SupplierWebcast January2013

EPS Supplier Web Conference
January 16, 2013
2010 Eaton Corporation. All rights reserved.
Agenda
Eaton Overview & Program Update Jerome Ng SCM Overview Brad McNett Quality Review Chad Alvord / Bob Budesky Materials Review Alison Stephanic / Eunice Maya Summary Closing and Next Steps Q&A
NEW PROGRAM DEVELOPMENT REMINDER CONFIDENTIALITY AGREEMENTS

EATON OVERVIEW
Eaton is a Leading Diversified Power Management Company
Founded in 1911 by J.O. Eaton Chairman & CEO Alexander M. Cutler Eaton Center in Cleveland, Ohio USA Regional centers in Shanghai, China; Morges, Switzerland; Sao Paulo, Brazil Innovation Centers in regions around the world Customers in more than 150 countries Sales of $21.8 billion*, more than 50% of sales outside the U.S. Approximately 100,000 employees
* Combined results of Eaton and Cooper for the four quarters ending September 30, 2012.
Powerful megatrends will help drive our markets to grow at a multiple of global GDP
23Percentage decrease in electricity demand possible through the
application of energy efficient equipment and demand management services
100Percentage increase in agricultural output by 2050 necessary in

developing countries to feed the global population
30Percentage decrease in fuel consumption of next generation

single-aisle aircraft planned by 2020
20Percentage decrease in fuel consumption by model year 2018

resulting from the first ever U.S. emissions standards for heavy-duty trucks
90Percentage increase in proposed Corporate Average Fuel

Economy (CAFE) standards by 2025 for passenger cars
Eaton is uniquely positioned to provide safe, reliable, efficient and sustainable power management solutions for our global customers.
Eaton Vehicle Group

$4.3 Billion Sales
40% Automotive 60% Commercial Vehicle
Committed to develop products that provide value to our customers This was prevalent during the recent IAA conference last September
IAA Video
The Efficient Powershift System Advantage
EFFICIENCY
REGULATIONS
SERVICE
World Class Roadranger Team After Sale Service Support Participation in Aftermarket Revenue Opportunity not available with other suppliers Mechanic Friendly, Easy to Maintain and Repair
DRIVABILITY
Planned 8-10% Better Fuel Economy than Torque Converter Automatic My Route My Truck Fuel Economy Application Demonstrator
Assistance in Meeting EPAs 2014 (5%) & 2017 (9%) CO2 Emissions Requirements Fully Functional PowerPack Testing Facility Available
Unique, Tunable Controls for Urge to Move Hill Assist - Will Hold a Vehicle on grade without added vehicle integration Auto Clutch Engage on Down Grades
This (EPS) is by far the single largest investment that our company has made in any 9 2010 Eaton Corporation. All rights COO single program Craig Arnold, Vice Chairman / reserved.
Customer Feedback
Overall Performance
Surprisingly different Accurate Good downshifts That is nice! This (Hill Assist) is the biggest thing I like no rollback Drivers will like it Impressed
Ranked above competition in 9 of 10 categories during ride and drive
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PROGRAM UPDATE
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Accomplishments
Functionality & Performance meet specifications
Proven in rig and vehicle testing Issues observed on first winter test resolved and confirmed closed on second winter test Demonstrated cold function specification capability Winter test will continue as part of Certification Minor issues observed in first hot test resolved and confirmed closed on second hot test Passed hot test specifications Demonstrated performance equal to or better than the competition
2 Winter tests completed
3 Hot tests completed
Two urban hill tests completed
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Program Status
>97% of components sourced to production suppliers Reliability Growth (Prototype parts) Testing on-going in vehicles
Several start up issues resolved, revised hardware is on test (>16,000 hours accumulated = 4,000 days of service) Accumulating ~800 hours a week of operation
Certification level hardware (Proto & Production Parts) installed in first trucks validating improvements 2nd phase of Reliability Growth and Field Test planned for 2013 with production hardware
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Eaton Key 2013 Tasks

Transmission/Engine Certification Complete phase 1 of Reliability Growth Start Field Test and phase 2 of Reliability Growth Production part PPAPs Cost Out / Cost Management Manufacturing line run-offs and install
2013 will a pivotal year for our Supply Chain since this will be the year we validate transmission with production hardware. Furthermore, it will be when we validate supplier readiness through your PPAPs
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SUPPLY CHAIN REVIEW
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EPS by the Numbers
> 400 75% > 50 13 6
Unique Part Numbers Purchased Parts Suppliers Selected Commodities Represented Eaton Plants Involved
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EPS - Supply Chain Model

EPS Tier 1 Supplier
EATON Tczew
Tier 2 Supplier
Purchased Parts Supplier Purchased Parts
Tier 3 Supplier
Purchased Parts Supplier
EPS Final Mfg.

