World-Class Support For Manufacturers The Offshore Group Innovative Outsourcing Our Team Of Over 500 Experts Working For You Presented to: Nissan Purchasing World-Class Support For Manufacturers The Offshore Group • • • • • • Offshore International, Inc. Offshore International, LLC Maquilas Tetakawi S.A. de C.V. Manufacturas Zapalinamé S.A. de C.V. International Logistic Solutions (ILS) Vangtel Nearshoring Solution Legal Structure/Roles Client U.S. Contract U.S. Offshore International Mexico U.S. Mexico MX Affiliates Client Operations In Guaymas Maquilas Teta Kawi Manufacturas Zapaliname Legal Presence in Mexico • Mexican Governmental & Regulatory Entities - Fiscal - Labor & Unions - Social Security & Welfare - Customs - Commerce - Environmental - Health & Safety • Trade within Mexico • Legal Council Client Operations In Saltillo Our Strategic Locations Los Angeles Tijuana Tucson Mexicali Cd. Juarez Nogales Houston Hermosillo Guaymas Chihuahua Mission Brownsville Monterrey Asian, European, & South American Ports Reynosa Saltillo Gulf of Mexico Mazatlan San Luis Potosi Altamira Queretaro Guadalajara Mexico City World-Class Support For Manufacturers Manzanillo The Offshore Group Guatemala Honduras El Salvador The Offshore Group’s La Angostura Industrial Park Located in Saltillo, Coahuila Mexico The Offshore Group’s Bella Vista Industrial Park Located in Empalme, Sonora Mexico What we do: We enable our clients to achieve overall cost reductions by operating in Mexico; and for our clients to simultaneously preserve or even improve quality and delivery while avoiding financial and operational risks that may be associated with doing business in a foreign country. World-Class Support For Manufacturers The Offshore Group What You Do & Control: Production Supply-Chain Training Manufacturing Technology Engineering Customer Service Quality What We Do: World-Class Support For Manufacturers Human Resources Payroll & Benefits Import & Export Labor Union Relations Accounting & Taxes Local Procurement Facilities Maintenance Park Management Employee Busing Environmental & Safety Corporate Citizenship The Offshore Group Employee Busing La Angostura Industrial Park Saltillo, Coahuila Mexico Benefits of The Offshore Group Shelter Program. No upfront costs, no need to form and maintain a legal entity & fast startup Expert logistics support Access to local vendors and service providers Experienced labor recruiting Experienced leadership/mgmt. recruiting Reduced labor turnover Improved labor attendance Effective labor union relations & negotiations Secure & safe industrial parks Fast response to building maintenance, repair, and utilities issues Building upsize / downsize flexibility Ensures market wages and benefits No government reporting Expert employee problem resolution No income tax Reduced border crossing costs and delays Assurance of Mexican Customs Compliance Assurance of Mexican Environmental Compliance World-Class Support For Manufacturers The Offshore Group The Offshore Group Four Ways Our Shelter Model Enhances Manufacturers’ Competitiveness 1. Locations. Operate within our flexible, scalable, secure, and strategically located industrial parks in Mexico; or choose a location that better meets your site requirements. 2. Focus. The manufacturer or service provider focuses its resources on productivity, efficiencies, quality, innovation, and ontime delivery. We focus our resources on non-production-related functions. 3. Leverage. Manufacturers immediately leverage The Offshore Group’s world-class administrative infrastructure and economies of scale in Mexico that reduce costs and eliminate long and costly learning curves. World-Class Support For Manufacturers The Offshore Group 4. Shared Risk. With The Offshore Group, foreign companies have no need to establish a legal presence in Mexico resulting in: • • • Virtually no administrative startup costs. Greatly reduced risk and exposure. No burden associated with maintaining a legally and fiscally compliant company in Mexico. Manufacturers We Serve Today: 56 Automotive & Transportation Manufacturers: Electrical, Electronic, & Medical Device Manufacturers: Aerospace Manufacturers: Other Industry Manufacturers: • Tyco Electronics1 • Precision Interconnect (Tyco) • Goodrich Turbomachinery1 • Meco • BAE Systems • Hydro Aluminum • Parker Hannifin • Minco • Cooper Standard Automotive 1 • St. Clair Technologies • Medtronic1 • Gyrus Medical (Olympus) Industries1 • Intec Group • Avalon Labs • GE-Unison • Unlimited Services • Younger Optics • Esco Turbine Components Electronics1 • Mico • C&M Corporation • Benchmark • DCM • Novacap • Sargent Controls • Jyco Sealing Technologies • The Phoenix Company • Williams International • Waukesha Bearings • Electronic Evolution • Senior Aerospace • Neapco • Arc-Tronics • Ducommun Aerostructures • Powerbrace • Huber-Suhner • G.S. Precision • Phillips Industries • Whitepath • Paradigm Precision • Gemini Plastics • Turck • Horst Engineering • Liberty Steel • CBC Connect • Vermillion • Blickman • Trac Tool • APSM Systems • Greenheck Fan • Camfill Farr • Kromet • Waukesha Bearings • Precision Products • CRS Aerospace • Bodycote Thermal Processing • Arc-Tronics 1 Companies with both stand alone and shelter operations • Headcounts range from 7 to 4,000 people • Years in shelter range from 3 to 14 Client Retention: Over 10 years Years Client 17.3 COOPER EMPALME 15.2 UNLIMITED 14.5 ST. CLAIR 13.5 HYDRO 12.3 COOPER SALTILLO 11.8 PI 11.8 PARADIGM PRECISION 11.6 UNISON 10.6 TURBINE 10.4 SENIOR AEROSPACE 10.2 GOODRICH 10.1 TURCK Between 5 and 10 years Years Client 9.9 PHOENIX 9.8 TYCO 9.4 PARKER 8.3 PRECISION PRODUCTS 8.2 INTEC 8.3 YMEX 7.8 GSP 7.5 BENCHMARK 6.9 SARGENT 6.8 CBC 6.8 POWERBRACE 6.7 VERMILLION 6.7 CRS Aerospace 6.6 MEDTRONIC 6.0 AVALON 5.6 NOVACAP 5.5 CAMFIL FARR 5.4 EET 5.3 OKE 5.2 APSM Years 4.9 4.6 4.6 4.4 4.3 4.0 4.0 3.6 3.6 3.6 3.4 3.3 3.3 3.2 2.8 2.2 1.9 1.2 0.6 0.3 Less than 5 years Client BAE NEAPCO GYRUS JYCO MICO DUCOMMUN WILLIAMS GREENHECK FAN BLICKMAN WAUKESHA WHITEPATH (14,009.52 SF) C&M MINCO PHILLIPS TRAC TOOL HORST DCM KROMET MECO GEMINI Our Value Proposition • Focus on what you do best. • Achieve a competitive advantage from day one. By leveraging our resources, infrastructure, By outsourcing nonproduction-related functions to us, you focus on productivity, efficiencies, and innovation; on meeting product quality and delivery commitments; and on operating at the lowest possible cost in Mexico. expertise, economies of scale, and legal presence in Mexico. World-Class Support For Manufacturers The Offshore Group For more information: www.offshoregroup.com Todd Nelson Business Development The Offshore Group Email: todd.nelson@offshoregroup.com U.S. (956) 802-0796 Mexico (81) 8342 4741 Skype: Todd Nelson Sunset at Los Algodones Beach Located in San Carlos, Sonora Mexico