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                       The Gears for Success
                  represent Vought’s core set
                   of values, an integral part
                     of everything we do as a
               workforce and as a company.
News
               This Year In Review edition of
                 Vought News highlights our
                achievements in 2009, as we
                use the Gears for Success to
                 guide our daily actions and
               decisions in our relationships
                    with each other, with our
              customers, suppliers, investors
                 and within the communities
 VOUGHT              where we work and live.




                                                 2009
                                                 YEAR IN
                                                 REVIEW

  DEC
  28
  2009

                                                             ADVANCING FLIGHT
Exceeding Expectations
We seek to streamline operations to deliver the quality aerostructures our customers demand.




VOS Team Receives
Silver And Gold
Eagle from Boeing
    Vought employees and its                                         Gulfstream Honors
industry teammates earned the                                        Vought as Supplier
award by reducing product lead
time on the C-17 Globemaster                                         of the Year
III transport from 29 months to                                        For the second year in a row, Vought
20 months. This is Vought’s first                                    received the Supplier of the Year Award
Gold Eagle award. Vought has                                         from Gulfstream Aerospace, recognizing
received four Silver Eagle awards                                    our efforts on the G350/G450 nacelles
from Boeing since joining the                                        program. This represents Gulfstream’s
C-17 team in 1983.                                                   highest supply chain excellence award.




                                    C-17 wins
                                    for project
                                    excellence




                  Army Customer Visits
                  Vought BLACK HAWK Team
                    Colonel Neil Thurgood, U.S. Army Light Utility
                  Helicopter Program Manager, visited the BLACK
                  HAWK team during our celebration of the 200th
                  delivery of the H-60 cabin. Thurgood toured the
                  facility and shook hands with the men and woman
                  who not only “build aircraft but save lives.”
                    Both Milledgeville and Jefferson Street
                  contribute to the H-60 program.                           Thurgood congratulates Dianne White
                                                                             on her 42 years of service to Vought.



                                                              2
Boeing Customer
                      Congratulates
                      747-8 Team
                      “You all have put your
                      heart and soul into this.                           Marshall Street
                      It has been a beautiful
                      thing watching this
                      come together.”
                      Christi King, Boeing 747-8 Supplier
                      Management Director, at Vought 747-8
                      first delivery celebrations.




                                       Gulfstream
                                         Vought delivered 39 ship sets of G550 wings this past
                                       year. Build rates are increasing in 2010 and 2011.
BLACK HAWK cabin
   Jefferson Street




                                                            The success of our BLACK
                                                         HAWK program is not only
                                                         vital to our customer, Sikorsky
                                                         Aircraft Corp., and to Vought but
                                                         it’s invaluable as a critical air
                                                         vehicle for the men and women in
                                                         our military services who are in
                                                         harms way.




                               3
The Wellness Warrior program was initiated in 2008 to recognize those employees who demonstrate
ominated by their peers and then voted on by a committee. Each winner receives a T-shirt, a certific
      Providing a Healthy Workplace
tart of
      Our people are our greatest resource and our competitive advantage.



                                                                       The number of employees
                                                                      with five or more risk factors
                                                                     declined more than 25 percent
                                                                     since the start of the program.




                                                   Wellness Program Helping
                                                   Employees Get Healthy
                                                     The LiveWell@Vought program launched in June 2007. Our intent was to
                                                   make substantial and permanent lifestyle improvements in our workforce.
                                                   In a 2008 employee opinion survey, 75 percent of our employees rated
                                                   our health program offerings very highly. That’s 30 points above the
                                                   manufacturing industry’s average.


                                                   Participation Rates are increasing:
                                                                                    2008 2009
                                                     Stuart                         74%             86%
      Financial and                                  Milledgeville                  67%             76%
      Emotional
                                                     Marshall Street                67%             70%
      Well-Being
         Enhancing employees’ well-being is
                                                     Jefferson Street 52%                           55%
      one of Vought’s core values, and the
      LiveWell@Vought program has done
                                                     Hawthorne                      44%             52%
      a good job focusing on the employees’
      physical well-being. But physical well-
                                                     Nashville                      43%             52%
      being is only one aspect. There is also
      financial and emotional well-being.
         Recognizing this, Vought introduced
      a financial counseling service through
      Ayco that will help employees with                                       A climbing wall keeps kids
                                                                               exercising at the Nashville
      their personal financial decisions, at no                                 safety and wellness fair.
      charge to the employee.
        In addition, Vought continues to offer
      ValueOptions, a program created to help
      employees resolve personal problems
      before they negatively affect their
      health, relationships with others, or job
      performance.


                                                  Annual Health Screenings
                                                              4
e an exceptionally healthy lifestyle as part of the LiveWell@Vought program. The candidates are
cate, and a brief write up.
                                                                         2009 Wellness Warriors
                                                                              Milledgeville            Jefferson Street
                                                                              Benny Watson             Chuck Stanley
                                                                              Vincent Valentine        Roy Morrison
         The Wellness Warrior program                                         Eleanor Sanders          Angela Bush
       was initiated in 2008 to recognize                                     Garo Bardizbanian        Michael Ahern
       those employees who demonstrate an                                     Pete Oates
       exceptionally healthy lifestyle as part of the                         Michele Salvador         Stuart
       LiveWell@Vought program. The candidates                                Jim Peeler               Bob Corcoran
                                                                                                       Scott Sinan
       are nominated by their peers and then voted                             Hawthorne               Robert Bell
       on by a committee. Each winner receives a                               Marc Etienne            Bobby McCorkle
       T-shirt, a certificate, and a brief write up.                           Victor Curiel           Charlie Beagan
                                                                                                       Denise Mallison
                                                                               Marshall Street         Joe Roman
                                                                               Ken Saxton              Jennifer Lucas
                           Four unique wellness campaigns are offered          Blane Simoneaux
                         each “semester” to provide encouragement,            Joe Hernandez            Nashville
                                                                              Paula Yates              Lynne Warne
                         variety, goal setting, and even monetary             John Lahue               John Thomas
                         rewards for achieving certain levels of              Cynthia Tennie           Brad Sayer
                         participation.                                       Pablo Sanchez            Derrell Bowden
                                                                              Marcy Sandles            Janie Pointer
                          Employees Stepped to a New                          Larry Magnus             Jim Montgomery
                         You, got a Healthy Heart, developed                  Steve May
                                                                              Teresa Longoria
                         Healthy Habits, and Rated Your
                         Plate for lessons in living a more active and
                         healthier lifestyle.




