Abstract: An improved combination key and transporter assembly is provided whereby the head of the key includes an elongated slot that passes through the head. A carrier is molded into the slot disposed in the key head which includes a hollow interior bound by a plurality of tabs for frictionally retaining a transponder in the carrier. After the transponder is inserted into the carrier, the key head, carrier and transponder are inserted into a mold and an outer sheath is molded around the head, carrier and transponder. The resulting assembly has a slim profile and may be mounted onto a standard sized key chain or key holder. The assembly may be manufactured using an automated process without hand sub-assembly steps.