A tradition of excellence TR-821 REV / Restricted Proprietary Information. Marvin Group proprietary rights are included in the information disclosed herein. Recipient by accepting this document agrees that neither this document, nor the information disclosed herein, nor any part thereof shall be reproduced or transferred to other documents or used or disclosed to others for manufacturing or for any other purpose except as specifically authorized by Marvin Engineering. 1/21/2013 Heidi Smith, Jesse Andrade Supplier Management Overview

TR-821 REV / - 01/21/2014 © The Marvin Group 2013 PAGE 2 Marvin Group Confidential Supplier Quality Closed Loop Management Process Supplier Selection & Approval Supplier Req’ts Flowdown Post Award Review Product Validation Post Delivery

TR-821 REV / - 01/21/2014 © The Marvin Group 2013 PAGE 3 Marvin Group Confidential New Strategic Procurement Organization Objective Transform to Best Value Procurements SAP Integration (One System) Implement Closed Loop Supplier Management Process Co-Located Supplier Management Team

TR-821 REV / - 01/21/2014 © The Marvin Group 2013 PAGE 4 Marvin Group Confidential Supplier Quality Management Process Maintain Best Possible Supply Base Maintain Approved Supplier List (ASL) Supplier Scorecards Matching of Supplier Capabilities (SAP Vendor Process Coding) Delivery/Quality Performance Supplier Segmentation Source Selection based on best value Quality / QMS/Delivery /Cust. Sat. /Small Business Turn Key Legend Green = Process function Blue = Process Enhancement Supplier Selection & Approval

TR-821 REV / - 01/21/2014 © The Marvin Group 2013 PAGE 5 Marvin Group Confidential Supplier Quality Management Process Flow Down All Quality Requirements Provide Supplier Quality Assurance Requirements Insure Program specific Quality and Inspection Requirements are clearly spelled out on the Purchase Orders and Full requirements are defined by Web Page Link Sales Order Flow down for program specific requirements Supplier Req’ts Flowdown

TR-821 REV / - 01/21/2014 © The Marvin Group 2013 PAGE 6 Marvin Group Confidential Supplier Quality Management Process Assure a Quality Product, Delivered on Time Provide Status and Visibility to Programs Provide Technical Liaison Support Assess Requirements Prior to Fabrication Validate Product Quality Conduct Receiving Inspection (SAP Integration) Assess Inspectors Skills and Developing Improvement Plans Improve the skill level of the inspectors and the accuracy in QC Evaluations. Drive QC Performance with Visibility boards Validate AS9102 First Article Developed Pre Screen process for paperwork review Conduct Final Inspection, and/or Testing at Supplier Assess supplier for participation in Self Inspection Program Self Inspection Receiving Inspection Supplier Performance Rating Post Award Review Product Validation

TR-821 REV / - 01/21/2014 © The Marvin Group 2013 PAGE 7 Marvin Group Confidential Supplier Quality Management Process Assess Supplier Assurance Supplier Monitoring Conduct Process/ Product Audits Administer Supplier Performance Rating/ Scorecard Trending Supplier Performance and Identifying Problem Suppliers for Corrective Action Perform Incoming Product Audits on Self Inspection Suppliers Deliver Supplier Training RCCA AS9102 PAP Clause AQL Post Delivery Timely Response to Issues Corrective Actions (SAP Integration) Improved the DMR process Conduct Stock Purge Initiate and Approve Supplier Corrective Action Requests (SCAR) Track and Trend Rejections Develop Supplier Improvement Plans

TR-821 REV / - 01/21/2014 © The Marvin Group 2013 PAGE 8 Marvin Group Confidential Summary Marvin is driving towards closed loop supplier quality management to assure our products meet Marvin Engineering’s highest quality standards Supplier Selection & Approval Supplier Req’ts Flowdown Post Award Review Product Validation Post Delivery