AirIQ Inc.
TSX VENTURE : IQ

AirIQ Inc.

April 12, 2011 16:30 ET

AirIQ Announces Results of Rights Offering

TORONTO, ONTARIO--(Marketwire - April 12, 2011) -

NOT FOR DISTRIBUTION TO UNITED STATES NEWS WIRE SERVICES OR FOR DISSEMINATION IN THE UNITED STATES

AirIQ Inc. ("AirIQ" or "the Company") (TSX VENTURE:IQ), a supplier of wireless location-based services, today announced that its previously announced rights offering (the "Rights Offering") has expired and that, based on a preliminary tabulation provided to the Company by the rights agent, the Company expects to issue an aggregate of 8,707,374 common shares (the "Common Shares") for gross proceeds of $1,306,106. Closing of the Rights Offering is expected to occur on April 14, 2011.

Pursuant to the Rights Offering, the Company expects to issue 6,419,070 Common Shares to those holders of rights that have exercised their basic subscription privilege. In addition, the Company expects to issue 2,288,304 Common Shares to holders of rights who have exercised their additional subscription privilege. The Company has been advised by the rights agent that the Rights Offering was over- subscribed by over 12 million shares. As a result, the Company expects that there will be no additional Common Shares remaining for subscription by the standby purchasers under the stand-by purchase agreement entered into between the Company and Mosaic Capital Partners LP, Pinetree Income Partnership, Emmanuel Mounouchos and American Telematics Corporation.

"We are extremely gratified by the success of this offering and the confidence our shareholders have demonstrated through their support," said Don Gibbs, President and Chief Executive Officer of AirIQ.

Each Common Share will be issued at a price of $0.15. Based on the preliminary tabulation provided by the rights agent, following completion of the Rights Offering the Company will have 13,061,061 Common Shares issued and outstanding.

This news release does not constitute an offer to sell or the solicitation of an offer to buy any of these securities in the United States. Securities may not be offered or sold in the United States absent registration under the United States Securities Act of 1933, as amended, and applicable state securities laws, or an available exemption from such registration requirements.

About AirIQ

AirIQ currently trades on the TSX Venture Exchange under the symbol IQ. AirIQ's office is located in Pickering, Ontario, Canada. The Company offers a suite of location based services that generate recurring revenues from each device deployed. AirIQ delivers services to two primary markets: Commercial Fleets and dealers that service Consumer segments. AirIQ provides vehicle owners with the ability to monitor, manage and protect their mobile assets. Services include: instant vehicle locating, boundary notification, automated inventory reports, maintenance reminders, security alerts and vehicle disabling and unauthorized movement alerts. For additional information on AirIQ or its products and services, please visit the Company's website at www.airiq.com.

Forward-looking Statements

This news release contains forward-looking information based on management's best estimates and the current operating environment. These forward-looking statements are related to, but not limited to, AirIQ's operations, anticipated financial performance, business prospects and strategies. Forward-looking information typically contains statements with words such as "hope", "goal", "anticipate", "believe", "expect", "plan" or similar words suggesting future outcomes. These statements are based upon certain material factors or assumptions that were applied in drawing a conclusion or making a forecast or projection as reflected in the forward-looking statements, including AirIQ's perception of historical trends, current conditions and expected future developments as well as other factors management believes are appropriate in the circumstances. Such forward-looking statements are as of the date which such statement is made and are subject to a number of known and unknown risks, uncertainties and other factors, which could cause actual results or events to differ materially from future results expressed, anticipated or implied by such forward-looking statements. Such factors include, but are not limited to, changes in market and competition, technological and competitive developments and potential downturns in economic conditions generally. Therefore, actual outcomes may differ materially from those expressed in such forward-looking statements. Forward-looking statements are provided for the purpose of providing information about management's current expectations and plans relating to the future. Readers are cautioned that such information may not be appropriate for other purposes. Other than as may be required by law, AirIQ disclaims any intention or obligation to update or revise any such forward-looking statements, whether as a result of such information, future events or otherwise.

Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

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