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Global Novel Coronavirus Update Global Novel Coronavirus Update July 16, 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 Moreover, the market is changing rapidly currently; statements in this document may quickly be superseded, despite our best efforts.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 Moreover, the market is changing rapidly currently; statements in this document may quickly be superseded, despite our best efforts.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, 8 July to 14 July* *WHO Website Proprietary and Confidential: This presentation may not be used or disclosed to other than employees or customers, unless expressly authorized by UPS. 7/16/2020 2 7/16/2020June 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. Change in the Chain Webinar Series Webinar #1: The New Normal Join us as we discuss how COVID-19 has affected the global supply chain and RESERVE YOUR what the new normal might look like as we move forward. SPOT FOR THE Hosted by the UPS® Global Freight Forwarding leadership team, this webinar will UPS WEBINAR feature: Marco Bloemen Managing Director at Seabury Consulting Romaine Seguin President UPS Global Freight Forwarding Mike Harrell DATE President Global Freight Forwarding, Europe Thursday, July 23, 2020 TIME Jeff McCorstin 9:00a EST President UPS Global Customs Brokerage & North America Supply Chain Solutions REGISTER NOW Sebastian Chan President Asia Pacific Supply Chain Solutions © 2020 United Parcel Service ofProprietary America, and Inc. Confidential: UPS, theThis presentationUPS brand may mark not be and used the or disclosed color brownto other thanare employeestrademarks or customers, of United unless Parcel expres Sersly authorizedvice of America,by UPS. Inc. All rights reserved. 7/16/2020 © 2017 United Parcel Service of America, Inc. UPS, the UPS brandmark, 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. 4 7/16/2020June 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 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.” Global Air Cargo capacity is 29% below last year. Drop in Transatlantic (-52%) and LATAM capacity (-72%) continues. Air cargo capacity has been deteriorating for the last two weeks Proprietary and Confidential: This presentation may not be used or disclosed to other than employees or customers, unless expressly authorized by UPS. 7/16/2020 5 © 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. 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 16th Lockdown Countries Current Situation Status • Russia: • Situation in Moscow continues to improve Russia • People in the city will no longer need to wear a mask while MEDIUM Ukraine outside • Masks and gloves will remain mandatory when on public transport, shopping or in a medical centre. Romania UK • Iceland: • The citizens and residents of the country on arrival in Iceland Spain must undergo a second PCR test France • People tested positive should self-isolate themselves Germany • Switzerland: Italy • Increase in cases in July LOW Austria • The country is now classified as "increasing activity" Bulgaria • Spain: Greece • Over 2,000 cases were reported over the weekend of 11 and 12 July, the largest two-day increase since May Netherlands • The cities of Zaragoza and Huesca will return to phase 2 of Belgium lockdown Sweden No information available 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. © 2020 United Parcel service of America, Inc. UPS, the UPS brandmark, the color brown are trademarks of United Parcel Service of America, Inc. All rights reserved. 6 7/16/2020June 18, 2020 © 2017 United Parcel Service of America, Inc. UPS, the UPS brandmark, the color brown are trademarks of United Parcel Service of America, Inc. All rights 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 Update for July 16th Socioeconomic Updates UPS Operations** • Belgium ‘ready’ to take stricter measures if infections keep • Air Freight: UPS operations working normal. Adjusting the rising routing of the freight, in order to have commercial uplift done • Sweden no longer a ‘red travel zone’ for Belgians effectively • EU calls for increased flu vaccination ahead of second • Ocean Freight: UPS operations working normal. Ports fully coronavirus wave functional. Currently no backlogs Air Freight Updates Ocean Freight Updates • Lufthansa Airlines: • Scheduled full freighter service from FRA to BOM-HYD, BKK • Port of Belgium, France, Germany, Netherland & Finland • Delta Airlines: Scheduled freighters from are severely constrained • FRA/CDG/LHR/AMS to ATL • Port of UK, Ireland, Denmark, Sweden, Norway, Turkey, • BCN/DUB/FCO/MAD to ATL Italy & Spain are working without any constraints • AMS/CDG to BOS, DTW • LHR to DTW • AMS/CDG/DUB/FCO/LIS/MXP/TLV to JFK Inland Transportation • BCN/LHR/MAD to JFK • AMS to MSP/SEA • FRA to ORD/BKK • Cathy Pacific Airlines : Cargo PAX flight from AMS/FRA/LHR • The situation at the borders remains stable, border waiting times to HKG on some borders — e.g. FR→CH,DE→CH, RO→CH and RO→HU — • LATAM Airlines: Continue its service from FRA/LHR/MAD/LIS are long to GRU-SCL 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. 7 7/16/2020June 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.
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