14.04.2020 09:38

Decision on restarting the work of the Commercial Warehouse in Katowice

With reference to the current report 3/2020 of 2 April 2020, the Management Board of STALPROFIL SA informs that on 14 April 2020 the Company restarted its trading activity at Magazyn Handlowy STALPROFIL SA in Katowice at ul. Owsiana 60a. The decision to temporarily suspend work of the above-mentioned warehouse was dictated by the need to limit the risk of further spread of coronavirus, after two cases of COVID-19 infection being found, among the warehouse employees.

During the quarantine, decontamination of office and social rooms and passageways was carried out at the warehouse in Katowice, which made it possible to start using them, also in order to resume investment works in this facility related to the construction of an automated high-storage warehouse. The time schedule for the implementation of this investment is not at risk today.

The warehouse's normal commercial operations will be launched successively as the employees employed there return from quarantine. On 14 April 2020, the Commercial Warehouse in Katowice began its work in a one-shift system. The warehouse will reach full reloading capacity (in a three-shift system) on 17 April 2020.

At present, it is not possible to provide precise figures regarding the potential impact of stopping warehouse operations on the Company's results, however, the Management Board estimates that this impact will not be significant due to:

1. taking over the vast majority of orders carried out so far at the commercial warehouse in Katowice by the second company warehouse, located in Dąbrowa Górnicza,

2. reduced periodic customer activity, and thus lower average sales volumes in the period before and after Easter, which are repeatable over many recent years.