UPS Operations** Air Freight Updates

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Global Novel Coronavirus Update June 4, 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 Moreover, the market is changing rapidly currently; statements in this document may quickly be superseded, despite our best efforts.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.” 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

Note: Thickness of arrows is representative of capacity in metric tons, direct flights only. Source: Seabury

June 4, 2020 ProprietaryProprietary and and Confidential: Confidential: This This presentation presentation may may not be used oror discloseddisclosed to to other other than than employees employees or or customers, customers, unless unless exp expresslyres bysly UPS. authorized by UPS. 3 © 2020© 2017 United United Parcel Parcel service Service of America, of America, Inc. UPS, Inc. theUPS, UPS the brandmark, UPS brandmark, the color the brown color arebrown trademarks are trademarks of United of ParcelUnited Service Parcel oServicef America,of America, Inc. All rights Inc. Allreserved. 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, June 4th

Lockdown Countries Current Situation Status • UK: • Meeting six people from different household allowed, but only in parks or private gardens UK • Some primary schools reopened Romania • Wales announced opening of school at the end of June Russia • France: Ukraine • Travelers, with the exception of EU citizens or arrivals from the MEDIUM Turkey UK, will be subject to a compulsory 14-day coronavirus France quarantine until July 24th Spain • Beaches to reopen Poland • Spain: • Beaches set to reopen in June • From July 1st, EU travelers can enter without getting quarantine for two weeks

Germany Italy Austria • Germany: Nonessential travel prohibited at present, to be eased for Bulgaria EU countries from June 15th LOW Greece • Austria: Foreign travelers not under the latest authorities Netherlands exemptions, are barred from entering the country till June 15th Belgium Sweden

No information available

• Air Freight: UPS operations working normal. Adjusting the • Belgium announced phase 3 of lockdown exit plan routing of the freight, in order to have commercial uplift done • Lufthansa accepts EU requirements for rescue plan effectively • UK lockdown updates • Ocean Freight: UPS operations working normal. Ports fully functional. Currently no backlogs

Air Freight Updates Ocean Freight Updates

• Report on inactive box fleet • Scandinavian Airlines: Resumed service from CPH/Europe to • Port of Finland, Netherlands, Belgium, France, Germany NYC/ORD are severely constrained • Suparna Airlines: Resumed freighter services from • Port of Poland, Czech Republic & Portugal are operational AMS/Europe to NKG but service constrained • Air Canada: Started new cargo-only route from AMS/Europe • Port of UK, Ireland, Denmark, Sweden, Norway, Turkey, to YUL Italy & Spain are working without any constraints • Emirates: Resumed PAX freighters from DXB/Europe to CAI/ CMN/EBB/JNB/KRT/NBO/LOS/LLW • IEG : Started new cargo-only route from MAD/Spain to Inland Transportation BOG/LIM/MEX/MIA/JFK • All Nippon Airways: • Additional freighters added from FRA/Europe to NRT • Border delays are stable and only slightly above pre-COVID • Additional freighters added from LON/UK&IE to HND times • Additional freighters added from FRA/Europe to HND • Border waiting times on borders of IT→CH, CH→DE, HU→SL & HU→RO — are long

Proprietary and Confidential: This presentation may not be used or disclosed to other than employees or customers, unless expressly by UPS. June 4, 2020 Proprietary and Confidential: This presentation may not be used or disclosed to other than employees or customers, unless expressly authorized by UPS. 6 ©© 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 Service of Aofmerica,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.” ISMEA - Coronavirus Updates, June 4th

Lockdown Countries Current Situation Status • India: • Restrictions will be eased in three phases across the country India • Educational institutions and entertainment venues Bangladesh will remain closed Sri Lanka • Sri Lanka: Pakistan • The curfew imposed in the capital city, Colombo Saudi Arabia and parts of Gampaha have been relaxed. HIGH Iraq • Curfew will be imposed between 10 p.m and 4 a.m Afghanistan • Pakistan: International flights for outbound travelers Kuwait have commenced from all international airports except Angola Gwadar and Turbat. • Angola: Luanda will have a special health fence days until June 9th

UAE Guinea • Congo: WHO announced a new outbreak (the 11th) of Congo Ebola occurring in Wangata health zone, Mbandaka, in MEDIUM Egypt Équateur province Bahrain

Ghana • Ghana: Restrictions on land and maritime borders. LOW Botswana No information available

Proprietary and Confidential: This presentation may not be used or disclosed to other than employees or customers, unless expressly by UPS. June 4, 2020 Proprietary and Confidential: This presentation may not be used or disclosed to other than employees or customers, unless expressly authorized by UPS. 7 ©© 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 Service of Aofmerica,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.” ISMEA Update for June 4th Socioeconomic Updates UPS Operations**

nd th • Iraq: Complete lockdown from June 2 to 6 • Air freight : th • Mozambique: Lockdown further extended until June 30 • UPS working but some delays expected due to local • India: Cyclone Nisarga hit the Arabian sea on June 3rd condition • From June 8th, all places of worship, shopping malls, • Ocean Freight: Running unconstrained restaurants, hotels and other hospitality services will be • Local transportation causing delays due to restrictions allowed to re-open as part of Phase I.

