Ownership Submission
FORM 4
Check this box if no longer subject to Section 16. Form 4 or Form 5 obligations may continue. See Instruction 1(b).
UNITED STATES SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549

STATEMENT OF CHANGES IN BENEFICIAL OWNERSHIP OF SECURITIES

Filed pursuant to Section 16(a) of the Securities Exchange Act of 1934, Section 17(a) of the Public Utility Holding Company Act of 1935 or Section 30(h) of the Investment Company Act of 1940
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(Print or Type Responses)
1. Name and Address of Reporting Person *
OBRIEN THOMAS C
   2. Issuer Name and Ticker or Trading Symbol
KAR Auction Services, Inc. [KAR] 		5. Relationship of Reporting Person(s) to Issuer
(Check all applicable)
__X__ Director _____ 10% Owner
__X__ Officer (give title below) _____ Other (specify below)
President and CEO of IAAI
(Last)
(First)
(Middle)
C/O KAR AUCTION SERVICES, INC., 13085 HAMILTON CROSSING BLVD.		 3. Date of Earliest Transaction (Month/Day/Year)
08/06/2010
(Street)

CARMEL, IN 46032		 4. If Amendment, Date Original Filed(Month/Day/Year)
 6. Individual or Joint/Group Filing(Check Applicable Line)
_X_ Form filed by One Reporting Person
___ Form filed by More than One Reporting Person
(City)
(State)
(Zip)
Table I - Non-Derivative Securities Acquired, Disposed of, or Beneficially Owned
1.Title of Security
(Instr. 3)		 2. Transaction Date (Month/Day/Year) 2A. Deemed Execution Date, if any (Month/Day/Year) 3. Transaction Code
(Instr. 8)		 4. Securities Acquired (A) or Disposed of (D)
(Instr. 3, 4 and 5)		 5. Amount of Securities Beneficially Owned Following Reported Transaction(s)
(Instr. 3 and 4)		 6. Ownership Form: Direct (D) or Indirect (I)
(Instr. 4)		 7. Nature of Indirect Beneficial Ownership
(Instr. 4)
Code V Amount (A) or (D) Price
Common Stock               27,930 (1) I By KAR Holdings II, LLC
Common Stock 08/06/2010   M   264,672 A $ 3.515 264,672 D  
Common Stock 08/06/2010   S   300 D $ 12.19 264,372 D  
Common Stock 08/06/2010   S   100 D $ 12.16 264,272 D  
Common Stock 08/06/2010   S   982 D $ 12.15 263,290 D  
Common Stock 08/06/2010   S   100 D $ 12.14 263,190 D  
Common Stock 08/06/2010   S   600 D $ 12.135 262,590 D  
Common Stock 08/06/2010   S   400 D $ 12.13 262,190 D  
Common Stock 08/06/2010   S   14,916 D $ 12.12 247,274 D  
Common Stock 08/06/2010   S   91,988 D $ 12.11 155,286 D  
Common Stock 08/06/2010   S   154,003 D $ 12.1 1,283 D  
Common Stock 08/06/2010   S   1,283 D $ 12.09 0 D  

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Table II - Derivative Securities Acquired, Disposed of, or Beneficially Owned
(e.g., puts, calls, warrants, options, convertible securities)
1. Title of Derivative Security
(Instr. 3)		 2. Conversion or Exercise Price of Derivative Security 3. Transaction Date (Month/Day/Year) 3A. Deemed Execution Date, if any (Month/Day/Year) 4. Transaction Code
(Instr. 8)		 5. Number of Derivative Securities Acquired (A) or Disposed of (D)
(Instr. 3, 4, and 5)		 6. Date Exercisable and Expiration Date
(Month/Day/Year)		 7. Title and Amount of Underlying Securities
(Instr. 3 and 4)		 8. Price of Derivative Security
(Instr. 5)		 9. Number of Derivative Securities Beneficially Owned Following Reported Transaction(s)
(Instr. 4)		 10. Ownership Form of Derivative Security: Direct (D) or Indirect (I)
(Instr. 4)		 11. Nature of Indirect Beneficial Ownership
(Instr. 4)
Code V (A) (D) Date Exercisable Expiration Date Title Amount or Number of Shares
Employee Stock Option (right to buy) $ 3.515 08/06/2010   M     264,672   (2) 12/16/2012 Common Stock 264,672 $ 0 0 D  
Employee Stock Option (right to buy) $ 3.14               (3) 11/14/2013 Common Stock 249,056   249,056 D  

Reporting Owners

Reporting Owner Name / Address Relationships
 Director  10% Owner  Officer  Other
OBRIEN THOMAS C
C/O KAR AUCTION SERVICES, INC.
13085 HAMILTON CROSSING BLVD.
CARMEL, IN 46032		   X     President and CEO of IAAI  

Signatures

 /s/ Rebecca C. Polak as Attorney-in-Fact   08/10/2010
**Signature of Reporting Person Date

Explanation of Responses:

* If the form is filed by more than one reporting person, see Instruction 4(b)(v).
** Intentional misstatements or omissions of facts constitute Federal Criminal Violations. See 18 U.S.C. 1001 and 15 U.S.C. 78ff(a).
(1) Includes (i) 25,920 shares of common stock held of record by KAR Holdings II, LLC (which are attributable to Axle Holdings II, LLC), by virtue of the reporting person's common ownership interest in Axle Holdings II, LLC and (ii) 2,010 shares of common stock held of record by KAR Holdings II, LLC, by virtue of the reporting person's common ownership interest in KAR Holdings II, LLC. The reporting person disclaims beneficial ownership of these securities, and this report shall not be deemed an admission that the reporting person is the beneficial owner of the securities for purposes of Section 16 or for any other purpose.
(2) The option became exercisable as to 88,224 shares on December 16, 2003, as to 88,224 shares on December 16, 2004 and as to 88,224 shares on February 25, 2005.
(3) The option became exercisable as to 83,018 shares on November 14, 2004 and as to 166,037 shares on May 25, 2005.

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