EATON SLP (Mexico)
EATON Aguascalientes EATON Shenandoah Purchased Parts Supplier (EPS Tier One Supplier)
Supplier EATON Roxboro EATON S. Bend Purchased Parts Supplier
Program has a lengthy and complex supply chain. Communication is Key! 17

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RG2 Labeling
EPS Transmission RG 2 Qualification Samples
Identification at staging facility
For Questions about this part please contact :
Identify necessary characteristics for export documentation
Evan Vijithakumara
260-925-7469 724-759-0254
Office
Cell
Auburn, IN Plant
Raynoldo Iniguez +52-449-910-2840 Office '+52-449-196-4537 Cell

Auguascalientes, MX Plant Part #: Supplier: Part Name: Eng. Chg. Level: Quantity: Date:
Loaded with regular weekly shipment and will be mixed with production product Identification at final destination
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EPS Program Milestones & Timing

J F M A M J J A S O N D J F M A M J J A S O N D J F M A
2012 Testing RG1Testing (12 mos)
2013 RG2/Field Testing (9 mos)
2014
CERT - SUPPLIER MRD (PROTO & PROD) RG2 - SUPPLIER MRD (PRODUCTION)
RG 2 Build Revised RG 2 Build
Supplier PPAP
Mfg. Install and PV
Some Suppliers will have earlier Milestones as they Support Internal Eaton Plants
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Key Points
RG2 Delivery expectations remains the same January 2013 RG2 Build at SLP
There will be minimal impact to the start of RG2 build There will be a 4-8 week impact to the completion of RG2 build
PPAP and SOP will have a similar impact to timing Expect Mfg. Install and Process Validation Purchase Orders in the near future
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Communication Requirements
Change Requests
Will now require supplier to fill out a Supplier Change Request (SCR) Form
RG2 Uses Production Intent Hardware

Any deviation from production process must be documented Any prototype tool use must be documented
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Driving Cost-out
Contact Eaton through webcast survey or Commodity/ Program contact
Cost Out opportunities identified through last webcast survey
Eaton will schedule VA/VE events throughout 2013
Goal of 150 Suggestions Approximately 3 suggestions per supplier gets to the objective of 150 submissions for review!
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Supplier Recognition
Contributing Cost Out Ideas
Bharat Gear Faist GAMPCO Ohio Screw Products Universal Bearing
The EPS team would like to extend a personal thank you for your dedication and expert opinion 23
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Supplier Recognition
Upfront Design for Manufacturability
CAS Delphi Faist General Fastener GGB Monticello Spring Nedec S3C TE Western Diversified Plastics
Again a personal thank you extended from the EPS team for your shared expertise and upfront dedication to design 24
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Final Thoughts
Suppliers Selected - Key Strategic Partners for our business Honored to work with you Achieving outlined program objectives will deliver the ultimate goal- MUTUAL GAIN
I have found no greater satisfaction than achieving success through honest dealing and strict adherence to the view that, for you to gain, those you deal with should gain as well. Alan Greenspan
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QUALITY REVIEW
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EPS- RG 2 Quality Expectations