                                                                               Vought Receives Top Awards
                                                                               for its Wellness Programs
                                                                                 Vought’s Wellness program continues to gain
                                                                               outside recognition. Vought was again named a
                                                                               Platinum-level Recipient of the American Heart
                                                                               Association’s Start! Fit-Friendly Companies
                                                                               for the second year in a row for helping our
                                                                               employees eat healthy and stay active.
                                                                                 Vought was also selected as the first place
                                                                               winner in the large employer category by
                                                                               Champions in Health for our exemplary
                                                                               wellness programs in the Dallas/ Fort Worth area.




                                                                         As part of the wellness initiative at
                                                                         Vought, a group of Stuart employees
                                                                         formed a bike group to increase their
                                                                         exercise options.


                                                                     5
Practicing Safety
 A safe workplace is our number one priority.
                                                            Hawthorne
                                                            Receives
                                                            Chairman’s
                                                            Safety Award
                                                              The Chairman’s Annual Safety
                                                            Award is a very significant honor
                                                            recognizing this important aspect
                                                            of our business. The award goes
                                                            to the site with the most improved
                                                            safety record during the past year.
                                                            In 2009, the award was presented
                                                            to the Hawthorne team for reducing
                                                            their OSHA recordable injury rate
                          The Safety Coin Hall of           by more than 50 percent.
                          Fame is a new program
                        that is spearheaded by our
                       CEO Elmer Doty. The coin
                     is awarded to employees who
                   have demonstrated exceptional
     effort toward making Vought the safest place
       to work. Those who hold the coin personify
    our number one priority – safety. Winners are
      nominated by their fellow employees. Below
                                 is the class of 2009

 2009 Safety Coin Hall of Fame
                                                            Left to right: Malcolm Page, Bryan Jordan, Raul Gonzales, Randy
                                                            Farbowich, Sovy Phaann, Marc Etienne, GM Dana Dickson, Jim
                                                            Gay, Roger Steed, and David Squier, Vought Chairman of the Board.


                                                            Contour / Brea Celebrate
                                                            Safety Milestones
                                                               Brea has made a number of changes to its safety
                                                            protocols enabling them to reduce their OSHA recordable
                                                            injuries year after year. Some of the changes include daily
Dale Fry          Roselee Thompson   Michael Leistner       department meetings, weekly safety games, discipline and
JSF/BLACK HAWK    JSF/C-17           JSF/BLACK HAWK         structure. The results have been dramatic. Look at how
                                                            their numbers of recorded injuries have decreased.

                                                            2004 – 30
                                                                   2005 – 14
                                                                           2006 – 13
                                                                                   2007 – 9
Marty L’Heureux   Alfonso Rivera     Arly Ramirez
                                                                                           2008 – 6
Stuart/767        MSF/Fuselage IPT   JSF/BLACK HAWK
                                                                                                   2009 – 1
                                                        6
Bikers Unite for Safety
   For the second year in a row, Vought joined with                Milledgeville riders form a close knit group.
the National Highway Traffic Safety Administration
(NHTSA) in proclaiming May 2009 as “Motorcycle
Safety Awareness Month.” All of the sites
recognized the awareness campaign by inviting
all their bikers to ride to work and participate in
various activities throughout the day.




                                                                                                Contour / Brea
                                                                                                bikers show
                                                                                                their support
Above, Contour / Everett bikers turned out for                                                  for motorcycle
May Motor Rally in recognition of Motorcycle                                                    safety.
Safety Awareness month.




Nashville bikers line up their cycles for the employee “best
bike” contest. Mike Smith (right) won the first place award.




                                                               7
Cultivating Continuous Improvement
As a company and as individuals, we take responsibility for the quality of everything we do.

                                                 747-8




                                                                                    747-8 1st ship set celebration
                                                                                                            Stuart
  The 747-8 program
touches almost all of our
sites and is a key program
for Vought. This year our
sites celebrated delivery
of their first shipsets.

Hawthorne                     Marshall                 Jefferson                  Milledgeville Stuart
Hawthorne fabricates          Street                   Street                     Milledgeville builds     Stuart builds the
and assembles the                                                                 the 747-8 rudder and     cargo doors for the
side fuselage panels in       Marshall Street          Jefferson Street                                    Freighter model and
                                                                                  nacelle components
addition to fabricating the   assembles the            fabricates the                                      will be making the
                                                                                  and composite detail
skin panels for the upper     entire empennage         detail parts for the                                passenger doors for the
                                                                                  parts for lower rudder
and lower bonnets that        (horizontal and          horizontal and vertical                             Intercontinental. Stuart
                                                                                  and Aft tab.
get shipped to Marshall       vertical stabilizers,    stabilizers, and the Aft                            also builds the lower
Street for assembly.          upper rudder,            body section.                                       rudder/Aft tab.
                              elevators), Section 48
                              Aft body, upper/lower
                              fuselage panels and
                              floor beams.




                                                                     747-8 1st ship set celebration
                                                                                        Hawthorne

                                                                8
777                                                                                                       777
Stuart and                                                                                              Stuart
Milledgeville
  These two sites celebrated unique
milestones when they both delivered
their 777th shipset for the Boeing 777.
Milledgeville and Stuart produce the
composite details for the main and aft
inboard flaps.




                                                              767
                                                              Contour / Everett
                                                              Celebrates 100th 767
                                                              Winglet Kit Ship Set
                                                                 The winglet kit consists of 10 assemblies,
                                                              12 stringers, 48 straps and 4 wing panels (2
                                                              upper, 2 lower). All Contour employees had
                                                              a role in this landmark delivery.



