Supplier Manual

MT-003 8-27-13

CK Technologies, LLC Core Ideology

MISSION

To be the pioneer of thermoplastic solutions for the commercial Truck & Bus markets.

VISION Our vision is to secure a significant share of the large thermoplastic molded components for

the Commercial Truck & Bus markets. We will use a business model that emphasizes sustainability to guide us in developing innovative value added solutions.

VALUES

We will direct our company with the basic values of being ethical and fair. We will

value all Associates and treat each with respect and dignity. We will encourage innovation and we will maintain state-of-the-art operations.

We will achieve our values by encouraging Associate education and lifelong learning,

being of service to others, maintaining the highest degree of character and integrity, exploring and applying new appropriate technologies and working in teams. We will be the best we

can be: ensuring long-term vitality while providing growth and security for our Associates, the Communities in which we live and our Customers.

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TABLE of CONTENTS CKT Mission Statement 1 Table of Contents 2 Introduction 3 Self Survey 4 - 7 Non-Disclosure Agreement 8 Supplier Information Form 9 Acknowledgement of Manual 10 Business Gift Policy 11 Supply Base Expectations 11 - 12 General Requirements

Quality Requirements 12 – 14

Cost Recovery 15 Part Qualification 16 IMDS / Material Certifications 17

Invoice Requirements 18

MSDS Requirements 18

Shipping and Labeling Requirements/Preferred Carriers 19 - 20

Packing Slip Requirements 20 Supplier Schedules/Material Release Information 21

Rating System 22 – 25

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INTRODUCTION

The CK Technologies, LLC a wholly owned subsidiary of Cascade Engineering is pursuing a path of defendable growth. This growth plan is dependent upon our ability to contribute to the success of our Customers by delivering the Best Quality, Delivery, Cost and Features. As a valued Partner, this manual has been designed to provide you with information on conducting business with our company. It outlines the requirements for invoicing, MSDS sheets, packaging, purchase orders, scheduling orders, labeling, shipping, quality, PPAP submission, on-time delivery, non conformance charge backs and annual reviews. For tooling payment terms and purchase order terms and conditions, please see our website at www.cktech.biz.

Prior to receiving a quote package from CKT a Non-Disclosure Agreement must be signed and returned to your respective Buyer. If awarded business, you must sign and return Self Survey, Acknowledgement Document of the Manual and a copy of the Supplier Information Form by either email or fax.

CK Technologies, LLC 1701 Magda Drive

Montpelier, Ohio 43543 Attn: Buyer Name

Fax: (419-485-1405)

We are committed to optimizing our ability to impact the overall success of our Customers, as well as optimizing our ability to attain the financial goals communicated by our Management. We will do this by identifying and doing business with those Suppliers who will provide quality parts, on time delivery, great customer service and at a price that enhances our overall profitability. We will conduct our activities with honesty and integrity. CK Technologies, LLC is committed to continuous reduction of negative impacts to the environment, utilizing an Environmental Management System. The support of the Supplier is needed to meet this commitment. Suppliers who are not certified to ISO14001, but present and implement more environmentally friendly products, packaging, and/or services can earn partial credit. Submission of these ideas must be formally presented to your respective Buyer for consideration. Any changes to products, packaging and services that are a result of this presentation will have to be approved through the normal PPAP procedures.

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Self Survey

Date: __________________

Company Name: __________________________ Plant / Division______________________ Address: ____________________________________________________ City: _________________________ State: __________ Zip: _______________ Telephone: ________________ Fax: __________________ Web Address: ____________________________

Manufacturing Operations / Commodities / Products: __________________________________________________________________________

Top (Site) Officer & Title: __________________________ Key Contacts Name Phone # E-mail Customer Service: _____________________ _________________ ______________ Quality: _____________________ _________________ _______________ Engineering: _____________________ _________________ _______________ Emergency After Hours Contact and Phone #: _________________________________ Outside Sales Firm Name & Contact: ________________________________________ Annual Company Sales: __________________________________

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Self – Survey Questionnaire

For the following answer the questions by circling the answer that applies. If there is an asterisk (*) after the question, please supply the supporting document(s).

