IAA Announces Exclusive Agreement with NASCAR Further Expanding Capacity for Catastrophe Services
Published April 16, 2020 - Written by IAA, Inc.
Agreement Brings IAA Total Catastrophe Capacity to Over 4,000 Acres, Representing the Industry’s Most Expansive Catastrophe Footprint
WESTCHESTER, Ill. – April 16, 2020 – IAA, Inc. (NYSE: IAA), a leading global marketplace connecting vehicle buyers and sellers, and NASCAR Enterprises, LLC., announce an exclusive agreement that further increases IAA’s expansive catastrophe capacity footprint. The agreement expands an already long-term relationship between the two organizations, enabling IAA to leverage NASCAR facilities for total loss vehicle storage after a catastrophe. In addition to the company’s other catastrophe acreage, the 14 NASCAR properties included in the agreement are part of IAA’s total catastrophe capacity in the U.S. of over 4,000 acres – the most expansive catastrophe footprint in the industry.
During catastrophic weather events, there is a rapid increase in insurance vehicle claim volume. The proximity of storage yards to the event and their safe accessibility by insurance professionals is critical. Over the last ten plus years, IAA has invested significant research and resources in developing its industry leading catastrophe response strategy. In alignment with nearly all emergency response models, and due to the extremely unpredictable behavior of weather-related catastrophes, IAA utilizes a Flexible Capacity Model. This allows the company to quickly increase capacity wherever, and whenever, vehicle claims surge.
“Our historical success in managing catastrophes and our capacity to support them is unmatched in our industry,” said John Kett, CEO and president of IAA. “A fixed capacity model may not shift and adjust to meet the dynamic nature of weather-related catastrophes. The IAA Flexible Capacity Model™ gives us the real-time agility to meet this need, and our exclusive agreement with NASCAR further underscores our continued focus on providing additional vehicle storage for our customers where it is needed – not where it is owned.”
SVP, Global Marketing and Communications
IAA, Inc. (NYSE: IAA) is a leading global digital marketplace connecting vehicle buyers and sellers. Leveraging leading-edge technology and focusing on innovation, IAA’s unique multi-channel platform processes approximately 2.5 million total-loss, damaged and low-value vehicles annually. Headquartered near Chicago in Westchester, Illinois, IAA has over 3,800 talented employees and more than 200 facilities throughout the U.S., Canada and the United Kingdom. IAA serves a global buyer base located throughout more than 135 countries and a full spectrum of sellers, including insurers, dealerships, fleet lease and rental car companies, and charitable organizations. IAA offers sellers a comprehensive suite of services aimed at maximizing vehicle value, reducing administrative costs, shortening selling cycle time and delivering the highest economic returns. Buyers have access to innovative vehicle merchandising, efficient evaluation services and digital bidding tools, enhancing the overall purchasing experience. For more information visit IAAI.com, and follow IAA on Facebook, Twitter, Instagram, YouTube and LinkedIn.
About NASCAR Enterprises, LLC.
The National Association for Stock Car Auto Racing, Inc. (NASCAR) is the sanctioning body for the No. 1 form of motorsports in the United States and owner of 16 of the nation’s major motorsports entertainment facilities. NASCAR consists of three national series (NASCAR Cup Series™, NASCAR Xfinity Series™, and NASCAR Gander RV & Outdoors Truck Series™), three regional series, one local grassroots series, three international series and the Automobile Racing Club of America (ARCA). The International Motor Sports Association™ (IMSA®) governs the IMSA WeatherTech SportsCar Championship™, the premier U.S. sports car series. NASCAR also owns Motor Racing Network, Racing Electronics, Americrown Service and ONE DAYTONA. Based in Daytona Beach, Florida, with offices in eight cities across North America, NASCAR sanctions more than 1,200 races in more than 30 U.S. states, Canada, Mexico and Europe. For more information visit www.NASCAR.com and www.IMSA.com, and follow NASCAR on Facebook, Twitter, Instagram, and Snapchat (‘NASCAR’).
Uncertainties Affecting Forward-Looking Statements
Certain statements contained in this release include “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995 and which are subject to certain risks, trends and uncertainties. In particular, statements made that are not historical facts may be forward-looking statements. Words such as “should,” “may,” “will,” “anticipates,” “expects,” “intends,” “plans,” “believes,” “seeks,” “estimates,” and similar expressions identify forward-looking statements. In this release, such forward-looking statements include statements regarding the expected benefits of an increased catastrophe capacity footprint and the IAA Flexible Capacity Model™. Such statements are based on management’s current expectations, are not guarantees of future performance and are subject to risks and uncertainties that could cause actual results to differ materially from the results projected, expressed or implied by these forward-looking statements. These risks and uncertainties include: fluctuations in consumer demand for and in the supply of damaged and total loss vehicles and the resulting impact on auction sales volumes; our ability to meet or exceed customers’ expectations, as well as develop and implement information systems responsive to customer needs; significant current competition and the introduction of new competitors; competitive pricing pressures; the ability of consumers to lease or finance the purchase of new and/or used vehicles; our ability to obtain land or renew/enter into new leases at commercially reasonable rates; our ability to effectively maintain or update information and technology systems and to implement and maintain measures to protect against cyberattacks; our ability to successfully implement our business strategies or realize expected cost savings and revenue enhancements; business development activities, including acquisitions and integration of acquired businesses; trends in the vehicle remarketing industry; changes in the volume of vehicle production, including capacity reductions at the major original equipment manufacturers; changes in the market value of vehicles auctioned, including changes in the actual cash value of damaged and total loss vehicles; economic conditions, including fuel prices, commodity prices, foreign exchange rates and interest rate fluctuations; trends in new- and used-vehicle sales and incentives; general economic conditions; and other risks and uncertainties identified in our filings with the Securities and Exchange Commission (the “SEC”), including under ‘‘Risk Factors’’ in our Annual Report on Form 10-K for the year ended December 29, 2019, filed with the SEC on March 18, 2020, and will be contained in subsequent annual and quarterly reports we file with the SEC.
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