                                                            A330/340
Nashville Celebrates
1,000th Ship Set
for Airbus
    Nashville supplies the mid- and
outboard leading edge assemblies, top
panel assemblies, center spar assemblies
and mid-rear spars for the A330/A340. In
1988, the company became the first major
U.S. supplier to Airbus with the award of
the wing components.



                                            Vought Wins New Work
                                            on 737 and 777
                                              Boeing entered into agreements with Vought for new
                                            work scope that included inboard flaps for the 737 NG;
                                            outboard flaps and ailerons for the 777, and extended the
                                            current contract on inboard flaps and spoilers.




                                                9
Cultivating Continuous Improvement
                                                                        V-22 Osprey
                                                                          Empennage deliveries began on the
                                                                        initial lot of a 5-year multi-year contract
                                                                        and the entire V-22 team stepped
                                                                        up performance on all deliverables
                                                                        increasing move rates to support an
                                                                        annual 26 ship set requirement.




                                                                                                          t
                                                                        C-17
                                                                          The C-17 continues to get funding
                                                                        on a year-to-year basis. The fiscal year
                                                                        ‘09 supplemental budget added eight
              VOUGHT ENTERPRISE CHANGE TRANSFORMATION & REENGINEERING   aircraft for a total fleet of 213. The
                                                                        2010 Defense bill provides $2.5 billion
                                                                        for 10 C-17 cargo aircraft.
                                                                                                      t




 VECTR Team members                                                     C-130
                                                                          The C-130 team increased rate
   We are transforming our business. This
                                                                        beyond two units per month. We are
is a big project – one of the biggest ever
                                                                        continuing improvements to customer
undertaken at Vought, and one that will
                                                                        FOB schedule and we delivered 19
change our business processes forever.
                                                                        units through the end of November.
The project is called VECTR, an acronym
                                                                        We negotiated follow-on contracts for
that stands for Vought Enterprise Change
                                                                        quantities of 28, 53 and 58 ship sets
Transformation and Reengineering.
                                                                        (deliveries through May 2013).
                                                                                                           t




                                                                                                                          Global Hawk
                                                                                                                          (BAMS)
                                                                                                                            Vought is currently building
                                                                                                                          wings for Air Force Global Hawks
                                                                                                                          and will continue to build these
                                                                                                                          until at least 2012. 29 USAF
                                                                                                                          wings have been delivered to date.
                                                                                                                          The BAMS configuration (for the
                                                                                                                          U.S. Navy) will require new Spar/
                                                                                                                          Rib Bond Tooling. Tool Design
                                                                                                                      t




                                                                                                                          has started.

                                                                                     10
Vought Operating System
                                                                                       The President’s Award
             Milledgeville Green Belt Class




  The Vought Operating System (VOS) is a framework of principles, tools,
and processes that guide our pursuit of flawless execution. The purpose of
the system is to eliminate, through improvement activities, various kinds of
waste within the company. The VOS encompasses all of our improvement                   Best Overall
                                                                                       Improved Site
activities including Lean, Six Sigma, Management Operating System
(MOS), and Quality Control Process Charting to form an integrated process
improvement system.
                                                                                       2008
                                                                                       4th Quarter:   Contour / Brea and
 Since 2006, many                      Yellow Belts: 1440                                             Contour / Everett
 employees have gone                   Green Belts: 287
 through Six Sigma                                                                     2009
                                       Black Belts: 34
 Training
                                                                                       1st Quarter:   Milledgeville
                                       Master Black Belts: 1                           2nd Quarter:   Marshall Street and
                                                                                                      Stuart
                                                                                       3rd Quarter:   Marshall Street
On the Road to
Operational Excellence
  Teams at each site work through a set of objectives
identified in each tier of the Vought Operating                                Vought Named Best
System to work their way up to achieving the highest
level of Operational Excellence – the Gold.                                    Place to Work In Martin
   In addition to IAD Military Programs, the                                   County, Florida
following sites’ production areas have reached the                               Vought was recognized as a Best Places to Work
first level, the Qualifying level:                                             in Martin County (Stuart site) by a local human
   Hawthorne             Marshall Street                                       resources professional association. Vought is one
   Jefferson Street      Milledgeville                                         of three companies to receive the recognition in the
                                                                               category of more than 250 employees.
   Stuart                Nashville


Vought Named Top
10 Best Places to
Work for Six Sigma
Professionals
  For the second consecutive year, Vought
has been named to iSixSigma’s list of Best
Places to Work for Six Sigma professionals.
Vought was one of three companies that remained on the
Top 10 list from 2008. Last year Vought received the No.
                                                                               Attending the award ceremony from left to right: Rick
2 ranking on the list of iSixSigma’s Top 10 Best Places                        DeMarchi, Steve Livingston, Paul Sandhu, Dana
to Work for Six Sigma professionals.                                           Allen, Fred Kahl, Nancy Barkheimer, Mel Tiedemann.


                                                               11
                                                               11
Supporting Our Communities
Being a strong steward in our communities...is the right thing to do.


                                                                               Giving back to the
                                                                               community in which
                                                                               we work and live is a
                                                                               tradition for us as Vought
                                                                               employees. From company
                                                                               wide campaigns and local
                                                                               activities to blood drives, we
                                                                               strive to help those who need
                                                                               assistance the most.


Can Do!
  One of Vought’s biggest fundraisers, Can Do! raised more
than $215,000 last year for a variety of food banks around
the country. Monies are raised through a variety of activities
including golf tournaments, cake and bake sales, auctions,
chili cookouts, and the sale of Can Do! T-shirts. Voluntary
payroll deductions throughout the year and corporate
contributions also add to the total. This fundraising activity
has been a company tradition for 27 years.


March of Dimes
  Vought and its employees nationwide raised more than
$100,000 for the March of Dimes “March for Babies”
campaign in April. In addition to the amounts that individual           Stuart team hands over check
walkers raise from sponsors, money is also raised from
activities throughout the sites that include bake sales, T-shirt
sales, contests, raffles, silent auctions and a corporate
contribution.


