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San Diego Metropolitan Transit System awards New Flyer a contract for up to 165 articulated Xcelsior buses


News provided by

New Flyer Industries Inc.

Jan 16, 2013, 11:27 ET

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WINNIPEG, Jan. 16, 2013 /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 today that the San Diego Metropolitan Transit System has awarded New Flyer a contract for up to 165 Xcelsior compressed natural gas ("CNG") articulated 60-foot heavy-duty buses.

The contract for 165 Xcelsior CNG buses (330 equivalent units or "EUs") contains a firm order of 47 60-foot articulated buses (94 EUs) with options for up to an additional 118 60-foot buses (236 EUs).

New Flyer has more CNG expertise than any other bus manufacturer in North America, experience that has been gained over the last 20 years from the production of over 4,700 CNG powered buses.  This bus order and future Xcelsior CNG procurements will build on San Diego's already significant fleet of environmentally friendly buses, consisting of approximately 80% CNG buses. The CNG system is designed specifically for New Flyer buses and to meet and exceed today's CNG standards and safety requirements. Additionally, designed for a 350-400 mile range, the New Flyer CNG design offers 20-year certified tanks and a fire suppression system that comes as standard features, and not as optional 'extras'.

"San Diego is one of the most progressive transit operators in America.  We are proud to retain MTS as a valued New Flyer customer and thrilled to continue delivering buses to them," said Paul Soubry, President and CEO of New Flyer.   "We have built a lasting partnership over the last twenty years with New Flyer having manufactured approximately 90% of their fleet of over 500 heavy-duty transit buses".

This award was part of the group of firm and option orders for 509 EUs received just prior to the end of 2012  noted in the New Flyer press release of January 9, 2013 as included in the New Flyer backlog, but awaiting approval for the issue of a detailed announcement.

The 47 CNG buses are anticipated to begin production in the second quarter of 2013 and will be completely manufactured and assembled at New Flyer of America's St. Cloud, MN manufacturing facility. All buses are expected to be delivered in the fourth quarter of 2013.

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. The Company also operates a service center in Arnprior, 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.

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 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.

For further information:

Jon Koffman
Investor Relations
Tel: 204-224-6672

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New Flyer Industries Inc.

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