cgannouncements

February 18, 2020

Operations Updates: Coronavirus Impact

Dear Valued Customer,

The dynamic coronavirus outbreak continues to disrupt life throughout the world, especially in mainland China. We mourn with the rest of the world for the lives lost, and keep the safety and health of the public, our employees and partners, and all of their families as our top concern.

As a customer of Colson Group, we write to you today to provide a summary of updates as it pertains to our operations in China and the potential impact this outbreak may have on our Chinese manufactured goods. We are in continual contact with our local teams in China and will keep you updated on any advancements that could further impact product deliveries out of China.

• Last week, Colson Group’s three Chinese facilities were all government approved to resume production—with safety being our top priority for our teams.
• Our supply chain is moving quickly in the right direction, with the government speeding up application approvals, but many suppliers are not fully staffed as their employees are continuing to return to work. We expect most employees will be able to return by early March.
• Completed products are being successfully transferred from our facilities to the port for shipment.
• Although currently assessed at low risk due to advanced planning for Chinese New Year, potential delays of Chinese products not already manufactured or on the water could be up to 30 days; we will be updating delivery dates throughout this week to provide advanced notice on potentially impacted SKUs.
• We continue to work closely with our supply chain to provide you with the best updates and will leverage our global footprint as much as possible to meet your requirements.

We ask that you please direct any question to your Regional Sales Manager or Account Manager and again thank you for your business and understanding in this difficult time.

Sincerely,

Colson Group