1. Does your company have a valid 3rd party registration to ISO/ TS 16949:2002 or ISO 9001:2000? *

� YES � NO (If yes, attach a copy of the latest certification) (If No, do you have plans in place to become certified?) � YES � NO Please explain: __________________________________________________________ __________________________________________________________

2. Does your company have 3rd party registration to ISO 14001? *

� YES � NO (If yes, attach a copy of the latest certification) (If No, do you have plans in place to become certified?) � YES � NO Please explain: ________________________________________________________ ________________________________________________________

3. Does your company have an accredited laboratory? *

� YES � NO (If yes, please supply a copy of the latest lab scope and latest certification.) (If no, and you are required to provide test data to CK Technologies, please provide the scope and certification(s) for any labs you plan to use.) NOTE: If you answered yes to question (1) you are not required to complete questions 4-22. Please go to the end and sign and date your response.

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Self – Survey Questionnaire Continued

4. Does your company have a documented Quality Policy?

�YES �NO 5. Are there written objectives regarding quality?

� YES � NO 6. Does your company have a written Quality Manual?

� YES � NO (Supply uncontrolled copy) 7. Does your company have a system to provide traceability of materials?

� YES � NO

8. Does your company use quality planning?* (Control Plans, PFMEA) � YES � NO

9. Does your company do receiving inspection, in process inspection / final auditing?

� YES � NO 10. Is your material identified with a part number and inspection status?

� YES � NO 11. Do you have a system for the calibration of measurement equipment used in

manufacturing / test of saleable product? � YES � NO

12. Does your company have methods to identify and control nonconforming product? � YES � NO

13. Does your company have and use a documented corrective action process?

� YES � NO 14. Does your company use quality records / customer feedback to track

performance? � YES � NO

15. Is the performance data shared with Management and production associates?

� YES � NO

16. How does Management act on the information?

17. Does your company perform internal audits?

� YES � NO 6

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Self – Survey Questionnaire Continued 18. How are your employees trained / qualified to perform their job duties?

� YES � NO

19. Do you have a documented system in place to monitor your manufacturing processes? � YES � NO

20. Does your company use statistical controls in the process?

� YES � NO

21. What is your plan for processes that are not capable?

22. Do you have a containment system in place to monitor your manufacturing processes?

23. Is your company Unionized? When does the Union Contract expire?

� YES � NO

As a follow-up to this survey, a CK Technologies representative may contact your organization. Supplier Signature: ______________________________________________ Title: ___________________________________ Date: _____________

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SUPPLIER NON-DISCLOSURE AGREEMENT ____________________________________ (hereinafter referred to as “Supplier”) has been, or may become, a supplier to CK TECHNOLOGIES, LLC, or to one of its subsidiaries or joint ventures (all hereinafter collectively referred to “CKT”). During the parties’ relationship, certain confidential information of CKT may be disclosed by CKT to Supplier, and CKT and Supplier may jointly work on the development of new or modified products or processes. In consideration of Supplier’s relationship with CKT, the disclosure of confidential information from CKT to Supplier, and any efforts of CKT in attempting to develop new products which may be sold to CKT by Supplier, Supplier agrees as follows, both for its own account and for the account of any of its employees, consultants, or agents:

1. Confidential Information: Supplier acknowledges that all information, knowledge, or data relating to CKT’s costs and financial information; pricing methods or strategies; existing and potential customers; market studies, plans, and strategies; new product plans; information regarding customer contracted products and projects under development and related product information; product manufacturing methods or processes; product designs and sources of supply for product components and manufacturing services, all whether developed by Supplier and/or CKT (or customers of CKT), shall be the exclusive property of CKT and shall be deemed confidential (“Confidential Information”) and subject to nondisclosure. However, Confidential Information shall not include:

(a) Information which is or becomes part of the public domain other that by the acts or omissions of Supplier,

provided that information which becomes part of the public domain shall remain Confidential Information under the Agreement for one year after public disclosure;

(b) Information which can be demonstrated by written documents to be in Supplier’s possession prior to the time of its disclosure hereunder; or

(c) Information that is given to Supplier without obligation of secrecy by a third party who is free to disclose the information.

