December 5, 2005

I promised you that some Updates would be lengthy; some would be short. This Update will be short.

We have been “booked solid” over the past number of weeks, including over the Thanksgiving weekend, refining our technologies and preparing to host delegations from companies interested in our FTV™, IVT, Iso-Torque™ differential, CV Joint and Ice technology;

Discussions with Peng Pu with respect to our FTV have accelerated and we will be receiving a delegation from Peng Pu this month;

Additional companies, including a number from China, are in discussions with us concerning our transmission, differential, CV Joint and Ice technology and several of these companies will be visiting us in the next few weeks.

We are showcasing our Iso-Torque differential to an OEM ( an automobile manufacturer ). The exact dates are being finalized as to when its facilities will be available over the next few weeks.

Governmental, economic development representatives will also be visiting us in December to explore possible synergies.

We will keep you informed as much as we can on these and other developments in real time, so stay tuned.

Sincerely,

James Gleasman
Chief Executive Officer