Legal Disclaimer Steren Electronics is an Interna/onal electronics manufacturer with offices in San Diego, California; Mexico City, Mexico; Memphis, Tennessee; Denver, Colorado; and Shanghai, China, as well as distribu/on facili/es throughout the U.S. and Mexico. We are delighted to present informa/on about Steren Electronics, its North American distribu/on of our robust product line, and our vision for future expansion in U.S. markets. This presenta/on is offered for informa/on purposes only, and by that we mean it does not cons/tute an offer to enter into any sort of license agreement or franchise agreement in any sense. We may develop these programs in the future; but for now we are most interested in establishing a non-‐exclusive buy-‐sell rela/onship to support dealers who are in receipt of this informa/on packet. PRIVATE & CONFIDENTIAL Innovative Solutions for the Ultimate Consumer Experience An Introduction to Steren Electronics • What Are the Dealer Network Challenges • Who Is Steren Electronics • What Is Steren’s Product Offering • What Is Steren’s Partnership Proposal • Steren Stores and Photo Collection • Steren and NewTek Supply Line Cards PRIVATE & CONFIDENTIAL Innovative Solutions for the Ultimate Consumer Experience Profitable Stores in Transition Dealer and Franchisee Issues, Needs and Concerns • What Brand Name Will Dealers and Franchisees Use? • Will the Current Brand Remain Viable? Can Dealers Rely On It? • What Technology Platform Will Support Store Business? • Where Can Products Be Sourced to Replenish Stores? • How to Maintain Margins Through Purchasing Leverage? • Where to Get Promotional and Advertising Support? • Where to Get Financing and Operational Support? • How to Create Long-term Wealth Development? PRIVATE & CONFIDENTIAL Innovative Solutions for the Ultimate Consumer Experience Steren Electronics International Founded over 60 years ago, Steren Electronics International continues to be a leading manufacturer of one of the largest portfolios in the electronics and electrical connectivity world, offering a wide variety of innovative solutions for the ultimate consumer experience. Pillars of Success • High Quality Manufacturing and Distribution • Innovative Research and Development • Comprehensive Franchise Management • Extensive Retail Experience San Diego Shanghai • Marketing, Merchandising and Advertising Expertise • Superior Customer Service and Technical Support Mexico • Unique and Sophisticated Fulfillment Solutions PRIVATE & CONFIDENTIAL Innovative Solutions for the Ultimate Consumer Experience Steren Electronics International A Global Consumer Electronics Leader • Steren Is the Largest Electronics Company in Mexico • #1 Recognized Consumer Electronics Brand in Mexico • Over 390 Steren Retail Outlets Internationally • Over 5,000 Products in the Retail and Consumer Electronics Markets • Partnered with More Than 95 Factories in Asia • Over 2,000 Employees Worldwide • Corporate Offices in San Diego, Mexico City and Shanghai • U.S. Distribution in San Diego, Memphis and Denver PRIVATE & CONFIDENTIAL Innovative Solutions for the Ultimate Consumer Experience Comprehensive Product Offering ‘Retail Ready’ Steren Product Solutions • 5,000 Consumer Packaged Products • 25 Product Categories Represented • English and Spanish Language Packaging • Comprehensive Planagram and Packaging Capabilities • Sophisticated Product Image and Data Library • Domestic and International Packaging Capabilities • English and Spanish Language Web and Print Content • U.S. Design/Engineering and Technical Support Resources • Dedicated Manufacturing/Quality Management Team in China PRIVATE & CONFIDENTIAL Innovative Solutions for the Ultimate Consumer Experience Branded Retail Expertise Products, Systems and Support for Success • Store Design and Set-Up Support • Marketing and Merchandising Services • Online and Direct Mail Promotional Services • Existing Steren MX Marketing, Advertising and Promotion PRIVATE & CONFIDENTIAL Innovative Solutions for the Ultimate Consumer Experience Voice, Video and Data Connectivity Audio/Video Communications Wall Plates Networking • Hardware • Mounts • Cables • Hardware • Cable Assemblies • Audio/Video • Custom Networking • Modules & Accessories • Enclosures Bulk Cable Tools & Meters Power Home Theater • • • • • • • • • • • • • • • • Speakers • TV Mounts • Cables (Audio/Video, HDMI) • Hardware • Active HDMI Coaxial Cable Audio Cable Telephony Datacom