There really is a pissed-off woman living inside me. Festering. Rumbling. Ravenous for something to catch me off guard so she can surface, claws out, to protect me. And if I didn't let her loose every now and then, the next time my husband lies down on the couch in front of Jeopardy! while I wash the dishes from the dinner I just cooked, I might have a harder time choosing to control her. I might actually encourage her to rise up and open a can of Linda Blair all over him. Or on the poor man in front of me in the grocery line. Or, God forbid, on the little 3-year-old at day care. My husband doesn't understand how good my road rage is for him and for our marriage and for mankind at large, how letting out my demons while insulated in a locked metal box that's not only soundproof but also able to spirit me away so I never again have to see the person I just flipped off six times actually keeps me sane. Actually pacifies my inner bitch. Actually leaves my rage out there, somewhere, on the road.

APRIL

2010

35

Tyres
A
few days after writing that column, Marcus Haw was travelling towards Ermelo in his lovable old donkey, not being capable of much more than 120km/h, when he was passed by a Mercedes Vito with a trailer carrying two off-road motor bikes. The wheels and tyres immediately caught his eye and seconds later rounding a bend he saw a huge cloud of dust. There lying in the veld among a lot of expensive debris was the Vito. Being first on the scene Marcus stopped and helped the very dusty and shocked young guys out of the wreck. The EMS later confirmed that they were luckily unhurt except for a small piece of glass in the one guy’s eye and the other one had a broken thumb.

and Their Contribution to Safety in Motoring www.bridgestone.co.za
Marcus Haw

This follows on last month’s mention of inappropriate tyres being fitted to various vehicles – and the few suspect dealers who will fit anything anywhere as long as they make a rand or two.
they can almost be universally fitted. Number three was the most frightening of all; since even the multi fitment mag wheel couldn’t fit the Vito this owner had his mate make him a set of adaptor plates cum spacers which facilitated the fitment of the wheels and allowed them to stand out further. Now firstly, the tyres were not load capable for what he was carrying, especially at the speed he was doing. Secondly the noname rims were under-specced for the vehicle alone and lastly his engineering challenged mate had made the spacers from scrap mild steel. The cause of the accident was the spacer on the left rear wheel which had disintegrated.

ignore the peripheral products closely linked to tyres, such as rims. Rims too have designed specifications which have to be compatible with the vehicle they are being fitted to. A quality rim will have all the specs printed on it so there is no excuse for fitting substandard rims, or for some over zealous and crooked salesman to sell them. This particular case is the worst case of ignorance and stupidity, but to a lesser degree the same kind of practices are taking place every day. Now to get everything into perspective At Bridgestone, we do not say that you shouldn’t accessorise your vehicle by fitting fancy wheels. In fact we understand that in the current economic times, cars are being kept longer and the need for upgrading will be higher than ever. But the buyer needs to know that he doesn’t know enough to just choose any wheel for his vehicle. He needs help so that his purchase, which is a substantial one, doesn’t place him at risk. He needs to know that his wheels and tyres have a capacity, limited in both speed and load, and cannot just take whatever he and his vehicle throw at them. He also needs to understand that the wise fitment should change the original designed steering and suspension geometry as little as possible. Changes to the track width, scrub radius and other factors can make the car handle worse than before, and not better. Stresses and strains on critical components can lead to breakages, and increased tyre wear and stress. The bottom line is that when you plan to upgrade or enhance your vehicle in any way, research, thought and understanding are paramount. Safety must always be your fist priority.

This near tragedy is exactly why we at Bridgestone need to carry on the fight to educate the public. The owner of that Vito had done so many stupid things in the quest to have the best looking van that he had ended up with the most dangerous one! Number one was the tyres; 18” 35 profile ultra high performance tyres of an unknown make. Number two were the wheels. Also of an unknown make, they were of the type which has various studholes at different pitch diameters so that

Had it not, one of the other problems would have caused an accident sooner than later. After chatting with the driver for a while he agreed that the story should be told to save other people from being so “ignorant” and that we were welcome to publically call his and his mates intelligence into serious question. This is precisely why Bridgestone have taken on this huge challenge. And while we are tyre manufacturers, we cannot

36

APRIL

2010

What’s

the

Buzz?

AUTOMOTIVE MANUFACTURERS FORCED TO INNOVATE
Automotive component manufacturers in the Eastern Cape are being forced to innovate in order to remain competitive or to simply survive according to the Automotive Industry Development Centre (AIDC). AIDC Eastern Cape Supplier Development manager Lance Schultz said local component manufacturers were still reeling from the global economic crisis. “The crisis has severely impacted the automotive industry worldwide. It has also forced the industry here to re-examine its operations carefully and to a degree re-invent the way it does business in order to create the lowest possible cost structure for its products. It is clearly not a case of business as usual.” Several component makers closed doors in 2009, including Kolbenco, South Africa's only automotive piston manufacturer, which eliminated the country's ability to manufacture this product. Among other closures were RAH Auto, Powdermet, Vinyde, Eaton Aero Quip and Bloxwich. Listed company, Metair closed its plastics business in the Eastern Cape at the end of 2009. Schultz said the AIDC had intensified efforts to assist individual companies make substantial cost gains to stay afloat and to position themselves for growth.

MONITOR TYRES WITH TREAD WEAR INDICATOR
Tread depth meters are no longer necessary to monitor the condition of modern tyres. This is the view of Mandy Lovell, Bridgestone South Africa’s Public Relations Manager “In past years, people used a tread depth meter or other ways to determine whether their tyres were still legal,” she explained. “Some of these other methods included the head of a match or even coins, however, modern tyres have a built-in wear monitoring system called the Tread Wear Indicator.” The Tread Wear Indicator (TWI) is a raised section moulded into the grooves of a tyre. There may be several TWIs around the tyre’s circumference and they can be located by finding a small triangle marked TWI on the shoulder of the tyre. The triangle points towards the TWI. The TWI is approximately 1.6mm high and when the tyre has worn down to the point where the tread blocks are level with the raised TWI, it should be replaced.

APRIL

2010

Burford

on

Brands

If you were a follower of formula one in the 1960s, 1970s and 1980s, you’ll remember the heydays of Lotus, a chassis-builder that was very much part of the A-team from the early 1960s onwards, winning their by Adrian Burford first F1 championships in 1963 and then again in 1965 with the inimitable Jim Clark. Two years later along came the seminal Lotus 49, a car which revolutionised the sport thanks to the combination of the Cosworth DFV V8 and Colin Chapman’s chassis which used the engine as a stressed member. It won first time out at Zandvoort, Clark crossing the line first after his team-mate Graham Hill had started from pole position.
hapman had something of an obsession with weight and from the very beginning his approach to car design was minimalistic – if it could be made lighter it would be. This was reflected in small, agile road cars that benefited from low mass and clever suspension design and race cars that were sometimes considered fragile and unreliable. But Chapman’s cars were also fast, helping the likes of Clark, Jochen Rindt, Emerson Fittipaldi and Mario Andretti to world championships – seven in total. Rindt, Clark and also Ronnie Peterson all lost their lives in Lotus race cars. Chapman was a great innovator and tried anything that would give him an edge. This included four-wheel-drive, turbine power, the wing car, and the ever-more controversial double-chassis Lotus 88. He died of a heart attack in 1982 aged just 54, 30 years after he has founded Lotus Engineering Limited. Despite drivers of the calibre of Nelson Piquet, Ayrton Senna and Mika Hakkinen, Lotus as an F1 force was on a downward slide from the late 1980s and never really recovered. By 1995 it was effectively dead. That’s what makes the arrival of Lotus back on the formula scene after a hiatus of 15years so interesting, even if the team is now owned by a Malaysian businessman, Tony Fernandes. He’s adamant that the team will return to its glory days and while the odds might be stacked against him, drivers of the caliber of Jarno Trulli and Heikki Kovalainen they just may be able to pull off the odd upset. Only time will tell. In some ways, the absence from the racetrack has been good for the road cars, and from the mid-1980s (when General Motors bought Lotus) the road car business was in decline too. Product was lagging behind the supercars of the age, the Esprit ultimately lacking the performance or presence of the likes of the latest Ferraris and Lamborghinis. At the end of the 1980s, Lotus started going back to its roots, introducing the second generation Elan. Sure, it was front-wheel-drive (and probably the best-handling FWD chassis of the time) but it marked a return to truly compact sports cars with a good power to weight ratio and a real seat of the pants feel. It went out of production on 1992 but reappeared briefly as the Kia Elan, a few of which found their way to South Africa.

Flower Power

C

In 1993 GM flogged Lotus for a paltry £30-million (R345-million) to a company controlled by Italian businessman Romano Artioli, who sold a controlling interest to Malaysia’s governmentbacked Proton in 1996. Since then there’s been a steady stream of brilliance from Lotus Cars (a separate division, Lotus Engineering, acts as a consultancy business to other car companies) starting with the original Elise which despite just 90-odd kW from its 1,8-litre Rover engine could hit 100 in less than six seconds thanks to a mass of only 750 kilos. Interestingly, the car was named after Artioli’s granddaughter. The Exige – the hardtop version – was introduced in 2000 and continued in the same vein. In the last decade there have been a bewildering number of derivatives like the 111S, 135R and 240R, the common thread being agility, speed and the kind of driving thrills which put the brand on the map over half a century ago. Practicality, as always, wasn’t high on the list of design priorities. The Europa has addressed some of those issues, but the 2Eleven was radical in the extreme, conceived as a car for serious track day junkies. But the latest and most significant new car from Lotus is the Evora, introduced locally last month and also shown at March’s Geneva Show in hybrid form. It represents the next step for the brand, moving a little closer to the mainstream in terms of practicality and luxury. With a mid-mounted 3,5-litre V6 with 206 kW and 342 in a car weighing 1 350 kilos it promises to be brisk indeed, but with appeal for those who have moved beyond some of the more extreme Lotus offerings of recent years.

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2010

Customer

C.A.R.E.

CRM – an important measure for the future of your business!
Theo Calitz has been working in or involved in the motor industry for the last 16 years. A Mechanical Engineer by profession, he is passionate about customer care and his company, T-R-M specialises in automotive CRM for the automotive industry and has been doing it for nine years.

It always fascinates me how business people and especially financially minded business people are always interested in the accounts of companies. Personally I do not find them that interesting. They seldom tell me something that I do not already know (about my company) because they reflect something that has happened already! They provide what is called lagging indicators. Something that I value much more are leading indicators, something that gives me an idea of what is to come.