2. Use of Confidential Information: Supplier acknowledges that any use of Confidential Information by Supplier, other

than for the sole benefit of CKT, would be wrongful and cause irreparable harm to CKT. Accordingly, Supplier shall not, at any time from the date hereof until five (5) years after the termination of its supply relationship with CKT, without the express consent of CKT, publish, disclose, or divulge to any person, firm, or corporation, or use directly or indirectly, for its own benefit or for the benefit of any person, firm, or corporation any Confidential Information. Supplier shall provide and maintain strict confidentiality of any digital design data, sample parts, photographs, or digital images supplied by CKT.

3. Amendment: The Agreement may not be changed, modified, released, discharged, abandoned, or otherwise

terminated in whole or part, except by an instrument in writing signed by both of the parties hereto.

4. Governing Law: The Agreement shall be governed by, construed, and enforced in accordance with the laws, and in the courts, of the state of Ohio.

5. Benefits: This Agreement shall be binding upon and shall inure to the benefit of the successors, assigns, and

representatives of the parties hereto.

IN WITNESS HEREOF, the parties have executed this Agreement.

CK Technologies, LLC Supplier

By: ___________________________ By: _________________________

Its: ___________________________ Its: __________________________ Date: _________________________ Date: ________________________

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New Supplier Supplier Change

Supplier Information:Supplier Name:Mfg Address:City: State: Zip:Country: Federal ID # (Required):Sales Contact Phone: Email:Accounting Contact Phone: Email:Customer Svc Contact Phone: Email:

Remit to Address: (if different than above)

Address:

City: State: Zip:

Payment Terms:Standard Terms:

Other:

( CKT Use Only )

Additive MROAdhesive ServicesAssembly EmployeeBgscreens FacilitiesFoam / Fab Inter CompanyLabel Tool - See BelowMold AUX - Supp equip for mold

or machineSeals Molds- New Tooling

Secondary- EquipmentRepair - Unscheduled

2.3.1 and 2.9 Entries Must be Completed Maint - Scheduled

DiverseInternational

Supplier Status: ( CKT Use Only )

PX - ProbationDQ - DisqualifiedIA - Inactive

Buyer Site: 5100 Montpelier, OH5120 Mt. Airy, NC5130 Brownsville, TX5140 Fort Worth, TX

Additional Comments:Revised 6/19/2013

Supplier Information Request Form CK Technologies LLC

Net 60 days (if other must have CK Technologies authorization)

Supplier Signature of Approval for Any Terms: CKT Authorization Signature for Terms other than N60:

Comments:

Supplier Type: (direct supplier)

Direct Suppliers Indirect Suppliers

PaintPlating

Requested By:

Check if ApplicableMinority Supplier Women Owned

PackagingResinSteelTrimHardware

Electric

Date:

Any Questions - Please Contact Alex Wheeler (ext 7305)

Certifications (ISO 9001:2008, TS 16949:2009, ISO 14001 and any Diverse Certifications:YES or NO Type:____________________________________________________________**Copies of all certifications must be submitted electronically with the Supplier Information Form**CKT Suppliers for production materials must be at a minimum ISO9001:2008 certified with a goal of TS16949:2009 certification

Do you accept MasterCard? YES or NO

AP - ApprovedPE - PendingDE - Developmental

MT-003 8-27-13

Manual Acknowledgement Document

__________________________ has received and reviewed the CK Technologies, LLC Manual. ( Name) ___________________________ agrees to adhere to the requirements provided herein unless ( Name) previously notified and approved in writing by CK Technologies, LLC.

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POLICY ON BUSINESS GIFTS

CK Technologies, LLC Associates may not solicit any gift, entertainment or other gratuity. CKT Associates may not accept gifts, entertainment, or other gratuities from anyone seeking a contract with or purchase by CK Technologies other than customary business courtesies that are reasonable in frequency and value. CKT Associates may accept only a.) beverages, light snacks and business meals served during business meetings held at supplier facilities b.) business meals when in travel status, c.) promotional or advertising items of truly nominal value, d.) any other business gift or item of value must be approved in writing by the President of CK Technologies.

SUPPLY BASE EXPECTATIONS

• Confidentiality – The supplier shall provide and maintain strict confidentiality of any digital design data, sample parts, photographs, or digital images supplied by CK Technologies.

