PERTH AMBOY, N.J., Dec. 6, 2005 (PRIMEZONE) -- U.S. Starcom, Inc. (Pink Sheets:USTA) announced today that it has received a definitive distribution agreement with one of the world's largest record labels, for the distribution of prepaid phone cards packaged with Latin, Brazilian and Indian music CD's from the customer's stable of artists.
"The initial launch will be for 500,000 pieces with a suggested retail price of $5.99," states John DiDomenico, President and CEO of U.S. Starcom. "The ultimate target is for the distribution of up to 6 million units as part of this agreement. We are thrilled to team up with such leaders in their industries."
U.S. Starcom will be responsible for the distribution of the finished product known as CD-TEL, provided by the customer. The product will be distributed to approximately 10-20,000 locations that currently have relationships with U.S. Starcom, with the target demographic being urban communities in major metropolitan areas. U.S. Starcom will also be responsible for all facets of the included prepaid phone cards. All recordings and packaging will be provided by the customer. This distribution agreement will be managed by the offices of U.S. Starcom in Perth Amboy, New Jersey.
About U.S. Starcom: A leader in providing value added prepaid services and solutions to enhance communications and entertainment. With a sales distribution network extending to thousands of urban locations, U.S. Starcom will continue its rapid expansion into the distribution of alternative communication products and services, including international long distance, prepaid phone cards, wireless dial around applications, stored value services and internet service enhancements. U.S. Starcom is committed to providing affordable access to the latest entertainment offerings from the recording industry through strategic alliances and joint distribution campaigns.
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