1. Well, these are not exactly the dog days, but things are a bit slow. However, if you're a basketball fan (at this writing my beloved Stanford is still alive), a huge fan of Court TV, political mudslinging and toss in a little saber ratline things are busy. Also, if you're looking for post-Holiday deals on consumer tech items, now is YOUR time. I'm also attending and speaking, officially and unofficially at some kook tech and retail events. Oh, I also recently learned my former colleague John Chin left Monster Cable to join Good Guys in a senior merchandising role. Congrats Big Daddy. But there's still more going on: CompUSA's big GM show (and that should be exciting given all that's going on there), a Grand Opening of another Fry's in lovely Concord, CA and, of course, the big daddy of them all, RetailVision in (new venue) Indian Wells, CA. For those of you who have never been to this little part of the world, you should know one thing, it's a desert! It can get hot - so check weather.com or your alternative weather sites in advance. It's also going to be a HOT event. Almost sold out, including a new Consumer Electronics "section" to the event, there is a very strong retail contingent and many new Vendors- new and old - attending. Make sure you book your press appointments early - ChannelMedia looks forward to seeing you all. Oh, and here are a few other things going on you should be aware of, in the political world of PR/Media, these are referred to as "talking points." They include the following;

2. Ingram is on a roll. Ingram Micro announced fourth-quarter net income was $46.4 million versus a net loss of $10.3 million or $0.07 per diluted share in the year-ago quarter. Worldwide sales for the quarter were $6.76 billion, an increase of 15 percent versus the prior year and a 30 percent increase sequentially, of which the translation impact of the strengthening European currencies contributed approximately seven and three percentage points, respectively, to these increases. Regionally, North America generated 45 percent of total revenues, Europe generated 41 percent, Asia-Pacific generated 9 percent and Latin America generated 5 percent. The Asia-Pacific region represents a significant portion of the annual sales mix and will now be reported separately, as will Latin America. "We ended the year on a high note, with fourth-quarter sales and income exceeding our original expectations," said Kent B. Foster, Chairman and Chief Executive Officer, Ingram Micro, Inc. "North America and Europe performed especially well. Europe delivered a record-breaking quarter, with sales, operating income and operating margins reaching all-time highs. European operating margins excluding major-program costs were 169 basis points, an increase of 72 basis points versus a year ago. In North America, fourth-quarter operating income excluding major-program costs improved 40 percent on sales that increased 4 percent versus a year ago. The strong sales overall and great execution from our two largest regions drove a 53 percent increase in worldwide operating income excluding major-program costs, boosting the operating margin to its highest level in three years. "The quarter's strength was driven by a healthier demand environment, overall excellent operational management in our largest regions, and the success of our profit-enhancement program," said Thomas A. Madden, Executive Vice President and Chief Financial Officer, Ingram Micro, Inc. "The profit- enhancement program was completed ahead of schedule and made a significant impact on operating income. The program delivered approximately $176 million in annualized operating income improvements, exceeding our original expectation of $160 million when we announced the program in September of 2002. It also created a solid foundation for profitable growth and attractive operating leverage. In the fourth quarter, for example, earnings per share excluding major-program costs increased 79 percent versus the year-ago quarter, while sales increased 15 percent. For the year, earnings per share excluding major-program costs and special items increased 47 percent on revenues that were relatively flat with the prior year."

3. Ingram offers outlook. According to the company's forecast for the first quarter ending April 3, 2004, sales are expected to range from $6.1 billion to $6.3 billion, with net income ranging from $36 million to $40 million, or $0.23 to $0.25 per diluted share based on 159 million weighted average shares outstanding. "The guidance reflects a seasonal sequential decline from the particularly strong fourth quarter," said Foster. "It also is a continuation of the top-line strength we saw in the fourth quarter, representing a sales increase of 11 to 15 percent over last year. This increase reflects both year-over-year growth in local currencies and the impact of stronger European currencies that we are currently experiencing. "Our focus in 2004 is on sustainable, profitable growth," he added. "We will continue to introduce higher margin opportunities with emerging and converging technologies, capture share in vertical markets and deliver greater return on our fee-based logistics and marketing services."

