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UAI Highlights 2011 Record Revenue Contract Fabrication Building Expansion 3 Shifts of Production UN 31A Mobile Canadian

UAI Highlights 2011 Record Revenue Contract Fabrication Building Expansion 3 Shifts of Production UN 31A Mobile Canadian Tanks.

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UAI Highlights 2011 Record Revenue Contract Fabrication Building Expansion 3 Shifts of Production UN 31A Mobile Canadian

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  1. UAI Highlights 2011 • Record Revenue • Contract Fabrication • Building Expansion • 3 Shifts of Production • UN 31A Mobile Canadian Tanks Our company’s foundation is based on our long termrelationships and the vast experience of the United Alloy teamin the fabrication and Power Generation industries.

  2. 4100 Kennedy Road Janesville, WI • Occupied 2004 • 105,000 Square foot facility • 80 Tons of crane capacity • Inside loading docks • Currently at 35% capacity • Shipments +55 tanks/day 5

  3. Strategic Location I-90 between Madison and Chicago

  4. Market Overview – 2011 Power Generation: Tanks, Base Frames, Trailers Customers including Cummins Power Generation, Baldor, Generac, Magnum, MTU and Taylor Power Construction: Customers including Sullivan Palatek and Sullair Industrial: Customers including Grainger, Reading Truck Body and American Farm Implement International: Key Distribution including Cummins, Generac and Baldor 7

  5. Contract Fabrication Improved lead times Improved scheduling of labor resources – level loading Reduced overtime scheduling and related costs Improved forecasting – Power Generation – Disaster Recovery Improved flow with UAI material supply chain Eliminate the perpetual 4th quarter “crunch” Manage capacity more effectively UAI Contract Fabrication 8

  6. UAI Contract Fabrication Affect on Delivery On Time Delivery

  7. UAI Contract FabricationAffect on Delivery On Time Delivery 35%Growth

  8. 2012 Continuous Improvement Projects • Building Expansion • 21,000 Square Foot Addition • Ramped/connected to existing building • Supporting “Contract Manufacturing” philosophy shift from “Job Shop” fabrication • Storage for finished goods and pallets 11

  9. 2012 ContinuousImprovement Projects • Plant Layout – Process Flow Improvement • Addresses ergonomic issues • Increased capacity required by the telecommunications business and the rental market • Dedicated crane for subbase frame work center • Process flow improved overall for all welding work centers 12

  10. 2012 Continuous Improvement Projects • Wastewater Treatment System • Paint coated materials • Treat water onsite – accommodating ecological/green objectives • Increase marketability to enclosure panel segment 13

  11. 2012 Continuous Improvement Projects • Pretreatment Process Improvement • Upgrading to 5 stage wash • Improve salt spray durability • Improved paint adhesion • Improved aesthetics 14

  12. Engineering Solutions • Engineering • New Product Development Engineer • Industrial Engineer • Process Engineer • Design Staff • CWI’s • MSSC Certified Staff

  13. Design Expertise • Design • Expertise in fuel tank design and manufacture • Expertise in regional codes • Testing • Trouble shooting • No warranty issues How much is it worth knowing your tankwill meet the expectations of your customerand be commissioned timely?

  14. Core Competencies Laser Processing Turret Punching Metal Forming Welding Powder Painting

  15. Core Competencies Laser Cutting Trumpf3030 Trumpf 3050 Cincinnati CL707

  16. Core Competencies Turret Punching Vipros King Vipros Queen

  17. Core Competencies Metal Forming CNC Multi-Axis Control (2) 60 ton 6’ bed 90 ton 8’ bed 135 ton 10’ bed 350 ton 16’ bed

  18. Core Competencies Specialty RASTM Folder Precision Bends, Rigid Corners FICEPTM 40’ Bed Automated Drilling

  19. Modular Fixturing System

  20. Core Competencies Welding Superior Weld Quality Achieved Thru: • Pulse Arc Welding Technology • Standard, Metalcore & Fluxcore weld wire capabilities based on application • AWS D1.1 welders • 3 CWI’s on staff for2012

  21. Core Competencies Powder Painting 27’ x 6’ x 10’ Part Dimensions

  22. Sample Products 2,400 Gallon Tank DOT Approved Structural Frame

  23. Sample Products Gen-Set Aluminum Tank DOT Certified 2400 gallon tank Structural Frame Structural Frame

  24. Workforce • Levels Program – recognized by Wisconsin Department of Commerce in 2004 • Lean focus: reduced labor requirements from 125 to 75 in less than 1 year – 2005 • Non-traditional, empowered workforce • Labor cost avoidance for customers for 7 straight years • Non-union shop

  25. Decrease Labor Costs 29

  26. UL 142 Certified in 2003 2004 tanks shipped: 1,367 2005 tanks shipped: 4,220 2006 tanks shipped: 5,579 2007 tanks shipped: 4,712 2008 tanks shipped: 5,597 2009 tanks shipped: 4,344 2010 tanks shipped: 4,745 2011 tanks shipped: 7,855 History – United Power Products 31

  27. ISO 9001:2008 • Certified February 2006 • 500 % Quality inspection • Coordinate-measuring machine (CMM) • Initial Sample Inspection Reports (ISIR) • Operator Cross Checking Process (OCCP) • Development group resources focused on new production • UL 142 – NFPA Codes, IBC, ULC, IFC, NHTSA / DOT Manufacturer, UN31A

  28. 5 Quality Objectives • Customer Satisfaction • Product Quality • On Time Delivery • Continual Improvement • Efficiency Without Compromising Quality

  29. United Alloy’s mission is to continue expandingour business as a full service sheet metal fabricatorand powder coating company providing qualityproducts exclusively to world class OEM organizations. ISO 9001:2008

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