17.0 Economics of Hybrid PT Maglev:

17.1No Vehicles or Land Acquisition:

Success in obtaining air rights over existing highways and roadways will greatly mitigate the costs of acquiring expensive land for the HPR System. For the most part vehicles will be purchased by HPR System users thereby eliminating an Operators= capital cost of acquiring Maglev vehicles.

17.2Further Reduced Operating Costs:

With the development of new Maglev technologies, an HPR vehicles operating costs would be further reduced. The Company estimates that savings of Sixty percent (60%) from typical highway operating costs could be realized by a fully developed Maglev propelled HPR System.

17.3Improved Comfort, Reliability and Speed:

The effects of Maglev on HPR would include greater speed, zero moving parts during normal operation, and improved ride comfort. A typical 3 hour routing would cover as many as six-hundred (600) miles and would compete favorably with airline travel times (including security, ingress, egress and travel to and from an airport), on trips of eight-hundred (800) miles or less.

17.4Phase II Backup During Outages:

If, for any reason, the Maglev system failed to operate properly, each Grid vehicle would revert to Phase II control and run on a vehicles Thrust Plate. A failure of the Phase II apparatus would result in Phase I operation. Maglev Hybrid PRT vehicles would be capable of operating on standard highways in the same manner as Phase I or II Hybrid PRT vehicles.

17.5Moving Directly to Phase III:

The Company has considered moving to a Phase III System at the outset, however, believes that migrating through the early Phases is important for development continuity and to prove that the Phase II System is viable as a back-up to Maglev propulsion.