Hello

It’s our great honor to introduce our company.

And, what we are going to say is divided into four parts: Profile, Competence, Main Business and Information System.

Ok, let’s get into the first one part.

CMSCL is a third party logistics company established in July 2007 to manage the Milk-Run logistics.

Stockholders are made up of Chongqing Changan Minsheng Logistics Co., Ltd. and Sumitomo Corporation.

Our company has 901 employees as of June 2015 with sales of about 100 million RMB Registered Capital.

This page gives the short introduction of the major two Stockholders.

During the 8 years, we are always trying our best and have deserved the results, to some extent, these awards mean the encouragement and customers' trust to us.

The core competence mainly consists in the aspects of Resources

Network, Logistics Planning, Integration Ability, Information System, and the Standardization System. The embodiment of the Competence will be introduced in the chapter of the business analysis.

Now, let’s get into the third one part-main business.

Our business is mainly made up of four part:

International Freight Forwarding Service, Parts Logistics Service, vehicle Logistics Service and Packaging logistics service.

The following business introduction is mainly around the special services.

First of all, Eurasian Rail Transportation Service (Chongqing—European Backhaul) helps our company expand the diversity of our business. This picture shows the main business process and features. Oh, if time is enough or if you are interested, I explain the meaning of the features. Five fixed means that the departure time is fixed, shipping prices are fixed, the trains are fixed and the date is fixed. One-Ticket means that only one copy of the documents need the customers provide during the trip. Check for once means that only one time should the goods be checked all the trip. And it is obvious to understand the meaning of the “Charge for once “.

Aha, let’s get into the core part- Parts Logistics Service.

This chapter is made up of four parts. And this picture shows that what we are doing mainly in parts logistics including Inbound Logistics, Production Logistics, Aftermarket Logistics, Reverse Logistics and Logistics Planning.

This picture shows that we could choose the different logistics mode depending on the vendor distribution.

On the whole, our company has established a system which synchronized with the production processes owing to close coordination with logistics operation.

In Milk-Run logistics, high reception frequency of goods is performed to maintain small-lot frequent delivery to the assembly lines as much as possible.

In addition, we control the procurement process and transport planning according to the P-lane to reduce the gap between transport frequency and production levelling. Rather than saying that this permits buffer stocks between procurement and production, this works as a mechanism to make stocks visible and to conduct manage the logistics processes.

This picture shows that what we do in our warehouse, such as storage

management, inventory management, sub package, sorting, and JIT delivery.

And this picture shows that what we do in the process of Material Handling, such as Parts Kitting, Sorting, Line Storage, Homing, and Module Assembly.

This form shows the core advantages we shaped to win the customers’ satisfaction. For quality, first, we do our best to standardize packaging to maintain and even improve the transport quality and part quality; second, we try our best to standardize the operations to improve the operational quality.

In cost, we have got the economy scale and we are keeping the continuous lean improvement to reduce the comprehensive cost.

In delivery, we have achieved the mechanism of keeping low levels of inventories, unified loading and unloading and conducting the flexible procurement plan.

In safety, we are always conducting the real-time monitoring to reduce the transportation risk and use different kinds of security measures such as the electronic lock to ensure the safety all the trip.

As the map showing, our Picking-up Network covers 40 cities, the

number of our Supplier partners up to more than 400, we plan 200 Pickup

Lines every day, 150 Flying Wing Cars used every day and the Volume picked up beyond 15000 M? every day.

And the red circle region means that we could offer the integration services of transportation, warehousing, and packaging.

Ok, since we have learned about our company's resources, the next let’s learn about the Service Features.

Our characteristics are mainly embodied in High requirements, high degree of information, high degree of visualization, integrated management and so on.

Our company conducts the parts loading from the supplier based on a stowage plan.

In order to prevent the collapse of goods during transportation, our

company protects the goods with protective boards, safety belts and Wrap films.

Goods are collected from several parts suppliers according to a collection schedule, and delivered to the warehouse and then delivered to the CMA plant.

Allowed arrival times are within plus or minus ten minutes of the

scheduled time. For example, if the arrival time is about 30 minutes over the scheduled time, the event is recognized as compliance deviation

concerning schedule. The rate of compliance deviation concerning schedule, which is one of the Key Performance Indicators (KPI), is around 5% in our company.

In the process of the transportation, we use the app-real time tracking and GPS controlling measures to ensure the high degree of information and visualization.

We could have the general understanding of the operation principle of the software and the effect achieved on the right side of the page.

And in the process of the delivery, we try our best to ensure the high turnover and low level of the inventory by means of the small batch and multi-frequency delivery.

This group of dynamic images show that what information we can get from the warehouse management system, and how we realize the

real-time inquiry and monitoring of the cargo state in the WMS by using the PDA barcode scanning.

Next, it’s turn of Manager Chong to introduce the packaging business. Hello

What I gonna to introduce is made up of three parts- Service Projects,

Service Model and Service Advantages.

This picture shows that what we can do and what we are doing in the aspect of packaging service.

Well, in terms of the market at present, there are 3 kinds of service models, and from this chart we could learn about the corresponding important information of the different. And our company choose the “model-lease” for the customer by comparing the advantages and disadvantages of various kinds of patterns of the packaging service.

Next, let’s have a look at the advantages of the "lease" model.

On the whole, the advantages are composed of the six aspects showing in the form.

The last but not the least, our company has built up the information systems cluster to realize the high degree of Information Sharing.

The following eight systems showing in the picture are the key members in the system cluster.

Our system can basically link up all members of the supply chain, and at the same time, our company builds up the WeChat platform and APP to assist the relative users to use the information conveniently.