Rental Viewpoint | October 6, 2005

relief

Wisconsin RTO bill passes committees;
floor votes next
++The Wisconsin Senate Committee on Housing and Financial Institutions passed the Wisconsin Rental-Purchase Act, Wisconsin Senate Bill 268, by a vote of six to one on October 3. The Wisconsin Assembly State Affairs Committee passed its companion legislation with a vote of six to three on the same day. Each bill will receive fiscal impact statements then be referred to the Senate and Assembly floor for votes sometime this month. The Wisconsin Rental Dealers Association, led by APRO member Jeff Lebakken, is planning to continue to educate elected officials on the merits of the legislation.

From bulldogs to brides—
animator has APRO ties
++They might not realize it, but APRO members will see a familiar name on the movie marquee this month. Before earning directorial credit on Tim Burton’s Corpse Bride, stop-motion animator Mike Johnson created RTO’s loveable bulldog, Gus. Johnson was commissioned by APRO in 1995 to create Gus and to direct the rent-to-own industry’s first national advertising identity, “Introducing Gus.”
++“Gus was a great character to create and animate,” says Johnson. “Gus was my first big project as a director and I am thankful for the opportunity to work with a great group of people who believed and supported the art of stop-motion animation.”
++Johnson used the funds from “Gus” to finish his short animated film, The Devil Went Down to Georgia. Prior to being tapped by Burton to direct Corpse Bride, Johnson’s animation credits included The Nightmare Before Christmas, James and the Giant Peach and television’s The PJs. In its third week, Corpse Bride ranks number three at the box office and has grossed more than $33 million.
++“Introducing Gus” won several national awards, including best animation, and is still available to APRO members. “Gus” continues to air on behalf of the rent-to-own industry and APRO members. For more information regarding ordering your copy of “Gus,” contact APRO’s public relations director, Richard May.

Two hundred turn out for
FRDA fall meeting
++The Florida Rental Dealers Association (FRDA) hosted another successful fall meeting on October 4 and 5 at the Hard Rock Hotel and Casino just outside of Tampa.
++A dozen rental companies were in attendance with approximately 200 employees turning out for meetings with vendors and seminars.
++The two-day event was kicked off by a day of golf. Eighty golfers weathered wind gusts up to 40 miles per hour, which was a brutal test of RTO golfing skills. The group returned to the Hard Rock for a dinner and evening of gambling and fun.
++The fun and games were just one part of the FRDA fall meeting. On the second day, 36 vendors displayed tabletop exhibits throughout the morning. Teams competed for prizes by visiting with vendors. Seminars on legal issues, regulation, RTO history and statistical surveys filled the afternoon. Mark Edelman, Buddy’s Home Furnishings in-house attorney spoke on recent court opinions that will likely have a negative impact on the industry’s ability to file criminal charges. Ed Winn III, APRO’s general counsel, gave a seminar on the history of the RTO industry’s efforts in Washington, D.C., since 1980. Winn also updated the group on new bankruptcy code that will go into effect on October 17. He was followed by outgoing FRDA President Terry Beville who highlighted the results of the 2005 APRO statistical survey.
++Next, Fred Pearson of Arkansas’ Pay-less Rentals, spoke on the value of customer relationships in RTO stores and how to manage and preserve them. Finally, Larry Sutton, owner of Rent-n-Roll, introduced his friend and keynote speaker for the event, Bill Morgenstern, chairman of the board of RentWay. Morgenstern concluded the afternoon sessions with a rousing talk about leadership, sprinkled with personal stories about his experiences in RTO and in other businesses as well.
++At the close of the day, Beville reported that the group raised more than $7,500 in PAC funds for the industry’s state legislative efforts and then graciously passed the presidential gavel to FRDA's new president, Chris Kale of Rent King.
++FRDA is the second largest state association behind the Texas Association of Rental Agencies in number of stores represented and is one of the most vibrant and active of the state rental dealer associations.

