BIO-MATERIAL – BACK TO THE FUTURE WORKSHOP

The Canadian Opportunity for Bio-Fibres in Automotive Parts

Dr. Hamdy Khalil Winnipeg, Manitoba March 18-19, 2008 Introduction to The Woodbridge Group Who We Are What We Do

2 Company Overview

• Private Canadian Company • Established in 1978 • Independent supplier of Automotive urethane products • Locations: 60 in 20 countries • Employees: 5000+ Corporate Headquarters Mississauga, Canada

Kipling Avenue Plant Woodbridge, Canada bio31808 circa 1969 3 Seven Families of Products

To Provide Comfort, Safety and Sound Management

5. Finished Interior Parts 1. Molded Foam Head Restraints, Armrests, Bolsters Seat Cushioning, Head Restraints, Armrests

6. Acoustical and Technical Foams Dash Insulators, Transmission Insulators, Floor 2. Laminate and Substrate Foam Systems Headliners, Hoodliners, Sun Visors, Seat Trim Cover Foam 7. Assembly and Sequencing Headliners, Finished Seat Assemblies, Door Panels, Floor Mats, Interior Plastic Trim, Drive Train Components, 3. Energy Management Foam Exhaust Systems, Steering Components Side Impact Bolsters, Roof Rails, Heel Blockers, Sun Visors, Knee Bolsters, Pillar Bolsters Seating Foam Energy-Absorbing Foam Headliner Foam Structural Foam 4. Structural Foam Acoustical Foam Seat Frames, Flip-Fold Seat Backs, Load Floors, Headliners, Pick-up Beds, Floor Pans, Assembly and Sequencing bio31808 Tonneau Covers, Sun Shades

4 Global Alliances

Joint Ventures Technical Agreements • Poliuretanos Mexicanos Woodbridge (Mexico) • MOBICA (Egypt) • Poliuretanos SW Leon (Mexico) • Automotive Component • Poliuretanos SW (Mexico) Holdings (Ford), • I.W. Foam Corporation () Chesterfield, Michigan (USA) • I. W. Foam Corporation Inc. (North America) • HFI Inc., Columbus, • Proseat Belgium Ohio (USA) • Proseat France • • Proseat GmbH & Co. KG (Germany) Ulsan (South Korea) • Proseat Czech Republic • Gestind (Italy) • Gestind (Poland) • Woodbridge Foam Fabricating (USA) • Enerflex Solutions (USA) • IWCT Co. (Thailand) • Indepol S.L. (Spain) • Wuhan Woodbridge GSK Foam Co. LTD. (China) • Olympic Products LLC (USA) bio31808 • Dayou A-Tech (South Korea) 5 60 Facilities Worldwide Presence 56 Cities 20 Countries

ARGENTINA CANADA EGYPT ITALY SOUTH KOREA UNITED STATES Pilar Blenheim, ON Cairo***** Bruzolo* Ulsan***** Addison, IL Brampton, ON Gwangju* Atlanta, GA UK AUSTRALIA Kitchener, ON Auburn Hills, MI Coventry JAPAN Adelaide Mississauga, ON Brodhead, WI Manchester Anjo* Chattanooga, TN* Melbourne Sarnia, ON Nanno* POLAND Tilbury, ON Bielsko Biala* Chesterfield, MI** FRANCE Tokyo Columbus, OH*** BELGIUM Whitby, ON Woodbridge, ON Trilport* Del Rio, TX Hulshout* MEXICO SPAIN El Paso, TX Wetteren* CHINA GERMANY Leon* Barcelona* Fairless Hills, PA Wuhan* Mörfelden* Mexico City* Fremont, OH BRAZIL Rüsselsheim* Saltillo (2 Facilities) THAILAND Grand Rapids, MI Betím CZECH REPUBLIC Espelkamp* Bangkok* Greensboro, NC Caçapava Mlada Boleslav* Kansas City, MO (2 Facilities) 6 Camaçari INDIA Romulus, MI * Joint Venture bio31808 New Delhi * St. Peters, MO ** Technical Agreement São Bernardo (2 Facilities) *** Joint Production Agreement Troy, MI (2 Facilities) **** Joint Venture Minority Business Enterprise ***** Technical License Agreement 60 Facilities Locations Description 56 Cities 20 Countries

