TASK REQUIREMENTS. Supplier Quality Requirements

Transcription

1 This document is applicable only to suppliers of Production Items as defined below and their sub-tier suppliers. Non-Production Item suppliers are not subject to this document. This document specifies the quality requirements applicable to items purchased from the supplier as called in the Purchase Order issued by Avcorp. Any deviations from this document, as part of a contractual agreement with the supplier, shall be reviewed and approved in writing by the Manager Quality Director or delegate prior to contract execution. This document is supplemental to any and all contractual agreements with the suppliers. In the event of a conflict or inconsistency between any of the terms contained herein and other documents, the negotiated contract or Purchase Order will take precedence. Definitions of Terms: Controlled Special Processes Processes which are defined by the customer as requiring prior approval to perform the process. It is the responsibility of the supplier to review relevant engineering, specifications and customer documentation to determine if the process is controlled or not. Note that what is controlled by some customers is not controlled by others, so these processes are required to be reviewed on a case-by-case basis. Controlled special processes TYPICALLY are processes covered by NADCAP and may include, but not limited to, such processes as anodizing, painting, non-destructive testing, heat treating, chemical milling, swaging, shotpeening, metalbond and composite manufacturing, water jet cutting, laser jet cutting, etc. Customer This term applies to Avcorp s direct customer. This may not be the end user of the item, and higher-level quality requirements from customers of Avcorp s direct customer may be flowed down by Avcorp s customer. Item(s) The contracted material, product, service, part, goods, kit, or report that is provided to Avcorp by the supplier. Items may be non-physical such as a contracted service. MRB - Material Review Board A cross-functional group that reviews production or purchased items on hold due to usability concerns and determines their disposition, which may include use, rework, repair, scrap, or returning to the supplier for further investigation. PAGE 1 OF 15

2 OPSD Outside Production Specification Document Avcorp revision-controlled document indicating the item s engineering data definition, special instructions and condition of supply if it deviates from the engineering definition. If the Purchase Order calls an OPSD then the requirements of the OPSD are supplemental to the Engineering requirements and in the event of conflicting requirements the OPSD takes precedence. Product A physical object that comprises a final deliverable object or is an element of a final deliverable object. Repair Action taken to restore a non-conforming item to a serviceable condition that does not comply with drawing/specification requirements. Repair conditions typically require MRB approval. Rework Action taken to bring a non-conforming item into compliance with the drawing/specification requirements. In many cases rework may be authorized by specifications without requiring prior approval, however if not clear, authorization shall be requested prior to performing rework. Types of Suppliers Avcorp classifies suppliers by the type of item they provide. These classifications are used to determine some requirements. Suppliers may be approved for more than one type of classification. The classification that applies is specific to the item being provided. There are two major categories of suppliers those who provide Production Items and those who provide Non-Production Items. A) Production Item Suppliers Suppliers who provide an item that is a raw material, defined special process, semi-finished or finished component that is an element of the deliverable item to the customer, or provide a critical service as defined below. Product Suppliers who manufacture physical product that is contained in or on Avcorp deliverables to customers. This supplier typically does not include consumable shop supplies that are not part of the customer deliverable but are used to manufacture the product. For example, a product supplier supplies the paint that is used on a deliverable product to the customer, but not the masking material for the paint operation. Product suppliers include suppliers who manufacture chemicals for special processes such as paint, anodizing, etc. Raw Material A special type of product supplier or distributor that provides raw material to Avcorp which Avcorp or their suppliers then converts into finished or semifinished products. For example, sheet metal, plate, extrusions, rod, bar, plastic, forgings, castings, etc. Distributor Suppliers who do not manufacture products but instead purchase and distribute finished product to Avcorp from other sources. This typically includes fastener hardware (nuts, bolts, rivets, etc.) chemicals for special processes (paint, sealants, etc.), and system components (connectors, tubes, valves, etc.). Raw material distributors are considered as Raw Material suppliers. PAGE 2 OF 15