I

t reminds me of the field of preventative maintenance or rather predictative maintenance. This type of maintenance also tries to prevent failure of components or machinery like any maintenance but by accurately predicting when something is going to fail and so prevent unnecessary (and many time costly) downtime on production in order to do (maybe unnecessary) maintenance work. The principle is clear but the trick is to find the ways to measure imminent failure. Ways have been found and are still being found to achieve this, examples being noise and vibration measurement of bearings, infrared viewing of electrical components, oil analysis of machinery, etc. The good old visual inspection also plays an important role here. In business we would also like to do ‘preventative maintenance’ and prevent those shocks and surprises that we do not like. The good news is that there are measurements which act as ‘leading indicators’ which can help us predict future happenings. One valuable such indicator is the simple CSI measurement. Simply ask your customer from time to time to rate you and see what they have to say. Do not make it a long tiring exercise, a short list of items with a space to write comments would suffice. If the measurement indicates that your customer is not totally happy (eminent failure), follow through with a personal visit (corrective maintenance) and try to find ways to turn the potential situation around. Do not outsource or delegate this vital process – get personally involved. In the same vein one can do a survey amongst your staff or potential customers to get an idea of what the feeling or perceptions are. These are valuable indicators of future hapenings!

www.t-r-m.co.za T 0861 TRM TRM F 086 686 8382

42

APRIL

2010

Wilde

Things

Tyre Deniers
It became clear to me whilst taking in the pearls of wisdom freely available at the Tyrexpo Africa ’10 Conference, that our government is taking a predictable course in the hoovering up of bags of money, whilst also taking a by Fingal Wilde leaf out of our dear leader’s book of joy and pleasure, and lustfully partaking in the orgiastic pastime of tyre denial. Apart from the ecstasy to be had in the locating and reducing, reusing, recycling, recovering, and other euphemistic expressions, of all these smelly black holes also known as tyres, there is some serious money to be made, merely by passing some obfuscating legislation.

I

n his editorial in the previous issue of ABR, our esteemed editor wrote about the profligate ways of our government, and the propensity of the fiscus to pluck the feathers of the long suffering goose, also known as the taxpayer, to pay for this profligacy. Not that our men from the ministry of finance are single minded and one dimensional; they can also be social engineers when the need arises, and are not averse to putting a hobnailed boot into the ribcage of the supine and defeathered cash machine with a gusto not seen since the Blackshirts. In his budget speech in February 2010, Pravin Gordhan unveiled the worst kept secret of the budget, slapping an emissions tax on the new car buyer, and by default the automotive industry, to show the government’s commitment to the environment. Never mind that the cash strapped buyer of a modest 1400cc sedan is not an owner of a pig iron smelter nor a robber baron

posing as a power station utility. All this poor sucker wants to do is to get to work as economically as possible. Emissions as low as 140 gm of CO2 need to be caught in the financial net, all the better to grab some more money. I quote from the Phoenix, “We’ve been sandbagged with an emissions tax, which whilst justified on the noble altar of cleaner air, is in reality a naked grab of our money”. Quite shocking, as Jacob Maroga would say. But let’s leave that hard working and forward planning ex-Eskom genius to his thrifty lifestyle, and focus on the new environmental cash crusade of the fiscus. My gander has been elevated (we can’t get away from the geese thing, can we) by the news from Dr. Etienne Human, in his capacity as the lead consultant of South Africa’s National Waste Tyre Project, that the government, in their wisdom (and it appears with the willing participation of the tyre industry) is busy passing legislation to add

further punishment to the prostate motorist, by levying a “green” fee on each tyre purchased, ostensibly to pay for a grandiose scheme to dispose of waste tyres. Wow, our government is serious about the environment! What noble fellows. But hang on; they are not parting with one cent to finance this scheme. It will all come from the poor sod who wants to shod his car. And here comes the kicker – Vat of 14% will be added to this levy, the proceeds of which will go to, guess where? Not for environmental initiatives. No siree bob, it will be used for far more glorious purposes, such as R1,2 million ministerial vehicles, presidential blue-light bully boys, Limpopo freeways and bridges expertly built by the Romans, namely that Caesar fellow, Julius, and the like. Is it time for the South African equivalent of the Boston Tea Party – the Ventersdorp Moerby Vastrap?

And talking of tyres, a quick follow up on last month’s pothole story:
The same pothole has been sitting patiently a mere 30 metres from the entrance to Megawatt Park, Sunninghill, waiting to chew up more and more tyres while the JRA sits on their collective large derrieres 18th February ... 24th February ... 8th March ......

And aha – the power of ABR. Sometime between 8th March and 15th March, this is what happened – days after the publication of ABR’s March edition. Thanks to Kentucky Fried Chicken – now all I have to do is to send you pics of the other 142 611 potholes in Johannesburg.

And less than 50 metres from this long running disaster, this is what one sees – absolutely unbelievable!

APRIL

2010

43

Customer C.A.R.E. Programme
– sponsored by Federal-Mogul

MODULE TEN - THE GLORIFYING OF THE CUSTOMER
In modules eight and nine, we discussed the DI PHENOMENON, and how the media managed to create an icon that most probably will last for centuries. We also discussed how we could take the positives from this disturbing fairy tale, and make our customer KING, but not DICTATOR. This has brought us back to STEP # TWO. To revise, STEP # ONE was the public admission by the chief executive that the organisation had not shown the necessary appreciation of the customer, and this was shown by the redemptive act of laying a wreath at the tomb of the unknown customer. This was followed by similar expressions of shame and grief, enacted by every single member of that organisation. This was a symbolic, but important step. The next step has more substance, but it is still primarily an in-house public relations exercise:

STEP # TWO
We now initiate the process aptly known as the DI PHENOMENON. We start to brainwash the employees, relentlessly bombarding them with positive images of the customer. This is not a short term project, not a medium term project, not even a long term project. This is a PERMANENT project. Day in, day out; month after month; year after year; decade into decade; generation after generation; centuries hence, into infinity, as long as your organisation exists, the CUSTOMER must be relentlessly presented in a POSITIVE form; daily, hourly, every minute, every second, every breath that you take. It is vital that boredom be avoided, thus new ways have to be found, continuously, to present this image in an imaginative and fresh way. This brainwashing bombardment must go on and on, until the sub-conscious and the conscious meld into one. Every single employee must be subjected to this propagandistic orgy, from managing director to receptionist, factory sweeper to works manager, computer operator to systems engineer, chief accountant to cashier. No one is exempt, particularly management. If you want the sure-fire way to derail this process, exclude management. And they will be pretty keen to be excluded, for of course they do not need to be told how

important the customer is, and they are so terribly busy. Don’t you believe it; when it comes to ignoring the importance of the customer, management is in a class of its own. Preferring to hide behind that fabled workload, or being busy doing that “management” thing. I have only four words of advice - “Don’t fall for it!”

THE MODUS OPERANDI
The question is, “How do we go about it?” Everyone must be roped into the selling of the customer. To begin with, immediately after the wreath laying ceremony, the Chief Executive must make a conscious effort of mentioning the customer at every opportunity, and with every internal memo and communication. Customer C.A.R.E. indices, and other relevant information, must be introduced into key management reports, operating meetings and even board meetings. At every stage of the operational and functional levels, the impact on the customer must be discussed. That is why your organisation exists - to satisfy the customer, who pays for your existence. You see, C.A.R.E. really means CUSTOMERS ARE REALLY EVERYTHING. The Marketing Division must be responsible for the promotion of the customer in-house. Let them unleash their creative juices on the employees. If you do not have a marketing division, then choose a customer care champion, of

which you hopefully have many, to head up the project. Better still, rotate this responsibility. This champion must be empowered with the necessary time and authority, to enable them to make things happen, and to ride roughshod over the doubting Thomas’s, of which initially, unfortunately, there will also be many. This is phase one of the glorifying of the customer; and this phase has to become part of the furniture, through phase two and beyond. However, this furniture must be constantly upholstered. Phase Two will be our next discussion.

DISCUSSION POINTS
1. C.S.I. = Customer Satisfaction Index. This measurement is used universally. Think of other ways that you can measure customer c.a.r.e. 2. What does C.A.R.E. mean? Just checking. 3. Everyone has hidden genius. Now is the time to let in some light. I want one BRILLIANT idea for promoting CUSTOMER C.A.R.E. in-house. 4. What has the bell curve got to do with doubting Thomases?

44

APRIL

2010

What’s

the

Buzz?

New exhibitors LARGEST FORD PARADE add breadth and range to Brityrex’s aftermarket appeal
Exhibitors from across the aftermarket continue to sign-up for October’s Brityrex International exhibition, with both familiar names and new brands seeking to capitalise on sales opportunities from a post-recession tyre and equipment marketplace. Among the latest names to be confirmed by show organiser ECI International are battery specialist Manbat, Chinese tyre maker Guizhou Tyre Co and a strong hand of garage equipment suppliers in Snap-On Equipment, DQN and JHM Butt & Co. Welcoming the latest exhibitors to the UK tyre trade’s only dedicated tyre and equipment exhibition, Paul Farrant, managing director of ECI International says: “The breadth, range and diversity of exhibitors at this year’s show means that visitors will be able to meet potential new suppliers across almost every area of their business, from tyres and retreading to IT, recycling, tools, equipment and consumables. There is no other industry event which can offer so much in return for spending a few hours in the tradeonly environment of Brityrex.” The exhibition will take place on 5, 6 and 7 October at Manchester Central, formerly known as G-Mex. For more details visit www.eci-international.com

FORD SETS GUINNESS WORLD RECORD FOR THE
Ford re-wrote the record books on Saturday, 27 February 2010 by gathering South African Ford enthusiasts from around the country together for the largest recorded Ford parade in history. The event, which took place at Phakisa Freeway in the Free State, saw 586 Fords come together to participate in a spectacular parade lap for entry into the Guinness Book of World Records. Ford owners from around the country were invited to bring their vehicles to the Welkom-based race circuit to complete the 3.2km route in celebration of the Blue Oval and its illustrious history. “It was a fantastic day, the turnout was phenomenal and we’ve been overwhelmed by the loyalty and enthusiasm of all the die-hard Ford fans who joined us,” Ford marketing manager, Ben Pillay said after the record attempt. The final tally exceeded the previous record by more than four times.

