Southern Products, Inc. Announces Agreement to Distribute Westinghouse Digital
Deal Introduces High Margin, Non-OEM Product Sales to SNPD Revenue Lines
ORANGE COUNTY, Calif., March 11, 2013
ORANGE COUNTY, Calif., March 11, 2013 /PRNewswire/ --Southern Products
(OTCBB: SNPD), a manufacturer of flat-panel televisions, tablets, and
electronic picture frames, is pleased to announce an agreement with Meidi
Electronics to distribute its Westinghouse Digital Electronics factory
refurbished televisions. The agreement calls for sales to several national
and international online resellers and effectively expands the Southern
Products product line into a new higher margin product category.
"The opportunity to distribute the Westinghouse refurbished television line
not only provides us with an opportunity for new revenues, it also introduces
a higher margin product to our revenue line," said Edward Meadows, CEO,
Southern Products. "Refurbished televisions, especially those with the
respected Westinghouse name, offer margins as high as 30% as opposed to the
8-12% available to us in the market for our new Sigmac branded televisions.
Based on the indication of interest from the retailers we have contacted so
far, we expect these refurbished televisions to add $2 to $4 million in new
revenue to Southern Products over the next year, which, in the aggregate, may
add as much as $600,000 to our bottom line by the end of the first quarter of
Mr. James Chow, the company's new Director of Asian Operations, added, "We
expect to be able to widely distribute the refurbished Westinghouse
televisions internationally, not only to our retailers in the U.S. and Asia,
but also extensively in Latin America. We currently have indications of
interest from several online retailers, including Newegg and Tiger Direct."
"Perhaps most importantly, this agreement further establishes Southern
Products as a significant player in the vast consumer demographic that is
television sales," added Meadows. "With our core Sigmac line and new
penetration into related, high margin arenas such as in today's agreement for
refurbished televisions, Southern Products has taken a significant step toward
becoming a market leader. We plan to remain opportunistic in leveraging our
brand and relationships for other revenue opportunities."
Southern Products expects to start shipping The Westinghouse refurbished
product line within 30 days.
About Southern Products, Inc.
Southern Products, DBA Sigmac USA, is a manufacturer of quality, mid-priced
flat-panel televisions and peripherals for distribution through big-box
retailers in the US as well as the major Etailers. The Company currently has
a product line of over 20 flat-panel models in production, and has entered
into large-scale distribution agreements with Target, K-Mart, Costco.com,
Tiger Direct, Newegg and Walmart.com for the sale of Sigmac-branded flat-panel
televisions, Tablets, Picture Frames and accessories in North America. The
Company is a fully-reporting public consumer electronics company incorporated
in the state of Nevada and trading on the Over-the-Counter Bulletin Board in
the US (OTCBB: SNPD).
For further information please visit www.sigmacusa.com.
Forward Looking Statements
This press release contains forward-looking statements within the meaning of
the Private Securities Litigation Reform Act of 1995. These forward-looking
statements are subject to a number of risks, uncertainties and assumptions,
including those identified under "Risk Factors" in the Company's most recently
filed Annual Report on Form 10-K, Quarterly Report on Form 10-Q and in other
filings made with the Securities Exchange Commission. Actual results may
differ materially from those contemplated by these forward-looking statements
and the Company does not undertake to update any of these forward-looking
statements to reflect a change in its views or events or circumstances that
occur after the date of this press release.
Investor Relations Contact:
Kurt Divich, President
Integrity Media Inc.
SOURCE Southern Products, Inc.
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