Main plant

Coronavirus (COVID-19) January Update

Customer Communication
February 02, 2021

Dear Customer,

While COVID-related guidelines and restrictions continue to evolve across the country, we remain committed to the health and safety of our Employees and Customers and are operating with a high degree of caution. We will continue to take the most stringent approach on all policies and procedures in our factories and believe that our proactive and aggressive protocols related to sanitation, social distancing and self-quarantining continue to be effective in protecting employees and preventing the spread of the virus. We continue to find that the vast majority of the cases experienced at Nellson have resulted from transmission outside our sites. This fact provides comfort that all the safeguard procedures implemented in our sites have and are protecting our employees from COVID-19.

Supply Chain Disruptions:

We continue to experience delays in fulfilling customer requests at our sites due in part to material delays and shortages from our suppliers. We are working with our suppliers to understand their capacity, inventory, and factory/production activity, as well as engaging in sourcing alternatives where necessary. We are also experiencing issues with staffing which are also causing delays. We are working around the clock to catch up on late orders and will be running extended shifts to accelerate the recovery. During this time, we are asking that customers provide lead time on orders extending beyond the full contractual lead times. This request will also allow us to work with suppliers and find solutions for some of the supply chain disruptions we are currently experiencing.

Visitors Policy:

Effective February 1st, we will allow visitors on site in our US factories (Anaheim, Ontario and Salt Lake City) if the in-person meeting/appointment is critical to the operation of the business. If a meeting/appointment must take place on site, the number of visitors will be limited to no more than two (2) people. All on-site visits must be approved in advance by the Site Director or Nellson Executive Leadership Team. Please contact your Business Development Director for additional information.

The border between the US and Canada remains closed to non-essential travelers. Until further notice, no visitors will be allowed on site in our Canadian factories (Anjou and Lachine) and business critical needs will be addressed via virtual communications. We will monitor the situation over the next 30 days and provide an update to this policy once more information is available.

Thank you for your support as we continue to work through the evolving pandemic together.

Sincerely,

Jean Filion

Chief Executive Officer