Zero Emission New Flyer Bus Deliveries Increase by 48% in 2016

Wayne Joseph, President of New Flyer Transit Bus, noted “New Flyer believes that zero emission acceptance has now hit a breakthrough level for the heavy-duty transit market in 2016.”  He added, “We estimate that approximately 255 EU’s of the heavy-duty transit bus deliveries in 2016 were zero emission, and New Flyer is proud to have delivered more than 83%.”

New Flyer manufactures all three current types of ZEBs, including: battery-electric, trolley-electric, and hydrogen fuel cell electric buses.  This unprecedented design and manufacturing capability allows transit authorities the ability to optimize charging method, infrastructure and range capability for their specific needs.  All New Flyer ZEBs are based on the proven Xcelsior^® heavy-duty transit bus platform, driven by electric motors, and share common electric accessories. Including hybrid electric propulsion, New Flyer has now delivered over 6,400 buses driven by electric motors to the North American transit industry over the past 20 years.

Chris Stoddart, Senior Vice President Engineering and Customer Service, emphasized the key to New Flyer’s zero-emissions approach.  “We pride ourselves as being one of the world’s leading bus system integrators in the world, and we rely on our established supplier partners to complement our extensive research and development capabilities.” Mr. Stoddart added, “Our customers rely on us to stand behind the technology and support their operations throughout the 12+ year life of the bus.  Our Altoona reliability and structural integrity results widely differentiates our zero-emission bus to all other electric bus manufacturers in North America.  Our commitment to our customers has resulted in our ability to be North America’s market leader in transit buses, and with this success, the ability to continually invest in the best clean air technology available.”

New Flyer has developed a strong portfolio of clean-air solution partners with industry technology leaders including Siemens, BAE, Allison, XALT Energy, A123 Systems, Vanner, Thermo King, EMP, Parker, Vossloh-Kiepe, Shunk, and Cummins.  In addition, New Flyer’s focus on emissions reduction includes propulsion systems with the latest generation of hydrogen fuel cells from Ballard Power Systems and Hydrogenics.

New Flyer’s clean-air solutions expanded in 2016, with the delivery of the industry’s first OEM installation of the Cummins ISL-G Near-Zero NOx engine into the Xcelsior platform. New Flyer understands that that the natural evolution of emission reduction is different for every transit property, therefore will continue to dedicate themselves to offer the broadest, best and most reliable clean air solutions in the industry on a proven platform.

New Flyer is also currently validating North America’s first 60-foot articulated battery-electric bus with a hydrogen fuel cell range extender, complemented by dual driven axles for enhanced traction, at the US Federal Transit Administration’s Altoona proving grounds.

A zero emission transit bus is able to eliminate 1,690 tons of CO₂ over its 12-year lifespan which is equivalent to taking 27 cars off the road for each ZEB.  Additionally, each ZEB also eliminates approximately 10 tons of nitrogen oxides and 350 pounds of particulate matter, improving air quality in the communities served.

With more than two decades of zero emission technology experience, New Flyer is positioned to provide operators with the most robust and reliable ZEBs in the North American transit industry today. As the trend towards clean air technology grows, New Flyer continues to invest in technology, robust vehicle system integration strategies and the expansion of our manufacturing capability and supply chain to ensure world class reliability and support for the vehicles in service.

Photos:  San Francisco MUNI XT60 Trolley-Electric, New Flyer XHE60 Hydrogen-Electric, and Chicago Transit Authority XE40 Battery-Electric

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.

Forward-Looking Statements

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.

For further information, please contact:

Jon Koffman

Investor Relations

Tel: 204-224-6672