ARGENTINA CANADA CZECH REPUBLIC INDIA POLAND UNITED STATES

Pilar Blenheim, ON Mlada Boleslav* New Delhi * Bielsko Biala* Addison, IL Greensboro, NC Manufacturing Plant Manufacturing Plant Manufacturing Plant Manufacturing Plant Commercial Center Manufacturing Plant Manufacturing Plant - Molded Foam - Molded Foam - Foam-in-Place - Molded Foam - Molded Foam - Lamination - Structural Foam Atlanta, GA Brampton, ON ITALY SPAIN Kansas City, MO Manufacturing Plant EGYPT Manufacturing Plant (2 Facilities) AUSTRALIA - Molded Foam - Structural Composites Bruzolo* Barcelona* Manufacturing Plant Adelaide Cairo***** Manufacturing Plant Manufacturing Plant - Molded Foam Manufacturing Plant Auburn Hills, MI - Structural Foam Manufacturing Plant Kitchener, ON - Molded Foam - Molded Foam Assembly & Sequencing - Molded Foam Manufacturing Plant - Molded Foam Plant Assembly & Sequencing Plant* - Structural Foam - Energy Management Foam SOUTH KOREA JAPAN - Automotive Systems - Automotive Systems - Energy Management Foam ENGLAND Mississauga, ON Brodhead, WI Anjo* Ulsan***** Romulus, MI Melbourne Corporate Headquarters Manufacturing Plant Manufacturing Plant Coventry Manufacturing Plant Manufacturing Plant Manufacturing Plant - Molded Foam - Molded Foam Commercial Centre - Molded Foam - Molded Foam - Molded Foam Sarnia, ON Manufacturing Plant Chattanooga, TN* Manchester Gwangju St. Peters, MO - Energy Management Foam Nanno* Manufacturing Plant Manufacturing Plant Manufacturing Plant Manufacturing Plant BELGIUM - Structural Foam Manufacturing Plant - Molded Foam - Cut Foam - Molded Foam - Molded Foam - Molded Foam - Foam-in-Place Hulshout* Tilbury, ON - Foam-In-Place Chesterfield, MI** - Foam-In-Place Manufacturing Plant - Structural Foam Manufacturing Plant Tokyo THAILAND Manufacturing Plant - Molded Foam - Molded Foam Commercial Center - Molded Foam Troy, MI - Energy Management Foam Energy Management (2 Facilities) FRANCE Bangkok* Automotive Headquarters Wetteren* Products Columbus, OH*** Manufacturing Plant Whitby, ON - Sales & Engineering Manufacturing Plant - Sales & Engineering - Molded Foam Manufacturing Plant - Molded Foam Manufacturing Plant Trilport* - Energy Management Foam - Molded Foam Commercial Center**** - Molded Foam Manufacturing Plant MEXICO Energy Management Products BRAZIL - Molded Foam Del Rio, TX - Sales & Engineering Woodbridge, ON Leon* Manufacturing Plant Betím Manufacturing Plant GERMANY Manufacturing Plant - Lamination Manufacturing Plant - Molded Foam - Molded Foam - Molded Foam - Cut Foam El Paso, TX - Retail Foam Product Mörfelden* Commercial Centre Mexico City* Manufacturing Plant Caçapava - Energy Management Foam Manufacturing Plant - Slab Foam Manufacturing Plant - Slab Foam - Molded Foam Rüsselsheim* - Energy Management Foam - Molded Foam - Research, Product & Fairless Hills, PA Manufacturing Development Manufacturing Plant - Lamination - Molded Foam Saltillo (2 Facilities) Manufacturing Plant Camaçari Manufacturing Plant* - Molded Foam Manufacturing Plant Espelkamp* - Molded Foam - Molded Foam Fremont, OH * Joint Venture CHINA Manufacturing Plant Manufacturing Plant - Molded Foam Manufacturing Plant ** Technical Agreement Wuhan* - Lamination - Molded Foam São Bernardo *** Joint Production Agreement (2 Facilities) Manufacturing Plant **** Joint Venture Manufacturing Plant* - Molded Foam Grand Rapids, MI Minority Business Enterprise - Molded Foam Manufacturing Plant bio31808 - Molded Foam ***** Technical License Agreement Commercial Center 7 Customers

