Coils, it cuts with a single point cutter similar to a lathe tool. it does a lot of things a mill does, but with a .50 cent cutter instead of an expensive mill cutter. It also can cut internal slots and keyways.
Here's a link to a video of one, the motor is running backwards though, I don't think they realize it.
Very nice! I've been looking at those myself, for a couple months. So far they have all been too far away for me to go pick up. Seems like I've seen this one here for sale somewhere's. But that's unlikely.
It sure would look good next to my Atlas horizontal mill!!!