Geico s Approach to Paintshop: Innovation & Sustainability

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1 Geico s Approach to Paintshop: Innovation & Sustainability AMS South America Conference September 3 rd, 2012 São Paulo Fabrizio Mina, Executive Director Americas, Geico SpA

2 Index Geico Taikisha Alliance Geico in Latin America Pardis Project: Geico s Innovative Energy Saving Technologies QOROS Project: Geico s Most Innovative Plant Focus on J-Jump Conveyor System 2

3 1 st Year Anniversary - Geico & Taikisha Alliance May 19 th 2011 Geico & Taikisha create a Global Alliance and Geico becomes a member of Taikisha Group 3

4 Geico Taikisha Global Alliance Commercial Guideline Geico Taikisha Global Alliance will enhance both companies ability to serve their customers around the world in providing Turnkey Coating Systems for the vehicle industry, thorugh their 26 subsidiaries around the world. Geico Headquarter Cinisello Balsamo, Milan, Italy Taikisha Headquarter Tokyo, Japan 4

Turnkey Coating Systems for the vehicle industry, thorugh their 26 subsidiaries around

5 Geico Taikisha Global Alliance Commercial Guidelines The Alliance is enhanced by the complementary customer base served today by both companies. (1 ) Geico will be in charge of the American (North, Centre, South), the European (including Russia) and the Middle & Near Eastern vehicle manufacturers. (2) Taikisha will be in charge of the Japanese and Korean car manufacturers. (3) In India, China, and other countries in Asia & Africa, Geico shall be in charge of all the vehicle manufacturers that have JV or licensing agreements with point (1) above. Taikisha, instead and with the same token, shall be in charge of those listed in point-2 above. 5

(2) Taikisha will be in charge of the Japanese and Korean car manufacturers.

6 Geico Taikisha Global Alliance Commercial Guidelines The complementarity between the two companies applies also to the technical point of view. Geico & Taikisha can share know-how and technologies: Taikisha s Counterflow, ILAS, Integrated Air Shield, etc.. Geico s J-Jump, J-Flex Rotating System, Dryspin dry scrybber, etc.. Geico s and Haden s IP, patents, trademarks, and technologies remain of Geico s property and management. Taikisha can use them for the Japanese and Korean vehicle manufactures. Their development remains of Geico s responsibiity. Geico will have access to Taikisha s Technologies, Suppliers Base, Engineering, Manufacturing Units, and Offices globally. 6

. Geico s J-Jump, J-Flex Rotating System, Dryspin dry scrybber, etc.

7 Order Acquisition Paint Division - Summary (US$) - Countries Total Order Acquisition $ China Thailandia Japan India Brazil Europe Nafta Others

000 300.000 250.000 200.000 150.000 100.000 50.

8 Geico & Taikisha Alliance Over 4,000 Employees U.S. $ 1.7 Billion Annual Sales Present in more than 20 Locations Worldwide, allgeicoproject s Partner in Latin America Above 800 Engineers & Specialists in Paint Finishing Business World Class Manufacturing Facilities Own Tecnologies; J-Flex, J-Jump, Dryspin, Hydrospin plus, ILAS, Speedry, Automatic Application Owners of HADEN Intellectual Properties, Patents, and Trademarks 8

America Above 800 Engineers & Specialists in Paint Finishing Business World Class Manufacturing Facilities

9 Index Geico Taikisha Alliance Geico in Latin America Pardis Project: Geico s Innovative Energy Saving Technologies QOROS Project: Geico s Most Innovative Plant Focus on J-Jump Conveyor System 9

10 Geico Taikisha Alliance s Offices in Latin America Geico Brasil Ltda Rua Francisco Rocha, 2113 CEP Bigorrilho - Curitiba Paranà - Brasil Taikisha do Brasil Ltda. Rua Maestro Cardim, 1293 CJ Andar-bera Vista Sao Paulo - Brasil Falcare Equipamentos Industriasi Ltda Member of allgeicoproject Independent Lincenced Partner Company Rua Arlindo Marchetti, 215 Bairro Santa María São Caetano do Sul Brasil 10

102-10 Andar-bera Vista Sao Paulo - Brasil Falcare Equipamentos Industriasi Ltda Member of allgeicoproject

11 Geico Taikisha Main Projects in Latin America Complete Paint Shop Sete Lagoas, Brazil Primer and top colour painting line Belo Horizonte, Brazil PT-ED Line Porto Real, Brazil Complete Paint Shop Uberlandia, Brazil Uberlandia, Brazil Sete Lagoas, Brazil Belo Horizonte, Brazil Complete Paint Shop Somaré, Brazil Sorocaba, Brazil Porto Real, Brazil Somarè, Brazil Cordoba, Argentina Curitiba, Brazil Complete Paint Shop Sorocaba, Brazil Zarate, Argentina Campana, Argentina Complete Paint Shop Curitiba, Brazil Complete Paint Shop Cordoba, Argentina Expansion Passenger Cars Zarate, Argentina PT-ED, Booths, Ovens Campana, Argentina 11

