##### Table of Contents



UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
 Washington, D.C. 20549
 FORM 10-Q
  þ
    
    QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
 For the quarterly period ended March 31, 2009
 OR
 o
    
    TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
 For the transition period from ____________ to ____________
 Commission file number: 0-30907
 iGo, Inc.
 (Exact Name of Registrant as Specified in its Charter)
 Delaware
    
    86-0843914(State or Other Jurisdiction of Incorporation or
    
    (IRS Employer Identification No.)Organization)
 17800 N. Perimeter Dr., Suite 200, Scottsdale, Arizona
    
    85255(Address of Principal Executive Offices)
    
    (Zip Code)
 (480) 596-0061
(Registrants telephone number, including area code)
 Not applicable
(Former Name, Former Address, and Former Fiscal Year if Changed Since Last Report)
  þ o
  o o
  Large accelerated filer o
Accelerated filer o
Non-accelerated filer o(Do not check if a smaller reporting company)
Smaller reporting company þ  o þ




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##### 



IGO, INC.
FORM 10-Q
 TABLE OF CONTENTS
 PAGE NO.PART I
    
    FINANCIAL INFORMATION
    
    
    1Item 1.
    
    Financial Statements:
    
    
    1Condensed Consolidated Balance Sheets
    
    
    1Condensed Consolidated Statements Of Operations
    
    
    2Condensed Consolidated Statements of Equity and Comprehensive Income (Loss)
    
    
    3Condensed Consolidated Statements Of Cash Flows
    
    
    4Item 2.
    
    Managements Discussion and Analysis Of Financial
Condition and Results of Operations
    
    
    12Item 3.
    
    Quantitative and Qualitative Disclosures About Market
Risk
    
    
    20Item 4.
    
    Controls and Procedures
    
    
    21PART II
    
    OTHER INFORMATION
    
    
    21Item 1.
    
    Legal Proceedings
    
    
    21Item 1A.
    
    Risk Factors
    
    
    21Item 6.
    
    Exhibits
    
    
    22SIGNATURES
    
    
    23EXHIBIT INDEX
    
    
    24Items 2, 3, 4 and 5 are not applicable.EX-31.1EX-31.2EX-32.1
  i




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##### Table of Contents



PART I FINANCIAL INFORMATION
 
 ITEM 1. FINANCIAL STATEMENTS:
 IGO, INC. AND SUBSIDIARIES
 
 CONDENSED CONSOLIDATED BALANCE SHEETS  (In thousands)  (unaudited)
 March 31,
    
    
    December 31,2009
    
    
    2008ASSETSCurrent assets:Cash and cash equivalents
    
    $
    27,464
    
    
    $
    26,139Short-term investments
    
    
    2,212
    
    
    
    4,964Accounts receivable, net
    
    
    13,333
    
    
    
    12,554Inventories
    
    
    4,554
    
    
    
    4,353Prepaid expenses and other current assets
    
    
    319
    
    
    
    527Total current assets
    
    
    47,882
    
    
    
    48,537Property and equipment, net
    
    
    1,049
    
    
    
    1,147Intangible assets, net
    
    
    1,253
    
    
    
    1,231Notes receivable and other assets, net
    
    
    198
    
    
    
    320Total assets
    
    $
    50,382
    
    
    $
    51,235LIABILITIES AND EQUITYLiabilities:Accounts payable
    
    $
    7,041
    
    
    $
    7,074Accrued expenses and other current liabilities
    
    
    3,238
    
    
    
    3,412Deferred revenue
    
    
    705
    
    
    
    412Total liabilities
    
    
    10,984
    
    
    
    10,898Equity:Common stock, $.01 par value
    
    
    323
    
    
    
    319Additional paid-in capital
    
    
    170,047
    
    
    
    169,863Accumulated deficit
    
    
    (131,731
    )
    
    
    (130,640
    )Accumulated other comprehensive income
    
    
    145
    
    
    
