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Heckuva deal: $2K bonus for new car
April 8, 2009By Nicole Garrison-Sprenger, Pioneer Press
Randy Jensen needed a new car.
When gas prices hit $4 a gallon, he downsized to a Pontiac G6 for better mileage. But after trying to cram four guys and four golf bags into his compact car, Jensen, who is 6 feet 3 inches tall, soon longed for a bigger vehicle.
“I was sitting on the fence,” said Jensen, explaining that the worsening economy and the outstanding balance on the loan for his Pontiac gave him pause.
On March 31, Jensen’s employer of 15 years, Golden Valley-based Lubrication Technologies, notified all 200 of its workers that it would give them a $2,000 cash bonus toward the purchase of a new car.
Today, Jensen, purchasing manager at Lube-Tech, is the proud owner of a Ford Taurus. Chris Bame, president and second-generation owner of Lube-Tech, says that while his company is challenged by the recession just like most businesses, he’s hoping the cash bonus will rev up the local economy and reward his employees.
With roots dating back to 1929, Lube-Tech does business with more than 190 Minnesota auto dealers. The company blends, packages and distributes everything from bulk and packaged oil and synthetic lubricants to fuel, windshield washer fluid, antifreeze and a full line of shop supplies. Lube-Tech also develops products for other industries including original equipment manufacturing, die casting, energy, plastics, machining and food processing.
“As a family-owned business, we’ve always tried to do the right thing,” Bame said. “Here’s
an opportunity to both help our customers — the dealerships that have been such a strong customer base for us over the years — and also help our employees.”
To be eligible, employees must buy a new car for themselves or anyone in their immediate family by the end of September from any one of Lube-Tech’s auto dealership customers.
So far, four employees have signed up for the deal. But Bame, who says he’ll probably take advantage of the offer himself on behalf of his daughter, isn’t sure how many more will be interested.
“Maybe 10 percent, 15 percent,” he said.
New vehicle sales dropped for a 17th consecutive month in March, but the 37 percent industry decline was actually less than analysts had expected. Some industry observers believe that suggests the market may be nearing the bottom.
Meanwhile, every little bit counts, says Bill Abraham, president of the Greater Metropolitan Automobile Dealers Association.
“It’s a very generous offer by Lube-Tech,” Abraham said, adding that it’s the first such offer in Minnesota of which he is aware. “These things are happening in other parts of the country, where various ‘allied’ companies are doing their bit to help the auto industry.”
Nicole Garrison-Sprenger can be reached at 651-228-5580.