Subject: Efficient Power Shift Reliability (EPS) Growth Phase Two Requirements EPS Tier One Supplier: Our Eaton manufacturing location will be conducting a pre-production build event called Reliability Growth Phase Two. Documentation for the requirements listed below must be received prior to the required RG2 part due date. For each requirement below (if applicable) send electronic files to your assigned Supplier Development Engineer or Supplier Quality Engineer. Put the top level Eaton part number and revision level in each file name. 1. Full dimensional layouts A ballooned drawing identifying the features and notes, and three random sampled parts from your RG 2 build requirement. Use the AIAG or similar document to complete the reports. Be sure to sign each report. 2. Proposed Production Packaging Form Complete the production packaging request approval form. (This is for production intent only packaging, not RG 2 packaging) 3. Material Certification Provide evidence the top level drawing meets the material requirements. 4. Functional Tests. If data is available by RG-2 delivery date, provide evidence that the parts meet the functional test requirements. (if applicable) Example: leak tests. 5. Heat Treat / Coating / Plating Provide evidence the parts meet the special processing requirement. (If applicable) 6. Container Identification Identify each RG 2 shipping container with EPS RG-2 Components Placard All four sides of the shipping container must have the placard displayed. Attach a 2 D bar code label, part number and part revision level. (If Required) 7. Process Flow Chart Provide the current process flow chart. 8. Pre-Production Control Plan Provide the pre-production control plan. 9. DFMEA Checklist Complete the Design Failure Mode and Effects Analysis checklist if component / assembly is supplier owned. 10. PFMEA Checklist Complete the Process Failure Mode Effects and Analysis checklist. 11. Measurement System Analysis Provide evidence that the critical to quality features pass the measurement system criteria. Follow AIAG guidelines. 12. Capability results Provide capability data for any identified CTQs (Critical to Quality) on the drawing. (If applicable) Follow AIAG guidelines.
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EPS- RG 2 Quality Expectations RG2 Special Identification

Container Identification Identify each RG 2 shipping container with EPS RG-2 Components Placard All four sides of the shipping container must have the placard displayed. Green paper may be used.
EPS Transmission RG 2 Qualification Samples

For Questions about this part please contact :
Evan Vijithakumara
Auburn, IN Plant
260-925-7469 724-759-0254
Office
Cell
Raynoldo Iniguez +52-449-910-2840 Office '+52-449-196-4537 Cell

Auguascalientes, MX Plant Part #: Part Name: Eng. Chg. Level: Supplier: Quantity: Date:
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EPS- RG 2 Quality Expectations Container Labeling

ATTACH PHOTO OR PDF OF BAR CODE LABEL HERE:
Container Labeling
1. Bulk pack container labeled 2. Individual containers within the bulk pack must have bar code labels.
GUIDELINES FOR CREATING STANDARD BAR CODE LABELS:
Label Format: The specified identifiers shall be applied on the standard Bar Code Label in the following order: 1. Receiver (R ) 2. Supplier Address (A) 3. Part Number (P) 4. Part Description (D) 5. Quantity of Parts (Q) 6. Lot Number (1T) 7. Supplier Name (V) 8. Purchase Order Number (K) 9. Serial Number (S) 10. Manufacturing Date (M) 11. Engineering Level of Part (2P) 12. Country of Origin (4L)
Why is Eaton asking for this requirement? For traceability in the manufacturing process. Multiple units will be tracked in the field
The Bar Code label needs to be compliant with the following international standards: Bar Code Symbology Specification Data Matrix ISO/IEC 18004 Bar Code Symbology Specification QR Code ISO/IEC 15415 Bar Code Print Quality Test Specification Two-Dimensional symbols Automotive Industry Action Group (AIAG) requirements for standard and 2D Data Matrix labels: B-1 Bar Code Symbology Standard B-4 Parts Identification and Tracking Application Standard B-13 2D Symbology White Paper B-14 Guidelines for use of Two-Dimensional Symbols (2D) with the B-10 Trading Partner Labels B-17 2D Direct Parts Marking Guideline
GUIDELINES FOR CREATING 2D DATA MATRIX LABELS:

For programs that require a 2D Data Matrix label as part of the Bar Code Label, the following requirements must be included in your 2D Data Matrix label: (Label below is highlighted in pink for reference only.)
Information to be included on a 2D Data Matrix label: Part Number - Data Identifier (P) field length an1-14 Revision Level - Data Identifier (2P) field length an1-5 Lot Number - Data Identifier (1T) field length an1-10 Quantity - Data Identifier (Q) field length an1-5 Supplier Name or Supplier Vendor ID Number (if available) - Data Identifier (V) field length an1-5.
**Note: Full packaging approval is contingent on approval of your submitted Bar Code Label. **
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EPS Label Requirements

Format: The specified identifiers shall be applied on the part in the following order: 1. Receiver (R ) 2. Supplier Address (A) 3. Part Number (P) 4. Part Description (D) 5. Quantity of Parts (Q) 6. Lot Number (1T) 7. Supplier Name (V) 8. Purchase Order Number (K) 9. Serial Number (S) 10. Manufacturing Date (M) 11. Engineering Level of Part (2P) 12. Country of Origin (4L)
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Information to place in the 2D Data Matrix