Air Freight Updates Ocean Freight Updates

• Mozambique : • Port of Bangladesh is severely constrained • Freighters are less frequent and unscheduled • Port of Rwanda, Congo, Tanzania, South Africa, • No passenger flights scheduled Pakistan, UAE, Egypt & Oman are operational but service • Saudi Arabia: constrained • Suspension of all international flights to/from Saudi Arabia • Ports of India, Sri Lanka, Kuwait, Bahrain, Saudi Arabia, is extended until further notice and PAX freighter (cargo Qatar, Zambia, Kenya are working without any constraints flights) only operates from SA

Inland transportation

• Final delivery delays of Air / Ocean may happen due to border constraints • Iraq: Local delivery constrained • India: Operations at Mumbai & Cochin impacted due to cyclone Nisarga

Proprietary and Confidential: This presentation may not be used or disclosed to other than employees or customers, unless expressly by UPS. June 4, 2020 Proprietary and Confidential: This presentation may not be used or disclosed to other than employees or customers, unless expressly authorized by UPS. 8 ©© 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 Service of Aofmerica,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 - Coronavirus Updates, June 4th

Lockdown Countries Current Situation Status

• Myanmar & Philippines: Stay-At-Home order Philippines • Singapore: Country under circuit breaker until Singapore June 1st 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. 9 June 4, 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 Service of Aofmerica,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 June 4th Socioeconomic Updates UPS Operations** • Singapore: the Multi-Ministry Taskforce has assessed that Singapore will exit the Circuit Breaker when it ends on 1 June 2020. With this, there will be a controlled approach to resume activities safely over three phases: • Air Freight: Charters available • Phase 1: “Safe Re-Opening” • Ocean Freight: Available capacity • Phase 2: “Safe Transition” • Rail/Ground: Export shipments available, but limited for • Phase 3: “Safe Nation” some countries • Australia: Government announced easing of travel restrictions (domestic in June 5, to/from AU/NZ July 1st and September 10 other “bubble” countries with low risk

Air Freight Updates Ocean Freight Updates

• No blank sailing announcement in Asia-Europe WB trade • New Zealand: strong airfreight services into NZ via a reported today number of airlines (Government collaborative subsidy) • Up to June 2, TPEB trade announced 12 blank sailings in June • Cambodia: Travelers arriving from France, Germany, Iran, • Asia-Europe trade announced 8 blank sailings in June Italy, Spain and the US from 20 May are allowed to entry • Carriers have no blank sailing announcement made on the Asia-Europe WB trade since May 29

Rail Updates

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

Socioeconomic Updates UPS Operations** • Air Freight: • Civil unrest, interstate exit closings prompt warnings of • JFK: Recovery times continue to improve after some delivery delays. delays due to staffing • New York state reports lowest daily coronavirus death toll yet • Additional charter flights being handled by carriers ground • US suspends travel from Brazil for foreigners handlers • Exports Collapse as Coronavirus affected International trade • Ocean Freight: Fully operational • Rail/Ground: Fully operational

Air Freight Updates Ocean Freight Updates

• Port of New Orleans railroad upgrades locomotives • Blank sailings continue with the SSLs. • E-commerce drives multipronged expansion at UPS Airlines • World container index – PVG to LA = down / PVG to NY = • Air hub is responsible for making Louisville the fourth-largest down / PVG to RTM = stable cargo airport in the world. • LA/LB; HOU/ MEM ports are severely constrained • DFW/ ORD/ DTW/ CVG/ MIA ports are somewhat constrained

Inland transportation

• Truckers on edge as civil unrest continues in major U.S. cities.

• Canada might lift travel restrictions by July 1 • Air Freight: Reduced flights • Canada Shifts to Maritime for PPE Imports • Ocean Freight: Port restrictions • Quebec has instituted checkpoints to prevent non- • Rail/Ground: Customs operation impacted essential travel into the province • Canada Bans Cruise Ships Through October 1

Ocean Freight Updates

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

Air Canada is resuming many of its international flights, heading to the U.S., the Caribbean, South America, Inland transportation Europe and the Pacific.

