PalramNews. April "Spring is nature's way of saying, "Let's party!" (Robin Williams)

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1 PalramNews April 2017 "Spring is nature's way of saying, "Let's party!" (Robin Williams)

2 From the Desk of Palram s VP Marketing & Sales Hanoch Goldman The erratic behavior of the global plastics market In my position as VP Marketing in a global manufacturing company, with manufacturing and marketing sites in nearly every geographical region, I observe a rather strange and unbalanced picture: The market exhibits extreme fluctuations in resin prices is coupled with a constant rise in demand for thermoplastic sheets (a decisive continuation of the recovery trend already evident in 2016). We have reached the end of Q1 2017, and can definitely state that the future promises to be interesting. We identified rises in raw material prices in all fields and for nearly all polymer based products. These increases result from the following core reasons: Crude oil and petroleum derivatives supply issues due to OPEC policies and activities. It is our hope, and that of the industry in general, that increased US production will moderate and reverse the current supply shortages. Consistent increase of raw material producers announcing production hold of key materials due to above mentioned shortage. Core shortages are evident in the PMMA and PC raw material markets, leading to price increases for market leaders. This situation is expected to continue into Q Overall price increases across the entire plastics products domain. The above mentioned raw material and associated product price increases also create opportunities to place manufactured product pricing in the proper perspective, thus reorienting the constant focus on price based competition as a means for securing deals with customers. I am convinced that you, Palram s clients and partners, will know how to seize these opportunities and improve your market functions and position. Concerning our work at Palram, we are concentrating our effort on maintaining a constant supply of products, regardless of the current raw material shortages and are committed, first and foremost, to our loyal customers. Additionally, Palram is diligently developing new products and solutions to meet market requirements. We are in the process of enhancing our digital and web communication presence, which will expose Palram and its products to additional audiences, potential customers and media. Improving our clients product and solution technical proficiency is also being addressed via continual training and support programs as well as professional seminars and workshops held at our various international locations (to which you are invited to attend). Palram s market entry into the DIY segment in multiple geographical regions has unveiled to us a new business domain and new insights regarding end users and market requirements unique to DIY. Thus we have been able to adjust, continuously improve and enhance Palram s customer service awareness as well as to provide pertinent and useful information to them. I am more than confident that these functions will benefit us all. Hanoch Goldman VP, Marketing

3 Trade Show reviews - Hanoch Goldman Palram & the 2017 BAU Trade Fair BAU 2017 News Flash: For the first time ever, 80,000 of the more than 250,000 visitors who attended BAU 2017 were from abroad. As a result, BAU, the World s Leading Trade Fair for Architecture, Materials and Systems, managed once again to make significant gains at the international level. With more than 65,000 visitors from architecture and planning offices, BAU managed yet again to solidify its reputation as a trade fair for architects. With a total of 2,120 exhibitors from 45 countries, it also set a new record for the number of exhibitors. No doubt, the BAU Trade Fair has established itself as the leading building and construction trade show in Europe, with a record-breaking attendance of 250,000 visitors. It made for a great opportunity to meet new and current clients and distributors, as well as visitors from architectural and design studios and contractors, in one single location All of them eager to consider and adopt new concepts in the thermoplastic roofing and cladding domain. This also enabled us to collect many useful perceptions, opinions and ideas for us to review and act upon over the next few years. As always, Palram presented several new products providing unique solutions for specific customer requirements. Our Sports Arena & Stadium Roofing Solution gained a great deal of interest from architects and potential customers. This comprehensive system provides many innovative solutions. Palram s booth design, built with our own products, received much praise due to the demonstrated ability to integrate decorative systems for interior paneling (manufactured by Palram s subsidiary, Innovera), as well as complete DIY systems, and of course our wide range of roofing and cladding solutions for the professional construction domain (stadiums, warehouses, rooflights, commercial & public buildings etc.). As befitting a company whose product line and solutions are aimed towards the professional, architectural and design domains, Palram plans to attend similar professional trade shows during the coming year. We would like to use this opportunity to extend our invitation to existing and potential clients and partners to visit our booth. May 8-12, at the FESPA trade show in Hamburg,Germany, Hall 3, stand C81.

