I got the same email from Label Peelers. I've gotten great deals and service from them in the past. Sucks that they're getting shafted by this situation.
What sucks even more is that this major player in the hop business is apparently putting homebrewers on the back burner. I'm hoping that it's mainly because they just haven't gotten their stuff together because of the new merger. Thankfully their are enough sources of quality hops that I can vote with my dollar and boycott HopUnion until they set this straight.
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Soon after I pre-ordered from Label Peelers (in October), a poster on reddit claimed that they took until mid-Jan to get hops out last year. Seems he was correct. Their price was still pretty good that I never cancelled my order. I have plenty of stock to ride it out. I'll probably use another supplier next year.