United Way
  Across America, United Way agencies improve lives
by mobilizing the caring power of their communities. Our
employees give generously to the United Way through
payroll deductions. These funds help support local non-
profit agencies, such as the American Red Cross, American
Cancer Society, Salvation Army, Goodwill and the YMCA.
In 2009, Vought and its employees contributed more than
$200,000 to local United Ways.




                                                                                Hawthorne marchers
                                                                   12
Educational Contributions
  Eight relatives of Vought employees received scholarship
awards from Vought in 2009. Each student receives $2,000.
  Vought participated in Engineers Week in Dallas. As
presenting sponsors at the Frontiers of Flight Museum, Vought
held four different workshops for mostly middle school students
that addressed different fields of interest in aerospace and other
engineering disciplines.
   The Hawthorne site sponsored two local high school students
through Loyola Marymount University’s Science and
Engineering Community Outreach Program. The students
from Hawthorne High School attended a summer science and
engineering camp held on campus. The two-week residential
summer pre-college program is designed to encourage the
study of science, technology, engineering and mathematics. It
also provides students with important information about SATs,          Hawthorne GM Dana Dickson (second from left) receives
college admission, and scholarships.                                   plaque from Marymount University representatives in
                                                                       recognition for Vought’s sponsorship.

Corporate Contributions
  Vought supplements the donations of our employees by
providing funds to a limited number of 501 (c)(3) charitable
non-profit organizations. In addition to the more than $100,000
that Vought donates to the organizations listed above, in 2009
our company contributions totaled over $85,000. These funds
went to the organizations below.
   Reserveaid - Stars & Stripes Dinner Benefiting Texas Troops
   DFW USO “Second Annual DFW USO Patriots Salute”
   World Affairs Council of Dallas/Fort Worth
   AIA’s Team America Rocketry Challenge
   CCAI – Congressional Coalition of Adoption Institute
   The Angels in Adoption Gala September 18, 2009
   UHC Scholarship Fund
   Brother Bill’s Helping Hand
   Air Force Charity Ball
   Dallas Rotary Club                                                  Vought engineers discuss the future of the industry with
   Best Buddies Virginia                                               students at the Vought display at Engineers Week.
   Dallas Baptist University
   Dallas Citizens Council

   Some of the local organizations that our employees and sites donate time and/or money to:
   Alive Hospice                                                       Milledgeville- Baldwin County Fire Dept
   American Cancer Society                                             National Fire Safety Council
   American Heart Association Heart Walk                               North Texas Food Bank
   Annual Baldwin 20/20 Community Retreat                              Pencil Foundation
   Baldwin Park Community Center - Santa Clothes Program               Relay For Life
   Baldwin High School CTAE                                            Second Harvest Food Bank of Middle Tennessee
   City of Hawthorne Chamber of Commerce                               Second Harvest Food Bank of Orange County
   Empty Stocking Fund                                                 South Bay Workforce Investment Board
   GMC & GCSU Sponsorship                                              Special Olympics
   Grand Prairie Chamber Of Commerce                                   St. Stephens Food Pantry
   Guide Dogs of America                                               Susan G. Komen
   LA Regional Food Bank                                               Tarrant Area Food Bank
   Mary Vinson Memorial Library                                        Volunteers of America Western Washington
                                                                       White Doves Holiday Project


                                                                  13
Being Responsible
Each of us is personally accountable for our actions and behavior.




                                             This fall an online training
                                          course called “Vought Ethics and
                                          Standards of Business Conduct”
                                          was implemented. The training
                                          is required of all Vought employees.
                                             The course provides an introduction to our code of ethics, a reminder of
                                          our core values (the Gears for Success), and a review of common business
                                          situations that can lead to ethical lapses.
                                             At Vought each of us is accountable for our actions and behavior, and we
                                          have set high ethical standards that everyone must meet. Maintaining these
                                          standards is not only the right thing to do; it’s the only way we do business.




Committed to Our Environment
  This year Vought employees got              In Stuart, employees switched to               Marshall Street recycles all its paper
behind a number of activities to help       using recycled paper products (paper           products.
our environment. As part of our 2009        towels and toilet paper.)                        Nashville reduced water usage in
Earth Day celebration, a company-              Milledgeville recently shut down            the autoclave process and reduced air
wide initiative was begun to recycle        a tank line significantly reducing the         pollution by eliminating (or retiring)
printer cartridges.                         plant’s water usage.                           an old piece of equipment that was
  “Over 350 million cartridges are             At our Hawthorne location, there            a significant source of pollution and
discarded in our landfills each year,       is an ongoing recycling program for            replacing with new Shot Peen process.
and that number increases by 12%            paper and wood crates.                           By working together and
annually,” said Joanne Romano,                                                             participating in a variety of recycling
Vought’s Manager of Environmental             Jefferson Street held a household
                                            hazardous waste round up where                 programs, Vought is helping to protect
Health and Safety.                                                                         the future of our environment.
                                            employees could drop off hazardous
  A number of other recycling               waste such as various chemicals,
initiatives have taken place this year.     fertilizers and pesticides.




Jefferson Street
conducted their
second annual
household hazardous
waste pick up.




                                                               14
Employee Survey

                              A number of initiatives were implemented this year as
                            a direct result of the feedback that was received from the
                            Employee Survey. Each site developed action plans in
                            response to the results of the survey. Additionally, several
                            communications pieces were developed.

                                               Mid-Week
                                               Messages
                                                 A weekly e-mail to Vought leadership
                                               provides information that they can share
                                               with employees during their weekly
                                               team meetings.


                                               VoughtCast
                                                  A brief video by a senior executive
                                               is distributed regularly via the Vought
                                               intranet. The audio portion is also
                                               available via an 800 telephone number.




                            787 Transaction
                                    On July 6, we signed an agreement to sell our
                                  North Charleston, SC operations to The Boeing
                                  Company. Vought employees at the site became
                                  Boeing employees, and Vought employees in
                                  Dallas continue to provide engineering services
                                  on the 787 aft fuselage.
                                    Vought continues to support the 787 program
                                  today through engineering support and
                                  manufacturing of various detail components (as
                                  shown in the drawing below).


