Just found out about all this by randomly checking the Kickstarter comments because I was wondering what happened to the project. Still reading up on what happened, but I'm not happy about this situation at all.
a) Why wasn't there an e-mail send to kickstarter backers to inform them of all these changes?
b) I think it's very disappointing that ED thinks it's OK to take over all the assets that has been created with the kickstarter money and continue the project that was supposedly a joint venture from the beginning, but not feel responsible to honor the rewards that were sold in exchange for that money.
If they took over a worthwhile project, then it should be no big deal to refund backers, since most backers would use their refund to buy DCS modules or the final DCS WW2 release anyway.
Taking over the project and telling the backers to just accept the reduced rewards with no refund option leaves a very bitter aftertaste. I would have loved to use the refund to buy Mig-21 or F86-Sabre and then decide if I want to buy DCS WW2 when it releases.
By cutting the rewards you're not enticing me to buy the DCS WW2 planes I'm now not getting after release. You're doing the exact opposite.