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18 January, 2006

Subject: Verified Counterfeit Product

To our Valued Customers,

As part of our preventive measures taken to avoid any counterfeit/remarked components, Pyramid is working closely with component makers and sharing critical traceability information. As we identify, segregate and verify bogus material, we will post Quality Bulletins that may be helpful for Customers to reference as necessary, and at their convenience.

Subject: Verified Counterfeit Product

Vishay P/N’s SI4404DY-T1, SI4830DY-T1....Lot Code V35D156.31 and Date Codes 0045, 0430

Littlefuse P/N’s P2300SCRP, P300SAMC....Lot Codes SRB012S2-3-05 and S-C11SZ-11-05

The last few incoming shipments of the above subject Vishay devices had arrived here at Pyramid Corporate with slight inconsistencies in the labeling. The product appeared to be in original Vishay packaging and looked very authentic, until we examined them very closely and compared them with bonafide original Vishay packaging and labels. Fortunately, the Vishay Tech Support staff is very cooperative, as a few other component mfg's have been (e.g. Littlefuse/Teccor, On Semi, TI, Murata), and they've assisted us in decoding the lot numbers and trace codes from the labels. Turns out that these last few shipments, from three separate suppliers, were indeed counterfeit product with incorrect and/or contradictory information neatly copied onto on the bogus labels to make them appear compliant with Vishay's marking and labeling schemes. Thus far, we have been very successful at recognizing, segregating and rejecting nonconforming components based upon the obvious cosmetic flaws or chemical residue left from the refurbishment or re-marking process. However, it is very disconcerting to note that the bogus product is becoming more and more difficult to detect as the perpetrators refine and improve upon their illegitimate handiwork.

Additionally, within the past few months, Littlefuse/Teccor has worked with Pyramid and their technical staff has been very supportive, as they have accepted samples from our suspect incoming shipments for evaluation and confirmed the two above subject SIDAC devices as counterfeit / remarked product.

The Pyramid Quality Team believes it is absolutely essential that, going forward, we continue to develop close working relationships with as many component makers as possible to help prevent the nonconforming goods from getting to any of our valued Customers. To that end, we are contacting various mfg's and asking for their assistance as we identify suspect material during receiving, in process, or shipping inspections.

Traditionally, for their own proprietary reasons, most component mfgs have been reluctant, to say the least, to share information with the Independent Distributor. Thankfully, that attitude has changed, albeit slowly, over the past few years and we are seeing more of the cordial cooperation demonstrated here by Vishay and Littlefuse. To be sure, there are still those Mfgs that do not reply to our email requests for help, but we are definitely getting more positive feedback from companies that would not have addressed our issues at all a few years back. Our ISO Registration and commitment to Quality may have some bearing on their increased cooperation. And perhaps the component makers are beginning to accept the fact that the Independent Distribution Industry is responsible for moving billions of dollars worth of various mfg's electronic components every year and we all share one basic goal; to provide Quality products and services to our respective Customers. As they witness their product being re-marked, re-packaged, or otherwise counterfeited and introduced into the Supply Chain, we would hope that they may eventually join with us to help stem the tide of fraudulent parts that only serve to tarnish their good reputations.

Pyramid’s Quality and Warehouse Teams will continue to improve upon our internal processes and procedures regarding this important issue and certainly welcome any Customer comments.

Nick Freischlag
Quality Assurance Manager
ISO Management Representative
Pyramid Technologies, Inc.



 

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