REDWOOD CITY, Calif. — After climbing for two months in a
row, the latest RDN Monthly Analytics Update indicated December recovery
volumes decreased 1 percentage point from the November level, leaving 2012
closing on a trend of consecutive month-over-month dips.

However, the December reading came in flat against
year-earlier levels.

Countering that downward movement, RDN indicated December
recovery orders ticked 5 percentage points higher from the previous month.
Despite the uptick, the December order rate settled 10 percentage points lower
year-over-year.

The RDN Recovery Market Trend Summary — a rolling comparison
of new- and used-vehicle buyer's FICO scores against the percentage volume of
recovered vehicles relative to the volume of vehicle sales financed — showed
the volume of recoveries relative to retail new- and used-vehicles financed
decreased during December versus the prior month.

Recovery volumes as a percentage of sales financed ended at
a 31 index level in December, which represents a 4 percentage point drop from
the prior month and a 1 percentage point dip versus the prior year.

RDN went on to mention that among the top 20 largest cities
with the highest recovery volumes, New York highest actual and relative volume
increase during December.

Officials found that seven cities all had at least 12,000
repossessions last year. That group included:

—Chicago: 30,149 units
—Los Angeles: 28,649 units
—Dallas: 19,526 units
—Houston: 18,965 units
—New York: 16,549 units
—Phoenix: 14,934 units
—Detroit: 12,360 units

Finally, RDN pointed out that once again Texas led the
nation with the highest volume of involuntary recoveries at 12 percent of the
nation's total for December, a little less than 7,100 units. The company added
that Texas, Florida and California constituted 29 percent of all recoveries
nationwide for the month.

The Sunshine State also paced the country with the highest
volume of voluntary recoveries at a little less than 1,200 units recovered
during December.

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