• Inventory Reduction Programs – In order to improve cash flow, our Suppliers must be willing to work with CKT to achieve common inventory goals. Suppliers are expected to participate at these levels contact your respective Buyer.

• o Expected Weekly Increment Quantities o Desired Consignment Programs o Preferred Vendor Managed Inventory (VMI) with Consignment

• Master Supply Agreement (MSA) – CKT is in long term agreements with all of their

Customers. Therefore, a minimum 3 year MSA is preferred with all of our key Supplier accounts. Suppliers are expected to offer annual cost downs commencing one year after the MSA has been initiated.

• o Expected 3% o Desired 5% o Preferred 10%

• Price Increases – It is not CK Technologies practice to initiate price increases to our

Customers. Therefore, price increase proposals must be presented to your respective Buyer a minimum of 90 days BEFORE the proposed increase is to take effect. Included with your price notification letter on company letterhead should be a copy of the invoice from your raw material subcontractor before and after the increase or any other supporting documentation. NOTE: If we have to market test your increased pricing, you will not be provided an opportunity for a second proposal.

• On-Time Delivery (OTD) Requirements – CK Technologies requires 100% on-time delivery.

On-time shipments are defined as shipments received on the dock date or 3 days prior to the dock date as indicated on the discrete purchase order or production scheduling order. Late shipments are defined as shipments received one or more days beyond the designated dock date as indicated on the purchase order.

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Quality System Certification - New or existing Suppliers to CK Technologies, LLC must have 3rd party certification to the ISO / TS 16949:2009 quality standard (preferred) or at a minimum to ISO 9001:2008. Exceptions to this may include; customer designated sources, or sources that were grandfathered prior to the implementation of this manual. In all cases, CKT reserves the right to conduct onsite audits to confirm sufficient controls are in place to meet the requirements of the above mentioned specifications and CKT’s specific requirements

QUALITY REQUIREMENTS

• CK Technologies expects that its’ Suppliers will establish their quality systems and

procedures to provide defect free parts and that they will continuously improve those systems and procedures to attain / maintain a 0 defect performance.

• Each is required to provide a copy of their latest 3rd party quality systems registrations and

lab accreditations. Failure to update expired registrations will result in the loss of 5 points during the annual rating period.

• A Production Part Approval Process (PPAP) will be required with each new item, material

ordered, or transfer of tools unless otherwise directed by CK Technologies, LLC Quality Dept. in writing.

• The latest revision of the AIAG PPAP manual is to be followed for level 3 submission

unless otherwise specified in writing.

• If for any reason a Supplier is going to be late in providing material or performance test results, you must immediately notify the respective Material Planner and or the Quality Engineer. If you do not contact us before the required ship date or you do not ship the correct quantity with the correct paperwork, CKT reserves the right ( in addition to other remedies that may be available ) to immediately issue a non-conformance or corrective action. As a result of the non-conformance, our plant (s) experience downtime or our Customer’s are affected, we may engage in cost recovery efforts.

• If a supplier ships or suspects they may have shipped suspected defective material to CK

Technologies or its customers, they are required to notify CK Technologies immediately in writing and implement containment activities

• Processing material outside of the normal production process, due to equipment

malfunction, downtime, incorrect raw material, operator errors etc., requires CKT approval prior to shipment. This can be accomplished by contacting a CKT Quality Engineer in writing for a resolution.

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Quality Requirements - continued • Certification, if required, must accompany each shipment or be sent in advance. Material

certifications must include: test results with specification limits; they must reference the specific lot and test specification number and must conform to specifications. All labs supplying test information must be A2LA accredited with a copy of the accreditation certificate on file at CK Technologies. For color concentrates and pre-colored resins requiring appearance approvals, a color plaque must be submitted for approval prior to shipment.

• All MRR’s (Material Rejection Reports) or other requests for corrective action and / or material disposition must be acknowledged within 24 hours of notification with an RMA number (as applicable) and an immediate containment plan. When a formal corrective action (8D Report) is required the C/A required box is checked on the MRR. The final report must be submitted to and approved by CK within 30 days. An extension may be obtained for good cause by contacting the CK Technologies Supplier Quality Manager.

• All Material Rejection Reports (MRR’s) could include a minimum $100 processing and handling fee unless determined not to be a Supplier issue. Additional charges may be applied as appropriate.