Enforcement as a key driver in changing motorist attitudes
South African roads are fast acquiring a reputation as being some of the most dangerous in the world. This is partly due to road conditions and vehicle roadworthiness but more so because of road user attitude. The Automobile Association (AA) has noted that the increasing number of crashes on our roads are because of a combination of poor law enforcement, blatant disregard for the law by drivers and the shockingly inept systems that are currently in place when it comes to prosecuting road offenders. The equivalent of at least ten schools’ learners are killed every year on South African roads. “A perfect example of this is the taxi industry. How does a newly licensed driver respect fellow road users when examples of reckless or inappropriate behaviour when driving are all around them,” says Gary Ronald, AA Head of Public Affairs. “It is still considered “cool” in many conversations when a person mentions how they effortlessly managed to drive home after one too many at the bar; how they managed to sweet-talk themselves out of jail by greasing a few palms; how they skipped a red traffic light and lived to tell the tale – the list goes on. Our country’s enforcement leaves much to be desired, and it’s becoming apparent that it will take more than speed cameras and random road blocks to curb reckless on-the-road behaviour.” The AA urges all road users to be cognisant of the rules of the road and be polite to fellow road users. Ronald says, “Being reckless endangers not only you but the lives of innocent road users.”

JÄGERMEISTER ‘UNLEASHES THE BEAST’ AT SA MUSIC FESTIVALS THIS YEAR
This year, Jägermeister will unleash its brand new creation, the Jäger Truck; on unsuspecting music festival goers up and down the country. A monolithic metal beast, this ex-army truck has been radically transformed by Jägermeister into a strident-orange mobile music arena that boasts a 5,000-watt sound system, live band stage, futuristic DJ booth and three plasma screens, blasting out non-stop beats to get your festival flying. Rock-up to the Jäger Truck and catch an intimate live show by a Jäger-music band, a blazing new talent like Die Antwoord, or a festival headliner that you’d otherwise never get the chance to see at such close quarters. Add to this, gorgeous Jägerettes selling ice-cold Jägermeister shots and you’ve got a pass to the most surreal happening anywhere in the South Africa this year. Put it in your festival diary now to experience it for yourself. Access will be to over 18s only, and Jägermeister will be available for sale. Visit www.jagermusic.co.za for a full list of appearances.

Speed

Freaks

South African statistics show that six times as many speed fines are issued per year now as in 1998. One would expect that this would have made the roads safer. Actually, fatality risk on our roads has doubled since 1998. Relying on speed control for safer roads is a failed experiment which must be abandoned in favour in increased prosecution of moving violations. The extent to which other offences have been ignored in favour of lucrative speeding prosecutions is proven by statistics released by the RTMC: for every hundred thousand speeding fines issued in Johannesburg, only 240 fines are issued for disobeying the rules of the road. 98.94% of all fines issued in Johannesburg are for speeding.

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APRIL

2010

Product

News

SKF’s V-belt and Multi-V belt range to complete its auxiliary drive offer
When the auxiliary belt needs replacement, it often implies that the belt tensioner or idler pulley are worn. SKF strongly recommends to replace the whole system, i.e the belt as well as the tensioner or idler pulley and offers the most complete auxiliary kit range of the market. However, one engine can have several auxiliary drives depending on the customer specification. Too many kits would be required to cover all applications as we could have a different belt with the same BTU. Not turning away from the kit concept but strongly aiming at providing its customers with a flexible solution, SKF decided to launch an extended range of auxiliary belts in addition to the complete auxiliary kits. No compromise: the SKF Multi-V belts have the exact OE length. OE length is a main issue: there is big potential risk related to the belts length like bad tension, noise, vibration. All mechanics know it: they look for the exact OE length to avoid future problems. The right components for every specific repair The SKF auxiliary drive offer includes 170 complete kits covering a large part of the car parc as well as an auxiliary belt offer which, combined with the tensioner units and idler pulleys, allows for a quick and reliable selection of the right components for every specific repair.

For more information, see SKF’s Vehicle Service Market website: www.skf.vsm.com.

APRIL

2010

47

Diamond Editorial Partnership
Giel Steyn

Dialogues

In this series of articles ABR discusses with Giel Steyn of Grandmark International the four significant factors that should be taken into account when purchasing automotive parts - Technology, Quality, Safety and Value for Money. These four characteristics are inter-related, and each cannot stand on their own, and together they become a motorist's best friend. Similarly, diamonds are also judged on four characteristics, known as the “four c's” - carat, clarity, colour and cut; and of course, diamonds are a girl's best friend. Grandmark International, as a distributor of automotive parts, is keenly aware of the need to source only the best in Technology, Quality, Safety and Value for Money, and therefore it is appropriate that this series of articles is titled Diamond Dialogues.

– Another Perspective
In the March 2010 issue of ABR, we discussed the crazy situation whereby a perfectly sound vehicle, needing relatively modest repairs, can be written off by the insurance industry, merely because of the insistence from misinformed consumers that only “genuine” parts will suffice. This situation leads to higher inflation, increased insurance premiums, and a negative effect on general affordability. In this issue, we repeat this exercise with another perspective – the inflating of used car prices through customer ignorance around quality standards and quality marks.
he story that we are about to relate is instructive. Before we tell this story, let us partake in a brief history lesson, namely the development of glass manufacture through the ages. The default position, as taught to students by the colonialist inspired history curricula, has always been that the first glass manufacturers were the Phoenicians, closely followed by the Egyptians, and some dabbling in Mesopotamia, all around the second century BC. Proudly, it was taught that it was the Western travellers to China, utilising the Old Silk Road, who brought glass manufacture to the Chinese. Nice try, but no cigar. New research has come to light, which traces the development of glass manufacture in China, from the second century BC to today, with each successive stage taking this manufacture to new technological heights. For all we know, we will learn in the future that it goes back even further, but current thinking is that glass manufacture started during the Shang Dynasty (1766 to 1027BC), to the pre-Qin Dynasty (500 to 400BC), the warring dynasties to the Han Dynasty (400BC to 220AD), the six dynasties to the Northern Song Dynasty (220 to 1279AD), and finally to the modern period through the Yuan, Ming and Qing Dynasties from 1279 to 1900AD, with each distinct period adding to a rich tapestry of glass making. This is a seamless history, as opposed to the collapse of glass making in Europe in the fifth cen-

Consumer Protection

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Grandmark glass has all the necessary quality and safety accreditations tury AD, primarily because of the disintegration of the Roman Empire. Glass making and the development thereof effectively stopped in the western hemisphere, and was only kept alive by the Islamist Empire in the Middle East, and it only surfaced again in Europe during the Middle Ages. Makes one think, and makes one realise the appalling and overreaching arrogance behind the belief that only Westerners can make decent glass. This brings us to automotive glass, and the story that we promised. It revolves around the replacement of windscreens and side glass on vehicles. Once again, it is the consumer who appears to be the main culprit. It may be anecdotal, but one hears time and time again that the consumer and/or used car dealers are fitting the most expensive glass when dolly-

ing up their cars for resale, purely because the consumer complains that the car has an inferior windscreen, as they have been told that it is of Chinese manufacture and told repeatedly that thus it must be inferior. Take Grandmark glass for example. The Chinese manufacturer of this glass has the SABS mark, plus all the other approvals required by the western world. Their manufacturer actually supplies 10% of America’s automotive aftermarket needs, and no one needs to be reminded that America is the most litigious nation on earth, where automotive safety standards are rigidly applied, for fear of the ambulance chasers. Another reason why windscreen quality is of paramount performance is that the design of the modern motor vehicle has the windscreen as an integral part of the structure, and thus if not of the highest standard, the structure could be compromised, leading to significant safety implications if the vehicle is in an accident. Grandmark International is fully aware of the issues, and thus complies fully with safety regulations. Grandmark International also welcomes the pending introduction of the Consumer Protection Act, as it is already ahead of the game. The CPA will force everyone to supply good quality product to the South African automotive aftermarket, which will bring our country closer to the requirements of the developed world.
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AIDC

Quiz

by Roger McCleery

Roger McCleery asks the questions
See how many of these 20 Questions you can answer.
1. Who is the 2009 Bridgestone SAGMJ Motor Sportsman of the Year? 2. What winning British (Indian) motor car is returning to race at Le Mans this year? 3. What is the new name of Nissan Diesel? 4. Who makes the QQ3. 5. What parts do Ferodo make? 6. Who makes the Everest SUV Vehicle? 7. What South African manufacturer is going record-breaking in April? 8. Where did Ayrton Senna win his first Grand Prix? 9. What was the VW Beetle amphibian called during World War II? 10. What tractor manufacturer makes sports cars? 11. Who owns the Franschhoek motor museum? 12. What South African woman helped design the new Volkswagen Polo? 13. Who is the reigning South African Rally Champion? 14. Who won the inaugural FIA Formula 1 World Championship Grand Prix at Silverstone in 1950? 15. What cars does Peter Bailey of Johannesburg manufacture? 16. How long does a Formula 1 GP last? 17. What is the name of the motor racing circuit in Meyerton? 18. How old is Alfa Romeo this year? 19. Who is the most successful racing motorcyclist in history? 20. What is Eau Rouge?

Answers on page 78
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FAS at your Service
Ferndale Auto Service cc has been serving the Randburg community from the same site for 35 years. 448 Vale Avenue, Ferndale, Johannesburg is something of a geographical icon to the locals, as it stands for stability, consistency, reliability, trustworthiness and all the good things that go with long term relationships.

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rom its establishment in 1975 to November 2009, FAS had only one owner, Ike Eichweber, who over the years had assiduously built up a dedicated team in both workshop and administrative personnel. Ike had the wisdom to appoint Islyn Knipe in 1980 as a receptionist, who learnt the ropes over the years, eventually becoming Ike’s right hand woman and who was virtually running the business these past few years. When Ike decided to sell FAS in 2009, it was Islyn’s knowledge of the business from back to front that prompted him to give her the first option to purchase, and with financial assistance from her long time friend, Barbara Niehaus, Islyn took the plunge. The well respected workshop foreman Warren Diack, together with the other team members, remained in place, so it was business as usual. Islyn says that “Ike taught me everything I know, so the transition was smooth, and the past few months have gone extremely well. Our customers, many of whom I have known for 30 years on a one on one basis, congratulated me immediately they got the news, and this gave me a very good feeling.”

Ferndale Auto Service’s e-CAR membership also gives Islyn a good feeling. She notes that ever since FAS joined e-CAR a few years ago, the already established business benefited significantly from the move. Membership of e-CAR gives a sense of belonging and extra credibility, and even more importantly, it gives the assurance to customers that high standards are being maintained, and it gives the additional confidence that their vehicles are in good hands. Islyn also lauds e-CAR’s advertising strategy and its presence on the web, which is reaping benefits for its members, who individually do not have the wherewithal to advertise nationally. She particularly likes the fact that e-CAR has ads in women magazines such as Huisgenoot and You. There are many single mothers, single women and career orientated women who cherish their independence and who are looking for professional workshops, and e-CAR fulfils this need. Islyn has also noticed that she is getting more business from people who are going onto the e-CAR website. FAS is now getting at least one enquiry per day from this avenue, and Islyn attributes this to motorists becoming savvier and who are browsing the web in search of a good workshop.

