Abstract Correction of a skeletal Class II malocclusion with functional appliances has been accepted as a viable treatment modality. However, its mechanism of action is still disputed. This retrospective study compared 20 Class II patients treated with the functional magnetic system (FMS) with Class I and Class II groups (the control groups) of 20 untreated subjects each. Dental and skeletal changes were compared using serial lateral cephalograms. The FMS group differed significantly from the control groups in 15 of 24 parameters. The great increase in articulare-gnathion distance (3.07 mm) attributed to the attractive magnetic component of the FMS dictates a prolonged propulsion of the mandible. The skeletal:dental response ratio was 1:2 for the anterior region and 1:1 for the posterior region. The dental and skeletal parameters demonstrated a synergistic response in the maxilla and a competitive response in the mandible. This means that greater maxillary molar distal movement and incisor retroclination resulted in a more significant restraint of point A. In contrast, increasing the mandibular molar mesial movement and the incisor proclination accompanied less advancement of the pogonion. Although the skeletal contribution to the resolution of the malocclusion was less than the dental contribution (anteriorly, one third), the functional correction response was found to be regulated by skeletal factors. (Am J Orthod Dentofacial Orthop 2001;120:416-26).