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Production Update #2 Hello Backers, Good to see you again! We’ve been waiting for the information from our contractors and today we’re ready to share with you guys some key actions we’ve been undertaking. Mass production is a new experience for us and when we got to this stage we’ve decided to take meticulous quality-oriented approach as our key strategy in the process. We were consulting experts and following their recommendations. From the very beginning, we were working on both products finalising R&D of the modified features, implementing DFM, preparing documentation, optimising the supply chain to provide simultaneous production launch. However, the number of production issues, mostly related to assembly and plastic molds design started to expand exponentially. While we started the process at a steady pace, going deeper we realised more attention to detail is essential and it started to take more time. At some point, we realised that this process may last much longer than expected. This is what made us come to a decision to split up the pedals and wheel production and stay strongly focused on the production process of each product. However, time consuming processes like tooling and mold production are distributed for both products evenly. The process of coming to agreement on all the details with the factory and getting the production sample went not as effective as we expected. We were not certain that we’d be able to ensure the needed quality and look & feel of the products. We’ve also realised the production will take yet more time and resources that we neither can afford nor want to happen. Given that, we took the decision to move the pedals to local production. This way we can make sure all the quality requirements are met, take all important production processes under control and save time. We are making our own assembly line which will help us to monitor a lot of essential operations in a more reliable and straightforward way. Moreover, we have local trusted suppliers and contract manufacturers we collaborated with on the R&D stage. To make it straight - the sample we have received did not meet the quality level we need, and making it decent meant expanding the budget rates to unacceptable level. Now, with the production based locally we will be able to fit the budget in accord with our pre-calculated prime cost and keep to the desired products quality at the same time. We have visited our main metal parts contractor to discuss our production requirements. We totally understand your expectations, and hoped to ship the products on time. We are making every effort to arrange the shipments as soon as possible and hope to start shipping the pedals standalone till the end of the year. As of now, all the needed pedals tooling is ready and small batch production has been started. As the process goes, we are actively dealing with all the emerging issues and will be gradually building up the production quantities. The wheel production process is more complex, we keep working on several out of 7 total molds design and manufacturing. Therefore, the golden sample creation is in process. We plan to start the batch production in the first months of 2019. In a nutshell, as much as we wanted to be on time with shipment dates, the production takes the time it has to according to the product’s complexity. Thank you all for your continuing support! Yours, Feel VR Team P.S. Many of you guys have been reaching out lately being concerned about delays in communication. We’re sorry about this, and we’d like to let you know that Kate, who’s been our main communication delivery rep, is moving to another country to grow professionally in another sphere and won’t be able to be with us anymore. We wish Kate luck and keep fingers crossed for her success. Meanwhile, we start working with a new person to ensure two-way communication is maintained with you guys.