   First Flight
   December 15, 2009




                       15
Service Anniversaries                                                                    December 2009



45   YEARS                   25   YEARS                   10      YEARS                  1   YEAR
 Marvin Arwine (N)            Brian Bartlett (MSF)            James Murphy (Seattle)     Mohammed Ahmmed (JSF)
                              Billy Dugan IV (JSF)            Pat Walsh (N)              Bounthong Chanthorn (JSF)
35   YEARS                    KayLynn Dunn (JSF)                                         Billy Collum (JSF)

                                                                  YEARS
                              Domingo Flores Jr. (MSF)                                   Sourithay Dethoudom, (JSF)
 Steve Anderson (MSF)         Walter Johnson Jr. (JSF)
                                                              5                          Joe Ford (MSF)
 Larry Brown (MSF)            Ron Love (JSF)                  Adrian Bruner (JSF)        Gabriel Garcia Diaz (JSF)
                              Troy Lyon, (JSF)                Paul Cargile (M)           Daniel Holden (JSF)

     YEARS
                              David McCloskey (JSF)                                      Jesse Keel (JSF)
30                            Larry Moody (N)
                                                              Donald Coyle (M)
                                                                                         Mauricio Quintanilla (JSF)
                                                              Jim Davies (E)
 Elton Binkley (N)            Miguel Morales (JSF)            Richard Davis II (M)       Trevor Rios (JSF)
 Leon Conyer (N)              Scotty Noteware (MSF)           Charles English (M)        Riah Rode (H)
 James Devoll (MSF)                                           Lisa Gomez (Las Colinas)   Somphou Sourygnavong (JSF)
                                                                                         Joshua Stone (JSF)
                                  YEARS
 Joel Gammons (JSF)                                           Brian Herringdine (M)
 John Gentle (N)
                             20                               Lisa Holsey (M)            Jeff Taylor (M)
 Valerie Jordan-Taylor (N)                                    Mosley Mosley (M)          Jimmy Tran (JSF)
                              Rodger Jones (JSF)
 Douglas Lewis (JSF)                                          Bubba Smith (N)            Diane Walters (H)
                              Ron Knight (JSF)
 Corry Lindsey (JSF)                                          Beverly Taylor (MSF)       Brett Weilbrenner (JSF)
                              Michael Prairie (N)
 Jackie Nix (MSF)                                             Courtney Tucker (JSF)      Jesse Zuniga (JSF)
                              Pat Russell (JSF)
 Douglas Nugent (S)                                           Carol Upp, (JSF)
 Verne O’Neill (N)                                            Tominique White (JSF)
 Buddy Reid III (N)          15   YEARS
 Timmy Trapp (N)
 David Turner (N)             Frank Houston (JSF)
                              Terry Moore (JSF)




                Happy Holidays!

                                                         16

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Vought News Year End Special Edition