NORTH AMERICA EUROPE SOUTH AMERICA JAPAN OEM TIER 1 OEM TIER 1 OEM TIER 1 OEM TIER 1 Araco Audi CIPA DaimlerChrysler Araco Fuji-Seat BMW Blackhawk Automotive BMW Decoma Fiat Isringhausen Fuji tuku DaimlerChrysler Bloomington Seat Citroen Faurecia Ford Johnson Controls Howa Ford Collins & Aikman DaimlerChrysler Grammer Lear Koberuku General Motors Endur-All Evobus Intier Honda TS TECH Marubishi Honda Faurecia Ford Isringhausen Recaro Gerneral Seating Honda Johnson Controls Scania Tachi-S Mitsubishi Grupo Antolin Jaguar KAB Seating Toyota Toyota Boshoku Navistar Guilford Metrocab Karmann Volkswagen TS-Tech Nissian HOWA Kigass Volvo Trruck Renault Insa Opel Landers Intier Peugeot Lear Suzuki Irvin Renault Recaro Toyota Isrignhausen SEAT SITECH KOREA Volswagen Johnson Controls Suzuki TS TECH OEM TIER1 Lear Skoda Hyundai Dayou A-Tech Magee Rieter Toyota THAILAND HMC-Seating Group Rieter Automotive Vauxhall Ssangyong Setex Volkswagen OEM TIER 1 Span America Volvo General Motors BKS TISA Hino Cagiva Toyota Boshoku Honda Delta TR Trim Quest AUSTRALIA Isuzu GST CHINA TS TECH Kawasaki JSI OEM TIER 1 UTA OEM TIER 1 Nissan NHK Honda Wuhan Wan Hine Yorozu Ford Air International Suzuki SAS JiangLing Faurecia/GSK Wuhan GM Araco Tiger Motor TASI Nissan TSTECH/ GSK Wuhan Mitsubishi Toyota TSI Peugeot Toyota Volvo TS TECH bio31808 8 Design & Development Innovation In All Aspects Of Our Business • Chemistry • Product Design • Manufacturing Processes • Productivity Improvement • Employee Creativity

bio31808 9 Global Development Centers

Troy, Michigan USA Woodbridge, Canada Wetteren, Belgium Proseat Coventry, U.K. Mörfelden, Germany Mississauga, Canada Proseat

Bruzolo, Italy Gestind JV Mexico City, Mexico Anjo, Japan IWFC

São Bernardo, Brazil Bangkok, Thailand Melbourne, Australia IWCT bio31808 10 Vehicles We Supply