3 Special Process Suppliers who perform controlled special process services on Avcorp, customer or supplier product. Services Suppliers who perform contracted services other than special processes that require an elevated level of quality control. Examples include: - Sub-contracted machining or assembly operations on production product - calibration services performed on production measurement equipment - mechanical tests or chemical analysis for production process verification B) Non-Production Item Suppliers Suppliers other than Production Item suppliers as defined above. These would typically be suppliers of consumable shop and office supplies, tooling or production equipment, shop, computer and office equipment, etc. Q1 Supplier shall maintain a Quality Management System that meets or exceeds the requirements of SAE AS9100, AS9110, AS9120, or the equivalent aerospace industry recognized standard and applicable customer and/or regulatory authority standards. As part of this Quality Management System, the supplier shall provide and maintain without additional charge to Avcorp, a quality system that complies with all specifications stated in the Long Term Agreement, Standard Terms and Conditions and the Purchase Order. In addition, the supplier shall meet customer requirements such as Boeing D , D1-4426, Bombardier QD , HACI P 10-1 Supplier Requirements manual, BAE BAE/AG/QC/SC1, Quality Management Requirements for Suppliers and BAES-JSF-QMS-1-03-DV, Supplementary Quality Requirements for Suppliers to the F-35 Lightning II Program, as well as applicable program quality plans. If Avcorp s review of the supplier s quality system indicates significant flaws in management, control and execution, the supplier shall make every reasonable effort to rectify the situation or any finding that has product impact. Suppliers shall notify Avcorp within three working days of any loss of registration/certification (or notification of loss of registration/certification) of quality system approvals or customer process approvals, including NADCAP. This requirement to notify is also applicable to sub-tier loss of registration/certification. Q2 Suppliers shall tender to Avcorp for acceptance only items that have been inspected in accordance with the appropriate inspection system and have been found by the supplier to be in conformity with all requirements of the applicable Purchase Order and engineering requirements. The supplier confirms and represents that the items meet and/or exceed all applicable Avcorp, government, customer and/or supplier design control documents, inspection, validation, and functional test requirements, unless otherwise noted in Avcorp dispositioned forms accompanying the items. Q3 Suppliers shall prepare verifiable and lot-traceable quality records evidencing conformance of all items and inspections made and the outcome of such inspections including raw material used, relevant chemical, physical and mechanical test reports, special processes performed, as well as dispositions of non-conforming articles. These records shall be complete and readily available to Avcorp, Avcorp s customers, and government or regulatory bodies upon request. These records shall not be discarded without prior Avcorp written approval. Records may be retained in electronic or hard copy format at the suppliers discretion unless otherwise specified. PAGE 3 OF 15

4 Q4 Q5 Avcorp, its customers and regulatory authorities shall have the right to inspect and test the material and workmanship of all items, review relevant quality related records, compliance to this document or otherwise audit the supplier at all places and times including, when practicable, during the period of manufacture or provision of services. If any such audit, inspection or test is made on the premises of the supplier, the supplier shall furnish, without additional charge to any such party(ies) all reasonable facilities and assistance for the safe and convenient performance of the audit, inspection or test. Such audits, reviews and evaluations shall be conducted in a manner that will not unduly delay work under the Purchase Order. Further, it is recognized that despite such reviews, the supplier controls the dayto-day production, delivery and documentation of its work, and therefore, Avcorp s right of review, whether exercised or not, does not release the supplier of any of its obligations of testing, inspection, quality control and associated documentation. Suppliers shall contact Avcorp for agreement on using any sub-tier sources and applicable manufacturing processes. Suppliers shall notify Avcorp in advance of changes in the manufacturing facility location of the items at sub-tier suppliers, including processes (conventional and special processes) performed. Suppliers shall not relocate or subcontract any work without prior Avcorp written approval. All suppliers and sub-tiers performing special processes shall comply to customer source lists in accordance with Boeing D1-4426, Bombardier QD , HACI P 10-1 Supplier Requirements Manual, BAE BAE/AG/QC/SC1, Quality Management Requirements for Suppliers and BAE/AG/QC/SC1 Parts 1 to 7, BAES-JSF-QMS-1-03-DV, BAES-JSF-QMS UG (Guidance for Subcontractors to the F-35 Lightning II Program), and require Avcorp approval prior to manufacturing process execution. In addition, raw material and hardware sub-tier suppliers and distributors shall be verified against endcustomer approved source lists. Only approved sources of those materials shall be used when such a list exists. Q6 Q7 (deleted) Rework of items to drawing configuration, or scrap of non-conforming items may be made without prior Avcorp approval where permissible in the drawing/specification. Non-conforming items shall not be repaired or used by the supplier or its sub-tiers without first receiving explicit repair or use instructions from Avcorp s Material Review Board (MRB), unless the supplier has received delegated MRB authority from Avcorp. Suppliers shall identify all non-conforming items requiring MRB disposition to Avcorp as soon as practical and include the following minimum information: Part number Avcorp Purchase Order Number and line Supplier production batch or lot number Quantity in batch Quantity non-conforming PAGE 4 OF 15

