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A theory for the solid-rotor induction machine is developed such that the finite width and thickness of the rotor as well as its saturation are taken into account. An axial-airgap disc-type motor is considered as an example, for which an equivalent circuit is developed, terminal characteristics are computed and compared with experimental results. The validity of the theory is thus demonstrated. Although the disc motor is used as an example, the theory is applicable to single-sided linear induction motors and other solid-rotor eddy-current motors.