UMeX X United States Mexico Chamber of Commerce Cámara de Comercio México-Estados Unidos United States Mexico Market Exchange A private and public partnership p p p p Connect to bring 2,000 SME companies together as one force. Leverage Mexico 2008 Mexico 2008 this power to significantly impact this power to significantly impact each selected company. UMeX X Commerce UMeX X I f UMeX X Infrastructure UMeX X Technology UMeX X Strictly Confidential
UMeX X United States Mexico Chamber of Commerce Cámara de Comercio México-Estados Unidos United States Mexico Market Exchange C Connect Mexico 2008 – Agenda & UMEXX Phases t M i 2008 A d & UMEXX Ph • UMEXX Introduction • UMEXX Introduction • Phase 1 • Support From Public Sector • Cooperation and Alliances C ti d Alli • Major Commitments • Phase 2 • Products and Services • Traditional Imports and Exports • Information Stage Prior to eCommerce Productio n • Phase 3 – eCommerce in full Operation • Questionnaire • Memorandum of Collaboration M d f C ll b ti UMeX X Strictly Confidential
UMeX X United States Mexico Chamber of Commerce Cámara de Comercio México-Estados Unidos United States Mexico Market Exchange Connect Mexico 2008 Phase 1 – Motivation and Purpose C t M i 2008 Ph 1 M ti ti d P • Increase the business value of SMEs in Mexico • Focus sales in Mexico, U.S., and Canada • Will also pursue global opportunities, e-commerce & wholesale sales • Mexico’s star rising, Europe & Asia-Pacific require more competition • Focus on Manufacturing & Agriculture F M f t i & A i lt • Rapidly establish a loyal and “sticky” single force • Acquire Infrastructure, Technologies, and New Sales with size leverage (2,000 companies, average $3M each = $6B) • Bring additional value to SMEs with financing and other methods • Bring additional value to SMEs with financing and other methods including capitalization UMeX X Strictly Confidential
UMeX X United States Mexico Chamber of Commerce Cámara de Comercio México-Estados Unidos United States Mexico Market Exchange C Connect Mexico 2008 Phase 1 – Public Alliance Support t M i 2008 Ph 1 S • Companies are identified (with support from the Secretariat of Economy and ProMexico) and invited to meet throughout Mexico to join and become the first 2 000 ProMexico) and invited to meet throughout Mexico to join and become the first 2,000 members of Connect Mexico 2008 (called the “Founding Group”). • After the 2,000th founding member has joined, then active e-commerce worldwide promotion and sales of the Founding Group begins. • In preparation, the Founding Group may also take advantage of infrastructure and technology capabilities of UMEXX, including wholesale sales opportunities. • USMCOC will facilitate UMEXX activities throughout Mexico. USMCOC will facilitate UMEXX activities throughout Mexico. UMeX X Strictly Confidential
UMeX X United States Mexico Chamber of Commerce Cámara de Comercio México-Estados Unidos United States Mexico Market Exchange Connect Mexico 2008 Phase 1 – Brief History C t M i 2008 Ph 1 B i f Hi t • Launched in summer 2007 • Launched in summer 2007 • Profit Motive - best suited to mobilize products and services services • Connect Mexico 2008 was announced by the Chamber’s CEO last December in a meeting with President CEO last December in a meeting with President Calderon • Signed agreements with major corporations in U S Signed agreements with major corporations in U.S. • Infrastructure improvements for transportation, warehousing, supply chain logistics • Software Technology fundamental to winning new relationships S ft T h l f d t l t i i l ti hi and mid to large contracts UMeX X Strictly Confidential
UMeX X United States Mexico Chamber of Commerce Cámara de Comercio México-Estados Unidos United States Mexico Market Exchange C Connect Mexico 2008 – Phase 2 Website In Progress t M i 2008 Ph 2 W b it I P UMeX X Strictly Confidential
UMeX X United States Mexico Chamber of Commerce Cámara de Comercio México-Estados Unidos United States Mexico Market Exchange C Connect Mexico 2008 – Business Pow er t M i 2008 B i P Founding Group Members will Gain a Seat at the Bidders Table Founding Group Members will Gain a Seat at the Bidders Table C-3 C-2 C-3 C-2 UMeXX C-4 C-1 C-4 C-1 Founding Group is Very BIG Company Powerful Trends Favors BIG Companies • The Vision of Each Member Remains • Free Trade Expansion, Increased Globalization p , • One Point of Contact, Dynamic Logistics Methods • Each Member’s Organic Growth Increases • Increased M&A by Public COs & Banking (in-out) • Member’s M&A Events Improve • Member’s Personal Care is Embraced • Increased Demand – Cost of Technology UMeX X Strictly Confidential