4. Recent reports suggest that Apple is starting to "think small." Specificially as it relates to their retail store strategy. The plans reported in Think Secret, reported that UCLA would be the site of Apple's first mini store and that some of the mini stores would be located near college campuses in an apparent effort to boost Apple's sales to higher education. While Apple's first stores were large in size -- the Tyson's Corner and Palo Alto stores are reportedly 8,000 and 6,500 square-feet, respectively -- Apple eventually settled on a smaller store setup, finding it to be more efficient and easier to maintain. It's not known exactly how much smaller the mini retail stores would be, as compared to Apple's current floor plan.

5. Office Depot, Inc. will step in where Toys "R" Us left off acquiring 124 of the former Kids "R" Us stores for $197 million in cash plus the assumption of lease payments and other obligations. The locations include properties owned by Toys "R" Us, Inc. as well as stores with ground or operating leases. The transaction is expected to close in phases over the next several months. In other news, Office Depot named Carl Rubin Executive Vice President, Chief Merchandising Officer. In his role, Rubin will lead all North American merchandising activities across Office Depot's retail, contract, catalog, and e-commerce businesses.

6. The Computing Technology Industry Association (CompTIA) and D&H Distributing, one of America's oldest and largest wholesale products distributors, announced today they are working together to promote the certification of technicians in the home integration market. D&H Distributing will provide its dealers with vouchers for the certification exams at a reduced cost, plus training tips and information on courseware and training organizations. In addition, CompTIA is offering a discounted membership rate of $99 for D&H customers who sign up before April 30, 2004. As a first step in this new relationship, D&H Distributing has joined the CompTIA Home Technology Integrator (HTI+) certification advisory committee, a group of leading manufacturers, Retailers, educators, and courseware developers responsible for setting the direction of the HTI+ certification. "As the leading distributor in the digital convergence market, we are seeing a significant pattern of increased cross-category purchasing behavior among our computer Resellers," said Dan Schwab, Vice President of Marketing at D&H Distributing. "We continually develop new programs and tools that help our dealers succeed. Our principal reasons for joining the CompTIA HTI+ certification committee are to be closely involved in the skills development process and to be able to offer a verified tool that helps our Resellers migrate into the home integration market. "Through this program, we can also offer certification exam vouchers to reduce their cost when taking the exams. Certified technicians will help ensure improved system performance leading to higher customer satisfaction and more word-of-mouth referrals for dealers. Certification also helps to create new job opportunities and career paths." HTI+ certified technicians have demonstrated mastery of best practices equivalent to six months on-the-job experience in home integration by passing two comprehensive exams. The certification exams cover designing, implementing, and maintaining home networks, which can include everything from computers to televisions, audio systems, security systems, lighting systems, telecommunications, and heating, ventilating, and air conditioning. "The inclusion of D&H Distributing on the HTI+ advisory committee and providing exam vouchers to dealers is an important step forward for the home integration industry," said Gene Salois, Vice President of Certification, CompTIA. "This further increases dealer and consumer awareness of the need for trained and certified technicians. Professionalism through training and certification is vitally important to the success of a new industry such as this one. Professionalism grows acceptance, confidence, and ultimately greater demand." D&H Distributing joins the following organizations on the HTI+ advisory committee: Best Buy, Bradford Learning, Cisco Systems, Cisco Learning Institute, CompUSA, Continental Automated Building Association, Fluke Networks, Gateway Computer, Graymark International, Heathkit Educational Systems, HomeDirector, Honeywell International, Internet Home Alliance, Marcraft International, Microsoft, Panasonic, Sears Roebuck & Co., and Whirlpool Corporation.

7. Audible and Micro Center, a part of the Micro Electronics family of companies, announced a co-marketing relationship in which Micro Center will sell AudibleListener audiobook membership plans in conjunction with the Apple(R) iPod(R) portable digital audio player. Audible is the leading provider of digitally delivered spoken word audio. Micro Center will promote Audible's flat-rate membership plan, AudibleListener, to its 3 million customers with the compatible devices carried by the Retailer. At the start of this promotional campaign, users who sign up for 12 months of AudibleListener at Micro Center retail stores and through catalog purchases will receive a $100 discount on an Apple iPod. PremiumListener consists of any two audiobooks from Audible.com's collection of 6,000 titles for $19.95 per month. "By bundling Audible's service with compatible devices, we can deepen the relationship we have with our customers by enriching the ownership experience," said Kevin Jones, Vice President - Merchandising, Micro Center. "Consumers are looking for electronics that have both cutting-edge technology and practical, real-world applications, so we think the combination of Audible's audio service and rebates on the rich selection of Micro Center's already low-priced devices will be an exciting offer for our customers." "This agreement with the creative Retailers at Micro Center builds upon the success we are seeing in acceptance of the Audible service when bundled with MP3 players and PDAs in a retail shopping environment," said Matthew Fine, Senior Vice President, Enterprise Development, Audible, Inc. "I am confident that Audible will be regarded as a great value by Micro Center's customers as they look to get the most out of their iPod devices."

