BLACK HORSE SHARPENS ITS APPROACH
September 12 2008.


Black Horse Finance's Motor and Leisure business has restructured to help dealers face the challenges of the economic downturn. This repositioning will provide greater strategic focus and assist its dealers to address many of the pressing Point of Sale finance issues during this period of market turmoil. In real terms this will deliver greater emphasis on pricing, product development, support and effective sales distribution, to help dealers drive sales and maximise profit.

Chris Sutton Managing Director of Black Horse Motor and Leisure: "We are going through a period of tremendous change in the car, bike and caravan markets at the moment but even though we are in the middle of a credit crunch I believe that there are still many opportunities out there. Traditional and internet lenders have become much more cautious, or have pulled out of the market altogether and as a result potential customers are actively exploring other options at dealer Point of Sale. It's this potential that gives me a great sense of optimism about a market that's being continually talked down. In reality, we are seeing a resurgence in POS finance.

"I also believe we should be promoting the many customer benefits of point of sale finance more aggressively. Apart from offering an extra credit line for dealers' customers, there are many products, including payment protection, which can provide specific benefits and profit opportunities for dealers. In our position as market leader we have a responsibility to innovate and change from the front and it is our intention to develop additional offerings to provide further support to our dealers.

"As other finance company lending criteria harden and as part of our drive to open up greater opportunity for dealers, we have been actively pursuing a more flexible rate for risk approach. This gives our dealers the option of writing business for a much wider risk profile which historically may have been declined. Our access to funds as part of Lloyds TSB, a triple A rated business, not only demonstrates our longer term commitment to the market but gives our dealers a real edge right now, when they need it most.

"This refocused approach reinforces the existing specialism in each of the markets Black Horse Motor & Leisure operates in. Contrary to the business models employed by some of our competitors we will continue to have separate dedicated sales teams looking after the Caravan, Motor and Bike businesses where the philosophy of understanding these markets and working closely with their dealers to add further value has never been so important."

Chris Sutton was also keen to point out that, "Other providers seem to be pulling away from front line business. Black Horse has always had a very consultative approach with its dealers, acting as a partner to analyse business and provide solutions to generate even greater opportunity and income. We will be freeing up more time for our field staff to spend working with the dealers they support. In this respect we stand alone as the company that can offer true understanding, reliability and a continued specialist commitment which differentiates us from other providers and adds even greater value to our dealer relationships."