ISMEA - Coronavirus Updates, July 2Nd

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Global Novel Coronavirus Update July 2, 2020 "This update contains information we have gathered from various public sources and share with you to the best of our knowledge, but we cannot guarantee it is complete or in all cases accurate. Moreover, the market is changing rapidly currently; statements in this document may quickly be superseded, despite our best efforts. Nothing in this document can be taken as a contractual undertaking.” "This presentation contains information we have gathered from various public sources including reference materials, webinars and share with you to the best of our knowledge, but we cannot guarantee it is complete or in all cases accurate. Moreover, the market is changing rapidly currently; statements in this document may quickly be superseded, despite our best efforts. Nothing in this document can be taken as a contractual undertaking.” Number of confirmed COVID-19 cases reported in the last seven days by country, territory or area, 23 June to 30 June*

*WHO Website

Proprietary and Confidential: This presentation may not be used or disclosed to other than employees or customers, unless expressly authorized by UPS. 7/1/2020 2 7/02/2020June 18, 2020 © 2018 United Parcel Service of America, Inc. UPS, the UPS brandmark, and the color brown are trademarks of United Parcel Service of America, Inc. All rights reserved. UPS Global Freight Forwarding

Our highest priority is to protect the health and safety of our employees, customers, and suppliers. UPS® is confident it can do so while maintaining global operations, except where constrained by government restrictions or other circumstances beyond its control. The Novel Coronavirus pandemic has created unprecedented complexities, which have required us to constantly reassess our operations and take mitigating actions to minimize disruption to our customers.

Stay informed • Register to receive important communications from UPS • Find the latest information on Air Freight Capacity Surcharge • Track shipment status through UPS Flex Global View® • See how UPS Supply Chain Solutions is responding the coronavirus • International Air Transport Association (IATA) – iata.org • World Health Organization (WHO) – who.int

Promote supply chain continuity • UPS has an integrated global network of supply chain solutions • Air freight • Ocean freight • Preferred LCL • Small package • Warehousing & fulfillment

Proprietary and Confidential: This presentation may not be used or disclosed to other than employees or customers, unless expressly by UPS. Proprietary and Confidential: This presentation may not be used or disclosed to other than employees or customers, unless expressly authorized by UPS. 3 7/02/2020June 18, 2020 ©© 2017 2020 United United Parcel Parcel Service service of America, Inc. UPS, the UPS UPS brandmark,brandmark, the the color color brown brown are are trademarks trademarks of ofUnited United Parcel Parcel Service Serviceof America,of America, Inc. Inc. All rightsAll rights reserved. reserved. This update contains information we have gathered from various public sources and share with you to the best of our knowledge, but we cannot guarantee it is complete or in all cases accurate. Moreover, the market is changing rapidly currently; statements in this document may quickly be superseded, despite our best efforts. Nothing in this document can be taken as a contractual undertaking.” Europe - Coronavirus Updates, July 2nd Lockdown Countries Current Situation Status • Russia: Russia • New cases highest in Moscow city and region • St. Petersburg, Irkutsk Region, Khanty Mansi Autonomous MEDIUM Ukraine Region and Nizhny Novgorod Region are also having high number of new cases

• Luxembourg: • Emergency measures ended on June 24th • New laws on mass gatherings, wearing of masks and maintaining Romania a social distance in place UK • Austria: Spain • All land borders have opened, but entry to the country is still France limited until further notice. Germany • Travellers from Gütersloh, Germany must present a negative Italy PCR test for COVID-19 dated no more than 48 hours. LOW Austria • All stores and hotels open at this time and religious services are Bulgaria allowed Greece • From August 1st, indoor events for up to 250 people will be Netherlands allowed Belgium • Sweden: Sweden • Official reports are showing a slow decline in the number of serious cases • The travel ban on non-European Economic Area (EEA) citizens remains in place until August 31st

No information available

• EU lifts travel restrictions for 15 countries from 1 July • Germany takes over EU presidency with focus on Europe’s • Air Freight: UPS operations working normal. Adjusting the recovery routing of the freight, in order to have commercial uplift done • European Union bars travelers from U.S. citing coronavirus effectively concerns • Ocean Freight: UPS operations working normal. Ports fully • Air France could cut thousands of jobs by 2022 functional. Currently no backlogs • Brussels Airport struggles as EU mulls borders reopening

