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Letter from the President: August 2001 - taken from http://www.moller.com/news/ August 5,2001

Dear Friends,

Testing, testing and more testing. With each test the Skycar continues to perform at or beyond the goals for it at this stage. While we have had to revise or modify a few of the control systems routines and we continue to “tweak” engine control parameters, the Skycar's performance has met our early design expectations and we are pleased with its progress.

I am sure that most of you have seen the video clips we posted to this site showing the nose-wheel liftoff and the initial eight-engine run up. While these are relatively modest tests, they convey the current state of the project and give you an idea of the challenges we have already overcome. We will continue to post the latest results of our work and hope that you find the information as exciting as we do.

On the schedule are more tests which will allow us to “dial-in” initial stability values for pitch, roll and yaw and provide initial values for the tethered flight test which are underway and the un-tethered flights which will occur later this year. Yaw vanes (rotational controls) are schedule to be tested in the next round of tests. We continue to tune the throttle controls for the full range of the engines in preparations for full-power testing.

On the business side, we have completed all the preliminary work and are submitting the documentation necessary to be registered as a publicly reporting company by the Securities Exchange Commission. Bringing the company to this point has been a long and sometimes difficult task, but one which I feel very fortunate to have been part of. The challenges which we face are significant, but we will meet and overcome those with the same steadfast determination that has brought us to this point.

Again, I want to thank all of you for your interest in this company and will continue to do everything I can to make both the Skycar and Moller International a technical and financial success.

Sincerely,

Paul S. Moller
President