It has been a few crazy weeks as we build this cross-border foundation

Summary

Exhibit 83, filed May 7, 2021 as Document 131-18 in Case 1:20-cv-00658-LMB-IDD, is an April 7, 2020 email chain (pages BFM000032772-BFM000032773, marked CONFIDENTIAL). Henry Huang writes that only a set number of N95 masks are produced in the country each day, mostly under long-term contracts dating back to February, that orders of 10-50M N95s would be impossible to fulfill, and that securing timely inventory means locking down dedicated daily production capacity. He offers KN95s and disposable surgical masks as a short-term option and attaches two consolidated versions of the first 4 POs, one with a 10% discount if the original 'blue flame strat agreement' is terminated or amended. He says he will move up to 2M Makrite units from an existing contract within 10 days of payment, with delivery in roughly two weeks. Mike Gula replies thanking him for helping Maryland, Tennessee and Alabama.

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Full text

EXHIBIT 83

Case 1:20-cv-00658-LMB-IDD     Document 131-18     Filed 05/07/21     Page 1 of 3 PageID#
2126

From:
Mike Gula
Sent:
Tuesday, April 7, 2020 3:46 AM PDT
To:
Henry Huang
Subject:
Re: URGENT PO 1-4

Thank you so much for helping Maryland. Tennessee and Alabama. Those go smooth we are so
so so gold and everything will roll
On Apr 7, 2020, at 6:31 AM, Henry Huang <henryh@chcgp.com> wrote:
Gentleman,
It has been a few crazy weeks as we build this cross-border foundation.
I know that you guys have been reaching out to a wide variety of networks procuring orders from all
over the world.
I wanted to make a few suggestions and well as keep everyone here informed of the current
environment.
There are only a set of number of n95 masks throughout the country being produced every day. most
of which are existing long term contracts dating back to February.
understanding that there is infinite demand but limited supply, we must balance the customers
expectations and allotments wisely.
1. See orders for 10-50M n95 here is there, however that would be impossible to fulfill given the
number of people that all want it. I do not wish for blue flame to commit to something it will have a
hard time delivering on.
2. Ordering on demand will be a big unpredictable challenge for the n95s as the only way to ensure
securing timely inventory is locking down dedicated daily production capacity for blue flame with each
brand where we can move.
3. qualified Kn95s /disposable surgical masks are also a short term option that may be viable for most
of your customers as they wait for n95s to be locked down in the near future.
ALL this being said I have attached 2 consolidated of the first 4 POs, you can pick the 10% discount
version given we terminate or amend the original blue flame strat agreement.
1. Order on demand our cost is a premium we pay to existing customers. These makrite ones I will
move 1 time up to 2M units from existing contract within 10 days payment hits. few more days for
customs and air delivery you should be able to see it in two weeks roughly.
2. We have received $2M deposit on this consolidated order so the remaining balance would need to
be materialized upon your confirmation. Please pick the version and e sign and return to me asap
BFM000032772
CONFIDENTIAL
Case 1:20-cv-00658-LMB-IDD     Document 131-18     Filed 05/07/21     Page 2 of 3 PageID#
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<ORDER CONFIRM_BF_0407 10% discount.xlsx>
<ORDER CONFIRM_BF_0407.xlsx>
=
BFM000032773
CONFIDENTIAL
Case 1:20-cv-00658-LMB-IDD     Document 131-18     Filed 05/07/21     Page 3 of 3 PageID#
2128

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