Update on Myanmar Earthquake; Highway Holdings Maintains Normal Operations with No Damage or Loss of Life

Rhea-AI Summary

Highway Holdings (NASDAQ: HIHO) has confirmed its Myanmar operations continue normally following the March 28 earthquake near Mandalay. The company's factory and facilities in Yangon, located approximately 400 miles south of the earthquake's epicenter, sustained no damage and all employees remained unharmed.

CEO Roland Kohl highlighted that the company's factory was specifically constructed with a flexible metal structure designed to withstand earthquakes. The Myanmar operation, noted for its lower operating costs and quality workforce, continues to be described as a rewarding investment. The company has opted to provide direct financial assistance to employees with families in affected areas rather than making institutional donations.

Positive

• Factory's earthquake-resistant design proved effective in protecting assets
• Operations continue normally without disruption to production
• Lower operating costs in Myanmar contribute to positive business outlook

Negative

• None.

HONG KONG, April 3, 2025 /PRNewswire/ -- Highway Holdings Limited (Nasdaq: HIHO, "the Company" or "Highway Holdings") today confirmed it continues normal operations without any damage to its Myanmar factory or facilities, or harm to its Myanmar-based employees. Highway Holdings' factory and facilities are based in Yangon approximately 400 miles south of the March 28 earthquake's epicenter near Mandalay, which left all of Highway Holdings' employees, its factory and its facilities unharmed and in normal operating condition.

Roland Kohl, chairman, president and chief executive officer of Highway Holdings, commented, "We are very touched by the countless inquiries about our well-being and want to inform shareholders that our operation in Myanmar was not affected by this damaging earthquake. Our location in Yangon, in the southern part of Myanmar, was not as strongly affected. Furthermore, our factory was intentionally built with a strong metal structure, designed to be flexible and to withstand earthquakes."

"Our Myanmar operation is very resilient and functional despite the earthquake. It was and is one of our very rewarding investments and we foresee a very good future in Myanmar based on our extremely good labor force and lower operating costs. We are a socially responsible manufacturer who cares for the well-being and safety of our employees. We offered all our employees who have family in the devastated areas of Yangon financial help rather than giving donations to institutions to ensure victims receive help. We are very sorry for the many lives lost and at the same time we are very happy our people and factory are safe."

About Highway Holdings Limited

Highway Holdings is an international manufacturer of a wide variety of quality parts and products for blue chip equipment manufacturers based primarily in Germany. Highway Holdings' administrative offices are located in Hong Kong and its manufacturing facilities are located in Yangon, Myanmar and Shenzhen, China. For more information visit website www.highwayholdings.com. 

Except for the historical information contained herein, the matters discussed in this press release are forward-looking statements, which involve risks and uncertainties, including but not limited to economic, competitive, governmental, political and technological factors affecting the company's revenues, operations, markets, products and prices, and other factors discussed in the company's various filings with the Securities and Exchange Commission, including without limitation, the company's annual reports on Form 20-F.

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SOURCE Highway Holdings Limited

FAQ

How far is Highway Holdings' (HIHO) Yangon facility from the Myanmar earthquake epicenter?

Highway Holdings' facility in Yangon is approximately 400 miles south of the earthquake's epicenter near Mandalay.

What structural features protect Highway Holdings' (HIHO) Myanmar factory from earthquakes?

The factory was built with a strong metal structure specifically designed to be flexible and withstand earthquakes.

How is Highway Holdings (HIHO) supporting employees affected by the Myanmar earthquake?

The company is providing direct financial assistance to employees who have family members in the devastated areas.

Was Highway Holdings' (HIHO) Myanmar operation affected by the March 28 earthquake?

No, the company maintains normal operations with no damage to its facilities or harm to employees.