2020

I hope this update finds you, your families, and your co-workers healthy and safe. I wanted to give you a business update and provide you with additional information.

Friday afternoon, we informed you that Pennsylvania Governor Tom Wolf ordered all non-life-sustaining businesses in the state to close their physical locations. In response, Cabinetworks Group paused our Pennsylvania factories, which we estimated would delay the production of impacted brands by three weeks. However, the U.S. Department of Homeland Security (DHS) has now identified the wood products industry as an “essential critical infrastructure workforce” in the nation’s response to the coronavirus pandemic. We are working with Pennsylvania state officials to explore options that will allow our factories to reopen in a way that assures the health and safety of our employees. As of this morning, Monday, March 23, our component facility in Sayre, PA has reopened. We will continue to work diligently with Pennsylvania state officials to open our remaining facilities as safely and quickly as possible. The status of each brand, as of Monday, 3/23, is shown below:

Advanta – Operations paused, accepting orders, estimate a 3-week delay
Cabinets 2000 – Normal operations
Design-Craft – Operations pause anticipated by 3/27, accepting orders, estimate a 3-week delay
Echelon – Operations paused, accepting orders, estimate a 3-week delay
KraftMaid – No longer expect a production pause, but do expect extended lead times
MasterCraft – Operations pause anticipated by 3/27, accepting orders, estimate a 3-week delay
Master Wood Craft – Normal operations

Medallion – The Culver facility will pause production by 3/27. The Waconia and Independence facilities are not impacted by the production pause but may experience extended lead times.

Merillat Masterpiece – No longer expect a production pause, but do expect extended lead time
Merillat Classic – No longer expect a production pause, but do expect extended lead times
Merillat Basics – Normal operations
QualityCabinets – No longer expect a production pause, but do expect extended lead times
QualityCabinets Woodstar – Normal operations
Serenade – Operations paused, accepting orders, estimate a 3-week delay
SMART – Normal operations
Studio Full Access – Operations paused, accepting orders, estimate a 3-week delay

Yorktowne – The Culver facility will pause production by 3/27. The Waconia and Independence facilities are not impacted by the production pause but may experience extended lead times.

Thank you for your partnership and your business. We will continue to provide daily updates. On behalf of the entire Cabinetworks team, please stay safe.

Regards,

Larry Denbrock
President & Chief Revenue Officer

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