North America North America North America North America South America South America Europe Europe Japan Thailand China Opel/Vauxhall Ford Toyota Nissan Honda GM GM Honda Daimler Daimler Chrysler Renault Century Intrigue Accord Concorde PT Cruiser Clio Agila Mondeo Alphard Cefiro Civic Astra bB CRV Buick LaSabre Oldsmobile Silhouette Accord - Coupe Dakota RAM Pickup Scenic Corsa Volkswagen Caldina Isuzu Buick Park Avenue Aztek Accord - Sedan Dodge Durango Frontera Golf Coaster JCM-321 Jiang Ling Buick Rainier Pontiac Bonneville Civic Dodge Neon Ford VW Omega Corolla DMAX Landwind Buick Regal Pontiac Firebird Element Dodge Ram Pick up Amazon Gol Vectra Audi Deli Boy Wega Buick Rendezvous Pontiac Grand Am Odyssey Dodge Ram Courier Jetta Vivaro/Trafic TT GS(ARIST) DeVille Pontiac Grand Prix Pilot Dodge Ram Wagon F250 Kombi Zafira A6 Land Cruiser Toyota Nissan Cadillac Elderado Pontiac Montana Cherokee Fiesta Ikon Quantum Santana MRAK X Hiace Tena Jeep Grand Cherokee Fiesta Split Saveiro Land Rover Citroën Noah Hilux Tiger Cadillac Escalade Pontiac Sunfire Renault Cadillac Seville Pontiac Vibe Clio Mercedes-Benz M Class F-Series Tupi 249 Discovery Saxo Platz Peugeot Freelander Primo/Arion Suzuki 307 Cadillac SRX Saturn Ion Scenic Pacifica KA Daimler Chrysler Probox/Succeed Caribian Astro Saturn LS/LW PT Cruiser Lobo IVECO Rover Chevrolet Avalanche Saturn Vue Acura Sebring Daily Smart Vitara Korea MG ZR Sienta Hyundai Ducato Chevrolet Blazer EL Town & Country GM MG ZS Honda RAV 4 HINO Verna Chevrolet Camaro Ford MDX Viper As tra MG ZT Accord Vitz HINO Santa Fe Chevrolet Cavalier Crown Victoria TL Avalanche Mitsubishi Rover 25 Civic 3 Dr. Click Chevrolet Cobalt Escape Toyota Aztek L200 Rover 45 Civic 5 Dr. Honda Honda Escort Mitsubishi Camry Blazer Pajero TR4 Rover 75 CRV Fit Accord KIA Chevrolet Corvette Excursion Eclipse Corolla Cavalier City Bongo Truck Expedition Endeavor Matrix Chevy Corsa Toyota Nissan Toyota Mits ubishi Civic Carense Chevrolet Impala Explorer Galant Sequoia Corsa 4200 Corolla Primera Aygo Challenger CR-V Sportage Explorer Sport Trac Eclipse Spyder Sienna Randezvous Chariot Grandis Jazz Peugeot Australia Lancer Ssangyong Chevrolet Malibu Maxx F Series Pic k Up S10 Nis s an Chevrolet Monte Carlo F Series Super Duty Volkswagen Maz da Silverado Estaquitax Pickup 106 Ford Pajero Ford Mus so 206 Falcon Pajero Jr. Everage Chevrolet Monza Fiesta Jetta Tribute Suburban Frontier Falcon Ute Ranger Chevrolet Prizm Focus 6 (Sedan/Wagon/Sport) Sunfire Platina Jaguar Suzuki Chevrolet Silverado Freestar Nissan Vectra Xterra S Type GM Aerio VOLVO Lincoln Blackwood Altima Zafira X Type S-60 Chevrolet Tahoe Lincoln Continental Armada QX56 Honda XJ6 Holden Monario S-80 Chevrolet TrailBlazer Lincoln LS Estaquitas Fiat Civic XJ6 Limo Holden V 70 Chevrolet Van Express Lincoln Town Car Frontier Isuzu Doblo MU (FIT) XK8 Holden Ute XC90 Chevrolet Venture Lobo Maxima Rodeo Fiorino Toyota GMC Canyon Cougar Pathfinder Marea/Brava Toyota Avalon Camry GMC Envoy Mercury Grand Marquis Platina Suzuki Palio 2V/Europa GMC Jimmy Mercury Mariner Quest Vitara Palio SW/Restyling Camry Corolla Soluna GMC Savana Mercury Monterey Sentra Stilo Wish GMC Sierra Mercury Villager Titan Subaru Uno GMC Sonoma Mustang Xterra Legacy Isuzu GMC Yukon Mystique Baha DMAX bio31808Oldsmobile Alero Ranger Oldsmobile Aurora Taurus 11 Oldsmobile Bravada Thunderbird WORKING WITH RENEWABLE RESOURCES

The Challenges The Path Forward

bio31808 12 The Woodbridge Group approach and experience in the the selective application of Renewable Resources in Manufacturing Automotive Parts.

13 bio31808 THE IDEALS OF THE 21ST CENTURY

Sustainable development Renewable resources utilization and protection Globalization - 1492 – 1800 - 1800 – 2000 - 2000 – (Global knowledge work)

14 bio31808 RENEWABLE RESOURCES WOODBRIDGE STRATEGY

15 bio31808 WOODBRIDGE SUSTAINABLE SUPPLY STRATEGY • Manage the erratic fluctuation of the price of fossil oil based raw materials. • Select key Renewable Resources. • Capitalize on the abundance of Renewable Resources in the various world regions. • Commission research at selected universities and research institutions. • Collaborate with a partner who is vertically integrated relative to Renewable Resources. • Develop proprietary materials. • Develop technology to implement the new materials. • Continue the development and implementation process. • Work with customer. bio31808 16 THE EXECUTION OF THE STRATEGY

Creation of enabling conditions which support and sustain knowledge creation

Holistic knowledge management approach

17 bio31808 OUR MODEL

Infusion of Knowledge Diffusion of Knowledge

KNOWLEDGE POOL Creation of Fusion of Knowledge Knowledge

Management of Knowledge (Tacit and Explicit)

18 bio31808 THE OPPORTUNITY

19 bio31808 bio31808 20 Premium Car Floor bio31808 21 Door Panel 2 bio31808 22 Doors

bio31808 23 Seat Backs

bio31808 24 Seats

bio31808 25 Rear Seat Panel

bio31808 26 Headliner Extension - Minivan

bio31808 27 Door Panel 1 bio31808 28 Package Tray 1 bio31808 29 Load Floor

bio31808 30 We are the only company that manufactures an Integrated Automotive Interior System:

• Automotive Seating • Hoodliner • Headrest • Acoustical Products • Armrest • Composites • Headliners • Elastomers • Energy Absorbing Foam

bio31808 31 Current Status • Global uncertainty of Oil Supply • Today Crude Oil is a key energy source and most important feedstock to the chemical industry.

