Dear Valued Customer:

This letter is to update you on key aspects of the current status of our response efforts and contingency planning with regard to the COVID-19 pandemic as it relates to our capacity to supply our customers.

1. As of the date of this letter, we have not seen an impact on our production capacity or ability to supply our customers.  However, we have initiated implementation of our general disaster response plan in preparation for potential impact.
2. Javo Facilities:
   • Javo’s facilities are located in Vista, California (in San Diego County) and Indianapolis, Indiana.  Neither metropolitan area has been disproportionately affected as of the date of this letter.  Total infrastructure capacity between the two plants exceeds total current production and Javo has the ability to shift production and finished inventory storage from one facility to the other in response to either facility being disproportionately affected.
3. Javo Personnel:
   • Javo generally follows rigorous hygiene and sanitizing protocols as part of its SQF certification.  However, we have supplemented this with added measures targeted at reducing the potential for illness transmission within our organization through increased awareness and training and sanitization protocols, remote working where possible, symptom reporting and leave policies, and travel restrictions.
   • As of the date of this letter, Javo has not identified any cases of actual or suspected COVID-19 illness among its personnel.  We have instructed our personnel to immediately notify us and not report to work if they develop any COVID-19 symptoms or become aware that they have been in contact with a known or likely case.
4. Operating Analysis and Planning:
   • We are undertaking redundancy analysis and measures for various aspects of our operations such as confirming cross training in our production staff across different plant functions.
   • We have increased inventory par levels to a two-month supply of non-custom products.
5. Suppliers:
   • We have commenced communications with our key suppliers of goods and services to assess their preparedness and any expected impact on their ability to supply our needs.  We will continue to monitor and communicate with these suppliers during the outbreak.
   • We are in the process of assessing supplier redundancies. 
   • To date, we have determined that none of our key materials suppliers are located in current epicenters such as China or Italy and none have yet reported an immediate challenge in supplying our requirements.

We will of course continue to monitor events and develop and adjust our response measures as the crisis unfolds, with the goal of avoiding or mitigating any adverse impact on our organization and our ability to supply our customers’ needs.  In the event we become aware of a likely significant adverse impact on our ability to supply you, we will promptly notify you so that we may work together to plan accordingly and mitigate the impact.  In the meantime, please do not hesitate to contact us with your questions and we will do our best to address them.                                                                                                            

Sincerely,

Dennis Riley
President & CEO
Javo Beverage Company