1. Motor Manufacturing, West Virginia, Inc.
Manufacturing: National and International Trends in Auto Industry and Manufacturing
Millie Marshall, President
Toyota Motor Manufacturing, West Virginia, Inc. (TMMWV)
WVEDC Annual Conference
September 23, 2014

2. Agenda Auto Industry Toyota in North America International Companies
Motor Manufacturing, West Virginia, Inc.
Auto Industry
Toyota in North America
International Companies
Toyota West Virginia (TMMWV)
Women in Manufacturing

3. Auto Industry in North America
Motor Manufacturing, West Virginia, Inc.
Auto Industry in North America

4. Auto Industry Update North America The U.S. economy is growing
Motor Manufacturing, West Virginia, Inc.
The U.S. economy is growing
Much of the economic activity over the past several years has been led by auto manufacturing and sales.
Good News – Analysts expect sales to top 16 million units in 2014　　　　　　

5. A Look at 2014 North America GDP Growth Forecast +2.5 to 3%
Motor Manufacturing, West Virginia, Inc.
A Look at 2014
GDP Growth Forecast +2.5 to 3%
Building Consumer Confidence
Auto Loan Rates
At Historic Lows
Home Builder
Confidence
8 Year High in Dec.
Unemployment
5 Year Low at 6.7% 5

6. 2014 Sales Forecast North America +2.6% +4.5% INDUSTRY 2014 2013 2014
Motor Manufacturing, West Virginia, Inc.
2014 Sales Forecast　
+2.6%
16M
2014
Toyota Motor Sales
INDUSTRY　
15.6M
2013
+4.5%
2.3M
2014
2.2M
2013 6
Source: TMS DOD December 2013 6

7. Toyota in North America
Motor Manufacturing, West Virginia, Inc.
Toyota in North America

8. Strong Momentum For Toyota
Motor Manufacturing, West Virginia, Inc.
Outperforming The Industry
America’s Best-Selling Car
2014 Sales Forecast
2.3 million vehicles
11 Years in a Row
60% Hybrid Market
We believe Toyota is well-positioned to have a successful Plus, we have great momentum on our side.
First: We expect to outperform the industry. In the U.S., we expect our sales to increase by 100,000 to 2.3 million vehicles.
Second: The Camry continues to be America’s best-selling car for the 12th year in a row.
Third: Toyota and Lexus hybrids account for 60 percent of the hybrid market. Cumulatively, we’ve sold nearly 2 and a half million hybrid vehicles in the U.S – the most among any automaker.
Fourth: Toyota continues to be the industry’s #1 retail brand (retail: to customers; non-fleet)
Fifth: In 2014, we’ll introduce 8 new or updated products including Corolla, RAV4, and Tundra.
#1 Retail Brand
8 New/Updated Products
RAV4
Tundra
Corolla

9. Localization Efforts North America
Motor Manufacturing, West Virginia, Inc.
Localization Efforts　
70% of vehicles made in N.A are sold in N.A.
Toyota Philosophy is to: Build Where We Sell
High Domestic Content
(Avalon, Camry, Sienna & Tundra: 75%)　 9

10. (Sales, Financial Services & Manufacturing)
North America
Motor Manufacturing, West Virginia, Inc.
Begin in 2017
(Sales, Financial Services & Manufacturing)
TMMWV
Toyota’s philosophy is to design, develop and build vehicles where we sell them (localization).
Today, we have 14 manufacturing facilities in North America (10 in the U.S.) labeled in yellow, blue and green - who produce vehicles, engines, transmissions, axles and aluminum wheels.
Alabama plant is the ONLY Toyota plant globally to produce 4 cylinder/V6/V8 engines.
Canada plant is currently the ONLY plant to produce Lexus outside of Japan.
By fall 2015, our Kentucky plant will begin producing Lexus ES 350 sedans.
Toyota Technical Center in Michigan now has 4 American chief engineers (Avalon, Sienna, RAV4 EV, Tundra, Venza)
TEMA HQ black star. We are responsible for Toyota’s engineering design/development, R&D and manufacturing activities across the continent and support our 14 plants. Our sales and marketing division is based outside of LA.
Vehicle Assembly
Component
R&D
Engine Assembly
Headquarters
Future Headquarter

11. North America $25 Billion 40,759 1.86 Million $32 Billion
Motor Manufacturing, West Virginia, Inc.
Total Investment　
Employment　
$25 Billion
40,759
$25
$20
$15
$10 $5
45,000
35,000
25,000
15,000
5,000
Toyota has a strong commitment to North America where we design, develop, build, sell and service vehicles for our loyal customers.
We have experienced a lot of growth in the region and continue to invest and hire locally.
Toyota in North America:
INVESTMENT: $25 billion (U.S. = nearly $20 billion)
EMPLOYMENT: Nearly 41,000 (U.S. = nearly 32,000)
PRODUCTION: 1.8 million vehicles
PURCHASING: $32 billion (part/materials/goods/services) from more than 500 supplier locations.
Not on slide: U.S. philanthropy: More than $700 million
Vehicle Production
Local Purchasing
1.86 Million
$32 Billion
2.0
1.5
1.0
0.5
$30
$25
$20
$15
$10

