CEWE takes further action against potential coronavirus effects

Oldenburg, 31 March 2020. Due to the coronavirus pandemic, CEWE-Stiftung & Co. KGaA (SDAX, ISIN: DE0005403901) will, in addition to other cost-reduction measures, submit notification of short-time work as of 1 April 2020. As a precautionary measure, this arrangement will apply for all three business segments of Retail, Photofinishing and Commercial Online-Print. The proportion of short-time work may vary quite distinctly in the different corporate and operative divisions. The Board of Management and employee representatives have concluded agreements enabling capacities to be specifically and flexibly adapted in the event of a lack of work as a result of the coronavirus crisis. In the segments concerned, CEWE backs up the income of employees beyond the scope of legal requirements in many cases.

The impact of the coronavirus pandemic, particularly restrictions imposed on business and on the economy in many European countries, are currently causing turnover and workloads to fluctuate considerably. CEWE is closely monitoring all these developments in this challenging situation and will implement all measures, including short-time work, most flexibly in order to adapt the cost situation to fluctuations in sales. Since any prediction currently made involves a high degree of uncertainty, it is at present impossible to make any reliable financial forecasts for the coming months or for the year as a whole.

CEWE had already taken extensive preventive measures in all the segments of the company a few weeks ago, in order to protect the health of staff members, and has constantly stepped up these measures. For example, many employees are working in their home office, stringent restrictions on travelling are in place and comprehensive measures have been implemented to ensure that people in the company maintain a physical distance. In order to become more independent of government regulations on shop opening times, the company has also taken measures in all its divisions to be able to take in customers' orders online and deliver the products direct to customers by mail order.

Notifying party: Axel Weber, Head of Investor Relations, Planning & Reporting