• Based on your company’s quality performance or monthly PPM rating, you may be asked

for certified shipments for a predetermined amount of time. Non-compliance of certified shipments may require a product to be placed on containment and inspected by CK Technologies or other third party sources.

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Attention:

Supplier:

Part Number QTY Rejected PPM QTY C/A Report

Required?

FOR ACCOUNTING PURPOSES:

COST

CKT Sort: Hours:Supplier Sort: Date:

Completed By: TOTAL $0.00

Issued By:

Part Name

Select One

The supplier is required to respond within 24 hours. If no response is received the product may be sorted or returned at the suppliers expense.

Location of Material:

Details of Rejection :

Date:

QTY. Return

Initial corrective action is to be submitted to CK Technologies Q.A. dept. within 24 hours. Final C/A is due within 10 working days. Please respond in writing to Cathy Page at cpage@cktech.biz. Phone 419-485-1110.

Part Number Supplier RMA Notes:

Disposition

Description

MRR No. 09 - Material Rejection Report

Rejection Type:

-

CC. Material Planner: Supplier : Materials Mgr.: Shipping Supervisor: QA Mgr : Operations Mgr.: Accounting; SQE, QA Supervisor

DESCRIPTION OF CHARGESITEM

QTY. Scrap Local

Date Issued:Last Update:

Final Date:

CKT NCR No.

Description Of Defect

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COST RECOVERY

• Rework Costs – Should a problem be detected with your product, you will be given the option to come into CK Technologies and sort the product yourself, send in an independent sort company or have product returned and replaced at your expense. The freight expense will be incurred by the Supplier. CKT will charge $35.00 hr. per person for rework until your choice of options has been determined to correct the problem.

• Shut Down Costs – In the event that a CKT press is shut down due to non-receipt of product or receipt of defective product, an hourly charge equal to the rate per hour of that press will be charged to the Supplier until the press is back up and running.

• Customer Rejects – CKT will recover all customer charges as they relate to Supplier quality defects/rejects along with any overtime expenses incurred by CKT.

• Premium Shipment Costs – All material that has been rejected will be returned to the Supplier at their expense, if it is to be shipped back. Any late material that requires expediting due to a Supplier performance issue will be charged to the Supplier.

• Other Remedies – The foregoing will not limit any of the other rights or remedies that may be available to CK Technologies under a parties’ contract or applicable law.

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Part Qualification

Prior to shipment of production quantities, each Supplier / part number relationship is

qualified. Qualification is required in each of the following circumstances:

1. New Part Number 2. Existing Part Number, New supplier or Manufacturing Location 3. Revision of an Existing Part Number

This process typically includes:

System Profile – An onsite evaluation of the Supplier’s Quality Assurance Systems may be

required. This evaluation will determine whether the Supplier has adequately implemented their system to meet CKT’s Supplier Quality requirements.

Prior to shipment of production material, each part number requires PPAP approval by CK

Technologies and their OEM.

PPAP (Production Part Approval Process). Products require a Level 3 submission unless otherwise directed by a CKT Quality Engineer.

Certifications may be required with each shipment as directed by the CKT Quality Engineer.

CKT recommends that Suppliers have a “Containment Plan” in place for the first 30 days of production for all new or changed part numbers

The results of Containment Inspections shall be retained by the Supplier and used by CKT to determine when containment is no longer needed. At any given time, CK Technologies may request a copy of the containment results to be submitted for review

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IMDS Requirements

CK Technologies, LLC and our OE’s are global companies. Marketing and selling products around the world. For that reason, we must know what substances we have in our products. As part of your PPAP submission to CKT, you may be required to supply an IMDS report for Substances of Assemblies and Materials. These will include a chemical composition breakdown for raw materials (this data can be retrieved from the material certs) for all components supplied.

1. If you have not already established a user ID for IMDS, please go to the following

website www.mdsystem.com. 2. You will also want to check your material certifications for restricted chemical

substances on www.gadsl.org. 3. CKT does not offer training to it’s suppliers; however, commercial training is available

on www.mdsystem.com 4. Our client ID # is 36295. By entering this number, IMDS will automatically route your

completed forms to our Client Manager here at the Montpelier, Ohio facility. If you need additional information regarding your PPAP submission, please contact your Advanced Supplier Quality engineer.

