World-Class Support For Manufacturers The Offshore Group Innovative

World-Class Support For Manufacturers The Offshore Group Innovative Outsourcing Our Team Of Over 500 Experts Working For You www. offshoregroup. com

Who is The Offshore Group? • The Offshore Group is the largest shelter service provider in Mexico with over 13, 000 people employed in Mexico today on behalf of 55 foreign manufacturers and 5 foreign BPO, ITO, & Contact Center providers. • Over 24 years, The Offshore Group has developed an unmatched support infrastructure of leaders, experts, processes, and state-of-the-art systems that small, medium, and large manufacturers (clients) leverage every day. • The Offshore Group enjoys the highest client retention rate in the industry. World-Class Support For Manufacturers The Offshore Group • The Offshore Group provides unparalleled facilities support within secure and strategically located industrial parks totaling nearly 4 million square feet of construction. www. offshoregroup. com

Who is The Offshore Group? An integrated group of U. S. and Mexican companies that provide peace of mind to foreign manufacturers and service providers through U. S. based contractual agreements and a solid reputation for operational excellence and regulatory compliance in Mexico. World-Class Support For Manufacturers The Offshore Group www. offshoregroup. com

Our Challenge: For our clients to achieve overall cost reductions by operating in Mexico; and for our clients to simultaneously preserve or even improve quality and delivery while avoiding financial and operational risks that may be associated with doing business in a foreign country. World-Class Support For Manufacturers The Offshore Group www. offshoregroup. com

Four Ways Our Shelter Model Meets The Challenge: 1. Locations. Operate within our flexible, scalable, secure, and strategically located industrial parks in Mexico; or choose a location that better meets your site requirements. 2. Focus. The manufacturer or service provider focuses its resources on productivity, efficiencies, quality, innovation, and ontime delivery. We focus our resources on non-production-related functions. 3. Leverage. Manufacturers immediately leverage The Offshore Group’s world-class administrative infrastructure and economies of scale in Mexico that reduce costs and eliminate long and costly learning curves. World-Class Support For Manufacturers The Offshore Group 4. Shared Risk. With The Offshore Group, foreign companies have no need to establish a legal presence in Mexico resulting in: 1. 2. 3. Virtually no administrative startup costs. Greatly reduced risk and exposure. No burden associated with maintaining a legally and fiscally compliant company in Mexico. www. offshoregroup. com

What Are Some of The Benefits Our Shelter Program Provides? ü ü ü ü ü No upfront costs, no need to form and maintain a legal entity & fast startup ü Expert logistics support ü Access to local vendors and service providers Experienced labor recruiting Experienced leadership/mgmt. recruiting Reduced labor turnover ü ü Secure & safe industrial parks Fast response to building maintenance, repair, and utilities issues Building upsize / downsize flexibility Improved labor attendance Effective labor union relations & negotiations ü ü No government reporting Ensures market wages and benefits ü No income tax Expert employee problem resolution Reduced border crossing costs and delays Assurance of Mexican Customs Compliance ü Assurance of Mexican Environmental Compliance World-Class Support For Manufacturers The Offshore Group www. offshoregroup. com

Our Core Competencies Labor Management Import & Export Management Recruiting, Selection, Hiring, Severance, Payroll, Benefits, Labor Law Compliance, Union Relations , Workforce Transportation Importing and Exporting, Cross Docking, Warehousing, Distribution, International Freight Management Facilities Management Regulatory Compliance Construction Management, Tenant Improvements, Building Maintenance, Environmental, Security and Safety. Accounting, Tax Compliance, Government Reporting, Local Vendor Management, Purchasing, VAT Reimbursement World-Class Support For Manufacturers The Offshore Group www. offshoregroup. com

What You Do & Control: Production Supply-Chain Training Manufacturing Technology Engineering Customer Service Quality What We Do: Human Resources Payroll & Benefits Accounting & Taxes Local Procurement World-Class Support For Manufacturers The Offshore Group Employee Busing Import & Export Facilities Maintenance Environmental & Safety Labor Union Relations Park Management Corporate Citizenship www. offshoregroup. com