12. 6 Speed Auto Transmission
North America
Looking Forward　
Motor Manufacturing, West Virginia, Inc.
Lexus RX350
Transmission
Capacity Increases　
TMMC
TMMI
TMMAL
TMMWV
2014
2015
Lexus RX
Highlander
V6 Engine
6 Speed Auto Transmission
30,000 Increase　
15,000 Increase　
200,000 Increase　
240,000 Increase　
This year, we will be introducing significant changes on the Sienna and Camry vehicles. In addition we are preparing for more capacity increases on other lines.
We know this places a high demand on your resources. I appreciate your efforts to keep pace during the recovery. Many of your were or still are running at full capacity to support our growth.

13. International Companies
Motor Manufacturing, West Virginia, Inc.
International Companies

14. Total of 21 Japanese Companies 11 came after Toyota’s establishment
Motor Manufacturing, West Virginia, Inc.
Total of 21 Japanese Companies
11 came after Toyota’s establishment
7 are our suppliers

15. Motor Manufacturing, West Virginia, Inc.
What Factors Do International Companies Look For when Locating Facilities in the United States
Location to Supplier Base
Location to Customers
Access to Railways and Interstate Highways
Physical Site
Toyota North American Suppliers

16. Motor Manufacturing, West Virginia, Inc.
What Factors Do International Companies Look For when Locating Facilities in the United States
Available Utilities
>Electricity
>Natural Gas
>Water Supply Availability
>Site Drainage (storm water infrastructure)
>Telecommunication
>Water Mains & Storm drains
>Wastewater Facilities
AEP was strategically involved in Toyota’s site selection in 1996
Several groups within AEP, from land management to engineering and their executive leadership, got involved to make our project a success.
This first project in Buffalo brought 300 jobs and a $400 Million investment to West Virginia
Currently $1.3 Billion investment and over 1,300 jobs

17. Motor Manufacturing, West Virginia, Inc.
What Factors Do International Companies Look For when Locating Facilities in the United States
Environmental Conditions /Impact Fees
Local / State Officials who are good Collaborators
If a business operator believes he has to jump through many governmental hoops before the first shovelful of dirt is turned for an industrial facility, they may decide to go someplace with a friendlier atmosphere
Incentives*
* - Contrary to common belief – “Incentives”
are not high on Toyota’s List 17

18. Motor Manufacturing, West Virginia, Inc.
What Factors Do International Companies Look For when Locating Facilities in the United States
Strong Workforce
Necessary Job Skills
Communication
Problem Solving
Problem Identification
Teamwork 18

19. HOW CAN COMMUNITIES MARKET THEIR AREA TO FOREIGN COMPANIES
Motor Manufacturing, West Virginia, Inc.
Coordinate investments and align policies to support sustainable communities
Provide homes working families can afford,
Reliable and economical transportation options,
Shopping and other daily needs close to where people live,
Vibrant and healthy neighborhoods that attract young people and businesses.
Provide educational opportunities

20. A.M.T. (Advanced Manufacturing Technician)
Motor Manufacturing, West Virginia, Inc.
A.M.T. (Advanced Manufacturing Technician)
A special Associate Degree program providing a multi-disciplinary, technical foundation coupled with continuous, real-world working experience with a leading manufacturer.
Students will attend classes for 2 full days per week, with 8 to 10 contact hours of instruction each day.
Work experience includes 24 hours of paid work per week at Toyota.
Total earnings while in the AMT program $40,000

21. Preparing Students for Future Careers
Motor Manufacturing, West Virginia, Inc.
Preparing Students for Future Careers
Project Lead the Way
Classes offer students the opportunity to apply their math and science knowledge in a hands-on, practical setting.
With Project Lead the Way programs, student are exploring engineering at a younger age in hopes that they will chose engineering or other science fields as a career.
PLTW has worked in other States
True Outcomes survey of PLTW seniors at the end of their senior year found that:
93% intended to pursue a four-year degree or higher,
51% intended to pursue a graduate degree, and
70% intended to study engineering, technology, or computer science
Information From Wikipedia

