Resellers hit by year 2000 date change

Resellers Computerland, Kalamazoo and Triad have become the latest victims of the millennium hangover, recording turnover and profit well below 1999 levels.

Computerland recorded a loss of £128,000 on turnover of £28.3m for the year ending 30 April after a difficult first half. Profit for 1999 was £622,000 on turnover of £37.6m.

Computerland chairman Graham Gilbert said the reseller had recorded good sales since March after a slow start to the year and a busy run-up to the year 2000 changeover. He said the company's Lifecycle products division had been hindered by the acquisition of KDL and poor market conditions.

Meanwhile, Triad posted pre-tax profit of £1.9m on turnover of £48.4m for the year ending 31 March, down from profit of £8.6m on turnover of £49.4m for 1999.

Triad chairman John Rigg said a number of large projects had resulted in a delayed start, but he expects things to improve.

"The millennium effect has taken longer to fade than expected," he said. "Many companies are thinking about how they should handle the ecommerce revolution. Triad is heavily involved in a substantial number of pilot exercises which are expected to lead to major project work."

Kalamazoo, which warned that profit would be below expectations, posted a pre-tax loss of £6.9m on turnover of £62.8m for the year ending 31 March, down from a loss of £2.2m on turnover of £65.8m for 1999.

First published in Computer Reseller News