• Global energy demand rises quickly (30% till 2020) • Oil production peak between 2010 – 20202 • Cars are much heavier than 10 years ago • Green house gas • Resource depletion • Health and safety concerns (e.g. fibreglass) bio31808 32 European Union End-of-Life Vehicle Directive

• 85% of all new vehicles should be reusable and recyclable by weight • 10% for energy recovery • 5% for landfills

bio31808 33 Encouraging Trends

• Growing Global Environmental Consciousness • Search for Renewable Sources of material • The agricultural/Bio Revolution • Discoveries and rediscoveries of ways to have stronger, lighter and cost effective materials for Automotive applications • Metal replacement

bio31808 34 THE FUNCTION OF FIBRES IS TO REINFORCE RESINS COMPSITES:

“STRUCTURAL MATERIAL CONTAINING HIGH- STRENGTH FIBROUS EMBEDDED REINFORCEMENT WHICH DEVELOP MECHANICAL PROPERTIES GREATLY SUPERIOR THAN THE BASE RESIN”

bio31808 35 REINFORCERS

Traditional Fibres Natural/Bio Fibres •Aramid •Hemp – Meta – • Kenaf – Para - •Flax • Carbon Fibres •Sisal • Glass Fibres • Coconut Fibre •Jute •Cotton •Wool •Silk •Etc.

bio31808 36 BIO-FIBRES ¾Lower cost ¾Lower density ¾Enhanced energy recovery ¾Co2 sequesterization ¾Much less abrasive to tooling moulds compared to glass fibres ØConsistency of quality ØSensitivity to temperature ØSensitivity to moisture ØFire retardency? ØNeed for surface modification (physical or chemical) bio31808 37 BIO-FIBRES DESIRED ATTRIBUTES •High Modulus •Resistance to Abrasion •Consistent Diameter •Non-conductive •Mildew Resistant •Very low water absorption •Good flame retardency •No static build up •Very low VOC release during application and service •Matrix compatible bio31808 38 CURRENT SURVEY SHOWS ON AVERAGE EACH CAR HAS 3.6 KG OF FIBRES

bio31808 39 WORLD PRODUCTION OF AUTOMOBILES

Region Vehicles (Millions) Europe 21.8 Japan/Korea 14.9 South Asia 14.7 North America 5.4 China 7.9 South America 3.9 Middle East/Africa 1.7 70.3 Million Requires 253.08 million kg of BioFibre per year bio31808 40 THE OPPORTUNITY is 253.08 million kg of Bio-Fibre per year

bio31808 41 Current Bio Automotive Applications

Common Existing Uses for Biofibres Supplier Research Activities Teijin-recycled PET and bio-based fabrics Package Tray Shelf Substrates – natural fiber/binder (PLA) Some door trim substrates – plastic/natural fibre Magna (Research) – fibre reinforced door composite modules Cargo area floors – wood fibre Magna-Intier: assessed processability of PLA Rear seat backs – plastic/natural fibre composite and soy polyol containing PU for door trim Door panel – natural fibre/binder Decoma: has investigated natural fibres with inserts/quarter/panels University of Toronto Headliner – fibre mats Lear – Natural Fibre reinforced composites, Corvette floors – balsa wood composite soy foams Wood veneer trim – wood veneer JCI – recycled PET, natural fibre reinforced Headliner energy management – Sisal/Flax composites, PHA Package Tray – Basalt/Hemp Meridian – Flax/PP package shelves for GM Foam Cushion Backing and Nissan Load Floor Goodyear – substitute biofiller made from maize starch in place of lampblack and silica in tires Lower tier activity licensing natural fibre manufacturing technologies from Europe Woodbridge - Composites bio31808 42 CONCLUSION

Decades of development have allowed Petrochemcial processes to become incredibly efficient, leaving little room for companies to make up for rising carbon prices by further streamlining their production. In contrast, the technologies for processing biomass are relatively underdeveloped, so there is plenty of room for improving efficiencies. It is not a matter of “IF’….It is a matter of “WHEN”.

bio31808 43 THANK YOU FOR LISTENING

bio31808 44