Ross Jessup

“As John stated, I would like to focus on two topics today. First, let me turn to auto industry trends. Manheim used vehicle value index prices in June decreased 1.3% from May 2022, but are still noticeably up 9.7% compared to June 2021, and for the year remain at historical 25-year highs.”

“Today, I will highlight the current and near-term U.S. automotive market conditions and outlook, recent underwriting program enhancements made to Lenders Protection, commercial activities with our industry-leading OEM customers and prospects, and progress with our insurance partners.”

“Clearly our powerful industry-leading credit union customers and exclusive insurance carrier partners continue to power performance through temporary bottlenecks and ever-changing financial conditions in the industry, a testament to the strength of our business model since 2000.”

“As John mentioned, I want to spend a few minutes to talk about the general auto lending landscape. First, on the chip shortage, OEMs are allocating the limited production of chips to the most profitable units, generally the more expensive and less affordable units.”

“As we have spoken previously, the OEM captive market is substantial and a major growth opportunity for us. As of today, we serve two OEM captives, which we expect to continue to ramp up and take advantage of our services.”