WE CREATE MOTION

3 – 01 | 75 –

Foreword Dear colleagues, partners and family, It brings me great pride and joy to celebrate 75 years of FAULHABER with you. The famous inventor Thomas Edison once said: ‟Genius is one percent inspiration and 99 percent perspiration.” History is littered with great ideas – but if no one is there to bring them to life and make them a success, they remain just ideas. Ever since it was founded by Dr. Fritz Faulhaber sen. in 1947 in post-war Germany, our company has not only overcome the challenges of its 75-year history, but also turned these chal- lenges into success by learning from this history and keeping its gaze firmly on the future. Therefore, this year, when we look back on the past as a company, family and team, we should all take inspiration from the next great ideas that we can bring to life and that will help to shape our own future and that of subsequent generations. As FAULHABER, we proudly look back on our company history, which is filled not only with ground-breaking inventions and innovations, but also – and especially – with the creative and can-do spirit of every individual member of our team that has made our company the success it is today. We can all truly say: WE ARE FAULHABER 5

The idea: When developing an innovative camera for the renowned customer Voigtländer, Dr. Faulhaber played with the idea of using an electric motor to advance the film – but this proved impossible with the technology available at the time. However, the idea stuck with him. He decided to find a solution himself. The problem: Most DC electric motors have a winding around a T-shaped iron core. The disadvan- tage of this design is that a cogging torque disrupts the concentricity and, due to the mass, the motor reaches its final speed slowly and is inefficient, therefore also consuming a lot of power. To Dr. Faulhaber, one thing was clear: The iron core had to go. He wanted to produce a self-supporting basket winding or bell-type armature winding, without the disruptive winding overhang and/or space-consuming coil support that were common at the time. In 1958, he had a breakthrough and submitted the patent application for an ‟electric motor with an ironless coil with self-supporting skew winding.” The patent was granted in 1965. 7

On July 21st, 1969, after a five-day-long flight, the commander of the Apollo 11 mission, Neil Armstrong, became the first human to set foot on the moon, with the words "That's one small step for man, one giant leap for mankind." The recording shows his pilot, Buzz Aldrin, who was the second human to walk on the moon. 5 7 | 2 2 –ʼ69 –

5 7 | 9 0 –ʼ56 – In May 1956, Dr. Faulhaber sold the workshops to the company Ferdinand Wagner (Pforzheim) for the time being. He was used to making a note of his ideas on the back of calendar pages, packing paper and old cardboard boxes due to the initial shortage of resources and wanted to dedicate his efforts to new precision technical inventions. Later, the business was continued by Dr. Faulhaber and his first employees in one remaining room. The female employees who worked in production from this time onward had particularly strong fine motor skills that were very helpful for carrying out the delicate work processes. 5 7 | 9 0 –ʼ56 – In September 1956, an assistant was hired: Karl Bessey, who had al ready trained as an apprentice precision mechanic in the Feinmecha nische Werkstätten from 1950. He initially worked for the business in Vogelsang in Schönaich, where he collaborated with Dr. Faulhaber and an engineer from Voigtländer to further develop cameras – and micromotors. 11

5 7 | –ʼ60 3 1 – The advantages of the new motor technology were quickly recog- nized. At that time, batteries offered little capacity, so drives with high efficiency, low energy consumption, high dynamics and a low weight were in high demand. The first big series customers included Graupner; the company required motors for steering gears and propeller drives for model airplanes. #seriesproduction #usa #innovation #relocation #bigcustomers –ʼ61 4 1 – 5 7 | With MicroMo Electronics Inc. in Shaker Heights, Ohio, the first sales subsidiary was founded in the USA in 1961. From there, drives were then sold primarily in the medical and aero- space (NASA) sectors. 13

–ʼ65 5 7 | 8 1 – From 1965, the French company Beaulieu was already using three FAULHABER motors in a single film camera: For the zoom, autofocus and film advance. Very quickly, high quantities were produced for these applications. e t o n e d S i FAULHABER blue: Initially, the motors were supplied with a ‟black oxide coating” or with ‟nickel plating.” The quality of one was insufficient, the cost of the other too high. Based on these criteria, the technical coating method of ‟zinc plating and passivating,” otherwise used for building hardware and similar products, was ad- visable: yellow, iridescent, visually far from appealing – but the best that there was. However, in terms of esthetics, Dr. Faulhaber was not satisfied with this solution. As a compromise, all flange parts were given an eye-catching blue covering: ‟FAULHABER blue” was born. Previously, flange parts had been left untreated; later, they were covered in industrial black, like all motors. With the sale of 310,000 motors, the sales figures had increased tenfold since 1960. 5 7 | 2 2 –ʼ69 – 15