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Top

Class

Topics
Remember that frightening experiment carried out by that even more frightening science teacher at school? He did that dramatic flame thing, by heating sodium chlorate and releasing oxygen. Well, for those of you who did not know, that is exactly how nitrous oxide works.

TopClass MD, Richard Pinard

Horsepower in a Bottle

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eat nitrous oxide to 296º Celsius and it splits into nitrogen and oxygen. Pump nitrous oxide into an engine intake system, and that oxygen release gives you an instant boost in power. Nitrous oxide is also known as laughing gas, and used as an anaesthetic by dentists, but when nitrous oxide is used by racing enthusiasts, street racers, or even off-road buffs with a zest for more oomph, they also tend to laugh – at their rivals! But that’s not all the good news – nitrous oxide also has a cooling effect on the intake air, increasing its density, which means more oxygen, so over and above the nitro boost, you can also expect an incremental six to seven percent kW gain from the cooling effect; similar to what an intercooler does. The conclusion? For those wanting more power, it is a no brainer. NOS® is the acronym for Nitrous Oxide Systems, the pioneer of this technique, which now forms part of the Permatex® stable of maintenance and performance additives. NOS® Automotive Chemicals employ proprietary chemistries to enhance performance and engine life, through boosting octane, cleaning components and optimising engine efficiency. It is this commitment to quality, proven effectiveness, and performance history that has made NOS a name that is synonymous with performance.

NOS® Max Street™ Octane Booster
NOS maximum performance for the street was developed to increase octane effect up to 30 points or three octane numbers. Blended with the strongest MMT concentration allowed by law for street use, it also contains the unique performance enhancing Powertane. It restores and improves horsepower, improves fuel efficiency, and eliminates knocks, pings and hesitation. It also protects against carbon deposits in the fuel injectors and combustion chamber. Ask for product code 12003 when ordering

NOS® Octane Booster Racing Formula
NOS performance for the serious racing enthusiast. Developed to increase octane effect up to 60 points or six full octane numbers. Blended with MMT and Powertane, along with Nitro Methane and unique lubricants specially developed for high performance engines. Ask for product code 12010 when ordering

NOS® Octane Booster OffRoad Formula
NOS performance for the off-road enthusiast. Developed to increase octane effect up to 50 points or five full octane numbers in trucks and sports utility vehicles (SUVs). Blended with MMT and Powertane. Ask for product code 12007 when ordering

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Show

Time

Tyrexpo Africa ’10 Conference Makes an Impact
Tyrexpo Africa ’10 made its bi-annual appearance at the Sandton Convention Centre in Johannesburg on the 4th to 6th March 2010, with a few significant changes from the 2008 event. The most significant change was the holding of the Tyrexpo Africa 2010 Tyre Industry Conference, the first time that a high profile tyre industry conference featured alongside a tyre exhibition. The extension of visiting hours also assisted in drawing those visitors who could not find the time to make it to the show during the day. The three day show provided ample time to view, interact and digest, but the star of the show was definitely the conference, with insightful and thought provoking presentations.

he exhibitors came from far and wide, to rub shoulders with their South African counterparts and to prove displays of interest to the visitors from all sectors of the tyre and fast fit market, from those looking for exclusive distribution deals on new tyre brands to business owners looking to upgrade or replace their workshop equipment and consumables. ABR gives a pictorial overview of the exhibitors:

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Tyrexpo Africa ’10 Conference
Seldom does a conference manage to cover so many bases in one jampacked day, but this conference managed just that. From an analysis of the macro economic impact of the BRIC economies on the South African tyre business environment, to the challenges facing South Africa’s fleets, to an overview of the impact of new Chinese truck tyres on the European retread market, to an entrepreneurial master class from the founder of Kwik-Fit, to expensive world class plans to address South Africa’s ever increasing waste tyre mountain.

Macro Economic Impact of the BRIC (Brazil, Russia, India, China) economies on the South African Tyre Business Environment – George Schramm, Head of Sales and Marketing, Apollo Tyres S.A. (Pty) Ltd.
With the liberalisation of trade, the Rand appreciation and an import surge, the tyre industry in South Africa is facing a similar fate to that which the textile industry has recently experienced, i.e. a “shattered industry”, unless government policy plays a role and some sense of conscious is displayed by the industry. The pursuit of profit over safety and morality spells danger for South Africa’s four tyre manufacturers and their 16 000 employees. Brazil and Russia are not big players, with China and India playing contrasting roles and their divergent business approaches are instructive. Whilst there are very few Indian tyre brands, the Indian owned local company invests in people and production, in stark contrast to the 200 plus Chinese brands exported to South Africa, primarily on price. A clear distinction between a constructive approach vs. the pursuit of profit.

Schramm appeals to the industry to “make the choice that makes the difference”

The Kwik-Fit Success Story – Sir Tom Farmer CVO CBE KCSG DL, founder of Kwik-Fit, one of the world’s largest automotive parts repair and replacement specialists
Referring to Paul Getty’s quote at the foot of the page, and with the possibility of striking oil being rather remote, two out of three should do it. Everything is based on a work ethic and honourable behaviour, and the responsibility of those in charge is to be an excellent role model. The most expensive investment is people, who come with no operating instructions, so invest heavily in time and development, and the R.O.I. will be good. Tom Farmer left school at 15 years of age, and progressed from storeman to industry giant, having founded a fledgling Kwik-Fit in 1971 and growing it into one of the world’s largest automotive parts repair and replacement chains before selling it to Ford in 1999 for $2 billion. Farmer attributes his success to inverting the customer care pyramid, but in reality building up to the customer by focusing on the important aspects that make up superb customer care. Thus, selfmotivated people, being good customers to supportive suppliers equals looking after the customer, and happy shareholders. Some very good advice to the retail outlets is to make “Kwik-Fit” the brand. Not surprising, Tom Farmer does not agree with considering that 60% of tyres sold in today the song Que Sera Sera – he does the UK key to theare non-branded. Another Kwik-Fit formula of success is that it was not one big not believe that whatever will be, business, but rather 2 300 small busiwill be, and says it is naïve to nesses. He ended an inspirational 45 minutes by lauding the tyre business, think that the future is not as “there’s no business like it”.

Tom Farmer with two industry icons

ours to see.

Tom Farmer quotes Paul Getty on the secret of success,

“Rise Early, Work Hard, and Strike Oil”
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Time

Challenges to South Africa’s Fleets – The Imperial Logistics Team
The percentage of bad to very bad secondary roads in South Africa has increased dramatically in the past 10 years, resulting in a significant increase of impact fractures and side wall damage to the Imperial Fleet. This has forced the industry to go for sturdier packaging and higher spec vehicles, and is pushing up costs. Ultimately, the only solution is for the authorities to improve and maintain the condition of roads in South Africa. In addition, tyre maintenance revolves around the buy-in of management; incentives, skills development and training, scrap analysis and the general improvement of facilities.

gnificant statis tics • China is th e biggest produc er of truck tyre • Chinese do s worldwide mestic market is bigger than Nor • Chinese retr th America ead market is bi gger than the re • Chinese ne tread market in w tyres retail sli Europe ghtly below pric tyre in Europe e of premium qu ality retread The main Chine se tyre manufac turers possess th resources; com e ply with safe ty, performan endurance tests, ce, and have “cradl e to grave” concepts. The chal lenge for these manufacturers Europe is the in development of a retread programme, the lo w image of thei r brands, the ne to differentiate ed from the cheape r brands, to co trol the dumping npractices of rogu e elements, and to persuade the retreaders that they are not dire competition. ct

Chinese Truck Tyres and thei r Impact on Retread Market European s – David Wilso n, Publisher Some si

World Class Plans to Address the Waste Tyre Situation in South Africa – Dr. Etienne Human, Lead Consul-tant of South Africa’s National Waste Tyre Project & CEO SATRP Co.
The challenge is to Reduce, Reuse, Recycle and Recover. The problem is that tyres are made to last, and thus degrade slowly. Add to this health issues, safety issues, social issues, and economic issues, and you have an intractable quandary. The low value of waste tyres requires a solution incorporating government and corporate leadership, legislation and economic incentives. The US provides a good model, with 54% of scrap tyres being used as alternative fuel, 17% being recycled as ground rubber, and another 12% being used in civil engineering projects. In South Africa, used tyres are being recycled, but unfortunately in a most invidious way, being cleaned up and resold – no wonder that 17% of accidents are caused by tyre failures! It is also suspected that a significant proportion of the “disappearing” used tyres in Europe are ending up on our emerging market vehicles. These disturbing statistics, together with environmental concerns, make up the rationale behind the SATRP Industry Plan to impose a Green Fee on the consumer, to be gazetted in March 2010. It has been a long time coming, but the bad news is that this green fee will add anything up to 6% on the retail price of a tyre; because the government has made it quiet clear that it will not pay for this clean-up. More on this in Fingal Wilde’s “Tyre Deniers” article on p43.
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A well matched team – Paul Farrant, Managing Director, ECI International; Rowena Suthers, Sales Director, ECI International; Liana Shaw, Publisher/Editor SA TREADS; and Roger McCleery, well known Motoring Correspondent, Radio Presenter and Raconteur Extraordinaire

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Two Courses in One
The good old days when one could attend a show or a seminar at your leisure are gone. Just travelling to a venue adds stress to the busy executive’s schedule. Thus the double offering of the HeavyWeight Expo and the WATS Expo, held virtually simultaneously at the Pretoria Show Grounds, together with conferences and seminars, was a master stroke from the organisers. ABR was there to suss out the action.

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he first national exhibition and conference dedicated to the latest products, services and concepts in the heavy vehicle industry was officially opened at the Tshwane Events Centre in Pretoria West on 23 March 2010 by the deputy minister of agriculture, Dr Pieter Mulder. The inaugural HeavyWeight Expo, organised by the Tshwane Business and Agricultural Corporation (Tshwabac) and incorporating the fifth annual Workshop and Aftermarket Technology Show (WATS), attracted over 170 exhibitors whose products were displayed in three of the biggest halls at the Old Pretoria Showgrounds, covering some 17 000 square metres, and also in a 30 000 square metre outside display area. There were many highlights at both shows, and of interest to the automotive retailing sector was the presentation by Jeff Osborne, CEO of the RMI, who spoke on “Why Belonging to the RMI is Better Business” at the conclusion of the WATS show, also summarising the activities he saw at both shows. ABR’s April 2010 edition went to print before the conclusion of the shows, so a full summary will be provided on abrbuzz.co.za. For the print version, we provide some eye candy:

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Insights

A Seamless Transition
The more things change, the more they stay the same. Jean-Baptiste Alphonse Kerr’s prophetic epigram penned in the nineteenth century applies accurately to Capricorn Society’s South African realignment after Rob Mildenhall’s reassignment to Australia’s east coast to increase Capricorn’s collision repair footprint in that area.
ith Rob Mildenhall moving to Australia, Capricorn Society has taken the opportunity to rezone areas and to realign responsibilities in its southern African region. André Changuion, previously Area Manager for Pretoria and Northern Area, assumes the mantle of Sales Manager for South Africa, and leadership of a highly motivated team of five people. Whilst André will continue to look after the northern area, which has been marginally altered, he also takes overall responsibility for Capricorn’s activities in South Africa, and will be regularly attending meetings as an integral part of Capricorn’s Tri-Nations Sales Network. With the realignment, the Capricorn team now comprises: André Changuion Johan Nel Helen Viviers – Sales Manager South Africa – Area Manager Inland Areas – Credit Officer Handing over the baton: Rob Mildenhall and André Changuion I enjoy the Capricorn culture and model. I want to emphasise that Capricorn does not merely sign up suppliers and members. We consider the paperwork as incidental to the relationship, and merely as the formal beginning of a solid partnership.

