SEKAI TECHNOLOGY S A de C V Reynosa

SEKAI TECHNOLOGY, S. A. de C. V Reynosa, Tamps, Mexico W/H SERVICE VMI Operation Sorting-Inspection-Rework

1. Introduction n n COMPANY NAME: SEKAI TECHNOLOGY, S. A. DE. C. V (ISO 9001: 2008) QUALITY POLICY: At SEKAI TECHNOLOGY, we commit ourselves to provide customers with the best solutions of logistics that fulfill the requirements of customers, in order to be market leaders and ensure of the personnel that works with us n Parque Industrial Reynosa Mike Allen#2105, REYNOSA, TAMPS C. P. 88785. MEXICO TELEPHONE: +52(899) 2634078, Fax: +52(899) 1295929 n BUSINESS STATUS: IMMEX (MAQUILADORA) n OPERATIONS : n ADDRESS: W/H SERVICE VMI OPERATION SORTING-INSPECTION-REWORK 1

1 -2. Contact window H. AKIYAMA akiyama@sekaitechnology. com Cel phone +1 (956) 624 -9700 PRESIDENT / CEO Evelyn Torre e. torre@sekaitechnology. com CARLOS LARA c. lara@sekaitechnology. com Cel Phone +52(899)956 -4480 VMI OPERATIONS MANAGER Cel Phone +52 (899) 956 -4486 QC & SORTING MANAGER 2

2. WAREHOUSING n SPACE : 30, 000 Sq. Ft (Including Offices) n BUILDING: STEEL STRUCTURE AND PREFABRICATED CONCRETE PANEL n n CONTAINER YARD: 5 CONTAINER PARKING CAPACITY DOCK: RECEIVING 1 SHIPPING PICK UP n n 1 1 PALLET STORAGE CAPACITY: 7, 000 Sq. Ft (1470 pallets) SECURITY FEAUTURE: GATED SITE, 24/7 SECURITY WEB CAMERA VIDEO DATA MAINTEINED FOR 3 MONTHS SCHEDULED PATROL BY SEQURITY GUARD 3

FACTORY LAYOUT Pallets Capacity on Racks= 1, 170 Rework Rooms NG Area To expand Inspection Rooms Pallets Capacity on Floor= 300 Receiving/ Shipping Area VMI Racks Inspection Rooms= 5 Inspection Rooms Inspection Parts Area Rework Room= 1 Administrative Office 4

Security Camera View 5

3. SORTING & INSPECTION OUR RELIABLE AND EXPERICENCED QA STAFF WILL WORK WITH YOU 6

3. 1 SORTING SECTION PC BOARDS CHASSIS (METALLIC STAMPING PARTS) PANEL, ESCUTCHEON, LENS (PLASTIC PARTS) HEAT SINK (DIE CASTING) LCD 7

3. 2 LCD INSPECTION INSTRUMENTS OSCILOSCOPE POWER SUPPLY SOURCE 8

4. Daily Report Daily report is sent via e-mail according to costumer distribution list on next day. 9

5. VMI SUPPORT OPERATIONS (1) BENEFITS CUSTOMER SUPPLIER • INVENTORY REDUCTION • SERVICE IMPROVEMENT AT COMPETETIVE • WAREHOUSE COST REDUCTION ⇒ BETTER CASH FLOW COST OF SEKAI ⇒ BUSINESS EXPANSION • CLOSENESS TO SUPPLIERS’ INVENTORY ⇒ SHORTER TRANSIT TIME • SEKAI’S DELIVERY TRUCK IS AVAILABLE FOR URGENT MATERIAL COMMON BENEFIT • MINIMIZING EXPEDITED AIR FREIGHT COST • NO EXTRA COST FOR TRANSPORTATION WHEN SORTING, REWORKING, AND VMI 10

(2) VMI OPERATION SEQUENCE 1. CUSTOMER: 2. SUPPLIER: 3. SEKAI: 4. SEKAI: 5. CUSTOMER: 6. SEKAI: 7. SEKAI: 8. SUPPLIER: RESERVATION / BLANCKET ORDER TO SUPPLIER SHIPMENT TO SEKAI VIA NIPPON EXPRESS (cross-dock for Sekai) BORDER CROSSING RECEIVING & INSPECTION WHEN NECESSARY DELIVERY ORDER TO SEKAI SHIPMENT (VIRTUAL EXPORT) TO CUSTOMER SHIPPING REPORT TO SUPPLIER INVOICING * VMI Warehouse Inventory Can be monitored at Portal Site 11

SUPPLIER n VMI PROCESS 2 SHIPPING 1. P/O 8. PAYMENT USA 3. CROSS-DOCK 9. INVENTORY CHECK INSPECTION MEXICO CUSTOMS 4. INSPECTION CUSTOMER CUSTOMS CLEARANCE SEKAI WAREHOUSE 5. PULL ORDER 6. DELIVERY 7. INVENTORY CHECK 12

ASN (advance shipping notice) Supplier Nippon Express Panasonic Electronic ASN n n Electronic ASN between Nippon-Sekai-Customer when shipment is in transit. Shipment arrival to Sekai; Sekai scans Nippon’s order number and supplier’s barcode label. Sekai’s system will match and verify against ASN data. Minimal amount of manual work in the process of receiving. High level of efficiency in receiving and productivity 13

Welcome page http: //www. sekaitechnology. com 14