22. Toyota West Virginia (TMMWV)
Motor Manufacturing, West Virginia, Inc.
Toyota West Virginia (TMMWV)

23. TMMWV’s Success in West Virginia
Motor Manufacturing, West Virginia, Inc.
TMMWV’s Success in West Virginia
In 1995, a team was identified to help determine the WV location for Toyota’s new 4 Cylinder Engine Plant which was a $400 million investment and added 300 new jobs
Site Selection Criteria Included:
200+ acres that could be developed for current and future needs
Availability of a strong workforce
Strong Rail and Interstate infrastructure
Close Proximity to Supplier Base
Support from State and Local Governments

24. Milestone & Project TMMWV Success in WV 24 Announcement
Motor Manufacturing, West Virginia, Inc.
10 year Anniversary
Announcement
Dedication
15 yr Anniversary
6AT capacity
expansion
Announcement of Lexus　
Groundbreaking
Announcement of AT Expansion
6AT capacity
expansion
Announcement of MZ
6AT Capacity
expansion
Announcement of Gear
Announcement of AT
10 millionth
ceremony ZZ ZR
cap. 411K/Year MZ
２GR
cap. 228K/Year
Gear
5AT cap.
191K/Year
6AT
Mid
501K
cap. 274K/Year
456K
741K
SOP-Jul 24

25. TMMWV Success in WV 8 Expansions Total Investment $1.4B
Motor Manufacturing, West Virginia, Inc.
8 Expansions 　
Total Investment $1.4B 　
Celebrated 10 Million Units produced in 2013
first plant outside Japan to achieve
this accomplishment
Employ over 1,300 Team members
Annual Payroll: $127.7 Million (including benefits)
15 Year Anniversary – Donations to Buffalo & Eleanor Fire Departments – TMMWV TMs are volunteers

26. TMMWV Success in WV Philanthropy $6.6 Million contributed
Motor Manufacturing, West Virginia, Inc.
Philanthropy $6.6 Million contributed
2013: Team Members volunteered
over 11,000 hours at non-profits
American Red Cross Blood Drive = blood donated in May will help more than 368 patients.
Green Acres Regional Center Tour
TMs participated in Special Olympics Golf Classic = over $825,000 raised since 1998
Arbor Day Buffalo High
Japanese Culture Presentation at a local elementary school

27. TMMWV Facts TMMWV Produce Powertrains for: > Venza > Sienna
Motor Manufacturing, West Virginia, Inc.
TMMWV Facts　
Produce Powertrains for:
> Venza > Sienna
> Avalon > Highlander
> Camry > Rav4
> Lexus RX > Corolla
V6 Engine
Vol: 233K/year
4 cyl Engine
Vol: 420K/year
6 speed AT
Vol: 501K/year

28. My Dream for TMMWV TMMWV
Motor Manufacturing, West Virginia, Inc.
My Dream for TMMWV　
"Expectation is for everyone to meet the company KPI’s in a Learning, Caring, and Inclusive environment”
1. Focus on continuing to bring new business to Buffalo
2. Strengthen On-the-Job Development　
3. Continue to be a strong community supporter
– Great Place to Live and Work!　
NPLD Volunteer Event

29. Women in Manufacturing
Motor Manufacturing, West Virginia, Inc.
Women in Manufacturing

30. Women in Manufacturing
Motor Manufacturing, West Virginia, Inc. %
Women in the labor force increased by 11% since 2004
Growth in past 3 years

31. Women in Manufacturing in N.A.
Motor Manufacturing, West Virginia, Inc.
Women in Manufacturing in N.A.
Manufacturing employs more than 12 million people in North America.　　
80% of manufacturers cannot find skilled workers* (600K unfilled manufacturing jobs in U.S.)　
*U.S.News & World Report’s STEM Solutions

32. Women in Manufacturing Women in Manufacturing in N.A.
Motor Manufacturing, West Virginia, Inc.
Women in Manufacturing in N.A.
Female grads account for 60% of U.S. bachelor‘s degree holders.
Women make up 50% of the workforce
Women make up only 25% of manufacturing workforce
*U.S.News & World Report’s STEM Solutions

33. Women in Manufacturing… What Can We Do?
Motor Manufacturing, West Virginia, Inc.
Women in Manufacturing… What Can We Do?
Must combat the industry’s “image” problem to attract more women
Manufacturing has changed dramatically - today’s jobs are high tech, safe and clean
Manufacturing jobs are innovative and rewarding with salaries and benefits above the national average

34. Women in Manufacturing
Motor Manufacturing, West Virginia, Inc.
Women in Manufacturing…. What Can We Do?
Encourage more girls to take STEM (Science, Technology, & Engineer Manufacturing)
Must Change Culture – Inclusive Environment (All viewpoints are equal)
Offer Child Care Option
Reward All TM’s on “Results” not time spent in office
Hold Mgmt Accountable for an Inclusive Environment.

35. Motor Manufacturing, West Virginia, Inc.
Questions?