4 Trade Show reviews - Omer Shoham EuroShop 2017 March 5th, 2017, Palram Industries made its debut appearance at the Dusseldorf EuroShop 2017 Trade Show. The EuroShop is considered to be the largest retail trade show in Europe and is held once every 3 years. Manufacturers and service providers from multiple and diverse retail-oriented segments were in attendance. A quick glimpse into EuroShop Analytics: Represented sectors: Store and retail outlet designers, stand and POS manufacturers, designers, architects, lighting manufacturers etc. 113,000 visitors from 138 countries attended the 5-day long trade show (a 4% increase from 2014). Palram displayed its wide array of flat sheets: the PALIGHT flat foamed PVC sheet product family, PALGLAS flat extruded acrylic sheet, PALCLEAR flat transparent PVC sheet, PALSUN flat solid polycarbonate sheet and SUNLITE flat multiwall polycarbonate sheet, as well as the recenstly introduced PALBOARD multilayered PVC sheet and PALOPAQUE Eco flat opaque PVC sheet. Palram received widespread exposure and interest, establishing considerable market potential. This was a good first opportunity for many of the visitors to get acquainted with the company and products. We utilized our own products to design and build Palram s EuroShop booth to appear like an upside down candy store. This unique visual display attracted many visitors and generated interest among the trade show visitors. See you at the 2020 EuroShop!

5 Product Concepts - PALCLEAR PVC is here to Stay - Omer Shoham The clear thermoplastic sheet commonly known as acrylic has been available for over 80 years. While being the first clear sheet available, it did have some innate drawbacks. Since the 1980 s, polycarbonate was utilized as a replacement for both acrylic and glass, as well as in new product specific applications, due to its inherent advantages over both materials. For over a decade, Palram has been offering yet another product and solution, which was specified and manufactured to address some of the shortcomings found in acrylic and polycarbonate. The solution is made from PVC and is called PALCLEAR. PALCLEAR offers unsurpassed clarity in a transparent PVC sheet. The sheet offers excellent resistance to flame and chemicals, making it a leading solution for a range of applications in indoor populated areas. PALCLEAR is also durable and easy to fabricate, making it ideal for sawing, CNC cutting, routing, thermoforming, cold and hot bending. Lately, following after -market demands PALCLEAR was redesigned and is now offered with the renowned Water-Clear clarity. As far as interior applications, it is now a true substitute for other clear sheets. PALCLEAR uses includes: safety glazing, indoor signage (suitable for digital printing), machine guards, POP shelf stoppers, medical instruments, glazed environments for farming & domestic animals, chemical environment separators and enclosures etc. All of the above specifications make PALCLEAR the most suitable clear product in the field of indoor clear plastics. Palram Campus - CE-Marking for Flat Polycarbonate Sheets Finally Possible Shlomi Yehudai - Fabrication Application Manager The long anticipated CE mark for flat solid polycarbonate sheets has finally been published i.e. EN 16240: Light transmitting flat solid polycarbonate (PC) sheets for internal and external use in roofs, walls and ceilings. Requirements and test methods. This standard was recently published (March 2017) in the European Union committees: EN16240 was published in the OJEU. Voluntary CE marking is now possible. Mandatory marking starts on Palram is now set up to fully comply with this standard with products bearing these markings expected to be shipped during Q We can also supply our customers with a DOP (Declaration of Performance) which is essentially a data sheet stating the products conform to the EU directives. These markings regulate the testing and measurement systems for flat polycarbonate sheets, such as Palram s PALSUN, PALTUF and PALGARD.

6 Palram Russia Vadim Lvovsky - Regional Marketing Manager Russia is the largest country in the world, geographically, with a territory of 17,000,000 square kilometers. Palram s local presence in Russia is therefore very important and reflects the great potential in this promising market. Palram started it s Russian operations in the year Our subsidiary Palram Russia, which includes our Russian offices and sales warehouse, was established some 6 years ago. The reasons for opening up a this operation include the need to be close to the market, considering the diversity and distances, for fast lead time of relevant products as well as due to currency exchange considerations. The Russian extruded thermoplastic market is a complex, highly competitive and rapidly changing one. Some key parameters of the Russian market are: The number of local manufactures increases every year. Essentially there are hundreds of small to medium sized manufactures and distributors in Russia. The competition with them is mostly related to pricing, where naturally this has an adverse effect on quality and product service lifetime. Continual changes in the Russian macroeconomic environment, which is just beginning to recover from recession and showing initial signs of growth. Currency exchange rate fluctuations and considerations. All of the above factors necessitate Palram Russia to provide our customers the added value products and services which they require, via effective and flexible work activities. Palram s wide product range allows us to maintain a leading position in the Russian market, and serves to emphasize Palram s clear competitive advantages in supplying corrugated polycarbonate sheets, transparent and foam PVC sheets as well as Panel Systems. This year Palram Russia participated in the MosBuild exhibition. With about 100,000 visitors this exhibition will now provide Palram Russia with an additional excellent opportunity to promote our products on the Russian market and will help to bring to market our innovative products: PALCLAD Pro Hygienic PVC Wall Cladding System, which is a cost effective and comprehensive solution for covering large areas with chemical and fire resistant sheets. SUNTUF SOLARIO Insulated Rooflight System. Solario enables & maximizes natural sunlight entry into work & traffic areas while maintaining maximum thermal insulation.

