Is specialized warehousing infrastructure and processing needed?

Yes, perishable goods require an unbroken cool-chain. Flowers, fruit, vegetables, and fish require specific temperature zones for optimal handling. Inventories need to be carefully managed to ensure high-speed throughput. Radio-frequency identification (“RFID”) technology is being integrated into tracking cargo. The infrastructure also needs to meet specifications of a wide range of end customers/logistics companies, and this requires in-depth understanding of their needs. Airglades is running a process to solicit and consolidate this information into its term sheet discussions.

Furthermore, Airglades has hired a specialized firm to design a facility that can meet user requirements. This design will be revised once further information from customers comes through, but initial estimates of requirements and their operating and investment costs have been incorporated into the business model.