International Aerospace Quality Group (IAQG) Informational Overview March 2002 Gary Baker Americas Sector Leader International Aerospace Quality Group

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. International Aerospace Quality Group

Improvement - Quality AND Cost Quality Performance & Product Integrity Cost ¥ $ € £ Time + _ International Aerospace Quality Group

Organization Structure IAQG Council IAQG General Assembly Meetings APQGAAQG EAQG National Trade Associations AECMASAE SJAC International Aerospace Quality Group

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 International Aerospace Quality Group

Europe EADS * Airbus* EADS Airbus GmbH* Rolls-Royce * BAE SYSTEMS* ALENIA * SNECMA Moteurs * EADS CASA* Intertechnique* Turbomeca Hispano-Suiza Messier-Dowty Messier-Bugatti Thales Volvo Dassault Eurocopter Smiths Aerospace MTU Israel Aircraft Industries AECMA EASE AECMA** Americas Boeing* General Electric* Pratt & Whitney/UTC * Rockwell Collins Honeywell * Lockheed Martin* Northrop Grumman * Vought Rolls-Royce Corp. Gulfstream Embraer* Goodrich Co Bombardier* Bell & Cessna - Textron* LMAASA (Argentina) Parker Aerospace PRI SAE** Asia Ishikawajima Harima* Mitsubishi Heavy Ind.* Kawasaki Heavy Ind. Fuji Heavy Industries Aviation Ind. of China* Korea Aerospace Ind.* SJAC** * Voting Council Member ** Non-Voting Council Member International Membership International Aerospace Quality Group

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 International Aerospace Quality Group

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 International Aerospace Quality Group

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 International Aerospace Quality Group

Meeting Schedule Dec ‘98 - Derby, England Jun ‘99 - Madrid, Spain Mar ‘99 - Palm Beach, Florida Sep ‘99 - Dallas, Texas Mar ‘00 - Tokyo, Japan Mar ‘01 - New Orleans, LA* September 25th Dallas, Texas* - General Assembly in conjunction with CQCA (Conf. Quality & Comm. Aviation) October 7th-10th Torino, Italy April 7th - 11th Edinburgh, Scotland* October Cincinnati, USA ( * includes General Assembly ) Sep ‘99 - Dallas, Texas Jun ‘00 - Seattle, Washington Nov ‘00 - Toulouse, France Jun ‘01 - Berlin, Germany* Oct ‘01 - Sao Paulo, Brazil Mar ’02 – Kyoto, Japan International Aerospace Quality Group