Used with permission from X PRIZE Foundation

disclaimer this material is solely for informational purposes, ULV-3 does not control the material, and it may not be broadcast in any way.

Team ULV-3 reached an important milestone today when officials from the $10 million Progressive Insurance Automotive X PRIZE named the teams that have passed their rigorous Design Judging stage and may now move to the first round of competition events. Team ULV-3 is one of just 43 teams out of an original 110 entries to pass this crucial test of program viability.

Since announcing entry into the Progressive Automotive X PRIZE in April, Team ULV-3 has been working flat out to prepare its “Mainstream” class vehicle program (one of 28 such entries remaining) for the initial judging process and the competition events scheduled to begin in Spring, 2010. In addition to vehicle design and performance/efficiency potential, the judging process looked at each team’s business, manufacturing and marketing plans to ensure the proposed vehicle has real potential for market success.

“The challenge of creating a 100+ mpg vehicle with a feasible plan to build and sell in volume is not to be taken lightly,” said Team ULV-3 CEO and Technical Director, Chris Taylor. “Fortunately we have an innovative, yet cost-effective approach backed by a talented, multi-discipline team.”

The basis for Team ULV-3’s program begins with the new Lotus Evora, carefully chosen by the team for its efficient, low-mass design, high performance and exciting style. But the key technologies lie in Team ULV-3’s proprietary multi-fuel, High Speed Diesel electric (HSDe) powertrain concept that merges a small, off-the-shelf turbo-diesel engine with a simple, purpose-built hybrid electric drivetrain. The engine will have the ability to operate on bio diesel, ethanol and even fossil fuels at extremely high efficiency and low emission levels—an unprecedented approach that lends itself perfectly to global markets with widely varying fuel types.

To illustrate the fuel-efficiency potential of diesel technology, Team ULV-3 test and development driver Mick Linford recently won the MPG Marathon in England using a standard passenger car with pure diesel power—without the benefit of hybrid assistance—to to score an incredible average of 96.81 mpg over 360 miles of mixed driving.

This news also serves to underscore the goal of the Progressive Automotive X PRIZE—to inspire a new generation of viable super-efficient vehicles and give consumers more choices. Team ULV-3 firmly believes this goal is achievable in the near term and looks forward to proving its approach successfully in the months to come.

Minneapolis-Based Team ULV-3 Announces Status as Registered Team in the Progressive Insurance Automotive X PRIZE

Progressive Insurance Automotive X PRIZE Welcomes New Registered Team in Multimillion Dollar Competition to Develop 100 MPGe Vehicles

PDF: Team ULV-3 Announces Entry to Automotive X Prize.

MINNEAPOLIS, MINNESOTA, April 8, 2009 — Team ULV-3 today announced its acceptance into the multimillion dollar Progressive Insurance Automotive X PRIZE, an international competition designed to inspire a new generation of viable, super fuel-efficient vehicles to offer more consumer choices.

Team ULV-3 officially submitted its registration application on February 28, 2009, an important step towards ensuring that it is at the starting line when the competition kicks off next year. Final confirmation of the team’s Registered Team status is pending their signature of a Master Team Agreement (MTA) upon its upcoming release.

Team ULV-3, lead by Chris Taylor of CTMS, Inc. with facilities in the U.S., Canada, and the U.K., are focusing their 30+ years of automotive engineering, business, project management, and professional motorsports experience to campaign a light weight, medium hybrid vehicle in the 2010 Progressive Insurance Automotive X Prize Competition. Chris and all team members have long been involved with designing, fabricating and fielding high technology race cars. Their current focus is to apply these skills to the design of a light weight, high performance, fuel efficient main stream vehicle that will have worldwide consumer acceptance and can be manufactured in large numbers.

Recently, ULV-3 elected the Lotus Evora as their X PRIZE competition vehicle to showcase their unique Multi-Fuel, High Speed Diesel Electric (HSDe) engine concepts and automotive designs in the new 2010 Lotus Evora platform. Team ULV-3 and Lotus share a strong, common philosophical DNA and history of working with industry leaders to improve the performance of existing technologies for the automotive, aeronautical, and motorsports industries, which makes this relationship a natural fit.

Regarded as a world leader in light weight chassis systems and automotive manufacturing techniques, the Lotus Evora provides the team with one of the most advanced light weight chassis design options available. ULV-3 believes this new Lotus Evora platform provides the most practical management approach to competing in a time constrained environment and the Progressive Automotive X PRIZE goal “to inspire a new generation of viable, super-efficient vehicles that help break our addiction to oil and stem the effects of climate change.”

