are now being offered for sale for $6.10 per share, valuing the company at $7.32 million. They are available in minimum parcels of 850 shares, costing $5,185.

The company's prospectus shows that Chips made a profit of $801,000 during fiscal 1993 -- up by 29 percent on the previous year.

Total sales went up by 17.8 percent ($792,000) to $5.235 million, while the cost of sales increased by 16.7 percent ($474,000) to $3.316 million.

Expenses increased by 14.1 percent ($138,000) to $1.118 million.

Earnings for the 12 months ending September 30, 1993, came to 67 cents per share, compared with 52 cents for 1992 and 41 cents for 1991.

As of September 30, 1993, Chips had assets of $2.526 million, up by 19.9 percent ($420,000) on 1992.

Its liabilities of $1.06 million was a 19 percent ($169,000) increase over 1992.

The shares for the public offering are being sold by Chips' president and CEO, Mr. William Gresham.

He currently owns 1.165 million of the firm's 1.2 million common shares, giving him a 97 percent stake valued by the offering at $7.1 million.

Mr. Gresham is selling approximately 31 percent of his stake in order to broaden the ownership of the company, which he believes will result in "a sound base for the future''.

Other directors of the company are Mr. James Ferguson, vice president and chief operating officer of Chips; Mr. Max Quin, who has his own law firm; Mr.

Robin Spencer-Arscott, chairman and CEO of captive management firm Rollins Hudig Hall (Bermuda); and Mr. Danesh Varma, president of American Resource Corporation.

Chips is the authorised local distributor of Sharp office products, including photocopiers, facsimile machines, personal computers, visual projection equipment and other items.

The company also distributes other lines of machine products, including shredders and office information management systems, such as telephone, copier and facsimile recount systems.

The company is split into three divisions: office machines, related supplies and service and rentals.

Chips owns its own land and building on Laffan Street, Hamilton, comprising an office, warehouse, storage shed and parking facilities in excess of 12,000 square feet.

The prospectus states: "The company intends to maintain a bi-annual dividend policy to give an investor a cash return on the cost of investment of seven percent per annum.

"This policy will result in lower dividends than the company has paid in recent years so that the company will have additional discretionary funds for general purposes.'' Copies of the prospectus can be obtained from the Bank of Butterfield, at its Rosebank Centre, in Hamilton, or at Chips' offices.