DATE : Nov. 02, 2007

Decathlon Team

Company Profile• Sun Turn Industrial Co. Ltd. was establishe

d on Feb. 14, 1997 by a group of people who were enthusiastic on designing, manufacturing and marketing bodyboards.

• Capital：NT$ 24,000,000

OUR MISSION• Making water sports more popular

and well accepted worldwide by providing the related products with reasonable and affordable pricing.

OUR HISTORY

• 1997/Feb. The company was established.

• 1998/July The factory was expanded.

• 1999/ Our bodyboards were first exported to Japan.

• 2000/ A big success was made in Japan.

• 2001/ Preparation for Sales Department setup, and the project of sales expanding had been made up. The Sales Department was established on Jan. 1, 2002.

• 2002/July We have occupied an important share in the UK market, and the factory was expanded again.

• 2003/ A big success was made in Europe.

• 2004/ The long term developing plan was set up, and the project for capital raising in order to purchase the land of new plant was proposed.

• 2005/ The project for capital raising has been passed by the board, and the new plant is scheduled to start functioning on July 1, 2006.

• 2006/Aug Removing to the new established plant.

ORGANIZATION

• Flatted sound organization makes the communication unhindered for eternal business running.

• Administration : In charge of the business operation, financial accounting, production management, and information management .

• Technology : R&D for new products and material, the establishment of quality control system

• Production : In charge of production, processing management and storehouse management.

• Marketing : In charge of marketing and customer service.

Department

• Humanistic management - bonus system & profit sharing.

• Standardization： to avoid any unexpected problems, also to reach the anticipated target.

• Systematization : system connection for order processing, material purchasing, on sight production, waging, and accounting for the best efficiency.

Department - Administration

• R&D: self or cooperative with clients to develop new products, also to enhance our ability of product design. And to formulate the testing standard of functions & make the function features with figures and statistics. Development of complex material in order to increase the self-control capacity of material, and stability and variety of material.

Department - Technology

• Quality Control: to make up a QC system that is more reasonable and acceptable. Implementation of QC management to bring the quality of products comfortable. Educating employees to realize the concept that “quality is the key of production”. To Implement the QC procedure.

Department - Technology

• Automation： to invest in development of automatic production facilities. Upgrading quality as well as the more reliable production capacity by standardization of production process. Periodical laborer’s training and education to be provided to enhance their skills and also operation security.

Department - Technology

• Machine Modification & Renewed: we develop the best-functioned machines, either by purchasing or upgrading the current machines in order to minimize the over-reliability on technical processing.

• To increase manpower strategically ： to recruit new employees in off-peak seasons and provide them trainings, so they will be able to contribute into the production in peak seasons.

Department - Production

• Processing management: implementation of quantity consistence by efficient production processing management, and also lower down our production cost by improvement of production process.

• Info Feedback: we can make huge progress by looking back the info supplied by the Production Dep.

Department - Production

• Improvement meeting: Having meetings for the general discussion, so we can come up with the comments from all of our employees to always have the best ideals and improvement on technology.

Department - Production

• In charge of marketing and customer service. With our knowledge and experience in this industrial for over 10 years, we supply the best and the promptest service for our customers.

Department - Marketing

• In additional to the employs we have now, there are several professional consultants who dedicate themselves into the R&D and methodical improvement. Meanwhile, abundance of the factories and human resources with their own professions relating to this industry provide us as much assistance as they can for the innovation.

Department - Marketing

Our Team

Dept. / Year 2004 2005 2006 2007 2008

Administration 2 2 3 3 4

Technology : R & D (3) (3) 1 ; (3) 3 ; (3) 3 ; (3)

Technology : Q C (1) (1) (3) (3) 1 ; (3)

Production 9 12 16 14 24

Marketing 1 1 1 1 2

Total of staff 12 15 21 21 35

Numbers of staff in each department

Our PlantSquare measures of the plants (including history)

Item/Year 1997 1998 2002 2006 2010

Land (m2) 825 1,250 2,182 6,545 6,545

Plant (m2) 495 825 1,720 3,960 7,480

Remarks rented rented rented possessed possessed

Our Plant• New plant： The first session of the plant will be com

pleted on July 1, 2006； the size will be 3,960 m2 (office area is not inclusive), which will be 2.3 times bigger of the current plant。 The second session will be completed on July 1, 2010, and the size will be 7,480 m2 .

