Tony Salerno

JAPANESE vehicle retailer IDOM has restructured its Australian corporate operations under its DVG Automotive Group subsidiary, with its chief operating officer Tony Salerno and finance manager Tony De Lucia no longer on the payroll.

Mr Salerno, formerly Automotive Holdings Group Ltd’s chief operating officer and executive general manager of its easyauto123 used-car network across Australia and New Zealand, officially resigned last week.

Industry sources said Mr Salerno departure came as IDOM is changing its large corporate new-car operation model in Australia.

At the same time, Mr De Lucia – also previously with AHG as its finance manager – also resigned, according to a DVG spokesperson.

The move was made for “personal reasons”.

He would not be drawn on why IDOM and DVG have reduced corporate staff but indicated they would not be replaced.

Under the IDOM ownership, DVG has 24 dealers in WA and in October last year bought the Andrews & Wallis Motor Group.

IDOM paid about $70 million for Andrew & Wallis, based in Essendon Fields in Melbourne’s north, which has seven franchises – Honda, Mazda, Toyota, Jeep & Chrysler, Alfa Romeo, Fiat and Isuzu Ute.

The franchises are on four sites in Wirraway Road, Essendon Fields: Essendon Honda, Essendon Mazda, Airport Toyota, and Essendon Jeep & Chrysler and Essendon Isuzu Ute on the same site.

The purchase comes three years after IDOM paid about $121 million for 67 per cent of WA-based DVG Automotive Group, the second biggest retail operation in the state after Automotive Holdings Group Ltd.

The CEO of IDOM Inc’s Australian subsidiary, IDOM Automotive Group, Takayoshi Udagawa, said in a statement in October that IDOM’s plan was for national growth.

“We have stabilised the DVG business in WA, and thanks to our dedicated and committed employees, we are now delivering improved results in what is still challenging market conditions,” he said.

“Now is the right time for IDOM to start executing its expansion strategy into the east coast automotive market, and Andrews & Wallis is an amazing business for IDOM to grow into.”

IDOM has a network of more than 550 used-vehicle stores in Japan and also operates new car dealerships and overseas businesses.

It was founded in 1994 and expanded its business by operating used-car stores nationwide under the Gulliver brand. It became a publicly traded company on the Tokyo Stock Exchange in 1998.

By Neil Dowling