CHANTILLY, Va.,
Jan. 18 /PRNewswire-FirstCall/ -- FLO Corporation
(OTC Bulletin Board: FLRP) today announced that it has met all SEC and FINRA
requirements for public trading and its shares were approved for trading on
the OTC Bulletin Board as of
January 15, 2008. With trading initiated, FLO
secures its position as the only pure-play, publicly-traded company in the
Registered Traveler (RT) industry.
"We are thrilled to be operating as a public company in such an exciting
growth industry," said Glenn Argenbright, FLO president and CEO. "FLO is
addressing the evolving RT market through a model that we believe is unique
and differentiated from other service providers. In addition to offering our
solution to airports and airlines to operate their RT programs we are working
to leverage our strategic relationships to enroll individual business
travelers in the RT program through corporate marketing and bulk sales to
employers."
Argenbright continued, "With over a dozen domestic airports now
participating in the program and new airports indicating their desire to
launch RT initiatives in the coming months, we believe that critical mass is
building for this emerging market. However, it is our view that this program
is just getting started. With under seventy thousand RT members enrolled
nationwide, we believe that only 1 percent of the addressable market has been
registered thus far. As such, we believe an expanding network of RT locations
combined with our marketplace positioning will aid in our efforts to
capitalize on an enormous opportunity."
As previously announced, FLO has agreed to acquire Unisys' (NYSE: UIS)
TSA-certified RT solution, "rtGO." The agreement to acquire the rtGO business
includes the operation of the RT program at Reno/Tahoe International Airport.
FLO believes the acquisition will allow it to focus on corporate and member
acquisition and to expedite its time-to-entry in important travel markets
across the country. The transaction allows FLO to focus its resources on
those airports, markets and enrollment locations where it believes return on
capital will be greatest and most measurable.
Argenbright concluded, "We believe we are well placed to capture
significant market share in the year ahead. We're taking steps both to
consolidate the playing field and to fulfill specific business objectives.
We're now a public company with a strong institutional investor base.
Moreover, we've secured commitments from corporations to provide our unique
product offering to their employees, which we believe helps validate our
business model. Considering the steps that we have taken, and plan to take in
the near-term, we are excited about our prospects for 2008 and beyond."
About Registered Traveler
For information about how RT works visit
http://www.flocard.com/about/how_flo_works.htm .
About FLO Corporation
FLO Corporation provides a comprehensive solution for the Registered
Traveler program, which is administered by the U.S. Transportation Security
Administration. The Registered Traveler program is designed to identify air
passengers who pose a minimal security risk and then to provide those
passengers with access to faster and simpler processing at airport security
checkpoints. FLO Corporation has formed the "FLO Alliance" -- strategic
relationships with several companies with extensive expertise in
credentialing, security, access control, customer service, travel services,
political lobbying and corporate and consumer marketing -- designed to
develop, market, sell and deploy an end-to-end solution and to provide next-
generation RT 2.0 membership benefits to qualified individuals for expedited
security screening in designated lanes at participating airports in addition
to receiving promotional offers and discounts offered by retail partners. The
FLO Alliance partnership consists of FLO Corporation, Microsoft, JPMorgan
Chase, Smiths Detection Inc., The Paradies Shops, International RAM and ID
Technology Partners. On October 5, 2007, FLO agreed to purchase certain
assets related to Unisys's rtGO Registered Traveler business, including
enrollment and verification kiosks and related equipment, intellectual
property, prepaid rtGO memberships, the designation and certification of
Unisys's Registered Traveler technology under the SAFETY Act, and certain
material contracts used in Unisys's rtGO Registered Traveler business. Each
party's obligation to complete the transaction is subject to the satisfaction
or waiver of various conditions, including but not limited to the receipt of
consent to assignment of certain agreements with third parties, our receipt of
certification from the American Association of Airport Executives, and the
receipt of approval of the U.S. Department of Homeland Security to the
transfer to us of the designation and certification of Unisys's Registered
Traveler technology under the SAFETY Act. For more information about the FLO
program and Alliance visit http://www.flocard.com.
NOTE REGARDING FORWARD-LOOKING STATEMENTS
This release contains information about our management's view of our
future expectations, plans and prospects that constitute forward-looking
statements for purposes of the safe harbor provisions under The Private
Securities Litigation Reform Act of 1995. Actual results may differ
materially from historical results or those indicated by these forward-looking
statements as a result of a variety of factors. For example, our business
will depend on our ability to establish and maintain strategic relationships
with travel services, technology, and other companies. If we are unable to
establish and maintain such relationships, or if current relationships were to
weaken, our actual results may differ materially from those indicated by the
statements made in this release and our business could suffer. In addition,
there is a very limited number of public companies with any Registered
Traveler operations. Although a market maker has filed with the FINRA OTC
Compliance Unit the forms required to initiate quotations of our common stock
on the OTCBB, there may not be sufficient investor interest in our company for
the development of an active trading market. If an active trading market does
not develop, you may have difficulty selling any shares that you buy.
Further, if we do not close the rtGO acquisition, or if we are unable to
successfully integrate the Unisys rtGO solution in a timely manner, our
business and future prospects could be harmed. We expect to close the
transaction during the first quarter of 2008. However, we may be unable to
close this transaction. Currently, we do not have sufficient funds to
complete the rtGO acquisition, do not have any arrangements in place for any
future financings, and may not be able to secure sufficient financing on
favorable terms, or at all. Our failure to close this transaction could harm
our financial condition and future prospects and we may not achieve the
expected benefits of the transaction in the near term, or at all. Other
factors that could cause actual results to differ materially from historical
results or those indicated by the statements in this release include, but are
not limited to, risks and uncertainties associated with our financial
condition, our planned acquisition of Unisys's rtGO RT business, and our
efforts to meet the TSA's requirements to offer RT services to sponsoring
entities, as well as those included in our registration statement on Form 10-
SB filed with the Securities and Exchange Commission on December 10, 2007, and
other documents we periodically file with the Securities and Exchange
Commission.