BARQ GROUP

EMERGENCY RESPONSE & MITIGATION PLAN FOR COVID-19

Prepared with reference to BARQ Group Crisis Management Manaul

 I. SITUATION ANALYSIS REPORT

Coronavirus disease 2019 (COVID-19) is an infectious disease caused by severe acute

respiratory syndrome coronavirus 2 (SARS-CoV-2). This disease was first identified in 2019 in
Wuhan the capital of Hubei China, and as since spread globally, resulting in the 2019-20 corona virus
pandemic.

The COVID-19 outbreak has generated both demand and supply shocks reverberating across
the global economy. Major economies will experience dislocations as the virus spreads and countries
adopt restrictive response that curb manufacturing activities and other business sectors at regional
hubs.

Qatar has confirmed the most positive cases of coronavirus among the GCC countries. Beyond
the devastating toll on human health, the pandemic is causing significant economic turmoil in the
region through simultaneous shocks such as a drop in domestic and external demand, a reduction in
trade, disruption of production, a fall in consumer confidence, and tightening of financial conditions.

QATAR COVID–19 STATUS AS ON 25TH MARCH 2020

II. IMPACT OF COVID-19 ON BARQ GROUP

ELECTROMECHANICAL DIVISION

1. BARQ Operations

1.1. Projects & Maintenance:-

 Most of the ongoing projects & Maintenance have been put on hold,
either by the client as a way to protect themselves or by legal
instructions by the government authorities which prevents our team
from mobilizing to the sites.
 Due to access restrictions/site inspections from respective government
authorities (QCDD, Kahramaa, MOI SSD, Ooreedo etc.), the ability to
process such documentations/Approvals have been affected
1.2. Locations:-
 Our ability to convey/transport our staff to their respective locations has
been a major concern as a result of the ongoing pandemic
1.3. Manpower:-
 All manpower working on site have been reduced to essential numbers (only critical
services executed on site) thus, impacting on the deadline of project completions and
deadlines.
1.4. Assets & Equipment’s:-
 All the company assets and other equipment’s which are being mobilized
to projects have been put on hold for further usage until proper
sanitization to reduce the risk of COVID-19.

2. BARQ Supply Chain

2.1. Suppliers:-
 Most suppliers have shut down their business operations on account of
COVID-19, thereby affecting the supply chain for an estimated period of
3 months (until the crisis ends) similarly all ongoing & future orders
have been affected.
2.2. Stakeholders/Sub-contractors:-
 All subcontractors/stakeholders agreements have been affected due to
the current crisis. At the moment all contractual obligations are being
reviewed with a view to enhance our relationship post COVID-19.

3. BARQ Finance:-

3.1. Banking Relations:-

 All related transactions such as loans repayments, tender bonds,
guarantee letters, performance bonds and related facilities have been
restricted due to the current crisis.
3.2. Cash Receivables & Payments:-
  All the outstanding receivables from the clients have been affected,
thereby affecting our periodic & scheduled invoices/payments and day
to day expenses.
3.3. Overheads:-
 As a result of COVID-19 pandemic, the collection of cash receivables has
been affected thereby limiting our ability to plan ahead for scheduled
expenses such as salaries, rent, petty cash expenses, project operation
expenses etc..

4. BARQ Support department:-

4.1. All the support departments (sales & estimation, HR, procurement etc..) have been
advised to work from home, with only essential staff about 10% reporting to work in
office as and when required.

INTERNATIONAL TRADING DIVISION

Being an inventory specific division, the impact of COVID-19 has drastically

affected the supply chain management, sales, importing, exporting, customs and logistics. General
business conditions, local sales volume, capital investment and employment with the exception for
cost of production were expected to be below the optimistic threshold level.

III. RESPONSE OF BARQ GROUP TOWARDS COVID-19

ELECTROMECHANICAL DIVISION

1. BARQ Operations:-
1.1. Awareness has been issued to all BARQ operational personnel and
partners/sub-contractors.
1.2. Email notifications have been sent to all stakeholders (REF)
1.3. All legal and state regulations with regards to COVID-19 safety have been
trickled down to all staff and management has insisted that each individual
safety is paramount.
1.4. The usage of assets and equipment’s such as vehicles, operational tools
have been advised to be approached with utmost safety measures. On the
part of the management, measures have been initiated and resources such
as sanitizers, infra-red thermometers and essential safety commodities
have been provided to the operational staff.
1.5. With regards to the ongoing projects & maintenance, all contractual
obligations are being closely addressed and communication is ongoing with
our counterparts to ensure continuity post COVID-19.

2. BARQ Supply chain:-

2.1. All suppliers shall be informed via email/fax about our expectations post
COVID-19, with respect to material delivery, submittals, payments etc..
 2.2. Communication has been issued to all the stakeholders/sub-contractors
with regards to the project delays and contractual obligations on account of
COVID-19. We are working along with them to arrive at a compromise to
move forward to overcome the crisis.

3. BARQ Finance:-
3.1. Our finance department has been advised to approach our bank
representative for the purpose seeking professional insights towards
availing ourselves of the QR75 billion financial incentives for SMEs
announced by Supreme Committee.
3.2. Our finance has been advised to approach the bank for guidance on how to
take advantage of the 6 months relief for salaries, Rent, Loan Repayments
and associated facilities.
3.3. With regards to all payments receivables/payables, communication has
been made with all stakeholders to update them on the situation and
specific ways their business with us has been impacted and the necessary
actions to resolve the same.

4. BARQ Support Department:-

4.1. Information has been shared across all departments to create awareness
about the COVID-19 and the best way to protect ourselves against it. To that
effect, 90% of the staff are remotely working from home. We have insisted
on staff safety above all else and advised all BARQ personnel to keep safe
amid of the current crisis.

INTERNATIONAL TRADING DIVISION

The impact on the revenue loss in terms of inventory, local sales volume and
supply chain management has to be worked out in an effective manner.

IV. SUMMARY CONCLUSIONS

Given the sudden outbreak of COVID-19 pandemic and our reaction, we are
pleased to announce that none of our staff/personnel have been tested positive or shown any
symptoms till date. We have created awareness and encouraged social distance as announce by the
health authorities.

Operations and maintenance activities unfortunately have been affected and as a result, we have been
forced to adjust all operations as well. Some of this projects/maintenance has been shut down by the
client and access to other locations has been restricted to our staff (REF). Transportation and logistics
between sites has also been affected as a result of the transport regulations imposed by the ministry
(not more than two passengers in a car), and permissions and authorizations from the ministries and
external parties have also been put on hold thereby forcing us to adjust all the business operations
accordingly.
As a for-profit-business, our operations rely heavily on continuity between our activities and our
strategic partners/stakeholders. Our overhead expenses are sustained on our potential abilities to
generate profit at the end of a specific time period. Unfortunately we are hugely concerned as the
ability to make the best of the situation is uncertain unless and until the end of this crisis. As a
business we are committed to continue engaging our clients by regular communication, and to assure
them of our commitment to fulfill our contractual obligations at the earliest possibility. To our
suppliers and stakeholders, we shall continue to appeal to them for their continued supports during
this crisis with assurance of our willingness to fulfill our commitment at the end of this pandemic.

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