Momentum V173

[Coss]

Elio Motors Momentum v173

Bringing a new vehicle to market requires progress on many different fronts. In the past, we’ve shown our progress in engineering, supplier relations, and many more areas. As the Elio is a three-wheeled vehicle, the legislative front has demanded a good deal of attention. In today’s Momentum, we will review the progress we have made to date and the work that remains to be done.


*MSRP excludes destination/delivery charges, taxes, title, registration, and options/installation.

Certain statements in this email including, but not limited to, statements related to anticipated commencement of commercial production, targeted pricing and performance goals, and statements that otherwise relate to future periods are forward-looking statements. These statements involve risks and uncertainties, which are described in more detail in the Company’s periodic reports filed with the SEC, specifically the most recent reports which identify important risk factors that could cause actual results to differ from those contained in the forward-looking statements. Forward-looking statements are made and based on information available to the Company on the date of this email. Elio Motors assumes no obligation to update the information in this email.



Elio Motors 2942 North 24th Street Suite 114-700 Phoenix, AZ 85016 US

 

[Coss]

Page 2

Momentum v173
A Legislative Update
September 19, 2018



Bringing a new vehicle to market requires progress on many different fronts. In the past, we’ve shown our progress in engineering, supplier relations, and many more areas. As the Elio is a three-wheeled vehicle, the legislative front has demanded a good deal of attention. In today’s Momentum, we will review the progress we have made to date and the work that remains to be done.

A vehicle with three-wheels ignites an intriguing discussion. To be classified as a car by the federal government a vehicle must have at least four wheels. The Elio, having three wheels, will therefore not be classified as an automobile. Is it a motorcycle? Motorcycles typically have two wheels, are open-air vehicles, and, by design, offer virtually no safety features. An Elio has a steering wheel, airbags, and anti-lock brakes, as well as stability and traction control. From the beginning, our Governmental Affairs team has endeavored to ensure that Elio owners would be able to drive their Elio with a driver’s license and without a helmet.

At the outset, the majority of states would have required both a helmet and motorcycle endorsement to drive the Elio. Our Governmental Affairs team has become an authority on three-wheeled legislation. Through hard work and common-sense legislation, there are now only three states that require a motorcycle endorsement and one state that requires a helmet. Please find the maps below:





In Maine, the last remaining state, we have introduced legislation that would remove the existing helmet requirement. We have a sponsor for the cause and are confident that we will have a positive outcome this January.

As far as licensing, the three states that currently require an endorsement are Alaska, New York, and Maine. As we have had success in many states, we believe that the same common-sense logic will prevail in all three states and that Elio owners will have no issues driving their vehicles across the country.

We have heard from many supporters that are concerned that they will encounter issues in their states based on their interpretation of the current statutes. The language in some the statutes can be very confusing, especially when talking about three-wheeled vehicles like the Elio. Please know that our Governmental Affairs team are experts on these matters and have consulted everything available, from Supreme Court decisions to Commissioner rulings. We have enjoyed tremendous progress to date and expect that Elio owners will be able to drive in all fifty states with a standard driver’s license and without a helmet.

 

[Made in USA]

I like the forward looking statement that they are confident they will have a positive outcome this January on legislation in Maine. It shows they are still confident in the Elios ultimate success and that it will be built. Soon we all hope.

 

[Ty]

I'd like to publicly thank Coss for putting out these Momentums. Of course, I get them emailed to me like most of you. The problem is that they sometimes come out while I'm at work or I don't see the email before going to work and thus don't know they are out. I also like seeing these as soon as they come out so I'm as well informed as possible.

So, Thank you, Coss.

 

[Coss]

Your very welcome.
Besides, it gives me something to do

 

[Lawrence G.]

Hello Coss,

It's been a long time. Checked out about the Elio, it's still "In Work".

I too appreciate the support you have given to Elio "want to be" owners.

It's been a very long bumpy road we have been traveling together.

Since I have 'NO IDEA" about my stock or preorder "All In", all I can do is check it out and hope, AND WONDER.

It was a good idea years ago, it's still a good idea.

Just hoping.

Take Care Coss.

Larry G.

 

[Coss]

Opinion: Yes.
They haven't closed the doors, the Elio coin is out (for investors) and they just had an infusion of $2.5 million from the guy that is the head of Overstock.com, so things are still going on, but they can't speak publicly about it.
The court case had it's first appeal heard, and they kinda won, but they are going back for another appeal hearing. (This is the case where they were charged with being a dealer/manufacturer).
And there are more things going on that aren't heard publicly, but all in all, it's still a go, and they are still looking at 2019 as start.
This is where it's at, other then that, we don't have any public "news" that they can talk about.
Hope this answers your question, and sorry that more can't be discussed.
They stock is up, and running around $4.50 to $4.70 a share, after being at a low of $2.50 for a very long time.

 

[Made in USA]

It's possible that the Elio could disrupt the whole auto industry if/when it gets built. Just reading some articles about new car prices ($35,000 average) that are making many purchase used instead. Also one about the cost to repair some of the newer cars with all the sensors. Very expensive, even for "simple" repairs. The average American may not be able to afford new cars soon. One thing they did not mention is that it's possible the new cars will tell authorities that it is broken when in an accident, and they may have the means in which to prevent the vehicle from driving until fixed. Simple is good. With luck, Elio may not be able to build them fast enough and need to open more plants. I'm also sure that they would introduce an electric version within five years. By then battery technology will be much better and less costly.

https://www.wsj.com/articles/used-car-sales-boom-as-new-cars-get-too-pricey-for-many-1537700401
https://jalopnik.com/this-kia-costs-34-000-to-repair-and-its-not-alone-1829136318

 

[Coss]

But that's an average, there are a lot of cars that sell for a lot less, look at any of the Kia's, or the Subaru's there are even a lot of domestic's, I picked up a 2017 Dodge Journey for $20k with a V6 so they are out there, you just have to look for them.
But I agree, the repairs are out of this world, and if it wasn't for computers, you wouldn't be able to even tell what is wrong with them.
I am 100% in agreement with the cost of the Elio, it will have the industry looking to figure out a way to compete once it launches.