iPass Inc. declared special cash dividend of $10 million or approximately $0.16 per share will be paid in the fourth quarter of 2009. The record date for the special cash dividend is December 4, 2009 and the payment date will be December 18, 2009.

iPass Inc. reported unaudited consolidated financial results for its third quarter and nine months ended September 30, 2009. On a GAAP basis, the company reported revenues of $42.6 million for the third quarter of 2009 and a $6.1 million net loss or $0.10 per share, of which $4.8 million or $0.08 per share resulted from a charge for state sales taxes and related penalties and interest. This compared to revenues of $48.4 million and a $2.1 million net loss or $0.03 per share in the third quarter of 2008, and compared to revenues of $43.7 million and $1.0 million in net income or $0.02 per diluted share in the prior quarter. On a non-GAAP basis (which excludes stock compensation expenses, amortization of intangible assets, restructuring charges, and charges, penalties and interest associated with sales taxes), non-GAAP net income for the third quarter was $0.9 million or $0.01 per diluted share. This compared to non-GAAP net income of $0.5 million or $0.01 per diluted share for the third quarter of 2008, and compared to non-GAAP net income of $1.8 million or $0.03 per diluted share in the prior quarter. Operating loss was $5.8 million and loss before income taxes of $6.1 million against operating loss was $1.7 million and loss before income taxes of $2.0 million for the same period a year ago. Adjusted EBITDA was $1.9 million against $1.4 million for the same period a year ago. The company reported operating loss of $7.9 million, loss before income taxes of $8.0 million and net loss of $8.2 million or $0.13 diluted share on revenues of $130.9 million against operating loss of $6.2 million, loss before income taxes of $5.6 million and net loss of $4.9 million or $0.08 diluted share on revenues of $145.1 million for the same period a year ago. Adjusted EBITDA was $1.0 million and Non-GAAP net income was $3.9 million or $0.06 per share against adjusted EBITDA was $4.1 million and Non-GAAP net income was $2.2 million or $0.04 per share for the same period a year ago. In the third quarter, the company began delivering on its commitment to return up to $40 million to stockholders, paying a special cash dividend of $20 million or $0.32 per share in September 2009. The company provides earnings outlook for the fourth quarter ending December 31, 2009. For the period, the company expects GAAP net loss per share in the range of $0.06-$0.04 and Non-GAAP loss per share in the range of $0.03-$0.00 on total revenues in the range of $39-$41 million.

iPass Inc. announced the Open Device Framework that allows customers and partners to quickly and seamlessly integrate new 3G devices into the iPassConnect mobility manager software. Companies can now avoid being locked into a single carrier contract or device and quickly extend the capabilities of the iPass mobile service ensuring that their enterprise workforce has a simple and smart connection experience. This capability, the first of its kind, illustrates iPass' commitment to meeting global enterprise customer needs in managing an increasingly chaotic and fragmented mobile ecosystem. iPass Mobile Office already supports over 125 devices for 3G networks and will continue to integrate 3G devices whether embedded, tethered, USB, PC Card or Express across multiple models by country, region and technology. The iPass Open Device Framework will expedite the implementation process for companies that want the ability to immediately incorporate a new or one-off device and avoid being locked into inflexible contracts. The Open Device Framework is immediately available for Windows XP and Vista operating systems, with Windows 7 support coming soon. It is available to customers on iPassConnect v 3.51 and above.