SOURCE: 1-800 Radiator & AC

December 13, 2011 10:30 ET

1-800 Radiator & AC Expanding Into the Undercar Segment

BENICIA, CA--(Marketwire - Dec 13, 2011) - In late 2011, 1-800 Radiator And AC ("the Company") has invested in two product categories which provide major growth opportunities. The Company has purchased a $4 million distributor of brakes and undercar parts in the San Diego area, and has launched a major expansion into fuel pumps.

Fuel pumps are expected to provide $15 million of sales in 2012, with less than 20% of the Company's franchisees carrying the product. The parts are being container purchased from China, and resold by the Company to its franchisees. The Company is also recruiting additional domestic suppliers.

The Company also plans to integrate its robust proprietary systems into the Undercar business in the next twelve months. If systems integration proves as profitable as it has with radiators and AC, the Company feels it could then roll out up to 500 Undercar locations in three to five years. (In 2006 and 2007 the Company rolled out 155 new radiator locations). The "Undercar" category is a $7 billion market -- approximately 3.5 times the $2 billion HVAC market in which 1-800 Radiator & AC now competes. The Company plans to enter certain additional distribution markets if the Undercar rollout proves successful.

The Undercar market has very high failure rates, thousands of different part numbers and many domestic suppliers. Customers in this market demand a very high level of availability and delivery speed. Repair shops need items such as brakes in an hour or less. All of these factors play into the Company's systems based advantages.

1-800 Radiator & AC commands a 16% national market share in replacement radiators and, in just three years, has attained a 5% share in the national air conditioning parts market. The Company has also invested in initiatives to significantly expand these categories in 2012.

About 1-800-Radiator & AC

1-800 RADIATOR & AC is the largest independent parts distributor in the nation. The company continues to increase market share through added product lines and acquisitions. 1-800 RADIATOR & AC has the largest inventory of Radiators, Condensers, and Air Conditioning parts. The 1-800 RADIATOR & AC business model provides retail and wholesale customers with cooling parts delivered to their doorstep in a matter of hours at competitive pricing. To its franchisees, 1-800 RADIATOR & AC provides state-of-the-art software technology, along with 24-7 support. For more information about the company contact Ted Rippey at (707) 747-7400 ext 5230 or visit www.1800radiator.com.

Contact Information