Sorocaba, Brazil Porto Real, Brazil Somarè, Brazil Cordoba, Argentina Curitiba, Brazil Complete Paint Shop Sorocaba, Brazil Zarate, Argentina Campana,

12 Index Geico Taikisha Alliance Geico in Latin America Pardis Project: Geico s Innovative Energy Saving Technologies QOROS Project: Geico s Most Innovative Plant Focus on J-Jump Conveyor System 12

13 Pardis Project: the Road Map 13

14 Year

15 J-Flex 15

16 Air Recirculation 16

17 Dryspin 17

18 Nanotechnologies 18

19 3 Wet 19

20 Robots 20

21 Dryflex 21

22 Alternative Energies 22

23 Index Geico Taikisha Alliance Geico in Latin America Pardis Project: Geico s Innovative Energy Saving Technologies QOROS Project: Geico s Most Innovative Plant Focus on J-Jump Conveyor System 23

24 Production Strategy Location Changshu, Jiangsu Province, China Products C Class Family of Vehicles Sedan Notchback SUV phase 1 Production volumes Phase I up to units/year Production rate Phase I 36 JPH NET Working days 350days/year 24

25 Painting System The new Qoros painting system combines the latest application technologies in compact processes to achieve world class quality with a critical eye towards environmental stewardship. Topic Highlights on Paint shop Green Initiatives Lower carbon footprint through compressed processes Significantly less water usage Waterborne coatings (lower VOC emissions) High efficiency application technology Quality Leadership Next generation topcoat process for improved visual appearance Precise Robotic application of coatings to assure consistency Innovation First ever J-Flex rotating conveyor system Dry spray booth design (Uses NO water): Dryspin First to use the last innovative processes throughout entire paint shop 25

26 500 kwh/unit: Lay-out 3 COAT 1 BAKE DRYSPIN GEICO S DRY SCRUBBER NANOTECHNOLOGIES SPEEDRY J-FLEX GEICO S CONVEYOR ROTATING SYSTEM 26

27 Plant: Energy Consumption Project Benefits Compact transport system compact transport solutions J-Flex compared to traditional 45 kwh/job 13 kg CO2/job Flexible ITO Solutions fit for variable production in ITO Multizone control in process ASUs 6 zones control and variable SP in function of external climatic situation cascade from manual to automatic application zone Fixed consumption with variable production 30 kwh/job 10 kgco2/job 54 kwh/job 18 kg CO2/job Global Energy Management SW for monitorization of a paintshop consumptions General knowledge Cascade and recycle solutions in paint booths cascade vs olutions from manual to automatic zones or recycle in automatic zones 30 kwh/job 10 kg CO2/job 27

28 Plant: Energy Consumption Project Benefits DRYSPIN booth Geico s Dry scrubber 50 kwh/job 18 kg CO2/job Low consumption ovens Max of solutions for energy reduction in convention ovens 10 kwh/job 3 kg CO2/job High efficiency motors use of high efficiency motors 4 kwh/job 2,2 kg CO2/job VFD (inverters) wide use VFD tecnology anywhere a variable condition may happen 20 kwh/job 10 kg CO2/job Air cascade in building reduction of renewal air by mean of an optimization of building sectorization 15 kwh/job 5 kg CO2/job 28

29 The J-Flex: Pardis Innovation Center Speed adjustment Locking device Dip & Rotate test Simulation Test 29

30 QOROS: Facts and Data 240 sqm SAVED 15 kwh/job SAVED Pendulum J-Flex Building occupancy Energy Consumption Cost of ownership Movement flexibility The best for any body and process 30

31 Pardis Innovation Center Sliding floor Easy cleaning Dryjet Newty Filtration unit Retractable floor; divided into sections Non-stick coatings for easy paint overspray easy removal Precoat ejectors, divided into elementary components Easy to clean conveyor type Complete with doors for manual operations and automatic system for exhaust powder extraction How it works 31

32 QOROS Item Precoat Material Characteristics Calcium Carbonate Paint overspray to precoat ratio 1 : 3 Filter type KELLER Pro-Bran Filtration efficiency > 99,9% Dryspin length (total) 78 m 32

33 QOROS: Facts and Data Wet scrubber Dryspin Water usage Energy Consumption Cost of ownership Waste recovery 20,000 cu.m. water saving per year 100 kwh/job SAVED 33

34 Index Geico Taikisha Alliance Geico in Latin America Pardis Projects: Geico s Innovative Energy Saving Technologies QOROS Project: Geico s Most Innovative Plant Focus on J-Jump Conveyor System 34

35 The J-Jump Family Main installations of J-Jump Conveyor System in the world: Brazil Brazil SAIC China India

History of Dürr. From master craftsman's business to technology group

History of Dürr. From master craftsman's business to technology group History of Dürr From master craftsman's business to technology group Dürr's history begins in 1895. A craftsman's business, established in the era of German Emperor Wilhelm II, was the origin of today's