New Flyer adds MiDi® to bus distributor agreement with Girardin
WINNIPEG, March 4, 2014 /CNW/ - (TSX: NFI) (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, amended its agreement with A. Girardin Inc. ("Girardin") to include the New Flyer MiDi®, in addition to the Xcelsior® heavy-duty transit bus. Girardin will serve as the exclusive distributor of New Flyer's MiDi® and Xcelsior® transit bus models for all public and private customers in Quebec and private operators in Ontario and the Atlantic provinces.
Under the terms of the agreement, Girardin will market, sell and provide after sales service for the MiDi® and Xcelsior® transit buses through its established service locations. All New Flyer products purchased through Girardin will be fully supported by New Flyer's industry leading warranty, genuine New Flyer spare parts, and lifetime customer care programs.
The New Flyer MiDi® is a mid-sized, low-floor, ultra-clean diesel powered, quiet bus that is ideal for use in community shuttle/transportation, airport, university and hotel shuttle services. Available in 30' and 35' lengths, the streamlined design of the MiDi® provides greater maneuverability while maintaining excellent accessibility for passengers with one or two doors and a 1:6 slope wheelchair ramp. Substantially lighter than vehicles in its class, MiDi® was developed though a joint venture with the UK's leading bus manufacturer Alexander Dennis, and leveraged on their proven E200 design with over 16,000 vehicles deployed worldwide.
New Flyer's Xcelsior® is a proven heavy duty, low floor bus that is ideal for use in rigorous and demanding transit or shuttle duty cycles. Available in 35', 40' and 60' articulated lengths, Xcelsior® is offered with clean diesel, compressed natural gas, diesel electric hybrid, and electric trolley propulsion systems.
"This agreement offers both companies the advantage of offering operators a product that has not been available to the market" states Paul Smith, New Flyer Executive Vice President Sales & Marketing. "Not only does it expand Girardin's product offering to their customers, it allows for the successful penetration of New Flyer products into the market by a partner with great experience, a solid reputation, extensive market knowledge and a long list of customers."
New Flyer and Girardin first entered into a distributor's agreement in April 2011, to distribute the Xcelsior® heavy duty transit bus. The amended agreement has already generated success with three (3) recent bus awards. The first official MiDi® contract for a single 30-foot bus has been awarded by Autobus Robert Paquette, a transportation provider based out of Quebec, Canada. This single bus order is currently being manufactured and is expected to be delivered in the second quarter of 2014.
Keolis Canada, a passenger transport service provider in the Montreal area has awarded a contract to purchase five (5) Xcelsior® 40-foot heavy duty buses in addition to eight (8) 30-foot MiDi® buses. The five (5) Xcelsior® buses are anticipated to be delivered in the second quarter of 2014 and the eight (8) MiDi® buses are anticipated to be delivered in the third quarter of 2014. Additionally, Le Groupe Transbus has also awarded a contract for three (3) Xcelsior® heavy duty 40-foot clean diesel buses to be delivered in the third quarter of 2014.
"We're excited and proud to partner with New Flyer on this dealer agreement to offer the Xcelsior® and MiDi®," said Dave Girardin, A. Girardin Inc., President. "These industry leading New Flyer products complement our current product line by creating a more robust portfolio; adding to our lineup of school buses and light duty cutaway buses. New Flyer's reputation and high level of quality of buses and aftermarket service and support makes this a winning decision to join into this partnership."
The MiDi® and Xcelsior® models have been designed to deliver improved reliability and life-time value savings by offering; improved fuel economy and lower overall cost of ownership. New Flyer vehicles meet or exceed all applicable North American regulations, requisite testing including structural durability at Altoona, PA.
The New Flyer MiDi® and Xcelsior® bus models are available for sale by all Girardin's Quebec and Ontario sales locations.
About New Flyer
New Flyer, with its recently acquired NABI Bus, LLC subsidiary, is the leading manufacturer of heavy-duty transit buses in the United States and Canada. The Company is the industry technology leader and offers the broadest product line including drive systems powered by: clean diesel, natural gas and electric trolley as well as energy-efficient diesel-electric hybrid vehicles. All buses are supported by an industry-leading comprehensive warranty and support program, and service network. New Flyer and its subsidiaries NABI Bus, LLC and NABI Parts, LLC also operate the transit industry's most sophisticated aftermarket parts organization, sourcing parts from hundreds of different suppliers and providing support for all types of heavy-duty transit buses.
The New Flyer group of companies employ over 3,000 team members with manufacturing, fabrication, parts distribution and service centers in both Canada and the United States. Further information is available on New Flyer's web site at www.newflyer.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.
Girardin, Inc. is the official school bus distributor named by Blue Bird Corporation serving the Quebec and the Atlantic Provinces for more than 40 years. Holding a dominant position in the Quebec school bus market and an envious position in the commercial and specialized vehicle markets, the Girardin Blue Bird Company also distributes the MB Series minibuses built by Micro Bird Corporation and has a large variety of pre-owned buses in stock.
With its annexed service department close to the state-of-the-art technology and its large franchisee parts warehouse, Girardin, Inc. can guarantee a best and efficient after-sales service. More than 10,000 different part numbers are computerized and the parcels can be delivered overnight everywhere in the province of Quebec.
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, the existence and size of the mid-size transit bus market may be smaller than expected and might not be sufficient to support the existence of a new product, the sales volume generated by distributors of MiDi® may not be sufficient to ensure profitability for the product, the MiDi® has not yet been sold to a transit customer and there may be little to no market demand for the product 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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