TAI MATERIAL AND PROCESS TECHNOLOGIES 26 September 2014 1 DIŞI TASNİF CONTENT  General Information About TAI  Composites  Applications  Trends, Innovation, Challenges  Travel Trends 2 DIŞI TASNİF Merger of TAI and TUSAŞ Procurement of Lockheed Martin / General Electric shares (%49) by TUSAŞ Establishment of TAI as a joint venture to manufacture F-16 aircraft in Turkey Establishment of TUSAŞ 3 DIŞI TASNİF TAFF 54.49% SSM 45.45% Aerospace Aerostructures Aeroengines Integrated Systems TAI-GE Joint Venture 4 DIŞI TASNİF 5 DIŞI TASNİF TAI BOARD Support Departments CEO&President Muharrem DÖRTKAŞLI Strategy & Corporate Governance Bekir Ata YILMAZ Logistics Muammer AKPINAR Facilites and Asset Management İsmail ULUBAYRAM Flight and Flight Tests Cemal Nadir SAYIN Enterprise Management Systems Orhan Veli KAYA Human Resources Oya TANSU Industralization and Procurement İlhami TANYOLU Finance and Subsidiaries Saadet KORKEM Strategy and Technology Management Bekir Ata YILMAZ (a) Quality and Certification Murat TAŞPINAR (a) Business Units Aerospace 6 DIŞI TASNİF Aerostructures Aerostructures Naki POLAT AeroEngine Integrated Systems Aircraft Özcan ERTEM Helicopter Metin SANCAR UAV Systems Sinan ŞENOL Space Systems Sinan ŞENOL JV with GE 4269 4515 4633 3951 3541 2406 2995 3046 2008 2009 2689 2044 2005 2006 2007 2010 2011 2012 1800 1600 2013 2014 (budget) ENGINEER DESIGN ENGINEER 1400 1200 1000 800 600 400 200 0 2005 2006 2007 2008 2009 2010 2011 2012 2013 7 DIŞI TASNİF BOEING AGUSTA WESTLAND AIRBUS BOMBARDIER AIRBUS D&S LOCKHEED MARTIN LMMFC AIRBUS HELICOPTERS ALENIA AERMACCHI FOKKER MARVIN ENGINEERING IAMCO NORTHROP GRUMMAN PAG SIKORSKY SPIRIT AEROSYSTEMS TELESPAZIO THALES TAI is accredited to the stringest quality standards in the aerospace business 8 DIŞI TASNİF 1984 1986 1989 1993 1995 2003 2014 1984 1986 1989 1993 1995 2003 2014 9 DIŞI TASNİF 10 DIŞI TASNİF Airbus Helicopter – MK1 Fuselage, Tail Boom and Canopy Airbus A400M Airbus - CN-235 Center Fuselage INDUSTRIAL PARTNER SOLE SOURCE SUPPLIER SOLE SOURCE SUPPLIER Sikorsky - S-70, MH-60, UH-60, S-76 Components F35 Joint Strike Fighter (JSF) Tail Rotor Pylon Tailcone Stabilator S76 SOLE SOURCE SUPPLIER 11 DIŞI TASNİF SOLE SOURCE OUTSIDE USA Airbus - A320 Series Section 18 Airbus - A330 Rudder SOLE SOURCE SUPPLIER SOLE SOURCE SUPPLIER AgustaWestland - AW139 Fuselage Airbus - A350 XWB Aileron Boeing - B787 SOLE SOURCE - RISK SHARING PARTNER Elevator (Mnfg.) Cargo Barrier (Design+Mnfg.) Body Seal (Design+Mnfg.) MAIN SUPPLIER 12 DIŞI TASNİF SOLE SOURCE SUPPLIER 13 DIŞI TASNİF Cruise Speed > 250 kts G Limits +7g/-3.5g Climb 15000ft in 5 min Seating Configuration Stepped tandem 0/0 Ejection Seat First Flight EASA CS 23 Certification 14 DIŞI TASNİF Yes 29 Aug 2013 2015  Day & Night, High & Hot” Performance  Precision Strike Multi-Role Combat Helicopter  New      Avionics Hardware and Weapon Systems Generation Engine (LHTEC CTS 800-4A) Power Transmission Tail Rotor Several Fuselage Modifications  TAI has T129’s global marketing and sales rights. 15 DIŞI TASNİF Service Ceiling 30,000 ft Endurance 24 Hours MTOW Payload Powerplant Autonomous Take-Off & Landing Range 16 DIŞI TASNİF 1750 kg 200 kg EO/IR Camera SAR/ISAR 155 HP HEAVY FUEL Integrated 200 km LOS (BLOS Optional)  Definition of a new aircraft to substitute the existing Turkish Air Forces T-38 Trainer Aircraft and F-16 Fighter Aircraft.  TAI is assigned as the Prime Contractor. F-16 HIGHER SPEED 17 DIŞI TASNİF SUPERIOR LETHALITY GREATER AGILITY WIDER COMBAT RADIUS  Prime responsibility to design, develop and manufacture a civil certified light utility (5 ton) helicopter for military and commercial use.  Program contract was signed in June 2013.  