UMeX X United States Mexico Chamber of Commerce Cámara de Comercio México-Estados Unidos United States Mexico Market Exchange CICUR Hides Transaction • Hides to Leon - Mexico • Current – 4,000 Trucks per Yr, Dry Trucks C • Issue – Lose 40% of Skins plus 1K/3K Salt/Hides • Volume – 15% of U.S. and Mexico Volume ($15M/yr) • Volume 15% of U S and Mexico Volume ($15M/yr) • UMEXX Leverage – 4,000 Refrigerated Trucks & Rail • Leon Savings – $3M per year / $9M 3 yrs Leon Savings $3M per year / $9M 3 yrs • Mexico Savings - $20M per year / $60M 3 yrs UMeX X Making a Difference UMeX X Strictly Confidential
UMeX X United States Mexico Chamber of Commerce Cámara de Comercio México-Estados Unidos United States Mexico Market Exchange C Connect Mexico 2008 – Phase 2 U.S. Warehouses t M i 2008 Ph 2 S OVER 50 MILLION SQUARE FEET, 86 CITIES, 136 FACILITIES UMeX X Strictly Confidential
UMeX X United States Mexico Chamber of Commerce Cámara de Comercio México-Estados Unidos United States Mexico Market Exchange Connect Mexico 2008 – Phase 2 U.S. Warehouses (Major Cities) C t M i 2008 Ph 2 S OVER 50 MILLION SQUARE FEET, 86 CITIES, 136 FACILITIES Allentown All t Kansas City Kansas City Los Angeles Atlanta Louisville Atlanta #2 Memphis Memphis Boston Boston Minneapolis Boston #2 Northern New Jersey Chicago Oakland Cincinnati Philadelphia Cleveland Phoenix Dallas Pittsburgh Detroit Portland El Paso Fresno Sacramento Greenville Salt Lake City Seattle Houston St. Louis Indianapolis Wytheville Jacksonville UMeX X Strictly Confidential
UMeX X United States Mexico Chamber of Commerce Cámara de Comercio México-Estados Unidos United States Mexico Market Exchange Connect Mexico 2008 – Phase 2 Transportation Optimization C t M i 2008 Ph 2 O Visibility, Track & Trace, Web-Based, EDI Transportation Execution Order Management Product Profile Customer/Shipper/ � Order Availability � Shipping Characteristics Receiver Profile � Vendors Parameters � Order Release Dock Scheduling D k S h d li Appointment Shipment Planning Event Management � Ship day/date, quantity Carrier Web Suite � Tender, Track & Trace � Shipping requirements � Tender accept/reject � Pickup & Delivery � Status update Freight Optimization (SPT) � Status Update � Mode, LTL Consolidation � Exceptions Management Yard/Trailer Pool � Route, Cross-dock, Pool Management Carrier Optimization (SPT) Freight Audit Management � Common/Dedicated Payment & Invoicing Reports � Backhaul/Continuous Move Tactical Process Definition, Carrier Contract and Negotiations Key Performance Metrics, Management Reports Strategic - Design and Optimization Network Optimization, Inbound/Outbound, DC/Warehouse/Cross-dock, Freight Mode, Carrier, Supplier Sourcing, Customer Service, Benchmarking, Opportunity Assessment UMeX X Strictly Confidential
UMeX X United States Mexico Chamber of Commerce Cámara de Comercio México-Estados Unidos United States Mexico Market Exchange Connect Mexico 2008 – Phase 2 Supply Chain Softw are C t M i 2008 Ph 2 S C S f This is the critical and basic starting point in the Supply Chain “A bi-national marketing collaboration and consolidation between COs cannot reach their full potential until fundamental business systems and information are connected and all parties have “ready access” to billing, orders, and inventory information “ Systems Inventory and Warehouse Management Supply Chain Visibility Connectivity Light Manufacturing Billing (Customers - 3rd Party) Tables T bl Si Single Facility l F ilit Pick and Pack Pi k d P k P Purchase Orders h O d Files Multiple Facilities Replenishment Sales Orders User-Defined In-house Logistics Shop Orders Inventory Run-Time Parms Third Party Logistics Facilitie(s) Optimization Invoicing Diagnostics Software as Service Value Added Processing Order Statuses Performance P f Business Divisions B i Di i i Bill Bill of Materials f M t i l R Reconciliation ili ti Tuning Vendor Inventory WorkLoad Planning Facility Progress Material Handling Customer Inventory Hot Zoning Accessorial Charges Label Printing Internet Access Containers Mgmt Logs - Archiving Radio Frequency Local Server Setups Promotions Consolidated Reports UMeX X Strictly Confidential
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