MFLEX ranked #35 on Fortune’s List of 100 Fastest Growing Companies MFLEX Overview January, 2011 MFLEX Confidential
Mar 26, 2015
MFLEX ranked #35 on Fortune’s List of 100
Fastest Growing Companies
MFLEX Overview
January, 2011
MFLEX Confidential
Table of Contents
• Company Overview
• MFLEX Value Proposition & Value Added Differentiation
• FPC Technology
• FPCA Technology
• Module Integration
• Conclusion
• Appendix
Slide – 3
Slide – 7
Slide – 13
Slide – 27
Slide – 40
Slide – 50
Slide – 55
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Company Overview
Company Overview
• Who is MFLEX ?– Flex Manufacturer with State of the Art Manufacturing Facility in Suzhou, China capable of
35um L/S • CY 2009 Third largest FPC fabricator worldwide (Source: Japan Marketing Survey, Japan)
– Global Leader in Flex Assembly• Additional New Clean Room Assembly Facility in Chengdu, China, online Q1 2011
– Global Leader in Module Assembly & Chassis Integration • Dedicated Secure Assembly Facilities to protect Customer Intellectual Property (IP)
• Where does MFLEX Operate ?– Manufacturing Operations 150,000 m2 of manufacturing space in Suzhou & Chengdu, China– R&D in USA, UK, & China for Process and Product Development– Center of Excellence in USA to Incubate Ideas for New Offerings– Multiple offices in USA, Europe and Asia for Local Sales and Applications Engineering Support– Approximately 17,000 employees globally
• How is MFLEX Performance ?– Revenue $791 Million (FY-2010), Cash & Cash Equivalents of $100 Million*
– 2003 – 2010 CAGR of 30% – Ranked # 35 on FORTUNE’s 2010 list of Fastest Growing Companies
NASDAQ symbol: MFLXNASDAQ symbol: MFLX
* November 4, 2010
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Continued Investment in Capability & Capacity
• MFLEX has a history of investing nearly 10% in capital equipment each year• Investing over $80 million in 2010, continue plant capability investments in 2011• Equipment and facility expansion for capacity increase
– Bare Flex capacity & capability addition (MFC3) and upgrades to MFC2 in Suzhou, China– Dedicated assembly facilities to protect customer IP
• Technology, quality, and efficiency– Rigid Flex, fine pitch and automation including Roll to Roll– Automation Initiatives for FPC and FPCA– Strategic Initiative on Lean Manufacturing, Six Sigma Quality Systems– Ongoing training programs for line leaders, supervisors and managers
• Advanced Technology Group– Anaheim New Materials and Processes– China Process Development– Cambridge HID Development
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MFLEX Evolution - Moving Up the Value Chain
BARE FLEXCommodity Flex
Early Design Involvement Through Global Application & Design Engineering
FLEX ASSEMBLIESIntegration of Flex & Components
MODULE INTEGRATIONFunctional Modules, Chassis Integration
TECHNOLOGY MANUFACTURINGEnabling Technologies to helpcustomers differentiate
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MFLEX Value Proposition & Value Add Differentiation to Meet Market Trends
• Early Supplier Involvement (ESI) during Concept Phase– Advanced Technology with minimal design constraints– Early Supplier Involvement (ESI) at product concept stage to create a 3-D
packaging solution to make products thinner, smaller, smarter & lighter
• New Product Introduction (NPI)– Quick ramp to volume capabilities
• Production– Cost effective & sustainable High Volume Production
Concept Pre-ProductionDesign Prototype Production
NPIESI
MFLEX Value Proposition – Concept to Production
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MFLEX Value Added Differentiation
Expand use of core technology Upward Integration by adding functionality
Applications Engineering Support to solve 3-Dimensional Electronic
Packaging Needs
Applications Engineering Support to solve 3-Dimensional Electronic
Packaging Needs
FPCFPC
FPCAFPCA
MFLEX Core Technology
ProductProduct
Chassis Assembly & Higher Level Integration
Chassis Assembly & Higher Level Integration
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MFLEX Approach to Meet Market Trends
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MFLEX Strengths
Enable Unique Industrial Designs
with better Ergonomics
Rapid Response Production
Capacity
Smaller & Smarter Electronics
Packaging Solutions
Higher Complexity
Products
IP Protection Benefit
For optimal IP protection MFLEX uses dedicated satellite assembly sites for Module Integration
•Secure facilities dedicated to a specific Customer or Program•Customer/Program Specific Dedicated Operators & Project Teams•IP is secured since only specific/related customer is allowed as an external visitor to the facility•If demand needs adjustment, impact on other projects can be made visible•Highly efficient and appreciated by current customer base
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Electronics Assembly & Interconnect Levels
Level 0 Level 1 Level 2 Level 3 Level 4
FPCDirect Chip
Attachment to FPC
FPCAModule Assembly
& Chassis Integration
End Product
Flexible printed circuit
fabrication
Wire Bond or Flip Chip
attachment to flexible printed
circuit
A fully assembled
FPC containing
IC’s, resistors, capacitors,
diodes,
FPCA mounted on chassis with various types of
hardware
Functional System
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FPC Technology (Level 0)
FPC Capabilities Overview
• 3 FPC Fab Facilities in Suzhou including a state of the art new 56,680m² facility operational September 2010 with roll-to-roll capabilities
• Current FPC monthly production capacity: 120,000m²• FPC monthly production capacity by April 2011: 150,000m²• FPC monthly production capacity by July 2011: 175,000m²
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New Advanced FPC Fab Capability and Capacity
1. Panel Process– Phase 1 (Sept-2010) – 15,000 m2
– Phase 2 (Apr-2011) – 15,000 m2
– 50µm line/space– FPC and Rigid-flex
2. Roll-to-Roll Process– Phase 1 (Oct-2010) – 10,000 m2
– 35µm line/space– Single-sided and Double-sided FPC– Phase 2 (Feb-2011) : 25 um line/space
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Copper Plating
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Roll-to-Roll Process
Laser Drilling Copper Plating
Dry Film Lamination Exposure
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Trademarks and Logos are the property of their respective owners
AOI
Lamination
Roll-to-Roll Process (cont.)
