a PennEngineering® Company PEM® Europe a PennEngineering® Company 70+ years of Innovation Intro me and MK 10 years in PEM mostly resp SE and Scand markets Now responsible for PEM sales team (France, Italy, Spain and UK) and all distributors including Germany 1st visit to KVT after 10+ years so very happy for the invite Next number of slides review recent Euro PEM wins and applications success. Any questions or anything not clear stop me, Give a copy of this presentation to Jurgen

Common Problems - Dimensional From a wide sample testing of Nuts, Studs and Standoff’s, the following issues were noted Wide spread of dimensional data outside of PEM® specification Non-Gaugeable threads Impact: Leads to issues with Automatic Feeding systems Thread gauging leads to issues with assembly of mating components Below is an example of dimensional variance 2

Common Problems - Material From a wide sample testing of Nuts, Studs and Standoff’s, the following issues were noted Mild Steels: Wide variation in material grade, indicating lack of consistent specification Speciality Materials (Corrosion Resistant): Low Nickel content, Chemical composition outside of PEM® specification Impact: Leads to significant corrosion issues and lack of raw material traceability Below is an example of a Salt-Spray test comparison 3

Common Problems – Hardness Note: Ensuring the correct hardness of the self-clinch fastener is a critical performance characteristic From a wide sample testing of Nuts, Studs and Standoff’s, the following issues were noted Wide spread of hardness above and below the PEM® and Industry specification. Impact: Inconsistent performance Assembly Issues Risk of Hydrogen embrittlement 4

Common Problems - Plating From a wide sample testing of Nuts, Studs and Standoff’s, the following issues were noted Plating thickness below the minimum PEM® and Industry specification. Poor aesthetic appearance in many examples Impact Leads to premature fastener corrosion See below example of salt-spray testing comparison 5

Common Problems – Mechanical Performance From a wide sample count of Nuts, Studs and Standoff’s, the following issues were noted Significant reduction in Torque-out when compared to the PEM® specification A consequence of dimensional variation and inconsistent hardness Impact Failing to meet Torque-Out requirements could lead to a fastener spinning in the sheet. As the self-clinch fastener s a permanent fixing, this has significant impact to the assembly. 6

Common Problems – Product Labeling Traceability: All PEM® parts include the manufacturing reference number, ensuring full lot traceability See example below as the PEM® global standard. Impact: Most competitors have variations in labelling format due to multiple product sources – leading to non-existent traceability. 7

Common Problems - Trademarks Traceability: All PEM® brand fasteners include the registered trademark (detailed below). The PEM® trademark reflects more than 70 years of quality, reliability, innovation and support. 8

Summary 9

a PennEngineering® Company PEM® Europe a PennEngineering® Company 70+ years of Innovation Intro me and MK 10 years in PEM mostly resp SE and Scand markets Now responsible for PEM sales team (France, Italy, Spain and UK) and all distributors including Germany 1st visit to KVT after 10+ years so very happy for the invite Next number of slides review recent Euro PEM wins and applications success. Any questions or anything not clear stop me, Give a copy of this presentation to Jurgen