MANAGING PUBLIC SECTOR VEHICLES & EQUIPMENT
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Depreciation

Yes Virginia, There is Depreciation

Depreciation is a necessary evil in our industry. Knowing your risks and knowing your OEM partners won’t make depreciation go away but it can make it more manageable.

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2015 Resale Forecast for Light-Duty Trucks

The full-size pickup fleet segment depreciated by only 4.9 percent over the past 12 months; however, this rate is unlikely to continue into 2015.

2015 Resale Forecast for Full-Size Vans

The used full-size van market has remained strong throughout 2014, but it is expected to decline in 2015. Part of the reason for the strength of the used van segment is the discontinuation of traditional U.S.-style vans by OEMs as the new European-style vans are released.

Depreciation Returns to the Used-Vehicle Market

The latest auction figures point out a few important trends: First, the market for certain types of vehicles is definitely getting softer. Second, there really isn't one "used-vehicle market" anymore.

10 Ways to Become a Depreciation Management Pro

In North America, depreciation is generally the largest operating expense for a vehicle fleet. Fleet managers must know what depreciation is, how it is applied, and how a corporate fleet program influences this key cost driver.

Depreciation Up in Most Vehicle Segments

According to industry analysts, most vehicle segments increased in vehicle depreciation in 2009 due to such factors as extended replacement cycling, shifts in the wholesale vehicle market, and higher capitalized vehicle costs.

How Will Future Residual Values Impact Hybrid

While hybrids can reduce fleet fuel expense, the two other major fleet expenses — maintenance/repair and depreciation — must also be considered to determine if hybrids are the answer to reducing overall fleet costs.

How to Determine the Correct Depreciation Reserve

Depreciation turns fleet vehicles into “melting” assets. The open-end TRAC lease is an excellent tool to manage depreciation expense; however, maximizing its effectiveness requires establishing the proper depreciation reserve.

Analyzing Depreciation Trends: 2007 vs. 2006

Depreciation continues to be the largest fleet expense; however, fuel, as a percent of total fleet cost is growing (rapidly). Fuel expense is influencing vehicle acquisition strategies, with a direct bearing on future depreciation.

Analyzing Depreciation Trends: 2007 vs. 2006

Depreciation continues to be the largest fleet expense; however, fuel, as a percent of total fleet cost is growing (rapidly). Fuel expense is influencing vehicle acquisition strategies, with a direct bearing on future depreciation.