New Flyer Industries Inc. Announces its First Quarterly Dividend
Winnipeg, Manitoba, Canada – March 15, 2016: (TSX:NFI) (TSX:NFI.DB.U) New Flyer Industries Inc. (the “Company”) today declared a quarterly dividend for the period January 1, 2016 to March 31, 2016, on the common shares of the Company (the “Shares”) in the amount of C$0.175 per Share to holders of record at the close of business on March 31, 2016. The dividend will be payable on April 15, 2016.
The Company has paid dividends to shareholders for 123 consecutive months from the Company’s initial public offering in August 2005 to the final monthly dividend paid on January 15, 2016 for the month of December 2015. As previously announced, the board of directors of the Company approved a 12.9% increase in the annual dividend rate from C$0.62 to C$0.70 per Share, and revised its policy to pay dividends on a quarterly basis. The payment of this dividend on April 15, 2016 will be the Company’s first quarterly dividend paid on the Shares.
The dividends on the Shares are designated as “eligible dividends” for purposes of the enhanced dividend tax credit rules contained in the Income Tax Act (Canada) and any corresponding provincial and territorial tax legislation.
About the Company
The Company employs approximately 5,000 team members and is the largest transit bus, motor coach manufacturer and parts distributor in North America. With fabrication, manufacturing, distribution and service centers in Canada and the United States.
Through its Canadian and U.S. subsidiaries, New Flyer Industries Canada ULC and New Flyer of America Inc., the Company is North America’s heavy-duty transit bus leader and offers the broadest transit bus product line (Xcelsior® and MiDi® models), incorporating the broadest range of drive systems available, including: clean diesel, natural gas, diesel-electric hybrid, electric-trolley and now battery-electric. The Company actively supports over 42,000 heavy-duty transit buses (New Flyer, NABI and Orion) currently in service.
Through its Canadian and U.S. subsidiaries, Motor Coach Industries Limited and Motor Coach Industries, Inc., the Company is North America’s leader in motor coaches, offering the MCI J4500,which is the industry’s best-selling intercity coach for 11 consecutive years, and the MCI D-Series, the industry`s best-selling coach line in North American motor coach history. MCI is also the exclusive distributor of Setra S417 and S407 in the United States and Canada. MCI actively supports over 28,000 motor coaches currently in service and offers 24-hour roadside assistance 365 days a year.
The Company also operates North America’s most sophisticated aftermarket parts organization providing support for all types of transit buses and motor coaches. All buses and coaches are supported by an industry-leading comprehensive warranty, service and support network.
Further information is available on the Company’s websites at www.www.newflyer.com and www.mcicoach.com. The Shares and convertible unsecured subordinated debentures of the Company are traded on the Toronto Stock Exchange under the symbols NFI and NFI.DB.U, respectively.
This press release may contain forward-looking statements relating to expected future events and financial and operating results of the Company that involve risks and uncertainties. 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, the covenants contained in the Company’s senior credit facility could impact the ability of the Company to fund dividends and the other risks and uncertainties detailed in the disclosure documents filed with the Canadian securities regulatory authorities and available on SEDAR at www.sedar.com. Due to the potential impact of these factors, the Company disclaims 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:
Jon Koffman, Investor Relations
Tel: (204) 224-6672