ALLISONTRANSMISSION,INC.docVIP

AT-101127 03/02/2017  PAGE 17 ALLISON TRANSMISSION, INC. TOOLING AND GAGING GUIDELINES The purpose of this document is to set forth guidelines to assist the supplier’s understanding of Allison Transmission, Inc. (ATI) policies and objectives with regard to ATI owned special tooling located at ATI’s suppliers facility (ies) and/or sub-tiered suppliers. Topics: 1. Special Tooling and Gaging Guidelines and Definitions 2. Tooling Cost and Audit Guidelines – Purchasing Terms 3. Tooling and Gage Purchase Order Payment Requirements 1. Special Tooling and Gaging Guidelines and Definitions The following summarizes ATI’s processes with respect to special tooling and ATI authorized engineering changes to such tooling. It is the responsibility of the tier 1 supplier to ensure its sub-suppliers comply with these guidelines. Special tooling is tooling specifically designed for the production of, and is unique to, an ATI part. Generic tooling, perishable tooling, general-purpose items and equipment are excluded, even if these items are dedicated to the ATI part (e.g., fasteners, drills, etc.). ATI will supply the first set of perishable tooling designed and considered specific to an ATI part dimension(s), non-catalog, (e.g., step drills and reamers for valve bores). However, the supplier will maintain a complete set throughout the program via maintenance and/or replacement by the supplier as a part of the supplier’s piece price burden. ATI will retain ownership of a complete compliment of production ready tools as listed on the originally issued ATI Tooling Purchase Order. Unique computer software required directly for the production or gaging of the part is considered part of special tooling and shall become the property of ATI. Computer hardware is considered supplier-owned equipment. In some cases, tooling may need to be relocated from one supplier to another. During any such tool move, the original supplier is required to keep the tooling in PPAP approved condition.