ATLANTA, Jan. 22 /PRNewswire/ -- Automobile Protection Corporation
(Nasdaq: APCO) announced today that it has entered into a five year agreement with AutoMall Online, Inc. to provide a full range of products and services to be offered by AutoMall Online through its retail locations and internet website.
AutoMall Online is a new retail concept, which enables customers to shop at their local mall for virtually all vehicle makes and models. Within a few weeks, AutoMall Online's website will also enable customers to shop from the convenience of their home or office.
AutoMall Online opened its first mall location on January 20 at Springfield Mall in Springfield, Virginia. AutoMall Online already has contracts with 27 dealers located in the Washington D.C. area to offer their vehicles through AutoMall Online. Some of the participating dealers are stores owned by the Koons, Pohanka and Rosenthal organizations. The second of six planned locations in the Washington D.C. area is scheduled to open on March 1 at the FairOaks Mall in Fairfax, Virginia.
Gene Hickman, President of AutoMall Online, said: "The initial positive response to our new retail shopping mall concept has been beyond our greatest expectations. Our patent-pending business model offers a state-of-the-art no hassle auto buying experience which captures the most profitable automobile dealership department -- finance and insurance."
Under a five year exclusive agreement, AutoMall Online will market EasyCare vehicle service contracts, EasyCare car care products by Simoniz and Service Advisor Plus maintenance reminder software. Michael Field of Virginia Beach, VA, Chairman of AutoMall Online, who is also a participating dealer, said, "We studied eight different service contract providers and concluded that APCO's product line is far superior to all of the others with regards to value for our retail customer. Additionally, and very importantly, APCO's impressive response time and excellent claims administration made us decide APCO is the right partner for our retail customers and participating dealers."
Larry Dorfman, President/CEO of APCO said: "AutoMall Online's commitment to customer satisfaction is evident through the tremendous amount of strategic planning they have invested in their operations and employee training programs. We are very excited to be involved with this ground floor opportunity, which includes some of the nation's most prestigious dealers. APCO is positioning itself as a full service provider of dealer solutions, which include tools to increase volume and profitability in sales and finance and insurance products. APCO is also highly focused on service retention and profitability, with products such as Service Advisor Plus software and our relationship with Manheim Auctions and Autoconnect.com. AutoMall Online provides us with a unique opportunity to present all of our products under one roof."
APCO, established in 1984, is a leading marketer and administrator of products and services to automobile and recreational vehicle dealers. The Company's core business is the marketing and administration of EasyCare(R) vehicle service contracts. The Company also administers warranty and service contract products under private labels.
"Safe Harbor" Statement under the Private Securities Litigation Reform Act of 1995: To the extent that this news release discusses financial projections, information or expectations about our products or markets, or otherwise makes statements about the future, our statements are forward looking and are subject to a number of risks and uncertainties that could cause actual results to differ materially from the statements made. The specific risk factors are described in the Company's Form 10-K that has been filed with the Securities & Exchange Commission in connection with its 1997 year.
SOURCE Automobile Protection Corporation