 Multitech Warehouse Direct grew more rapidly at first than McKay's Krazy Krazy, reaching 52 stores in seven provinces across Canada at its peak in 1993.In that year, however, it signed a deal as the exclusive Canadian distributor of Magnavox products, which locked it into purchasing $25 million worth of inventory per year regardless of actual sales; at the same time, its early forays into selling computer products were unsuccessful.The company also had a rocky relationship with Sony, buying Sony products on the grey market in the United States to get around Sony Canada's unwillingness to maintain direct business dealings with Multitech; culminating in a 1993 court case after Sony Canada alleged that Multitech was advertising Sony products at deeply discounted prices, but training its sales staff to disparage the Sony products as defective and not worth purchasing, and instead steering customers to higher-priced competing products.