Brexit Statement Distrupol/Univar

Chertsey, 5 August 2019

Dear Valued Customer

BREXIT- UPDATE AUGUST 2019

As you will be aware the UK Government are working on plans to exit from the EU on 31st October 2019 but until that time we are faced with continued uncertainty and unanswered questions. Distrupol has endeavoured to review the latest developments and news on this important topic via our Brexit committee and throughout this process we have always worked on the assumption of a "No Deal" scenario.

Our suppliers are also closely monitoring the developments of the Brexit negotiations. Once there is more clarity on the likely impact of any Brexit-driven regulatory change in the UK and Ireland we are confident our suppliers will take necessary actions to prevent any supply chain disruption to their materials getting into and out of the UK, but may have to take adequate actions on the terms of delivery and pricing.

As we have previously stated, whilst Distrupol is a UK supplier to you, the majority of our materials are produced outside the UK and although we will share below the steps we are taking to mitigate any issues, it's impossible to predict how the supply chain will be effected by the many outcomes that you will be aware of.

Distrupol does recommend that you review your own plans for a ''No Deal", which includes a provision for contingency stocks and suggest that you consider placing additional orders well ahead of the transition date. This will help to ensure that, wherever possible, our lead times and thus our customers' experience will not be adversely affected.

As mentioned, Distrupol has been working on the basis of a "No Deal" Brexit and our plans include:

• Contingency Stocks - we have reviewed our critical and longer lead time products and have made provisions for increased levels of inventory and warehousing
• Hauliers - we have ensured that our supply chain is robust enough to cover any potential delays
• Suppliers - we have worked closely with our key suppliers to provide continuity with their contingency plans and ours
• Import Duties & Tariffs- we continue to review the impact that any changes/increases may have on our product ranges and look to mitigate these wherever possible
• Reviewing contractual arrangements where necessary

With our integrated supply chain teams, key supplier relationships and customer focus we will be working hard to ensure that any disruption is minimal.

Further communications on any specific matters arising from our continued monitoring of the impact of Brexit will be made where appropriate, however should you have any questions please contact your local Account Manager or Regional Sales Office.

James Stanton
Commercial Manager
Distrupol

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