POSSIBLE DELAYS IN DELIVERY OF GOODS

AKFA Group

09 august, 2021

POSSIBLE DELAYS IN DELIVERY OF GOODS

AKFA Group of Companies informs that since the beginning of the year, it has initiated many projects to restructure and update its facilities in order to improve business processes and optimize digital infrastructure.

These measures were taken in accordance with the company’s strategy to develop production capacities and to reach a new frontier in the development of both internal and external drivers of activity.

One of the significant factors of the company's operations is the network of suppliers of raw materials that are necessary for uninterrupted production and continuous supply of goods to the customers. Most of our partners are international companies, with production facilities in both near and far foreign countries.

For the last two years, there have been significant disruptions in global logistics. There have been not only an increase in the cost of freight transport but also grown number of unpredictable delays in the delivery of the raw materials. The largest suppliers of the AKFA Group are located in China, Russia and Germany. A sharp increase in the demand for Chinese goods around the world destabilizes the entire logistics system, significantly increasing the delivery time. In the PVC and decorative surface treatment sectors, there has been an imbalance in the availability of raw materials due to the critical measures taken by German companies in response to the pandemic. As you know, since August 2021, the Russian government has taken measures to establish export duties on aluminum, thereby increasing the cost of premiums for the purchase of raw materials. In terms of pricing policy and timely supply of aluminum, AKFA is directly affected by such events. To remain competitive, AKFA Group has had to source critical raw materials from producers in Kazakhstan. In this regard, AKFA Group informs customers to be aware of possible delays in the supply of finished products.

It should also be noted that the large-scale improvement in many aspects of operations entails significant changes in operational processes in order to create more convenient delivery conditions, including faster logistics. Introduction of new IT systems may initially cause some delays in deliveries.

AKFA employees are no exception and also faced the second wave of COVID-19. The company pays maximum attention to the health of its employees and does everything to protect them against diseases. Remote working, social distancing and all necessary protection measures, including vaccinations, are taken by the company. Unfortunately, it is not always possible to protect all of the employees, significantly affecting operational activities.

The company apologizes for the inconvenience caused and asks to note that delays in the provision of services and delivery of goods to consumers may occur during 2021 and potentially 2022.

AKFA Group kindly requests customers to get acquainted with the following aspects of business modernization that AKFA is pursuing in order to improve all business processes and infrastructure:

Considering the above, AKFA Group asks for loyalty and patience for everyone's benefit. For any inquiries, please contact the call center at +998 71 203 00 00, and also by email info@akfagroup.com

Sincerely, CEO of AKFA Group

Gulamov Kamran

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