HIGHLIGHTS:
- THE GOVERNMENT SEEMS TO HAVE REALIZED THAT IF THEY DON’T OPEN THE FACTORIES THAT THE ECONOMY OF THE COUNTRY WILL BE SEVERELY EFFECTED. THEREFORE, FACTORIES ARE OPENING IN LARGE NUMBERS THIS WEEK.
- EXACT MEDICAL’S RECOVERY OF REMOTE WORKERS HAS GONE BETTER THAN PLANNED AND OUR CAPACITY ACHIEVEMENT IS HIGHER THAN ANTICIPATED.
This week the government has allowed many factories to open. Several government announcements have clearly discussed the damage to the Chinese Economy that is linked to keeping factories closed and people under travel bans. As a result, dozens of factories have opened in the last few days and people are returning to Changzhou City in large numbers. The Government is cautioning however that pandemic procedures and proper quarantine activities remain critical and factories that don’t follow these requirements will be severely dealt with.
Exact Medical is very pleased to announce that our recovery of remote workers has gone extremely well and 96% of our employees are now in the city performing their quarantine time. Another piece of positive news is local governments where employees have been trapped in the travel bans have issued documents to many employees certifying that the person has completed a 14-day quarantine in that remote location. The local government has decided that people with that certificate only need do a 7-day additional quarantine and not be subject to the 14-day requirement. As a result, many of our employees will be allowed to return to the factory sooner than anticipated.
Below is a revised graph of our Capacity Achievement which demonstrates that on Monday Next we will be at 59.5% and on March 5th we will be at 92%. This will allow us to attack our backlog of orders much sooner and with more resources.
I continue to thank all of our customers for their support and understanding through this ongoing difficult process.
David Power
President
Exact Medical Products, Inc.
