Progress Continues with Torvec's Full Terrain Vehicle
ROCHESTER, N.Y., March 12 -- Torvec, Inc. announced today that considerable progress has been made by CXO on the GO, LLC (CXO) with the development of Torvec's business plan to commercialize and produce the Full Terrain Vehicle (FTV(TM)). A preliminary draft of the business plan has been presented to Torvec Executive Management and to several outside parties as part of Torvec's overall strategy to realize the capital necessary to launch the FTV through the sale or license of one or more of Torvec's patented technologies. This funding strategy will preclude or sharply limit the need for third party financing associated with the FTV launch and operations.
CXO's preliminary presentations clearly support the economics of Torvec's plan to repurchase spin-off technology and other key components from strategic partners to produce the FTV. The economic upsides are magnified by the anticipated revenues from the commercialization of the FTV. Due to the sheer magnitude of the potential market for the FTV, even the most conservative penetration assumptions produce a set of truly impressive financial projections. The business plan employs penetration rates in key markets well below 1%, a rate that experts familiar with the project agree is considerably below the true market potential of the FTV. Even with these low penetration rates, FTV revenues are estimated to exceed $2.5 billion in the fifth year of commercialization.
Philip A. Fain, Managing Partner of CXO on the GO, stated, "We are extremely pleased with the reception which the preliminary draft of Torvec's business plan has received. Our research has convinced us that the FTV will fill a significant market niche with the breakthrough technology and functionality it offers. Even under the most conservative assumptions, superior profitability is clearly demonstrated with a price value equation which is very appealing to both Torvec and the end user. Our progress to date substantiates Torvec's overall strategy as viable and well received." CXO is in the process of refining the business plan and preparing for its implementation.
The FTV is a new concept in tracked vehicles that is expected to revolutionize the industry, particularly in developing countries that do not have modern road infrastructure. Moreover, the new vehicle will have multiple applications for off-road vehicle use required by agriculture, construction, engineering, rescue, government and other markets. The FTV is able to traverse almost any terrain, and maintains stability at speeds up to 60 MPH.
Torvec, Inc. specializes in automotive and related technology. The company holds numerous U.S. and international patents protecting inventions such as steering drive and suspension system for tracked vehicles, infinitely variable transmission, hydraulic pump and motor, constant velocity joint, and spherical gearing. Ice Surface Development, Inc. is advancing technologies to improve driving experiences for industrial, commercial and consumer vehicles by eliminating the hassle of ice removal and loss of traction. For additional information and presentations, please visit www.torvec.com and www.icesurfacedev.com.
CXO on the GO, LLC is a management consulting firm offering an integrated approach to business improvement for small to mid-size businesses. The firm's partners collectively have over 200 years of executive experience and deliver to their clients increased cash flow and shareholder value. For additional information please visit (www.cxoonthego.com).