Washington, DC Exercises Options for an Additional 100 New Flyer Buses
Winnipeg, Manitoba, Canada – September 26, 2016: (TSX: NFI) (TSX: NFI.DB.U) New Flyer of America Inc., a subsidiary of New Flyer Industries Inc. (“New Flyer” or the “Company”), the largest transit bus and motor coach manufacturer and parts distributor in North America announced today the Washington Metropolitan Area Transit Authority (“WMATA”) exercised options for 100 heavy-duty 40-foot New Flyer Xcelsior® compressed natural gas (“CNG”) buses.
The 100 options valued at approximately $56 million were exercised off a contract signed in June, 2013. To date, 500 buses have been exercised off this contract of which 329 have already been delivered to WMATA and 75 XDE40 or 60-foot buses remain to be exercised.
The buses will be deployed to support the Priority Corridor Network (“PCN”) focused on improving service of 24 of the busiest routes that today serve half of WMATA’s 440,000 daily riders. New Flyer’s best in class Xcelsior buses will add over 100,000 new daily rides to the PCN and is expected to save each passenger up to 50 percent on their typical travel time.
WMATA currently provides over 2.3 million trips to over 4 million residents every year, with a predicted increase in fleet size from 1,505 buses in 2013 to 2,060 by 2025. WMATA’s growing ridership increases by approximately 40,000 trips per year and has a service area spanning 1,500 square miles.
“With over 1,200 buses delivered to WMATA since 2002, New Flyer is thrilled to continue our relationship with WMATA and be a partner they can continue to rely on,” said Paul Soubry, New Flyer’s President and Chief Executive Officer.
NOTE: All dollar amounts are stated in U.S. currency.
About The Company
The Company is the largest transit bus and motor coach manufacturer and parts distributor in North America with fabrication, manufacturing, distribution and service centers in Canada and the United States and employs approximately 5,000 team members.
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. New Flyer 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 comprehensive 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 common 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. 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 purchase parts or services, customers may not exercise options to purchase additional buses, the ability of customers to suspend or terminate contracts for convenience 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, 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.
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