RentDirect Nationwide
expands across U.S.
++Nationwide Marketing Group, the nation’s largest buying and marketing organization for independent retailers, has launched RentDirect Nationwide, a purchasing and marketing organization for independent rental/lease dealers.
++“The rent-to-own industry is growing, and within the industry, independent retailers are showing the strongest growth,” says Ed Kelly, CEO and director of Nationwide. RentDirect Nationwide has members from coast to coast.
++Nationwide has chosen James MacAlpine to head its newest venture. MacAlpine now serves as executive director of RentDirect Nationwide. A native of Killeen, Texas, MacAlpine has spent most of his career in the industry, most recently as chief operating officer of Rent 2 Own in the Houston area. Previously, he was regional manager for Rent-A-Center in Texas, Louisiana and New York. MacAlpine is vice president and serves on the executive board of the Texas Association of Rental Agencies. He joined RentDirect Nationwide in August.
++“RentDirect Nationwide was developed to provide the growing market segment with a series of unique benefits and competitive advantages that were traditionally unavailable to RTO dealers,” says MacAlpine. “In addition to group-negotiated vendor programs and pricing, members of RentDirect Nationwide are able to take advantage of a variety of aggressive programs and events. I was really impressed, too, when I learned about the Nationwide group’s print, radio and television promos that are customized to each member’s unique identity at RentDirect Nationwide’s own media production facility.”
++Another key benefit for RentDirect members is a unique warehousing system, WarehouseDirect Nationwide. This state-of-the-art operations and distribution system allows members to keep off-site inventory on hand and make it available for direct shipment within two to three business days.
++Like Nationwide Marketing Group, RentDirect Nationwide sponsors two large buying conventions each year so that members can meet with vendors, see new products and benefit from a number of promotions. RentDirect Nationwide also offers training programs, seminars and other benefits for its members.

Rent-A-Center to broadcast third quarter conference call over Web
++Rent-A-Center will broadcast its quarterly earnings conference call over the Internet at 10:45 a.m. (Eastern) on October 25. This call will be held to discuss the earnings release that will be issued after the close of the market on October 24. Audio of the call will be broadcast live and will be available in the Investor Relations section of Rent-A-Center’s Web site. Listeners should go to the Web site at least 15 minutes before this event to register, download and install any necessary audio software. A replay of the broadcast will be available beginning at 1:45 p.m. (Eastern) on October 25.

APRO fall board meeting, October 10-12, Austin, TX, 800/204-2776
Arkansas Rental Dealers Association fall conference, October 18 and 19, Petit Jean State Park, Morrilton, AR, 870/910-0059
High Point Furniture Market, October 20-26, High Point, NC, 336/888-3700
SEMA (Specialty Equipment Market Association), November 1-4, Las Vegas, NV, 909/396-0289
PLEASE NOTE: Nationwide/Rent Direct's Prime Time convention is now scheduled for February 26 through March 1, 2006, and will be held in Las Vegas at the Venetian Hotel. The show was originally scheduled for February 15-18 in New Orleans, Louisiana. Due to Hurricane Katrina, the location and dates have changed.
Click here to view the APROVision industry calendar of events

APRO committees plan for 2006
++The APRO board of directors will meet October 10-12 in Austin, Texas, for the association’s annual fall meeting. APRO’s Vendor Advisory Committee will also be in town and will convene on Monday afternoon.
++“This is a very important three-day meeting for the board of directors,” says APRO President Shannon Strunk. “Nine of our committees will be meeting to establish strategies and action plans for the coming year.”
++The committees meeting will include membership, communications, state coordinating, nominations, ethics, education, government relations, APRO PAC/Team APRO and public relations. These committees held conference calls during the past two weeks of September to develop issues and set agendas for the upcoming meetings.

++The following rental companies and individual vendors joined APRO in August 2005:
David Griffee, Leading Choice Inc. dba Rent-N-Roll, Milwaukee, OR; Bruce Foster, Rent A Rim Inc. dba Rent-N-Roll, Vista, CA; and Ernie Lewallen, Rent-n-Roll, Cincinnati, OH

Visit the APRO Web site or call the APRO office at 800/204-2776.

October 6, 2005
Volume 4, Issue 20

PUBLISHED BY APRO
1504 ROBIN HOOD TRAIL
AUSTIN, TX 78703
800.204.2776
APROVISION.ORG

» Milwaukee Legal Aid Society continues RTO criticism — Milwaukee Journal Sentinel, Milwaukee, Wisconsin, September 27

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APRO: Always There