7 Applications Palram Applications Tune in to New Opportunities Trade Show Reviews NAHB-IBS 2017 The NAHB International Builders Show (IBS) is an annual major US light construction show, attracting more than 60,000 visitors from 100 countries every year. Being first time participants, our company s representatives enjoyed the event s vibrant and lively atmosphere and were delighted by the visitors excitement when acquainting themselves with our company and upon reviewing, learning and discussing our products. Having witnessed first-hand the growing demand of the Do It For Me audience, Palram Applications was fortunate to be present. We plan to participate at the next NAHB International Builders Show and would like to seize this opportunity to extend our invitation to existing as well as to potential clients and partners to visit our booth. See you next year! BAU 2017 The European BAU is a world leading trade fair for architecture, materials and systems in the construction industry, which takes place once every two years. BAU Munich 2017 presented Palram Applications with a wonderful opportunity to engage in a meaningful, professional conversation about product lines and future plans. Numerous interactions and discussions with customers and visitors from all over the world provided an excellent opportunity to learn about the products impact on different market cultures. In addition to receiving constructive and positive feedbacks, the event also inspired and invoked ideas for new products.

8 Spotlight on... Subhi Khaldi Name: Subhi Khaldi Position in Palram: Middle East Sales Manager & Palram Local Market Academic Background: Certificate in Business Administration from the University of Haifa Hobbies & Interests: My family takes first place in my life. We enjoy outdoors activities including trips and nature walks. During the winter we gather for family indoors activities such as playing board games. I also participate in philanthropic functions, donating both time and necessities to those in need during holidays. As head of the municipal Parents Teachers Association I am involved in social events in school and the community, as a pivotal function between the school and the students and their parents. Years at Palram: 20 years in Palram History in Palram: I started in Palram s local market warehouse, where I worked for 7 years in several positions. The following ten years I worked in the local market customer service department, with additional responsibilities as Sales Manager in the Middle East market. Since 2014 I hold the two full time positions as a sales manager for the South Central region of Israel and Sales Manager in the Middle East market. The scope of my activities and my mission in the company: Sales Manager for the South Central Market in Israel and Sales Manager for the Arab speaking countries. In my position, I perform hands on sales activities via establishing a business relationship based on trust and personal attention between myself and the client. Following this, we move on to the professional and business aspects of the relationship. I maintain continuous contact not only until the deal is done, but following through well beyond that. To me, this is the real secret of success for a salesperson. Additionally, working with the various Arab countries in the Middle East one, has to remember that each of them has different cultural nuances and requires an appropriate approach. A good example is the Zakho International Stadium in Iraq. From start to finish, this deal was no less about going the extra mile for the client than about the product itself. Once we met with the stadium officials, we were notified that we are in a close competition with another major supplier. As such, I had to offer the client a comprehensive product, a solution package that would constitute as a deal maker, adding value to the bare bones product. The solution was a dual colored roofing system, consisting of ML Red/White & Clear Diffuser Plus SUNPAL multiwall panels. The unique red color, aptly named Zakho Red is the official color of the Zakho Club On a more personal note - message to co-workers, organization or customer: Most important in order to succeed in any role in PALRAM, always come with a smile to work and be humble. This is my secret. Visit us on Stand B5-E40FESPA May 2017 REGISTER NOW WITH PROMO CODE: FESD701 PALRAM H.Q. Tel: Fax: palram@palram.com PALRAM EUROPE LTD. Tel: Fax: sales.europe@palram.com PALRAM AMERICAS Tel: Fax: palramamericas@palram.com