A Close-up At Our Labor Management Service: • • Workforce redeployment • Recruiting ads in local media and web • Employee dispute resolution • Maintain candidate databases • Labor statistics and analysis • Recruiting of direct, indirect, and salaried labor • Labor union negotiations • Recruiting of specialized labor • Labor dispute resolution • Offsite recruiting • Day-to-day labor union interaction • Applicant prequalification • Mexico labor law compliance • Applicant testing • Mexico labor law reporting • Applicant background check • Local community leaders alliance • Hiring (per client requirements and approval) • Education activity coordination • New hire orientation • Skills training program facilitation • In-plant HR representation • Alliance with local trade schools • World-Class Support For Manufacturers Executive recruiting Employee records upkeep • Employee satisfaction surveying • Attendance monitoring • Recreational activity coordination G • Employee counseling • HR field services • On-site child care services G • In-Park Medical Services • Employee termination The Offshore Group www. offshoregroup. com

Manufacturers We Serve Today: 55 Automotive & Transportation Manufacturers: Electrical, Electronic, & Medical Device Manufacturers: Aerospace Manufacturers: Other Industry Manufacturers: • Tyco Electronics 1 • Precision Interconnect (Tyco) • Goodrich Turbomachinery 1 • Meco • • BAE Systems • Hydro Aluminum • Cooper Standard Automotive 1 Medtronic 1 • St. Clair Technologies • Gyrus Medical (Olympus) • Parker Hannifin • Minco • Intec Group • Avalon Labs • GE-Unison • APSM Systems • Unlimited Services • Younger Optics • Esco Turbine Components • Greenheck Fan • Mico • C&M Corporation • Benchmark • Camfill Farr • DCM • Novacap • Sargent Controls • Jyco Sealing Technologies • The Phoenix Company • Williams International • Waukesha Bearings • Electronic Evolution • Senior Aerospace • Neapco • Arc-Tronics • Ducommun Aerostructures • Powerbrace • Huber-Suhner • G. S. Precision • Phillips Industries • Whitepath • Paradigm Precision • Gemini Plastics • Turck • Horst Engineering • Liberty Steel • CBC Connect • Vermillion • Blickman • Trac Tool Industries 1 Electronics 1 • Kromet • Waukesha Bearings • Precision Products • CRS Aerospace • Bodycote Thermal Processing 1 Companies with both stand alone and shelter operations • Headcounts range from 7 to 4, 000 people • Years in shelter range from 3 to 14 www. offshoregroup. com

Client Retention: www. offshoregroup. com

Our Strategic Locations Los Angeles Tijuana Tucson Mexicali Cd. Juarez Nogales Houston Hermosillo Guaymas Chihuahua ao Se f. C Mission Brownsville ort Monterrey Asian, European, & South American Ports ez Reynosa Saltillo Gulf of Mexico Mazatlan San Luis Potosi Altamira Queretaro Guadalajara Mexico City World-Class Support For Manufacturers Manzanillo The Offshore Group Guatemala Honduras El Salvador www. offshoregroup. com

Legal Structure/Roles Client U. S. Contract U. S. Offshore International U. S. Mexico MX Affiliates Client Operations In Guaymas Maquilas Teta Kawi Manufacturas Zapaliname Client Operations In Saltillo Legal Presence in Mexico • Mexican Governmental & Regulatory Entities - Fiscal - Labor & Unions - Social Security & Welfare - Customs - Commerce - Environmental - Health & Safety • Trade within Mexico • Legal Council www. offshoregroup. com

The Offshore Group’s La Angostura Industrial Park Located in Saltillo, Coahuila Mexico www. offshoregroup. com

Employee Busing La Angostura Industrial Park Saltillo, Coahuila Mexico www. offshoregroup. com

www. offshoregroup. com

www. offshoregroup. com

www. offshoregroup. com The Offshore Group’s Bella Vista Industrial Park Located in Empalme, Sonora Mexico

Exchange Rate History: Mexico Inflation Rate History: World-Class Support For Manufacturers The Offshore Group www. offshoregroup. com

Our Value Proposition • Focus on what you do best. • Achieve a competitive advantage from day one. By leveraging our resources, infrastructure, By outsourcing nonproduction-related functions to us, you focus on productivity, efficiencies, and innovation; on meeting product quality and delivery commitments; and on operating at the lowest possible cost in Mexico. expertise, economies of scale, and legal presence in Mexico. World-Class Support For Manufacturers The Offshore Group www. offshoregroup. com

For more information: www. offshoregroup. com Eduardo R Saavedra VP Business Development The Offshore Group Email: eduardo. saavedra@offshoregroup. com Ofc: (520) 889 -0022 Cell: (520) 360 -6644 www. offshoregroup. com Sunset at Los Algodones Beach Located in San Carlos, Sonora Mexico