Follow AIAG Specifications
Part Number Revision Level Lot Number Quantity Supplier/Vendor ID (only if applicable)
If you do not know your vendor code, please contact your respective Commodity Manager http://collaborate.etn.com/communities/home/SiteDirectory/quality/Industrial%20Sector%20Site/vg/VG%20 SCM%20Purchasing/Truck%20Vendor%20Part%20ID%20Matrix-MASTER.xlsx
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EPS- RG 2 Quality Expectations Proposed Production Packaging Form

Proposed Production Packaging Form Complete the production packaging request approval form. (This is for production intent only packaging, not RG 2 packaging)
PACKAGING SPECIFICATION DATA SHEET
SAMPLE
PHOTO OF PART
SAMPLE
SAMPLE
SAMPLE
SAMPLE
SAMPLE
INTERIOR CONTAINER PHOTO WITH PARTS SHOWN
RUST PREVENTION METHOD (IF APPLIED) OILING VOLATILE CORROSION INHIBITOR (VCI) SILICA-GEL (DESICCANT) OTHER: N/A LIST OF MATERIALS
NO NAME Box Tape Partition Pallet Stretch wrap Bar Code Label MATERIALS Corrugated double wall kraft paper tape paperboard layer pad hardwood clear wrap Paper DIMENSIONS 560 x 480 x 480 as required 550 x 470 980 x 1140 x 127 as required 4" x 6" PCS. 8 8 8 1 1 16
1 2 3 4 L
7.88
PART DIM. (in) W H

5.90 2.00
PART WEIGHT (lbs)

0.20
5 6 7 8 6 7 8 9
EXTERIOR CONTAINER PHOTO
2 9 1 EATON PART NUMBER 4301001 PART NAME Shield Cover EXTERIOR CORRUGATED MATERIAL SINGLE WALL BURST STRENGTH
DOUBLE WALL TRIPLE WALL (ECT or PSI) 400
10 10 SUPPLIER NAME SUPPLIER ADDRESS

Returnable
PACKAGING METHOD SHIPPING TYPE PIECES PER CONTAINER 72 PIECES PER PALLET LOAD 576 PALLET STYLE STACKABLE? NOTES:
Expendable
MODULAR CARTONS - NO PALLET MODULAR CARTONS ON A PALLET UNIT LOAD (BULK OR PALLET BOX TYPE)
SHIPPING PALLET LOAD PHOTO
5 6 3
CONTAINER DIM. (in) CONTAINER WEIGHT (lbs) MAX: 30 lbs L W H 18 22 19 19 PALLET DIM. (in) GROSS PALLET WEIGHT (lbs) L W H 170 38.5 45 43 FORKLIFT ENTRY ISPM 15 COMPLIANT?
2-way YES 4-way NO YES N/A
SUPPLIER CONTACT EMAIL PHONE FAX EATON APPROVALS
Eaton Packaging Engineer
Date
Supplier Quality Manager / Supplier Quality Engineer
Date
4 Receiving Coordinator / Shipping Technician Date
CONTAINERS PER PALLET
Note: Approval of this Form does not constitute approval of minimum order quantities or fixed lot multipliers. MOQ's / FLM's will be negotiated with the Eaton Commodity Team where applicable. Note: It is the suppliers responsibility to ensure that products are delivered safely and free from damage or contamination. Note: Each box must have 2 bar code labels attached on opposite or adjacent sides. On very small boxes, one label is acceptable. Note: At a minimum, one Bar Code label should be attached to the forklift entry side of the pallet load. Note: The maximum gross weight for any hand held box cannot exceed 30 lbs. Any exception must be approved by Eaton. Note: All wood pallets must be virgin hardwood and kiln dried to 15% moisture level. Maximum load weight per wood pallet is 2000 lbs. Note: All Supplier pkg requirements not shown on this Form are listed in the "Eaton Supplier Packaging & Labeling Standard MP-024".
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PPAP lessons learned:

Communication is key Use the PPAP request letter Work to improve your PFEMA Be sure to submit Qualified Laboratory Documentation (A2LA / ISO 17025, or international equivalent) Packaging Approval (Includes 2D Bar code) PSW: Need contact name, Revision (ECO) and add n/a where required
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Supplier WISPER Overview
Application Overview
Web-based, Interactive Application Created, Designed, Programmed, Maintained, and Owned by Eaton Corporation
We have the ability to modify and enhance
Related Specifically to Direct Material Suppliers

