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BASF Inks New Long-Term Agreement With CARSTAR

14 March 2000

BASF Inks New Long-Term Agreement With CARSTAR

    OVERLAND PARK, Kan., March 13 CARSTAR, the nation's
largest collision repair organization, announced today it has renewed its
long-standing relationship agreement with BASF.  The new ten-year agreement,
which is the most comprehensive in the U.S. collision repair industry, will
result in a 20-year continuous relationship ensuring a high level of support
to CARSTAR and its franchisees.
    BASF has been a primary paint supplier to CARSTAR since 1990, making it
the longest existing vendor partnership in the company's history.
    "This landmark U.S. agreement represents the most significant, long-term
financial commitment of any vendor partnership in the industry," says George
Hansen, president and chief operating officer of CARSTAR.  "The fact that BASF
endorsed CARSTAR as a long-term partner speaks volumes about CARSTAR's
position as the industry leader."
    Details of the agreement include opportunities for CARSTAR to benefit from
unique collaborative e-commerce solutions with BASF, improved incentive
programs to use BASF paint, enhanced service and increased development
support.  Additionally, BASF will continue its significant involvement in
CARSTAR "U" -- CARSTAR's training facility that is housed at a company-owned
collision repair center in Kansas City, Mo.
    "We have characterized BASF's relationship with CARSTAR as a 'decade of
achievement, a vision of success'," adds Guy Bargnes, manager of strategic
accounts and marketing services for BASF Automotive Refinish.  "We are proud
of our association with CARSTAR, which is one of the most respected names in
the collision repair industry.  We look forward to continuing the relationship
and to working together for even greater success in the future."
    Al Winterman, group vice president of BASF Automotive Refinish, notes, "We
are very pleased with this agreement between CARSTAR and BASF.  It builds on a
successful decade-long relationship and is part of a mutually supportive,
long-term strategy to grow market share for both parties."
    The BASF Automotive Refinish business group is a part of the company's
Coatings and Colorants division and is based in Southfield, Mich.  BASF is
among the top five producers of chemicals and related products in the United
States, Canada and Mexico.
    Founded in 1989, CARSTAR is the nation's largest collision repair
organization.  The 250 franchise and company-owned CARSTAR locations across
North America generate annual revenues in excess of $300 million.  The
company's repair work is backed by the only nationwide warranty in the
industry and consistently receives customer satisfaction ratings of
95 percent.