(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 Des Moines Area Regional Transit Authority ("DART") located in Iowa, has approved the purchase of four 35-foot and two 40-foot Xcelsior diesel-electric hybrid heavy-duty buses.
DART will purchase buses by exercising options from an umbrella contract with the procurement department of another US State. New Flyer entered into this umbrella contract, in January 2012. The contract is a 'standing offer' open to any US public transit agencies for up to 650 buses, and as a result, New Flyer does not record any firm orders or options as part of its total backlog.
"DART's last purchase with New Flyer was in 2001 for seven 60-foot diesel high-floor buses," said Paul Soubry, President and CEO of New Flyer. "We're pleased to once again be awarded the opportunity to build for Des Moines. Our technology has progressed and the introduction of our Xcelsior low-floor bus model means DART will operate a lighter, more fuel-efficient, and quieter 'best in class' vehicle."
In addition to the Xcelsior's launch, New Flyer's ongoing work with environmentally friendly propulsion systems has enabled the company to offer industry leading hybrid technologies that bridges the gap between traditional mechanical engines and zero-emission propulsion systems. The 40-foot buses are anticipated to be built and delivered late in December of 2012 and the 35-foot buses will likely start production and be completed in January 2013. All six buses will be completely manufactured by New Flyer of America at the St. Cloud, MN facility.
About New Flyer
New Flyer (newflyer.com) 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.
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 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 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.