Air Freight Updates Ocean Freight Updates

• Port of Belgium, France, Germany, Netherland & Finland • IATA: Airfreight market improved, but a full recovery will take are severely constrained time • Port of UK, Ireland, Denmark, Sweden, Norway, Turkey, • IAG Cargo: Italy & Spain are working without any constraints • Additional freighters from LHR-ATH/AMS • Additional freighters from MAD-LHR-MAD • Freighters available from LHR-DME/LCA/MAD/ZRH Inland Transportation • Cathy Pacific: Scheduled flights to London (LHR), Amsterdam, Frankfurt in July • Air Cannada: Scheduled inbound flights from • Montreal to Brussels/Frankfurt/Paris • Toronto to Frankfurt/London/Heathrow/Munich • The situation at the borders remains stable, border waiting • Vancouver to London/Heathrow times on some borders — e.g. DE→CH, FR→CH and RO→HU — are long

Lockdown Countries Current Situation Status • India: • A large trial called Project Platina on plasma therapy has been launched in Maharashtra state India • Several states re-imposed full or partial lockdown Sri Lanka including Assam, Jharkhand, Tamil Nadu and West Pakistan Bengal • Schools in the capital city will remain closed till end Iraq HIGH of July Afghanistan • Mozambique: The state of emergency extended until Kuwait the end of July Angola • Nigeria: The Nnamdi Azikiwe International Airport in Abuja re-opened • Algeria: All borders closed (air, land, sea) until the COVID-19 crisis ends Saudi Arabia • Saudi Arabia: Bangladesh • Very limited number of people to be allowed for UAE Hajj pilgrimage this year Guinea • Congo: MEDIUM Congo • On June 26th the WHO declared the end of Egypt the Public Health Emergency of International Uganda Concern (PHEIC) for Ebola in DRC

Ghana • Ghana: Restrictions on land and maritime borders LOW Botswana

No information available

• Africa: • Human trials of the ChAdOx1 nCoV-19, developed by the University of Oxford, have begun in South Africa • Air freight : • This will be the first COVID-19 vaccine trialed in Africa • UPS working but some delays expected due to local • Iran: condition • Provinces with “red level” COVID-19 outbreaks will be • Ocean Freight: Running unconstrained allowed to re-impose restrictions • Local transportation causing delays due to restrictions • Mask wearing will become compulsory in indoor gathering places until at least July 22nd

Air Freight Updates Ocean Freight Updates

• Port of Rwanda, Congo, Tanzania, South Africa, Pakistan, UAE, Egypt & Oman are operational but service constrained • Qatar Cargo boosted by bellyhold and freighter operations • Ports of India, Kuwait, Bahrain, Saudi Arabia, Qatar, • Bangladesh: Flights to the UAE have become operational Zambia, Kenya are working without any constraints since June 24th • IAG Cargo: • Scheduled freighters from BLR/BOM/DEL/HYD-LHR • Scheduled freighters from JNB/ NBO-LHR Inland transportation • Cathay Pacific: Flights scheduled to Mumbai, New Delhi

• Final delivery delays of Air / Ocean may happen due to border constraints

Lockdown Countries Current Situation Status

Philippines • Myanmar, Singapore & Philippines: Stay- Singapore At-Home order MEDIUM Indonesia • Indonesia: Only essential services working in Myanmar some parts of the country

Australia Cambodia China Hong Kong Japan • Open for business with social distancing and LOW Malaysia other restrictions South Korea Taiwan Thailand Vietnam

