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Concern about Fuel Efficiency and Energy Independence Drive Interest in the Scuderi Group's Air-Hybrid Engine

WEST SPRINGFIELD, Mass.--Aug. 15, 2006--

  Development of Gas and Diesel Prototypes Moving Forward; Company Secures Additional Patents in Key Global Markets; Private Funding Approaches $15 million  

Driven by ongoing concern about fuel efficiency and energy independence, The Scuderi Group announced today that they are seeing tremendous interest in their breakthrough internal combustion engine from investors and potential licensees around the world. The company also announced that they are making significant progress in the development of gas and diesel prototypes of the air hybrid engine as well as numerous other business initiatives.

Every day it becomes more apparent that the energy crisis facing the United States is a long-term problem with no easy fixes. The increasing need for hybrid technologies and alternative fuels is driving tremendous private sector investment into research and development. The Scuderi Group strongly believes today's private sector development will eventually reduce our dependence on foreign sources of energy.

"Scuderi's contribution towards energy independence will dramatically improve the overall efficiency of the internal combustion engine. We are moving forward on several tracks, including building gas and diesel prototypes of our air-hybrid engine, which are expected to be completed by late 2007. Our fundraising campaign has been a major success, and we continue to protect our intellectual property and engineering breakthroughs through the aggressive acquisition of global patents. This is an exciting time for the company, and we are very pleased to provide this update on our business today," said Sal Scuderi, president of The Scuderi Group.

Private and Government Funding

It was never the intention of the Scuderi Group to raise money through the conventional channels of venture capital and private equity. The company was determined to maintain control over their own destiny. To date, the Scuderi Group has raised over $14 million in funding from numerous private investors since kicking off its official fundraising campaign last summer. Additionally, Scuderi has been awarded an engine development grant for $1.2 million from the U.S. Department of Defense.

Congressman John Olver (D-MA) was instrumental in helping the company secure the defense department appropriation. "Improvements in the efficiency of the internal combustion engine would have significant impacts on the economy, dependency on foreign oil, public health and the environment," said Olver. "It's exciting to know that work in this area is happening right now in West Springfield."

Patent Portfolio

The Scuderi Group has secured patent protection for its revolutionary engine design in key global markets including Japan, Taiwan, China and Russia, the company recently announced. The patents are a major step toward complete worldwide protection of the revolutionary Scuderi air-hybrid engine design. The Scuderi patent portfolio now includes seven issued U.S. patents, five U.S. patents pending and multiple international patents pending in over 45 countries.

European Operations

Lutz Deyerling has joined The Scuderi Group to oversee European operations. Deyerling has deep roots in the European automotive industry, having worked in senior finance positions in the auto industry practice groups at Ernst &Young Corporate Finance GmbH, Bankgesellschaft Berlin and Deutsche Bank. Deyerling will assist The Scuderi Group in fundraising and licensing activities within the European automobile marketplace.

The Scuderi Group recently unveiled the designs of its breakthrough air-hybrid technology to the European auto industry at the Engine Expo 2006 in Stuttgart, Germany. The company was very well received and has gone on to have preliminary discussions with a number of potential licensees. The European automotive press also took notice, with articles on the air-hybrid engine appearing in Engine Technology International and European Automotive Design.

Air Hybrid Blog

In an effort to provide news and information, as well as start a dialogue with the vibrant community of online auto enthusiasts and bloggers, The Scuderi Group has launched Air Hybrid Blog, (, where they post news and information related to the development of their engine and business operations. The blog also provides coverage of a wide range of hybrid technologies, alternative fuels, OEM hybrid news and related political developments.

Scuderi Podcasts

The Scuderi Group has also begun producing a regular series of Podcast interviews with company executives. In the first interview, Stephen Scuderi, patent attorney for The Scuderi Group, talked about the company's patent portfolio and why it is so important to investors and potential licensees. The Podcasts can be found at

The Scuderi Engine

Developed by a team of fluid mechanic and thermodynamic experts, the Scuderi engine is expected to deliver a significant improvement in performance, efficiency and environmental impact. The Scuderi Group accomplished these advances by focusing on the fluid and thermodynamics at the heart of the engine, challenging conventional approaches to engine design in place for over 120 years.

As a result of this breakthrough design, and verified through the most sophisticated computer modeling available today, the Scuderi engine is expected to:

-- Improve fuel efficiency in today's gas and diesel engines by almost one third

-- Emit 80 percent less toxic emissions than today's gas and diesel engines

-- Enhance the performance of hybrid engines

-- Provide significantly more power than a conventional engine

-- Be easy to manufacture because it utilizes the same components found in today's engines

Scuderi Air-Hybrid Engine

By adding a small air storage tank with some simple controls costing only a few hundred dollars, the Scuderi engine can recapture energy normally lost during the braking of a vehicle. To accomplish this with electric hybrids requires a complex electrical system costing thousands of dollars, consisting of generators, motors, and large batteries. In addition, unlike electric hybrids, the Scuderi Air-Hybrid has the unique capability of recapturing energy from the exhaust of the engine, making it possible to utilize a Scuderi Air-Hybrid design in stationary applications such as electric generators - an application where electric hybrids are considered impractical.

Currently under development at a world renowned research and testing laboratory, the first diesel and gasoline prototypes are expected to be completed by late 2007.

About The Scuderi Group

Based in West Springfield, Mass., The Scuderi Group is an engine development company focused on improving the performance of the internal combustion engine. The revolutionary Scuderi Engine Technology is the most significant improvement in engine performance in decades and can be applied to any internal combustion engine including gasoline, diesel, bio-diesel, and natural gas. The Scuderi Engine, along with its Air-Hybrid feature, is expected to almost double vehicle mileage and reduces toxic emissions by as much as 80 percent. Besides improving efficiency and reducing emissions, the Scuderi Air-Hybrid Technology also improves power and performance at a cost that is thousands of dollars below the current hybrid systems. The Scuderi Technology is patented worldwide with six patents issued and several pending in over 45 countries. For more information call 413-439-0343 or visit on the Web at