INTRODUCTION

Central Computers, Inc -- a WBENC Certified Women Business Enterprise and a WRMSDC Certified Minority Business Enterprise -- started business in 1986, as the computer revolution was taking place here in Silicon Valley. Our wholesale customers are generally local consultants and service specialists. Among our retail customers, there are many corporations, universities, government entities, and private individuals like Silicon Valley professionals in the high-tech field. We also ship to customers across the United States. To better serve our local customers, we have five locations: the headquarters, in Santa Clara, surrounded by Intel, IBM, HP, Apple, and other high-tech companies; the San Francisco store, neighboring Moscone Convention Center; the East Bay store, down the block from Newpark Mall and many burgeoning high-tech companies; the Sunnyvale store, near the headquarters of many internet companies such as Google and Yahoo; and the San Mateo store, down the block from Hillsdale Mall and near many of the biggest gaming companies in the industry. We own the properties where our five stores are located, indicating not only a strong financial foundation, but a commitment to serve our customers for many years to come. Of course, we will continue to expand and add more branches in order to serve our customers better and to provide promotion opportunities for our employees.

FOUR COMMITMENTS - THE CENTRAL CORPORATE CULTURE

In addition to our stores and organization, we have also developed our corporate culture, basing it on four commitments: our commitment to our customers, our commitment to our employees, our commitment to our vendors, and our commitment to our industry.

THE COMMITMENT TO OUR EMPLOYEES: COMPETITIVE SALARY, PROFIT SHARING, TRAINING AND PROMOTION OPPORTUNITY

In order to be able to offer great customer service to our customers, we first need to take care of our staff. We offer competitive salaries and wages, medical and dental coverage, and 401k retirement benefits. Also, at the end of each year, our staff receive bonuses based on the company's profit from the previous year. Product and technical training is created to improve customer service and provide learning opportunities for our staff. Because of our employee-oriented culture, Central has created a harmonious working environment where everyone is a part of the same family, with many staff having been at Central for five or even ten years.

THE COMMITMENT TO OUR CUSTOMERS: WIDE SELECTION, LOW PRICES, AND GOOD SERVICE

Like Apple and many other Silicon Valley companies, Central started business in a garage. Our business started with us building economical systems for our relatives and friends. Our team made a strong commitment to our customers and building long-term, close relationships with them.

Our commitment to our customers involves with three aspects: wide selection, good prices, and best services.

1. Wide Selection: We purchase our products from different sources: distributors and manufacturers in the United States, and manufacturers overseas, mainly Mainland China and Taiwan. At the present, we have more than 10,000 items in stock. We have a principle that if three customers requested a product, we will stock that product.
2. Good Prices: We have strived to stay a low price computer retail store in the Silicon Valley. In comparison to some of our larger competitors who select a few loss leaders to lure people to their stores, most of our items on the shelf and on our online price list are lower than other local dealers. We handle our own RMA process through our stores, while other large dealers require you to go to the manufacturer.
3. Good Services: Our services have been recognized as the best in the region. Many of our employees have worked at Central for more than five years, which means that they have technical knowledge to answer your questions. We have certified in-house technicians to help you solve your technical problems at our stores or at your location. In short, our people are honest and enthusiastic.

THE COMMITMENT TO OUR VENDORS: SUPPORTIVE, COOPERATIVE

In order to successfully carry the latest in computer products, we need to maintain a close working relationship with our vendors. We take our responsibility to our vendors seriously. We carefully screen product returns and provide our own support in order to minimize the burden on our vendors. We greatly appreciate it when vendors provide support and training resources to increase our staff's product knowledge, so that we can provide better customer service and represent their products as completely as possible. Our close relationship with our vendors allows us more flexible terms, more responsive warranty service, and more in-depth technical support⁠—all values that we can then pass on to our customers.

THE COMMITMENT TO THE INDUSTRY: CAREER ENTHUSIASM AND COMMUNITY INVOLVEMENT

At Central, we love the world of computers and technology. We feel fortunate to be part of the high-tech industry and continually strive to gain new product and technical knowledge to best serve our customers' evolving needs. Our president served as the Chairman of a local computer association and continues to serve many community organizations. Our company has and will continue to donate to many different community and industry organizations, functions, and causes.

NEW CHALLENGES, FACING THE RECESSION, BUILDING FOR THE FUTURE

Central enjoyed many years of rapid growth due to the high-tech revolution in Silicon Valley. Since 2001, Silicon Valley has suffered a deep economic recession, with many companies stopping or severely curtailing new computer purchases. We have watched as many other computer dealers have had big lay-offs of staff, and have seen many completely close down. We have survived all this time and have continued our over 30-year-long record of never having laid off a single employee. To survive through the downturn our staff has come together to work even more closely and efficiently than before, we lowered prices, paid even more attention to customer service, and have concentrated on technical services to a greater degree. As the economy continues to recover and our company stabilizes, we will be poised to enter a new age of growth and open new stores in the Bay Area.

We appreciated your patronage in the past and hope for your continued support in the future.