Proprietary and Confidential: This presentation may not be used or disclosed to other than employees or customers, unless expressly by UPS. Proprietary and Confidential: This presentation may not be used or disclosed to other than employees or customers, unless expressly authorized by UPS. 8 7/02/2020June 18, 2020 ©© 2017 2020 United United Parcel Parcel Service service of America, Inc. UPS, the UPS UPS brandmark,brandmark, the the color color brown brown are are trademarks trademarks of ofUnited United Parcel Parcel Service Serviceof America,of America, Inc. Inc. All rightsAll rights reserved. reserved. This update contains information we have gathered from various public sources and share with you to the best of our knowledge, but we cannot guarantee it is complete or in all cases accurate. Moreover, the market is changing rapidly currently; statements in this document may quickly be superseded, despite our best efforts. Nothing in this document can be taken as a contractual undertaking.” APAC Update for July 2nd Socioeconomic Updates UPS Operations** • Thailand: Emergency Decree is extended until end of July • Night curfew is lifted • Domestic travel restriction is lifted • Inbound International PAX flight ban still ineffective • Air Freight: Charters available • Vietnam: • Ocean Freight: Available capacity • Civil Aviation Authority of Vietnam affirmed there is no • Rail/Ground: Export shipments available, but limited for restriction on any international air route and that it is some countries up to airlines to decide whether they want to resume regular flights. The first post-pandemic commercial flight from JP-VN has departed last Thursday

Air Freight Updates Ocean Freight Updates

• China: Air Cargo operates regular weekly flights to/from China Carrier blank sailings still expected in July. Some carriers will re- • Japan: some routes remain reduced instate several sailings to meet the demand growth on certain • New Zealand: Reduced international flights locations • Malaysia: limited schedule • Philippines: reduced cargo flights

Rail Updates

• Malaysia: Road closures, roadblocks and checkpoints have been implemented across the nation. Limited transit between Brunei and Malaysia.

Socioeconomic Updates UPS Operations**

• Economic recovery is stalling as infections rise in the U.S • US excluded from EU travel as it reopens borders • Air Freight: Fully operational • US, Canada and Mexico extend border restrictions for 30 • Ocean Freight: Fully operational more days • Rail/Ground: Fully operational • UK travelers still banned from the US amid COVID-19 concerns

Air Freight Updates Ocean Freight Updates

• New cargo inspection program to cut wait times at Texas • Airlines restore some service, but finances remain grim border port. • E-commerce drives multipronged expansion at UPS Airlines • Port of New Orleans railroad upgrades locomotives • Air hub is responsible for making Louisville the fourth-largest • World container index – PVG to LA = down / PVG to NY = cargo airport in the world. down / PVG to RTM = stable

Inland transportation

• US-Mexico truck crossings decline 22% at Port Laredo

• Canada extends ban on foreign travelers to July 31 • Canada, US and Mexico extend border restrictions for • Air Freight: Reduced flights 30 more days • Ocean Freight: Port restrictions • Toronto makes it mandatory to wear a mask in indoor • Rail/Ground: Customs operation impacted public spaces • Canada Shifts to Maritime for PPE Import

Ocean Freight Updates

Air Freight Updates • Ports are operational. Cargo transportation is still allowed • Slow in/out processing and delays in customs clearance

Inland transportation Air Canada ending service to 8 cities, suspending 30 regional routes.

• Daily pickups and deliveries except where restrained by government

• Mexico, US and Canada extend border restrictions for 30 more days • Air Freight: Reduced flights • Parts of Latin America reopen as crisis deepens • Ocean Freight: Port Restrictions • Brazil overtakes Spain and Italy as virus cases grow • Rail/Ground: Customs operation impacted • US suspends travel from Brazil for foreigners

Air Freight Updates Ocean Freight Updates

• Ocean Port Restrictions (3 countries: DO, HN, PR) DO: Operations had been restricted up to 6pm HN: Limited service to Puerto Cortez Port PR: No passenger vessel allowed

LATAM Common Carriage flights were reduced or forbidden to/from US, Europe & Asia (19 countries: AR, Inland transportation BO, BR, CL, CO, CR, DO, EC, GT, HN, NI, PA, PE, PR, PY, SR, SV, UY, VE)

• US-Mexico truck crossings decline 22% at Port Laredo • Customs operation impacted (9 Countries: AR, CR, DO, EC, GT, PA, PE, SR, VE)

• Official sources (WHO, Governments, etc.), ** UPS Internal Sources Seabury

• Carriers • Sky cargo • Emirates • Lufthansa

• News Media Brussels times New York Times BBC News Times of India