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CORPORATE PROFILE Zunicom’s mission is to create long-term shareholder value by creating and building upon sound fundamentals and implementation of growth and expansion strategies through strategic alliances and/or synergistic mergers and acquisitions. Zunicom, headquartered in Dallas, Texas, manages one wholly-owned subsidiary, AlphaNet Hospitality Systems and owns 40% of the outstanding shares of Universal Power Group, Inc., its former wholly owned subsidiary, now traded on the American Stock Exchange under the symbol "UPG". Zunicom’s operations through AlphaNet consists of the sale of business communication, productivity, connectivity and wireless internet solutions to the hospitality industry through licensing agreements. AlphaNet’s product offerings include The InnRoom Business Center™, a private in-room facsimile and printing service, and The Office™, a 24-hour unattended self-serve credit card activated hotel business center providing hotel guests with 24-hour convenient access to various business office services. AlphaNet’s latest additions to its existing product line are Laptop Connect™ and WaveLan™, two services launched at HITEC 2003 on June 24, 2003. Laptop Connect™ allows hotel guests the ability to connect their laptops to high speed internet access points located within the hotel by connecting a supplied cable. Laptop Connect™ also offers a hotspot for users wishing to access the internet through the wireless network feature on their laptop. Similarly, AlphaNet’s WaveLan™ solution essentially enables hotels to provide their guests with public area wireless internet access in any number of locations including lobbies, meeting rooms, lounges, bars and restaurants. Both have the potential to become a revenue generating segment for the hospitality industry. To date, AlphaNet’s 350 hotel clients represent more than 20 brands, such as Hyatt, Hilton, Starwood, Marriott and Kimpton. Universal Power Group business consists of the importation, sale and distribution of portable power and related portable-powered products packaged with third-party fulfillment, procurement and logistics support services to multiple industries including medical, security, mobility, consumer, industrial and more. Universal is one of the leading distributors of sealed lead acid batteries in the nation, and Universal’s products are sold to original equipment manufacturers (OEMs) and distributors for use in the manufacture and sale of high-technology products such as computers, oil field equipment, medical instrumentation, uninterruptible power supply systems, and security equipment. Universal also provides value-added custom battery pack assembly services. Universal’s business offerings are broken down into the following divisions: Universal Battery, Universal Mobility, and Universal Security Distribution. Some of Universal’s customers include ComCast Cable, Cox Communications, Radio Shack, Protection One, Time Warner, AT&T, Brinks Home Security, The Scooter Store, and Pride Mobility. BACKGROUND BRIEF Zunicom, formerly Tech Electro Industries, Inc., was incorporated under the laws of the State of Texas on January 10, 1992, for the purpose of acquiring 100% of the capital stock of Computer Components Corporation, a Texas corporation. On October 29, 1996, Zunicom incorporated Universal Battery Corporation, a Texas corporation, for the purpose of expanding into new markets for batteries and battery products. In May 1999, Zunicom merged Universal Battery Corporation into Computer Components Corporation. On April 17, 2003, Computer Components Corporation changed its name to Universal Power Group to reflect its business growth, expansion and diversification. On October 26, 1999, Zunicom completed the acquisition of AlphaNet to gain an entry into the information technology and Internet related business sector. AlphaNet now offers in-room business communication tools, unattended business centers, and wireless solutions to the hospitality industry. Today, AlphaNet’s installations spanning 45,000 hotel rooms worldwide. On December 20, 2006, Universal Power Group made its initial public offering of common stock. In the offering, Universal Power Group sold 2,000,000 shares for net proceeds before offering expenses of approximately $13 million. Zunicom sold 1,000,000 shares for a net proceeds of approximately $6.5 million. Zunicom declared an $0.80 cents per share dividend on its common stock to shareholders of record March 9, 2007, payable March 26, 2007. Zunicom does not have plans at the present time, to pay any future dividends on its common stock. |
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