MRO suppliers are currently not in the scope of WISPER
Data Repository for Suppliers, Parts, Shipments, Defective Material Reporting (DMR), Audits, and Supplier Performance
Information is shared across the corporation
Primary Method of Evaluating and Managing Direct Material Suppliers Across Eaton Corporation
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WISPER
Supplier Benefits
Move from local Eaton plant visibility to worldwide exposure
Eaton is a diversified industrial manufacturer with over 180 plants worldwide Locate Eaton plants worldwide that use their commodities Gain exposure to 700+ Eaton supplier resource management professionals worldwide Showcase capabilities, products, and commodities
Benchmark competitors
Benchmark supplier performance data within their commodity
Streamline business transactions with Eaton

Decrease time and increase accuracy of transactions
Improve performance data with Eaton

Impact data integrity and Eatons view of supplier performance
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WISPER Supplier Minimum Expectations

Utilize WISPER processes with plant Respond to Discrepancy Material Reports (DMR), documenting corrective actions Participate in PPAP process Utilize Advanced Product Quality Planning (APQP) process Respond to Process Audit, documenting corrective action, if required Keep supplier profile, capabilities, and contact list current Review quality performance score Pay annual supplier subscription service fee (Covers all Eaton Web Based Applications. i.e. EFT, WISPER, Supplier Viz.) Supplier Web Address: https://www.supplierselect.eaton.com
Fully Utilize the WISPER Application
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Supplier Access
Accessible only by current direct material suppliers If an account is needed Suppliers can register at the web site below by clicking WISPER Registration Valid DUNS ID & e-mail address required Access Path Supplier Portal (Supplier Select)
Site Address is https://www.supplierselect.eaton.com
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How to request WISPER access for Eaton Suppliers

Opex Team 2012
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Click on:
https://www.supplierselect.eaton.com
https://supplierselect.eaton.com
Supplier Login Additional Documentation

Supplier Registration
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Scroll down and look for the Eaton Plant that you are looking for
Click on the Eaton Plant that you are selling in the USA or Mexico
Fill the form (Important: e-mail account and correct DUNS no. assigned to your company)
After all fields filled click on submit button

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After submission, the Eaton contact chosen in the plant will load all your data and you will be receiving your username and password that you will be able to use after the 24 hrs. After receiving it. Click on: https://supplier1.eportal.eaton.com/dana-na/auth/url_8/welcome.cgi
If you already have an account and you are unable to access WISPER and/or for any problem with your account you should contact in first place the Eaton Global Support Center sending them an e-mail with an explanation of your problem or call the number below:
GlobalSupport@eaton.com
Phone 1-216-523-4578 Help Line 24/7
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Where can I obtain more information?

For questions related to quality scores you can contact any SQE that you currently work with For questions related to OTD delivery, contact the Eaton Material Planner that you work with TNA SQE Team:
MD & HDT-King's Mountain NC Plant Mahesh Nesari Ph. 704-937-4363 MaheshNesari@Eaton.com HDT-Shenandoah IA Plant Gabriela Valdes Ph. 712-246-6073 GabrielaIValdes@Eaton.com MD, HDT & Clutch - San Luis Potosi MX Plant Hector Morales Ph. 01152 444-826-7989 HectorEMorales@Eaton.com Clutch - Auburn & South Bend IN Plants Adam Walker Ph. 260-925-7438 AdamWWalker@Eaton.com ELC / Loose Parts Travas Cupp Ph. 317-347-5741 TravasCupp@Eaton.com Clutch Charlotte NC Plant Luke Nevins Ph. 704-597-4718 LukeTNevins@eaton.com Aguascalientes, MX Plant Gina Lazzarotto Ph. 449-478-2793 ginalazzarotto@eaton.com
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MATERIALS REVIEW (TRUCK)
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Preparing for RG2 and Production

Trade compliance requirements Packaging Approval Form Introduction of Automotive materials systems in Aguascalientes Supplier Tactical Day update
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Trade Compliance Requirements Country of Origin