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Lleana Kaiser-Phillips – Area Manager Coastal Seaboard Amy van den Heever – Administration Officer ABR had the opportunity to talk to André and Rob the week before Rob departed our fair shores, and to discuss the impact of the realignment. This is where Alphonse Kerr’s epigram comes into play. Whilst there has been a change in management and a marginal shift in area stewardship, Capricorn’s tried and tested policies stay the same and its proven support structure will continue to ensure growth. Rob Mildenhall passes on the baton with confidence, as he knows the calibre of André Changuion. André joined Capricorn Society eight years ago, having followed Rob from Gearmax. With André’s Human Resources background and his valuable experience as an ABET facilitator, he has the perfect credentials to motivate a team and to interact professionally and effectively with clients. Another advantage is that André has been involved in sales from day one and has a very good relationship with Capricorn members and suppliers. André Changuion has a natural affinity and empathy for people, and he looks forward to “continue to build relationships with suppliers and members.

My goal is to continue to grow our membership on these principles, and to reinforce the ethics that have been instilled in our team.”
For those wanting to say farewell to Rob Mildenhall, the perfect opportunity will be the much awaited Purple Bash, scheduled for 1 May 2010. Capricorn’s annual function has become an event not to be missed, and this year shall be no different. Whilst the purpose of this function is to update the members and suppliers on Capricorn’s activities and performance, and to allow the suppliers to exhibit and to network with the members, it is the festive and convivial atmosphere that gives this event its iconic status. Don’t miss it!

To join Capricorn Society Limited call André Changuion on 083 287 3498 or e-mail him at andre.changuion@capricorn.coop or visit their website on www.capricorn.com.au

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Partinform

A Trek to the Transkei
Partinform, AAMA’s information and communication arm, takes to the road every six or so weeks, to impart its important message to the motoring trade, and recently the emphasis has moved to the emerging markets. It’s all about getting a basic and simple point across to the resellers and fitters of automotive parts – don’t mess with other people’s lives by selling or fitting substandard parts. On Tuesday, 9th March 2010, the trek was to Mthata (Umtata), an interesting town nestling in the rolling hills of the Eastern Cape. Fifteen manufacturers, representing 23 brands, unpacked their displays and offered their unique brand of knowledge, information, advice and technical nous to the automotive aftermarket fraternity of Mthata at the Kei Fresh Produce Market in Vulindela Heights.

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nformation and education packaged with pizzazz is what Partinform is all about, and the locals were entertained with food, refreshments, prizes galore and a quiz show, culminating in a lucky winner, who will be attending a Forza Racing Driving Experience on 25 November 2010 at the Zwartkops Race Track. This winner will be joining seven other lucky winners from the various Partinform shows around the country, plus four other lucky winners – three readers drawn from their entries to ABR Competition Corner (see page 65), and one overall winner of Partinform’s Retailer of the Year competition, nominated and voted by the Partinform members (see following story). There are many winners at the Partinform shows, but the real and ultimate winners are the South African motorists who rely on the expertise and advice of the parts fraternity – the majority of whom who play the game and refuse to dabble in unknown brands and suspiciously sourced parts.

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There were many other winners on the night

Leonard Miller of Super Mac Wheel Alignment & Tune-Up Centre was the big winner of the night – a Forza Racing Experience – here an ecstatic Leonard is congratulated by Colin Murphy, Chairman of Partinform.

new innovation at the Partinform shows is the introduction of a Retailer of the Show award. The procedure is straight forward – each Partinform member nominates a retailer, and the nominations are tallied up at the end of the evening, with the winner being the retailer who receives the most votes. The criteria for the nominations are also simple – does the retailer support reputable brands, did the retailer attend the show, did the retailer bring customers along, and how professional is the retailer in things such as store layout, image, attitude, product support, customer relations, etc? The great news is that the Retailer of the Show also goes forward to the next round, which is Retailer of the Year. And this Retailer of the Year will also be invited to participate in the Forza Racing Driving Experience on 25 November 2010. The inaugural Retailer of the Show was Graham Lessing from Buffalo Midas Umtata, who received seven votes from the members. ABR spoke to Graham, and he said that this was the first Partinform he had attended, and he was very glad that he did. Whilst he said that he was not ecstatic about the number of reps he sees and the frequency of visits, he remained a loyal and patriotic parts reseller, who would “not sell rubbish”. Thus, you will only find premium brands on his shelves. He attributes his emphasis on quality to his longstanding NAPA membership, since 1980, and his belief that even the cost conscious taxi driver driving an old and well driven Hi-Ace is discerning about parts, and will not fit poor quality if he has the choice. Graham puts it succinctly, “I shudder when I see a white box, as apart from the dubious quality, there is also no back up and no support, and I look forward to the full implementation of the Consumer Protection Act”.

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he runner-up for Retailer of the Show with three votes was Township Auto Spares, Umtata. ABR spoke to, left to right, Ronnie Venketsamy, Vaughn Mariller, Joseph Reddy and Cowen Venketsamy. They were impressed with the show, and looked forward to more of the same. Their unanimous verdict was that “local is lekker”. They also added that they believe in branded quality product, and that motorists must realise that quality may cost more, but in the long term, quality counts. Other nominations received on the night included AutoZone, Diesel Electric Border, Conway Truck Shop, Argus Motor Company and Parts Centre.

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Partinform Shows coming to a town hall close to you:
Gaborone – 20 April Witbank – 11 May Newcastle – 17 August Polokwane – 21 September Rustenburg – 19 October Soweto – 9 November

C o m p e t i t i o n

C o r n e r

The readers of ABR also have a chance to win a Forza Racing Track Experience. Three lucky winners will be drawn out of the hat during the year, and they will join the other Schumacher wannabes on 25 November. Here are the three questions you need to answer
1. What is the basic message of Partinform?

2. How many brands are represented at Partinform?

3. Which magazine is the official mouthpiece for AAMA and Partinform?

Send your answers to fax 086 6579 289 or e-mail bigheart@iafrica.com with the following details:
Name and Surname: __________________________________________________________________________________ Company: ___________________________________________________________________________________________ Position: ____________________________________________________________________________________________ Postal Address:_______________________________________________________________________________________ Contact Tel. no’s:_____________________________________________________________________________________ e-mail address:________________________________________________________________________________________

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Life

Goes

On

MAN Takes Stock
by Austin Gamble

Liliesleaf Farm was an appropriate venue for MAN’s Annual Media Luncheon on 26th February 2010. This was where those not afraid of the future laid their plans, and this was where those with faith in Africa put their crosses in the sand.
mation that MAN is getting involved in 2010 World Cup Fever and that South Africa can look forward to being introduced to the TGS WW later this year. This durable premium truck has won many awards, not least last year’s European Truck of the Year. The bittersweet note came when Dave van Graan bid totsiens (but not adieu) to the South African media – Dave, who was the management board member responsible for

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homas Hemmerich, CEO of MAN Truck and Bus Africa, reinforced the African theme by stating that it was the sales in both vehicles and parts and servicing in central and northern Africa that absorbed the shock of recession in southern Africa and Europe, and that it would be the whole of Africa that will lead MAN’s recovery worldwide. Truck sales in southern Africa have started well in 2010, and the order intake has been significantly good, leading to Hemmerich’s prediction that MAN can expect a 25% to 30% increase in sales this year. Other good news is that the credit environment is much healthier than last year. Credit approval rates that fell as low as 20% last year are expected to get back to 80% this year. South Africa is also leading the way for MAN in credit innovation, as the MAN Finance Model is now the benchmark for MAN worldwide. Other good news is that Man Truck & Bus has successfully integrated the assembly of VW truck and bus units into its Pinetown assembly plant operation. The event ended on an upbeat and bittersweet note. The upbeat note is the confir-

Thomas Hemmerich, CEO of Man Truck & Bus Africa business development and marketing for Africa, has been promoted to the position of senior vice-president for sales in the Middle East, and will be based in Dubai.

Dave van Graan, newly promoted to the Middle East

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Robert

Bosch

A series of articles on the versatile FSA 720/740/754 series

The Golden Triangle – KTS, ESI[tronic], and FSA
We continue the saga of the ABS/ESP warning light on the console of a 2006 VW Jetta V 2,0i, which stays on after starting. This may be a small electrical problem, but it also may be a far bigger problem. With this in mind, Carlo du Plessis of Cencar, Centurion, does not take chances, and is determined to get to the cause of the problem – which we shall call “Case of the Shining Light”

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o recap, Carlo has tested the battery and fuses. He’s also checked the sensor and the pulsating ring, and verified that there is no damage. He has also checked for cleanliness, i.e. no dirt, mud, slush, etc. Now it is time to check the wires from the sensor to the ECU, and more importantly, the FSA back-probe phase. After a physical check of the wires, using the multimeter of the FSA, and testing the continuity of the wires, Carlo now goes to the FSA scope, and the specific protocol for wheel speed sensors. Wheel sensors are either hall sensors (usually three wires) or inductive sensors (usually two wires), but the important thing is to check for a pulse from the sensor, which can be done in the workshop by jacking up the car and turning the wheel by hand. If the scope says that there is a signal, then the

technician needs to back-probe into the ECU to check whether there is a signal at the ECU. Carlo finds no signal, so to test the sensor and/or pulsating ring; he swaps these from another wheel. If he had then got a signal, then the problem lies with the sensor or pulsating ring, but the problem persists, so the whole ECU/ABS unit needs replacement. Problem solved. Carlo reminds us that when you replace, you need to bleed the system twice – first using the KTS putting it into bleed mode, and then to bleed the conventional way. Carlo also notes that with the KTS, you can see the wheel speed with the KTS, whereas the FSA scope goes further by testing the sensor throughout the cycle.