5 Detailed text indicating the drawing or spec requirement and the specific non-conformance Photos or sketches as appropriate Recommended disposition or repair scheme. Root cause of the non-conformance Corrective action taken and planned (including documented evidence of the corrective action taken) Non-conforming items shall be identified with the applicable Avcorp non-conformance number and/or customer non-conformance number as directed. Signed copy of the non-conformance report (NCR) dispositioned by Avcorp as rework or use-as-is indicating completion shall be included with the C of C for verification on delivery to Avcorp. Non-conforming items identified by the supplier or its sub-tiers after the items have been shipped to Avcorp are required to be disclosed in a day from the time the scope of the disclosure has been identified internally at supplier manner prior to further item processing or shipping via a disclosure letter to Avcorp. The disclosure letter shall include all pertinent information on the condition (i.e. part numbers, quantities delivered, serial numbers or lot numbers affected, time frame, description of condition, etc), and short term corrective action (error containment), root cause and corrective actions taken. If further investigation is required to determine root cause and corrective actions, in the interest of expediency, root cause and corrective actions taken to prevent recurrence may be added at a later time as agreed with Avcorp. Suppliers shall maintain and retain a list of items scrapped and may be requested to provide evidence of scrapping of items to verify engineering scrap dispositions are carried out. The list of scrapped items may be periodically audited by Avcorp, customer or regulatory bodies. Non-conformance tags directing scrap of items shall be signed or stamped and dated when completed and returned to Avcorp for evidence of scrap actions. Q8 The supplier is responsible to ensure full traceability of all activities and goods under Avcorp Contract/Order that ensures tracking of the supply chain back to the manufacturer or service provider. All technical/quality requirements applicable to the g o o d s and services under the Contract/Order should be traceable to the time and place of production. Records should provide the degree of traceability required to enable verification, at any point from raw material to final product, of all aspects of material, manufacturing, and documentation. Where items require a History Card the supplier shall include the original History Card with the release documents for traceability. History Card shall record the key manufacturing and inspection activities. Per BAES-JSF-QMS FM. Q9 Where items are provided by Avcorp or Avcorp s customer, the supplier confirms that any items supplied will be the only items used to perform the specified operations. Avcorp and customer-supplied items shall be stored and controlled in a way to prevent unauthorized use and be adequately protected against damage and deterioration. Suppliers do not have authority to modify the items without prior written consent unless the modification is part of the agreed regular production process. PAGE 5 OF 15

6 Q10 This clause is applicable only to suppliers of calibration or test services The supplier shall submit for each item calibrated or tested a record of actual results. This information may be provided with the item or in a method or format agreed with Avcorp. The following minimum information shall be provided: Part Identifier (part number and serial number or lot number as applicable) Avcorp Purchase Order and line number Unique supplier report number Applicable tolerance ranges Incoming condition of the item Work performed and applicable specifications Final condition of the item (which may include any remaining uncorrected condition) Q11 This clause is not applicable to suppliers of calibration or test services. Customers shall provide a certificate of product conformance (C of C) for customer-supplied material, however the information provided on the C of C is at the discretion of the customer when the item is used for their programs. Suppliers shall supply and include with each shipment two copies of C of C attesting the release of the items included in the shipment. One copy shall be included with the pack slip or shipping documents on the outside of the package and the second copy contained with the items to prevent loss during transit or customs inspection. The C of C must be clearly legible. The C of C shall contain the following information: Statement of conformance certifying that: The products detailed in the C of C meet the requirements of: Purchase Order (record Purchase Order number); and Line item (record Line Item number) Supplier Name and Address; Cage code Name and address of supplier who manufactured the item (if not the same as the direct supplier to Avcorp); Date of release of goods or certification or manufacture; C of C or Packing Sheet/List Number if packing Sheet/List cover the certificate of conformance and traceability requirements herein; Identifying Part Number; Avcorp OPSD and revision, or if no OPSD is applicable then engineering documents and revision level the items conform to (i.e. drawing sheet number or CAD file, parts list and/or notes list, ATP number, etc.); Quantity of items delivered; Production lot or job number and quantities of each if multiple lots or jobs; PAGE 6 OF 15