Material Certification

All certifications must be lot specific and if applicable, verification that material meets Customer Specifications.

All certifications must include both the data collected and verification that the material has

been tested and meets required specifications.

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INVOICE REQUIREMENTS

• Credit Terms – Net 60 Days Expected, Net 90 Days Desired, Net 120 Days Preferred. • Invoices should be mailed to the “Remit To” address on the purchase order. • Each invoice must contain the following information:

1. Supplier name and address 2. Payee name and address 3. Ship to address 4. Supplier telephone and fax number 5. Supplier invoice number 6. Purchase order and line number 7. Bill of Lading number 8. Ship date 9. Quantity shipped 10. Description (CKT part number if available) otherwise a description and trade name 11. Unit price 12. Extended amount 13. Freight (if applicable) 14. Sales Tax (if applicable) 15. Total amount due 16. No hand written changes will be accepted on any invoice

MSDS SHEET REQUIREMENTS

In accordance with federal and state regulations, current MSDS sheets must be with the initial shipment.

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SHIPPING REQUIREMENTS / PREFERRED CARRIERS • CK Technologies receiving at each site is slightly different. Suppliers should contact the ship

to site for specific instructions for deliveries prior to arriving. Any truck load shipment that does not have a delivery appointment will be forced to wait until all other appointments have been serviced.

• All shipments must be shipped on time and in accordance with instructions specified in this manual.

• CK Technologies has three types of freight; small package, less than truck load and truck load. The preferred carriers for three types are as follows.

1. Small Package UPS FEDEX

2. Less Than Truck Load (CKt has national contracts with these providers) SAIA CONWAY FEDEX Freight

3. Truckload (CKt has contracts with these providers) CH Robinson HE Rudy

4. If these carriers are not used to deliver goods, the Supplier shall be charged freight.

5. Suppliers should contact the ship to location for account numbers and contact information.

LABELING REQUIREMENTS

• Labels must contain the minimum following information: 1. CKt item number 2. Item description 3. Item quantity 4. Item lot number/batch number if applicable 5. CKt PO number 6. CKt PO line number 7. Ckt site number

• Montpelier, Ohio—5100 • Mount Airy, North Carolina—5120 • Brownsville, Texas—5130 • Fort Worth, Texas—5140

• Labels shall be printed using AIAG Bar Code formats on a standard 4” x 6”. • Cartons should be labeled on the upper right hand corners –on opposite ends. • Label variations from above shall require approval prior to use. • Only labels associated with the part number are to be on the container. All other

labels/identification shall be removed prior to shipment unless otherwise directed by CK

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Example of Label

PACKING SLIP REQUIREMENTS

• The packing slip must be located on the exterior of the last pallet or container loaded on each trailer and must be easily accessible.

• The packing slip must be clearly marked “Packing Slip” o The envelope must be securely attached to prevent accidental removal, but not stapled

so as to hinder removal or tear papers. It is recommended that adhesive back envelopes be used.

• The packing slip must include for each CKt item number in the shipment. o CKt Item number o Quantity shipped

Must state partial if full release quantity is not shipped o Unit of measure o Lot or batch number if applicable o Number of pallets o Number of containers/boxes o Quantity per container/box o CKt PO Number o CKt PO Line Number o CKt Site Number

Montpelier, Ohio—5100 Mount Airy, North Carolina—5120 Brownsville, Texas—5130 Fort Worth, Texas—5140

o If requested shall include “Attn: CKt Associate” • When two or more purchase orders are shipped together, the packing slip must clearly

indicate which item numbers are for each purchase order. • Failure to comply with the requirements indicated on this page may result in the refusal of

shipments and /or administrative charges for each packing list.

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SUPPLIER SCHEDULES / MATERIAL RELEASE INFORMATION

The following describes the how to interpret the field on the attached CKt Supplier Schedule / Material Release

• A--Supplier name and ship from address • B--CKt ship to address • C--CKt Materials Supplier Contact

1. CKT purchase order number 2. CKT item number 3. CKT release date 4. Date and time of the last receipt from CKT 5. Receipt quantity from your last delivery 6. The total number of this respective part received against your purchase order 7. CKT dock date (“0” days late / 3 days early) 8. The total number of the respective part that shall be shipped with your delivery 9. The net quantity that will be delivered to CKT by the delivery date (7) 10. The number shown is the qty. past due to CKT. If the number is greater than 0,

you need to immediately contact your CKt Materials Supplier Contact (C) 11. The cum quantity that you are authorized to fabricate finish part. 12. The cum quantity that you are authorized to purchase raw materials.