First flight is expected to take place in 5 years. 18 DIŞI TASNİF  Göktürk-1 High Resolution Earth Observation and Reconnaissance Satellite  TAI: Manufacturing of Mission Model Structure Panels, AI&T  Göktürk-2 Earth Observation and Reconnaissance Satellite  Launched from China in December 2012.  Göktürk-3 SAR Earth Observation Satellite  Preliminary-Design Phase initiated in November 2013 19 DIŞI TASNİF  Capable to support Assembly, Integration and Test (AI&T) activities at least one LEO satellite up to minimum two tons and one GEO satellite up to minimum five ton simultaneously.  AI&T Center will be fully operational in 2014.  All final tests of GÖKTÜRK-1 Satellite will be performed at AI&T Center.  AI&T Center will be able to serve national and international space programs. 20 DIŞI TASNİF Closed Area :9.850 m² Clean Room Area:3.880 m² 21 DIŞI TASNİF  A composite materials is one which is composed of at least two elements working together to produce materials properties that are different to the properties of those elements on their own  Typically reinforcing fibres in a matrix  The ultimate «designer material» 22 DIŞI TASNİF  The first composite primary structure was built in Duxford, UK in 1940, due to shortage of Aluminium during II. World War.  Flax linen rovings impregnated with phenolic resin.  Tests showed that this first FRP structure was as strong as Al. 23 DIŞI TASNİF Prepregs are mainly two-dimensional fabrics made from high quality fibers and impregnated with resins. Prepregs are the base materials for the manufacture of fiber composite materials Fiber Carbon Glass Aramide Fabric Woven UD NCF Resin TS Epoxy Phenolic BMI TP PPS PEI PEEK 24 DIŞI TASNİF  1.000 – 24.000 filaments (until 120.000 in large tows)  Single filament from 5-7 microns  92-99% carbon content  Low density : 1/4 of steel  High mechanical performance : 10 times stronger than steel  High resistance to fatigue  Excellent corrosion performance  Resistant to chemicals  X ray transparency  Electrically conductive 25 DIŞI TASNİF  High specific modulus and strength  Weigth reduction  High fiber and low voids content  Optimum laminate design  Good environmental resistance  Excellent corrosion resistance  Very low CTE  Good fatigue resistance  Repairibility of damaged structures  Ability to manufacture complex shapes  Clean process 26 DIŞI TASNİF Machine Suppliers Pan Suppliers Fiber Suppliers Fabrics END USERS Release Liners Silicone Suppliers Paper & Film Suppliers Machine Suppliers 27 DIŞI TASNİF PREPREG Resin Suppliers Machine Suppliers Aerospace Automative Wind Sports …. Machine Suppliers Termosets vs Thermoplastics Industry Applications 100% 100% 90% 90% 30% 80% 37% 38% 40% 80% 70% 70% Breakdown products (% 60% volume) 15% 16% 15% 15% 9% 1% 3% 6% 9% 3% 4% 6% 8% 8% 7% 6% 5% 9% 28% 26% 26% 7% 7% 7% 30% 27% 26% 24% 2002 2007 2010 2012 60% 50% 50% 26% 40% 40% 70% 30% 7% 4% 10% 63% 62% 60% 30% 20% 20% 10% 10% 0% 0% 2002 28 DIŞI TASNİF 2007 2010 2012 Thermosets Building Pipe&Tank Thermoplastics Transport Marine Aerospace Wind Consumer Goods Electrical Source: Lucintel, Estin&Co interviews, analysis and estimates 2008-2020 Estimates 140000 120000 Metric tons 100000 80000 60000 40000 20000 0 2008 2009 2010 2011 2012 2013 2015 2020 29 DIŞI TASNİF 2013 - Total estimated at 111.500 t 25000 TONS 20000 15000 10000 5000 0 30 DIŞI TASNİF From feed stock through parts 31 DIŞI TASNİF CF USAGE 40000 35000 30000 TONS 25000 Wind Aerospace 20000 Sports 15000 Automotive 10000 5000 0 2010 32 DIŞI TASNİF 2011 2012 2013 2015 2020 Composites for aerospace are the highest added value products Average Prices Others Pipe - Tank Construction Transortation Marine Consumer Goods Wind Aerospace 0 33 DIŞI TASNİF 5 10 15 20 Euro/kg 