7 Serial Numbers (if applicable); For raw material used to manufacture the items, identify the following (not required for standard catalogue fasteners): - Raw material description, type - Raw material specification number - Raw material specification revision - Name of raw material manufacturer (mill) - Location or address of the facility that manufactured raw material - Name of special processors used to process and test raw material - Location or address of the special processors used for raw material For any special processes performed in the manufacture of the items, identify the following (not required for standard catalogue fasteners): - Special process name or type - Special process specification number - Special process specification revision - Name of facility that performed the special process - Location or address of the facility that performed the special process. Any applicable nonconforming item document numbers, (i.e. AVCORP and/or customer rejection tag number); Authorized supplier representative name, stamp and/or signature and date. Electronic signatures are acceptable; If applicable, an AVCORP Source Inspection stamp and date of inspection; The C of C shall have the following attachments, as applicable: Avcorp nonconformance paperwork showing evidence of compliance; First Article Inspection report; Avcorp Authorization to Ship waiver or deviation document per P In addition, the detail parts shall bear the final inspector stamp by the part marking. Where this is not practical each and every part shall be tagged and the stamp shall be applied on the tag. Assembly or Kitted Parts: When certification calls out an assembly or kit, the C of C shall include all detail part numbers listing the same information as noted above. Alternately, an electronic copy of the above documentation may be provided to Avcorp in a manner agreed between Avcorp and the supplier. For items delivered through vendor-managed on-site inventory at Avcorp, the supplier shall provide copies of the C of C on a regular basis as agreed with Avcorp Procurement. These copies may be hard copy or electronic format as agreed. PAGE 7 OF 15

8 Q12 Applicable only to product and raw material suppliers. Not applicable to standard catalogue hardware items. Unless otherwise authorized by Avcorp, suppliers shall provide Avcorp and retain on file relevant material test reports for raw material used to manufacture the items showing quantitative physical, chemical, mechanical and metallurgical properties traceable by lot number to the applicable Avcorp product as follows: Raw material Supplier Name and address Date of report Packing Sheet/List or Certification Number Purchase Order or Contract Number Part/Extrusion Number (if applicable) Quantity Mill Name and Address Material Alloy and Temper Industry, Customer and Test Specifications and Revision Levels as applicable Mill Lot Number and Lot Number or purchase order traceable to the Mill Actual Mechanical and Chemical Property Test results of the material and if applicable any additional special test results such as non-destructive testing. Mill certification of Chemical Properties without actual test data shall be accepted as well. Authorized supplier representative, name or stamp and signature These records shall be retained in accordance with clause Q3 and shall be readily accessible for verification during Avcorp audits or other verification activities. Q13 Applicable only to product or raw material with controlled special processes performed. Not applicable to standard catalogue hardware items. In addition to the summary of special processes performed noted on the C of C (see clause Q11), the supplier shall retain certifications for any and all controlled special processes used to manufacture the items traceable by lot number to the applicable Avcorp product as follows: Special process supplier name and address Date Packing Sheet/List or Certification Number Purchase Order number Part Number Special Process performed, (i.e. Heat Treat, Age, NDT, Chem Film, Paint, Chem Mill, etc,) Industry, Customer and Test Specifications, Revision Levels and if applicable, the specification effectivity date. Material Alloy and Temper (where applicable) Quantity processed Special Test Results, if applicable, (i.e. Rockwell, E.C., Paint Tape Test, etc,) PAGE 8 OF 15

