Amstrad's integrated 'phone and email device is being withdrawn from retail sale after poor sales this year provoked the company to pull the emailer.
Amstrad shifted 61,000 units during the year - which Amstrad described as: "currently the worst high street retail market for many years". The board is writing off £5.7m to cover anticipated costs.
Amstrad Plc made a profit before tax of £19.1m on turnover of £102.5m for the year ended 30 June 2005. It expects to continue collecting usage revenue of £7.3m from the 429,000 installed devices.
The group will be putting its faith in the modestly-titled Sir Alan Sugar Enterprise Scheme or SASES - essentially a way to encourage customers to become sellers of products in exchange for changing levels of commission.
The company is already selling a "unique face care system" using the power of SASES. First you buy the product for £129 and sign up for an account. Then, once you persuade some other punter to buy an electric face-cloth, you receive £15 in commission - sell to just eleven people and you've paid for your clean face and have a quid to spend on soap.
Additionally, you receive commission should any of the people you sign up go on to sell further machines.
Full financial results from Amstrad here.