alif., May 28 /PRNewswire/ -- WC Capital Management, LLC announced that yesterday it sent a letter to Kenneth Denman, the Chairman of the Board of iPass Inc. (Nasdaq: IPAS) urging that the iPass Board of Directors immediately commence a process that would lead to the sale of the company. The funds managed by WC Capital Management, LLC ('WCCM') have been investors in iPass Inc. for over two years and currently own over 4% of the company's outstanding shares.

The letter from Aaron H. Braun of WCCM to Mr. Denman dated May 27, 2008 notes, 'After reviewing the recent quarterly results, various iPass filings with the Securities and Exchange Commission (10-Q, 14A, etc.) and the filings of Shamrock Activist Value Fund, L.P., I am very concerned that iPass has not achieved more progress in its business transition/turnaround. While I have been very patient with this process, I am increasingly concerned about abilities of the Board and current management to achieve further gains in the current business environment. Additionally, I feel that the current Directors lack the motivation of significant stock ownership to be correctly aligned with non-management shareholders.

'I strongly support the election to the Board of Directors of the Shamrock-affiliated nominees (Mr. Gold and Mr. Clapman) and believe they will focus on the interests of all shareholders and attempt to maximize shareholder value. Furthermore, as an indication of displeasure with the Board's lack of proactive leadership and guidance of management, I have withheld the votes of the shares that that WCCM controls for the non-Shamrock Directors.

'While management has made strides in transitioning the company's business model, these efforts have recently lost momentum and management's goals for 2008 and beyond may be unattainable in the current environment. Accordingly, we believe that iPass cannot proceed as an independent entity and achieve its growth goals.

'In my opinion, it is time for the Board to take action to achieve the maximum value for shareholders. I do not believe that the company's current market valuation (about $130 million) accurately reflects the company's potential value to a larger enterprise. While management has been handsomely compensated (and has been granted very lucrative incentives for results going forward, which now look unlikely to be met), the shareholders have suffered significant losses, with the share price declining about 75% from a high of around $8.25 in April 2006. I strongly urge the Board of Directors to immediately commence a sale process, which should be overseen by a committee of independent directors.'

SOURCE WC Capital Management, LLC