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Honda Announces Quality Awards for Suppliers

23 April 1997

Honda Suppliers Achieve High Quality, Receive Record Number of Awards

    MARYSVILLE, Ohio, April 23 -- Honda suppliers were challenged
to achieve even higher levels of performance as the company honored a record
number of 70 suppliers with 87 awards at the annual Honda Supplier Conference.
    "We face a future of great promise, full of exciting new models and
expanding production in North America," said Cesar Penaherrera, vice president
of the Purchasing Division for Honda of America Manufacturing (HAM).  "Our
challenge today as a supplier team is to increase our capabilities and
competitiveness in order to meet the test of the global marketplace and exceed
the expectations of our customers."
    Penaherrera told suppliers to expect higher production levels and
increasing export of their production in the months ahead.  Honda auto
production in North and South America will total 790,000 vehicles in 1997,
including a new auto plant for Civic production coming on line in Brazil later
this Fall.  At the same time, HAM will export supplier parts and components
for Accord and Civic units to be produced in other Honda plants worldwide.
    "HAM suppliers are setting a new standard in the industry," said
Penaherrera.  "Last year, 122 suppliers had a perfect record for quality --
zero rejects.  In addition, 229 suppliers had a perfect record for delivery --
100 percent on-time delivery.  That's outstanding performance.  Our goal is to
achieve that level of performance throughout the entire supplier team."
    To enhance the team's performance, Honda will move supplier communications
fully into the electronic age this year as all suppliers will adopt electronic
data interchange (EDI) capabilities.  EDI will increase efficiency and improve
accuracy of communications between Honda plants and the supplier network.
"This is especially critical as we take on new responsibilities to support
Honda manufacturing operations throughout the Americas," said Penaherrera.
    The performance of the Honda supplier team is reflected in a record number
of awards this year -- 87 awards to 69 companies.  Notable are suppliers
recognized for productivity improvements -- a record 24 companies representing
stampers, molders, component and electronic suppliers throughout the auto
industry.  "This is the heart of competitiveness," observed Penaherrara.  "Our
suppliers are the experts in their fields, and we encourage their initiative
and know-how to improve our products and add value for the customer."
    One supplier won an award for the sixth year in a row -- Bearse Mfg. Co.
of New Windsor, New York for Delivery Performance.  AAP St. Marys Corp. of St.
Marys, Ohio won a Special Award for their assistance in providing machining
operations for an unexpectedly large volume of alloy wheels that resulted from
extraordinary high demand for the Accord Special Edition model.
    In fiscal year 1997 ended March 31, HAM purchased a record $5.3 billion in
parts from original equipment (OE) domestic suppliers.  During the same
period, HAM increased the number of domestic OE suppliers from 353 to 381
following the introduction of new models, including the Acura CL Coupe and its
all-new V6 engine plus the new generation Honda Civic.

    Basic qualifications for the supplier awards include:
    -- QUALITY -- Be in the top 15 percent of commodity type as measured by
       quality rejects in parts per million (PPM) and meet the Delivery
       average.
    -- DELIVERY -- 100 percent on-time delivery of all parts (no early, no
       late) and meet the Quality average.
    -- PRODUCTIVITY -- A supplier initiated activity which results in
       significant gains in productivity or efficiency.
    -- PRODUCTION SUPPORT -- Raw material rejects of zero PPM and 100 percent
       on-time delivery.

    HAM employs 12,500 associates at its four plants in Ohio.  Products
manufactured include the Accord Sedan, Coupe and Wagon; the Civic Sedan and
Coupe; the Acura CL Coupe; the Gold Wing, Valkyrie and Shadow motorcycles and
FourTrax ATVs; and engines and drivetrain components for both automobiles and
motorcycles.


