NEW FLYER ANNOUNCES ITS FIRST ORDER FOR ALL-ELECTRIC TRANSIT BUSES FROM THE CHICAGO TRANSIT AUTHORITY
Winnipeg, Manitoba, Canada - June 21, 2012: (TSX:NFI, TSX:NFI.UN, TSX:NFI.DB.U) New Flyer Industries Inc. ("New Flyer" or the "Company"), the leading manufacturer of heavy-duty transit buses in Canada and the United States, announced the board of directors of the Chicago Transit Authority ("CTA") has approved the purchase of two all-electric battery heavy-duty transit buses. The total purchase price of the buses is approximately US$2.2 million and was funded with the assistance of the United States Department of Transportation's Federal Transit Administration through the Transit Investments for Greenhouse Gas and Energy Reduction (TIGGER) program and Clean Fuels Grant program.
"These will be the first battery-electric buses in CTA's fleet and our first order after we unveiled our fully functional prototype just two weeks ago," said New Flyer President and Chief Executive Officer, Paul Soubry. "We're very excited to partner with CTA on this project and fortunate to have these buses operated by a progressive organization such as CTA to validate this clean propulsion approach."
The battery-electric propulsion system builds on New Flyer's successful advanced, light weight Xcelsior model 40-foot transit bus. CTA's battery-electric bus will feature the latest in electric traction drives and components supplied by Siemens, including a high efficiency permanent magnet traction motor, inverters, voltage protection modules, junction boxes and the application software.
The CTA will begin a pilot program with the buses, which are expected to be delivered in 2013, to understand how the bus will operate, not only on regular routes, but in the tough climate conditions of Chicago. These buses are zero-emission vehicles that utilize the city's power grid to charge the batteries. Since pure electric heating in the cold Chicago winters would dramatically reduce the buses' range, a supplementary bio-diesel heater will be installed in the buses to keep the passengers comfortable, while preserving range. Chris Stoddart, New Flyer's Vice President, Engineering Services explained, "We will be monitoring these buses very closely in partnership with CTA and using the data to enhance and refine future designs."
This announcement builds on the recent news of the official unveiling of New Flyer's battery-electric bus on June 1, 2012, though a partnership with the Manitoba Government, Mitsubishi, Manitoba Hydro and Red River College.
NOTE: All dollar amounts are stated in US currency.
About New Flyer
New Flyer is the leading manufacturer of heavy-duty transit buses in Canada and the United States. The Company's three manufacturing facilities - in Winnipeg, MB; St. Cloud, MN; and Crookston, MN - are all ISO 9001, ISO 14001 and OHSAS 18001 certified. The Company currently operates a parts fabrication facility in Elkhart, IN and four PDCs in Winnipeg, MB; Erlanger, KY; Fresno, CA and Brampton, ON.
With a skilled workforce of over 2,000 employees, New Flyer is a technology leader, offering the broadest product line in the industry, including drive systems powered by clean diesel, LNG, CNG and electric trolley as well as energy-efficient diesel-electric hybrid vehicles. New Flyer has delivered over 31,000 heavy-duty buses in Canada and the United States. All products are supported with an industry-leading, comprehensive parts and service network.
Further information is available on New Flyer's web site at www.newflyer.com.
The common shares, income deposit securities and convertible unsecured subordinated debentures of New Flyer are traded on the Toronto Stock Exchange under the symbols NFI, NFI.UN and NFI.DB.U, respectively.
This press release may contain forward-looking statements relating to expected future events and financial and operating results of New Flyer and New Flyer Industries Canada ULC ("NFI ULC") that involve risks and uncertainties. Although the forward-looking statements contained in this press release are based upon what management believes to be reasonable assumptions, investors cannot be assured that actual results will be consistent with these forward-looking statements, and the differences may be material. Actual results may differ materially from management expectations as projected in such forward-looking statements for a variety of reasons, including market and general economic conditions and economic conditions of and funding availability for customers to purchase buses and to exercise options for buses and to purchase parts or services, no production version of the bus has yet been produced, the bus has not undergone any testing, there is no operating experience with the bus and the other risks and uncertainties discussed in the materials filed with the Canadian securities regulatory authorities and available on SEDAR at www.sedar.com. Due to the potential impact of these factors, New Flyer and NFI ULC disclaim any intention or obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, unless required by applicable law.
For further information, please contact:
New Flyer Industries Inc.
Glenn Asham, Chief Financial Officer