  • 1. S P E C I A L E D I T I O N The Gears for Success represent Vought’s core set of values, an integral part of everything we do as a workforce and as a company. News This Year In Review edition of Vought News highlights our achievements in 2009, as we use the Gears for Success to guide our daily actions and decisions in our relationships with each other, with our customers, suppliers, investors and within the communities VOUGHT where we work and live. 2009 YEAR IN REVIEW DEC 28 2009 ADVANCING FLIGHT
  • 2. Exceeding Expectations We seek to streamline operations to deliver the quality aerostructures our customers demand. VOS Team Receives Silver And Gold Eagle from Boeing Vought employees and its Gulfstream Honors industry teammates earned the Vought as Supplier award by reducing product lead time on the C-17 Globemaster of the Year III transport from 29 months to For the second year in a row, Vought 20 months. This is Vought’s first received the Supplier of the Year Award Gold Eagle award. Vought has from Gulfstream Aerospace, recognizing received four Silver Eagle awards our efforts on the G350/G450 nacelles from Boeing since joining the program. This represents Gulfstream’s C-17 team in 1983. highest supply chain excellence award. C-17 wins for project excellence Army Customer Visits Vought BLACK HAWK Team Colonel Neil Thurgood, U.S. Army Light Utility Helicopter Program Manager, visited the BLACK HAWK team during our celebration of the 200th delivery of the H-60 cabin. Thurgood toured the facility and shook hands with the men and woman who not only “build aircraft but save lives.” Both Milledgeville and Jefferson Street contribute to the H-60 program. Thurgood congratulates Dianne White on her 42 years of service to Vought. 2
  • 3. Boeing Customer Congratulates 747-8 Team “You all have put your heart and soul into this. Marshall Street It has been a beautiful thing watching this come together.” Christi King, Boeing 747-8 Supplier Management Director, at Vought 747-8 first delivery celebrations. Gulfstream Vought delivered 39 ship sets of G550 wings this past year. Build rates are increasing in 2010 and 2011. BLACK HAWK cabin Jefferson Street The success of our BLACK HAWK program is not only vital to our customer, Sikorsky Aircraft Corp., and to Vought but it’s invaluable as a critical air vehicle for the men and women in our military services who are in harms way. 3
  • 4. The Wellness Warrior program was initiated in 2008 to recognize those employees who demonstrate ominated by their peers and then voted on by a committee. Each winner receives a T-shirt, a certific Providing a Healthy Workplace tart of Our people are our greatest resource and our competitive advantage. The number of employees with five or more risk factors declined more than 25 percent since the start of the program. Wellness Program Helping Employees Get Healthy The LiveWell@Vought program launched in June 2007. Our intent was to make substantial and permanent lifestyle improvements in our workforce. In a 2008 employee opinion survey, 75 percent of our employees rated our health program offerings very highly. That’s 30 points above the manufacturing industry’s average. Participation Rates are increasing: 2008 2009 Stuart 74% 86% Financial and Milledgeville 67% 76% Emotional Marshall Street 67% 70% Well-Being Enhancing employees’ well-being is Jefferson Street 52% 55% one of Vought’s core values, and the LiveWell@Vought program has done Hawthorne 44% 52% a good job focusing on the employees’ physical well-being. But physical well- Nashville 43% 52% being is only one aspect. There is also financial and emotional well-being. Recognizing this, Vought introduced a financial counseling service through Ayco that will help employees with A climbing wall keeps kids exercising at the Nashville their personal financial decisions, at no safety and wellness fair. charge to the employee. In addition, Vought continues to offer ValueOptions, a program created to help employees resolve personal problems before they negatively affect their health, relationships with others, or job performance. Annual Health Screenings 4
  • 5. e an exceptionally healthy lifestyle as part of the LiveWell@Vought program. The candidates are cate, and a brief write up. 2009 Wellness Warriors Milledgeville Jefferson Street Benny Watson Chuck Stanley Vincent Valentine Roy Morrison The Wellness Warrior program Eleanor Sanders Angela Bush was initiated in 2008 to recognize Garo Bardizbanian Michael Ahern those employees who demonstrate an Pete Oates exceptionally healthy lifestyle as part of the Michele Salvador Stuart LiveWell@Vought program. The candidates Jim Peeler Bob Corcoran Scott Sinan are nominated by their peers and then voted Hawthorne Robert Bell on by a committee. Each winner receives a Marc Etienne Bobby McCorkle T-shirt, a certificate, and a brief write up. Victor Curiel Charlie Beagan Denise Mallison Marshall Street Joe Roman Ken Saxton Jennifer Lucas Four unique wellness campaigns are offered Blane Simoneaux each “semester” to provide encouragement, Joe Hernandez Nashville Paula Yates Lynne Warne variety, goal setting, and even monetary John Lahue John Thomas rewards for achieving certain levels of Cynthia Tennie Brad Sayer participation. Pablo Sanchez Derrell Bowden Marcy Sandles Janie Pointer Employees Stepped to a New Larry Magnus Jim Montgomery You, got a Healthy Heart, developed Steve May Teresa Longoria Healthy Habits, and Rated Your Plate for lessons in living a more active and healthier lifestyle. Vought Receives Top Awards for its Wellness Programs Vought’s Wellness program continues to gain outside recognition. Vought was again named a Platinum-level Recipient of the American Heart Association’s Start! Fit-Friendly Companies for the second year in a row for helping our employees eat healthy and stay active. Vought was also selected as the first place winner in the large employer category by Champions in Health for our exemplary wellness programs in the Dallas/ Fort Worth area. As part of the wellness initiative at Vought, a group of Stuart employees formed a bike group to increase their exercise options. 5
  • 6. Practicing Safety A safe workplace is our number one priority. Hawthorne Receives Chairman’s Safety Award The Chairman’s Annual Safety Award is a very significant honor recognizing this important aspect of our business. The award goes to the site with the most improved safety record during the past year. In 2009, the award was presented to the Hawthorne team for reducing their OSHA recordable injury rate The Safety Coin Hall of by more than 50 percent. Fame is a new program that is spearheaded by our CEO Elmer Doty. The coin is awarded to employees who have demonstrated exceptional effort toward making Vought the safest place to work. Those who hold the coin personify our number one priority – safety. Winners are nominated by their fellow employees. Below is the class of 2009 2009 Safety Coin Hall of Fame Left to right: Malcolm Page, Bryan Jordan, Raul Gonzales, Randy Farbowich, Sovy Phaann, Marc Etienne, GM Dana Dickson, Jim Gay, Roger Steed, and David Squier, Vought Chairman of the Board. Contour / Brea Celebrate Safety Milestones Brea has made a number of changes to its safety protocols enabling them to reduce their OSHA recordable injuries year after year. Some of the changes include daily Dale Fry Roselee Thompson Michael Leistner department meetings, weekly safety games, discipline and JSF/BLACK HAWK JSF/C-17 JSF/BLACK HAWK structure. The results have been dramatic. Look at how their numbers of recorded injuries have decreased. 2004 – 30 2005 – 14 2006 – 13 2007 – 9 Marty L’Heureux Alfonso Rivera Arly Ramirez 2008 – 6 Stuart/767 MSF/Fuselage IPT JSF/BLACK HAWK 2009 – 1 6