                 Honda Supplier Conference 1997 Award Winners

                          QUALITY PERFORMANCE AWARD

    Bryan Custom Plastics, Bryan, OH
    Benteler Industries, Inc., Goshen, IN
    Crown Mfg., Brantford, Ontario
    Goodyear Tire & Rubber Co., Akron, OH
    Hitachi Automotive Products, Harrodsburg, KY
    Hoover Precision Products, Cumming, GA
    ITT Teves America, Morganton, NC
    J.W. Speaker Corp., Germantown, WI
    Metex Corporation, Edison, NJ
    Multimatic, Inc., Concord, Ontario
    NGK Spark Plug (USA), Irvine, CA
    Northern Engraving, Sparta, WI
    Riken/Intermet (Columbus Foundry), Columbus, GA
    Robert Bosch Corporation, Farmington Hills, MI & Broadview, IL
    Universal Tool & Stamping Co., Inc., Butler, IN
    Wolverine Plastic Tech, Inc., Ada, MI

                          DELIVERY PERFORMANCE AWARD

    ARS Mfg., Inc., Virginia Beach, VA
    Allied Signal Canada, Inc., Stratford, Ontario
    Bindery & Specialties, Inc., Plain City, OH
    Borg Indak, Inc., Delavan, WI
    Central Mfg. Company, Paris, KY
    C.M.I.-International, Inc., Montague, MI
    Dresser Industries, Inc., Berea, KY
    Hillsdale Tool, Hillsdale, MI
    Kentech Plastics, Inc., Hopkinsville, KY
    Kokoku Rubber, Inc., Richmond, KY
    Long Manufacturing, Oakville, Ontario
    MBL Corporation, Ottawa, IL
    McCord Leakless Sealing Co., Athens, AL
    Michelin Automotive Industry, Lexington, SC
    Mitsubishi Electric Mfg., Inc., Mason, OH
    Nastech Mfg., Inc., Bennington, VT
    NEC Technologies, Inc., McDonough, GA
    Sanden International (USA), Wylie, TX
    Seeburn, Tottenham, Ontario
    TFO Tech. Co., LTD., Jeffersonville, OH
    Tigerpoly Mfg., Inc., Grove City, OH
    Troy Mills, Inc., Troy, NH
    Wabash Magnetics, Huntington, IN
    Yasufuku, U.S.A., Inc., Lincoln, NE

                        PRODUCTIVITY IMPROVEMENT AWARD

    Alpine Electronics Mfg. America, Greenwood, IN
    Borg Warner Automotive, Bellwood, IL
    Center Manufacturing, Inc., Byron Center, MI
    Central Mfg., Company, Paris, KY
    Century Tube Corporation, Pine Bluff, AR
    Fleetwood Metal Industry, Windsor, Ontario
    Herbert E. Orr Co., Inc., Paulding, OH
    Hisan, Inc., Findlay, OH
    Jefferson Industries Corporation, West Jefferson, OH
    Johnson Controls, Inc., Toledo, OH
    Kamco Industries, Inc., West Unity, OH
    Kokoku Rubber, Inc., Richmond, KY
    KTH Parts Industries, Inc., St. Paris, OH
    Mark I Molded Plastics, Inc., Jonesville, MI
    Panasonic Industrial Company, Peachtree City, GA
    Setex, Inc., St. Marys, OH
    Takata, Inc., Piqua, OH
    Takata, Inc. R.S., Cheraw, SC
    Techform Products, LTD, Penetanguishene, Ontario
    Tigerpoly Manufacturing, Inc., Grove City, OH
    TS Tech North America, Inc., Reynoldsburg, OH
    TS Trim Industries, Inc., Canal Winchester, OH
    United Technologies Automotive, Tampa, FL
    Universal Tool & Stamping Co., Butler, IN

               DOUBLE AWARD -- QUALITY AND DELIVERY PERFORMANCE

    Ataco Steel Products, Cedarburg, WI
    Bearse Mfg. Co., New Windsor, NY
    Century Tube Corp., Pine Bluff, AR
    Comtech, Springsboro, OH
    Engelhard Corp., Huntsville, AL
    Johnson Matthey, Wayne, PA
    Johnson Rubber Company, North Baltimore, OH
    KTM Locks, Concord, Ontario
    Motorola, Inc., Elma, NY
    Topy Precision Products, Elk Grove Village, IL
    U.S. Engine Valve, Westminister, SC

                                SPECIAL AWARD

    AAP St. Marys Corp., St. Marys, OH

                           PRODUCTION SUPPORT AWARD

    Seymour Tubing, Inc., Seymour, IN

SOURCE:  Honda of America Mfg., Inc.




CONTACT: Roger Lambert, 937-644-7714, or Ron Lietzke,
937-644-6627, both of Honda of America Mfg., Inc.