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Update on Coronavirus Impact and our Countermeasures

Tags: COVID-19

Tokyo, March 23, 2020 – Following from the previous announcement, SATO issues the following update on the current situation regarding the global spread of the coronavirus outbreak, its impact on our Group’s product supply chain and our response.

1. Temporary suspension of operations at our Malaysia factory

With the spread of coronavirus, the Malaysian government announced a two-week travel restriction across the country for companies on March 16 (effective March 18-31). As a result, our Malaysia factory, has been shut down from the 18th, with local staff working from home and operators staying home. The plant is expected to resume operations as soon as the restrictions from the government are lifted. We will continue to monitor the government’s official policy and respond accordingly.

2. Impact on our product supply chain

Printers and hardware products

To date, there have been no shortages or delays affecting sales or shipments to customers. We will continue to take every measure to minimize the impact of the shutdown. We are carefully monitoring the risk of prolonged shutdown of our Malaysia factory and the risks associated with operations of other factories. We will take appropriate measures as quickly as possible, promptly reporting on any relevant issues.

Labels and supplies

To date, there has been no impact on the procurement of raw materials or shipment to customers, but production of labels and hardware products have been temporarily suspended at our Malaysia factory. We will take appropriate measures and closely monitor the local situation.

3. Measures for employees

In response to the worldwide spread of infection, we have created the SATO GROUP Global Policy against the Novel Coronavirus (COVID-19) to prevent infection of employees and prevent the spread of infected individuals and are implementing this globally.

Our basic policy

Continuation of business activities with the health and safety of employees as top priority

Summary of the global policy

Working styles:

  • Recommendation to work from home
  • Recommendation for staggered commuting when possible
  • Request to avoid non-urgent business trips
  • Request to postpone or cancel non-urgent meetings, exhibitions, seminars, etc.
  • Make efforts to keep employee attendance and activity records

Other items include visits to customers, suppliers and business partners, and what to do when employees or their family members are infected.

4. Other support

The contribution have made to date is as described in the initial report.

We sincerely wish for the quick recovery of those affected and the end of the outbreak as soon as possible.

About SATO

SATO (TOKYO:6287) is a global auto-ID solutions provider for leading manufacturing, logistics, retail, food & beverage, health care companies. With a bottom-up understanding of on-site use applications, SATO tags items with identifiers to improve supply chain flows of tomorrow by solving managerial and operational challenges of today. An industry pioneer with 79 years of expertise and a 5,000+ strong global workforce in 27 countries, SATO engineers solutions to streamline operations, boost accuracy, support sustainability initiatives, provide assurance and emotional connections, extending value all the way to the consumer. For the fiscal year ending March 31, 2019, it reported revenues of JPY 116,179 million (USD 1.05 billion*). More information about SATO can be found at www.satoworldwide.com, linkedin and twitter.

*Conversion is based on an average exchange rate of 1 US Dollar = 110.92 Japanese Yen

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For media inquiries:

Kevin Leidheiser

Public Relations

SATO Holdings Corporation

[email protected]

Tel: +81-3-5745-3412

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