I began my training to be a precision mechanic at FAULHABER (which was still Dr. Fritz Faulhaber Fein- mechanische Werkstätten at the time) in 1950 as the result of an acquaintance's recommendation. When Dr. Faulhaber worked for the company Voigt- länder, I became his assistant. In the subsequent period, we developed tools and machines for micromotors as well as the micromo- tors themselves. In 1957, I became plant manager. The working conditions were – to put it mildly – unconventional: Parts of the company were housed in the residence of Dr. Faulhaber, where we also received customers. Dr. Faulhaber encouraged my professional develop- ment, but on top of this, we also had a good personal relationship. For example, we went skiing together and after he moved, I visited him regularly for meet- ings in Switzerland. I will end with a brief anecdote that I remember well: Once, Dr. Faulhaber called me from the USA. There were problems with IBM in Lexington. He asked me to get straight on a plane and come to him as quickly as possible. Naturally, I set off, and I made numerous stopovers at various airports before actually arriving at my destination – which was no small feat as, at that time, I still didn't speak a word of English. 17

Progress needs change The reform policies of the President of the Soviet Union Mikhail Gorbachev fueled the hope for freedom among people in East Germany. The mass exodus of East German citizens to the West, a new opposition movement and the Monday demonstrations put pressure on the East German govern- ment. On November 9th, 1989, the Berlin Wall finally fell as part of a peaceful revolution. 5 7 | 2 4 –ʼ8919 –

e t o n e d S i Custom made: In the mid-1970s, the first customer-specific drives – motors designed to be used solely by one customer – were developed and manufactured. Even now, the customer-specific miniaturization of complex electronic and mechanical systems holds enormous innovation potential for numerous industries. 5 7 | 7 2 –ʼ74 – In 1974, FAULHABER developed the color zone motor for the company Heidelberger Druckmaschinen. Initially with a standard solution and later with a special drive unit with integrated potentiometer feedback gear- head, one of the most successful customer develop- ments was created. It enabled the automation of color zone adjustment, which had previously been performed manually. 21

5 7 | –ʼ80 3 3 – Dr. Fritz Faulhaber jr., the son of the founder, who until then had been driving forward the business activities of MicroMo in the USA, joined the corporate management. 23

e t o n e d S i In the 1980s, automation in production increased; assembly line manufacturing was used for some products. More and more new production facil- ities were required. As the company could not buy machines for the skew winding that it had patented itself – and nor did it want to – it developed its own flyer- and linear-winding machines in large numbers and built all control- lers in-house too. The plastic injection technol- ogy was improved by purchasing cutting-edge Arburg machines. At this time, the first brushless DC-servomotors were also developed. 5 7 | 8 3 –ʼ85 – IT – then still called electronic data processing – found its way into the production planning system The new setup revolutionized the way in which the company was organized: card index boxes disap- peared and screens took over the desks; everyone had to change their approach and learn how to use a mouse and keyboard. #chickenbonus #rationalization #IT #2000000 –ʼ89 5 7 | 2 4 – At this point, the company employed 220 people and sales exceeded the two-million mark for the first time. Large volumes were being sold to customers in the security sector, for example RACAL, 3M, Dalton and Sensormatic, for applications such as helmet ventilation, respirators and surveillance cameras. 25

I joined FAULHABER in 1983 as a toolmaker. We had just bought a house and, since FAULHABER was offering 1 DM more per hour, I accepted. The start wasn't particularly promising: On my first workday it was raining and I found that my workstation in the workshop was wet – I immediately learned the meaning of the company's nickname ‟Vereinigte Hüttenwerke” (a play on words: The full phrase means ‟Integrated Iron and Steel Works,” but ‟Hütte” also means ‟hovel” in German). My first task wasn't in the job description either: Getting up on the roof and plugging the leaks. Things got better after that. Just one year later I was made deputy manager of final assembly. Over the course of my career, I have had many interesting roles where I have been able to contribute to the success of the company in a position of responsibility. An important event in my career was when the former managing director, Mr. Willi Rebmann, handed over the new time management department and the over- haul of the workstations to me. This resulted in new ideas on modern assembly methods and automation, whose implementation I was heavily involved in (DEMO, WESI, KOMA, FAME, AMOR, MOND, INKA …) In my opinion, the most important achievement is that we combined the various companies as FAULHABER Drive Systems under the leadership of Dr. Fritz Faul- haber, Mr. Frech-Walter and Dr. Bertolini: one company – one ownership – one strategy. As a result, we are now able to utilize the company's full potential. 27

