International Aerospace Quality Group (IAQG) Informational Overview 28th June 2001 Gary Baker ~ Americas Sector Leader ~

Purpose Purpose As stated in the IAQG Chartering document To establish and maintain a dynamic co-operation based upon trust between international aerospace companies on initiatives to make significant improvement in quality and reductions in cost throughout the value stream. Initial focus is to continuously improve the processes used by the supply chain to deliver consistently high quality products, thereby reducing non-value added activities and costs.

Objectives Common quality standards & requirements –Common aerospace basic quality systems, best practices in aerospace industry, performance metrics Process of continuous improvement Methods to share results Implementation plans that bring the initiative to life

Organization Structure IAQG Council IAQG General Assembly Meetings JAQGAAQG EAQG National Trade Associations AECMASAE SJAC

Organizational Responsibilities Founded December 1998 Charter approved June 1999 Structure: –Leadership TeamRepresentative from each sector –CouncilPolicy, purpose & objectives –General Assembly Communication forum for the Aerospace community world-wide –Sub-teamsChartered to address individual initiatives & objectives

Europe –EADS-CASA* –EADS Corporate* –Airbus Industrie* –Turbomeca –SNECMA Moteurs* –Eurocopter –Intertechnique* –Dassault Aviation –Messier-Bugatti –BAE SYSTEMS* –Alenia* –Sextant Avionique –Volvo Aero Corp. –Messier-Dowty –EADS Airbus GmbH* –Rolls-Royce* –Hispano-Suiza –MTU Aero Engines GmbH –AECMA** Americas –The Boeing Company * –General Electric* –Pratt & Whitney/UTC * –Rockwell Collins* –Honeywell * –Lockheed Martin* –Northrop Grumman * –Vought –Rolls-Royce Corp. –Gulfstream –Embraer* –Goodrich –Bombardier* –Bell Helicopter Textron –HELIBRAS (Brazil) –LMAASA (Argentina) –Raytheon –Cessna –SAE** Asia – Ishikawajima Harima* – Mitsubishi Heavy Ind.* – Kawasaki Heavy Ind. – Fuji Heavy Industries – Shin Mayawa Ind. – Aviation Industries of China* – Korea Aerospace Ind.* – SJAC** * Voting Council Member ** Non-Voting Council Member International Membership

Focus on Improvement Improve Customer & Regulatory Relationships Simplify & Standardize Common Processes Emphasize Lower Tier Supplier Control Diligent Implementation of ‘Best Practices’ & Standards Implement Robust Root Cause Corrective Action Requirements Apply to Primes as much as Suppliers

Key Measures Number of internationally published documents Number of chartered sub-team’s work completed against target date Use of Standards and other ‘Products’ –Internally –At suppliers

Meeting Schedule Dec ‘98 - Derby, England Mar ‘99 - Palm Beach, Florida Jun ‘99 - Madrid, Spain Sep ‘99 - Dallas, Texas June 25th - 28th, Berlin, Germany –General Assembly June 28th October 22nd - 25th, Sao Paulo, Brazil March 11th - 14th, Kyoto, Japan General Assembly March 14th Mar ‘00 - Tokyo, Japan Jun ‘00 - Seattle, Washington Nov ‘00 - Toulouse, France Mar ‘01 - New Orleans, LA