Moller International and Thorntail Aircraft, Inc Agree to License and Demonstration Terms

MI agrees to help develop 6-passenger VTOL aircraft

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| Source: Moller International

Davis, May 6, 2014 (GLOBE NEWSWIRE) -- Moller International ("MI", OTCQB: MLER), in a joint press announcement with Thorntail Aircraft, Inc. ("TAC") of San Diego, CA announced today that they had agreed to terms for the purchase of licenses for specific MI intellectual property ("IP") as it relates to the design, performance and manufacture of a six-passenger vertical takeoff and landing (VTOL) capable, high-speed aircraft similar to MI's Skycar M600. Under the terms of this agreement, TAC will pay $2 million to license IP from MI and provide a 5% royalty on the gross selling price of each aircraft produced by Thorntail Aircraft which is based on the M600 IP.

Under the terms of this arrangement, MI has also agreed to a bailment agreement for the M400X to TAC for the Historic First Flight Event and further demonstration flights to be conducted over the course of 18 months, with an optional 18 months. Included in these terms was a provision for TAC to provide funding for the first manned, untethered public flight of the M400X aircraft to demonstrate VTOL capabilities and engine technology licensed from MI.

TAC will be responsible for flight tests leading up to the First Flight Event, as well as for FAA coordination and liaison plus all permitting and coordination. Following completion of the First Flight Event, TAC will also provide funding, build-up, FAA permitting, operation and maintenance for a series of public demonstrations at public events for schools and universities, as well as air shows, state fairs and special events.

MI and TAC will hold a joint telephone conference later this month to discuss the agreement with members of the press and shareholders.

The terms of this agreement do not restrict MI from securing additional equity capital or continuing development work on the Neuera 200, Skycar 200 and Skycar 400 VTOL aircraft. MI stated that a significant portion of the proceeds from the contemplated transactions would be used to complete production plans for its two-passenger Skycar 200.

About Moller International

Moller International was created in 1983 when it was determined that a practical VTOL aircraft (a "volantor") was possible due to the development of a unique rotary engine by Dr. Felix Wankel. In 1985 the Company acquired the entire rotary engine assets of Outboard Marine Corporation (OMC) who had produced a rotary engine to power their snowmobiles and outboards. In 1989 the Company flew its rotary engine-powered Neuera volantor before members of the press. The Company then began the development of a high-speed volantor, which it called the Skycar®. A four-passenger Skycar® volantor was flown in 2001 before the Company's stockholders.

The Company also developed a number of unmanned aircraft utilizing its rotary engine and flight control system (FCS). These aircraft (called Aerobots®) were developed under contracts with NASA, NOSC, DARPA, NRL, Harry Diamond Labs, Hughes Aircraft Company, California Department of Transportation and the US Army, Navy and Air Force.

Products in development include the Skycar® 400, Neuera 200 and newly designed two-passenger models of the Skycar® 200 series.

Contact: Paul Moller by phone at (530) 756-5086 or  via email to:  paul@moller.com

About Thorntail Aircraft, Inc.

Thorntail Aircraft was founded in 2014 to produce the world's first high-speed VTOL aircraft for civilian and military applications. Built in cooperation with several leading aerospace firms, the Thorntail V600 is the first VTOL aircraft produced to greatly increase safety, speed and performance while additionally reducing flight complexity, noise, cost of ownership and maintenance requirements.

Contact: Lacey Atkinson

Email: info@thorntailaircraft.com

Safe Harbor Statement

Except for historical information contained in this release, the statements in this news release are forward-looking statements that are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Forward-looking statements involve known and unknown risks and uncertainties, which may cause a company's actual results in the future to differ materially from forecasted results. These risks and uncertainties include, among other things, the company's ability to attract qualified management, raise sufficient capital to execute its business plan, and effectively compete against similar companies.

CONTACT: Moller International:
         Paul Moller
         (530) 756-5086
         paul@moller.com
         
         Thorntail Aircraft:
         Lacey Atkinson
         info@thorntailaircraft.com