    155Total iGo, Inc. common stockholders equity
    
    
    38,784
    
    
    
    39,697Non-controlling interest
    
    
    614
    
    
    
    640Total equity
    
    
    39,398
    
    
    
    40,337Total liabilities and equity
    
    $
    50,382
    
    
    $
    51,235
  1




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##### Table of Contents



IGO, INC. AND SUBSIDIARIES
 
 CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS  (In thousands, except per share amounts)  (unaudited)
 Three Months EndedMarch 31,2009
    
    
    2008Revenue
    
    $
    14,940
    
    
    $
    18,938Cost of revenue
    
    
    10,322
    
    
    
    13,360Gross profit
    
    
    4,618
    
    
    
    5,578Operating expenses:Sales and marketing
    
    
    2,108
    
    
    
    2,014Research and development
    
    
    917
    
    
    
    793General and administrative
    
    
    3,018
    
    
    
    4,099Total operating expenses
    
    
    6,043
    
    
    
    6,906Loss from operations
    
    
    (1,425
    )
    
    
    (1,328
    )Other income:Interest income, net
    
    
    57
    
    
    
    267Other income, net
    
    
    251
    
    
    
    154Litigation settlement income
    
    
    
    
    
    
    672Net loss
    
    
    (1,117
    )
    
    
    (235
    )Less: Net loss attributable to non-controlling interest
    
    
    26
    
    
    
    Net loss attributable to iGo, Inc.
    
    $
    (1,091
    )
    
    $
    (235
    )Net loss attributable to iGo, Inc. per share  basic and diluted
    
    $
    (0.03
    )
    
    $
    (0.01
    )Basic and diluted weighted average common shares outstanding
    
    
    32,087
    
    
    
    31,581
  2




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IGO, INC. AND SUBSIDIARIES
 
 CONDENSED CONSOLIDATED STATEMENTS OF EQUITY
AND COMPREHENSIVE INCOME (LOSS)
(unaudited)
 AccumulatedAdditional
    
    
    
    
    
    
    OtherCommon Stock
    
    
    Paid-In
    
    
    Accumulated
    
    
    Comprehensive
    
    
    Non-controlling(in thousands, except share amounts)
    
    Shares
    
    
    Amount
    
    
    Capital
    
    
    Deficit
    
    
    Income(Loss)
    
    
    Interest
    
    
    TotalBalances at December 31, 2008
    
    
    31,924,183
    
    
    $
    319
    
    
    $
    169,863
    
    
    $
    (130,640
    )
    
    $
    155
    
    
    $
    640
    
    
    $
    40,337Issuance of stock awards
    
    
    371,515
    
    
    
    4
    
    
    
    (97
    )
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    (93
    )Amortization of deferred compensation
    
    
    
    
    
    
    
    
    
    
    281
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    281Comprehensive income (loss):Unrealized Gain on Available for Sale Investments
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    3
    
    
    
    
    
    
    
    3Foreign currency translation adjustment
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    (13
    )
    
    
    
    
    
    
    (13
    )Net loss
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    (1,091
    )
    
    
    
    
    
    
    (26
    )
    
    
    (1,117
    )Total comprehensive loss
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    (1,127
    )Balances at March 31, 2009
    
    
    32,295,698
    
    
    $
    323
    
    
    $
    170,047
    
    
    $
    (131,731
    )
    
    $
    145
    
    
    $
    614
    
    
    $
    39,398
  3




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IGO, INC. AND SUBSIDIARIES
 
 CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS  (In thousands)  (unaudited)
 Three Months EndedMarch 31,2009
    
    
    2008Cash flows from operating activities:Net loss attributable to iGo, Inc.
    
