Fears mount for Abu Dhabi reseller

Reports claim Icon Computers has not been able to meet financial obligations with distributors

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By  Julian Pletts Published  January 27, 2009

Concerns have been raised over the strength of Abu Dhabi reseller Icon Computers following reports in the channel that the company has not been able to meet financial obligations with distributors.

At least two distributors confirmed they had recently suspended shipments to the company, which resells computer equipment and supplies from a number of international vendors.

A senior source at one of the distributors said it understood the company’s credit facilities had recently been reduced and that the reseller was waiting to collect payments from projects it is involved in. The distributor confirmed it was in touch with Icon’s managing director, Sami Khan, and remained hopeful of finding a resolution, adding the company had been a reliable customer for five years.

“It is obviously very difficult to assume the genuineness of the information you receive in the market today, but we don’t see that this has happened purposely,” said the distributor. “We have been given a very solid commitment that things will be rescheduled and we want to give them some confidence that we will look into the account. But it is something that needs to be resolved mutually.”

Icon is predominantly known as an HP reseller although the company is not thought to belong to the vendor’s authorised channel programme. Its website lists Canon, Lexmark, Epson, IBM, Seagate and Xerox among other brands it sells.

The reseller claims to focus on the government, oil and gas, banking and sectors, and also states that it re-exports to other GCC countries.

Despite repeated attempts for comment, management at Icon had not returned our calls.

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