Saturn Electronics Corp Offshore Sourcing Overview

Saturn Electronics Corp. Offshore Sourcing

Overview • High-Mix • High Volume • Diversified Supplier

Company Profile • Established 1985 • Majority Owners / Full-Time Operators • 89, 000 ft² Facility • • • 15, 000 ft² Warehouse 155 Employees 2 Shifts operating at 65% capacity • Top 25 PCB Domestic PCB Fabricator • $26. 8 Million Sales in 2007

Industries Served • Telecommunications • Automotive • Industrial Controls • Aerospace / Defense • Power Supply

Offshore Overview Asian Headquarters located in Shen Zhen, China U. S. & Asian Facilities Certified in:

Offshore Overview (cont. ) SEC SUPERIOR OFFSHORE SOURCING Quality, Reliability, and Service Ø Ø Ø Higher Quality Quicker Delivery Seamless Facilitation Increased Flexibility Greater Overall Cost Savings

Offshore Overview (cont. ) PROTECTED OFFSHORE SOURCING High-Volume Supplier to Domestic Market SEC’s partnering with high-quality China-based pcb manufacturers allows us to supply the domestic market with high-volume single-sided, double-sided, and multi-layer PCBs at offshore prices with the security of a full-service domestic production facility. ENGINEERING & TECHNICAL SUPPORT Saturn is the Only Point of Contact Our personnel will handle all issues concerning manufacturing, shipping, customs, and exchange rates. Saturn also provides complete Kan Ban as well as stocking and inventory programs.

Offshore Overview (cont. ) High Quality and On-Time Delivery SEC Manages Operations in Shenzhen SEC’s manages all of 4 of our PCB Facilities in terms of logistics, operations, quality, and supply chain functions. Each of the 4 facilities focuses on core manufacturing capabilities to ensure optimal quality and on-time delivery. SEC provides Supply Chain Experience Saturn performs First Article Inspection domestically. We are not a broker. We provide real board house experience to our Offshore Sourcing. Saturn’s Supply Chain Protection In the event of a supply chain disruption, Saturn will manufacture the PCBs in-house at its domestic at the offshore price.

Offshore Overview (cont. ) Qualification Process SEC Factory and Warehouse Visits SR. Management Ensures PCB Manufacturing Process of Offshore Partners Ø Conduct Quality Systems Audit Ø ISO 9001 -2000 Certification Ø Capabilities Survey Ø Staff Training and Certification Ø Eight Discipline Process Ø Design Management Ø Materials Controls

Offshore Overview (cont. ) Certification Process Saturn Requires minimum score of 90% from Partners Supplier is certified for production only if the minimum score of 90% or above is achieved. Saturn doesn’t stop there, however. Most manufacturers in Asia have some percentage of their operations outsourced. We value complete knowledge of our supplier base and realize the importance of the entire manufacturing process. That is why we survey any subcontract operations during the audit as well. Because their capabilities will be affecting our end product…and yours.

China Partners (cont. ) SEC Added Support 1. Saturn has a complete manufacturing facility at Romulus MI. with TS 16949 Automotive Qualification. 2. Saturn does First Article inspection on all new lots. 3. Saturn will inventory up to 4 weeks at Romulus MI. 4. Saturn does pre-engineering on all boards prior to sending offshore for manufacturing and panelization if required. 5. Saturn will manufacture your board if you have a quality issue at the same cost as offshore and deliver on time to support your production. 6. Saturn has its our own team off-shore that supervises our orders at the manufacturing level.

Saturn Competitors Production/TS 16949 Certified Domestic Facility as backup Many don’t even have a facility, just an office and/or warehouse. Those with facilities are not production/TS 16949 certified. We audit and approve our suppliers in person per TS 16949 audit procedures Many have not even visited their suppliers. Those that have aren’t certified themselves to audit to particular standards Offshore product is shipped out to customers under our TS 16949 flag The vast majority of our competitors lack this certification All product is automotive certified, regardless of end use ? ? ? Saturn guarantees all offshore product with our unmatched 5 x guarantee No published guarantee matches Saturn’s Saturn has personnel on-site in Asia to oversee our and our customers’ interests Majority do not have any staff whatsoever in Asia Saturn performs all engineering work domestically prior to sending files for offshore manufacture. This ensures customers’ requirements are properly communicated. ? ? ?

Ten Reasons to Consider Saturn 1. Despite our high quality standards and market-leading guarantee we continue to be extremely cost-competitive in today’s global marketplace. 2. Saturn is your one-stop shop for prototype through high volume (domestic and offshore) requirements and standard through high technology PCB’s, including up to 24 hour quick turn orders. 3. Saturn’s controlling ownership in four other domestic PCB manufacturers ensures that your supply chain is completely secure. 4. Saturn is committed to invest and meet your technology and demand requirements. 5. Saturn’s personnel are friendly and responsive and committed to Total Customer Satisfaction.

Ten Reasons to Consider Saturn (cont. ) 6. All products are produced on the same lines that are certified for highreliability, safety and under-hood applications 7. All products carry a 500% guarantee to cover for your costs in the event of an electrical failure. 8. Saturn is the first PCB manufacturer in North America to have achieved the worldwide-recognized TS 16949 quality certification. 9. Saturn is financially healthy – we are debt-free, hold no leases on our equipment or building and pay all of our suppliers in a average of 7 1/2 days. 10. Our on-time delivery rating exceeds 98. 5% for all quick-turn through production orders, including product imported from our offshore sources.

THANK YOU! WE HOPE YOU WILL CONSIDER Saturn Electronics Corporation QUICK-TURN & HIGH VOLUME PRODCUTION OFFSHORE SUPPLIER