Abstract: Each lead frame in a continuous strip of lead frames is formed with opposed pairs of integral and subsequently removable aligning tabs for locating a substrate on the lead frame such that leads of the lead frame and respective terminals on the substrate are in alignment. The aligning tabs initially are formed in the plane of the lead frame and subsequently are bent out of the plane of the lead frame so as to project from the lead frame for the reception of the substrate therebetween. The substrate is placed between the projecting tabs in an inverted position with the terminals on the substrate resting on inner free end portions of the lead frame leads. The lead frame then supports the substrate for movement through a series of processing stations, including a lead-terminal bonding station and a tab-removal station, as the continuous strip of lead frames is indexed in successive steps from a continuous lead frame supply.