Typical look of a scope pattern (inductive)

A dirty sensor – this needs to be cleaned!

Carlo du Plessis with his trust FSA, checking the scope pattern of a hall type sensor

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The Citi is Dead –
by Howard Keeg

Long Live the Vivo
To such an extent that VWSA are building Polos at competitive levels that compare favourably with Western Europe, and with local content levels, excluding drive train, of 74% for the Polo and 72% for the Vivo. VWSA is now set to become a major exporter of vehicles, having snagged the contract to be the sole international supplier of all new RHD 4 door Polos for the global market, plus additional orders for LHD Polos, as well as the exclusive contract for LHD and RHD Cross Polos. Considering that the worldwide demand for the new Polo has skyrocketed, this will translate into over R30 billion in export earnings over the next six years. Add to this five cylinder EA111 engine exports to India and China, and no wonder VWSA is smacking its lips. These statistics were revealed to ABR at a media briefing and plant tour on 11th March 2010, before the unveiling of VWSA’s second string to its two platform bow, the Polo Vivo. The Vivo is the successor to the spectacularly long running Citi Golf and VWSA were at pains to point out how worthy a successor it is. Bigger, new generation engines, significantly better chassis, improved safety and comfort, radically better ergonomics, and enhanced vehicle security are just some of the reasons why the Vivo has been introduced.

“Market leadership is not a target, it is a consequence”, is how David Powels, MD of Volkswagen of South Africa (VWSA) puts it. This quote encapsulates the recent activity at VWSA, situated on the banks of the Zwartkops River in Uitenhage, Eastern Cape.
WSA’s goal is to be the benchmark of auto manufacturing in South Africa, and to have the benchmark product in each segment of the market. Not an easy task, but something that the guys from Uitenhage have been working at for the past three years, with the three pillars of attaining market leadership, achieving production and quality breakthroughs, and putting in place a comprehensive supplier strategy. The enablers of this strategy have been the creation of a learning organisation, B-BBEE transformation, and a leadership brand. VWSA has basically become a small car factory, producing just two platforms; the Polo and the Polo Vivo. The rationale is higher volumes, local content, less complexity and improved productivity. This transformation has come at a necessary financial cost, which must have given the bean counters indigestion, with significant investment over the past few years. Including the investment of the suppliers, the bill has come to over R5 billion. Powels must have been pretty persuasive during his visits to Wolfsburg, but it appears that it is money well spent. Productivity increases at both supplier and assembly level have been noteworthy.

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Our 1600 Vivo sedan in an unusual tomato colour (VW call it Sunrise Red)
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This is where the Citi Golf line used to be – there are rumours of sightings of ghostly Citis at midnight

VWSA’s paint shop is stunning in both technology and design – and it has an unusual work of art in its reception foyer Lining them up for future customers

Priced from R101 500 for the base line hatch to R150 800 to the top of the range sedan (a new Fox, for those diehard Fox fans!), the higher price compared to the Citi is ameliorated considerably, if not totally, by higher residual values and far lower insurance premiums. Consumption and CO2 emission levels (the new green craze) are also much lower than the beloved predecessor. Parts availability should be good, considering that VWSA is also spending another R200 million on a state of the art parts and accessories logistical hub in Centurion, due to open in July 2010. Our hoary band of hacks took the 1400 and 1600 models for a drive to Cape St. Francis, and the close to unanimous verdict was that this revamped previous generation Polo has got a lot going for it, and should do well in its designated segment. But to my mind it has a long way to go to reach the iconic status of its forebears, the Beetle and the Citi. Not yet Viva Las Vegas, more like Vivo Uitenhage, but it has time on its side. And don’t be surprised to see some funky styling as early as 2011.
APRIL 2010

This is not an angry VW – it is a Cross Polo
71

Vehicle

Evaluation

Purrr..geot Pleasure
by Howard Keeg

During March I had the opportunity of testing three Peugeots back to back. Something like a three course dinner, but in my experience a smorgasbord of driving experiences. For starters I had a 207, then I tucked into the main course of Expert Tepee, and ended off a gastronomic gorging of French flair, styling, innovation and finesse, with a 3008.

T

he 207 is like onion soup. Classic comfort food which is like an old friend. No frills, never lets you down, and with health benefits. Did you know that onions are regarded as having aphrodisiac properties in India? No, these are not the health benefits that I’m referring to – the 308cc fits the aphrodisiac role perfectly. The 207 is different in that it encourages a healthy lifestyle. It is stylish, comfortable, economical, safe, and with all the features a healthy individual requires. It also comes with a warranty and service plan that takes away any anxieties. I am a great believer in maintenance plans, as it gives a feeling of security that is far more valuable than its monetary value.

With a warm inner glow, we now tuck into the main course, Coq au vin. Not that the Expert Tepee is an old bird, but is both tough and tender, depending on what your needs are. I spent many many hours in the driving seat of this wonderful vehicle, having gone down to Mthata to cover an event, and I experienced the full spectrum of road conditions, from freeways to toll roads to national roads to regional roads to roads that can only euphemistically be called roads. I must have a chat with my GPS about its definition of roads! The point I am trying to make is that the Tepee takes anything in its stride. It virtually floats down the well maintained roads, it is not fazed by inclines, tight corners or pothole dodging regimes, and when asked to negotiate gravel roads and even worse, it is up for the challenge, with remarkable agility and handling characteristics which had me applauding. As Peugeot says in its press release, the Tepee is “a generously equipped eight-seater bus aimed primarily at the hospitality industry, but with considerable appeal for those with large families who want an enticing mix of space, comfort and safety.” But it is the Expert DNA that makes the Tepee so durable and functional, and it passed the acid test with flying colours. The acid test was my back, which complains strongly when aggrieved. With the Tepee, having spent over twenty hours on the road in a two day period, my back didn’t say a word. And let me assure you that there are some passenger vehicles that I’ve driven for merely a few hours that have got my back’s hackles up. Another very impressive thing is the Tepee’s fuel consumption. Its 80 litre tank will give you well over 1 000 km of pleasurable driving, and with you not having to spare the horses. The 2,0 litre HDi engine confirms Peugeot’s claim that they lead in the turbodiesel field, and verifies the decision to go with a sixspeed box, giving it a combination of pulling power and cruising ability. There are far more positive things to say, but space precludes further raving. Suffice to say that the price of R339 000 is incredibly good for what you get (it is Peugeot passenger car equipped) and if I was to start a shuttle service company, I know which box I would tick first.

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APRIL

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Vehicle

Evaluation

We end off the meal with crème brûlée, a symphony of tastes and sensations, which is an apt description of the 3008. The combination of the 3008’s aggressive front grille and its refined interior is just like crème brûlée – hard on the outside, soft and inviting on the inside. As Peugeot puts it, “the Peugeot 3008 derives its strengths and appeal from its ability to combine the best elements of these seemingly divergent motoring concepts, while adopting a number of new technologies, resulting in an unrivalled package.” The divergent concepts to which they refer are the sport utility vehicle (SUV), multi-purpose vehicle (MPV) and popular family hatchback segments. This is not just marketing spin, they are spot on with le Crossover. It does indeed rewrite the crossover rulebook, giving one the best of all worlds, and more. I was at the media launch in Namibia, and apart from the aforesaid unique characteristics, what really impressed me was that after a fairly rigorous exploration of the rough terrain on the fringes of the western Kalahari, there was nary a squeak or rattle from this sturdily built vehicle. Sturdy it may be, but it also personifies style, comfort, and the joie de vivre reputation that the French have assiduously built up over the centuries. Le Crossover is the ultimate tale of two and more cities, and my joyful first impression in Namibia of “What the Dickens!” was reconfirmed on the stressful Gauteng streets in my test car. Once again, it was the 2,0 HDi engine with its incredible torque that had me raving, with its power, flexibility, efficiency and amazing fuel consumption literally taking my breath away. Not that the 1,6 VTi and THP (Turbo High Pressure) petrol engines were slouches; they just park in the shade of the turbo master.

Now, whilst I sip my coffee, I can sit back and reflect on the meal. My tummy is full, but not as full as that fellow in the Monty Python spoof “The Meaning of Life”. My philosophical ruminations are more attuned to motoring needs, and the realisation that Peugeot are truly making a comeback. Remember the days in the 1970’s when any rep worth his salt drove a Peugeot 404? It was reliable, safe, honest, and economical, and served many needs. It looks like Peugeot wants those days to come back, and they are putting together an impressive offering of vehicles to assist the process. Please note that I did not give many technical specifications on these vehicle – I leave this to the petrol heads from other publications who seem to derive perverse and disturbing pleasure from things such as bore, length of stroke, piston slap, thrust, acceleration to climax, traction control, rough riding, and such. Some of them you cannot even get out of their racing suits. And I hear that the word emissions has them panting for more and creating another reason for heated seats. All technical information and any specification your heart desires are available at www.peugeot.co.za or www.peugeot.com
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73

Update

An “I” on value in a compact hatch
Hyundai’s long-awaited i30 is here and moves the brand further upmarket and confirms its status as a maker of high quality cars with mass-market appeal. Says Hyundai Automotive’s Marketing Director Stanley Anderson: “With the i30 we are focusing on motorist who want a car with a host of technology, features and safety in a compact package - at a price which represents exceptional value.”

Styling
From any view you see how the design has incorporated the use of concave and convex curves – all with solid sense of purpose. From the electrically folding wide-angle door mirrors or the rear roof spoiler, which houses a high mounted brake light and integrated rear washer nozzle – this car has it all. The i30’s wheelbase of 2 650 mm is the longest in class though the overall length of 4 245 mm makes it slightly shorter than most rivals. The result is a car with a footprint wider than most cars in the segment, delivering an assured and stable stance. Both models ride on lightweight alloy wheels, the 1,6 with 205/55R16s, and the 2,0-litre with 225/45s on semi-chrome 7x17-inch wheels.

As well as four speakers and two tweeters, in-car entertainment includes USB and Auxiliary connections – giving drivers the ability to listen to their portable media player through the vehicle. Let’s not forget the boot - in this case it is rated at 340 litres and can grow to 1 250 litres. A full-size spare tyre on an alloy rim resides under the floor. The i30 also boasts many clever storage areas to maximise interior space – in fact there are, all told, 20 storage compartments inside an i30.

Safety
The i30 has already achieved a maximum 5-star rating in the Australasian New Car Assessment Programme (ANCAP) and 5stars for adult protection and four out of a possible five for child protection in the pre-2009 European NCAP ratings. The i30 features ABS and EBD and has front and rear crumple zones and no less than six airbags (front, side and full-length curtain), as well as active headrests to reduce whiplash injuries and seatbelt pretensioners for front seat occupants. Finally, the i30 comes loaded with features that take the load off the driver - including an electro-chromic rearview mirror, one-touch down function for the window and a single-wipe function for windscreen wipers.

