AirIQ Inc.
TSX : IQ

AirIQ Inc.

October 15, 2008 12:29 ET

AirIQ's Strategic Review Concluded

Resumed focus on achieving cash flow break-even operation

TORONTO, ONTARIO--(Marketwire - Oct. 15, 2008) - AirIQ Inc. (TSX:IQ), a leader in Wireless Location-Based Services, specializing in Telematics and Security, today announced that the strategic review of the future of AirIQ has concluded.

As previously announced, the Special Committee of the Board was formed in November 2007 to review strategic alternatives for the Company, and Paradigm Capital Inc. was engaged on an exclusive basis to assist the Special Committee during the entire strategic review process.

A number of options were investigated which included financial restructuring, sale of the Company, and a potential merger with another service provider. According to Randy Reynolds, Chair of the Special Committee, "While there was interest expressed by other industry participants, given the very tight market conditions currently faced by telematics companies, no transactions were identified that in the view of the Board would be in the best interests of the Company."

"In light of the current situation, we are managing expenses down, consistent with the tighter economic conditions faced by telematics providers, and with the goal of achieving cash flow break-even in operations," said Steve Willey, Chief Executive Officer of AirIQ. "While this objective has been difficult to deliver under the recent recessionary and volatile business environment, AirIQ's management remains committed to its achievement."

About AirIQ

AirIQ trades on the Toronto Stock Exchange under the symbol IQ. A leader in Wireless Location Services, specializing in Telematics and Security, AirIQ has offices in Pickering, Ontario, Canada, and in San Diego, California, United States. The Company offers a suite of location based services (LBS) under a 'software as a service' (SaaS) model that results in recurring revenues for each device deployed. AirIQ offers service to three primary markets: Commercial Fleets; dealers that service Consumer segments; and Marine Fleets (fisheries and workboat). AirIQ gives vehicle and vessel owners the ability to monitor, manage and protect their mobile assets. Services include: instant vehicle locating, boundary notification, automated inventory reports, maintenance reminders, security alerts, 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 words such as "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 and results 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 new information, future events or otherwise.

Contact Information