BELMONT, Mass. , Oct. 9 /PRNewswire-FirstCall/ -- Kronos Advanced Technologies, Inc. ('Kronos'), (OTC Bulletin Board: KNOS) announced today that, following receipt of a notice of default by AirWorks Funding LLLP, one of its secured lenders, and in light of the lack of near term revenue opportunities, the outlook for its product development effort and lack of funding alternatives, the Board of Directors, with the concurrence of the independent committee of the Board, has determined that it is necessary to curtail operations and reduce its workforce to the fullest extent necessary in order to conserve remaining assets and maximize their value. As publicly announced last week, Kronos has been, and continues to be, in discussions with its secured lenders regarding the outstanding obligations under the secured promissory notes, the alleged occurrence of an event of default, and Kronos' future operational plan, and the independent committee of the board is investigating strategies for maximizing the value of Kronos' operations and assets. The secured lenders have indicated that they do not intend to provide Kronos any additional funding pursuant to the secured promissory notes or otherwise.
About Kronos Advanced Technologies, Inc.
Through its wholly-owned subsidiary, Kronos Air Technologies, Inc., Kronos Advanced Technologies has developed a new, proprietary air movement and purification system that utilizes state-of-the-art high voltage electronics and electrodes to silently move and clean air without any moving parts. Kronos' technology is versatile, energy- and cost-efficient and exhibits multiple design attributes, creating a broad range of applications. Kronos Advanced Technologies is located in Belmont, MA. More information about Kronos Advanced Technologies is available at www.kronosati.com.
Safe Harbor Statement
This news release contains forward-looking statements made in reliance upon the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Forward-looking statements include, but are not limited to, Kronos' views on future financial performance, market growth, capital requirements, new product introductions and acquisitions, and are generally identified by phrases such as 'thinks,' 'anticipates,' 'believes,' 'estimates,' 'expects,' 'intends,' 'plans,' and similar words. Forward-looking statements are not guarantees of future performance and are inherently subject to uncertainties and other factors which could cause actual results to differ materially from the forward-looking statement. These statements are based upon, among other things, assumptions made by, and information currently available to, managements, including management's own knowledge and assessment of Kronos' industry, R&D initiatives, competition and capital requirements. Other factors and uncertainties that could affect Kronos' forward-looking statements include, among other things, the following: the decision to curtail operating activities and reduce Kronos' workforce; identification of feasible new product initiatives, management of R&D efforts and the resulting successful development of new products and product platforms; acceptance by customers of Kronos' products; substantial expansion of international sales; reliance on key suppliers; the potential need for changes in long-term strategy in response to future developments; competitive factors, including pricing pressures and the introduction by others of new products with similar or better functionality than our products, and ability to obtain additional financing necessary to continue operations. These and other risks are more fully described in Kronos' filings with the Securities and Exchange Commission, including Kronos' Annual Report on Form 10-KSB for the year ended June 30, 2007 . Kronos undertakes no obligation to publicly update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.
SOURCE Kronos Advanced Technologies, Inc.