    $
    (1,091
    )
    
    $
    (235
    )Adjustments to reconcile net loss to net cash provided by (used in)
operating activities:Non-controlling interest
    
    
    (26
    )
    
    
    Provision for doubtful accounts and sales returns and credits
    
    
    42
    
    
    
    (30
    )Depreciation and amortization
    
    
    358
    
    
    
    379Stock compensation expense
    
    
    281
    
    
    
    636Loss on disposal of assets, net
    
    
    14
    
    
    
    Changes in operating assets and liabilities:Accounts receivable
    
    
    (821
    )
    
    
    5,861Inventories
    
    
    (201
    )
    
    
    3,125Prepaid expenses and other assets
    
    
    128
    
    
    
    323Accounts payable
    
    
    (33
    )
    
    
    (6,484
    )Accrued expenses and other current liabilities
    
    
    26
    
    
    
    (1,527
    )Net cash (used in) provided by operating activities
    
    
    (1,323
    )
    
    
    2,048Cash flows from investing activities:Purchase of property and equipment
    
    
    (106
    )
    
    
    (49
    )Proceeds from disposal of assets
    
    
    12
    
    
    
    Sale of investments
    
    
    2,752
    
    
    
    2,833Net cash provided by investing activities
    
    
    2,658
    
    
    
    2,784Cash flows from financing activities:Net proceeds from issuance of common stock and exercise
of options and warrants
    
    
    
    
    
    
    28Net cash provided by financing activities
    
    
    
    
    
    
    28Effects of exchange rate changes on cash and cash equivalents
    
    
    (10
    )
    
    
    20Net increase in cash and cash equivalents
    
    
    1,325
    
    
    
    4,880Cash and cash equivalents, beginning of period
    
    
    26,139
    
    
    
    15,908Cash and cash equivalents, end of period
    
    $
    27,464
    
    
    $
    20,788
  4




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##### Table of Contents



IGO, INC. AND SUBSIDIARIES
 NOTES TO UNAUDITED CONDENSED CONSOLIDATED FINANCIAL STATEMENTS
(unaudited)
 (1) Basis of Presentation
    Recent Accounting Pronouncements
    5




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(2) Variable Interest Entities
    6




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iGoMission
    
    
    ConsolidatedASSETSCurrent assets:Cash and cash equivalents
    
    $
    347
    
    
    $
    27,464Short-term investments
    
    
    
    
    
    
    2,212Accounts receivable, net
    
    
    450
    *
    
    
    13,333Inventories
    
    
    608
    
    
    
    4,554Prepaid expenses and other current assets
    
    
    20
    
    
    
    319Total current assets
    
    
    1,425
    
    
    
    47,882Property and equipment, net
    
    
    77
    
    
    
    1,049Intangible assets, net
    
    
    
    
    
    
    1,253Notes receivable (payable) and other assets
    
    
    (485)
    *
    
    
    198Total assets
    
    $
    1,017
    
    
    $
    50,382LIABILITIES AND EQUITYLiabilities:Accounts payable
    
    $
    172
    
    
    $
    7,041Accrued expenses and other current liabilities
    
    
    207
    *
    
    
    3,238Deferred revenue
    
    
    
    
    
    
    705Total current liabilities
    
    
    379
    
    
    
    10,984Equity:Total iGo, Inc. common stockholders equity
    
    
    
    
    
    
    38,784Non-controlling interest
    
    
    638
    *
    
    
    614Total equity
    
    
    638
    
    
    
    39,398Total liabilities and equity
    
    $
    1,017
    
    
    $
    50,382
 
 *
    
    Reflects the elimination of intercompany accounts and notes receivable. (3) Fair Value Measurement
    (4) Investments
    7




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March 31, 2009
    
    
    December 31, 2008NetNet
    
    
    
    
    
    
    
    
    
    
    UnrealizedUnrealized
    
    
    Aggregate
    
    
    
    
    
    
    HoldingAmortized
    
    
    Holding
    
    
    Fair
    
    
    Amortized
    
    
    Gains
    
    
    AggregateCost
    
    
    Gains
    
    
    Value
    
    
    Cost
    
    
    (Losses)
    