Eaton requires suppliers to provide evidence of the country of origin by submitting a Certificate of Origin for parts moving from one country to another Why is a Certificate of Origin required?
Country of origin declaration is required to import product into US or Mexico Certificate of Origin is the proof of the country of origin Required for product to classify for NAFTA (or other FTA) status Required to classify our end product for sale to customers Significantly reduces customs delays!
Over the coming weeks Eaton will be contacting suppliers as required to request this information
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Packaging Approval Form Feedback

By the numbers
12 submitted 8 approved 356 outstanding 2.17% complete
Accomplishments
Final packaging form released in November; updates include additional samples and specifications based on supplier FAQs and feedback Latest version also includes additional information regarding 2D barcoding specifics Please contact your APQP representative or SDE if you need a copy of the latest form
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Packaging Approval Form Feedback

Opportunities for Improvement
Ensure ALL information is completed, including
Burst strength ISPM compliance Accurate materials list (with dimensions and quantities)
Ensure units of measure are in pounds and inches Ensure forms are received in Excel format (NOT .pdf)
40% 30% 20% 10% 0% Frequency of Errors
Components missing from "Materials List" Inaccurate standard measures Incomplete checkboxes PAF received in .pdf format
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Top Frequently Asked Questions

How do I know if my packaging is ISPM compliant?
This international standard applies only for wood pallets or packaging; compliance should be indicated with a marking (usually found at one of the sides) certifying that the wood is compliant to this standard
What does a PSI stand for?

PSI = pounds per square inch; can also be referred to as ECT (edge crush test). This measure describes the strength of the cardboard used for packaging; in most cases, the standard PSI for a single-walled container is 32. You can also reach your packaging engineer to obtain further data. In general, all containers, trays, caps, and multi-wall tubes must have a box maker's certificate with ECT or PSI visible on the assembled container (generally found on the bottom of the container)
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Top Frequently Asked Questions (contd)

How many labels for identifying the materials are necessary?
Four (one on each side) (NOTE: if the package is very small two labels may be acceptable please note your comments on your PAF for review)
What should I do if I need a copy of the packaging specifications from Eaton?

Please contact your Eaton APQP representative or SDE. If you have specific questions, such as those regarding returnable dunnage, expendable packaging, packaging sizes, etc., please contact the VG packaging engineer.
May I send the PAF even prior to completing the 2D Data Matrix label?
Yes, the PAF may be submitted in order to obtain approval of your packaging design but please be aware that submission of the 2D Data Matrix label is a requirement for full PPAP approval
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Eaton Truck vs. Eaton Auto

Suppliers shipping to Aguascalientes, MX (automotive plant) will have a slightly different set of systems Truck Supplier Vis Divisional Planner Eatonroute.com ERS or Self-Service Invoicing Auto Discrete Releases Plant Planner Eatonroute.com
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MATERIALS REVIEW (AUTOMOTIVE)

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Current Status
RG2
Receiving material from suppliers (1Q13).
PPAP
PPAP parts request(January 2013) Contacts : Karina Pineyro (Plant Buyer) & Gina Lazzarotto (Quality) Ship to Aguascalientes facility
Production
Blanket orders (1Q14) Contacts : Karina Pineyro ( Plant Buyer) & Eunice Maya ( Materials Planner)
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Materials Planning
EDI requirements or PDF file will be sent every 2 wks.
Open order report will be emailed every 2 wks.
Supplier to confirm agreement on our requirements, after 3 days without any reply we will assume supplier agrees
Send ASN thru EDI and emailed paperwork
Carrier name and account # will be provided, to ship according to release report
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Materials Planning
Material release information will be sent thru EDI every two weeks. In case you are not capable to read and send information thru EDI, the release report will be emailed. It is important that you advise immediately if you disagree on shipment dates or quantities. If we do not get any reply from you after 3 days of sending our requirements, we will assume you agree with our requirements. Dates on the release are shipping dates, and your delivery performance will be measured based on that date. Please do not ship ahead, unless we require so. We will provide carrier name, and account number for you to book shipments according to our requirements. Please include the blanket order number and schedule number in your invoices, we need these two references to process your payments. Once you ship the components, please send the ASN thru EDI, but I will also need to provide copy of the paperwork for customs clearance (Invoice, packing slip or bill of lading, and tracking number). Even when parts are in transit, JDE system will show the order open until we receive the parts. Every two weeks, you will receive by email an open order report with the firm orders and schedule shipping dates. It is important that you advise of any delay in deliveries.
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Release Report
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Open Orders Report

