External Providers Quality Requirements

The requirements below apply to all External Providers and sub-tier External Providers to Proto Technologies, Inc. providing processes, products or services such as, but not limited to: heat treating; chemical processing; surface enhancements; nondestructive and destructive testing; coatings; welding; and nonconventional machining processes. Acceptance of a Purchase Order from Proto Technologies, Inc. binds the Supplier to the Terms and Conditions listed in the Purchase Order and the requirements listed in this document. The Supplier is not authorized to outsource any portion of the Purchase Order requirements unless specifically authorized by Proto Technologies, Inc. and must flow down these requirements to any sub-tier External Providers. Note that these requirements correspond with the requirements of Proto Technologies, Inc.’s customers and with the requirements of AS9100D, Clause 8.4.3.

1. Proto Technologies, Inc. reserves the right of final approval of product, procedures, processes, and equipment.

2. All critical processes must be performed by qualified personnel.

3. Proto Technologies, Inc. reserves the right to review and approve the External Provider’s

Quality Management System.

4. External Provider must implement a Quality Management System (QMS). External

Provider QMS – subject to Proto Technologies, Inc. approval.

5. The External Provider shall maintain the proper identification and revision status of specifications, drawings, process requirements, inspection/verification instructions, and other relevant technical data.

6. Proto Technologies, Inc. reserves the right to approve or specify any designs, tests, inspection plans, verifications, use of statistical techniques for product acceptance, and any applicable critical items including key characteristics.

7. Proto Technologies Inc. reserves the right to designate requirements for test specimens for design approval, inspection/verification, investigation, or auditing.

8. The External Provider is required to:

a) Notify Proto Technologies, Inc. of nonconforming product. Depending on the nonconformance, the Proto Technologies, Inc.’s Quality Control Manager may accept a Disposition from the Seller’s Quality Control Team. If the nonconformance is detected after delivery of Product or completion of Service, which could or does affect Product delivered or Service completed, the seller must notify Buyer in writing; and provide conforming new or reworked product and service. The Seller shall cover any cost associated with the identified nonconformance and the re-work or replacement parts.

b) Obtain Proto Technologies, Inc. approval for nonconforming product disposition. c) Notify Proto Technologies, Inc. of changes in product and/or process, changes of

external providers, and changes of manufacturing facility locations and where required, obtain Proto Technologies, Inc. approval.

d) Flow down to the supply chain the applicable requirements including customer requirements.

9. The External Provider must prevent the use of counterfeit parts and materials.

10.The Vendor is required to retain all Records associated with the Purchase Order for 15 (fifteen) years or as required by contract.

11. Right of access by Proto Technologies, Inc., our customer, and regulatory authorities to the applicable areas of all facilities, at any level of the supply chain, involved in the order and to all applicable records is required.

12. As an External Provider to Proto Technologies, Inc.: a. Be aware of your contribution to product conformity.

b. Be aware of your contribution to Proto Technologies, Inc. product safety. c. You are expected to act in an ethical manner at all times.

13. All External Providers providing Calibration Services must be Certified ISO17025 (or equivalent). All Calibration Certificates must identify standards used and must be traceable to NIST (National Institute of Standards Technology).

14. Required Certification of Materials and/or Process performed must accompany materials/parts received.

15. As applicable, the External Provider shall comply with the DPAS priority ratings, imposed by the Federal Government, referenced on the purchase order.

DPAS Ratings:

(DX) Highest national defense urgency. (DO) Critical to national defense. http://www.dcma.mil/DPAS/files/DPAS_for_the_Contractor.pdf

16. EXPORT/IMPORT/ITAR COMPLIANCE

Warning: Information furnished to seller under this purchase contract may contain data subject to U.S. Export Laws and Regulations. Seller is advised that such data may not be exported or re-exported to foreign persons, employed by or associated with, or under contract to seller or seller’s lower-tier external providers, without the prior written consent of Proto Technologies, Inc., and under the authority of an export license or applicable license exemption. If such data is marked as export controlled, seller shall indemnify and hold buyer harmless from and against any and all claims, liabilities and expenses resulting from sellers’ failure to comply with the Export Laws and Regulation of the United States. 1 REV A 9/12/2012