1. Production at SANYO DENKI PHILIPPINES, INC.

On March 16, the Philippine government announced new enhanced community quarantine orders for

Luzon Island in the Philippines, in effect until April 12.

As of April 7, the Philippines government has extended this enhanced community quarantine over

Luzon Island, now ending only at 11.59pm on April 30.

As of April 23, the Philippines government has extended this enhanced community quarantine over

the Manila metro area, now ending only at 11.59pm on May 15. The Zambales area, where Subic

Bay is located, is considered a high-risk area, and may be covered by the extended lockdown. The

quarantine here will be re-evaluated by April 30.

2. Clarification of impact

Under the classification as an Essential Business, the Philippines government has allowed for

reduced operation of our Philippines factory, in order to minimize the risk of COVID-19 infections.

Although the factory output now is still significantly reduced, we are making progress to increase our

production capacity steadily with the addition of workers.

Our factories in Japan are operating normally and have absorbed some of the capacity from the

Philippines factory.

3. Future outlook

We will continually provide more updates on this situation as we receive them.

4. Special inquiries regarding this matter

Please contact your local Sanyo Denki America sales representatives for special inquiries about this

matter.

SANYO DENKI AMERICA, INC.