    
    Fair ValueU.S. corporate securities:Commercial paper
    
    $
    
    
    
    $
    
    
    
    $
    
    
    
    $
    1,642
    
    
    $
    4
    
    
    $
    1,646Corporate notes and bonds
    
    
    2,209
    
    
    
    3
    
    
    
    2,212
    
    
    
    3,319
    
    
    
    (1
    )
    
    
    3,318$
    2,209
    
    
    $
    3
    
    
    $
    2,212
    
    
    $
    4,961
    
    
    $
    3
    
    
    $
    4,964
 (5) Inventories
  March 31,
    
    
    December 31,2009
    
    
    2008Raw materials
    
    $
    788
    
    
    $
    740Finished goods
    
    
    3,766
    
    
    
    3,613$
    4,554
    
    
    $
    4,353
 (6) Intangible Assets
  March 31, 2009
    
    
    December 31, 2008Average
    
    
    Gross
    
    
    
    
    
    
    Net
    
    
    Gross
    
    
    
    
    
    
    NetLife
    
    
    Intangible
    
    
    Accumulated
    
    
    Intangible
    
    
    Intangible
    
    
    Accumulated
    
    
    Intangible(Years)
    
    
    Assets
    
    
    Amortization
    
    
    Assets
    
    
    Assets
    
    
    Amortization
    
    
    AssetsAmortized intangible
assets:License fees
    
    
    7
    
    
    $
    334
    
    
    $
    (334
    )
    
    $
    
    
    
    $
    334
    
    
    $
    (334
    )
    
    $
    Patents and trademarks
    
    
    3
    
    
    
    3,522
    
    
    
    (2,438
    )
    
    
    1,084
    
    
    
    3,320
    
    
    
    (2,270
    )
    
    
    1,050Trade names
    
    
    10
    
    
    
    442
    
    
    
    (273
    )
    
    
    169
    
    
    
    442
    
    
    
    (261
    )
    
    
    181Customer intangibles
    
    
    3
    
    
    
    33
    
    
    
    (33
    )
    
    
    
    
    
    
    33
    
    
    
    (33
    )
    
    
    Total
    
    
    
    
    
    $
    4,331
    
    
    $
    (3,078
    )
    
    $
    1,253
    
    
    $
    4,129
    
    
    $
    (2,898
    )
    
    $
    1,231
  (7) Notes Receivable and Other Assets
   8




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(8) Stock-based Compensation
    2004 Directors Plan
    
    
    2004 Omnibus Plan
    
    
    Heil GrantWeighted
    
    
    
    
    
    
    Weighted
    
    
    
    
    
    
    WeightedAverage
    
    
    
    
    
    
    Average
    
    
    
    
    
    
    AverageValue per
    
    
    
    
    
    
    Value per
    
    
    
    
    
    
    Value perNumber
    
    
    Share
    
    
    Number
    
    
    Share
    
    
    Number
    
    
    ShareOutstanding, December 31, 2008
    
    
    129,832
    
    
    $
    4.67
    
    
    
    1,595,052
    
    
    $
    3.73
    
    
    
    875,000
    
    
    $
    2.01Granted
    
    
    
    
    
    
    
    
    
    
    21,000
    
    
    $
    0.76
    
    
    
    
    
    
    
    Canceled
    
    
    
    
    
    
    
    
    
    
    (457,351
    )
    
    $
    2.27
    
    
    
    
    
    
    
    Released to common stock
    
    
    
    
    
    
    
    
    
    
    (285,515
    )
    
    $
    2.83
    
    
    
    (86,000
    )
    
    $
    2.01Released for settlement of taxes
    
    
    
    
    
    
    
    
    
    
    (132,806
    )
    
    $
    2.81
    
    
    
    (39,000
    )
    
    $
    2.01Outstanding, March 31, 2009
    
    
    129,832
    
    
    $
    4.67
    
    
    
    740,380
    
    
    $
    2.49
    
    
    
    750,000
    
    
    $
    2.01
    (9) Net Loss attributable to iGo, Inc. per Share
  9




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Three Months EndedMarch 31,2009
    
    
    2008Basic and Diluted net loss attributable to iGo, Inc. per share
computation:Numerator:Net loss attributable to iGo, Inc.
    
