POMONA, Calif., Aug. 19, 2005 (PRIMEZONE) -- Keystone Automotive Industries, Inc. (Nasdaq:KEYS) today said an Illinois Supreme Court decision overturning a lower court ruling in a national class action case involving aftermarket crash parts -- Avery vs. State Farm Insurance Company -- represents a significant victory for consumers as aftermarket collision replacement parts are a high quality cost-savings alternative to original equipment.
"The collision repair market is a $16 billion industry that is 76 percent controlled by automobile manufacturers. With an estimated 20 to 40 percent savings over those parts supplied by the automobile manufacturers, the utilization of aftermarket generic collision replacement parts by the collision repair industry represents an important alternative for consumers -- analogous to benefits to the healthcare industry from generic brands," said Richard L. Keister, president and chief executive officer of Keystone Automotive Industries.
Keystone believes that substantially all of the aftermarket crash parts that it distributes are of like kind and quality to OEM crash parts as defined by the Illinois Supreme Court because, when installed in a competent manner by collision repair shops, vehicles are restored to their pre-loss condition.
About Keystone
Keystone Automotive Industries, Inc. distributes its products primarily to collision repair shops through its 129 distribution facilities, of which 22 serve as regional hubs, located in 38 states and Canada. Its product lines consist of automotive body parts, bumpers, and remanufactured alloy wheels, as well as paint and other materials used in repairing a damaged vehicle. These products comprise more than 19,000 stock keeping units that are sold to more than 25,000 repair shops throughout the United States and Canada.
The Private Securities Litigation Reform Act of 1995 provides a "safe harbor" for certain forward-looking statements. The statements contained in this press release that are not historical facts are forward-looking statements based on the company's current expectations and beliefs concerning future developments and their potential effects on the company. There can be no assurance that future developments affecting the company will be those anticipated by the company. Actual results may differ from those projected in the forward-looking statements. These forward-looking statements involve significant risks and uncertainties (some of which are beyond the control of the company) and are subject to change based upon various factors, including but not limited to the impact on the company as a result of the actions of the Illinois Supreme Court in overturning a lower court ruling against State Farm Insurance Company and any subsequent actions which may be taken by insurance companies as a result thereof. Reference is also made to the Cautionary Statements set forth in the company's Form 10-K Annual Report filed with the Securities and Exchange Commission on June 15, 2005 for additional risks and uncertainties facing the company. The Company undertakes no obligation to publicly update or revise any forward-looking statements, whether as the result of new information, future events or otherwise.