2016

INDUSTRIAL SOLUTIONS

BUSINESS OVERVIEW

Our Mission

2

Your Needs Are Our Only Priority

Telamon Corporation’s goal is to simplify your business

Telamon, the Greek word for

“support”, is uniquely positioned as

a minority-owned company. We

continuously exceed customer

expectations and standards and

have been recognized globally

through numerous awards and

certifications.

• Established in 1985

• Associates, Company Wide = 1,400+

• Company Revenue for FY15, ~$805M

• Privately Owned, 45% Employee Owned

• Certified Minority Business Enterprise (MBE)

• Winner of over 40 awards, including Diversity Supplier of the Year

Awards for Cummins, AT&T and Nortel/Ciena

• Numerous quality certifications: ISO/TS 16949, ISO9001:2008,

TL9000, SSAE 16 Type II, & ISO13485

Corporate Overview

3

INDUSTRIAL SOLUTIONS: Superior provider of robust automotive

safety grade wire harnesses and industrial manufacturing services

with an exceptional level of quality, customer satisfaction and

responsiveness at competitive rates.

Telamon Business Units

4

TELECOM SOLUTIONS: Value-added distributor of

telecommunication products, a provider of integrated supply

chain logistics, wireless/wireline installation, and engineering

services, and a resale partner to various OEM’s.

BUSINESS PROCESS SOLUTIONS: Invoice, data processing, and

workflow management services that lead to reduced risk, lower

cost, and greater process transparency.

Industrial Solutions

Wire Harness Assembly

High volume production in Mexico with development and low volume production in the US. Ability to serve various global markets.

Automotive Secondary Harness

Performing at 0 defects and 100% delivery on a continuous basis.

Automotive Switch Assemblies

Seamless integration of your switch application into wiring harness or its unique operating environment.

Light Industrial Assembly

Lean manufacturing methods, process driven assembly, error proofing, inline quality systems, and preventative quality techniques.

Kitting & Packaging

Complete control over every aspect of the supply chain. Capability to provide variations in size, number of components, and annual quantity, including high volume and high mix.

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Industrial Solutions Locations

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United States

Mexico

Carmel, Indiana

• Corporate Headquarters

• Light Industrial Assembly

• Kitting & Packaging

Dayton, Ohio

• Harness Engineering & Development

• Low Volume Harness Manufacturing

Fresnillo, Zacatecas

• Mid – High Volume Manufacturing

• Low Cost, High Quality

Delivering to a Global Customer Base

Dayton, OH

Carmel, IN

Fresnillo, MX

Dayton, OH

Telamon Core Customers

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Telamon’s Products Are Found On...

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Business Sales History

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$0.0

$20.0

$40.0

$60.0

$80.0

$100.0

$120.0

FY04 FY05 FY06 FY07 FY08 FY09 FY10 FY11 FY12 FY13 FY14 FY15 FY16

Sa

les

($M

)

Kitting Assembly 3PL Filtration Wire Harness

Kitting

Assembly

Harness

Filtration

3PL

CAGR FY10 – FY16: 29.5%

Airbag Harness,

$28.2

Steering Wheel

Harness, $7.9

Other Harness,

$2.9

Assembly, $31.6

Filtration, $11.4

Kitting, $19.2

3PL, $6.4

Revenue Performance for FY15 - $107.6M

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Committed to Lean Implementation

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Cost reduction throughout value chain

Increased responsiveness

Zero defects

100% on-time delivery

Driving Continuous

Improvement

Process Excellence

Visual Factory

Principles of Flow

Continuous Improvement

Zero Defects

PFMEA (Go and See)

Stop and Fix

Look Across

Lessons Learned

Teamwork

Building an Effective Team

Human Factors Awareness

Velocity Improvement

Responsive Manufacturing

Lean Machines

• Certified Minority Business Enterprise supplier

• Flexible manufacturing footprint to address any program size and need

• World class quality and on-time delivery

• Our structure allows us to be more attentive and responsive than our competitors

• Telamon is a growing, diversified company

Benefits of Telamon Partnership

12

SIMPLY FUNCTIONAL

Harness Product Line

Wire Harnesses

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• 14.4M finished goods

• 65M feet of wire processed

• 21automakers – 49models serving global markets

• 64M terminations with 78 different terminals

• Performing at 0 defects and 100% delivery

2015 Key Performance & Capability

2015 Key Performance & Capability

• Airbag

• Seat

• Seatbelt

• Mirror

• Door

• Steering Wheel

• Horn Plate

• Powertrain

Manufacturing Locations

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Dayton, OH, USA Fresnillo, Zacatecas, Mexico

• Short run, high mix production

• Engineering & design

• Rapid prototyping

• Low volume production

• 65,000 ft2

• High quality, low cost

• 60+ production work cells

• 700+ team members

• Mid to high volume production

• 65,000 ft2

Delivering almost 40 years of high quality harness products

Telamon Fresnillo Facility (est. 2006)

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Quality Performance

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2015 Quality Performance

Automotive Safety Grade Quality Systems

• On-time delivery 100%

• Total warranty defects at OEM 0.0 ppm

• Functional defects at Tier 1 < 5.0 ppm

• Total defects at Tier 1 < 8.0 ppm

• TS 16949 Quality Management Systems

• Zero Defect Systems

• Poka Yoke - Error proofed Manufacturing Processes & Tooling

• FMEA Driven Manufacturing Systems

• APQP Driven Flawless Launch

1) Applicator Press w/Die Ensures Consistent Pressure and Shape of the Crimp

2) Crimp Monitor Force is Recorded to Validate Consistent Production

3) Magnifying Lamp Visual Inspections Validate the Equipment Effectiveness

Quality Control - Crimping Process

1 2

3

4

5

6

7

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4) Final Tester Verifies Presence of Components & Labels, Validates Orientation & Continuity of the Harness

5) Visual Work Instructions Step by Step Instructions Ensure Consistent Processes

6) Knife Destroys Parts that Fails Inspection

7) Component Nest Nests are keyed specifically for each connector to prevent incorrect assembly

8) Scanner Validates Label and Harness Match

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1) Cross Sectioning Cutter Prepares the crimped sample for

inspection to verify compaction

ratio, correct feed, tool wear, crimp

form, and strand distribution.

