Objective: The aim was to investigate long-term effects on motor skills and scholastic performance of increased Physical Education (PE) and adapted motor skills training according to the Motor skills as Ground for Learning (MUGI) model – [in Swedish: Motorisk Utveckling som Grund för Inlärning]. Another aim is to describe the implementation and the society gains of the Swedish Bunkeflo project–a healthy way of living. Methods: All students born 1990-92 in one school in the south of Sweden were included in a longitudinal study during nine years. The school day was prolonged and an intervention group (n=129) received daily PE (5x45 minutes/week) and if needed one extra lesson/week of adapted (MUGI) motor skills training. The control group (n=91) had the school´s ordinary PE 2x45 minutes/week. All teachers and school staff were educated in the MUGI model of motor skills observing and training. Motor skills were evaluated by the MUGI observation checklists and scholastic performances by achievements and grades in Swedish, English, mathematics, PE, and proportion of students who qualified for upper secondary school. Results: Statistical analyses after three years and at follow up six years later showed that both girls and boys improved more in motor skills (balance and coordination) and their learning performance in Swedish and mathematics became significantly better compared to a control group who had ordinary PE twice per week. In the intervention group 93 percent of the students had good motor skills after nine years compared to 53 percent in the control group (p<0.001), and 96 percent of the students in the intervention group compared to 89 percent in the control group (p<0.05) qualified for higher education in upper secondary school. The sum of evaluated grades was higher among boys in the intervention group than in the control group (p<0.05). Health-economic analyses show that daily PE and adapted motor skills training in school would increase the potential production value and reduce morbidity costs during the ten-year period after school. An investment in staff and premises per student of 500 Euro for all nine school years would give productivity gains and reduced morbidity costs of 4,130 Euro for every student. Conclusion: Daily PE and adapted motor skills training during the compulsory school years is a feasible way to improve not only motor skills but also scholastic performance and the proportion of students who qualify for upper secondary school. The health-economic evaluation of the project shows that the investment was clearly profitable for the municipality. Keywords: academic achievements, cognition, economic health analysis, implementation, motor skills checklists, motor skills development, physical education, scholastic performance, the Bunkeflo project, the Pediatric Osteoporosis Prevention (POP) study