TRA continues to build share of end of life vehicle market

Company Announcement 23 July 2018 Turners continues to build share of end of life vehicle market Tower Insurance and Turners sign three year commercial agreement Turners Cars, New Zealand's largest pre-owned vehicle retailer, and Tower Insurance have signed a three-year agreement which will see Turners manage the logistics and sale of damaged vehicles that have been written off by the Tower insurance brand. The agreement is the latest in a number of new arrangements entered into by Turners as it builds its share of the end of life vehicle market. "The potential in this sector of the market is significant", said CEO of Turners Group NZ, Greg Hedgepeth. "Not only can we sell older and damaged cars at the end of their life but we can also help customers find newer used vehicles to replace them." Over 156,000 vehicles were written off or removed from the road in New Zealand in the past year, and with almost 30% of New Zealand's 3.7 million light vehicle fleet being 20 years old or more, the number of vehicles being scrapped is accelerating. As one of New Zealand's leading insurers, Tower has a significant number of vehicles that are written off each year that will now be sold through Turners' Damaged and End of Life vehicle auctions. Glenys Talivai, Tower's General Manager Customer Acquisition, Retention & Claims said that "selling written-off vehicles through the Turners partnership will allow us to reduce claims costs, which ultimately means we can pass these savings on to our customers". Greg Hedgepeth commented: "As part of our partnership philosophy, we work closely with businesses such as Tower Insurance to realise optimal benefits for both parties. We are pleased to be continuing our relationship with Tower as we grow our share in this area of the market and further position ourselves as a leader in the used vehicle market." About Turners End of Life Offer Damaged vehicles are sold at Turners' specialised Damaged and End of Life Vehicle auctions every week and through TradeMe. Many are sold to Automotive Recyclers or are exported overseas for scrap metal. Turners has over 20 damaged vehicle consultants spread throughout the country and three dedicated damaged vehicle branches in Auckland, Wellington and Christchurch. Vehicles can either be sold from where they are located, anywhere in the country, or transported to one of 25 storage networks around the country including Turners' own sites. In addition to commercial arrangements, such as that with Tower, Turners also sells end of life and damaged vehicles on behalf of private customers and has extended its Cash Now offer to these customers, which is where Turners buy damaged vehicles from customers. ENDS About Turners Turners Automotive Group Limited is an integrated financial services group, primarily operating in the automotive sector www.turnersautogroup.co.nz For more information, please contact: Todd Hunter Chief Executive Officer Turners Automotive Group Limited Tel: +64 21 722 818 Email: todd.hunter@turners.co.nz Jackie Ellis Media Liaison - Turners Tel: +64 9 360 8500 Email: jackie@ellisandco.co.nz End CA:00321162 For:TRA Type:GENERAL Time:2018-07-23 11:53:50