    $
    (1,091
    )
    
    $
    (235
    )Denominator:Weighted average number of common shares outstanding
    
    
    32,087
    
    
    
    31,581Effect of dilutive stock options, warrants, and restricted
stock units
    
    
    
    
    
    
    32,087
    
    
    
    31,581Diluted net loss attributable to iGo, Inc. per share:
    
    $
    (0.03
    )
    
    $
    (0.01
    )Stock options not included in dilutive loss per share since
anti-dilutive
    
    
    211
    
    
    
    287Warrants not included in dilutive loss per share since anti-dilutive
    
    
    600
    
    
    
    600
 (10) Business Segments, Concentration of Credit Risk and Significant Customers
    Three Months EndedMarch 31,2009
    
    
    2008Revenues:High-Power Group
    
    $
    9,758
    
    
    $
    11,120Low-Power Group
    
    
    3,654
    
    
    
    6,267Connectivity Group
    
    
    1,528
    
    
    
    1,551$
    14,940
    
    
    $
    18,938
 Three Months EndedMarch 31,2009
    
    
    2008Operating income (loss):High-Power Group
    
    $
    (563
    )
    
    $
    1,406Low-Power Group
    
    
    1,936
    
    
    
    1,106Connectivity Group
    
    
    (73
    )
    
    
    (86
    )Corporate
    
    
    (2,725
    )
    
    
    (3,754
    )$
    (1,425
    )
    
    $
    (1,328
    )
  March 31,
    
    
    December 31,2009
    
    
    2008Assets:High-Power Group
    
    $
    13,867
    
    
    $
    11,977Low-Power Group
    
    
    5,545
    
    
    
    6,447Connectivity Group
    
    
    1,553
    
    
    
    2,009Corporate
    
    
    29,417
    
    
    
    30,802$
    50,382
    
    
    $
    51,235
   10




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Three Months EndedMarch 31,2009
    
    
    2008High-power mobile electronic power products
    
    $
    9,665
    
    
    $
    11,095Low-power mobile electronic power products
    
    
    3,654
    
    
    
    5,787Foldable keyboard products
    
    
    
    
    
    
    480Accessories and other products
    
    
    93
    
    
    
    26Expansion and docking products
    
    
    1,528
    
    
    
    1,550Total revenues
    
    $
    14,940
    
    
    $
    18,938
 Three Months EndedMarch 31,2009
    
    
    2008North America (principally United States)
    
    $
    13,712
    
    
    $
    16,660Europe
    
    
    783
    
    
    
    1,156Asia Pacific
    
    
    445
    
    
    
    1,122$
    14,940
    
    
    $
    18,938
 Three Months EndedMarch 31,2009
    
    
    2008OEM and private-label-resellers
    
    
    48
    %
    
    
    50
    %Retailers and distributors
    
    
    41
    %
    
    
    46
    %Other
    
    
    11
    %
    
    
    4
    %100
    %
    
    
    100
    %
       11




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(11) Litigation Settlement
  (12) Contingencies
    
 ITEM 2.
    