Interior
From the driver’s seat the i30's cool blue illuminated instrument lighting has the benefit of reducing eyestrain and this theme extends throughout. The adjustable steering column all add to the comfort of the i30 experience – so too do the light sensors which detect light levels and automatically activate the car's headlights. Satellite controls on the left-hand spoke of the wheel allow quick access to radio channels, the 2.0-litre model also fitted with cruise control. An additional feature specific to the larger-engined model: a tilt/slide sunroof and both models feature a panel in the roof, with a sunglass case and individual map-reading lights.

Drivetrains
The local i30 range makes use of two aluminium powerplants – a 1,6-litre unit and a 2,0-litre. Both are mated to five-speed manuAPRIL 2010

74

Update
al gearboxes, ratios chosen to suit their specific characteristics. Both engines are long-stroke design, with a high compression ratio. With numbers of 89 kW and 153 Nm for the smaller unit and 105 kW and 186 Nm for the larger one, they are both able to offer eager performance. The 1,6 is able to reach 188 km/h in top gear, and the 2,0-litre 195 km/h. The larger powerplant also boasts variable valve timing (VVT) to enhance the width of the power band and provide exceptional driveability. Multi-point electronic injection ensures precise metering of a diet of unleaded, and contributes to combined fuel consumption of 8,6 litres per 100 km and 7,5 per 100 for the 1,6 and 2,0litre respectively. With CO2 taxation on the horizon, it’s a good thing that the engines generate just 165 and 182 grams of CO2 per kilometre respectively.

Gerhard

Horn

reports

Hyundai enters the tough C-segment
Things are looking good for Hyundai. At the moment they are sponsoring the biggest event to ever hit African shores, the 2010 World Cup. In terms of corporate social investment, this is huge, and should see their brand going on to become one of the most recognised in South Africa.

Chassis
The i30’s chassis underpinnings combine front McPherson front suspension with a broad-based lower control arm, and a multi-link rear suspension mounted on a compact transverse subframe. Rear shock absorbers and coil springs are mounted separately and for improved ride quality and minimal intrusion into the luggage area. Gas damping is used all round to ensure minimal degradation of shock absorber performance. The steering plays a vital role in all this and the i30 is fitted with Hyundai’s latest MDPS (Motor-Driven Power Steering) system. This electric power-assisted system has relatively high gearing, with just 2.69 turns of the steering wheel lock-tolock and an impressive 10.2 metre turning circle. An added benefit of electrically assisted steering is a fuel saving around three percent on the open road.

But you don’t get this kind of sponsorship money from building crappy vehicles. In the last few years Hyundai has become synonymous with quality and affordability. Their recent successes include the massive H1 van, the definitive city car, the i10 and the most recent i20 which was named a car of the year finalist. An impressive record by any standards. They recently continued this trend by launching the new i30. Although this vehicle is not entirely new, it has been on offer overseas for quite some time, it does offer exceptional value for money. On paper it beats the Golf 6 by a big margin in the value for money stakes. The Hyundai has a standard specification list that is unrivalled by the competitors. If you spec these vehicles up to match the i30, their prices start to look a bit ridiculous. Two petrol models were available at launch. The 1.6 retails at R189 000 and the powerful 2.0 can be on your driveway for R229 000. Both models come standard with an Mp3 sound system with controls on the steering wheel, climate control, electric windows and leather seats. The 2.0 model also has cruise control, sunroof and special alloy wheels with chrome inserts. The 1.6 puts out 89Kw and has a claimed fuel consumption of 8.6l/100km. The 2.0 delivers 105Kw and this extra power helps lower the consumption to 7.5l/100km. Both these engines help the i30 to feel nippy in traffic and progressive on the open road. The manual gearboxes on both models are smooth and a joy to operate. If you have a green conscience you need not worry. Both engines emit less than 190g/km of greenhouse gasses. The suspension is set up for comfort, but never felt too soft through corners. It ironed out the rough parts of the road and kept noise and vibration levels low. Couple this to the impressive list of standard specification and you have a great recipe for luxury. Many people believe that space is another important element of luxury. The i30 has space for five people and enough room for their luggage. Those previously mentioned leather seats offer ample support and will keep your bum in a good condition on a long journey. Obviously a vehicle of this kind needs to be as safe as possible. It scored a maximum of five starts in the Euro N-Cap test and scored exceptionally well for child safety. Both models have dual front and side airbags, as well as curtain airbags for the rear passengers. Before an accident even happens you will be kept in line by the ABS and EBD systems. Overall the Hyundai i30 is a great car. It just needs to justify its place in the segment. The Golf 6 is arguably a better car, but you have to ask yourself, is it R40 000 better? This is a massive saving and the i30 certainly doesn’t feel as cheap as it is. Another great car from a great manufacturer.

Security
In-built security systems can’t be overlooked and the i30 offers a sophisticated alarm and transponder immobiliser system, remote central locking and a window-lock function. The doors are programmed to lock automatically when the vehicle reaches 40 km/h.

“There is no doubt that Hyundai has raised its game with this car and the list of standard features and equipment shows it,” says Anderson. “We believe that the driving of it is the ultimate proof and will confirm just how accomplished the i30 is.”
The i30 1,6-litre goes on sales at a price of R189 900 and the i30 2,0-litre at R229 900. This price includes Hyundai’s a 5-year/150 000 km warranty and a 5-year/100 000 km service plan.

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2010

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Toyota

Racing

Toyota Announces Motorsport Changes for 2010
Toyota Motorsport is standing at a door that leads to a new era in their existence. Opening the door and leading the way in will be Glyn Hall who took over the division in January 2010. These announcements were made on the 2nd of March by Marius Vorster, Toyota’s Vice President Marketing Communications.
it off, it is Glyn Hall. The team stated that they will draw on an established strong technology base to improve their vehicles and to take the fight directly to the competitors. Highlights of the Toyota Motorsport programme are: • Two Castrol Team Toyota Auris S2000 rally cars with additional backing from the Innovation Group. These cars for Johnny Gemmel/Drew Sturrock and Mark Cronje/Robert Paisley. • In house preparation of an Auris S2000 rally car for Japie van Niekerk to run in the colours of New Africa Developments. • Support for two Auris S2000 cars to run in Pirtek colours for Hein Lategan and Visser du Plessis. These cars are to be prepared at SAC Diesel. • The long standing relationship with Total continues with support for three Team Total RunX S2000 cars that will be driven by J P Damseaux/ Carolyn Swan, Fernando Rueda/ Dave Lewkowicz, and Mohammed Moosa/Grant Martin. • Two Hilux SPs to run in Castrol Team Toyota colours with additional support from the Innovation Group. These vehicles are to be fielded by Anthony Taylor/Robin Houghton and Duncan Vos/Rob Howie.

The announcement took place at the Gourmet Garage, an appropriate venue as the season promises a feast of mtorsport. e also stated that rally fans can look forward to “as many as 18 S2000 cars running at the head of the field.” Not only will they be some of the most competitive vehicles on the field, but they will be using some of the latest technology available in the rally world. Over the past two seasons the stage results have been shockingly close. A winner now has to be determined not by seconds, but by tenths of seconds. Vorster then stated that fans can look forward to a “vintage season.” He further claimed that the ABSA Off Road series competition is just as tight with a number of technically sophisticated SP vehicles entering the fray. It is then no surprise that we have entered an environment that is more competitive that ever before. The team has already started by building two new vehicles for Johnny Gemmel and

H

Mark Cronje, refurbishing Hein Lategan and Japie van Niekerk's vehicles and the complete reworking of the original homologation prototype Auris for VIsser du Plessis. By the time you read this, these vehicles will have already competed in the first event of the season. 2010 will see an interesting transition for Toyota Motorsport. It used to be a division of South Africa’s largest automotive manufacturer, but will from now on be a private entity backed by Toyota. It is fair to say that they are staring some tough challenges in the eye. Hopefully they can extend on their unparalleled success over the past two decades. To date Toyota has won 97 national championship rallies in its 41 years of competition. It is this level of success that has made Toyota the dominant manufacturer in the 49-year history of the South African rally championship. This really is a lot to live up to, but if anybody can pull

“Toyota Motorsport is one of the strongest brands in the sport in South Africa,” says Glyn Hall. “It is a privilege for me to have been selected to take the organisation forward into the future as a private organisation and to develop it further, both in terms of competitiveness and in the scope of its operations.

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APRIL

2010

Team

Timken

Thrust

Seeking New Challenges
Winning can get boring. Many Blue Bulls fans may disagree, but for Danie Coetser, Managing Director of Timken South Africa, four WesBank V8 Supercar Championships under the belt are more than enough. Seeking new challenges in 2010, Team Timken have now set their sights on the Bridgestone Production Car Series.
he Bridgestone Production Car Series, which is historically an extremely competitive racing series, also has its share of political challenges for Timken. Whilst not having the intense political intrigue of the V8 Supercar Championship, all the cars involved in the production car series run on Timken bearings, so in effect every single car is flying the Timken flag, so Danie had to be very careful as to which vehicle Timken would sponsor under the Team Timken banner. The Subaru WRX STI, being relatively neutral, was the vehicle of choice, and the gauntlet was thrown down to Carel Pienaar and his SP Racing outfit to get the car race ready. Anyone in the know will tell you that the development of a race car does not just happen overnight, so SP Racing had its work cut out in the short space of time from Danie’s decision to the start of the racing season. Carel Pienaar has two things going for him. Firstly, the strong commitment of Team Timken to make the Subaru race competitive as soon as possible, and the fanatical support of a true blue racing sponsor. Secondly, in Hennie Groenewald, Team Timken has a magician behind the wheel. Hennie, with all his experience and a racing pedigree of note, can make a lawnmower look fast, so don’t be surprised to find the Subaru racing at the front before the season is out. Team Timken loves new challenges, so ABR will keep its readers abreast of the Subaru’s progress through the season. When it comes to the Engen VW Polo Cup Championship, Team Timken has unfinished business. Bryan Morgan achieved his best ever placing in last year’s championship, finishing in a very respectable fourth place, but is hoping for better things this year. He already has a third place and a second place finish in the first two meets of the year, at Kyalami and Killarney. That elusive first place is just around the corner, and Danie Coetser is holding thumbs that at season’s end, Bryan will have improved to third position or even better. ABR will report on Bryan’s progress as the season unfolds.
APRIL 2010

T

Danie Coetser, Managing Director of Timken South Africa, in front of a cherished t-shirt, signed by his grateful drivers.

