The unfolding events since 28 February throughout the Middle East are disrupting businesses and private arenas broadly.

hubergroup is actively monitoring the evolving situation and its impact on trade routes and raw material supplies within the region and beyond. We are managing our supply chain to ensure minimal disruptions to our global operations by leveraging our backward-integrated production modes and utilizing alternative logistical paths to keep our manufacturing hubs running steadily. However, given the complexity of global maritime logistics and the rerouting of vessels, we do expect some delays in certain delivery schedules. We are committed to transparency and are communicating these shifts to our customers as soon as we gain specific clarity from our freight partners.

As in all prior geopolitical disruption, we have engaged into a 5-step action routine:

1. Daily top management monitoring and review
2. Selectively look for options in supply chain management to maintain deliveries
3. Securing critical raw material
4. Establishing an internal exchange between our sales force and the supply chain management team
5. Prioritization of most critical supplies

We are anticipating some impact and some second order effects that we want to clarify:

1. Shipping and logistics capacity, costs and rates
2. Raw material prices across several items along customer requirements
3. Broader uncertainties and volatility

However, we have to see that some delays are probably unavoidable. We will do our best to provide transparency and orientation in a regular manner. We value all the support from our customers, partners and vendors and hope that we will establish more clarity over the coming days.