We demonstrate for the first time the feasibility of free space quantum keydistribution with continuous variables under real atmospheric conditions. Morespecifically, we transmit coherent polarization states over a 100m free spacechannel on the roof of our institute's building. In our scheme, signal andlocal oscillator are combined in a single spatial mode which auto-compensatesatmospheric fluctuations and results in an excellent interference. Furthermore,the local oscillator acts as spatial and spectral filter thus allowingunrestrained daylight operation.
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