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COMPANY PROFILE SHINGO PRIZE APPLICATION 2008 DENSO Mexico Guadalupe Plant

CORPORATION DENSO is a leading supplier of advanced automotive technology, systems and components for all the world's major automakers, and is considered the third largest supplier of automotive parts in the world (Automotive News 2006). With headquarters in Kariya, Japan, DENSO operates in 32 countries and regions with more than 112,000 Associates. In North America, DENSO employs more than 15,000 people at 39 companies. DENSO Mexico and Guadalupe Plant DENSO Mexico, S.A. de C.V. (DNMX) operates in the state of Nuevo Leon, Mexico. The two plants of DNMX are located at the cities of Apodaca and Guadalupe, and both occupy 3,500 Associates. In September 1994 started the operation of DNMX Apodaca Plant, which contains two manufacturing divisions: System Control Components (SCC) and Body Electronics; and the non-manufacturing division of General Administration, which supports both plants. In March 2003, DNMX Guadalupe Plant was established as the second facility of DNMX. This plant belongs to the System Control Components and employs around 800 Associates. The site includes 11,857square meters of manufacturing floor space, office area and cafeteria on 50,000 square meters of land. The main Customers of Guadalupe Plant (GPP) are: Toyota, GM, Honda, Nissan, and Subaru. Products include Evaporation Leak Check Module (ELCM) of the gas tank, Non Contact Sensor (throttle body sensor), Air Flow Meter (AFM) of the air cleaner and Purge Control Valves. GUADALUPE PLANT ACHIEVEMENTS Safety and Environment Sep 2003 - Certified under ISO 14001 May 2005 - Certified as Clean Factory (Industria Limpia, Federal Government Program) Sep 2006 - First plant to reach Zero Emissions within DENSO North America Group Jun 2007 - Certified under the Self-Managing Program of Safety and Health at Work (or PASST, Federal Government Program) A total decrease of 40% of near miss occurrence (safety issues) since 2005. Quality DNMX is certified under the following standards: QS 9000 certified ISO/TS 16949 certified Customer complaints PPM reduction a total 71% for the last 4 years Manufacturing Productivity: a total increase of 26.7% since 2004 Lead-time: a total reduction of 47.05% since 2004 SMED: a total reduction of 66.8% since 2005 Shop floor space saved due to improvement activities: 16% since 2006 Inventory accuracy: Since 2006, GPP reached its goal of 0 discrepancies on its physical inventories (100 % accuracy). Manufacturing expenses: a total decrease of 50 % in the last 4 years Scrap: 84% decrease in last 4 years.

Delivery DNMX Guadalupe Plant has kept a 100% achievement of delivery performance for two consecutive years. Supply Chain DNMX have received the following awards from its Customers: 2004 Certificate of Achievement, Toyota 2004 Quality Achievement Award, Subaru 2005 Certificate of Achievement, Toyota 2005 Quality Master Award, Nissan 2005 Excellence Award, NUMMI 2006 Quality and Delivery, Honda People Involvement Kaizen participation: GPPs Kaizen Circles have grown 4 times since fiscal year 2004, and now more than a half of its Associates are involved in this activity. The quality of the GPPs Kaizen Circles is recognized inside and outside Denso Group: 2005 - Technical Merit Award at NAQCC 2006 - Technical Merit Award at Honda 2006 - Quality Award at NAQCC 2007 - 1st place on DNMX internal competition Cross Functional Team participation: CF teams have grown 3.5 times since fiscal year 2006. Denso Idea (DNMX Suggestion System): Individual participation, through improvement ideas, increased almost 3 times since fiscal year 2006. Opinion Survey (Moral Index): GPP has been rated in satisfactory levels for the past 3 years (this rank is above local industry average). Denso Spirit Wheel: This tool, to communicate basic organizational culture, was created by GPP people to be implemented in all DNMX. Now it has been implemented in Denso worldwide. Community DNMX is aware of the importance being a good citizen and to contribute to the well being of the community where it belongs, so there are many opportunities for a GPP Associate to lend a hand to others around: Donations to a various institutions and for different goals: Red Cross, Teleton, Disaster Help. Face to face help: Visits to nursing homes, orphanages, and provide dinner to relatives of patients of public sector hospitals, Christmas presents delivery. Joint activities with welfare institutions. Green Activities: Reforest areas around the community. For more Information contact: Ral Saucedo General Manager DENSO Mxico, S.A. de C.V. Guadalupe Plant Av. Las Norias #1000 Parque Industrial Acueducto Guadalupe, N.L. 67150 Mxico Phone: +52 (81) 8127-1700 ext. 4524, 2910 Fax: +52 (81) 8127-1709 E-mail: raul_saucedo@denso-diam.com

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