How I reduced the stutter
 

Don't know if this has been mentioned, but I edited the VisibilityDistance setting in my Conf.ini file to read 2, down from 3, as below:

[core]
RandSeed = 0
TexQual=3
TexFlags.PolygonStipple=0
Shadows=1
SpecularLight=2
DiffuseLight=2
DynamicalLights=1
MeshDetail=2
LandShading=1
LandDetails=2
Sky=3
Forest=-1
VisibilityDistance=2

Forest is Off and buildings are Low (can't find a switch in the config to turn buildings off).

Anyway, stutter is greatly reduced now (but still present) and the visibility in game actually looks a bit more realistic for a normal day. Certainly still exceeds the distance at which you could hope to spot the enemy by many miles.

Hope that helps somebody.

What are your system specs?

Just downloaded the game 2 days ago and haven't got around to looking at my specs - I don't normally need to become a PC expert to get a flight Sim running!

Win 7 32 bit
Dell XPS 700
4GB RAM
2 Nvidia 9800 graphics cards?
Dual core

700GB of disk
DX10

It's a great big recently serviced (new graphics cards) gaming machine that runs every game you'd care to mention with no issues.

shadows, landetail/shading are also performance killers