AFSL General Membership Meeting AFSL General Membership Meeting September 2011September 2011

1

John Rogers, Executive Director

2

Alan Zoldan, President

3

Andrew Kameros, Director of Compliance, CPSC

Demar Granados, Compliance Officer, CPSC

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Ryan Posten, Assistant Associate Administrator, PHMSA

5

John Rogers, Executive Director

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82%

90% 89% 90%93% 93% 93% 91% 94% 95%

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73%

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5%6%9%7%7%7%9%

36% 33%27%

18%

13% 15% 13%11%

10% 11% 10%

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2011

(Jan

.-Jun.)

Compliance Non-Compliance

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TOP 10 VIOLATIONS 2010

Percentage of Total Violations13.20%

8.20%7.80% 7.70%

7.10% 7.00% 6.90%

5.50% 5.20% 5.00%

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Modification: 60 grams composition limit per device. Changed from 200 grams. Composition limit per retail pack is 60 grams.

Implementation Date: November 1, 2011.

Classify as a Specialty Item. Subject to Fuse Burn Time and Fuse Side Ignition

Requirements. Subject to all other requirements for Specialty Items,

including 20 gram limit.

Effective Date: Nov. 1, 2011.

17

Add to the list of Prohibited Chemicals for Consumer Fireworks.

Implement a screen test.

Effective date: January 1, 2012.

AFSL/SGS to test fireworks manufactured or assembled in the U.S.

Purpose: To permit importers to certify products to comply with CPSC certification requirements.

Program consists of 3 elements:

Assortments Assembled from Previously Certified Bulk Fireworks.

Finished Fireworks Assembled from Previously Certified Components.

Fireworks Fully Manufactured in the U.S.

No additional testing is required.

Manufacturer applies previously issued stickers to assortment cartons and enters numbers into Security Log.

Manufacturer files Certificate of Compliance in AFSL Database.

Assortments are ready for distribution.

AFSL performs periodic audits to verify compliance.

Additional testing is required.

Samples will be collected by SGS from the manufacturer’s warehouse.

Samples will be tested by SGS at Tulsa, OK lab.

Manufacturer’s controller will assign and monitor the application of AFSL Stickers to the finished lot.

Manufacturer files Certificate of Compliance in AFSL Database.

Finished items now ready for distribution.

AFSL performs periodic audits of records and facilities to assure compliance.

Certification of assortments – US$0.07 per case.

Testing of finished items assembled from certified components – US$0.42 per case.

Testing of fully manufactured domestic products – US$0.75 per case.

Sample collection fee - US$150 per man-day.

Presented by:Joe Romeo – Global Key Account Manager

September 14, 2011

Joined SGS in March 2011. Relocated to Liuyang to lead the AFSL Fireworks

QIP. 10+ years experience with consumer products in

quality assurance and project management. Strengthened bond (AFSL & SGS) in direct U.S./

China communications. Improved Technician Team Unity.

Successful transition into the leadership role. Skilled and determined mindset to identify

process enhancements/services.

Transitioned to SGS in August 2009 from ITS. Based in Liuyang and dedicated to the AFSL

Fireworks QIP. 12+ years working with the AFSL program. Manages technical training and support to the

Technician Team. 2011 AFSL Annual Technician Training and

Shipper/Factory Seminars.Engaged in development, coordination, and

execution.

Current Issue:AFSL has reported that 7.8% of all violations in

2010 were related to Label Wording. Program Goals:

SGS will take a pro-active approach to work with Shippers/ Factories who regularly experience violations.

SGS will use technically trained staff to support the service.

SGS’ goal is to eliminate this violation category from AFSL’s KPI Index while increasing speed to market for Shippers/Factories.

Kicked off Domestic Program for Assortment & US Finished Product Testing.

Hired Liuyang based Project Manager.

2011 Annual Technician Training Completed.

Launched Factory Audit Process for the Display Program.

Launch Abortive Inspection Process.

Display Program Phase II Deployment:Product Evaluation;Container Loading Supervision.

Continue momentum to drive continuous process improvement for all programs.

Service Development Initiatives:Product Label Reviews.

Richard Shields, Treasurer

32

John Rogers, Executive DirectorKit Smith, General Counsel

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Alan Zoldan, President

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