Auto parts advance

By | January 10, 2017

 

Advance Auto Parts is headquartered in Roanoke, Virginia and Raleigh, North Carolina, and is now the largest retailer of automotive spare parts and accessories in the United States for the store count after acquiring General Parts Incorporated in October Of 2013. AAP was founded in 1932 and had 2015 sales of approximately $ 9.74 billion. The combined AAP business (including Carquest branded stores) operates more than 5,200 owned businesses and 1,300 independently owned stores covering every state in the US, Virgin Islands, Puerto Rico and Canada with more than 70,000 employees.

In 2005, Advance Auto Parts purchased AutoPart International, Inc., which operates 202 stores along the Atlantic coast. Starting in 2014, Autopart International continues to operate as a separate division within Advance Auto.

In 2013, AAP purchased General Parts Inc. including Carquest, Carquest Canada and WorldPac for $ 2.04 billion.

History

2006-2010 Chevrolet HHR used as company fleet vehicle.
In April 1932, Arthur Taubman bought Pep Boys, Advance stores, with two stores in Roanoke, Virginia and one in Lynchburg, Virginia.

The first major expansion of Advance Auto Parts was in 1998 when the company acquired the remaining operations of Western Auto, a retailer of auto parts and stores in general. Most of Western Auto’s operations had been taken over by Sears, Roebuck and Co. in 1987.

In April 2001, Advance Auto Parts acquired Carport Auto Parts, a regional retail chain with 29 stores in Alabama and Mississippi. On November 28, Advance acquired 671 Discount Auto Parts, Inc., a regional auto parts chain in Florida, Alabama, Georgia, South Carolina and Louisiana. At the end of this merger, Advance Auto Parts became a listed company, listed as a common stock on the New York Stock Exchange under the symbol AAP. The year ended with 2,484 stores in 38 states.

Interior of an Advance Auto Parts Store in Fairfax County, Virginia
In July 2002, Advance Auto Parts received bankruptcy court approval to acquire 57 Trak Auto stores in northern Virginia, Washington, DC and eastern Maryland.

In September 2006, Advance Auto Parts (NYSE: AAP) announced an agreement with ADMMicro, a VA-based company, to adapt some existing stores and equip new stores with an Energy Management System (EMS).

From 2010 to 2013, Advance Auto Parts was a major sponsor of Monster Jam and sponsored a truck on the circuit called Advance Auto Parts Grinder.

In December 2012, Advance Auto Parts acquired BWP Distributors, a Carquest franchise for the New England region that included the transfer of 124 company-owned premises plus 2 distribution centers.  The responsibility for the independent property location that was BWP service was transferred to General Parts, Inc., Carquest’s largest franchise along with a distribution center for the service of those locations.

On October 16, 2013, Advance Auto Parts signed a definitive agreement to acquire General Parts International, Inc. (GPI), a leading private distributor and supplier of original equipment and replacement products for commercial markets operating under the CARQUEST and WORLDPAC brands . The agreement created the largest supplier of auto spare parts  in North America.

General Parts International, headquartered in Raleigh, North Carolina, has seen a significant increase in staff since it was acquired by Advance. [19] Most of these jobs added are staff from Roanoke, Minnesota or among the now redundant GPI positions that are transferred to Raleigh.

In 2014 Advance Auto Parts began a Loyalty Program for retail customers “Do-It-Yourself”, called SpeedPerks. By enrolling in the loyalty program, the member will receive discounts on purchases without the need for a card or points system. When a customer spends $ 30 in store before taxes, a $ 5 discount coupon will be sent in their email, for a $ 100 buy before taxes a $ 20 coupon discount will be emailed to the member.

On September 30, 2015, Starboard Value LP, an activist investment firm, revealed a 3.7 percent stake in Advance Auto Parts. Starboard Values ​​believes that the shares of Advance Auto Parts have the potential to reach $ 350 each if the company takes steps to improve profit margins, through a letter to Executive Director Darren Jackson and a main presentation published in The Starboard website. The presentation also stated that “Advance Auto Parts has performed substantially lower than its peers in almost any measure, including operating margins, revenue growth and total shareholder return.” Advance Auto sales in Roanoke, Va., Have lost market expectations in four of the last six quarters.Starboard Value LP was behind the removal of the entire directory of restaurant operator Darden Restaurants Inc last year, owners of Red Lobster / Olive Garden restaurants.  Under market pressure in November 2015, Darren Jackson chose to resign as CEO from January 2, 2016.  On April 4, 2016, Advance announced that the CEO of Frito- Lay in North America, Tom Greco, would succeed Jackson as CEO and the Q3 results of 2016 exceeded market expectations.

Recognition

Advance Auto Parts is the largest automotive spares retailer in the United States based on sales and store counts. The company debuted on the list of Fortune 500 companies in 2003 at number 466 and has remained on the list ever since. As of June 2014, it ranked No. 1,412 on Forbes magazine’s “World’s Biggest Public Companies” list.

Advance has received recognition for charitable contributions. The company has been named an “elite partner” for its fundraising efforts for the Juvenile Diabetes Research Foundation (JDRF), having donated more than $ 42 million since 1994.  Advance acts as an aggregator [25] for Most of the donations from the FRDJ, raising money from traveling and commercial customers through the sale of paper slippers, which once purchased by the customer are shown in the store windows.