Q-Squared

Get those buzzers ready, Jeopardy is coming to Fraser! The team contest will begin the week of January 19t, 2006. Teams consisting of about 10 employees will be testing their Q-Squared knowledge and completing for the grand prize of $500.00. Each employee is required to answer at least 2 of the 25 questions. Points will be awarded for each correct answer. Teams can bet all earned points for the final jeopardy question. The team with the highest points after final jeopardy will be the winner. Operations will have 4 teams (first shift employees will make 2 teams, then one team for each 2nd and 3rd shifts.) Everyone else will be put into teams.

Amgen visit – 5 visitors from this biotech customer visited the Fraser site on May 24th. Most comments were favorable. They really like our product. “It’s the best product out there”. They would like to see improvements that would control excess water in the plant, and that DMV considers developing a comprehensive contingency plan. The plan should not only include back up manufacturing capabilities, but also tactics to ensure continuity of raw material supplies. The following day, May 25th, two auditors from Ross Products performed our re-certification audit. The comments from the auditors were extremely favorable. Both auditors performed the last audit (2004) and notice big improvements. The facility was very clean, and they liked the fact we are establishing hygiene zones w/ air-locks. The only negative comment had to do with the housekeeping in the cooler/freezer. The next scheduled customer audit will be June 14th. The QA manager for Oxoid, and one of his customers will

∙ The Message is getting out! All team members continue meeting with individuals to discuss Q-squared. Discussions are held to talk about changes to DMV-Fraser to improve hygiene awareness and structural improvements to the facility. ∙ Gary and others will meet with various employees to help ensure the important Q-squared messages are not only being heard but are effective people on a daily basis. We know more now then ever, its time to take this knowledge and put it into daily practice. ∙ Good progress is being made with the “air-locks”. The Blend room / V-bottom air lock should be operational by June 1st. Some additional work (i.e. . electrical) is still needed for the tower air-lock. ∙ Eric Timmermans was on site for a two day inspection and consultation. While he noticed some improvements in both the facility and awareness / attitudes, much more work is needed in order to obtain a good score on the November Q-Squared audit. ∙ Details on Q-Squared Team Jeopardy were prese

A group of employees participating in some fun during the first Q-Squared luncheon. The first shift Q-Squared luncheon was held on May 18, 2006. Approximately forty DMV employees participated in this first-time event. A lot of good food and questions were on the menu for this casual get together. Several questions about the best ways to improve hygienic practices and reduce overall risk were raised. There were plenty of lively discussions and everyone seemed to enjoy themselves. The next luncheon will be for our third shift employees – the June date is not yet set , but soon will be determined. Hope to see you there.

By now, all DNV Delhi employees should have received a nice Q Squared pen and pocket reminder (3 key points). These can serve as daily reminders that Q Squared is critical to the success of our company, and that our actions do influence quality and add to our success.

We will have several visitors coming to the Delhi plant over the next few weeks. Below is a schedule for your information. May 22 & 23 Eric Timmermans Q-Squared Consultant and Campina Hygiene Auditor May 24 Amgen - Technical visit (buying SE50MAF-UF), they will be visiting Kerry after they see us! So let's set the bar high - show them our best, and make it tough for Kerry to stack up. May 25 Ross Labs - this is our recertification audit. The auditor will also share with us some key insights into Ross audits, how CE90HM fits into the success of their business, and more. June 12 & 13 Leo van Outersterp - Quality Assurance Manager for DMV International, Veghel.

∙ Reemphasized the importance of communication throughout the Delhi organization. Q-Squared Team Members are making sure, through one-on-one conversations with employees that everyone is getting the message, and has an opportunity to ask questions. ∙ Meeting with "shift leaders" will be set up, to help communicate the important Q-Squared messages. ∙ Special meeting set up with supervisors, this is a critical group and we want to make sure they are fully aware, and able to address concerns. ∙ Shift sign-off sheets will be formally implemented. This will document that the plant is ready to be transferred to the next shift. ∙ Next meeting will be May 16th - based upon key members' schedules.

REMEMBER to wash your hands after using rest/break rooms, and be sure to SANITIZE your hands before entering the warehouse & manufacturing areas. Sanitizing stations have been set up throughout the plant, including all three entryways. Keep your hands cleaned and sanitized to prevent the spread of microbes and other germs, and promote a safe & healthy workplace. Second floor employee entryway is set up and ready for use, making it easy to comply with our GMP's and House rules.

∙ Main entryway is completed and shall be used by all visitors. ∙ Personal Safety and Hygiene supplies are available. ∙ R&D entryway is set up and ready for use. ∙ Second floor employee entryway is set up and ready for use. If you have any suggestions for improvements please let a team member know.

The first Q-Squared Luncheon meeting is scheduled for May 18, 2006. All employees are welcome to attend this informal lunch-time meeting. The luncheon will be hosted by Gary Casterlin and Stephen Paolicelli. It is designed to provide a casual forum to talk about Q-Squared issues, such as hygiene, current & further facility improvements, training, and your ideas. Time: 12:00 Place: first Floor conference room Please RSVP to Mary Conklin by close of business May 15th - as lunch will be provided for all.

What do you know about Q Squared? Have you heard the message? What is the message? What is the importance of Q2? Will it help us? How? If you can confidently answer these questions then your Q2 IQ board lines Genius. If you are unsure of answers for any of the above questions please see Stephen Paolicelli or any other team member. We will be happy to sit down with you and talk about this important initiative.

• Individual meetings with employees identified in the first round communication grid continue. Initial meetings should be completed this week. • Ken's operations training on Q2 auditing was a real "eye-opener" for those who participated in the training. It takes auditing to a more detail level / perspective (a new dimension!). • Second communication grid identifying management & office personnel was handed out. Employees were assigned to team members. • Gary led the team through two sections of the 2003-2005 Corporate Q2 Audit Recommendations Review, focusing on; continuous attention to GMP's, using internal audits as a means of continuous improvement. Other sections will be discussed in upcoming meetings.