REYNOLDS AND GM AT ODDS OVER PROPRIETARY IDM SYSTEM

February 10, 2008—News services report note that Reynolds and Reynolds Co. is withdrawing from the General Motors Integrated Dealer Management System (IDMS) business, meaning the largest vendor of dealership software will no longer sell the GM IDMS.

Reynolds was supposed to switch Saturn dealers from an ADP Dealer Services system to the GM Integrated Dealer Management System, which was a concern for those dealers. Reynolds’s decision put those concerns to rest for the moment.

Reynolds spokesman Tom Schwartz says Reynolds fully expects an amicable resolution—it remains to be sorted out. Schwartz noted that the some 440 current IDM systems will continue to be supported by Reynolds. “[Reynolds] serves nearly 50 percent of the GM dealer market, and we continue to expect to work with GM and the dealer body after years of strong relationships."

The Integrated GM Dealer Management System includes software, hardware, and services geared to GM's specifications. Reynolds was to maintain the system as well. The entire IDMS is sold to dealers at a price negotiated by GM.

A GM spokeswoman said Reynolds's withdrawal was its own decision. Reynolds and GM are involved in a court case regarding terms of their 2005 contract for the system.