Press Releases and News

PICAYUNE SPEEDEE OIL CHANGE AND TUNE-UP CO-BRANDS WITH MIDAS


PICAYUNE (April 30, 2010) – The Picayune location of SpeeDee Oil Change and Tune-Up is expanding its business by adding the globally recognized Midas name and services. This Midas SpeeDee co-brand shop is the second of its kind in the state of Mississippi.

In April 2008, Midas, Inc., the automotive service provider based in Itasca, Ill., acquired the franchisor of the New Orleans-based SpeeDee system, which has 102 quick-lube and maintenance outlets in the United States and 65 in Mexico.

At the time of the acquisition, Midas officials announced the company’s plan for the eventual co-branding of Midas and SpeeDee outlets in locations nationwide where there is not overlap of existing shops. Midas has nearly 1,650 shops in the United States and Canada, and 800 in 13 other countries. SpeeDee’s U.S. shops are located in 13 states primarily in the northeast, mid-Atlantic, southern coastal states and the far west.

“This co-branding strategy is extremely exciting because it enables both Midas and SpeeDee to benefit from the strengths of the two brands’ respective service offerings to provide the three most frequent vehicle maintenance services—oil changes, brakes and tires,” said William M. Guzik, Midas’ executive vice president.

SpeeDee specializes in convenient high-quality oil changes and fluid service, while Midas is known for its full range of automotive repair and maintenance offerings.

Midas services were added to four SpeeDee franchised shops in central California in the second half of 2008 as part of a co-branding test in SpeeDee shops. Four company-owned Chicago-area Midas shops are currently testing the addition of SpeeDee oil changes.

For the second quarter ended July 4, 2009, Midas reported that comparable shop sales increased greatly at both the co-branded SpeeDee-Midas shops in central California and Midas-SpeeDee co-branded shops in the Chicago area.

“We are encouraged by significant increases in both sales and car counts at these co-branded shops in California and Illinois,” Guzik said. “And, daily traffic has doubled in each of the Midas shops in San Diego as we began adding SpeeDee oil change services during the second quarter.”

Guzik said the company is taking what it has learned in the California and Chicago area co-brands and is developing a co-brand operating and marketing strategy. The company expects to begin a gradual roll-out throughout both the Midas and SpeeDee networks in the U.S. in 2010. The Midas SpeeDee in Picayune will be the second shop in Mississippi that will offer both SpeeDee and Midas services under one roof. The Hattiesburg SpeeDee location cobranded several weeks prior.

Keith Johnson, owner of the soon to be co-branded shop made the decision to co-brand in 2009. The conversion process includes the addition of the Midas signage, the equipment and products needed to perform Midas services as well as in depth training on Midas procedures and policies. “We are very excited about the adding the Midas name and services to our existing SpeeDee location. In addition to having access to SpeeDee’s quick fluid exchange services, our customers will be able to get the services that made Midas a household name. The combination provides a one-stop shop for all our customers auto needs,” said Johnson.

Midas, founded in Chicago in 1956, is one of the world’s largest providers of automotive service, offering brake, maintenance, tires, exhaust, steering and suspension services at more than 2,500 franchised, licensed and company-owned Midas shops in 15 countries, including nearly 1,650 in the United States and Canada. Midas also owns the SpeeDee Oil Change business, which franchises more than 160 auto service centers in the United States and Mexico.

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Midas SpeeDee Auto Service
310 Memorial Blvd
Picayune, MS 39466
(601) 799-3022

4/30/2010

CONTACT: Tiffany Rhodes (985) 624-2261