The airline will be offering flights to 97 destinations – down from its usual 220 spots. • Daily pickups and deliveries except where restrained by government

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

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)

• Customs operation impacted (9 Countries: AR, CR, DO, EC, GT, PA, PE, SR, VE)

April 30, 2020 Proprietary and Confidential: This presentation may not be used or disclosed to other than employees or customers, unless expressly authorized by UPS. 14 © 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 presentation is for informational purposes only. It does not constitute legal advice- please consult with your own legal counsel for such advice. Also, do not rely on this information without performing your own research Week ending June 03, 2020: Slow recovery ahead for intra-Asia volumes amid COVID-19 challenges

Customers can expect delays with the • These conditions are not limited to NJ/NY potential for increased storage costs UPS but is also affecting other PHL/ PIT due to: providers, contributing factors include: • Delays BWI • Slow recovery ahead for intra-Asia • Congestion volumes amid COVID-19 challenges • Driver & equipment availability SEA MSP • NY-NJ port seeks aid amid COVID- BOS 19 volume decline Impacting shipments transiting PDX DTW through the affected areas outlined OMA • US issues alert to shipping over ORD CVG CLE ‘sanctions evasion practices’ DEN/ SLC • UPS is actively working hard to OAK MCI SDF minimize the impact of these factors LA/ LB MEM CHS/ORF on our customers / CLT ATL SAV • Customers are encouraged to plan for DFW JAX additional transit times due to the MOB/ MSY current conditions and if goods are HOU required more timely, leverage the Severely constrained MIA use of additional UPS options Somewhat constrained including International Air Freight, Not constrained PLCL (check with Ops) or Small

No information available Package

Source: JOC.com

Proprietary and Confidential: This presentation may not be used or disclosed to other than employees or customers, unless expressly authorized by UPS. © 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. 15 • This presentation is for informational purposes only. It does not constitute legal advice- please consult with your own legal counsel for such advice. Also, do not rely on this information without performing your own research Week ending June 03, 2020: European ports buffeted by COVID-19 related blank sailings

Asia Origins to Canada, Europe, US East and West Coast Europe Origins to Canada, US East and West Coast

Customers can expect delays with the potential for increased storage costs due to congestion as volumes continued to grow. Korea Japan Impacting shipments transiting through the affected areas China outlined Finland Bangladesh Taiwan Norway India Hong Kong • These conditions are not limited to UPS but is also affecting Sweden other providers, contributing factors include: Thailand Vietnam Philippines United Kingdom • Stockholm's New Port Opens With Arrival of First Container Denmark Sri Lanka Malaysia Ireland Singapore Ship Netherlands Poland • European ports buffeted by COVID-19-related blank sailings Indonesia Germany • Ireland to Get Direct Container Service to the USA Belgium • UPS is actively working hard to minimize the impact of these Czech Republic France factors on our customers

Australia Turkey Severely constrained

Somewhat constrained Italy Portugal Spain New Zealand Not constrained No information available

Source: JOC.com, Lloyd’s List & Offshore Energy news

Proprietary and Confidential: This presentation may not be used or disclosed to other than employees or customers, unless expressly authorized by UPS. © 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. 16 This presentation is for informational purposes only. It does not constitute legal advice- please consult with your own legal counsel for such advice. Also, do not rely on this information without performing your own research Week ending June 03, 2020 : Panama threatens sanctions for ships disabling positioning signals

Central and South American Ports Middle East, Nigerian and South African Ports

Customers can expect delays with the potential for increased Mexico storage costs due to congestion as volumes continued to grow. Kuwait Honduras Impacting shipments transiting through the affected areas Bahrain Pakistan Guatemala Qatar Nicaragua outlined UAE El Salvador Panama Saudi Arabia Venezuela Costa Rica • These conditions are not limited to UPS but is also Oman Colombia affecting other providers, contributing factors include: Egypt Nigeria Ecuador Peru • Ships in Quarantine as Brazil Struggles With COVID-19 Brazil • Panama Threatens Sanctions For Ships Disabling Positioning Signals Bolivia • Venezuela shipments test US maritime sanctions resolve Nigeria Kenya Chile Paraguay • UPS is actively working hard to minimize the impact of Rwanda these factors on our customers Congo Tanzania Uruguay Argentina Severely constrained Zambia Somewhat constrained

Not constrained

No information available South Africa

Source: The Maritime Executive & Lloyd’s List

• 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