considering that a prior contract with a technology manufacturing client that was not renewed effective August of this year, represented nearly 13% of our prior year Service Fee.

For our Business and Retail Connect business segment, which as Mark mentioned, includes our Supplies Distributors operations and results from our P&G operations, revenue was $46 million in 2010 as compared to $47.3 million for the 2009 fourth quarter, a slight decrease on a year-over-year basis, but in line with prior quarter trends.

Gross profit for the fourth quarter 2010 increased to $8.9 million or 13.1% of net revenue excluding pass-through revenue as compared to $7.8 million or 12.3% of net revenue excluding pass-through revenue in the fourth quarter of 2009. This increase is primarily due to an increased percentage of our revenue being generated from the higher margin Service Fee activity as compared to prior year.

Our gross margin for the services business remained relatively stable, near 28%, which is within our targeted 25% to 30% range. Our newly combined business in Retail Connect segment experienced a decrease in margin in the December 2010 quarter as compared to the prior year, primarily due to the Supplies Distributors subsidiary. We believe based on existing conditions that our future growth margin for the Supplies Distributors business to business activity will trend closer to this lower actual performance from the December quarter, but we are targeting to add new direct-to-consumer clients into our inventory ownership model under Retail Connect, which are expected to operate at higher gross margins in the future.

Our SG&A for the quarter was down approximately $0.8 million to $8.0 million as compared to $8.8 million for the same period a year ago. And with the combination of all these results, in the fourth quarter our consolidated Adjusted EBITDA was $2.6 million versus $0.6 million in the prior year period or a $2 million growth in Adjusted EBITDA in the fourth quarter. This significant improvement on a year-over-year basis is primarily a reflection of the strong top line growth in our services business combined with an ongoing focus on costs.

For the fourth quarter, net loss was $2.7 million or $0.22 per basic and diluted share, compared to a net loss of approximately $0.9 million or $0.10 per basic and diluted share for the same period last year. However as we discussed, our net loss for the fourth quarter of 2010 included a $3.2 million loss from discontinued operations related to eCOST.com, including a $2.8 million goodwill impairment charge.

Now turning to the results for the full year, our consolidated revenue for calendar year 2010 was $274.5 million compared to $267.9 million in 2009. This included a Service Fee revenue increase of 21% to $70.6 million compared with $58.6 million for 2009. Here again, the Service Fee growth is somewhat masked by the fact that the prior year fee amount included fees from our prior contract under a US government contract that was not renewed effective in April of 2009, and a full year — our technology manufacture client arrangement. As a result, actual growth in continuing existing clients and new clients was much higher than this 21% overall result.

For our business in Retail Connect business segment, revenue was a $174.6 million in 2010 as compared to $183 million in 2009, primarily due to softness in our Supplies Distributors business-to-business subsidiary. While we currently expect that revenue from the Supplies Distributors business will stay relatively flat or decrease slightly in 2011, this continues to be an important part of our overall business operations and we are hopeful that new client activity in our Retail Connect direct-to-consumer business will also contribute stronger results to the combined business and retail segment — Retail Connect segment in the future.

From a balance sheet standpoint, we continued to maintain solid working capital turnover results in our various business segments. In addition, we continued to maintain a solid overall financial position with total cash and restricted cash as of December 31, 2010 of approximately $20.3 million, which is relatively consistent with the September 2010 quarter.