TFC Brexit Statement

Brexit Statement August 2019

Morgan Burgoyne TFC CEO - TFC's aim is to provide stability & confidence in an uncertain time.

TFC has been pro-actively working on our Brexit strategy. This included the creation of a cross-functional team tasked with forming a robust set of strategies to cover the many potential final outcomes. Collation and dissemination of available data/information has been at the forefront of this process to help identify areas of risk for TFC & our loyal customer base both in the short & long-term.

There continues to be a heightened risk that the UK will fail to agree on a suitable position that is supportable for all parties. We now face the very real prospect of leaving the EU on October 31st 2019 without a ˜deal™. The impact of this will be wide-ranging, FX rates, potential tariff changes etc. which are all outside of our control to a certain extent. However, like other committed companies within the extended supply chain, TFC have identified the key area of supply continuity in the face of cross-border customs delays.

To mitigate this risk TFC embarked on a contingency stocking process to ensure the stability of supply earlier this year onwards. A comprehensive review of our cross-border purchases has been completed and order commitments placed or alternative domestic sources identified for those core products that are deemed to be at risk. We have also pro-actively been working with key customers to ensure sufficient stocks of ˜specials™ are in place (+85% uptake of our suggested underwritten stock commitments C-class may only be a small proportion of end product value, but if unavailable can still lead to expensive production downtime).

TFC are committed to all current & new customers alike. Through our network of logistic sites (7 UK, 2 Germany, 1 Czech Republic) we have storage capacity and supply chain solutions to continue to pro-actively support our customers and to cover any eventuality.

Only working together can we be in a position to provide stability in uncertain times. Should you have concerns and wish to discuss what options we have to suit your business please contact your local TFC Team: