WINNIPEG, Sept. 24, 2012 /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 the United States and Canada, announced that New York City Transit Authority and the MTA Bus Company (together, "NYCT") have today confirmed the award of a firm contract to New Flyer to build 90 heavy-duty 60-foot Xcelsior clean diesel buses (180 equivalent units or "EUs").
"These 60-foot Xcelsior buses will now begin production immediately and will be completely manufactured by New Flyer of America Inc., the US operating subsidiary of New Flyer, and its union partners of the Communications Workers of America (CWA) at the Company's St. Cloud, Minnesota facility," said Paul Soubry, New Flyer's President and Chief Executive Officer.
Mr. Soubry further explained, "We are proud to have been selected by New York, the largest transit bus operator in America to provide the 60-foot Xcelsior. This award builds on the successful experience with NYCT as almost 1,300 New Flyer buses have been delivered by the Company to New York since May 1996. This new contract adds to our long-standing relationship with NYCT by providing a world-class next generation bus, supported by New Flyer warranty, service and lifetime customer care."
In the last two years, New Flyer has delivered 385 low-floor 40-foot CNG buses and recently built 90 40-foot Xcelsior clean diesel buses - both fleets currently operating in New York. In July 2012, NYCT assigned a contract they held with Daimler Buses North America, Inc. to New Flyer to build an additional 74 40-foot CNG buses. The Company has already begun production of those buses and delivery of that order is expected to be completed by the end of 2012.
This new contract for 180 EUs was part of the group of awards the Company had announced in its July 16, 2012 press release for 483 new buses (613 EUs) and options for 40 buses (60 EUs) that were pending from a number of customers where approval had been granted by the customer's board, council, or commission, as appropriate, but purchase documentation had not yet been received by New Flyer.
On September 17, 2012, the Company issued a press release noting the delay in receiving the contract and as a result, production of this order was re-scheduled. Production of this order will now commence consistent with that update.
About New Flyer
New Flyer is the leading manufacturer of heavy-duty transit buses in the United States and Canada. The Company's three manufacturing facilities - in St. Cloud, MN; Crookston, MN and Winnipeg, MB - are all ISO 9001, ISO 14001 and OHSAS 18001 certified. The Company currently operates a parts fabrication facility in Elkhart, IN and four parts distribution centers in Erlanger, KY; Fresno, CA; Winnipeg, MB 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 32,000 heavy-duty buses in the United States and Canada. 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 and convertible unsecured subordinated debentures of New Flyer 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 exercise options for buses and to purchase parts or services, the ability of customers to 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.
SOURCE: New Flyer Industries Inc.
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New Flyer Industries Inc.
Glenn Asham, Chief Financial Officer