Success stories are a team effort For over 40 years, between 1949 and 1989/90, Germany was divided into two states: The democratic Federal Republic of Germany in the West and the communist dictatorship of the German Democratic Republic in the East. Far-reaching political reforms in the Soviet Union and its satellite states led to a peaceful revolution by the courageous citizens of East Germany and, after the fall of the Berlin Wall, to the reunification of the two German states on October 3rd, 1990. 5 7 | 2 6 –ʼ09 – w

5 7 | 0 5 –ʼ97 – Despite significant automation, coil production at the location in Schönaich still required a lot of manual work: The application of epoxy with a brush and the assembly of gearheads were difficult to automate but contributed considerably to the final price. To counteract the growing cost pressure, FWT founded a contract processing company in Albertirsa, Hungary, not far from the Ferihegy International Airport. In autumn 1997, the company, Ikertechnika Kft., com- menced operations with seven employees. e t o n e d S i Under the management of Hubert Renner, a brand-new, highly organized concept was created for cutting-edge, partially automated production, while a CAD-supported devel- opment department was also set up. A modern machine could cope with eight million units per year, delivery times that were nowhere near reasonable with manual production. By then, delivery times were crucial because customers were demanding shorter delivery periods for smaller quantities – and the same prices. In the 1980s, a delivery time of 25 weeks was entirely normal for 1,000 units, but now it was to be less than four weeks for just 50 units – at prices appropriate for orders of 10,000s: Flexibility was becoming ever more important. Logistically, the requirements could only be met with a modern SAP system, particularly as the stock stored in-house was to be kept to a minimum – as were the storage costs. It was not possible to achieve all these goals. A lot of thought was put into whether and how the warehouse should also be automated; this was especially relevant considering the numerous order-picking errors, some of which had serious consequences, caused by parts that looked similar: Mix-ups were an all-too-human mistake in this case. The masterstroke was to gradually introduce an additional machine every two years, thereby ensuring the quality desired by the customer and avoiding the impact of human errors as much as possible. 31

5 7 | –ʼ01 4 5 – FAULHABER developed a customer-specific drive module for an innovative blood glucose meter and produced the entire assembly. #worldrecord #cad #assemblies #expansion 5 7 | 6 5 –ʼ03 – The microsystems business division of Myonic AG is adopted into the FAULHABER Group as ‟MPS Micro Precision Systems AG” (Switzerland). MPS forms the framework for a group of companies with a total of 400 dedicated and highly qualified employees at the time of the takeover. These employees develop and produce micromechanical solutions for demanding markets: The watchmaking industry, automation, medical and orthopedic instruments and the defense industry. For this, the company draws on its 80 years of experience in the areas of miniature bearings and ball screws, high-tech production and assembly, as well as its long-term partnerships with customers and suppliers. 33

5 7 | 1 6 –ʼ08 – State-of-the-art coil winding machines, such as the LION, take over coil production for the BX4 series. #romania #60years #expansion #awards 5 7 | 2 6 –ʼ09 – The company received the TOP 100 Innovation Award for the first time – three further awards followed by 2020. 35

I actually joined FAULHABER by chance – I was lite rally just driving by. From the car, my passenger pointed to the company building and said that I could work there. I then applied blindly and was actually hired to work in production. To start with, I worked in winding – that means coil production. A few promotions later, I became production supervisor. A helpful mentor during my career was our wonderful shift supervisor, Mr. Alfred Bauer, who always was on hand to patiently provide me with advice and support. One of the first highlights for me personally was the relocation of flat motor production to Hungary because I was allowed to go there to train our local colleagues. The period after 2009 was very emo- tional for me too because unfortunately FAULHABER had to let some people go for the first time due to the lack of orders. But things improved again after that. I have experienced every phase of automation and production modernization that has ensured that we are still competitive today. On the whole, I can say that I have grown professionally and as a person during this time. I have learned to work with all kinds of people, to organize myself efficiently and to take responsibility for my team – my ‟girls” – and I have made many friends. 37

