Cobham Sensor Systems Sensor Electronics 305 Richardson Road Lansdale, PA 19446 USA T: 215 996 2000 F: 215

996 2095

Cobham Sensor Systems Lansdale Suppliers Attention: Senior Management Team

October 12, 2011

Subject: Supplier On Time In Full (SOTIF) Delivery, Lead-time Reduction, Improved and More Consistent Quality Performance and Reduced Cost. Dear Valued Supplier,

On behalf of Cobham Sensor Systems Lansdale, I would like to thank you for the support your company has provided to our business over the years and to request your continued support as we make changes to our supply chain to drive supplier management efficiencies. We are repositioning our materials activity to be more proactive and we are focusing on four key areas related to our Excellence in Delivery Program to drive performance improvement. We are expecting our suppliers to improve delivery performance by meeting their commitments. We recently changed how we measure supplier on time delivery performance by implementing a shorter window for early and late shipments, and what we consider is on time and in full. Our new KPI is Supplier On Time in Full (SOTIF) delivery and it is defined as follows. Supplier shipments must be delivered on time to the Supplier original promise date and complete for the full quantity promised for each shipment. On time is defined as on the promise date or up to 5 working days early, (0 days late) to contract terms delivery point. I would ask that you please work closely with our Procurement staff when coming to agreement on promised dates for the Purchase Orders and Subcontracts you are awarded. You will soon see this requirement in the boilerplate header of our purchase orders and long form subcontracts. We are also focusing on supplier Lead Time Reduction. We need to work together to drive shorter lead-times to enable Cobham to increase our capacity to win more business for both of us. Another area we are addressing is Improved and More Consistent Quality Performance. Continuous improvement toward eliminating defects reduces costs for you and for Cobham. Lastly, we are looking to our supplier base to find additional ways to Reduce Cost so that we can increase our cost competitiveness to our customers, which enables Cobham to win more business for both us.

Sensor and Antenna Systems, Lansdale, doing business as Cobham Sensor Systems

www.cobham.com

Please forward a copy of this letter to the appropriate people on your staff that have a need to know. If you have any recommendations on how we partner to drive performance in each of these key areas, please contact your Cobham procurement representative and/or the undersigned. Regards

Brian W. Barton Manager, Procurement-Materials

Sensor and Antenna Systems, Lansdale, doing business as Cobham Sensor Systems

www.cobham.com