October 2005

To: SEG America’s Membership

From: William West Hopper, SEG America President 2005/2006

Let me take a moment to thank each of you for taking the time to vote in the August 2005 SEG America Elections. It is participating in your organization that will make it better for all of us and give a future to SEG America.

As the Newly Elected President of SEG America, I want to report to you on how I have found your Segway Enthusiast Group as I have come into this volunteer position as its President.

I am pleased to report that SEG America is in very good shape both fiscally and organizationally. The board that you elected in 2004 has created a foundation on which to build a very good enthusiasts organization. But there is still plenty to do. Each step needs to be carefully and thoughtfully taken, and not rushed. Having the basics in place is of the utmost importance for that, and your 2004/2005 founding board did just that for you.

The 2004/2005 board turned the organization over to the newly elected one with a positive cash flow and no debt. This is a result of the prudent use of start-up funds, a membership drive, and successful 2005 SegwayFests. All of which have provided a positive cash flow, and a high level of activity and interest to the organization. Due to this, actual dues-paying membership has increased the membership base during the 2004/2005 term.

The 2004/2005 SA Board decided to host three SegwayFests this year, a very large undertaking, especially since these events were in 3 diverse locations around the United States. All of them have been deemed a success, with attendees, vendors and sponsors enjoying the events. Overall, the SegwayFests have generated a profit for SA and good press exposure for the HT user community.

Organizationally, the founding board of SEG America officially and fully incorporated SEG America in the state of Nevada, and has established SEG America as a 501(c)(7) social club which is exempt from income taxes and that is recognized with The United States Internal Revenue Service

Segway Inc. has generously helped SEG America with communication tools, providing telecommunication access for SA Board meetings and providing hosting support for the SA Website. The current SA website has been operational for sometime now, with an upgrade of its service this spring. We hope to get some volunteer help to keep it fresh and interesting, which it does need to keep the origination active and show off the activities of it’s membership.

To get SEG America started, Segway Inc. purchased a SEG America Membership for each machine sold during the 2004 model year, which also provided an influx of start-up monies for SEG America.

With all of this, SEG America still has much work to do to move forward. And that will need the help from its membership.

The 2005 Board has set about a couple of things immediately. One was to add as a non-voting board member to the Board, the Immediate Past President. This position allows for long term corporate history, and an insight to be available to the board from the person in charge for the previous term.

Communication is key to the new board – and communication with the membership is very much a part of that program. With the first official meeting, once the minutes from a SA Board Meeting are approved, an executive summary is now posted on the SA Website under the heading “minutes”. This brief synoposis of the meeting will give members a quick understanding of the workings of the board for that meeting.

SEG America has no paid staff, therefore volunteers do all of the operational tasks for SEG America. And additional volunteer help is needed to grow SEG America in the coming year. Here are a few of the various areas that SA can use you, the member’s skills and help

· Graphics skills, to develop brochures, and matter that will go out to prospective members, and to the membership

· Website help, to keep the SA Website fresh with information from the membership and update the community on the happenings of the organization.

· Local Group Organizers, SEG America is only as good as the local groups that are the owners and enthusiasts in the various communities.

· Event organizers, SegwayFest being the largest event of the year, but other smaller regional events are important in the celebration of the Segway HT. And we need members to market and put those events together.

· Dealer Relations Committee – to help bring the vast Segway Dealer network into the fold of SEG America.

What the SEG America Executive Committee is now working on are the SEG America By-Laws and Rules and Procedures. By-laws are not something to be taken lightly. Once made, they need to fit the organization, or they will not serve the group’s needs. With By-Laws, there needs to be Rules and Procedures, — so both of these go hand in hand. The SA Executive Committee hopes to have these by-laws finished by the first quarter of 2006, so that they can be voted on in the 2nd quarter.

Right now a Membership Brochure is being designed, one that can be included in every Segway box, and can be displayed at the local dealerships.

Part of membership in any organization, is the value of membership. We need to develop value in SEG America Membership. Adding value to membership is important, as is encouraging and developing local groups to enhance the ownership experience for each HT owner.

Local groups offer a community to share the gliding experience with, not only to glide with, but to share and swap parts or help with minor repairs. Even playing a sport with, as has been the case with the SEG Polo Teams that are starting to appear around the world.

To get the most benefit out of any organization, a member must be active and get involved. That means get out and encourage other HT owners to become SEG America members, promoting and helping grow the organization at the local level. And by getting involved and helping your local group, by organizing an outing, an event with the local Segway dealer, anything that gets SEG America members together to enjoy the experience of the Segway HT.

As we begin the new administration of SEG America, I want you to know that your SEG America is in good shape It has a lot of room to grow with plenty of opportunities ahead of it, that each of you, the members, can help by participating and contributing in the growth and health of SEG America.