2) Camera Magnifies cross-sectioned terminal

for visual inspection.

3) Crimp Lab Software Measures the cross-sectioned

terminal to verify conformance to

standards.

4) Pull Tester Verifies pull force of the crimp.

5) SQC Pack Software Records the measurements for

terminal CCH, CCW, ICH, ICW, pull

force and displays control charts to

monitor process.

Quality Control - Crimp Verification

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1

2

3

4

5

Active Safety

Interior Powertrain

– Radar sensors

– Vision sensor

– Forward camera

– Back-up camera

Connected Car

– Infotainment platforms

– Reconfigurable clusters

– V2X / Telamatics modules

– Antenna modules

– Instrument clusters

Multiple Technology Solutions

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– Powertrain body harness

– Active suspension actuators

– Door modules

– Mirror modules

– Seat modules

SIMPLY FUNCTIONAL

Assembly & Kitting Service

• Corporate headquarters

• Light industrial assembly & kitting

• Supply chain management

• Third party logistics

• Low to high volume flexibility

• 125,000 ft2

Kitting & Assembly Manufacturing

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Carmel, IN, USA

Quality intensive services that address low/mid volume/high mix

solutions

• 800+ Finished Goods

• 850,000 Assemblies Sold

• Parts Shipped Globally

• Quality Checks Throughout Assembly

• In-Process Lockdown Controls

• Air Intake Assemblies

• Alternator Support Assemblies

• Camshaft-Gear Assemblies

• Filter Head Assemblies

• Coalescers

• Fuel Transfer Pump Assemblies

• Idler Pulley Assemblies

• Impactor Assemblies

• Rocker Lever Housings

• Tube Assemblies

• Valve Cover Assemblies

2015 Key Performance & Capability

Assembly Services

Current Part Families

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1) Operator Interface

Verifies each task is completed correctly

2) Cognex Vision Systems

Verifies component presence and

orientation

3) Atlas Copco DC Nutrunner

Verifies fastener count and torque value

angle

4) Part Interlock

Maintains secure positioning within fixture

until error proofing is satisfied

5) Keyence Laser Range Finder

Verifies component presence and

validates location

6) 2-Handed Machine Activation

Ensures operator safety and unintentional

interference

7) Serialized Labels

Customized product labels on demand

Telamon’s Quality Technology

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2

3

4 5

6

7

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• 436 Unique Kits

• 2,000+ Components

• 250+ Global Suppliers

• 375,000 Kits Sold

• 20 Million Picks

• $20 Million in Sales

Kitting Services

• Set-up Sheets

• Sub-Kits Feed Assembly Line

• Repetitive Processes

• Sub-Kitting

• Counting Blocks

• Weight Validation

Standardized Process Error-Proofing Solutions

2015 Key Statistics

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• Flexible Assembly Capability

• Low Volume / High Mix Capability

• Custom Packaging Capability

• Cost Competitive Solutions

Kitting Services

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Delivering zero defect approach to quality

SIMPLY FUNCTIONAL

Telamon Certifications & Awards

Minority Business Enterprise

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Recognition for over 20 years of leadership in minority supplier diversity

2015 Clarion Awards

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ISO/TS16949:2009 (Dayton, OH - page 1)

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ISO/TS16949:2009 (Dayton, OH - page 2)

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ISO/TS16949:2009 (Fresnillo, Zacatecas, MX - page 1)

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ISO/TS16949:2009 (Fresnillo, Zacatecas, MX - page 2)

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SIMPLY FUNCTIONAL

Harness Capability Detail

• Gauges 10 thru 24 (others available upon request)

• Thin and standard wall insulation

• Flexible to accommodate additional sizes based upon

customer specific requirements

• 8 x automated, cut, strip, terminate machines

• 40 x bench termination presses

• 5 x wire processing and tube cutting machines

• 5 x wire splice termination presses

• Designed and manufactured in-house to meet customer

expectations

Harness Capability

Wire Sizes and Range

Key Production Equipment

• 100% crimp force monitoring

• 100% splice force monitoring

• 100% component presence testing

• 100% electrical testing (continuity, cross-over, resistance)

• Crimp cross sectional analysis with compaction ratios

• Crimp height and width measuring with ongoing SPC

• Axial pull force testing with ongoing SPC

• First article, in-process, and final inspections

• Full dimensional validation and calibration based on ANSI

Y14.5 and ASTM requirements

– Brown & Sharpe CMM

– Sciencescope vision system

Harness Capability

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Capability Testing

Crimp Specification Customer(s)

E881922 Autoliv

USCAR-21 Chrysler – Ford – GM

CG1777 General Motors

TSC1229G/TSC1229G-1 Toyota

HES 001 Honda

24352NDS000 Nissan

ES91101-00 Hyundai – Kia

ES-X41004 Mitsubishi

QS 61008 00 BMW

VW60330 Volkswagen

9634115099 PSA – Citroen

Certification

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First N.A. supplier to implement longitudinal cross sectioning for

crimp development (Toyota applications)