IdleAire says it has plans to remain afloat

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Knoxville, Tenn.-based IdleAire Technologies, after making its financial struggles public, recently made a brief presentation to a committee of the city’s Transportation Planning Organization, which has provided $2 million in funding to the company, the News Sentinel reported.

IdleAire manufactures and maintains in-cab electrification units for the longhaul trucking industry. The units supply electricity, heat, air conditioning, Internet and satellite TV connections, on-demand movies and educational videos through consoles that fit in truck windows for a fee. The power units allow truckers to turn off their engines, thus saving diesel fuel and reducing pollution.

According to the News Sentinel, IdleAire officials answered a few background questions posed by TPO committee members, but declined to make predictions or comments about future company performance, citing Securities and Exchange Commission restrictions while the company considers going public; the company has not said when it plans to offer public stock, how many shares will be offered or at what price.

In a report filed with the SEC March 31, IdleAire said it “expects to report a net loss of approximately $93 million and revenues of approximately $37 million for fiscal year 2007, as compared to a $60 million net loss and revenues of $14 million for fiscal year 2006.” The filing also said “there is substantial doubt about the Registrant’s ability to continue as a going concern.”

In the filing, the company outlined its strategy to remain afloat: “Management, with Board approval, has engaged Getzler Henrich & Associates LLC and KPMG Corporate Finance LLC to assist and advise the Registrant in developing and implementing a plan that, if executed successfully, should provide sufficient liquidity to finance the Registrant’s anticipated working capital and capital expenditure requirements for the next 12 months.” IdleAire, however, stated that it couldn’t guarantee that plan could be executed.

Carol Doty, manager of strategic affairs for IdleAire, told the Knoxville TPO that the company already has 216 anti-idling devices now operating in Knox County, and that it also plans to open another anti-idling location in Jefferson County, but she gave no timeframe, the News Sentinel reported.