Structured Wire Thermostat Cable PRIVATE & CONFIDENTIAL Audio/Video Datacom/Telephony Meter/Test Equipment Installation/Miscellaneous Adapters Power Supplies Cords Strips Miscellaneous Innovative Solutions for the Ultimate Consumer Experience Accessory Solutions Power Bank Toy & Hobby Mobility Accessories • External Back-Up Charging • Lightweight, Compact • Multiple Colors Available • Child Development • Easy Assembly • Wide Range of Ages • Speaker Units • Durable, Protective Cases • Multiple Colors Available USB Chargers Antennas • Retractable Data Cable • Lightning Charging Cable • 30pin Charging Cable • Rotating USB Charger • Slim AC Wall Tap • Triple Tap Outlet • Indoor • Outdoor PRIVATE & CONFIDENTIAL Innovative Solutions for the Ultimate Consumer Experience Consumer Electronics Solutions Electronic Components Batteries Computer Accessories • Capacitors • Components • Resistors • Semi-Conductors • Lithium • Cylindrical • A, AA, AAA, C, D, 9V • Battery Holders • Adapters/Connectors • Computer Cable • Accessories • Microphone/Earphones • Keyboards/Mice Audio Car Audio & Electronics Electronic Projects • Adapters • Horn Speakers • Loud Speakers • Microphones • Adapters • Fuses • Inverters • Breadboards • Switches • Relays • Transformers PRIVATE & CONFIDENTIAL Innovative Solutions for the Ultimate Consumer Experience Steren Sample Product Comparison Agenda RS Part # Product Descrip2on 150-‐0282 AntennaCraA 4-‐Bay UHF Antenna for Fringe Areas CURRENT STEREN STEREN Dealer Cost Dealer Cost Cost Reduc2on $ 28.98 $ 24.60 15.1% 270-‐0241 Whistler 150-‐WaQ Power Inverter with 2.1A USB Ports $ 19.98 $ 21.92 -‐9.7% 120-‐0632 GE iPod, CD, MP3 to CasseQe Adapter $ 4.98 $ 2.65 46.8% 150-‐0478 ProLinks 6-‐A. High-‐Speed HDMI Cable with Ethernet $ 2.98 $ 2.20 26.2% • Competitive Pricing to Increase Profitability • Consistent Packaging, Presentation and Promotion • Simplicity in Sourcing, Fulfillment and Support PRIVATE & CONFIDENTIAL Innovative Solutions for the Ultimate Consumer Experience Steren Pathway to Success Products, Systems and Support for Success • Comprehensive Product Solution: Ø Branded Products (with NewTek) Ø Steren Products Ø Order Management and Fulfillment Solutions • Complete Technology Solution: Ø Simple, Efficient and Cost Effective Replacement POS • Global Established Consumer Electronics Retail Brand: Ø Store Branding Ø Product Branding Ø Marketing, Merchandising, Advertising and Promotion • Complete Store Set-Up, Design and Deployment Solution PRIVATE & CONFIDENTIAL Innovative Solutions for the Ultimate Consumer Experience Steren Electronics Proposal Phased Approach Focused on the Store Success • Steren Electronics/NewTek Supply Partnership: Ø One Source Solution for the Entire Dealer Network Ø Comprehensive Access to ALL Products Needed • Authorized Dealer Conversion Program: Ø Non-Exclusive Legal Agreements to Support Purchases, Brands/Marks, Marketing/Merchandising, POS, VIR Ø Inventory Start-Up Purchase Program Ø Technological Platform Conversion Ø Branding, Marketing and Promotional Launch • Steren U.S. Franchise Infrastructure: Ø Expansion and Conversion Potential Ø Comprehensive Services Structure and Support System Ø Marketing, Merchandising, Advertising and Promotion PRIVATE & CONFIDENTIAL Innovative Solutions for the Ultimate Consumer Experience Steren Commitment What This Means For You… Steren Commits the Following to Dealers: • MORE SALES FOR YOUR STORES: Ø The Breadth of Our Product Line Should Generate Increased Sales Ø Our MSRP Prices Will Be Competitive and Generate Increased Sales • MORE PROFIT FOR YOUR BUSINESS: Ø Steren Product Costs Will Enable Your Store to Generate More Profits Ø Leverage Branded Product Purchases Will Enable Stores to Keep Profits Ø A Broader Steren Product Line Ensures More High Margin Options • COMPREHENSIVE and INTEGRATED MARKETING • CONSISTENT and THOROUGH SUPPLY of PRODUCTS PRIVATE & CONFIDENTIAL Innovative Solutions for the Ultimate Consumer Experience Call to Action: • Sign Up to Attend the Introductory Webinar: Thursday, April 16, at 4:00pm, EST Time Friday, April 17 at 11:00am, EST Time Friday, April 17 at 2:00pm, EST Time hQps://aQendee.gotowebinar.com/rt/3198552258627683329 • Visit the Steren Dealer Network Website: WWW.KEEPCALMHERETOSTAY.COM • Submit Your Store Data and Account Application PRIVATE & CONFIDENTIAL Innovative Solutions for the Ultimate Consumer Experience
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