• The major reason for possessing our own plant is based on the eternity of the business operation, and also the improvement of production environment, facility and efficiency.

Our Plant

Our Plant

Machinery facilities

Item/Year 2004 2005 2006 2007 2008

Newly bought machines (units)

2 12 13 6 5

Total of machines (units)

18 30 43 48 53

Newly invested: (US$1,000)

18 48 86 94 94

Total amount (US$1,000)

80 128 214 308 402

Machinery facilities

• Year 2004 : one automatic printing machine was purchased.

• Year 2005 : Newly purchased one sawing machine, 6 processing machines, one oil pressured heat laminating machine, one grinding machine for the bottom of cores, two tail grinding machines, one die-cut machine.

Machinery facilities

• Year 2006 : will purchase : one sawing machine, 8 processing machines, one heat laminating machine, one die-cut machine, one testing machine for stiffness and memory, & one automatic shrink wrapping machine.

Machinery facilities

• Year 2007： one extruding machine, 2 automatic tail grinding machines, one flame treatment machine, one drier, one heat laminating machine.

• Year 2008： 4 automatic shaping machines, one experiment machine for auto processing.

Machinery facilities

Our Capacity

• Estimated according to the current ability, not yet consider the contribution of relevant facility improvement and production automation

MAIN PRODUCTS - BODYBOARDS

MAIN PRODUCTS - SWIM AIDS

Production Process

• Material preparation: get each part of material ready to the sizes we require.

• Lamination: laminate each part to a complete structure.

• Shaping: shape the structure to the designated style.

• Final processing: complete the product to the function and external appearance that customers expect.

• Packaging: make the products ready for shipment.

Production Process

OUR MARKET• Japan: 10% ODM brands: Cosmic, Gordon Smith.

• EURO： 55% ODM brands: TRIBOARD, Deeply.

• U.K.: 20% ODM brands: VISION, Circle One, Zuma Jay.

• Aus.: 4% ODM brands: Hydra.

• Others: 11% ODM brands: Point Break, Free Sport.

Marketing Share

Japan 10%

EURO 55%

Aus. 4%

U.K. 20%

Others 11%

Our Advantages• Various quality range： availability of wide-selection mat

erial assortments in to meet different demands from clients.

• Stable and efficient production capacity： the capacity of 8,100 boards per month currently (will be increased to 17,800 pcs/month) fully satisfies the demands worldwide.。

• Reliable and stable quality： the standardization of production process and implementation of quality control ensures the conformation of product quality.the products ready for shipment.

Our Advantages• Reasonable & competitive prices ： actively devoting ourselve

s into improvement of production process, and also the new material source in order to lower down the cost.

• Prompt & Punctual deliveries ： safe stock has been already kept for various material, so the delivery can be effected punctually & promptly after confirmation of orders.

• Superior customer’s service： each staff of our company believes the best service and cooperation provided to each request from clients is the key of a long term relationship. And fortunately, we are proud that we have made most of the requests solved satisfactorily.

Foresight - Manpower

• We would provide employees to attend to classes which help the business operation and the self progress of the employees.

Foresight - Material • Base on the current or newly developed simplex material,

and process them into the complex material in our factory, in order to enhance the self-control capacity of material, and stability and variety of material.

• One die-cut machine (to fix thickness) & one laminating machine will be purchased in 2006 for preparation of complex material processing.

• One extruding machine will be purchased, to enable us working on the processing for slick bottom, as well as making researches for the complex of different material.

Foresight - Processing • We will work on production automation in order to increase

the stability and quality of products.The main consideration of production automation – to replace the processes which have been mainly relied on the workmanship currently. And the percentage of efficiency increased will depend on the quantity & utilization of the machine facility.

• Standards to be set up for the rules of production management and relevant improvement. And this can be expected for increasing the working ability and production efficiency, order to enhance the competition ability.

Foresight - Sales Department

• To play the roll as the bridge between the factory and clients, and also keep working on expanding the turnover in the future, especially the markets of USA, Australia & New Zealand. Also to keep an eye on the market trend in order to make proper strategy from time to time.