9 Details of processing parameters, times, temperatures, equipment used, batch or lot numbers, thickness measurements, dimensional maps, etc. This information will be specific to the individual special process performed Authorized supplier representative, name or stamp and signature. These records shall be retained in accordance with clause Q3 and shall be readily accessible for verification during Avcorp audits or other verification activities. Q Q15 For time and temperature-sensitive materials, items shall be marked with date of manufacture. Not more than 25% of shelf life shall have lapsed at time of delivery to Avcorp unless otherwise authorized by Avcorp Procurement in an Authorization to Ship waiver P Suppliers shall provide Avcorp with all pertinent information pertaining to shelf life and storage requirements, as applicable. Avcorp and its customers reserve the right to have source inspection performed at the supplier s facility or sub-tier suppler facilities prior to shipment of any items. The requirement for source inspection shall be identified on the Purchase Order or in writing from Avcorp Supplier Quality or Procurement. Approval of items by Avcorp source inspection does not release the supplier of any of its obligations of item conformity, testing, inspection, quality control and associated documentation. If source inspection is required, suppliers shall not ship items or perform the specified service without approval by an Avcorp-approved source inspector or prior written permission from Avcorp Procurement. Avcorp Procurement may waive the requirement for source inspection on a case-by-case basis through an Avcorp Authorization to Ship form P Source inspection requirements shall be provided by Avcorp Supplier Quality or Procurement via a separate letter indicating the specifics of the inspection and requirements to be met prior to release of items. Arrangement for timing of the source inspection shall be made by the supplier through direct contact with the source inspector or Avcorp Procurement as previously agreed. The supplier or sub-tier supplier shall make available to the source inspector such area, facilities, equipment, records or other assistance as required to verify item conformance. Supplier shall provide sufficient notice to Avcorp prior to source inspection deadline. Q16 If the items provided by the supplier are covered under the fastener quality act, then in addition to the C of C the following information shall be provided by the supplier as a label on the individual packages: Part number; Lot number; Name of actual manufacturer; and Date of manufacture. PAGE 9 OF 15

10 Q17 Q18 Q19 Q20 The supplier and its sub-tiers shall ensure that all applicable requirements including drawings, specifications, qualifications, key characteristics, etc. under the contract with Avcorp are flowed down to all suppliers and sub-tiers performing work on Avcorp s items. The supplier and its sub-tiers shall not make any configuration changes to any items, which could affect form, fit, function, performance, or price without Avcorp s prior written consent. Notification and approval of configuration changes include those items which are superseded by another item. Any supplier configuration change requests shall be submitted to Avcorp Procurement in writing for approval prior to configuration change processing. Suppliers shall notify Avcorp when: - Technical data in the supplier's possession does not agree with the revision data specified in a Purchase Order - Any additional technical data is required. Avcorp shall furnish suppliers with such technical data in a reasonable time after receipt of such request. - The Purchase Order requirements are unclear. The supplier shall not start execution of the Purchase Order until all requirements are clarified at all sub-tier levels. The supplier shall not proceed based on its own interpretations and assumptions. (deleted) Applicable to product and raw material suppliers when material is not provided by Avcorp. Suppliers shall undertake to have raw material certification testing performed by a customer-certified testing lab independent of the producing mill on at least one sample of each alloy of raw material used to manufacture items supplied to Avcorp. (Testing of each temper is not required, but is encouraged.) Such testing shall include verification of the materials physical, chemical and mechanical properties and shall be performed, as a minimum, on an annual basis. The supplier shall maintain records of item validation on file, which shall be made available to Avcorp upon request. Alternate methods of material validation may be performed with agreement from Avcorp. Q21 Q22 Q23 Q24 When required, the supplier shall include with each shipment an airworthiness certificate executed by an airworthiness authority or their authorized designee (e.g. Transport Canada, FAA, EASA, JAA, etc.) for all items. Preliminary arrangements shall be made with Avcorp prior to item delivery to execute the conformity check without affecting agreed delivery schedule. (deleted) All suppliers and sub-suppliers performing special processes and lab testing on items shall be NADCAP approved unless otherwise approved by Avcorp. The applicable special processes that require NADCAP approval can be found at The supplier shall provide Manufacturing Plans, which include product verification operations and subtier suppliers at specified locations executing the Manufacturing Plans to Purchase Order requirements. The Manufacturing Plans require Avcorp approval prior to manufacturing. PAGE 10 OF 15

