AAIA NEWS RELEASE

NEWS RELEASE
For Immediate Release
AAIA-05-08
For more information, contact:
Rich White
301-654-6664 ext. 1030
E-mail: rich.white@aftermarket.org

AAIA Urges Congress to Say “Yes” to Automotive Patent Repair Clause
Congressional Hearing Highlights Importance of Competition to Consumers

BETHESDA, MD – Feb. 15, 2008 – In a hearing on Feb. 14 before the U.S. House of
Representatives Subcommittee on Courts, the Internet and Intellectual Property, the
Consumer Federation of America (CFA), in conjunction with Public Citizen, Consumers
Union, the Center for Auto Safety and Advocates for Highway and Auto Safety, testified in
support of preserving competition in the automobile replacement parts marketplace. The
Automotive Aftermarket Industry Association (AAIA) joins CFA and others in supporting an
automotive design patent repair clause that will maintain the American consumer’s right to
competition in the collision parts marketplace – a right consumers have had for more than 60
years.

The number of design patents awarded to the major automobile manufacturers has
dramatically increased, growing in the past five years to about 20 to 25 percent of the total
U.S. patents awarded to those manufacturers. Collision parts account for 50 to 93 percent of
the U.S. design patents awarded to the car companies. Without a permanent legislative
solution, automaker design patents could eliminate the entire alternative replacement parts
industry, thus removing competition, driving up costs to consumers and threatening
thousands of American jobs.

“AAIA supports the Consumer Federation of America, Advocates for Highway and Auto
Safety and the Center for Auto Safety in their pursuit to preserve competition in the
automotive replacement parts industry,” said Kathleen Schmatz, AAIA president and CEO.
“In the 1990s, Congress said ‘no’ to an auto industry monopoly on replacement parts. It is
time now for Congress to say ‘yes’ to the repair clause to prevent the auto companies from
obtaining their monopoly through another route – design patent law.”

About AAIA
AAIA is a Bethesda, Md.-based association whose more than 23,000 member and affiliates
manufacture, distribute and sell motor vehicle parts, accessories, service, tool, equipment,
materials and supplies. Through its membership, AAIA represents more than 100,000 repair
shops, parts stores and distribution outlets.

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