Car Factory Roof Rack Maker SportRack Reports 20% Increase in Sales for 2004

SportRack, a division of Advanced Accessory Systems (AAS) and maker of vehicle factory roof rack and lugguge rack systems for DaimlerChrysler (including Mercedes), General Motors, Ford, BMW, Volkswagen, KIA, Honda, and Toyota, has announced 2004 sales increased 20% over the previous year. Richard Borghi, president and COO of SportRack, said similar sales increases are expected for 2005.

Mr. Borghi stated that "because automakers are coming out with more vehicles equipped with luggage racks, sales are increasing rapidly at SportRack. The number of different models expands the market for us. The arrival of the crossover vehicles on the market in a major way - those vehicles lend themselves to luggage racks."" He also added that, "If you can seat eight people in a vehicle, there's no room for all that luggage inside the vehicle."

A SportRack spokesman also indicated that because car makers' are offering different looks of factory car roof racks and luggage racks on vehicles, based on different trim package choices offered to buyers, SportRack's potential sales will increase even further. New contracts are reported for Nissan roof racks and several versions of Hummer roof rack systems.

SportRack reported that in 2004 it sold between 4 million and 4.5 million auto roof racks, which is about 50% of the market. SportRacks also opened a new factory in Greenwood, Mississippi in May 2004. Overall revenue in 2003 was reported to be $358 million. Industry analysts have previously published that SportRacks had annual sales of $329.8 million in 2002 and $314 million in 2001.

In addition to SportRack, AAS is comprised of SportRacks Accessory Group, a smaller division that manufactures bike racks, ski racks, snowboard racks, kayak racks and canoe racks for retail sale by auto dealerships, Valley Industries and Valley Automotive, which provide trailer hitches and related items to the automotive aftermarket in the U.S. and Canada and Brink, which sells trailer hitches and related items in Europe.