Avis Europe plc Announcement of Joint Venture to Sell Used Cars Over the Internet.Business & Tourism Editors BRACKNELL, Berkshire--(BUSINESS WIRE)--Feb. 24, 2000 Avis Europe plc, the leading car rental company in Europe, Africa, the Middle East and Asia, today announced the signing of a Memorandum of Understanding A Memorandum of Understanding (MoU) is a legal document describing a bilateral or multilateral agreement between parties. It expresses a convergence of will between the parties, indicating an intended common line of action and may not imply a legal commitment. with Navidec Inc. (NASDAQ NASDAQ in full National Association of Securities Dealers Automated Quotations U.S. market for over-the-counter securities. Established in 1971 by the National Association of Securities Dealers (NASD), NASDAQ is an automated quotation system that reports on :NVDC NVDC National Vessel Documentation Center (US Coast Guard) NVDC Naugatuck Valley Development Corporation NVDC Napa Valley Dirt Classic NVDC Nausea, Vomiting, Diarrhea, Constipation ), a leading edge eBusiness solutions and services provider, to form a joint venture to sell used cars over the internet. The proposed joint venture, which will launch an on-line sales service for used cars in the UK later this year, will be owned 65% by Avis and 35% by Navidec Inc. and is expected to have initial capital of euro 10 million. Avis selected Navidec Inc. because of the unique systems developed with its subsidiary, DriveOff.com, to support consumers purchasing new vehicles entirely on-line, including research, vehicle selection and financing. This capability will now be deployed with Avis for the used car market in Europe, starting with the UK. Unlike existing services, which primarily refer customers to third parties, this site will enable consumers to complete the purchase process over the Internet. Initially the inventory will be drawn from the Avis fleet, however, additional parties will be also be invited to become suppliers to this business. As Europe's leading car rental company, Avis Europe purchases approximately 200,000 cars per year from over 17 manufacturers. Whilst approximately 80% of cars are contractually sold back to manufacturers, this new joint venture provides a new channel to market for some of the remaining 20% of vehicles. Commenting on the initiative, Mark McCafferty, Avis Europe's Chief Executive said: "I am delighted to announce the link-up with Navidec whose developed systems' strength will allow us to bring a superior used car sales service to market quickly. The initiative forms part of our wider strategy to exploit fully the opportunities from the growth in use of the Internet and e-commerce e-commerce, commerce conducted over the Internet, most often via the World Wide Web. E-commerce can apply to purchases made through the Web or to business-to-business activities such as inventory transfers. , both as a distribution channel for car rental services and also as a means for developing more efficient vehicle disposal processes." Ralph Armijo, president and chief executive officer of Navidec, explained that "The combined strengths of our two companies will enable us to quickly bring a superior nearly new car sales service to the European European emanating from or pertaining to Europe. European bat lyssavirus see lyssavirus. European beech tree fagussylvaticus. European blastomycosis see cryptococcosis. market. Through our incubation incubation /in·cu·ba·tion/ (in?ku-ba´shun) 1. the provision of proper conditions for growth and development, as for bacterial or tissue cultures. 2. of DriveOff.com, we have already made a tremendous investment in the development of a proven business model for successfully marketing automobiles online." Navidec Inc. (NASDAQ: NVDC) is a leading provider and incubator incubator, apparatus for the maintenance of controlled conditions in which eggs can be hatched artificially. Incubator houses with double walls of mud, a fireroom, and several compartments each holding about 6,000 hens' eggs were developed in ancient times; the of innovative eBusiness solutions and services. Using its proprietary Npact process, Navidec defines, builds and manages Internet, intranet and extranet solutions that enable its clients to transform their traditional businesses into eBusiness. Avis Europe plc rents cars under the Avis brand name to customers in 112 countries. Avis Europe's ordinary shares trade on the London Stock Exchange London Stock Exchange London marketplace for securities. It was formed in 1773 by a group of stockbrokers who had been doing business informally in local coffeehouses. . Prices may be accessed on Bloomberg Bloomberg A major global provider of 24-hour financial news and information including real-time and historic price data, financials data, trading news and analyst coverage, as well as general news and sports. under the symbol AVE LN and Reuter Equities 3000 Service under AVE.L. Additional information is available on Avis Europe's internet site: www.avis-europe.com. |
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