Drawing on tradition, yet ready for the future In June of this year, Elizabeth II, Queen of the United Kingdom, celebrated her 96th birthday, but also her 70th jubilee. This made her the longest reigning monarch in British history. The occasion was celebrated with a four-day program and an extra public holiday for ‟her subjects.” 5 7 | 5 7 –ʼ22 39 –

5 7 | 7 6 –ʼ14 – At the end of May 2014, the space probe Rosetta turned onto a flight path toward the comet 67P/Churyumov-Gerasimenko to approach the comet and then map it in August, thereby preparing for the landing of Philae. On November 12th, after an eventful journey of over 10 years, the 100-kg ballistic lander touched down on the comet – with FAULHABER motors on board. 41

#newmarkets #climateprotection #newcustomers –ʼ16 5 7 | 9 6 – When the flat roof of one of the buildings in Schön- aich was due for renovation, FAULHABER decided to contribute to climate protection and have a photo- voltaic system installed on the new roof. The 576 individual modules on a surface of 928 square me ters – the equivalent of roughly 3.5 tennis courts – supply up to 147,339 kilowatt hours of solar energy per year. All this energy is to be used by the company itself. This measure contributes at least 4.3 percent of the company's overall power consumption and saves 88 tonnes of CO2 each year. e t o n e d S i At the start of the new decade, FAULHABER was following a more dynamic strategy for entering new markets. New market opportunities were to be identified earlier, target industries defined and new products specially developed to meet the requirements of each industry. FAULHABER now has a particularly strong presence in medical technology: Drives are used in everything, from laboratory automation with analysis devices, surgery with operating room robots and intracardiac pumps to new technologies in implantology and prosthetics. In addition to medical technology, aerospace and automation technology are important markets that benefit from solutions developed by FAULHABER to meet the market's specific needs. Passengers' expectations regarding comfort and usability on board airplanes are continuously rising. Operating functions that were previously per- formed manually are rapidly becoming automated. Therefore, the aerospace industry is looking for lightweight, energy-saving and yet powerful drives. This is where FAULHABER comes in. Even on the ground, supposedly small market niches offer potential: For example, the tattoo scene is experiencing a real boom. Lightweight, ergonomic tattoo machines that enable long, fatigue-free operation are in particularly high demand. 43

#politics #mourning #celebration 5 7 | –ʼ18 1 7 – In the ‟Factory of the Year” competition, FAULHABER claimed the top prize in the ‟Outstanding small-batch production” catego- ry. The jury was convinced above all by the continuous quest to improve processes, the strong automation and the synchronisation across all production locations. 45

5 7 | –ʼ20 3 7 – Like the Olympic Games, the Cybathlon competition is held every four years. The athletes participate in six different disciplines. In the ‟Wheelchair Race” category, pilots with a severe walking disability complete a de- fined obstacle course in a motorized wheelchair. Having already won two first place trophies, this is the main discipline for the HSR Enhanced team of the University of Applied Sciences Rapperswil and its sponsor and drive partner FAULHABER. 5 7 | 5 7 –ʼ22 – In January 2022, due to retirement, the previous managing directors, Dr. Thomas Bertolini and Gert Frech-Walter, handed over the reins to the new five-person management team around Karl Faulhaber. During their time at the company, the two men succeeded in realizing their vision of synchronous production across all locations, as well the integration of the international subsidiaries into the FAULHABER Group. The new leadership team comprises Karl Faulhaber (Sales, Marketing), Hubert Renner (Order Management), Markus Dietz (Finance, Controlling), Lutz Braun (HR, Legal) and Dr. Udo Haberland (R&D, Innovation) and, in the anniversary year, has received from their predecessors a leading company that has received many awards in its field. 47

After hearing only positive things about FAULHABER from my acquaintances, I applied online via the homepage – as you can see, it worked. This year, I took the exam to become an industrial clerk. Prior to this, I gained experience of the usual departments. I must say that my trainer, Mr. Maier, and the employees responsible for training in all the departments truly supported me well throughout. Mr. Chiavola in particular helped me to prepare as well as possible for my oral exam. The other col- leagues in the departments were also very kind – but I had the most fun working in sales. There are two events from my training period that I will remember for a long time: When I left the order processing department, all my colleagues, including those from shipping, came together and gave me a gift – I was very touched. The other story was really funny: I was in charge of reception when the phone rang. When I answered, the caller explained his tooth pain to me in great detail because he thought Dr. Fritz Faulhaber was a dental surgery. 49

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