    MANAGEMENTS DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS
  12




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
    
    the loss of, and failure to replace, any other significant customers in addition to
Targus;
    
    the inability to timely and successfully complete product development efforts and
introduce new products, such as our planned, new eco-friendly power products and
technology;
    
    the ineffectiveness of our sales and marketing strategy;
    
    the inability to create broad consumer awareness and acceptance for our products and
technology;
    
    the timing and success of competitive product development efforts, new product
introductions and pricing;
    
    the ability to expand and protect our proprietary rights and intellectual property;
    
    the timing of substantial customer orders;
    
    the inability to successfully manage our business due to the loss of key personnel
or the lack of available qualified personnel;
    
    the inability to successfully resolve pending and unanticipated legal matters;
    
    the lack of available qualified suppliers and subcontractors and/or their inability
to meet our specification, performance, and quality requirements;
    
    a decline in market demand for our products; and
    
    a downturn in industry and general economic or business conditions.
  iGo® is a trademark or registered trademark of iGo, Inc. or its subsidiaries in the United
States and other countries. Other names and brands may be claimed as the property of others.
 Overview
   13




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High-Power Group.
 Low-Power Group.
 Connectivity Group.
 Recent Developments
 14




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Critical Accounting Policies and Estimates
  Results of Operations
  Three months endedMarch 31,2009
    
    
    2008Revenue
    
    
    100.0
    %
    
    
    100.0
    %Cost of revenue
    
    
    69.1
    %
    
    
    70.5
    %Gross profit
    
    
    30.9
    %
    
    
    29.5
    %Operating expenses:Sales and marketing
    
    
    14.1
    %
    
    
    10.6
    %Research and development
    
    
    6.1
    %
    
    
    4.2
    %General and administrative
    
    
    20.2
    %
    
    
    21.6
    %Total operating expenses
    
    
    40.4
    %
    
    
    36.4
    %Loss from operations
    
    
    -9.5
    %
    
    
    -6.9
    %Other income (expense):Interest, net
    
    
    0.4
    %
    
    
    1.4
    %Other, net
    
    
    1.7
    %
    
    
    0.8
    %Litigation settlement income
    
    
    
    
    
    
    3.5
    %Net loss
    
    
    -7.4
    %
    
    
    -1.2
    %
 Comparison of Three Months Ended March 31, 2009 and 2008
 Revenue .
 Three
    
    
    Three MonthsMonths
    
    
    Ended
    
    
    Decrease
    
    
    Percentage changeEnded
    
    
    March 31,
    
    
    from same period in
    
    
    from the same periodMarch 31, 2009
    
    
    2008
    
    
    the prior year
    
    
    in the prior yearHigh-Power Group
    
    $
    9,758
    
    
    $
    11,121
    
    
    $
    (1,363
    )
    
    
    (12.3
    )%Low-Power Group
    
    
    3,654
    
    
    
    6,266
    
    
    
    (2,612
    )
    
    
    (41.7
    )%Connectivity Group
    
    
    1,528
    
    
    
    1,551
    
    
    
    (23
    )
    
    
    (1.5
    )%Total Revenue
    
    $
    14,940
    
    
    $
    18,938
    
    
    $
    (3,998
    )
    
    
    (21.1
    )%
 15




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##### Table of Contents



High-Power Group.
 Low-Power Group.
 Connectivity Group.
 Cost of revenue, gross profit and gross margin .
 Three Months
    
    Three MonthsEnded
    
    Ended
    
    Increase/(decrease)
    
    Percentage change fromMarch 31,
    
    March 31,
    
    from same period in
    
    the same period in the2009
    
    2008
    
    the prior year
    
    prior yearCost of revenue
    
    $
    10,322
    
    
    $
    13,360
    
    
    $
    (3,038
    )
    
    
    (22.7
    )%Gross profit
    
    $
    4,618
    
    
    $
    5,578
    
    
    $
    (960
    )
    
    
    (17.2
    )%Gross margin
    
    
    30.9
    %
    
    
    29.5
    %
    
    
    1.4
    %
    
    
    4.7
    %
  Sales and marketing .
 Three Months
    
    Three MonthsEnded
    
    Ended
    
    Increase
    
    Percentage changeMarch 31,
    
    March 31,
    
    from same period in
    
    from the same period2009
    
    2008
    
    the prior year
    
    in the prior yearSales and marketing
    
    $
    2,108
    
    
    $
    2,014
    
    
    $
    94
    
    
    
