Letter from the Board of Management

Dear Sir or Madam,

As a modern logistics company, we are used to operating in a challenging environment. However, the COVID year 2020 was unequaled in that it impacted on our business to an unprecedented degree. Not even the 2008 global financial and economic crisis had such repercussions for our business operations.

The losses sustained in the operating units are considerable. The slump in business in 2020 is mainly attributable to the first, almost global lockdown, which resulted in a massive drop in revenue in the spring. From the summer onwards, business largely returned to normal. Recognition of loss allowances and provisions also had a strong impact at the end of the year. We take a realistic view: It is going to be some time before we see a recovery of the overall economic situation.

The good news is that we are well positioned and as a company offer a wide range of services in different industries. Our customers have remained loyal to us and in 2020 we were able to open new and expand existing locations. This is an achievement we are proud of. A strong market focus and improving our customers’ value creation continue to be a top priority for us.

We owe our thanks in particular to our employees, who in a combined effort have enabled us to meet the constantly changing challenges of the pandemic year. They have lived the values ingrained in our corporate culture such as acting responsibly and being open to change - on a daily basis. We are grateful that, thanks to the early introduction of extensive and foresighted hygiene concepts, there have been no cases of infection at the workplace.

We are charting a “Clear Course: Future” not only when it comes to our customers and staff. The motto of this year’s company report applies to many areas of the company.

With “Mission Climate”, we are paving the way to becoming a climate-neutral company by 2030. BLG is the first German logistics company with scientifically recognized climate protection targets verified in fall 2020 by the renowned Science Based Targets initiative (SBTi).

We are also pioneering groundbreaking projects in the areas of digitalization and innovation. In the field of artificial intelligence (AI), three research projects were launched in collaboration with renowned partners. The total project volume amounts to nearly EUR 6 million.

You can be sure of one thing: We will continue to do everything we can to remain a robust and viable company in the future.

We would like to thank you, our shareholders, for the trust you have continued to place in us during these difficult times.