UnifiedOnline Inc fka UOIP

[MrBruce]

Thnx 4 the link

"In each case Promark had early-on identified these companies and their products as innovators in the storage space. In most of these cases and at the point when Promark started selling them, these storage vendors were only doing a few million dollars of revenue annually and were looking to grow their channel presence. So in return for Promark agreeing to sell their products through its channel, Promark realized some nice margins on their products.

However what happened in all three of these cases is that each of these companies were eventually bought out by vendors who Promark did not represent. So if Promark did continue to resell these products, Promark's margins were slashed to about 5% of the sale price. These low margins would force Promark back to finding another comparable storage product and provider who was again doing a few million dollars worth of sales and looking to grow."