    4.7
    %
 16




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##### Table of Contents



Research and development .
 Three Months
    
    Three MonthsEnded
    
    Ended
    
    Increase from
    
    Percentage change fromMarch 31,
    
    March 31,
    
    same period
    
    the same period in the2009
    
    2008
    
    in the prior year
    
    prior yearResearch and development
    
    $
    917
    
    
    $
    793
    
    
    $
    124
    
    
    
    15.6
    %
  General and administrative.
 Three Months
    
    Three MonthsEnded
    
    Ended
    
    Decrease
    
    Percentage changeMarch 31,
    
    March 31,
    
    from same period in
    
    from the same period2009
    
    2008
    
    the prior year
    
    in the prior yearGeneral and administrative
    
    $
    3,018
    
    
    $
    4,099
    
    
    $
    (1,081
    )
    
    
    (26.4
    )%
  Interest income, net.
 Other income, net .
 Litigation settlement income .
 17




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##### Table of Contents



Non-controlling interest.
 Income taxes .
 Operating Outlook
    Liquidity and Capital Resources
 Cash and Cash Flow
   18




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##### Table of Contents



Three Months Ended March 31,2009
    
    
    2008Net cash provided by (used in) operating activities
    
    $
    (1,323
    )
    
    $
    2,048Net cash provided by investing activities
    
    
    2,658
    
    
    
    2,784Net cash provided by financing activities
    
    
    
    
    
    
    28Foreign currency exchange impact on cash flow
    
    
    (10
    )
    
    
    20Increase in cash and cash equivalents
    
    $
    1,325
    
    
    $
    4,880Cash and cash equivalents at beginning of period
    
    $
    26,139
    
    
    $
    15,908Cash and cash equivalents at end of period
    
    $
    27,464
    
    
    $
    20,788
 
    
    Net cash provided by (used in) operating activities.Cash used in operating
activities for the three months ended March 31, 2009 primarily reflects our $1.4
million operating loss. In 2009, we expect to generate cash from operating activities
as we expect working capital changes to more than offset any operating losses that may
be incurred. Our consolidated cash flow operating metrics are as follows:
 Quarter EndedMarch 31,2009
    
    2008Days outstanding in ending accounts receivable (DSOs)
    
    
    80
    
    
    
    53Inventory turns
    
    
    9
    
    
    
    12
 The increase in DSOs at March 31, 2009 compared to March 31, 2008 was primarily due to
increases in accounts receivable from Targus. We expect DSOs will decrease in 2009 as a
result of anticipated timing of cash receipts from Targus in connection with the
cancellation of our distribution agreement. The decrease in inventory turns was
primarily due to the decline in revenue from sales to RadioShack, for whom we hold no
inventory. We expect to manage inventory growth during 2009 and we expect inventory turns
for the remainder of 2009 to remain consistent with the period ended March 31, 2009.
    
    Net cash provided by investing activities.For the three months ended March 31,
2009, net cash was provided by investing activities as we generated net proceeds from
the sale of investments of $2.8 million. Our current investment strategy is to
liquidate short-term investments as they mature.
    
    Net cash provided by financing activities.We had no financing cash flow activity
during the three months ended March 31, 2009. Although we expect to generate cash
flows from operations sufficient to support our operations, we may issue additional
shares of stock in the future to generate cash for growth opportunities if favorable market conditions exist.
 Investments.
  19