  • 7. Bikers Unite for Safety For the second year in a row, Vought joined with Milledgeville riders form a close knit group. the National Highway Traffic Safety Administration (NHTSA) in proclaiming May 2009 as “Motorcycle Safety Awareness Month.” All of the sites recognized the awareness campaign by inviting all their bikers to ride to work and participate in various activities throughout the day. Contour / Brea bikers show their support Above, Contour / Everett bikers turned out for for motorcycle May Motor Rally in recognition of Motorcycle safety. Safety Awareness month. Nashville bikers line up their cycles for the employee “best bike” contest. Mike Smith (right) won the first place award. 7
  • 8. Cultivating Continuous Improvement As a company and as individuals, we take responsibility for the quality of everything we do. 747-8 747-8 1st ship set celebration Stuart The 747-8 program touches almost all of our sites and is a key program for Vought. This year our sites celebrated delivery of their first shipsets. Hawthorne Marshall Jefferson Milledgeville Stuart Hawthorne fabricates Street Street Milledgeville builds Stuart builds the and assembles the the 747-8 rudder and cargo doors for the side fuselage panels in Marshall Street Jefferson Street Freighter model and nacelle components addition to fabricating the assembles the fabricates the will be making the and composite detail skin panels for the upper entire empennage detail parts for the passenger doors for the parts for lower rudder and lower bonnets that (horizontal and horizontal and vertical Intercontinental. Stuart and Aft tab. get shipped to Marshall vertical stabilizers, stabilizers, and the Aft also builds the lower Street for assembly. upper rudder, body section. rudder/Aft tab. elevators), Section 48 Aft body, upper/lower fuselage panels and floor beams. 747-8 1st ship set celebration Hawthorne 8
  • 9. 777 777 Stuart and Stuart Milledgeville These two sites celebrated unique milestones when they both delivered their 777th shipset for the Boeing 777. Milledgeville and Stuart produce the composite details for the main and aft inboard flaps. 767 Contour / Everett Celebrates 100th 767 Winglet Kit Ship Set The winglet kit consists of 10 assemblies, 12 stringers, 48 straps and 4 wing panels (2 upper, 2 lower). All Contour employees had a role in this landmark delivery. A330/340 Nashville Celebrates 1,000th Ship Set for Airbus Nashville supplies the mid- and outboard leading edge assemblies, top panel assemblies, center spar assemblies and mid-rear spars for the A330/A340. In 1988, the company became the first major U.S. supplier to Airbus with the award of the wing components. Vought Wins New Work on 737 and 777 Boeing entered into agreements with Vought for new work scope that included inboard flaps for the 737 NG; outboard flaps and ailerons for the 777, and extended the current contract on inboard flaps and spoilers. 9
  • 10. Cultivating Continuous Improvement V-22 Osprey Empennage deliveries began on the initial lot of a 5-year multi-year contract and the entire V-22 team stepped up performance on all deliverables increasing move rates to support an annual 26 ship set requirement. t C-17 The C-17 continues to get funding on a year-to-year basis. The fiscal year ‘09 supplemental budget added eight VOUGHT ENTERPRISE CHANGE TRANSFORMATION & REENGINEERING aircraft for a total fleet of 213. The 2010 Defense bill provides $2.5 billion for 10 C-17 cargo aircraft. t VECTR Team members C-130 The C-130 team increased rate We are transforming our business. This beyond two units per month. We are is a big project – one of the biggest ever continuing improvements to customer undertaken at Vought, and one that will FOB schedule and we delivered 19 change our business processes forever. units through the end of November. The project is called VECTR, an acronym We negotiated follow-on contracts for that stands for Vought Enterprise Change quantities of 28, 53 and 58 ship sets Transformation and Reengineering. (deliveries through May 2013). t Global Hawk (BAMS) Vought is currently building wings for Air Force Global Hawks and will continue to build these until at least 2012. 29 USAF wings have been delivered to date. The BAMS configuration (for the U.S. Navy) will require new Spar/ Rib Bond Tooling. Tool Design t has started. 10
  • 11. Vought Operating System The President’s Award Milledgeville Green Belt Class The Vought Operating System (VOS) is a framework of principles, tools, and processes that guide our pursuit of flawless execution. The purpose of the system is to eliminate, through improvement activities, various kinds of waste within the company. The VOS encompasses all of our improvement Best Overall Improved Site activities including Lean, Six Sigma, Management Operating System (MOS), and Quality Control Process Charting to form an integrated process improvement system. 2008 4th Quarter: Contour / Brea and Since 2006, many Yellow Belts: 1440 Contour / Everett employees have gone Green Belts: 287 through Six Sigma 2009 Black Belts: 34 Training 1st Quarter: Milledgeville Master Black Belts: 1 2nd Quarter: Marshall Street and Stuart 3rd Quarter: Marshall Street On the Road to Operational Excellence Teams at each site work through a set of objectives identified in each tier of the Vought Operating Vought Named Best System to work their way up to achieving the highest level of Operational Excellence – the Gold. Place to Work In Martin In addition to IAD Military Programs, the County, Florida following sites’ production areas have reached the Vought was recognized as a Best Places to Work first level, the Qualifying level: in Martin County (Stuart site) by a local human Hawthorne Marshall Street resources professional association. Vought is one Jefferson Street Milledgeville of three companies to receive the recognition in the category of more than 250 employees. Stuart Nashville Vought Named Top 10 Best Places to Work for Six Sigma Professionals For the second consecutive year, Vought has been named to iSixSigma’s list of Best Places to Work for Six Sigma professionals. Vought was one of three companies that remained on the Top 10 list from 2008. Last year Vought received the No. Attending the award ceremony from left to right: Rick 2 ranking on the list of iSixSigma’s Top 10 Best Places DeMarchi, Steve Livingston, Paul Sandhu, Dana to Work for Six Sigma professionals. Allen, Fred Kahl, Nancy Barkheimer, Mel Tiedemann. 11 11
  • 12. Supporting Our Communities Being a strong steward in our communities...is the right thing to do. Giving back to the community in which we work and live is a tradition for us as Vought employees. From company wide campaigns and local activities to blood drives, we strive to help those who need assistance the most. Can Do! One of Vought’s biggest fundraisers, Can Do! raised more than $215,000 last year for a variety of food banks around the country. Monies are raised through a variety of activities including golf tournaments, cake and bake sales, auctions, chili cookouts, and the sale of Can Do! T-shirts. Voluntary payroll deductions throughout the year and corporate contributions also add to the total. This fundraising activity has been a company tradition for 27 years. March of Dimes Vought and its employees nationwide raised more than $100,000 for the March of Dimes “March for Babies” campaign in April. In addition to the amounts that individual Stuart team hands over check walkers raise from sponsors, money is also raised from activities throughout the sites that include bake sales, T-shirt sales, contests, raffles, silent auctions and a corporate contribution. United Way Across America, United Way agencies improve lives by mobilizing the caring power of their communities. Our employees give generously to the United Way through payroll deductions. These funds help support local non- profit agencies, such as the American Red Cross, American Cancer Society, Salvation Army, Goodwill and the YMCA. In 2009, Vought and its employees contributed more than $200,000 to local United Ways. Hawthorne marchers 12
