Dear All,

We are living in an era of uncertainty, but also a very interesting stage where we all come together and help one another. We would like to thank our customers, our suppliers, our staff and our partners for their patience and efforts to ascertain that we do our share under the circumstances and protect everyone by following the new rules and behaviour.

Our staff has been working mostly from home and we have had no interruption of work or supply.

Our suppliers have been hit by some absenteeism but are all still operating, producing and shipping from Italy, Taiwan, Mexico, Romania and other countries. Most of them have diversified supply chains and have alternate suppliers of key intermediates and starting materials and not relying on only China.

The biggest factor that will hit us is transportation, both air freight which is rapidly increasing as much as 5-fold from just a few weeks ago along with availability of certain routes. While we should keep the cost of goods the same, the freight charges will need to be discussed from now on with our clients.

On the good news front, we have a cGMP compliant, FDA inspected supplier of Hydroxychloroquine with large capacity available to cover increased market needs.

Our suppliers of injectables from Europe are still on stream for production and shipments. Again, the big modification is the cost and availability of freight.

Our equipment division is working on a ventilator that will be tested in Italian hospitals next week and after the tests, we shall be able to give more details and work hard to supply those ventilators to the USA and Canadian markets.

We wish everybody good health and thank you for your support.

Luciano Calenti
Chief Executive Officer