SUPPLYONE CORONAVIRUS (COVID-19) UPDATE

SupplyOne takes the health and safety of all employees, contractors, and customers seriously. We have and will continue to closely monitor the latest developments related to COVID-19 and guidance from State and local government officials and Center for Disease Control and Prevention (CDC) to minimize risks of exposure to the virus. We have implemented social distancing, limited access to our locations to critical employees, and implemented robust disinfection and cleaning protocols throughout the plant at our offices, and more to ensure the safety and wellbeing of our employees and customers and to maintain continuity across our business that supply so many items critical to our economic health. 

We are an Essential Business

In keeping with the Department of Homeland Security CISA guidance, SupplyOne has been identified as an essential business because we provide vital packaging products and solutions essential to supporting our communities. Our manufacturing and distribution operations are staffed and actively supporting critical infrastructure sectors with custom packaging, packaging supplies, and equipment and supply chain services. Additionally, our manufacturing and supply chain teams are in close communications with our suppliers to ensure our customers can rely on a strong packaging supply chain, and mitigate any longer-term risks that may arise.

FAQ

The COVID-19 health emergency has created is a very challenging situation for our industry. SupplyOne is working diligently to ensure our customers are serviced well and disruption is mitigated and or avoided. The SupplyOne Leadership Team is closely monitoring the status of the outbreak and its potential adverse impact on our supply chain continuity.

What is the short-term impact on SupplyOne’s Supply Chain?

Short term, we see no impact on our security of supply. SupplyOne has two distinct businesses, manufacturing and distribution. Manufacturing of corrugated products utilizes raw materials sourced within the USA. For rigid plastics and labels, over 95% of raw materials are sourced domestically and the balance which is imported has not been negatively impacted. For the items we distribute for our preferred supply partners, the vast majority of items are domestically made. Less than 5% comes from Asia and of that, we have alternatives that originate both within North America and other non-Asian countries.

What is the long-term impact on SupplyOne’s Supply Chain?

Depending on the length of the crisis, it is possible, but unlikely, there will be shortages on the few overseas materials we procure. We are actively engaged with non-Chinese sources to mitigate any risks that may arise. We want to emphasize that 95% of the products we manufacture and distribute are from domestic suppliers.

How will the Coronavirus impact SupplyOne’s overall business?

We are confident the impact, if any, will be minor and consistent with overall US economic performance. SupplyOne is a growth company and will continue to be a stable and reliable partner for our customers. There are several reasons:

• 100% of our corrugated boxes, rigid plastics, and label products are manufactured in the USA.
• 95% of our supply partners manufacture in the USA.
• Minimal sourcing comes from China or other high-risk areas
• SupplyOne has a tiered supplier channel for all categories and has low risk as a result.

Overall, the most immediate impact we see is in health care and personal protective equipment categories. Face masks, respirators, gloves and surface/hand sanitizers are categories in high demand, straining all producer’s ability to meet demand. We expect demand for these supplies to outpace supply for the foreseeable future resulting in limited availability. We are working with our partners to get supplies where they are most needed. As we continue to monitor this situation, we will provide updates on any other potential disruptions.

What measures has SupplyOne taken to contain potential risks from the virus?

We do not have significant dependence on China or any other high-risk areas right now. SupplyOne has canceled all employee travel to countries on the CDC Level 2 & 3 list to ensure employee safety. This will be updated as needed following CDC and relevant governmental agency warnings. We have also advised employees of safe behavior per CDC guidelines.

We will continue to monitor ongoing developments and intend to provide updates related to the COVID-19 health emergency. These are trying times and SupplyOne will take all reasonable measures within our control to contribute to the well-being of our employees, their families, and our customers.

For questions or more information, please contact us at COVID-19@supplyone.com.

We take your trust in us as your packaging partner seriously. Know we are doing all we can ensure we are supporting you in this turbulent time.