Linea Descripcion Cantidad Precio Unitario Total Moneda Comprador Request Fecha de Embarque Guia Date LT (Delivery Date ) (Tracking Number) # OP (Line) Item (Description) (Quantity) UM (Unit Price) (Extended Cost) (Currency) (Buyer) 12500512 1 30,000 EA USD 3022673 12/11/2012 12-Nov 12500702 1 30000 EA USD 3022673 03/12/2012 03-Dic Comentario (Comments)
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Supplier Tactical Day

Targeting April, 2013 for EPS Supplier Tactical Day in SLP, MX Tactical day includes:
Plant and line-side tour Explanation of Eaton forecast and business cycles Opportunity to interface with Eaton planners Opportunity to see your parts move through Eatons facility
Also exploring the possibility of a separate event in Galesburg, MI for a hands-on introduction to Eaton systems for new suppliers
Please provide your opinions and feedback via the supplier survey
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SUMMARY
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Summary
EPS is a Key Strategic Program It is one of the largest program we are currently undertaking We have a long and complex supply chain we value open & upfront communication We have a product that offers great value to our customers and allows us to further penetrate the automation market We have pretty high expectations for all of you as outlined by our quality and materials team With your active support and engagement, we will succeed in launching flawlessly
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Closing and Next Steps

We are very excited about this program, it is a big program and we are glad you are part of it NEXT STEPS Survey We value your feedback
Upon completion of survey, you will be directed to a link to access this presentation.
Next Web Conference
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QUESTIONS
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SupplierWebcast January2013

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EPS Supplier Web Conference

January 16, 2013

2010 Eaton Corporation. All rights reserved.

2010 Eaton Corporation. All rights reserved.

NEW PROGRAM DEVELOPMENT REMINDER CONFIDENTIALITY AGREEMENTS

2010 Eaton Corporation. All rights reserved.

Eaton is a Leading Diversified Power Management Company

100Percentage increase in agricultural output by 2050 necessary in

30Percentage decrease in fuel consumption of next generation

20Percentage decrease in fuel consumption by model year 2018

90Percentage increase in proposed Corporate Average Fuel

2010 Eaton Corporation. All rights reserved.

Eaton Vehicle Group

2010 Eaton Corporation. All rights reserved.

2010 Eaton Corporation. All rights reserved.

The Efficient Powershift System Advantage

Ranked above competition in 9 of 10 categories during ride and drive

2010 Eaton Corporation. All rights reserved.

2010 Eaton Corporation. All rights reserved.

2 Winter tests completed

3 Hot tests completed

Two urban hill tests completed

2010 Eaton Corporation. All rights reserved.

2010 Eaton Corporation. All rights reserved.

Eaton Key 2013 Tasks

SUPPLY CHAIN REVIEW

2010 Eaton Corporation. All rights reserved.

EPS by the Numbers

> 400 75% > 50 13 6

EPS - Supply Chain Model

EPS Final Mfg.

Supplier EATON Roxboro EATON S. Bend Purchased Parts Supplier

Program has a lengthy and complex supply chain. Communication is Key! 17

For Questions about this part please contact :

Identify necessary characteristics for export documentation

Raynoldo Iniguez +52-449-910-2840 Office '+52-449-196-4537 Cell

2010 Eaton Corporation. All rights reserved.

EPS Program Milestones & Timing

2012 Testing RG1Testing (12 mos)

2013 RG2/Field Testing (9 mos)

Mfg. Install and PV

RG2 Uses Production Intent Hardware

2010 Eaton Corporation. All rights reserved.

Cost Out opportunities identified through last webcast survey

Eaton will schedule VA/VE events throughout 2013

2010 Eaton Corporation. All rights reserved.

EPS- RG 2 Quality Expectations

2010 Eaton Corporation. All rights reserved.

EPS- RG 2 Quality Expectations RG2 Special Identification

EPS Transmission RG 2 Qualification Samples

Raynoldo Iniguez +52-449-910-2840 Office '+52-449-196-4537 Cell

2010 Eaton Corporation. All rights reserved.

EPS- RG 2 Quality Expectations Container Labeling

GUIDELINES FOR CREATING 2D DATA MATRIX LABELS:

2010 Eaton Corporation. All rights reserved.

EPS Label Requirements

2010 Eaton Corporation. All rights reserved.

Information to place in the 2D Data Matrix

2010 Eaton Corporation. All rights reserved.