SUPPLIER SCHEDULE / MATERIAL RELEASE A-Supplier: ABC000 B-Ship-To: 5100 ABC SUPPLIER CK TECHNOLOGIES, LLC 12345 SUPPLIER DRIVE 1701 MAGDA DRIVE SUPPLIERVILLE, SUPPLY 12345 MONTPELIER, OH 43543 USA USA Attention: TONY SUPPLIER Attention: Telephone: 123-555-1234 Telephone: 419-485-1110 Fax/Telex: 123-555-5678 Fax/Telex: 419-485-1405 Release ID: 20130712-002 3-Release Date: 07/12/13 1-Purchase Order: ABC123 Buyer: BUYER 2-Item Number: PUR9999 UM: EA In Transit Qty: 0.0 CKT PURCHASE ITEM 4-Receipt Date: 07/03/13 08:50 1234567890123 5-Receipt Quantity: 2,000.0 Supplier Item: Revision: 6- Cum Received: 49,469.0 C-Contact: Maranda Smith Packing Slip/Shipper: 22103 Ship/Delv Pattern: 12 DeliverDeliver Interval Date Time Reference Q Req Qty Cum Req Qty Net Req Qty -------- -------- ------- ---------- - ------------ ------------- ------------ Prior 8-51,469.0 10-2,000.0 Weekly 7-07/08/13 F 0.0 51,469.0 0.0 07/15/13 F 0.0 51,469.0 0.0 07/22/13 F 1,000.0 52,469.0 9-1,000.0 07/29/13 F 0.0 52,469.0 0.0 08/05/13 F 0.0 52,469.0 0.0 08/12/13 F 2,750.0 55,219.0 9-2,750.0 08/19/13 P 250.0 55,469.0 9-250.0 08/26/13 P 1,000.0 56,469.0 9-1,000.0 09/02/13 P 1,500.0 57,969.0 9-1,500.0 09/09/13 P 1,750.0 59,719.0 9-1,750.0 09/16/13 P 1,250.0 60,969.0 9-1,250.0 09/23/13 P 1,500.0 62,469.0 9-1,500.0 09/30/13 P 1,250.0 63,719.0 9-1,250.0 Monthly 10/07/13 P 5,250.0 68,969.0 5,250.0 11-Fab Authorization Cum Qty: 52,469.0 Thru: 08/10/13 12-Raw Authorization Cum Qty: 59,719.0 Thru: 09/09/13

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Ratings Suppliers will be rated on a quarterly basis on various metrics defined in the Ratings Criteria section. The rating points will be based on a percent of the available total. It should be a goal of every Supplier to achieve and maintain an “Exceptional” rating. Rating Categories Exceptional …….. 92.501% – 100 % Suppliers in this classification are CK Technologies best Suppliers. Not only do they meet our quality and delivery goals, they also support CK Technologies, LLC through flexible scheduling, aggressive lead times, and controlling costs for the benefit of both parties. An “Exceptional” Supplier is our partner and growth with these Suppliers will be encouraged. Good ……. 85.001% – 92.5 % Suppliers in this classification meet CK Technologies expectations. If issues arise with quality or delivery, they are resolved in a rapid manner. Some minor deficiencies exist but suppliers in this category generally resolve issues with little to no assistance. Growth with a “Good” Supplier will also be encouraged. Sufficient …… 77.501% – 85.0% Suppliers in this classification meet the basic expectations of CK Technologies. Issues that arise may require assistance to resolve. Suppliers in this category should be working to implement internal changes on their own to improve performance. Growth with a “Sufficient” supplier is possible based upon effectiveness of improvements implemented. Marginal …… 70.001% – 77.5% Suppliers in this classification generally do not meet the expectations of CK Technologies. Issues that arise require assistance to resolve. A corrective action plan will be required to outline how deficiencies will be addressed and will be given 6 months to improve or the supplier may be eliminated. Suppliers with a “Marginal” rating may be awarded new business based upon the effectiveness of the mandatory corrective action plan. Unsatisfactory …… 0.0% – 70.0% Suppliers in this classification do not meet the expectations of CK Technologies. Issues that arise require assistance to resolve. A corrective action plan will be required on how deficiencies will be addressed and will be given 3 months to improve or resourcing activities will be initiated. Suppliers with an “Unsatisfactory” rating generally will not be awarded new business without CKT Senior Management input.