  • 13. Educational Contributions Eight relatives of Vought employees received scholarship awards from Vought in 2009. Each student receives $2,000. Vought participated in Engineers Week in Dallas. As presenting sponsors at the Frontiers of Flight Museum, Vought held four different workshops for mostly middle school students that addressed different fields of interest in aerospace and other engineering disciplines. The Hawthorne site sponsored two local high school students through Loyola Marymount University’s Science and Engineering Community Outreach Program. The students from Hawthorne High School attended a summer science and engineering camp held on campus. The two-week residential summer pre-college program is designed to encourage the study of science, technology, engineering and mathematics. It also provides students with important information about SATs, Hawthorne GM Dana Dickson (second from left) receives college admission, and scholarships. plaque from Marymount University representatives in recognition for Vought’s sponsorship. Corporate Contributions Vought supplements the donations of our employees by providing funds to a limited number of 501 (c)(3) charitable non-profit organizations. In addition to the more than $100,000 that Vought donates to the organizations listed above, in 2009 our company contributions totaled over $85,000. These funds went to the organizations below. Reserveaid - Stars & Stripes Dinner Benefiting Texas Troops DFW USO “Second Annual DFW USO Patriots Salute” World Affairs Council of Dallas/Fort Worth AIA’s Team America Rocketry Challenge CCAI – Congressional Coalition of Adoption Institute The Angels in Adoption Gala September 18, 2009 UHC Scholarship Fund Brother Bill’s Helping Hand Air Force Charity Ball Dallas Rotary Club Vought engineers discuss the future of the industry with Best Buddies Virginia students at the Vought display at Engineers Week. Dallas Baptist University Dallas Citizens Council Some of the local organizations that our employees and sites donate time and/or money to: Alive Hospice Milledgeville- Baldwin County Fire Dept American Cancer Society National Fire Safety Council American Heart Association Heart Walk North Texas Food Bank Annual Baldwin 20/20 Community Retreat Pencil Foundation Baldwin Park Community Center - Santa Clothes Program Relay For Life Baldwin High School CTAE Second Harvest Food Bank of Middle Tennessee City of Hawthorne Chamber of Commerce Second Harvest Food Bank of Orange County Empty Stocking Fund South Bay Workforce Investment Board GMC & GCSU Sponsorship Special Olympics Grand Prairie Chamber Of Commerce St. Stephens Food Pantry Guide Dogs of America Susan G. Komen LA Regional Food Bank Tarrant Area Food Bank Mary Vinson Memorial Library Volunteers of America Western Washington White Doves Holiday Project 13
  • 14. Being Responsible Each of us is personally accountable for our actions and behavior. This fall an online training course called “Vought Ethics and Standards of Business Conduct” was implemented. The training is required of all Vought employees. The course provides an introduction to our code of ethics, a reminder of our core values (the Gears for Success), and a review of common business situations that can lead to ethical lapses. At Vought each of us is accountable for our actions and behavior, and we have set high ethical standards that everyone must meet. Maintaining these standards is not only the right thing to do; it’s the only way we do business. Committed to Our Environment This year Vought employees got In Stuart, employees switched to Marshall Street recycles all its paper behind a number of activities to help using recycled paper products (paper products. our environment. As part of our 2009 towels and toilet paper.) Nashville reduced water usage in Earth Day celebration, a company- Milledgeville recently shut down the autoclave process and reduced air wide initiative was begun to recycle a tank line significantly reducing the pollution by eliminating (or retiring) printer cartridges. plant’s water usage. an old piece of equipment that was “Over 350 million cartridges are At our Hawthorne location, there a significant source of pollution and discarded in our landfills each year, is an ongoing recycling program for replacing with new Shot Peen process. and that number increases by 12% paper and wood crates. By working together and annually,” said Joanne Romano, participating in a variety of recycling Vought’s Manager of Environmental Jefferson Street held a household hazardous waste round up where programs, Vought is helping to protect Health and Safety. the future of our environment. employees could drop off hazardous A number of other recycling waste such as various chemicals, initiatives have taken place this year. fertilizers and pesticides. Jefferson Street conducted their second annual household hazardous waste pick up. 14
  • 15. Employee Survey A number of initiatives were implemented this year as a direct result of the feedback that was received from the Employee Survey. Each site developed action plans in response to the results of the survey. Additionally, several communications pieces were developed. Mid-Week Messages A weekly e-mail to Vought leadership provides information that they can share with employees during their weekly team meetings. VoughtCast A brief video by a senior executive is distributed regularly via the Vought intranet. The audio portion is also available via an 800 telephone number. 787 Transaction On July 6, we signed an agreement to sell our North Charleston, SC operations to The Boeing Company. Vought employees at the site became Boeing employees, and Vought employees in Dallas continue to provide engineering services on the 787 aft fuselage. Vought continues to support the 787 program today through engineering support and manufacturing of various detail components (as shown in the drawing below). First Flight December 15, 2009 15
  • 16. Service Anniversaries December 2009 45 YEARS 25 YEARS 10 YEARS 1 YEAR Marvin Arwine (N) Brian Bartlett (MSF) James Murphy (Seattle) Mohammed Ahmmed (JSF) Billy Dugan IV (JSF) Pat Walsh (N) Bounthong Chanthorn (JSF) 35 YEARS KayLynn Dunn (JSF) Billy Collum (JSF) YEARS Domingo Flores Jr. (MSF) Sourithay Dethoudom, (JSF) Steve Anderson (MSF) Walter Johnson Jr. (JSF) 5 Joe Ford (MSF) Larry Brown (MSF) Ron Love (JSF) Adrian Bruner (JSF) Gabriel Garcia Diaz (JSF) Troy Lyon, (JSF) Paul Cargile (M) Daniel Holden (JSF) YEARS David McCloskey (JSF) Jesse Keel (JSF) 30 Larry Moody (N) Donald Coyle (M) Mauricio Quintanilla (JSF) Jim Davies (E) Elton Binkley (N) Miguel Morales (JSF) Richard Davis II (M) Trevor Rios (JSF) Leon Conyer (N) Scotty Noteware (MSF) Charles English (M) Riah Rode (H) James Devoll (MSF) Lisa Gomez (Las Colinas) Somphou Sourygnavong (JSF) Joshua Stone (JSF) YEARS Joel Gammons (JSF) Brian Herringdine (M) John Gentle (N) 20 Lisa Holsey (M) Jeff Taylor (M) Valerie Jordan-Taylor (N) Mosley Mosley (M) Jimmy Tran (JSF) Rodger Jones (JSF) Douglas Lewis (JSF) Bubba Smith (N) Diane Walters (H) Ron Knight (JSF) Corry Lindsey (JSF) Beverly Taylor (MSF) Brett Weilbrenner (JSF) Michael Prairie (N) Jackie Nix (MSF) Courtney Tucker (JSF) Jesse Zuniga (JSF) Pat Russell (JSF) Douglas Nugent (S) Carol Upp, (JSF) Verne O’Neill (N) Tominique White (JSF) Buddy Reid III (N) 15 YEARS Timmy Trapp (N) David Turner (N) Frank Houston (JSF) Terry Moore (JSF) Happy Holidays! 16