HIGHLIGHTS:

Yesterday the new infections of the Virus in China decreased for the first time in the epidemic. While one day’s reduction is not a trend, it is certainly encouraging. The China Government has taken this and other indicators as demonstration that their path of “locking down” the country is working. In light of this, the individual person travel bans remain in effect and generally factories and other places of business will now remain closed until at least February 20th.

Life here in Changzhou is an experience. Everything is closed; stores, restaurants, hotels, shopping malls, and movie theaters.  There is one large grocery store open and it seems well stocked with food so we have that, but basically when not at the factory everyone is in their homes.

We have had high level government officials and inspectors visit our factory every day. Below is an article in the local news.  We have been highly complimented for the serious manner in which we have followed our pandemic procedures.

As a result of our efforts and the government support we are receiving, today we received permission and documentation needed for our employees that currently are not in the local area to begin traveling to Changzhou. They are released from the personal travel bans that almost all of China is subject to. This is significant news as it allows us to collect all of our trained employees and get them back to working on making your products. The management team is working on the details and logistics involved here as public transportation in China (buses, airplanes, trains and the like) are not operating. It is likely we will need to charter some buses and make other such arrangements; however, Exact Medical will do whatever is necessary to collect our people.

Once these employees return to Changzhou, they will be subject to a 14-day quarantine before they can return to work, but this does not diminish the significance of our receiving permission to collect them.

I will continue to post communications and further information as it becomes available.

David Power

President

Exact Medical Products, Inc