Civil Aviation Manufacturing Conference - Charlotte - May 9, 2012 Presentation of Simon Laddychuk, Director of Technology Constellium. Main topics: - Constellium Global Aerospace division, a world-class supplier of aluminum solutions for the aerospace industry - Changing times & new challenges in the aerospace industry - Mastering innovative aluminum solutions to tackle the new challenges of the aerospace industry: AIRWARE™ case study

1. Industrializing innovative
aluminum solutions for
the aerospace industry
Simon Laddychuk,
VP Manufacturing/Director of Technology
Civil Aviation Manufacturing Conference
Charlotte - May 9, 2012

2. Outline
Constellium Global Aerospace, a world-class
supplier of aluminum solutions for the
aerospace industry
Changing times & new challenges in the aerospace
industry
Mastering innovative aluminum solutions to tackle
the new challenges of the aerospace industry:
AIRWARETM case study
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3. Constellium Global Aerospace, Transportation and Industry:
a world-class aerospace actor
Key figures Unique R&D capabilities
#1 worldwide on 200 scientists at CRV
the aerospace plates working on proprietary technologies
market
8 industrial sites
in the United States, Major customers
France and Switzerland Clients
217 000 t
sales volume
3 300
employees
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4. A broad and diversified portfolio
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5. Outline
Constellium Global Aerospace, a world-class
supplier of aluminum solutions for the aerospace
industry
Changing times & new challenges in the
aerospace industry
Mastering innovative aluminum solutions to tackle
the new challenges of the aerospace industry:
AIRWARETM case study
4

6. Strong demand is driving increased production rates
Booming oil price Renewal of fleet with
higher performing
aircraft
Growing
build-rates
33,500 new
Increasing world’s airplanes will have
passenger traffic to be on the market
by 2030*
*Source: Boeing Market Outlook 2011-2030
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7. Within a tougher environment, innovation at all levels
of the supply chain is getting more complex
Weight
Environmental
constraints
Sustainability
Air traffic pressure
Weight
Emerging zones Performance
Cost
Booming oil prices
Innovation and image
New business
models
Cost
6

8. The double challenge for today’s aerospace suppliers
Developing
High
Performing
and High
Quality
Products while
Increasing
Build-rates
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9. Outline
Constellium Global Aerospace, a world-class
producer of aluminum solutions for the aerospace
industry
Changing times & new challenges in the aerospace
industry
Mastering innovative aluminum solutions to
tackle the new challenges of the aerospace
industry: AIRWARETM case study
8

10. AIRWARE “raises the bar” and resets the standards
for next trade offs
 High performance products with recognized maturity level
 Design Enhancements to increase benefits: untapped
potential with 25% weight reduction with more recent
technologies
 Proven track record of aluminum manufacturing
infrastructure
 Usage properties (welding, fastening, forming, machining,
surface treatments)
 Opportunities to reduce maintenance/inspection cycles
(corrosion, damage tolerance): intervals up to 12 years
 Weight savings/fuel efficiency
 100% recyclable without losses in properties
 Value of scrap segregation and collection
 Recycling is a patented process and a reality in our sites
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11. AIRWARE - Where are we to date?
R&D Developed
new business
innovation models
Built
facility & Got
Conceived plant Trained key
product qualification stakeholders
Invented Industrialize on
technology application
Invented Created new Developed
product Designed supply chain new processes
Qualified by
industrial & testing
OEMs
scale methods
prototype
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12. AIRWARE - Where are we to date?
R&D Developed
new business
innovation models
Built
facility & Got
Conceived plant Trained key
product qualification stakeholders
Invented Industrialize on
technology application
Invented Created new Developed
product Designed supply chain new processes
Qualified by
industrial & testing
OEMs
scale methods
prototype
Integrating customers’ voice all along the process
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13. We must transform our supply chain in order to
deliver the new industry requirements
Develop
Develop Train key
new Create new
new stakeholders
Industrialize on
processes & supply
business
testing chain
models application
methods
 Build a full  Implement  Support  New  New inputs must be
industrial scale changes to stakeholders by methodologies integrated to create a
cast house existing creating learning developed in new supply
capable to produce processes to be opportunities partnership chain – design
AIRWARE™ at capable of for key users of including robustness
with the of additional
Issoire (France) producing the the new customer to complexity.
new product material to realize full
while master it in their Agility is necessary
own supply chains
potential:
mastering the o sophisticated to capture the
technology enough testing full potential of a
methods to capture network of
the potential of the plants by transition
new material points with focus
o AIRWARETM’s changing during the
closed recycling maturity of
loop industrialization
AIRWARE: an opportunity to innovate in supply chain management
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14. Two examples for how supply chain management can
impact industry economics (buy to fly)
 Our recycling center is already operational in Issoire
Valorisation of high (France) and we have an ongoing project in Ravenswood
value scraps in the (USA).
production chain  We provide support to OEMs and tier-suppliers for
implementing best practices of scrap segregation
 Pre-machining services, including surface machining,
boring and drilling, reduce customer operations and buy-
to-fly.
Development
 From 350 specs at foundry level, the Issoire plant is
of tailor-made
producing 8000 different specs, which implies a complex
products & vertical flow management.
integration
 Adaptation of capabilities to answer clients’ new
requirements: e.g. industrialization of A380 36 meter
length plates
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15. Quality management is a lever to respond to higher
build rates
 Implementing QUINTIQ, a supply
Ensure the highest chain optimization program for a
quality standards for
better demand management
products and
processes are met  Optimized synchronization of flow
up-stream/downstream with lower Improved
inventories Customer
Service
 Making our plants more customer
driven (ALL STARS program)
Optimize supply
 Implementation of a “step change
chains to improve
customer service & program” in quality management to
delivery performance increase "right first time"
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16. Industrializing innovative aluminum solutions
for the aerospace industry – Wrap up
Constellium Global Aerospace, a world-class producer of
aluminum products and solutions for the aerospace industry
Within a tougher environment, innovation at all levels of the supply
chain is getting more of a necessity alongside product innovation
To meet the aerospace industry’s new requirements, Constellium is
developing new products and continuously improving the
manufacturing supply chain
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17. THANK YOU

18. Back-up slide: AIRWARE’s closed recycling loop
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