In the very near future, development, availability, and use of a variety of non-fossil fuels will enable the US to greatly reduce our dependence on the supply of international oil.

The lessons learned during the competition will significantly advance Multi-Fuel HSDe, electric propulsion, and Kinetic Energy Recovery System (KERS) concepts. Team ULV-3 expects the X Prize competition to be an extremely valuable platform toward achieving the ultimate goal of producing 10,000, Multi-Fuel, HSDe cars per year within five years. Beyond the competition, ULV-3’s engineers will continue to develop engines capable of utilizing multiple fuels simultaneously on the same platform, update their designs to accommodate emerging technologies, evaluate alternative vehicle platforms, and seek additional business opportunities. The media attention generated by this highly visible event will provide ample market exposure to attract funding partners for sufficient capitalization to bring this exciting technology to full production.

Team ULV-3 is proud to be an Official Progressive Insurance Automotive X PRIZE Contender and welcomes the opportunity to participate in this revolutionary event.

More than 100 teams’ submitted applications before registration closed on February 28. Those accepted, as Team ULV-3 has been, become a Registered Team and move one step closer to competing for their share of the $10 million prize purse, funded by Progressive. Next, Registered Teams will undergo Design Judging based on detailed Data Submission providing information on vehicle features, production capability, safety, and business plans. Those that pass Design Judging become Competing Teams and move into the performance testing phase with competition events that will begin as early as May 2010.

Winners will come in two classes— Mainstream and Alternative— and cash prizes will be awarded to those that can design and build production-capable, 100 MPGe (miles per gallon energy equivalent) vehicles that people will want to buy and that meet market needs for price, size, capability, safety and performance. Winners will be announced in 2010.

“We congratulate Team ULV-3 on its commitment to developing super fuel efficient vehicles,” noted Julie Zona, Director of Team Development and Relations for the Progressive Automotive X PRIZE. “While there’s still much to be accomplished before reaching that starting line, we’re pleased to see that they have taken this important step in the process.”

For a complete list of Registered Teams, please visit www.progressiveautoxprize.org.

About Team ULV-3

Team ULV-3 is a hand selected, highly qualified and dedicated group of automotive, engineering, business, and project management professionals. They are combining their talents to passionately pursue the common goal of competing in the 2010 Progressive Automotive X PRIZE. Team ULV-3 is now accepting grants, corporate sponsorships and extending equity positions to select organizations and individuals who desire to participate in showcasing our vehicle design and compete in this exciting, highly publicized event. For more information, please contact team ULV-3 at 866-286-0059 or visit www.ulv-3.com

About the Progressive Automotive X PRIZE Competition:

The goal of the Progressive Automotive X PRIZE, a project of the X PRIZE Foundation, is to inspire a new generation of viable, super fuel-efficient vehicles that offer more consumer choices. Ten million dollars in prizes will be awarded to the teams that win a stage race for clean, production-capable vehicles that exceed 100 MPGe.

The Progressive Automotive X PRIZE will place a major focus on affordability, safety, and the environment. It is about developing real, production-capable cars that consumers want to buy, not science projects or concept cars.

This progress is needed because today’s oil consumption is unsustainable and because automotive emissions significantly contribute to global warming and climate change.

For more information about the Progressive Automotive X PRIZE, please visit www.progressiveautoxprize.org or email progressiveautopress@xprize.org. For related educational resources, please visit
www.FuelOurFutureNow.com.

About Progressive:

Progressive, founded in 1937, is a leading insurer of cars, motorcycles, recreation vehicles, boats and commercial vehicles. The Company offers competitive rates and innovative products and services that meet drivers’ needs throughout their lifetimes as well as 24/7 online and in-person customer and claims service.

One of Progressive’s Core Values is Excellence. To the Company’s more than 26,000 people, it simply means seeking constant improvement. Over time, this has meant introducing revolutionary ideas that make car insurance easier to shop for, buy and use. It’s this same innovative spirit that’s behind the Company’s sponsorship of the Progressive Automotive X PRIZE. The Progressive Automotive X PRIZE will inspire innovation that will produce more fuel efficient vehicle choices, helping to make a difference in people’s lives.

Progressive’s products and services are available locally through more than 30,000 independent insurance agencies in the U.S., online at www.progressive.com and by phone at 1-800-PROGRESSIVE (1-800-776-4737).