<p class="MsoNormal"><b><span style="font-size:14.0pt;line-height:115%;

font-family:&quot;Times New Roman&quot;,serif">Redington Ltd</span></b><span style="font-size:14.0pt;line-height:115%;font-family:&quot;Times New Roman&quot;,serif">,

a leading global technology and electronics distributor, has initiated a

sweeping overhaul of its international logistics framework. Triggered by

escalating geopolitical conflict in West Asia and the closure of key maritime

chokepoints, the company is bypassing traditional ocean trade loops in favor of

multi-modal air and land networks to protect its supply lines into the Middle

East.<o:p></o:p></span></p>

<p class="MsoNormal"><b><span style="font-size:14.0pt;line-height:115%;

font-family:&quot;Times New Roman&quot;,serif">The Maritime Gridlock &amp; Strategic Air

Shift<o:p></o:p></span></b></p>

<ul style="margin-top:0cm" type="disc">

<li class="MsoNormal"><b><span style="font-size:14.0pt;line-height:115%;font-family:&quot;Times New Roman&quot;,serif">Chokepoint

Closure</span></b><span style="font-size:14.0pt;line-height:115%;

font-family:&quot;Times New Roman&quot;,serif">: Due to the effective closure of the

<b>Strait of Hormuz</b> amid the ongoing regional conflict, maritime

routes that once reliably ferried high-volume technology payloads into

Gulf cooperation markets have been rendered unviable.<o:p></o:p></span></li>

<li class="MsoNormal"><b><span style="font-size:14.0pt;line-height:115%;font-family:&quot;Times New Roman&quot;,serif">The

Air Pivot</span></b><span style="font-size:14.0pt;line-height:115%;

font-family:&quot;Times New Roman&quot;,serif">: Redington Group CEO and Managing

Director, V. S. Hariharan, confirmed that a vast majority of product

distribution has been shifted to air freight to prevent inventory

stagnation.<o:p></o:p></span></li>

<li class="MsoNormal"><b><span style="font-size:14.0pt;line-height:115%;font-family:&quot;Times New Roman&quot;,serif">Squeezed

Air Capacity</span></b><span style="font-size:14.0pt;line-height:115%;

font-family:&quot;Times New Roman&quot;,serif">: The sudden influx of ocean cargo

into the aviation ecosystem has occurred alongside rising jet fuel costs,

driving up global air freight rates significantly since late February.<o:p></o:p></span></li>

</ul>

<p class="MsoNormal"><b><span style="font-size:14.0pt;line-height:115%;

font-family:&quot;Times New Roman&quot;,serif">Reworking the Logistics Grid: The

Intermodal Response<o:p></o:p></span></b></p>

<ul style="margin-top:0cm" type="disc">

<li class="MsoNormal"><b><span style="font-size:14.0pt;line-height:115%;font-family:&quot;Times New Roman&quot;,serif">The

Land Bridge Alternative</span></b><span style="font-size:14.0pt;

line-height:115%;font-family:&quot;Times New Roman&quot;,serif">: To sustain product

availability across over 40 international markets, Redington is routing

incoming shipments through alternative deepwater ports in <b>Oman and

Saudi Arabia</b>, moving cargo overland via trans-desert trucking

corridors.<o:p></o:p></span></li>

<li class="MsoNormal"><b><span style="font-size:14.0pt;line-height:115%;font-family:&quot;Times New Roman&quot;,serif">Case

in Point (The Apple Supply Chain)</span></b><span style="font-size:14.0pt;

line-height:115%;font-family:&quot;Times New Roman&quot;,serif">: Highlighting this

tactical pivot for critical premium accounts (with Apple products alone

contributing roughly one-third of group revenue), Redington is airlifting

products directly from centralized hubs in the Netherlands and executing

final mile deliveries across the Gulf via interstate highways.<o:p></o:p></span></li>

<li class="MsoNormal"><b><span style="font-size:14.0pt;line-height:115%;font-family:&quot;Times New Roman&quot;,serif">Financial

&amp; Insurance Friction</span></b><span style="font-size:14.0pt;

line-height:115%;font-family:&quot;Times New Roman&quot;,serif">: The withdrawal of

standard commercial war-risk coverage by global underwriters has forced

Redington to arrange alternative, premium-tier indemnity frameworks. This

insurance spike, combined with elevated air freight tariffs, has created a

cost headwind equivalent to <b>0.20% of revenue</b>, the majority of which

is being passed on through the distribution chain.<o:p></o:p></span></li>

</ul>