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\←L\+=50;\→L\;
\←R\-=75;\→R\;
\F3\C50 Roan Place
\CWoodside, CA. 94062
\F4\←L\-R\/'7;\+R\→.\→S   Telephone:
\←S\→.415-851-3241
\F1\CJanuary 28, 1980


\JMr. J. F. Engelberger\.
\JPresident\.
\JUnimation Inc.\.
\JShelter Rock Lane\.
\JDanbury, Conn. 06810\.

\JDear Joe:\.

\J	Enclosed is a copy  of what was to be  my final summary report to  you.
Through some mix-ups last May and  June, it never got sent.  The  original
version is  in  Unimation files  on  the West  Coast  Division's  computer
system.  This attached report is a copy  saved for my files and serves  to
partially summarize my overall effort at Unimation during the two and  one
half years I was General Manager of the West Coast Division.  Rather  than
attempt to complete that report, I will jump to the present and detail  my
current situation.

	I realize that  you are  not pleased with my  recent decision  to
leave Unimation  and join  Phil Villers  and his  new company,  Automatix.
This  was  not  a  decision  I  made  easily,  as  I  fully  realize   the
possibilities I had for future work with Unimation. But on the other hand,
I am a risk taker  and entrepreneur of sorts,  or I wouldn't have  started
Vicarm, and I wouldn't  have been an  original investor in  Computervision
eleven years ago, or  I wouldn't have bought  shares in Condec four  years
ago when Vicarm was a "competitor", and  I wouldn't have made a deal  with
you, and I wouldn't have joined Automatix.

	None  of  these  risks  were  blind  risks.   They  all  had  both
technological and financial  futures which I  could understand and  relate
to.  It is with  this attitude that I've  joined Automatix.  Phil  Villers
has created a  young, strong,  competent nucleus  of people  I would  have
hoped Unimation could have  attracted.  You approached  one of them  once-
Don Pieper  [Vice  President for  Engineering],  but he  had  difficulties
relating to your aging upper  management and conservative image. You  also
know Gordon VanderBrug, a  protege of John Evans  will be responsible  for
robotics systems.  I'll be Vice  President for Advanced Systems, and  will
track technology  and work  on a  limited number  of advanced  development
projects.

	Automatix will be in the systems business.  Our goal is to buy  or
license much of the  components and technology we  need.  Only if that  is
not practical, or it  doesn't exist, or the  deal is unreasonable will  we
develop.  With respect to robots, sure  we'd like to license PUMA and  VAL
based systems from Unimation.  I've highly recommended it.\.
\F1\C-2-

\J	Brian Carlisle has told me that you're checking to see if there is
any conflict of  interest with my  venture with Automatix.   I hope  there
wont be, because  it's not  my intention  to capitalize  on any  Unimation
proprietary information or methods.  I'm working on the future. That's  my
specialty- to see ahead, and make that a reality.  I obviously see  things
differently than you do or I wouldn't have had so much resistance from you
towards VAL on the Unimate, the  250 project, my thesis topic ideas,  etc.
I can't be constrained in  my thoughts and goals.  I  am going to stay  in
California for the present.  Automatix gets only part of my time. The rest
goes to my thesis  work at Stanford.  True,  ideas will get channelled  to
them rather  than Unimation,  but I  feel I  offered Unimation  a  chance.
Brian Carlisle knew that I was  willing to consult on an advanced  project
basis, but nothing came of that.  Even Ted considered involving me in your
welding project, but nothing came of that either.

	 I  understand  and  agree  that I  sold  Unimation  the  Vicarm
technology consisting of hardware,  details, drawings and knowledge.   The
designs, details, and drawings are physical entities, but knowledge is  an
immeasureable quantity because  it's always being  expanded and  developed
from intangeable  resources.  Well,  just  as the  Orm was  original,  the
Stanford arm was unique, and  the MIT arm was not  a copy of the  Stanford
arm. I feel  that you will  agree that I  am still creative  enough to  do
entirely new things in the field of robotics...and if it turns out to be a
robot of sorts, you can be sure it will again be totally new and different
because that's what challenges me and excites me.


	We also had a contract based business deal, and  I returned to  you
many times your investment in me, Vicarm, VAL, my operation, and your long
term financial commitments to  me.  Condec stock is  now about triple
what it  was  when  I joined  with  you  exactly three  years  ago  today.
Unimation is  now a  profitable, respected,  viable operation  with a  new
product line, a revamped image to existing products, and presents a modern
dynamic front to its customers, competitors and suppliers.  I  confidently
say that  almost all  of this  is due  to my  efforts, in  my capacity  as
General Manager of  the West  Coast Div.  under  the terms  of the  Vicarm
purchase  agreement,  my  employment  and  royalty  agreement,  and  under
reasonable extensions  of those  terms.   Although I  was obligated  to  a
minimum of only six  days a month,  I gave Unimation even  more than  full
time to  build our  operation into  the strongest  robotics development  group
anywhere.

	Compare my output, effort, and  results to your Mikros deal,  your
new encoder effort, your '79  controller project, your RCA contract,  your
6000 project, your Germany operation,  and even the reasonably  successful
Apprentice program,  and  you  will  find  that  there  is  absolutely  no
comparison.  In fact, compare the results  of the West Coast group to  any
other serious robotics  effort by any  other company during  the last  few
years and  you  will  also  find  no  comparison.   I  feel  proud  of  my
contribution to Unimation, and to the robotics field in general!\.

\F1\C-3-

\J	I remember that you  once mentioned to me  that you invest in  ten
projects, hoping  one would  succeed.  That's  pretty wild  shooting,  but
nevertheless my record stands for itself:  PUMA, 250, Unimate  controller,
a complete system, everything from  top to bottom, including  accessories.
All thought up, designed, developed, and  produced by about ten people  in
California.   That's  a  lot  closer  to  100%  shooting  than  your   10%
expectation.  Even our personal cost to you as part of your agreement with
Condec has been small, because what we did on only a few hunderd  thousand
dollars others would  take millions  to do.   Just compare  with the  6000
project, or  the RCA  system,  or what  Cincinatti Milacron  has  probably
dumped into their machine.

	The fact  that  I did  do  a  dedicated and  consientious  job  of
transferring to Unimation  this technology  is evidenced  by your  product
line and your balance sheet this year.  Shortly, you'll have a significant
part of Vicarm technology in everything that goes out your door.

	I have enjoyed my years  with Unimation.  We all  benefitted...and
learned.  I found out  that advanced systems  development is my  pleasure,
but daily administrative, scheduling, and political hassles are definitely
not my  strength or  interest.   I made  wise decisions,  selections,  and
choices, and I also made mistakes.  But  all in all I feel that  Unimation
got good value from me, and I'm satisfied with what I got from Unimation.

	Joe, you've  asked me  to formally  notify you  in writing  of  my
change of affiliation.  Thus, to summarize the contents of this letter:  I
have had two  and a  half memorable,  enjoyable, and  worthwhile years  at
Unimation, but as I continuously look at the future, I hereby inform  you,
as President of Unimation and my direct supervisor, of my formal departure
from Unimation to join with a  new organization.  I fully understand  that
by leaving  Unimation I  relinquish all  rights to  insurance,  retirement
plans, profit sharing,  etc. normally offered  to full time  or part  time
employees in my former position.

	I do hope that  we will be  able to keep in  touch on an  amicable
basis in the future.\.

\←L\→S\←R\-L\/'2;\+L\→L

\R Yours sincerely,     



\R Victor Scheinman