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Rating Criteria Quality………………………………….35 points We expect the highest quality of products we receive from our Suppliers. Below are the points for quality, based upon parts per million: PPM Points 0 20 1 – 50 18 51 – 300 13 301 - 500 5 501 - 1000 0 Over 1000 -3 It is important that rejected product or services have prompt resolution communicated to CK Technologies, LLC through written corrective action. Below are the points for percent of effective corrective actions received on time. Full credit is given if no corrective actions are required. Corrective Action Points

Initial Response Less Than 24 Hours 5 More Than 24 Hours 0

Completed and Approved Less Than 30 Days 5 More Than 30 Days 0 It is the Supplier’s responsibility to keep CK Technologies informed as to changes in their Quality system or replacing expired documents; this includes submitting copies of your self-survey and any 3rd party quality certifications. Failure to do so may result in not receiving credit for this portion of the rating. Status Points A valid ISO/TS cert and a self-survey is on file 5 Valid Certification or Self survey is not on file 0 Delivery………………………………….30 points It is important that product is available when needed. The number of stock outs will be measured as a percentage of the total lines received during the measurement period. That percentage will be applied to the 30 points possible to calculate points awarded.

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Cost Control……………………25 points Invoice price of every item received during the rating period will be measured against the price established at the beginning of our fiscal year which starts in September. The percentage increase or decrease will determine points awarded per the table below:

% Points % Of Points

≤ -2% 25 100% 1% 24 96% 3% 23 92% 5% 22 88% 7% 21 84% 9% 20 80%

11% 19 76% 13% 18 72% 15% 17 68% 100% 0 0%

Diversity / Sustainability …….……………………………….…..5 points Our approach to business is guided by a concept we call the “Triple Bottom Line”. This is comprised of people, planet & profit. We are committed to making a positive impact on society, the environment and to being financially successful. As a supplier to CK Technologies you will also be rated on this. You will be asked to answer 10 questions and measured upon the number of ‘Yes' responses received & verified. Points will be awarded based on the table below:

0 = 0 Points 1 – 2 = 1 Point 3 – 4 = 2 Points 5 – 6 = 3 Points 7 – 8 = 4 Points 9 – 10 = 5 Points

Quotation Response Time ……………………5 points It is critical that we are able to rapidly process quotation requests from our customers. Supplier quotations are a major factor in CK Technologies being able to meet the expectations placed on us. On time will be considered as received within a maximum of 5 work days. Points will be awarded by calculating the percentage received on time divided by the total number sent during the measurement period multiplied by 5 possible points. Bonus Points ……………………5 points

Payment Terms of N60 or greater = 2 points Environmental Certification (ISO 14001) = 1 point Technical Support = 2 points

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SCORECARD A scorecard summary based on the scoring methods outlined above will be sent to each Supplier. The scorecard will reflect performance from the previous quarters during our fiscal year which begins in September. Once the rating has been completed, it is the Supplier’s responsibility to follow up with CK Technologies Purchasing for any challenges in your scores.

SUPPLIER SCORECARD Supplier: Rating Period: Total Rating: Details PPM ………………..………………your score is __ out of a possible 20 Corrective action........................your score is __ out of a possible 10 Certification status.....................your score is __ out of a possible 5 Delivery…………........................ your score is __ out of a possible 30 Cost Control…………………….. your score is __ out of a possible 25 Diversity / Sustainability ………your score is __ out of a possible 5 Quotation Response Time …… your score is __ out of a possible 5 Bonus Points:

Terms…………………….. your score is __ out of a possible 2 Environmental………….. your score is __ out of a possible 1 Technical Support.…….. your score is __ out of a possible 2

Total Points ________ Rating Category ________

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