8. Tweeter Home Entertainment is pleased to announce the following additions to its executive team effective April 5, 2004. Judy Quye joins Tweeter as Senior Vice President of Retail Operations. Quye brings with her over 22 years of retail experience from senior level positions she has held at GAP, Gateway and Office Depot. Quye spent her first fifteen years in retail with various Target owned brands. Mark Richardson joins Tweeter as Senior Vice President of Marketing/Chief Brand Officer. Most recently, Richardson was the Brand Officer for a division of Allied Domecq QSR. Prior to this position, Richardson held Executive Vice President positions at Hill, Holiday, Connors and Cosmopolous; Houston Effler and Partners and was a Managing Partner at Ingalls, Quinn and Johnson. "Our existing senior staff and dedicated management team continues to be one of the mainstays of our success. However, as we close in on the $1 Billion revenue mark we realize that we need to add more diverse experience to our team," stated Jeffrey Stone, President and CEO of Tweeter Home Entertainment Group. "Judy has a tremendous background leading retail store operations both in commission and non-commission environments, including experience with store merchandising, visual display, and real estate acquisition, construction and portfolio management," Stone commented. "Mark brings a wealth of branding knowledge and experiences as well as strong retail insights to the table. As Tweeter evolves to compete in the convergent future, our branding will be critical for success." Stone concluded, "Not only are Judy and Mark incredibly qualified from a skill set perspective, but they are also a great fit for us from a personality and leadership standpoint. We believe that they will be an excellent complement to the existing team." Tweeter's fiscal 2003 revenues were $787 million. Tweeter has been named a "Consumer Electronics Retailer of the Year" by Audio-Video International every year since 1979 and was named one of the "100 Fastest Growing Companies" by Fortune in 2002. Tweeter Home Entertainment Group, Inc. now operates 174 stores under the Tweeter, HiFi Buys, Sound Advice, Bang & Olufsen, Electronic Interiors, Showcase Home Entertainment and Hillcrest High Fidelity names in the New England, Texas, Southern California, Mid-Atlantic, Chicago, Southeast, Florida and Phoenix markets. The company employs more than 3,600 associates.

9. Digital River announced that it signed an agreement with Vigilant Privacy Corporation, a world leader in easy-to-use, standards-based, file encryption security software. Based on the agreement, Digital River is providing Vigilant Privacy with a multi-channel e-commerce solution to support the online marketing and sales of its sophisticated privacy software. The recently launched initiative includes a branded online store built and managed by Digital River and located at http://www.vigilantprivacy.com/. The initiative also provides access to Digital River's online sales network, which is comprised of hundreds of online Retailers, content sites and portals. "We have used the e-commerce and e-marketing expertise that we have developed over the past ten years to help thousands of software publishers build lucrative online businesses," said Dave Alampi, Digital River's Vice President of Marketing. "Our e-marketing services continue to offer a compelling reason for companies to outsource their e-commerce operations to us. When used in combination and fully integrated in our online sales network, these services offer a powerful way to expand market awareness and open new revenue

10. CircuitCity.com will take to the airways this summer with a new national TV advertising campaign. Details of the campaign are still being finalized, but the Retailer is spending several million dollars developing the ads, which are slated to run on national cable channels such as ESPN and other. "This will be a very prominent campaign," says Fiona Dias, Circuit City Senior Vice President and President of Circuit City Direct, the Retailer's direct marketing arm. "There are a lot of dynamic things happening with us and the new TV ads will help get the word out." The campaign is being designed by Foote, Cone & Belding, a Chicago advertising agency.