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##### Table of Contents



Contractual Obligations.
 Payment due by period2009
    
    
    2010
    
    
    2011
    
    
    2012
    
    
    2013
    
    
    More than 5 yearsOperating lease obligations
    
    $
    252
    
    
    $
    431
    
    
    $
    440
    
    
    $
    444
    
    
    $
    455
    
    
    $
    76Inventory Purchase obligations
    
    
    10,177
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    Totals
    
    $
    10,429
    
    
    $
    431
    
    
    $
    440
    
    
    $
    444
    
    
    $
    455
    
    
    $
    76
  Off-Balance Sheet Arrangements.
 Acquisitions and Dispositions.
  Net Operating Loss Carry-forwards.
 Liquidity Outlook.
 Recent Accounting Pronouncements
  
 ITEM 3. QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK
  20




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##### Table of Contents



ITEM 4. CONTROLS AND PROCEDURES
 Evaluation of Disclosure Controls and Procedures
 Changes in Internal Control Over Financial Reporting
 
 PART II OTHER INFORMATION
 
 ITEM 1. LEGAL PROCEEDINGS
   
 ITEM 1A. RISK FACTORS
  21




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##### Table of Contents



ITEM 6. EXHIBITS
  22




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##### Table of Contents



IGO, INC. AND SUBSIDIARIES
 
 SIGNATURES
  IGO, INC.Dated:  May 8, 2009
    By:
    /s/ Michael D. HeilMichael D. HeilPresident, Chief Executive Officer
and Chairman of the Board
(Principal Executive Officer)By:
    /s/ Darryl S. BakerDarryl S. BakerVice President and Chief Financial Officer
and Authorized Officer of Registrant
(Principal Financial Officer) 23




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##### Table of Contents



EXHIBIT INDEX
 ExhibitNumber
    
    Description of Document3.1
    
    Certificate of Incorporation of the Company (1)3.2
    
    Articles of Amendment to the Certificate of Incorporation of the Company dated as of June 17, 1997 (2)3.3
    
    Articles of Amendment to the Certificate of Incorporation of the Company dated as of September 10, 1997 (1)3.4
    
    Articles of Amendment to the Certificate of Incorporation of the Company dated as of July 20, 1998 (1)3.5
    
    Articles of Amendment to the Certificate of Incorporation of the Company dated as of February 3, 2000 (1)3.6
    
    Articles of Amendment to the Certificate of Incorporation of the Company dated as of March 31, 2000 (2)3.7
    
    Certificate of Designations, Preferences, Rights and Limitations of Series G Junior Participating Preferred
Stock of iGo, Inc. (3)3.8
    
    Certificate of Ownership and Merger Merging iGo Merger Sub Inc. with and into Mobility Electronics, Inc. (4)3.9
    
    Certificate of Elimination of Series C, Series D, Series E, and Series F Preferred Stock of Mobility
Electronics, Inc. (4)3.10
    
    Fourth Amended and Restated Bylaws of the Company (5)10.1
    
    iGo, Inc. 2009 Executive Bonus Plan (6)31.1
    
    Certification of Chief Executive Officer Pursuant to Section 302 of the Sarbanes-Oxley Act of 2002*31.2
    
    Certification of Chief Financial Officer Pursuant to Section 302 of the Sarbanes-Oxley Act of 2002*32.1
    
    Certification of Chief Executive Officer and Chief Financial Officer Pursuant to Section 906 of the
Sarbanes-Oxley Act of 2002**
 
 *
    
    Filed herewith**
    
    Furnished herewith(1)
    
    Previously filed as an exhibit to Registration Statement No. 333-30264 dated February 11,
2000.(2)
    
    Previously filed as an exhibit to Amendment No. 2 to Registration Statement No. 333-30264 on
Form S-1 dated May 4, 2000.(3)
    
    Previously filed as an exhibit to Current Report on Form 8-K filed June 19, 2003.(4)
    
    Previously filed as an exhibit to Current Report on Form 8-K dated May 21, 2008.(5)
    
    Previously filed as an exhibit to Form 10-K for the period ended December 31, 2008.(6)
    
    Previously filed as an exhibit to Current Report on Form 8-K filed April 2, 2009. 24