11 In addition, the selected items or processes may require qualification by Avcorp and/or the customer prior to production or during FAI. If certain items and processes require pre-approvals and qualifications by the customer, Avcorp shall be informed in a timely manner for concurrence to ensure pre-approvals and qualifications will be completed to Purchase Order before full scale production. NOTE: Avcorp approval of manufacturing plans does not absolve the supplier of the responsibility and accountability of conformity to all Avcorp and its customer requirements, as well as regulatory and statutory requirements. Also refer to AS9100C Section 4.1 Note 3. After the initial approvals were granted, subsequent changes will continue to require Avcorp approvals. The supplier shall notify Avcorp in advance of any proposed change to the production process and shall receive approval prior to implementing the change. This requirement applies to all affected suppliers and their sub-tiers. Q25 Q26 Unless otherwise specified, the latest revisions of the applicable specifications and or drawings apply to this Order. Refer to the OPSD for drawing and other specific requirements when called in the Avcorp Purchase Order. The applicable OPSD revision shall be identified in the Purchase Order. Unless otherwise authorized by Avcorp, the manufacturing suppliers shall develop a Quality Manual describing the internal processes and methodologies in compliance with AS9100 Section 7.1. The original Quality Manual and subsequent revisions shall be controlled by the Supplier and made available to Avcorp upon request. Q27 Applies only to product suppliers (including forgings/castings) and special process suppliers. Items manufactured and supplied to Avcorp under this Purchase Order require First Article Inspection (FAI) in accordance with SAE AS9102. First Article Inspection Reports are to be completed on new items using tooling and processes representative of the first production run, or as requested by Avcorp. Partial First Article Inspections (often called Delta FAI ) shall be performed when any of the events noted in section 5.3 of AS9102 occur, including (but not limited to) changes in production tooling, NC programs, and item configuration. Avcorp is required to be notified of any FAI or delta FAI that may occur. All First Articles Inspection reports and Delta FAI reports shall be in accordance with SAE AS9102. If forms other than those contained in the standard are used, they must contain all Required and Conditionally Required information and have the same field reference numbers and information. Copies of the supplier FAI or Delta FAI reports are required to accompany the applicable item delivery documents and a copy shall be retained as a quality record by the supplier. Alternately, the reports may also be submitted via electronic means in a manner and format agreed in advance with Avcorp Supplier Quality. PAGE 11 OF 15

12 All FAI Plans and final FAI Reports shall be approved by supplier Quality authorized personnel, stamped and dated. In addition, all FAI Plans and final FAI Reports shall be approved by Avcorp authorized personnel, stamped and dated. Therefore the supplier shall provide all FAI plans for Avcorp approval prior to execution of the manufacturing process. NOTE: Avcorp approval of manufacturing plans does not absolve the supplier of the responsibility and accountability of conformity to all Avcorp and its customer requirements, as well as regulatory and statutory requirements. Also refer to AS9100C Section 4.1 Note 3. After the FAI has been executed any future FAIs or delta FAIs shall follow the same approval process as described above. Avcorp may request to witness the FAI or delta FAI execution; in this case the supplier shall provide assigned Avcorp representative all necessary assistance. Avcorp representative will make all preliminary arrangements with the supplier in a timely manner to ensure effective execution of this assignment. Acceptance of the First Article shall not constitute acceptance of subsequent portions of work. Q28 Q29 Q30 Q31 (deleted) The primary language of communication with Avcorp shall be English. Unless otherwise specified, all data shall be available in the English language. The supplier is responsible for the accuracy and provision of all translations to other working languages, unless otherwise agreed with Avcorp. Management of Key Characteristics that have been identified by Avcorp or Avcorp customers shall be monitored and controlled per AS9103 and applicable customer requirements. Acceptance plans may require Avcorp and/or customer approval, shall be statistically valid and shall preclude acceptance of item lots whose samples have known non-conformities. Key Characteristics may be product or process related. Evidence of product or process conformity to the acceptance criteria shall be maintained. Suppliers shall employ a Digital Data Control system, (DPD, MBD, etc.) so electronic data is controlled at a level to assure that integrity of item and/or tooling engineering and configuration and manufacturing data is maintained throughout the supplier s Digital Data Control system from receipt of the electronic data through creation of derivatives, to item acceptance and process improvement. Refer to customer documents Boeing D , Bombardier BM , HACI QAP 5-0, for compliance. Q32 Suppliers shall maintain a formal internal tool control system that allows for the proper segregation, care, upkeep and maintenance, and accountability of Avcorp and customer-owned tooling. The supplier is responsible for compliance with the applicable Avcorp or end-customer tooling requirements per Boeing s D33200 & D documents, Bombardier QD , HACI Tooling Manual HA PAGE 12 OF 15

