Kronos
Announces Plan to Deregister its Common Stock
and
Provides Update Regarding the Event of Default Under its Secured Financing
and
Certain
Personnel Matters
BELMONT, Mass – February 12, 2009
- -- Kronos Advanced Technologies, Inc. (“Kronos”), (OTCBB: KNOS) announced
today that, following extensive discussions with its secured lenders regarding
the outstanding obligations under the AirWorks and Hilltop promissory notes,
Kronos is in the process of transferring control of its assets to AirWorks and
Hilltop in accordance with peaceful possession procedures. In
addition, in light of Kronos’ financial condition and the ongoing peaceful
possession proceedings, Kronos will be voluntarily deregistering its common
stock and ending its reporting obligations under the Securities Exchange Act of
1934. Kronos’ obligation to file periodic reports with the Securities
and Exchange Commission (the “SEC”) will be immediately suspended upon the
filing of the Form 15. The registration of Kronos’ common stock under the
Securities Act of 1934 is expected to terminate 90 days after the filing of the
Form 15, if the Form 15 is not withdrawn and the SEC does not deny the
application to deregister. Following deregistration with the SEC, if
Kronos’ common stock ceases to be quoted on the Over the Counter Bulletin Board,
it may be quoted on the Pink OTC Market, or Pink Sheets, but there can be no
assurance that any broker will continue to make a market in the common
stock.
In
addition, effective at the close of business on February 13, 2009, Richard F.
Tusing will be resigning from all positions at Kronos Advanced Technologies,
Inc. (the “Company”), including as a director. Following the
effectiveness of Mr. Tusing’s resignation, Barry Salzman will serve as acting
President, Treasurer and Secretary of the Company.
About
Kronos Advanced Technologies, Inc.
Through
its wholly-owned subsidiary, Kronos Air Technologies, Inc., Kronos Advanced
Technologies 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, 2008. Kronos undertakes no obligation to
publicly update or revise any forward-looking statements, whether as a result of
new information, future events or otherwise.