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October 26, 2005

Subject: European Union (EU) legislation on Restriction of Hazardous Substances (RoHS) – Lead Free Solder

To all our valued customers:

Beta Transformer Technology Corporation (BTTC) is responsive to the Electronics industry’s activities in moving towards lead-free solder, to comply with the European Union (EU) legislation on Restriction of Hazardous Substances (RoHS) effective July 1, 2006. For BTTC to attain this objective, it has been determined that we should establish the needs of our customers. This letter is to communicate BTTC’s position, interest and current status regarding the implementation of lead-free products.

BTTC has reviewed the EU RoHS Directive, which excludes materials used for military products. At the present time, BTTC will continue to manufacture product using tin-lead solder. There are no current contractual requirements imposing the use of lead-free solder. In contrast there are however provisions for continued use of lead-based solders from our customers. Nevertheless, if your company requires product to meet the directive, please propose such requests in writing to our Sales Representatives for our Engineering and Quality departments to evaluate. Requirements based on those requests along with the probability and cost for re-qualification, design verification for reliability, will be negotiated on a customer-to-customer basis and may take up to 6 months.

In regards to change requests for custom products, each case will require specific review by BTTC Engineering to establish if the change request or customer drawing, stipulates the type of lead-free solder to be used. If no customer drawing exists, than BTTC’s own internal documentation must be revised and new custom part number created. Nonetheless, a change request along with the type of lead-free substitute must come from the customer. Testing may be necessary and will be quoted on a customer-to-customer basis. Unit pricing and lead-time is dependent on the selection of lead-free substitute.

Beta Transformer Technology Corporation’s success in meeting this objective relies strongly on the partnership with our customers. By providing BTTC with alternatives to lead based solders compatible with product design and reliability, together we can meet the directives of RoHS.

Please submit all requests to your BTTC customer service representative. If you have any questions, please contact BTTC’s Sales Manager Peter Grennan, 631·244·7393 x7616, Email: grennan@bttc-beta.com.

Sincerely, Owen A. Hayes, Jr.
Manager, Quality Assurance

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