77

Fast

Wheels

It’s Same Again For F1 in 2010
by Roger McCleery

After all the hype of new cars, new teams, new rules and the return of Michael Schumacher, it was back to the same again, follow-myleader, motor racing on the hot Gulf Island of Bahrain, on another dead boring, wide desert circuit in front of a tiny crowd.
Watch. As the winner of the Bahrain GP, Alonso, said it takes a few GP’s to sort out the form of all the teams and drivers. One thing is for sure, Ferrari, Alonso and the returning Felipe Massa, are ready. A 1 / 2 trouble-free run was the best way to start your challenge for the title. The only thing they have to do before the Australian Grand Prix is find some speed to challenge Sebastian Vettel in the Red Bull Renault. Seems the trick is, the new exhaust system that designer Adrian Newey has introduced, that gives them the edge on power. That was until something went wrong and got too hot and broke, and Vettel then lost the edge of his engine’s performance. As we write, teams must be in the Dyno Rooms back home, trying to extract more power from engines via the exhaust systems. Forecasts from all the experts and Formula 1 fundis before the season started, is that four teams will lead the way in 2010. Ferrari, Mercedes Benz, McLaren and Red Bull, with Williams and Renault as outsiders, despite Renault providing engines to Red Bull. So it has turned out although Force India with Ferrari power and drivers, Liuzzi and Sutil, are there and knocking on the door. Also we forecast Alonso to lead Massa at Ferrari, Hamilton in front of Button, Vettel bettering Webber, and Michael Schumacher No 1 in Mercedes Benz, ahead of Nico Rosberg. The last one didn’t happen in Bahrain, but give Schumacher a couple of meetings for this to take place. There will be a few surprises ahead as every one of the Formula 1 GP drivers is a champion in his own right. Fortune only favours the talented drivers in well funded teams. The others all look like also-rans. It has always been like that. You have to have the car and the team behind you to be successful. With teams racing out in the Far East a long way from home and no chance to make and test more go-fast bits, cars that raced in Bahrain will be the same until Round 5 on 9th May and the start of the European Formula 1 GP season in Barcelona, which all teams and drivers know well. That is when we will see the true form of the top teams.

ntil Formula 1 and the technical people in the sport get some spectators or marketing people aboard to give advice we are feted to have line astern racing in all nineteen circuits. For goodness sake, get the wings and double diffusers off and swop the carbon fibre brakes for steel units. This will allow the finest drivers in the world to genuinely slip stream without sitting in massive turbulence from the car in front of them. And cars can start to out-brake each other as well going into corners. These drivers could put on a tremendous show of exciting motor racing with passing and re-passing, that’s if the authorities from the FIA want genuine crowd pleasing racing. Today we have moving billboards, playing host to sponsors without a thought for the paying or TV watching public. These aerodynamic aids and brakes have turned even the widest modern circuits with radiused corners into no-passing processions. Please, please FIA, let’s see the best drivers at least racing each other. Also it wouldn’t be a bad idea to start putting numbers on the cars where they could be seen, plus drivers’ names. Recognising a high speed racing car by the top of the driver’s helmet is rubbish. Pit stops? How exciting is a car stationery for 4 seconds in the pits to change tyres and mess up the entire order of a race. The massive world-wide publicity around Grand Prix racing almost ensures huge audiences, which can easily diminish if the show doesn’t deliver. We all know lots of people who say they don’t watch Grand Prix racing any more as it is boring. Another thing is that the general public think that all motor racing is like Formula 1 Grand Prix racing, which it is not. Our South African motor sport provides far closer and competitive racing and lots of passing in 90% of our formulae. All that said, as a Formula 1 fan it was good to see more GP cars (24 on the grid) and the return of Michael Schumacher. No doubt about it, this 41 year old has revived interest in GP racing. What driver of his age after a three year break, can come back, and with limited seat time, race near the front and come home 6th overall, just a fraction of a second off the winner’s lap time. As he said, he is not a magician but needs a little time to sort out his relationship with the team, his car, all the new innovations in GP racing and some new circuits. My forecast is that he will be pretty close to the top of the charts come the end of the season.

U

Answers
1. Giniel de Villiers – winner of 2009 Dakar Rally 2. Jaguar 3. UD 4. Chery 5. Brakes 6. Ford 7. General Motors South Africa 8. Estoril, Portugal 9. Schwimmvagen 10. Lambourghini 11. Johann Rupert 12. Oona Scheepers 13. Hergen Fekken 14. Guiseppe Farina 15. Ford GT40, Ferrari P4 and Porsche 917 16. Two hours max 17. Midvaal 18. 100

From page 50
19. Giacomo Agostini – 15 world titles 20. A famous corner on the Spa Francochamp Circuit in Belgium

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APRIL

2010

Midas

Sport

In the Driver’s Seat
A series of articles on Midas motorsport initiatives in 2010
In line with the building of the various Midas Group brands and in support of its corporate responsibilities, Midas is committed to sponsoring social, community, corporate and sports events. With specific reference to motorsport, Midas has deemed it important for the Midas Franchise brand to be seen to be associated with motorsport.

M

idas is spoilt for choice, as South Africa has a rich heritage in motorsport. Today, whilst we no longer have bragging rights over our very own Formula One race, we do have a plethora of track and off-road racing series to compensate for our one big gaping hole on our racing calendar. So much so, that hardly a week goes by without some form of national or regional event to whet the appetite. In reality, it would be physically impossible for one motoring journalist to catch all the events on the racing calendar, even if he or she spent 365 days on the road. This reality was top of mind when Stefan le Roux, Midas Franchise, Marketing and Commercial Vehicle Director, had a look at Midas’ 2010 motorsport sponsorship plans. Stefan understands that with Midas having the biggest automotive aftermarket franchise footprint across southern Africa, it is important for the Midas Franchise brand to be seen to be associated with motorsport. He is also aware that high profile sponsorships are simply too expensive, and that they consume the biggest budget with rapidity. Stefan prefers the “spread it around” philosophy, with something akin to a focused shotgun approach. He says that “we need to recognise our leadership role in the automotive aftermarket, and to participate in motorsport and related activities across the country and by so doing Midas is putting something back for our customers and franchisees, in a structured and responsible manner.” Thus, in 2010 Midas will be participating in the following:

WesBank Super Series:
Production Cars: The exciting Lotus Exige with Midas branding will participate in the Bridgestone Production Car Championship, driven by Richard Pinard. As a new entrant the Lotus should receive a lot of media attention, with the added bonus of all the races being broadcast on DSTV. In addition, this car will be available on specials days and super days at Midas Franchisees.

sponsors in the background. In addition, Midas will sponsor five times National Champ Robbie Wolk in a Midas branded vehicle.

Regional and Club Racing:

WesBank V8 Supercars: Midas has a limited sponsorship of the Fuchs Lubricants Jaguar driven by Terry Wilford. South Africa’s fastest racing saloon cars are guaranteed to bring thrills and spills, and this series is a crowd favourite.

Midas shall be sponsoring the well known Clubman series, which is Cape Town based. 170 cars participate through the year, and anything from 60 to 70 cars pitch up on any race day. The Gauteng guys need not worry; a new historic car tour has been approved and will be raced mainly in Gauteng. To be held on alternate Saturdays to the WesBank and Pro Tour Series, all the cars will carry Midas decals. With seven classes, this tour shall be a winner, as witnessed at Zwartkops Raceway in January with 13 000 spectators. The off track fraternity are also being catered for. Rally Driver Tjaart Coetzee will be proudly flying the Midas brand in his AWD Subaru.

Pro Tour:
On alternate weekends and different race tracks, Midas is to part sponsor the Formula Ford Series with Invest Chem. Formula Ford is a great entry level to single-seater cars. All 18 vehicles to have Midas branding, and all prize giving and interviews will have the joint

APRIL

2010

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The

Last

Writes

by Baron Claude Borlz

“For our more discerning readers .....”
After Monday and Tuesday even the calendar says

W T F!

Answer

from page 6

Putting the Cart before the Horse
In Lesotho, where large herds of free roaming sheep crops all the grass in the little kingdom shorter than the blades of a Rolux Mangum lawnmower can ever manage, the baSothu's still manage to get their hardy baSotho ponies fit for the annual races after the harsh winter. You could say they have forgotten more about equine training than most European trainers ever learn. Those passionate horsemen have a tribal saying, passed on from generation to generation: "When you discover that you are riding a dead horse, dismount and get a live horse." However, in educative, corporate and governmental Southern Africa, more advanced strategies are often employed by the leadership, such as: 1. 2. 3. 4. Buying a stronger whip. Changing riders. Appointing a committee to study the horse. Arranging to visit other countries to see how other cultures ride dead horses. 5. Lowering the standards so that the dead horse can be included. 6. Reclassifying the dead horse as 'living impaired'. 7. Hiring outside contractors to ride the dead horse. 8. Harnessing several dead horses together to increase speed. 9. Providing additional funding and / or training to increase dead horse's performance. 10. Doing a productivity study to see if lighter riders would improve the dead horse's performance. 11. Declaring that as the dead horse does not have to be fed, it is less costly, carries lower overheads and therefore contributes substantially more to the bottom line of the economy than do some other horses. 12. Rewriting the expected performance requirements for all horses. And of course... 13. Promoting the dead horse to a supervisory position! If you understand the above, then you are obviously a South African. (and if you are now singing "Rolux Magnummmm", you have been watching SABC a looong time!)
APRIL 2010

Poor old Toyota. It looks like their global recall campaign will have to be expanded to Namibia, now that the authorities have discovered that their fork lift trucks are pulling to the left.

For my East Rand mates:
A small zoo in Brakpan acquired a very rare species of gorilla. Within a few weeks the gorilla, a female, became very difficult to handle. Upon examination the vet discovered the problem. The gorilla was in season. To make matters worse there was no male gorilla available. Pondering over their problem the zoo-keeper thought of Frik van Wyk, a local lad and part-time worker responsible for cleaning the animal cages. Frik, like many of the Brakpan men-folk, had little sense but possessed ample ability to satisfy a female of any species. The zoo-keeper thought they might have a solution. Frik was approached with a proposition. Would he be willing to mate with the gorilla for R5000? Frik showed some interest but said he would have to think the matter over carefully. The following day he announced that he would accept their offer, but only under 4 conditions: “First”, Frik said “I’m not going to kiss her on the lips!” The keeper quickly agreed to this condition. “Second”, he said, “You can never tell anybody about this.” The keeper again readily agreed to this condition. “Third” said Frik “I want all the babies raised as WP supporters.” Once again it was agreed. “Fourth and last of all, “Frik said, “You’ll need to give me another week to come up with the R5000.”

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