Auto Recycling eNewsletter

For immediate release -May 2005

Written and published by Mike Gibson and Ron Sturgeon, autosalvageconsultant.com, email to email Mike Gibson

To register for future free issues, visit http://www.autosalvageconsultant.com. Don’t forget to watch for our management articles monthly in American Recycler Magazine, or posted at our web site.

This Month’s News

Schnitzer Steel Announces a 94% Increase in Its Fiscal Second Quarter Net Income, Portland, or (Business Wire) April 6, 2005

Schnitzer Steel Industries, Inc. (Nasdaq:SCHN) today reported net income of $36.0 million for its fiscal 2005 second quarter that ended February 28, 2005. In comparison, the Company reported net income of $18.5 million for the second quarter of fiscal 2004. For the first six months of fiscal 2005, Schnitzer Steel reported net income of $78.9 million. These amounts compare to net income of $30.7 that were reported during the first half of fiscal 2004. “Schnitzer Steel continued to report excellent profits and shareholder returns during the second quarter of fiscal 2005," said Robert W. Philip, Chairman and Chief Executive Officer. "The Company's strong financial results came from all three of its primary business segments. The most significant improvement came from our businesses that process and sell recycled ferrous and nonferrous metals. These businesses continue to benefit from excellent industry fundamentals as well as from strategic coastal locations that give us the ability to efficiently access both domestic and export markets. Our second quarter results were also supported by our Steel Manufacturing and Auto Parts Businesses that produced good operating income, despite normal seasonal declines in demand. Overall, the Company remains optimistic about the outlook for our businesses."

LKQ Corporation has acquired A&R Auto Parts, Inc., Automotive Body Repair News, April 4, 2005

LKQ Corporation has acquired A&R Auto Parts, Inc., a privately held company that operates a recycled OEM automotive replacement parts facility in South Carolina. A&R will service the greater Spartanburg and Greenville markets and provide a strategic link within LKQ’s network of recycled parts facilities. Terms of the transaction were not disclosed. LKQ Corporation is the largest nationwide provider of recycled OEM automotive replacement parts and related services, with 46 sales and processing facilities, eight self-service retail automotive parts facilities and 12 redistribution centers that reach most major markets in the United States. In addition, three facilities are located in Central America. Through its subsidiaries Global Trade Alliance, Inc., which operates under the trade name Action Crash Parts, and Bodymaster Auto Parts, Inc., LKQ is one of the largest suppliers in the eastern half of the United States of aftermarket collision automotive replacement parts, operating in approximately 30 locations primarily east of the Mississippi River.

LKQ Stock Continues to Set 52 Week Highs

LKQ stock has now passed $23.00 per share, and is trending up as of May 21

Ron Sturgeon Announces His 2^nd Business Book, Available in summer 2005

Ron’s new book, Green Weenies and Due Diligence, a compilation of insider business jargon, raw, serious and sometimes funny will be available in the summer of 2005. The book includes over 1200 terms, and 70 illustrations by world famous Gahan Wilson. Mr. Wilson has been drawing cartoons for Playboy and The New Yorker for decades, and is well known for his macabre style. Visit www.greenweenies.com for more information, or to register for a free weekly email, with the latest Green Weenie term and illustration. You won’t know how to herd cats or have a bake off, and you won’t know what chips and salsa or a Swag is unless you get your copy! Register now to get your free entertaining and educational email weekly! One of the illustrations is shown at the end of this month’s enewsletter, enjoy!

AutoSalvageConsultant.com was formed in 2001 to help recyclers improve their businesses. With over 50 years of experience in 3 staff members, the group is THE definitive source for recyclers’ management and training needs. Mike Gibson and Tammy Sturgeon joined the team in 2003, and bring a wealth of experience to the team, plus more resources, as there have been more requests for help than Ron could meet. The founder, Ron Sturgeon is past owner of AAA Small Car World. In 1999, he sold his six Texas locations, with 140 employees, to Greenleaf. In 2001, he founded North Texas Insurance Auction, which he sold to Copart in 2002. In 2002, his book “Salvaging Millions” was published to help small business owners achieve significant success, and was recently reprinted and published in Chinese. In June 2003, he joined the new ownership and management team of GreenLeaf. He also manages his real estate holdings and investments. You can learn more about how to help your business at www.autosalvageconsultant.com. Mike can be reached at 1409 Carson, Haltom City, TX 76117, (preferably) email Mike Gibson, or 817-925-8430.