13 Annual inventories of such tooling shall be performed with the results maintained in accordance with contractual requirements. Upon request the results of such inventories shall be forwarded to Avcorp for review. Prior written approval from Avcorp is required before modification or disposal of Avcorp or customer-owned tools. Tools which control or check the final configuration of deliverable items are required to be inspected to engineering requirements a minimum of once per year (or inspected prior to use if used infrequently). If tooling is not inspected, then 100% item inspection shall be performed to confirm item conformance. Q33 Sampling plans used for product acceptance are required to be statistically valid (eg. meet ARP9013 guidelines, Boeing D1-8007, Bombardier QD , other particular customer specification requirements) and shall be approved by Avcorp and/or its end-customers. The sampling plans shall contain at minimum: Written authorization from end-customer for the sampling plan method used on critical/flight safety products and characteristics Proof of customer approval Characteristics that are applicable at the given inspection operation on all articles in the sample. Ensure the inspection sampling plan is developed and approved by personnel other than inspection, following the plan. Method of positive recall taken when a rejectable condition is found Requirements for inspection personnel training requirements in applying sampling plans Mapping of sampling plan requirements to customer specification requirements Inspection records control. Q34 Upon completion of the investigation and agreement of liability between all; involved parties, the Supplier may be subject to charges associated with handling nonconformities as follows: Disposition of a rejection tag prior to product shipment to Avcorp: o US$ Goods certification documentation incomplete: o US$ Lot or batch of Goods rejected at Avcorp s plant and dispositioned as scrap: o US$ Goods reworked or repaired: o o US$ per tag Rework / repair / replacement costs and reliability claim are supplemental. PAGE 13 OF 15

14 Q35 Nonconforming Goods Disclosure: o The amount shall depend on the impact to the products. Charge items include all the costs associated with investigation done at Avcorp and the cost of disclosure to Avcorp customers. Late response - Request for Corrective Action: o Supplier will be notified in writing by Avcorp SQD prior to the RCA due date o 500 US$ (per RCA) if Supplier does not respond within 30 calendar days after the RCA due date Unless documented otherwise, Boeing does not authorize the use of Lead Free solder or materials. When flowing down the requirements for prohibiting lead free solder ensure the following PO notes are made in the Purchasing Contract or Purchase Order: Verification of procurement requirements and processes Verification of sub-tier supplier soldering processes Verification of sub-tier receiving processes(as in capability to detect) such as x-ray fluorescence (XRF) or energy dispersive x-ray (EDX) Ensure a plan or process is effectively implemented addressing the unintended entry of components with lead free termination materials covering the following. Q36 The preclusion of lead free solder or pure tin from entering production The preclusion of lead free solder or pure tin in repairs Processes and systems for handling, segregating, and disposing of nonconforming material. This clause applies to F-35 and Boeing Defense Systems program suppliers only at this time. However Avcorp strongly recommends the suppliers supporting other programs to plan the implementation of these requirements in the near future. The suppliers shall implement counterfeit prevention programs to one or more the following standards, pending their scope of work: a) AS Supplier procuring materiels / parts other than electrical, electronic, and electromechanical (EEE). b) AS5553 Supplier procuring and/or integrating electronic parts and/or assemblies containing electrical, electronic, and electromechanical (EEE) items. c) AS6081 Distributor of electronic parts. d) AS6462 Verification criteria for AS5553 suppliers. This standard provides with a set of criteria to be utilized by the accredited certification Bodies (CBs) to establish compliance and grant certification to AS5553. At this time Avcorp does not require its suppliers to be AS5553 certified, however this will be considered in the future. PAGE OF 15

15 NOTE: The standards above make reference to other standards of interest, and also provide links to the recognized forums, government or commercial publications on the subject to maintain alertness and awareness of such incidents in the industry and supporting an effective risk management process. Additional guidance on the above requirements is presented in the IAQG Supply Chain Management Handbook at the following web location: PAGE 15 OF 15