25 30 35 34 DIŞI TASNİF 35 DIŞI TASNİF For all segments UD prepregs are dominant 36 DIŞI TASNİF FABRICS vs UD TAPES • More and more UD tapes, less fabrics • Weight optimization, water tight structures UD TAPES • One single grade • • FAW 135 gsm or 194 gsm Depending on the plant • 3 grades • FAW 134 gsm • FAW 194 gsm • FAW 268 gsm • 37 DIŞI TASNİF One single width • 300 mm • 1980’s Several width • 300 mm • 150 mm • 1200 mm, etc. 2010 Manufacturing cycle/weight optimization balance 38 DIŞI TASNİF 39 DIŞI TASNİF 40 DIŞI TASNİF 41 DIŞI TASNİF 42 DIŞI TASNİF 43 DIŞI TASNİF 44 DIŞI TASNİF  Fast curing resins (especially for automotive)  Materials stored in room temperature, with longer shelf life  Better damage tolerance properties  Better electrical properties  Out of autoclave prepregs  Thin plies for tailoring  Wider selection of reinforcements and polymer matrix  Automation techniques for less fabric use 45 DIŞI TASNİF  Aircraft Design  Weight reduction, excellent fatigue properties. Improved film weight control with world class continues mixing and filming capability / Tighter control of fibre weight  Need to control tightly cured ply thickness control for thick part  UD tapes / slit tape manufactured to tightest tolerances (on line slitting and precision winding)  Need to control CPT to avoid shimming operation for assembly of composite parts 46 DIŞI TASNİF  Weight saving is very important, however no more the only key driver !!  Long range aircraft   1 kg weight saving = 3500 € (over the full life of A/C) Short range aircraft  1 kg weight saving = 1500 € (over the full life of A/C)  Composite parts have to be cheaper:    Improvement of composite materials costs Continuous production with short cycle times Lower amount of waste  Composite parts have to integrate functions      47 DIŞI TASNİF Conductivity Acousting damping Thermal resistance New assembly concepts SHM  Eco effiency  Composite materials must get recyclable  Low weight >> Lower fuel burn, lower CO2 emission  Customer satisfaction to improve  Cabin noise improvement by acoustic materials development  Operations cost improvements 48 DIŞI TASNİF  Composites/Surfaces must support walk around inspection  The detection of damages and the repair must be robust to ensure short turn-around time  Challenge on Release Paper  Perfect roll quality  No paper debris  Perfect alignment  Silicon paper choice for ATL tailoring  Tight weight tolerance  Future trends for large volume  Eliminate silicon transfer to prepreg  Reduce cost vs. paperless technology (Infusion / Solvent route)  Paper technology improvement is key for future composite penetration 49 DIŞI TASNİF 3000 tonnes CFRP scrap produced annually, 6000-8000 commercial planes expected to reach end of life by 2030 There is currently no real market for the recycled product that is produced. Work needs to be done to demostrate the properties of the recyclate, create a market and give it a value. 50 DIŞI TASNİF 51 DIŞI TASNİF 52 DIŞI TASNİF 53 DIŞI TASNİF Fleet in servise evolution 2013-2032 Source: Airbus 54 DIŞI TASNİF To produce in time, cost and quality Source: Airbus 55 DIŞI TASNİF  Annual growth of %13-%17 of CFRP market (prepreg could account for %55-%60)  Aerospace and wind will be the significant drivers.  Automotive is expected to be the largest growth, if CRFP cost decreases.  Mass production, automation, optimal design for better price-performance ratio, hybrid solutions, will support the growth of this very dynamic market.  CFRP is the most important growing field, followed by GFRP and hybrid materials.  Prepregs are the material of choice for its high performance characteristics and have a brigtht future. 56 DIŞI TASNİF 57 57 DIŞI TASNİF