FPC Technology Roadmap-Mass Production
65 65 35 35 25 25
Line/Space: 65µm Line/Space: 25µmLine/Space: 35µm
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Surface Copper ≤18µm Surface Copper ≤12µm Surface Copper ≤9µm
Fine-line Capability Roadmap
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Panel/Sheet (SS/DS and Multi-Layer FPC)
Copper Thickness Description ProcessSep.'10 Dec.'10 May.'11 Oct.'11
MP LP MP LP MP LP MP LP
9 um - Foil Only EL with BP, IL. NA 50 NA 50 50 40 40 35
12 um - Foil Only EL with BP, IL. 64 50 50 50 50 40 40 40
18 um - Foil Only EL with BP, IL. 64 64 64 50 64 50 64 50
18 um - Plated Foil EL with PP (9-3)+12 75 75 75 64 64 60 64 60
25 um - Plated Foil EL with PP (12-2)+15 75 75 75 64 75 64 75 64
Roll To Roll (SS/DS FPC)
Copper Thickness Description Process Oct.'10 Dec.'10 Feb.'11 Aug.'11
MP LP MP LP MP LP MP LP
9 um - Foil Only EL with BP, EL. NA 35 35 35 35 25 25 25
12 um - Foil Only EL with BP, EL. NA 35 35 35 35 25 25 25
18 um - Foil Only EL with BP, EL. NA 35 35 35 35 35 35 35
18 um - Plated Foil EL with PP (9-3)+12 NA 40 40 35 40 35 40 35
25 um - Plated Foil EL with PP (12-2)+15 NA 75 75 64 64 60 60 60
EL= External Layer BP= Button Plated MP= Mass Production All values shown are in microns (µm)
IL= Internal Layer PP= Panel Plated LP= Limited Production
Development – Additional processes
• LDI– Available for dry film processing – November 2010
• Registration tolerance better than +/- 25um• Feature to holes, layer-to-layer
– Available for solder mask processing – March 2011• Registration tolerance better than +/- 25um• Openings for 01005 components• 0.4mm pitch for BGA/LGA
• Electroless copper alternative to Shadow graphite chemistry– For Rigid-flex and complex ML FPC that require via fill– Development Pilot line available – December 2010– Basis for FPC and Rigid-flex via-fill and stacked-via development; future fine line
semi-additive processes
• Copper filled PTH & microvia– ± 7% panel Copper uniformity, high ductility Copper
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Development – Surface Finish
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• Flexible (soft) ENIG process (mass production line)– Ready for production, pending customer approvals– Line fully configured for conversion to ENEPIG Mass Production
• ENEPIG Development pilot line – 200 panels/day capacity– Ready by November 2010– For process chemistries evaluation and prototype support
Development – Rigid-Flex
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• Design and Process Concept– Target markets: mobile phone, automotive, medical – Typical 4-8 layers– Static bend and dynamic applications– Assembly design and process considerations– Ready to market March 2011– Technical considerations
• Materials – for stability, dynamic applications• Design• Process • Product reliability
Development – FPC Materials
Q4 2010• Flexible solder mask
– Pending customer approval
• Black coverlay (multiple suppliers)• Flexible photoimageable coverlay Q1 2011• Thin copper < 9um for fine pitch display applications• LCP for impedance control requirement
– High temperature press installed by November 2010
Q3 2011• Sputtered copper material on PI for < 25 micron L/S by semi-additive
methods
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Development - Automation
• Panel size Coverlay layup and pre-laminate• Shielding cut, punch and apply• Stiffener pick and place• Automatic punch for singulation• Roll to roll systems and Material handlers• Multilayer Registration Systems -(2+n+2) to 12 layers• Automated Plating Line Racking Systems for reduced handling
damage
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FPCA Technology (Level 1 and 2)
(Level 1) (Level 2)
FPCA Capabilities Overview
• 200 SMT lines and 24 Chassis Integration Assembly lines
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SMT Lines Chassis Integration Lines
FPCA SMT Capabilities Overview
• SMT Lines include:– Solder Paste Inspection– AOI– 3D X-Ray– Conformal Coating and Underfill Encapsulation
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Conformal CoatingAOI
Solder Paste Inspection
Trademarks and Logos are the property of their respective owners
FPCA Chassis Integration Capabilities Overview
• Chassis Integration Assembly Lines include:– Heat Staking– Selective Laser Soldering– Laser Welding– Bending FPCA for 3D Packaging
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Selective Laser Soldering
Trademarks and Logos are the property of their respective owners
Bending
FPCA Chassis Integration Capabilities Overview (cont.)
• Chassis Integration Assembly Lines include:– Spot Welding– ACF Bonding and Wire Bonding
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Trademarks and Logos are the property of their respective owners
Spot Welding
ACF Bonding
FPCA Capabilities Overview
• New Clean Room SMT & Chassis Integration Assembly Facility in Chengdu currently under construction, operational by CY Q1 2011
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Trademarks and Logos are the property of their respective owners