WINNIPEG, July 18, 2012 /CNW/ - (TSX:NFI,TSX:NFI.UN,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, announced an order for up to 87 buses or 137 equivalent production units (EUs). The initial order of 25 60-foot articulated buses and 17 40-foot buses (67 EUs) for Vancouver's South Coast British Columbia Transportation ("TransLink") supports the growth in local ridership and delivers on TransLink's customer enhancement strategies. The total purchase price of the initial order is approximately C$28 million.
TransLink selected the New Flyer Xcelsior XD40 40-foot bus which provides improved comfort for up to 74 passengers (to be operated by West Vancouver Transit) for delivery expected in the fourth quarter of 2012. TransLink chose New Flyer's Xcelsior XDE60 60-foot articulated bus that can carry up to 104 passengers for Richmond Transit (to be operated by Cost Mountain Bus Company) with delivery expected in the first half of 2013.
"TransLink has done an outstanding job of promoting and growing transit services for the residents of Metro Vancouver," said Paul Soubry, New Flyer's President and Chief Executive Officer. "TransLink and New Flyer have a long working relationship, with over 70 percent of TransLink's fleet consisting of New Flyer buses. This is our first order from Vancouver since 2008, and we are extremely proud to once again be selected to support TransLink."
The addition of the New Flyer Xcelsior diesel-electric hybrid buses is ideal for high-capacity, high-frequency routes and assists with reducing road congestion. The Xcelsior series buses are backed by New Flyer's in-service support and lifetime care program, providing best value in direct operating costs for TransLink.
The buses have more forward-facing seats, bright interior LED lighting and low interior noise levels. The light-weight design results in exceptional fuel economy and reduced emissions, particularly when combined with the diesel-electric hybrid propulsion system. The buses are supported by locally based service representatives providing technical expertise and a comprehensive new product warranty program, administered through the New Flyer iWarranty System.
The Company also advises the statement in the Company's July 16, 2012 press release that options for 282 EUs had expired in the second quarter of 2012 ("Q2 2012") was incorrect. The correct number of options that expired in Q2 2012 were 114 EUs.
NOTE: All dollar amounts are stated in Canadian currency.
About New Flyer
New Flyer is the leading manufacturer of heavy-duty transit buses in Canada and the United States. The Company's three manufacturing facilities - in Winnipeg, MB; St. Cloud, MN; and Crookston, MN - are all ISO 9001, ISO 14001 and OHSAS 18001 certified. The Company currently operates a parts fabrication facility in Elkhart, IN and four PDCs in Winnipeg, MB; Erlanger, KY; Fresno, CA 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 31,000 heavy-duty buses in Canada and the United States. 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, income deposit securities and convertible unsecured subordinated debentures of New Flyer are traded on the Toronto Stock Exchange under the symbols NFI, NFI.UN and NFI.DB.U, respectively.
This press release may contain forward-looking statements relating to expected future events and financial and operating results of New Flyer and New Flyer Industries Canada ULC ("NFI ULC") 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 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, New Flyer and NFI ULC disclaim 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:
New Flyer Industries Inc.
Glenn Asham, Chief Financial Officer